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HomeMy WebLinkAboutResolution 5371-04-2021A Resolution NO. 5371-04-2021 APPROVING AN AMENDED BUDGET AND FIVE-YEAR SERVICE PLAN FOR FORT WORTH PUBLIC IMPROVEMENT DISTRICT NO. 20 (EAST LANCASTER PIO) FOR FISCAL YEAR 2020-2021 WHEREAS, pursuant to Resolution No. 5052-02-2019 , the City Council established the Fort Worth Public Improvement District No. 20 (the "East Lancaster PID") on February 12 , 2019 ; WHEREAS, in accordance with Chapter 372 of the Texas Local Government Code, on August 25, 2020, the City Council approved a budget for the 2020-2021 fiscal year and a five-year service plan for the East Lancaster PID pursuant to M&C 20-0579; WHEREAS, pursuant to City Secretary Contract No. 54793, the City has contracted with FirstService Residential Texas PIO, LLC ("Contractor") to manage the day-to-day administration of the East Lancaster PID for the 2020-2021 fiscal year; WHEREAS, in accordance with Section 372.013(a) of the Texas Local Government Code, the City has assigned to Contractor the responsibility for preparing the annual budget and five-year service plan for the East Lancaster PID; WHEREAS, in accordance with the City's Policy and Guidelines for Public Improvement Districts ("PIDs"), adopted by the City Council pursuant to Resolution No. 5312-12-2020, City staff annually conducts mid-year reviews of all PID budgets to ensure that actual PID expenditures con-espond with budgeted expenses; and WHEREAS, in consultation with the Contractor regarding actual PID expenditures and necessary programs and services required to date, City staff recommends that the City Council approve an amended budget for the East Lancaster PID for the 2020-2021 fiscal year. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH, TEXAS THAT: 1. The Budget and Five Year Service Plan for the East Lancaster PID is hereby amended and approved for the remainder of the 2020-2021 fiscal year in accordance with Exhibit "A", which is attached hereto. 2. This Resolution shall take effect immediately following its adoption. Adopted this 611, day of April 2021. ATTEST: By:~<;~ Mary J. Kayser, City Secretary EXHIBIT A City of Fort Worth Five YetJr Serl/Ice Pion (Mid Year) Publlc Improvement Dlsc rlct No. 20 .. East Lancaster fY20/21 l'Y21/22 l'Y22/23 fY23124 l'Y24125 REVENUES PIO Assessments 256,457 s 254 ,151 s 272 ,076 s 280,238 s 288,1145 Total Budgeled Revoo'f.Jts s 256.457 s 264,151 s 272,076 s 280,238 s 288,645 Us• or Fund Balance 36,000 Total Funds Available for Use s 292,457 s 254,151 s 272,076 s 280,238 s 288,845 EXPENSES Management Fee 17 ,800 s 18 ;166 s 18 ,519 s 18,890 $ 19,267 City Admi ni slrallve Fee 6,120 5 .283 5 ,112 5 ,606 5.773 Security 261 ,528 218.091 232 ,120 230,387 244,884 Community Marketing/Events 3,000 3 ,500 3 ,700 3 ,800 4,000 Audil/Annual Review 2 ,500 2,500 2 ,500 2,500 2,500 Communication> 2.500 3.000 3.000 3,000 3.000 Total Budgeted Expenses s 292,457 s 250,530 s 285,287 s 270,182 s 279,424 To AIExpcnses 2'Z,457 $ zso.s,o $ 265.287 270.182 279,424 Contribution to Fund Balance 13,621 6,789 10,056 0.221 Net Change in Fund Balence s (36,000) $ 13,621 $ 6,789 $ 10,056 $ 9,221 Fund Balance, Beginnin g al Year (Esllmaled Yrs 2-5) 71 ,509 35,509 49,130 55,919 65,975 Estimated Fund Balance. End of Year 35.509 49,1 30 55,91 0 65.975 75.196 Reserve Requirement 30,531 44,223 45,000 46,571 46,571 Over (Under) Reserve $ 4,978 s 4,907 s 10,889 s 19,404 s 28,625 'FY2021 Assessment Rote • S.266 City of Fort Worth, Texas Mayor and Council Communication DATE: 04/06/21 M&C FILE NUMBER: M&C 21-0229 LOG NAME: 17PID20 MIDYEARFY21 SUBJECT (CD 5 and CD 8) Adopt Attached Resolution Amending the Fiscal Year 2020-2021 Budget and Five-Year Service Plan for Public Improvement District 20 -East Lancaster Avenue and Adopt Attached Appropriation Ordinance RECOMMENDATION: It is recommended that the City Council : 1. Adopt the attached resolution approving the revised Fiscal Year 2020-2021 Budget and Five-Year Service Plan for Public Improvement District 20 -East Lancaster Avenue to reflect amendments associated with a mid-year review ; and 2 . Adopt the attached appropriation ordinance increasing receipts and appropriations in the Fort Worth Public Improvement District 20 -East Lancaster Avenue Fund in the amount of $36,000.00, from available , unreserved fund balance . DISCUSSION: The City of Fort Worth Department of Economic Development administers the City 's Public Improvement Districts (PIDs) in accordance with Chapter 372 of the Texas Local Government Code . The City's PID Policy outlines the need to proactively work with the PID managers to oversee the services being provided by the PIDs and their associated financial positions . Staff, along with the contracted PID management companies , have conducted mid-year reviews of the Public Improvement District 20 -East Lancaster Avenue (East Lancaster PID) Annual Budget (Budget) and recommend the following adjustments . The City contracts with FirstService Residential Texas PID , LLC (FirstService) to manage the East Lancaster PID. FirstService has identified the need to increase the East Lancaster Budget by $36 ,000 .00 to cover expenses associated with increases to security for increased patrols and installation of security cameras . Removal of the insurance line item does not relieve FirstService from acquiring insurance in the types and amounts required under the contract. All such insurance costs are built into the current management fee . Revenue adjustments: Line Items Previously to be Approved FY21 Adjusted Budget Item Assessments. PID I $256,457 .ooll Use of Fund $0.00 Balance Totals $256,457.00 Expenditure adjustments : Line items to be Adjusted Previously Approved FY21 Budget Item Recommended Mid-Year Adjustment $0 .0011 $36 ,000.00 $36,000.00 Recommended Mid-Year Adjustment $42 ,000.00 ($6 ,000.00) Amended FY21 Budget Item $256,457.001 $36 ,000.00 $292,457.00 Amended FY21 Budget Item $261 ,528.00 $0.00 $36,000.00 $261,528.00 Staff supports FirstService 's recommended mid-year budget adjustments. All other previously approved line items not mentioned above remain the same. Upon approval of the above recommendations , the total budgeted expenses for Fiscal Year 2020-2021 will remain at $292 ,457 .00. This mid-year budget adjustment will decrease the unaudited , unassigned fund balance by a total of $36,000.00. The revised Budget and Five-Year Service Plan will take effect upon approval by City Council. The City and FirstService will update the existing contract to reflect the mid-year adjustment (City Secretary Contract No . 54793). The East Lancaster PID is located in COUNCIL DISTRICTS 5 & 8. A Form 1295 is not required because: This M&C does not request approval of a contract with a business entity . 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 operating budget, as appropriated , in the FWPID #20 -East Lancaster Ave Fund. Prior to any expenditure being incurred, the Economic Development Department has the responsibility to validate the availability of funds . Submitted for City Manager's Office by: Jay Chapa 5804 Originating Business Unit Head: Robert Sturns 2663 Additional Information Contact: Crystal Hinojosa 7808