At the April 7, 2020 City Council video conference meeting, the Public Works Director provided a brief overview of the following Capital Improvement Program (CIP) related topics:
A) In FY 2019/20, twenty one (21) projects, totaling $2,422,994, were completed, or will be substantially completed, by June 30, 2020.
B) Reviewed projects submitted by the community at large. Most of those suggestions were related to nuisance drainage problems, which are already being addressed as part of the City-wide Master Drainage Plan, or are facility-related projects that were already identified in the 5-year CIP.
C) The scope of work for a $50,000, donor-funded project changed from a Harrison Memorial Library Staff Area Renovation Project into a Master Plan for both the Harrison Memorial and Park Branch Libraries.
D) The preliminary Capital Improvement Plan for the subsequent fiscal years (“5-year CIP”) listed 93 projects totaling $16.2 million of which an estimated $5.6 million could be obtained from other fund sources.
Unless there are questions during the Second Review of the CIP presentation on May 5th, the items listed above require no further action from the City Council.
Action Items for the May 5, 2020 Meeting
There are two categories of projects to review for a second time.
The first category consists of 11 projects funded in FY 2019/20 or prior, all of which were in progress when these projects were suddenly halted due to the COVID19 virus. Following each project description are Council’s preliminary direction at the April 7 meeting, as well as current staff recommendations. Although the final review and disposition of Projects will be held at the June meeting, Staff is seeking Council’s direction to either: Proceed with these Projects, Defer the Project but keep funds earmarked, or Defund the Project advancing them into the 5-year Capital Improvement Plan.
The second category consists of 30 additional capital improvement projects identified for FY 2020/21 prior to the economic impacts due to the COVID19 virus. Each project includes Council’s preliminary direction at the April 7 meeting, as well as current staff recommendations. Although the final review and disposition of Projects will be held at the June meeting, Staff is seeking Council’s direction to either: Fund and Proceed with the new Project, or Defer the Project into the 5-year Capital Improvement Plan.
Category I – Funded Projects in FY 2019/20
Eleven (11) FY 2019/20 projects, with a total value of $2,501,512, were underway prior to the COVID19 hold. Most of these projects could be completed within several months once the economy returns to normal, a timeframe that is currently unknown. The current status of these projects is listed below.
It should be noted that while projects were budgeted, the ability to move forward with these projects is contingent on the City receiving budgeted revenues. Given the projected decline in revenue associated with the economic impacts of COVID 19, City staff has not been moving forward with most projects. Council may need to prioritize among both existing and proposed new capital projects for funding once the economic climate stabilizes.
- Police Building Renovation Project. Nearly $1.0 million has been budgeted for this essential, albeit non-urgent project. Two competitive bids were received in March with the low bid of $1.31 million, which, with a 10% contingency, would be $1.44M. A decision to reject these bids or award a contract can be deferred through mid-June. Evaluation of the bids concluded that Value Engineering (VE) alternatives plus selection of all deductive bid items could lower the price by up to $180,000.
April 7, 2020 Council Comments: Defer, Reserve Funds for Project
May 5, 2020 Staff Recommendation: Defund/Future Project. Reject bids in June. Rebid in future with VE and other deductive items incorporated into the base bid.
- (Three CIP Projects) The FY 2019/20 Citywide Paving Project, coupled with the San Carlos Street Bike Route and San Carlos Street Median Islands, are on hold in final design. The next steps will be to host a second public meeting, seek input from the Planning and Forest and Beach Commissions and the City Council, prior to advertising this $973,509 project for bids. The budget for this project includes approximately $417,000 in external revenues. As in past years, the design consultant fees will be credited to the Maintenance of Effort (MOE) funding requirement of $557,000, and starting now, actual city staff time will also be credited to the MOE.
