Loading...
HomeMy WebLinkAboutResolution 5001-11-2018 A Resolution NO. 5001-11-2018 STATEMENT EXPRESSING OFFICIAL INTENT TO REIMBURSE EXPENDITURES WITH PROCEEDS OF FUTURE DEBT FOR THE LAKE SHORE IMPROVEMENTS PROJECT WHEREAS, the City of Fort Worth, Texas (the "City") is a home-rule municipality and political sub division of the State of Texas; and WHEREAS,the City expects to pay expenditures in connection with the design, planning, acquisition and construction for the Lake Shore Improvements Project (the "Project") prior to the issuance of obligations by the City in connection with the financing of the Project from available funds; and WHEREAS, the City finds, considers, and declares that the reimbursement of the City for the payment of such expenditures will be appropriate and consistent with the lawful objectives of the City and,as such,chooses to declare its intention,in accordance with the provisions of Section 1.150- 2 of the Treasury Regulations, to reimburse itself for such payments at such time as it issues obligations to finance the Project; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH, TEXAS: Section 1. The City reasonably expects debt, as one or more series of obligations, may be issued or incurred by the City with an aggregate maximum principal amount not to exceed $2,000,000.00 for the purpose of paying the aggregate costs of the Project. Section 2. All costs to be reimbursed pursuant hereto will be capital expenditures. No obligations will be issued by the City in furtherance ofthis Statement after a date which is later than 18 months after the later of (1) the date the expenditures are paid or (2) the date on which the property, with respect to which such expenditures were made, is placed in service. Section 3. The foregoing notwithstanding, no obligation will be issued pursuant to this Statement more than three years after the date any expenditure which is to be reimbursed is paid. Adopted this 51h day of 1`4ovember, 2018. ATTE ST- By: By• - ---------- sMarXy ORT WORT mer iry •zvw NOW IWO 01, i 1C .5Ik �Fw[ii9 • ' - Aare! taw *:m vv tw"49 ;a#% W.; ML lb F' � �i _.- t - _.5.. - #$.,��i(i4f '^R3� �.lR'!I• itd1�i1 It'.� �� w wsc . q� -w'nnrc�ira�r .� �rww+arr%IY� �srr�p�yy 7, �,:.r�` Ratrrt N�'a'!�C ,i6�'�+�'�"r STs Yom".# • �� � �gay � .� lit' taraet�•yr •alax. al1li►t �F.• - ' tY� ..- - q7�ay,y "h ...e' 3 :L:5lab. 'ID'rY •RiaM�fc7. 00 � italSd �'Q�[�7i•�si'° ®��� S a Btr +N�S�i �"" s.is qtr a ' arra *Ms aaatn arr+K fllaci 5*1i �'! 1G p,Y M[7M1. { • • A X ���I.Is! �,7!ue kat Ni t3d•�t {&• ►f:' '. 1' '44 i+ +R+ - t,itid RAWm3ii �' ?s. p"�,All���� '. iw. two �. "�'�" � '' �t�pg �i_� �� ",���, �r���±����(� st.� � ter�Iy+• i {�j •Yi\. '! a iy'fit^k� !^F#f l [�yy WAN �'9 imp ��M�l;� srr � t rrt � �i�� �idrt•t,��f� �[ a+ .71M�e 1 asWAR R Z':` `2''sg ,1M•. ➢ ! ,+sfYrMC °M s�1p rd, !IF 4NT i 06' JK .I.� : lir ft"-A 1N "cI'll WQ srEd 4 / �r4-Aa • Pte-• l L .�t4 $ ♦ �4 aA- i ' .�. Kum "3'e°/ �.., !♦ !i- h low y, ` yyl� I#lo '� K 9tl S�t i, i"�►- "�►" x k3 tSwlea "" y h • iA.__ce` xj r a s til`+.ra1a^s. •� ""e . „ (i kms;/SC:s, e�xa •n. x«,' ac 1 p- »a'# M`Y2 "IS �t'i7G. pata�n 1p! Att' t as mol S b t :� 4 rR,it zz if 7�de il[II` """� ��zr +a� dA - aa.y s+� A. <r• "mow , � .,.�� ,Ape TNW Aw \1► z�. #n.�'" wroY � ils:.W„r d„7 &mac`,�i e- ��`+� • *t��;.rk '�, ab it I ., aw i4 AM WT f 6p 4 FORTWORTH ' m MOP � a gild ' w' WAYmy Ad ) $F . AM ALIZZ ll, 7fitff!7 IY14T�Jr �t • OWM.IM" flZa'llft Not two tii� k • � .'� _ � '�"•'c:i b�;{� g��.'�ryc�` �,t,���'�� �n.. �� ��� jet'"' AJ rat Ap MA MA JA SQ. . Iii�� � � � #!` ,►y`. I w _ k t �l , Jim" FORTWORTH u w�,�i 7 1 MAYOR AND COUNCIL COMMUNICATION MAP 20 LAKES HORESTREETS-WOODY tA I ,' •al I�j�p}j1.�.