HomeMy WebLinkAbout7/16/2024 Item 6c, Floyd and Scott - Staff Agenda CorrespondenceCity of San Luis Obispo, Council Memorandum
City of San Luis Obispo
Council Agenda Correspondence
DATE: July 16, 2024
TO: Mayor and Council
FROM: Aaron Floyd, Utilities Director
Prepared By: Shawna Scott, Special Projects Manager
VIA: Greg Hermann, Deputy City Manager
SUBJECT: ITEM 6C – AUTHORIZATION TO ADVERTISE THE WATER TREATMENT
PLANT OZONE CONTAINMENT IMPROVEMENT PROJECT,
SPECIFICATION 2001026
Staff received the following questions, regarding the cost and budget for the proposed
ozone containment improvement project. The questions are below with staff’s response
shown in italics:
1) Does staff have an estimated total cost for the project? It’s unclear from the
description the funds available, and how much is actually needed. It appears
the City set aside $189K in 2023-24 and then $180K in 24-25, but also another
$180K in 23-24 mid-year.
The estimated total cost of the project is $216,000, which includes $29,000
contingency (15 percent) for unforeseen conditions that could occur during
construction.
Regarding the budget:
• The 2023-25 Financial Plan includes:
$189,000 in fiscal year 2023-24
$180,000 in fiscal year 2024-25
• Mid-year Budget Review for Fiscal Year 2023-24 includes:
$180,000 in fiscal year 2024-25
The Water Treatment Plant Major Equipment Maintenance line item in the City’s
Financial Plan consists of multiple projects, such as completed and ongoing
maintenance of the Water Treatment Plant ozone disinfection system (cooling
system filters and replacement of fluids) and the proposed ozone containment
project described in the staff report. The total available budget to date for Water
Treatment Plant Major Equipment Maintenance is $496,722.72. The remaining
balance of $280,722.72 will be applied to proposed and ongoing equipment
maintenance at the Water Treatment Plant as described in the Financial Plan.