HomeMy WebLinkAboutRes2010-125 Sponsored by: Oates
CITY OF SEWARD, ALASKA
RESOLUTION 2010 -125
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AMENDING THE 2010/2011 BIENNIAL BUDGET TO REFLECT
MID -CYCLE CAPITAL BUDGET CHANGES
WHEREAS, the 2010/2011 Biennial Budget was passed on November 23, 2009, reflecting
the City's first biennial budget, covering the period from January 1, 2010 through December 31,
2011, and including both the operating and capital budgets; and
WHEREAS, the staff has reviewed and updated the capital component of the budget and
reviewed the proposed capital budget changes with the Seward City Council at a work session on
November 22, 2010; and
WHEREAS, this resolution adopts specific changes to the General Fund and all enterprise
fund capital budgets, with specific change highlighted on the spreadsheets attached hereto.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF SEWARD, ALASKA, that:
Section 1. The 2010/2011 Biennial Capital Budget is hereby amended to incorporate the
changes reflected on the attached spreadsheets, which are effective for the calendar year 2011.
Section 2. This resolution shall take effect immediately upon its adoption.
PASSED AND APPROVED by the City Council of the city of Seward, Alaska, this 13th
day of December, 2010.
THE CITY OF SEWARD ALASKA
„„r 4441i
Willard E. Dunham, Mayor
AYES: Valdatta, Bardarson, Keil, Shafer, Dunham
NOES: None
ABSENT: Smith, Casagranda �,� ®�� If I #4,0
ABSTAIN: None �4,� s�
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COUNCIL AGENDA STATEMENT
Meeting Date: December 13, 2010
Through: Phillip Oates, City Manage sew
From: Kristin Erchinger, Finance Director N'" u :`�
RE: Mid -Cycle 2011 Capital Budget Modifications *Qrse
4 1 CAT
BACKGROUND & JUSTIFICATION:
The City of Seward passed its first biennial budget on November 23, 2009 covering the period January 1,
2010 through December 31, 2011. The City intends to do a mid -cycle budget review during the off -year
of each biennial budget cycle (this will occur at the end of each even - numbered year, in preparation for
the second year of the approved biennial budget). The purpose of this resolution is to propose changes to
the capital budgets for the General Fund and the enterprise funds of the City.
The Seward City Council met with staff in a work session on Monday, November 22, 2010, to review the
proposed capital budget adjustments. Staff again alerted the Council to the fact that for more than ten
consecutive years, there has been no identified source of revenue to repair and/or replace existing City
general government infrastructure. The City does generally utilize one -time State revenue sharing funds
(when available) to meet some one -time capital expenditure needs. Enterprise funds also lack the ability
to meet some of their most critical and high -risk capital needs, based on lack of adequate funding.
The capital budget plans reflect a list of needs identified for 2011. However, funding is not appropriated
to meet any of these capital budget needs, with the exception of minor General Fund needs which will be
met only if State Revenue Sharing funding is received, and capital requirements in the Parking Enterprise
Fund and Motor Pool Internal Service Fund. The Harbor capital needs in 2011 were pared back to
$28,000 to accumulate revenues from the newly established capital infrastructure fee in order to
accomplish meaningful capital repairs in 2012. The Electric capital needs total $1.6 million, with most
of those needs being identified as critical, but with no funding to meet those needs. Similarly, the Water
capital needs are $4.9 million in 2011, and the Wastewater capital needs are $835,000 in 2011. Staff will
continue to pursue grant or loan opportunities, as available. The Parking Fund has $549,000 in capital
needs for which funding is largely available, and the Motor Pool Fund has $330,000 in capital equipment
needs which are expected to be purchased in 2011.
