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Home My WebLink AboutOrdinance 22158-04-2016 ORDINANCE NO.22158-04-2016 AN ORDINANCE AMENDING ORDINANCE NO. 22004-12-2015 BY DECREASING ESTIMATED RECEIPTS AND APPROPRIATIONS IN THE FISCAL YEAR 2016 WATER AND WASTEWATER CAPITAL IMPROVEMENT PLAN, SUN COUNTRY ELEVATED STORAGE TANK REHABILITATION PROJECT IN THE AMOUNT OF$400,000.00.PROVIDE 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 in addition to those amounts allocated to the various City departments for Fiscal Year 2015-2016 in the Budget of the City Manager,there shall also be decreased estimated receipts and appropriations in the Fiscal Year 2016 Water and Wastewater Capital Improvement Plan, Sun Country Elevated Storage Tank Rehabilitation Project in the amount of$400,000.00. 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. 22004-12-2015 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in which instance said conflicting provisions of said prior ordinances and appropriations are hereby expressly repealed.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: Peter Vaky,Deputy City rney Mary J. , C' Svcretary ADOPTED AND EFFECTIVE:April 5,2016 Ordinance No.22158-04-2016 Page 1 of 1 60SUN COUNTRY TANK REHAB-CPC fOR_ WOR N WATER Sun Country 2 MG Elevated StorageTank 5800 W. Stewart Feltz Road . s s - City of Fort Worth, Texas Mayor and Council Communication COUNCIL ACTION: Approved on 4/5/2016 Resolution No 4615-04-2016 & Ordinance No. 22158-04-2016 DATE: Tuesday, April 05, 2016 REFERENCE NO.: C-27657(Revised) LOG NAME: 60SUN COUNTRY TANK REHAB-CPC (REVISED) SUBJECT: Authorize Execution of a Contract in the Amount of$1,134,950.00 with Classic Protective Coatings, Inc., for the Sun Country Elevated Storage Tank Rehabilitation Project, Located at 5800 W. Stewart Feltz Road, Adopt Reimbursement Resolution and Adopt Appropriation Ordinance Decreasing Appropriations in the 2015-2016 Water and Wastewater Capital Improvement Plan by $400,000.00 for the Sun Country Elevated Tank Rehabilitation Project (COUNCIL DISTRICT 6) RECOMMENDATION: It is recommended that the City Council: 1. Authorize execution of a contract in the amount of$1,134,950.00 with Classic Protective Coatings, Inc., for the Sun Country Elevated Storage Tank Rehabilitation Project, located at 5800 W. Stewart Feltz Road; 2. Adopt the attached resolution expressing official intent to reimburse expenditures with proceeds of future debt for costs related to the Sun Country Elevated Storage Tank Rehabilitation Project; and 3. Adopt the attached appropriation ordinance amending Ordinance No. 22004-12-2015 by reducing estimated receipts and appropriations approved in the 2015-2016 Water and Wastewater Capital Improvement Plan by $400,000.00 for the Sun Country Elevated Tank Rehabilitation Project. DISCUSSION: The Sun Country Elevated Storage Tank was constructed in 1990. It is a two million gallon, all steel hydro-pillar elevated tank which has never been repainted. This elevated tank provides potable water storage and fire protection for areas in south Fort Worth. The existing coating system is in need of replacement as required to protect the structural steel from corrosion. On February 12, 2015, a Request for Proposals was issued for several Water Department projects, including the Sun Country Elevated Storage Tank Rehabilitation Project. On March 13, 2015, a total of five proposals were received from engineering consultants for the Sun Country Project. A City staff consultant selection committee recommended Tank Industry Consultants, Inc., for the Sun Country Elevated Storage Tank Rehabilitation Project. On August 25, 2015 (Mayor and Council Communication (M&C) C-27432), the City Council authorized execution of an Engineering Agreement with Tank Industry Consultants, Inc., for the design and preparation of contract documents for the recoating and structural repairs of the Sun Country Elevated Storage Tank. The bids came in lower than the estimated $1,600,000.00 for this project, allowing for reduction of the appropriations by $400,000.00. The schedule for project delivery remains the same, with construction starting in August of 2016 and being completed by January of 2017. Logname: 60StJN COUNTRY TANK REHAB-CPC (Revised) Page 1 of 3 The project vvaaadvertisodonDacamber1O. 3015andOeoember17. 