Explanation
BACKGROUND: This Ordinance authorizes the Director of Public Utilities to modify and increase the Division of Power and Water's professional engineering services contract with Korda/Nemeth Engineering, Inc. for the Canyon Drive Area Water Line Improvements project.
The original agreement was for water line improvements only, however, the Division of Sewerage and Drainage would like to modify this agreement in order to design stormwater improvements within the Lenappe Drive, Canyon Drive, and Glenmont areas, where current water line improvements are occurring. It is advantageous to the Department of Public Utilities to combine these projects as it will reduce engineering, construction, and inspection costs as many of the improvements will overlap.
1. Amount of additional funds to be expended: $119,000.00
Original Contract Amount: $181,700.00
Modification 1 (current) $119,000.00
Amount of original contract and 1 modification: $300,700.00
2. Reasons additional goods/services could not be foreseen:
The consultant has already done survey work and preliminary design for the water main improvements in this area. It is advantageous for the Department of Public Utilities to combine these projects as it will ultimately reduce engineering, construction, and inspection costs as many of the improvements will overlap.
3. Reason other procurement processes are not used:
See number two above.
4. How cost of modification was determined:
A proposal from Korda/Nemeth Engineering, Inc. was submitted to the Division of Sewerage and Drainage. The proposal was reviewed and was deemed acceptable to the Division based on the scope of services provided.
Contract Compliance Information: 31-0922991, expires 9/28/09, Majority
FISCAL IMPACT: This Ordinance authorizes the transfer and appropriation of funds from the Storm Sewer Reserve Fund to the Storm Sewer Bond Fund for this expenditure as well as an amendment to the 2008 Capital Improvements Budget to provide sufficient budget authority. Monies for this contract will be provided from an upcoming Bond Sale via the transfer detailed in this Ordinance.
Title
To authorize the Director of Public Utilities to modify and increase the professional engineering services contract with Korda/Nemeth Engineering, Inc. to design stormwater improvements within the Lenappe Drive, Canyon Drive, and Glenmont areas; to authorize the transfer and appropriation of $119,000.00 from the Storm Sewer Reserve Fund; to authorize the expenditure of $119,000.00 within the Storm Sewer Bond Fund; and to amend the 2008 Capital Improvements Budget; for the Division of Sewerage and Drainage. ($119,000.00)
Body
WHEREAS, Contract No. EL008019 was authorized by Ordinance No. 0290-2008, passed March 10, 2008, was executed on May 6, 2008, and was approved by the City Attorney on May 13, 2008; and
WHEREAS, this agreement is for water line improvements only; and
WHEREAS, the Division of Sewerage and Drainage would like to modify this agreement in order to design stormwater improvements within the Lenappe Drive, Canyon Drive, and Glenmont areas,
WHEREAS, it is necessary to authorize the transfer and appropriation of funds from the Storm Sewer Reserve Fund to the Voted Storm Sewer Bond Fund for purposes of providing sufficient funding for this project expenditure; and
WHEREAS, it is necessary to authorize an amendment to the 2008 Capital Improvements Budget for purposes of providing sufficient funding and spending authority for the aforementioned project expenditure; 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 project described in this ordinance (the "Project").
WHEREAS, it has become necessary in the usual daily operation of the Department of Public Utilities to modify and increase the Division of Power and Water's professional engineering services contract with Korda/Nemeth Engineering, Inc., so the Division of Sewerage and Drainage can design stormwater improvements within the Lenappe Drive, Canyon Drive, and Glenmont areas, to authorize the appropriation and transfer of funds from the Storm Sewer Reserve Fund to the Voted Storm Sewer Bond Fund, for the 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 Director of Public Utilities is hereby authorized and directed to modify and increase the professional engineering services contract with Korda/Nemeth Engineering, Inc. to design stormwater improvements within the Lenappe Drive, Canyon Drive, and Glenmont areas, in the amount of $119,000.00.
SECTION 2. That this contract modification is in compliance with Section 329.16 of Columbus City Codes, 1959.
SECTION 3. That from the unappropriated monies in the Storm Sewer Reserve Fund No. 690, 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, 2008, the sum of $119,000.00 is hereby appropriated to the Division of Sewerage and Drainage, Division 60-15, OCA 690001, Obj.Lvl. One 10, Obj.Lvl. Three 5502.
SECTION 4. That the City Auditor is hereby authorized to transfer a total of $119,000.00, from the Storm Sewer Reserve Fund to the Voted Storm Sewer Bond Fund 685, into the Canyon Dr./Glenmont Ave. SSI Project No. 610749, at such time as deemed necessary by the Auditor, and to expend said funds, or so much thereof as may be necessary.
SECTION 5. That the $119,000.00 is hereby appropriated for the Canyon Dr./Glenmont Ave. SSI, within the Voted Storm Sewer Bond Fund; Fund 685 | Dept./Div. 60-15 | Proj# 610749 | Canyon Dr./Glenmont Ave. SSI | Obj.Lvl. Three 6682 | OCA 685749.
SECTION 6. That the 2008 Capital Improvements Budget Ordinance No. 0690-2008 is hereby amended as follows, to provide sufficient budget authority for the expenditures associated with the Canyon Dr./Glenmont Ave. SSI:
Proj. No. | Proj. Name | Current Authority | Revised Authority | (Amount of Change)
610855-100000 | Storm Sewer Contingency | $1,169,670 | $1,050,970 | (-$119,000)
610749-100000 | Canyon Dr./Glenmont Ave. SSI | $1,088,831 | $1,207,831 | (+$119,000)
SECTION 7. That to pay the cost of the aforesaid contract modification, the expenditure of $119,000.00, or so much thereof as may be needed, is hereby authorized from the Voted Storm Sewer Bond Fund, Fund No. 685, Division No. 60-15, Project 610749, OCA 685749, Object Level One 06, Object Level Three 6682.
SECTION 8. That the said engineering firm shall conduct the work to the satisfaction of the Director of Public Utilities and the Administrator of the Division of Sewerage and Drainage.
SECTION 9. That upon obtaining other funds for the purpose of funding storm sewer system capital improvement work, the City Auditor is hereby authorized to repay the Storm Sewer System Reserve Fund the amount transferred above, and said funds are hereby deemed appropriated for such purposes.
SECTION 10. That the City Auditor is hereby authorized and directed to transfer any unencumbered balance in the project account to the unallocated balance 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 no longer required for said project; except that no transfer shall be made from a project account by monies from more than one source.
SECTION 11. That the City Auditor is authorized to establish proper project accounting numbers as appropriate.
SECTION 12. 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 13. 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 $119,000.00 (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 the Storm Sewer Reserve Fund 690, which is the fund from which the advance for costs of the Project will be made.
SECTION 14. That this Ordinance shall take effect and be in force from and after the earliest period allowed by law.