The URL can be used to link to this page

Home My WebLink AboutA2 Building CIP Commission Memorandum REPORT TO: Honorable Mayor and City Commission FROM: Anna Rosenberry, Administrative Services Director SUBJECT: Adopt the Building Inspection Capital Improvement Plan (CIP) for Fiscal Years 2017-2021. AGENDA ITEM TYPE: Action MEETING DATE: November 16, 2015 RECOMMENDATION: Adopt the Building Inspection Capital Improvement Plan (CIP) for Fiscal Years 2017-2021. BACKGROUND: Each year, the City Manager is required to prepare a 5 Year Capital Improvements Plan and submit it to the Commission by December 15th. The Building Inspection, City Manager, and other city staff met in October to develop the attached Capital Plan for the equipment and capital needs of the Building Inspection Division. Items of Note: • The Building Inspection CIP and the Community Development Fund CIP are being presented as Action items tonight so that we can briefly present more detailed information about project GF199 – Professional Building Reconfiguration – Phase 2. This is the next step (proposed for FY18) to further the project that began in this year’s budget. We will begin this item’s presentation time with an update on what is being completed in FY16 and what will remain in the project for FY18. 203 • B103 – Staff Vehicle Addition – this item was moved from Unscheduled to FY17 for $32,500 in order to provide a vehicle for a recently added Fire Inspector position. • Estimates of Growth in Revenues – Our estimates of growth in revenues in this fund are based on a 5 year average, with FY16 estimated at a linear trend rate. For the purposes of the plan, we are showing 5% annual estimated growth. As you can see from the data below, revenues fluctuate greatly from large increases to small decreases. 115 - Building Inspection Revenue history Revenues Change 2011 $1,019,717.00 - 2012 $978,403.00 -4.1% 2013 $1,333,047.00 36.2% 2014 $1,483,742.00 11.3% 2015 $1,539,622.00 3.8% Linear Trend - 2016 $1,750,000.00 13.7% Average FY12- FY16 $1,416,962.80 12.2% UNRESOLVED ISSUES: None. $- $500,000.00 $1,000,000.00 $1,500,000.00 $2,000,000.00 $2,500,000.00 2011 2012 2013 2014 2015 Linear Trend - 2016 Building Inspection Revenues 204 ALTERNATIVES: As suggested by the City Commission. If the Commission does not wish to adopt this schedule tonight, it can be scheduled for approval on a later agenda. FISCAL EFFECTS: This step in the process has no fiscal effect. Once adopted, the Capital Improvements Plan becomes the basis of the City Manager’s Recommended Budget for FY17. Report compiled on: November 9, 2015 Attached: Draft - Building Inspection CIP 205 Building Inspection FundCapital Improvement PlanFinancial SummaryCurrent YearFY16 FY17 FY18 FY19 FY20 FY21 UnscheduledProjected Beginning Reserve Balance Dedicated to CIP 200,000$ 200,000$ 179,050$ (18,177)$ (5,443)$ 7,928$ Plus: Building Inspection Revenues Dedicated to CIP11,000$ 11,550$ 12,128$ 12,734$ 13,371$ 14,039$ ‐$ Less: Scheduled CIP Project Costs (11,000)$ (32,500)$ (209,354)$ ‐$ ‐$ ‐$ (325,000)$ Projected Year‐End Cash Dedicated to CIP 200,000$ 179,050$ (18,177)$ (5,443)$ 7,928$ 21,967$ Assumptions Made for Revenue Estimates: Current YearFY16 FY17 FY18 FY19 FY20 FY21Estimated Annual Building Inspection Revenues 1,750,000$ 1,750,000$ 1,837,500$ 1,929,375$ 2,025,844$ 2,127,136$ Estimated Growth in Revenues‐ 5% 5% 5% 5% 5%Total Estimated Revenues 1,750,000$ 1,837,500$ 1,929,375$ 2,025,844$ 2,127,136$ 2,233,493$ Current Revenues Dedicated to CIP % 0.6% 0.6% 0.6% 0.6% 0.6% 0.6% Plus: Increase Dedicated to Capital Improvements % 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% Total % Dedicated to CIP 0.6% 0.6% 0.6% 0.6% 0.6% 0.6%Total Estimated Revenues Dedicated to CIP 11,000$ 11,550$ 12,128$ 12,734$ 13,371$ 14,039$ ProjectedProjectedCURRENT350,000300,000250,000200,000150,000100,00050,0000Building Inspection Projects & Equipment206 CIP PROJECT FUPROJ.DEPARTMENTPROJECT NAMEFY17UnscheduledFY21FY18FY19FY20Building InspectionBI01BUILDING INSPSTAFF VEHICLE ‐ REPLACEMENTS$325,000BI03BUILDING INSPSTAFF VEHICLE ‐ ADDITION$32,500GF199BUILDING INSPECTIONPROFESSIONAL BUILDING RECONFIGURATION ‐ PHASE 2$209,354$32,500$209,354$325,000Summary for Building Inspection (3 items)Totals by year:$32,500 $209,354$325,000FY21FY17FY18UnscheduledFY20FY19207 CIP Project Fund Building Inspection PROJECT NUMBER BI01 DEPARTMENT BUILDING INSPECTION PROJECT NAME STAFF VEHICLE - REPLACEMENTS FY17 FY18 Unscheduled $325,000 DESCRIPTION