HomeMy WebLinkAboutResolution 5379-04-2021A Resolution
NO. 5379-04-2021
STATEMENT EXPRESSING
OFFICIAL INTENT TO REIMBURSE
EXPENDITURES WITH PROCEEDS OF FUTURE DEBT FOR THE CULTURAL
DISTRICT -WILL ROGERS WATER AND SANITARY SWER IMPROVEMENTS,
PART 6 -CRESTLINE ROAD AND RIVER DRIVE
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 Cultural District -Will Rogers Water
and Sanitary Sewer Improvements, Part 6 -Crestline Road and River Drive 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, THAT:
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 $75,000.00 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 suc h ex penditures 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 13th day of April 2021.
ATTEST:
By:~9~
Mary J. Kayser , City Secretary
MAYOR AND COUNCIL COMMUNICATION MAP
60CDWRWSSP6C04-CIRCLEC
City of Fort Worth, Texas
Mayor and Council Communication
DATE: 04/13/21 M&C FILE NUMBER: M&C 21-0285
LOG NAME: 60CDWRWSSP6C04-CIRCLEC
SUBJECT
(CD 9) Authorize Execution of Change Order No . 4 in the Amount of $57 ,966.48 and the Addition of 150 Calendar Days with William J. Schultz,
Inc. dba Circle C Construction Company, for Cultural District-Will Rogers Water and Sanitary Sewer Improvements , Part 6 -Crestline Road and
River Drive for a Revised Contract Cost of $2 ,199,876.59 , Adopt Attached Resolution Expressing Official Intent to Reimburse Expenditures with
Proceeds of Future Debt and Adopt Attached Appropriation Ordinance
RECOMMENDATION:
It is recommended that the City Council:
1. Authorize the execution of Change Order No. 4 to City Secretary Contract No. 51918 in the amount of $57,966.48 and the addition of 150
calendar days with William J. Schultz , Inc . dba Circle C Construction Company, for Cultural District-Will Rogers Water and Sanitary Sewer
Improvements project , Part 6 -Crestline Road and River Drive for a revised contract cost of $2 ,199,876 .59 (City Project No. C01468);
2. Adopt the attached resolution expressing official intent to reimburse expenditures with proceeds of future debt for the Cultural District-Will
Rogers Water and Sanitary Sewer Improvements project, Part 6 -Crestline Road and River Drive ; and
3. Adopt the attached appropriation ordinance adjusting appropriations in the Water and Sewer Commercial Paper Fund by increasing
appropriations in the amount of $57 ,967.00 , from available funds , to fund the Cultural District-Will Rogers Water and Sanitary Sewer
Improvements project , Part 6 -Crestline Road and River Drive.
DISCUSSION:
On January 29, 2019 , Mayor and Council Communication (M&C C-29011) the City Council authorized a contract with William J. Schultz , Inc. dba
Circle C Construction Company, in the amount of $1 ,924,665 .00 for the Cultural District-Will Rogers Water and Sanitary Sewer Improvements
Project , Part 6 -Crestline Road and River Drive .
The contract was subsequently revised by three change orders as follows : Change Order No . 1 in the amount of $131 ,075.00 authorized by the
City Council on April 7 , 2020 (M&C 20-0173) that provided for trenchless installation of a 24-inch water main across Crestline Road, Change
Order No . 2 in the amount of $86,170 .11 administratively authorized on October 2, 2020 that provided for chain link fencing and paving
improvements within Trinity Park and Change Order No. 3 with a net zero amount that provided an additional 120 calendar days on the project to
resolve pavement and grass restoration within Trinity Park .
Change Order No. 4 will provide for increased pay item quantity of 24-inch ductile iron pipe and asphalt pavement improvements that were
necessary on the project. This project is anticipated to be included in a future revenue bond issue for the Water & 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. 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. Under federal law, debt must be issued within approximately three years in order for these expenses to be reimbursable . Adoption of
the attached resolution does not obligate the City to sell bonds , but preserves the ability of the City to reimburse itself from tax-exempt bond
proceeds.
Funding for the Cultural District-Will Rogers Area Water and Sanitary Sewer Improvements as depicted in the table below :
I Fund I Existing Additional Project Total * : Appropriations Appropriations
Water Capital Fund $6,794 ,511.00 $0 .00 $6 ,794 ,511.00 59601
Sewer Capital $3 ,234 ,652 .00 $0 .00 $3 ,234 ,652.00 Legacy Fund -59607
Water & Sewer
2015A Bond Fund $1 ,772,417.00 $0 .00 $1 ,772,417 .00
56007
Water & Sewer
2017 A Bond Fund $695,000 .00 $0 .00 $695,000 .00
56011
WS Capital Project $2,492 .498.00 I $0 .00 1 $2,492,498.00 2019 Fund 56016
Water & Sewer Bond $384 ,940 .00 $0.00 $384 ,940.00 2020A Fund 56017
Water & Sewer
Commercial Paper $0.00 $57 ,967.00 $57 ,967.00
Fund 56019
Project Total $15 ,374 ,018.00 $57 ,967 .00 $15,431,985 .00
*Numbers rounded for presentation purposes .
M/WBE 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 BDE Ordinance , because the purchase of good or services is from sources where subcontracting or supplier opportunities
are negligible .
The project is located in COUNCIL DISTRICT 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 W&S Commercial Paper Fund for the Cultural District-Will Rogers project. 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