Dare County approves 5-year capital improvement plan after trimming Rodanthe EMS project

Dare County commissioners voted unanimously on July 4 to approve the county’s five-year capital improvement plan (CIP) as presented by County Manager and finance staff. The plan, which covers a long list of building, equipment and vehicle projects, was approved after county leaders removed the proposed Rodanthe EMS station from the financial model so the plan would meet the board’s debt-coverage policy.

County Manager summarized the CIP and explained the budget model and policy constraints: the county targets a 1.0 coverage ratio for debt-service coverage with a 0.5 floor. The CIP committee found the Rodanthe EMS station—an estimated nearly $12 million item—would push the coverage ratio below the policy floor in the long-range model. By excluding the project from the model, the plan’s coverage ratios met policy parameters.

Manager and Matt (finance director) told the board the county has about $21.4 million in undesignated cash above policy fund-balance levels and prior housing earmarks. They proposed using up to $12 million of those funds to build the Rodanthe project if the board later decides to proceed, leaving roughly $9.5 million in undesignated cash as a safety reserve. The Rodanthe project itself will not be built before fiscal 2027 and will be revisited in next year’s CIP review.

Commissioners were also briefed about three late additions tied to county communications and public-safety systems. The state “Viper” radio system replacement created compatibility needs and a quoted figure of roughly $2.8 million for upgrades, plus additional Motorola-related items; that figure arrived after the CIP committee had met. Staff recommended adjusting the timing of some long-range purchases (for example, delaying a helicopter replacement) to create capacity in the model to absorb the Viper/Motorola costs.

Matt described conservative interest-rate assumptions used in the model and reported the county’s recent bond sale performed better than assumptions (the county achieved an approximately 4.18% interest cost on a recent issuance, saving roughly $200,000 against modeled interest). The plan includes PAYGO funding for capital outlay, short-term debt for some items, and limited-obligation bonds for larger public-works projects.

Why it matters: The CIP governs capital spending, financing, and project timing across county departments. The board’s decision preserves the county’s debt policies and credit standing while leaving a path to fund the Rodanthe EMS station with reserves if the board elects to do so.

What’s next: The board approved the CIP for FY 2026 items and will revisit fiscal decisions and the Rodanthe EMS station during next year’s CIP review. Staff will also return with more refined quotes and timing for the Viper/Motorola communications work and any revised financing options.

Action taken: Motion to approve the capital improvement plan as presented was made by the Vice Chair and seconded by Commissioner Crieff; the motion carried unanimously. The official plan as approved excludes the Rodanthe EMS station from the model but leaves county reserves and future options as the mechanism for funding should the board choose to proceed.

Supporting details and direct quotes in this article are attributable to on-record presentations by the county manager and Matt (finance director).