OF PROJECT This item is for the scheduled replacement of Building Inspection vehicles based on age and use of the vehicle. Vehicles will be replaced according to the City's Vehicle Replacement policy; generally, 150,000 miles/20 years before replacement of non- emergency vehicles. This program will address the long term vehicle needs of the Building Division by allowing careful replacement of vehicles as vehicle conditions and department needs warrant. Right now, all vehicles are in use by Department staff, averaging approximately 5,000 miles per year. Vehicle Mileage updated October 2015. There are no maintenance issues or significant problems to report. We do regular maintenance and service all of our vehicles and always fix small stuff before it becomes a big problem. ALTERNATIVES CONSIDERED Utilize vehicles beyond the recommendations of the vehicle use policy; consider replacements of different model of vehicle. ADVANTAGES OF APPROVAL Based on the age and use of the vehicle a new vehicle will be purchased as replacement. In the past, vehicles were replaced after 5 years. We are stretching the useful life within the division to match the newly-revised vehicle purchase/replacement policy. ADDITIONAL OPERATING COSTS IN THE FUTURE, IF FUNDED Generally, annual operating and maintenance costs are expected to decrease when older vehicles are replaced with newer ones. More fuel efficiency and lower repair costs are financial benefits. FUNDING SOURCES 100% Building Inspection Fund New Replacement Equipment Project FY19 FY20 FY21 208 CIP Project Fund Building Inspection PROJECT NUMBER BI03 DEPARTMENT BUILDING INSPECTION PROJECT NAME STAFF VEHICLE - ADDITION FY17 $32,500 FY18 Unscheduled DESCRIPTION OF PROJECT The existing vehicle fleet is assigned to current staff (see BI01 - Replacements). The purchase of a new vehicle (alertnatives for most fuel efficient that can accommodate needs will be pursued) will allow the building division to provide a vehicle for the Bozeman Fire Department Fire Inspector. ALTERNATIVES CONSIDERED Have inspectors/staff share vehicles (not likely to be efficient use of inspector time.) ADVANTAGES OF APPROVAL Staff will be adequately equipped to perform building inspections around town. ADDITIONAL OPERATING COSTS IN THE FUTURE, IF FUNDED Annual Operating and Maintenance Costs: Because this is an addition to the fleet, additional gas and maintenance costs will be paid by the Building Inspeciton Fund. Currently, vehicles average 5,000 - 8,000 miles per year. Routine maintenance will be performed as necessary. FUNDING SOURCES 100% Building Inspection Fund New Replacement Equipment Project FY19 FY20 FY21 209 CIP Project Fund Building Inspection PROJECT NUMBER GF199 DEPARTMENT BUILDING INSPECTION PROJECT NAME PROFESSIONAL BUILDING RECONFIGURATION - Phase 2 FY17 FY18 $209,354 Unscheduled DESCRIPTION OF PROJECT The City is responding to growth by adding staff to meet the increased demand for services in our community. We have also reorganized divisions (Community Development) and created other divisions (Stormwater) to improve efficiency and better serve our community. In order to accommodate this grow, we need to remodel the Stiff Building. In FY16 the City Commission approved a Phase 1 of the remodel that will provide a better use of existing space by relocating certain functions to the basement and reclaiming unused square footage. Approval of Phase II would allow the consolidation of Community Development (Planning and Building) together on one floor and the consolidation of Public Works Services (Engineering, GIS and Stormwater) together on another floor. This will allow better coordination of staff and better service to our public. Phase 1 is anticipated to be completed late spring of 2016. ALTERNATIVES CONSIDERED Continue to operate as we are today ADVANTAGES OF APPROVAL Community Development would be able to consolidate its operations and services to allow for an integrated customer-focused service delivery model. It will also provide Public Works with the ability to collocate its services in the Stiff Building. Finally it will help the City to take a planned and efficient approach to building utilization and service optimization. ADDITIONAL OPERATING COSTS IN THE FUTURE, IF FUNDED No additional operating costs anticipated for building reconfiguration. FUNDING SOURCES General Fund, Stormwater, Water, Building Inspection, Community Development New Replacement Equipment Project FY19 FY20 FY21 210