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HomeMy WebLinkAboutOrdinance 25917-12-2022 ORDINANCE NO.25917-12-2022 AN ORDINANCE ADJUSTING APPROPRIATIONS IN THE WATER AND SEWER COMMERCIAL PAPER FUND BY INCREASING APPROPRIATIONS IN VILLAGE CREEK WATER RECLAMATION FACILITY DIGESTER IMPROVEMENTS PROJECT(CITY PROJECT NO.102652)IN THE AMOUNT OF $25,000,000.00 AND DECREASING APPROPRIATIONS IN THE W&S COMMERCIAL PAPER PROJECT (CITY PROJECT NO. UCMLPR) BY THE SAME AMOUNT; PROVIDING FOR A SEVERABILITY CLAUSE; MAKING THIS ORDINANCE CUMULATIVE OF PRIOR ORDINANCES;REPEALING ALL ORDINANCES IN CONFLICT HEREWITH; AND PROVIDING AN EFFECTIVE DATE. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH, TEXAS: SECTION 1. That in addition to those amounts allocated to the various City departments for Fiscal Year 2022-2023 in the Budget of the City Manager,there shall also be adjusted appropriations in the Water and Sewer Commercial Paper Fund by increasing appropriations in the Village Creek Water Reclamation Facility Digester Improvements Project (City Project no. 102652) in the amount of $25,000,000.00 and decreasing appropriations in the W&S Commercial Paper project(City Project No.UCMLPR)by the same amount. SECTION 2. That should any portion,section or part of a section of this ordinance be declared invalid,inoperative or void for any reason by a court of competent jurisdiction,such decision,opinion or judgment shall in no way impair the remaining portions,sections,or parts of sections of this ordinance,which said remaining provisions shall be and remain in full force and effect. SECTION 3. That this ordinance shall be cumulative of Ordinance 25773-09-2022 and all other ordinances and appropriations amending the same except in those instances where the provisions of this ordinance are in direct conflict with such other ordinances and appropriations,in which instance said conflicting provisions of said prior ordinances and appropriations are hereby expressly repealed. SECTION 4. This ordinance shall take effect upon adoption. APPROVED AS TO FORM AND LEGALITY: CITY SECRETARY Dillack(Dec 16,2022 12:59 CST) Jannette S.Goodall(Dec 16,202213:06 OF Douglas W.Black Jannette S.Goodal ................ Senior Assistant City Attorney City Secretary G.� : , ADOPTED AND EFFECTIVE:December 13,2022 ,. �, F J v • VILLAGE CREEK WATER ad Ah KAN ILI 40 LA win�[ �� �• s ` +fill 'A ► " ! � ► � aILA .fir;�iiiii��►' Mill � - - �►���. j • 9 `ura ,� frrt ((�yy,"y�yy. iil � �1� lli � t±g •�tt ut vnix 'AROM + + w1howsraw TOM '� +;�' •✓ � . � '•t �� !ski �9:r:,�,,,,�A:;�4, yS �4�r�� xiw '�" a '�� iii9ii y ` M1 1 �t �fi ii �99� i it •'fit! r _;9wvq �CItiM"FORTWORTH �ii i M wryw ice! ulti i1k'■ ur a,w rrr, r ��1' City of Fort Worth, Texas Mayor and Council Communication DATE: 12/13/22 M&C FILE NUMBER: M&C 22-1046 LOG NAME: 60VCWRF DIGESTER MIXING-FLARE-DOME IMPROVPI-EAGLE&HAZENS SUBJECT (CD 5)Authorize Execution of a Contract with Eagle Contracting, LLC. in the Amount of$39,773,000.00 for the Village Creek Water Reclamation Facility Digester Improvements Project,Authorize Execution of Amendment No.2 in the Amount of$1,047,260.00 to an Engineering Agreement with Hazen and Sawyer, Inc.for the Village Creek Water Reclamation Facility Digester Improvements Project, Provide for Total Project Costs in the Amount of$44,180,804.00,Adopt Resolution Expressing Official Intent to Reimburse Expenditures with Proceeds of Future Debt and Adopt Appropriation Ordinances to Effect a Portion of Water's Contribution to the Fiscal Years 2023-2027 Capital Improvement Program RECOMMENDATION: It is recommended that the City Council: 1. Authorize execution of a contract with Eagle Contracting, LLC. in the amount of$39,773,000.00 for the Village Creek Water Reclamation Facility Digester Improvements project(City Project No. 102652); 2. Authorize execution of Amendment No. 2 in the amount of$1,047,260.00 to an engineering agreement with Hazen and Sawyer, Inc.for construction assistance services for the Village Creek Water Reclamation Facility Digester Improvements project(City Project No. 102652) for a revised contract amount of$3,304,146.00; 3. Adopt the attached resolution expressing official intent to reimburse expenditures with proceeds from future debt for Village Creek Water Reclamation Facility Digester Improvements project; 4. Adopt the attached appropriation ordinance adjusting appropriations in the W&S Commercial Paper Fund by increasing appropriations in the Village Creek Water Reclamation Facility Digester Improvements project(City Project No. 102652)in the amount of$25,000,000.00 and decreasing appropriations in the W&S Commercial Paper project (City Project No. LlCMLPR) by the same amount to effect a portion of Water's Contribution to the Fiscal Years 2023-2027 Capital Improvement Program;and 5. Adopt the attached appropriation ordinance increasing receipts and appropriations in the Water/Sewer Gas Lease Cap Proj Fund in the amount of$16,763,858.00, from available funds, for the purpose of funding Village Creek Water Reclamation Facility Digester Improvements project(City Project No. 102652). DISCUSSION: The purpose of this Mayor and Council Communication (M&C)is to authorize execution of a contract with Eagle Contracting, LLC. in the amount of$39,773,000.00 for the Base Bid plus Alternates 1 and 2 for the Village Creek Water Reclamation Facility (VCWRF) Digester Improvements project (City Project No. 102652)and execution of Amendment No. 2 to City Secretary Contract No. 54683 in the amount of $1,047,260.00, an