The Town of Westcliffe (Town) has determined that accumulating and maintaining capital reserves
as part of its annual budgeting process is important for long-term sustainability. The Town is
committed to maintaining reasonable cash balances (reserves) to help offset the costs of future
capital projects and replacements. The Town believes that establishing and maintaining such reserves will assist the Town in taking advantage of the pay as you go philosophy as opposed to relying entirely or heavily on debt financing. As such,the Town will be able to minimize the costs related to debt borrowing.
The Town is establishing the following fiscal policies as it relates to capital assets:
Capital projects and replacement program.
On an annual basis and concurrently with the Town's budgeting process, the Town Manager and/or the Town Clerk/Treasurer will ensure that long-term capital projections (i.e., 5 years) are compiled by soliciting input and information from other Town staff. The capital projections will reflect significant anticipated capital projects (both new and replacement), the associated costs, and the projected time frame/completion of the projects. The capital projections are intended for financial planning purposes and are not intended to obligate the Town, in any manner, to build or construct the projects.