HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 01/04/2022 - FIRST READING OF ORDINANCE NO. 001, 2022, APPROPRI Agenda Item 1
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AGENDA ITEM SUMMARY January 4, 2022
City Council
STAFF
Scott Phelps, Parks Sr. Manager
Mike Calhoon, Director of Parks
Ingrid Decker, Legal
SUBJECT
First Reading of Ordinance No. 001, 2022, Appropriating Prior Year Reserves in th e General Fund and Golf
Fund and Authorizing Transfers of Appropriations for the Southridge Golf Course Irrigation Project.
EXECUTIVE SUMMARY
The purpose of this item is to appropriate $375,000 from the General Fund Southridge Golf Irrigation Reserve
and $825,000 from the Golf Fund to purchase materials for the irrigation system and pond lining construction
project scheduled to begin in October of 2022.
STAFF RECOMMENDATION
Staff recommends adoption of the Ordinance on First Reading.
BACKGROUND / DISCUSSION
The life expectancy of a typical irrigation system varies from 25 -30 years. The irrigation system at Southridge
Golf Course breaks down frequently, resulting in costly repairs. A dedicated crew is necessary to keep the
systems running throughout the season, which draws on resources needed for other duties. A new irrigation
system will produce significant savings through better water application efficiency and flexibility and reduces
labor and repair costs. Golf courses have documented 20 percent or m ore savings in labor and repair costs
and water use efficiency compared to previous irrigation systems. New, efficient systems will save an
estimated 10.5 million gallons of water annually and improve turf and playing conditions. The condition of a golf
course is the most important component in attracting repeat golfers.
During the 2014/2015 budget process, $500,000 was set aside in the General Fund Council Priority Reserve to
begin accumulating funds to replace the Southridge irrigation system. In the 2019 BFO Offer #26.3, $125,000
of those funds was authorized for design and cost estimates to replace the irrigation system. In March of 2021
the irrigation system cost estimates were still in line with the estimates received in the spring of 2020. In the fal l
of 2021, the City received proposals to replace the irrigation system at South ridge beginning in October of
2022.
Since March of 2021, the cost of the irrigation system replacement has risen 25 -30 percent and continues to
rise at this time. At the November 2021 Council Finance Committee meeting, support was given to fund this
project in 2022. To minimize the impact of inflation between now and the proposed bond funding of the project,
the Golf Division is requesting the appropriation of the remaining $3 75,000 from the General Fund Southridge
Golf Irrigation Reserve and $825,000 from the Golf Fund Reserves to purchase the materials. The $375,000
from the General Fund Reserve will be transferred to the Golf Fund.
Per Chapter 23 of the City Code, Article XII (addressing Art in Public Places), Section 23-304, all
appropriations for construction projects estimated to cost over $250,000 shall include an amount equal to one
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percent of the estimated cost for works of art. As such, the total APP contribution to be appropriated with this
action, and transferred to the Cultural Services and Facilities Fund, is $13,250.
CITY FINANCIAL IMPACTS
Appropriating these funds will save $126,000 immediately and set aside funds to avoid further price increases
in the future.
The following is a summary of the project funding:
Prior Project Appropriation
Prior Appropriation from General Fund Southridge Golf Irrigation Reserve
(transferred to the Golf Fund via 2019 BFO Offer 26.3
$125,000
Total Prior Project Appropriation $125,000
Project Funds to be Appropriated with this Action
General Fund Southridge Golf Irrigation Reserve (to be transferred to the Golf Fund) $375,000
Golf Fund Reserves $825,000
Total Project Funds to be Appropriated with this Action $1,200,000
Subtotal Project Funds $1,325,000
Less: Transfer to Art in Public Places $13,250
Total Project Funds 1,311,750
BOARD / COMMISSION RECOMMENDATION
Because of the timing of board meetings, this need was not presented to the Golf Advisory Board. It will be
presented to them at their normally scheduled board meeting January 12, 2022. It was supported at the
Council Finance Committee meeting in November 2021.
