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HomeMy WebLinkAboutContract 62188-A1CSC No. 62188-A1 FIRST AMENDMENT TO CITY SECRETARY CONTRACT NO. 62188, A MANAGEMENT AND IMPROVEMENT SERVICES AGREEMENT Fort Worth Public Improvement District No. 11(Stockvards) This FIRST AMENDMENT TO CITY SECRETARY CONTRACT NUMBER 62188 (First Amendment") is made and entered into by and between the CITY OF FORT WORTH (the "City"), a home -rule municipal corporation organized under the laws of the State of Texas, acting by and through its duly authorized Assistant City Manager, and FORT WORTH STOCKYARDS, INC, a Texas nonprofit corporation ("Contractor"), acting by and through its duly authorized representative. WHEREAS, the City and Contractor are parties to a Management and Improvement Services Agreement for Fort Worth Public Improvement District No. 11, the same being City Secretary Contract Number 62188 ("Agreement"); WHEREAS, Contractor identified a need to reallocate certain funds between budgeted line items; WHEREAS, on April 22, 2025, the City Council adopted an ordinance approving a revised Fiscal Year 2024-2025 budget and five-year service plan, taking into account the budgetary adjustments; WHEREAS, the parties wish to amend the Agreement to incorporate the revised budget and five- year service plan; and WHEREAS, the Parties desire to amend the Agreement to modify the insurance requirements under Section 13.1, to clarify the role of off -duty Fort Worth police officers in providing Security Services under the Agreement, and to remove Section 2.3(c). NOW, THEREFORE, for and in consideration of the mutual covenants, promises, and agreements contained herein, the City and Contractor do hereby covenant and agree to amend the Agreement as follows: 1. Exhibit A to the Agreement concerning the Budget and Service Plan for the District is replaced with, and superseded by, a new Exhibit A that is attached to this First Amendment, which is incorporated into the Agreement for all purposes. Section 13.1 of the Agreement is hereby amended by revising subsection (c) and adding a new subsection (d) to read as follows: (c) AUTOMOBILE INSURANCE — BODILY INJURY AND PROPERTY DAMAGE: Contractor must maintain comprehensive automobile liability coverage in an amount not less than $1,000,000 for each accident. This policy must cover any automobile used in the provision of Improvements and Services under this Agreement. (d) INSURANCE COVERAGE OF LAW ENFORCEMENT OFFICERS ACTING AS SECURTY PERSONNEL — If the Contractor hires off -duty police officers to act as security personnel as part of the Services herein, then Contractor agrees to provide general liability insurance coverage for the officers. When off -duty officers act in a law enforcement capacity, the officers will be covered under the City. OFFICIAL RECORD CITY SECRETARY FT. WORTH, TX First Amendment to CSC 62188 11 P a g e 2. Section 2.3(b) of the Agreement is hereby amended to read as follows: (b) If the Contractor employs, or engages a subcontractor to employ, off -duty Fort Worth police officers to provide Security Services, the Parties understand, acknowledge, and agree that, while performing Security Services for the Contractor or subcontractor, as applicable, under this Agreement, the off -duty officers are not considered employees of the City of Fort Worth, except as provided herein. The Contractor must direct, or ensure that the subcontractor directs, residents to call 911 in the event of an emergency. Off -duty Fort Worth police officers working for the Contractor or subcontractor, as applicable, may not answer calls for police service from Police Department dispatchers except in the event of a life -threatening emergency, in which case the off -duty officer shall be considered "on -duty" and working as an employee of the City of Fort Worth. If an off -duty officer becomes aware of a situation that requires immediate police action within the District, the officer may take appropriate action while notifying on -duty officers of the situation. Responsibility for the incident shall be transferred to an on -duty officer upon their arrival at the scene. Off -duty officers working within the Public Improvement Districts (PIDs) may perform all standard law enforcement functions