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HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 12/15/2020 - SECOND READING OF ORDINANCE NO. 147, 2020 MAKING S Agenda Item 4 Item # 4 Page 1 AGENDA ITEM SUMMARY December 15, 2020 City Council STAFF Brian Hergott, Facilities Project Manager Ken Mannon, Operations Services Director Ingrid Decker, Legal SUBJECT Second Reading of Ordinance No. 147, 2020 Making Supplemental Appropriations for Roof Repairs on City Buildings Due to 2018 Hail Damage. EXECUTIVE SUMMARY This Ordinance, unanimously adopted on First Reading on December 1, 2020, appropriates additional insurance proceeds for further scope of work associated with completing roof repair work for a 2018 hail damage claim. These additional proceeds are for recovered depreciation, abatement of asbestos materials, code upgrades and project management. STAFF RECOMMENDATION Staff recommends adoption on Second Reading. ATTACHMENTS 1. First Reading Agenda Item Summary, December 1, 2020 (w/o attachments) (PDF) 2. Ordinance No. 147, 2020 (PDF) Agenda Item 6 Item # 6 Page 1 AGENDA ITEM SUMMARY December 1, 2020 City Council STAFF Brian Hergott, Facilities Project Manager Ken Mannon, Operations Services Director Ingrid Decker, Legal SUBJECT First Reading of Ordinance No. 147, 2020 Making Supplemental Appropriations for Roof Repairs on City Buildings Due to 2018 Hail Damage. EXECUTIVE SUMMARY The purpose of this item is to appropriate additional insurance proceeds for further scope of work associated with completing roof repair work for a 2018 hail damage claim. These additional proceeds are for recovered depreciation, abatement of asbestos materials, code upgrades and project management. STAFF RECOMMENDATION Staff recommends adoption of the Ordinance. BACKGROUND / DISCUSSION In October 2019, Council appropriated $4,076,143 in anticipated insurance proceeds for the repairs on 36 City buildings with damage from the June 2018 hail storm. The roof projects have since been bid out, contracted for repairs, and 90% of the work is completed. Through the course of contracting, permitting and inspecting the work it has been determined additional scope of work was required above and beyond what was covered in the initial insurance settlement. Prior Appropriation of 2018 Hail Funds Insurance 1st Payment of Funds 2,713,458 Anticipated 2nd Payment of Funds 1,362,686 Total Prior Appropriations 4,076,144 Funds to be Appropriated with this Ordinance Extra proceeds received in 2nd payment above 51,278 Anticipated Roof Depreciation Payment 526,820 Anticipated Material Abatement Reimbursement 302,700 Anticipated Roofing Code Upgrades 514,166 Anticipated Project Management Reimbursement 151,756 Less City Insurance Deductible (50,000) ATTACHMENT 1 Agenda Item 6 Item # 6 Page 2 Total Funds in This Appropriation 1,496,720 Total Anticipated Project Budget 5,622,864 CITY FINANCIAL IMPACTS This item will appropriate $1,496,720 of additional insurance proceeds to a non-lapsing fund to be used for the remaining work associated with the 2018 hail claim. -1- ORDINANCE NO. 147, 2020 OF THE COUNCIL OF THE CITY OF FORT COLLINS MAKING SUPPLEMENTAL APPROPRIATIONS FOR ROOF REPAIRS ON CITY BUILDINGS DUE TO 2018 HAIL DAMAGE WHEREAS, in June 2018 a hailstorm damaged the roofs of 36 City buildings; and WHEREAS, on October 15, 2019, the City Council approved Ordinance No. 115, 2019, appropriating $4,076,143 in insurance proceeds to be spent on roof repairs; and WHEREAS, through the process of contracting, permitting and inspecting the repairs, City staff determined that additional repair work was required beyond what was covered by the initial insurance settlement; and WHEREAS, the City anticipates receiving $1,496.720 in additional insurance proceeds for roof repairs; and WHEREAS, the City Council has determined that this appropriation benefits public health, safety and welfare of the citizens of Fort Collins and serves the public purpose of protecting the public investment in City properties; and WHEREAS, Article V, Section 9 of the City Charter permits the City Council, upon recommendation of the City Manager, to make supplemental appropriations by ordinance at any time during the fiscal year, provided that the total amount of such supplemental appropriations, in combination with all previous appropriations for that fiscal year, does not exceed the current estimate of actual and anticipated revenues to be received during the fiscal year; and WHEREAS, the City Manager has recommended the appropriation described herein and determined that this appropriation is available and previously unappropriated from the General Fund and will not cause the total amount appropriated in the General Fund to exceed the current estimate of actual and anticipated revenues to be received in that Fund during this fiscal year. 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 unanticipated revenue in the General Fund the sum of ONE MILLION FOUR HUNDRED NINETY-SIX THOUSAND SEVEN HUNDRED TWENTY DOLLARS ($1,496,720) for expenditure from the General Fund for roof repairs on City buildings due to 2018 hail damage. -2- Introduced, considered favorably on first reading, and ordered published this 1st day of December, A.D. 2020, and to be presented for final passage on the 15th day of December, A.D. 2020. __________________________________ Mayor ATTEST: _______________________________ City Clerk Passed and adopted on final reading on the 15th day of December, A.D. 2020. __________________________________ Mayor ATTEST: _______________________________ City Clerk