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HomeMy WebLinkAboutC21052 Amendment 1 El Paseo Imprvmnt DistrictCITY OF PALM DESERT STAFF REPORT REQUEST: APPROVE AMENDMENT #1 FOR CONTRACT NO. C21052 FOR CREATIVE I GROUP OF PALM DESERT, CA IN THE AMOUNT OF $40,000 FOR EXPENDITURES FOR THE EL PASEO BUSINESS IMPROVEMENT DISTRICT. FROM: RUTH ANN MOORE, ECONOMIC DEVELOPMENT MANAGER DATE: JUNE 8, 2006 CONTENTS: CONTRACT AMMENDMENT #1 FOR CONTRACT NO. C21052 Recommendation: By Minute Motion, that the City Council approve Amendment #1 to Contract No. C21052 for Creative I Group in the amount of $40,000. Funds are available in Account No. 271-4491-464-32.15. Executive Summary: Additional funding has been collected through the assessment process for the Business Improvement District and was approved by the El Paseo Board of Directors for advertising and new street banners. Therefore, an amendment of an additional $40,000 to Contract No. C21052 for Creative I Group is required. Discussion: Each year, the El Paseo Business Improvement District conservatively underestimates funding in order not to over spend in its accounts. At the mid -year budget adjustment, revenue accounts are reviewed and adjustments are made correcting the fund to allow for either an increase or decrease in collections. Funds are then redistributed and additional funding, if available, is allocated while still leaving at least a 10% contingency for a year-end balance. On May 25, 2006 City Council approved an appropriation of $40,000 in additional monies collected during the fiscal year. This also requires an action to amend the contract for advertising services in order that the funds may be spent. Therefore, staff requests Council to approve the above recommendation. Sub ' - e ' Approval: IGt Economic Dev. Manager Paul S. Gibson, Finance Director Carlos L. Orteg-, City Ma development G.\BusCtr\Ruth Ann Moore\word data\STAFF REPORTS\creatwe i group contract aninendment.doc CI 1 i OF PALM DESERT Contract # / P.O. # C21052 I 12455 CONTRACT AMENDMENT Change Order No. 1 Contingency: YES I NO x Contract Purpose: El Paseo Business Ass'n Advertising/Promotion Account No. 271-4491-464-3215 Contractor's Name: Creative i Group Project No. You are hereby requested to comply with the following changes from the contract plans and specifications: DESCRIPTION OF CHANGES DECREASE INCREASE (Supplemental Plans and Specifications Attached) In Contract Price In Contract Price Additional advertising and promotion $40,000.00 TOTALS: NET CHANGE IN CONTRACT PRICE: JUSTIFICATION: TOTAL BUDGET FOR PROJECT: + 220,000.00 CONTINGENCY: Less: Expend. & Encumb. To Date: 220,000.00 Amount Approved by Council: Less: This Change Order Amount: - 40,000.00 Less: Prior Change Order(s): BALANCE OF BUDGET Less: This Change Order: REMAINING FOR PROJECT: -40,000.00 Balance Remaining of Contingency: The amount of the Contract will be Increased by the Sum of: Forty Thousand and NO1100 Dollars ($40,000.00). 0.00 This document will become a supplement to the Contract and all provisions will apply hereto, all items included above must have required signatures as per the purchase resolution. 1. REQUESTED BY: 2. ACCEPTED BY: 3. CERTIFIED FUNDS AVAILABLE: DEPARTMENT HEAD CONTRACTOR 4. APPROVED BY: 6/8/06 FINANCE DIRECTOR JIM FERGUSON, MAYOR Date Approved NOTE: No payments will be made prior to City Manager and Council approval 6/8/06 CITY MANAGER Date Approved ... Amcnd-CPD