HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 10/21/2014 - SECOND READING OF ORDINANCE NO. 137, 2014, APPROPRAgenda Item 17
Item # 17 Page 1
AGENDA ITEM SUMMARY October 21, 2014
City Council
STAFF
Lance Smith, Strategic Financial Planning Manager
Kevin Gertig, Utilities Executive Director
Mike Beckstead, Chief Financial Officer
Wendy Williams, Assistant City Manager
SUBJECT
Second Reading of Ordinance No. 137, 2014, Appropriating Capital Project Funding in the Light and Power,
Water, Wastewater, and Stormwater Drainage Enterprise Funds and Authorizing the Transfer of
Appropriations to the Cultural Services and Facilities Fund for the Art in Public Places Program, for the
Construction of a New Utilities Administration Building in Block 32 on LaPorte Avenue and Renovation of 700
Wood Street.
EXECUTIVE SUMMARY
This Ordinance, unanimously adopted on First Reading on October 14, 2014, provides funding for the
construction of a new Utility Administration Building within Block 32 on LaPorte Avenue, as well as renovation
of the existing Utility Service Center at 700 Wood Street. The total combined project costs are $23,411,000
with $4,500,000 already appropriated from Light and Power reserves, leaving $18,911,000 to be appropriated
with this ordinance.
STAFF RECOMMENDATION
Staff recommends adoption of the Ordinance on Second Reading.
ATTACHMENTS
1. First Reading Agenda Item Summary, October 14, 2014 (w/o attachments) (PDF)
2. Ordinance No. 137, 2014 (PDF)
Agenda Item 1
Item # 1 Page 1
AGENDA ITEM SUMMARY October 14, 2014
City Council
STAFF
Lance Smith, Strategic Financial Planning Manager
Kevin Gertig, Utilities Executive Director
Mike Beckstead, Chief Financial Officer
Wendy Williams, Assistant City Manager
SUBJECT
Items Relating to the Construction of a New Utilities Administration Building and Renovation of 700 Wood
Street.
EXECUTIVE SUMMARY
A. First Reading of Ordinance No. 137, 2014, Appropriating Capital Project Funding in the Light and Power,
Water, Wastewater, and Stormwater Drainage Enterprise Funds and Authorizing the Transfer of
Appropriations to the Cultural Services and Facilities Fund for the Art in Public Places Program, for the
Construction of a New Utilities Administration Building in Block 32 on LaPorte Avenue and Renovation of
700 Wood Street.
B. Resolution 2014-095 Directing the City Manager to Review Funding for Utilities Capital Improvements,
Including Utilities Plant Investment Fees and Other Related Matters, and Report the Results of that Review
for Further Council Consideration.
The purpose of this item is to provide funding for the construction of a new Utility Administration Building within
Block 32 on LaPorte Avenue, as well as renovation of the existing Utility Service Center at 700 Wood Street.
The total combined project costs are $23,411,000 with $4,500,000 already appropriated from Light and Power
reserves, leaving $18,911,000 to be appropriated with this ordinance.
A Utility Building Team comprised of internal staff and external subject matter experts has worked with the
architectural firm RNL and Adolfson and Peterson Construction to assess the best way to address the current
building performance and space issues facing Fort Collins Utilities’ ongoing and future business operations.
Balancing the city-wide goal to have high-performing office buildings with the need to be fiscally prudent has
led the Building Team to recommend the two-pronged funding process proposed in this appropriation
ordinance.
The four Utility Enterprise Funds (Light and Power, Water, Wastewater and Stormwater) will share the costs of
the projects. All appropriations will come from the existing reserves in these four funds.
A Resolution is also being presented directing staff to investigate the use of development fees for additional
types of capital needs such as facilities, modifying the information provided on customer utility bills to increase
transparency and to evaluate the long term rate impacts of capital improvements.
STAFF RECOMMENDATION
Staff recommends adoption of the Ordinance on First Reading.
