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City hires consultants for infrastructure funding plan; staff aims for Jan. 2026 master plan
Summary
LFUCG staff and consultants described a three‑phase Infrastructure Funding Plan to identify capital projects, cost estimates and legal funding mechanisms, with a target master plan in January 2026 and an emphasis on developer‑paid infrastructure where feasible.
City planning staff briefed the commission on an Infrastructure Funding Plan (IFP) intended to translate the urban growth master plan’s Chapter 8 estimates into a practicable capital‑project list, funding options and an implementation toolkit.
Project manager Sean Denny told commissioners HFUCG selected Partners for Economic Solutions (with subconsultant Gresham Smith) to develop the plan in three phases: (1) project identification, cost estimating and prioritization by area; (2) assessment of funding mechanisms and legal constraints; and (3) detailed implementation, including draft ordinances, software and training for staff. Denny described the work as a long‑term system: “We’re setting up a system that will hopefully fund infrastructure well for the next 50 to a hundred years.”
Why it matters: chapter 8 of the urban growth master plan flagged extensive capital needs — roads, bridges, sewer, parks, emergency facilities — and recommended a separate IFP to determine which costs are developer responsibility and which should be public. The city expects the IFP to identify phasing, funding sources and a prioritization rubric so staff can update and manage projects over time.
Denny described the procurement and timeline: the council provided initial funding in October 2024 for an RFP; the RFP was issued in November and Partners for Economic Solutions was selected in January 2025. The team has already held on‑site meetings and a developer open house; Denny said an updated market analysis and an initial project list are expected this summer, with a draft master plan targeted for January 2026.
Staff emphasized three goals: determine timing and funding for new capital facilities; identify legal and practical funding mechanisms (impact fees, developer financing, public bonds, public‑private partnerships); and produce an implementation package (ordinances, procedures, software, training) that staff can administer across future administrations. The consultant team includes an impact‑fee specialist and legal counsel to assess Kentucky statutory constraints.
Commissioners questioned how the plan will influence standards and outcomes. Some commissioners said leaving all costs to developers risks producing minimum‑standard infrastructure and urged staff to examine public investment options, bonding capacity and mechanisms to produce higher‑quality, more connected infrastructure. Denny said staff will model multiple scenarios, including developer‑paid, shared costs and public investments where legally and financially appropriate.
On funding responsibility, Denny said the city’s priority remains that developers bear the cost of new infrastructure in growth areas, while recognizing there may be cases (for example, upgrades to existing systems tied to consent‑decree obligations) where the city has a role. Commissioners asked that the study explicitly model public investment scenarios that could produce different development outcomes.
Next steps: staff expects a summer project list and prioritization rubric from Gresham Smith; a market update and funding‑option analysis from Partners for Economic Solutions; and a final IFP master plan by January 2026. If the council or staff require it, phase 3 would draft the implementing ordinances and provide a staff handbook and software to manage charges and collections.
