Denton considers $385M expansion of capital improvement budget

Denton city leaders will hold a vote in September that could add $385 million to the Capital Improvement Program (CIP) budget for Fiscal Year 2026 through 2027. 

The obligations discussed during the City Council’s Aug. 4 meeting would significantly expand the city’s capacity to fund critical projects for the coming year. The original appropriated CIP amount stands at $520.3 million. If the additional funding receives approval, Denton will operate with a $905.2 million CIP budget for FY 2026-2027. 

The proposed funding is divided across the six core CIP categories: 

• Wastewater – $147.4 million. 
• Water – $107.9 million. 
• Electric – $68 million. 
• General Government – $49 million. 
• Solid Waste – $12.5 million. 
• Airport – $100,000. 

The projects would largely be funded by a mixture of revenue, debt and fees, with the lion’s share of the appropriations amounting to $351.4 million in certificates of obligation. 

The proposed wastewater funding would support critical infrastructure improvement projects. These include: 

• $95.2 million to improve the plant. 
• $28.5 million to replace lines. 
• $15.3 million to improve lift stations. 

The $107.9 million slotted for water infrastructure would fund similar infrastructure enhancement initiatives. The three priorities would include: 

• $69.2 million to improve the plant. 
• $20 million to replace lines. 
• $9.3 million to install taps, fire hydrants and meters. 

Additional electric projects call for a significant investment in power connectivity, distribution and other infrastructure improvements. Projects slated for investment in the coming year would include: 

• $24.3 million for distribution transformers and substations. 
• $12.9 million to extend and improve feeders. 
• $12.2 million for transmission lines and substations. 
• $9.5 million for new residential and commercial connections. 
• $7.9 million to relocate technology and electric infrastructure. 
• $3 million for vehicles. 
• $2 million for building construction. 
• $1.9 million to improve meters. 
• $700,000 to improve street lighting and power factor. 

The general government category largely prioritizes facility, technology, equipment and transportation upgrades. Projects that would receive funding include: 

• $8.5 million to build Fire Station No. 10. 
• $8 million to upgrade technology. 
• $5.8 million to support the 2023 bond. 
• $5.5 million to replace fleet vehicles and equipment. 
• $4.5 million to improve traffic. 
• $3.2 million to improve roadways. 
• $2 million for neighborhood street construction. 
• $1 million to maintain parks and recreation facilities. 
• $200,000 to install bike lanes. 

The final notable investments slated for consideration in the CIP revolve around solid waste infrastructure and vehicles. These include: 

• $11.1 to buy and replace vehicles. 
• $1.4 million to fund the design phase for future building construction. 

If the Denton City Council decides to extend the bond funding and add new capital projects during its Sept. 22 meeting, they will be included in the FY 2026-2027 CIP starting Oct. 1.

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