The URL can be used to link to this page

Home My WebLink AboutResolution 4525-09-2015 A Resolution NO. 4525-09-2015 STATEMENT EXPRESSING OFFICIAL INTENT TO REIMBURSE EXPENDITURES WITH PROCEEDS OF FUTURE DEBT FOR WATER AND SEWER RELOCATION FOR THE TRINITY RIVER VISION - CENTRAL CITY PROJECT AND THE TRINITY UPTOWN SERVICE BRIDGE AND CHANNEL RELOCATION, PART 4, CHANNEL SEGMENT B 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 Water and Sewer Relocation for the Trinity River Vision - Central City Project and the Trinity Uptown Service Bridge and Channel Relocations, Part 4, Channel Segment B 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 $2,750,000.00 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 2911, day of September, 2015. WG ATTEST- By Le-11: ��aevaaccspca' Mary K�ayfs r, qty Secretary ORT WORT COUNCIL MAYOR AND i i 60TRVP4-SJLOUIS Legend 1 , PROP WATER � PROP SANITARY SEWER �, � „ �rY, n, r r � r r `� ' �� 1u%ari. em" >" ` 9iihi P� �,� �.Q�'�l� J��^ ��. ,r'(. �y;�z ��. �� %��(��a��,ril� ��y, g. (✓'J',,,r'. "g ��y�,i �ill(fll'; �I � '��N/,q� ^W W 6!Y fi gym•. �', NORTH MAIN STREET BRIDGE �ti', r!� I � ""��, � ," �. ,� ,� ,�JfY"�,� �1�<�/, r,,�r �.�g•. .p^>�m , r r ,,, r (lY IY!� // ! r � � PROPOSED TRVs PART 4 WATER&SANITARY SEWER RELOCATIONSf '�r n, �o°� �� i ��'�% �r �j%�i„r� � � ��i��if >�� irl ,� ��,r✓ �i ,` � �r' � "!j� i�� ,. ^11u IV l art; itn J l„al%';�i n✓/@ .-ii!1,ll�fri�f l.�%hrll,.�' ”,,,. p ,!lf �,Y/ li mr'Yl, i �, � �� -lr� w� l n �r r/r�r�!///�,;��. � ,R r✓ ��r'� 1f r r�,r/� �,.� (r �imim9WiF a✓,,,dlr�! Al Aka, R'lN 'kW,w V „ryrarraP' A,,8 p rr1 � �� w r � rF➢, J � r � Vt I;/g/ a�j Y 'ROPOSED PROPOSED TRV l�:arll BYPASS CHANNEL /'� w wN, � y�, % ;✓i�/ roe. 1 SEGMENTS „ 6 � frj ,/" f u/ [ 1 I� %ly/rrr/', �I� //r��" � � f ��d�,� `;l�m� r »�i;. :! �✓wr�, °�I�' .. �% �r;r w,7", �'`� HENDERSON »,„ '� xrla!a�+,,u,� N,i�,zd��.�r'm �:�,,,wi„q^� '�`"r r�� a I'��l.��frr ,� ." ,ra ,. �w z P�✓i�.a", ,N �"��, i4y: /��/ ', y r Z.Y f� y JIT 19 WHITE S E TT L E M E f4 T2 ROAD jr a ! N l �� WHITE SETTLEMENT STREET BRIDGE RT WORTH , y^ r z Yz WATER City of Fort Worth, Texas Mayor and Council Communication COUNCIL ACTION: Approved on 9/2912015 - Resolution No. 4525-09-2015 DATE: Tuesday, September 29, 2015 REFERENCE NO.: C-27502 LOG NAME: 60TRVP4-SJLOUIS SUBJECT: Authorize Execution of a Contract with S.J. Louis Construction of Texas, Ltd., in the Amount of $2,225,409.40 for Water and Sanitary Sewer Main Relocations for the Trinity River Vision - Central City Project and the Trinity Uptown Service Area-Bridge and Channel Relocations, Part 4 - Channel Segment B Water/Sanitary Sewer Relocations, Provide for Project Costs and Contingencies for a Project Total in the Amount of$2,402,909.40, and Adopt Reimbursement Resolution (Trinity River Vision-Related Expenses Eligible for Reimbursement from the Tarrant Regional Water District) (COUNCIL DISTRICTS 2 and 9) RECOMMENDATION: It is recommended that the City Council: 1. Authorize the execution of a contract with S.J. Louis Construction of Texas, Ltd., in the amount of $2,225,409.40 for Trinity River Vision - Central City Project and the Trinity Uptown Service Area - Bridge and Channel Relocations, Part 4 - Channel Segment B Water/Sanitary Sewer Relocations; and 2. Adopt the attached Resolution 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 - Bridge and Channel Relocations, Part 4 - Channel Segment B Water/Sanitary Sewer Relocations. DISCUSSION: This Mayor and Council Communication is to authorize a construction contract for the relocation of sanitary sewer laterals L-6099, L-1099 and the abandonment of M-248 to accommodate the proposed United States Army Corps of Engineers Bypass Channel Segment B which is located north of the West Fork of the Trinity River, south of the Trinity River Vision (TRV) Main Street Bridge, west of N. Houston Street, and east of the Fort Worth and Western Railroad. The project was advertised for bid on March 5, 2015 and March 12, 2015 in the Fort Worth Star- Telegram. On April 2, 2015 the following bids were received: Time of F dders Bid Amount Com letion S.J. Louis Construction of Texas, Ltd $2,225,409.40 280 Calendar Days RK Contracting Services, LLC $2,330,515.00 In addition to the contract amount $107,500.00 (water: $7,500.00; sewer: $ 100,000.00) is required for project management, material testing and inspection and $70,000.00 (water: $3,000.00; sewer $67,000.00) is provided for project contingencies. Logname: 60TRVP4-SJLOUIS Page 1 of 4 Water, sanitary sewer and storm drainage program costs