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Home My WebLink AboutResolution 5635-09-2022 A Resolution NO. 5635-09-2022 STATEMENT EXPRESSING OFFICIAL INTENT TO REIMBURSE EXPENDITURES WITH PROCEEDS OF FUTURE DEBT FOR THE VILLAGE CREEK LIFT STATION GRACITY SEWER MAINS 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 Village Creek Lift Station Gravity Sewer Mains 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 $21,100,000.00 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 271h day 2022. �.� ..:! e , ATTEST: By: Jannette S.Goodall(Sep 30,202214:30 CDT) ', Jannette S. Goodall, City Secretary MAYOR AND COUNCIL COMMUNICATION MAP 60LALSGMS-SJLOUIS L'"ANCASTER AVE, iPANOLA'ST o I DOWNSTREAM SANITARY z±; . p��; - �� SEWER GRAVITY MAIN +'' ♦�l�r;' a GRANDE'CT, I i �„ i `��.j.' •� , _ 'ROSEDAL`E'ST � • Ili - EXISTING ; PORT WORTH SEWER ; y Y ' _ � MAIN ---- �' LAKE o-. ti EL'IZABETH RDRLINGTON E BERRY ST �• J J 1p J U) �` n-, i AW ARKANSAS.LN EASTL'AND STD ,t r _rpt o `y' GRAYSONti 0 HARDEMAN ST lug 40 FI�WILBARGER S : � f-------- fz. T ♦ �z WILBARGER'STj�_;-,\ FORCE 40■ ♦fir 287 ♦L -� ; MAIN pr FORT WORTH MOBERLYrST MARTIN ST N j w� O ,I; ;p C,T� PLEASANT RID O ARLINGTON SUN,VALLEY DR W \'e/SeF N i 20 FRa\ < 2° FOREST HILL \revs -z° 1----------� ✓/^ •-� m� _j LIFT -20 STATION DIRECTION ►I r • `J ---- -- O.: o OF FL W r w r �: J DRw,J }lyado ARTHUR DR.i Y"' FREEMANjDRA �� UPSTREAM SANITARY SEWER GRAVITY MAIN I KENNEDALE - } I FORT WORTH a? AV CL ? FicRw n 1 F�nnRT WQRTH J I ; M-257, PART 2 , oV ' O [. I p z ■ ��f' �.L_ - -- ---_ _ - �iS'�" r Prestwick r City of Fort Worth, Texas Mayor and Council Communication DATE: 09/27/22 M&C FILE NUMBER: M&C 22-0784 LOG NAME: 60LALSGMS-SJLOUIS SUBJECT (CD 5)Authorize Execution of a Contract with S.J. Louis Construction of Texas, Ltd.in the Amount of$16,553,540.11 for Village Creek Lift Station Gravity Sewer Mains(Lake Arlington Lift Station Upstream and Downstream Parallel Relief Sanitary Sewer Gravity Mains),Adopt Resolution Expressing Official Intent to Reimburse Expenditures with Proceeds of Future Debt, and Adopt Appropriation Ordinance to effect a Portion of Water's Contribution to the Fiscal Years 2022-2026 Capital Improvement Program RECOMMENDATION: It is recommended that the City Council: 1. Authorize execution of a contract with S.J. Louis Construction of Texas, Ltd. in the amount of$16,553,540.11 for the Village Creek Lift Station Gravity Sewer Mains(Lake Arlington Lift Station Upstream and Downstream Parallel Relief Sanitary Sewer Gravity Mains)project; 2. Adopt the attached resolution expressing official intent to reimburse expenditures with proceeds from future debt for the Village Creek Lift Station Gravity Sewer Mains(Lake Arlington Lift Station Upstream and Downstream Parallel Relief Sanitary Sewer Gravity Mains)project; and 3. Adopt the attached appropriation ordinance adjusting appropriations in the W&S Commercial Paper Fund by increasing appropriations in the Village Creek Lift Station Gravity Sewer Mains(Lake Arlington Lift Station Upstream and Downstream Parallel Relief Sanitary Sewer Gravity Mains) project(City Project No. 101311) in the amount of$17,570,327.00 and decreasing appropriations in the W&S Commercial Paper(City Project No. UCMLPR) by the same amount to effect a portion of Water's Contribution to the Fiscal Years 2022-2026 Capital Improvement Program. DISCUSSION: This Mayor and Council Communication(M&C)is to authorize a