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HomeMy WebLinkAboutOrdinance 26363-08-2023ORDINANCE NO. 26363-08-2023 AN ORDINANCE INCREASING ESTIMATED RECEIPTS AND APPROPRIATIONS IN THE FORT WORTH PUBLIC IMPROVEMENT DISTRICT 16-QUAIL VALLEY FUND BY A TOTAL AMOUNT OF $1,680,831.48, OF WHICH $1,655,747.20 IS FROM ASSESSMENT REVENUE AND $25,084.28 FROM AVAILABLE FUND, FOR THE PURPOSE OF FUNDING PUBLIC IMPROVEMENT DISTRICT 16 - WALSH RANCH/QUAIL VALLEY; 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 2023-2024 in the Budget of the City Manager, there shall also be increased estimated receipts and appropriations in the Fort Worth Public Improvement District 16-Quail Valley Fund by a total amount of $1,680,831.48, of which $1,655,747.20 is from assessment revenue and $25,084.28 from available fund, for the purpose of funding Public Improvement District 16 - Walsh Ranch/Quail Valley. 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 shalt be incorporated into the ordinance effecting the budget of the municipal government of the City of Fort Worth for the ensuing Fiscal Year beginning October 1, 2023, and ending September 30, 2024, 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in which instance said conflicting provisions of said prior ordinances and appropriations are hereby expressly repealed.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: � ob)a&aci Assistant City Attorney ADOPTED AND EFFECTIVE: August 22, 2023 CITY SECRETARY Jannette S. Goodall City Secretary �4.04o�onna A* O� �O9�aad ° ° FVo °`0�d *o A!o °o AS City of Fort Worth, Texas Mayor and Council Communication DATE: 08/22/23 M&C FILE NUMBER: M&C 23-0676 LOG NAME: 17QUAIL VALEY PID FY2024 SUBJECT (CD 3) Approve Updated Five Year Service and Assessment Plan and Fiscal Year 2024 Budget in the Amount of $1,680,831.48 for Fort Worth Public Improvement District No. 16 (Walsh Ranch/Quail Valley) and Adopt Appropriation Ordinance RECOMMENDATION: It is recommended that the City Council: 1. Approve the attached updated five-year service and assessment plan and annual budget for Fiscal Year 2024 for Fort Worth Public Improvement District No. 16 (Walsh Ranch/Quail Valley); and 2. Adopt the attached appropriation ordinance increasing estimated receipts and appropriations in the Fort Worth Public Improvement District No. 16 - Quail Valley Fund by a total of $1,680,831.48, of which $1,655,747.20 is from Assessment revenue and $25,084.28 from reducing fund balance, for the purpose of funding Public Improvement District 16 - Walsh Ranch/Quail Valley. DISCUSSION: The purpose of this Mayor and Council Communication (M&C) is to consider a budget and updated service and assessment plan (SAP) for Fort Worth Public Improvement District No. 16 (Walsh Ranch/Quail Valley) (PID). In September 2016, the City Council approved the creation of the Walsh Ranch/Quail Valley PID, which encompasses approximately one-fourth of the entire Walsh Ranch property, as a vehicle to reimburse the developer for a portion of certain infrastructure costs (M&C G-18842). PIDs are governed by Chapter 372 of the Texas Local Government Code, which requires review and update of a PID's Service and Assessment Plan (SAP) on an annual basis and establishment of an annual budget. Full development of the PID will encompass multiple phases that occur over several years as phases of the PID are developed. In May 2017, the City Council approved a master reimbursement agreement for the PID (City Secretary Contract No.(CSC) 49300). The master reimbursement agreement provides for total principal reimbursement for all phases of the PID of up to $47,000,000.00, sets deadlines for commencing collection of assessment revenues in all phases of the PID, and establishes basic conditions associated with possible issuance of future debt (bonds) (M&C C-28197). The SAP/update and ordinances levying assessments for Improvement Area Nos. 1, 2, and 3 were approved in 2017, 2020, and 2022, respectively, along with a reimbursement agreement for each Improvement Area identifying the maximum reimbursement amount for that phase (M&Cs C-28211, 20-0618, and 22-0794). The Improvement Area No. 1 reimbursement agreement (CSC 49302) provides that $6,350,000.00, plus interest and administrative costs, will be funded out of special assessments on Improvement Area No. 1 of the PID. The Improvement Area No. 2 reimbursement agreement (CSC 54447) provides that $5,850,000.00, plus interest and administrative costs will be funded out of assessment on Improvement Area No. 2, The Improvement Area No. 3 reimbursement agreement (CSC 59679) provides that $10,750,000.00, plus interest and administrative costs will be funded out of assessment on Improvement Area No. 3. The remaining $24,050,000.00 of potential reimbursement for the Walsh Ranch/Quail Valley PID could be allocated to future phases/improvement areas. For each improvement area, the developer is also constructing, without reimbursement from the PID, other improvements that meet PID-eligibility under state law. The ratio of total PID-eligible improvement costs to reimbursement amount for Improvement Area Nos. 1, 2, and 3 is greater than 3 to 1. This M&C and the attached SAP are intended to serve as the SAP update and annual budget for fiscal year 2024. The fiscal year 2024 budget, as summarized in the table below, will be funded by special assessments collected on property within Improvement Area No. 1 of the PID. Revenues Amount Annual Installment Income $452,0 0 Available Administrative Funds $11,808.96 Total Revenues $463,808.96 Expenditures Amount I Contractual Expense to Developer Administrative Expenses $415,003.891 $48,805.071 Total Expenditures �$ $463,808.96 The fiscal year 2024 budget, as summarized in the table below, will be funded by special assessments collected on property within Improvement Area No. 2 of the PID. r__ Revenues ®� Amount! �AnnualInstallment Income j $385,000.00' Available Administrative Funds $13,275.321! I' Total Revenues _ 75 32nt $39Ex p enditures � Amo8 Contractual Expense to Developer �� $342,749.21'; Administrative Expenses J $55,526.11: Total Expenditures $398,275.32 The fiscal year 2024 budget, as summarized in the table below, will be funded by special assessments collected on property within Improvement Area No. 3 of the PID. r— [_Revenues Amount _ Annual Installment Income $818,747.20: Available Administrative Funds $0.00 Total Revenues $818,747.20 Expenditures _ „� Amount j Contractual Expenses to Developer $743,747.20 Administrative Expenses j $75,000.00, Total Expenditures % $818,747.20 Improvement Area; Assessment Revenue Fund Balance! Total No.1 No.2 $452,000.00 $385,000.001 $11808.96! $13,275.324 $463,808.96' $398,275.32, No.3 j $818,747.20 $0.00 $818,747.20, Total: i $1,655,747.20j $25,084.28 $1,680,831.48 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 above recommendations and adoption of the Fiscal Year 2024 Budget by the City Council, funds will be available in the Fiscal Year 2024 operating budget, as appropriated, in the FWPID #16 - Quail Valley Fund. Prior to an expenditure being incurred, the Economic Development Department has the responsibility to validate the availability of funds Submitted for City Manager's Office-W. William Johnson 5806 Originating Business Unit Head: Robert Sturns 2663 Additional Information Contact: Crystal Hinojosa 7808 Expedited