HomeMy WebLinkAboutOrdinance 16433-05-2005Ordinance No ~~~3~ -~ $--.DOS
AN ORDINANCE INCREASING APPROPRIATIONS IN THE CULTURE AND
TOURISM FUND IN THE AMOUNT OF $604,584.28 AND DECREASING THE
UNRESERVED FUND BALANCE BY THE SAME AMOUNT FOR THE
PURPOSE OF TRANSFERRING SAID FUNDS TO THE HOTEL DEVELOPMENT
CORPORATION FUND MAKING THIS ORDINANCE CUMULATIVE OF PRIOR
ORDINANCES IN CONFLICT HEREWITH, AND PROVIDING AN EFFECTIVE
DATE.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH,
TEXAS
SECTION 1
That in addition to those amounts allocated to the various City departments for Fiscal Year 2004-
2005 in the Budget of the City Manager there shall also be increased appropriations in the Culture
and Tourism Fund in the amount of $604 584.28 and decreasing the unreserved fund balance by
the same amount, for the purpose of transferring said funds to the Hotel Development Corporation
Fund.
SECTION 2.
That 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 said remaining provisions shall be and remain in full force and effect.
SECTION 3
That this ordinance shall be cumulative of Ordinance No. 16061 and 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conflicting provisions of said prior ordinances and appropriations are hereby expressly repealed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 4
This ordinance shall take effect upon adoption
APPROVED AS TO FORM AND LEGALITY
Assistant City Attorney ~-~rfdp~p
ADOPTED AND EFFECTIVE. ~ ` I~ I
City of Fort Worth,. Texas
Mayor and Council Communication
COUNCIL ACTION Approved on 5/17/2005 Ord #16433-05-2005 & 16434-05-2005
DATE. Tuesday May 17 2005
LOG NAME. 03HOTELDEVELRFD
REFERENCE NO G-14800
SUBJECT
Authorize Reimbursement to the General Fund for aNon-Interest Bearing Inter-Fund Loan Used for
Interim Financing of Convention Center Hotel Pre-Development Activities Transfer Funds from the
Culture and Tourism Fund to Pay Hotel Pre-Development Expenditures and Transfer of {nterest
Earned over Life of the Interim Loan
RECOMMENDATION
It is recommended that the City Council.
1 Adopt the supplemental appropriation ordinance increasing appropriations in the Culture and Tourism
Fund by $604 584.28 and decreasing the unreserved fund balance in the Cultural and Tourism Fund by the
same amount;
2. Authorize the transfer of $604 584.28 from the Culture and Tourism Fund to the Hotel Development
Corporation Fund
3 Adopt the appropriation ordinance increasing estimated receipts and appropriations in the Hotel
Development Corporation Fund by $132 546 81 from interest earnings,
4 Authorize the transfer of interest earnings in the amount of $132 546 81 from the Motel Development
Corporation Fund to the General Fund and
5 Authorize the return of the interim interfund loan in the amount of $2,580 414 00 to the General Fund
from the Hotel Development Corporation Fund
DISCUSSION
On March 29 2005 the City Council approved M&C C-20621 which authorized execution of an Economic
Development Program Agreement with Omni Fort Worth Partnership L.P for construction of a convention
center hotel In light of that approval this M&C serves to close out the initial convention center hotel pre-
planning phase by accomplishing the following
Reimbursement of Interim Loan from the General Fund
M&C C-18988 dated March 5 2002 authorized anon-interest bearing inter-fund loan from the General
Fund to the Hotel Development Corporation Fund in the amount of $2,580 414 00 for interim financing of
pre-development activities associated with a convention center hotel pending the issuance of bonds notes
or other obligations to fund hotel acquisition and construction costs As referenced above other
convention center hotel financing options have been identified and approved by Council As Certificates of
Obligation will no longer be sold to finance the project, the interim loan including all interest earned must
be returned to the General Fund from the Hotel Development Corporation Fund
Lo~name 03HOTELDEVELRFD Page 1 of 2
Repayment to General Fund of Interest Forgone over Interim Loan Period
During the loan period interest in the amount of $132,546 81 was earned on the funds transferred from the
General Fund end recorded as revenue in the Hotel Development Corporation Fund Absent the interim
inter-fund loan that interest would have accrued to the General Fund Consequently it is recommended
that the $132,546 81 in interest earnings be returned to the General Fund
Reimbursement of Hotel Pre-Planning Expenditures
From June 2002 to February 2004 $604 584.28 was expended from the Hotel Development Corporation
Fund on convention center hotel pre-development activities primarily hotel feasibility and market research
design and development consulting and legal services. A .transfer of $604 584.28 from the. Culture and
Tourism Fund is recommended to pay for those expenditures.
Upon approval of this M&C the previously authorized interfund loan of $2 580 414 00 and the $132,546 81
in interest earned during the term of the loan will be transferred to the General Fund
FISCAL {NFORMATION/CERTIFICATION
The Finance Director certifies that upon approval of the above recommendations and adoption of the
appropriation ordinances funds will be available in the current capital budget, as appropriated of the Hotel
Development Corporation Fund
TO Fund/Account/Centers
GG04 538070 0246000 $604.584.28
3.) R194 411012 025194025001 $132.546.81
GG01 472194 0134010 $132.546.81
2.) R194 472004 025194025001 $604.584.28
3:) R194 538070 025194025001 $132,546.81
5~ GG01 136194 0000000 $2.580,414.00
FROM Fund/AccountlCenters
?~ 6G04 538070. 0246000 $604.584.28
4~ R 194 538070 025194025001 X132.546.81
5) R194 220001 000194025001 $2.580.414.00
Submitted for City Manaaer's Office bv: Joe Paniagua (6191)
Richard Zavala (8511)
Oriainating Department Head. Bridgette Garrett (8518)
Additional Information Contact: Kristin Glass (8704)
T.(lOnamP ~~N(1TFT T)FVFT RFT1
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