CC 12-03-2024
#11
Fiscal Year 2024-25 First
Quarter Financial Report
Presentation
December 3, 2024
Fiscal Year 2024 -25
First Quarter Financial Report
How We Ended FY 2023-24
FY 2024-25 1st Quarter Update
Recommended Budget Adjustments
Recommendations and Next Steps
Agenda
2 How We Ended FY 2023-24
FY 2023-24 Actual Revenues $110.3
FY 2023-24 Actual Expenditures -$82.8
Change in Fund Balance $27.5
Year-End Actuals – General Fund
($ in Millions)
FY 2023-24 Year-End Fund Balance $166.1
FY 2022-23 Beginning Fund Balance $138.6
FY 2024-25 1st Quarter Update
FY 2024-25 Amended Budget – By Fund
($ in Millions)
Fund
FY 2024-25
Adopted
Budget Carryovers Encumbrances
Adjustments
Approved in 1st
Quarter
FY 2024-25 Amended
Budget as of
September 30, 2024
General 90,041,794 24,271,306 4,753,530 78,707 119,145,337 Special Revenue 13,956,348 15,445,956 885,056 300,000 30,587,360 Debt Service 2,676,200 - - - 2,676,200 Capital Projects 22,057,580 20,678,417 2,449,854 300,000 45,485,851 Enterprise 9,271,222 522,360 55,396 - 9,848,978 Internal Service 8,643,349 151,167 837,023 - 9,631,539 Total All Funds 146,646,493$ 61,069,206$ 8,980,859$ 678,707$ 217,375,265$ General Fund Revenues – Year over Year
General Fund Expenditures – Year over Year
General Fund - Fund Balance
(in millions)
* Q1 Year-End Projections assume budgeted revenues and expenditures are fully collected and incurred.
Fund balances do not consider City Council actions after September 30, 2024. **Excludes unrealized revenues from The Rise
*
Proposed Budget Adjustments
Recommended Budget Adjustments
Fund Department Revenue Expenditure
Change in
Fund
Balance
Proposal
GENERAL FUND
100 General Fund Admin Services - 50,000 (50,000) Chief Negotiator for successor agreements 100 General Fund Admin Services - 75,000 (75,000) General Liablity potential settlement costs 100 General Fund Admin Services - 10,000 (10,000) American Sign Language Translation Services 100 General Fund Innovation & Technology - 314,998 (314,998) Correctly allocate deleted IT Manager (see reduction in internal service funds)
100 General Fund Public Works - 36,822 (36,822) Purchase of a new bio holding tank 100 General Fund Public Works - 25,000 (25,000) Replace structural column and foundation at materials bunker 100 General Fund Public Works - 24,490 (24,490) Replace leaking fire hydrant at Creekside 100 General Fund Public Works - 41,246 (41,246) Purchase of spot cooler and emergency rental costs 100 General Fund Non Departmental - 53,570 (53,570) Transfer Out to fund Consolidated Plan - 631,126 (631,126)
SPECIAL REVENUE FUNDS
260 Community Development
Block Grant
Community Development 53,570 53,570 - D evelop the 2025-2030 Consolidated Plan 53,570 53,570 -
INTERNAL SERVICE FUNDS
610 Innovation & Technology Innovation & Technology - (314,998) 314,998 Correcting position elimination 610 Innovation & Technology Innovation & Technology - 15,000 (15,000) Overtime - (299,998) 299,998
TOTAL ALL FUNDS 53,570$ 384,698$ (331,128)$
TOTAL GENERAL FUND
TOTAL SPECIAL REVENUE FUNDS
TOTAL INTERNAL SERVICE FUNDS
Request Expenditures Revenues Fund
Balance
Chief Negotiator $50,000 $- ($50,000)
General Liability Settlement Costs $75,000 $- ($75,000) ASL Translator $10,000 $- ($10,000)
Total $135,000 $- ($135,000)
Administrative Services
Innovation and Technology
Request Expenditures Revenues Fund
Balance
Position Elimination Correction. Net
zero costs.
$- $- $-
General Liability Settlement Costs $15,000 $- ($15,000) Total $15,000 $- ($15,000)
Community Development
Request Expenditures Revenues Fund
Balance
2025-2030 Consolidate Plan (CDBG) $53,570 $53,570 $0
Total $53,570 $53,570
Public Works
Request Expenditures Revenues Fund
Balance
Purchase of a new bio holding tank $36,822 $- ($36,822) Replace structural column and
foundation at materials bunker
$25,000 $- ($25,000)
Replace leaking fire hydrant at
Creekside
$24,490 $- ($24,490)
Purchase of spot coolers and
emergency rental costs
$41,246 $- ($41,246)
Total $127,558 $- ($127,558)
Non-Departmental
Request Expenditures Revenues Fund
Balance
Transfer out to fund 2025-2030
Consolidated Plan
$53,570 $- ($53,570)
Total $53,570 $53,570
• No requested changes to staffing
Staffing
• As of September 30, 2024, no funds have been
spent.
