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HomeMy WebLinkAboutOrdinance 26847-04-2024ORDINANCE NO.26847-04-2024 AN ORDINANCE AMENDING THE FISCAL YEAR 2023-2024 BUDGET AND FIVE- YEAR SERVICE PLAN FOR PUBLIC IMPROVEMENT DISTRICT NO. 7 — HERITAGE; MAKING THIS ORDINANCE CUMULATIVE OF ALL OTHER ORDINANCES; PROVIDING FOR A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the Public Improvement District Assessment Act, Chapter 372 of the Texas Local Government Code ("Act"), aIlows for the creation of public improvement districts; WHEREAS, on September 26, 2000, the City Council of the City of Fort Worth ("City Council") authorized the establishment of Public Improvement District No. 7 — Heritage ("District"), as a public improvement district in accordance with the Act and Resolution No. 2675; WHEREAS, on September 12, 2023, the City Council adopted Ordinance No. 26427-09-2023, approving the fiscal year 2023-2024 budget, five-year service plan, assessment plan, and tax year 2023, assessment roll for the District; WHEREAS, the City Council desires to amend the fiscal year 2023-2024 budget and five-year service plan ("Amended Service Plan"), which is attached hereto as Exhibit A and incorporated herein for all purposes; WHEREAS, the Amended Service Plan is intended to supersede the Service PIan set out in Ordinance No. 26427-09-2023; and WHEREAS, the Amended Service Plan will not affect the previously adopted Assessment PIan or Assessment Roll. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH, TEXAS THAT: SECTION 1. The Recitals and findings listed above are true and correct and form the basis upon which this Ordinance is being adopted and are incorporated herein by reference. SECTION 2. The City Council hereby approves and adopts the Amended Service Plan for fiscal year 2023-2024. In doing so, the City Council finds that the supplemental services and improvements set forth in the Service Plan are feasible and advisable and will serve the needs and desires of the property owners in the District. SECTION 3. 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 shall remain in full force and effect. SECTION 4. This Ordinance is cumulative of 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 Ordinance No. 26847-04-2024 Page 1 of 3 hereby expressly repealed. SECTION 5. The City Secretary is directed to cause a copy of this Ordinance to be recorded in the real property records of Tarrant County, Texas no later than the seventh (7') day after the adopted date of this Ordinance, SECTION 6. This Ordinance takes effect and will be in full force and effect from and after the date of its passage. AND IT IS SO ORDAINED. APPROVED AS TO FORM AND LEGALITY: -- - ALL Nico Arias (Apr 29, 2024 09:33 CDT) Nico Arias, Assistant City Attorney M&C: 26847-04-2024 Adopted and Effective: April 23, 2024 ATTEST: Cef Gonzates 2/20212:0 0 Jannette S. Goodall, City Secretary ' C 00 � 0OpOOp pko° F7 Do° 0 o° �( * 00000C Ordinance No. 26847-04-2024 Page 2 of 3 EXHIBIT A AMENDED SERVICE PLAN City of Fort Worth Fire Year Service Plan FY24-FY28 {Midyear Adjustment) Public Improvement Okstrict No. 7 - Heritage FY29124 FY24/25 FY25126 FY26f27 FY27128 REVENUES PM Assessments $ 2.020.700 S 2.061,114 $ 2.122,947 S 2,186,636 $ 2.252,235 COfW Payment ,n I,eu of Sererrces $ 206.392 $ 206,392 $ 206,592 S 206,392 $ 206.192 COFW Assessment $ 18,473 5 18,473 $ 18,473 $ 18,473 $ 18,473 70tat B,[ddered Revenw, $ 2,24S,565 $ 2,245,979 $ 4947,832 $ 2,411,501 $ 2,477,100 Use of Fund Ealance $ 198,929 $ - $ - $ . $ - TotalFundsAvailableforuse $ 2,444,483 $ 2,28S,979 $ 2,347,812 $ 2,411,501 $ 2,477,100 EXPENSES Prior Year Adjustment $ 101.02- UNRses S 266.915 $ 289,591 5 295,385 $ 501,293 $ 307,513 1.3n41[smpbsLrtree Maintenance 5 1.234,408 5 1,035,226 5 1,072.115 $ 1,110,3S9 $ 1.150.005 Common Area Maintenance S 246,500 $ 158,100 $ 161,262 S 164.497 $ 167,777 Holihv