HomeMy WebLinkAboutResolution 5759-06-2023A Resolution
NO. 5759-06-2023
STATEMENT EXPRESSING
OFFICIAL INTENT TO REIMBURSE
EXPENDITURES WITH PROCEEDS OF FUTURE DEBT FOR THE SILVER
CREEK LIFT STATION, FORCE MAIN, AND GRAVITY 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 Silver Creek Lift Station, Force Main,
and Gravity Station 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 $3,000,000.00 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 27t' day of June 2023.
4,d�p'O�Z1Q��
a OF°FORT
ATTEST:
RZ
Jannette S. Goodall, City Secretary
MAYOR AND COUNCIL COMMUNICATION MAP
60SCLSFMGM-KHA
City of Fort Worth, Texas
Mayor and Council Communication
DATE: 06/27/23 M&C FILE NUMBER: M&C 23-0529
LOG NAME: 60SCLSFMGM-KHA
SUBJECT
(CD 7) Authorize Execution of Engineering Agreement with Kimley-Horn and Associates, Inc., in the Amount of $1,659,200.00 for Silver Creek Lift
Station, Force Main, and Gravity Main, Adopt Resolution Expressing Official Intent to Reimburse Expenditures and Proceeds of Future Debt and
Adopt Appropriation Ordinance 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 an Engineering Agreement with Kimley-Horn and Associates, Inc. in the amount of $1,659,200.00 for the Silver Creek
Lift Station, Force Main, and Gravity Main project;
2. Adopt the attached resolution expressing Official Intent to Reimburse expenditures with proceeds of future enterprise fund debt for the Silver
Creek Lift Station, Force Main, and Gravity Main project; and
3. Adopt the attached appropriation ordinance adjusting appropriations in the Water & Sewer Commercial Paper Fund by increasing
appropriations in the Silver Creek Lift Station, Force Main, and Gravity Main project (City Project No. 104489) in the amount of
$2,532,718.00 and decreasing appropriations in the W&S Commercial Paper project (City Project No. UCMLPR) by the same amount, to
effect a portion of Water's contribution to the Fiscal Years 2023-2027 Capital Improvement Program.
DISCUSSION:
This Mayor and Council Communication (M&C) is to authorize the preparation of plans and specifications for the Silver Creek Lift Station, Force
Main, and Gravity Main project.
Due to continued growth in far west Fort Worth north of White Settlement Road it is necessary to perform the engineering and design of the Silver
Creek Lift Station and associated force and gravity sewer mains.
The proposed lift station with a capacity of 10 million gallons per day will act as an overflow for excess from the existing Live Oak Creek Station
and also provide service for areas on the west side of Lake Worth. The scope of work also includes a gravity sanitary sewer from the existing Live
Oak Creek Lift Station to the proposed Silver Creek Lift Station.
A city staff evaluation team reviewed and scored the SOQ's based on specific qualifications of key personnel to be assigned to the project,
specific technical capabilities of the firm related to the project, firm's prior experience on similar projects, identification and qualifications of sub-
contractors to be utilized on the project and ability to fulfill the City's Business Equity goal on the project. After evaluating all the submitted SOQ's,
Kimley-Horn and Associates, Inc. was selected as the most qualified consultant to provide design services for this project.
Kimley-Horn and Associates, Inc. proposes to provide all the necessary design services for the lift station, force main, and gravity main for a fee of
$1,659,200.00. Staff considers the proposed fee to be fair and reasonable for the scope of services proposed.
In addition to the contract amount, $873,518.00 is required for project management, utility coordination, real property acquisition and material
testing.
In April 2022, the Water Department, Capital Delivery Division, submitted a Request for Qualifications (RFQ) from interested and qualified
engineering consulting firms (or other qualified firms) to perform engineering, design, permitting and professional services necessary for the Silver
Creek Lift Station, Force Main and Gravity Main project. Six consulting firms submitted Statements of Qualifications (SOQ) in response to the
City's RFQ. An evaluation team consisting of Water Department staff reviewed and scored the SOQ's based on specific qualifications of key
personnel to be assigned to the project, specific technical capabilities of the firm related to the project, firm's prior experience on similar projects,
identification and qualifications of sub -contractors to be utilized on the project and ability to fulfill the City's Business Equity goal on the project.
After evaluating all the submitted SOQ's, Kimley-Hom and Associates, Inc. was selected as the most qualified consultant to provide design
services for this project.
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.
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 appropriate funds in
support of the Waters portion of the City of Fort Worth's Fiscal Years 2023-2027 Capital Improvement Program, as follows:
60SCLSFMGM-KHA
Budget
Capital Fund
Project
FY2023 CIP
Authority
Change
Revised
FY2023
Name
Name ;Appropriations
(Increase/ i
Budget
Decrease)
Lnd56022 —
mercialSilver$0.00
104489—
Creek
LS/FM/GM
This M&C$2,532,718.00
$2,532,718.00'
Funding for the Silver Creek Lift Station, Force Main, and Gravity Main project is depicted below:
FUND
Existing
Appropriations
Additional Appropriations
Project Total*
Fund 56022 -
W&S Commercial;
Paper 1
$0.00
$2,532,718.00
$2,5321718.00
Project Total 1
$0.001
$2,532,718.00
$2,532,718.00
*Numbers rounded for presentation purposes.
Funding is budgeted in the W&S Commercial Paper project within the W&S Commercial Paper Fund for the purpose of funding the Silver Creek
Lift Station, Force Main, and Gravity Main project.
Business Equity: Kimley-Horn and Associates, Inc. is in compliance with City's Business Equity Ordinance by committing to 13 percent MWBE
participation on this project. The City's MWBE goal on this project is 12 percent.
The project is located in COUNCIL DISTRICT 7.
FISCAL INFORMATION / CERTIFICATION:
The Director of Finance certifies that funds are available in the W&S Commerical Paper 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 Silver Creek LS/FM/GM project to support the approval of the above recommendations and execution of the
agreement. Prior to any 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: Liam Conlon 6824