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HomeMy WebLinkAbout05/21/15Hermosa Beach Staff Report City Hall 1315 Valley Drive Hermosa Beach, CA 90254 Honorable Mayor and Members of the Hermosa Beach City Council Budget/CIP Workshop May 21, 2015 PROCUREMENT POLICIES (City Manager Tom Bakaly) Recommended Action: City Council should consider directing staff to return with an ordinance to increase the formal bid threshold for equipment and supplies from $5,000 to $15,000 and to consider increasing the City Council approval threshold for professional services from $20,000 to $30,000. Subject: To review and update as necessary the City’s procedures for procuring supplies and equipment (Bid) and procuring recurring professional services (RFP). Professional services are those activities performed by a consultant who possess a high degree of expertise in a particular profession, such as an Attorney, Certified Public Accountant, Auditor, Architect, Engineer, or other consultants engaged in an occupation requiring advanced study or specialized training. Summary and Analysis: The City’s current procurement process for equipment and supplies is as follows: Open market procedure for purchases of less than five thousand dollars in value. Purchases of supplies and equipment of an estimated value in the amount of five thousand dollars ($5,000.00) or less may be made by the purchasing officer in the open market at the best prices obtainable and to the best advantage of the city without a formal contract; provided, however, that when practicable, bids or quotations shall be taken as follows: A.Minimum Number of Bids. For purchases over one thousand dollars ($1,000.00), at least three bids or quotations solicited by written requests to prospective responsible vendors, by telephone, or public notice posted on a public bulletin board in the City Hall. B.Record. A record of all informal bids and quotations shall be kept and be open to public inspection for a reasonable period of time. Formal contract procedure for purchases exceeding five thousand dollars in value. Except as otherwise provided herein, purchases for supplies and equipment of estimated value File #:REPORT 15-0406,Version:1 Hermosa Beach Printed on 5/20/2015Page 1 of 4 powered by Legistar™ File #:REPORT 15-0406,Version:1 greater than five thousand dollars ($5,000.00) shall be by written contract with the lowest and best responsible bidder. The following procedure is deemed to be in the best interest to the city: A.Notice Inviting Bids. Notice inviting bids shall include a general description of the articles to be purchased, shall state where bid blanks and specifications may be secured, and the time and place for the opening of bids. B.Published Notice. Notice inviting bids shall be given at least ten days before the date of opening of the bids. Notice shall be published at least once in a newspaper of general circulation, printed and published in the city, or it shall be posted in at least three public places in the city that have been designated by ordinance as the places for posting public notices. C.Bidders’ List. The purchasing officer shall solicit sealed bids from all responsible prospective suppliers whose names are on the bidders’ list or who have requested that their names be added thereto. D.Bidder’s Security. When deemed necessary by the purchasing officer bidder’s security may be prescribed in the public notices inviting bids. Bidders shall be entitled to return of bid security provided that a successful bidder shall forfeit his bid security upon refusal or failure to execute the contract within ten days after the notice of award of contract has been mailed, unless the city is responsible for the delay. The city council may, on refusal or failure of the successful bidder to execute the contract, award it to the next lowest bidder; the amount of the lowest bidder’s security shall be applied by the city to the difference between the low bid and the second lowest bid, and the surplus, if any, shall be returned to the lowest bidder. E.Bid Opening Procedure. Sealed bids shall be submitted to the purchasing agent and shall be identified as bids on the envelope. Bids shall be opened in public at the