Explanation
1. BACKGROUND
This ordinance authorizes the Director of Public Utilities to enter into a planned contract modification with Stantec Consulting Services, Inc. (Stantec) for construction administration/inspection services for Department of Public Utilities construction projects bid during the calendar years 2026 through 2028 as part of the Construction Administration/Construction Inspection Services 2026-2028 contracts.
Stantec Consulting Services, Inc. will perform construction administration/inspection services for Department of Public Utilities Capital Improvement Projects that bid during the years 2026, 2027, and 2028. The contract will be modified as needed throughout the 3-year period to include these projects as they go into construction. Projects are located throughout the City of Columbus.
The construction project to be administered by Stantec Consulting Services, Inc. under this contract modification is the Lead Service Line Replacement-Part 3 project, CIP 690236-110003.
The Columbus Community is 53 - Greater Hilltop.
1.1. Amount of additional funds to be expended: $999,291.15
Original Contract: $1,042,024.74 (ORD 0535-2026; PO TBD)
Modification #1: $343,576.00 (ORD 0893-2026; PO TBD)
Modification #2: $999,291.15 (This ordinance)
Total $2,384,891.89
1.2. Reasons additional goods/services could not be foreseen:
This is a three-year contract for fiscal years 2026 - 2028 for which modifications were anticipated pursuant to the original authorizing legislation under Ordinance 0535-2026 to account for future construction projects being assigned to Stantec Consulting Services, Inc. for inspection services. Those future construction projects were not known when the contract was put into place.
1.3. Reason other procurement processes are not used:
This is a multi-year contract that will be modified as required to provide construction administration/inspection services for future construction projects that bid during the three-year (2026-2028) time frame. Those future construction projects were not known when the contract was put into place.
1.4. How cost of modification was determined:
The cost of this modification was determined by negotiations between Stantec Consulting Services, Inc. and the Department of Public Utilities project staff based upon the existing contract labor titles, maximum labor rates, allowable contract expenses, and the time estimated to be needed to perform contract tasks.
2. ECONOMIC IMPACT/ADVANTAGES; COMMUNITY OUTREACH; PROJECT DEVELOPMENT; ENVIRONMENTAL FACTORS/ADVANTAGES OF PROJECT
The goal of this project is to remove lead water service lines from the distribution system. Replacement of these water services will assist with meeting OEPA requirements pertaining to lead. Community outreach may result through the Neighborhood Liaison Program or the City’s own internal outreach team.
3. CONTRACT COMPLIANCE INFORMATION
Stantec Consulting Services, Inc.’s contract compliance number is CC-000462 and expires 7/1/2027. Stantec Consulting Services, Inc.’s certification was in good standing at the time of contract award.
Stantec Consulting Services, Inc. plans to subcontract with the following company:
Name C.C. No. Exp. Date City/State Status
DHDC, Inc. CC-006280 05/23/26 Columbus/OH MAJ
Searches in the Excluded Party List System (Federal) and the Findings for Recovery list (State) produced no findings against Stantec Consulting, Inc.
Stantec Consulting Services Inc. and DHDC were in good standing at the time of this contract modification.
4. FISCAL IMPACT
Funds are available and appropriated within the Water System Reserve Fund, Fund 6003. The construction portion of this project is anticipated to be financed with a loan from the Water Supply Revolving Loan Account (WSRLA), a program jointly administered by the Ohio EPA's Division of Environmental and Financial Assistance and the Ohio Water Development Authority (OWDA). City Council authorized this loan application and acceptance of funding via Ordinance 0348-2025, passed by Council on 4/28/25. The loan is expected to be approved in June 2026. The Department of Public Utilities will inform the Auditor's Office when this loan has been approved. The WSRLA program is now a reimbursement program. The Department of Public Utilities will pay invoices for the work performed and then submit them to OWDA for reimbursement.
This Ordinance authorizes the City Auditor to appropriate and transfer funds from the Water System Reserve Fund, Fund 6003, to the Water Supply Revolving Loan Account Fund, Fund 6011, in order to fund this proposed expenditure. This transaction is a temporary measure that is required until such time as the Division is able to execute a loan with the Water Supply Revolving Loan Account Fund and reimburse the Water System Reserve Fund. The 2025 Capital Improvement Budget must be amended to align budget authority with the proper project. Funds will need to be appropriated in the Water Supply Revolving Loan Account Fund, Fund 6011, in the amount of $999,291.15.
5. EMERGENCY DESIGNATION
Emergency designation is requested for this ordinance. The use of lead water lines is a public health hazard that must be eliminated as quickly as possible.
