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AGENDA ITEM REVIEW FORM |
5.D.
Regular City Council Meeting
- Meeting Date:
- 03/26/2025
- Department Head:
- Armando Esparza
- Submitted By:
- Yigal Duarte, Economic Development Assistant, Economic Development
Action Requested:
Motion
ITEM:
Discussion and possible action regarding the approval of a budget transfer to fund Phase I of the Historic Survey and Public Art Policy with Designing Local. (Armando Esparza, Director of Economic Development)
SUMMARY:
BACKGROUND
On March 12, 2025, the San Luis City Council approved the establishment of the Historic, Cultural, and Heritage-Based Economic Development Ad Hoc Committee, reaffirming the city’s commitment to leveraging historic and cultural preservation as an economic development strategy. To support this initiative, the Economic Development Department is requesting a budget transfer of $30,000.00 from the Merrill Avenue Phase I account to the Professional Services budget to fund Phase I of the Historic Survey and Public Art Policy. This budget adjustment will allow the city to initiate the project within the current fiscal year and ensure timely completion of the Historic Survey and Community Engagement phase by June 30, 2025.
MERRILL AVE PHASE I (CDBG PROJECT)
The City of San Luis has successfully completed Phase I of the Merrill Avenue Street Improvement Project. The Arizona Department of Housing (ADOH) awarded the City of San Luis $466,638.00 in Community Development Block Grant (CDBG), which was fully utilized. In addition, the City of San Luis provided a matching contribution of $991,632.00 bringing the total project budget to $1,422,750.00, inclusive of a $67,750.00 contingency allocation. During the project, a change order was issued, resulting in an adjustment to the contingency from $67,750.00 to $45,460.40. Consequently, the final total project cost was reduced from $1,422,750.00 to $1,400,460.40, leaving a balance of $22,289.60. In consultation with the Arizona Department of Housing, it has been confirmed that any remaining matching funds may be reallocated by the City of San Luis, provided the full utilization of the awarded $466,638.00 by the Arizona Department of Housing. Additionally, the remaining funds for construction administration under CORE Engineering, totaling $7,710.40, may be utilized. This bring the total amount available for transfer to $30,000.00.
GRANT REIMBURSEMENT OPPORTUNITY
The Thriving Communities Program has funding available for sub-grantees. The city will submit a request for reimbursement through this program, with the final reimbursable amount of $10,030.00.
The Economic Development Department seeks authorization from the Mayor and City Council to approve the budget transfer of $30,000.00 from the Merrill Avenue Phase I account to the Professional Services budget to fund Phase I of the Historic Survey and Public Art Policy. This transfer will ensure that the project remains on schedule and positions the city to leverage potential reimbursement opportunities while advancing its historic preservation and economic development objectives.
On March 12, 2025, the San Luis City Council approved the establishment of the Historic, Cultural, and Heritage-Based Economic Development Ad Hoc Committee, reaffirming the city’s commitment to leveraging historic and cultural preservation as an economic development strategy. To support this initiative, the Economic Development Department is requesting a budget transfer of $30,000.00 from the Merrill Avenue Phase I account to the Professional Services budget to fund Phase I of the Historic Survey and Public Art Policy. This budget adjustment will allow the city to initiate the project within the current fiscal year and ensure timely completion of the Historic Survey and Community Engagement phase by June 30, 2025.
MERRILL AVE PHASE I (CDBG PROJECT)
The City of San Luis has successfully completed Phase I of the Merrill Avenue Street Improvement Project. The Arizona Department of Housing (ADOH) awarded the City of San Luis $466,638.00 in Community Development Block Grant (CDBG), which was fully utilized. In addition, the City of San Luis provided a matching contribution of $991,632.00 bringing the total project budget to $1,422,750.00, inclusive of a $67,750.00 contingency allocation. During the project, a change order was issued, resulting in an adjustment to the contingency from $67,750.00 to $45,460.40. Consequently, the final total project cost was reduced from $1,422,750.00 to $1,400,460.40, leaving a balance of $22,289.60. In consultation with the Arizona Department of Housing, it has been confirmed that any remaining matching funds may be reallocated by the City of San Luis, provided the full utilization of the awarded $466,638.00 by the Arizona Department of Housing. Additionally, the remaining funds for construction administration under CORE Engineering, totaling $7,710.40, may be utilized. This bring the total amount available for transfer to $30,000.00.
GRANT REIMBURSEMENT OPPORTUNITY
The Thriving Communities Program has funding available for sub-grantees. The city will submit a request for reimbursement through this program, with the final reimbursable amount of $10,030.00.
The Economic Development Department seeks authorization from the Mayor and City Council to approve the budget transfer of $30,000.00 from the Merrill Avenue Phase I account to the Professional Services budget to fund Phase I of the Historic Survey and Public Art Policy. This transfer will ensure that the project remains on schedule and positions the city to leverage potential reimbursement opportunities while advancing its historic preservation and economic development objectives.
RECOMMENDATION / SUGGESTED MOTION:
I MOVE TO APPROVE THE BUDGET TRANSFER OF $30,000.00 FROM THE MERRILL AVENUE PHASE I ACCOUNT TO THE PROFESSIONAL SERVICES BUDGET TO FUND PHASE I OF THE HISTORIC SURVEY AND PUBLIC ART POLICY, AS OUTLINED IN THE FISCAL IMPACT OF THIS AGENDA ITEM.
Fiscal Impact
- IS THERE FISCAL IMPACT ASSOCIATED WITH THIS ITEM:
- Yes
- CITY/STATE/FEDERAL FUNDS:
- City
- TOTAL:
- $30,000
- BUDGETED AMOUNT:
- 0
- AVAILABLE AMOUNT TO TRANSFER:
- $30,000
- ACCT NAME & GL#/REMAINING BALANCE BEFORE PURCHASE:
- 0
FISCAL IMPACT STATEMENT (IF THIS IS A BUDGET TRANSFER, YOU MUST ATTACH THE BUDGET ADJUSTMENT FORM):
We are requesting council approval to do a budget transfer of $30,000.00 from account Merrill Avenue Improvement phase I 255-210-90015.217 to account Professional Services 100-135-80001 to complete this service. Additionally, we request authorization for the Finance department to process a budget transfer between the Transfer In and Transfer Out GL accounts as needed.
Attachments
- San Luis Historic Survey & Public Art Policy Proposal_Designing Local
- CDBG Project Update Email
- Budget Transfer Form
- Merrill Avenue Change Order