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HomeMy WebLinkAboutE- 4 Sixth Amendment to the Capital Improvement Project (CIP) Budget Nibs AZUS AGENDA ITEM TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: ROBERT K. PERSON, ASSISTANT CITY MANAGER VIA: RICK COLE, CITY MANAGERg_,G SUBJECT: SIXTH AMENDMENT TO THE CAPITAL IMPROVEMENT PROJECTS (CIP) BUDGET RECOMMENDATION It is recommended the City Council approve the sixth amendment to the Capital Improvement Projects (CIP) budget by: 1. Approving an appropriation of $1,018,000 from the Light Fund to the Public Works Reorganization account for the purpose of purchasing needed equipment. The specific purchases are included in an accompanying agenda report entitled "Amended Public Works Department Budget". 2. Approving an amendment to the Skate Park Project by increasing the cost of the project from $250,000 to $400,000. The project will be funded by $150,000 in Quimby funds, $135,000 in Proposition 12 funds and $115,000 in fund raising and donations. 3. Approving an appropriation of$100,000 from the Water Reserve Fund to the River and Mountains Gateway Center project for the purpose of funding a contract with Northeast Trees for design and architectural services. 4. Approving an appropriation of $400,000 from the Light Reserve Fund to the General Plan project to carry out FY2002 activities. 5. Approving an appropriation of$1,750,000 from the Light Reserve Fund to the City Yards Design and Construction project to carry out design, architectural and construction of a new facility for Light and Water crews. BACKGROUND Staff is recommending this series of amendments to the Capital Improvement Projects (CIP) budget to recognize new projects, appropriate the needed funding to begin work ao,,,id //g /d/ okt,. t,z x **41:171444%,, ,ipsths, on those projects and in the case of the Skate Park project, to raise the anticipated cost of the project. Each project is described further below: Public Works Department Budget Enhancement Project As part of a separate agenda report in your packet tonight entitled"Amended Public Works Department Budget", staff is recommending the transfer of$1,018,000 into the CIP for the purpose of purchasing much needed and deferred equipment for the Public Works Department. Skate Park Project In January, 2001 the City Council adopted the 2001-2005 CIP which included a $250,000 price tag for a new skate park to be constructed at Memorial Park. This figure represented an estimated 10,000-12,000 square foot facility similar to those constructed most recently in the San Gabriel Valley. The cost of construction is approximately $22.00 per square foot as quoted by skate design team Purkiss-Rose RSI of Fullerton, California. As suggested by Mayor Madrid, a skate park task force was assembled composed of adults and young adults in the community in addition to Councilmembers Rocha and Hardison, and, Gateway Committee member Bob Donnelson. The task force overwhelmingly voiced their concern that they wanted their Azusa facility to stand apart from other parks. Their desire was to put their own stamp on the facility and make it one the City could be proud of. Hence, the increase from 10,000 square feet to 16,000 square feet. Additional amenities include colored concrete, ornamental fencing, state of art"street trick"facility, brick accented benches as well as a brick donor wall which will be used to highlight those that have contributed to the successful construction of the skate park. The combination of all of these factors have led to the recommendation before you. This action will increase the project cost from $250,000 to $400,000 and will be funded through a combination of: $150,000 in Quimby funds, $135,000 in Proposition 12 funds and $115,000 in donations. River and Mountains Gateway Center Project At its meeting of July 16, 2001, staff presented City Council with a briefing on river related projects. One of the projects reviewed was on this specific budget. The City would like to partner with the US Forest Service in creating a River and Mountains Gateway Center in which visitors to the forest and watershed could learn about the natural resources and history of the area. The project has been "piece-mealed" in that the US Forest Service has funding in the amount of$135,000 to replace the current ranger station at the entrance to the forest and $65,000 for minor site improvements. There is also a request for funding by the Upper San Gabriel Valley Municipal Water District for the construction of an information kiosk that will educate forest visitors about the inherent connection between the forest habitat and local water supply as well as promote upcoming volunteer