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HomeMy WebLinkAboutResolution 4524-09-2015 A Resolution NO. 4524-09-2015 STATEMENT EXPRESSING OFFICIAL INTENT TO REIMBURSEEXPENDITURES WITH PROCEEDS OF FUTURE DEBT FOR THE HOT MIX ASPHALTIC CONCRETE STREET REHABILITATION (2015-3) PROJECT WHEREAS, the City of Fort Worth, Texas (the "City") is a home-rule municipality and political subdivision of the State of Texas; and WHEREAS, the City expects to pay expenditures in connection with the design, planning, acquisition and construction for the Hot Mix Asphaltic Concrete Street Rehabilitation (201.5-3) project as shown 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 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: Section 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 $1,250,000.00 for the purpose of paying the aggregate costs of the Project. Section 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. 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. Adopted this 29th day of September, 2015. op ATTEST: o� Mary J °I a er, City Secretary t AS ORT WORT MAYOR AND COUNCIL COMMUNICATION HMAC STREET REHABILITATION ( 1 )® IVr , • rt , r rc DISTRICT: 2 y ' f� NW 18TH ST. p NW 20TH ST. ( _' NW 24TH ST. TRUE AVE, u WAGNER AVE. �r N w �TM f e ° DISTRICT: 2 LEE AVE. r rn, i ri v X � , y y a r. i '`;� ,&�; . I ri rr l v rft9ldl �k � ti�%'" it♦ �% i ,right 2011 City of Fort Worth. Unauthorizized reproduction is a violation of applicable laws. DOE#: 7429 product is for Information purposes and may not have been prepared for or be suitable for legal,engineering,or surveying purposes. es not represent an on-the-ground survey and represents only the approximate relative location of property boundaries. CITY P ROJ E C I T #. 0251, City of Fort Worth assumes no responsibility for the accuracy of said data. COUNCIL MAYOR AND i HMAC STREET REHABILITATION ( - )® KM, DISTRICT: 3 m; LAYTO N RD W I OVERHILL RD. DISTRICT: r - BONNIE DR. '� .° � `��`� u % � ,<, � �, , �� �� ♦ � � 1�� r r r l D u.' o r y f ' DISTRICT: 3 � o GASTON AVE R �r r � ��+ �✓ rdµ. % ,. lr. �� ,.jJ �'r �V � � � s�+Y � gyp; J ' n. / DISTRICT: 3 t � r TRE 'HAVEN RD, r �dAflr ( pygy�4 % /ry�� F RON ,right 2011 City of Fort Worth. Unauthorizized reproduction is a violation of applicable laws. DOE#. 7429 product is for information purposes and may not have been prepared for or be suitable for legal,engineering,or surveying purposes. p as not represent an on-the-ground survey and represents only the approximate relative location of property boundaries. CITY PROJECT#: 025E City of Fort Worth assumes no responsibility for the accuracy of said data. MAYOR AND COUNCIL COMMUNICATION HMAC STREET REHABILITATION ( )® . ,.., .� n � �� �;. i JN.t l I"��/x /ri fr',,�c Y�i��t �/�-•.l I � /^� v I k 1 $ ♦ bb � f A , I e I 11 ern A s r rye rt �r � p Ilh r � ALCANNON ST. ,p RODEO ST. , , SARAH JANE LN. fill u. VIII c I I fa yy M1 ,J a , 4 ' / "'I Q , DISTRICT 8 � a DUBLIN DR. `` W, y I 2 J d r i r a �.r,u i Flu r i 01 i v u i� uuu , right 2011 City of Fort Worth. Unauthorizized reproduction is a violation of applicable laws. DOE#. 7429 product is for information purposes and may not have been prepared for or be suitable for legal,engineering,or surveying purposes. as not represent an on-the-ground survey and represents only the approximate relative location of property boundaries. CITY P ROJ E C I 7 #. 025E City of Fort Worth assumes no responsibility for the accuracy of said data. City of Fort Worth, Texas Mayor and Council Communication COUNCIL ACTION: Approved on 9/29/2015 - Resolution No. 4524-09-2015 DATE: Tuesday, September 29, 2015 REFERENCE NO.: C-27499 LOG NAME: 20HMAC STREET REHABILITATION (2015-3) SUBJECT: Authorize Execution of a Contract with JLB Contracting, LLC, in the Amount of$2,262,468.76 for Hot Mix Asphaltic Concrete Street Rehabilitation, 2015-3, at Multiple Locations Throughout the City of Fort Worth, Provide for Project Management Costs in the Amount of$590,600.00 for a Total Project Cost of $2,853,068.76 and Adopt Reimbursement Resolution (COUNCIL DISTRICTS 2, 3 and 8) RECOMMENDATION: It is recommended that the City Council: 1. Authorize the execution of a contract with JLB Contracting, LLC, in the amount of$2,262,468.76 for Hot Mix Asphaltic Concrete Street Rehabilitation, 2015-3, on approximately eleven lane miles at multiple locations, as listed on the attachments provided; and 2. Adopt the attached Resolution expressing official Intent to Reimburse Water Department expenditures with proceeds of future debt for Hot Mix Asphaltic Concrete Street Rehabilitation, 2015-3, Improvements Project. DISCUSSION: These street