ATTACHMENT 1
Agenda Item 1
Item # 1 Page 2
BACKGROUND / DISCUSSION
Staff has discussed this project twice previously within the last year with the City Council Finance Committee,
and with the whole City Council at its November 19, 2013 Work Session and most recently at the September
30, 2014 City Council Work Sessions, each time providing information regarding the Utility Service Center
(USC) at 700 Wood Street and the proposed Utility Administration Building (UAB).
During the September 30, 2014 Work Session, Council asked questions that required additional
research. The first Attachment is a historical timeline that identifies key dates and decisions related to
the recommended improvements to 700 Wood Street and the proposed new Utility Administration
Building. A Resolution is included that directs staff to:
1. investigate the options for modifying the Utilities development fees to fund additional types of capital
needs for the operation of Utilities, including administrative facilities and other facilities not currently
included, and to report the results of this investigation to the City Council no later than March 24, 2015;
2. investigate the options for modifying the Utilities billing system so as to increase the transparency
associated with Utilities capital expenses by including additional information on customer utility bills,
and to report the results of this investigation to the City Council no later than April 28, 2015;
3. evaluate the expected future rate impacts of funding the long-term capital improvements plans for
each of the Utilities, and to report the results of this evaluation to the City Council no later than April
28, 2015.
So far, the City of Fort Collins has spent $874,697 and encumbered another $1,413,159 under the
Capital Project 501.5010020000
Questions from September 30, 2014 Work Session
When did City Council authorize the use of funds to begin the design of a new building?
Answer: The City Council authorized the use of such funds in the 2008-09 City Budget. The attached pages
(Attachment 2) are taken from the 2008-09 Operating and Capital Improvement Budget documents which
reflect the budget approved by the City Council. The offer summary on page 58 of the Capital Improvement
Budget document describes the use of the $4,957,977 for “a capital project to replace the existing Light and
Power crew building, construct covered line truck parking, and to build a wash-down area for service
vehicles. Also included are Light and Power’s portion of the funds needed for energy improvements to the
existing service center and initial funds for the purchase of a new customer service center.” [emphasis
added]
Also attached (Attachment 3) please find the Agenda Item Summary and Ordinance No. 149, 2006, from the
September 19, 2006 City Council meeting authorizing the transfer of properties between the General Fund and
the Wastewater Fund. One of the properties being exchanged was the Police Annex on LaPorte for a future
Utilities Customer Information Services office.
How are Stormwater Capital Projects prioritized?
Utilities uses a long range Master Planning process to determine the Capital Project needs for the Stormwater
Enterprise. This is our guide for what is requested each cycle in the Budgeting for Outcomes process. As a
result of the Stormwater Repurposing work conducted from 2009-2012, this Master Planning process
incorporated a three pronged approach to project prioritization: (1) the existing flood protection and mitigation
ranking, (2), the addition of Stream Restoration/Rehabilitation funding, and (3) Unranked projects such as
cooperative projects, redevelopment, or Council directives. The amount of revenue requested each cycle
varies to allow the Stormwater Enterprise to build up the unappropriated reserves and fund larger multi-million
dollar projects in future years.
Agenda Item 1
Item # 1 Page 3
How did the Utility Administration Building fit into this prioritization?
The Utility Administration Building (UAB) would be funded under the third criteria – Unranked Redevelopment
Projects. The September 30, 2014 AIS regarding this item showed that the Stormwater Enterprise had
approximately $6.9M in unappropriated reserves (working capital) from which staff is requesting the use of
$2.9M for construction of the UAB.
How are Stormwater Reserve funds prioritized?
Utilities Master Planning process identifies unappropriated reserves to be requested in a future budget cycle
for the completion of the next highest priority projects, namely completion of the North East College Corridor
Outfall (NECCO), the Jefferson St/Lincoln St Drainage system to serve the River District, or the Magnolia St
Outfall the serve the southern portion of Old Town. The Mail Creek project is ranked as number 3 under the
second criteria – Stream Restoration/Rehabilitation. Based on our Master Planning process, we would request
funds in the 2017-18 BFO process to construct this project.
Council Options
Council certainly has the discretion to change the timing or amounts of any of these projects. Staff can provide
any requested information on how such change would impact the completion of the overall system needs.
