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HomeMy WebLinkAbout2011/05/10 Item 06CITY COUNCIL AGENDA STATEMENT ~~ CITY OF _ 1 ~'"" CHULAVISTA 5/10/ll, Item ITEM TITLE: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROPRIATING, FOR TRENCH REPAIIZ EXPENSES INCURRED BY THE CITY, $46,134.20 TO THE CIP PROJECT EXPENDITURES CATEGORY OF THE NON- DEPARTMENTAL BUDGET, WHICH APPROPRIATION SHALL BE OFFSET BY THE UNANTICIPATED REVENUE RECEIVED FROM THE UTILITY COMPANIES SUBMITTED BY: DIRECTOR OF PUBLIC WORKS ~~ ASSISTANT DIREC F ENGINEEACl~ REVIEWED BY: CITY MANAGER ~~ ASSISTANT CITY ANAGER °i 4/STHS VOTE: YES ® NO ^ SUMMARY During the construction phase STL335A, Pavement Rehabilitation, it was identified that several utility company trenches had failed. In an effort to complete the project, the City agreed to repair the trenches subject to reimbursement of associated expenses by the utility companies. This agenda statement authorizes the appropriation of unanticipated revenues to the General Fund for trench repair expenditures. ENVIRONMENTAL REVIEW The Director of Development Services has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that there is no possibility thaC the activity may have a significant effect on the environment; therefore, pursuant to Section 15061(b)(3) of the State CEQA Guidelines the activity is not subject to CEQA. Thus, no environmental review is necessary. RECOMMENDATION Council adopt the resolution. BOARDS/COMMISSION RECOMMENDATION Not applicable. 6-1 5/10/ll, Item Page 2 of 2 DISCUSSION During the construction phase of STL335A, Pavement Rehabilitation, it was identified that several utility company trenches had failed and immediate repair was required to complete the project. The most cost effective way to address unanticipated failures during construction is to reach agreement with the responsible agency to pay for the cost of the repair. Immediate repair avoids additional City expenses associated with delays in construction and keeps the project on target in Cerms of budget and delivery schedule. It also guarantees that the qualified contractor working on the project performs the work within the City's specifications. Utilities benefit from the competitively bid prices and avoid disruption to their planned project schedules. This is a win-win solution commonly used when problems must be addressed in the construction phase of a project. h was agreed upon that the City would repair the trenches and the utility companies would reimburse the expenses. A total of $46,134.20 for failed trench repairs was received from the utility companies. DECISION MAKER CONFLICT Staff has reviewed the decision contemplated by this action and has determined that the decision concerns repairs, replacement, or maintenance of existing streets or similar facilities and, therefore, there is not a material financial effect of the decision on the property holdings of the City Council members pursuant to California Code of Regulations Sections 18704.2(b)(2) AND 18705.2(b)(1). CURRENT YEAR FISCAL IMPACT There is no impact to the General Fund. Appropriation of the reimbursement in the amount of $46,134.20 to the General Fund is required. The following is a summary of funds received from each utility company. A enc Amount Sweetwater Authority $13,254.44 AT&T $20,916.36 Cox Communications $11,963.40 Total $46,134.20 ONGOING FISCAL IMPACT None. This is one-time revenue used to offset one-time expenditures incurred by the General Fund. ATTACHMENTS None. Prepared by: Merce LeClair, Sr. Mar2agement Analyst, Public Works / Engineering J:IEngineerlAGENDAICAS20/l105-LO-IIIUtlitiy Trench Repair S7Z335 Reiwzb Ftnal?.doc 6-2 RESOLUTION NO.2011- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROPRIATING, FOR TRENCH REPAIR EXPENSES INCURRED BY THE CITY, $46,134.20 TO THE CIP PROJECT EXPENDITURES CATEGORY OF THE NON- DEPARTMENTAL BUDGET, WHICH APPROPRIATION SHALL BE OFFSET BY THE UNANTICIPATED REVENUE RECEIVED FROM THE UTILITY COMPANIES WHEREAS, during the construction phase of project STL335A "Pavement Rehabilitation", it was identified that several utility company trenches had failed prior to any work being completed by the City; and WHEREAS, in an effort to complete the project, the City agreed to repair the trenches subject to reimbursement of associated expenses by the utility companies. The breakdown of the reimbursement amounts is as follows: A enc Amount Sweetwater Authority $13,254.44 AT&T $20,916.36 Cox Communications $11,963.40 Total $46,134.20 WHEREAS, appropriation of the reimbursement amount to the General Fund is required; and WHEREAS, this is one-time revenue used to offset one-time expenditures incurred by the General Fund; and NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby appropriate, for trench repair expenses incurred by the City, $46,134.20 to the CIP Project Expenditures category of the Non-Departmental budget, which appropriation shall be offset by the unanticipated revenue received from the utility companies. Presented by Richard A. Hopkins Director of Public Works 6-3