Agenda

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Item # 19.

Work Session and Regular Meeting

Meeting Date:	12/10/2019
Department:	City Manager
Pillars:	Gold Standard in Financial Health
Milestones:	Continuously improve processes and policies to include the voice of the customer and ensure the policies are easily accessible

AGENDA CAPTION:

Present, Discuss, and Consider Action on a Resolution Establishing the Town's Intent to Reimburse Prior Lawful Expenditures of Funds Relating to the Replacement of the Boiler at The Addison Athletic Club in the Amount of $55,108.

BACKGROUND:

On November 18, 2019, the Council passed a Resolution canvassing and declaring the results of the November 5, 2019 Special Bond Election. Proposition D in this election passed with 757 votes ‘for’ and 457 votes ‘against’.

Proposition D asked “Shall the City Council of the Town of Addison, Texas, be authorized to issue general obligation bonds of the Town in the amount of $7,395,000 for the purpose of providing funds for permanent public improvements; to-wit: renovating, repairing, improving, and equipping existing Town service, public safety, conference and administrative facilities, including repair, replacement, and improvement of roofs, mechanical, electrical, plumbing, air conditioning, heating and ventilation equipment and systems…” This included the replacement of the boiler at the Addison Athletic Club in an estimated amount of $80,000.

On November 5, 2019, General Services was notified that the boiler at the Athletic Club was leaking water. Due to health and safety concerns, the boiler was shut down. TDIndustries inspected the boiler and estimated repair costs between $25,000-$30,000.

Staff determined it prudent to replace the existing boiler. The replacement was escalated to an emergency purchase to preserve and protect public health and safety. The total replacement cost was $55,108 which will be paid using emergency funding from the General Fund.

This agenda item seeks passage of a Resolution authorizing the reimbursement of $55,108 for the boiler replacement from future bond sales. This Resolution must be passed within 60 days of the expenditure of the funds to be legally compliant.

RECOMMENDATION:

Administration recommends approval.

Attachments
Resolution - Reimbursement for The Addison Athletic Club Boiler Replacement