CITY OF POMONA
COUNCIL REPORT
June 5, 2023
To: Honorable Mayor and Members of the City Council
From: James Makshanoff, City Manager
Submitted By: Rene Guerrero, Public Works Director
SUBJECT: RESOLUTION TO AMEND THE FY 2022-23 CAPITAL IMPROVEMENT PROGRAM (CIP) BUDGET BY CHANGING THE PROJECT DESCRIPTION AND TITLE FOR “ENERGY EFFICIENCY UPGRADES – POMONA PUBLIC LIBRARY AND PALOMARES PARK COMMUNITY CENTER,” PROJECT NO. 428-2590-XXXXX-71077, AND RELEASING AND UNAPPROPRIATING $1,029,831 OF SOCALREN REVOLVING SAVINGS FUND LOAN PROCEEDS RECOMMENDATION:
It is recommended that the City Council adopt the following resolution:
RESOLUTION NO. 2023-84 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POMONA, CALIFORNIA, AMENDING THE FY 2022-23 CAPITAL IMPROVEMENT PROGRAM (CIP) BUDGET BY CHANGING THE PROJECT DESCRIPTION AND TITLE FOR “ENERGY EFFICIENCY UPGRADES – POMONA PUBLIC LIBRARY AND PALOMARES PARK COMMUNITY CENTER,” PROJECT NO. 428-2590-XXXXX-71077, AND RELEASING AND UNAPPROPRIATING $1,029,831 OF SOCALREN REVOLVING SAVINGS FUND LOAN PROCEEDS EXECUTIVE SUMMARY:
Adoption of Resolution No. 2023-84 (Attachment No. 1) will revise the project description and title for “Energy Efficiency Upgrades – Pomona Public Library and Palomares Park Community Center,” Project No. 428-2590-XXXXX-71077 (Project) to remove the Pomona Public Library scope of work from this Project, as well as, release and unappropriate $1,029,831 of funds no longer needed.
FISCAL IMPACT:
This action will reduce the budget for the Project by $1,029,831. The fiscal impact is summarized in the table below:
Category
“Energy Efficiency Upgrades – Pomona Public Library and Palomares Park Community Center,” Project No. 428-2590-XXXXX-71077 Beginning Budget
$1,539,211
(Unappropriation) of SoCalREN Revolving Savings Fund Loan Proceeds ($1,029,831)
Revised Budget
$509,380
Expenditures/Encumbrances (as of May 10, 2023)
($248,260)
Remaining available balance
$261,120
PREVIOUS RELATED ACTION:
On February 24, 2020, City Council approved the creation of a new CIP project, “Pomona Library Facility Improvements,” Project No. 428-2590-XXXXX-74120, and accepted and appropriated $280,000 of donated State Library Grant funds from the Pomona Public Library Fund (PPLF) to the new project.
On June 6, 2022, City Council adopted Resolution No. 2022-94 adopting the City’s FY 2022-23 CIP budget that included “Energy Efficiency Upgrades – Pomona Public Library and Palomares Park Community Center,” Project No. 428-2590-XXXXX-71077.
On December 19, 2022, City Council adopted Resolution No. 2022-227 to allow the City of Pomona (City) to accept an award of $6,014,328 in grant funding from the California State Library and appropriate it to “Pomona Library Facility Improvements.” On February 27, 2023, City Council awarded a construction contract to AC Pros, Inc. in the amount of $230,460 for the energy efficiency upgrades at the Palomares Park Community Center.
On March 20, 2023, City Council awarded a professional services agreement to Cumming Construction Management, Inc. for Project Management Services, in the amount of $284,970, for “Pomona Library Facility Improvements,” Project No. 428-2590-XXXXX-74120.
DISCUSSION:
The CIP project, known as “Energy Efficiency Upgrades – Pomona Public Library and Palomares Park Community Center,” Project No. 428-2590-XXXXX-71077, was created prior to the receipt of a $6 million grant from the State of California to update the City’s library with energy efficient upgrades. This grant funding was appropriated to “Pomona Library Facility Improvements,” Project No. 428-2590-XXXXX-74120. The scope of work associated with this grant includes the same type of improvements that were to be funded by the SoCalREN Revolving Savings Fund (RSF) loan in the amount of $1,539,211, as part of the “Energy Efficiency Upgrades – Pomona Public Library and Palomares Park Community Center” project. The RSF is a loan with zero percent interest to be paid over five years using the General Fund. By removing the portion of that loan associated with the energy efficiency upgrades at the library, the debt obligation to the City will be reduced. Therefore, it is necessary to unappropriate the money associated with the energy efficiency upgrades at the library. This action will amend the project title from “Energy Efficiency Upgrades – Pomona Public Library and Palomares Park Community Center” to “Energy Efficiency Upgrades – Palomares Park Community Center,” and amend the project description to remove references to the library. Any library-related scope of work removed from Project No. 428-2590-XXXXX-71077 will be performed as part of “Pomona Library Facility Improvements,” Project No. 428-2590-XXXXX-74120.
Due to the library improvements being removed from this project, the unused portion of the loan was returned to the RSF Program, as required. A total of $1,029,831 of SoCalREN Revolving Savings Fund Loan Proceeds was returned to the Los Angeles County Internal Service Department on March 14, 2023.
COUNCIL PRIORITIES & GOALS:
This item supports the June 21, 2021, City Council Priorities and Goals: Priority 5 – Infrastructure: Goal O – Improve Parks facilities.
Prepared by:
Stephanie Carbajal
Program Assistant, Public Works
ATTACHMENT(S):
Attachment No. 1 – Resolution No. 2023-84
Resolution Amending the FY 2022-23 Capital Improvement Program (CIP) Budget by Changing the Project Description for “Energy Efficiency Upgrades – Pomona Public Library and Palomares Park Community Center” Project No. 428-2590-XXXXX-71077