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Home My WebLink AboutResolution 5077-04-2019A Resolution NO. 5077-04-2019 STATEMENT EXPRESSING OFFICIAL INTENT TO REIMBURSE EXPENDITURES WITH PROCEEDS OF FUTURE DEBT FOR THE NEAR SOUTHSIDE MEDICAL WATER AND SANITARY SEWER IMPROVEMENTS PROJECT WHEREAS, the City of Fort Worth, Texas (the "City") is a home -rule municipality and political subdivision of the State of Texas, and WHEREAS, the City expects to pay expenditures in connection with the design, planning, acquisition and construction for the Near Southside Medical Water and Sanitary Sewer 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 $353,000.00 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 of this 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 16th day of April 2019. AT'I By: MEMORIAM -1 Polumil PARKVIEW DR \ J I, I h I I I I I 1 11J1 30 r - . 1 — of ,£ . 3 r WlTUCKER ST� Id \ \ / v4A L -`✓' ' tu: L.� PENNSYLVANIAAVE00 %+ Vale P PFF Y t PRUITT,ST du < -. l COOPER STI �] PER ST It It _ ;� —if � I I l IF ui �, c Z � x" �- i. J , > WORTH_ST` o i �—�F iYF7 I I I-\'.. ' 1i4p Fma i I _ �IRWIN AVE I it WOLEANDER ST� D� [�10 m Y W,MAGNOLIAAVE��{ ,uJj _ �IRWIN AVE I it WOLEANDER ST� D� [�10 m Y W,MAGNOLIAAVE��{ ,uJj a 6, n z all, � li I t I f !III � • �� , � . °° t1L_=_t' \I\ � I� \ STLETOE AVE' \� I 1 �: \ `EDWIN ST' I r "r II i W MYRTLE STD `-7—\ � i -�—L � \'•� �� C-- W W ALLEN AVE �LLl walli! 1 ,�_� 1 ,' I 'W i IIIi ;'.L a NH M ; mmmj at WJ jo um!�_ L . 1. I f _ \ . p I ^BEN HALLnCTN \ �; F' WORTH UJ _.a. .II ILL 'w � Q - E-• 'w � Q - E-• City of Fort Worth, Texas Mayor and Council C DATE: Tuesday, April 16, 2019 LOG NAME: 60NEARSSMEDWSSA2-ANA :�i�i unication REFERENCE NO.: **C-29097 SUBJECT: Authorize Execution of Amendment No. 2 in the Amount of $272,324.00 to City Secretary Contract No. 46607, an Engineering Agreement with A.N.A. Consultants, LLC, for a Revised Contract Amount of $694,189.00 for Near Southside Medical District Water and Sanitary Sewer Improvements Located on Various Streets in the Near Southside Medical District Neighborhood, Adopt Resolution Expressing Official Intent to Reimburse Expenditures and Proceeds of Future Debt and Adopt Appropriation Ordinance (COUNCIL DISTRICT 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 Near Southside Medical District Water and Sanitary Sewer Improvements Project; 2. Adopt the Attached Appropriation Ordinance increasing estimated receipts and appropriations in the Water and Sewer Commercial Paper Fund in the Amount of $320,324.00; and 3. Authorize the execution of Amendment No. 2 to City Secretary Contract No. 46607 an Engineering Agreement with A.N.A. Consultants, LLC, in the amount of $272,324.00 for the Near Southside Medical District Water and Sanitary Sewer Improvements Project (City Project No. 02445). DISCUSSION: On April 14, 2015, (M&C C-27261), the city Council authorized an Engineering Agreement with A.N.A. Consultants, LLC, in the amount of $107,865.00 for Near Southside Medical District Water and Sanitary Sewer Improvements Project. The agreement was subsequently revised by Amendment No. 1 in the amount of $314,000.00 authorized April 18, 2017 (M&C C-28195). The general time frame for the design and construction of all program streets is 2014-2020 based upon the following construction plan and schedule: Group A Streets (FY 14-15), Group B Streets (FY 16), Group C Streets (FY 17) and Group D Streets (FY 18). Amendment No. 2 will provide design for the replacement of the deteriorated water and/or sanitary sewer mains as indicated on the following Group C and D Streets: Street From To _____ � �� Scope of Work , Logname: 60NEARSSMEDWSSA2-ANA Page 1 of 3 =Daggett AvenueSouth Main Street �4South Calhoun Street water �.