Explanation
Background:
Construction of a new Port Columbus runway requires 12 of the 18 holes at Airport Golf course to be newly designed and constructed due to the realignment of the landing lights that are located on the golf course. The renovations to the 12 holes are to be at the expense of the Columbus Regional Airport Authority. However, the remaining six holes will need to be re-seeded, have drainage improvements, bunker renovations, and minor grading at the expense of the Columbus Recreation and Parks Golf Division at an estimated cost of $280,000, to which the division has agreed to pay, in order to match the other newly designed and constructed 12 holes. The work done on all 18 holes will occur simultaneously during which time the Golf Division will voluntarily close Airport Golf Course during the anticipated 18-month construction period. Thus, the course will close in September 2011 and will re-open in April 2013.
The Columbus Recreation and Parks Department has allocated $140,000 in 2011 and $140,000 in 2012 to fund this expense with Capital Improvement Voted Bond Funding.
The Columbus Regional Airport Authority has agreed, on behalf of the Recreation and Parks Department Golf Division, to do the work on six holes and fund the cost for those six holes on a reimbursable basis with the Recreation and Parks Department's Golf Division.
The Federal I.D. Number for Columbus Regional Airport Authority is #311335829.
Fiscal Impact: Bonds have yet to be sold for the Golf Division's portion of the project, i.e. six holes, necessitating a certification of $280,000.00 against the Special Income Tax Fund. Upon the sale of the bonds, this will be reimbursed. Special Income Tax Funding is to be reimbursed after 2011 and 2012 voted bond sale.
Title
To authorize and direct the City Auditor to transfer $280,000.00 from the Special Income Tax Fund to the Recreation and Parks Capital Improvement Fund; to authorize the City Auditor to appropriate $280,000.00 within the Recreation and Parks Capital Improvement Fund; to authorize the expenditure of $280,000.00 from the Recreation and Parks Capital Improvement Fund; to amend the 2010 Capital Improvements Budget, and to authorize and direct the Director of Recreation and Parks to enter into an agreement with the Columbus Regional Airport Authority for the renovations to Airport Golf Course ($280,000.00).
Body
WHEREAS, the City of Columbus desires to continue operating Airport Golf Course with a consistent 18-hole layout; and
WHEREAS, The Columbus Regional Airport Authority will design and construct 12 holes at Airport Golf Course at their expense and will be reimbursed for the re-seeding, drainage improvements, bunker renovations and minor grading of six holes at the expense of The Columbus Recreation and Parks Department's Golf Division; and
WHEREAS, it is necessary to transfer funds from the Special Income Tax Fund to this project; and
WHEREAS, the City will sell notes or bonds to fund the Golf Division's portion of the project and will reimburse the Special Income Tax Fund; and
WHEREAS, this transfer should be considered as a temporary funding method; and
WHEREAS, the aggregate principal amount of obligations which the City will issue to finance this renovation is presently expected not to exceed $280,000.00; 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 2010 CIB will be amended to reflect the transfer credited to project 510429-100020, and
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS
SECTION 1. That the Director of Recreation and Parks be and he is hereby authorized and directed to enter into an agreement with the Columbus Regional Airport Authority for the design and construction of 12 holes at the Airport Golf Course, and for the reimbursement to the Columbus Regional Airport Authority for the re-seeding, drainage improvements, bunker renovations and minor grading of the six remaining holes at this facility.
SECTION 2. The sum of $280,000.00 be and is hereby appropriated from the unappropriated balance of the Special Income Tax Fund, Fund 430, 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, 2010 to the City Auditor, Department 22-01, Object Level One 10, OCA Code 902023, Object Level Three 5502.
SECTION 3. That the City Auditor is hereby authorized to transfer said funds to the Recreation and Parks Voted Bond Fund 702, at such time as is deemed necessary by the City Auditor, and to expend said funds, or so much thereof as may be necessary.
SECTION 4. That the amount of $280,000.00 is hereby transferred and appropriated to Recreation and Parks, 51-03, Fund 702, Golf Course Improvements- 510429-100020, Object Level One 06, Object Level Three Code 6621, OCA 742920
SECTION 5. That upon obtaining other funds for the Airport Golf Course Improvements, the City Auditor is hereby authorized and directed to repay the Special Income Tax Fund the amount transferred under Section 2.
SECTION 6. That the Auditor is authorized to establish proper accounting project numbers, and to make any accounting changes to revise the funding source for any contract modification associated with the expenditure if funds transferred in Section 2, above.
SECTION 7. That the City intends that this ordinance constitutes 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 $280,000.00 (the "Obligations").
The City intends to make a reimbursement allocation on its books for the Original Expenditures no later than 18 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 the Treasury Regulations Section1.150-2(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 the 2010 Capital Improvements Budget Ordinance No. 0564-2010, is hereby amended as follows, in order to provide sufficient budget authority for future expenditures legislation and to correct previous expenditure cancellations.
CURRENT:
Fund 702; Project 510429-100020 /Airport Golf Course Improvements/ $0.00
AMENDED TO:
Fund 702; Project 510429-100020 /Airport Golf Course Improvements/ $280,000
SECTION 9. To authorize the expenditure of $280,000, or as much as may be necessary, from Dept./Division 51-03, Fund 702, Golf Course Improvements- 510429-100020, Object Level Three Code 6621, OCA 742920
SECTION 10. All funds necessary to carry out the purpose of this ordinance are hereby deemed appropriate.
SECTION 11: The City Auditor has the authority to expend the funds necessary to carry out the purpose of this ordinance directly from Fund 430 as a capital outlay rather than a transfer from Fund 430 to a bond fund if he deems it appropriate.
SECTION 12. That this ordinance shall take effect from and after the earliest period allowed by law.