CONSISTENCY CHECKLIST
Where applicable, this agenda statement is consistent with the Seward City Code, Charter, Comprehensive
Plans, Land Use Plans, Strategic Plan and City Council Rules of Procedures. Other:
ATTORNEY REVIEW: X Yes No
FISCAL NOTE:
It is important to note that because the enterprise funds are not making annual contributions to their
major repair and replacement funds in accordance with established budget policies of the City, and
because the General Fund lacks a specific revenue source to provide for capital budget needs -- including
major repairs and replacement of existing infrastructure -- most of the items listed in the capital budget
will go unfunded. The lack of a meaningful plan to fund existing City assets will have serious financial
implications in the future, if outside funding is unavailable to replace or repair existing assets. Given the
anticipated reductions in federal and state funding, the City must develop a mechanism for funding its
existing infrastructure, or face significant capital cost increases in the future. Existing debt loads in some
funds, combined with insufficient rate structures, will make it ch in if to issue
bonds in the future to replace existing infrastructure. Approved:
■ tih
RECOMMENDATION: City Council approve Resol 2010- amending the 2011 capital budget.
Capital Improvement Plan
1 General Fund - Related Capital Projects
low Fiscal Year end 2011
New or Project Funding Source
Project Description Replace Year Cos City Portion Other Portion Source
STREETS:
Poor Condition:
Dora Way /Olympia - (.4) R 2012 8118,360 8118,360 Federal
Adams: let to 2nd - (.2) It 2012 $115,500 $$115,500 Federal
Fair Condition:
Fifth Ave: Railway to B Street - (.7) R 2012 8555,170 8555,170 Federal
A St: 1st to 3rd - (.2) R 201.2 $104,094 $104,094 Federal
Jefferson (entire - .4) It 2012 8317,240 $317,240 Federal
C Street and 1) Street - (.2) R 2012 $158,620 $158,620 Federal
Birch St. R 2012 $122,144
$12 Federal
Sea Lion Drive R 2012 897,449 897,449 Federal
Coolidge R 2012 551,033
$54,033 Federal
Cedar St. It 201 8119,559 $119,559 Federal
Alder St. R 2012 836,179 $36,179 Federal
Lowell Canyon Rnad R 2()12 $-16,200
Bette Cato � 846,200 Federal
R 2012 8133,705 8133.705 Federal
Monroe: 5th to 7th R 2012 899,000 $99,0(10 Federal
Adams: 5th to 6th R 2012 $44,000 $44,000 Federal
Storm Drain NIR 2012 8410,000 $440,000 Federal
New Roads /Paving:
Leirer Road and Alameda Road N 2012 $505,000 $505,(10 State /Federal
Oak Street N 2012 $350,000 $350,000 State /Federal
Total Street Projects: 83,416,253 80 $3,416,253
SIDEWALKS, CURBS, GUTTERS, DRAINAGE:
5th Ave: West side from Adams to Jefferson N 201:1 578,348 $78,348 Federal
Railway to Jefferson on 4th N 2012 $1,045,495 $1,045,495 Federal
Railway to Jefferson on 5th N 2012 $702,075 $702,075 Federal
ilitio Resurrection (Swd Hwy to High School) N 2012 8398.200 $398,200 Federal
Benson Dr. north side N 2012 $198,385
$1.98,385 Federal
Coolidge Dr. Benson to Swd Hwy N 2012 8263,203 $263,203 Federal
Dora Way to Phoenix both sides N 2(112 $468,105 8468,105 Federal
Phoenix to Swd Hwy both sides N 2012 $673,041 $673,041 Federal
Lowell Canyon Road north side N 2012 $176,000 $176,000 Federal.
Marathon drainage, culverts both sides N 2012 $113,300 $113,300 Federal
Jesse Lee Dr. drainage and culverts, both sides N 2012 S86,900 $86,900 Federal
Alice, drainage, culverts N 2012 822,000 $22,000 Federal
Bette Cato drainage and culverts, both sides N 2012 $13,200 $13,200 Federal
Birch St drainage and culverts, both sides N 2012 S74,800 874,800 Federal
Alder St, drainage and culverts, both sides N 2012 825,30(1 $25,300 Federal
Lowell Canyon Rd. south aide N 201 $26, 100 $26,400 Federal
Cedar St. drainage and culverts, both sides N 2012 863,800 863,800 Federal
Benson Drive drainge and culverts, both sides N 2(112 $35,200 $35,200 Federal
Total Sidewalk Projects: $4,463,751 $0 $4,463,751
CITY SHOP:
New diesel. fuel dispensing system R 2011 875,000 875,000 General Fund
Covered dry storage for heavy equipment (if noshop) N Unknown 8125,000 8125,000 General Fund
City Shop Facility Phase I: Site Layout /Design R Linknown $75,000 575,000 General Fund
City Shop Facility Phase 11: Construction R Unknown 85,280,000 85,280,00(1 General Fund
Total City Shop Projects: $5,555,000 85,555,000 $0
)
..