� ejA�. ' F'1 - —T ..i_"��__-' y - �r r �,�. SLRRY ST_ ip > + � _ r, V f $• . —EASTLAN ST' � - - READ S7-- '----r�. - � 40 rl uJ 1 RAYSON ST — °'� � ,1� 1 it ,� e " L '► ' � ,�+J , 1 e.x =-�MONTAGUE STS — - _ *w , �! —ly--•- --. * t.rV � . lir .i A QR Y OR vk , �' � 1.4 4 a P sl i 4 AE A* } Al FoRT WoRTH , e u ry City of Fort Worth, Texas Mayor and Council Communication COUNCIL ACTION: Approved on 1116/2018 - Ordinance_ No. 23469-1.1-20118 & Resolution No. 5001-11-201.8 DATE: Tuesday, November 6, 2018 REFERENCE NO.: C-28924 LOG NAME: 20VARIOUS STREET IMPROVEMENTS--WOODY CONTRACTORS, INC. SUBJECT: Authorize Execution of a Contract with Woody Contractors, Inc. in the Amount of$3,147,719.50 for Combined Street Paving Improvements and Water and Sanitary Sewer Main Replacements on Four Street Segments, Adopt Resolution Expressing Official Intent to Reimburse Expenditures with Proceeds of Future Debt and Adopt Appropriation Ordinance (COUNCIL DISTRICT 5) 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 Water Department improvements for Lake Shore Improvements Project; 2. Adopt the attached Appropriation Ordinance increasing appropriations in the Lake Shore Improvements Project in the Water and Sewer Commercial Paper Fund in the amount of$1,776,419.00 from the remaining unallocated appropriation; and 3. Authorize execution of a contract with Woody Contractors, Inc. in the amount of$3,147,719.50 for Combined Paving Improvements and Water and Sanitary Sewer Main Replacements on four street segments (City Project Nos. 100830, 100739, 100740, 100741 and 100743). DISCUSSION: This Mayor and Council Communication (M&C) is to authorize a construction contract for water, sanitary sewer and paving improvements on approximately 3.88 lane miles on the following streets: Street JlFrorn o Grayson Street JCasa Loma Terrace 0. Cravens Road Elgin Street IlDillard Street Otalcup Road Handley Drive IMeadowbrook Drive 1E. Lancaster Ave. Casa Loma Terrace N. Dead End . Dead End The Transportation and Public Works Department's share on these contract improvements will be $1,609,695.00 which is available in the Street Improvements Supplement Fund (City Project Nos. 100739, 100740, 100741 and 100743). The Water Department's share on this contract, $1,538,024.50 is available in the Water and Sewer Capital Fund of the project (City Project No. 100830). The project was advertised for bid on July 5, 2018 and July 12, 2018 in the Fort Worth Star-Telegram. On August 16, 2018, the following bids were received: Logname: 20VARIOUS STREET IMPROVEMENTS--WOODY CONTRACTORS, INC. Page I of 3 Bidders Amount Time of Completion Woody Contractors, Inc. $3,147,719.50 365 Calendar Days JArk Contracting Services �� $3,614,822.00r Jackson Construction, Ltd. $4,040,238.00 In addition to the contract amount, $547,819.00 (Water: $89,346.00; Sewer: $72,146.00; TPW: $386,327.00) is required for project management, material testing and inspection and $157,387.00 (Water: $42,546.00; Sewer: $34,356.00; TPW: $80,485.00) is provided for project contingencies. This project will have no impact on the Transportation and Public Works annual operation budget nor on the Water Department's operating budget when completed. Construction is expected to start in November 2018. 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 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. M/WBE OFFICE —Woody Contractors, Inc. is in compliance with the City's BDE Ordinance by committing to 2% MBE participation and documenting good faith effort. Woody Contractors, Inc. identified several subcontracting opportunities. However, the firms contracted in the areas identified did not respond or did not submit the lowest bids. The City's MBE goal on this project is 25%. The project is located in COUNCIL DISTRICT 5. FISCAL INFORMATION / CERTIFICATION: The Director of Finance certifies that funds are available in the current capital budget as appropriated of Street Improvements Supplement Fund and upon approval of the above recommendations and adoption of the attached appropriation ordinance, funds will be available in the current capital budget, as appropriated, of the Water and Sewer Commercial Paper Fund. 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 $112,728,591.00. FUND IDENTIFIERS (FIDs): Logname: 20VARIOUS STREET IMPROVEMENTS--WOODY CONTRACTORS, INC. Page 2 of 3 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: Susan Alanis (8180) Originating Department Head: Douglas Wiersig (7801) Additional Information Contact: Kristian Sugrim (8902) Logname: 20VARIOUS STREET IMPROVEMENTS--WOODY CONTRACTORS, INC. Page 3 of 3