Explanation
1. BACKGROUND:
A. Need. This legislation authorizes the Director of Public Utilities to modify the professional engineering services agreement with Brown and Caldwell Ohio, LLC for the Jackson Pike Wastewater Treatment Plant Skimmings Concentrator System Improvements Project. The Brown and Caldwell Ohio, LLC, modification amount requested under this ordinance is $300,000.00. The contract total including this modification is $1,518,863.00. The proposed contract modification provides funding for additional and extended technical services now needed during construction for Contract J209. It is not reasonable or cost effective to undertake a new procurement to acquire these services. The cost of the modification is a continuation of the vendor's current pricing structure, as verified by City staff. The Division has determined that these services cannot be performed by City personnel at this time, and has planned for the procurement of these services on a routine basis.
B. Contract Compliance No.: 680442806 (MAJ) (Expires 06/17/2010)
C. Emergency Designation: Emergency designation is not requested.
2. FISCAL IMPACT:
This ordinance authorizes the Director of Public Utilities to transfer and appropriate $300,000.00 in funds from the Sanitary Sewer Reserve Fund to the Voted Sanitary Sewer Bond Fund for this expenditure; and to amend to the 2008 Capital Improvements Budget to establish sufficient budget authority to cover the expenditure upon passage of the ordinance. Monies for this contract from the Sanitary Sewer Reserve Fund will be provided from an upcoming Bond Sale via the transfer detailed in this Ordinance.
Title
To authorize the Director of Public Utilities to execute a contract modification (#3) for the professional engineering services agreement with Brown and Caldwell Ohio, LLC for the Jackson Pike Wastewater Treatment Plant Skimmings Concentrator System Improvements Project; to authorize the appropriation and transfer of $300,000.00 from the Sanitary Sewer Reserve Fund to the Voted Sanitary Sewer Bond Fund; to authorize the expenditure of $300,000.00 from the Voted Sanitary Sewer Bond Fund; and to amend the 2008 Capital Improvements Budget, for the Division of Sewerage and Drainage. ($300,000.00)
Body
WHEREAS, Contract No. EL003269 was authorized by Ordinance No. 0117-2003, as passed by Columbus City Council on January 27, 2003 for purposes of authorizing the Director of Public Utilities to enter into a contract for professional engineering services with Brown and Caldwell Ohio, LLC for the Jackson Pike Wastewater Treatment Plant Skimmings Concentrator System Improvements Project; this was executed on March 12, 2003, and was approved by the City Attorney on March 19, 2003 in the amount of $31,032; and
WHEREAS, Modification No. 1 to the original Contract No. EL003269, was passed by City Council for $107,838.00 (EL004537) via ORD0945-2004 on June 28, 2004; executed on August 9, 2004; and signed by the Attorney on August 12, 2004; and
WHEREAS, Modification No. 2 to the original Contract No. EL003269, was passed by City Council for $1,079,993.00 (EL007390) via ORD1330-2007 on October 1, 2007; executed on October 22, 2007; and signed by the Attorney on October 24, 2007; and
WHEREAS, it is necessary to modify the subject contract in order to provide funding for additional and extended technical services now needed during construction for the Jackson Pike Wastewater Treatment Plant (JPWWTP) Skimmings Concentrator System Improvements Project, Construction Contract J209; and
WHEREAS, it is necessary to authorize the transfer and appropriation of funds from the Sanitary Sewer Reserve Fund to the Voted Sanitary Sewer Bond Fund for purposes of providing sufficient funding for the aforementioned project expenditure; and
WHEREAS, it is necessary to authorize an amendment to the 2008 Capital Improvements Budget for the purpose of providing sufficient spending authority for the aforementioned project expenditure; and
WHEREAS, it is necessary for City Council to authorize the expenditure of funds from the Voted Sanitary Sewer Bond Fund; 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"); and
WHEREAS, the Division of Sewerage and Drainage, Department of Public Utilities is requesting that this Council authorize the Director of Public Utilities to modify the professional engineering services agreement with Brown and Caldwell Ohio, LLC for the Jackson Pike Wastewater Treatment Plant Skimmings Concentrator System Improvements Project, at the earliest practical date; Now, Therefore,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
Section 1. That the Director of Public Utilities be, and hereby is, authorized to modify Contract No. EL003269 with Brown and Caldwell Ohio, LLC, 4700 Lakehurst Court, Suite 100, Columbus, OH 43016, for professional engineering services for the Jackson Pike Wastewater Treatment Plant Skimmings Concentrator System Improvements Project, in accordance with the terms and conditions as shown in the contract modification on file in the office of the Division of Sewerage and Drainage.
Section 2. That from the unappropriated monies in the Sanitary Sewer Reserve Fund No. 654, and from all monies estimated to come into said fund from any and all sources, and unappropratied for any other purpose during the fiscal year ending December 31, 2009, the sum of $300,000.00 is hereby appropriated to the Division of Sewerage and Drainage: Division 60-05| OCA Code 901654 | Object Level One 10 | Object Level Three 5502.
Section 3. That the City Auditor is hereby authorized to transfer $300,000.00 from the Sanitary Sewer Reserve Fund to the Voted Sanitary Sewer Bond Fund, Fund 664, into the JPWWTP Skimmings Concentrator System Improvements Project, 650255, at such time as deemed necessary by the Auditor, and to expend said funds, or so much thereof as may be necessary.
Section 4. That the $300,000.00 is hereby appropriated for the JPWWTP Skimmings Concentrator System Improvements Project, within the Voted Sanitary Sewer Bond Fund | Fund 664 | Division 60-05 | Project 650255| OCA Code 650255 | Object Level Three 6678.
Section 5. That the 2008 Capital Improvements Budget Ordinance No.0690-2008 is hereby amended as follows, to provide sufficient budget authority for the award of the agreement stated herein.
Project No. | Project Name | Current Authority | Revised Authority | (Change)
650255 | JPWWTP Skimmings Concentrator System Improv. | $0.00 | $300,000 | (+$300,000)
650737 | CSO Regulator Sluice | $322,000 | $22,000 | (-$300,000)
Section 6. That for the purpose of paying the cost of the professional engineering services contract modification, the following expenditure, or as much thereof as may be needed, be and the same is hereby authorized as follows: Division 60-05 | Fund 664 | JPWWTP Skimmings Concentrator System Improvements Project | Project No. 650255 | Object Level Three 6678 | OCA Code 650255 | Amount $300,000.00.
Section 7. 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 the obligations to be issued by the City in a principal amount currently estimated to be $300,000.00 (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 fund from which the advance for costs of the Project will be made.
Section 8. That upon obtaining other funds for the purpose of funding sanitary sewer system capital improvement work, the City Auditor is hereby authorized to repay the Sewer System Reserve Fund the amount transferred above, and said funds are hereby deemed appropriated for such purposes.
Section 9. That the City Auditor is hereby authorized 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 are no longer required for said project; except that no transfer shall be made from a project by monies from more than one source.
Section 10. That the City Auditor is authorized to establish proper project accounting numbers as appropriate.
Section 11. 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 12. That the contracted firm shall perform the work to the satisfaction of the Director of Public Utilities and the Administrator of the Division of Sewerage and Drainage.
Section 13. That this ordinance shall take effect and be in force from and after the earliest period allowed by law.