HomeMy WebLinkAboutOrdinance 21973-11-2015 ORDINANCE NO. 21973-11-2015
AN ORDINANCE AUTHORIZING THE CHIEF FINANCIAL OFFICER TO MAKE CERTAIN
TRANSFERS AND ALLOCATIONS OF PREVIOUSLY APPROPRIATED FUNDS WITHIN THE
WATER CAPITAL FUND AND THE SEWER CAPITAL FUND FOR THE PURPOSE OF
SUPPLEMENTING FUNDING FOR FISCAL YEAR 2016 COMMUNITY FACILITY
AGREEMENT PROJECTS WHEN DEVELOPER CONTRIBUTIONS ARE INSUFFICIENT TO
COVER COSTS; PROVIDING FOR A SEVERABILITY CLAUSE; MAKING THIS ORDINANCE
CUMULATIVE OF PRIOR ORDINANCES; REPEALING ALL ORDINANCES IN CONFLICT
HEREWITH; AND PROVIDING AN EFFECTIVE DATE.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH,TEXAS:
SECTION 1.
That$1,000,000.00 has been designated in the Water Capital Fund from previously appropriated funds and $1,000,000.00
has been designated in the Sewer Capital Fund from previously appropriated funds because such funds are anticipated to
be required during the fiscal year to supplement funds received from developers for the inspection, materials testing, and
other services to be performed by City staff in connection with community facility agreement projects that are funded
solely by developers when the amount of developer contributions is insufficient to cover the City's costs. In accordance
with Chapter X of the Charter of the City of Fort Worth, Texas, by adoption of this ordinance,the City Council authorizes
and delegates to the City's Chief Financial Officer authority, when such a project has a shortfall, to enact and make
transfers and allocations of such monies in a cumulative amount not to exceed the total amount budgeted and designated
within the Fund, with such transfers and appropriation to be made from the Non-Departmental Project of the Water
Capital Fund or the Sewer Capital Fund, as applicable, to the receiving project's center within the Water Capital Fund or
the Sewer Capital Fund, as applicable, provided, however,that the Chief Financial Officer shall be required to report such
transfers and allocations to the City Council in periodic financial reports, which shall be submitted no less than quarterly
throughout the fiscal year.
SECTION 2.
That should any portion, section or part of a section of this ordinance be declared invalid, inoperative or void for any reason
by a court of competent jurisdiction, such decision, opinion or judgment shall in no way impair the remaining portions,
sections, or parts of sections of this ordinance,which said remaining provisions shall be and remain in full force and effect.
SECTION 3.
That this ordinance shall be cumulative of Ordinance No. 21873-09-2015 and all other ordinances and appropriations
amending the same except in those instances where the provisions of this ordinance are in direct conflict with such other
ordinances and appropriations, in which instance said conflicting provisions of said prior ordinances and appropriations
are hereby expressly repealed.
SECTION 4.
This ordinance shall take effect upon adoption.
APPROVED AS TO FORM AND LEGALITY:
Denis cE roy Nn Assistant City Attorney s J.� ser, ` its Secretary
ADOPTED AND EFFECTIVE:November 17,2015
Ordinance No.21971-11-2015
Page I of I
City of Fort Worth, Texas
Mayor and Council Communication
COUNCIL ACTION: Approved on 11117/2015 - Ordinance No. 21972-11-2015 & 21973=11-
2015
DATE: Tuesday, November 17, 2015 REFERENCE NO.: G-18610
LOG NAME: 1313STOPGAP FUNDING
SUBJECT:
Adopt Ordinance Appropriating $500,000.00 in the Capital Projects Reserve Fund for Fiscal Year 2016
Community Facilities Agreement Projects and Delegating Authority to the City's Chief Financial Officer to
Effect Transfers Up to the Budgeted Total, Designate Use of$1,000,000.00 in Previously Appropriated
Funds in the Water Capital Fund and $1,000,000.00 in Previously Appropriated Funds in the Sewer Capital
Fund for Fiscal Year 2016 Community Facilities Agreement and Adopt Ordinance Delegating Authority to
the City's Chief Financial Officer to Effect Transfers Up to the Budgeted and Designated Total in Each
Fund (ALL COUNCIL DISTRICTS)
RECOMMENDATION:
It is recommended that the City Council:
1. Adopt the attached Fiscal Year 2016 appropriation ordinance increasing receipts and appropriations in
the Capital Projects Reserve Fund in the amount of$500,000.00 from available Gas Well Revenues for
the purpose of funding Community Facilities Agreements on a limited basis when developer contributions
are not sufficient to fund expenditures and delegating authority to the City's Chief Financial Officer to effect
transfers within the Fund up to its appropriated total;
2. Designate the use of$1,000,000.00 in previously appropriated funds in the Water Capital Fund and
$1,000,000.00 in previously appropriated funds in the Sewer Capital Fund for the purpose of funding
Community Facilities Agreements on a limited basis when developer contributions are not sufficient to
fund expenditures; and
3. Adopt the attached ordinance delegating authority to the City's Chief Financial Officer to effect transfers
within the Water Capital Fund and within the Sewer Capital Fund up to the budgeted and designated
amount of$1,000,000.00 in each fund for Community Facility Agreements.