Capital Improvement Plan
General Fund - Related Capital Projects
j
Fiscal Year 40-1-0-fm4 2011
New or Project, Funding Source
Project Description Replace Year Cost City Portion Other Portion Source
PUBLIC SAFETY:
North Forest Acres Road /Levee N 2011 $4,400,000 $0 $4,400,000 Federal/State
Lowell Point erosion mitigation R 2011 $200,000 $0 $200,000 Federal /State
Fire Hydrant upgrades - Ph. II R 2012 $200,000 $200,000 General Fund
Breathing Air Compressor R 2012 $25,000 $25,000 General Fund
Generator for AVTEC emergency shelter N t°ntn,.,n $125,000 $125_,000 General Fund
Satellite Fire Station / Storage Facility (Forest Acres) N rata,,,, n $960,000 $960,000 Grant
Ladder Platform Vehicle N t'nknoa n $950,000 $950,000 Grant
Satellite Station on Nash Road N t'nt,,,,,,n $440,000 $440,000 Grant
Expand SMIC building storing engine N t'n;,na„n 533,000 $33,000 General Fund
Public Safety Building N t' nkno„ -n $5,665,000 $5,665,000 General Fund
Total Public Safety Projects: $12.908,000 56,048,000 $6,950,000
PARKS & RECREATION:
Campground/bike path D -1 replacement of lost materit R 2011 $50,000 $50,000 General Fund
Bench Erosion Engineering Study N 201 1 $150,000 $150,000 Federal /General
Beach Erosion repairs at waterfront R 2010 888,000 $88,000 Federal /General
TY C landscape, fence, play area R 2012 $25.410 $25,410 General Fund
Beach Erosion control finger construction N „known $88,000 $88,000 Federal/General
Lagoon Boardwalk rebuild 11 ,,ti,,,,, 5264,000 $264,000 General Fund
Replace Wellington Pavilion R „knoHn $400,000 $400,000 General Fund
Restroom and Concession Stand Upgrade R ' nk III :,-» $179,300 $179,300 General Fund
Informational /directional maps N „thou-„ 823,100 $23,100 General Fund
Forest Acres campground improvements R t'a no, n 835,000 $35,000 General Fund
Jon Perry softball field fence replacement R Ilk nn: $75.000 $75,000 General Fund
Small Outdoor Restroom - Williams Park N t kn "„n $44,000 844,000 General Fund
Centennial Park N t'slsno:,n $.127,500 82 $200,000 Grant /GF
*NJ
Sweet Smelling Toilet at culvert N i k . .,o $18,400 $48,400 General Fund
Marathon Campground rehabilitation R ct,n.,,,, $5 $52,800 General Fund
Forest Acres Park playground upgrades R r am, $38.500 $38,500 General' Fund
Harborsidc Park - Phase 1 /Seaview Campground R nkm>„n $150,150 5150,150 General Fund
Harbor Park (new south harbor uplands) N t nknown $890,900 $890,900 State /General
Little League Field restrooms 8 t'nkn, >„n $187,000 $187,000 General Fund
Boulder Field - turf, fence, grade. drains R t ,knu „„ $275,000 $275,000 General. Fund
Playground park at softball comple=x N ntn,,,,n $50,000 $50,000
'1' -hall field at .softball complex N t' nknn , vn $ 100,000 $100,000
Paving in -1D,1 camp spots, parking site's in park-Y•:1111 : N 1 ,kne, „n $85,000 585,000 General Fund
Total Parks & Recreation Projects: $3,727,060 $3,527,060 $200,000
CITY HALI/LIBRARY /OTHER:
* Clerk's records management software progrnir R 2011 $10,000 $10,000 General Fund
* City Hall carpet repairs R 2011 $60,000 $60,000 General Fund
* City Clerk Recording and Sound System N 2011 $40,000 $40,000 General Fund
City Hall electrical upgrades R 2011 865,000 $65,000 General Fund
ADA parking at City Hall N t ' nkn1,,,II $30,000 $30,000 General Fund
IUSCG budding' site design N 2010 $40,000 $40,000 General Fund