except for the transportation of individuals to jail. While off -duty officers are authorized to make arrests, they must contact an on -duty officer to assume custody and complete the arrest process. Off -duty officers may issue General Complaint Citations; however, when engaged in a security capacity, such as store security, they are prohibited from issuing citations for offenses including, but not limited to, theft, assault, or possession of drug paraphernalia. In such instances, a patrol unit must be dispatched, and the responding on -duty officer shall determine whether to issue a citation or make a custodial arrest. If the Contractor employs or engages a subcontractor to employ off -duty Fort Worth police officers to provide Security Services, then the Contractor or subcontractor, as applicable, must use a City -prescribed and approved form for reimbursement. 3. Section 2.3(c) of the Agreement is hereby deleted in its entirety. 4. All terms of this First Amendment that are capitalized but not defined have the meanings assigned to them in the Agreement. 5. All terms and conditions of the Agreement that are not expressly amended pursuant to this First Amendment will remain in full force and effect. First Amendment to CSC 62188 2 1 P a g e IN WITNESS WHEREOF, the undersigned have caused this First Amendment to be executed in Fort Worth, Tarrant County, Texas. CITY OF FORT WO TH: By: Cva�� Jesica McEachern Assistant City Manager Date: 07/09/2025 FORT WO TH STOCKYARDS, INC a Texas nonprofit corporation By: Paul Paine President Date: 06/27/2025 CITY OF FORT WO TH INTERNAL ROUTING PROCESS: APPROVAL RECO NDED: Contract Compliance Manager: By signing, I acknowledge that I am the person responsible for the monitoring and administration of By: / this contract, including ensuring all performance and Name: Kevin Gunn reporting requirements. Title: Interim Economic Development Director By: �' Name: Crystal Hinojosa APPROVED AS TO FORM AND LEGALITY: Title: Economic Development Manager By. % qua,&" Name: Trey Qualls Title: Assistant City Attorney Contract Authorization: M&C: 24-0773 (September 17. 2024). 25-0371. 25- 0560 (Avril 22. 2025, and June 24, 2025) Form 1295: 2024-1180589 a4vaaan City Secretary: pp� FORtiyo9°° By:Name: Jannette S. Goodall Title: City Secretary °°oa 4Ilq .01 OFFICIAL RECORD CITY SECRETARY FT. WORTH, TX First Amendment to CSC 62188 3 1 P a g e Exhibit "A" City of Fort Worth Five Year Service Plan FY25 - FY29 Public Improvement District No. 11 - Stockyards MID -YEAR ADJUSTMENT 21nd Update FY24125 FY25f26 FY26127 FY27128 FY28129 REVENUES PID Assessments $ 444,145 $ 457,469 $ 471,193 $ 485,329 $ 499,889 City Payment in -lieu of Assessments $ 10,458 $ 9,149 $ 9,424 $ 9,707 $ 9,998 Budgeted Revenues $ 454,603 $ 466,619 $ 480,617 $ 495,036 $ 509,887 Use of Fund Balance $ 48,871 $ 7,794 $ 8,D28 $ 8,269 $ 8,517 Total Budgeted Revenues $ 503,474 $ 474,413 $ 488,645 $ 503,305 $ 518,404 EXPENSES Management Fee $ 90,676 $ 91,494 $ 94,239 $ 97,066 $ 99,978 Security S 211,000 $ 210,000 $ 220,D00 $ 220,000 $ 230,000 Maintenance 8 Operations S 147,706 $ 100,500 $ 110,D00 $ 115,000 $ 115,000 Public Events $ 10,000 $ 10,000 $ 10,D00 $ 10,000 $ 10,000 Capital Improvements S 1,000 $ 19,087 $ 6,794 $ 8,338 $ 10,228 Marketing S, Research (WebsitefNewsletter) S 31,000 $ 31,000 $ 35,D00 S 40,000 $ 40,000 City Audit Fee S 3,000 $ 3,000 $ 3,000 S 3,000 $ 3,000 City Administrative Fee $ 9,092 $ 9,332 $ 9,612 $ 9,901 $ 10,198 Total Budgeted Expenses $ 503,474 $ 474,413 $ 488,645 $ 503,305 $ 518,404 Net Change in Fund Balance S (48,871) $ (7,794) $ (8,028) S (8,269) $ (8,517) Beginning Fund Balance, Estimated (Yrs 2-5) $ 299,958 $ 251,087 $ 243,293 $ 235,265 $ 226,996 Estimated Fund Balance, End of Year $ 251,087 $ 243,293 $ 235,265 $ 226,996 $ 218,479 Reserve Requirement $ 79,085 $ 81,457 $ 83,901 $ 86,413 $ 86,418 Over (Under) Reserve $ 172,002 $ 161,836 $ 151,364 $ 140,578 $ 132,061 `FY2025 Assessment Rate = $.12 First Amendment to CSC 62188 4 1 P a g e City of Fort Worth, Texas Mayor and Council Communication DATE: 06/24/25 M&C FILE NUMBER: M&C 25-0560 LOG NAME: 03PID11 MIDYEAR FY25—AMENDMENT NO. 2 SUBJECT (CD 2) Adopt Ordinance Amending Fort Worth Public Improvement District 11 — Stockyards Fiscal Year 2024-2025 Adopted Budget