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HomeMy WebLinkAbout9/19/2023 Item 7a, Horn and Kacsinta - Staff Agenda CorrespondenceCity of San Luis Obispo, Council Memorandum City of San Luis Obispo Council Agenda Correspondence DATE: September 19, 2023 TO: Mayor and Council FROM: Matt Horn, Public Works Director Prepared By: Madeline Kacsinta, Engineer III VIA: Derek Johnson, City Manager SUBJECT: ITEM 7a - AWARD CONSTRUCTION CONTRACT FOR THE CULTURAL ARTS DISTRICT PARKING STRUCTURE PROJECT (SPEC. NO. 90435) Staff received the following question, regarding the construction contract award for the Cultural Arts District Parking Structure. Staff’s response is shown in italics: 1. On page 100 of the packet, the table shows additional funding in the amounts of $1,500,000 and $490,000 in years 2024 and 2025 respectively coming from the General Fund. Why would the City use general fund revenues towards this project in the upcoming years? Should this be parking fund revenues? The reason additional funding in 2024 and 2025 is coming from the General Fund and not from the Parking Fund for the Cultural Arts District Parking Structure project is because certain aspects of the project extend beyond parking-related infrastructure and provide broader public benefits. Specifically, these improvements to the frontage area bordering the project site include pedestrian lighting, crosswalk beacons, curb ramps, sidewalks, street paving, storm drainage, fiberoptic network expansion, and electrical services. The general fund amount totaling $1,990,000 will cover a proportional share of frontage improvements within the Public Right of Way. Frontage Improvements are a Condition of Approval and are included in the total bid price of $41,070,044. This general fund allocation reflects the understanding that these enhancements go beyond the scope of the Parking Fund and contribute to the overall development of the area consistent with City plans. This work is scheduled to take place in the second half of the project, which is why the general fund amount is allocated in subsequent years (2024 and 2025).