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HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 02/21/2006 - FIRST READING OF ORDINANCE NO. 028, 2006, APPROPRI ITEM NUMBER: 24 AGENDA ITEM SUMMARY DATE: February 21, 2006 FORT COLLINS CITY COUNCIL STAFF: Ann Turnquist Steve Engemoen SUBJECT First Reading of Ordinance No. 028, 2006, Appropriating Unanticipated Revenue in the Sales and Use Tax Fund From the Proceeds of a Dedicated 0.25 Cent Sales and Use Tax Approved by the Voters for Transfer to the Capital Projects Fund, the Transit Services fund, and the Cultural Services and Facilities Fund to be Used for Projects Identified in the Building on Basics Capital Improvement Program. RECOMMENDATION Staff recommends adoption of the Ordinance on First Reading. FINANCIAL IMPACT This Ordinance implements the first year of BOB projects including the following allocations: 1. Harmony- Seneca to College $3,000,000 2. Fort Collins Museum/DSC Joint Facility Design $ 750,000 3. Timberline - Drake to Prospect, Right-of-Way Acquisition $ 400,000 4. Replacement Buses Transit Fleet $ 150,000 5. Pedestrian Plan and ADA Improvements, Continuation $ 300,000 6. Lincoln Center, Cultural Facilities Plan $ 150,000 7. Intersection Improvements and Traffic Signals $ 275,000 $5,025,000 EXECUTIVE SUMMARY In November 2005, voters approved the renewal of the City's sales and use tax funded capital program known as Building on Basics ("BOB"). The proceeds from the BOB package were not appropriated in the 2006-2007 Budget process because the success of the measure was not known at the time of Council's consideration of the Budget ordinances. This ordinance appropriates funds from the Sales and Use Tax Fund allocation for BOB to the projects which will receive funding in 2006. February 21, 2006 -2- Item No. 24 BACKGROUND On January 10, 2006, Council and staff met in work session to discuss the proposed schedule for completion of the capital improvement projects funded through the BOB sales and use tax program. Staff presented Council with a cash flow scenario which proposed to fund two high priority projects during the 2006-2007 Budget period—Harmony Road, Seneca to College Avenue and the Museum, Discovery Science Center ("DSC") joint facility. Council was supportive of the priorities for the first two years of the program and directed staff to proceed with implementing the first two years of the program to include the Harmony Road and Museum/DSC. Council also discussed the tentative schedule for other major projects included in the BOB package, including North College Improvements and Lincoln Center Renovations. Council asked staff to continue to review the schedule for these projects, including gathering input from both the Downtown and North College businesses. Staff has met to review alternatives for the projects in 2008-2015 and will provide additional information and alternatives to City Council at a later date. A work session will be scheduled if needed. This issue will be pursued separately from the appropriations for the 2006 Budget because these projects will not be implemented until the 2008-2009 Budget cycle. ATTACHMENTS • Preliminary Cash Flow Analysis and Project Schedule, Building on Basics 2005- February 14, 2006 7 Years O&M Final Project List Preliminary Cash Flow Analysis and Project Schedule Building on Basics 2005--February 14, 2006 14-Feb-06 (In thousands) Annual Total Additional (Constant Unfunded Cost O&M 2006 2007 2008 2017 2018 2019 2020 2021 2022 dollars) Cash Flow: Library Technology $ 51950 $ - $ 744 $ 744 $ 744 $ 744 $ 744 $ 744 $ 744 $ 742 $ 59950 Center Joint Facility $ 6,000 $ 200 750 S 5,250 $ 200 $ 200 $ 200 $ 200 $ 200 $ 200 $ 200 $ 7,400 Lincoln Center Renovation/Cultural Faci $ 53000 $ 24 $ 150 $ 21350 $ 23500 $ 24 $ 24 $ 24 $ 24 $ 24 $ 24 $ 24 $ 5,168 Park Upgrades and Enhancments $ 1,525 $ 45 $ 275 $ 15250 $ 1,525 Park Upgrades and Enhancements O&M $ 45 $ 45 $ 45 $ 45 $ 45 $ 45 $ 45 $ 315 Fort Collins Senior Center Expansion $ 49000 $ 50 $ 350 $ 2,000 $ 1,650 50 $ 50 $ 50 $ 50 $ 50 $ 50 $ 50 $ 45350 Police Services CAD Replacement Project $ 600 $ 219 $ 219 $ 219 $ 219 $ 819 $ 219 $ 219 $ 219 $ 2,133 Harmony - Seneca to College $ 39969 $ 19 $ 31000 $ 19 $ 988 $ 19 $ 19 $ 19 $ 19 $ 19 $ 45102 Intersection Improvements and Traffic Signals (including Harmony/College) $ 115000 $ 5 $ 275 2325 $ 15500 $ 400 $ 400 $ 35100 $ 780 $ 2,220 $ 1000 Intersections O&M $ 5 $ 5 $ 5 $ 5 $ 5 $ 5 $ 5 $ 35 North College Avenue Improvements $ 41000 $ 6 $ 400 $ 11000 $ 29600 $ 6 $ 6 $ 6 $ 6 $ 6 $ 6 $ 6 $ 45042 Timberline - Drake to Prospect $ 4,856 $ 16 $ 400 600 $ 3,200 656 $ 16 $ 16 $ 16 $ 16 $ 16 $ 16 $ 16 $ 4,968 Replacement Buses Transit Fleet $ 923 $ - $ 150 $ 150 $ 150 $ 150 $ 323 $ 923 Fort Collins Bicycle Program Plan Implementation $ 1,000 $ - $ 125 $ 125 $ 125 $ 125 $ 125 $ 125 $ 125 $ 125 $ 1,00o Pedestrian Plan and ADA Improvements, Continuation $ 31000 $ 50 $ 300 $ 300 $ 300 $ 300 $ 300 $ 300 $ 300 $ 300 $ 300 $ 300 $ 39000 Pedestrian Plan and ADA ImprovementsO&M $ 7 $ 14 $ 21 $ 28 $ 35 $ 42 $ 50 $ 42 $ 35 $ 28 $ 21 $ 14 $ 13 $ 350 Total Expenditure $ 59025 $ 59731 $ 5,270 $ 5,908 $ 51540 $ 55570 $ 59173 $ 5,117 $ 61555 $ 51653 $ 169 $ 162 $ 155 $ 85 $ 66 $ 66 $ 16 $ 56,261 Annual Balance: $ 108 $ (131) $ 330 $ (308) $ 60 $ 30 $ 427 $ 483 $ (955) $ (53) $ 298 $ (162) $ (155) $ (85) $ (66) $ (66) $ (16) Running Balance: $ 108 $ (23) $ 307 $ (1) $ 59 $ 89 $ 516 $ 999 $ 44 $ (9) $ 289 $ 127 $ (28) $ (113) $ (179) $ (245) $ (261) Total $ 51,823 $ 634 $ 56,261 Grand Total: Capital + 7 yrs. O&M: $ 56,261 Totals revenue projections are in constant 2005 dollars and do not include interest/investment earnings Notes: Library Technology and Pod Plan have a flat dollar allocation per year Museum/DSC design would begin in 2006, with construction in 2007 Lincoln Center renovation/Cultuml Funding is split between the two aspects of the project Senior Center is scheduled late in process Police CAD has existing funding sources for capital available now and through existing funding stream ($1.6 in partner funding, and $200k from existing budget) so O&M can start in 2008, but City Capital is scheduled for 2011. Harmony and intersection would occur in 2006-2007 with some existing funding that would be repaid to the General Fund in 2008. The Harmony/College intersection would be completed as a separate project in 2008 ORDINANCE NO. 028, 2006 OF THE COUNCIL OF THE CITY OF FORT COLLINS APPROPRIATING UNANTICIPATED REVENUE IN THE SALES AND USE TAX FUND FROM THE PROCEEDS OF A DEDICATED 0.25 SALES AND USE TAX APPROVED BY THE VOTERS FOR TRANSFER TO THE CAPITAL PROJECTS FUND, THE TRANSIT SERVICES FUND, AND THE CULTURAL SERVICES AND FACILITIES FUND TO BE USED ON PROJECTS IDENTIFIED IN THE BUILDING ON BASICS CAPITAL IMPROVEMENTPROGRAM WHEREAS, in 2003, City Council and staff began pursuing a 10-year capital program to provide funding for some of the City's general capital needs,and to replace the Building Community Choices-Community Enhancement Projects program that began in 1998 and was due to expire on December 31, 2005; and WHEREAS, the aforementioned program became known as the Building on Basics 2005 Capital Improvement Program ("BOB"); and WHEREAS,with over$550 million in unfunded or partially funded capital needs identified in the City's 10-year Capital Inventory, the goal of BOB was to develop a plan to provide funding for the City's highest priority projects; and WHEREAS,a list ofprojects was developed,including the operation and maintenance needs for those projects, through a series of meetings soliciting public input, input from City boards and commissions, and City Council Work Sessions; and WHEREAS, City Council, on August 16, 2005, adopted Resolution 2005-092, Submitting to the Registered Electors of the City an Ordinance Extending the Existing Twenty-Five Hundredths Percent (0.25%) "Community Enhancement" Capital Projects Sales and Use Tax on all Taxable Items Except Food for a Period of Ten Years for the Purpose of Obtaining Revenue for Certain "Building on Basics" Capital Projects and Related Operation and Maintenance; and WHEREAS, at a municipal election on November 1, 2005, City residents approved the extension, through December 31, 2015, of the 0.25 cent sales and use tax, approved by voters in 1997, for the Building Community Choices-Community Enhancements capital projects,provided that the revenues from the extended 0.25 cent