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Resolution of the City Council of the City of South San Francisco authorizing the closure of seventy-two Capital Improvement Plan projects and approving associated Budget Amendment Number 26.038.
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WHEREAS, the City of South San Francisco maintains a Capital Improvement Plan (CIP) to plan, finance, and construct public infrastructure, facilities, and operational improvements; and
WHEREAS, CIP projects involving construction typically return to the City Council for closeout through the filing of a Notice of Completion, while certain non-construction, planning, design, operational, or consolidated projects do not require a Notice of Completion and therefore do not return to Council through the standard closeout process; and
WHEREAS, as part of the implementation of the City’s new Enterprise Resource Planning (ERP) system, staff conducted a comprehensive review of all open CIP projects to ensure accurate financial data migration; and
WHEREAS, this review identified seventy-two (72) CIP projects that have been completed, canceled, consolidated, or otherwise deemed inactive and are currently listed as open or suspended in the City’s financial system; and
WHEREAS, closing these projects at this time is necessary to avoid delays in the ERP implementation and to ensure that only active and relevant projects are transitioned into the new system; and
WHEREAS, Attachment 1 to the staff report provides a summary of the seventy-two (72) CIP projects recommended for closure, and Exhibit A to the Resolution provides a complete and detailed listing of each project along with the anticipated remaining budget for each; and
WHEREAS, certain projects may contain outstanding current-year expenditures not yet fully allocated or posted; and
WHEREAS, it is necessary and appropriate to authorize the Finance Department to process all required accounting entries, reconcile any pending or unallocated expenditures, reduce project budgets by the anticipated remaining amounts, and return all unused fund balances to their original funding sources consistent with City financial policies; and
WHEREAS, although future CIP project closures-including non-construction projects-will be incorporated into the City’s annual CIP budget cycle, this action represents a one-time, comprehensive closure of legacy CIP schedule items accumulated over time.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of South San Francisco hereby authorizes the closure of the seventy-two (72) Capital Improvement Program projects listed in Attachment 1 to the staff report and detailed in Exhibit A to this Resolution.
BE IT FURTHER RESOLVED that the City Council authorizes the Finance Department to reduce the project budgets by the anticipated remaining balances shown in Exhibit A, to reconcile any outstanding or unallocated expenditures, and to return unused appropriations to their respective funding sources or applicable fund balances.
BE IT FURTHER RESOLVED that the City Council finds that closing these projects is necessary to ensure accurate financial reporting, reduce administrative burden associated with inactive or suspended projects, and support the timely and successful transition to the new ERP system.
BE IT FURTHER RESOLVED that this Resolution shall take effect immediately upon its adoption.
BE IT FINALLY RESOLVED that the City Manager and Finance Department are hereby authorized and directed to take any and all actions necessary, consistent with the staff report and this Resolution, to complete all required steps to fully implement the closures, budget adjustments, and financial reconciliations described herein.
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