ATTACHMENTS
1. Council Finance Committee Minutes - November 3, 2021 (PDF)
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ORDINANCE NO. 001, 2022
OF THE COUNCIL OF THE CITY OF FORT COLLINS
APPROPRIATING PRIOR YEAR RESERVES IN THE GENERAL FUND
AND GOLF FUND AND AUTHORIZING TRANSFERS OF APPROPRIATIONS FOR THE
SOUTHRIDGE GOLF COURSE IRRIGATION PROJECT
WHEREAS, the City’s Parks Department has been setting aside funds for replacement of
the irrigation system at Southridge Golf Course since 2014; and
WHEREAS, the existing irrigation system breaks down frequently, requiring costly
repairs; and
WHEREAS, the estimated cost to replace the irrigation system has increased by nearly 30
percent since March of 2021 and continues to rise, and the Council Finance Committee, at its
regular meeting on November 3, 2021, supported funding the replacement project in 2022; and
WHEREAS, approval of this Ordinance would appropriate $375,000 from the General
Fund Southridge Golf Irrigation Reserve and $825,000 from the Golf Fund to purchase materials
for the irrigation system and pond lining construction project scheduled to begin in October of
2022 (the “Project”); and
WHEREAS, this appropriation benefits public health, safety and welfare of the citizens
of Fort Collins and serves the public purpose of providing an improved irrigation system on a
public golf course that will produce significant savings for the City through better water
application efficiency and flexibility while also reducing costs for labor and repairs; and
WHEREAS, because the Project involves construction estimated to cost more than
$250,000, Section 23-304 of the City Code requires one percent of these qualified appropriations
to be transferred to the Cultural Services and Facilities Fund for a contribution to the Art in
Public Places (APP) program; and
WHEREAS, the total Project cost of $1,325,000 includes a prior appropriation of
$125,000 completed in the 2019 Budget and the total Project cost has been used to calculate the
contribution to the APP program; and
WHEREAS, Article V, Section 9 of the City Charter permits the City Council, upon the
recommendation of the City Manager, to appropriate by ordinance at any time during the fiscal
year such funds for expenditure as may be available from reserves accumulated in prior years,
notwithstanding that such reserves were not previously appropriated; and
WHEREAS, the Interim City Manager has recommended the appropriation described
herein and determined that these appropriations are available and previously unappropriated
from the General Fund and the Golf Fund, as applicable, and will not cause the total amount
appropriated in the General Fund or the Golf Fund, as applicable, to exceed the current estimate
of actual and anticipated revenues and all other funds to be received in these Funds during this
fiscal year; and
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WHEREAS, Article V, Section 10 of the City Charter authorizes the City Council, upon
recommendation by the City Manager, to transfer by ordinance any unexpended and
unencumbered appropriated amount or portion thereof from one fund or capital project to
another fund or capital project, provided that the purpose for which the transferred funds are to
be expended remains unchanged, the purpose for which the funds were initially appropriated no
longer exists, or the proposed transfer is from a fund or capital project in which the amount
appropriated exceeds the amount needed to accomplish the purpose specified in the appropriation
ordinance; and
WHEREAS, the Interim City Manager has recommended the transfer of $375,000 from
the General Fund to the Golf Fund and determined that the purpose for which the transferred
funds are to be expended remains unchanged.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS as follows:
Section 1. That the City Council hereby makes and adopts the determinations and
findings contained in the recitals set forth above.
Section 2. That there is hereby appropriated from prior year reserves in the General
Fund the sum of THREE HUNDRED SEVENTY-FIVE THOUSAND DOLLARS ($375,000),
which sum is authorized for transfer to the Southridge Irrigation System Project in the Golf Fu nd
and appropriated therein.
Section 3. That there is hereby appropriated from prior year reserves in the Golf
Fund the sum of EIGHT HUNDRED TWENTY-FIVE THOUSAND DOLLARS ($825,000) for
expenditure from the Golf Fund for the Southridge Irrigation System Project.
Section 4. That the unexpended and unencumbered appropriated amount of TEN
THOUSAND THREE HUNDRED THIRTY-FIVE DOLLARS ($10,335) in the Golf Fund is
hereby authorized for transfer to the Cultural Services and Facilities Fund and appropriated
therein for the Art in Public Places Program art projects.
Section 5. That the unexpended and unencumbered appropriated amount of TWO
THOUSAND SIX HUNDRED FIFTY DOLLARS ($2,650) in the Golf Fund is authorized for
transfer to the Cultural Services and Facilities Fund and appropriated therein for the Art in Public
Places Program operation costs.
Section 6. That the unexpended and unencumbered appropriated amount of TWO
HUNDRED SIXTY-FIVE DOLLARS ($265) in the Golf Fund is authorized for transfer to the
Cultural Services and Facilities Fund and appropriated therein for the Art in Public Places
Program maintenance costs.
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Introduced, considered favorably on first reading, and ordered published this 4th day of
January, A.D. 2022, and to be presented for final passage on the 18th day of January, A.D. 2022.
__________________________________
Mayor
ATTEST:
_______________________________
Interim City Clerk
Passed and adopted on final reading on the 18th day of January, A.D. 2022.
__________________________________
Mayor
ATTEST:
_______________________________
City Clerk