Explanation
1. BACKGROUND: This legislation authorizes the Director of Public Utilities to enter into an engineering agreement with Prime AE Group, Inc. for the Lockbourne Intermodal Subtrunk Extension project, CIP 650491-100007. The project will start from the planned end of the Lockbourne Intermodal Subtrunk of the 60” sanitary subtrunk near the entrance to the Norfolk Southern Intermodal Facility located at 3329 Thoroughbred Ct, Columbus, OH 43221 and continue easterly along Air Base Rd. to its upstream termination point near the intersection with Walnut Creek Pike for an approximate distance of 12,750 Linear Feet. It is intended to serve the Intermodal and Rickenbacker Southeast service areas as described in the Northern Pickaway Joint Economic Development District (JEDD) Agreement. Due to the high traffic volumes to the intermodal facility and the recently widened Rickenbacker Parkway, it is anticipated that trenchless construction methods will be needed for the first stage of the project in order to clear these items so as not to impact railroad operations or the newly constructed roadway while the remainder would be constructed via traditional open cut methods. The project will also include master planning efforts for the area in order to establish a more comprehensive and defined approach to providing sanitary sewer service to the area. Due to the tributary area for the Intermodal Sanitary Subtrunk Extension already being known, it is expected that the design and master planning efforts will run concurrently.
This project has been approved for below market-rate loan financing through the Ohio Environmental Protection Agency’s Water Pollution Control Loan Fund (WPCLF) which is administered by the Ohio Water Development Authority (OWDA). Ordinance 2241-2015, passed October 19, 2015, authorizes the Director of Public Utilities to enter into a WPCLF Loan for the project. The project’s assigned WPCLF Number is CS390274-0258. Upon the loan award, which is expected on June 29, 2017, an OWDA Loan Account number will be assigned.
2. Project Timeline: The detailed design work is expected to be completed in a manner acceptable to the City within 18 to 24 months.
3. Procurement Information: The Division advertised for an RFP (Request for Proposals) for the Lockbourne Intermodal Subtrunk Extension project on the City of Columbus's Vendor Services website and in the City Bulletin in accordance with the overall provisions of Section 329 of Columbus City Codes. The Division of Sewerage and Drainage received four (4) proposals in March 17, 2017.
Name C.C. No. / Exp. Date Vendor City/State Status
Prime AE Group 26-0546656 / 10/30/2017 002102 Columbus, OH ASN
DLZ 31-1268980 / 02/28/2020 004939 Columbus, OH MBR
Stantec 11-2167170 / 09/10/2017 000462 Columbus, OH MAJ
B&N 31-0885550 / 02/04/2018 004425 Columbus, OH MAJ
The proposals were reviewed and evaluated by the Proposal Evaluation Committee and determined that the proposal met or exceeded the minimum qualifications as stated in the RFP was the proposal from Prime AE Group Inc.
4. Contract Compliance No.: 26-0546656 | ASN | (Exp. 10/30/2017) | Vendor #: 002102
5. Emergency Designation: An Emergency designation is not requested at this time.
6. Economic Impact: This project will provide City sanitary sewer service to a quickly developing service area. This project will increase the water quality by eliminating potential ground water pollution by preventing the installation of package treatment systems. In addition, the project has economic benefits by increasing the sewer revenues, creating additional industrial/commercial development and new jobs.
7. FISCAL IMPACT: This legislation authorizes the appropriation and transfer of $2,477,083.44 from the Sanitary Sewer Reserve Fund 6102 to the Ohio Water Development (OWDA) Loan Fund, Fund 6111; and authorizes the expenditure of up to $2,477,083.44 from the loan fund.
Title
To authorize the Director of Public Utilities to enter into a professional engineering services agreement with Prime AE Group, Inc. for the Lockbourne Intermodal Subtrunk Extension project; to authorize the appropriation and transfer of $2,477,083.44 from the Sanitary Sewer Reserve Fund to the Ohio Water Development (OWDA) Loan Fund; and to authorize the expenditure of up to $2,477,083.44 from the loan fund for the Division of Sewerage and Drainage. ($2,477,083.44)
Body
WHEREAS, the Department of Public Utilities advertised for an Request For Proposals (RFP) for the Lockbourne Intermodal Subtrunk Extension project in accordance with the overall provisions of Chapter 329 of Columbus City Code; and
WHEREAS, the Department of Public Utilities received four (4) proposals which were reviewed and determined that Prime AE Group, Inc., met and/or exceeded the minimum qualifications; and
WHEREAS, it is necessary to authorizes the appropriation and transfer of $2,477,083.44 from the Sanitary Sewer Reserve Fund 6102 to the Ohio Water Development (OWDA) Loan Fund, Fund 6111; and
WHEREAS, it is necessary to authorize the expenditure of up to $2,477,083.44 from the Ohio Water Development (OWDA) Loan Fund, Fund 6111; and
WHEREAS, the aggregate principal amount of obligations which the City will issue to finance this project will not exceed $2,477,083.44; 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 of the Department of Public Utilities, Division of Sewerage and Drainage, to authorize the Director to enter into an engineering agreement with Prime AE Group, Inc., for the Lockbourne Intermodal Subtrunk Extension 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 is authorized to enter into an engineering agreement with Prime AE Group, Inc., 8415 Pulsar Place, Suite 300, Columbus, Ohio 43240 in connection with the Lockbourne Intermodal Subtrunk Extension 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 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 ended December 31, 2017, the sum of $2,477,083.44 is appropriated in Fund 6102, per the account codes in the DAX Financial attachment to this ordinance.
SECTION 3. That the transfer of $2,477,083.44 or so much thereof as may be needed, is hereby authorized between the Sanitary Sewer Reserve Fund 6102 and OWDA Loan Fund 6111 per the accounting codes in the attachment to this ordinance.
SECTION 4. That the appropriation and expenditure of $2,477,083.44 or so much thereof as may be needed, is hereby authorized in the Ohio Water Development (OWDA) Loan Fund, Fund 6111 per the accounting codes in the attachment to this ordinance.
SECTION 5. That the said firm, Prime AE Group, Inc., 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 funds necessary to carry out the purpose of this Ordinance are hereby deemed appropriated, and the City Auditor shall establish such accounting codes as necessary.
SECTION 7. 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 8. That the City Auditor is authorized to establish proper project accounting numbers as appropriate.
SECTION 9. 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 10. 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 11. 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 $2,477,083.44 (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 12. That this ordinance shall take effect and be in force from and after the earliest period allowed by law.