Loading...
HomeMy WebLinkAboutOrdinance 22804-08-2017Ordinance No. 22804-08-2017 AN ORDINANCE INCREASING ESTIMATED RECEIPTS AND APPROPRIATIONS IN THE AMOUNT OF $653,804.00 IN THE WATER AND SEWER DPN FUND, FROM AVAILABLE FUNDS, FOR CHURCHILL ROAD WATER AND SANITARY SEWER IMPROVEMENTS; 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 Water and Sewer DPN Fund in the amount of $653,804.00, from available funds, for Churchill Road Water and Sanitary Sewer Improvements Project. 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. 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in which instance said conflicting provisions of said prior ordinances and appropriations are hereby expressly repealed.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: Douglas � Black Sr. Assistant City Attorney ADOPTED AND EFFECTIVE: Auqust 1, 2017 CITY SECRETARY �� , � Mar J. Ka se , �, City of Fort Worth, Texas Mayor and Council Communication DATE: Tuesday, August 1, 2017 LOG NAME: 60CHURCHILL - NEELS1 REFERENCE NO.: **C-28302 SUBJECT: Authorize Execution of an Engineering Agreement with Neel-Schaffer, Inc., in the Amount of $458,204.00 for Churchill Road Water and Sanitary Sewer Improvements, Provide for Additional Project Costs, Adopt Reimbursement Resolution Expressing Official Intent to Reimburse Expenditures with Proceeds of Future Debt and Adopt Appropriation Ordinance (COUNCIL DISTRICT 2) RECOMMENDATION: It is recommended that the City Council: 1. Adopt the attached resolution expressing official intent to reimburse expenditures with proceeds of future debt for Churchill Road Water and Sanitary Sewer Improvements; 2. Adopt the attached appropriation ordinance increasing estimated receipts and appropriations in the Water/Sewer DPN Fund in the amount of $653,804.00; and 3. Authorize the execution of an engineering Agreement with Neel-Schaffer, Inc., in the amount of $458,204.00 for Churchill Road Water and Sanitary Sewer Improvements (City Project No. 100888) DISCUSSION: The purpose of this Mayor and Council Communication (M&C) is to authorize the preparation of plans and specifications for Churchill Road Water and Sanitary Sewer Improvements from White Settlement Road to River Oaks Boulevard. Neel-Schaffer, Inc., proposes to perform the necessary design services for a lump sum fee of $458,204.00. Staff considers this proposed fee to be fair and reasonable for the scope of services proposed. In addition to the contract amount, $195,600.00 (Water: $123,900.00; Sewer: $71,700.00) is required for project management, real property acquisition, and material testing. 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 Logname: 60CHURCHILL - NEELS 1 Page 1 of 3 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 2017-2021 Five-Year Capital Improvement Plan on January 24, 2017 (M&C G-18927). 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. Engineering is one component of the overall project that includes project management, easement acquisition, utility coordination, material testing, inspection, construction and contingencies. The overall project budget is $6,230,739.00. Design is expected to start in August 2017 and be completed by August 2018. Construction is anticipated to commence in December 2018 and be completed by July 2020. The sanitary sewer component of this project is part of the Water Department's Sanitary Sewer Overflow Initiative Program. This project will have no impact on the Water Department' s operating budget. M\WBE OFFICE: Neel-Schaffer, Inc., is in compliance with City's BDE Ordinance by committing to 16 percent SBE participation. The City's SBE goal on this project is 16 percent. The project is located in COUNCIL DISTRICT 2. FISCA� INFORMATION / CERTIFICATION: The Director of Finance certifies that upon approval of the above recommendations and adoption of the attached appropriation ordinance, funds will be available in the Water/Sewer DPN Fund for Churchill Road Water and Sanitary Sewer Improvements Project. Appropriations are as depicted in the table: FUND Existing Additional Project Appropriations Appropriations Total* Water & Sewer I $0.00 I $653,804.00 �$653,804.00 DPN Fund 56011 ( Project Total ( $0.00 � $653,804.00 �$653,804.00 *Number rounded for presentation purposes. FUND IDENTIFIERS (FIDs): Department (Acco Logname: 60CHURCHILL - NEELSl Project (Progra Budget ( Reference # �mount Page 2 of 3 F �_� ID � � ID ( � ( Year � (Chartfield 2j � � und Department ccoun Project Program ID ID CERTIFICATIONS: Submitted for City Manaqer's Office by_ Oriqinatinq Department Head: Additional Information Contact: Logname: 60CHURCHILL - NEELSI Budget Year Jay Chapa (5804) Kara Shuror (8819) Reference # Chartfield 21 Lawrence Hamilton (2626) un Page 3 of 3