restoration events. The City will be submitting a $500,000 grant application to Supervisor Molina's office for the construction of the River and Mountains Gateway Center this fall and has received favorable consideration of the project. The City has now taken a leadership position in regard to this project and is working with the US Forest Service and the Upper San Gabriel Valley Municipal Water District to coordinate the design, construction and funding of the project. Because of legislative strings tied to the existing funding and grants not yet received, staff is proposing that City Council appropriate $100,000 of Water Reserve funds to retain Northeast Trees, Inc. for the purpose of creating a master plan for this and other river related projects and to retain landscaping and architectural services to design the center. General Plan Project Previously, the City Council had approved a budget for the General Plan Update, Development Code Update and the associated environmental impact analysis. $400,000 is being recommended for transfer from the Light Reserve Fund to pay for the utility's share of the General Plan process. City Yards Office Construction Project Staff is recommending that City Council appropriate $1,750,000 for the design and construction of a new 10,000 square foot office facility for use by utility staff who reside at the City Yards. Staff has issued a Request for Qualifications for design and architectural services and intends to make its selection recommendation to City Council sometime in September of this year. AZUSA AGENDA ITEM TO: HONORABLE MAYOR AND CITY COUNCIL MEMBERS FROM: JOSEPH HSU, DIRECTOR OF UTILITIES VIA: RICK COLE, CITY MANAGER DATE: AUGUST 20, 2001 SUBJECT: AMENDED PUBLIC WORKS DEPARTMENT BUDGET RECOMMENDATION It is recommended that the City Council approve the following: 1. Amended operating budget, and provisions for hiring full- and part-time positions, in the amount of $351,917. And, 2. CIP budget, in the amount of $1,018,000. BACKGROUND As part of the new fiscal year budget, the City Council approved formation of the Public Work Department along with a $5,000,000 investment from the Light Fund to inject much needed capital and operating funds into the new Department. In the past three months, the interim management team has been assessing the effectiveness as well as limitations of the Department. This request for additional funding is to invest in the future of the Department. The needs of each Division is discussed individually below and spread sheets are also attached to detail out budgetary deficiencies. Departmental Deficiencies The deficiencies are divided into two categories: Operational and capital. 1 Operational The Public Works share of the City's general fund budget has been shrinking over the years. Each year, the City had to cut its budget by a few percentage points, while soaring energy costs have escalated materials cost. For example, asphalt concrete price has increased by 30%over the last two years. The combination of higher prices and smaller budgets has placed a tremendous strain on the ability of the Department to provide needed services. Budgets for materials are usually expended within the first few months of each new fiscal year and each Division has to scramble to make the necessary purchases. Early Depletion of funds destroy the ability of the Department to provide the services the community expects from the City. Personnel vacancies have not been filled for years. Proposed hiring in the following positions are listed below with vacancy terms: • Streets Crew Supervisor, four years. • Facilities Crew Supervisor, over two years. • Parks Supervisor, one year in October 2001. The amended budget request covers four general areas: Salaries &benefits for new hires $201,000 (Four positions: Director, two crew and one division supervisors) Tools and small equipments $ 3,835 Training/staff development/meetings $ 3,026 Supplies/essential purchases like asphalt, concrete, fertilizer, etc. $144,056 Grand Total $351,917 Division by Division Analysis Administration The new Department administration will include the Director's position as well as the Administrative Secretary. The salary and benefits for the new Director's position is estimated at $150,000. A portion of the Director's salary is offset by the retired Superintendent 's position; an additional $45,000 is requested for the new position. Facilities Hiring a Crew Supervisor and restoring funding for essential purchases require an increased budget of $99,454. Garage An increase of $5,140 in supplies account is requested. Parks 2 It is requested that the vacancy created by the resignation of one Crew Supervisor be filled