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HomeMy WebLinkAboutOrdinance 19916-09-2011ORDINANCE NO. 19916 -09 -2011 AN ORDINANCE AMENDING THE CODE OF THE CITY OF FORT WORTH, TEXAS, (1986), AS AMENDED, TO INCREASE THE MAXIMUM AMOUNT OF A PUBLIC WORKS CHANGE ORDER TO BE ADMINISTRATIVELY APPROVED TO $50,000.00 OR LESS BY AMENDING SUBSECTION (f) OF SECTION 2 -9, "CONTRACT EXECUTION; AMENDMENTS; CHANGE ORDERS," ARTICLE I, "GENERAL," CHAPTER 2, "ADMINISTRATIVE;" PROVIDING THAT THIS ORDINANCE SHALL BE CUMULATIVE; PROVIDING FOR A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH, TEXAS: SECTION 1. Subsection (f) of Section 2 -9, "Contract Execution; Amendments; Change Orders," Article I, "General," Chapter 2, "Administrative" shall be and read: Where any individual change order pertaining to a public works contract involves an increase or decrease in cost of fifty- thousand dollars ($50,000.00) or less, the change order may be approved and executed by the city manager upon the written recommendation of the director of the department responsible for such work and without the necessity of city council approval; provided, however, that sufficient funds have previously been appropriated for payment of such added cost. SECTION 2. This ordinance shall be cumulative of all provisions of ordinances of the Code of the City of Fort Worth, Texas (1986), as amended, except where the provisions of this ordinance are in direct conflict with the provisions of such ordinances and such Code, in which event conflicting provisions of such ordinances and such Code are hereby repealed. SECTION 3. It is hereby declared to be the intention of the City Council that the sections, paragraphs, sentences, clauses and phrases of this ordinance are severable, and if any phrase, clause, sentence, paragraph or section of this ordinance shall be declared void, ineffective or unconstitutional by the valid judgment or decree of any court of competent jurisdiction, such voidness, ineffectiveness or unconstitutionality shall not effect any of the remaining phrases, clauses, sentences, paragraphs and sections of this ordinance, since the same would have been enacted by the City Council without the incorporation in this ordinance of any such void, ineffective or unconstitutional phrase, clause, sentence, paragraph or section. SECTION 4. This ordinance shall take effect and be in full force and effect from and after its passage, and it is so ordained. A OV AS T FORM AND LEGALITY: Assistan ttorney M &C: G -17389 ADOPTED: September 20, 2011 EFFECTIVE: September 20, 2011 ORDINANCE NO. 19916 -09 -2011 City of Fort Worth, Texas Mayor and Council Communication COUNCIL ACTION: Approved on 9/2012011 -Ordinance No. 19916 -09 -2011 DATE: Tuesday, September 20, 2011 REFERENCE NO.: G -17389 LOG NAME: 12CHANGE ORDER INCREAS SUBJECT: Adopt Ordinance Amending Chapter 2, Article I, Section 2 -9 of the Fort Worth City Code to Increase the Threshold Amount of the City Manager's Public Works Change Order Authority from $25,000.00 to $50,000.00 (ALL COUNCIL DISTRICTS) RECOMMENDATION: It is recommended that the City Council adopt the attached ordinance amending Chapter 2, Article I, Section 2 -9 of the Fort Worth City Code to increase the threshold amount of the City Manager's authority to administratively approve public works change orders from $25,000.00 to $50,000.00. DISCUSSION: Section 2 -9 of the City Code allows the City Manager generally to execute contracts involving an expenditure of $50,000.00 or less without City Council approval. However, the City Manager has administrative authority to execute a change order to a public works contract only if the amount of the change order is $25,000.00 or less. The reason for this discrepancy is because of a similar restriction that was imposed by state law. In 2011, the State Legislature approved two bills that now increase this administrative restriction from $25,000.00 to $100,000.00. As a result, staff recommends that the City Council adopt the attached ordinance increasing the threshold of the City Manager's administrative authority to approve public works change orders without specific City Council approval from $25,000.00 to a maximum of $50,000.00. This increase is consistent with the City Manager's general authority to execute other City contracts, and will allow for greater efficiency in processing change orders to public works contracts while, at the same time, preserving appropriate City Council oversight of City expenditures. This action is also consistent with previous actions of the City Council. On October 9, 2001 (M &C P -9465 Revised) the City Council increased the threshold of the City Manager's contracting authority from $15,000.00 to $25,000.00 after the State Legislature authorized the same increase earlier that year. On January 26, 2010 (M &C G- 16820) the City Council approved another increase in the City Manager's contracting authority from $25,000.00 to the current $50,000.00 after a change in state law in 2007. FISCAL INFORMATION / CERTIFICATION: The Financial Management Services Director certifies that this action will have no material effect on City funds. FUND CENTERS: TO Fund /Account/Centers FROM Fund /Account/Centers Logname: 12CHANGE ORDER INCREAS Page 1 of 2 CERTIFICATIONS: Submitted for City Manager's Office by: Originating Department Head: Additional Information Contact: Fernando Costa (6122) Sarah Fullenwider (8006) Doug Black (7615) Logname: 12CHANGE ORDER INCREAS Page 2 of 2