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Home My WebLink About26-6365 - City Council - ResolutionRESOLUTION 26-6365 STATEMENT EXPRESSING OFFICIAL INTENT TO REIMBURSE EXPENDITURES WITH PROCEEDS OF FUTURE DEBT FOR THE MARY'S CREEK WATER RECLAMATION FACILITY 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 expects to pay expenditures in connection with the design, planning, acquisition and construction of the Mary's Creek Water Reclamation Facility Project (the "Project") prior to the issuance of obligations by the City in connection with the financing of the Project from available funds; and WHEREAS, the City finds, considers, and declares that the reimbursement of the City 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: 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 $235,000,000.00 for the purpose of paying the aggregate costs of the Proj ect. 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. 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 4. This resolution shall be effective from and after its passage by the City Council. Adopted this August 25, 2026. ATTEST: By: Jannette S. Goodall, City Secretary l F OOOOOA°°°�L a� ° p o o'Q � °° °°o TO d° �at1 nEXA`�oo�p I�i�ll�4SL. :IUQU41111111K —.I4414III hi---- --- j�., JJi). iii dad!! [ ' AV Lhd�.l,�dlr iIL tP FORT WORTH MAYOR AND COUNCIL COMMUNICATION 7.1.8 WEBBER WATERWORKS, LLC CONSTRUCTION CONTRACT FOR MARY'S CREEK WATER RECLAMATION FACILITY DATE: 08/25/26 M&C FILE NUMBER: M&C 26-0822 DEPARTMENT: WATER SUBJECT (CD 3 and ETJ) Authorize Execution of a Contract with Webber Waterworks, LLC in the Amount of $537,982,128.13 for the Mary's Creek Water Reclamation Facility 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 2026- 2030 Capital Improvement Program RECOMMENDATION It is recommended that the City Council: 1. Authorize execution of a contract with Webber Waterworks, LLC in the amount of $537,982,128.13 for the Mary's Creek Water Reclamation Facility project; 2. Adopt the attached resolution expressing official intent to reimburse expenditures with proceeds from future debt for the Mary's Creek Water Reclamation Facility Project; and 3. Adopt the attached appropriation ordinance adjusting appropriations in the Water and Sewer Commercial Paper Fund by increasing appropriations in the Mary's Creek Water Reclamation Facility project (City Project No. C01239) in the amount of $194,971,358.00 and decreasing appropriations in the Water & Sewer Commercial Paper project (City Project No. UCMLPR) by the same amount, to effect a portion of Water's contribution to the Fiscal Years 2026-2030 Capital Improvement Program. DISCUSSION The purpose of this Mayor and Council Communication (M&C) is to authorize execution of a contract with Webber Waterworks, LLC in the amount of $537,982,128.13 for the construction of the Mary's Creek Water Reclamation Facility (MCWRF). MCWRF is a 10 million gallon per day (MGD) membrane bioreactor plant that will treat wastewater generated in the fast-growing west Fort Worth area to an extremely high level prior to discharge into Mary's Creek. Additionally, the new plant will provide reclaimed water to customers in west Fort Worth and supplement the water supply through a collaborative project with the Tarrant Regional Water District (TRWD) that will allow discharged MCWRF water to be conveyed to Eagle Mountain Lake. 1 of 4 FORT WORTH Construction of the project was advertised for bid on April 29 and May 6, 2026 in the Fort Worth Star -Telegram. On July 9, 2026 the following proposals were received. The proposals were evaluated based on pre -established criteria specified in the solicitation. Bidder Webber Waterworks, LLC Thalle Construction Co, Inc Walsh Group Bid Amount $ 537,982,128.13 $ 576,527,017.43 $607,890,518.00 Cost Evaluation (70 points) 70.0 65.3 61.9 Experience with Similar Projects (10 points) 8.2 6.5 8.7 Project Approach and Schedule (20 points) 18.5 16.3 17.4 Total 96.7 88.0 Webber Waterworks, LLC, submitted the highest-ranking proposal based upon the identified pre -established criteria. In addition to the contract cost, $2,013,995.00 is required for project management and inspection and $1,613,946.00 is provided for project contingency. 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 Capital Improvement Program (CIP) 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. 2 of 4 FORT WORTH Funding is budgeted in the Commercial Paper Project within the W&S Commercial Paper Fund and in the Mary's Creek Reclamation Facility project within the W&S WIFIA Revenue Bond Fund for the purpose of funding the Mary's Creek Water Reclamation Facility. Funding for the Mary's Creek Water Reclamation Facility project is depicted below: Existing Additional Fund Appropriations Appropriations Project Total* Sewer Capital $6,691,576.09 $0.00 $6,691,576.09 Legacy - Fund 59607 Water & Sewer Bond $857,415.00 $0.00 $857,415.00 2017A — Fund 56011 W&S Rev Bonds $2,143,498.00 $0.00 $2,143,498.00 Series 2023 - Fund 56021 W&S Rev Bonds $20,473,700.00 $0.00 $20,473,700.00 Series 2024 - Fund 56022 W&S WIFIA Revenue $346,638,712.57 $0.00 $346,638,712.57 Bond - Fund 56027 W&S Rev Bond 2026B $1,870,060.00 $0.00 $1,870,060.00 — Fund 56026 W&S Commercial $0.00 $194,971,358.00 $194,971,358.00 Paper - Fund 56032 Project Total $378,674,961.66 $194,971,358.00 $573,646,319.66 Small Business Enterprise: A Small Business goal is not assigned to this contract because a waiver has been approved by the department's Assistant City Manager in accordance with the City's Small Business Ordinance. The project is located in COUNCIL DISTRICT 3 and Extraterritorial Jurisdiction (ETJ). This contract requires a Form 1295. FISCAL IN FORMATION/CERTIFICATION The Director of Finance certifies that funds are currently available in the Commercial Paper project within the W&S Commercial Paper Fund and in the W&S WIFIA Revenue Bond Fund, as previously appropriated, 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 and the W&S WIFIA Revenue Bond Fund for the Mary's Creek Water Reclamation Facility 3 of 4 FORT WORTH project to support the execution of the contract. Prior to any expense being incurred, the Water Department has the responsibility to validate the availability of funds. SUBMITTED FOR CITY MANAGER'S OFFICE BY: ORIGINATING BUSINESS UNIT HEAD: ADDITIONAL INFORMATION CONTACT: ATTACHMENTS Jesica L. McEachern, # 5804 Chris Harder, #5026 Suzy Abbe, #8209 1. Map - Mary's Creek Water Reclamation Facility [7.1.8.1 - 1 page] 2. Resolution (R2) - Mary s Creek Water Reclamation Facility [7.1.8.2 - 1 page] 3. Ordinance Appropriation (R3) - Mary's Creek Water Reclamation Facility [7.1.8.4 - 2 pages] 4 of 4