HomeMy WebLinkAboutResolution 5936-04-2024A Resolution
NO.5936-04-2024
STATEMENT EXPRESSING
OFFICIAL INTENT TO REIMBURSE
EXPENDITURES WITH PROCEEDS OF FUTURE DEBT FOR THE TRINITY
BOULEVARD PHASE 2 PROJECT
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 Trinity Boulevard Phase 2 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
$6,500,000.00 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 Iater 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 9th day of April 2M4.
ATTEST:
IT
By. � �
.°
v°
°
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Jannette S. Goodall, City Secretary
SCAT
Mayor & Council Map I CPN 103280
Trinity Blvd Improvements, Ph. 2 1 CD #5
FORT WORTH
City of Fort Worth, Texas
Mayor and Council Communication
DATE: 04/09/24 M&C FILE NUMBER: M&C 24-0282
LOG NAME: 20TRINITY BLVD PHASE 2 CONSTRUCTION
SUBJECT
(CD 5) Authorize Execution of a Contractwith Jackson Construction, LTD, in the Amount of $12,099,342.00 forTrinity Boulevard Phase 2 from
Salado Trail to Thames Trail; Adopt Resolution Expressing Official Intent to Reimburse Expenditures with Proceeds of Future Debt for the Trinity
Boulevard Phase 2 Project, Adopt Appropriation Ordinance to Affect a Portion of Water's Contribution to the Fiscal Years 2024-2028 Capital
Improvement Program, Adopt Appropriation Ordinance and Amend the Fiscal Years 2024-2028 Capital Improvement Program (2022 Bond
Program)
RECOMMENDATION:
It is recommended that the City Council:
1. Authorize execution of a contract with Jackson Construction, LTD in the amount of $12,099,342.00 for the construction of Trinity Boulevard
Phase 2 from Salado Trail to Thames Trail project (City Project No. 103280);
2. Adopt the attached resolution expressing official intent to reimburse expenditures with proceeds of future debt for the Trinity Boulevard Phase 2
project;
3. Adopt the attached appropriation ordinance adjusting appropriations in the 2022 Bond Program Fund by increasing appropriations in Trinity
Boulevard Phase 2 project (City Project No. 103280) in the amount of $500,000.00 and decreasing appropriations in the Heritage Trace Pkwy 1
project (City Project No. 103300) by the same amount;
4. Adopt the attached appropriation ordinance adjusting appropriations in the Water & Sewer Commercial Paper Fund by increasing
appropriations in Trinity Boulevard Phase 2 project (City Project No. 103280) in the amount of $5,400,542.00 and decreasing appropriations in
the W&S Commercial Paper project (City Project No. UCMLPR) by the same amount, to affect a portion of Waters contribution to the Fiscal Years
2024-2028 Capital Improvement Program; and
5. Amend the Fiscal Years 2024-2028 Capital Improvement Program.
DISCUSSION:
The purpose of this Mayor and Council Communication (M&C) is to authorize execution of a contract with Jackson Construction, LTD in the amount
of $12,099,342.00 forTrinity Boulevard Phase 2 from Salado Trail to Thames Trail. Trinity Boulevard Phase 2 from Salado Trail to Thames Trail will
include a 4-lane concrete road, divided median, replacement of the existing 36" water transmission line, landscape, drainage and illumination
improvements. A ten -foot -wide sidewalk and a traffic signal at the intersection of Trinity Boulevard with Shoreside Parkway I Sequin Trail are also
included.
The following table demonstrates the funding history and total budget for the project:
Capital Fund Name
Project Name
Appropriations
Budget
Adjustment
Revised Fiscal Year
2024 Budget
34027-2022 Bond Program Fund
103280-Trinity
Boulevard Phase 2
$6,150,000.00
$500,000.00
$6,650,000.00
30108-Transportation Impact Fee
1103280 Trinity
$1,771,868.35
$0.00
$1,771,868.35
Cap Fund
Boulevard Phase 2
30104-Developer Contribution
Fund
1103280-Trinity
Boulevard Phase 2
$250,000.00
$0.00F
$2,90,000.00
39008-Transportation Impact Fee
Legacy Fund
103280-Trinity
Boulevard Phase 2
$28,131.65
$0.00
$28,131.65
56022 W&S Commercial Paper
103280-Trinity
$0.00
$5,400,542.00
$5,400,542.00
Fund
Boulevard Phase 2
Project Total
$8,200,000.00
$5,900,542.00
$14,100,542.00
The project was advertised for bid on December 28, 2023 and January 4, 2024 in the Fort Worth Star -Telegram. On February 1, 2024 the
following bids were received:
Bidders Amount
Jackson Construction, LTD $12,099,342.00
McClendon Construction 1 $13,221,561.50
The Transportation & Public Works Department's share on this contract is $7,117,637.00. The paving funds for this project are included in the
2022 Bond Program. The Water Department's share on this contract is $4,981,705.00 (Water) and will be available in the W&S Commercial
Paper Fund for the project (City Project No. 103280).
In addition to the contract amount, $1,138,220.00 (Water: $269,386.00, TPW: $868,834.00) is required for project management, material testing,
and inspection and $362,980.00 (Water: $149,451.00, TPW: $213,529.00) is provided for project contingencies.
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 the expenses to be reimbursable. Adoption of the attached resolution does not
obligate the City to sell bonds, but preserves the ability 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 (FY), 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 2024-2028 Capital Improvement Program.
Funding is budgeted in the W&S Commercial Paper project within the W&S Commercial Paper Fund and the 2022 Bond Program Fund for the
purpose of funding the Trinity Boulevard, Phase 2 project.
Construction of Trinity Boulevard Phase 2 from Salado Trail to Thames Trail is anticipated to begin in early Fall2024.
This project is included in the 2022 Bond Program. The City's Extendable Commercial Paper (ECP) (M&C 22-0607; Ordinance 25675-08-2022)
provides liquidity to support the appropriation. Available resources will be used to make any interim progress payments until debt is issued. Once
debt associated with a project is said, debt proceeds will reimbursethe interim financing source in accordance with the statement expressing
official Intent to Reimburse that was adopted as part of the ordinance canvassing the bond election (Ordinance 25515-05-2022).
Funding appropriated for this project by this M&C was not included in the FY2024-2028 Capital Improvement Program (CIP) because construction
cost estimates were not complete at the time of CIP development. The action in this M&C will amend the FY2024-2028 Capital Improvement
Program as approved in connection with Ordinance 26453-09-2023.
DVIN-BE: Jackson Construction, LTD is in compliance with the City's Business Equity Ordinance by committing 5% MWBE participation and
documenting a good faith effort. Jackson Construction identified several subcontracting and supplier opportunities. However, the firms contacted
in the areas identified did not respond or did not submit the lowest bids. The City's MWBE goal on this project is 16%.
The Project is located in COUNCIL DISTRICT 5.
FISCAL. INFORMATION ! CERTIFICATION:
The Director of Finance certifies the funds are currently available in the Commercial Paper project within the W&S Commercial Paper Fund and in
the Heritage Trace Pkwy 1 project within the 2022 Bond Program Fund and upon approval of the above recommendations and adoption of the
attached appropriation ordinances, funds will be available in the current capital budget, as appropriated, in the W & S Commercial Paper Fund
and 2022 Bond Program Fund for the Trinity Boulevard Phase 2 project. Prior to expenditures being incurred, the Transportation & Public Works
Department has the responsibility to validate the availability of funds.
Submitted for Ci Manager's Office by: Jesica McEachem 5806
Orlainatinq Business Unit -Head-, Lauren Prieur 6035
Additional Information Contact: Monty Hall 8662
Expedited