are used to pay for the costs of planning,design,right- of-way acquisition, construction, and at least seven(7) years of operation and maintenance of the following capital projects as part of the BOB program: • Intersection Improvements and Traffic Signals (Including Harmony/College); • Timberline Road - Drake Road to Prospect Road; • Harmony Road - Seneca Street To College Avenue; • Lincoln Center Renovation and Cultural Facilities Plan; • Park Upgrades and Enhancements; • Fort Collins Senior Center Improvements; • Fort Collins Museum/Discovery Science Center Joint Facility; • Fort Collins Bicycle Program Access Implementation; • Pedestrian Plan and Disability Improvements; • North College Avenue Improvements Phase 2 - Vine Drive to Conifer Street; • Transit Fleet Vehicle Replacement; • Library Technology; and • Police Services Computer Aided Dispatch, Records and Jail Management System Replacement Project. WHEREAS, on January 10, 2006, City Council and staff met in a work session to discuss proposals for scheduling of these projects,funded through the proceeds from the BOB program;and WHEREAS, City Council directed staff to proceed with implementing the first two years (2006-2007) of the program that included funding for two high priority projects: Harmony Road - Seneca Street to College Avenue, and the Museum/Discovery Science Center Joint Facility; and WHEREAS, the following appropriations are requested in 2006 for implementation of the first year of the BOB program: • Harmony Road - Seneca Street to College Avenue $ 3,000,000 • Fort Collins Museum/Discovery Science Center Joint Facility 750,000 • Timberline Road - Drake Road to Prospect Road (ROW Acquisition) 400,000 • Transit Fleet Vehicle Replacement 150,000 • Pedestrian Plan and Disability Access Improvements 300,000 • Lincoln Center Cultural Facilities Plan 150,000 • Intersection Improvements and Traffic Signals 275,000 Total $ 5,025,000 WHEREAS, Article V, Section 9, of the Charter of the City of Fort Collins(the"Charter") permits the City Council 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, City staff has determined that the appropriation of the proceeds from the quarter-cent sales and use tax dedicated to funding capital projects identified in the BOB program, as referenced above,will not cause the total amount appropriated in the relevant funds to exceed the current estimate of actual and anticipated revenues to be received during any fiscal year. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That there is hereby appropriated from unanticipated revenue in the Sales and Use Tax Fund, the sum of FOUR MILLION SEVEN HUNDRED TWENTY-FIVE THOUSAND DOLLARS ($4,725,000) for transfer to the Building on Basics Capital Projects Fund and appropriated therein, as follows: Harmony Road - Senaca Street to College Avenue $ 3,000,000 Fort Collins Museum/Discovery Science Center Joint Facility 750,000 Timberline Road - Drake Road to Prospect Road (ROW Acquisition) 400,000 Pedestrian Plan and Disability Access Improvements 300,000 Intersection Improvements and Traffic Signals 275,000 Total $ 4,725,000 to be used to for the projects as described within the Building on Basics Capital Improvement Program. Section 2. That there is hereby appropriated from unanticipated revenue in the Sales and Use Tax Fund, the sum of ONE HUNDRED FIFTY THOUSAND DOLLARS ($150,000) for transfer to the Transit Services Fund and appropriated therein to be used for the replacement of transit vehicles at the end of their useful lives. Section 3. That there is hereby appropriated from unanticipated revenue in the Sales and Use Tax Fund, the sum of ONE HUNDRED FIFTY THOUSAND DOLLARS ($150,000) for transfer to the Cultural Services and Facilities Fund and appropriated therein to be used for a cultural facilities plan to guide the development of future cultural facilities, such as a new performing arts center or downtown amphitheater. Introduced, considered favorably on first reading, and ordered published this 21st day of February, A.D. 2006, and to be presented for final passage on the 7th day of March, A.D. 2006. Mayor ATTEST: City Clerk Passed and adopted on final reading on the 7th day of March, A.D. 2006. Mayor ATTEST: City Clerk