Explanation
1. BACKGROUND
The Department of Public Service, Division of Traffic Management utilizes pavement marking materials, sign manufacturing materials, school flashers, traffic signal commodities, and a variety of traffic management and control commodities throughout the city. The division can capitalize these expenses. These supplies and materials are necessary to ensure traffic safety throughout the City of Columbus. Universal Term Contracts have been completed for these commodities. This ordinance will also allow funding to be used to award one time bids for capital traffic commodities as necessary. It has also been determined it is in the best interest of the city to purchase school flashers through the ODOT Contract 063.
This legislation authorizes the Finance and Management Director to associate all general budget reservations resulting from this ordinance with the following current, pending and future Universal Term Contract Purchase Agreements listed below for Traffic Management and Control for the Division of Traffic Management.
The following Purchase Agreement associations require approval by City Council in order for the division to expend more than $100,000.00, per 329.19(g): Traffic Management and Control.
Universal Term Contract Purchase Agreements:
Reflective Sheeting
Traffic Signal Controller
Aluminum Street Sign Blanks
Aluminum Sheeting
Traffic Pedestal Poles
Traffic Signal Strain Poles
Loop Detector Sealant
School Speed Limit Sign Supports
Audible Pedestrian Traffic Signals
Longitudinal Channelizers
Preformed Heat Fused Thermoplastic
Traffic Signal Heads
Traffic Sign Posts
Traffic Pedestrian Signal Equipment
Traffic Signal Detector Equipment
Traffic Control Devices
Traffic Signal Communication Equipment
Thermoplastic Pavement Marking Material
Thermoplastic Beads
Glass Beads
School Flashers
Street Name Sign Brackets
2. FISCAL IMPACT:
This is a budgeted expense within the Department of Public Service’s 2019 Capital Improvement Budget. The funds will not be available to the Department of Public Service until the proceeds of the 2019 bond sale are available later this calendar year. Therefore, it is necessary to certify the requisite funds in the amount of $1,875,000.00 against the Special Income Tax Fund. An amendment to the 2019 Capital Improvement Budget is required to establish sufficient budget authority in the proper project.
3. EMERGENCY DESIGNATION
The department requests emergency action to ensure the timely availability of commodities for installation and replacement purposes and to promote and enhance pedestrian and motorist safety.
Title
To amend the 2019 Capital Improvement Budget; to authorize and direct the City Auditor to appropriate and transfer funds from the Special Income Tax Fund to the Streets and Highways Bond Fund; to authorize the Finance and Management Director to establish purchase orders and contracts with multiple vendors for the purchase of commodities, supplies and materials for pavement marking materials, sign manufacturing materials, school flashers, and various traffic signal commodities for the Department of Public Service, Division of Traffic Management; to authorize the Director of Finance and Management to associate all General Budget Reservations resulting from this ordinance with the appropriate Universal Term Contract Purchase Agreements for Traffic Management & Control for the Division of Traffic Management; to authorize the expenditure of up to $1,875,000.00 from the Streets and Highways Bond Fund for this purpose; and to declare an emergency. ($1,875,000.00)
Body
WHEREAS, the Department of Public Service, Division of Traffic Management, utilizes pavement marking materials, sign manufacturing materials, school flashers, traffic signal commodities and a variety of traffic management & control commodities throughout the city; and
WHEREAS, these items can be capitalized and can be purchased per the terms and conditions of existing, pending and future citywide universal term contracts established by the Purchasing Office; and
WHEREAS, it is necessary to amend the 2019 Capital Improvement Budget to establish authority within the correct project; and
WHEREAS, it is necessary to transfer funds from the Special Income Tax Fund to fund this project; and
WHEREAS, the City will reimburse the Special Income Tax Fund; and
WHEREAS, this transfer should be considered as a temporary funding method; and