The USC has grown through seven additions to its current 108,000 square foot capacity over the past 45
years. Key drivers that support the renovation of the USC and addition of a new building to house Customer
Service are:
Space needs – Space is in poor condition and inadequate for growing business operations necessary
to support current Fort Collins community service delivery expectations;
Energy Efficiency – The USC building is one of the least energy efficient buildings owned by the City;
HVAC system replacement and building envelop improvements are necessary;
Customer Service - Customer Service has been located in leased space for over 20 years; customer
parking is inadequate at current location.
Initially, to address the immediate need for additional crew space and to provide some funding for a new office
space for customer service, the Light and Power Enterprise Fund appropriated $4.5M. Recognizing ongoing
space needs will impact Fort Collins Utilities’ effectiveness to maintain current levels for customer service and
customer satisfaction in the near future, it was determined as far back as at least 2006 that it is highly
desirable to relocate several external customer-focused departments at a single location downtown. A
comparison of the costs associated with the USC addition to the costs of new construction led to the
recommendation of a more limited renovation at 700 Wood Street and building a new Utilities Administration
Building downtown as part of the development of Block 32 on LaPorte Avenue as discussed at the November
19, 2013 Work Session.
Capital projects are prioritized within each utility. Ten year capital improvement plans have been updated in
2014 for three of the four utilities with Light & Power scheduled for 2015. This project has the distinction
among capital projects of spanning all four utilities. While it is possible to build part of the buildings now to
meet the immediate needs of Light and Power and then part of it in a few years to meet the Water utility’s
anticipated space needs, and then later for Wastewater and Stormwater, such a piece mill approach is not
optimal. This infrastructure project will not require redeployment of utility staff from other capital projects to
complete. Based on historical and anticipated capital spending, staff anticipates that all other capital projects
will proceed as planned.
The ratepayers of the four utilities will benefit from this appropriation as this project provides:
Office space owned by the utilities to house the entire Customer Service department in a single
location thereby allowing for efficient and effective customer service
Adequate, more modern facilities for utility personnel to perform front office and back office duties
Agenda Item 1
Item # 1 Page 4
necessary to maintain and operate utility infrastructure to meet customer service level expectations
An opportunity for the utilities to demonstrate to the community how the City is meeting Green Building
initiatives
The vision for both the UAB construction and the USC renovation is one that will demonstrate how facilities
can serve as a model in environmental stewardship to the Fort Collins community. Sustainability for the 21st
Century is a defining focus of Utilities core services; delivering a level of service our customers expect and in
an environmentally and socially responsible way while making the best economic choices for the long-term.
The Building Team recommended the two projects be combined into one design and funding process in order
to align the vision and results of both projects and optimize economies of scale.
These projects present an excellent opportunity for Utilities to “walk the talk” by demonstrating best practices in
high performance new construction and retrofit projects. Based on energy studies at the USC and what is
being accomplished in new construction, it is proposed that these two facilities be designed to be “net zero
energy ready.” This means that the buildings will be designed and constructed to have very low energy use,
such that the addition of on-site renewable energy would result in net zero energy consumption on an annual
basis. The new UAB will achieve a LEED Gold certification at a minimum.
Utility Administration Building (UAB)
This new building would house the entire Customer Connections Department and some senior management of
Fort Collins Utilities. At 37,500 square feet, this building will meet the long term space requirements of the
Customer Connections department and administrative functions that would be relocated from the Utility
Service Center and space currently leased by Fort Collins Utilities from the City’s General Fund at 117 North
Mason. Space initially unused by Utility staff would be leased in this building to the City’s Sustainability
Services Area until it is needed by Fort Collins Utilities.
The construction of the 37,500 square foot Utility Administration Building is expected to cost $14.1M as shown
in the table below:
The $14.1M provides sufficient funding for the new construction and providing a rooftop solar photovoltaic
system to make the UAB at or near a Net Zero building. There may be an opportunity in the future to add a
ground source geo-thermal heat exchange system within Block 32 which would also improve the energy
efficiency of this building.
