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HomeMy WebLinkAboutOrdinance 11822~ .S '~a ~. f ~ ORDINANCE NO,/ ~~~ AN ORDINANCE INCREASING THE ESTIMATED RECEIPTS AND APPROPRIATIONS IN THE GRANTS FUND IN THE AMOUNT OF $26,667.00 FOR THE PURPOSE OF CONTRACTING WITH FORT WORTH ECONOMIC DEVELOPMENT CORPORATION FOR THE ADMINISTRATION OF THE REVOLVING LOAN FUND PROGRAM, PROVIDING FOR A SEVERABILITY CLAUSE, MAKING THIS ORDINANCE CUMULATIVE OF PRIOR ORDINANCES AND REPEALING ALL 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 the Fiscal Year T994-95 and in the Budget of the City Manager, there shall also be increased estimated receipts and appropriations in the Grants Fund in the amount of $26,667.00 for the purpose of contracting with the Fort Worth Economic Development Corporation for the administration of the Revolving Loan Fund Program. SECTION 2. 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. 11645 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in which instance said conflicting provisions of said prior ordinances and appropriations are hereby expressly repealed.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 and be in full force and effect from and after the date of its passage, and it is so ordained. APPROVED AS TO FORM AND LEGALITY ,~~~City Atto e ~ ~~~,~. Date ' /-,~ / - ~~ Adopted s Effective City of Fort T~orth, Texas Mayor and Council Communication DATE REFERENCE NUMBER LOG NAME PAGE 01 /31 /95 **C-14676 131X 1 of 2 SUBJECT CONTRACT WITH FWEDC FOR THE ADMINISTRATION OF THE RLF FUND RECOMMENDATION• It is recommended that the City Counc+l authorize the C+ty Manager to 1 Execute a contract w+th the Fort Worth Econom+c Development Corporation (FWEDC) to admin+ster the RLF Program, from RLF +nterest repayments, in an amount not to exceed 526,667 00 for the per+od January 1, 1995, to May 31, 1995, and 2 Adopt the attached appropr+at+on ordinance increasing estimated rece+pts and appropriat+ons +n the Grants Fund by 526,667 00 from increased revenue, and 3 Authorize the transfer of RLF Program interest income in the ,Grant Fund to the FWEDC RLF Administration project, and 4 Authorize the use of Revolving Loan Fund Program (RLF) proceeds earned for the period of January 1, 1995, to May 31, 1995, to fund loans and administer the RLF Program DISCUSSION On September 30, 1980, the Economic Development Administration awarded 51 million Title IX Economic Adjustment Grant to the City of Fort Worth, to establ+sh a Revolving Loan Fund (RLF) The purpose of the funds was to strengthen the economic base of four Coordinated Neighborhood Revitalization (CNR) areas (Mid-South, Near Southeast, Northside, and Riverside) within the City of Fort Worth by providing a source of financing for small business loans ~ The grant required that the City provide a 5490,000 00 matching share, which was provided through the City's Community Development Block Grant (CDBG) funds, banging the total authorized budget for the protect to 51,490,000 00 The grant mandated that the funds be administrated by an independent, not-for-profit corporation composed of a board of directors and staff separate from the City of Fort Worth This requirement was initially satisfied by contracting with the Fort Worth Economic Development Corporation FWEDC operated the fund from its inception through May 31, 1991 , when +ts contract exp+red and was not renewed based on directions from the U S Department of Hous+ng and Urban Development (HUD) HUD's direction was based on its find+ng that FWEDC had shown a tow achievement of goals over a significant period of time From June, 1991 until January, 1994 the City serviced the loans that had been made to small businesses spi Printed on recycled paper City of Fort Worth, Texas Mayor and Council Communication DATE 01 /31 /95 REFERENCE NUMBER **C-14676 LOG NAME PAGE 131X 2 of 2 suJ3JECT CONTRACT WITH FWEDC FOR THE ADMINISTRATION OF THE RLF FUND The City executed a contract with FWEDC to administer the RLF Program from January 31, 1994, to September 30, 1994 The contract was extended from September 30, 1994, to December 31, 1994 because the City's economic development initiative was being evaluated by staff During the evaluation period staff has determined that the continued operation of the RLF Program by FWEDC will benefit the City's overall strategy to assist businesses and create jobs in the four CNR coordinated areas This project will service COUNCIL DISTRICTS 2, 4, 8, and 9 FISCAL INFORMATION/CERTIFICATION The Fiscal Services Director certifies that upon the approval of the above recommendations, teh funds will be available in the current operating budget, as approved in the Grant Fund CB w Submitted for City Manager's FUND A(.000\'T C.11'1'LR AN10UN1' CITY SECRETARY Oftice by: (t~) (2) GR76 53J12U 013206100890 S26 667 00 Charles Boswell 8500 (2)(3) GR76 451685 013?06100000 $26 667 00 APPROVED Originating Department Head: rJ~ ! ~ ~®1 I@~ Jirn Keyes 8517 ( from) ! ~tt ~~ ~~~ i r'li~l For Additional information (3)GR76 451524 005206060000 826 667 00 ~ w4s.th~+..~,,,~ Contact: :ihr ~e:Crelstrq o! thQ ,uv of ort C~Vort~t ':' s s Jim Kayes 8517 , e a ~~~ Printed on recycled paper