engineering agreement with Hazen and Sawyer, Inc., for construction support services for VCWRF's Digester Improvements project(City Project No. 102652)for a revised contract amount of$3,304,146.00. On September 22, 2020, M&C 20-0701,the City Council authorized an engineering agreement with Hazen and Sawyer, Inc., (City Secretary Contract No. 54683), in the amount of$920,150.00 for the evaluation and design of improvements to the digester mixing systems, digester gas flares, and digester domes at the VCWRF. The agreement was subsequently revised by Amendment No. 1 in the amount of$1,336,736.00, authorized on August 17,2021, by M&C 21-0585,to design improvements to the digester gas treatment and conveyance, refurbishment of the turbine gas compressors and upgrades to supporting electrical systems. As part of Amendment No. 2, Hazen and Sawyer, Inc.will provide additional design services to break out a bid package for Phase 1 of construction and to provide construction assistance services that consist of technical assistance, site visits,and coordination among the four projects that will allow digester gas to be utilized as a supplemental fuel source for the new biosolids dryer at the VCWRF Biosolids Management and Beneficial Reuse Facility. The project was advertised for bid on September 29 and October 6,2022, in the Fort Worth Star-Telegram.On November 10,2022,the following bids were received: j Base Bid+ Base Bid + Base Bid + Bidder Total Base Bidsl Base Bid+ Contract! Alternates 1 &�Alternates 1,2 Alternates 1 2, Alternate 1 2 &3 3&4 Time IEagle 1,065 ontracting,!$36,925,000.00 $38,850,000.00'$39,773,000.001$39,919,000.00 $40,358,000.00 CalendarLC Days j Thalle Construction Company, $52,146,430.00:$54,744,300.00'$55,589,300.00 $55,599,300.00�$55,715,000.00� Inc. 'Staff recommends award of contract for Base Bid+Alternates 1&2,which consists of base bid, additional digester improvements (Alternate 1), and electrical transformers switchgear improvements(Alternate 2). In addition to the contract cost, $625,414.00 is required for project management and inspection, and $318,184.00 is provided for project contingency. This project will have no impact on the Water Department's operating budget when complete. 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 2023-2027 Capital Improvement Program as follows: 60VCWRF DIGESTER MIXING-FLARE-DOME IMPROVP1-EAGLE&HAZENS Capital P[ roJect FY2023 CIP Budget Change Revised Fund Name Name iAppropriations,Authority (Increase/Decrease), Budget 566 W&S1 102652- 4 Commercial Digester $0.00 This M&C1 $25,000,000.00$25,000,000.00 Paper Improvements 53004- 1102652- Water/Sewer I Gas Lease I Digester $0.00 This M&C $16,763,858.00$16,763,858.00j Cap Project Improvements 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 the 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. Funds are currently available in the Water/Sewer Gas Lease Cap Project Fund for the purpose of funding the VCWRF's Digester Improvements project. Funding for the Digester Improvements project is depicted below: F� Existing Additional D 'l Project Total" ' Appropriations, Appropriations W&S Rev Bonds j Series 2021 - $1,020,150.00 $0.001 $1,020,150.00 Fund 56019 W&S Rev Bonds Series2022- $1,396,796.00 $0.001 $1,396,796.00I Fund 56020 W&S Commercial Paper-Fund $0.00i $25,000,000.00 $25,OOO,OOO.00 56021 Water/Sewer Gas j Lease Cap Proj— $0.0& $16,763,858.00$16,763,858.00 Fund 53004 Project Total $2,416,946.00 $41,763,858.00 $44,180,804.00 'Numbers rounded for presentation purposes. Waiver of Building Permit Fee-In accordance with the City Code of Ordinances, Part II, Chapter 7-1 Fort Worth Building Administrative Code, Section 109.2.1, Exception 2;"Work by non-City personnel on property under the control of the City of Fort Worth shall be exempt from the permit fees only if the work is for action under a contract that will be or has been approved by City Council with notes in the contract packages stating the fee is waived." Business Equity—EAGLE-A waiver of the goal for Business Equity subcontracting requirements was requested,and approved by the DVIN, in accordance with the applicable Ordinance, because the purchase of goods or services is from sources where subcontracting or supplier opportunities are negligible. Business Equity—Hazen Sawyer-Hazen and Sawyer, Inc. agrees to maintain its initial M/WBE commitment of 33 percent that it made on the original agreement and extend and maintain that same M/WBE commitment of 33 percent to all prior amendments up to and inclusive of this Amendment No.2.Therefore Hazen and Sawyer, Inc. remains in compliance with the City's MI BE Ordinance and attests to its commitment by its signature on the Acceptance of Previous MI BE Commitment form executed by an authorized representative of its company. The project is located in COUNCIL DISTRICT 5. FISCAL INFORMATION/CERTIFICATION: The Director of Finance certifies that funds are currently available in the W&S Commercial Paper project within the W&S Commercial Paper Fund and in the Unspecified-All Funds project within the Water/Sewer Gas Lease Cap Proj Fund and upon approval of the above recommendations and adoption of the attached appropriation ordinances,funds will be available in the W&S Commercial Paper Fund and the Water/Sewer Gas Lease Cap Proj Fund for the Digester Improvements project to support the approval of the above recommendations and execution of the contract and amendment to the 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: Suzanne Abbe 8209 Expedited