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HomeMy WebLinkAbout08.c. Approve FY 2012-13 Capital Improvement Budget funding authoirization TableCentral Contra Costa Sanitary District ' 8.c BOARD OF DIRECTORS POSITION PAPER Board Meeting Date: September 6, 2012 subject: APPROVE A REVISED 2012 -13 CAPITAL IMPROVEMENT BUDGET FUNDING AUTHORIZATION TABLE (TABLE 1) WITH ACTUAL RATHER THAN ESTIMATED CARRYOVER OF UNSPENT FUNDS PREVIOUSLY ALLOCATED TO ONGOING PROJECTS, AND REVISED TOTAL 2012 -13 AUTHORIZATIONS FOR EACH PROGRAM Submitted By: Initiating DeptJDiv.: Earlene Millier, Engineering Assistant III Engineering /Environmental Services REVIEWED AND RECOMMENDED FOR BOARD ACTION: � ` E. Millier 79 T. Brightbill A J. Miya to -Mills ave�� - Ann E. Farrell General Manager ISSUE: Board approval of the revised 2012 -13 Capital Improvement Budget (CIB) funding authorization table (Table 1) will result in an accurate presentation of the actual authorized funding level for the current budget year. RECOMMENDATION: Approve a revised 2012 -13 CIB funding authorization (Revised Table 1), and total 2012 -13 revised authorizations for each program. FINANCIAL IMPACTS: Planned expenditures have not changed. ALTERNATIVES /CONSIDERATIONS: The Board could direct staff to modify the CIB by canceling and closing some ongoing projects to reduce the carryover of previously allocated funds, or defer some planned 2012 -13 allocations to reduce "Allocations This Fiscal Year" and thus keep the total funding authorization level consistent with the estimates included in the approved CIB. This alternative is not recommended. BACKGROUND: The Board approved the CIB for inclusion in the FY 2012 -13 District Budget and adopted the budget on June 7, 2012. Final expenditures for FY 2011 -12 were not known at that time, and therefore, Table 1 of the CIB included estimated amounts for funds previously allocated to ongoing projects, but unspent at the end of the fiscal year, referred to as "carryover ". Now that actual 2011 -12 expenditures for capital projects are known, Table 1 has been revised to reflect the actual carryover amounts. The difference in carryover between estimated and actual carryover (approximately $4.6 million) is due primarily to changes in the timing of projects, which left allocated funds unspent at the end of the fiscal year. Allocated but unspent amounts are carried over to the next fiscal year. Because of the project changes and consequent higher carryover, the Total Proposed Authorization is now $45,547,749. POSITION PAPER Board Meeting Date: September 6, 2012 Subject APPROVE A REVISED 2012 -13 CAPITAL IMPROVEMENT BUDGET FUNDING AUTHORIZATION TABLE (TABLE 1) WITH ACTUAL RATHER THAN ESTIMATED CARRYOVER OF UNSPENT FUNDS PREVIOUSLY ALLOCATED TO ONGOING PROJECTS, AND REVISED TOTAL 2012 -13 AUTHORIZATIONS FOR EACH PROGRAM It is appropriate for the Board to approve the revised 2012 -13 CIB Table 1 with actual, rather than estimated carryover of allocated but unspent funds for ongoing projects, and total 2012 -13 revised authorizations for each program. Attachment 1 includes the Original Table 1 included in the approved CIB and the Revised Table 1 that includes actual carryover and total program authorizations. RECOMMENDED BOARD ACTION: Approve the revised 2012 -13 Capital Improvement Budget funding authorization table with actual, rather than estimated, previously allocated but unspent funds for ongoing projects, and total 2012 -13 revised authorizations for each program. N: \ENVRSEC \Position Papers\Millier\2012 \9- 6 -12 \PP Revised Table 1 - 9-6 -12 FINAL.doc Page 2 of 2 ATTACHMENT 1 ORIGINAL — Table 1: Capital Improvement Budget Summary for Fiscal Year 2012 -13 (Adopted June 7, 2012) Program Estimated Allocation this FY Estimated Carryover from Previous FY Total Proposed Authorization Estimated FY 2012 -13 Expenditures Treatment Plant $8,300,000 $1,944,000 $10,244,000 $7,436,000 Collection System $8,611,000 $9,013,000 $17,624,000 $13,723,000 General Improvements $8,520,000 $176,000 $8,696,000 $7,254,000 Recycled Water $4,170,000 $216,000 $4,386,000 $3,930,000 Total this FY $29,601,000 $11,349,000 $40,950,000 $32,343,000 REVISED — Table 1: Capital Improvement Budget Summary for Fiscal Year 2012 -13 (Revised September, 2012) Program Estimated Allocation this FY Actual Carryover from Previous FY Total Proposed Authorization Estimated FY 2012.13 Expenditures Treatment Plant $8,300,000 $6,227,535 $14,527,535 $7,436,000 Collection System $8,611,000 $6,284,290 $14,895,290 $13,723,000 General Improvements $8,520,000 $2,870,572 $11,390,572 $7,254,000 Recycled Water 1 $4,170,000 1 $564,3521 $4,734,352 1 $3,930,000 Total this FY 1 $29,601,000 1 $15,946,7491 $45,547,749 1 $32,343,000