Loading...
HomeMy WebLinkAboutOrdinance 23422-09-2018 Ordinance No.23422-09-2018 AN ORDINANCE INCREASING THE ESTIMATED RECEIPTS AND APPROPRIATIONS IN THE AMOUNT OF $540,000.00 IN THE WATER AND SEWER COMMERCIAL PAPER FUND, FROM AVAILABLE FUNDS, FOR NORTH TARRANT EXPRESS SEGMENT 4, IH- 820 FROM RANDOL MILL ROAD TO NORTH OF INTERCHANGE WITH SH121/SH 183; 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 amount of $540,000.00 in the Water and Sewer Commercial Paper Fund, from available funds, for North Tarrant Express Segment 4, IH-820 from Randol Mill Road to North of Interchange with SH 121/SH 183. 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in which instance said conflicting provisions of said prior ordinances and appropriations are hereby expressly repealed.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 AbuglasBlack AAafy . Ka s Sr. Assistant City Attorney ADOPTED AND EFFECTIVE: September 25, 2018 City of Fort Worth, Texas Mayor and Council Communication COUNCIL ACTION: Approved on 9/25/2018 - Resolution No. 4985-09-2018 and Ordinance No. 23422-092018 DATE: Tuesday, September 25, 2018 REFERENCE NO.: '**C-28868 LOG NAME: 60NTESEG4A2-KHA SUBJECT: Authorize Execution of Amendment No. 2 in the Amount of$280,000.00 to City Secretary Contract No. 49256, an Engineering Agreement with Kimley-Horn and Associates, Inc., for a Revised Contract Amount of$838,500.00 on North Tarrant Express Segment 4, IH-820 from Randol Mill Road to North of Interchange with SH 121 ISH 183, Adopt Resolution Expressing Official Intent to Reimburse Expenditures with Proceeds of Future Debt and Adopt Appropriation Ordinance (COUNCIL DISTRICTS 2, 8, and 9) 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 the North Tarrant Express Segment 4 Project; 2. Adopt the attached Appropriation Ordinance in the Water and Sewer Commercial Paper Fund in the amount of$540,000.00 and reduce the unallocated balance; and 3. Authorize the execution of Amendment No. 2 in the amount of$280,000.00 to City Secretary Contract No. 49256 for increased construction services and inspection costs on North Tarrant Express Segment 4, IH-820 from Randol Mill Road to North of Interchange with SH121ISH 183 (City Project No. 100987). DISCUSSION: On June 20, 2017 (M&C-28285), the City Council authorized an Engineering Agreement in the amount of $541,500.00 with Kimley-Horn and Associates, Inc., for North Tarrant Express Segment 4, IH-820 from Randol Mill Road to North of Interchange with SH 121/SH 183. The IH-820 corridor has been organized into segments. This segment 4, is being designed and constructed by TXDOT under the traditional design, bid, build method. The agreement was subsequently revised by Amendment No. 1 in the amount of $17,000.00 administratively authorized on January 10, 2018. Amendment No. 2 will provide construction services for a not to exceed fee of$280,000.00. Construction support services includes attending preconstruction meetings, on-site observations, construction progress meetings, and shop drawing reviews. Staff considers the proposed fee to be fair and reasonable for the scope of services proposed. In addition to the contract amount, $260,000.00 ($130,000.00 water, $130,000.000 sewer) is required for project management and inspection. Engineering for North Tarrant Express Segment 4, IH-820 from Randol Mill Road to North of Interchange Logname: 60NTESEG4A2-KHA Page 1 of 3 with SH121/SH183 is one component of the overall project that includes project management, easement acquisition, material testing, inspection, construction and contingencies. The overall project budget is $4,940,300.00. Construction is anticipated to be completed by January 2023. This project will have no impact on the Water Department's operating budget when complete. MWBE OFFICE: Kimley-Horn and Associates, Inc. agrees to maintain its initial SBE commitment of 15 percent that it made on the original Agreement and extend and maintain that same SBE commitment of 15 percent to all prior amendments up to and inclusive of the Amendment No. 2. Therefore, Kimley-Horn and Associates, Inc., remains in compliance with the City's BDE Ordinance and attests to its commitment by its signature on the Acceptance of Previous SBE Commitment Form executed by an authorized representative of its company. 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 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 FY2018-2022 Five-Year Capital Improvement Plan on September 26, 2017. 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 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. This project is located in COUNCIL DISTRICTS 2, 8 and 9. FISCAL 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 Commercial Paper Fund for Construction Services on North Tarrant Express Segment 4, IH-820 Project. The Water and Sewer Commercial Paper Fund includes the authority of the $150,000,000.00 for the purpose of providing interim funding for Water and Sewer Capital Projects. After this transfer, the balance will be $114,505,010.00. Funding for this project is depicted in the table below: Fund 'Existing 'Additional project Total* ;Appropriations Appropriations Water & Sewer 20 7A 'i$1,091,500.00 $0.00 !$1,091,500.00`1 'Bond Fund Logname: 60NTESEG4A2-KHA Page 2 of 3 (56011) 1 , Water &_. -__.._ ._....__._ Sewer I Commercial $0.00 1$540,000.00 $540,000.00 Paper (56016) ' Project Total $1,091,500.00 $540,000.00 $1,631,500.00 "Amounts rounded for presentation purposes. FUND IDENTIFIERS fFIDs): TO "Fund Department ccoun Project Program c�Year — -dget Reference # moun ID _ ID _ ChartField 2) FROM _ FundDepartment 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: Chris Harder (5020) Additional Information Contact: John Kasavich (8480) Logname: 60NTESEG4A2-KHA Page 3 of 3