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HomeMy WebLinkAboutContract 58435-A1CSC No. 58435-A1 FIRST AMENDMENT TO CITY SECRETARY CONTRACT NO. 58435. A MANAGEMENT AND IMPROVEMENT SERVICES AGREEMENT Fort Worth Public Improvement District No. I (Downtown) This FIRST AMENDMENT TO CITY SECRETARY CONTRACT NUMBER 58435 ("First Amendment") is made and entered into by and between the CITY OF FORT WO TH (the "City"), a home -rule municipal corporation organized under the laws of the State of Texas, acting by and through its duly authorized Assistant City Manager, and DO TO FORT WO TH, INC., a nonprofit corporation ("Contractor") acting behalf and through Andy Taft, its duly authorized President. WHEREAS, the City and Contractor are parties to a Management and Improvement Services Agreement for Fort Worth Public Improvement District No. 1, the same being City Secretary Contract Number 58435 ("Agreement"); WHEREAS, Contractor identified a need to reallocate certain funds between budgeted line items; WHEREAS, on April 25, 2023, the City Council adopted an ordinance approving a revised Fiscal Year 2022-2023 budget and five-year service plan, taking into account the budgetary adjustments; WHEREAS, the parties wish to amend the Agreement to incorporate the revised budget and five- year service plan; and NO THEREFORE, for and in consideration of the mutual covenants, promises, and agreements contained herein, the City and Contractor do hereby covenant and agree to amend the Agreement as follows: 1. Exhibit A to the Agreement concerning the Budget and Service Plan for the District is replaced with, and superseded by, a new Exhibit A that is attached to this First Amendment, which is incorporated into the Agreement for all purposes. 2. All terms of this First Amendment that are capitalized but not defined have the meanings assigned to them in the Agreement. 3. All terms and conditions of the Agreement that are not expressly amended pursuant to this First Amendment will remain in full force and effect. IN WITNESS WHEREOF, the undersigned have caused this First Amendment to be executed in Fort Worth, Tarrant County, Texas. CITY OF FORT WO TH: By: William Johnson (Jut 20, 202313:30 CDT) William M. Johnson Assistant City Manager Date: J u n 20, 2023 DO TO FORT WO TH, INC., A Texas nonprofit corporation By: Andy Taft 3, 202312:11 CDT) Andy Taft President Date: J u n 13, 2023 OFFICIAL RECORD First Amendment to CSC 58435 CITY SECRETARY 1 of 3 FT. WORTH, TX Approval Recommended: By: Robert Sturns Economic Development Director p_00000 0 dA o gild ATTEST: ono o=d 0o da o nezASaaa By: a Jannette Goodall City Secretary APPROVED AS TO FORM AND LEGALITY: crJ By: Tyler F. Wallach Assistant City Attorney Contract Compliant Manager: By signing, I acknowledge that I am the person responsible for the monitoring and administration of this contract, including ensuring all performance and reporting requirements. Lacey Iuiz un 14, 202915:11 CDT) Lacey M. Ruiz Sr. Contract Compliance Specialist M&Cs: 22-00670 (September 13, 2022); 23-0307 (April 25, 2023) Form 1295: 2022-918453 OFFICIAL RECORD CITY SECRETARY FT. WORTH, TX First Amendment to CSC 58435 2 of 3 Exhibit "A" + �� I City of Fart Worth 1 Mid -Year Five Year Service Plan FY 2 2-2 3 - FY26-27 PuhIic Improvernent district No- 1 - Fort Worth FIVE YEAR SERVICE PLAN FY22 23 FY23124 FY2425 FY25f26 FY26f27 REVENUES Pld Assessments' $ 2,741,8213 $ 2,824,091 $ 2.943.242 $ 31031,539 $ 3.122,495 COFW Assessment 337,059 295,395 295.395 295,395 295,395 COFW Payment in lieu of Services 156,431 165,000 168,300 171,866 175,099 Pld Generated Revenue 150,000 150,000 150,000 150,000 150,000 Total Budgeted Revenues $ 3,385,315 $ 3,434,476 $ 3,556,937 $ 3,648,600 $ 3,742,973 Use of Fund Balance - - - - Total Revenues $ 3,305,315 $ 3,434:476 $3,556,937 $ 3:648,600 $ 3,742,979 EXPENSES Management Fee $ 502,750 $ 512,905 $ 528.181) $ 544,035 $ 500,355 Utilities 11,500 12.0110 13.000 14,000 15,000 Landscaping 108,000 110. 