REPORT TO COUNCIL
SUBJECT
Title
Approve Budget Modification No. 41 to Provide Funding for Temporary Public Works Engineering Development Staff
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, additional resources are needed in the Public Works Engineering Division. These resources will help staff keep pace with the increased number, scope and complexity of permit applications. The current situation has been complicated by key staffing vacancies that staff is actively trying to recruit for in an already competitive market.
Staff has identified a number of firms that can provide on-call temporary engineering services over the next two years. In order to ensure the best level of availability to meet workload demands, it is anticipated that at least three on-call contracts will be awarded under the City Manager's award authority. To the extent viable temporary staff cannot be selected through the consulting firms for whatever reason, qualified temporary employees may be hired directly through the City's Department of Human Resources.
Based on resource availability and fit, once awarded, the staffing contracts may need to be 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 amendment(s), so long as there is corresponding decrease to one or more of the other contracts such that the total appropriation of $300,000 is not exceeded.
ENVIRONMENTAL REVIEW
N/A
FISCAL IMPACT
Because the request for additional resources is related to development activity, staff recommends providing funding from the Development Enterprise Fund Reserve. The Fund was established with the FY 2014/15 Adopted Budget to separately track development related revenues and expenses. Therefore, these costs will be absorbed by fees paid by users of these services.
This appropriation can be made without a significant impact to the fund's fiscal health. Currently, revenues are expected to end FY 2014/15 higher than planned.
Budget Modification No. 41 has been prepared to effectuate the changes discussed above.
Budget Modification No. 41
FY 2014/15
|
Current |
Increase/ (Decrease) |
Revised |
Development Enterprise Fund |
|
|
|
Expenditures |
|
|
|
New Project - Public Works Department Temporary Engineering Services |
$0 |
$300,000 |
$300,000 |
|
|
|
|
Reserves |
|
|
|
Development Enterprise Reserve |
$8,037,346 |
($300,000) |
$7,737,346 |
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
1) Approve Budget Modification No. 41 to appropriate $300,000 to a special project for temporary engineering services; and 2) Delegate authority to the City Manager to amend resultant 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: Robert A. Walker, Assistant City Manager
Approved by: Deanna J. Santana, City Manager