This appropriation request, however, does not provide sufficient funding to also install high efficiency fiberglass
windows, implement a ground source geothermal heat pump, or furnishings for an external plaza area. The
costs associated with these additional energy efficiency improvements are:
UAB Budget $14,100,000
Includes…
Capacity for staff through 2028
Water source heat pump system
Open office environment
LEED Gold certification
PV system on roof for Net Zero building
1% for Art in Public Places
Agenda Item 1
Item # 1 Page 5
Diagonal and parallel parking has been added along Howes Street increasing the number of spaces available
by 25 spaces between LaPorte Avenue and Cherry Street. Most of the employees who will be occupying this
building already work downtown at 117 North Mason. It is anticipated there will be 41 employees relocating
from 700 Wood Street to this building. Parking Services has indicated there is sufficient capacity in the parking
garages during business hours for these 41 employees.
Utility Service Center (USC)
The new building on LaPorte Avenue would relieve some of the space needs at the USC. However, there
remain operational needs which would best be met by also renovating the existing space at the USC. Such a
renovation would modify some existing space to meet the Light & Power crew needs as well as improve the
building’s security and energy efficiency. The current HVAC system is at the end of its life and will require
significant investment over the next few years even without this renovation. Incorporating the HVAC
investment into a more comprehensive renovation of the entire building envelope will substantially improve the
energy efficiency of the building.
The renovation of existing space at the USC is expected to cost $9.3M as shown in the table below:
The budget provides sufficient funding to fully address the Light & Power crew space needs, replace the
current HVAC system, renovate the entrance area, improve building security, and provide extensive building
envelope improvements. Building envelope improvements include replacing the current exterior windows,
repairing the existing skylights, and adding roof insulation. Making these improvements will result in a lower
cost HVAC system and long-term energy savings as well as move the building closer to being a net zero
energy building. There may be an opportunity in the future to add a ground sourced geo-thermal heat
exchange system within Block 32 that would improve the energy efficiency of this building even more.
This appropriation request, however, does not provide sufficient funding to also implement a geothermal heat
exchange system, remove existing interior walls to create an open office environment, acquire new furnishings
or provide a solar array to achieve net zero energy consumption. The costs associated with these additional
energy efficiency improvements are:
Additional Energy Efficiency Improvements Added Cost…
Install Alpen 725 Series fiberglass windows $220,000
Ground Source Geo-thermal system for heat pumps $300,000
Add additional site furnishings for exterior plaza area $120,000
$640,000
USC Budget $9,311,000
Includes…
L&P Crew Space
HVAC Replacement to water source heat pump
Renovated entrance area
Security Enhancements
Window replacement
Skylight repair & solatubes
Additional roof insulation
1% for Art in Public Places
Agenda Item 1
Item # 1 Page 6
The baseline budgets for both projects include all permit and development fees, deconstruction costs and
sufficient contingency funding for reasonable contingencies. Combining the two projects into the single
appropriation being requested herein of $18.9M includes the associated 1% appropriation for Art in Public
Places.
The appropriation request is allocated to the four utilities as follows:
A memorandum dated January 23, 2014 to the Council Finance Committee outlined the rationale behind
recommending that the appropriation be made from the cash reserves of the four utility Enterprise Funds
rather than through a debt issuance as had been previously discussed with the City Council. Funding with
available cash is preferred based on the collective healthy balance of the utility Enterprise Fund Reserves,
consistency with historical facility improvement funding, consistency with the City’s “pay as you go” philosophy,
the relatively low yield of these cash reserves compared to the current borrowing rate, and the complication of
issuing debt across the four utilities. Council Finance Committee was supportive of using cash at the January
27, 2014 committee meeting.