time and place stated in the public notices. A tabulation of all bids received shall be open to public inspection during regular business hours for a reasonable period of time. No bidder may withdraw his bid for a period of at least thirty (30) days after the date set for the opening thereof. F.Rejection of Bids. In its discretion, the city council may reject any and all bids presented and re -advertise for bids or to exclude any item or items from the award of bid or waive any informalities on a bid. The City’s current procurement process for professional services is as follows: 1.Qualified List - Each City department will maintain a current, adequate file of qualified and interested professional service providers for their area of responsibility. 2.Request for Proposal - A request for proposals (RFP) is required when fees for professional Hermosa Beach Printed on 5/20/2015Page 2 of 4 powered by Legistar™ File #:REPORT 15-0406,Version:1 services are expected to exceed $20,000 on an annual basis. When the expected fee is under $20,000, a less formal process may be used, however, principles of competitiveness and fairness shall be maintained by providing comparative pricing and objective evaluation of at least three providers of such services. A.Preparation - The RFP is to contain sufficient information to permit consistent and complete responses, including the following: objective of the proposal; scope of work; format of proposal; profile of proposer, including items such as financial statements, resumes, references and other information as applicable; fees; selection criteria; and timing/insurance requirements. Recurring services should typically be proposed for three to five years, with consideration of additional renewals by City Council action. B.Council Approval -The issuing department will use their discretion in determining whether the City Council needs to review the RFP prior to issuance. C.Distribution - Depending on the scale, scope, and degree of specialization of the required work, as few as two or more than fifteen RFPs would be distributed. RFPs are to be sent to all requestors. When appropriate, a “proposer's conference” is to be scheduled prior to the response deadline date to respond to proposer inquiries uniformly. A notice inviting proposals shall be published in newspapers of general circulation or trade journals. D.Proposal Opening - Sealed proposals are to be identified as such on the envelope and submitted to the Office of the City Clerk on the date and time assigned in the RFP. Proposals will be opened in public and available to public inspection for a reasonable period of time. 3.Proposal Screening - Proposal contents should be reviewed for completeness by the responsible department, with participation by other departments or staff members when appropriate. 4.Evaluation - The sealed proposal method permits discussions after proposals have been opened to allow clarification and changes in proposals provided that adequate precautions are taken to treat each proposer fairly and to ensure that information gleaned from competing proposals is not disclosed to other proposers. Proposals should be ranked on the basis of both the written proposal and the interview (if an interview is deemed necessary), according to the criteria included in the RFP that demonstrates their ability to perform the work within a reasonable budget and on a timely basis. Total cost is a factor considered, even though selection is not on a competitive bid basis. Proposal evaluation uses judgmental factors to determine the most responsive and Hermosa Beach Printed on 5/20/2015Page 3 of 4 powered by Legistar™ File #:REPORT 15-0406,Version:1 qualified proposer. Typically, at least two firms are to be interviewed, based on the number of responsive proposals. The interview should be conducted by the responsible department, with participation by other City staff and sub-committee members, when appropriate. Any selection committee should be composed of people knowledgeable as to the conduct of the project and its purpose and involve more than just the staff that will work directly with the consultant. References should be checked to corroborate past performance. 