HomeMy WebLinkAboutResolution 4541-11-2015 A Resolution
® 4,541-11-2015
STATEMENT EXPRESSING
OFFICIAL INTENT REMBURSE,
EXPENDITURES WITH PROCEEDS OF FI.J't,'IJRE DEBT FOR THE WALSH
RANCH PUMPS A PROJECT
WHEREAS, the City of Fort Worth, Texas (the "City") is a home-rule municipality
and political subdivision o f t he State of Texas; and
WHEREAS, the City expects to pay expenditures in con nection with the design,
planning, acquisition and construction for the Walsh Ranch Pump Station project as shown
on the attached map (the "Ilroject") prior t o t he 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 o f t he City and, a s s uch, chooses to declare its intention, in accordance
with the provisions of Section 1.150-2 o f t he Treasury Regulations, to reimburse itself for
such payments at such time as it issues obligations to finance the Project;
THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OFF WORTH, TEXAS:
S'ee"6'otl-I-. "rhe City reasona[fly expects debt, as one or more series of obligations, may
be issued or incurred by the City with an aggregate maximum principal anlount not to exceed
$1,900,000.00 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
o ig,
bl 'I J�ions will be issued by the City in furtheirarlice of this Statement after a date which is later
than 18 rnonths after the later of (1) the date the exp(niditures are paid or (2) the date on which
the property, with respect to which such expen&tures were made, is placed in service.
'Sectio'n".31. 'rhe foregoing notwithstanding, no obligation will be issued pursuant to this
Staternent more than three years after the date any expenditure which is to be reimbursed is
paid,,
Adopted this .1.7"', day of No-veMbe'1.r,_,, 2015.
On
ATTE S T:
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By ..................................................................
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Mary J. K�� r, C ity Secretary 0�otttl 0000 0
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60WALSH RANCH PUMP
WMER STATION N
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....................
Walsh Ranch
Pump Station Proje
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Existing Walsh
Ground Storage Tan
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City of Fort Worth, Texas
Mayor and Council Communication
COUNCIL ACTION: Approved on 11/17/2015 - Resolution 'No. 4541-11-2015
DATE: Tuesday, November 17, 2015 REFERENCE NO.: C-27538
LOG NAME: 60WALSH RANCH PUMP STATION
SUBJECT:
Authorize Execution of a Contract with Felix Construction Company in the Amount of$1,584,685,00 for the
Walsh Ranch Pump Station Project Located at 8000 E. Interstate 20 and Provide for Project Costs and
Contingencies for a Project Total in the Amount of$1,747,685.00 and Adopt Reimbursement Resolution
(ALL COUNCIL DISTRICTS)
...........
RECOMMENDATION:
It is recommended that the City Council,
1. Authorize execution of a contract in the amount of$1,584,685.00 with Felix Construction Company for
the Walsh Ranch Pump Station Project, located at 8000 E. Interstate 20; and
2. Adopt the attached resolution expressing official intent to reimburse expenditures with proceeds of
future debt forte Walsh Ranch Pump Station Project.
.......... .......... ...
DISCUSSION:
The 2005 Water Master Plan Study recommended a booster pump station be installed adjacent to the
existing Walsh Ranch Ground Storage Tank to provide water service tote proposed Westside V
pressure plane, which will include portions oft e Morningstar and Walsh Ranch Developments in west
Fort Worth. The Walsh Ranch Pump Station will connect t o t he 36 inch diameter Westside V water in
being installed as part of a Community Facilities Agreement approved by City Council on September 15,
2015 (M&C C-27460) with FG Ale do Development LL C. The project was advertised on August 27, 2015
and September 30 2015 in the Fort Worth Star-Tale
............... On September 24, 20158 the following four bids
were received-
[bib
210 c�a I e"nd-air d iys.
FLA -*i,-6 15--,-6-0-16.-0-6
,V6-11bake-C-o n, 1.struction, Inc. $T,76000,00
Red River Construction Co. 1,839,5K00
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
Lognaine: 60WALSH RANCI-1 PIJAV STATION Page I of 3
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 so 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 improvement 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 other financing sources. If the Councii-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 of 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. Funding for the Walsh Ranch Pump Station is as
depicted in the following tables:
. [... ........ ........... --- - - '
Encumbrances
Existing Additional Revised and Remaining
FUND Appropriation"s Appropriations Appropriations Expenditures Balance
Sewer Capital
Projects Fund
(59601) $18,000.00 $ 0.00 $ 18,000.00 $8,74T62 $ 9,252.38
017 Water and
Sewer Direct
Purchase Note
Fund
(56005) $ 0.00 $1,729,685.00 $1,729,685.00 $ 0.00 $1,729,685.DO
10 ro-jeci-tot'a"C", $18,000®00 $1,7299685.00 m 1,747,685 OO $ X747 62 1,738,937 38
Design, Inspection, Survey,
Contingencies and Project $ 163,000.00
Management
onstruction Contract $1 584,685 00
.... . ...................................
Ppr6pi
0-roi r ations $1,747,685.00
...............
Construction begins in January 2016 and is scheduled to be completed in August 2016.
M/WE OFFICE - Felix Construction Company is in compliance with the City's BDE Ordinance by
committing to 18 percent MBE participation on this project. The City's MBE goal on this project is 18
percent.
The project is located in COUNCIL DISTRICT 3, Mapsco 760.
FISCAL INFORMATION / CERTIFICAT'll(DIN:
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 Walsh Ranch Pump Station Project, as depicted in the following table:
Aviii-able '..
Approptlation I�p
Lo�,,name: 60WALSH RAN(.',I f PUMP STATION Page 2 of 3
FUND Amount Expenditures } Balance
X017 Water and Sewer
�Darect Purchase Nate ;
r`und $94,025,95°7.00 j $1,729,685,00 $92,296,272M
Operating Impact is anticipated to be $52,000.00 per year,
FUND lQENTIFIERS JF'I'Ds�:
TO
ID .n..... w _m _..._ID.. ...._..._.....g_ ... ......._. . ... ear t (Chartfield Vin._...... .moon
Fund De art ment ccoun Pro ect F'ro ram cti�r _..__ .
FROM
Fund Department Account, Project Pro ram ctivity Budget Reference # Amount
II56005. „ .
M ID _. .. w.m ID Year Dhartfield
O o o ff 0.
0
. ._. ...
CERTIFICATIONS:
Submitted for Gi tlanaaaer°s Dffigq_b m„ Jay Chapa (0122)
®rcinatinq DeApr Jo Carman (0240)t
Additional Information Contact: Chris Harder (0203)
LO, )OHMIC- 60WALSf1 R.A ➢f;:H PUMP STATION Page 3 of