Title
Transportation Department recommending Chairman be authorized to sign the Memorandum of Understanding between the County of El Dorado and the City of Placerville for a five year term for cost sharing relating to the purchase of emulsion.
RECOMMENDED ACTION: Approve.
FUNDING: Road Fund
Body
BUDGET SUMMARY:
Total Estimated Cost $100,000
Funding
Budgeted $ 20,000
New Funding $
Savings $
Other * $ 80,000
Total Funding Available $100,000
Change To Net County Cost $0
* estimate for years 2 through 5 of agreement to be included in subsequent year budgets
Fiscal Impact/Change to Net County Cost:
The Department of Transportation has increased revenue and expenditures in the fiscal year 2008-09 budget by $20,000 to allow for the purchase of additional emulsion to be used by the City of Placerville and the reimbursement by the City for that emulsion. A similar increase in revenue and expenditures will be budgeted in each of the years throughout the five year term of this Memorandum of Understanding depending upon the price of the material and projected usage by the City. A two percent (2%) processing fee will be added to each invoice to reimburse the County for administrative costs associated with this cost sharing arrangement.
Reason for Recommendation:
The Department of Transportation requests bids for emulsion used in the durapatch operation and maintains a supply of the material on hand at the yard on Missouri Flat Road. Under the proposed Memorandum of Understanding (MOU) the County will provide the City access to its emulsion supply and the City will reimburse the County at the current contract price plus a two percent (2%) processing fee to cover administrative costs incurred by the County. The County's standard agreement with the emulsion supplier allows other public agencies to participate in the agreement. This arrangement will allow the City of Placerville to run a dur...
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