April 7, 2020 Council Comments: Defund only the Median Islands, Proceed with the Paving and Bike Route Projects
May 5, 2020 Staff Recommendation: Proceed with all three (3) Projects and carry-over Funds into FY 2020/21. The Medians are half-funded by a donation already received, and median island landscape options were already presented at a public meeting workshop.
- Scenic Pathway Reconstruction. Bid documents were in progress by staff to replace a segment of the Scenic Pathway. Once released from hold, the bid documents could be completed, and bidding for construction of this $230,000 project could be underway.
April 7, 2020 Council Comments: Defund
May 5, 2020 Staff Recommendation: Defund/Future Project. Public Works will endeavor to perform some of the work in-house.
- Scout House Roof Replacement and Scout House Renovation - Design. Council awarded a $62,720 contract for roof reconstruction, leaving $12,280 available to start the renovation design. The roof project is currently under construction and moving forward. However, an additional $60,000 would be needed to design the Scout House renovation.
April 7, 2020 Council Comments: Continue Roof, Defund Renovation
May 5, 2020 Staff Recommendation: Continue Roof, Defund Renovation/Future Project
- Quotes were received for a new Backup Generator at the Harrison Memorial Library, predominately to backup the IT servers and essential computer equipment. The quotes were under the $60,000 budget. The next step would be to present the project to the Planning Commission and process a building permit.
April 7, 2020 Council Comments: Defund
May 5, 2020 Staff Recommendation: Defund/Future Project
- Climate Change Plan. The current FY 2019/20 CIP budget allocated $55,000 for a consultant to prepare a Vulnerability Study for the Climate Change Committee. Consultants have submitted proposals for this work; however, the consultant selection process, as well as an award of a professional services agreement with the selected consultant, are on hold.
April 7, 2020 Council Comments: Defund, but approve $30,000 for the FY 2020/21 CIP Budget
May 5, 2020 Staff Recommendation: Defund, Continue Committee
- The Harrison Memorial Library Exterior Painting Project was budgeted at $46,000 based on the remaining available funds during the FY 2019/20 CIP Budget cycle, not based on a cost estimate. Due, in part, to lead paint suspected around eves and windows, the estimated cost of the Project is $100,000.
April 7, 2020 Council Comments: Defund
May 5, 2020 Staff Recommendation: Defund/Future Project. Public Works will endeavor to perform some of the work in-house.
- Computer Server Resilience. While none of the $35,000 funds have been expended to date, plans were underway to purchase vital computer equipment contingent on the City's finances.
April 7, 2020 Council Comments: Defund
May 5, 2020 Staff Recommendation: Defund/Future Project
- Tree Planting Initiative. A separate, but overlapping CIP Project, called "Downtown Tree Project," was nearly complete prior to being placed on hold. Since there is only a small project fund balance, it is recommended that the Downtown Tree Project be closed out and the balance return to the end balance.
This other Tree Planting Initiative Project, which had an initial budget of $27,003, was intended to be carried forward for a second year, contingent on the City's finances, to plant any additional downtown trees, continue to experiment with other forestry techniques, such as testing tree diapers, as well as to provide resources to supplement the Friends of Carmel Forest, Friends of Mission Trails Nature Preserve, and others.
April 7, 2020 Council Comments: Defund
May 5, 2020 Staff Recommendation: Defund both the Downtown Tree Project and this Tree Planting Initiative. Use existing Tree Restoration Funds and the Public Works Forestry Operating Budget for tree projects in FY 2020/21.
Category II – Proposed New Projects for FY 2020/21
Overall, thirty (30) new projects, valued at $2,774,416, have been identified in FY 2020/21 as described below. These projects include streets and drainage infrastructure improvements, facility and library betterment projects, urban forest and park enhancements, and vehicle and equipment purchases.
