20-Year Resource Allocation Plan - City of Sunnyvale

communications, and satellite copiers are provided by the
Information Technology Department, while Print Shop and
Mail Services are located in the Offi ce of the City Manager.
The aggregate rental rate for Technology and Communications
Services is scheduled to increase by 2% for FY 2011/2012,
and then average 2.8% annually for the fi rst ten years of the
plan. This is slightly higher than the 2.7% annual average
projected last year for the fi rst ten years of the plan, which is
due to increased costs for expected equipment replacement.
Increases average 2.4% annually in the second ten years of the
plan, which is slightly lower than the 2.6% average increase
each year of the second ten years in last year’s long-term plan.
The Cable PEG Channel Grant line item refl ects funds that
are available for use for public or educational cable services.
These funds are used to purchase equipment for the City’s
public access channel, KSUN. Funds that have not been
programmed for use in purchasing equipment for KSUN
are collected in a restricted reserve titled Restricted KSUN
Equipment Reserve.
A new surcharge on development fees to pay for the costs
of the technology needed to support the one-stop permit
system was implemented in FY 2010/2011. This surcharge
is expected to recover about $78,000 annually, which will be
placed in a Restricted Technology Surcharge Reserve in this
sub-fund. It will be used to cover the cost of annual system
maintenance, as well as to cover periodic major upgrades or
replacement of the system.
The Transfer from the General Fund line item represents the
General Fund support to cover the costs for the Information
Technology Department to administer the City’s cable
television franchise agreements.
The major current requirements of the Technology and
Communications Services Sub-Fund deal with equipment
replacement and operation of the programs in the Information
Technology Department and the Offi ce of the City Manager.
Equipment replacement for technology and communications
and offi ce assets refl ect the depreciation schedules for each.
Equipment replacement costs will fl uctuate year-overyear
based on the useful lives of the individual pieces of
equipment on the replacement schedules. Overall, equipment
replacement costs are down approximately $3.5 million over
the 20-year plan in comparison to last year’s long-term plan.
This is predominantly the result of extending the useful lives
of existing equipment, as well as recalibrating the cost of
replacement on our inventory.
Operating costs for the Technology and Communications
programs are up 3.4% in FY 2011/2012, which is
predominantly the result of increased personnel costs.
One-time transfers to the Community Recreation Fund, Youth
and Neighborhood Services Fund, and General Fund have
been programmed in FY 2011/2012 for funds collected for
replacement of equipment that will no longer be replaced by
the Technology and Communications Services Sub-Fund.
Transfers are also made to the General Fund to cover the cost