12 - Operations and CIP Carry Forward Request - Fiscal Year 2013-14 Costa Mesa Sanitary District
…an Independent Special District
Protecting our com munity’s health and the environment by providing solid waste and sewer collection services.
www.cmsdca.gov
Memorandum
To: Board of Directors
Via : Scott Carroll, General Manager
From : Stacey Cuevas, Finance Manager
Date: August 29, 2013
Subject: Operations and CIP Carry Forward Request – FY 2013 -14
Summary
Each year the Board of Directors approves ope rating and capital improvement project
(CIP) budget s . The nature of capital improvement projects is such that their scope and
size inherently precludes them from being completed within the fiscal year in which
funding was initially appropriated. In addition, the District was awarded a grant in April
2010 to enhance recycling programs that has been spent over the last three years and will
expire December 31, 2013. All appropriations lapse at the end of each fiscal year, and
therefore it is necessary to re quest the unspent appropriations for these projects be
carried over in to the subsequent fiscal year.
Staff Recommendation
That the Board of Directors approves the carry forward appropriations from FY 2012 -
13 in the following amounts:
1. Operations: $ 90,931 .42
2. Capital Improvement Projects : $3,442,476.62
Analysis
The OC Waste & Recycling Grant is in its last year where grant money is used to spend
on composting machines, FOG funnels, composting workshops, giveaways made of
recycled materials, and creating educational flyers and pamphlets. Available grant money
ITEM NO. 12
Board of Directors
August 29 , 2013
Page 2 of 2
in the amount of $25,164.43 needs to be carry forward to continue District recycling
programs. Staff will be applying for the next grant cycle when it becomes available.
In addition, staff needs to carry forward $65,767 to perform piping and valve replacement
at 21 st Street Pump Station. The piping and valves at this station has reached the end of
their useful life and therefore needs replacement. Staff has solicited bids for this project
and an agreement has been prepared for the contractor. Work is ready to begin, but
funding is needed, which is why staff is recommending the carry forward.
The capital improvement projects described below are underway and need their approved
appropriat ion to be carry forward to ensure money is available for completion. All the
projects identified below, except for Project 200601, will be complete in FY 2013 -14. Any
funding balance after completion of the projects will be transferred back into the Asse t
Management Fund.
Project Description Carry forward FY 13 -14
200601 Westside Pump Station Abandonment $ 1,635,786.37
201293 Seismic Refurbish. $ 30,798.06
201296 Pump Station Emergency Equipment $ 995,428.20
System wide Sewer Rehab Ph ase 3 $ 611,147.24
201298 Force Main Analysis $ 169,317.75
Total $ 3,442,476.62
Strategic Plan Element & Goal
This item supports achieving Strategic Element No. 7.0, Finances , and Strategic Goal No.
7.6, Monitor the asset management pro gram.
Legal Review
Not applicable
Financial Review
The total amount to be carried forward for CIP is $3,442,476.652 . The total amount to be
carried forward for Operations is $90,931 .42 . The funding for the projects listed above
was app roved in the Fisc al Year 2012 -13 Budget.
Public Notice Process
Copies of this report are on file and will be included with the entire agenda packet for the
August 29, 2013 Board of Directors regular meeting at District Headquarters and on
District’s website.
Alternative Actions
1. Refer the matter back to staff