Explanation
Background: This legislation authorizes the Finance and Management Director to enter into a professional services contract for Compressed Natural Gas (CNG) infrastructure for the City of Columbus, at 1250 Fairwood Avenue and 4211 Groves Road. Services are to include the design of a Compressed Natural Gas filling station at 4211 Groves Road, as well as renovations to the maintenance shops at 4211 Groves Road and 1250 Fairwood Avenue. The filling station will provide a rapid and reliable dispensing of compressed natural gas to begin and grow a fleet of energy efficient CNG fueled vehicles.
Requests for Statements of Qualifications were available on May 12, 2010, and submitted on June 14, 2010. The City received five proposals (1 MBE, 0 FBE): Kramer Engineering, MS Consultants, DLZ Ohio Inc, Design and Construction Group and Braun & Steidl. A three person committee evaluated the proposals, including one member each from the Fleet Management Division, the Office of Construction and the Public Utilities Department. DLZ Ohio Inc scored the highest in many categories including competence to perform, past performance, cost containment and proposed schedule.
CNG vehicles produce significantly lower amounts of harmful emissions such as nitrogen oxides, particulate matter and toxic and carcinogenic pollutants. Natural gas is a domestically available, inherently clean burning fuel. Using compressed natural gas as vehicle fuel increases energy security by reducing our dependence on foreign oil and improves public health and the environment. Currently, CNG is also significantly lower in cost than either gasoline or diesel. The City of Columbus has paid an average of $2.77 per gallon year to date in 2010 for diesel fuel. CNG is currently retailing in Columbus for $1.50 per gge (gasoline gallon equivalent), a $1.27 per gallon or 46% savings in fuel cost.
Emergency action is requested so that any needed designs within the City so that Federal funds are spent as quickly as possible.
Fiscal Impact: The cost of this contract is $249,424.00. Of this, $94,149.50 will be provided by the Fleet Management Division and $94,149.50 will be provided by a 50% grant match from Clean Fuels Ohio. The balance of $61,125.00 will be provided by the Department of Public Utilities, Sanitary Sewer Division. This is budgeted in the Capital Improvements Budget. The grant award is from the United States Department of Energy through Clean Fuels Ohio for the program titled "Clean Cities FY09 Petroleum Reduction Technologies Projects for the Transportation Sector" for the period February 1, 2010 through December 31, 2011. Bonds have yet to be sold for the Fleet Services Fund portion of the project, necessitating a certification of $94,149.50 against the Special Income Tax Fund. Upon sale of the bonds, this will be reimbursed. This legislation authorizes the Department of Public Utilities, Division of Sewerage and Drainage's to transfer within and expend $61,125.00 from the Sanitary Sewers Build America Bonds (B.A.B.s) Fund and amend the 2010 Capital Improvement Budget to establish sufficient budget authority to cover the expenditure upon passage of this ordinance.
DLZ Ohio Inc contract compliance number 31-1268980, expiration date 03/10/2011.
Title
To authorize the Finance and Management Director to enter into contract on behalf of the Office of Construction Management with DLZ Ohio Inc. for professional services for compressed natural gas infrastructure for the City of Columbus, at 1250 Fairwood Avenue and 4211 Groves Road ; to authorize and direct the City Auditor to transfer $94,149.50 from the Special Income Tax Fund to the Fleet Management Bond Fund; to authorize and direct the City Auditor to transfer $94,149.50 from the Fleet Management Bond Fund to the CMAQ grant fund; to appropriate $188,299.00 within the CMAQ grant fund; to authorize the expenditure of $188,299.00 from the General Government Grant Fund; to authorize transfer and expenditure of $61,125.00 from the Sanitary Sewer Build America Bond (B.A.B.s) Fund; to amend the 2010 Capital Improvement Budget to establish sufficient budget authority to cover the expenditure upon passage of this ordinance; and to declare an emergency. ($249,424.00)
Body
WHEREAS, the Finance and Management Department, Office of Construction Management, desires to contract with a professional services company for the design of compressed natural gas infrastructure for the City of Columbus, at 1250 Fairwood Avenue and 4211 Groves Road; and
WHEREAS, the Finance and Management Department advertised Requests for Statement of Qualifications (RFSQ) on May 12, 2010; and
WHEREAS, a three person evaluation committee recommended DLZ Ohio, Inc for architectural and engineering services for the design and construction of a CNG infrastructure as the most qualified firm; and
WHEREAS, it is the recommendation of the Finance and Management Director to contract with DLZ Ohio Inc. for professional services for the design and construction of a CNG fueling facility; 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 this project and will reimburse the Special Income Tax Fund; and
WHEREAS, this transfer should be considered as a temporary funding method; and
WHEREAS, it is necessary to authorize the transfer of funds within the Sanitary B.A.B. (Build America Bonds) Fund in the amount of $61,125.00 for purposes of providing sufficient funding for the aforementioned project expenditure; and
WHEREAS, it is necessary for City Council to authorize the expenditure of funds from the Sanitary B.A.B. (Build America Bonds) Fund; and
WHEREAS, it is necessary to authorize an amendment to the 2010 Capital Improvements Budget for the purpose of providing sufficient spending authority for the aforementioned project expenditures; and
WHEREAS, the aggregated principal amount of obligations which the City will issue to finance this project is presently expected not to exceed $94,149.50; 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, an emergency exists in the usual daily operation of the Finance and Management Department, Office of Construction Management, in that it is immediately necessary to authorize the Finance and Management Director to contract with DLZ Ohio Inc. for architectural and engineering services in order for the City to ensure that it meets deadlines for the Federal grant money that will help fund the actual, now, therefore:
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Finance and Management Director is hereby authorized to contract with DLZ Ohio Inc. for professional services for the design and construction of a compressed natural gas infrastructure.
