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HomeMy WebLinkAboutOrdinance 27578-04-2025ORDINANCE NO.27578-04-2025 AN ORDINANCE AMENDING THE FISCAL YEAR 2024-2025 BUDGET AND FIVE- YEAR SERVICE PLAN FOR PUBLIC IMPROVEMENT DISTRICT NO. 1 — DOWNTOWN; 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"), allows for the creation of public improvement districts; WHEREAS, on June 23,2009, the City Council of the City of Fort Worth ("City Council") authorized the re-establishment of Public Improvement District No. 1 — Downtown ("District"), as a public improvement district in accordance with the Act and Resolution No. 3756-06-2009; WHEREAS, on September I7, 2024, the City Council adopted Ordinance No. 27156-09-2024, approving the fiscal year 2024-2025 budget, rive -year service plan, assessment plan, and tax year 2024 assessment roll for the District; 'Y WHEREAS, the City Council desires to amend the fiscal year 3024-2025 budget and five-year service plan ("Amended Service Plan'), which is attached hereto as ExhibiYA,a4d incorpotatedberein for all purposes; WHEREAS, the Amended Service PIan is intended to super's' b the Service Plan set out in Ordinance No. 27156-09-2024; and WHEREAS, the Amended Service PIan will not affect the previously adopted Assessment Plan 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 2024-2025. 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. fyKQJ_111�&31 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. Page of 3 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 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: L&n CoGGl W ar Cn11ms (Apr 10m )j)5 7 5-1 R CDT) Larry Collister, Sr. Assistant City Attorney M&C: 25-0364 Adopted and Effective: April 22, 2025 ATTEST: Jannette S. Goodall, City Secretary Ordinance No. 27578-04-2025 Page 2 of 3 �� i'i f ��,���''� - ',war EXHIBIT A AMENDED SERVICE PLAN FORCity ic of Fort YWorth 24- �illll Five Year Service Plan FY 2�-25 - FY28.29 Public Improve men! Mstricl No. I -Fart Woolh FIVE YEAR SERVICE PLAN *IID•YR FY24J25 FY2St26 FY26M FY27r28 MI129 REVENUES P0 Asse3amentE' $ 3 W1,274 $ 3,061299 $3,122,525 $3.184.976 43.248.675 COFW Assessment 366,646 366346 386,346 366.346 366.346 COFW Payment in lieu of Sardcea 177 318 177,318 1"'318 177.318 1717,315 PM Generated Rerenue 9O.OW WOW 90,000 90.000 DO.000 Total Budgeted Revenues S 3,630,236 S 3104,663 15 mIll68 $ 3,918 639 S 3,UZ339 Use a4 Furd Balance - - - - Total Revenues 5 3163S,ri6 $ 3„694,963 S 3,756,166 $ 3.914,639 S 3,612,334 EXPENSES M+ agement Fee $ 593,75D $ 6Drs,625 3 635,906 S 067.7u S 701,06? utilities IzS00 10,000 13,0W 14,DOO 15,Wo Lands:agirg 125.00D 200.O G t4o'wo 200.OW 2D0,031) A4ainiena,ce S Operatiars 1 314,W 1,2110,000 130D,000 1.330,000 1.433.000 Tree Lights W.001) 30,000 30,000 30,00D ID0,006 Soc:nity 13200 10,700 11,981 12.220 12,220 Anbarsads, Prcgma WA.00D 659,940 673,139 68b.602 ?DO,334 NeAsletter 9.000 10,000 10.000 19.000 10,000 MarRatng 6 Research, 52D2W 470200 493.710 500.D00 550,000 Transportation S Planning 222,100 207,100 217,455 228.328 239,744 City Audit 3.oW 3,000 3,OW 3 6AD 3,000 City Admn;svatne fee 72.261 73,899 75.124 76.373 77,647 Total Budgeted Expenses 3 3.604.888 S 3.560.464 $ 3,603,315 $ 3,TS41.224 $ 4.039,031 Cs,Anbutoon to Fund Balance S 25150 S 134.499 $ 152,97A S 60415 S 1156,02) Total Expense $ 3,935.230 $ 3,694,963 $3.756.198 $ 3.818,639 $ 3,892,339 Net Chang* in Fund Balance S 25-350 6 134,40 3 152.674 $ 64,415 3 (156,02) Beginning Fund Balance. Eslmated rYn 2-5) 452,413 477.763 612,262 765.136 848,.297 Estimated Fuld Batarrce, End at Year 477,763 612,262 765.136 825.551 6101.605 Reserve Regvrenwoi 593,476 600.673 626_4% 673,306 673,306 Over (Undsrl Reserve 3 (115,713) $ 11,5" d 1 U.640 S 132,2" 6 1"" 'FY202S Assessment Rate = 3.13 The total budgeted costs of the improvements and services for the District for fiscal year 2024-2025 are $3,635,238.00, Of this amount, $3,001,274.00 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: 6 $177,318.00 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 17, 2024, and by this amendment; • $366,646.00 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 17, 2024, and by this amendment. • $90,000.00 in additional funds to be transferred from revenue generated by the PID. Ordinance No. 27578-04-2025 Page 3 of 3 City of Fort Worth, Texas Mayor and Council Communication DATE: 04/22/25 M&C FILE NUMBER: M&C 25-0364 LOG NAME: 17PID01 MIDYEAR FY25 SUBJECT (CD 9) Adopt Ordinance Amending the Public Improvement District 1 - Downtown Fiscal Year 2024-2025 Adopted Budget and Five -Year Service Plan and Adopt Appropriation Ordinances RECOMMENDATION: It is recommended that the City Council: 1. Adopt the attached ordinance amending Public Improvement District 1-Downtown Fiscal Year 2024-2025 Adopted Budget and Five -Year Service Plan for Public Improvement District 1-Downtown 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 (71h) day after adoption by the City Council; 2. Adopt the attached appropriation ordinance reallocating estimated receipts and appropriations in the Park & Recreation