Loading...
HomeMy WebLinkAboutOrdinance 24254-06-2020 Ordinance No. 24254-06-2020 AN ORDINANCE INCREASING ESTIMATED RECEIPTS AND APPROPRIATIONS IN THE WATER AND SEWER BOND 2020A FUND (56017) IN THE AMOUNT OF $135,060.00, FROM AVAILABLE FUNDS, FOR THE PURPOSE OF FUNDING THE VILLAGE CREEK DRAINAGE BASIN MAIN 325 PARALLEL RELIEF SEWER, PART 2 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 2019-2020 in the Budget of the City Manager,there shall also be increased estimated receipts and appropriations in the Water and Sewer Bond 2020A Fund(56017)in the amount of$135,060.00,from available funds,for the purpose of funding the Village Creek Drainage Basin Main 325 Parallel Relief Sewer, Part 2 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 23835-09-2019 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in which instance said conflicting provisions of said prior ordinances and appropriations are hereby expressly repealed.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: Denis C. McElroy Mary J. Kayser Assistant City Attorney City Secretary ADOPTED AND EFFECTIVE: June 16, 2020 -k Of- FQR� V :0 ,�� ��� lllt•1;��'31Y9� Y,Yw,w.,.r) ��:""'Qi:aF la 1 7 iFi;Dcrai� I II. Il I,ilitilliYtii.r� '.`� � 1 _ nnu l iiiiiiu IIF • w.R. ' aail'i IF,i I"'F~ AIIIIIIFiIii 7�� �F.iP ii^r 111 r 11 t{Si i F '.�"nt. :1� / - r WN flfYI11Y ________:,= 71{VI:IIIIIIIIIIYI�IIIIfV li r 1 Y 4 y I iti r. t f�wllw�l� t '� • - 1 Y�IIA���l�7�Illlt.�. Fd { s�YiPff} t �ii1t111,r11 1 t tl ■Ili � I' ' tll{tilli iit11 Flrta ���� ��t��.F �� %,t11it111t1i1111 iltiri�'~+ g f�lltiap, A LOCATION IN ` �Iilil 111-f lil IIr � �iDDDLLL�� ill i illl ill'.Cj � .. _JE:3 - • �F py�{y Qp� r� 1�/VI� W�,91 R�TI� ilil llili lYlf i,f i'Plllw.r.lY , A!i\ +w{�'>35011t'L'��iF1O�"��>�{3MI�y �•4llf�Ylt ,'k 11 I iVi I I Ti ,xa(�l���w t;I 1 Ii1,F� _ � e{�'�}YI�i1FBF1��avy�pE�y�q♦®� y+��y.�j�F�,pAy4qy • jli 14 114}" SR+T.l1U #1IMRiliRY9 1�i , wi*MR ►w'•alr A€AN to 1 1 e llr. it _ i#ie�l6ii/�FiIIgN•�eil��l��ts�€+'t�tt+� �-�i4Y6i.I.►..� - � ?,. �b..w... _ � �`,a nw 1 n u n,nuna� "�, Yt�.����• ii i��' • ,S:pi.Z � �.._ �'1 1111i r � I �- t ` \ �i Yt iAY€.�—.YItillYa ktl•�Yi�F�t\�t�FY,.fir.`'uiiiii� .r„,.,.,, � I - Q._, r Y a Yi\i F t Y\,Y.Ys t flfii Yi 4 \l� ♦ - t t y �y'�u m k h x i,t1 w*sd r,.IM,i '�tx �15i7FORTWORTY ISF�dk�w1: 9ii fiClf' _ a ,..: �5��K•it�ea+Y»tA,.afi�'�d€rt96a.m�t:.�' MRIMM am! City of Fort Worth,Texas Mayor and Council Communication DATE: 06/16/20 M&C FILE NUMBER: M&C 20-0414 LOG NAME: 60VCDBM325P2C01-MCKEEUC SUBJECT Authorize the Execution of Change Order No. 1 in the Amount of$135,060.00 and the Addition of 45 Calendar Days to a Contract with McKee Utility Contractors,Inc.for the Village Creek Drainage Basin Main 325 Parallel Relief Sewer,Part 2 Project,for a Revised Contract Cost of $13,323,507.00,Adopt Resolution Expressing Official Intent to Reimburse Expenditures with Proceeds of Future Debt and Adopt Appropriation Ordinance(COUNCIL DISTRICTS 6 and 8) RECOMMENDATION: It is recommended that the City Council: 1. Authorize the execution of Change Order No. 1 in the amount of$135,060.00 and the addition of 45 additional calendar days to City Secretary Contract No.52970 with McKee Utility Contractors, Inc.for the Village Creek Drainage Basin Main 325 Parallel Relief Sewer,Part 2 project for a revised contract cost of$13,323,507.00; 2. Adopt the attached Resolution Expressing Official Intent to Reimburse Expenditures with proceeds of Future Debt for the Village Creek Drainage Basin Main 325 Parallel Relief Sewer, Part 2 project;and 3. Adopt the attached appropriation ordinance increasing appropriations in the Water and Sewer Bond 2020A Fund in the amount of $135,060.00,from available funds,to fund the Village Creek Drainage Basin Main 325 Parallel Relief Sewer, Part 2 project(City Project No. C01333). DISCUSSION: On September 24,2019,Mayor and Council(M&C 19-0204)authorized a contract with McKee Utility Contractors, Inc.,in the amount of $13,188,447.00(City Secretary