Title
To authorize the Director of Public Utilities to enter into a planned contract modification for Construction Administration and Inspection Services with Stantec Consulting Services, Inc. for Lead Service Line Replacement-Part 3 Project; to amend the 2025 Capital Improvement Budget; to authorize the appropriation of funds in the Water System Reserve Fund; to authorize a transfer of cash and appropriation between the Water System Reserve Fund and the Water Supply Revolving Loan Account Fund; to authorize the appropriation and expenditure of up to $999,291.15 from the Water Supply Revolving Loan Account Fund for the contract modification; and to declare an emergency. ($999,291.15)
Body
WHEREAS, the Department of Public Utilities advertised a Request for Proposals for Construction Administration/Construction Inspection Services; and
WHEREAS, Stantec Consulting Services was one of seven firms selected by the evaluation committee to provide these services; and
WHEREAS, Ordinance 0535-2026 authorized the contract with Stantec Consulting Services for these services and assigned the first task to be performed; and
WHEREAS, the Department of Public Utilities is engaged in the Lead Service Line Replacement-Part 3 Project, CIP 690236-110003; and
WHEREAS, a construction contract has been awarded for the Lead Service Line Replacement-Part 3 Project; and
WHEREAS, construction administration and construction inspection services must be performed on the construction work; and
WHEREAS, an additional construction inspection/administration task needs to be performed; and
WHEREAS, the contract with Stantec Consulting Services will need to be modified to add this task to the contract and to add funding to pay for the task; and
WHEREAS, it is necessary to both appropriate funds from the Water System Reserve Fund, Fund 6003, and to authorize the transfer of said funds into the Water Supply Revolving Loan Account Fund, Fund 6011, in order to temporarily fund this expenditure, until such time as the City is able to execute a loan for the above stated purpose and reimburse the Water System Reserve Fund; and
WHEREAS, Ordinance 0348-2025, passed by City Council on 4/28/25, authorized this project to be funded by a loan to be obtained through the Water Supply Revolving Loan Account (WSRLA); and
WHEREAS, an amendment to the 2025 Capital Improvement Budget is needed to align budget authority with the proper projects; and
WHEREAS, it is necessary to appropriate and expend funds from the Water Supply Revolving Loan Account Fund, Fund 6011, to pay for the Construction Administration/Construction Inspection Services of the Lead Service Line Replacement-Part 3 Project; and
WHEREAS, the City anticipates incurring certain Original Expenditures (as defined in Section 1.150-2(c) of the Treasury Regulations (the “Treasury Regulations” promulgated pursuant to the Internal Revenue Code of 1986, as amended)) with respect to the construction of the Project described in this Ordinance (collectively, the “Project”); and
WHEREAS, an emergency exists in the usual daily operation of the Department of Public Utilities to authorize the Director of the Department of Public Utilities to enter into a planned contract modification for the Construction Administration/Construction Inspection (CA/CI) Services 2026-2028 contract with Stantec Consulting Services, Inc., so CA/CI services can be performed on the construction of the Lead Service Line Replacement-Part 3 Project to replace lead lines as quickly as possible, CIP 690239-110003, all for the immediate preservation of the public health, peace, property, safety and welfare; NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the 2025 Capital Improvement Budget authorized by Ordinance 1790-2025 be amended as follows to establish sufficient budget authority for this project:
Fund / Project Number / Project Name (Funding Source) / Current Authority / Revised Authority / Change
6011 / 690236-110003 / Lead Service Line Replacements - Part 3 (WSRLA Loan) / $10,756,912.00 / $11,756,204.00 / $999,292.00 (To match the loan amount)
SECTION 2. That from the unappropriated monies and from all monies estimated to come into said fund from any and all sources, and unappropriated for any other purpose during the fiscal year ending December 31, 2026, the sum of $999,291.15 is appropriated in the Water System Reserve Fund, Fund 6003, per the account codes in the funding attachment to this ordinance.
SECTION 3. That the transfer of $999,291.15 or so much thereof as may be needed, is hereby authorized between the Water System Reserve Fund, Fund 6003, to the Water Supply Revolving Loan Account Fund, Fund 6011, per the account codes in the attachment to this ordinance.
SECTION 4. That from the unappropriated monies and from all monies estimated to come into said fund from any and all sources, and unappropriated for any other purpose during the fiscal year ending December 31, 2026, the sum of $999,291.15 is appropriated in the Water Supply Revolving Loan Account Fund, Fund 6011, per the account codes in the funding attachment to this ordinance.
SECTION 5. That the Director of Public Utilities is authorized to enter into a contract modification with Stantec Consulting Services, Inc. 1500 Lake Shore Drive, Suite 100, Columbus, Ohio 43204, for construction administration and inspection services, in accordance with the terms and conditions as shown in the contract on file with the Department of Public Utilities, in an amount not to exceed $999,291.15 for the Lead Service Line Replacement-Part 3 Project.
SECTION 6. That the expenditure of $999,291.15, or so much thereof as may be needed, is hereby authorized per the accounting codes in the attachment to this Ordinance.
SECTION 7. That upon obtaining other funds for the purpose of funding the Lead Service Line Outreach project, the City Auditor is hereby authorized to repay the Water System Reserve Fund the amount transferred above (Section 3), and said funds are hereby deemed appropriated for such purposes.
SECTION 8. That the City intends that this Ordinance constitute an "official intent" for purposes of Section 1.150-2(e) of the Treasury Regulations, and that the City reasonably expects to reimburse itself for certain Original Expenditures incurred with respect to the Project from the proceeds of obligations to be issued by the City in a principal amount currently estimated to be $ $999,291.15 (the "Obligations").
The City intends to make a reimbursement allocation on its books for the Original Expenditures not later than eighteen months following the later to occur of the date of the Original Expenditure to be reimbursed or the date the Project for which such Original Expenditures were made is "placed in service" within the meaning of Treasury Regulations Section 1.150-2(c). Upon the issuance of the Obligations, the proceeds of such Obligations shall be used to reimburse Water System Reserve Fund, Fund 6003, which is the fund from which the advance for costs of the Project will be made.
SECTION 9. Funds are hereby deemed appropriated and expenditures and transfers authorized to carry out the purposes of this ordinance and the City Auditor shall establish such accounting codes as necessary.
SECTION 10. That the City Auditor is authorized to make any accounting changes to revise the funding source for all contracts or contract modifications associated with this ordinance.
SECTION 11. That the City Auditor is hereby authorized to transfer the unencumbered balance in a project account to the unallocated balance account within the same fund upon receipt of certification by the Director of the Department administering said project that the project has been completed and the monies are no longer required for said project.
SECTION 12. That for the reasons stated in the preamble hereto, which is made a part hereof, this Ordinance is declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor, or ten (10) days after passage if the Mayor neither approves nor vetoes this Ordinance.