HomeMy WebLinkAboutOrdinance 22723-05-2017 ORDINANCE NO.22723-05-2017
AN ORDINANCE DECREASING APPROPRIATIONS IN THE CONTRIBUTION TO FUND
BALANCE PORTION OF THE GENERAL DEBT SERVICE FUND BY $6,541,316.00 AND
INCREASING APPROPRIATIONS IN THE FINANCIAL MANAGEMENT SERVICES
PORTION OF THE GENERAL DEBT SERVICE FUND BY THE SAME AMOUNT, FOR
THE PURPOSE OF PAYING CURRENT-YEAR DEBT SERVICE PAYMENTS ON THE 2017
TAX NOTES; 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 the operating budget of the City of Fort Worth for Fiscal Year 2016- 2017, as enacted by Ordinance 22393-09-
2016, as amended, is hereby further amended to reduce the Contribution to Fund Balance/Net Position portion of the
General Debt Service Fund by $6,541,316.00, for the purpose of reallocating funds to make current-year debt service
payments on the City of Fort Worth,Texas Tax Notes, Series 2017.
SECTION 2.
That the operating budget of the City of Fort Worth for Fiscal Year 2016- 2017, as enacted by Ordinance 22393-09-
2016, as amended, is hereby further amended to increase appropriations in the Financial Management Services portion
of the General Debt Service Fund by $6,541,316.00, for purposes of making current-year debt service payments on the
2017 Tax Notes.
SECTION 3.
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 4.
That this ordinance shall be cumulative of Ordinance No. 22393-09-2016 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appropriations are hereby expressly repealed.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 5.
This ordinance shall take effect upon adoption.
APPROVE S TO FORM AND LEGALITY:
LOI
A
Deri C. M t9y,
Assistant City Attorney Mary J. er, it ecretary
ADOPTED AND EFFECTIVE: May 16, 2017
Ordinance No.22723-05-2017
Page 1 of 1
City of Fort Worth, Texas
Mayor and Council Communication
COUNCIL ACTION: Approved As Amended on 5/16/2017 - Ordinance No. 22721-05-2017,
22722-05-2017 & 22723-05-2017
DATE: Tuesday, May 16, 2017 REFERENCE NO.: G-19009
LOG NAME: 132017 TAX NOTES
SUBJECT:
Adopt Ordinance Authorizing Issuance and Approving Sale of Tax Notes in the Principal Amount of
$23;$85666-66 $23,080,000.00 fz)r the Purpose of Paying Obligations for Construction and for Purchase of
Materials and Land Rights for Relocation of Trail Drive, for Relocation of the Park Service Center, and for
Transportation Projects and Paying Costs of Issuance; Authorizing Execution of All Related Documents;
and Ordaining Related Matters and Adopt Appropriation Ordinances (ALL COUNCIL DISTRICTS)
RECOMMENDATION:
It is recommended that the City Council:
1. Adopt the attached ordinance authorizing the issuance and approving sale of 2017 Tax Notes in the
principal amount of$23,085,000 $23,080,000.00 for the purpose of paying contractual obligations for
construction of public works and for purchase of materials, supplies, equipment, machinery, buildings,
lands, and rights-of-way for the relocation of Trail Drive, relocation of the Park Service Center, and
transportation projects and paying costs of issuance; authorizing execution of all related documents; and
ordaining related matters, including providing for levy, assessment and collection of a tax sufficient to pay
the interest on and principal of the notes if other revenues are not otherwise available and appropriated for
those payments;
2. Adopt the attached ordinance increasing estimated receipts and appropriations in the 2017 Tax Note
Project Fund by$2385;909 99 $23,080,000.00, subject to the sale of tax notes and receipt of proceeds,
to provide $3 million in funding for the Trail Drive relocation project, $10 million for the Park Service Center
relocation project, and $10 million for Transportation projects; and
3. Adopt the attached appropriation ordinance revising the 2017 General Debt Service Fund Budget by
reallocating funds from a planned fund balance contribution to pay debt service on the 2017 Tax Notes
during Fiscal Year 2017.
DISCUSSION:
The purpose of this Mayor and Council Communication (M&C) is to take actions to provide funding to
accelerate delivery of certain strategic capital projects that are planned to commence within the next 12
months.
On April 27, 2017, the City sent invitations to 30 banks and financial institutions asking them to provide
interest rates for these notes. The notes will be a tax-exempt obligation of the City, backed by the full-faith
and credit of the City's taxing authority. The City will begin repayment of the seven-year notes on
September 1, 2017, from the General Debt Service Fund, with repayment costs for these notes projected
to be fully absorbed by revenue from the existing debt-rate portion of the City's property taxes without any
Logname: 132017 TAX NOTES Page 1 of 3
increase in the rate. The notes will also be callable at the City's option in whole or in part on or after March
1, 2018.
Proceeds from sale of the notes will be used to pay issuance costs and to pay contractual obligations for
the following projects:
Project Amount
Park Service Center Relocation $10,000,000.00
rail Drive Relocation and Extension F—$ 3,000,000.00
Citywide Programmable - Street and Arterial Design
land Study F$10,000,000.001
017 Tax Note Cost of
Issuance F $ 80,000.06�,
$23,085,WWW A6
otal $23,080,000.00
The first two projects are interconnected, with relocation of the existing Park and Recreation maintenance
facility from its current Crestline Drive location being necessary to allow for the extension and relocation of
Trail Drive. With the multipurpose Dickies Arena scheduled to open during the Fall of 2019, adding
capacity on Trail Drive and providing alternative ingress/egress routes in and around the Will Rogers
Memorial Center and Dickies Arena are critical to addressing anticipated traffic flow.
The third project consists of preliminary design and study for critical road projects that Staff ranks among
the City's highest priorities for funding and construction. To the extent any of these projects are funded
through a 2018 Bond Program, having the study and design work already prepared will allow for an
accelerated delivery.
This M&C does not request approval of a contract with a business entity.
FISCAL INFORMATION /CERTIFICATION:
The Director of Finance certifies that upon adoption of the actions provided within this Mayor and Council
Communication, the sale of the 2017 Tax Notes will proceed as necessary to provide funding in the 2017
Tax Note Capital Project Fund for the Trail Drive Relocation, Park Service Center Relocation, and
Transportation Improvements. Further, funds will be available within the General Debt Service Fund to
make the Fiscal Year 2017 debt service payments.
Funds will be requested in Fiscal Year 2018 General Debt Service Fund budget for payment obligations
associated with this tax note.
Prior to any expenditures being made, the participating departments have the responsibility to validate the
availability of funds.
FUND IDENTIFIERS (FIDs):
TO
Fund De artment ccoun Project m
9Pro ractivi Budget Reference moun
P ID ID � Year _ (Chartfield 2)
FROM
Logname: 132017 TAX NOTES Page 2 of 3
Fund Department ccoun Project ctivity Budget Reference # moun
ID ID �Program
( Year ( (Charltfield 2)
CERTIFICATIONS:
Submitted for City Manager's Office by: Susan Alanis (8312)
Originating Department Head: Aaron Bovos (8517)
Additional Information Contact: Alex Laufer (2268)
Logname: 132017 TAX NOTES Page 3 of 3