Explanation
1. BACKGROUND
This ordinance authorizes the Director of Public Utilities to enter into a Guaranteed Maximum Reimbursement Agreement (GMRA) with The Richard J. Conie Co. for the Blacklick Creek Subtrunk Sewer - Turning Branch project, CIP# 650138-100003, in an amount up to $3,448,267.49, pursuant to Section 186 of the Columbus City Charter.
Work for this project consists of the construction of approximately 1,070 linear feet of 18-inch sanitary sewer, 1,010 linear feet of 24-inch sanitary sewer, and other such work as may be necessary to complete the contract in accordance with the drawings (CC20016) for the project. The project will extend sanitary access to undeveloped parcels on the north and south sides of Shannon Road located east of the intersection of Shannon Road and Brice Road.
Upon passage of this Ordinance, the City of Columbus will agree to pay a maximum reimbursement amount of up to $3,448,267.49 to The Richard J. Conie Co. for construction of the Blacklick Creek Subtrunk Sewer - Turning Branch project, CIP# 650138-100003. The developer has agreed to construct the improvements at their cost and then obtain reimbursement from the City. The guaranteed maximum reimbursement agreement provides the developer constructs the public improvement on the City's behalf, the project is publicly bid and follows the City’s bid processes, the developer submits requests for reimbursement of construction costs related to the project, only pre-approved construction costs are reimbursed, and there is a limit to the dollar amount of costs that will be reimbursed.
The project is located within the 65 - South East Community Area.
TIMELINE: The work under this contract shall be completed in a manner acceptable to the City within 180 calendar days after the date of the Notice to Proceed.
ESTIMATED COST OF PROJECT: The GMRA amount is $3,448,267.49 including a 20% construction contingency amount that will be utilized to fund needed and approved changes in the work. No contract modifications are anticipated at this time; however, construction demand might later compel modification of this contract if unforeseen difficulties are encountered.
Cost summary:
Original Contract $3,448,267.49
Future Anticipated Needs $ 0.00
CONTRACT TOTAL $3,448,267.49
2. ECONOMIC IMPACT/ADVANTAGES; COMMUNITY OUTREACH; PROJECT DEVELOPMENT; ENVIRONMENTAL FACTORS/ADVANTAGES OF PROJECT
The project extends sanitary access to undeveloped parcels along the Shannon Road Corridor. The project in total will serve approximately 170 acres of undeveloped area within this corridor.
3. CONTRACT COMPLIANCE INORMATION
The Richard J. Conie Co. is not currently registered with the City. The company will need to become contract compliant prior to execution of the reimbursement agreement.
4. FISCAL IMPACT
Funds are available and appropriated within the Sanitary Bond Fund, Fund 6109, for this expenditure. An amendment to the 2023 Capital Improvement Budget is necessary to align budget authority with the proper project. A transfer of cash and appropriation is also needed to align cash and appropriation with the proper project.
5. EMERGENCY DESIGNATION
Emergency designation is requested so construction can begin on the public improvement part of the project to avoid interfering with and delaying the construction for the associated private development part of the project.
Title
To authorize the Director of Public Utilities to enter into a Guaranteed Maximum Reimbursement Agreement with The Richard J. Conie Co. for the Blacklick Creek Subtrunk Sewer - Turning Branch project; to amend the 2023 Capital Improvement Budget; to authorize a transfer of cash and appropriation within the Sanitary Bond Fund; to authorize an expenditure of up to $3,448,267.49 from the Sanitary Bond Fund; and to declare an emergency. ($3,448,267.49)
Body
WHEREAS, sanitary sewer needs to be constructed for the Blacklick Creek Subtrunk Sewer - Turning Branch project, CIP# 650138-100003; and
WHEREAS, The Richard J. Conie Co. is willing to construct this sanitary sewer and be reimbursed by the City for doing so; and
WHEREAS, it is necessary for the Director of Public Utilities to enter into a Guaranteed Maximum Reimbursement Agreement with The Richard J. Conie Co. for the Blacklick Creek Subtrunk Sewer - Turning Branch project to do this reimbursement; and
WHEREAS, funding must be available to perform this reimbursement; and
WHEREAS, it is necessary to amend the 2023 Capital Improvement Budget to align budget authority with the proper project; and
WHEREAS, it is necessary to authorize a transfer of cash and appropriation between projects within the Sanitary Bond Fund to align cash and appropriation with the proper project; and
WHEREAS, reimbursement must be made to The Richard J. Conie Co. under the terms of the Guaranteed Maximum Reimbursement Agreement; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Public Utilities in that it is immediately necessary to authorize the Director of Public Utilities to enter into a Guaranteed Maximum Reimbursement Agreement with The Richard J. Conie Co. for the Blacklick Creek Subtrunk Sewer - Turning Branch project so construction can begin on the public improvement part of the project to avoid interfering with and delaying the construction for the associated private development part of the project, thereby preserving the public health, peace, property, and safety; NOW, THEREFORE,
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
6109 / 650505-100001 / SMOC Inventory Control Consolidations (Voted Sanitary Carryover) / $4,267,200.00 / $818,933.00 / ($3,448,267.00)
6109 / 650138-100003 / Blacklick Creek Subtrunk Sewer - Turning Branch (Voted Sanitary Carryover) / $0.00 / $3,448,267.00 / $3,448,267.00
SECTION 2. That the City Auditor is hereby authorized to transfer up to $3,448,267.49 within the Sanitary Bond Fund, Fund 6109, per the account codes in the attachment to this ordinance.
SECTION 3. That the Director of Public Utilities is hereby authorized to enter into a Guaranteed Maximum Reimbursement Agreement with The Richard J. Conie Co., 3300 Riverside Drive, Suite 100, Columbus Ohio, 43221, for the construction of the Blacklick Creek Subtrunk Sewer - Turning Branch project, CIP# 650138-100003, in accordance with the terms and conditions on file in the Department of Public Utilities.
SECTION 4. That the Director of Public Utilities is hereby authorized to expend up to $3,448,267.49 from the Sanitary Bond Fund, Fund 6109, per the account codes in the attachment to this ordinance.
SECTION 5. That the City Auditor is authorized to establish proper project accounting numbers as appropriate.
SECTION 6. That the funds necessary to carry out the purpose of this ordinance are hereby deemed appropriated, and the City Auditor shall establish such accounting codes as necessary.
SECTION 7. 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 8. That for reasons stated in the preamble hereto, which is hereby 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 days after passage if the Mayor neither approves nor vetoes the same.