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CITY COUNCIL AGENDA ITEM NO. 19

Meeting Date: November 13, 2007

Subject/Title: Adopt a Resolution approving and authorizing the City Manager or designee to execute a Professional Services Agreement with NorthStar Engineering Group, Inc. for engineering design services for a portion of the Brentwood Business Park, located east of Guthrie Lane, in an amount not to exceed $131,195, plus a 10% contingency, for a total amount of $144,314.50, and amending the CIP Budget Sheet.

Prepared by: Debra Galey, Management Analyst

Submitted by: Bailey Grewal, Director of Public Works/City Engineer

RECOMMENDATION
Adopt a Resolution approving and authorizing the City Manager or designee to execute a Professional Services Agreement with NorthStar Engineering Group, Inc. for engineering design services for a portion of the Brentwood Business Park, located east of Guthrie Lane, in an amount not to exceed $131,195, plus a 10% contingency, for a total amount of $144,314.50, and amending the Capital Improvement Program (“CIP”) Budget Sheet to reflect project funding and timing.

PREVIOUS ACTION
On September 26, 2006, by Resolution No. 2006-234, City Council approved a Memorandum of Understanding (“MOU”) between the City, Equus Group, Liberty Union High School District and various property owners for shared development responsibilities of the “Brentwood Business Park”.

On June 12, 2007, by Resolution No. 2007-126, City Council adopted the City’s 2007/08 – 2011/12 Capital Improvement Program that included the Brentwood Business Park Improvements Project.

BACKGROUND
The Brentwood Business Park includes the development of approximately 43 acres in the southeast corner of the City, specifically, east of Guthrie Lane and west of Sellers Avenue. The future site will predominately incorporate office and light industrial development, but will also include the Liberty Union High School District’s (“LUHSD”) new La Paloma school site, to be relocated from Lone Tree Way. In order to assist LUHSD to relocate the school to a more desirable site, allow appropriate development in the Lone Tree Way area and initiate the development of the Business Park, the City, LUHSD and the property owners entered into a previously City Council approved MOU outlining development of the site.

The City project of the Brentwood Business Park Improvement Project consists of the construction of the infrastructure improvements to serve the first phase of the industrial park leading to the school site, including widening of Guthrie Lane south of Balfour Road. The scope of this professional services agreement is for design of these improvements. NorthStar Engineering Group, Inc. holds the necessary qualifications and professional licenses for the scope of work, as well as having previous experience with the City of Brentwood’s standards and procedures, and specific experience with the future Business Park and school site during the preliminary layout of site.

It is necessary to amend the CIP sheet previously approved with the 2007-2012 Budget to widen the scope of City constructed improvements, reflect anticipated expenses and make funding available for the 2007-08 Fiscal Year. Funding is from a combination of the General Fund, Planned Employment Center (“PEC”) Funds and development contributions. Pursuant to the MOU, upon future development of the Business Park, reimbursement will be made to the General Fund by the property owners, along with PEC contributions conditioned as a part of residential Subdivision No. 8982.

As a companion item to the Professional Services Agreement and amended budget sheet, staff has also brought forward for Council’s consideration the following actions:

o Development Cooperation Agreement and License Agreement with LUHSD outlining construction responsibilities, cost sharing and timeframe for development of the first phase of the business park improvements that will also serve the school parcel.
o Agreement for Dedication of Real Property with two of the property owners in the Business Park for acquisition of the right-of-way for the first phase of improvements.

FISCAL IMPACT
The project budget must be amended to widen the scope of work, move the project from the Developer Improvements Section to the Roadway Improvements Section, increase total funding in the amount of $879,250 and make funds available for the 2007-08 Fiscal Year. Funding for the CIP project is from a combination of the General Fund, PEC Funds and future development contributions. Per the previously City Council approved MOU with all property owners, upon future development of their parcels, reimbursement on a pro rata share will be made to the General Fund in the following currently estimated amounts: LUHSD $80,000, Equus $292,745, Stonebarger $248,845, Ghiggeri $159,200. Future PEC contributions from Baca Properties Subdivision No. 8982 in the full amount of $181,300 will reimburse the General Fund once the developer’s PEC payment is received. After all development contributions and PEC payments are collected, expenses to the General Fund will equal approximately $171,910. Staff has confirmed with the Finance Department that there are sufficient funds to cover the proposed amended budget.

Original Budget Amended Budget Difference
Legal $ 10,000 $ 5,000 $ -(5,000)
Planning & Design $ 10,000 $ 150,000 $ 140,000
Construction $ 210,000 $ 870,000 $ 660,000
Project Administration $ 8,750 $ 85,000 $ 76,250
Land/ROW/Acquisitions $ 16,000 $ 24,000 $ 8,000
Total Project Budget $ 254,750 $1,134,000 $ 879,250

Attachments:
Resolution
Agreement
CIP Budget Sheet
CIP Project Map

RESOLUTION NO.


ADOPT A RESOLUTION APPROVING AND AUTHORIZING THE CITY MANAGER OR DESIGNEE TO EXECUTE A PROFESSIONAL SERVICES AGREEMENT WITH NORTHSTAR ENGINEERING GROUP, INC. FOR ENGINEERING DESIGN SERVICES FOR A PORTION OF THE BRENTWOOD BUSINESS PARK, LOCATED EAST OF GUTHRIE LANE, IN AN AMOUNT NOT TO EXCEED $131,195, PLUS A 10% CONTINGENCY, FOR A TOTAL AMOUNT OF $144,314.50, AND AMENDING THE CAPITAL IMPROVEMENT PROGRAM (“CIP”) BUDGET SHEET TO REFLECT PROJECT FUNDING AND TIMING.


WHEREAS, it is in the best interests of the City to assist economic development within the City; and

WHEREAS, it is in the best interests of the residents and public to assist Liberty Union High School District to relocate the La Paloma School to a more desirable site, and allow appropriate development in the Lone Tree Way area; and

WHEREAS, Brentwood Business Park is an appropriate location for the future school site; and

WHEREAS, design of infrastructure will facilitate development of the school site as well as the future Business Park; and

WHEREAS, NorthStar Engineering Group, Inc. holds the necessary qualifications and professional licenses for the scope of work, as well as having previous experience with the City of Brentwood’s standards and procedures, and specific experience with the future Business Park and school site.

NOW, THEREFORE BE IT RESOLVED that the City Council of the City of Brentwood with respect to the Brentwood Business Park Improvements does hereby:

1. Approve and authorize the City Manager or designee to execute a Professional Services Agreement with NorthStar Engineering Group, Inc. for engineering design services for a portion of the Brentwood Business Park, located east of Guthrie Lane, in an amount not to exceed $131,195, plus a 10% contingency, for a total amount of $144,314.50.

2. Amend the Capital Improvement Program Budget Sheet as shown attached.

PASSED, APPROVED AND ADOPTED by the City Council of the City of Brentwood at a regular meeting on the 13th day of November 2007 by the following vote:
 
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