REPORT TO COUNCIL
SUBJECT
Title
Approval of Budget Modification No. 50 in the amount of $300,000 for Public Safety Emergency Generator Rental
Report
BACKGROUND AND DISCUSSION
The existing generator systems at the Department of Public Safety (DPS) building at the Civic Center campus are unreliable in the event of an unplanned PG&E outage. The existing generators that service this building have been in service for approximately 34 years; 14 years beyond the lifecycle requirements for City Fleet replacement scheduling. On September 12, 2017, the backup generators at the DPS building overheated causing a loss of power that placed the 911 Call Center and the Utility Billing System temporarily out of service. The City Manager notified the City Council of the need to have immediate action pursuant to the Municipal Code and the Purchasing Officer procured rentals of backup generators through an existing Blanket Purchase Order with Peterson Power Systems, Inc. while the cooling systems on the generators were repaired. Following the repairs, the generators were tested and appear to be in satisfactory working order. The Department of Public Works will keep the backup rental generators on site in the event the existing generators experience a similar failure and are unable to produce backup power during a PG&E power outage. These rentals are anticipated to continue until a permanent replacement solution is designed and constructed.
The Department of Public Works hired the engineering firm AECOM to perform an Emergency Generator system assessment and evaluate the existing conditions of the site. Part of AECOM’s responsibility was to assess the existing system, provide scope options for permanent generator solutions, and provide cost estimates. The goal of the project is to provide immediate, stable, and automatic temporary backup electrical power to the entire Department of Public Safety building including emergency and non-emergency functions in the event of an unplanned utility outage. The cost for the assessment study by AECOM was $48,279 and was completed in April 2018. Based on the assessment study, initial cost estimates were provided for permanent improvements to the generator system including installation of two 250kw generators and associated electrical work, abandonment of the underground fuel tanks, temporary backup power up to one year, and access control. These cost estimates are still under review as well as review of the requirements for removal of the underground storage tank.
Design for the project will be completed in FY 2018/19 and construction is anticipated to be completed in FY 2019/20.
The Department of Public Works Facilities Division has expended $105,000 for rental of the temporary backup generator at the DPS facility to date. The anticipated cost of the continued rental through the project period is expected to total approximately $300,000. Staff is only recommending funding the rental at this time in order to provide time to finalize cost estimate, design and procurement of the larger project. A budget modification, if needed, will be recommended at time of the contract award.
EXISTING POLICY
Pursuant to Municipal Code Section 2.08.190, Emergency procurements, the City Manager authorized the emergency procurement to assure the uninterrupted operation of the 911 Call Center and for the preservation of life, health or property.
Pursuant to Sunnyvale Charter Section 1305, at any meeting after the adoption of the budget, the City Council may amend or supplement the budget by motion adopted by affirmative votes of at least four members so as to authorize the transfer of unused balances appropriated for one purpose to another, or to appropriate available revenue not included in the budget.
ENVIRONMENTAL REVIEW
The California Environmental Quality Act (CEQA) determination for the project is a categorical exemption pursuant to CEQA Guidelines Section 15301(c) as it relates to the operation, repair and maintenance of existing equipment and facility involving negligible or no expansion of the existing use.
FISCAL IMPACT
Budget Modification No. 50 has been prepared to allocate funds to the Public Safety Emergency Generator Replacement project from the City’s general emergency generator maintenance project. Funds had been planned to replace the emergency generator at the City Hall Annex but are no longer needed as that generator has been repaired. These funds are necessary to provide sufficient backup to the existing emergency generators at the Department of Public Safety building. A total of $2 million was assumed in the preparation of the FY 2018/19 Recommended Budget. Additional funds will need to be identified in the event scoping options and the actual construction award, of the full generator replacement construction project, is above the allocation available in the in the FY 2018/19 Recommended Budget.
Budget Modification No. 50
FY 2017/18
|
|
Current |
Increase/ (Decrease) |
Revised |
|
General Fund |
|
|
|
|
Expenditures |
|
|
|
|
Project 830580 Emergency Generator Installation |
$1,199,709 |
($300,000) |
$899,709 |
|
|
|
|
|
|
Project 833750-Public Safety Emergency Generator Replacement |
$0 |
$300,000 |
$300,000 |
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City's official-notice bulletin board outside City Hall, at the Sunnyvale Senior Center, Community Center and Department of Public Safety; and by making the agenda and report available at the Sunnyvale Public Library, the Office of the City Clerk and on the City's website.
STAFF RECOMMENDATION
Recommendation
Approval of Budget Modification No. 50 in the amount of $300,000 to appropriate funding from the Emergency Generator Installation Project to Project 833750 Public Safety Emergency Generator Replacement.
Staff
Prepared by: Kenn Lee, Assistant Director of Finance
Reviewed by: Chip Taylor, Director of Public Works
Reviewed by: Timothy J. Kirby, Director of Finance
Reviewed by: Teri Silva, Assistant City Manager
Approved by: Kent Steffens, City Manager