HomeMy WebLinkAboutResolution 5808-09-2023A Resolution
NO.5808-09-2023
STATEMENT EXPRESSING
OFFICIAL INTENT TO REIMBURSE
EXPENDITURES WITH PROCEEDS OF FUTURE DEBT FOR THE MARY'S
CREEK RECLAMATION FACILITY
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 Mary's Creek Reclamation Facility
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 t.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 $6,600,000.00 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 26th day of September, 2023.
ATTEST:
By'----------------------------
Jannette S. S. Goodall, City Secretary
_ ; •r
+tom.•
City of Fort Worth, Texas
Mayor and Council Communication
DATE: 09/26/23 M&C FILE NUMBER: M&C 23-0828
LOG NAME: 60MARY'S CREEK WRFPECD Al-PLUMMER
SUBJECT
(ETJW-CD 3 and CD 7) Authorize Execution of Amendment No. 1, in the Amount of $5,057,498.00, to an Engineering Agreement with Plummer
Associates, Inc. for the Mary's Creek Water Reclamation Facility Project, Adopt a 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:
1. Authorize execution of Amendment No. 1, in the amount of $5,057,498.00, to an Engineering Agreement with Plummer Associates, Inc. (City
Secretary Contract No. 58487) for design of the Mary's Creek Water Reclamation Facility project for a revised contract amount of
$6,831,196.00 (City Project No. C01239);
2. Adopt the attached resolution expressing official intent to reimburse expenditures with proceeds of future debt for Mary's Creek Water
Reclamation Facility project; and
3. Adopt the attached appropriation ordinance adjusting appropriations in the W&S Commercial Paper Fund by increasing appropriations in
the Mary's Creek Water Reclamation Facility project (City Project No. C01239) in the amount of $5,507,608.00 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:
On November 8, 2022, Mayor and Council Communication (M&C) 22-0892, the City Council authorized the execution of an agreement with
Plummer Associates, Inc. in the amount of $1,773,698.00 (City Secretary Contract No. 58487) to conduct process evaluation and concept design
for the Mary's Creek Water Reclamation Facility (MCWRF). Amendment No. 1 will allow Plummer Associates, Inc. to conduct preliminary design
for the Mary's Creek Water Reclamation Facility for a fee not to exceed $5,057,498.00.
In addition to the contract amount, $450,110.00 is required for project management. This project will have no impact on the Water Department's
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.
60MARY'S CREEK WRFPECD A1-PLUMMER
Capital
Fund IName
Project
FY 2023 CIP
Appropriations
A77rity
Budget Change
(Increase/Decrease),
Revised FY
2023 Budget
Name
C01239 —
56022—
Mary's
W&S
Creek
$2 271,998.00iThis
M&C
$5,507,608.00!$7,779,606.00
Commercial
Water
Paper
Reclamation,
Facility
Funding for the Mary's Creek Water Reclamation Facility project is depicted below:
Fund
Existing
Appropriations
Additional
Appropriations
Project Total'
Sewer Capital
Legacy - Fund
59607
$6,691,576.09f
$0.00
$6,691,576.09t
Water & Sewer
i
Bond 2017A
$287,415.0011
$0.00i
$287,415.00
Fund 56011 ®—
W&S Rev Bonds
Series 2023 — Fund
$2,143,498.00'
$0.00I
$2,143,498.00!
56021
j
W&S Commercial
Paper— Fund
$0.00
$5,507,608.00
$5,507,608.00!
56022
Project Total
$9,122,489.09
$5,507,6 0
$14,630 097.09
*Numbers rounded for presentation.
Funding is currently available in the W&S Commercial Paper project within the W&S Commercial Paper Fund for the purpose of funding
the Mary's Creek Water Reclamation Facility project.
BUSINESS EQUITY: Plummer Associates, Inc. agrees to maintain its initial MNVBE commitment of 16 percent that it made on the original
agreement and extend and maintain that same MNWVBE commitment of 16 percent to this first amendment. Therefore, Plummer Associates, Inc.
remains in compliance with the City's M1 BE Ordinance and attests to its commitment by its signature of the Acceptance of Previous MNVBE
Commitment form executed by an authorized representative of its company.
This project is located in the Extraterritorial Jurisdiction (ETJ) west of Council Districts 3 and 7.
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 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 Mary's Creek Reclam. Facility project to support the approval of the above recommendations and execution of the
amendment to the contract. Prior to an expenditure being incurred, the Water Department has the responsibility of verifying the availability of funds
Submitted for City Manager's Office bk Dana Burghdoff 8018
Originating Business Unit Head: Chris Harder 5020
Additional Information Contact: Suzanne Abbe 8209