Streets:
- Several existing, but heavily damaged and deforming concrete street segments have been identified for reconstruction as part of the City’s Annual Pavement Rehabilitation Program FY 2020/21. These streets include Ocean Avenue, between Monte Verde and San Antonio, the entire intersection of Ocean and San Antonio, and San Carlos, between Fifth and Sixth Avenues, including both intersections. Once the concrete is removed, it may be paved with new concrete, or asphalt pavement, or both concrete with an asphalt pavement overlay. Bike route markings and signage would be included along San Carlos Street.
The City is required to commit $557,048 in FY 2020/21 to meet our MOE funding level to receive state funds. In addition to the $557,048 requested, this project will be augmented by an estimated $179,000 from Measure X, $95,070 from Highway User Tax, and $66,298 from the Road Maintenance and Rehabilitation Act, for a total project cost of $897,416.
- Sidewalk Repairs. For cost-effectiveness based on greater quantities of work, concrete and asphalt sidewalk repairs would be included in the above concrete street reconstruction project. A budget of $107,000, part of the City's MOE total of $557,048, would be earmarked for sidewalk repairs.
April 7, 2020 Council Comments: Tentatively Selected
May 5, 2020 Staff Recommendation: Defer. May have financial impact in future years due to MOE requirements.
Drainage:
- Design of Drainage Pipe Repairs and System Bottleneck Corrections. The City-wide Drainage Master Plan is nearing completion. This Plan identified numerous spot repairs needed to our existing underground storm drain pipes, and identified several "bottlenecks" in the drainage system which results in excess surface runoff flowing down streets and onto private properties in several locations during heavy storms. The proposed $200,000 project would be for a consultant to design all of these repairs efficiently at one time, for subsequent construction over a number of future years based on a prioritized rankings noted in the Plan and funding availability.
April 7, 2020 Council Comments: Tentatively Selected
May 5, 2020 Staff Recommendation: Defer
- The Backup Generator at the Park Branch Library is nearing the end of its useful life. If the generator is not replaced, at an estimated cost of $15,000, the generator could fail during storms resulting in flooding in the library basement.
April 7, 2020 Council Comments: Fund
May 5, 2020 Staff Recommendation: Fund
Facility Projects:
- The Sunset Center Exterior Painting Project is proposed in two phases. This first phase would be to remediate asbestos and lead paint on the exterior, make repairs to windows, doorjambs, and other prep work, with a cost estimate of $100,000. A subsequent phase 2 would be to actually paint the exterior walls of the building.
April 7, 2020 Council Comments: Tentatively Selected
May 5, 2020 Staff Recommendation: Defer
- As noted above, the Scout House Renovation Design has only $12,280 remaining. An additional $60,000 would be needed to pay for the design of the renovation design. Future funding would also be required for the actual renovation work.
April 7, 2020 Council Comments: Defer
May 5, 2020 Staff Recommendation: Defer
- As noted above, the Harrison Memorial Library Exterior Painting Project was initially budgeted at $46,000.The estimated cost of the Exterior Painting, including lead paint abatement, is $100,000. Additional funding of $54,000 would be needed to proceed with this project.
April 7, 2020 Council Comments: Defer
May 5, 2020 Staff Recommendation: Defer, Public Works will endeavor to perform some of the work in-house.
- Flanders Mansion Maintenance: The Facility Maintenance operating budget in Public Works has been insufficient to proactively maintain City buildings, especially older facilities like Flanders Mansion. Recently, new roof leaks were encountered, termites had to be eradicated, and other repairs were pending prior to COVID19. Making these repairs, when needed, would be prudent in order to provide basic upkeep of the building. A supplemental operating budget allocation of $20,000 is needed to provide a reasonable level of maintenance service.
April 7, 2020 Council Comments: Defer
May 5, 2020 Staff Recommendation: Defer. Note that the level of building maintenance services and the property’s overall condition will continue to deteriorate.
- Forest Theater Truss: Theater representatives and staff tentatively agreed to split the cost of a new truss spanning over the Forest Theater stage at a City cost of $17,000.