Additional Energy Efficiency Improvements Added Cost…
Lake GeoExchange system * $150,000
Open office environment, new finishes $2,300,000
PV system for Net Zero $2,000,000
$4,450,000
* Does not include lease agreement for access to the pond
Combined Projects Summary
Staff Recommendation for new UAB: $14,100,000
Staff Recommendation for USC Renovation: $9,311,000
Total Construction Budget $23,411,000
Less Prior Appropriation $4,500,000
Proposed Appropriation $18,911,000
Enterprise Fund
Project
Share
Share of Projects
Cost
Less Existing
Appropriation
Funds Being
Requested Here
Light & Power 50.0% $11,705,500 $4,500,000 $7,205,500
Water 25.0% $5,852,750 $5,852,750
Wastewater 12.5% $2,926,375 $2,926,375
Storm Drainage 12.5% $2,926,375 $2,926,375
100.0% $23,411,000 $4,500,000 $18,911,000
Agenda Item 1
Item # 1 Page 7
FINANCIAL / ECONOMIC IMPACTS
The financial impact of this appropriation on the short term financial health of the four utility Enterprise Funds
will be to reduce the amount of unappropriated cash reserves held by each utility. These reserves are used for
capital projects associated with aging infrastructure replacement and renewal, growth, and new regulatory
requirements. The reserves grow through development fees and operating revenues in excess of actual
operating expenses. Higher than projected development fee revenues in 2013 allowed three of the four
utilities to increase reserves in 2013. The Water Enterprise Fund reserves decreased from $67.0M at the end
of 2012 to $65.5M through 2013. However, higher than budgeted development fees, along with additional
revenue from the sale of excess treatment capacity, should increase the working capital for the Water Fund by
$5-8M in 2014. No capital projects identified and submitted for consideration in the 2015-16 Budgets are being
impacted by this appropriation.
Plant Investment Fee Revenue
Chapter 26 of the City Code contains three sections that define the purpose for which PIF revenue can be
used. In summary, the Water, Wastewater and Stormwater PIFs are essentially “used for growth-related
capital expansion costs” related to operational facilities and infrastructure and not office facilities. Light and
Power fees cover the cost of extending infrastructure to the specific development that paid the fees.
Because office facility and building needs are not specifically included in any of the PIF calculations, based on
the stated purposes within the City Code, PIF revenues are not to be used to finance the construction of a new
UAB. Staff understood from the September 30th Work Session that Council may be interested in changing the
City Code to allow for PIF revenues to be used for such purposes in the future.
Reserve Balances
The table below summarizes the reserve balances for these Enterprise Funds at the end of 2013 and after this
appropriation.
Fort Collins Utilities has historically used cash reserves to fund facility improvements. The USC was initially
acquired and built using cash reserves and multiple remodels and additions have occurred over the past 45
years at a total cost of $18.2M with funding from cash reserves. Several of these expansions were funded
across multiple utilities when expansion needs occurred simultaneously.
Use of these reserves will not trigger a rate increase for customers of any of the four utilities. The projected
increases in Light and Power rates in 2015 and 2016 are driven entirely by the increased costs associated with
generating the power from Platte River Power Authority. The proposed rate increases of 3% in 2015 and 2016
in the Wastewater Enterprise Fund have been planned ahead of the decision to recommend this appropriation.
Enterprise Fund
Cash &
Investments
(12/31/13)
Available
Working Capital
(12/31/13)
Funds Being
Requested
Here
Available Working
Capital After This
Appropriation
Light & Power $55.3 $26.6 $7.2 $19.4
Water $65.5 $8.5 $5.8 $2.7
Wastewater $33.1 $17.8 $2.9 $14.9
Storm Drainage $17.2 $6.9 $2.9 $4.0
$171.1 $59.8 $18.9 $40.9
$ in millions
Agenda Item 1
Item # 1 Page 8
The increased revenues from the proposed increases to the Wastewater utility are consistent with the long
term financial requirements and strategic planning based on the 10 year capital improvement plan for this
utility. It is anticipated that gradual, moderate rate increases may be required for some of the utilities over the
next few years which may be delayed by a year or two without this appropriation but the need for any such rate
increase will persist even without the appropriation, as it is driven by a longer term perspective of revenue
requirements and capital project planning.
ENVIRONMENTAL IMPACTS
Currently, energy use at the USC is responsible for over 1,000 tons/year CO2e in greenhouse gas emissions.
With efficiency upgrades at the USC (envelope and HVAC improvements) and high performance design at the
UAB, energy modeling shows the combined emissions for the two buildings at 850 tons/year CO2e, lower than
current emissions at the USC alone. The addition of solar PV systems will further lower these emissions.