by two part-time employees. The City will realize salary savings in hiring two part time employees, about $32,000 in savings ($40,000 cost versus $72,000). We are also negotiating with the employee bargaining group to reclassify the Tree Trimmer positions as regular Maintenance Workers: Senior Tree Trimmer to become a Crew Supervisor, and Tree Trimmer to become a Maintenance Ill Worker. The Division is requesting $56,829 in additional funds to enhance purchasing power and tree trimming contract. The additional funding will be for staff development, outside services, repair account, supplies, small tools, and phone service. Streets Required salary and benefits to hire one Crew Supervisor is estimated to be$78,000. The other, large increases are in the "supplies" accounts to enable the Division to acquire materials necessary to start and complete maintenance work. The total increase,without personnel costs, is $67,434. Capital Most of the heavy equipment and trucks used by the Department are obsolete as they have gone past their useful lives. The Street Division loader is broken currently beyond repair. The Parks Division backhoe is 18 years old and it should have been replaced 5 years ago. Certain pieces of equipment, such as sewer video van or a sewer vacuum truck, have been on the wish list for a long time. The CIP list prepared for the FY01-02 is utilized to request additional funding for items required. The total request adds up to $1,018,000 and each specific item is shaded for the ease of reference. Division by Division Analysis Facilities One item is requested; $110,000 are necessary to install a security gate and cameras to enhance the City Yard security. Garage Miscellaneous tools, as shown, are requested to enable the mechanics to work on vehicles. The total amount requested is $42,860. Parks Funds are required to replace an 18 year backhoe; purchase a hot water pressure to wash down park picnic areas; and replace three existing trucks that date back to 1985 and 1986. The total request is for $166,000. 3 Streets The Streets Division requests the following pieces of equipment: • New asphalt patch truck with a roller (items 1 and 2 from CIP spread sheet) • New sewer video van (item 3) • New sewer jeter and vactor truck (to be shared with the Water Division, item 4) • New pick-up for Crew Supervisor (item 15) • New bob cat (item 7) • Replace existing 1985 front loader (item 5) • Replace existing 1982 backhoe (item 8) • Replace existing truck (item 9) • Replace existing painting stencils (pavement marking and legends, item 6) • Replace exiting dump truck (item 10), and • Re-paint 15 trucks (including minimal body-work, item 16). The total for the above heavy equipment and trucks is $699,000. FISCAL IMPACT The total amended budget of $1,369,917 will be drawn from the one-time $5,000,000 endowment with no impact on the General Fund. Attachment: Spread Sheets 4 PUBLIC WORKS CIP LIST FOR FY01-02 DIVISION PRIORITY CIP DESCRIPTION $AMOUNT FUND JUSTIFICATION Facilities 1 Security gate,fencing, camera 110,000 General Increase yard security. Facilities 2 Auditorium upgrades 250,000 General Interior upgrades for the auditorium Facilities 3 Caret West Win• of Cit Hall 70,000 General Existin• caret is 20 rs old and in need of re•lacement. Facilities 4 Car•et Cit Hall 40,000 General Existin• caret is 20 •lus rs old and in need of re•lacement. Facilities 5 Ford F-150 pick up truck-CNG 30,000 General Trans. for Facilities Supervisor to check on job sites Facilities 6 Office furniture and equipment 25,000 General Chairs,computers, fax...to eliminate back, nec, wrist injuries. Facilities 7 Boy Scout Hourse interior upgrades to include rest 60,000 General Poor lighting, out dated restrooms, non ADA compliance Parks 1 John Deere backhoe 90,000 General Replace 1983 John Deere backhoe Parks 2 Hotsy hot water pressure Model#1065 6,000 General Wash down picnic areas and sidewalks Parks 3 Ford F-250 pick up truck 35,000 General Replace 1985 pick up truck,#102 Parks .4 Ford F-250 pick up truck wth utility boxes 35,000 General Replace 1985 pick up truck,#103 Parks 5 Arrow Board Trailer 15,000 General Replace existing 20 + year old arrow board trailer Parks 6 Vermeer strum cotter, model#630B 22,000 General Replace 20 year old Vermeer stump cotter, model#630A Streets 1 Asphalt patch truck 120,000 General To,repair,and patch potholes and asphalt streets Streets 2 Small walk behind asphalt roller 4,000 General To use along with asphalt truck Streets 3 Sewer video van with video equipment 80,000 Sewer To inspect the sewer lines for root blockage&for damaged lir Streets 4 Sewer Jeter and Tactor truck 100,000 Sewer' To replace existing sewer truck. Capability