ITEM TITLE:
Approval of Providence Valdez Medical Center request to make unscheduled capital equipment purchase of a new X-Ray unit
SUBMITTED BY: Brian Carlson, Finance Director
FISCAL NOTES:
Expenditure Required: $105,000
Unencumbered Balance: $7 million
Funding Source: PVMC (not City) unrestricted fund balance
RECOMMENDATION:
Approve PVMC Request to make capital equipment purchase.
SUMMARY STATEMENT:
• PVMC Staff has alerted the City about the need to replace the X-Ray unit, which has failed after 17 years. Estimated cost is $105,000.
• Per contract, Council reviews and approves PVMC budget and capital equipment requests annually in September for the coming calendar year. Equipment purchases are made from the PVMC fund balance.
o PVMC fund balance reflects accumulated net income, and is owned by City, though PVMC carries this balance on its own books.
o Total PVMC fund balance exceeds $10 million. $3 million of this is restricted, reflecting contractual obligation to retain fund balance equal to 90 days of operations.
o Purchases made from PVMC fund balance are categorized as “reimbursable expenses,” and as such, are owned by the City per contract.
• Attachments: 2019 PVMC Capital Equipment Requests