000 110.1 00 110,000 110,000 Maintenance S Operations 1.251,951) 1,260,000 1,270,000 1,270,000 1,270,000 Tree Lights 100,000 20,000 30,000 20,000 45,000 Security 10,700 10,700 11, 9d1 12,220 12,220 Ambassador PrW ram 703,000 085,000 C85,000 725,000 725,000 Newsletter 12,500 12,50C 12,500 12,500 12,500 Marketing & Research 417,200 400,000 400,000 400,000 400,000 Transportation $ Planning 200,350 175.350 165,000 168,300 171,865 City Audit 2,500 2,50C 2,50C 2,500 2,500 City Ad min istrative Fee 66,865 68,69C 71,139 72,972 74,860 Total Budgeted Expenses $ 3,385,315 $ 3,269,545 $ 3,299:309 $ 3,351,52T $ 3,399,102 Contribution to Fund Balance $ - $ 164,931 $ 257,620 $ 297,073 $ =,8TT Total Expense $ 3,305,315 $ 3,434:476 $3,556,937 $ 3.548,600 $ 3,742,9T9 Net Change in Fund Balance $ - $ 164,931 $ 257,628 $ 297,OT3 $ 343,8TT Fund Balance, Beginning of Year (Estimated Yrs 2-5) 157,245 128,665 293,59t3 551,224 848,297 Estimated Fund Balance, End of Year 1a7,245 293.590 551,224 848,297 1.192,174 Reserve Requirement 545,033 549,995 558,700 506,630 506,630 Over (Under) Reserve $ (387,7615) $ 1256,399j $ {7,4T51 $ 281,66T $ 626,644 ' FY2023 draft Assessment Rate = $.13 City of Fort Worth, Texas Mayor and Council Communication DATE: 04/25/23 M&C FILE NUMBER: M&C 23-0307 LOG NAME: 17PID01 MIDYEARFY23 SUBJECT (CD 9 / Future CD 9) Adopt Ordinance Amending the Fiscal Year 2022-2023 Budget and Five -Year Service Plan for Public Improvement District 1 - Downtown and Adopt Appropriation Ordinances RECOMMENDATION: It is recommended that the City Council: 1. Adopt the attached ordinance amending the Fiscal Year 2022-2023 Budget and Five -Year Service Plan for Public Improvement District 1 — Downtown to reflect amendments associated with a mid -year review and direct the City Secretary to record the same in the real property records of Tarrant County, Texas no later than the seventh (7th) day after adoption by the City Council; 2. Adopt the attached appropriation ordinance adjusting appropriations in the General Fund by decreasing appropriations in the Non - Departmental Department in the amount of $42,087.00 and increasing appropriations in the Economic Development Department by the same amount, for the purpose of transfer to the Fort Worth Public Improvement District 1 - Downtown Fund for funding Payment In -Lieu of Services and City of Fort Worth Payment In -Lieu of Assessments; and 3. Adopt the attached appropriation ordinance adjusting estimated receipts and appropriations in the Fort Worth Public Improvement District 1 - Downtown Fund in the amount of $42,087.00, transferred from Economic Development Department General Fund, for purpose of funding Payment In -Lieu of Services and City of Fort Worth Payment In -Lieu of Assessments and decreasing appropriations in the amount of $41,247.00, in Fiscal Year 2022-2023, in unreserved fund balance. 