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Home My WebLink AboutREOC Memo CIP Budget 2022-23City of San Luis Obispo, Council Memorandum DATE: May 24, 2022 TO: Citizens’ Revenue Enhancement Oversight Commission (REOC) Members FROM: Brigitte Elke, Finance Director VIA: Derek Johnson, City Manager PREPARED BY: Natalie Harnett, Principal Budget Analyst SUBJECT: Local Revenue Measure Capital Improvement Plan projects for FY 2022-23 Purpose This memo is to provide an update to Commissioners regarding Capital Improvement Plan (CIP) projects recommended for FY 2022-23 funded by the Local Revenue Measure (LRM). Background The 2022-23 Financial Plan Supplement Budget allocations were presented to the REOC on May 12, 2022 and approved for recommendation to the City Council. After that meeting, bids were received for the Summer 2022 Roadway Sealing project which were approximately $1.9M over the expected budget due inflationary cost pressure, increased material costs due to supply issues and other overall cost increases. In addition, there have been several transitions amongst integral staff related to the design and delivery of capital projects. In order to move forward with this important project and account for cost increases in other projects, staff has reprioritized planned projects and will be recommending some project deferrals to the 2023-25 Financial Plan to the City Council. Next Steps The projects recommended for deferral are those that are: 1. Not construction ready, or 2. Grant funding is being sought for, or 3. Can be paused until staff resources are online. The projects listed below are recommended for deferral (they are not being cancelled) with the 2022-23 Supplement Budget and will be included in staff’s recommendations for funding in the 2023-25 Financial Plan. The funding from the deferred projects is recommended to be used for cost increases for the Summer 2022 Roadway Sealing project, the City Hall Meeting Room Tenant Improvements project, and to fund the Capital Reserve at the policy-required funding level. Staff anticipates this reserve funding will be essential due to the afore mentioned cost economic conditions which are expected to persist into FY 2022-23. The following projects are recommended to be deferred to 2023-25. All projects are funded through the Local Revenue Measure. Memo: Local Revenue Measure CIP Recommendations FY 2022-23 Page 2 Table C3: FY 2022-23 Projects Recommended for Deferral ID# Spec# Project FY 2022-23 Budget to be Deferred 1 91503 California & Taft Roundabout $2,720,000 Project is in progress, but construction is not anticipated to begin until FY 2023-24 due to delays with right-of- way acquisition. In addition, staff is pursuing grant funding for this project which may decrease City costs. The funding that is being deferred to the 2023-25 Financial Plan is recommended to be allocated to projects in need of additional funding in FY 2022-23 and the Capital Reserve. 2 1000031 Parking Lot Maintenance – Meadow Park and Minor Repair of City Parking Lots $155,000 The parking lot maintenance activities funded in this project are in various phases. Staff is recommending deferral of Meadow Park parking lot maintenance ($130,000) to the 2023 -25 Financial Plan, as well as reallocation of $25,000 planned for minor repairs of City parking lots in o rder to fund projects in need of additional funding in FY 2022-23 and the Capital Reserve. The remaining funding in this project will fund other parking lot maintenance projects in FY 2022-23. 3 90742 Storm Drain System Replacement – Woodbridge Runoff $175,000 Staff is recommending deferral of this project in order to fund projects in need of additional funding in FY 2022-23 and the Capital Reserve. This project is recommended for deferral as the project is not expected to need construction funding until the 2023-25 Financial Plan. The remaining funding in this project will fund other storm drain system replacements in FY 2022-23. 4 1000052 Buchon-Santa Rosa Intersection Improvements $250,000 Staff is recommending deferral of this project in order to fund projects in need of additional funding in FY 2022-23 and the Capital Reserve. Due to staffing constraints, final project design is not expected to be complete until FY 2023-24 and therefore construction funding may be deferred until the next Financial Plan period. 