5.Selection - A recommendation to engage the most qualified proposer is made to City Council, with review by the City Manager and City Attorney. A professional services agreement, incorporating the RFP and response should accompany the recommendation. Upon approval of the agreement, signatures are obtained and a copy maintained by the City Clerk and the responsible department. Sample RFPs and professional service agreements are attached. 6.Exceptions for Emergencies - The City Council may suspend use of the RFP process in the event of an emergency or short time frame required to solicit services. A survey of procurement thresholds for South Bay Cities along with the additional Cities of Santa Monica and Park City is attached for comparison. Attachments: 1.Procurement Threshold - Survey of Cities Respectfully Submitted by: Tom Bakaly, City Manager Noted for Fiscal Impact: Viki Copeland, Finance Director Hermosa Beach Printed on 5/20/2015Page 4 of 4 powered by Legistar™ C:\Users\anny\AppData\Local\Microsoft\Windows\Temporary Internet Files\Content.Outlook\PMMHBWZO\City Council Benefit Survey Memo.doc CITY OF HERMOSA BEACH MEMORANDUM May 19, 2015 TO: Mayor and Councilmembers FROM: Viki Copeland, Finance Director RE: Survey of City Council Benefits, Current Council Benefits At Midyear Budget Review, the City Council requested we provide a survey of City Council benefits for other cities. Also it was suggested that we may want to put the City Council’s benefits in the budget. The survey is attached. Ralph Anderson provided some survey data for 7 cities which we have combined with a survey of another 14 cities. As noted on the survey, some cities did not provide responses to all requested information. An update of the worksheet provided at Midyear for current Council benefits is attached. We can incorporate this information into the Adopted Budget if Council so desires. CITY MONTHLY SALARY CELL PHONE PROVIDED CELL PHONE ALLOWANCE CAR PROVIDED CAR ALLOWANCE LAPTOP PROVIDED IPAD PROVIDED TRAINING/SEMINAR ALLOWANCE Deferred Comp Agoura Hills *$300.00 $200 $70 Beverly Hills $785.81 No No No No No No No Calabasas *$566.00 $250 Carson $1,722.38 Yes (if selected)$75 No $700 per mo Yes Upon request No Match up to $2000 per year Culver City $485.11 No $60 per pay period No No Yes No Yes for membership El Segundo $900.00 Yes No No No No No No Gardena $650.00 $200 per mo Hawthorne $750.00 Inglewood $5,055.01 No No No No No No No La Canada Flintridge *$300.00 La Verne *$519.00 Laguna Beach *$749.00 Lawndale $450.00 No No No No Yes--computer or Ipad As budgeted part of Flex benefits listed in next column Lomita $390.00 Long Beach Mayor= $11,346 per month; Council= $2837 per month City provided phone or $30 per month No Yes, $450 per month Yes NO Business expense reimbursement Manhattan Beach $500.00 $400 per mo Palos Verdes Estates None No No No No No No As voted at mtgs No Rancho Palos Verdes *$400.00 Redondo Beach $927.31 No No 12% paid by City Rolling Hills Estates $0.00 No No No No No No No No Santa Fe Springs *$971.00 South Pasadena *$300.00 Hermosa Beach $530.00 No1 No No No No Yes Mayor- $5k; Council- $2,500 2 No City Council Compensation and Benefits Survey Salary, Training, Deferred Comp, and Other Benefits CITY MEDICAL INSURANCE COST TO MEMBER FAMILY COVERAGE? DENTAL INSURANCE COST TO MEMBER FAMILY COVERAGE? VISION INSURANCE?COST TO MEMBER FAMILY COVERAGE?LIFE INSURANCE?Other Agoura Hills *$1,222.00 $160 $59 Beverly Hills CalPERS $1964.72 allowance Yes Guardian 0 Yes VSP 0 Yes Yes; $300k Disability insurance provided; enrolled in PERS retirement Calabasas *$1,725 Included Included Carson CalPers $1542.63 Allowance Yes Premier Access Yes MESC $7.07/$12.73/$18.39 Yes Yes; $250k PERS retirement Culver City CalPERS $1472 allowance Yes Delta Included w/allowance Yes VSP Included w/allowance Yes Yes; $50k El Segundo $1200 benefit for CalPERS Yes Delta Included w/ allowance Yes VSP None Yes No Council excluded from PERS but may elect optional enrollment Gardena $1060 benefit Hawthorne $521 benefit Inglewood Aetna PPO/HMO, Kaiser Yes Delta PPO/DMO Yes MESC Yes No PERS Retirement La Canada Flintridge *$875 Included Included La Verne*$1,514 $33 Laguna Beach *$0 Lawndale $1180 