HomeMy WebLinkAboutResolution 6020-11-2024A Resolution
NO.6020-11-2024
STATEMENT EXPRESSING
OFFICIAL INTENT TO REIMBURSE
EXPENDITURES WITH PROCEEDS OF FUTURE DEBT FOR THE TRINITY
RIVER VISION PHASE 1
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 and the Tarrant Regional Water District ("TRWD") are
coordinating on the Army Corps of Engineers' Central City Flood Control Project, with
the City advancing costs for certain ancillary subprojects such as the relocation of existing
water and sewer infrastructure and TRWD reimbursing such costs in annual installments
correlating to costs of work within that year; and
WHEREAS, the City wishes to retain the ability debt -finance costs of these
subprojects to the extent they are debt -eligible and not otherwise reimbursed by TRWD; and
WHEREAS, expects to pay expenditures from available funds in connection with the
design, planning, acquisition and construction for the Trinity River Vision Phase 1 Project
(the "Project") prior to the issuance of obligations by the City that may finance some or all
of the costs of the Project; and
WHEREAS, the City finds, considers, and declares that the reimbursement of the
City from proceeds of obligation 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:
r
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
$300,000.00 for the purpose of paying eligible costs, including some or all of 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 12`t' day of November 2024.
ATTEST:
By: U
Jannette S. Goodall, City Secretary
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MAYOR AND COUNCIL COMMUNICATION
60WMFWCC GRAND AVE CONSTRUCTIONCO2WATER-SJL
City of Fort worth, Texas
Mayor and Council Communication
DATE: 11/12/24 M&C FILE NUMBER: M&C 24-1003
LOG NAME: 60SWM FWCC GRAND AVE CONSTRUCTIONC03WATER-SJL
SUBJECT
(CD 2) Authorize Execution of Change Order No. 3 in the Amount $253,192.00 to a Contract with S.J. Louis Construction of Texas, LTD, for the Trinity River
Vision, Phase 1 Project, Adopt 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 2025-2029 Capital improvement Program
RECOMMENDATION:
It is recommended that the City Council:
1. Authorize execution of Change Order No. 3 in the amount of $253,192.00 to City Secretary No. 59320, a contract with S.J. Louis Construction of Texas,
LTD, for the Trinity River Vision, Phase 1 project for sanitary sewer improvements projects on N. Commerce, N. Calhoun, & N.E. 10th streets for a
revised contract amount of $23,003,276.50;
2. Adopt the attached resolution expressing official intent to reimburse expenditures with proceeds from future debt and/or annual payments from the
Tarrant Regional Water District for the Fort Worth Central City Water & Sewer Relocations project; and
3. Adopt the attached appropriation ordinance adjusting appropriations in the Water & Sewer Commercial Paper Fund by increasing appropriations in
the Trinity River Vision Phase 1 project (City Project No. C00969) in the amount of $253,192.00, and decreasing appropriations in the Commercial
Paper Fund (City Project No. UCMLPR) by the same amount to effect a portion of Water's contribution to the Fiscal Years 2026-2029 Capital
Improvement Program.
DISCUSSION:
On April 25th, 2023 by Mayor and Council Communication (M&C) 23-0321, the City Council authorized a construction contract with S.J. Louis Construction of
Texas, LTD in the amount of $22,750,084.50 for Fort Worth Central City Grand Avenue Phase 2 Part 2 and Fort Worth Central City Grand Avenue Phase 2
Part 3 & Trinity River Vision, Phase 1. The contract was subsequently revised by Change Order No. 1 with a net total amount of $0.00 administratively
authorized on April 5, 2024 that provided for swapping out a discontinued manufactured stormceptor model that was called for at the time of bid opening with
a newer model and Change Order No. 2 with a net total of $0.00 administratively authorized September 3, 2024 that provided an additional 180 calendar
days on the project for multiple revisions to the USACE package submittal which delayed the construction start time of the project.
Change Order No. 3 in the amount of $253,192.00 (Water $206,792.00, Sewer$46,400.00) will provide pay items quantities for the following that are
necessary on the project: The relocation of an existing 6-inch water main on Calhoun Street that was found in direct conflict with a project storm drain box
culvert, and other than open cut installation to install a 40 foot segment of a 124nch project sewer main across an AT&T Manhole.