Department of the General Fund by decreasing appropriations in the General Operating & Maintenance category in the amount of $20,887.00, and increasing appropriations in the Transfers & Other category by the same amount, for the purpose of funding the Fort Worth Public Improvement District 1-Downtown Fund for the Payment In -Lieu of Services; 3. Adopt the attached appropriation ordinance reallocating estimated receipts and appropriations in the Economic Development Department of the General Fund by decreasing appropriations in the General Operating & Maintenance category in the amount of $300.00, and increasing appropriations in the Transfers & Other category by the same amount, for the purpose of funding the Fort Worth Public Improvement District 1-Downtown Fund for the Payment In -Lieu of Assessments; and 4. Adopt the attached appropriation ordinance increasing estimated receipts and appropriations in the Fort Worth Public Improvement District 1-Downtown Fund in the amount of $21,187.00,1) $20,887.00 transferred from Park and Recreation Department Wthin the General Fund for the purpose of funding Payment In -Lieu of Services and, 2) $300.00 transferred from the Economic Development Department within the General Fund, for purpose of funding Payment In -Lieu of Assessments. I•71a3 LlRMW`B 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 1 — Downtown (Downtown PID) is managed by Downtown Fort Worth Inc., (DFWi). On September 17, 2024, City Council adopted Ordinance No. 27156-09-2024, approving the Fiscal Year (FY) 2024-2025 Budget, Five -Year Service Plan, Assessment Plan, and Tax Year 2024 Assessment Roll for the Downtown PID. After conducting a mid -year review of the Downtown PID's budget, City staff and DFWI has identified the need to increase Downtown PID's (City of Fort Worth) allocations by $21,187.00 to account for 1) $20,887.00 of additional payment in -lieu of services and 2) $300.00 of additional City payment in -lieu of assessments. Expenditure adjustments are primarily attributable to increases in tree lights, fees for the ambassador lease for a storage unit to hold their equipment, marketing & research, and changes within the maintenance and operations umbrella, which include an increase in beautification and a decrease in street sweeping services. The decrease in street sweeping services is due to the Ambassadors now providing daily sidewalk cleaning. 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 (COFW) Assessment. The City's Payment [n-Lieu of Services is a supplement to the 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 payment in -lieu of Assessment is an allocation to the PID budget for assessments the City would pay on City -owned) properties in the Downtown PID, if the City was not a tax-exempt entity. Revenue Adjustments: Line Items to Previously Recommended Amended be Adjusted Approved Mid Year FY25 Budget FY25 Budget Item Adjustment item PID Assessments $3,001,274.00 $0.00 $3,001,274.00 COFW Payment in lieu $156,431.00 $20,887.00 $177,318.00 of Services COFW Assessment $366,346.00� I $300.00 $366,646.001 PID Generated $90,000.00 $0.00 $90,000.00 Revenue Totals $3,614,051.00 $21,187.00 $3,635,238.00 Expenditure Adjustments: Line Items Management Fee Previously Approved FY25 Budget Item $593,750.00 Recommended Mid -Year Adjustment $0,001 Amended FY25 Budget Item $593,750.00 Utilities $12,500.00 $0.00]1 $12,500.00 Landscaping $125,000.001 $0.00 $125,000.00 Maintenance&operations $1,330,970.00 ($16,113.00) $1,314,857.00 Tree Lights 1 $50,000.00 $10,000.00 1 $60,000.00 Security $13,2 0.0011 $0.00 $13,200.00 Ambassador Program $647,0 0.0011 $17,000.0Q $664,000.00 Newsletter $9,000.00 $0.00 $9,000.00 Marketing & Research $510,200.0011 $10,000.00 $5201200.00 Transportation & Planning 1 $222,100.00 $0.00 F $222,100.00 City Audit =J $3,000.0011 $0.001 01 City Administrative Fee =$72,281.00 $0.00 $72,281.00 Contribution to Fund Balance 1 50.00 $ 0-0.00 1 $25,350.00 Totals 1 $3,614,051.00 $21,187.00 $3,635,238.00 Upon approval of the above recommendations, the total budgeted expenses for FY 2024-2025 will be $3,635,238.00. The revised Budget and Five -Year Service Plan will take effect upon approval by City Council. The City and DFWI will amend the existing management contract to reflect the mid -year adjustments (City Secretary Contract No. 62237� The Downtown PID is located in COUNCIL DISTRICT 9. A Form 1295 is not required because: This M&C does not request approval of a contract with a business entity. FISCAL INFORMATION 1 CERTIFICATION: The Director of Finance certifies that funds are currently available in the General Fund and upon approval of the above recommendations and adoption of the attached appropriation ordinances, funds will be available in the FWPID #1 - Downtown Fund. Priorto an expenditure being incurred, the Economic Development Department has the responsibility of verifying the availability of funds. Submitted for City Marm er's Office b . ,lesica McEachem 5804 Originating Business Unit Head: Kevin Gunn 2015 Additional Information Contact: Crystal Hinojosa 7808 Expedited