tlghting $ 43203 $ 49,167 $ S0,250 $ 51,153 S 52,176 Seturrty Enhancements $ ]00.500 $ 102,510 S 104r60 $ 106,fiS1 S 108,784 Advertaing 5 500 S 500 $ 500 $ S00 $ SOD Public Everts $ 67,5SC 5 69,932 $ 71.351 $ 72.757 $ 74,212 Capital Improvements 5 53,000 $ 243,661 $ 253634 $ 258,707 $ 263.281 Management Fee $ 141,000 $ 143,R20 $ 146,696 $ 149.630 $ 152,623 0" Administrative Fee $ 44,570 $ 45,490 $ 46,400 $ 47,328 $ 48,274 Annuat Re%lkv 5 3,0W 5 3,000 $ 3,OW $ 31000 $ 3.000 $uopin-1 PcrCnnel $ 157,23s $ 139,980 $ 142.779 $ 145,635 5 148,S48 Total Oudgebed Expenses $ 2,444,"3 $ 2,235,979 5 2,347,612 j 4411,501 $ 2.477,100 Co bd utian to fund Balance - - - - Total [apcnses $ 2,444,493 $ 2,285,979 2,547,912 2,411 501 § 2,477,100 Net Change 9[ Fund Balance $ (198,910) $ 0 $ 0 $ 0 $ 0 Eeginning fund Balance, (Effwted Yrs 2-5) $ 766,710 $ 567,792 5 567,792 S 567.792 S 567.793 E%Um -t d Fund Balance. End of Year $ 567,792 S 567,792 S 567,792 $ 567,791 S 567,793 Reserve Requlrament $ 381,071 $ 391.380 5 431997 5 412.933 $ 412.933 Over Juridul Reserve 5 186,729 S 176,412 $ 165,795 $ 154.860 $ 154,860 'FY2024 Assessment Rate - $.150 Residential) 5.110 Comore, [ial The total budgeted costs of the improvements and services for the District for fiscal year 2023-2024 are $2,444,483.00. Of this amount, $2,020,700.00 will be funded by assessments collected on privately -owned parcels located in the District. The remainder of the costs will be funded by other revenue sources, including: • $206,392.00 in direct payments from the City for payment in lieu of services, which was appropriated from the General Fund balance by City Council action on September 12, 2023, and by this amendment; and • $18,473.00 in direct payments from the City for payment in lieu of assessments, which was appropriated from the General Fund balance by City Council action on September 12, 2023, and by this amendment; and • $198,918.00 transferred from the unaudited, unassigned fund balance by City council on September 12, 2023, and by this amendment, Ordinance No. 26847-04-2024 Page 3 of 3 City of Fort Worth, Mayor and DATE: 04/23/24 Texas Council Communication KOIH ► I_1Mi[r7�LI�Y7ull�'1�s1:»'f�! M&C FILE NUMBER: M&C 24-0326 SUBJECT (CD 4 and CD 10) Adopt Ordinance Amending the Fiscal Year 2023 2024 Budget and Five -Year Service Plan for Public Improvement District 7 -- Heritage and Adopt Appropriation Ordinances RECOMMENDATION: it is recommended that the City Council: 1. Adopt the attached ordinance amending the Fiscal Year 2023-2024 Budget and Five -Year Service Plan for Public Improvement District 7 — Heritage to reflect amendments associated with a mid -year review and direct the City Secretary to record the same in the real property records of Tarrant County, Texas no later than the seventh (7rh) day after adoption by the City Council; 2. Adopt the attached appropriation ordinance adjusting appropriations in the Fort Worth Public Improvement District 7 - Heritage Fund in the amount of $15,296.00, transferred from available funds from the Park and Recreation Department General Fund, for purpose of funding Payment In -Lieu of Services; and 3. Adopt the attached appropriation ordinance increasing estimated receipts and appropriations in the Fort Worth Public Improvement District 7 - Heritage Fund 1) in the amount of $133,968.00, in Fiscal Year 2023-2024, from available, unreserved fund balance, and 2) in the amount of $1,757.00, transferred from the General Fund for the Economic Development Department, for purpose of funding Payment In -Lieu of Assessments. DISCUSSION: The City of Fort Worth's Department of Economic Development administers the City's Public Improvement Districts (PIDs). The City's PID Policy outlines the need to proactively work with the City's PID management companies to oversee the services being provided within each of the PIDs. PID 7 — Heritage (Heritage PID) is managed by FirstService Residential Texas PID, LLC (FirstService). On September 12, 2023, City Council adopted Ordinance No. 26427-09-2023, approving the Fiscal Year (FY) 2023-2024 Budget, Five -Year Service Plan, Assessment Plan, and Tax Year 2023 Assessment Roll for the Heritage PID. After conducting a mid -year review of the Heritage PID's budget, City staff and FirstService have identified the need to increase Heritage PID's budget by $151,021.00 to account for 1) $15,296.00 of additional payment in -lieu of services 2) $1,757.00 of additional City payment in -lieu of assessments, and 3) $133,968.00 use of fund balance. Expenditure adjustments can be primarily attributable to increases in landscaping, common area maintenance, and prioryear budget adjustments. These projects encompass irrigation repairs and creek and lake cleanout. Decreases in utilities, capital improvements, and City administrative fees are also part of the adjustments, primarily resulting from reallocation to accommodate increased expenditures and rectify prior year administrative fees. Two line items listed on the Five -Year Service Plan require a transfer of City funds: (1) the City Payment in -Lieu of Services and (2) the City of Fort Worth Assessment. The City's Payment In -Lieu of Services is a supplement to the Heritage PID budget and intended to provide for the standard level of improvements and services as comparable to what would be provided by the City for the taxpayers generally. The City of Fort Worth Assessment is an allocation to the PID budget for assessments the City would pay on City -owned properties in the Heritage PID, if the City was not a tax-exempt entity. Revenue Adjustments: Line Items to Previously Recommended Amended be Adjusted Approved FY24 Mid Year FY24 Budget Budget Item Adjustment Item PID Assessments $2,020,700.00 $0.00 $2,020.700.00 COFW Payment in lieu $191,096.00 $15,296.00 $206,392.00 of Services COFW Assessment $16,716.00 $1,757.00 $18,473.00 LBalanceund $64,950.00 $133,968.001 $198,918.00 Totals $2,293,462.00 $151,021.00 $2,444,483.00 Expenditure Adjustments: Lines Items Previously Recommended Amended to be Approved FY24 Mid -Year FY24 Budget Adjusted Budget item Adjustment Item Prior Year Adjustment $0.00 $101,072.00 $1Q1,072.00 Utilities $283,915.00 ($17,000.OD)� $26fi,915.00 Landscaping $1.067,329.00 $167,079.001$1,234,408.00 Common Area $155,000.00 $91,500.00 $246,500.00 Maintenance City Admin Fee 00 $45,869. ($1,299.00) $44,570.00 Capital improvements $243,331.00 ($190,331.00) $53,000.00 Totals $1,795,444.00E $151,021.0011$1,946,465.00 All other previously approved line items not mentioned above remain the same. Upon approval of the above recommendations, the total budgeted expenses for FY 2023-2024 will be $2,444,483.00. This mid -year budget adjustment will decrease the unaudited, unassigned fund balance by a total of $133,968.00. The revised Budget and Five -Year Service Plan will take effect upon approval by City Council. The City and FirstService will amend the existing management contract to reflect the mid -year adjustments (City Secretary Contract No. 60311). Funding is available for appropriation in the fund balance of the FWPID#7 - Heritage Fund. The beginning balance is $1,815,888.07, after this M&C, available balance will be $1,681,920.07. The Heritage PID is located in COUNCIL DISTRICTS 4 & 10. 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 attached appropriation ordinances, funds will be available in the current operating budget, as appropriated, in the FWPID #7 - Heritage Fund. Prior to any expenditure being incurred, the Economic Development Department has the responsibility to validate the availability of funds. Submittecifor City_Manager's Office b William Johnson 5806 OriainatinciBuslness_Unit Head: Robert Stums 2663 Additional nformation Contact: Lacey Ruiz 2608 Expedited