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HomeMy WebLinkAbout09308 Substituted Copy July 9, 2018 ORDINANCE NO. 9308 AN ORDINANCE ESTABLISHING THE SOUTH T-HANGAR #1 PROJECT NO. AP1804, TRANSFERRING FUNDS IN THE AMOUNT OF $159,950 FROM THE ROOF REPLACEMENT PROJECT NO. CI1502, TRANSFERRING FUNDS IN THE AMOUNT OF $70,778 FROM THE 2018 AIRPORT PRIOR YEAR FUND BALANCE, AND BUDGETING AND APPROPRIATING THOSE FUNDS IN THE AMOUNT OF $230,728 TO PROJECT NO. AP1804 WHEREAS, funds were received from the insurance carrier for damages to the T- Hangars at the Pueblo Memorial Airport; and WHEREAS, a project needs to be established and the funds budgeted and appropriated to begin the process of replacing the T-Hangars; NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that: SECTION 1. The South T-Hangar #1 Project No. AP1804 is hereby established. SECTION 2. Funds in the amount of $159,950 shall be transferred from the Roof Replacement Project No. CI1502 and deposited into the South T-Hangar #1 Project No. AP1804. SECTION 3. Funds in the amount of $70,778 shall be transferred from the 2018 Airport Prior Year Fund Balance and deposited into the South T-Hangar #1 Project No. AP1804. SECTION 4. Funds in the total amount of $230,728 are hereby budgeted and appropriated for the South T-Hangar #1 Project No. AP1804. SECTION 5. The officers and staff of the City are directed and authorized to perform any and all acts consistent with the intent of this Ordinance to effectuate the policies and procedures described therein. SECTION 6. This Ordinance shall become effective immediately upon final passage and approval. INTRODUCED June 25, 2018 BY: Ed Brown MEMBER OF CITY COUNCIL APPROVED: PRESIDENT OF CITY COUNCIL ATTESTED BY: ACTING CITY CLERK PASSED AND APPROVED: July 9, 2018 Substituted Copy July 9, 2018 City Clerk’s Office Item # R-1 Background Paper for Proposed Ordinance COUNCIL MEETING DATE: June 25, 2018 TO: President Christopher A. Nicoll and Members of City Council CC: Sam Azad, City Manager VIA: Brenda Armijo, Acting City Clerk FROM: Ian Turner, Director of Aviation SUBJECT: AN ORDINANCE ESTABLISHING THE SOUTH T-HANGAR #1 PROJECT NO. AP1804, TRANSFERRING FUNDS IN THE AMOUNT OF $159,950 FROM THE ROOF REPLACEMENT PROJECT NO. CI1502, TRANSFERRING FUNDS IN THE AMOUNT OF $70,778 FROM THE 2018 AIRPORT PRIOR YEAR FUND BALANCE, AND BUDGETING AND APPROPRIATING THOSE FUNDS IN THE AMOUNT OF $230,728 TO PROJECT NO. AP1804 SUMMARY: This Ordinance will provide funding to begin the process of replacing a ten unit T-Hangar building at the Pueblo Memorial Airport. PREVIOUS COUNCIL ACTION: None. BACKGROUND The City owns a set of ten T-Hangars that were built in the late 1970s. In May of 2015, the Airport was hit by a severe hail storm that damaged the roof. Then, in July of 2016 the T-Hangars were further damaged by a DC-10 that severely damaged the northern- most hangar unit. Insurance funds have been received to repair the damages. However, repairing the damage will only return the building to its previous condition, which is lacking. Rain water regularly floods the hangars and the hangar doors either require extensive repairs or will need repairs in the near future. Repairing the building would not extend its useful life. Given this unique situation, staff received approval from the insurance carrier to put these funds to use on a new t-hangar building. Placing these insurance funds in a dedicated project will allow us to begin the process of design, and eventually construction. FINANCIAL IMPLICATIONS: Funds in the amount of $159,950 were received to repair the roof of the T-Hangars and are currently in the Roof Replacement Project CI1502. Funds in the amount of $70,778 were received to repair the damaged hangar and are currently in the 2018 Airport Prior Year Fund Balance. These funds will be transferred to the South T-Hangar #1 Project AP1804. At a future date, additional funding to complete construction will be needed. The most likely source available for necessary additional funding is a Colorado Department of Transportation State Infrastructure Bank Loan. Staff is currently working with the CDOT Division of Aeronautics on an application. Once this is complete, the application will be brought before City Council. BOARD/COMMISSION RECOMMENDATION: Not applicable. STAKEHOLDER PROCESS: Staff surveyed current t-hangar tenants in 2017 to determine what was desirable in new t-hangars. At that time, an acceptable level of expectations was determined. Meetings with tenants are actively being scheduled to discuss this project and gain buy-in. ALTERNATIVES: If this Ordinance is not approved, the funds will remain in their current accounts and this project will be abandoned. Staff will develop a project to repair the current t-hangar building. RECOMMENDATION The Department of Aviation recommends approval of this Ordinance. Attachments: CIRSA Email