Attention to water efficient design elements at UAB will optimize water use inside and out.
Energy and water systems for the UAB are being designed in context with the future build-out of the Civic
Center complex. As such, the potential exists for developing campus-wide energy and water systems. For
example, heat pumps in the building will be able to tie into a campus wide GeoExchange well field to exchange
energy with the earth and adjacent buildings. PV systems on one building or a parking garage can share
energy with all Civic Center buildings, or possibly a larger energy district.
BOARD / COMMISSION RECOMMENDATION
At its August 7, 2014 meeting, the Energy Board (Attachment 7) unanimously approved the following motion:
“The Energy Board recommends to City Council approval of the Utility Buildings Appropriation
Ordinance scheduled for City Council First Reading on August 19, 2014 appropriating capital
project funding from the Light & Power, Water, Wastewater, and Stormwater Funds, for
construction of a new Utilities Administration Building at the corner of Laporte and Howes and
renovation of 700 Wood Street.”
At its August 21, 2014 meeting, the Water Board (Attachment 8), 2014 unanimously approved the following
motion:
“In response to Staff’s request for consideration of the Appropriation Ordinance regarding the
Utility Buildings Appropriation Ordinance, being presented to City Council on September 2,
2014, I move that the Water Board communicate to City Council that the expenditure proposed
does not appear to compromise Utilities’ financial position.
Based on the lack of information provided to the Board regarding needs, alternatives, and
implications, a lack of time to consider what has been presented, the Board cannot comment
on the wisdom of the course forward despite their trust in staff. Because this appropriation
was not part of the Budgeting for Outcomes process, the Water Board is concerned about the
lack of transparency in the public process.”
Agenda Item 1
Item # 1 Page 9
ATTACHMENTS
1. Proposed Utilities Customer Service Building Timeline (PDF)
2. 2008-09 Operating and Capital Improvement Budget documents (PDF)
3. Agenda Item Summary and Ordinance No. 149, 2006, September 19, 2006 (PDF)
4. Council Finance Committe minutes, September 16, 2013 (PDF)
5. Council Finance Committee minutes, January 27, 2014 (PDF)
6. Staff Memo re: Building Funding - Cash vs. Bonds, January 23, 2014 (PDF)
7. Energy Board minutes, August 7, 2014 (draft) (PDF)
8. Water Board minutes, August 21, 2014 (draft) (PDF)
9. Triple Bottom Line Analysis (PDF)
10. Council Work Session Summary, November 19, 2013 (PDF)
11. November 19, 2013 Work Session Agenda Materials (PDF)
12. Powerpoint presentation (PDF)
- 1 -
ORDINANCE NO. 137, 2014
OF THE COUNCIL OF THE CITY OF FORT COLLINS
APPROPRIATING PRIOR YEAR RESERVES PROJECT FUNDING IN THE LIGHT AND
POWER, WATER, WASTEWATER, AND STORM DRAINAGE FUNDS, AND
AUTHORIZING THE TRANSFER OF APPROPRIATIONS TO THE CULTURAL
SERVICES AND FACILITIES FUND FOR THE ART IN PUBLIC PLACES PROGRAM,
FOR THE CONSTRUCTION OF A NEW UTILITIES ADMINISTRATION BUILDING IN
BLOCK 32 ON LAPORTE AVENUE AND A RENOVATION OF THE UTILITIES SERVICE
CENTER AT 700 WOOD STREET
WHEREAS, the Utility Service Center (USC) at 700 Wood Street has grown over its
lifetime through seven major additions to its current 108,000 square foot capacity, resulting in an
energy inefficient building that lacks sufficient security; and
WHEREAS, a new 37,500 square foot Utilities Administration Building (UAB), to be
located in Block 32 on LaPorte Avenue downtown, has been proposed to house the entire
Customer Connections Department and some senior management of Fort Collins Utilities,
satisfying the long term space requirements of the Customer Connections Department and
administrative functions to be relocated from the Utility Service Center and space currently
leased by Fort Collins Utilities from the City’s General Fund at 117 North Mason; and
WHEREAS, space initially unused by Utility staff in the UAB would also be leased to
the City’s Sustainability Services Area until it is needed by Fort Collins Utilities; and
WHEREAS, there remain operational needs for Utilities that would best be met by also
