1994 AGN AUG 16 I19 - Laserfiche WebLink

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CITY OF COLTON AGENDA REPORT (Continued) FOR COUNCIL MEETING OF AUGUST 16, 1994 SUBJECT: AUTHORIZATION TO ISSUE CAPITAL IMPROVEMENTS PROPOSED REVENUE BONDS ALTERNATIVES PURCHASE ORDERS FOR TO BE FUNDED FROM The City Council could elect to delay the issuance of the purchase orders until such time as the budget and the bond sale are finalized. This may have severe consequences by increasing the costs of bids already awarded and extending the scheduling of the transmission project thus failing to comply with specific deadlines to provide permanent electric service to the new county hospital. FINANCIAL IMPACT The Electric Utility has included funding of the costs in the current fiscal year capital improvements through the sale of electric utility revenue bonds. Until these are sold, funding is not available except by use of departmental operating funds which will be repaid when bond funds are received. During this process, it is extremely important that the Department adhere to the construction schedule, including the receipt of bids and the issuance of purchase orders. ENVIRONMENTAL IMPACT There are no environmental impacts as a result of this action. RECOMMENDATION Staff recommends that the City Council authorize the Purchasing Department to issue purchase orders from the Electric Utility operating budget for the award of the bid for steel towers and the acquisitions of the acreage for the proposed new substation. Funding of these purchase orders will be repaid following the sale of the Electric Utility revenue bonds,., City Manager's Concurrence: REPORT PREPARED BY THOMAS K. CLARKE, ACTING ELECTRIC UTILITY DIRECTOR Page 2 of 2 Item No.