Explanation
BACKGROUND: This legislation authorizes the Director of the Department of Development to enter into a Guaranteed Maximum Cost Reimbursement Agreement with the Lincoln Theater Association. The agreement will provide $4,000,000 from the Northland and Other Acquisitions Fund and $4,000,000 from the Special Income Tax fund to assist with the renovation of the Lincoln Theater, an historic landmark in the City's King-Lincoln District. The Lincoln Theater Association will use the dollars to renovate the theater to accommodate more than 500 seats, a state of the art recording environment and separate jazz gallery. The improvements will assist in advancing the economic revitalization of the community.
Emergency action is requested for this legislation in order to comply with the time line for the project to begin construction.
FISCAL IMPACT: $4,000,000 is included in the 2006 Capital Improvements Budget Lincoln Theatre project. Another $4,000,000 will come from the Special Income Tax Fund. This legislation authorizes the appropriation, transfer and expenditure of funds. This transfer from the Special Income Tax Fund is only a temporary funding measure until funds are received from Franklin County at which time the Special Income Tax Fund will be reimbursed for this transaction.
Title
To authorize the Director of the Department of Development to enter into a Guaranteed Maximum Cost Reimbursement Agreement under Section 186 of the Charter with the Lincoln Theater Association; to authorize the City Auditor to transfer $4,000,000 from the Special Income Tax Fund to the Northland and Other Acquisition Fund for costs in connection with the Lincoln Theatre project and to authorize said expenditure; to authorize an additional expenditure of $4,000,000 from the Northland and Other Acquisitions Fund; to waive the competitive bidding procedures of Chapter 329 of the City Code; and to declare an emergency ($8,000,000).
Body
WHEREAS, the Director of the Department of Development desires to enter into an agreement with the Lincoln Theater Association for $8,000,000.00 to complete the rehabilitation of the Lincoln Theater; and
WHEREAS, it is necessary to appropriate and transfer $4,000,000.00 from the Special Income Tax Fund to the Northland and Other Acquisition Fund and to expend the same; and
WHEREAS, this transfer should be considered as a temporary funding method and upon receipt of funds from Franklin County, the Special Income Tax Fund will be reimbursed; and
WHEREAS, the aggregate principal amount of obligations which the City will issue to finance this project is presently expected not to exceed $8,000,000.00; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Development in that it is immediately necessary to enter into an agreement with the Lincoln Theater Association to allow rehabilitation to begin immediately, thereby preserving the public health, peace, property, safety, and welfare, and NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
Section 1. That, pursuant to Section 186 of the City Charter, the Director of the Department of Development is hereby authorized to enter into a Guaranteed Maximum Cost Reimbursement Agreement with the Lincoln Theater Association for Eight Million Dollars ($8,000,000.00) to renovate the Lincoln Theater.
Section 2. That the competitive biddung procedures of Chapter 329 of the City Code are hereby waived.
Section 3. That the sum of $4,000,000.00 is hereby appropriated from the unappropriated balance of the Special Income Tax Fund No. 430, and from all monies estimated to come into said fund from any and all sources and unappropriated for any other purchase during the fiscal year ending December 31, 2006, to the City Auditor, Dept./Div. No. 22-01, Object Level One 10, OCA 902023, Object Level Three, 5502.
Section 4. That the City Auditor is hereby authorized to transfer said funds to the Northland and Other Acquisitions Fund No. 735, Project No. 441736, at such time as is deemed necessary by the City Auditor, and to expend $4,000,000.00 or so much thereof as may be necessary.
Section 5. The $4,000,000 is hereby appropriated in Fund 735, Project 441736, OL1 06. This is in addition to the $4,000,000 appropriated in Ordinance No. 2074-2006
Section 6. That the expenditure of $8,000,000.00, or so much thereof as may be necessary, be and is hereby authorized from the Northland and Other Acquisitions Fund, Fund 735, Division 44-01, Project 441736, Lincoln Theater, Object Level Three 6680, OCA Code 441736, to pay the cost thereof.
Section 7. That the City Auditor is hereby authorized to transfer the unencumbered 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; except that no transfer shall be so made from a project account funded by monies from more than one source.
Section 8. That upon obtaining other funds for this project, the City Auditor is hereby authorized to repay the Special Income Tax Fund the amount transferred under Section 4 above, and said funds are hereby deemed appropriated for such purpose.
Section 9. That the City Auditor is authorized to make any accounting changes to revise the funding source for any contract or contract modification associated with the expenditure of the funds transferred in Section 4 above.
Section 10. That the City intends that this ordinance constitute an "official intent " for purposes of Section 1.150-2(e) of the Treasury Regulations promulgated pursuant to the Internal Revenue Code of 1986, as amended.
Section 11. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is hereby 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.