Mayor Dwight C. Jones today presented a Triple-Action Investment Plan that grew out of the work of the Multi-Year School Capital Investment Project Evaluation Team that he convened in April of this year.
The Project Evaluation Team was charged with charting a funding course for the long-term renovation and construction plans of Richmond Public Schools in a way that would protect the overall funding needs and fiscal integrity of the City. The Team met its goal of completing its review by the end of June.
The Triple-Action Investment Plan calls for immediate action of expanding the Governing Debt Policy ceiling from 10% to 12%. This action will expand debt capacity to over $580 million over the next decade, making that borrowing capacity available to the City if the governing body elects to utilize it. At the same time, the City is charged with coupling that action with additional policies; concerning the City’s unassigned fund balance, reserve levels, and equalization policies; in order to maintain and protect the City’s’ current credit ratings, to the extent possible.
The Triple-Action Investment Plan then maps out action for the intermediate term and the long term, to include adoption of a Strategic Funding Plan and the necessary tax adjustments that will be needed to fund the plan.
The final report of the Project Evaluation Team narrowed the options down to six potential revenue sources that met the necessary criteria. Those criterion include that the source of funds be sustainable, reliable, available and under the locality’s control and discretion. The governing body will have to decide which tax adjustments or combination thereof will be utilized to fund the plan.
Long-term recommendations include accountability measures on both the Schools and the City Administration in order to show smart utilization of the dollars provided.
“This is a realistic approach that provides a 10-year program to move us forward,” said Mayor Dwight C. Jones. “This is a well thought-out plan that will require discipline, but that will make us a better city in the long run.” Both the Schools and the City are now working to finalize their lists of targeted projects to be pursued over the 10-year funding period.