Amarillo staff outlines multi-year street plan and proposes $12 million annual maintenance target

Amarillo — City staff on Feb. 25 laid out a multi‑year approach to street maintenance that would speed assessments, create an in‑house mill‑and‑fill operation and use a rolling debt program to generate roughly $12 million a year for maintenance and reconstruction.

The presentation, given to the Amarillo City Council by staff including Donnie Hooper and Kyle Sneiderjohn, explained how the city measures pavement condition and why earlier, targeted maintenance can cut long‑term costs. Hooper summarized the metric used in the analysis: "PCI index is basically it's used all across the country. It's a numerical index that ranges from 0 to 100. 0 is bad. 100 is good," he told council.

The plan and why it matters

Hooper and his team framed the recommendations around five priorities: spend remaining Prop 1 bond dollars to meet spending deadlines; change the street assessment program to focus on arterials and conduct annual surveys; create a revolving fund for maintenance work; adopt a funding plan for major reconstruction; and develop an in‑house mill‑and‑fill operation. The city’s current average arterial PCI is about 74.5, staff said — roughly in line with national public‑works guidance — but the rating would decline if maintenance funding remains at current levels.

Staff emphasized the cost difference of timely maintenance: "If you take care of your maintenance at the top portion of that curve you're going to see prices 4 to $8 a square yard as opposed to 45 to $75 a square yard if you get to the bottom end of that curve," Hooper said, summarizing the life‑cycle economics of pavement.

Key recommendations and proposed investments

- Annual arterial assessments instead of a three‑year cycle, at an estimated incremental cost of about $150,000 per year (vs. $450,000 every three years) by removing residential streets from the annual survey. - A target funding level of about $12 million per year (staff noted a $1.4 million annual debt issuance would roughly translate to that level of available funds) to maintain the current PCI and fund more extensive preventive maintenance rather than deferred reconstruction. - Creation of an in‑house mill‑and‑fill program. Staff estimated initial equipment costs near $3 million and said the plan would convert existing crews rather than add recurring payroll in most cases. - An improved procurement cadence so maintenance bids go out earlier in the year and contractors can schedule work during the full paving season. - Purchase and near‑term operation of Dura Patcher equipment for faster pothole repairs; staff said the trucks are on order and that crews would be trained and council invited to a demonstration when operations begin.

Project prioritization and Prop 1

Hooper walked council through a Gantt chart of Prop 1 projects and said staff expects to spend the remaining Prop 1 issuance well ahead of the state’s 85% and 100% expenditure deadlines (staff set an internal target to finish the majority of spending by October 2025 and projected full reprojection by April 2026). He said the Georgia Street reconstruction project before council that night is a major Prop 1 expenditure.

Council questions and next steps

Council members asked about the structure of the debt program (rolling annual issuances versus larger one‑time bonds), the practical lifespan of mill‑and‑fill overlays and how often residential streets would be reassessed if they are removed from the annual arterial survey. Staff recommended a four‑year cycle for residential reassessments and said they would return in March with detailed financial modeling and cash‑flow assumptions from the CFO.

What happens next

Hooper said staff will bring a more detailed financial plan to the council at a March meeting and a third presentation in April focused on finalizing plan elements ahead of the budget process. Council members repeatedly encouraged staff to pursue the rolling funding option so maintenance can be performed annually and to present specifics on debt sizing and project phasing when the CFO joins the next session.

Ending

Council recessed after the presentation with direction to return in March for a more detailed funding discussion. Staff will continue work on Prop 1 schedules, annual assessment timing and the mill‑and‑fill business case for budget deliberations.