5 1000029 Bridge Maintenance $100,000 Staff is recommending reallocation of funding for bridge maintenance projects in order to fund projects in need of additional funding in FY 2022-23 and the Capital Reserve. Due to staffing constraints, final project design for the next phase of bridge is not complete and therefore construction funding may be deferred until the next financial plan period 6 1000032 Pedestrian and Bicycle Pathway Maintenance - Railroad Safety Trail from Cal Poly to Taft Street $50,000 Staff is recommending deferral of this project in order to fund projects in need of additional funding in FY 2022-23 and the Capital Reserve. Due to staffing constraints, final project design for the next phase of pathway maintenance is not complete and therefore construction funding may be deferred until the next financial plan period. The remaining funding in this project will fund other pedestrian and bicycle pathway maintenance projects in FY 2022-23. 7 1000075 Major Facility Maintenance - Ludwick Community Center Roof and Solar $40,000 Staff is recommending deferral of this project in order to fund projects in need of additional funding in FY 2022-23 and the Capital Reserve. Due to staffing constraints, this project is not expected to enter design until sufficient staffing resources are available. The remaining funding in this project will fund other major facility maintenance projects in FY 2022-23. 8 91385 Park Major Maintenance & Repairs - Santa Rosa Barbeque Replacements $7,500 Staff is recommending deferral of this project in order to fund projects in need of additional funding in FY 2022-23 and the Capital Reserve. Due to staffing constraints, project design is not expected to begin until FY23/24 and therefore design funding may be deferred until t he next Financial Plan period. The remaining funding in this project will fund other park maintenance and repair projects in FY 2022 -23. 9 Total $3,497,500 Memo: Local Revenue Measure CIP Recommendations FY 2022-23 Page 3 The deferred funding is recommended to be reallocated as follows: Table C4: Recommended Use of Deferred Project Funding ID# Spec# Project/Reserve FY 2022-23 Budget to be Reallocated 1 90346 Roadway Sealing 2022 +$1,585,000 In mid-May, the City received two bids for this project which were both significantly over the engineer’s estimate. On June 21, 2022, staff will recommend that Council award a contract to the lowest responsive bidder. The recommendation to proceed with this project is due to the fact that deferra l of road maintenance activities results in more expensive rehabilitation treatments being required in the future. In addition to the $1,585,000 recommended to be funded by the deferral of projects initially planned for FY 2022 -23, staff also seek approval of budget amendment requests in the current year to reallocate funding from the Jack House Roof and Windows Walk Railing maintenance project ($100,000) and South Street Median Landscaping project ($240,000) in order to fully fund the additional $1,925,000 for this project. 2 1000055 City Hall Meeting Room TI +$115,000 Project is currently in the final design phase and is anticipated to be constructed in FY 2022-23. Current project estimates indicate that the $130,000 initially appropriated is insufficient to construct the project, and an additional budget allocation of $130,000 is necessary. 3 Capital Reserve +$1,797,500 Allocation of $1,797,500 from projects that were initially planned for FY 2022-23, but are now recommended to be deferred to the 2023-25 Financial Plan, due to the staffing constraints. This will ensure that the City maintains a committed reserve of 20% of capital improvement plan budget from the Local Revenue Measure for the purposes of offsetting unanticipated cost increases, unforeseen conditions, and urgent unanticipated projects to provide continued investment in infrastructure maintenance and enhancement. 4 Total $3,497,500 Attachment A: Updated LRM Budget Operating CapitalAddress Homelessness 764,069$ 1Housing/Homelessness Contract Position97,055$ 2Mobile Crisis Unit ( Social Worker ‐ contract through TMH)207,810$ 3Mobile Crisis Unit (Paramedic) 1FTE92,190$ 4CAT Team Social Worker ‐ Contract through TMH116,188$ 5Expansion of 40 Prado Homeless Services Center Bed Capacity 63,826$ 6Housing and Homelessness Contract Services Support117,000$ 7Parks and Open Space Environmental Clean‐Up Resources70,000$ Community Safety and Emergency Preparedness1,992,685$ 1,520,700$ 8Emergency Manager (1 FTE)161,130$ 9Public Safety Customer Engagement12,000$ 10Supplemental Overtime for Farmer's Market Support15,000$ 11Community Safety and Emergency Preparedness (Firefighters, 2; Downtown Police Patrol Officers, 3, Downtown Sergeant, 1): FTE 61,180,646$ 12Emergency Response Live ‐ Fire Training Improvements17,570$ 13Facility Roll Up Door Replacements ‐ Various Locations15,000$ 14Fire ‐ Fleet Replacement (1/2 ton truck, 1; Heavy Duty Truck, 1; Heavy Duty Truck w/ Utility Bed, 1; Compact Truck, 1; Open Space Rescue Truck, 1)465,000$ 15Fire Emergency Operations Center Training (Emergency Management Services)30,000$ 16Fire Equipment Replacement (PPE, AED, etc.)177,499$ 17Fire Hydrant Replacement40,000$ 18Fire Inspection Management Software (Mobile Eyes)12,200$ 19Fire Intern Program23,257$ ‐$20Fire Station #3 & #4 Remodel Space Study and Design75,000$ 21Fire Station #4 Exterior Paint27,500$ 22Fire Technical Rescue Team Expansion9,150$ 23Fire Training/Safety Captain (1 FTE)263,352$ 24Initial Design Study ‐ Police Station Replacement300,000$ 25Open Space and Creeks Hazardous Tree Removals20,000$ 26Police ‐ Information Technology316,000$ 27Police ‐ Fleet Replacement (Patrol Hybrid SUV, 2/YR; Motorcycles; SNAP SUV, 1; Investigations SUV, 1)235,000$ 28Police ‐ Public Safety Equipment Replacement and Supplies70,881$ 29Police Evidence Storage Bldg. and Police Range ‐ Roof Replacement47,200$ Creek and Flood Protection 742,816$ 550,000$ 30Creek and Flood Protection ( Wastewater Collection Operators and Supervisor, Environmental Compliance Inspectors, Stormwater Management, Environmental Programs Manager): FTE 6 742,816$ 31Creek Trash Capture 50,000$ 32Storm Drainage Infrastructure Replacement (multiple locations)325,000$ 33Woodbridge Groundwater Runoff Diversion175,000$ FY 2022 ‐ 232022‐23 Local Revenue Measure Expenditure Budget by PriorityAttachment A Operating CapitalFY 2022 ‐ 232022‐23 Local Revenue Measure Expenditure Budget by PriorityEconomic Development and Business Retention 757,375$ 117,500$ 34Additional Banner Arms, Bench Arm Rests, Signs25,000$ 35Annual Public Art Maintenance and Projects (Utility Box Beautification, Small Public Art Projects, Maintenance)92,500$ 36Arts, Culture and Community Partner Support25,000$ 37Economic Development Data Tracking and Reporting30,000$ 38Economic Development Program Support25,000$ 39Holiday Activation Support in Downtown for Lighting and Other Features150,000$ 40New Economic Development Strategic Plan100,000$ 41Open SLO ‐ Downtown Dining Temporary Staffing27,375$ ‐$ 42Support for Underserved/Underrepresented Community Businesses150,000$ 43TBD Business Retention/Recovery Programs250,000$ Open Space/Natural Areas Preservation and Maintenance709,019$ 730,000$ 44Additional Pruning/Watering200,000$ 45Parks Additional Contract Funding40,000$ 46Parks Maintenance Beautification Gardner (1 FTE)106,643$ 47ECOSLO partnership ‐ SLO Stewards, Tree Planting & Maint., Green Business, Creek Clean Up20,000$ 48Fuel Reduction Crew (4000 Supplemental Staff Hours)61,589$ 49New Ranger Maintenance Worker (1 FTE)85,276$ 50Open Space Acquisition250,000$ 51Open Space Fencing25,000$ 52Open Space Maintenance80,000$ 53Open Space Vegetation Management and Fuel Reduction20,000$ 54Open Space/Natural Areas Preservation and Maintenance (2 FTE Ranger Maintenance Workers ) 190,892$ 55Ranger Services Staffing Resources70,071$ 56Sustainability & Natural Resources Analyst98,819$ ‐$ 57Sustainability & Natural Resources Intern/ Urban Forest Master Plan Intern15,729$ ‐$ 58Urban Forest Maintenance175,000$ Other Services and Projects1,165,820$ 1,230,817$ 59Centralized Resident Inquiry Platform40,000$ 60Capital Projects Engineering Staff (6 FTE)883,460$ 116,540$ 61CIP Interns5,900$ 62City Fleet Vehicle Repairs20,000$ 63City Storage Area Network (SAN)178,136$ 64Citywide Wireless System Replacement70,641$ 65Contract Heavy Equipment Mechanic113,539$ 66Council Hearing Room Modification and Functionality Improvements245,000$ 67Electric Vehicle Charing Stations (Various City Facilities, Including Parks and Rec and Corp Yard)100,000$ 68Energy Management Controls Upgrade50,000$ 69Facilities Maintenance 3/4 ton Pickup with Utility Bed60,000$ 70Fleet Intern22,921$ Operating CapitalFY 2022 ‐ 232022‐23 Local Revenue Measure Expenditure Budget by Priority71Funding for Increased Cost of Facilities Maintenance Materials and Supplies30,000$ 72Increased Contract Funds for Specialized Mechanic Services50,000$ 73Major Facility Maintenance ‐ ADA Transition Plan Implementation10,500$ 74Roundabout Public Art Installations400,000$ Protect Financial Stability404,558$ 75Accounting Assistant (1 FTE)60,041$ 76Application Systems Specialist (1 