renovating the existing space at the USC, including modification of existing space to meet the
Light & Power crew needs, improving the building’s security and energy efficiency, and
replacing the current HVAC system, which is at the end of its life and its replacement will
substantially improve the energy efficiency of the building; and
WHEREAS, the total cost of the construction of the new UAB is $14,100,000; and
WHEREAS, the total cost of the renovation of the USC is $9,311,000, which includes
$4,500,000 previously appropriated in the 2011-2012 budget from Light & Power reserves to
address growth and space needs of the Electric Utility and $45,000 that was transferred to the
Cultural Services and Facilities Fund for the Art in Public Place (APP) projects; and
WHEREAS, of the total remaining $18,911,000 appropriation, $189,111 represents the
additional appropriation for the two projects that must be transferred into the Cultural Services
and Facilities Fund for the APP projects from the four utility funds; $41,604 (22%) of which will
be transferred to the Cultural Services Fund for reserve for the maintenance of the artwork and
operations of the APP program; and
- 2 -
WHEREAS, Article V, Section 9 of the City Charter permits the City Council 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, Article V, Section 10, of the City Charter authorizes the City Council to
transfer by ordinance any unexpended and unencumbered appropriated amount or portion thereof
from one fund (project) to another fund (project), provided that the purpose for which the
transferred funds are to be expended remains unchanged.
WHEREAS, City staff recommends appropriating from prior year reserves in the Light &
Power Fund $7,205,500, the Water Fund $5,852,750, the Wastewater Fund $2,926,375, and the
Storm Drainage Fund $2,926,375 for a total amount of $18,911,000 to be used for the
construction of a new Utilities Administration Building in Block 32 on LaPorte Avenue, a
renovation of the Utilities Service Center at 700 Wood Street, and the required funding for Art in
Public Places.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF
FORT COLLINS as follows:
Section 1. That there is hereby appropriated for expenditure from prior year reserves in
the Light & Power Fund the sum of $7,205,500 as follows:
New Utilities Administration Building and renovation of 700 Wood
Street Project
$7,133,445
Art in Public Places Project 72,055
TOTAL $7,205,500
Section 2. That there is hereby appropriated for expenditure from prior year reserves in
the Water Fund the sum of $5,852,750 as follows:
New Utilities Administration Building and renovation of 700 Wood
Street Project
$5,794,222
Art in Public Places Project 58,528
TOTAL $5,852,750
Section 3. That there is hereby appropriated for expenditure from prior year reserves in
the Wastewater Fund the sum of $2,926,375 as follows:
New Utilities Administration Building and renovation of 700 Wood
Street Project
$2,897,111
Art in Public Places Project 29,264
TOTAL $2,926,375
Section 4. That there is hereby appropriated for expenditure from prior year reserves in
the Storm Drainage Fund the sum of $2,926,375 as follows:
- 3 -
New Utilities Administration Building and renovation of 700 Wood
Street Project
$2,897,111
Art in Public Places Project 29,264
TOTAL $2,926,375
Section 5. That the unexpended appropriated amount of FORTY-ONE THOUSAND,
SIX HUNDRED AND FOUR DOLLARS ($41,604) is authorized for transfer in the Art in
Public Places Projects from the Light & Power, Water, Wastewater and Storm Drainage Funds to
the Cultural Services and Facilities Fund and appropriated therein for the Art in Public Places
Program Maintenance and Operations and transferred as follows:
Light & Power $15,852
Water 12,876
Wastewater 6,438
Storm Drainage 6,438
TOTAL $41,604
Introduced, considered favorably on first reading, and ordered published this 14th day of
October, A.D. 2014, and to be presented for final passage on the 21st day of October, A.D. 2014.
__________________________________
Mayor
ATTEST:
_______________________________
City Clerk
Passed and adopted on final reading on the 21st day of October, A.D. 2014.
__________________________________
Mayor
ATTEST:
_______________________________
City Clerk