DISCUSSION:
The purpose of this Mayor and Council Communication (M&C) is to supplement the financial framework
approved by the City Council (M&C G-18572) to support the execution of Community Facility Agreements
during Fiscal Year 2016.
As development occurs throughout the City of Fort Worth, developers enter into contracts with the City to
undertake private construction of public infrastructure, such as roads or water lines (community facilities)
needed to support private development plans. Under the terms of the City's standard Community
Facilities Agreement (CFA), the developer is responsible for the construction of facilities, in accordance
with City standards and must also cover the costs of inspection and material testing by the City to ensure
City standards are being met.
Logname: 1313STOPGAP FUNDING Page 1 of 3
As noted in M&C G-18572, the funds that are supposed to cover the City's costs are collected from
developers on a project by project basis in the form of a Developer Contribution and deposited into the
Enterprise Developer Contribution Fund for water and sewer CFAs and in the Developer Contribution
Fund for all other CFAs. However, from reviewing past years' revenues and expenditures, Staff has
determined that the contribution structure needs to be reassessed. Currently, the contributions paid by
developers for small projects are generally insufficient to cover the City's costs while contributions for large
projects occasionally exceed costs.
Staff is committed to analyzing the contribution rates and bringing back recommendations to "right size"
the assessments. However, in the interim of studying and updating the assessment structure in order to
continue executing and implementing CFAs, fall back funding sources are needed to cover City costs
when they exceed the contribution rates. Staff recommends the City Council designate the use of
$1,000,000.00 in previously appropriated funds in the Water Capital Fund and $1,000,000.00 in previously
appropriated funds in the Sewer Capital Fund plus appropriate $500,000.00 in the Capital Projects
Reserve Fund from unallocated Gas Well Revenue for Fiscal Year 2016. These funds will be used in their
respective funds to cover CFA costs when developer contributions are insufficient to cover the total costs
of providing the services.
The attached ordinances also delegate authority to the City's Chief Financial Officer (CFO), when a
situation arises as outlined above, to enact and make the transfers and allocations to individual CFA
projects within each of the respective Funds when needed. As transfers from the designated
appropriations are made, the remaining appropriated and designated total would be reduced. As capital
funds, once appropriated, the budgeted amounts would remain in the assigned CFA project until the
money has been expended or the project is completed. Annual re-appropriation would not be required.
The delegated authority granted by the attached ordinance is subject to the restriction that the total
amount of all such transfers within each Fund may not exceed the annual amount appropriated and
designated for this purpose and is also subject to the requirement that the CFO periodically report the
transfers and allocations to the City Council throughout the fiscal year.
FISCAL INFORMATION /CERTIFICATION:
The Financial Management Services Director certifies that upon approval of the above recommendation
and adoption of the attached appropriation ordinance, funds will be available in the current capital budgets
of the Capital Projects Reserve Fund, the Water Capital Fund and the Sewer Capital Fund.
FUND IDENTIFIERS (FIDs):
TO
Fund Department Accouni Project Program Activity Budget Reference # Amount
ID ID Year Chartfield 2
1 39100 0060419 4623001 B60001 B60000 $500,000.00
1 39100 0060419 860001 B60000 $500,000.00
1 39100 0909103 4623001 B60001 B60000 $500,000.00
1 39100 0909103 B60001 B60000 $500,000.00
2 59601 0909103 4905424 UNSPEC UN1500 $1,000,000.00
59601 0909103 UNSPEC UN1500 $1,000,000.00
2)59607 0909103 4905424 UNSPEC UN1300 $1,000,000.00
q
59607 0909103 UNSPEC UN1300 $1,000,000.00
FROM
Fund Department Accouni Project ProgramActivity Budget Reference # Amount
ID ID Year Chartfield 2
1)391001 0060419 4623001 B60001 B60000 $500,000.00
1 391001 0060419 B60001 1360000 $500,000.00
Logname: 1313STOPGAP FUNDING Page 2 of 3
2)1596011 0600430 4905424 UNSPEC UN1500 $1,000,000.00
2)596011 0600430 UNSPEC UN1500 $1,000,000.00
2)596071 0700430 4905424 UNSPEC UN1300 $1,000,000.00
2)596071 0700430 UNSPEC UN1300 $1,000,000.00
CERTIFICATIONS:
Submitted for City Manager's Office by: Susan Alanis (8180)
Originating Department Head: Aaron Bovos (8517)
Additional Information Contact: Suzie Wagner (7806)
Logname: 1313 STOPGAP FUNDING Page 3 of 3