to clean all storm e Streets 5 Front end loader 105,000 General Replace 1985 Kobelco loader which has blown engine Streets 6 Complete set of metric stencils 8,000 General Street Div. is presently using "home made"stencils,which do Streets 7 Small bobcat type backhoe vv/attachments/attachments 62,000 General To remove concrete si dewalks, grinding asphalt&for breakin Streets 8 New 310G backhoe loader 90,000 General Replace 1982 Case backhoe which is'in poor working conditir Streets 9 Small stake bed truck w/lift gate 40,000 General Replace existing 1986 lift pick up. Truck will be shared by Str Streets 10 Small dump truck 35,000 General Replace'94 large 5-ton dump truck, has broken springs&a n Streets 11 Large 5-ton dump truck 45,000 General To replace existing truck, which is over 10 years old Streets 12 Covert existing arrow board on traffic control truck 4,000 General Change out present glass bulbs w/LED lenses. Will save on Streets 13 Air compressor 16,500 General Present air compressor is in much need of proper repairs. Pr Streets 14 Base table saw, drill press, and grinder 35,000 General 3 pieces of equipment are used by all 3 div's. &are presently Streets 15 Ford F-250 pick up truck 35,000 General New truck required for the to be hired Crew Supervisor Streets 16 Re-painting 15 trucks 20,000 General Existing trucks need to be re-painted Garage 1 Charging/starting/battery analyzer 2,200 General Tools necessary to respond adequately to vehicles in need of Garage 2 Tack&spark analyzer 250 General Tools necessary to respond adequately to vehicles in need of Garage 3 Fuel injection kit 400 General Tools necessary to respond adequately to vehicles in need of Garage 4 Drum mounted part washer 600 General Tools necessary to respond adequately to vehicles in need of Garage 5 Mic welder 1,700 General Tools necessary to respond adequately to vehicles in need of Garage 6 Drill bit sharpener 160 General Tools necessary to respond adequately to vehicles in need of Garage 7 Heavy duty charger 550 General Tools necessary to respond adequately to vehicles in need of Garage 8 Computers 5,000 General Tools necessary to respond adequately to vehicles in need of ' Garage 9 Fleet software program 4,000 General Tools necessary to respond adequately to vehicles in need of Garage 10 Engine analyzer oscilloscope 14,000 General Tools necessary to respond adequately to vehicles in need of Garage 11 Wheel balancer 3,500 General Tools necessary to respond adequately to vehicles in need of Garage 12 Drum/disc lathe&accessory package 9,500 General Tools necessary to respond adequately to vehicles in need of Garage 13 Ground rack/lift in 3rd stall 5,000 General _Tools necessary to respond adequately to vehicles in need of Total 1,634,000 PUBLIC WORKS OPERATING BUDGET AMEND. REQUESTS FOR FY01-02 DIVISION NUMBER ACCOUNT DESCRIP. FY99-00 FY01-02 AMEN. REQ. Addition JUSTIFICATION " Admn. 661 6003 Salaries NA NA 45,000 45,000 New Director Facilities 666 6003 Salaries NA 142,547 220,547 78,000 Hire Crew Supervisor Facilities 666 6563 Supplies NA 40,740 60,000 19,260 Essential account for purchases Facilities 666 6566 Small tools NA 970 2,000 1,030 Inflation costs Facilities 666 6569 Small Equip. NA 776 2,000 1224 Inflation costs Garage 667 6563 Supplies 7,547 3,860 9,000 5140 Misc. supplies needed/inflation Parks 420 6235 Meetings 1,166 728 3,000 2272 Training and education Parks 420 6493 Outside ser. 113,256 119,628 140,000 20372 An upgrade in the Tree Contract Parks 420 6560 Repair parts 3,306 2,910 5,000 2090 Inflation costs Parks 420 6563 Supplies 32,210 33,950 60,000 26050 Essential account for purchases Parks 420 6566 Small tools 1,544 1,455 2,500 1045 Inflation costs Parks 420 6915 Utilities/phon 4,484 N.B. 5,000 5000 Two new phones needed Streets 661 6003 Salaries 263,532 376,844 454,844 78000 Hire Crew Supervisor Streets 661 6235 Meetings 2003, 1,746 2,500 754 Training and education Streets 661 6563 Supplies 56,086 41,700 80,000 38300 Essential account for purchases Streets 661 6566 Small tools NA 364 500 136 Inflation costs Streets 661 6830 Rent 610 291 500 209 Inflation costs Streets 661 6915 Utilities/phon 2,757 2,677 4,000 1323 Three additional phones needed Streets 662 6560 Repair parts 512 849 1,200 351 Inflation costs Streets 662 6563 Supplies 14,912 11,446 20,000 8554 Concrete costs have increased Streets 662 6566 Small tools 37 97 500 403 Inflation costs Streets 664 6493 Outside ser. NA 291 1,000 709 Water-blaster repairs Streets 664 6563 Supplies 4,443 6,305 7,000 695 Extra cost of paint Streets 665 6493 Outside ser. 14,609 10,000 22,000 12000 Manhole treatment for pests Streets 665 6835 Repair equip 10 1,000 5,000 4000 For repairing equipment