City Council Agenda Report
June 18, 2024
TO: Honorable City Council
FROM: Jesus M. Gomez, City Manager
BY: Glen Kau, Director of Public Services/City Engineer Jana Stuard, Director of Finance/City Treasurer
Jennifer Hernandez, Senior Management Analyst
SUBJECT: PROJECT NOS. 7869 AND 7870 - PHASE I ENERGY PROJECT - RESOLUTION NO. 24-37 – BUDGET AMENDMENT
Background:
The City’s Strategic Plan outlines the City’s commitment to sustainability and climate resistance.
To do so, staff worked with Syserco Energy Solutions (“SES”), a qualified energy services company, to develop an analysis of opportunities for the City to upgrade its facilities to achieve energy efficiency and cost savings measures.
On November 7, 2023, City Council adopted Resolution No. 23-68 authorizing the City Manager to finalize negotiations with SES and acquire the necessary conservation equipment to implement the energy conservation measures through the Sustainability, Energy Efficiency Infrastructure Improvement Project, (Project).
Analysis
The Project was divided by component, which includes various energy saving measures, such as Lighting, Solar, and heating, ventilation, and air conditioning control (HVAC). Phase I of the project consists of the HVAC and Sports Lighting components of the project. To begin work, and track expenditures by component accurately, the City established project numbers for each component of the overall project. A summary of the project numbers assigned to each component of Phase I is detailed in Table 1 on the following page.
City Council June 18, 2024
Resolution No. 24-37 – Budget Amendment for Project Nos. 7869 and 7870
Page No. 2
9 1
6 Table 1: Project Summaries
Project
Component
Project
Number Current Scope
HVAC 7869
Various HVAC refurbishments and replacements at City Hall, Transportation, Cultural Arts Center, Aquatics, Sports Complex, Sara Mendez Park, Vista Verde Park, Gerdes Park and the Senior Center.
Sports
Lighting 7870
Retrofitting of the existing sports lighting infrastructure at Hollifield Lakeside, Ramona and Zimmerman Parks at the various sports fields.
As the Project initiated and the sites underwent thorough evaluations, the City and SES determined that additional energy savings opportunities could be captured through the Project to take advantage of economies of scale. In order to incorporate the additional energy savings opportunities to the existing scopes of each component of Phase I, additions to the existing project scopes are needed, which include:
Project 7869 HVAC Improvements
1. Combining the existing Sports Center Locker Room ventilation project that is currently a standalone American Rescue Plan Act (ARPA) project as part of the HVAC component to capitalize on the economies of scale currently being utilized as part of the Project.
2. Adding the Social Services facility to the list of facilities to receive HVAC improvements.
Project 7870 Sports Lighting
1. Additional Sports Field at Zimmerman Park
2. Construction of Sports Lighting Infrastructure at Gerdes Park In order to incorporate these additional components into the project, SES submitted Change Order Requests to the City which encompass the increased scope, and associated costs. A summary of the Change Order Requests is included in Table 3 and the Change Order Requests are included as attachments to this staff report.
Table 3: Change Order Summary:
Change Order No. Scope Total Cost
1 Sports Lighting at Gerdes Park $1,041,652
2 Social Services HVAC Improvements $309,864
3 Sports Center Locker Room Ventilation
(currently ARPA Project No. 1.45219) $424,395
4 Zimmerman Sports Lighting Field No. 3 $974,404
TOTAL $2,750,315
City Council June 18, 2024
Resolution No. 24-37 – Budget Amendment for Project Nos. 7869 and 7870
Page No. 3
9 1
6 Fiscal Impact:
The total anticipated cost for the four change orders will result in a $2,750,315 increase to the Phase I components of the Project. Summarized in Table 4 below is the existing project budget by component:
Table 4: Existing Project Budget
Fund Project Available Budget Anticipated
Cost
Additional
Budget
Needed
Facilities
Renovation
Fund
7869 HVAC $2,721,800 $3,456,080 $734,280
Park
Renovation
Fund
7870 Sports
Lighting $3,503,400 $5,519,473 $2,016,073
TOTAL $2,750,353
Funding needed for the additions to the HVAC component of the Project will be transferred from two existing City projects. As summarized in Table 5, $183,375 of ARPA funds from the Sports Center ARPA Project No. 1.4519 will be incorporated into the Project budget for Sports Center locker room, and $309,864 from the existing Social Services Expansion Project No. 7866 will be transferred to cover the cost of HVAC at Social Services.
Table 5: Budget Transfers to HVAC Project 7869
Budget Unit
Fund Project
From To
Available
Budget
Amount
Requested
ARPA 1.45219 Sports
Center Renovation 219-70-7861 219-70-7869 $183,375 $183,375 Facilities
Renovation
Fund
7866 Social
Services
Expansion
747-70-7866 747-70-7869 $2,500,000 $309,864
TOTAL $493,239
In addition to the transferred funds detailed in Table 5, Resolution No. 24-37 includes the additional appropriation needed to cover the remaining cost. Project No. 7869 will require an additional appropriation from the City’s Facilities Renovation Fund in the amount of $241,100 to cover the remaining cost of the Sports Center locker rooms; and Project No. 7870 will include an additional appropriation from the Park Renovation Fund in the amount of $2,016,100.
City Council June 18, 2024
Resolution No. 24-37 – Budget Amendment for Project Nos. 7869 and 7870
Page No. 4
9 1
6 Citizens Advised:
N/A
Strategic Plan 2023 Implementation:
Said improvements align with the City of Norwalk’s Strategic Plan Goals 2, 3 and 4; work in partnership with the community, re-invest in aging infrastructure; maintain the City’s financial resiliency, build great public destinations, and support sustainability and climate resilience throughout the community.
Recommended Action:
Staff recommends City Council:
a. adopt RESOLUTION NO. 24-37, A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF NORWALK AUTHORIZING AN AMENDMENT TO THE BUDGET TO THE
SUSTAINABILITY, ENERGY EFFICIENCY INFRASTRUCTURE IMPROVEMENT PROJECT NO 7869 AND PROJECT NO 7870 – PHASE I, in the amount of $2,750,315; and
b. authorize the City Manager to execute the Change Order Requests (Sports Lighting at Gerdes and Zimmerman parks, Lighting, Solar, and Heating, Ventilation, and Air Conditioning Control units at Social Services and Sports Center facilities), and future Change Order Requests if they are within the City Manager’s signing authority, on behalf of the City, in a form approved by the City Attorney.
Attachments:
Resolution No. 24-37