Number
212037
Version
SUBSTITUTE 1
Reference
Sponsor
ALD. MURPHY
Title
Substitute resolution authorizing up to $9,000,000 of 2022 contingent borrowing for City matching funds for State & Federal aid paving projects and authorizing the Commissioner of Public Works to execute the State Municipal Agreement with the Wisconsin Department of Transportation for the construction of West Vliet Street in the 4th and 15 Aldermanic Districts with a total estimated cost of $10,000,000 with an estimated grantor share of $6,400,000, and an estimated City share of $3,600,000.
Analysis
This resolution authorizes the use of Contingent Borrowing of up to $9,000,000 for the State and Federal Aid Capital Program. The additional funding is needed in order to complete a previously approved paving project and to leverage Federal funding from the Bipartisan Infrastructure Law (BIL). This resolution also authorizes the execution of a State Municipal Agreement with the Wisconsin DOT for reconstruction of a segment of W. Vliet Street.
Body
Whereas, The City of Milwaukee is responsible for allocating matching funds for State and Federal Aid paving projects; and
Whereas, A previously approved street reconstruction project on N. Humboldt Avenue from E. North to E. Keefe has experienced cost increases related to construction delays and design changes, and an additional $4,200,000 is required to complete the project; and
Whereas, The Bipartisan Infrastructure Law (BIL) passed in November of 2021 presents a number of opportunities for the City of Milwaukee to apply for Federal funding to improve the City’s transportation infrastructure; and
Whereas, The Southeastern Wisconsin Regional Planning Commission (SEWRPC) awarded BIL funds for construction-ready projects in April of 2022, and the City of Milwaukee was awarded funding for the W. Vliet Street from N. 27th to N. 12th street reconstruction project, which requires the City to allocate matching funds of $3,600,000; and
Whereas, The SEWRPC will award additional BIL funds in July of 2022, and the Department of Public Works will require $1,200,000 for design of an additional ten paving projects, which will put the City in the best position to be awarded BIL funds for these projects in the July funding cycle; and
Whereas, The anticipated need in the State and Federal Aid paving program of $9,000,000 exceeds the available balance in the account; and
Whereas, The 2022 Budget of the City of Milwaukee authorized $200,000,000 of Contingent Borrowing for purposes not contemplated at the time the budget was adopted; and
Whereas, Resolution File Number 211336 authorized the issuance of general obligation promissory notes for various public purposes, including Contingent Borrowing as may be authorized from time to time; and
Whereas, The City desires to use up to $9,000,000 of Contingent Borrowing to fund the above-noted street design and reconstruction projects; now therefore, be it
Resolved, By the Common Council of the City of Milwaukee, that up to $9,000,000 of Contingent Borrowing for street design and reconstruction is authorized to be issued; and be it
Further Resolved, That the debt may be issued as Notes pursuant to Resolution Number 211336 (including direct loan notes), and that such debt shall be a purpose of Contingent Borrowing - Unallocated in Exhibit A of the resolution, including refunding of direct loan notes if the debt is temporarily issued as direct loan notes; and be it
Further Resolved, That the direct loan notes may be issued by the Comptroller without approval of the Public Debt Commission; and be it
Further Resolved, By the Common Council of the City of Milwaukee, that $9,000,000 in additional funds are appropriated to the Street Construction - City Contribution to State and Federally Aided Grant Projects Account No. 0333-9990-R999-ST320220000; and, be it
Further Resolved, That the City Comptroller be, and hereby is, authorized and directed to establish the necessary accounts and accounting procedures to carry out the intent of this resolution.
Further Resolved, That the City Comptroller is hereby authorized to create within the Capital Improvement Fund, Grant and Aid Projects, the necessary Project Grant Chartfield Values for design engineering for the project (Expenditure) and transfer to any of these accounts the amount required under the grant agreement and City Accounting Policy but not to exceed a 10 percent increase of the total amounts reserved for the grantor’s share and local share or $5,000, whichever is greater, as follows:
West Vliet Street - North 27th Street to North 12th Street
City of Milwaukee Share
Fund Number 0333
ST320220000
$3,600,000
Grantor Reimbursable
Fund Number 0306
SP032220100
$ 0
Grantor Non- Reimbursable
$ 6,400,000
Estimated Total Construction $10,000,000
Total Construction Previously Authorized $0
Current Estimated Cost of Total Project Including this Resolution $10,000,000
Original Estimate Cost of Total Project $10,000,000
Requestor
Budget and Management Division
Department of Public Works- Infrastructure Services Division
Drafter
Bill Christianson
April 25, 2022
1032-2009-3430:260720
Finance/Resolutions/Contingent Borrowing resolution- State Federal Aid Paving 212037 v2
Technical Corrections
Chris Lee
04/27/2022