HomeMy WebLinkAboutOrdinance 23182-04-2018 Ordinance No. 23182-04-2018
AN ORDINANCE INCREASING ESTIMATED RECEIPTS AND APPROPRIATIONS IN THE
WATER/SEWER ENDOWMENT GAS LEASE FUND, FROM AVAILABLE FUNDS IN THE
AMOUNT OF $165,546.00, FOR BANKING, MINERAL LEASE ADMINISTRATION
SERVICES AND TRUST/ASSET MANAGEMENT SERVICES; 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 increased estimated receipts and appropriations in the
Water/Sewer Endowment Gas Lease Fund in the amount of$165,546.00, from available funds, for banking,
mineral lease administration services and trustlasset management services.
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said prior ordinances and appropriations are hereby expressly repealed.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 ECRETARY )
J.B trong, Assista ity Attorney ary J. Ka r
ADOPTED AND EFFECTIVE: April 17, 2018
City of Fort Worth, Texas
Mayor and Council Communication
COUNCIL ACTION: Approved on 4/17/2018 -Ordinance Nos. 23179-04-201.8, 23180-04-
2018, 23181-04-20.18 & 23182-04-2018
DATE: Tuesday, April 17, 2018 REFERENCE NO.: **G-19267
LOG NAME: 13GAS LEASE CONSULTANT FEES FY2018
SUBJECT:
Adopt Ordinances Increasing Estimated Receipts and Appropriations in Multiple Funds by a Combined
Total Amount Up to $800,000.00, Allocated Proportionately, to Properly Record Fees Paid to Wells Fargo
Bank, National Association, for Banking, Mineral-Lease-Administration Services, and Trust/Asset
Management Services Provided in Fiscal Year 2018 Under City Secretary Contract No. 45281 (ALL
COUNCIL DISTRICTS)
RECOMMENDATION:
1. Adopt the attached appropriation ordinance increasing estimated receipts and appropriations in the
amount of$321,281.00 in the Aviation Endowment Gas Lease Fund from available funds for banking and
mineral-lease-administration services and for the trust/asset management services;
2. Adopt the attached appropriation ordinance increasing estimated receipts and appropriations in the
amount of$203,045.00 in the General Endowment Gas Lease Fund from available funds for banking and
mineral-lease-administration services and for the trust/asset management services;
3. Adopt the attached appropriation ordinance increasing estimated receipts and appropriations in the
amount of$110,128.00 in the PACS Endowment Gas Lease Fund from available funds for banking and
mineral-lease-administration services and for the trust/asset management services; and
4. Adopt the attached appropriation ordinance increasing estimated receipts and appropriations in the
amount of$165,546.00 in the Water/Sewer Endowment Gas Lease Fund from available funds for banking
and mineral-lease-administration services and for the trust/asset management services.
DISCUSSION:
The purpose of this Mayor and Council Communication (M&C) is to appropriate funds for the costs of
banking and mineral-lease-administration services and for the costs of trust/asset management services,
with each participating fund being allocated its proportionate share of the total cost based on the relative
percentage that mineral revenues for that fund for the year bear to the total mineral revenues received
during the year.
In December 2012, the City Council approved an Agreement with Wells Fargo Bank, National Association
(Wells Fargo), to provide banking and trust services associated with the collection and management of the
City-owned mineral interest revenues from multiple gas companies (M&C P-11467) City Secretary
Contract No. 45281) (the Agreement). The Agreement has a term of five years, with the fee for banking
and mineral-lease-administration services set a $16,000.00 per month. Additionally, the Agreement
provides for trust/asset management services with fees based on the size of the assets in the trust and
increasing as the size of the trust increases.
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In accordance with the terms of the Agreement and the current Financial Management Policy Statements,
the banking fee is proportionately allocated on a monthly basis to the various funds outlined above. For
accounting purposes only, this M&C officially appropriates funds associated with fees for Fiscal Year 2018
to the various funds for banking, mineral-lease-administration, and trust/asset-management services
provided by Wells Fargo. In accordance with the terms of the Agreement, Wells Fargo has paid itself
throughout the year. Thus, approval of this M&C does not further reduce the mineral revenues in Fiscal
Year 2018.
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 attached appropriation ordinance, funds will be
available in the Aviation Endowment Gas Lease Fund, General Endowment Gas Lease Fund, PACS
Endowment Gas Lease Fund, and the Water/Sewer Endowment Gas Lease Fund.
FUND IDENTIFIERS (FIDs):
TO
Fund Department ccoun Project Program ctivity Budget Reference # moun
ID ID Year Chartfield 2
FROM
Fund Department ccoun Project JProgram ctivity Budget Reference # moun
ID ID Year Chartfield 2
CERTIFICATIONS:
Submitted for City Manager's Office by: Susan Alanis (8180)
Originating Department Head: Aaron Bovos (8517)
Additional Information Contact: John Samford (8502)
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