• Staff will continue to report on the use of this fund.
City Manager Discretionary Fund
1. Accept the City Manager’s First Quarter Financial
Report for Fiscal Year 2024-25; and
2. Adopt Resolution No. 24-XXX approving Budget
Modification No. 2425-367, increasing
appropriations by $384,698, revenues by $53,570
resulting in the use of unassigned fund balance of
$331,128.
Recommendations
Questions?
CC 12-03-2024
#12
Photovoltaic Systems
Project
Presentation
City Council Meeting
December 3, 2024
CAPITAL IMPROVEMENT PROGRAMS
Photovoltaic Systems Design & Installation
Project
Subject
Capital Improvement Programs’ Photovoltaic Systems Design and Installation project
Recommended Action
Approve the Capital Improvement Programs Photovoltaic Systems Design and Installation Project conceptual design for three City of Cupertino facilities:
• Community Hall,
• Cupertino Sports Center, and
• Quinlan Community Center
Tonight’s Action
Photovoltaic
Systems Design
& Installation
project -
AGENDA
1. Background Information
2. Review project site conceptual design
3. Costs & Savings projections
4. Next Steps
• FY24-25 CIP project, funded for $6.3M
• Submitted interconnection applications to grandfather NEM 2.0 rates for 5 sites in 2023. NEM 2.0 provides 80% better buy-back rates for electricity. These sites must be activated by April 2026 • Savings in utility costs are projected to be $276,000 annually, and $13M over a 30yr lifespan if the recommended three sites are implemented
• Inflation Reduction Act (IRA)/Direct Pay program offers rebate of 40% of costs for PV systems
• Installing photovoltaic systems at these sites does trigger code requirements to improve accessibility and EV charging stations Background Information
Sustainability Commission voted unanimously to recommend to City Council:
a. Approve the Installation Project’s Conceptual Design for five City of Cupertino facilities: Quinlan Community Center, Community Hall, Cupertino Sports Center, Blackberry Farm, and Cupertino Library. b. If the above recommendation is not fully approved by the City Council due to budget constraints, then the Sustainability Commission recommends the installation of the Photovoltaic Facilities in order of preference: Quinlan Community Center, Cupertino Sports Center, Community Hall, Cupertino Library, and Blackberry Farm. c. The Commission also requests that the City of Cupertino pursue a funding agreement with Santa Clara County Library District for that facility’s portion of the project.
Background Information: Sustainability Commission
Parks and Recreation Commission voted unanimously to recommend to City Council:
a. Approve the Capital Improvement Program Photovoltaic Systems Design and Installation project's conceptual design for three City facilities:
• Community Hall,
• Cupertino Sports Center, and
• Quinlan Community Center.
b. Include the Library if there was an agreement with the Santa Clara County Library District and they would pay a substantive amount.
Background Information: Parks and Recreation Commission Proposed Site Conceptual Designs
• Utilizes existing roof areas with the most effective solar orientation to maximize profit and mitigate the costs of the system.
• Freestanding arrays provide shaded parking and significant shaded picnic area. Northern carport will require some tree trimming to maintain solar access and may require shade be provided for some existing ADA stalls.
• The picnic area structure will be designed to respond architecturally to the layout of the picnic area (rather than one large single shed roof as shown in the illustration). • Preserving significant trees and working within the aesthetics of the park were high priorities.
PV systems kWh
generation 453,795
PV systems annual
savings* $154,217
PV systems lifecycle
savings*** $7,272,774
Construction Cost -
Total (PV+EV) $2,493,000
Direct Payback (IRA)
funding (40%, PV only) $867,200
City Funding $1,625,800
Payback period (years,
discounted cash flow) 9.21
Quinlan Community Center
Sports Center
• The proposed locations have
optimized west and south facing
solar access, providing shade for
some parking spaces and
spectator areas.
• The northern array is split to allow
for pedestrian and operational
access to the courts.
PV systems kWh
generation 322,104
PV systems annual
savings* $93,047
PV systems lifecycle
savings*** $4,434,018
Construction Cost -
Total (PV+EV) $1,965,000
Direct Payback (IRA)
funding (40%, PV only) $726,000
City Funding $1,239,000
Payback period (years,
discounted cash flow) 11.11
Ideally oriented system
with rooftop racking.