construction contract with S.J. Louis Construction of Texas, Ltd.and appropriate funding for Village Creek Lift Station Gravity Sewer Mains(Lake Arlington Lift Station Upstream and Downstream Parallel Relief Sanitary Sewer Gravity Mains)project located in the Carver Heights east neighborhood. The upstream gravity main will extend from an upstream connection point on Sanitary Sewer Main M-257, Part 2 to a junction box at the Lake Arlington Lift Station and the downstream gravity main from the downstream connection point of the Lake Arlington Force Main to the existing 60- inch sanitary sewer main located near the Cook's Lane/Lancaster Avenue intersection. The project was advertised for bid on July 21,2022 and July 28,2022 in the Fort Worth Star-Telegram.On August 13,2022 the following bids were received: Amount Total A(Base Bid *Total B(Base Contract Bidder &Concrete Bid &Polymer Time Manhole) Manhole) Amount Amount S.J.Louis 450 Construction of $16,571,508.11 $16,553,540.11 Calendar Texas, Ltd. Days William J Schultz, Inc.dba Circle C $16,743,864.00 $16,933,516.00 Construction Company McKee Utility $16,873,439.00 $17,329,301.00� Constructors, Inc. �Mountain Cascade $17,944,102.00 $17,935,992.00� of Texas,LLC *Staff recommends approval of the low bid received for Total B due to the longer life span and reduced maintenance costs of polymer concrete manholes. In addition to the contract cost,$768,483.89 is required for project management and inspection and$248,303.00 is provided for project contingency. This project will have no impact on the Water Department's operating budget when complete. This project is part of the Water Department's Sanitary Sewer Overflow Initiative Program. It is the practice of the Water Department to appropriate its CIP plan throughout the fiscal year, instead of within the annual budget ordinance,as projects commence, additional funding needs are identified, and to comply with bond covenants.The actions in the M&C will amend the City of Fort Worth's Fiscal Year 2022-2026 Capital Improvement Program as follows: 60LALSGMS-SJLOUIS Capital project FY2022 CIP Budget Change Revised Na nd Authority FY2022 me Name Appropriations (Increase/Decrease) Budget 101311 56021 - —VC W&S LS $0.00 This M&C $17,570,327.00 $17,570,327.00 Commercial Gravity Paper Sewer Mains Funding for the Lake Arlington Lift Station Upstream and Downstream Parallel Relief Sanitary Sewer Gravity Mains project is depicted below: Existing Fd Additional Appropriations Project Total* Appropriations W&S Capital Proj $1,620,280.00 $0.00 $1,620,280.00 2018— Fund 56014 r56 &S mmercial $0.00 $17,570,327.00 $17,570,327.00 per Fund 021 Project $1,620,280.00 $17,570,327.00$19,190,607.00 Total *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 of the City to reimburse itself from tax-exempt bond proceeds. Business Equity-S.J. Louis Construction of Texas, Ltd. is in compliance with City's Business Equity Ordinance by committing to 14 percent Business Equity participation on this project.The City's Business Equity goal on this project is 14 percent. The project is located in COUNCIL DISTRICT 5. FISCAL INFORMATION/CERTIFICATION: The Director of Finance certifies that funds are currently available in the UCMLPR 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 VC LS Gravity Sewer Mains project to support the execution of the construction contract. 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: Pratima Poudyal 6149 Expedited