HomeMy WebLinkAboutOrdinance 23521-12-2018Ordinance No. 23521-12-2018
AN ORDINANCE INCREASING APPROPRIATIONS IN THE WATER AND SEWER
COMMERCIAL PAPER FUND, FROM AVAILABLE FUNDS IN THE AMOUNT OF
$4,188,572.00, FOR THE NEAR SOUTH SIDE MEDICAL DISTRICT WATER AND
SANITARY SEWER MAIN IMPROVEMENTS 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 2018-2019 in the
Budget of the City Manager, there shall also be increased appropriations in the Water and Sewer Commercial
Paper Fund in the amount of $4,188,572.00, from available funds, for the Near Southside Medical District
Water and Sanitary Sewer Main 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 23392-09-2018 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said prior ordinances and appropriations are hereby expressly repealed.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:
Qv2a-7
Droulglas"W Black
Sr. Assistant City Attorney
ADOPTED AND EFFECTIVE: December 11, 2018
CITY SECRET RY
Mary J. Ka
MAYOR AND COUNCIL COMMUNICATION MAP
City of Fort Worth, Texas
Mayor and Council Communication
COUNCIL ACTION: Approved on 12/11/2018 - Ordinance No. 23521-12-2018 & Resolution
No. 5009-12-2018
DATE: Tuesday, December 11, 2018 REFERENCE NO.: C-28981
LOG NAME: 20FORT WORTH SOUTH FY16-CD9 JACKSON CONSTRUCTION LTD.
SUBJECT:
Authorize Execution of Contract with Jackson Construction Ltd, in the Amount of $6,171,356.00 for FY 16
Round 2 of the Council District 9 Street Repair and Reconstruction Program and Near Southside Medical
District Water and Sanitary Sewer Main Improvements on Various Streets, Adopt Resolution Expressing
Official Intent to Reimburse Expenditures with Proceeds of Future Debt and Adopt Appropriation Ordinance
(COUNCIL DISTRICTS 8 and 9)
RECOMMENDATION:
It is recommended that the City Council:
1. Adopt the attached Resolution Expressing Official Intent to Reimburse with Proceeds of Future Debt for
the Near Southside Medical District Water and Sanitary Sewer Main Improvements Project;
2. Adopt the attached Appropriation Ordinance increasing appropriations in the Water & Sewer
Commercial Paper Fund in the amount of $4,188,572.00; and
3. Authorize the execution of a contract with Jackson Construction Ltd, in the amount of $6,171,356.00 for
Round 2 of the Council District 9 Street Repair and Reconstruction Program and Near Southside Medical
District Water and Sanitary Sewer Main Improvements Project on various streets (City Project No's 02387
and 02445).
DISCUSSION:
On August 5, 2014, (M&C C-26906) the City Council authorized a Resolution executing a funding
agreement with Fort Worth South, Inc., in the amount of $10,000,000.00 for Council District 9 Street
Repair and Reconstruction Program. The Program leveraged funding in an amount up to $5,000,000.00
from the Tax Increment Reinvestment Zone No. 4 (Southside TIF) over four years. The City of Fort Worth
matched the funds in an amount up to $1,000,000.00 using 2014 Bond Program -Street Improvements
Funds and 2014 Bond Program -Grant Matches Funds in an amount up to $4,000,000.00. Construction of
Round 1 of the project has been completed.
This Mayor and Council Communication is to authorize a construction contract for Round 2 of the Council
District 9 Street Repair and Reconstruction Program and Near Southside Medical District Water and
Sanitary Sewer Main Improvements on the following streets:
I Street I From I To
Bryan Avenue 1E. Vickery Boulevard 1E. Broadwav Avenue
Logname: 20FORT WORTH SOUTH FY16-CD9 JACKSON CONSTRUCTION LTD. Page I of 3
Tucker Street
Dashwood Street
Daggett Avenue
Calhoun Street
Peter Smith Street
Calhoun Street
Arnie
awford Street
(an Avenue
Vickery Boulevard
(an Avenue
Main Street
Jenninas Avenue
Boulevard
Main Street
E. Peter Smith Street
Crawford Street
E. Peter Smith Street
iE. Rosedale Street
. Main Street
S. Calhoun Street
Crawford Street
S. Main Street
E. Broadway Avenue
Brvan Avenue
Cul-de-sac
Calhoun Street
Hattie Street
Terrell Avenue
H. 35 W *CDs 8 and 9
The Transportation and Public Works Department's share on this contract is $2,618,148.25 which is
available in the 2014 Bond Program Fund and the Specially Funded Projects Fund of the project (City
Project No. CO2387). The Water Department's share on this contract of $3,553,207.75 will be available in
the Water and Sewer Commercial Paper Fund of the project (City Project No. CO2445).
The project was advertised for bids August 30, 2018 and September 6, 2018 in the Fort Worth Star -
Telegram. On October 18, 2018, the following bids were received:
Bidders
Amount Time of Com 1etion
.-........
6,171,356.00 430 Calendar Days
ackson Construction Ltd
McClendon Construction Company,
Inc.
r,-557,958.75
rk Contracting Services, LLC
6,729,261.50
tabile and Winn, Inc.
7,120,870.80
In addition to the contract cost $821,954.00 (Water: $399,437.00; Sewer: $58,267.00; TPW $364,250.00)
is required for project management, inspection and material testing and $308,567.00 (Water: $156,522.00;
Sewer: $21,138.00; TPW: $130,907.00) is provided for project contingency.
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 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 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
Logname: 20FORT WORTH SOUTH FY16-CD9 JACKSON CONSTRUCTION LTD. Page 2 of 3
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.
Upon completion of this capital project, it is anticipated that there will be no impact on Transportation and
Public Works annual operation budget and no impact to the Water Department's operating budget.
Construction is expected to start in February 2019 and be completed by April 2020.
M/WBE OFFICE: Jackson Construction Ltd, is in compliance with the City's BDE Ordinance by committing
to 0% MBE participation and documenting good faith effort. Jackson Construction, Ltd. identified several
subcontracting and supplier opportunities. However, the firms contacted 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 DISTRICTS 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 current capital budget, as appropriated, of
the 2014 Bond Program Fund, the Specially Funded Projects Fund, and the Water and Sewer Commercial
Paper Fund. 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 $101,233,960.00.
FUND IDENTIFIERS (FIDs):
Logname: 20FORT WORTH SOUTH FY16-CD9 JACKSON CONSTRUCTION LTD. Page 3 of 3
FundDepartment ccoun
ID .^ _..'.__
Project
ID
Program
ctivity
Budget
Year
Reference #
(Chartfield 2)
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FROM
Fundi Department ccoun
Project Program
ctivity Budget
Reference # mount
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ID 1
Chartfield 2
CERTIFICATIONS:
Submitted for City Manager's Office by:
Susan Alanis (8180)
Originating Department Head:
Steve Cooke (5134)
Additional Information Contact:
Mary Hanna (5565)
Logname: 20FORT WORTH SOUTH FY16-CD9 JACKSON CONSTRUCTION LTD. Page 3 of 3