HomeMy WebLinkAbout2001-05-21 Ordinance 4700ORDINANCE NO. 4700
ORDINANCE OF THE COUNCIL OF THE CITY OF PALO ALTO
AMENDING THE BUDGET FOR THE FISCAL YEAR 2000-01 TO
PROVIDE AN APPROPRIATION OF $4,612,739 FOR NATURAL, GAS
BACK-UP GENERATORS CAPITAL IMPROVEMENT PROJECT, NUMBER
0121
WHEREAS, pursuant to the prOV1Slons of Section 12 of Article
III of the Charter of the City of Palo Alto, the Council on June 19,
2000 did adopt a budget for fiscal year 2000-01i and
WHEREAS, the Utilities Department has identified the immediate
need to mitigate the potential severity and frequency of rolling
blackouts expected for summer 2001, as well as a long term need of
unknown duration; and
WHEREAS, staff conducted an extensive survey of available
equipment and equipment suppliers and determined that 5 megawatts
of natural gas generation could replace the temporary diesel
generators that were installed on an emergency basis, and could
mitigate the impact of rolling blackouts; and
WHEREAS I the City has contracted with Planergy International
for the purchase of 5 MW natural gas back-up generation (4 units @
1350 kW), and associated engineering, installation and maintenance
servicesi and
WHEREAS I an additional appropriation of $4,612,739 is needed
to cover the unforeseen expenses relating to the procurement and
related contractual expenses of the back-up generatorsj and '
WHEREAS, the budget mus t be amended to crea te and fund a
capital improvement project for the purchase of the generators;
WHEREAS I this procurement will result in additional annual
maintenance and fuel costs that will be included in the proposed
budget for 2001-03i and
WHEREAS, ,City Council authorization is needed to amend the
2000-01 budget as hereinafter set forth.
NOW, THEREFORE, the Council of the City of Palo Alt,o does
ORDAIN as follows:
SECTION 1. Capital Improvement Project (CIP) 0121, Natural
Gas Back-Up Generators, is hereby created.
SECTION 2. The sum of Four Million Six Hundred Twelve
Thousand Seven Hundred Thirty Nine Dollars ($4,612,739) is hereby
appropriated to Capital Improvement Project Number 0121, Natural Gas
Back-Up Generators, and the Electric Supply Rate Stabilization
Reserve is correspondingly reduced.
SECTION 3. This appropriation will reduce the Electric Supply
Rate Stabilization Reserve from $24,725,000 to $20,112,261.
SECTION 4. As specified in Section 2.2S.0S0(a) of the Palo
Alto Municipal Code, a two-thirds vote of the City Council is
required to adopt this ordinance.
SECTION 5. This project is exempt from the provisions of the
California Environmental Quality Act (\\CEQA") pursuant to Section
15301 (Existing Facilities) of the CEQA Guidelines.
SECTION 6. As provided in Section 2.04.350 of the Palo Alto
Municipal Code, this ordinance shall become effective upon adoption.
INTRODUCED AND PASSED: May 21, 2001
AYES: Beecham, Burch, Eakins, Fazzino, Kleinberg, Lytle, Mossar,
Ojakian
NOES:
ABSTENTIONS:
ABSENT: Wheeler
ATTEST:
~~~ ity Cler
APPROVED AS TO FORM:
~.t;J\~
Senior Asst. City Attorney
THts DOCUMENT IS CERTIFIED TO BE AN
ORDINANCE DULY PASSED BY THE COUNCIL
OF THE CITY OF PALO ALTO AND
THt:REAHER POSTED IN T~ei'O'JNCIi
CHAMBERS ON &) LPL .. ,vr".. 1,';
DAYS OF ITS PASSAGE) (
". certify (or declare) under penalty
of perjury that the foregoing is true
and correct." . -t:t7'io;~ Of> Dr-fl AJ-
~~-'
APPROVED:
f::¥~
Administrative