Explanation
1. BACKGROUND: This legislation authorizes the Director of Public Utilities to enter into a construction contract with Gudenkauf Corporation for the Fiber Optic Cable Project to SWWTP, (Contract # SCP 04SO), CIP 650260-103005. This project will run a 288 strand fiber optic cable from the Communications Tower at the Parsons Avenue Water Treatment Plant to the Administration Building at the Southerly Wastewater Treatment Plant. From the Administration Building, a 24 strand fiber optic cable will be installed to the Division of Power substation located at the Southerly Wastewater Treatment Plant. An additional 288 strand fiber optic cable will be installed between the Administration Building at the Southerly Wastewater Treatment Plant and the Administration Building at the Southwesterly Composting Facility.
2. PROJECT TIMELINE: Contract work is required to be completed in a manner acceptable to the City within 180 days from the date that a Notice To Proceed (NTP) is given by the City.
3. PROCUREMENT INFORMATION: The Division advertised for competitive bids for the subject services on the City’s Vendor Services website and in the City Bulletin in accordance with the overall provisions of Section 329 of the Columbus City Code. The Division of Sewerage and Drainage received one (1) bid on April 27th, 2016 from the following company:
Name Vendor # CCCN Exp. Date Status City/State____
Gudenkauf Corp. 004454 31-0908234 01/30/2017 MAJ Columbus, OH
The bid was reviewed using the Bid Tab and QFF evaluation process. It was determined that Gudenkauf Corp met the criteria for the project requirements and was the lowest responsive, responsible, and best bid.
4. EMERGENCY DESIGNATION: An emergency designation is not requested at this time
5. CONTRACT COMPIANCE NO: 31-0908234 | MAJ | 01/30/2017
6. ECONOMIC IMPACT: This project will connect the substation, the Southerly Wastewater Treatment Plant, and the Southwesterly Composting Facility to the City of Columbus MetroNet system. It will provide internet services to these facilities and will remove the need for a contracted internet system.
7. FISCAL IMPACT: This ordinance authorizes the appropriation and transfer of $286,155.46 from the Sanitary Sewer Reserve Fund to the Sanitary Sewer General Obligation (G.O.) Bond Fund, Fund 6109; to authorize the expenditure of up to $286,155.46 from the G.O. Bond Fund, Fund 6109. Monies for this contract from the Sanitary Sewer Reserve Fund will be provided from a future Bond Sale via the transfer detailed in this ordinance.
Title
To authorize the Director of Public Utilities to enter into construction contract with Gudenkauf Corporation for the Fiber Optic Cable for the Southerly Wastewater Treatment Plant; to authorize the appropriation and transfer of $286,155.46 from the Sanitary Sewer Reserve Fund to the Sanitary Sewer General Obligation Bond Fund; to authorize the expenditure of up to $286,155.46 from the General Obligation Bond Fund. ($286,155.46)
Body
WHEREAS, it is necessary to authorize the Director of Public Utilities to enter into construction contract with Gudenkauf Corp. for the Fiber Optic Cable for SWWTP (Contract #SCP 04SO), CIP 650260-103005; and
WHEREAS, this project will run a 288 strand fiber optic cable from the Communications Tower at the Parsons Avenue Water Treatment Plant to the Administration Building at the Southerly Wastewater Treatment Plant and from the Administration Building a 24 strand fiber optic cable will be installed to the Division of Power substation located at the Southerly Wastewater Treatment Plant; and
WHEREAS, an additional 288 strand fiber optic cable will be installed between the Administration Building at the Southerly Wastewater Treatment Plant and the Administration Building at the Southwesterly Composting Facility; and
WHEREAS, it is necessary to authorize appropriation and transfer of $286,155.46 from the Sanitary Sewer Reserve Fund to the Sanitary Sewer General Obligation (G.O.) Bond Fund, Fund 6109; and
WHEREAS, it is necessary to authorize an expenditure of $286,155.46 from the Sanitary Sewer General Obligation (G.O.) Bond Fund 6109; and
WHEREAS, this transfer should be considered as a temporary funding method; and
WHEREAS, the City will sell notes or bonds to fund this project and will reimburse the Sanitary Reserve Fund; and
WHEREAS, the aggregate principal amount of obligations which the City will issue to finance this project is presently expected not to exceed $286,155.46; 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, it has become necessary in the usual daily operation the Division of Sewerage and Drainage, Department of Public Utilities, to authorize the Director of Public Utilities to enter an construction contract with Gudenkauf Corp for the Fiber Optic Cable for SWWTP (Contract # SCP 04SO) Project, CIP 650260-103005 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 is hereby authorized to enter into a construction contract with Gudenkauf Corp, 2679 McKinley Ave, Columbus, OH 43204, for the Fiber Optic Cable for SWWTP, SCP 04SO Project in accordance with the terms and conditions as shown on the contract 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. 6102, Sub-fund 610201, 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, 2016, the sum of $286,155.46 is hereby appropriated to the Division of Sewerage and Drainage.
SECTION 3. That the City Auditor is hereby authorized to transfer and appropriate a total $286,155.46 from the Sanitary Sewer Reserve Fund to the Sanitary Sewer General Obligation Bond Fund, Fund 6109, into Fiber Optic Cable for SWWTP, SCP 04SO Project, CIP 650260-103005, at such time as deemed necessary by the Auditor, or so much thereof as may be necessary per the account codes in the attachment to this ordinance or so much thereof as may be necessary per the account codes in the attachment to this ordinance.
SECTION 4. That the Director of Public Utilities be and hereby is authorized to expend up to $286,155.46 from the Sanitary Sewer General Obligation Bond Fund, Fund 6109 | Div. 60-05 | per the account codes in the attachment to this ordinance.
SECTION 5. That the said company, Gudenkauf Corp, shall perform the work to the satisfaction of the Director of Public Utilities and the Administrator of the Division of Sewerage and Drainage.
SECTION 6. 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 7. That the City Auditor is authorized to establish proper project accounting numbers as appropriate.
SECTION 8. 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 9. 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 Sanitary Sewer Reserve Fund the amount transferred above (Section 3), and said funds are hereby deemed appropriated for such purposes.
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, 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 $286,155.46 (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 Sanitary/Sewer Reserve Fund 6102, which is the fund from which the advance for costs of the Project will be made.
SECTION 11. That this ordinance shall take effect and be in force from and after the earliest period allowed by law.