1] 1-1401:1.1 lei kqF The City of Fort Worth's Department of Economic Development administers the City's Public Improvement Districts (PIDs). The City's PID Policy outlines the need to proactively work with the City's PID management companies to oversee the services being provided within each of the PIDs. PID 1 — Downtown (Downtown PID) is managed by Downtown Fort Worth Inc., (DFWI). On September 13, 2022, City Council adopted Ordinance No. 25710-09-2022, approving the fiscal year (FY) 2022-2023 Budget, Five -Year Service Plan, Assessment Plan, and Tax Year 2022 Assessment Roll for the Downtown PID. After conducting a mid -year review of the Downtown PID's budget, City staff and DFWI has identified the need to increase Downtown PID's (City of Fort Worth) allocations by $42,087.00 to account for 1) $424.00 of additional payment in -lieu of services and 2) $41,663.00 of additional City payment in -lieu of assessments. The additional revenue increase will result in a reduction to the original use of the fund balance in the amount of $41,247.00. Expenditure adjustments can be primarily attributable to a reallocation of landscaping and maintenance operations to the ambassador program to account for inflation. Two line items listed on the Five -Year Service Plan require a transfer of City funds: (1) the City Payment In -Lieu of Services and (2) the City of Fort Worth Assessment. The City's Payment In -Lieu of Services is a supplement to the PID budget and intended to provide for the standard level of improvements and services as comparable to what would be provided by the City for the taxpayers generally. The City of Fort Worth payment in - lieu of Assessment is an allocation to the PID budget for assessments the City would pay on City -owned properties in the Downtown PID, if the City was not a tax-exempt entity. Revenue Adjustments: Line Items to Previously Recommended Amended be Adjusted Approved FY23 Mid -Year FY23 Budget Budget Item Adjustment Item PID $2,741,826.001 $0.00 $2,741,826.00 Assessments COFW Payment in lieu $156,007.00 $424.00 $156,431.00 of Services COFW $295,395.00 $41,663.00 $337,058.00 Assessment PID Generated $150,000.00 $0.00 $150,000.00 Revenue Use of Fund $41,247.00 Balance Totals $3,384,475.00 Expenditure Adjustments: ($41,247.00) $0.00 $840.00 $3,385,315.00 Line Items Previously Recommended Amended to be Approved FY23 Mid -Year FY23 Budget Adjusted Budget Item Adjustment Item (Landscaping $115,000.00 ($9,000.00) $106,000.00 Maintenance $1,260,110.00 ($8,160.00) $1,251,950.00 & Operations Ambassador $685,000.00 $18,000.00 $703,000.00 Program (Totals $2,060,110.00 $840.00 $2,060,950.00 All other previously approved line items not mentioned above remain the same. Upon approval of the above recommendations, the total budgeted expenses for FY 2022-2023 will be $3,385,315.00. This mid -year budget adjustment will increase the unaudited, unassigned fund balance by a total of $41,247.00. The revised Budget and Five -Year Service Plan will take effect upon approval by City Council. The City and DFWI will amend the existing management contract to reflect the mid -year adjustments (City Secretary Contract No. 58435). Funding is budgeted in the Other Contractual Services account of the Nondept Other Contractual Department's General Fund. The Downtown PID is located in COUNCIL DISTRICT 9 / FUTURE COUNCIL DISTRICT 9. A Form 1295 is not required because: This M&C does not request approval of a contract with a business entity. FISCAL INFORMATION / CERTIFICATION: The Director of Finance certifies that upon approval of the recommendations and adoption of the attached appropriation ordinances, funds will be available in the current operating budget, as appropriated, in the FWPID #1 - Downtown Fund. Prior to any expenditure being incurred, the Economic Development Department has the responsibility to validate the availability of funds. Submitted for Citv Manaaer's Office bv: William Johnson 5806 Oriainatina Business Unit Head: Robert Sturns 2663 Additional Information Contact: Crystal Hinojosa 7808