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HomeMy WebLinkAboutOrdinance 23158-03-2018 Ordinance No. 23158-03-2018 AN ORDINANCE REDUCING UNALLOCATED RECEIPTS AND APPROPRIATIONS IN THE AMOUNT OF $3,283,017.00 IN THE WATER AND SEWER COMMERCIAL PAPER FUND, FOR WALSH RANCH SANITARY SEWER MAIN EXTENSION, PHASE IVA PROJECT; 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 2017-2018 in the Budget of the City Manager,there shall also be reduced unallocated receipts and appropriations in the amount of$3,283,017.00 in the Water and Sewer Commercial Paper Fund, for Walsh Ranch Sanitary Sewer Main Extension, Phase IVA 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 22928-09-2017 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in which instance said conflicting provisions of said prior ordinances and appropriations are hereby expressly repealed.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: CITY SECRETARY qaT�- - Douglas W Black Mary J. Kays Sr. Assistant City Attorney ADOPTED AND EFFECTIVE: March 27, 2018 ' • 1 ' ' ' • LINKCREST �r - U- S • j F■ py J 4 it ;,�'Y.;= �! MiwA�]i/Fi • iy' Ap■■'C ®SAWt',fit A ■ / y� �i • ' {./ 4 �? fro FORTWORTH _ - -w.S r rx.i�! i {�R. a�� • x ��'�� :ate . e u{■rr ,� frit u'�; i F �r. 4e► Pn ki3aG y14 Play ,,4. �! � •Rid _'�� !�w^Q�DI��If�..�•� P�.�". h , 3 • - - �� a i i City of Fort Worth, Texas Mayor and Council Communication COUNCIL ACTION: Approved on 3/27/2018 -Ordinance No, 23158-03-201,8,and-Resolution. No. 4922-03-2018 _ DATE: Tuesday, March 27, 2018 REFERENCE NO.: C-28648 LOG NAME: 60WRANCHPIVA-JACKSON SUBJECT: Authorize Execution of a Contract with Jackson Construction, Ltd., in the Amount of$2,824,611.00 for Walsh Ranch Sanitary Sewer Main Extension, Phase IVA, Provide for Staff Costs and Contingencies for a Total Amount of$3,283,017.00, Adopt Resolution Expressing Official Intent to Reimburse Expenditures with Proceeds of Future Debt and Adopt Appropriation Ordinance (COUNCIL DISTRICT 3) RECOMMENDATION: It is recommended that the City Council: 1. Adopt the attached resolution expressing official Intent to Reimburse expenditures with proceeds of future enterprise fund debt for Walsh Ranch Sanitary Sewer Main Extension, Phase IVA; 2. Adopt the attached appropriation ordinance reducing unallocated appropriations and increasing appropriations for the Walsh Ranch Sanitary Sewer Main Extension, Phase IVA Project in the Water and Sewer Commercial Paper Fund in the amount of$3,283,017.00; and 3. Authorize the execution of a contract with Jackson Construction, Ltd., in the amount of$2,824,611.00 for Walsh Ranch Sanitary Sewer Main Extension, Phase IVA Project. (City Project No. 100924) DISCUSSION: This Mayor and Council Communication is to authorize a construction contract for Walsh Ranch Sanitary Sewer Main Extension, Phase IVA which consists of the installation of a 30-inch sanitary sewer main beginning from 120 feet north of the Lost Creek Boulevard/River View Way intersection, northwesterly 5,350 feet. The project was advertised on December 21, 2017 and December 28, 2017, in the Fort Worth Star- Telegram. On February 8, 2018, the following bids were received: BIDDER BID AMOUNT I CONTRACT Fildstone Construction LLC** F$2,479,500.00 Jackson Construction, Ltd. 1$2,824,611.00 1270 calendar days Conatser Construction TX, LP 1$3,333,456.85 S.J. Louis Construction Co, Inc. 1$3,353,989.61 F- Logname: 60NVRANCHPIVA-JACKSON Page I of 3 Acadia Services, LLC 1$3,455,221.00 Excel Aircraft dba Excel Trenching _1$3,471,547.50 (Venus Construction Co. 1$3,483,718.30 ** Wildstone Construction LLC, has been disqualified due to the fact that it is not prequalified to install sanitary sewer mains greater than 12-inches. In addition to the contract cost, $373,668.00 is required for staff project management, material testing and inspection and $84,738.00 is provided for project contingencies. Construction for the Walsh Ranch Sanitary Sewer Main Extension, Phase IVA project is one component of the overall project that includes design, project management, material and contingencies. The overall project budget is $4,000,000.00. Construction is expected to start in May 2018 and be completed by February 2019. 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 Callable Commercial Paper Program (CP) 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 CP 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 2018-2022 Five Year Capital Improvement Plan on December 12, 2017, Mayor and Council Communication (M&C G-19187). This City Council adopted plan includes this specific project, with funding identified through the CP program to be reimbursed with future revenue bonds. In accordance with the provisions of the Financial Management Policy Statement, 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 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. This project will have no impact on the Water Department's operating budget. M/WBE OFFICE - Jackson Construction, Ltd, is in compliance with the City's BDE Ordinance by committing to three percent MBE participation and documenting good faith effort. Jackson Construction, Ltd., identified several subcontracting and supplier opportunities. However, the MBE's contacted in the areas identified did not submit the lowest bids. The City's MBE goal on this project is eight percent. The project is located within the City Limits COUNCIL DISTICT 3. FISCAL INFORMATION / CERTIFICATION: Logname: 60WRANCHPIVA-JACKSON Page 2 of 3 attached appropriation ordinance, funds will be available in the Water and Sewer Commercial Paper Fund for the Walsh Ranch Sanitary Sewer Main Extension, Phase IVA Project. The Water and Sewer Commercial Paper Fund includes authority of$150,000,000.00 for the purpose of providing interim funding for Water and Sewer Capital Projects. After this transfer, the balance will be $94,610,553.00 for future capital projects. Funding for the Walsh Ranch Sanitary Sewer Main Extension, Phase IVA project is depicted in the table below. FUND Existing Additional Project Appropriations Appropriations Total* Water Capital Projects $78,900.00 $0.00 $78,900.00 Fund 56002 W&S Commercial Paper $0.00 $3,283,017.00 $3,283,017.00 Fund - 56014 Project Total $78,900.00 $3,283,017.00 F$3,361,917.00 *Numbers rounded for presentation purposes. FUND IDENTIFIERS (FIDs): TO Fund Department ccoun Project Program ctivity Budget Reference # moun 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: Kenneth Morgan (8246) Additional Information Contact: Liam Conlon (6824) Logname: 60WRANCHPIVA-JACKSON Page 3 of 3