The City Clerk budgeted $115,000 in FY 2018 to replace the audio system in the Council Chambers/Municipal Courtroom.  The Clerk issued an RFP for audio and video upgrades and a staff committee recommended the proposal submitted by AVI Systems.  The Clerk presented three audio/video proposals to the Council at the January 2, 2018 work session.  The audio system can be replaced within the budgeted amount but two proposals also included video and additional audio enhancements.  The City Council directed staff to work with AVI to develop a proposal that will replace all of the audio system and enhance the video capabilities within a proposed maximum budget of $163,000.  The Council indicated that it might be willing to allocate Council Contingency funds for the difference between the budgeted amount and the final price.  Staff and AVI developed a proposal to accomplish the Council's directive and it has a final price of $158,503.  Staff prepared and is presenting to the City Council, a resolution that approves a $43,503 transfer from Council Contingency to the City Clerk budget for the audio/video system replacement. 

The City Council may approve the resolution that transfers $43,503 Council Contingency to the City Clerk's budget, or it may disapprove the resolution and funds transfer.  The City Clerk and AVI developed a proposal that replaces all of the audio system and enhances the video system as described in an accompanying staff report and recommendation.  Staff believes that the proposal meets the directive that the Council gave at the January 2 work session.  If the Council does not approve the resolution and wants to replace only the audio system, the purchase can be accomplished within the approved budget of $115,000. 

The FY 2018 budget for audio/video system replacement is $115,000.  The City Clerk's budget is an account/division within the General Fund.  The Council Contingency is also a General Fund division and is budgeted $65,000 annually.  The account has historically been used to take advantage of opportunities that were not identified when the Council approved the annual budget.  The Council rarely spends the entire account balance and $0 have been used in this fiscal year.  If the Council approves the transfer of $43,503, the Contingency account balance will be $21,497. 

Staff recommends that the City Council approve the resolution that transfers $43,503 from Council Contingency to the City Clerk budget to replace the audio and video systems in the Council Chambers/Municipal Courtroom.