Fix venit0ation at City Hall R 1 ,,. ,,,, $85,000 $85,000 General Fund
Community Library /Museum R. 201 $10,000,000 $3,500,000 $6,500,000 Grant
'l'otal City Hall/Library Projects: $10,330,000 $3,830,000 $0,500,000
Mooring Dolphins /Dock Improvements for Sewar N 2011 $1.,500,000 $0 $1,500,000 Grant
Total General Fund Projects: 541,990,064 $18,960.060 $23,030,004
Total General Fund Projects for 2011: $6,675,000 $575,000 • $6,100,000
Note: Revenue Sharing for 2(110 wa* used 100?-il to hcgm r,:pa) ua;; FIcctric Fund for prior )ears SMMi1C deficit coverage, to 00 funding rental
to pay for General Fund- related capital items in 2010. ' r he r(•foro, 1 resolution will w ale botbre Council to appropriate from Fund Hal
No funding has been identified for capital costs in 2011. j
Funding for $3 million in local road improvement., ma) be available in 20 12 frum D09' earmarks.
Ilili
CITY OF SEWARD
HARBOR ENTERPRISE FUNC
SUMMARY OF FIVE -YEAR CAPITAL IMPROVEMENT PROGRAM FUNDING
Description Status 2011 2012 2013' 2014
CRITICAL NEEDS: Highly likely to fail within the next five years
Floats & Docks
Replace D Float and Piling Replace 50 51,493,110 50 50
D-Float electric system Replace 50 5242250 $0 50
Replace A,B,C,S and G (connection) Floats Replace $0 $0 $0 $4,500,000
Piling for Floats A,B,C,S Replace 50 50 50 5630,000
Replace S Launch Ramp Replace $0 50 50 5550,000
Uplands
Trash Dumpsters (6) Replace $0 50 50 540,000
NE Fish Cleaning Station Replace $0 513.650 $0 50
Maintenance
Harbor Dredging Maint $0 5225,000 $0 $0
Total Critical Needs: 50 $1,974,010 50 55,720,000
HIGH RISK: Highly likely to fad within the next 5 -10 years.
Floats & Docks
Replace K & L floats Replace $0 50 50 50
Replace N Launch Ramp Replace $0 50 50 $0
B&C floats - electric system Replace $0 50 50 50
Structures
Harbormaster Restrooms Replace $0 5100,000 $0 $0
Equipment
Fish Waste Barges Replace $0 $0 535,000 535,000
Total High Risk Needs: $0 5100,000 535.000 535,000
MODERATE RISK: Continuously increasing cost to maintain and operate
X - used oil collection facility Maintain 20,000
O - used oil colletion facility Maintain 20,000
F - used oil Maintain 20,000
J - used oil Maintain 20,000
25' Boston Whaler Maintain 5,000 5,000 5,000 5,000
21' Boston Whaler Maintain 3,000 3,000 3,000 3,000
Total Moderate Risk Needs: 528,000 528,000 528,000 528,000
Total Capital Outlay $28,000 52,102,010 563,000 $5,783,000
Fully depreciated (book value) of harbor assets total approximately $4 million
CITY OF SEWARD
ELECTRIC ENTERPRISE FUND
FIVE -YEAR CAPITAL INFRASTRUCTURE PLAN (excluding new Items)
Useful
Description Life 2011 2012 2013 2014
iiisj
CRITICAL NEEDS: Highly likely to fail within the next five years
Transmission
Transmission to Ft. Ray R $360,000 $360,000 $360,000 $360,000
Transmission by Lagoon R 30 $450,000 50 $0 $0
Distribution
Jesse Lee Underground R 50 50 530,000 $0 $0
Camelot Underground R 50 5150.000 50 $0 $0
Mcdonald Yard R $25,000 $0 $0 $0
Operations and Maintenance
ROW clearing Transmission M $500,000 560,000 $60.000 $60,000
ROW clearing Distribution M 540.000 540.000 $40,000 $40.000
Paint Transformers Spring Ck M $0 $0 $0 $30,000
Recloser Maintenance M 5 $0 $80.000 $0 $0
Loadtap Changer Sprg Crk M $0 580,000 $0 $0
Critical Needs: $1.525,000 $650,000 $460.000 5490,000
HIGH RISK: Highly likely to fail within the next 5 -10 years.