SECTION 2. That the sum of $94,149.50 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 Fleet Managment Bond Fund (513-002), at such time 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 $94,149.50 is hereby transferred and appropriated to the Fleet Management Division, 45-05, Fleet Services Fund 513-002, Fleet Facility Improvements CNG 550001-100002, Object Level One 10, Object Level Three Code 5501, OCA Code 645457.
SECTION 5. That the transfer of monies between the following funds be authorized as follows:
Transfer From:
Fund / Project / Project Name / O.L. 01-03 Codes / OCA / Amount
513-002 / 550001-100002 /Fleet Facility Improvments CNG/ 10-5501 / 645457 / $94,149.50
Transfer to:
Fund / Grant / Grant Name / O.L. 01-03 Codes / OCA / Amount
220 /451035 / CMAQ Improvement Program/80/0886 / 451035 / $94,149.50
SECTION 6. That the sum of $188,299.00 be and hereby is appropriated from the unappropriated balance of Fund 220, General Government Grant Fund, 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 Dept-Div. 45-05, the Division of Fleet Management as follows:
Fund / Grant / Grant Name / O.L. 01-03 Codes / OCA / Amount
220 /451035/CMAQ Improvement Program/ 06-6681 / 451035 / $188,299.00
SECTION 7. That the City Auditor is hereby authorized to transfer of $61,125.00 within the Department of Public Utilities, Division of Sewerage and Drainage, Dept/Div. No. 60-05, Sewerage and Drainage Sanitary B.A.B.s (Build America Bonds) Fund, Fund No. 668, Object Level Three 6681, as follows:
From:
Project No. | Project Name | OCA Code | Change
650100-100000 | Sanitary Sewer Contingency | OCA 668100 | (-$61,125.00)
To:
Project No. | Project Name | OCA Code | Change
650510-100033 | Fairwood Vehicle Maintenance Facility Improvements | 685133 | (+$61,125.00)
SECTION 8. That the 2010 Capital Improvements Budget Ordinance No. 0564-2010 is hereby amended as follows, to provide sufficient budget authority for the Capital Improvement Projects listed herein:
Fund No. | Proj. No. | Proj. Name | Current Authority | Revised Authority | (Change)
668 | 650100-100000 | Sanitary Sewer Contingency | $360,063 | $298,938 | (-$61,125)
668 | 650510-100033 | Fairwood Vehicle Maintenance Facility Improvements | $0 | $61,125 | (+$61,125)
SECTION 9. That upon obtaining other funds for the professional services contract for the design of compressed natural gas infrastructure, the City Auditor is hereby authorized and directed to repay the Special Income Tax Fund the amount transferred under Section 3.
SECTION 10. That the City Auditor is authorized to establish the proper accounting project number and to make any accounting changes to review the funding any contract or contract modification associated with the expenditure of funds transferred.
SECTION 11. That the City intends 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 $94,149.50 (the "Obligations").
The City intends to make a reimbursement allocation on its books for the Original Expenditures not later than eighteen (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 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 12. All funds necessary to carry out the purpose of this ordinance are hereby deemed appropriated.
SECTION 13. That the expenditure of $249,424.00, or so much thereof that may be necessary in regard to the action authorized in SECTION 1, be and is hereby authorized and approved as follows:
Division 45-05
Fund: 220
Grant Number: 451035
OCA: 451035
Object Level 1: 06
Object Level 6681
Amount: $188,299.00
Division 60-05
Fund: 668
Project: 650510-100033
OCA: 685133
Object Level 1: 06
Object Level 6681
Amount: $61,125.00
SECTION 14. 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 10 days after its passage if the Mayor neither approves nor vetoes the same. That this ordinance shall take effect and be in force from and after the earliest period allowed by law.