and Five - Year Service Plan to Reflect Additional Mid -Year Adjustments, Authorize the Execution of a Second Amendment to the Associated Management and Improvement Services Agreement with Fort Worth Stockyards, Inc., and Adopt Appropriation Ordinance RECOMMENDATION: It is recommended that the City Council: 1. Adopt the attached ordinance amending Public Improvement District 11 — Stockyards Fiscal Year 2024-2025 Budget and Five -Year Service Plan 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 (7th) day after adoption by the City Council; 2. Authorize the execution of an amendment to the associated Management and Improvement Services Agreement with Fort Worth Stockyards, Inc. (City Secretary Contract No. 62188) to align with these changes; and 3. Adopt the attached appropriation ordinance increasing estimated receipts and appropriations in the Fort Worth Public Improvement District 11 - Stockyards Fund in the amount of $30,000.00, from available unreserved fund balance, for the purpose of funding mid -year budget adjustments. DISCUSSION: The City of Fort Worth's FWLab oversees the administration of Public Improvement Districts (PIDs), including coordination with PID management entities to monitor performance and financial alignment throughout the fiscal year. On April 22, 2025, City Council approved a mid -year budget adjustment for FWPID #11 — Stockyards (M&C 25-0371), incorporating limited funding changes to reflect revised service needs at that time. Following further review and coordination with Fort Worth Stockyards, Inc., additional adjustments have been identified to fully align the FY25 budget with the district's current service priorities and financial obligations. This second amendment allows for the appropriation of additional funds to support services not previously reflected in the mid -year update. These adjustments are necessary to ensure continuity of service delivery and compliance with the City's Public Improvement District Policy. Upon adoption, the updated budget will be reflected in the Five -Year Service Plan and incorporated into the amended Management and Improvement Services Agreement. The table below reflects the proposed additional adjustments to the FY25 budget: Revenue Adjustments: Previously Additional Revised Line Item Ameded FY25 Adjustment FY25 Budget Budget IPID Assessments $444,145.00 $0.00 $444,145.00 City Payment In -lieu $10,458.00 $0.00 $10,458.00 of Assessments Use of Fund $18,871.00 $30,000.00 $48,871.00 Balance (Total Revenue $473,474.00 $30,000.00 $503,474.00 Expenditure Adjustments: Line Item Previously Amended Additional Revised FY25 Budget Amendment FY25 Budget Management $90,676.00 $0.00 $90,676.00 Fee (Security $201,000.00 $10,000.00 $211,000.00 Maintenance & $127,706.00 $20,000.00 $147,706.00 Operations (Public Events $10,000.00 $0.00 $10,000.00 Capital $1,000.00 $0.00 $1,000.00 Improvements Marketing & $31,000.00 $0.00 $31,000.00 Research City Audit Fee $3,000.00 $0.00 $3,000.00 City Administrative $9,092.00 $0.00 $9,092.00 Fee Total $473,474.00 $30,000.00 $503,474.00 Expenditures Upon approval of the above recommendations, the total budgeted expenses for FY 2024-2025 will be $503,474.00. This additional mid -year budget adjustment will increase the FY25 adopted budget from the unaudited, unassigned fund balance by a total of $30,000.00. The revised budget and Five -Year Service Plan will take effect upon approval by City Council. The City and FWSI will amend the existing management contract to reflect the mid -year adjustment (City Secretary Contract No.62188). This amendment supersedes the prior draft amendment (62188-A1), which was not executed. Funding is available for appropriation in the fund balance of the FWPID #11- Stockyards Fund. The current balance is $333,997.29, after this M&C, available balance will be $330,997.09. 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 ordinance, funds will be available in the current operating budget, as appropriated, in the FWPID #11 - Stockyards Fund. Prior to any expenditure being incurred, the FWLab has the responsibility to validate the availability of funds. Submitted for Citv Manaaer's Office bv: Oriainatina Business Unit Head Christianne Simmons 6222 Additional Information Contact: Crystal Hinojosa 7808