�,� � _� � _ .�_. . , � �. F ., _ ��__ St. Louis Avenue West Rosedale Street West Magnolia Avenue iwater/sewer 30ak Grove RoadWest Rosedale Street West Magnolia Avenue sewer ;South Adams Street WWest Rosedale Street jWest Dashwood Street wwater �_ _ __ _ _ �m____ ____..� _._-- -- _ -- � _ _ _« ;Washington Avenue West Rosedale Street West Dashwood Street water n___ _ _ _ . � _ � _ m ;May Street West Rosedale Street WWest Oleander Street iwater �Enderly Place iWest Allen Avenue West Myrtle Street water ?9th Avenue Pennsylvania Avenue !Cooper Street iwater __ EEast Annie Street South Main StreetBryan Avenue iwater/sewer --- _ __ (Bryan Avenue jPennsylvania Avenue ;East Tucker Street water East Tucker Street South Main Street ;Bryan Avenue iwater In addition to the contract amount, $48,000.00 (Water: $32,000.00; Sewer: $16,000.00) is required for project management and material testing. MWBE Office: A.N.A. Consultants, LLC, agrees to maintain its initial SBE commitment of 13 percent that it made on the original agreement and extend and maintain that same SBE commitment of 13 percent to all prior amendments up to and inclusive of the Amendment No. 2. Therefore, A.N.A. Consultants, LLC, 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 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. This project will have no impact on the Water Department's operating budget. The project is located in COUNCIL DISTRICT 9. FISCAL INFORMATION /CERTIFICATION: Logname : 60NEARS SMED W S SA2-ANA attached appropriation ordinance, funds will be available in the Water &Sewer Commercial Paper Fund for the Near Southside Medical District Water and Sanitary Sewer Project. The Water and Sewer Commercial Paper Fund includes the 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 $27,514,110.00 for future Capital Projects. Funding for the Near Southside Medical Water and Sanitary Sewer Improvements project is as depicted below: _- , _ _ � � .-. � �_ ..._ __. � � _ _. _ _ __ _. �_. ..___.__ ... , _ r_.__ —_ _.---___. FUNDExisting Additional iProject Total* jAppropriations jAppropriations � __ _. ___.m_ . _..._. __ _ __. _ __ _-- _- ___ i �____ ___ _ � _ �_ _ T _ _ �__ ___�.__ Water/Sewer Bond 2016 - � $147,600.00� $0.00� $147,600.00 Fund 56005 Water &Sewer Bond 2017A - i $1,399,392.00� �� . $0.00�$1,399,392.00 Fund 56011 ,�_ �_ �, _.� _ __T_ `W&S Commercial Paper - j _ � Fund 56016 � $4,188,572.00� $320,324.00 $4,508,896.00 ----._ j _ ____ Water Capital -Fund 59601 ! $337,834.00� $O.00 j $337,834.00 -- - 59607 Capital Legacy -Fund $173,955.00� $O.00j $173,955.00 _ _ _. (Project Total j $6,247,353.00 $320,324.00 $6,567,677.00 *Amounts rounded for presentation purposes. FUND IDENTIFIERS (FIDs�: and Department ccoun Project Program ID ID Department �Accoun � Pr;D ct lProgra ID ! j CERTIFICATIONS: Submitted for City Manager's Office b,� Originating Department Head: Additional Information Contact: Budget Reference # Year (Chartfield 2' tivity Budget Reference # Year (Chartfield 2 Jay Chapa (5804) Chris Harder (5020) John Kasavich (8480) m Logname: 60NEARSSMEDWSSA2-ANA Page 3 of 3