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Agenda 06/09/2009 Item #16C12 Agenda Item No. 16C12 June 9, 2009 Page 1 of 5 c- EXECUTIVE SUMMARY Recommendation to authorize a budget amendment of $489,853.00 from Reserves for Capital to Project Number 71010, Distribution System Renewal and Replacement. OBJECTIVE: To obtain the Board of County Commissioners' authorization for a budget amendment of$489,853.00 from Reserves for Capital to Project Number 71010, Distribution System Renewal and Replacement. The public purpose of this budget amendment is to make additional funds available to the water distribution projects for funding reliability improvement projects previously deferred due to revenue constraints. This is consistent with the Water Department's mission to meet operational and reliability needs, to meet the demand for potable water, and to stay in compliance with regulatory requirements. CONSIDERATION: This initiative provides replacement of water mains and %-inch to 2-inch meters in several areas of the water distribution system, which have reached the end of their useful life. Total cost of these replacements is $489,853.00. Projects to be completed in FY09 are: ,.-. . The West Wind water distribution replacement project had BCC approval on May 26, 2009, Agenda Item 16C2, for award of construction services to Guyman Construction for $845,328.01. Additional funds with a total estimated cost of $185,000 are requested. The costs are for two full time construction inspectors for eight months ($90,000), the necessary permitting fees ($10,000), and a construction contingency for unforeseen conditions of $85,000. The Board will be notified per County Purchasing Policy of any expenditure from this construction contingency fund. . Replacement of the %-inch to 2-inch meters that have reached the end of their useful life in several areas of the water distribution network. The procurement of the meters will be through two vendors that have contracts previously approved by the Board of County Commissioners. Installation will be performed by in-house staff. Total estimated cost is $304,853.00. In FY08, the Public Utilities Division (PUD) deferred approximately $60 million worth of Capital Improvement Projects, and assumed the risk of not making these improvements. The PUD is now recommending that approximately $5 million of the deferred projects be implemented to reduce the risk of deferral of these projects. The $489,853.00 being requested by this budget amendment is part ofthe $5 million. On June 24, 2008, Agenda Item lO(G), the Board adopted the 2008 Water Master Plan Update that identified the requirement for performing various projects for several water distribution renewal and replacement projects. These projects were identified at that time; however, sufficient funds were not available in the revenue-constrained amount of $250,000 budgeted for FY09. Due to aggressive cost- containment, funds from Reserves for Capital are now available, while staying within revenue constraints. The proposed scope is consistent with the 2008 Water Master Plan Update, Project 71010, "Distribution System Renewal and Replacement," Section 8, Table 8-2, page 3 of5, line 88. FISCAL IMPACT: Transferring funds from Reserves for Capital to Project 71010, "Distribution "..- System Renewal and Replacement" requires a budget amendment. The source of funding is the Water User Fee Fund (412). Agenda Item No. 16C12 June 9, 2009 Executive Summary Page 2 of 5 Budget Amendment to Distribution System Renewal and Replacement, Project 71010. Page Two LEGAL CONSIDERATIONS: This item has been reviewed and approved by the County Attorney's Office, is not quasi-judicial and requires no ex parte disclosure, requires only a majority vote for approval, and is otherwise legally sufficient for Board action.-SRT GROWTH MANAGEMENT IMP ACT: The project is consistent with and furthers the goals, objectives, and policies of the Collier County Growth Management Plan. RECOMMENDA TION: That the Board of County Commissioners, as the Ex-officio Governing Board of the Collier County Water-Sewer District, approves a budget amendment in the amount of $489,853.00 from Reserves for Capital to Project Nwnber 71010 for funding reliability projects for the water distribution system. PREPARED BY: Diana Dueri, Project Manager, Public Utilities Division. .- - Page 1 of2 Agenda Item No. 16C12 June 9, 2009 Page 3 of 5 COLLIER COUNTY BOARD OF COUNTY COMMISSIONERS Item Number: Item Summary: 16C 12 Meeting Date: Recommendation to authorize a budget amendment of $489.853.00 from Reserves for Capital to Project Number 71010, Distribution System Renewal and Replacement. (Replacement of obsolete water mains and meters) 6/9/2009 900:00 AM Prepared By Public Utilities Project Manager Public Utilities Planning and Project Management Department Date Diana Dueri 5/21/200910:40:32 AM Approved By Scott R. Teach Assistant County Attorney Date County Attorney County Attorney Office 5/21/200911:22 AM Approved By Public Utilities Sr. Project Manager Public Utilities Planning and Project Management Department Date Phil E. Gramatges, P.E. 5/21/2009 12:23 PM Approved By Pamela Libby Water Operations Manager Date Public Utilities Water 5/21/20092:11 PM Approved By Paul Mattausch Water Director Date Public Utilities Water 5/21/20094:23 PM Approved By Steve Carnell Purchasing/General Svcs Director Date Administrative Services Purchasing 5/21/20094:27 PM Approved By Thomas Wides Operations Director Date Public Utilities Public Utilities Operations 5/22/2009 1 :31 PM Approved By Jeff Klatzkow County Attorney Date County Attorney County Attorney Office 5/27/200911:38 AM Approved By James W. DeLony Public Utilities Administrator Date Public Utilities Public Utilities Administration 5/27/2009 1 :56 PM file:llc:\AgendaTest\Export\ 131-June%209,%202009\16.%20CONSENT%20AGENDA \16c... 6/3/2009 Page 2 of2 Agenda Item No. 16C12 June 9. 2009 Page 4 of 5 Approved By OMS Coordinator OMB Coordinator Date County Manager's Office Office of Management & Budget 5/28/20098:49 AM Approved By Susan Usher Senior ManagemenUBudget Analyst Date County Manager's Office Office of Management & Budget 6/1/20097:34 AM Approved By Leo E. Ochs, Jr. Deputy County Manager Date Board of County Commissioners County Manager's Office 6/1/2009 10:43 AM file:/IC:\AgendaTest\Export\ l3l-June%209,%202009\ 16.%20CONSENT%20AGENDA \16C... 6/3/2009 N O)lC) ..-0_ ()OO .3E:. N I..() -:riQ) 1l0'l ern E~Q... 2 rn -0 e Q) OJ <:{ o .... o .... t- . > ;: N , 0 N o z :::! I !,'!. .. ',::. 15:I;( - CJ (1) '- o .... c.. o .... o ON ;:; >- c !. I: - ~ (1) E (1) CJ ~ Q, (1) c:: oC5 ". .:.: ~ ~ ( ~: (1) I '"< !" g '.'. 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