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Home My WebLink AboutOrdinance 22615-02-2017 ORDINANCE NO.22615-02-2017 AN ORDINANCE INCREASING THE ESTIMATED RECEIPTS AND APPROPRIATIONS IN THE AMOUNT OF $268,639.00 IN THE WATER AND SEWER DPN FUND, FROM AVAILABLE FUNDS, FOR THE PURPOSE OF FUNDING THE UPGRADE OF ONCOR SUBSTATION AT ROLLING HILLS WATER TREATMENT PLANT.; 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 in addition to those amounts allocated to the various City departments for Fiscal Year 2016-2017 in the Budget of the City Manager, there shall also be increased estimated receipts and appropriations in the amount of$268,639.00, in the Water and sewer DPN Fund, from available funds, for the purpose of funding the Upgrade of Oncor Substation at Rolling Hills Water Treatment Plant. 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 22394-09-2016 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in which instance said conflicting provisions of said prior ordinances and appropriations are hereby expressly repealed.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: Doug 1as17 Black, Mary J. kafer, Sr.Assistant City Attorney City Secretary ADOPTED AND EFFECTIVE: February 21,2017 Ordinance No.22615-02-2017 Page 1 of 1 F2!Zp Rolling Hills WTP High Service Pump Station (HSPS) Switch Gear Replacement WAMt City Project#02315 p o 4 °VOP a RUS ,. RING High Service _ Pump Station - u ` t (HSPS)# 1 IF GULAM #oM , t . r k` m r " .. r y S � z Rolling ff �—% Wat i�f r Treabme "PiAn AkTAVAEejk w n +� e � n - Rolling Hills Treat a �. Plant Location - M( �P • J Y 0 0.15 0.3 0.6 NAD-1983 StatePlane Texas_Nonh_Central_FIPS-4202_Feet 1 inch equals 600 feet Mile City of bort Worth, Texas Mayor and Council Communication COUNCIL ACTION: Approved on 2/21/2017 - Ordinance No. 22615-02-2017 & Resolution No. 4748-02-2017 DATE: Tuesday, February 21, 2017 REFERENCE NO.: ""C-28122 LOG NAME: 60RHWTP HSPS ONCOR AGMT SUBSTATION UPGRADE SUBJECT: Authorize Execution of a Service Agreement with Oncor Electric Delivery Company LLC, in an Amount Not to Exceed $268,639.00 for the Upgrade of Oncor Substation at Rolling Hills Water Treatment Plant and Adopt Resolution Expressing Official Intent to Reimburse Expenditures with Proceeds of the Future Debt and Adopt Appropriation Ordinance (COUNCIL DISTRICT 8) RECOMMENDATION: It is recommended that the City Council: 1. Adopt the attached Resolution expressing official intent to reimburse expenditures with proceeds from future Water/Sewer debt for the Rolling Hills Water Treatment Plant High Service Pump Station Switchgear Replacement Project; 2. Adopt the attached Appropriation Ordinance increasing estimated receipts and appropriations in the Water and Sewer DPN Fund in the amount of$268,639.00 from available funds; and 3. Authorize the execution of a Service Agreement with Oncor Electric Delivery Company LLC, in an amount not to exceed $268,639.00 for the upgrade of Oncor Substation at Rolling Hills Water Treatment Plant (RHWTP). DISCUSSION: On December 2, 2014, Mayor and Council Communication (M&C C-27097), the City Council authorized an Engineering Agreement in the amount of$426,460.00 with CP&Y, Inc., to prepare plans and specifications for the Rolling Hills Water Treatment Plant (RHWTP) High Service Pump Station (HSPS) Switchgear Replacement and Electrical Improvements Project. On June 14, 2016, (M&C C-27766), the City Council authorized additional funding in the amount of$99,000.00 for additional staff time and engineering contingencies. On August 2, 2016, (M&C C-27848) the City Council authorized a construction contract with Texsun Electrical Contractors, Inc., in the amount $5,500,600.00 for this project. During the RHWTP HSPS design, the Engineer determined that the on-site Oncor Electrical Substation needed to be upgraded. A Service Agreement with Oncor Electric Delivery Company, LLC, is necessary to make the necessary upgrade/addition to the existing Oncor Substation at RHWTP. The Oncor upgrade facilities include, but not limited to, the following: Two 4.16 kV outdoor metering cubicles; two structural mounted outdoor revenue metering enclosures; one structural mounted telemetry enclosure; one outdoor demarcation junction box; all complete with associated conduits, cables and related ancillaries. Oncor will also test and commission the Upgraded Facilities. Logname: 60RHWTP HSPS ONCOR AGMT SUBSTATION UPGRADE Page I of 3 This Project is scheduled for completion around April 2018. Overall, this project will not increase the operational and maintenance budget for the RHWTP associated with this HSPS switchgear or Oncor substation. This project is anticipated to be included in a future revenue bond issue for the Water and Sewer 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 program will be used to provide interim financing for this project until debt is issued. To the extent resources other than the 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 Direct Purchase Note 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 for the goal for MBE/SBE subcontracting requirements was requested by the Water Department and approved by the M/ BE Office in accordance with the M/WBE or BDE Ordinance, because the purchase of goods or services is from source(s)where subcontracting or supplier opportunities are negligible. This project serves many Districts and is located in COUNCIL DISTRICT 8, Mapsco 92S. FISCAL INFORMATION / CERTIFICATION: The Director of Finance certifies that funds are available in the current capital budget, as appropriated, of the Water Fund and that prior to an expenditure being made, the Water Department has the responsibility to validate the availability of funds. Existing i Additional Future Project FUND A rirrions ''Total* .�. PProationsA P �_ PPoati _ P _ JAppropriations Water- ,�.. _$_0._00_ _ _._.__ ,Capital $528,960.001 $0.00 $0.00F$528,960-00 Projects Fund 59601 Water/Sewer Bond 2016 $0.00 $0.00$6,000,000.00 Fund 56005 j$6,000,000.00 Water and $0.00. $268,639.00 $0.00 $268,639.00 Sewer DPN Logname: 60RHWTP HSPS ONCOR AGMT SUBSTATION UPGRADE Page 2 of 3 !Fund 56011 Project $6,528,960.00 ( $268,639.00 $0.00 4$6,797,599.00 Total FUND IDENTIFIERS (FIDs): TO Fund Department ccoun Project Program ctivity Budget Reference # �mount ID ID Year Chartfield 2 FROM Fund Department ccoun Project Program ctivity Budget Reference # moun ID ID Year Chartfield 2 CERTIFICATIONS: Submitted for City Manager's Office by: Jay Chapa (5804) Originating Department Head: John Carman (8246) Additional Information Contact: Farida Goderya (8214) Logname: 60RHWTP HSPS ONCOR AGMT SUBSTATION UPGRADE Page 3 of 3