rehabilitation projects will be undertaken in conjunction with a separate utility contract for the replacement of water and sewer sanitary lines. The Transportation and Public Works and Water Departments share in these resurfacing costs in lieu of performing trench repair under the utility contract. The Water Department's share on this project will be $1,131,234.38, which is available in the Direct Note Program. Transportation and Public Works' share on this project will be $1,721,834.38, which is available in the Fiscal Year 2015 Contract Street Maintenance Fund Budget. The City reserves the right to increase or decrease quantities of individual pay items within the contract, provided that the total contract amount remains within plus or minus 25 percent of the contract award. This project was advertised for bid in the Fort Worth Star-Telegram on March 5, 2015 and March 22, 2015. On April 2, 2015, the following bids were received: Bidders Amount JLB Contracting, LLC $2,262,468.76 Peachtree Construction, Ltd. $2,378,037.90 McClendon Construction, Inc. $2,401,424.25 Advanced Paving Acquisition, Ltd. $2,503,725.50 The budget for this project is as follows: Logname: 20HMAC STREET REHABILITATION (2015-3) Page 1 of 3 IDescription lConstruction $2,262,468.76 Project Management, etc. [__�__590,149.81 [T_o&_1Project Budget [—$2,852,168.57 Appropriations for the Hot Mix Asphaltic Concrete Street Rehabilitation (2015-3) project will ooneistofthe following: Fund Appropriations F-En—cum brances Remaining Balance and Expenditures .ontract Street 1,721,384.19 .19 $1,720,934.00 Maintenance Fund (293) 1 2017 Water and Sewer §P-11,131,234.38 .00 131,234.38 Revenue Bonds Capital Projects Fund (266) This project is anticipated to be included inafuture revenue bond issue for the Water and Sewer 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 unti| debtieiaeued. 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 rata 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 eource, another funding source will be naquired, which could mean issuance of securities under the Uinsot 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 K8onogennant PV|/oy Statements, Staff anticipates presenting revenue-supported debt issuances to the City Council for consideration within the next three years. The Financial Management Services Department ia currently working with all departments to ensure that multi-year Capital Improvements Plans are inplace. 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. |f the City Council-adopted plan does not include issuance ofdebt for this specific project, thepr jectvvi|| befundeduU)jzingpay-oe-yougofiD8OoingoourcaG. |f the Council- adopted p|onca|/efordabtieeuanoe. thatdebtmuutbei8nuedvvithinappnnximate|ythre8yeanatoprovide reimbursement for these expenses. |f that does not occur, the costs will no longer b8 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 ae/| bondo, but preserves the ability to reimburse the City from tax-exempt bond proceeds. Construction ie anticipated to commence in October 2D15. With a contract time of21O calendar days, the construction is estimated tobe completed by the end of April 2O18. This project vvi|| havenoi0paotontheoffectaddapartmanto' opar3bngbudget. T.ogu8uze: 20}{MAC STREET REHABILITATION (20l5-3) Page 2of3 M/WBE OFFICE - JLB Contracting, LLC, is in compliance with the City's BDE Ordinance by committing to 16 percent MBE participation on this project. The City's MBE goal on this project is 16 percent. These projects are located in COUNCIL DISTRICTS 2, 3 and 8, Mapsco 61B, 61G, 61H, 62F, 73V, 73Z, 74W, 88A, 91 U, and 92F. FISCAL INFORMATION / CERTIFICATION: The Financial Management Services Director certifies that appropriations are available as directed by M&C G-18375 in the 2017 Water and Sewer Revenue Bonds Capital Project Fund and funds are available in the current capital budget, as appropriated, of the Contract Street Maintenance Fund as depicted in the table below: Fund Available Transfer Remaining Appropriation Available Amount Appropriation Amount 2017Water and $40,556,639.97 $1,131,234.38 $39,425,405.59 Sewer Revenue Bonds Capital Project Fund Contract Street $12,108,004.61 $1,721,834.38 $10,386,170.26 Maintenance Fund FUND CENTERS: TO Fund/Account/Centers FROM Fund/Account/Centers P266 541200 603170255083 $565,617.19 P266 541200 703170255083 $565,617.19 C293 541200 203620255083 $1.131,234.38 CERTIFICATIONS: Submitted for City Manager's Office by_ Jay Chapa (5804) Originating Department Head: Douglas W. Wiersig (7801) Additional Information Contact: Kristian Sugrim (8902) Logname: 20HMAC STREET REHABILITATION (2015-3) Page 3 of 3