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HomeMy WebLinkAboutOrdinance 17992-02-2008Ordinance No. 17992-02-2008 AN ORDINANCE INCREASING APPROPRIATIONS IN THE WATER AND SEWER FUND IN THE AMOUNT OF $25,000 AND DECREASING THE UNRESERVED, UNDESIGNATED FUND BALANCE BY THE SAME AMOUNT, FOR THE PURPOSE OF INCREASING THE AMOUNT TO BE PAID TO WHITAKER, CHALK, SWINDLE & SAWYER, LLP ("WHITAKER CHALK"} FOR ASSISTING THE CITY IN MATTERS CONCERNING CONTRACTS FOR THE WATER DEPARTMENT; PROVIDING FOR A SEVERABILITY CLAUSE; MAKING THIS ORDINANCE CUMULATNE OF PRIOR 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 in addition to those amounts allocated to the various City departments far Fiscal Year 2007- 2008 in the Budget of the City Manager, there shall also be increased appropriations in the Water and Sewer Fund in the amount of $25,000 and decreasing the,. unreserved, undesignated fund balance by the same amount, for the purpose increasing the amount to be paid to Whitaker, Chalk, Swindle & Sawyer, LLP ("Whitaker Chalk"} for assisting the Ciry in matters concerning contracts far the Water Department. 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. 17749 and aIi 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in which instance said conflicting provisions of said prior ordinances and appropriations are hereby expressly repealed.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. PROVED AST FORM AND LEGALITY: istant City Attorney ADOPTED AND EFFECTIVE: ___ February 19, 2008 City ®f F®r~ ~/®rth, 1"exas Mayor and Council Communication COUNCIL ACTION: Approved on 2/19/2008 -Res. # 3585-02-2008, Ord. # 17991-02-2008 & Ord. # 17992-02-2008 DATE: Tuesday, February 19, 2008 LOG NAME: 12WHITAKER 250 REFERENCE NO.: G-16055 SUBJECT: Adopt Resolution Authorizing Increase to the Maximum Amount to be Paid to the Law Firm of Whitaker, Chalk, Swindle & Sawyer, LLP, to Assist the City in Matters Concerning Water Department and Transportation and Public Works Contracts and Adopt Appropriation Ordinances RECOMMENDATION: It is recommended that the City Council: 1. Adopt a resolution authorizing the maximum amount to be paid to Whitaker, Chalk, Swindle & Sawyer, LLP, ("Whitaker Chalk") to assist the City in matters concerning Water Department and Transportation and Public Works (TPW) contracts; 2. Adopt the attached supplemental appropriation ordinance increasing appropriations in the General Fund by $25,000 and decreasing the unreserved, undesignated fund balance by the same amount; and 3. Adopt the attached supplemental appropriation ordinance increasing appropriations in the Water and Sewer Fund by $25,000 and decreasing the unreserved, undesignated fund balance by the same amount. DISCUSSION: By adoption of M&C G-15239 on June 20, 2006, the City Council approved Whitaker Chalk to assist the City concerning various legal issues regarding the City's Water Department and TPW contracts and authorized payment to Whitaker Chalk in an amount not to exceed $50,000. M&C G-15680, adopted on April 17, 2007 increased the authorized amount to $150,000 and on September 25, 2007 M&C G-15873 was adopted to increase the authorized amount to $200,000. To date, Whitaker Chalk has billed the City $194,430.22 for its services. Various matters concerning Water Department and TPW contracts and representation of the City in litigation concerning such matters are still pending. Because of the extraordinary importance of the issues raised, it is the opinion of the City Attorney to authorize an additional sum of $50,000 to Whitaker Chalk for their services concerning those matters not to exceed $250,000. Since the last increase counsel have been negotiating arbitration agreements with various contractors. This M&C is to increase the amount to be paid to Whitaker Chalk for these matters and general construction issues. Fees for litigation lawsuit costs will be addressed under a separate M&C. Logname: 12WHITAKER 250 Page 1 of 2 FISCAL INFORMATION/CERTIFICATION: The Finance Director certifies that upon approval of the above recommendations and adoption of the attached supplemental appropriation ordinance, funds will be available in the current operating budgets, as appropriated, of the General Fund and Water and Sewer Fund. Upon approval, the unaudited fund balance available for discretionary spending (excluding Reserves for Advances) of the General Fund will be $1,187,613.81 below the minimum reserved fund balance of $51,164,694 and the unaudited available cash balance of the Water and Sewer Fund will be $47,731,314.40. Financial Management Policy Statements state that the City shall strive to maintain the General Fund undesignated fund balance at an amount equaling 10 percent of the current-year adopted budget expenditures less the annual transfer from the General Fund to the Debt Service Fund and maintain the Water and Sewer Fund operating reserve at an amount equaling 20 percent of the current year budget appropriation for the operation and maintenance, which is defined as the total budget less debt service and capital project expenditures. TO Fund/Account/Centers FROM Fund/Account/Centers GG01 538110 0121000 $25,000.00 PE45 531200 0601000 X25.000.00 Submitted for City Manager's Office bv: Fernando Costa (Acting) (6122) Originating Department Head: David Yett (7623) Frank Crumb (8246) Additional Information Contact: Gerald Pruitt (7616) Jimmy Riddell (7614) Logname: 12WHITAKER 250 Page 2 of 2