What is a Capital Project? Last updated or reviewed on September 23, 2025 A capital project is a significant investment that creates or improves a long-term asset. Capital projects traditionally take the form of large-scale physical developments, such as buildings, streets and other infrastructure. However, a wide range of other projects also qualify for capital funding, such as purchasing firefighting apparatus and other large vehicles, computers and technology, and other equipment. Methods of Funding for Capital Projects Capital projects are funded with a mix of internal City resources and external resources listed below. General Fund, as part of the operating budget Pay as you Go Debt service Federal & State Funds Bonds Grants Partnerships Project Selection The City of Asheville has more demand for capital projects than it has funds to pay for them, which is why we must be intentional about how to prioritize potential project ideas generated internally and from public feedback. Community engagement continues to be critical for uplifting the community’s real needs to determine priority capital investments. The City identifies potential capital improvement projects using technical assessments of infrastructure condition and need, and public input received through planning efforts. The annual project identification and prioritization process typically begins early in the calendar year with each City department conducting an analysis to identify capital project needs for the next five years. This is known as the Capital Improvement Program (CIP), part of the City’s annually adopted budget, where funding is committed to specific capital projects in the form of a 5-year plan. Project requests are evaluated and prioritized based on the following criteria: enhancing core services such as public safety, recreation programming and economic development supporting strategic priorities, such as sustainability, affordable housing, and quality of life availability of outside funding sources potential return on investment extending assets’ useful life The City Manager presents final recommendations to City Council as part of the budget development process. Council then holds public meetings to deliberate and adopt a final budget. This is another opportunity for community members to be involved in the process. The dates and times for those meetings are variable each cycle; however, the City Council must adopt its Budget and CIP by June 30 before the beginning of the fiscal year. Is a City capital project coming to your neighborhood? Here’s what to expect. The City has announced a project is going to be built in your neighborhood. What happens next? Most projects that involve infrastructure or construction still have several steps to go between when the project is put on the books and when you’ll see shovels hit the ground. The Life of a Capital Project – from Prioritization to Completion Planning phase: Once a project has been prioritized, it is now in what we call the planning phase. In this phase city departments work together with the community to solidify needs and wants, and to identify concerns. What happens during the planning phase: Visioning Public engagement Consideration of project feasibility Determining of funding sources Project timeline mapping Once funding sources are solidified, the administering department either begins designing the project (if designing in house) or prepares to accept proposals on a design contract. This is when we can begin building a timeline for project completion. Design phase: Next is the design phase. Staff is working to design a project that achieves the original goal while reflecting the community’s views in balance with feasibility. This is the most technical phase and depending on the project includes complexities such as right-of-way acquisition, utility relocation and multiple levels of review. Construction phase: Once the construction contract is approved by City Council, construction can begin! The City will be in touch with neighbors on high impact projects to talk about what to expect during construction. Just like any construction project, we often experience delays during the construction phase due to weather, unexpected discoveries, or supply chain and labor shortages. Project complete – open for public use Frequently Asked Questions Why do capital projects sometimes get delayed? Infrastructure projects, whether they’re new sidewalks, stormwater lines, or repaving, are critical for economic stability and improving the quality of life. These projects are complex and bring forth an array of challenges that can cause significant delays. Changes to project timelines can be frustrating for both our project teams and for the community. We appreciate the community’s patience and collaboration as we continue to improve Asheville’s public infrastructure. Some of the challenges often faced in infrastructure projects include: Changes to scope or design Infrastructure projects require careful planning and design, including feasibility studies, engineering designs, and detailed project plans. Any changes in scope or design during the planning phase can cause delays as these changes need to be reviewed and approved. Complex funding mechanisms Large-scale infrastructure projects often rely on a mix of public and grant funding, and obtaining this financing can be a slow process. Budget constraints, changes in government priorities, or fluctuations in the economy can further complicate funding. Supply chain and labor shortages Infrastructure projects depend on a steady supply of materials and skilled labor. Any disruption in the supply chain, whether due to global events like pandemics or local issues, can delay construction. Similarly, shortages of skilled labor can slow down project timelines. Weather and environmental factors Weather can play a significant role in delaying infrastructure projects. Construction activities are highly sensitive to weather conditions; heavy rain, extreme heat, or cold can halt progress. Historic factors In Asheville, our public works crews skillfully update infrastructure projects while preserving the city’s historic charm by integrating modern functionality with careful restoration practices. Navigating the complexities of regulatory requirements and balancing modern infrastructure demands often requires innovative solutions, while can delay project timelines. Right of way acquisition In cases involving construction on non-City owned property, such as a new sidewalk, the City must obtain the legal right to use or occupy land. Right of way acquisition is a crucial aspect of infrastructure development, ensuring that projects can proceed while balancing the rights and interests of property owners and the public. This involves extensive planning followed by valuation and appraisal as well as engagement and negotiation with property owners. What’s the best way to find out the latest information on a specific project? Visit project pages and subscribe for individual project updates. For a zoomed out view of capital projects across the City, check out the Capital Projects Dashboard. How does the City of Asheville select firms for the different phases of a capital project? The City of Asheville selects firms for design and construction phases of capital projects through a competitive procurement process, primarily using a Request for Proposals (RFP) or Request for Qualifications (RFQ). The goal is to find qualified firms that can meet the project’s specific needs, budget, and timeline while also promoting equity and inclusion. Procurement: The city’s Purchasing Department issues a formal solicitation for proposals or bids. These public announcements, which are posted on the city’s website, outline the project’s scope, requirements, and evaluation criteria. Evaluation of Proposals: The city forms a review team, typically composed of staff from the Capital Management Department and other relevant departments, to evaluate the submissions. For a Request for Proposals (RFP), the city will assess firms on a range of factors beyond just cost, such as: Firm qualifications and experience Project approach and methodology Past performance and references Cost and proposed budget Contract Award: After the evaluation, the city selects the most qualified firm. Depending on the project’s size and complexity, the award may require approval from the City Council. The chosen firm is then awarded a contract to begin the design or construction phase of the project. Key Considerations Business Inclusion: The City of Asheville has an Asheville Business Inclusion Policy to encourage participation from Minority and Woman Business Enterprises (MWBEs) in the public bidding process. The Asheville Business Inclusion Manager maintains a database of Certified MWBE businesses for Outreach, MWBE participation and competitive bidding. The city actively seeks to identify and utilize these businesses for goods and services. Design and Construction Manuals: Firms selected for water and sewer projects, for example, must adhere to the specific guidelines outlined in the city’s Water Resources Design and Construction Manual and Standard Details. Community Input: For some large-scale projects, the selection process may include a component of community engagement, where firms are required to demonstrate how they will incorporate public input into their design and planning. Contact Dustin Clemens Capital Projects Division Manager Capital Management Department