FTE)135,485$ 77Financial Specialist ‐ Accounting (1 FTE)102,881$ 78Fire Injury Reduction Program18,000$ 79Fire Policy Research Software (Lexipol)9,369$ 80Half‐Time Technology Project Manager (.5 FTE)78,782$ Safe and Clean Public Areas586,454$ 2,710,000$ 81Additional Pressure Washing25,000$ 82Additional Streets Maintenance Staff (2 FTE)216,512$ 83Additional Supplies for Downtown Maintenance Program*25,000$ 84Facilities Additional Contract Funding25,000$ 85Increase in Mission Plaza Maintenance27,000$ 86Additional Landscape Maintenance Contract Services65,000$ 87Bob Jones Trail and Railroad Safety Trail Solar Lighting1,350,000$ 88Curb Ramps and Sidewalks Replacement (various locations)150,000$ 89Increased Trash and Recycling Services in Public Spaces125,000$ 90Mission Plaza Concept Plan Implementation (Phase 1 ‐ Restroom Replacement and Kiosk Café)1,035,000$ 91Safe and Clean Public Areas (Parks Maint. Specialist): FTE 177,942$ 92Sidewalk Replacement and Installation (includes street trees)100,000$ 93Street and Pathway Lighting (various locations)75,000$ Street Maintenance and Transportation (includes bicycle and pedestrian improvements) 1,084,129$ 6,721,573$ 94Additional Street Operator for Maintenance of Streets and Right of Way (1FTE)101,242$ 9521‐22 Sealing Project Complete Street Components200,000$ 96Accessibility and Process Improvement Support Services12,000$ 97Active Transportation Plan Implementation305,000$ 98Bridge Maintenance ‐$ 99Buchon‐Santa Rosa Intersection Improvements‐$ 100California & Taft Roundabout Construction‐$ 101Concrete Street ‐ Monterey ‐ CA to Santa Rosa800,000$ 102Increased Asphalt and Concrete Budget60,000$ 103Increased Budget for Signals and Street Light Equipment and Electricity25,000$ 104Madonna Inn Frontage Bike Pathway (Madonna to Fernandez)150,000$ 105Neighborhood Traffic Improvements75,000$ 106Pavement Management (Downtown areas)3,010,000$ 107Prado Road Bridge & Road Widening 146,573$ Operating CapitalFY 2022 ‐ 232022‐23 Local Revenue Measure Expenditure Budget by Priority108Prado Road Interchange (YR 1 PA/ED Phase & YR 2 Design Phase)1,910,000$ 109Railroad Safety Trail from Cal Poly to Taft Street‐$ 110Street Maintenance and Transportation (Engineering, Streets Maintenance, Active Transportation) FTE 4.60599,957$ 111Supplemental Street and Parklet Sweeping 250,000$ 112Traffic Signs & Striping Maintenance25,000$ 113Transportation Interns35,930$ 114Transportation Monitoring & Modeling Update70,000$ 115Transportation Safety & Operations 30,000$ Youth/Senior Services and Recreation Facilities 395,492$ 1,701,500$ 116Contract Volunteer Coordinator (1 FTE)106,626$ 117Concrete Bench & Table Replacement Various Locations15,000$ 118Hydration Stations Various Parks and Facilities15,000$ 119Irrigation Mainline Leak Repair15,000$ 120Jack House Arbor refurbishment7,500$ 121Laguna Lake Golf Course Maintenance20,000$ 122Ludwick and Senior Center ‐ Exterior Paint and Shell Rehabilitation30,000$ 123Ludwick Community Center ‐ Roof and Solar Replacement‐$ 124Meadow Park Exercise/Par Course Equipment Replacement20,000$ 125Mission Plaza Arbor Refurbishment70,000$ 126Mitchell Park Playground Equipment Replacement100,000$ 127Orcutt Area ‐ Linear Park Planning and Construction815,000$ 128Park Maintenance ‐ Fleet Replacement: (Mower, 1; Tractor, 1; Trailers, 4;) 108,000$ 129Parking Lot Maintenance 50,000$ 130Parks and Recreation ‐ Fleet Replacement103,000$ 131Parks and Recreation Master Plan Implementation200,000$ 132Parks Major Maintenance ‐ ADA Transition Plan Implementation 20,000$ 133Parks Play Area Surfacing30,000$ 134Santa Rosa Park Barbecue Replacements‐$ 135SLO Swim Center Minor Capital Maintenance and Operating Costs (Electricity conversation for solar)55,000$ 136Swim Center ‐ Pool Automatic Vacuum18,000$ 137Swim Center Furnaces Replacement40,000$ Operating CapitalFY 2022 ‐ 232022‐23 Local Revenue Measure Expenditure Budget by Priority138Swim Center Supplies (pool chemicals, etc.)25,000$ 139Water Stations and Supply Lines25,000$ 140Youth Services Staffing Resources (Equivalent to 1.5 FTEs)116,925$ ‐$ 141Youth/Senior Services and Recreation Facilities (Parks Maint. Specialist): FTE 191,941$ Total LRM Budget8,602,418$ 15,282,090$ Transfer to Capital Reserve2,697,500$ 8,602,418$ 17,979,590$ *Budget items highlighted in orange were approved at the 2021‐22 Mid‐year Review*Budget items highlighted in green reflect projects with recommended changes in the 2022‐23 Supplemental Budget. See Budget Section 7 for detail26,582,007$ Grand Total