April 7, 2020 Council Comments: Defer
May 5, 2020 Staff Recommendation: Defer
- ADA Upgrades, Year 3. Based on the results of the 2018 ADA Transition Plan, funding should be programmed each year to demonstrate good faith efforts to address disability obstacles across the City. Year 2 (FY 2019/20) included ADA upgrades to the restrooms of the Park Branch Library and in Devendorf Park. Many of these improvements have been installed by staff at significant savings over contractor installations, but materials and vendors are still necessary. For Year 3, $16,000 is recommended.
April 7, 2020 Council Comments: Fund
May 5, 2020 Staff Recommendation: Fund
Forestry, Parks and Beach Projects:
- Staff recommends hiring an engineering consultant at a cost of $125,000 to Design Stream Restoration and Erosion Control Measures for the Mission Trails Nature Preserve, as recommended in the 2019 Stream Stability Report. Construction of eight (8), inter-related projects would be constructed over subsequent years, subject to funding availability. One of the most urgent, safety-related projects would be proper abandonment of the water well and removal of the above ground tank. The stream restoration design is also needed to obtain various environmental permits and provide better opportunities to be awarded grant funding for "shovel-ready “projects.
April 7, 2020 Council Comments: Defer
May 5, 2020 Staff Recommendation: Defer
- A Forestry Management Plan, estimated to cost $40,000, was requested by the new City Forester to replace existing, but outdated plans. The updated plan would set the foundation for forestry and park activities for many years into the future.
April 7, 2020 Council Comments: Defer, Combine with Fire Risk Assessment?
May 5, 2020 Staff Recommendation: Defer. Possibly begin a long internal process of organically preparing our own Plan with in-house resources.
- Mission Trail Nature Preserve has made marked improvements in recent years. To continue with invasive tree and stump removals, revegetation efforts, signage, and trail enhancements, $25,000 is recommended. (This would be in addition to the cost of designing the stream stability projects noted above.)
April 7, 2020 Council Comments: Fund
May 5, 2020 Staff Recommendation: Fund. Council may set a higher or lower level of funding for this Project. Many of the larger invasive trees would require tree contractors to remove; however, Public Works Forestry crews would be able to remove or prune some of the smaller, more-accessible trees as time permits.
- The North Dunes Habitat Restoration Project has also made noticeable improvements in recent years. To continue biological monitoring and reporting of endangered and sensitive species, as well as to continue post and cable railing protective measures, new interpretive signage, and other enhancements, $10,000 is recommended.
April 7, 2020 Council Comments: Fund
May 5, 2020 Staff Recommendation: Fund. Council may set a higher or lower level of funding for this Project.
Vehicle and Equipment Project:
- A new Police Vehicle C8 to replace the 2012 Expedition, $60,000.
April 7, 2020 Council Comments: Defer
May 5, 2020 Staff Recommendation: Defer
- A new Police Vehicle C5 to replace the 2014 Charger, $55,000.
April 7, 2020 Council Comments: Defer
May 5, 2020 Staff Recommendation: Defer
- Six (6) additional police Barriers, $45,000, would supplement the eight (8) barriers acquired earlier in this FY.
April 7, 2020 Council Comments: Defer
May 5, 2020 Staff Recommendation: Defer
- A new, Shared Vehicle for Community Planning & Building inspector and code enforcement coordinator, $30,000.
April 7, 2020 Council Comments: Defer
May 5, 2020 Staff Recommendation: Defer
- A new, Automated External Defibrillator (AED) for the ambulance, $25,000.
April 7, 2020 Council Comments: Fund
May 5, 2020 Staff Recommendation: Defer. Existing AED was repaired.
- New small vehicle/golf cart-like Water Truck, $15,000, for more efficient and cost-effective watering operations.
April 7, 2020 Council Comments: Defer.
May 5, 2020 Staff Recommendation: Defer
Environmental Projects:
- A consultant is needed to provide technical support to update the Trash and Storm Water Ordinances so that the City remains in compliance with state regulatory mandates, $30,000.
