HomeMy WebLinkAboutResolution 5778-08-2023A Resolution
NO. 5778-08-2023
STATEMENT EXPRESSING
OFFICIAL INTENT TO REIMBURSE
EXPENDITURES WITH PROCEEDS OF FUTURE DEBT FOR THE US-287/HWY81
HARMON WATER REPLACEMENT
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 US-287/HWY81 Harmon Water
Replacement 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 $480,000.00 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 gth day of August 2023.
ATTEST:
Jannette S. Goodall, City Secretary
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MAYOR AND COUNCIL COMMUNICATION MAP
60US287HWY81 HARMON-KHA
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' VAULT ADJUSTMENT
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BLOWOFF VALVE ADJUSTMENT
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" BUTTERFLY VALVE
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TAPPING SLEEVE AND VALVE,
BUTTERFLY VALVE VAULT ADJUSTMENT #
* VAULT ADJUSTMENT
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FORT WORTH ; DESPERADOR
City of Fort Worth, Texas
Mayor and Council Communication
DATE: 08/08/23 M&C FILE NUMBER: M&C 23-0661
LOG NAME: 60US287/HWY81 HARMON-KHA
SUBJECT
(CD 7) Authorize Execution of an Engineering Agreement with Kimley-Horn and Associates Inc., in the Amount of $320,300.00 for the US
287/Highway 81 at Harmon Road Water Main Relocations Project, 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 2023-2027 Capital
Improvement Program
RECOMMENDATION:
It is recommended that the City Council:
Ia 3i�_
DISCUSSION:
The Texas Department of Transportation (TXDOT) proposes to reconstruct and widen US287/Highway 81 from IH-35W to Avondale Haslet Road.
Due to conflicts with the proposed roadway, bridge, and drainage construction at Harmon Road and North Tarrant Parkway, 48-inch water main
valve vaults, blow -off vaults, air release valves and manholes, cathodic protection replacements and adjustments, are necessary along the US
287/Highway 81 corridor.
This Mayor and Council Communication is to authorize execution of an engineering agreement with Kimley-Horn & Associates in the amount of
$320,300.00 for the US 287/Highway 81 at Harmon Road Water Main Relocations Project for the preparation of plans and specifications.
Kimley-Horn & Associates, Inc., proposes to provide all the necessary design services for a fee of $320,300.00. Staff considers the proposed fee
to be fair and reasonable for the scope of services proposed.
In addition to the contract amount, $80,000.00 is required for project management, material testing and inspection. This project will have no impact
on the Water Department operating budget when complete.
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 Water's portion of the City of Fort Worth's Fiscal Years 2023-2027 Capital Improvement Program, as follows:
60US287/HWY81 HARMON -KHA
Capital
Fund
Name
Project
Name ;Appropriations:
FY2023 CIP
�Authority'
I
Budget
Change
(increase/
Decrease)
Revised
FY2023
Budget
g
1104514
Fund 56022'
_
Commercial{
Paper
—US
287/Highway)
81 Harmon
Water Repl.
Project
I
$0.00,
I
This M&CJi
,
$400,300.00;
$400,300.00!
Funding for the US 287/Highway 81 at Harmon Road Water Main Relocations project is depicted below:
Fund ( JAppropriat
W&]r—
Existing 1
ionsi ,
Additional Appropriations
— �
Project Total*�
Com
Pap
$0.00
$400,300.00'
$400,300.00
Fund
Project
TotalL
$0.00
$400,300.00
�._...—..__._....._..,_._..__
$400,300.00
*Numbers rounded for presentation purposes.
Funding will be available in Water Department's W&S Commercial Paper project within the W&S Commerical Paper Fund for the purpose of
funding the US 287/Highway 81 at Harmon Road Water Main Relocations project.
Business Equity: Kimley-Horn and Associates, Inc., is in compliance with the City's Business Equity Ordinance by committing to 40
percent MWBE participation on this project. The City's MWBE goal on this project is 10 percent.
This project is located in COUNCIL DISTRICT 7.
FISCAL INFORMATION / CERTIFICATION:
The Director of Finance certifies that funds will be available after the sale of Water and Sewer bonds in 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 US 287/HW 81 Harmon Water Repl project to support the above recommendations and execution of the contract.
Prior to any expenditure being incurred, the Water Department has the responsibility to validate the availability of funds.
Submitted for City Manager's Office —by. Dana Burghdoff 8018
Originating Business Unit Head: Chris Harder 5020
Additional Information Contact: John Kasavich 8480