From
Ryan Simpson
Title
Ordinance amending the FY 2019/2020 Capital Lending and Reserve Fund in the amount of $603,668 for a taxilane extension and service road reimbursement in accordance with Section IX. "Construction & Improvements" of the Long-Term Ground Lease Agreement effective February 1, 2019 with Staggerwing Development #5, LLC at the Grand Prairie Municipal Airport.
Presenter
Mark J. Divita, C.M., Airport Director
Recommended Action
Approve
Analysis
Working with Staggerwing Development #5, LLC, a plan has been developed wherein Staggerwing Development #5, LLC, will pay the upfront cost for taxilane extension and access road. Staggerwing Development #5, LLC, will construct the city owned improvements.
The taxilane extension and service road construction is necessary due to limitations of adjacent existing taxilanes' ability to carry and provide safe clearance of future based aircraft in the Staggerwing Development #5, LLC's hangar.
Once the project has been completed, the City will reimburse Staggerwing Development #5, LLC, the total amount of the construction cost, not to exceed $603,668.00, unless Council approves additional costs.
Due to the recent storm damage to the airport hangars, the City does not have funding available to complete the project at the time. Funds in the Airport Capital Improvement Project Fund originally intended for this project were depleted to make necessary emergency hangar repairs. The agreement with Staggerwing Development #5, LLC, will allow the project to commence much sooner than if the City were to delay the project until the funds were available.
This item was presented to the Finance and Government Committee on October 15, 2019 for their recommendation and approval.
Financial Consideration
Funding for the cost for taxilane extension and access road with Staggerwing Development #5, LLC, in the amount of $603,678.00 is available by approving an ordinance transferring appropriating from the unobligated fund balance in the Capital Lending and Reserve Fund (402690) to the Airport Capital Projects Fund (505292) to WO #02013403 (Airport Taxilane Improvements) 68540 (Construction). An annual reimbursement payment will be made to the Capital Lending and Reserve Fund commencing in FY 2023 and based on available surplus revenues.
Body
AN ORDINANCE OF THE CITY OF GRAND PRAIRIE, TEXAS, FY 2019/2020 CAPITAL AND LENDING RESERVE FUND BY TRANSFERRING AND APPROPRIATING FROM THE UNOBLIGATED FUND BALANCE IN THE AMOUNT OF $603,678 TO THE AIRPORT CAPITAL PROJECTS FUND (505292), TO WO #02013403 (AIRPORT TAXIWAY IMPROVEMENTS) 68540 (CONSTRUCTION)
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF GRAND PRAIRIE, TEXAS:
SECTION 1. That the FY 2020 Capital Lending and Reserve Fund Budget be amended by transferring and appropriating $603,678 from the unobligated fund balance to the Airport Capital Projects Fund (505292), to WO #02013403 (Airport Taxiway Improvements) 68540 (Construction)
SECTION 2. That the Airport Capital Projects Fund (505292) will commence paying back the Capital Lending and Reserve Fund in FY 2023, or sooner when there is a surplus amount of revenue.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF GRAND PRAIRIE, TEXAS, October 15, 2019.