Roof penetrations will not
be required, as system
will be able to clamp to
standing seam roof
profile.
PV systems kWh
generation 66,784
PV systems annual
savings* $29,441
PV systems lifecycle
savings*** $1,315,345
Construction Cost -
Total (PV+EV) $377,000
Direct Payback (IRA)
funding (40%, PV only) $150,800
City Funding $226,200
Payback period (years,
discounted cash flow) 7.15
Community Hall
• Modules are ideally
oriented to the west or
south.
• Standing seam rooftops
(supporting the two largest
rooftop arrays) are ideal
for supporting solar, as
racking can be clamped
to the standing seams as
opposed to penetrating
the roof surface.
• Long trenching/boring
routes will be required to
consolidate generation at
point of interconnection.
• Some trees will need to be
removed or significantly
trimmed to support
carport installation.
• SCCLD pays electrical bill
for the next 20 years, so
direct benefit to the City
will be long term.
Library
PV systems kWh
generation 621,477
PV systems annual
savings* $189,074
PV systems lifecycle
savings*** $10,847,040
Construction Cost -
Total (PV+EV) $4,103,000
Direct Payback (IRA)
funding (40%, PV only) $1,521,200
City Funding $2,581,800
Payback period (years,
discounted cash flow) 11.33
• Single continuous system
that requires fewer
trenching/ boring paths
from various points on
site, mitigating costs.
• Proposed kWh
generation slightly
exceeds usage
• The system is far enough
from trees that tree
trimming will not be
needed to ensure solar
access, and the existing
netting system will
protect the array from
golf balls.
• With system shading
parking stalls,
proportional shade
coverage will need to
be provided on ADA
parking stalls.
Blackberry Farm
PV systems kWh
generation 110,948
PV systems annual
savings* $38,253
PV systems lifecycle
savings*** $1,563,642
Construction Cost -
Total (PV+EV) $1,056,000
Direct Payback (IRA)
funding (40%, PV only) $382,400
City Funding $673,600
Payback period (years,
discounted cash flow) 14.08
Costs & Savings
Costs & Savings: Implement all Five Sites
• Annual Cost Savings: $504,032 projected, with $25.4M 30-year lifecycle savings • Cost of Design and Construction ($10M to $12M) exceeds $6.3M project budget. This option requires Council’s approval to increase the project budget by ~$6M. • BBF has higher costs compared to utility reduction benefit, resulting in a longer payback period. • Library tenant (SCCLD) will reap the benefit of a reduced electrical bill for the duration of their lease (~20 years). The City’s benefit will be the increased resilience of the Cooling Center once battery back- up systems are installed as a follow-up project.
Costs & Savings: Four Sites (Eliminate BBF)
• Annual Cost Savings: $465,779 projected, with $23.9M 30-year lifecycle savings. Cost benefit is slightly lessened from 5-site option, but not significantly.
• Cost of Design and Construction ($9M to $11M) exceeds $6.3M project budget. This option requires Council’s approval to increase the project budget by ~$5M. • Library tenant (SCCLD) will reap the benefit of a reduced electrical bill for the duration of their lease (~20 years). The City’s benefit will be the increased resilience of the Cooling Center once battery back- up systems are installed as a follow-up project.
Costs & Savings: Four Sites (Eliminate Library)
• Annual Cost Savings: $314,958 projected, with $14.6M 30-year lifecycle savings. Cost Benefit is notably lessened from 5-site option.
• Cost of Design and Construction ($6M to $7M) exceeds $6.3M project budget. This option requires Council’s approval to increase the project budget by ~$1M. • BBF has higher costs compared to utility reduction benefit, resulting in a longer payback period.
Costs & Savings: Three Sites (Eliminate BBF and Library) • Annual Cost Savings: $276,705 projected, with $13M 30-year lifecycle savings. Cost benefit is significantly lessened from 5-site option.
• Cost of Design and Construction ($5M to $6M) is within the $6.3M project budget.
The project team recommends proceeding with this option.
Next Steps
Objectives & Next Steps
• The Request for Proposals (RFP) process is underway. Update the RFP proposers with Council’s direction, following this meeting. • Negotiate terms with successful Design/Build Entity and return to Council in January 2025 to award contract.
• Initiate design process, including procurement, in January 2025.
Completion required by April 2026.
Subject
Capital Improvement Programs’ Photovoltaic Systems Design and Installation project
Recommended Action
Approve the Capital Improvement Programs Photovoltaic Systems Design and Installation Project conceptual design for three City of Cupertino facilities:
• Community Hall,
• Cupertino Sports Center, and
• Quinlan Community Center
Tonight’s Action
Thank You!