provided for purchase of benefits through CalPERS Yes; $100k Lomita Long Beach Yes Max of $223 per month for family Yes Yes Max of $20 per month for family Yes MESC None Yes $65k for council; Mayor -$50k plus 3x annual salary PERS retirement Manhattan Beach $1550 benefit Palos Verdes Estates No No No No No No No Rancho Palos Verdes *$1,875 Included Included Redondo Beach Up to $1232 paid by City Rolling Hills Estates No Yes No No No No PERS Santa Fe Springs *$1,000 $130 $54 South Pasadena *$0 $0 $0 Hermosa Beach Blue Shield HMO/POS Employee covered 100%. Additional coverage $287- $1,365.56,Optional California Dental or Princial Dental $13.77-$226.30, based on coverage selected Optional Medical Eye Services $8.28- $21.38, based on coverage selected Optional Yes, $52,000 PERS/PARS * Information provided by Ralph Andersen & Associates 1 2015-16 Budgets includes proposed cell phones and monthly service for Council Members 2 2015-16 Budgets includes a proposed increase to the training/conference budget to $5,000 per Council Member Note: Fields left blank indicate no reponse provided Medical Benefits and Retirement/Other City Council Compensation and Benefits Survey FY 2014-2015 CITY COUNCIL BENEFITS SUMMARY DIVIRGILIO TUCKER BARRAGAN PETTY FANGARY Retirement: Public Employees' Retirement System (PERS)Yes No Yes No Yes Retirement: Public Agency Retirement Services (PARS)No No No Yes No Employer Cost (Percentage of Payroll)20.882%N/A 6.25%N/A 6.25% Cost to the City Retirement $55.34 $0.00 $16.56 $0.00 $16.56 Dental $125.44 $0.00 $0.00 $0.00 $226.30 Medical $0.00 $0.00 $798.72 $0.00 $798.72 Life $0.00 $0.00 $12.48 $12.48 $12.48 Conference/Training Budget $3,750.00 1 $3,750.00 1 $2,500.00 $2,500.00 $2,500.00 1 Conference/Training budget for Mayor position was split due to transition from Mayor DiVirgilio to Mayor Tucker. Proposed budget for 15-16 is $5,000 per Council Member. BENEFITS P:\SCANDOCS\2015\05-21-15\Supplemental Measures to Council 05-21-15.docx.doc CITY OF HERMOSA BEACH MEMORANDUM May 21, 2015 TO: Mayor and City Councilmembers FROM: Viki Copeland, Finance Director RE: Performance Measures Attached is the first presentation of performance measures. Ultimately, our goal would be to present the measures in each department’s section of the budget. Compiling effective citywide measures is an ongoing process, which we will explain tonight. Nico De Anda-Scaia has shepherded this project and will present a couple of brief slides as he walks through current measurements. Performance Measurement In 2014, the City began compiling and reviewing performance measures on a pilot basis for the following departments/divisions: Community Development, Community Resources, Fire and EMS, Police, Public Works, Human Resources, Information Technology, Finance and Treasurer, and City Clerk. As FY 2014/15 marks the first attempt at presenting outcome-based performance measures for City departments, City staff will continue working to expand and develop more comprehensive performance measures in collaboration with the ICMA Insights program. The Performance Measures below provide a snapshot of how departments are doing. Where information is available, the measures are benchmarked against other communities and/or trended over time to highlight areas for improvement. Trend assessment illustrates direction in a positive (green) or negative (red) direction. Where a target of “met or exceeded” is used instead of a trend assessment, the indicator is a check-mark (). Full-Time Equivalent (FTE) – Unit used to measure the hours in an employee’s contract based on a 40 hour work week. Community Development Community Resources Above (+) or Performance Measure FY 2012/13 FY 2012/13 FY 2013/14 Below (-)Trend Cohort Avg.Actual Actual Avg.Assessment Code Enforcement FTE's per 1,000 Population 0.12 0.03 0.06 -Positive Code Enforcement Expenditures per Capita $5.42 $3.26 $3.60 -Negative Code Enf. Cases Resolved: % Resolved Through Voluntary Compliance 44%75%78%+Positive Code Enf. Cases Resolved: % Resolved Through Forced Compliance 12%20%19%+Positive Code Enf. Cases: % Closed Without Resolution 2%6%3%+Positive Code Enf. Cases Resolved: % Resolved by any means 64%94%97%+Positive Unresolved Code Enforcement