HomeMy WebLinkAboutItem 10 - DFW Revenue Sharing AgreementMEMO TO:
MEETING DATE:
SUBJECT
RECOMMENDATION:
HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
MAY 03, 2016
APPROVAL OF ORDINANCE APPROPRIATING FUNDS FOR
THE PAYMENT OF DFW REVENUE SHARING AGREEMENT
PER SB 569
City Council to consider approval of the attached ordinance for the payment of Senate Bill
569 DFW Revenue Sharing Agreement.
FUNDING SOURCE:
Upon approval of the attached ordinance the funding will be appropriated from account
100-44686-120-1.
BACKGROUND:
In September of 2001, the Texas Legislature enacted SB 569 which established a revenue
sharing plan for the City of Grapevine and DFW Airport. The agreement requires that the
City of Grapevine share certain revenues generated within the boundaries of the
Dallas/Fort Worth International Airport with constituent agencies, which are the City of
Dallas and the City Fort Worth, Texas. The amount agreed to be paid is two-thirds of the
airport revenues that are in excess of the base year which was established in Fiscal Year
2000 in the amount of $5,941,780.48.
At the end of FY 15 the revenues exceeded the base year by $337,907.95 and came in at
$6,279,688.44. Per SB 569 the 2/3 represents $225,271.97 with $143,272.97 distributed
to City of Dallas and $81,999 due to City of Fort Worth accordingly. Prior to this request,
fiscal year 2007 was the only time the City of Grapevine exceeded the revenues from the
base year.
GJ
4/28/2016 12:15:34 PM
A'
WHEREAS, the City Council of the City of Grapevine entered into a DFW Revenue
Sharing agreement with the Cities of Dallas and Fort Worth, Texas per Senate Bill 569;
and
WHEREAS, the agreement indicates that revenues within the Dallas Fort Worth
International Airport are to be shared if they exceed amounts in fiscal year 2000 base
year of $5,941,780.48. The amount will be split 7/11 to Dallas and 4/11 to Fort Worth, net
of accountant's fees; and
WHEREAS, revenues in 2015 exceeded the base year by $225,271.97 and this
amount was not included in the Operating Budget; and
WHEREAS, the funding for the DFW Revenue Sharing Agreement shall be
appropriated from General Fund Balance in the amount of $225,271.97; and
WHEREAS, the funding for the Sharing Agreement should be paid from the
General Fund; and
WHEREAS, all constitutional and statutory prerequisites for the approval of this
ordinance have been met, including but not limited to the Open Meetings Act; and
WHEREAS, the City Council deems the adoption of this ordinance to be in the
best interests of the health, safety, and welfare of the public.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF GRAPEVINE, TEXAS:
Section 1. That all matters stated in the preamble of this ordinance are true and
correct and are hereby incorporated into the body of this ordinance as if copied in their
entirety.
Section 2. That the City Council hereby authorizes the appropriation of funds
currently in the General Fund Balance to the General Fund in an amount of $225,271.97
Section 5. That a copy of the revised Fiscal Year 2015-2016 Operating Budget
document shall be kept on file in the office of the City Secretary and on the City of
Grapevine website.
Section 6. That the terms and provisions of this ordinance shall be deemed to
be severable, and that if the validity of any section, subsection, word, sentence or phrase
shall be held to be invalid, it shall not affect the remaining part of this ordinance.
Section 7. That the fact that the present ordinances and regulations of the City
of Grapevine, Texas are inadequate to properly safeguard the health, safety, morals,
peace and general welfare of the inhabitants of the City of Grapevine, Texas, creates an
emergency for the immediate preservation of the public business, property, health, safety,
and general welfare which requires that this ordinance shall take effect immediately from
and after its passage and it is accordingly so ordained.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY
GRAPEVINE, TEXAS on - 3rd day of •
William D. Tate
Mayor
ATTEST:
Tara Brooks
City Secretary
John F. Boyle, Jr.
City Attorney
ORD. NO. 2