Distribution
Old Mill #3 R $0 50 5120,000 $0
Gateway (Upper) R $0 $0 $0 $180,000
Gateway (Lower) R $0 $0 $0 $80,000
Woodland Hills R $0 50 $0 5120,000
Lost Lake Underground R 50 $0 $55.000 $0 $0
SMIC Underground R 50 $0 $0 $0 $105,000
Operations and Maintenance
Paint Transformers Ft. Ray M $0 50 530,000 $0
Paint Transformers Lawing M 50 50 $0 $0
Transrupter Mainenance M 5 520 0 0 SO 50 $0
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Fort Raymond Maintenance
Exhaust stack Gen 3 M $0 $0 $0 $0
New Roof over Gen's 3 & 6 R $0 $0 $0 $0
Meter Relay and View Screen U 520 000 $0 $0 $0
Other
Software for inventory U $500 $0 550,000 $0
High -Risk Needs: $40,500 555,000 5200,000 $485,000
MODERATE RISK: Continuously Increasing cost to maintain and operate
Distribution
Lawing Poles F $0 50 50 $25,000
Victor Creek Poles F $0 $0 $0 $110,000
Lake Drive (Stony Creek) R $0 $0 $0 5140,000
Lake Drive (Questa Woods) R $0 $0 $0 S80,000
AVTEC Underground R 50 $0 $0 $0 515,000
Southwest Boat Ramp R 50 $0 $33,000 $0 $0
Lawing to Victor Ck Overhead R 50 50 575,000 $0 $0
Operations and Maintenance
Switch at Nash Road U 50 5100,000 $0 $0
Fort Raymond Maintenance
Update Ft. Ray controls U $0 5150,000 5150.000 5150.000
Security upgrades U $60,000 560.000 $0 $0
Other
AMR U 50 5285,000 5515,000 50
Moderate -Risk Needs: $60,000 $703.000 5665,000 $520.0001
.0 3,
Total Needs: 51,625,500 51,408,000 51,325,000 51,495,000
Status R= Replace F -Fix M- Maintenance U= Upgrade
N =New ND =No Depreciation
irop CITY OF SEWARD
WATER ENTERPRISE FUND
FIVE -YEAR CAPITAL INFRASTRUCTURE PLAN
Description Status 2011 2012 2013 2014 I
CRITICAL NEEDS: Highly likely to fail within the next five years
Storage and Production
Refurbish #4 Production Well Maint $85,000 $0 $0 $01
Facilities
Water Storage Tank New $4,060,000 $0 $0 $0
Gateway Tank Roof Replace $300,000 $0 $0 $0
Pressure Station Replace $50,000 $125,000 $400,000 $25,000
Backup generator for well field New $45,000
500K water tank site control, engineering New $180,000
Critical Needs: $4,720,000 $125,000 $400,000 $25,000
HIGH RISK: Highly likely to fail within the next 5.10 years.