associated with the TRV project include both costs necessitated by the TRV project and costs related to betterments and operational considerations. Upon approval of this Mayor and Council Communication, the total of these water, sanitary sewer and major storm drain appropriations for the Trinity River Vision — Central City Project and the Trinity Uptown Service Area-Bridge and Channel Relocations Project will consist of the following: Engineering Agreements 7,745,913.00 Construction Contracts [$17,443,595.60 Major Drainage _� 4,977,146.95 Construction Staking, Project Management, Inspection, Material $ 1,779,645.47 Testing and Contingencies Project Appropriations $31,946,301.02 This project is anticipated to be included in a future 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 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 by 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. Fund Existing [A—dditional Revised Encumbrances i n Appropriations !Appropriations Appropriations and Expenditures Balance 9 Specially Funded Capital Projects $5,129,970.84 f 0.00 $ 5,129,970.84 $ 5,121,993.74 $ 7,977.10 Fund C291 Water Capital Projects Fund 14,026,209.66 0.00 $14,026,209.66 $13,376,909.76 $ 649,299.90 (P265) Sewer Capital Projects Fund 7,180,938.12 0.00 $ 7,180,938.12 $ 6,964,234.11 $ 216,704.01 (P275) 017 Water.and 3,206,273.00 2,402,909.40 $ 5,609,182.40 $ 2,922,723.00 $2,686,459.40 Sewer Revenue ($ Bonds Capital Logname: 60TRVP4-SJLOUIS Page 2 of 4 �(PProject 266) Fund ater/Sewer Program $29,543,391.62 1$ 2,402,909.40 $31,946,301.02 $ 28,385,860.61 $3,560,440.41 Appropriations Construction is anticipated to commence in November 2015 and is estimated to be complete by the end of August 2016. The entire $2,225,409.40 amount of this contract and the $44,500.00 material testing fee (to be performed by a geotechnical testing firm) are considered TRV-related. Having met its $26.6 million commitment to the TRV Project, the City will be reimbursed the full amount of$2,269,909.40 by the Tarrant Regional Water District (TRWD) upon project completion, in accordance with the provisions of the executed Interlocal Agreement between the City and the TRWD (CSC No. 43425). Staff will record a receivable every month for reimbursable expenses, and the TRV Program Manager in the Planning and Development Department will be responsible for collecting the full reimbursement from TRWD upon project completion. Available resources in the 2017 Water and Sewer Revenue Bonds Capital Project Fund will be used to provide interim financing until reimbursement occurs. Once reimbursement is received, the revenue will be receipted to the 2017 Water and Sewer Revenue Capital Project Fund. S.J. Louis Construction of Texas, Ltd., is in compliance with the City's BDE Ordinance by committing to 13 percent MBE participation and documenting good faith effort. S. J. Louis Construction of Texas, Ltd., identified several subcontracting and supplier opportunities. However, the MBE's contacted in the areas identified did not submit the lowest bid. The City's MBE goal on this project is 15 percent. This project is located in COUNCIL DISTRICTS 2 and 9, Mapsco 62, U, and V. FISCAL INFORMATION / CERTIFICATION: The Financial Management Services Director certifies that funds are available as directed by M&C G- 18375 in the 2017 Water and Sewer Revenue Bonds Capital Project Fund for transfer from unspecified funding to the Trinity River Vision-Central City Project and the Trinity Uptown Service Area-Bridge and Channel Relocations, Part 4 Project to pay expenses which will be incurred for this contract until reimbursement is received from the TRWD in accordance with the executed Interlocal Agreement, CSC No. 43425, as depicted in the following tables: Available Projected Fund Appropriation Expenditures Balance Amount 2017 Water and Sewer Revenue $51,403,088.86 $2,402,909.40 $49,000,179.46 Bonds Capital Project Fund After appropriation of the $2,402,909.40 to the project, $49,000,179.46 in available revenue will remain in the 2017 Water and Sewer Revenue Bonds Capital Project Fund. This project will have no impact on the Water Department Operating Budget. FUND CENTERS: Logname: 60TRVP4-SJLOUIS Page 3 of 4 TO Fund/Account/Centers FROM Fund/Account/Centers P266 541200 709170096983 $2,197,489.40 P266 541200 609170096983 $27,920.00 CERTIFICATIONS: Submitted for City Manager's Office by: Jay Chapa (5804) Originating Department Head: John Carman (8246) Additional Information Contact: Liam Conlon (6824) Logname: 60TRVP4-SJLOUIS Page 4 of 4