REPORT TO COUNCIL
SUBJECT
Title
Approve Budget Modification No. 9 to Provide Funding for Temporary Public Works Transportation and Traffic Services Staff and Authorize the City Manager to Amend or Enter into Implementing Contract(s) to a Level Greater than $100,000 so long as the Total Appropriation of $300,000 is Not Exceeded
Report
BACKGROUND AND DISCUSSION
Development activity in Sunnyvale has been trending up for the past four years and is expected to continue at a high level for the next several years. This reflects the strength of the Silicon Valley economy and Sunnyvale’s desirability as a place for business and residential growth. This growth is represented by both new development as well as investments to modernize existing older buildings.
In order to keep up with the elevated level of activity, $250,000 in additional resources for supplemental staffing contracts was added with the FY 2014/15 Budget through Project 830900, Transportation and Traffic Services Staff Augmentation. These resources, which are now exhausted, helped staff keep pace with the increased number, scope, and complexity of permit applications. The most significant traffic and transportation work effort is related to the completion of Traffic Impact Analysis (TIA) reports, but other development related work includes the review of signing and striping plans, signal plans, streetlight plans, and traffic control plans. Staff is seeking to increase this allocation by an additional $300,000 due to the continued elevated development activity. The $300,000 is funded from the Development Enterprise by development fees and will be used to provide services required and funded as part of development permits.
The funding will be used for temporary staff selected through consulting firms or qualified temporary employees which may be hired directly through the City’s Department of Human Resources. Based on resource availability and fit, staffing contracts may need to be awarded or amended. In the event a particular contract amendment exceeds the Council approval threshold of $100,000, staff is requesting pre-approval for the City Manager to execute the contracts.
ENVIRONMENTAL REVIEW
Government fiscal activity that does not involve any commitment to a specific project which may result in a potentially significant physical impact to the environment is not a project under Section 15378(b)(4) of the California Environmental Quality Act (CEQA).
FISCAL IMPACT
Because the request for additional resources is related to development activity, staff recommends providing funding from the Development Enterprise Fund Reserve. The Development Enterprise Fund was established with the FY 2014/15 Adopted Budget to isolate development related revenues and expenses from the General Fund in order to separately track and report on this activity. With the Development Enterprise Fund as the funding source, the additional costs for this project are absorbed by fees paid by users of these services.
The Development Enterprise Fund has sufficient dollars in reserves to fund this appropriation without a significant impact to the fund’s fiscal health. Budget Modification No. 9 has been prepared to effectuate the changes discussed above.
Funding Source
Due to the transition to the new Development Enterprise Fund, the project that provides resources for the staff augmentation (Project 830900) still resides in the General Fund. Therefore the additional funding is provided through a transfer from the Development Enterprise Fund to the project.
Budget Modification No. 9
FY 2015/16
|
|
Current |
Increase/ (Decrease) |
Revised |
|
General Fund |
|
|
|
|
Expenditures |
|
|
|
|
830900 - Transportation and Traffic Services Staff Augmentation |
$136,328 |
$300,000 |
$436,328 |
|
|
|
|
|
|
Development Enterprise Fund |
|
|
|
|
Reserves |
|
|
|
|
Development Enterprise Reserve |
$15,065,620 |
($300,000) |
$14,765,620 |
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.
RECOMMENDATION
Recommendation
Approve Budget Modification No. 9 to appropriate $300,000 for temporary transportation and traffic services and authorize the City Manager to amend or enter into implementing contract(s) to a level greater than $100,000 so long as the total appropriation of $300,000 is not exceeded.
Staff
Prepared by: Manuel Pineda, Director of Public Works
Reviewed by: Grace K. Leung, Director of Finance
Reviewed by: Teri Silva, Director of Human Resources
Reviewed by: Jane Chambers, Assistant City Manager
Approved by: Deanna J. Santana, City Manager