Facilities
Lowell Canyon Water Tank Inspections Maint $30,000 $0 $0 $0
Abandon Wells at Fort Raymond 0 0 0 0
if
Distribution Piping Upgrades 0 0 0 0
1
fir.. High -Risk Needs: $30,000 $0 $0 $0
MODERATE RISK: Continuously increasing cost to maintain and operate
Facility Control Upgrades Replace $60,000 $35,000 $15,000 $15,000
Generation @ Wells New $30,000 $95,000 $0 $30,000
GIS New $20,000 $20,000 $10,000 $10,000
New #7 Production Well New $50,000 $150,000 $450,000 $0
Moderate -Risk Needs: $160,0001 $300,0001 $475,0001 $55,000
Total Needs: $4,910,000 $425,000 $875,000 $80,0001
4
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CITY OF SEWARD
WASTEWATER ENTERPRISE FUND
FIVE -YEAR CAPITAL INFRASTRUCTURE PLAN
Status 2011 2012 2013 2014 I
CRITICAL NEEDS: Highly likely to fail within the next five years
Lift Stations
#4 (FA) Lift Station Generator Replace $90,000 $20,000 $10,000 $10,000
Double Wall Fuel Tanks Replace $40,000 $20,000 $20,000 $20,000
SMIC BypassWVaiving New $55,000 $80,000 $20,000 $0
#1 Lift Station Generator New $140,000 $35,000 $10,000 $10,000
Critical Needs: $325,000 $155,000 $60,000 $40,000
HIGH RISK: Highly likely to fail within the next 5 -10 years.
SMIC Lower L.S. Engeering $50,000 $0 $0 $01
High -Risk Needs: $50,000 $0 $0 $0
MODERATE RISK: Continuously increasing cost to maintain and operate
Facilities
L.P. Sludge Piles @ SMIC $320,000 $0 $0 $01
Moderate -Risk Needs: $320,000 $0 $0 $0
Projects Requiring Funding to Complete:
Security New $20,000 $10,000 $10,000 $10,000
GIS New 540,000 $20,000 $10,000 $0
Manholes Maint 580,000 $10,000 $10,000 $10,000
Total Other Projects: $140,000 $40,000 $30,000 $20,000
Total Needs: $835,000 $195,000 $90,000 $60,0001
CITY OF SEWARD
PARKING ENTERPRISE FUND
FIVE -YEAR CAPITAL INFRASTRUCTURE PLAN
Description 2011 2012 2013 2014
CRITICAL NEEDS: Highly likely to fail within the next five years
Parking Lots
Middle harbor parking lot
Repave $350,000
Critical Needs: $0 $350,000 $0 $0
HIGH RISK: Highly likely to fail within the next 5 -10 years.
None meet this criteria
MODERATE RISK: Continuously increasing cost to maintain and operate
Parking Lots
N. harbor parking lot
Patching, sealing and striping $85,000
Middle harbor parking lot
Patching, sealing and striping $50,000
S. harbor parking lot
Patching, sealing and striping $95,000
S.E. harbor (permit) lot
Patching, sealing and striping $100,000
NE ramp lot
Patching, sealing and striping $50,000
Parking office (white chalet)
Moderate -Risk Needs: $380,000 $0 $0 $0
NEW
Equipment
Luke automated pay station $0 $0 $0 $0
Luke automated pay station $0 $0 $0 $0
N. Harbor automated pay station (2) $0 $0 $0 $0
N.E. lot automated pay station (2) $32,000 $0 $0 $0
S.E. lot automated pay station (2) $32,000 $0 $0 $0
Parking Lots
NE ramp lot
Paving $250,000
Patching, sealing, striping $95,000
Gravel $10,000 $10,000
Additional paving (depends on USCG)
New fencing $50,000
N. harbor parking lot
Paving
S. harbor parking lot
Paving
S.E. harbor (permit) lot
S. harbor uplands parking lot
Paving
Sealing and striping
Note: need decision as to development level in uplands.
Boulder field
Low -Risk Needs: $169,000 $10,000 $300,000 $0
Total Needs: $549,000 $360,000 $300,000 $0
I■
CITY OF SEIVARD
MOTOR POOL FUND
243-1-#'2011 CAPITAL REQUIREMENTS
Year to
Years to tlili
Miles Hr Condition& max Years till LOOK replace based
Unit a nepaiinleill Year Vehicle Total Miles Tio ors replace based Replace Cost
per ■ ear age miles or max hrs on
hours miles an 163C
2011 Replacement
120 Public Works 1988 Flatbed 16,105 3,342 1', I 0 2019 1998 45.000
152 Wastewater
515 Electric I 973 Dozeritiackhoe New Meter l'ool.15 10000 No data 1988 LeaserPurclooe S200,000
456 I !arbor I 999 Flatbed 66.963 6.696 Fair 5 2014 2009 4.5,000
S 330,000
J