Title
a. Authorize the Auditor-Controller to increase appropriations and revenues in the CAO’s Other Financing Uses, Fund 001-1050-8038-CAO017 in the amount of $281,565 in the FY 2017-18 Adopted Budget, where the financing source is the General Capital Assignment fund balance, 001-3065 (4/5th vote required); and
b. Authorize the Auditor-Controller to transfer $281,565 from the CAO’s Fund 001-1050-8038-CAO017 to the Capital Projects Fund, 402-3000-8468-RMA014 for the Jail Security Improvement Project Phase 4 (4/5th vote required).
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors:
a. Authorize the Auditor-Controller to increase appropriations and revenues in the CAO’s Other Financing Uses, Fund 001-1050-8038-CAO017 in the amount of $281,565 in the FY 2017-18 Adopted Budget, where the financing source is the General Capital Assignment fund balance, 001-3065 (4/5th vote required); and
b. Authorize the Auditor-Controller to transfer $281,565 from the CAO’s Fund 001-1050-8038-CAO017 to the Capital Projects Fund, 402-3000-8468-RMA014 for the Jail Security Improvement Project Phase 4 (4/5th vote required).
SUMMARY:
The Jail Security Improvement project is comprised of multiple phases 1-4. The Resource Management Agency (RMA) began working on Phases 1-3 which included improvements relating to video surveillance, suicide prevention and accessibility. Because of a litigation settlement, an increase in the project scope was added to include a door locking control system that will be integrated with the newly upgraded camera system. While the Board of Supervisors (Board) has taken previous action in identifying the financing sources for all project phases, not all funds needed have been appropriated in the CAO017 FY 2017-18 Adopted Budget and transferred to the Capital Projects Fund 402. Authorizing the above actions will increase appropriations in CAO017 by $281,565 and transfer the remaining funds needed to complete the project.
DISCUSSION:
The County Jail complex consists of a rehabilitation facility, women’s facility, main jail, and Reception Center. Each of these areas has its own closed circuit television (CCTV) monitoring system and these cameras were in dire need of an upgrade. As recommended by site surveys and assessments completed in 2015 and 2016, the RMA facilitated the design and construction of Jail Security Improvements Phases 1-3 in FY 2015-16 and FY 2016-17. Those phases included ADA upgrades, reduction of tie-off points for suicide prevention, and installation of a new video surveillance system. The project budget for Phase 1-3 was originally estimated at $4,864,260, with a completion date of September 2017.
Litigation settlement resulted in an increase in project scope to include a fourth phase for Jail Security Improvements to include a new door locking control system that will be integrated with the newly upgraded camera system. The project budget for Phase 4 was originally estimated at $3,044,621, bringing the total project budget for Jail Security Improvements (Phases 1-4) to $7,908,881.
The identified financing sources for all phases, 1-4, were derived from multiple sources:
• $700,000 came from the available fund balance within the Capital Projects Fund 402
• $371,196 came from FY 2014-15 General Fund ending unassigned fund balance
• $6,837,685 from strategic reserves that were transferred to the General Capital Assignment (BSA 3065)
To date the total amount of funds allocated to the Jail Security Improvement project for all phases, 1-4 total $4,864,260. The $4,864,260 is comprised of the $700,000 from Fund 402 fund balance, Board approval to transfer funds in the amount of $371,196 on June 7, 2016, agenda item 63 and on December 13, 2016 in the amount of $3,793,260, agenda item 48.
The project for Phase 1-3 was completed on time at a cost of $3,479,321 resulting in a project savings of $1,384,939.
It was anticipated that there would be cost savings from Phase 1-3 in the amount of $800,000, as discussed in the December 13, 2016 Board report, that could be used to offset funding needs for Phase 4. On March 14, 2017, the Board authorized the transfer of $2,244,621 ($3,044,621-$800,000) from the Strategic Reserves to the General Capital Assignment to cover the additional costs for upgrades to the jail security panels and door locks required by the Hernandez v. County of Monterey implementation plan. The project for Phase 4 is expected to be completed before the end of this current Fiscal Year 2017-18 at a cost of $1,666,700 or $1,377,921 below budget, bringing the total estimated project cost for Jail Security Improvements (Phases 1-4) to $5,146,021.
Staff is requesting the Board to approve and authorize the Auditor-Controller to transfer the balance of funds needed in the amount of $281,565 to fully fund the Phase 4 ($4,864,260+$281,565=$5,146,021).
There are sufficient appropriations in the FY 2017-18 Adopted Budget for the Capital Projects Fund, 402-3000-8468-RMA014 as the Adopted Budget included $2,099,904 in appropriations to complete the Phase 4 where the revised appropriation need is $973,975. However, to enable the transfer of remaining $281,565, appropriations and corresponding revenues in CAO’s Other Financing Uses, Fund 001-1050-8038-CAO017 needs to be increased in the amount of $281,565 in FY 2017-18 Adopted Budget, where the financing source is the General Capital Assignment fund balance, 001-3065.
OTHER AGENCY INVOLVEMENT:
RMA worked in collaboration with the County Administrative Office (CAO) Budget & Analysis Division and County Counsel in preparing this report.
FINANCING:
On March 14, 2017, the Board of Supervisors authorized the transfer of $9,509,621 ($7,265,000+$2,244,621) from the Strategic Reserve (BSA 3111) to the General Capital Assignment (BSA 3065). The $7,265,000 was to reimburse the general fund for jail-related capital improvements and settlement costs related to the Hernandez v. County of Monterey implementation plan. The $2,244,621 was to cover additional costs for upgrades to the jail security panels and door locks required by the Hernandez v. County of Monterey implementation plan. While $2,244,621 was allocated from the Strategic Reserve in General Capital Assignment 001-3065, towards Phase 4 of the Jail Security Improvements, now estimated to cost $1,666,700 or $577,921 lower than the allocation from the Strategic Reserve, none of these funds have been transferred to the Capital Projects Fund 402.
The recommended action will increase appropriations and corresponding revenues in the CAO’s Other Financing Uses, Fund 001-1050-8038-CAO017 to enable the transfer of funds in the amount of $281,565 from the General Capital Assignment fund balance account 001-3065 and then a transfer of said funds from Other Financing Uses Unit 8038 to the Capital Projects Fund 402-3000-8468-RMA014 to fully fund the Project (all phases).
BOARD OF SUPERVISORS STRATEGIC INITIATIVES:
The recommended action supports the Board of Supervisor’s Strategic Initiatives by planning and developing a sustainable, physical infrastructure that reduces risks and creates a safer environment, in addition to reducing access points for inmates to harm themselves, increasing visibility for both inmates and the Sheriff Office’s personnel in the County Jail.
__Economic Development
__Administration
X Health & Human Services
X Infrastructure
X Public Safety
Prepared by: Ma Mon, Finance Manager, (831)755-4823
Prepared by: Dave Pratt, Project Manager II, (831)755-6091
Approved by: Shawne Ellerbee, RMA Deputy Director of Administrative Services
Approved by: Carl P. Holm, AICP, RMA Director
The following attachment is on file with the Clerk of the Board:
Attachment A - Summary of Project Budget