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HomeMy WebLinkAbout(0033) M&C 20-0584City of Fort Worth, Texas Mayor and Council Communication DATE: 08/25/20 M&C FILE NUMBER: M&C 20-0584 LOG NAME: 17ED UNTHSC-BAC19-INTEREST EARNINGS SUBJECT (CD 8) Adopt Appropriation Ordinance Increasing Estimated Receipts and Appropriations in an Amount Up to $2,000.00 in the Fort Worth Grants Operating State Fund for the University of North Texas Health Science Center to Include the Interest Received for Advanced Funding RECOMMENDATION: It is recommended that the City Council adopt the attached appropriation ordinance increasing estimated receipts and appropriation in the amount up to $2,000.00 within the Grants Operating State fund for a total amount of $457,400.00. DISCUSSION: The purpose of this Mayor and Council Communication (M&C) is to appropriate funds in the Grants Operating State fund with reference to the previous M&C C-28822 which authorizes the use of interest earnings in an amount up to $2,000.00 for the purpose of the award. $5,400.00 of interest earnings has been received for Fiscal Year 2019. The wording from prior M&C is as below: "Beginning with the 79th Legislature of the State of Texas (2005), the State's Biennial General Appropriations Act appropriated the amount of $3.1 million to the University Of North Texas Health Science Center (UNTHSC) forjoint economic development and technology commercialization activities of UNTHSC, TECH Fort Worth and the City of Fort Worth for renovations at the Guinn School Campus and Business Assistance Center operations. In the 85th Legislature (2017), the State approved grant funding in the amount of $3,069,000.00 for the partnership between the City and UNTHSC for the two years beginning September 1, 2017. Of this grant, the amount of $2,619,000.00 has been appropriated to UNTHSC and TECH Fort Worth and the remaining amount of $900,000.00 is allocated to the City during this biennium to be received in two installments. During the biennium the City will receive $450,000.00 during Fiscal Year 18 and $450,000.00 in Fiscal Year 19. While indirect costs were not addressed at the time the grant application was submitted, the Department is reviewing regulations and will comply with City policy on indirect costs to the extent allowed by the program guidelines. For the State's upcoming Fiscal Year, which ends August 31, 2019, the City will receive the amount of $450,000.00. This amount represents the second installment and final payment from UNTHSC to the City for this biennium. These funds will be used to administer the Fort Worth Business Assistance Center (BAC) Program, and fund the Fiscal Year 2018-2019 contract with the BAC Education Foundation for the Idea Works Business Incubator housed in the elementary building at the historic James E.Guinn Campus." The Guinn School property is located in COUNCIL DISTRICT 8. A Form 1295 is not required because: This contract will be with a governmental entity, state agency or public institution of higher education: University of NorthTexas Health Science Center 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 within the Grants Operating State fund. Prior to an expenditure being incurred, the Economic Development Department has the responsibility to validate the availabilityof funds. This is an advance grant. Submitted for City Manager's Office b� Jay Chapa 5804 Originating Business Unit Head: Robert Sturns 2663 Additional Information Contact: Robert Sturns 2663