This project is anticipated to be repaid from a series of annuat reimbursements from the Tarrant Regional Water District (TRWD) as part of the Fort Worth
Central City Water & Sewer Relocations project. In the event any bond -eligible costs are not fully reimbursed by TRWD, those costs would be 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 the
debt is issued. Once payment is received from TRWD and/or debt associated with the unreimbursed portions of this project is sold, those funds 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 GIP plan throughout the Fiscal Year, 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 2025-2029 Capital Improvement Program.
Appropriations for the Trinity River Vision Phase 1 project is depicted below:
Budget
Budget
Change
c �
Change
Budget Change (InciDec)
Revised
Capital
P
Project
1
FY2025 CIP
Authority
60WATER
0WAT
(IncfDec)
60SWM FWCC GRAND AVE
FY2025
Fund Name
Name
,Appropriations
FY2023 AND
60WSSRFWCC
CONSTRUCTIONCO2WATER-
FW2024
S1910001-
SJL
Budget
FWCC REIMB
CIRCLE C
56002-
C00969
Water &
Sewer
-- Trinity
River
M&C 60WATER FY2023
Capital
Vision,
$0.00
AND FY2024 FWCC REIMB
$8,466,851.96
$0.00
$0.00
$8,466,851.96
Projects
Phase
Recom #3
Fund
1
r--Tw&ss-C
60$0
RFWCCS1P10C01-
$0.00
($22,629,00)
$0.00
($22,629.00)
CIRCLE C
C00969;
56005-
Trinity:
M&C 60WATER FY2023
Water/Sewer:Ri
$0.00
AND FY2024 FWCC REIMB
($880,824.03)
$0.00
$0.00
($880,824 .03)
Bond 2016
Vision,iasio
n,
phase
Recom #5
1
_
M&C 60WATER FY2023
$0.00
AND FY2024 FWCC REIMB
($3,865,117.59)
$0.00
$0.00
($3,865,117.59)`
Recom #5
M&C 60
$0.00
WSSRFWCCS1P10C01-
$0.00
($245,930.86)
$0.00
($245,930.86)
CIRCLE C
C00969
56007 -
-Trinity
i
M&C 60WATER FY2023
Water&
Sewer Bond
River
Vision,
$0.00
AND FY2024 FWCC REIMB
($2,249,571.96)
$0.00
$0.00
($2,249,571.96)
2015A
Phase
Recom #6
1IL
M&C 60
$0.00
WSSRFWCCS1P10C01-
$0,00
($1,083,136.00)
$0.00
($1,083,136.00)
CIRCLE C
56019 -
M&C 60
W&S Rev
$0.00
WSSRFWCCSI P10001-
$0.00
($443,312.00)
$0.00
($443,312.00)
Bonds
CIRCLE C
Series 2021
56020-W&S
M&C 60
Rev Bonds
$0.00
WSSRFWCCSI P10001-
$0.00
($407,022.00)
$0.00
($407,022.00)
Series 2022
CIRCLE C
�C00969
-Trinity
56023 -
River
M&C 60WATER FY2023
Commercial
$0.00
AND FY2024 FWCC REIMB
$0.00
$0.00
($777,632.61 )
Paper
Vision,($777,632.61)
;Phase
Recom #4
�1
M&C 60
i
$0.00
WSSRFWCCS1 P10001-
$0.00
$2,698,901.65
$0,00
$2,698,901.65
CIRCLE C
60SWM FWCC GRAND AVE
$0.00
CONSTRUCTIONCO2WATER-
$0.00
$0.00
$253.192.00
$253,192.00
SJL
coo969•
59601 -
Trinity
M&C 60WATER FY2023
Water
River
Vision,
i $0.00
AND FY2024 FWCC REIMB
($7,750.00)
$0.00
$0.00
($7,750.00)
Capital
Phase
Reoom #7
1
C00969
59607 -
-Trinity
Sewer
River
M&C 60WATER FY2023
Capital
Vision
$0.00
AND FY2024 FWCC REIMB
($37,274.00)
$0.00
$0.00
($37,274.00)
Legacy
,
Phase
Recom #8
1
M&C 60WATER FY2023
$0.00
AND FY2024 FWCC REIMB
($571,599.21)
$0.00
$0.00
($571,599.21)'
Recom #8
M&C 60
$0.00
WSSRFWCCS1P10C01-
$0.00
($31,608.79)
$0.00
($31,608.79)
CIRCLE C
$77,082.5611
$465,263.0011
$253,192.00E$795,53E7561
Funding for the Trinity River Vision, Phase I project is depicted below:
