REPORT TO COUNCIL
SUBJECT
Title
Approve Budget Modification No. 14 to Appropriate California Library Connect Grant Funds in the Amount of $135,977 to Fund Network Equipment Upgrades at the Sunnyvale Public Library
Report
BACKGROUND AND DISCUSSION
On November 29, 2023, the City was awarded grant funds in the amount of $105,540 to the Department of Library and Recreation Services (LRS) for Corporation for Education Network Initiatives in California (CENIC) network equipment upgrades.
CENIC is a public benefit corporation with the goal to bring high-speed broadband to all California public libraries. The Sunnyvale Public Library has used CENIC as an internet service provider for nine years, enabling the provision of high-speed internet access at a significantly lower cost than market rates. Previous CENIC equipment has reached end of life and needs replacement, and new equipment is needed for the upcoming Lakewood Branch Library and Learning Center. The grant funds will be used to purchase equipment replacements for one router, two firewalls, and first-year support and license costs. The new equipment will upgrade bandwidth from 1 Gbps to 10 Gbps at the Sunnyvale Public Library and eventually at the Lakewood branch.
The original project plan evenly distributed the future costs for license and support annually. Sunnyvale pre-purchases maintenance and support up front to secure and lock in the best possible pricing. The project cost to the library has increased to $244,223, which includes support costs for five (5) or seven (7) years depending on the specific equipment covered. Potential costs for final years’ coverage will be evaluated at that time, contingent on future equipment lifespan and needs. The project was previously funded with the awarded grant funds of $105,540 and a required 2.5% City cost-share of $2,706. This leaves an unfunded balance of $135,977.
|
|
City Cost |
Paid by Grant |
Total |
|
Licenses and Support |
$135,977 |
$76,384 |
$212,361 |
|
Equipment and Maintenance |
$0 |
$29,156 |
$29,156 |
|
Required Cost-Share |
$2,706 |
$0 |
$2,706 |
|
Total |
$138,683 |
$105,540 |
$244,223 |
EXISTING POLICY
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 action being considered is not a project within the meaning of the California Environmental Quality Act because it is a non-discretionary decision (CEQA Guidelines Section 15357).
FISCAL IMPACT
Funding for technology related expenses is planned and budgeted in the Technology and Communications Internal Services Fund. The fund has capacity to support this additional expense. Budget Modification No. 14 has been prepared to appropriate the amount of $135,977 for equipment replacements, license and support costs to project 836720-CENIC Network Equipment Upgrades in the Technology and Communications Services Fund.
Budget Modification No. 14
FY 2024/25
|
|
Current |
Increase/ (Decrease) |
Revised |
|
Technology and Communication Services Fund |
|
|
|
|
Funding Source Category |
|
|
|
|
Technology and Communications Reserve |
$3,931,534 |
($135,977) |
$3,795,557 |
|
|
|
|
|
|
Expenditures |
|
|
|
|
836720-CENIC Network Equipment Upgrades |
$108,246 |
$135,977 |
$244,223 |
PUBLIC CONTACT
Public contact was made by posting the Council meeting agenda on the City's official-notice bulletin board at City Hall, at the Sunnyvale Public Library and in the Department of Public Safety Lobby. In addition, the agenda and this report are available at the NOVA Workforce Services reception desk located on the first floor of City Hall at 456 W. Olive Avenue (during normal business hours), and on the City's website.
STAFF RECOMMENDATION
Recommendation
Approve Budget Modification No. 14 to appropriate California Library Connect Grant funds in the amount of $135,977 to Project 836720-CENIC Network Equipment Upgrades at the Sunnyvale Public Library.
Levine Act
LEVINE ACT
The Levine Act (Gov. Code Section 84308) prohibits city officials from participating in certain decisions regarding licenses, permits, and other entitlements for use if the official has received a campaign contribution of more than $500 from a party, participant, or agent of a party or participant in the previous 12 months. The Levine Act is intended to prevent financial influence on decisions that affect specific, identifiable persons or participants. For more information see the Fair Political Practices Commission website: www.fppc.ca.gov/learn/pay-to-play-limits-and-prohibitions.html
An “X” in the checklist below indicates that the action being considered falls under a Levine Act category or exemption:
SUBJECT TO THE LEVINE ACT
___ Land development entitlements
___ Other permit, license, or entitlement for use
_x_ Contract or franchise
EXEMPT FROM THE LEVINE ACT
___ Competitively bid contract*
___ Labor or personal employment contract
___ Contract under $50,000 or non-fiscal
___ Contract between public agencies
___ General policy and legislative actions
* "Competitively bid" means a contract that must be awarded to the lowest responsive and responsible bidder.
Staff
Prepared by: Diana Castro, Supervising Librarian
Reviewed by: Garrett Kuramoto, Superintendent of Libraries
Reviewed by: Michelle Perera, Director, Library and Recreation Services
Reviewed by: Matt Paulin, Director of Finance
Reviewed by: Sarah Johnson-Rios, Assistant City Manager
Approved by: Tim Kirby, City Manager
ATTACHMENTS
1. Grant Award Letter
2. Grant Agreement