CITY OF POMONA
COUNCIL REPORT
November 6, 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 2023-24 CAPITAL IMPROVEMENT PROGRAM (CIP) BUDGET BY CREATING A NEW PROJECT, CLOSING COMPLETED PROJECTS, AND RE-APPROPRIATING UNEXPENDED FUNDS RECOMMENDATION:
It is recommended that the City Council adopt the following resolution:
RESOLUTION NO. 2023-190 – A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POMONA, CALIFORNIA, AMENDING THE FY 2023-24 CAPITAL IMPROVEMENT PROGRAM (CIP) Budget by creating a new project, “DISTRICT 2 - New Playground at Ralph welch park,” Project no. 428-2590-xxxxx-71096, closing completed projects, releasing $134,022 OF UNEXPENDED FUNDS, re-appropriating $63,478 OF unexpended GENERAL funds to the new project, Unappropriating $90,183 of american rescue plan funding (d2) from “Buena vista avenue rehabilitation – mission boulevard to 9th street,” Project number 428-2590-xxxxx-68576, and reappropriating this funding to the new project EXECUTIVE SUMMARY:
City Council adoption of Resolution No. 2023-190 (Attachment No. 1) will close four (4) completed CIP projects and enable the release of unexpended funds. In addition, the adopted Resolution will create a new CIP project, “District 2 – New Playground at Ralph Welch Park,” Project No. 428-2590-XXXX-71096 (Attachment No. 3) and reappropriate $63,478 of General Funds from closing CIP Project 428-71074 and $90,183 of American Rescue Plan Funding (ARP) (D2) from “Buena Vista Avenue Rehabilitation – Mission Boulevard to 9th Street,” Project Number 428-2590-XXXXX-68576 to the new project.
FISCAL IMPACT:
The closing of four (4) CIP projects will release a total of $134,022 of unexpended funds as indicated in Table 1 below. The availability of these funds is a result of the projects being completed at a cost lower than originally estimated and/or with less use of contingency than was reasonably anticipated. A portion of the released funds ($63,478) will be re-appropriated to one newly created project, “District 2 – New Playground at Ralph Welch Park,” Project No. 428-2590-XXXX-71096 (Project), as indicated in Table 2. Further, $90,183 of ARP Funding (D2) from “Buena Vista Avenue Rehabilitation – Mission Boulevard to 9th Street,” Project No. 428-2590-XXXXX-68576 will be unappropriated and reappropriated to the new Project.
TABLE 1
Projects To Be Closed
Project No.
Source of
Unexpended Funds
Unexpended Funds
Park Improvements - ADA Accessibility Rubberized Playground Surfacing Replacement 71074
General Fund
$63,478
Park Improvements - Palomares Park HVAC System Replacement 71075
N/A
$0
Phil and Nell Soto Park
71040
CNRA Grant Funds, Park and Rec DIF, San Gabriel and Lower LA RMC Grant Funds $69,500 (to be returned to their respective source)
Mission Boulevard Guardrail
71067
ARP (D5)
$1,044
TABLE 2
Category
“Buena Vista Avenue Rehabilitation – Mission Boulevard to 9th Street,” Project No. 428-2590-XXXXX-68576 “District 2 – New Playground at Ralph Welch Park,” Project No. 428-2590-XXXX-71096 Beginning Budget
$370,000
$0
Appropriation / (Unappropriation)
of ARP (D2) Funds
($90,183)
$90,183
Appropriation of General Funds
N/A
$63,478
Revised Budget
$279,817
$153,661
Expenditures/
Encumbrances
(as of October 11, 2023)
($279,817)
N/A
Remaining available balance
$0 (To be closed at a future Council meeting)
$153,661
PREVIOUS RELATED ACTION:
On June 5, 2023, the City Council approved Resolution No. 2023-98 adopting the FY 2023-24 Capital Improvement Program (CIP) Budget, which included all CIP projects listed in Table 1 and Table 2, except for the new Project.
DISCUSSION:
During the week of April 3, 2023, City Staff attended the California Parks and Recreation Society (CPRS) annual conference. During the conference expo, Miracle Playground Equipment was a displaying a large, brand-new playground in their exhibit. Miracle offered to sell the playground equipment to the City at the substantially discounted price of $35,126.75, so they would not have to return it back to their center. The City was able to promptly purchase the playground equipment by utilizing Sourcewell contract #010521 and Youth Commitment Funds (101-4191). However, this purchase was only for the playground equipment, and not the installation costs or the rubberized surfacing. In order to install the equipment and surfacing, and to provide the necessary additional funding, a new CIP project will be created with adoption of Resolution No. 2023-98.
Table 1 above summarizes the closed and completed projects and the remaining funding to be returned to their respective funding source. Of the $69,500, a portion will be returned to the Park and Recreation DIF to be used for a project at a later time, while the remainder must be returned to the grant Agencies because they are project specific. The $63,478 of General Funds will be re-appropriated to the new Project as a result of the closing of the “Park Improvements - ADA Accessibility Rubberized Playground Surfacing Replacement project. In addition, work has been completed on “Buena Vista Avenue Rehabilitation – Mission Boulevard to 9th Street,” Project No. 428-2590-XXXXX-68576, but the project will be officially closed via a Council action at a later time. However, the remaining $90,183 of D2 ARP is available to be appropriated to the new Project. As previously stated, the availability of these funds is a result of the projects being completed at a cost lower than originally estimated and/or with less use of contingency than was reasonably anticipated.
Guidance from the United States Department of the Treasury allows ARP funds to be used on park improvements within and outside a QCT, provided the improvements will serve a population that was disproportionately impacted by the pandemic. Treasury Guidance further recognizes that investments in parks, public plazas, and other public outdoor recreation spaces are responsive to the needs of disproportionately impacted communities by promoting healthier living environments and outdoor recreation and socialization to mitigate the spread of Covid-19.
COUNCIL PRIORITIES & GOALS:
This item supports City Council Priority 5, Goal P to improve parks facilities by adding additional recreation and playground equipment.
Prepared by:
Shandy Dittman
Public Works Fiscal and Project Manager
ATTACHMENT(S):
Attachment No. 1 –Resolution No. 2023-190 with Exhibit “A” Attachment No. 2 – CIP Project Details Sheet - “District 2 – New Playground at Ralph Welch Park” Resolution to Amend the FY 2023-24 Capital Improvement Program (CIP) Budget