Loading...
HomeMy WebLinkAboutResolution 4494-07-2015 A Resolution NO. 4494-07-2015 ST ATE MENT EXPRESSING OFFICIAL INTENT TO REIMBURSE, EXPENDITURES WITH PROCEEDS OF FUTURE DEBT FOR THE TRINITY RIVER VISION - CENTRAL CITY PROJECT AND THE TRINITY UPTOWN SERVICE AREA PHASE 1 - BRIDGE AND CHANNEL RELOCATION, PART 3 PROJECT WHEREAS, the City of Fort Worth, Texas (the "City") is a home- rule municipality and political subdivision of the State of Texas; and WfIEREAS, on July 21, 2015 the City Council approved M&C C-27388 authorizing certain expenditures for the Trinity River Vision Central City Project and the Trinity Uptown Service Area Phase 1 and Bridge and Channel Relocations Part 3; and WHEREAS, M&C C-27388 referenced adoption of a Reimbursement Resolution but such Resolution was not attached; and WHEREAS, this Resolution constitutes the Reimbursement Resolution referenced in M&C C-27388; and WHEREAS, the City expects to pay expenditures in connection with the design, planning, acquisition and construction for the Trinity River Vision - Central City Project and the Trinity Uptown Service Area Phase 1 - Bridge and Channel Relocations, Part 3 project ass on the attached map (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 o f t he 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; A- RT ART NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FOR WORTH, TEXAS: See-ti'on"-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 $750,000.00 for the purpose of paying the aggregate costs of the Project. S e c tion 2. All costs to be reimbursed pursuant hereto will be capital expenditures. No obligations will be issued by the City in furtherance o f t his 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 whicli 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. IFOIRr '14� Adopted this 28th day of Jul 2015. "00.00 �cy 0 00 A 0 0 %0 0 0 �to 0 00 C)0 0 o 0 0 ATTEST: 0 00 0 0 *1W A 0 000000 0 Byl .......... Mary Kayser, y Secretary RTWO P City of o Worth, Texas Mayor and Council Communication '�� %`Li ` :``i►'p�proved on 7/21/2015 - Resolution 4494 07 2 GATE: Tuesday, July 21, 2015 REFERENCE NO.: C-27356 LOG NAME: 60TRV 3MAINC03-SJ OUIS SUBJECT: Authorize Execution of Change Order No. 3 to City Secretary Contract No. 44405 with S.J. Louis Construction of Texas, Ltd., in the Amount of$558,240.05 for Trinity River Vision, Central City Project and the Trinity Uptown Service Area Phase 1 and Bridge and Channel Relocations Part 3, for a Revised Total Contract in the Amount of$6,945,034,65, Consistent with the City's Limit of$26.6 Million on Expenditures for the Trinity River Vision and Adopt Reimbursement Resolution (COUNCIL DISTRICTS 2 and ) RECOMMENDATION: It is recommended that i Council: 1. Authorize the execution of Change Order No. 3 to City Secretary Contract No. 44405 with S.J. Louis Construction of Texas, Ltd., in the amount of$555,240.05 for Trinity River Vision Central City Project and the Trinity Uptown Service Area Phase 1 and Bridge and Channel Relocations Part 3, for a revised contract total amount of ,034.65„ consistent with the City's limit of$26.6 million on expenditures for the Trinity River Vision„ and . Adopt the attached resolution expressing official intent to reimburse expenditures with proceeds of future debt for Change Order No. 3 to City Secretary No.44405 for Trinity River Vision Central City Project and the Trinity Uptown Service Area Phase 1 and Bridge and Channel Relocations Part 3. DISCUSSION: On March 26, 2013, (M&C C-26178) the City of Fort North (City) Council authorized a contract with S.J, Louis Construction of Texas, Ltd., in the amount of$5,929,744.19 for Trinity Uptown Service Area Phase 1 and Bridge and Channel Relocations Part 3. The contract was subsequently revised by two change orders with ant total amount of$457,050.41. Change Order No. 3 will provide compensation for additional pavement repair and replacement subsequent to water and/or sanitary sewer installation at the following locations (as shown the attached location maps) due to the poor condition oft the existing pavement and sub-grade which necessitated additional improvements beyond the trench width„ Adolf Street, White Settlement Road, Rupert Street, Greenleaf Street„ North Commerce Street, North Main Street, NE 11th Street and 6th Street. Subject to approval of this &C, appropriations for Change Order No. 3 will consist of the following, � �. � �. ..... _.. Water Sewer Storm Drain Totals Authorization Original Contract 5,564,255.24$176„027..00$167,431.95$5,929,744.19 C-26175 Amount f..,.....__ _.._...__. ................._. .._......_ _ ._. .-- -......, .. ..._.r ....__..._ ... ......._ .. ..._....... �...,._._..._....... Logna c: 6o,rRVP3 4A.I.NC(.)3-SJt..,Ot..JIS Page 1 of I Change $395, 1. $753 1 32�$ -0- �& 358,362.66 C-26297 �Order No. 1 � .,.. .. ....... 9 . _ ........ ....__ .._ _._._._ _....._ _._.. _._.. , Chan e Order $90,684.75 �`$ -0- 98,687.75 drninistrative �N9..._ mount . A � j _...._, ,,._ __—�. __........ ......_,..... ____...L...... ...�.,.,._._ of �Proposed i Change $482, $75,732. -0- $558,240.05 i s M&C Order No. 3 } i 1 015 676.32 Contract ($5,761 926.381 .... ... _. . , ..,.._.....L...... _ _..._,,___ �$ , $167,431.951$6,945,034.65 Arnoun.t Water and sanitary sewer program costs associated with the T V Project include both costs necessitated by the TRV Project and costs related to betterments and operational considerations. Upon approval of this &C, the total of these water and sewer program costs will consist of following: Engineering Agreements C$ 7,745,913.00 Construction Contracts 15,218,186.20' Construction Staking, Progectl ,.._._ Management, Inspection, � Material Testing and Contingencies $ 2,007,561.63 IPro'ect A .....