April 7, 2020 Council Comments: Fund $15,000. Perform as much as possible in house.
May 5, 2020 Staff Recommendation: Defer. Public Works will endeavor to perform some of the work in-house..
- The Climate Change Committee initially requested $30,000 for supplemental technical support in the new FY. This funding could be used to expand the scope of services, and increase the cap of the professional services agreement with the consultant who will be preparing the vulnerability study
April 7, 2020 Council Comments: Fund this $30,000 Project. Defund the existing, FY 2019/20 Category I Project ($55,000).
May 5, 2020 Staff Recommendation: Defer. Continue Committee Meetings.
- To proceed with an Underground Utility District, initial planning, engineering, and surveying would be required for $25,000 to generate a formal plat and legal description. This District would be eligible for use of Rule 20A funds for subsequent design and installation. Approximately $900,000 is available to the City in PG&E's Rule 20A account. Note that the California Public Utilities Commission is currently revising the methodology to utilizing Rule 20A funds.
April 7, 2020 Council Comments: Refine the Scope of Work for a consultant to propose the methodology to form such a District, provide cost estimates, identify pros and cons for various District locations, including a full, City-wide District, and support public workshops and/or committees to initiate this as a long-term project.
May 5, 2020 Staff Recommendation: With staff’s rough order of magnitude cost estimate of $65 million to underground all aerial lines in the City, coupled with the changing requirements for using Rule 20A funds, staff recommends to Defer.
- Shared Fire Risk Assessment with costs shared with the Cities of Monterey and Pacific Grove, $20,000.
April 7, 2020 Council Comments: Combine with Forest Management Plan?
May 5, 2020 Staff Recommendation: Defer
IT Projects:
- Uninterrupted Power Supply Systems: $20,000, to protect our computer systems and secure the City's data from power disruption.
April 7, 2020 Council Comments: Defer
May 5, 2020 Staff Recommendation: Defer
- GIS Development, Phase 2, $20,000, to incorporate additional, available data from external sources and from City files, into the geodatabase, and establish initial applications for staff to use the GIS to streamline work processes, such as permit processing.
April 7, 2020 Council Comments: Defer
May 5, 2020 Staff Recommendation: Defer
- The City Clerk has requested a consultant to develop a Document Retention Schedule for $20,000.The City needs to be retaining records according to current regulations. The City's current, adopted retention schedule is based on the State's guidelines which are now out of date, and some City records are not included in those guidelines which may put the City at risk.
April 7, 2020 Council Comments: Defer
May 5, 2020 Staff Recommendation: Defer
Library Projects:
- The following three (3) projects for the Harrison Memorial Library could be considered a "conceptual package deal.” Should the City invest $100,000 to paint the interior of the library, and another $100,000 to replace the carpeting, the Library Board and donors would be satisfied that the City has been meeting its long term maintenance obligation for this historic building. The suggestion is that this investment by the City could leverage up to $500,000 of donations to the library for extensive interior renovations, including shelving, furniture, and lighting.
April 7, 2020 Council Comments: Mayor/Council to discuss with Board/Donors
May 5, 2020 Staff Recommendation: Pursue Donors. If successful, some projects could be fast-tracked to complete certain renovation projects while the building is closed or has restricted hours due to COVID19.
5-Year Capital Improvement Plan
Attachment #1 is a preliminary Capital Improvement Plan that was updated to reflect the actions of the April 7 Council meeting as well as anticipated May 5 Council direction. Basically, projects that were previously funded but now defunded or deferred, and the proposed FY 2020/21 projects that are being deferred were shifted into Year #2 (FY 2021/22) and Year #3 (FY 2022/23). To reflect all long range projects previously planned, an additional year, Year #6 (FY 2025/26) is included.
The final 5 (or 6) year Capital Improvement Plan will be included in the FY 2020/21 CIP Budget for planning purposes only.