Tempe presents $1.95 billion, five-year capital plan; council gives consensus to raise property-tax cap to speed projects

City staff presented the city manager's initial recommended five-year Capital Improvements Program and acceleration strategies to the Tempe City Council at a March 20 work study session, proposing a $1.95 billion capital program and asking for policy direction to accelerate voter-approved projects.

Lisette Camacho, city staff, opened the presentation and emphasized the procedural status: "There are no funding decisions being made tonight." Julie Hyder, interim municipal budget director, reviewed public outreach and funding sources and said the packet includes public-survey results: "We had 592 responses." Wydell Holmes, director of the Strategic Management and Innovation Office, described performance-focused acceleration models, including homelessness prevention and Pavement Quality Index targets.

Why it matters: The recommended CIP aligns projects funded by last November's voter authorization and aims to speed street paving and other community priorities. Staff asked the council for consensus on revising the city's property-tax stabilization policy so Tempe can issue additional general obligation debt to accelerate work already approved by voters.

The recommendation and program structure City staff said the proposed five-year CIP totals $1,950,000,000, essentially consistent with the current adopted five-year program but about a 5.5% increase (roughly $9 million) overall due to adding a fifth year and inflationary adjustments. Major spending categories…