Title
[Contract] Interagency Reimbursement Award with the Sacramento Metro Cable Television Commission (Public Educational and Governmental Funding) for FY2026/27
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FileID
File ID: 2026-01461
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Location
Location: Citywide
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Recommendation
Recommendation: Adopt a Resolution: 1) ratifying the execution of the Reimbursement Agreement with the Sacramento Metro Cable Television Commission (SMCTC) and the City of Sacramento in the amount of $1,658,324 for expenditures associated with the technical upgrade of the Council Chambers and Historic Hearing Room; and 2) decreasing the revenue and expense budgets in the Council Chamber/Hearing Room Program (A07001000) by $1,007,890 (CIP Reimbursable Fund, Fund 3702).
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Contact
Contact: Manuel Martinez, IT Manager, (916) 808-8785, mmartinez@cityofsacramento.org; Cassy Vaioleti, Program Specialist, (916) 808-8047, cvaioleti@cityofsacramento.org; Darin Arcolino, Chief Information Officer, (916) 808-0403, darcolino@cityofsacramento.org; Department of Information Technology
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Presenter
Presenter: None
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Attachments
Attachments:
1-Description/Analysis
2-Agreement
3-Resolution
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Description/Analysis
IssueDetail
Issue Detail: SMCTC is a joint powers agency that collects a 1% Public Educational, and Governmental (PEG) access channel fees from cable television operators to support PEG facilities. The City is a member agency of SMCTC.
SMCTC awards PEG funds to member agencies that request support for projects and services related to PEG access channels. Federal law restricts the use of PEG funds. The proposed agreement will memorialize the terms of the SMCTC’s award to the City and the applicable federal restrictions of the City’s use of the PEG funds. Council approval will provide the City Manager authority to enter into the proposed agreement.
On July 16, 2026, SMCTC awarded the City $1,658,324 in PEG funding for FY2026-27. The PEG funding award will be used in accordance with federal restrictions to finish installing and integrating new audio video presentation control hardware for our Historic Hearing Room and upgrading our broadcast Camera System. Additionally, the funding will be used to replace aged and non-supported hardware in our City Hall Council Chambers and integrate it into additional meeting rooms in City Hall. These upgrades will allow the rooms to act as public meeting overflow rooms with full audio and video participation capabilities. Other upgrades include the replacement of the City’s playback speakers in chambers, granular audio control adoptions on Clerk’s and Control Room Displays, and Digital Signal Processor
(DSP) audio amp replacements and integration. The Media Control Room will also be upgraded with new video switchers and audio and video control panels headend. This will allow for a robust transmission of our video production system into the City’s streaming environment.
The PEG request, acceptance, award, and execution timelines, combined with our ability to perform the necessary integration and maintenance work within Council Chambers, create very tight installation and reimbursement windows. These challenges have made it difficult to complete the installation of all hardware and software funded through prior PEG requests.
When hardware was delayed, unavailable, or products changed before installation could occur, the affected hardware or software had to be included again in the following year’s PEG request. Post-COVID product shortages and extended supply chain delays further compounded the issue and, in some cases, made it nearly impossible to complete PEG-funded projects within the required timelines.
As a result, items that were not installed were carried forward and requested in subsequent PEG cycles, which has now led to the need to reconcile these projects with our PEG CIP. No funding was lost. The funding for these items was effectively deferred and reallocated to the subsequent PEG budget cycle.
This year, we have already hired and prepared our audio and video integrators, and unlike many of the prior post-COVID years, hardware is now generally available. Accepting this year's request will allow IT to move quickly into procurement and installation of the hardware and software that has been requested over the past several budget cycles.
This will also put us in a much stronger position to complete the work within the Cable Commission’s required reimbursement timelines and ensure that the PEG funding is fully utilized for its intended purposes.
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PolicyConsiderations
Policy Considerations: The agreement is in alignment with the Mayor and Council Budget Priorities and the Demonstration Partnerships Policy adopted by the City Council on April 25, 2017 (Resolution No. 2017-0150).
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EconomicImpacts
Economic Impacts: Not applicable.
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EnvironmentalConsiderations
Environmental Considerations: Not applicable.
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Sustainability
Sustainability: Not applicable.
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Commission/Committee Action
Commission/Committee Action: Not applicable.
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RationaleforRecommendation
Rationale for Recommendation: The proposed agreement with SMCTC will provide funding necessary for the upgrade/replacement of the audio/visual systems, lighting, and presentation control equipment in the Council Chamber and Hearing Room.
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FinancialConsiderations
Financial Considerations: The Council Chamber/ Hearing Room Program (A07001000, CIP Reimbursable Fund 3702) was established to record the reimbursement expenses for the equipment and services from the PEG award.
Since 2017, the City has received PEG funding to support technology and infrastructure upgrades for the Historic Chambers and New City Hall. Due to annual timelines associated with completing projects and processing and reimbursements, some previously approved projects could not be completed with the applicable funding cycle. Those projects and associated funding were subsequently incorporated into future PEG requests, resulting in the need to reconcile the cumulative project budget.
Acceptance of the FY2026/27 PEG award of $1,658,324, together with the reconciliation of the prior year project funding will result in a net reduction of $1,007,890 to the project budget. This adjustment reflects the reconciliation and reallocation of the PEG-funded projects across budget cycles and does not represent a loss of funding.
|
Fiscal Year: |
Award Amount: |
Reimbursement Received: |
Adjusted Funds: |
|
2017 |
$ 124,957 |
$ 52,604 |
$ 72,353 |
|
2018 |
$ 74,547 |
$ 60,978 |
$ 13,569 |
|
2019 |
$ 401,561 |
$ 37,104 |
$ 364,457 |
|
2020 |
$ 545,704 |
$ - |
$ 545,704 |
|
2021 |
$ - |
$ 401,059 |
$ (401,059) |
|
2022 |
$ - |
$ 125,370 |
$ (125,370) |
|
2023 |
$ 446,646 |
$ - |
$ 446,646 |
|
2024 |
$ 611,512 |
$ 102,320 |
$ 509,192 |
|
2025 |
$ 777,270 |
$ 269,216 |
$ 508,054 |
|
2026 |
$ 732,667 |
$ - |
$ 732,667 |
|
|
$ 3,714,864 |
$ 1,048,650 |
$ 2,666,214 |
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LocalBusinessEnterprise
Local Business Enterprise (LBE): The project associated with this agreement is in partnership with SMCTC. Therefore, the City’s LBE requirements are waived.
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