Cases from Prior Year 22 21 10 -Positive Expenditures per Permit $116 $161 $172 +Negative Expenditures per Inspection $51 $38 $42 -Negative Average Response Time (Calendar Days from Application to Issuance): Residential Permits 7 60 60 +Neutral Total Building Inspections Conducted 2,356 2,633 2,503 +Negative Above (+) or Performance Measure FY 2012/13 FY 2012/13 FY 2013/14 Below (-)Trend Cohort Avg.Actual Actual Avg.Assessment Expenditures per Capita $95.24 $87.02 $89.98 -Negative Park Operating and Maintenance Expenditures per Park Acre $1,718 $15,407 $16,009 +Negative Developed Park Acres per 1,000 Population N/A 5.64 5.62 N/A Neutral Special Events per 1,000 Population N/A 2.4 4.1 N/A Positive Average Revenue per Rented Hour: Community Theatre N/A $37.23 $43.11 N/A Positive Fire & EMS Police Services Above (+) or Performance Measure FY 2012/13 FY 2012/13 FY 2013/14 Below (-)Trend Cohort Avg.Actual Actual Avg.Assessment Full-Time Equivalents per 1,000 Population: Fire + EMS Sworn Staff 2 1.45 1.46 -Neutral Expenditures: Total Fire/EMS Personnel and Operations per Capita $199 $279 $273 +Positive Percentage of Incidents where Flamespread was Confined to Object or Room of Origin: 1-2 Family Residential Structures 51%96%82%+Negative Percentage of Incidents where Flamespread was Confined to Floor or Structure of Origin: 1-2 Family Residential Structures 20%4%14%-Positive Total Fire Incidents (Structure + Non-Structure) per 1,000 Population 4.8 2.7 2.6 -Neutral Emergency Fire Calls Responded to within 5 minutes 56%69%60%+Negative EMS Response (from Primary Safety Answering Point to arrival was less than 8 min.)64%95%95.4%+Positive Percentage of Medical Emergency: Total Response Time (7 Min or Less)N/A 91%91%N/A Neutral Percentage of Medical Emergency Effective Response Force: Total Response Time (11 Min or Less)N/A 95%92%N/A Negative Percentage of Fire Emergency: Total Response Time (7 Min or Less)N/A 75%82%N/A Positive Percentage of Fire Effective Response Force: Total Response Time (11 Min or Less)N/A 89%89%N/A Neutral Percentage of Fire 1st Alarm: Total Response Time (14 Min or Less) N/A 67%67%N/A Neutral Above (+) or Performance Measure FY 2012/13 FY 2012/13 FY 2013/14 Below (-)Trend Cohort Avg.Actual Actual Avg.Assessment Full-Time Equivalents per 1,000 Population: Police Sworn Staff 2.20 1.73 1.82 -Positive Police Responses per Sworn FTE (Full-time Equivalent)700 709 729 +Negative Top-Priority Calls (Requiring Immediate Response) as a Percentage of Total Police Calls 13%5.6%5.4%-Neutral Top-Priority Calls (Requiring Immediate Response) per Sworn FTE 61 40 39 -Neutral Injury-Producing Traffic Accidents per 1,000 Population 7 3 3 -Neutral DUI Arrests per 1,000 Population 6 13 11 +Positive Reported Violent Crimes per 1,000 Population 5 2 2 -Neutral Reported Property Crimes per 1,000 Population 27 31 27 +Positive Average Response Time (Top Priority Calls) from Call to Arrival on Scene - In Seconds 241 205 226 -Negative Public Works General Administration – City Hall Where a target of “met or exceeded” is used instead of a trend assessment, the indicator is a check-mark (). Above (+) or Performance Measure FY 2012/13 FY 2012/13 FY 2013/14 Below (-)Trend Cohort Avg.Actual Actual Avg.Assessment Administrative/Office Facilities: Total Custodial Expenditures per Square Foot $0.88 $1.43 $0.97 +Positive All Facility Types: Total Custodial Expenditures per Square Foot $0.98 $0.94 $0.89 -Positive Preventive and Other Maintenance Expenditures per Vehicle: All Vehicles $2,881 $3,383 $3,408 +Negative Percentage of Alternative Fuel Vehicles in Fleet 1%7%20%+Positive Potholes Repaired as Percentage of Potholes Needing Repair 63%100%100%+Neutral Paved Lane Miles Assessed as Satisfactory as Percentage of Total Paved Lane Miles Assessed 51%77%77%+Neutral Sweeping Expenditures per Swept Lane Mile $29 $31 $25 -Positive Expenditures: Paved Road Rehabilitation per Capita $31 $41 $74 +Negative Average Response time for Pothole Repair (Working Days)2.1 5 5 +Neutral Street Sweeping: Total Lane Miles Swept 1,053 7,385 8,719 +Positive HUMAN RESOURCES Above (+) or Performance Measure FY 2012/13 FY 2012/13 FY 2013/14 Below (-)Trend Cohort Avg.Actual Actual Avg.Assessment Number