Title
Department of Transportation recommending the Board:
1) Approve and authorize the Chair to sign a Budget Transfer form adjusting the budget for Fiscal Year 2021-22, in the amount of $20,000, to allow for the purchase of two (2) Nuclear Moisture-Density gauges for the Department of Transportation;
2) Approve the addition of two (2) Nuclear Moisture-Density gauges to the Department of Transportation Fixed Asset List; and
3) Authorize the disposal of three (3) Nuclear Moisture-Density gauges in accordance with Resolution 045-2002.
FUNDING: Road Fund. (100%)
Body
DISCUSSION / BACKGROUND
The Department of Transportation (Transportation) proposes to replace two existing nuclear moisture-density gauges currently used by the Materials Lab to test earthwork on Capital Improvement Program projects and subdivision construction projects. The existing gauges were purchased in 1989. The age of the gauges has exceeded the 30-year half-life of the radioactive material inside the gauges that is used to measure soil density. Once the half-life has been exceeded, the radioactive material will degrade until it becomes unusable. Transportation proposes to use savings in its FY 21/22 budget to buy a pair of replacement gauges so that the existing gauges are replaced before they become unusable.
Disposal of the three (3) old gauges shall be in accordance with the procedures outlined in Resolution 045-2002, noting that these gauges contain radioactive material that cannot be discarded, recycled, or abandoned; said gauges must be disposed of through the manufacturer, which is an authorized agency for disposal. Disposal costs of the old gauges will be included in the purchase price of the new gauges.
Transportation is working to obtain quotes in accordance with the purchasing policy, but believes that $10,000 each, for a total of $20,000, will be sufficient to cover the costs. Transportation is requesting that the Fixed Asset List be adjusted to add the equipment and accommodate the $20,000 increase for purchasing the equipment. The Professional Services budget will be decreased by $20,000 to accommodate the increase in fixed assets. There is no increase to overall budgeted appropriations.
ALTERNATIVES
The Board may elect not to sign the budget transfer and not approve the change to the Fixed Asset List as proposed; however, Transportation would then be out of compliance for the current Hazmat regulations of these gauges.
PRIOR BOARD ACTION
N/A
OTHER DEPARTMENT / AGENCY INVOLVEMENT
Administration and Finance Division of the Chief Administrative Office
CAO RECOMMENDATION / COMMENTS
Approve as recommended.
FINANCIAL IMPACT
The budget amendment reduces appropriations in Professional Services by $20,000 and increases appropriations in Fixed Assets by the same amount in order to make the purchase. The proposed increase in Fixed Assets does not increase the Net County Cost due to the reduction in Professional Services.
CLERK OF THE BOARD FOLLOW UP ACTIONS
The Clerk of the Board will obtain the Chair's signature on the original budget transfer and will forward the budget transfer to the Auditor/Controller for processing.
STRATEGIC PLAN COMPONENT
Good Governance, Infrastructure
CONTACT
Rafael Martinez, Director
Department of Transportation