HomeMy WebLinkAboutOrdinance 27024-06-2024Ordinance No. 27024-06-2024
AN ORDINANCE ADJUSTING APPROPRIATIONS IN THE WATER AND
SEWER COMMERCIAL PAPER FUND BY INCREASING APPROPRIATIONS IN
CFA BUCKET PROJECT (CITY PROJECT NO. P00001) IN THE AMOUNT OF
$9,932,489.00 AND DECREASING APPROPRIATIONS IN THE W&S
COMMERCIAL PAPER PROJECT (CITY PROJECT NO. UCMLPR) BY THE
SAME AMOUNT; 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 the budget of the City of Fort Worth for Fiscal Year 2023-2024, as enacted by Ordinance 26453-09-
2023, as amended, is hereby further amended to make the following adjustments in the Water and Sewer
Commercial Paper Fund by increasing appropriations in the CFA Bucket project (City Project No. P00001)
in the amount of $9,932,489.00 and decreasing appropriations in the W&S Commercial Paper project (City
Project No. UCMLPR) by the same amount.
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 shall be cumulative of Ordinance 26453-09-2023 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said prior ordinances and appropriations are hereby expressly repealed.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: CITY SECRETARY
Douglas Black (1ul 9, 2024 15:20 COT)
Assistant City Attorney
ADOPTED AND EFFECTIVE: June 25, 2024
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Jannette S. Goodall
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MAYOR AND COUNCIL COMMUNICATION
60SSM295M329 U 123-CI RC LEC
City of Fort Worth, Texas
Mayor and Council Communication
DATE: 06/25124 M&C FILE NUMBER: M&C 24-0608
LOG NAME: 60SSM295M329U123-C[RCLEC
SUBJECT
(CD 8) Authorize Execution of a Contract with William J. Schultz, Inc. dba Circle C Construction Company, in the Amount of $14,438,269.50 for
Sanitary Sewer Interceptor Improvements M-295 and M-329, Adopt Attached Resolution Expressing Official Intent to Reimburse Expenditures with
Proceeds of Future Debt, and Adopt Attached Appropriation Ordinance to Effect a Portion of Water's Contribution to the Fiscal Years 2024-2028
Capital Improvement Program
RECOMMENDATION:
It is recommended that the City Council:
1. Authorize execution of a contract with William J. Schultz, Inc. dba Circle C Construction Company, in the amount of $14,438,269.50 for CFA-
Sanitary Sewer Interceptor Improvements M 295 and M-329 (City project No.102152);
2. Adopt the attached resolution expressing official intent to reimburse expenditures with proceeds from future debt for the Sanitary Sewer
Interceptor Improvements M-295 and M-329 Units 1, 2 and 3; and
3. Adopt the attached appropriation ordinance adjusting appropriations in the Water & Sewer Commercial Paper Fund by increasing
appropriations in the CFA Bucket project (City Project No. P00001) in the amount of $9,932,489.00 and decreasing appropriations in the
Water & Sewer Commercial Paper (City Project No. UCMLPR) by the same amount for the purpose of funding CFA-S.S. Mains M-295 and
M-329 project (City Project No. 102152) and to affect a portion of Water's Contribution to the Fiscal Years 2024-2028 Capital Improvement
Program.
DISCUSSION:
This project was initially being constructed pursuant to a community facilities agreement between the City and Legends of Hanna Ranch, Ltd.
(Developer), City Secretary Contract Number 55841. The contractor abandoned the project and the surety refused to perform pursuant to the
performance bond. The City and Developer have sued the original contractor and the surety. The project was rebid and will be completed as a
capital project. The City will fund the costs for completion of the project and seek reimbursement from the Developer and/or the surety for the
Developer's share of the project costs pursuant to an amendment to the Community Facilities Agreement. The amount of $5,407,718.88
remains appropriated for the projects construction and will be utilized to partially fund this contract.
The project was advertised for bid on April 24, 2024 and May 2, 2024, in the Fort Worth Star -Telegram. On May 23, 2024, the following bids were
received:
II
Contract
Bidder
( Total Bid
j
u Time
400
William J. Schultz, Inc. dba Circe C
$14,438,269.50
Calendar
Construction Company
Days
In addition to the contract cast, $613,172.50 is required for staff costs including project management material testing and inspection
and $288,765.00 is provided for project contingency.
This project will have no impact on the Water Departments 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 C[P 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 Mayor & Council
Communication will amend the City of Fort Worth's Fiscal Year 2024-2028 Capital Improvement Program as follows:
60SSM295M329U123-CIRCLEC
Name
Project
Name
FY2024 CIP
Appropriations
Authority
Budget Change
(Increase/Decrease)
Revised
FY2023
Budgot
102152
56023 -
— CFA-
W&S
S.S.
Commercial
Mains
$0.00
This M&C
$9,932,489.00
$9,932,489.00
Paper
M-295
and M-
329
Funding will be budgeted in the UCMLPR project within the Commercial Paper Fund for the purpose of funding the CFA S.S. Mains M-295 and M-
329 project, after the sale of Water and Sewer.Bonds.
Funding for the CFA S.S. Mains M-295 and M-329 project is depicted below:
Existing
Additional 11
FUND
AppropriationsJ
Appropriations
Project Total*
Gvt Community
Facilities Agmt —
$14,000.00
$0.00
$14,000.00
Fund 30111
CFA Developer—
Fund 30114
$69,537.23
$0.00
$69,537.23
Water/Sewer Bond
2016Fund
$167,341.00
$0.00I
$167,341.00
5
W&S Community
Facilities Agmt--
$16,502.34
$0.00,
$16,502.34
Fund 56008
Water & Sewer
Bond 2020A—
$1,329,602.00
$0.001
$1,329,602.00
Fund 56017
W&S Rev Bonds
Series 2022 --
$8,711,004.00
40.00
$8,711,004.00
Fund 56020
W&S Commercial
i
Paper -Fund
$0.00',
$9,932,489.001
$9,932,489.00
56023
Project Total
$10,307,986.57
$9,932,489.00
$20,240,475.57
*Numbers rounded for presentation purposes.
Business Equity -- The Business Equity Division placed a 22% business equity goal on this solicitation/ contract. William J. Schultz, Inc. DBA
Circle C Construction Company, has agreed) committed to utilize 22% business equity sub -consultant participation for the scope of work, meeting
the City's Ordinance. Any changes in'subcontractors will be reviewed by the Business Equity Division.
The project is located in COUNCIL DISTRICT 8.
FISCAL INFORMATION 1 CERTIFICATION:
The Director of Finance certifies that funds will be available after the sale of Water and Sewer Bonds in the UCMLPR 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 CFA-S.S. Mains M-295 and M-329 project to support the execution of the amendment to the
engineering contract and the construction contract. Prior to an expenditure being incurred, the Water Department has the responsibility of verifying
the availability of funds. The Water Department (and Financial Management Services) is responsible for the collection and deposit of funds due to
the City.
Submitted for City
Manager's Office by:
Fernando Costa
6122
Oriainatina Business
Unit Head:
Chris Harder
5020
Additional Information Contact: Walter Norwood 5026