of Full-Time Equivalents Jurisdiction-wide per 1,000 Population 11.10 9.29 9.85 -Positive Turnover Rate: ALL Employees 7%3%4.6%-Negative Number HR Staff per Jurisdiction-wide Full-time Regular Employee 0.007 0.012 0.012 +Neutral Average Days for External Recruitment, Requisition to Conclusion of Interview (Testing Not Required) 24 45 45 +Neutral Average Days for External Recruitment, Requisition to Conclusion of Interview (Testing Required)30 60 60 +Neutral Average Number of Full-time Regular Employees on Payroll 147 126 130 -Positive Accidents per 100,000 Miles Driven (Police Patrol Vehicles)1 1 3 +Negative Worker Compensation Claims per 100 Jurisdiction FTEs (All depts.)11 8 15 +Negative Worker Compensation Days Lost per 100 Jurisdiction FTEs (All depts.)32 103 155 +Negative Total Worker Days Lost Due to Injury (All departments): Per FTE 0.4 1 1.6 +Negative Liability Claims Opened N/A 16 27 N/A Negative Liability Claims Closed N/A 15 22 N/A Positive INFORMATION TECHNOLOGY Above (+) or Performance Measure FY 2012/13 FY 2012/13 FY 2013/14 Below (-)Trend Cohort Avg.Actual Actual Avg.Assessment Percentage of Help Desk Calls Resolved: At Time of Call 25%24%39%+Positive Expenditures: IT Personnel and Operations per Capita $24.42 $17.27 $15.92 -Positive Total Help Desk Calls Received/Number of requests received 832 1,112 1,111 +Neutral Total Help Desk Calls Resolved at the Time of Call 273 263 428 +Positive FINANCE Above (+) or Target Performance Measure FY 2012/13 FY 2012/13 FY 2013/14 Below (-)Met or Cohort Avg.Actual Actual Avg.Exceeded Comprehensive Annual Financial Report (CAFR) Prepared within six months of Fiscal Year-end N/A Yes Yes N/A  CAFR Certificate of Excellence in Financial Reporting Awarded N/A Yes Yes N/A  Government Finance Officers Assoc. (GFOA) Excellence in Budgeting Award Achieved N/A Yes Yes N/A  Unqualified (clean) Audit Opinion Received N/A Yes Yes N/A  CITY TREASURER Above (+) or Target Performance Measure FY 2012/13 FY 2012/13 FY 2013/14 Below (-)Met or Cohort Avg.Actual Actual Avg.Exceeded Average Interest Rate N/A 1.05%1.02%N/A Neutral Average Yield to Maturity N/A 1.11%1.10%N/A Neutral Investment Policy Submitted in First Quarter of each Fiscal Year N/A Yes Yes N/A  CITY CLERK/ELECTIONS Above (+) or Target Performance Measure FY 2012/13 FY 2012/13 FY 2013/14 Below (-)Met or Cohort Avg.Actual Actual Avg.Exceeded Post/make Public List of Qualified Candidates and Measures within One Week of Qualification N/A N/A Yes N/A  Post/make Public the Semi-Official Election Results Next Day Following the Election and the Final Results N/A N/A Yes N/A  Post/make Public all Campaign Finance Statements within 1-day of Filing N/A Yes Yes N/A  Log and Appropriately Route Claims and Subpoenas within 24 hrs of Submittal N/A Yes Yes N/A  Set up DVDs in the Loop for Televised Replays within 24 hrs of Meetings N/A Yes Yes N/A  South Bay Cities # City 2014 Population Formal Bid Amount Council Approval Notes 1 Hermosa Beach 19,750 $5,000 $20,000 Council approval amount last revised from $10,000 to $20,000 in 2003 2 Redondo Beach 67,717 $35,000 $35,000 Revised amounts from $5,000 to $35,000 – Pending approval at May 19, 2015 Redondo Beach City Council meeting. If approved, this would be implemented July 1, 2015 3 Manhattan Beach 35,619 $20,000 $20,000 Unless specifically listed in Budget, then limit is $25,000 before requiring Council approval 4 Torrance 147,706 $40,000 $40,000 5 Gardena 60,082 $50,000 $25,000 6 Carson 92,636 $25,000 $25,000 7 Rancho Palos Verdes 42,358 $25,000 $25,000 8 El Segundo 16,897 $10,000 $25,000 9 Inglewood 111,795 $20,000 $20,000 10 Lawndale 33,228 $10,000 $10,000 11 Rolling Hills Estates 8,184 $10,000 $10,000 12 Lomita 20,630 $15,000 $5,000 Additional Cities # City 2014 Population Formal Bid Amount Council Approval Notes 13 Santa Monica 89,736 $80,000 $80,000 The Formal Bid threshold: Professional Services - $80,000 Contractual Services - $175,000 14 Park City, UT 7,558 $25,000 $25,000 Formal Bid Thresholds: Professional Services - $25,000 Building Improvement - $40,000 Public Works projects - $125,000 (proposed to be $178,220 for FY15) Council approval required for items over $15,000 that are not anticipated in the current budget