2O15inthe . C)n January 14. 2O1U. the following seven bids were received: BIDDER 131DAIVIOUNT CONTRACT F150 calendar Days �A&M Construction a nd Utilities, Inc. $1,332,500.00 FTmI Coatings, Inc. $1,516,400.00 Appropriations for the Sun Country Elevated Storage Tank will consist of the following: Existing Additional r, Des cripDtion] 950 00 Project Real Property Testing and Contingencies ^Numbers rounded for presentation. Appropriations for the Sun Country Elevated Storage Tank will consist of the following by fund: lWater/Sewer DPN Fund - 56005 —[$—1 12-6-0-1006—00 [Water & Sewer Bond 2015A Fund - 56007[ $ 150,600.00 ° Numbers rounded for presentation. This project ioontioipotedtobe /nc|udedinofuturerevenuobondisauaforthaVVaterandSovvar Fund. Available cash within the Water and Sewer portfolio and the City's portfolio along with the appropriation authority authorized under the Direct Purchase Note (DPN) Program will be used to provide interim financing for this project unti| debtisiooued. The unused authority will ba reprogrammed to another project byofutun* K8eyorandCounci/ {}onnrnuniooUon. To the extent resources other than the l.nguuoze: 6OGlDN COUNTRY TANK REHAB-CPC (Revised) Page 2of3 Water and Sewer portfolio are used to provide interim financing, the Water and Sewer Fund will be charged interest that is equivalent to the overall rate of return being earned by the City portfolio (currently approximately one-percent annually). Should the City's portfolio not support the liquidity needed to provide an interim short-term financing source, another funding source will be required, which could mean issuance of securities under the DPN Program or earlier issuance of Water and Sewer revenue bonds than is currently planned. Once debt associated with this project is sold, bond proceeds will be used to reimburse the Water and Sewer portfolio and the City's portfolio in accordance with the attached Reimbursement Resolution. The City Council adopted the Water Department's Fiscal Year 2016-2020 Five-Year Capital Improvement Plan on February 2, 2016 (M&C G-18662). This City Council adopted plan includes this specific project, with funding identified through the DPN Program to be reimbursed with future revenue bonds. In accordance with the provisions of the Financial Management Policy Statements, Staff anticipates presenting revenue-supported debt issuances to the City Council for consideration within the next three years. This debt must be issued within approximately three years to provide reimbursement for these expenses. If that does not occur, the costs will no longer be reimbursable by issuing tax-exempt debt and the funding source will have to be made whole through other budgetary methods. Adoption of this resolution does not obligate the City to sell bonds, but preserves the ability to reimburse the City from tax- exempt bond proceeds. M/WBE OFFICE: A waiver of the goal for MBE/SBE subcontracting requirements was requested by the Water Department and approved by the M/WBE Office, in accordance with the M/WBE or BDE Ordinance, because the purchase of goods or services from source(s) where sub-contracting or supplier opportunities are negligible. This project will have no impact to future Water Department operating budgets and is located in COUNCIL DISTRICT 6, Mapsco 430. FISCAL INFORMATION /CERTIFICATION: The Director of Finance certifies that funds are available, as appropriated, in the 2017 Water and Sewer Revenue Bond Capital Project Fund, Sun Country Elevated Storage Tank Rehabilitation Project, for the execution of the contract and that excess appropriation will be reduced by the specified amount. FUND IDENTIFIERS (FIDsI: TO Fund Department ccount Project Program ctivity Budget Reference # Amount ID ID Year Chartfield 2 13)560051 0600430 14905420 1 CO2422 1 2016 1 $400,000.00 FROM Fund Department Accoun Project Program ctivity Budget Reference # Amount ID ID Year (Chartfield 2) 11)560051 0600430 15740010 1 CO2659 I I C018801 2016 1 $1,134,950.00 CERTIFICATIONS: Submitted for City Manager's Office bV. Jay Chapa (6122) Originating Department Head: John Carman (8246) Additional Information Contact: Chris Harder (8293) Logname: 60SUN COUNTRY TANK REHAB-CPC (Revised) Page 3 of 3