60WATER
60WSSRFWCC
60SWM FWCC
Current
Funding
FY2023
SIP10C01-
GRAND AVE
Total Funding
AND FY2024
CIRCLEC
CONSTRUCTION
FWCC REIMB
CO2WATERSJL
56002 W&S
Capital 1
$2,457.887.001
$8,466,851.96
$(22,629.00)
$0.00
1 $10,902,109.96
Projects
I
�I
56005
Water/Sewer
$6,855,400.00
$(4,745,941.62)
$(245,930.86)
$0.00
$1,863,527.52
Bond 2016
56007 Water
& Sewer
$6,167,422.45
$(2,249,571.96)
$(1,083,136.00)
$0.00
$2,834,714.49
Bond 2015A
56019 W&S
Rev Bonds
$443,312.00
$0.00
$(443,312.00)
$0.00
$0,00
Series 2021
56020 W&S
Rev Bonds
$407,022.00
$0.00
$(407,022.00)
$0.00
$0.00
Series 2022
56023 W&S
Commercial
$1.518,400.00
$(777,632.61)
$2,698,901.65
$253,192.00
$3,692,861.04
Paper
39007
Specially
Funded
$5.852,657.94
$0.00
$0.00
$0.00
$5,852,657.94
Projects
596
pi�Water
$14,404,708.40
$(7,750.00)
$0.00
$0.00�
$14,396.958.40
59607
Sewer
Capital
$7,769,673.12
$(608,873.21)
$(31,608.79)
$0.00
$7,129,191.12
Legacy
$45,876,482.91E
$77,082.56
$465,263.00I
$253,192.00
$46,672,020.47
A portion of the water line in the amount of $206,792.00 of this Change Order is considered Trinity River Visions (TR1O-relocated work. The sanitary sewer
$46,400.00 amount of this Change Order is considered (TRV)-relocated work, are eligible for funding from Tax Increment Reinvestment Zone No. 9 (TRVA
TIF) pursuant to the TRVA Project Plan. Having met its $26.6 million commitment to the TRV Project, the City will be reimbursed the water line amount of
$206,792.00 and the sanitary sewer amount of $46,400.00 by Tarrant Regional Water District (TRWD) on an annual basis, in accordance with provisions of
the executed Interlocal Agreement between the City and the TRWD (City Secretary Contract No. 43425 as amended). The TRV Program Manager in the FW
Lab Department will be responsible for collecting the full reimbursement from TRWD at the end of each Fiscal Year.
Business Equity — S.J. Louis Construction of Texas, LTD agrees to maintain its initial MMlBE commitment of 14 percent that it made on the original contract
and extend and maintain that same MJWBE commitment of 14 percent to all prior change orders up to and inclusive of this Change Order No. 3. Therefore
S.J. Louis Construction of Texas, LTD remains in compliance with the City's MANBE Ordinance and attests to its commitment by signature on the
Acceptance of Previous MIWBE Commitment form executed by an authorized representative of its company.
This project is located in COUNCIL DISTRICT 2.
FISCAL INFORMATION / CERTIFICATION:
The Director of Finance certifies that funds are currently available in the 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 Trinity River Vision, Phase 1, project to support the approval of the above recommendations and execution of the change order. Prior to any
expenditure being incurred, the Water Department has the responsibility to validate the availability of funds.
Submitted for City Manager's Office W. William Johnson 5806
OriginatingBusinessUnit Head:, Chris Harder 5020
Additional Information Contact: Liam Conlon 6824