DATE: July 11, 2017
TO: Board of Supervisors
SUBMITTED BY: Robert W. Bash, Director of Internal Services/Chief Information Officer
SUBJECT: Declaration of Emergency Regarding the Flooding Incidents at the
Fresno County University Medical Center and Plaza
RECOMMENDED ACTION(S):
TITLE
1. Adopt Resolution acknowledging the emergency nature of the flooding incidents at the University Medical Center and Fresno County Plaza and make a finding pursuant to County Administrative Policy 34 that unusual and extraordinary circumstances exist such that it is in the best interest of the County to suspend competitive bidding and negotiate and execute contracts for services and supplies as necessary for the remediation and restoration of the properties.
2. Authorize the Director of Internal Services/Chief Information Officer to negotiate and execute agreements and other documents necessary for the remediation and restoration of the University Medical Center and Fresno County Plaza.
3. Adopt Budget Resolution increasing the FY 2017-18 appropriations and estimated revenues for the Internal Services Department, Facility Services Org 8935 in the amount of $800,000 (4/5 vote).
REPORT
Approval of Recommended Action 1 and 2 will allow the Director of Internal Services/Chief Information Officer to timely procure the necessary services and supplies to remediate and restore the University Medical Center Campus (UMC) and Fresno County Plaza (Plaza). Approval of Recommended Action 3 will appropriate the estimated funds necessary for these services.
ALTERNATIVE ACTION(S):
There is no viable alternative action.
SUSPENSION OF COMPETITION/SOLE SOURCE CONTRACT:
Recommended Action 1 is to suspend the customary competitive bidding process consistent with the “unusual or extraordinary circumstances” exception contained in Administrative Policy No. 34. This is consistent with the processes used for previous and similar remediation projects for emergencies such as at the Hall of Records, North Annex Jail, and the Brix-Mercer Building. Purchasing has reviewed the request and concurs with the Department’s request to suspend the competitive bidding process.
FISCAL IMPACT:
There is no increase in Net County Cost associated with the recommended actions. The County carries insurance coverage that limits the out-of-pocket deductible to a range of $5,000 to $25,000, depending upon which coverage applies to the claim. The deductible will be paid using insurance proceeds from the Risk Management Fund-Property Insurance Program. Facility Services will be responsible for paying all upfront costs beyond the deductible directly to each vendor. Those costs would then be submitted to Risk Management, which would process the reimbursement claim through the County’s insurance carrier. Sufficient appropriations are available in the Interest and Miscellaneous Expenditures Org 2540 FY 2017-18 Adopted Budget to cover any unreimbursed amount. The current estimated cost of the remediation is $800,000. Approval of the third recommended action will increase the FY 2017-18 appropriations and estimated revenues in the amount of $800,000 in the Internal Services Department, Facility Services Org 8935 to cover these costs. Should additional funds be required, staff will return to your Board on a later date.
DISCUSSION:
On June 13, 2017, the UMC sustained flooding that caused water damage on multiple floors. On June 19, 2017, the Plaza also sustained a flooding incident, albeit a minor one, that also caused water damage on multiple floors. To prevent potential for further damages, an emergency declaration was made by the Director of Internal Services/Chief Information Officer in conjunction with the County Administrative Officer which allowed service contractors to begin services immediately. Approval of the recommended actions will allow the buildings to be operable as quickly and efficiently as possible. Approval will ensure that Facility Services has sufficient appropriations to make upfront payments to vendors.
ATTACHMENTS INCLUDED AND/OR ON FILE:
Suspension of Competition Acquisition Request
On file with the Clerk - Resolution UMC and Plaza
On file with the Clerk - Budget Resolution Org 8935
CAO ANALYST:
John Hays