WHEREAS, the aggregated principal amount of obligations which the City will issue to finance this project is presently expected not to exceed $1,875,000.00; 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, an emergency exists in the usual daily operation of the Department of Public Service, Division of Traffic Management, in that it is immediately necessary to authorize the Finance and Management Director to issue purchase orders to ensure the timely availability of commodities for installation and replacement purposes and to promote and enhance pedestrian and motorist safety, thereby preserving the public health, peace, property, safety, and welfare; now, therefore
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the 2019 Capital Improvements Budget is hereby amended, in Fund No. 7704 - Street and Highway Bonds Fund as follows:
Fund / Project / Project Name / CIB Amount / Change / CIB amount as amended
7704 / P530210-100002 / Curb Reconstruction - Qwik Curb Commodity (Voted 2019 SIT Supported) / $50,000 / -$50,000 / $0
7704 / P540007-100003 / Traffic Signal Installation - Commodities (Voted 2019 SIT Supported) / $950,000 / -950,000 / $0
7704 / P540008-100001 / Sign Upgrading/Street Name Signs - Commodities (Voted 2019 SIT Supported) / $325,000 / -$325,000 / $0
7704 / P540005-100001 / School Flashers - 20 MPH - Commodities (Voted 2019 SIT Supported) / $50,000 / -$50,000 / $0
7704 / P540013-100000 / Permanent Pavement Markings (Voted 2019 SIT Supported) / $500,000 / -$500,000 / $0
7704 / P540006-100000 / Traffic Maintenance Commodities (Voted 2019 SIT Supported) / $0 / +$1,875,000 / $1,875,000
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, 2019, the sum of $1,875,000.00 is appropriated in Fund 4430 (Special Income Tax), Dept-Div 2201 (City Auditor) in Object Class 10 (Transfer Out Operating) and in Fund 7704 (Streets and Highways Bond Fund), Dept-Div 5913 (Division of Traffic Management), Project P540006-100000 (Traffic Maintenance Commodities), in Object Class 06 (Capital Outlay) per the account codes in the attachment to this ordinance.
SECTION 3. That the transfer of $1,875,000.00, or so much thereof as may be needed, is hereby authorized from Fund 4430 (Special Income Tax), Dept-Div 2201 (City Auditor) to Fund 7704 (Streets and Highways Bond Fund), Dept-Div 5913 (Division of Traffic Management) per the account codes in the attachment to this ordinance.
SECTION 4. That the Director of Finance and Management be and is hereby authorized to associate all General Budget Reservations resulting from this ordinance with the appropriate Universal Term Contract Purchase Agreements for Traffic Management & Control for the Department of Public Service, Division of Traffic Management.
SECTION 5. That the Director of Finance and Management be and hereby is authorized to establish multiple purchase orders totaling $1,875,000.00 or so much thereof per the terms and conditions of current, pending and future citywide universal term contracts or per the terms and conditions of informal or formal bids conducted for one-time buys for capital pavement marking materials, sign upgrades or traffic commodities and accessories as necessary or to utilize current, pending and future ODOT contracts for school flasher commodities.
SECTION 6. That the expenditure of $1,875,000.00, or so much thereof as may be needed, is hereby authorized in Fund 7704 (Streets & Highways Bond Fund), Dept-Div 5913 (Division of Traffic Management), Project P540006-100000 (Traffic Maintenance Commodities), Object Class 06 (Capital Outlay) per the accounting codes in the attachment to this ordinance.
SECTION 7. That the monies appropriated in the foregoing Section 2 shall be paid upon order of the Director of Public Service and that no order shall be drawn or money paid except by voucher, the form of which shall be approved by the City Auditor.
SECTION 8. That upon obtaining other funds for this project for the Department of Public Service, the City Auditor is hereby authorized and directed to repay the Special Income Tax Fund the amount transferred under Section 3.
SECTION 9. 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 $1,875,000.00 (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 10. 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 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 City Auditor is hereby authorized to transfer the unencumbered balance in a project account to the unallocated balance account 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.
SECTION 13. 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.