Explanation
1. BACKGROUND
The purpose of this ordinance is to amend Ordinance 3098-2023 authorizing the execution of a service contract between the Department of Public Utilities and Ethosoft, Inc. for the Laboratory Information Management System (LIMS) software for Division of Water (DOW) and Division of Sewerage and Drainage (DOSD).
Ordinance 3098-2023, passed by Columbus City Council on 12/4/2023, authorized the Director of Public Utilities to enter a service contract with Ethosoft, Inc. and to expend up to $831,809.00. The financing of this initial contract was to be done with a loan from the Ohio Water Development Authority (OWDA) Fresh Water Program. When it was discovered OWDA would not fund the initial licensing and software costs of the project, Ordinance 3024-2024 was submitted to provide funding for this cost but conflicted with Ordinance 3098-2023. This amendment to 3098-2023 is being processed to correct Ordinance 3098-2023 so the Auditor’s Certificate issued for Ordinance 3024-2024 can be used to pay for the initial licensing and software costs.
2. FISCAL IMPACT
There is no increase in cost. The $110,000.00 in costs not covered by the OWDA loan in Ordinance 3098-2023 is covered by the $110,000.00 authorized by Ordinance 3024-2024.
There is no penalty to the City for the extra $110,000.00 on the loan application. The loan amount will be adjusted to the actual expense amount when the project is completed per the standard loan process with OWDA, and loan repayment will be per this revised amount. The $110,000.00 on the ACPO issued via Ordinance 3024-2024 has already been encumbered and is available for use.
Title
To amend Ordinance 3098-2023 to remove $110,000.00 that is not covered by the loan obtained for this expenditure; and to clarify that this $110,000.00 expenditure is covered by Ordinance 3024-2024. ($0.00)
Body
WHEREAS, Ordinance 3098-2023 authorized the Director of Public Service to execute a contract with Ethosoft, Inc. for the Laboratory Information Management System (LIMS) software for Division of Water (DOW) and Division of Sewerage and Drainage (DOSD); and
WHEREAS, after passage of 3098-2023 it was determined that the loan from the Ohio Water Development Authority would not pay for licensing and software costs; and
WHEREAS, Ordinance 3024-2024 authorized the expenditure of $110,000.00 to pay for the licensing and software costs; and
WHEREAS, it has become necessary in the usual daily operation of the Department of Public Utilities to remove the $110,000.00 from Ordinance 3098-2023 that was not covered by the Ohio Water Development Authority loan and to clarify the expenditure is covered by Ordinance 3024-2024; NOW THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That Ordinance 3098-2023 be hereby repealed and replaced as amended in the following, with additions in bold and deletions in strikethrough:
(6. FISCAL IMPACT)
A transfer of funds from the Sanitary Reserve Fund, Fund 6102, to the Sanitary Fresh Water Market Rate Fund, Fund 6124, in the amount of $415,904.50$360,904.50, and a transfer of funds from the Water Reserve Fund, Fund 6003, to the Water Fresh Water Market Rate Fund, Fund 6014, in the amount of $415,904.50$360,904.50, are needed to fund this contract. These transactions are a temporary measure that are required until a loan is executed with OWDA to reimburse both Reserve Funds. The loan is expected to be approved in December, 2023. These funds will also need to be appropriated to be transferred and then appropriated after transfer to the new Funds. An amendment to the 2023 Capital Improvement Budget is needed to align budget authority with the proper project.
(Title)
To authorize the Director of Public Utilities to enter into contracts with Ethosoft, Inc. for the DOSD and DOW Lab Information Management System (LIMS) Upgrade project; to authorize an amendment to the 2023 Capital Improvement Budget; to authorize a transfer of funds from the Sanitary Reserve Fund and the Water Reserve Fund to the Sanitary Fresh Water Market Rate Fund and to the Water Fresh Water Market Rate Fund; to authorize the appropriation of funds; and to expend up to $831,809.00$721,809.00 from Sanitary Fresh Water Market Rate Fund and the Water Fresh Water Market Rate Fund; and to clarify that the expenditure of up to $110,000.00 authorized by Ordinance 3024-2024 replaces the $110,000.00 removed from this Ordinance that was not covered by the Ohio Water Development Authority loan for this project. ($831,809.00$721,809.00)
(Body)
WHEREAS, Ordinance 3024-2024, approved by Columbus City Council on 11/25/2024, authorized the expenditure of up to $110,000.00 with Ethosoft, Inc., for the DOSD and DOW Lab Information Management System Upgrade project to pay for costs not covered by the Ohio Water Development Authority loan obtained to finance the project; and
(BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:)
SECTION 1. That the 2023 Capital Improvement Budget authorized by Ordinance 1711-2023 be amended as follows to establish sufficient budget authority for this project:
Fund / Project Number / Project Name (Funding Source) / Current Authority / Revised Authority / Change
6124 / 650665-100000 / DOSD LIMS Upgrade (OWDA Direct Loan) / $0.00 / $415,905.00$360,905.00 / 415,905.00$360,905.00 (To match loan amount)
6014 / 690572-100000 / DOW LIMS Upgrade (OWDA Direct Loan) / $0.00 / 415,905.00$360,905.00 / 415,905.00$360,905.00 (To match 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 ended December 31, 2023, the sum of $831,809.00$721,809.00 is appropriated in Fund 6102 (Sanitary Reserve Fund), and Fund 6003 (Water Reserve Fund) per the account codes in the attachment to this ordinance.
SECTION 3. That the transfer of $831,809.00$721,809.00, or so much thereof as may be needed, is hereby authorized between the Sanitary Reserve Fund and the Water Reserve Fund to the Sanitary Fresh Water Market Rate Fund and to the Water Fresh Water Market Rate Fund per the accounting codes in the attachment to this Ordinance.
SECTION 5. 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 ended December 31, 2023, the sum of $831,809.00$721,809.00 is appropriated in Fund 6124 (Sanitary Fresh Water Market Rate Fund), and Fund 6014 (Water Fresh Water Market Rate Fund) per the account codes in the attachment to this ordinance.
SECTION 6. That an expenditure not to exceed $831,809.00$721,809.00 is authorized per the accounting codes in the attachment to this Ordinance.
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 $831,809.00$721,809.00 (the "Obligations").
SECTION 13. That the expenditure of up to $110,000.00 authorized by Ordinance 3024-2024, passed by Columbus City Council on 11/25/2024, replaces the $110,000.00 removed from this Ordinance that was not covered by the Ohio Water Development Authority loan for this project.
SECTION 2. That this ordinance shall take effect and be in force from and after the earliest period allowed by law.