__ _. . .._...... _ ........ .......... ....._......_.._. ..._.. propriations X 24,971,660.83 FUND Exisro riationsIAppropriations doRevro dr'ations'Encurnbrances�Rernaini.ng_._ PP P PP P and Balance iExpenditures _ ........., ......._..,, ... _.... _.........._ ...... _ . ........ _ ,..._ .,..,.m.. _.._ liVater Capital $14,026,209. $Oo $1 @026,209. $13,378u 17 '$647, Projects Fund (P265) f .,._______...,� ... ._...,,. _._._. 0. ._..._ _V _. ..... .. .......�_.�. g. ._6 558.7 .._.. Sewer Capital $7,180, 7,180,938.1 _ __. .,,_.._... p" �$ $ $6 96 , $21 .3 Projects Fund (P275) i I 2017 Water $3,206,273.00 1$558,240. $3,764,511 $2, , 3.00 $841,7 and Sewer Revenue Bonds Capital Project Fund (P266) j _. .......- �. _ g.. .. '.., _.......... .. ......_._._._ __......, .. ....w...._., rProject Total 24 413,420.781$558,240.05 $24,971,660.83 1 $.._.... ..__..,.�.. ..._,.. $23,268,233 92 �1 703 426.9,._ This project is anticipated to be included in a future revenue bond issue fort the Water and Sewer Lon e. 0'I°RVP3M7►tNC0 -SJL,t;U1S Page 2 of Fund. Available cash within the Water and Sewer portfolio and the City' s portfolio along with the appropriation authority authorized under the Direct Purchase Note program will be used to provide interim financing for this project until debt is issued. To the extent resources other than the Water and Sewer portfolio are used to provide interim financing, the Water and Sewer Fund will be charged interest that is equivalent to the overall rate of return being earned by the City portfolio (currently approximately one percent annually). Should the City' s portfolio not support the liquidity needed to provide an interim short- term financing source, another funding source will be required, which could mean issuance of securities under the Direct Purchase Note program or earlier issuance of Water and Sewer revenue bonds than is currently planned. 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. In accordance with the provisions of the Financial Management Policy Statements, Staff anticipates presenting revenue-supported debt issuances to the City Council for consideration within the next three years. The Financial Management Services Department is currently working with all departments to ensure that multi-year capital improvements plans are in place. Newly developed and already existing plans, such as the Water Department's current multi-year capital improvement plan, will be presented to City Council for review and adoption. If the City Council-adopted plan does not include issuance of debt for this specific project, the project will be funded from other financing sources. If the Council-adopted plan calls for debt issuance, that debt must be issued within approximately three years to provide reimbursement for these expenses. If that does not occur, the costs will no longer be reimbursable by issuing tax-exempt debt and the funding source will have to be made whole through other budgetary methods. Adoption of this resolution does not obligate the City to sell bonds, but preserves the ability to reimburse the City from tax-exempt bond proceeds. Of the $558,240.05 cost of this change order, the amount of$147,834.00 is necessitated by theTrinity River Vision (TRV) Project while the remaining amount of$410,406.05 is non-TRV related. Upon execution of this change order, the City will have met its $26.6 Million commitment to the TRV Project. TRV related expenditures above the $26.6 Million commitment will be reimbursed by the Tax Increment Financing District and the Tarrant Regional Water District. Of the $147,834.00 considered TRV related, the amount of$7,092.02 is in excess of the City's $26.6 Million commitment, and will be reimbursed upon project completion. M/WBE OFFICE - S.J. Louis Construction of Texas, Ltd., agrees to maintain its initial MBE commitment of 14 percent that it made on the original contract and extend and maintain that same M/WBE commitment of 14 percent to all priors up to and inclusive to this change order No 3. Therefore, S.J. Louis Construction of Texas, Ltd., remains in compliance with the City's M/WBE Ordinance and attests to its commitment by its signature on the Acceptance of Previous MBE Commitment form executed by an authorized representative of its company. This project is located in COUNCIL DISTRICTS 2 and 9, Mapsco 62R, 62U, 62V, 62W, 62X and 62Y. FISCAL INFORMATION / CERTIFICATION: The Financial Management Services Director certifies that funds are available in the 2017 Water and Sewer Revenue Bonds Capital Project Fund for this contract. Currently available revenue in the 2017 Water and Sewer revenue Bonds Capital Project Fund is $55,654,275.06. Upon approval of the recommendation, Revenue will be appropriated for use in the project, as follows: Logname: 60TRVP3MAINCO3-SJL0UIS Page 3 of 4 _........_..� _.. _._. ......_______............ .. . . _ ... ........... _._.......�_.......� Available Projected Fund Appropriation I Balance Amount 2017 Water and ._.... Sewer Revenue Bonds � 4,27 .06 $553,241.00 5,096,034.0 Capital Project Fund.......... ... .._. . After appropriation of the amount of ,241.00 to the project, the amount of$55,096,034.06 in available revenue will remain in the 2017 Water and Sewer Revenue Bonds Capital Project Fund. FUND CEN°"'I°"'ERS: TO Fund/Account/Centers FROM Fund/Account/Centers P26 541200 6091700 6987 214L82 508.05 P266 541200 7091700 6987 $75,732.00 CERTIFICATIONS: Submitted for City Manager's Office bk Fernando Cost ( 122) Originating Department Head: John Carman ( 246) Additional Information Contact: Liam Conlon ( ) I,ogname: 0TVP3 3- J UI e 4 of 4