TO: Honorable Mayor & Members of the North Port Commission
FROM: Peter D. Lear, CPA, CGMA, Interim City Manager
TITLE: Ordinance No. 2017-18, second reading, amending the Fiscal Year 2016-2017 Non-District Budget and Capital Improvement Program and Budget.
Recommended Action
Approve Ordinance No. 2017-18 amending the Fiscal Year 2016-2017 Non-District Budget and Capital Improvement Program and Budget.
Background Information
The Road and Drainage Division of the Public Works Department is requesting Commission approval to amend the FY 2017 budget in the amount of $133,270 to replace a walking excavator and telescopic excavator. Fleet Management previously established a useful life of fifteen (15) years for the telescopic excavator and twelve (12) years for the walking excavator. The current industry standard for the life cycle of both pieces of equipment is seven (7) years. Attachment four (4) included in this agenda item explains in greater detail and provides additional documentation for the change in the life cycle. The cost of both pieces of equipment exceeds estimated costs as budgeted. Staff researched and tested various types of excavators and determined the two pieces of equipment selected provide the best solution to accomplish the work. The original adopted budget of $290,000 for the walking excavator was a base price model machine which included minimal purchase options. Upon further review, the type of machine best suited for the work and site conditions included additional options to meet those needs. The original adopted budget of $265,000 for the telescopic excavator did not anticipate a 28%, ($76,234) increase in cost due to Environmental Protection Agency (EPA) imposed Emission Standards. The Emission Standards has been increasing between 9% to 15% each year. Further documentation is provided in attachment four (4) of this agenda item detailing the increase in cost. The funding will be from undesignated fund balance in the Capital Acquisition Fund restricted to Road and Drainage.
Utilities is requesting an amendment to the FY 2017 budget for additional funding in the amount of $328,230 for the Myakkahatchee Creek Water Treatment Plant (MCWTP) Pipeline Improvements Parts 1 and 2, which include upsizing the water main leaving the plant and an existing water main on North Port Boulevard. The initial bid request for this project resulted in one bid which was over budget. The project specifications were reviewed and revised and put out again for bid. The second bid request resulted in two bids, the lowest of the two bids was still over budget by $328,230. Utilities is requesting this budget amendment to secure sufficient funding for the project. The funding will be from undesignated fund balance in the Water Capacity Fee Fund.
The Information Technology Division of the General Services Department is requesting Commission approval to amend the FY 2017 budget in the amount of $175,980 to upgrade and enhance the video streaming of Commission meetings. The upgrade will convert older analog-based audio/video equipment to digital equipment, which will improve the overall quality of the audio/video feed allowing for a better viewing experience. In addition, staff recommends updating to Granicus Votecast software and hardware to allow for automation of all agenda and meeting operations. The voting application also supports Commissioner request to speak in a meeting, replacing the problematic physical voting buttons. The total one-time cost is $174,580 and recurring costs of $1,400.
The General Services Department is requesting Commission approval to amend the FY 2017 budget in the amount of $75,000 to proceed with development of a Warm Mineral Springs Park Master Plan. This budget amendment is at the direction of the City Commission from the March 30th meeting. The funding will be from undesignated fund balance in the Warm Mineral Springs Fund.
Strategic Plan
Financially Responsible City Providing Quality Municipal Services
Financial Impact
The Capital Acquisition budget will increase by $133,270 with funding coming from undesignated fund balance.
The Water Capacity Fee Fund budget will increase by $328,230 with funding coming from undesignated fund balance.
The General Fund budget will increase by $175,980 with funding coming from undesignated fund balance.
The Warm Mineral Spring budget will increase by $75,000 with funding coming from undesignated fund balance.
Procurement
N/A
Attachments:
1. Ordinance No. 2017-18
2. Ordinance No. 2017-18 Exhibit A
3. Ordinance No. 2017-18 Exhibit B
4. 2017-0619 Capital Equipment Backup
Prepared by: Charlina L. Lowrie, CGFO, Interim Finance Director
Department Director: Charlina L. Lowrie, CGFO, Interim Finance Director