HomeMy WebLinkAboutResolution 5414-06-2021 A Resolution
NO. 5414-06-2021
STATEMENT EXPRESSING
OFFICIAL INTENT TO REIMBURSE
EXPENDITURES WITH PROCEEDS OF FUTURE DEBT FOR THE WESTSIDE V
ELEVATED STORAGE TANK AND TRANSMISSION MAIN
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 Westside V Elevated Storage Tank and
Transmission Main (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 $2,200,000.00 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 22"d day of June 2021.
A.
ATTEST:
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Mary J. Kayser, City Secretary * .�
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City of Fort Worth, Texas
Mayor and Council Communication
DATE: 06/22/21 M&C FILE NUMBER: M&C 21-0474
LOG NAME: 60SWSV EST AND TRANSMISSION MAIN-HALFF
SUBJECT
(CD 3)Authorize Execution of an Engineering Agreement with Halff Associates,Inc.for$1,291,838.00 for Design of the South Westside V
Elevated Storage Tank and Water Transmission Main, Provide for Project Costs for a Total Project Amount of$1,698,798.00,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 execution of an Engineering Agreement with Halff Associates, Inc. in the amount of$1,291,838.00 for the South Westside V
Elevated Storage Tank and Water Transmission Main;
2. Adopt the attached resolution expressing official intent to reimburse expenditures with proceeds from future debt for the South Westside V
Elevated Storage Tank and Water Transmission Main;and
3. Adopt the attached appropriation ordinance adjusting appropriations in the Water and Sewer Commercial Paper Fund by increasing
appropriations in the amount of$1,698,798.00 in the South Westside V Elevated Storage Tank and Water Transmission Main Project(City
Project No. 103428)and decreasing appropriations in the Unspecified project(City Project No. UNSPEC)by the same amount.
DISCUSSION:
This Mayor and Council Communication is to authorize the preparation of plans and specifications for the construction of South Westside V
Elevated Storage Tank(EST)and Water Transmission Main.
Growth within west Fort Worth and its Extra Territorial Jurisdiction requires continuous improvements to the water distribution system in order to
provide and maintain reliable water service to existing and proposed developments within the Westside pressure planes.This EST will provide
additional storage capacity in the South Westside V Pressure Plane while Water Transmission will pump/provide the needed water to the tank.
The proposed scope of services include site selection and feasibility studies,field surveys,design for the transmission main,design survey,
environmental permitting,easement preparation,subsurface utility engineering and geotechnical investigation.
Halff Associates, Inc.proposes to provide all the necessary design and construction administration services for a fee of$1,291,838.00.Staff
considers the proposed fee to be fair and reasonable for the scope of services proposed.
In addition to the contract amount,$406,960.00 is required for project management,real property acquisitions and utility coordination.This project
will have no impact on the Water Department Operating Budget when complete.
Appropriations for the South Westside V Elevated Storage Tank and Water Transmission Main are as depicted below:
Fund7� Existing Additional
Project Total*
Appropriations Appropriations
W&S Commercial $0.00 $1,698,798.00$1,698,798.00
Paper Fund 56020
Project Total $0.00 $1,698,798.00$1,698,798.00
*Numbers rounded for presentation purposes.
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 to reimburse itself from tax-exempt bond proceeds.
Business Equity:Halff Associates, Inc.is in compliance with the City's Business Equity Ordinance by committing to 10 percent participation on this
project.The City's Business Equity goal on this project is 10 percent.
The project is located in COUNCIL DISTRICT 3.
FISCAL INFORMATION/CERTIFICATION:
The Director of Finance certifies that funds are currently available in the UNSPEC project within the W&S Commercial Paper Fund and 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 WS V EST and Transmission Main project to support the approval of the above recommendations and execution of the
engineering agreement. Prior to an expenditure being incurred,the Water Department has the responsibility of verifying the availability of funds.
Submitted for City Manager's Office by: Dana Burghdoff 8018
Originating Business Unit Head: Chris Harder 5020
Additional Information Contact: Russell Redder 4970
Expedited