Contract No.52970)for the Village Creek Drainage Basin Main 325 Parallel Relief Sewer, Part 2 project. Change Order No. 1 will provide for the installation of a segment of the project sewer main under a gas well and pad site by boring instead of open-cut in order to avoid disrupting truck traffic flow into the facility. On September 24,2019,Mayor and Council(M&C 19-0204)authorized a contract with McKee Utility Contractors,Inc.,in the amount of $13,188,447.00(City Secretary Contract No.52970)for the Village Creek Drainage Basin Main 325 Parallel Relief Sewer, Part 2 project. Change Order No. 1 will provide for the installation of a segment of the project sewer main under a gas well and pad site by boring instead of open-cut in order to avoid disrupting truck traffic flow into the facility. This project is included in a pending revenue bond issue for the Water&Sewer Fund.The Water and Sewer System has a Council-authorized system to allow it to initiate capital projects that will ultimately be bond funded,using available cash within the Water and Sewer portfolio and the City's portfolio,along with the authority under the Callable Commercial Paper Program(CP)to provide interim financing for this project until the debt is issued.To the extent resources other than the Water and Sewer portfolio are used to provide interim financing,the Water&Sewer Fund will be charged interest that is equivalent to the overall rate of return being earned by the City portfolio(currently approximately 2.3 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 approved the Water Department's Fiscal Year 2020-2024 Five Year Capital Improvement Plan on September 17,2019.This City Council approved plan includes this specific project,with funding identified through the CP program to be reimbursed with future revenue bonds. Debt must be issued within approximately three years of an expense being incurred in order to provide reimbursement.If that does not occur,costs are no longer be reimbursable by issuing tax-exempt debt,and the funding source must be made whole through budgetary methods.Adoption of a reimbursement resolution does not obligate the City to sell bonds but preserves the ability to reimburse the City from tax-exempt bond proceeds. In this case,because the bonds that will provide the ultimate funding have already been authorized and sold(with a total interest cost(TIC)of 1.89%)but the closing has not yet occurred,what had been the Water&Sewer Commercial Paper Fund(56017)has already been renamed to reflect the bond sale. Funding for the Village Creek Drainage Basin Main 325 Parallel Relief Sewer, Part 2 project is as depicted in the table below: Fund Existing Additional Project Total* Appropriations Appropriations Water&Sewer Bond $2 275,012.00 $0.00 $2,275,012.00 2017A-Fund 56011 W&S Capital Project $1,431,441.00 $0.00 $1,431,441.00 2018-Fund 56014 il 11 Clean Water SRF $60,835.00 $0.00 $60,835.00 Fund 59602 Sewer Capital $197,500.00 $0.00 $197,500.00 Legacy-Fund 59607 Water&Sewer Commercial Paper $14,314,152.00 $135,060.00$14,449,212.00 Fund 56017 Project Total $18,278,940.00 $13:5 060.00$18,414,000.00 *Numbers rounded for presentation purposes. MWWBE OFFICE:A Waiver of the goal for MBE/SBE subcontracting requirements was requested by the Department and approved by the OBD,in accordance with the MWBE or BDE Ordinance,because the purchase of goods or services is from sources where subcontracting or supplier opportunities are negligible. The project is located in COUNCIL DISTRICTS 6 and 8. 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 and Sewer Bond 2020A Fund for the Village Creek Drainage Basin Main 325 Parallel Relief Sewer,Part 2 to fund this change order.Prior to any expenditure being incurred,the Water Department has the responsibility to validate the availability of funds. Submitted for City Manager's Office by Dana Burghdoff 8018 Originating Business Unit Head: Chris Harder 5020 Additional Information Contact: John Kasavich 8480