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CITY COUNCIL AGENDA ITEM NO. 29


Meeting Date: July 22, 2008

Subject/Title: Adopt a Resolution approving and authorizing the City Manager or designee to execute a Contribution Agreement between the City of Brentwood and the East Contra Costa Regional Fee and Financing Authority for the John Muir Parkway Extension - Phase II project.

Prepared by: Paul R. Eldredge, Assistant Director of Public Works/Assistant City Engineer

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 Contribution Agreement between the City of Brentwood and the East Contra Costa Regional Fee and Financing Authority (“Finance Authority”) for the John Muir Parkway Extension - Phase II project.

PREVIOUS ACTION
The State Route 4 Bypass Authority (“Bypass Authority”) was created by the County of Contra Costa, City of Brentwood, and City of Antioch on February 28, 1989, through a Joint Exercise of Powers Agreement (“JEPA”) as a public entity to perform project approval and environmental documentation (“PA&ED”) for the construction of a new local road, approximately 20 kilometers (12.4 miles) in length, which will serve as a State Route 4 Bypass (“Bypass”).

Seven amendments to the original JEPA were executed between October 23, 1990, and September 28, 1999, which extended the Bypass Authority’s term to January 1, 2015, and expanded the Bypass Authority’s function and role beyond PA&ED to also include design, right-of-way, construction, route transfer activities, and added the City of Oakley as a fourth party to the original JEPA.

Subsequent to the formation of the Bypass Authority, the East Contra Costa Regional Fee and Financing Authority was created by the County of Contra Costa and Cities of Antioch, Brentwood, and Pittsburg on August 9, 1994, through a JEPA to establish a uniform regional development fee program to fund several transportation projects in eastern Contra Costa County.

BACKGROUND
The Bypass Authority, under its terms and conditions, is to develop, design and construct the Bypass from the existing State Route 4 (“SR4”) in the City of Antioch along a new alignment through Contra Costa County and the Cities of Antioch, Brentwood and Oakley to the existing SR4 – Byron Highway.

Segment 2 of the Bypass (from Lone Tree Way south to Balfour Road) is complete and open for traffic. The construction for Segment 1 (from existing SR4 in the City of Antioch to Lone Tree Way) has been completed and is open for traffic and Segment 3 is currently under construction. The construction contract for Segment 3 (from Balfour Road south to existing SR4 – Byron Highway) was awarded on September 21, 2006, and is expected to be open for traffic in September/October 2008.

As a requirement for the transfer of Segment 3 of the State Route 4 roadway to Caltrans, the Finance Authority is required to fund and the Bypass Authority is required to construct a portion of John Muir Parkway between Foothill Drive and Briones Valley Road located within the jurisdiction of the City of Brentwood. This extension will provide an alternate roadway and allow for the existing Concord Avenue to be vacated to accommodate the Bypass and allow the Venoco gas pipeline currently located in Concord Avenue to be moved out of the future State right-of-way.

It is the intent and desire of the City and Bypass Authority to design and construct this project in conjunction with the John Muir Parkway Extension/Foothill Drive - Phase I project located immediately north and adjacent to this extension, which is being managed by the City. It is currently estimated that the Bypass Authority would commence activities on its portion of John Muir Parkway in approximately 2010/2011 due to limited resources and funding commitments. Without the completion of the Phase II improvements concurrent with Phase I there would be a gap in the improved roadway from Foothill Drive to Briones Valley Road. This could make it more difficult for residents in the southern portion of the City to access the services located on and adjacent to Balfour Road. Additionally, it is anticipated that there would be economies of scale and potential cost savings associated with combining these projects.

The Contribution Agreement requires the Finance Authority to reimburse the City for all actual expenses in relation to the John Muir Parkway Extension - Phase II project including costs for design, environmental, administration and construction. Reimbursement to the City will be made upon the City invoicing the Finance Authority and as funds are available in the Regional Transportation Development Impact Mitigation (“RTDIM”) Fund. However, the Contribution Agreement requires the Finance Authority to fully reimburse the City prior to June 30, 2012, regardless. The Finance Authority’s obligation is currently estimated at $2,906,250.

Staff recommends the approval of this Contribution Agreement between the City and the Finance Authority for the John Muir Parkway Extension – Phase II project.

FISCAL IMPACT
The City is responsible for $271,000 for costs associated with waterlines that are not the responsibility of the Bypass Authority. The City would loan the Finance Authority the necessary funds from proceeds received from Contra Costa County Flood Control as these proceeds will be paid back to the roadway development fee account and can only be used for roadway construction projects.

The John Muir Parkway Extension – Phase II project has been included in the adopted 2008/09-2012/13 Capital Improvement Program Budget with a total budget amount of $3,177,250, which includes the estimated loan amount to the Finance Authority of $2,906,250 and $271,000 for the City’s waterlines. The Contribution Agreement stipulates that the Finance Authority is not obligated to reimburse the City for an amount that exceeds $2,906,250.

Attachments:
Resolution
Agreement with Exhibits


RESOLUTION NO.


A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BRENTWOOD APPROVING AND AUTHORIZING THE CITY MANAGER OR DESIGNEE TO EXECUTE A CONTRIBUTION AGREEMENT BETWEEN THE CITY OF BRENTWOOD AND THE EAST CONTRA COSTA REGIONAL FEE AND FINANCING AUTHORITY (“FINANCE AUTHORITY”) FOR THE JOHN MUIR PARKWAY EXTENSION - PHASE II PROJECT.

WHEREAS, the State Route 4 Bypass Authority (“Bypass Authority”) was created by the County of Contra Costa, City of Brentwood (“City”), and City of Antioch on February 28, 1989, through a Joint Exercise of Powers Agreement (“JEPA”) as a public entity to perform project approval and environmental documentation (“PA&ED”) for the construction of a new local road, approximately 20 kilometers (12.4 miles) in length, which will serve as a State Route 4 Bypass (“Bypass”); and

WHEREAS, seven amendments to the original JEPA were executed between October 23, 1990, and September 28, 1999, which extended the Bypass Authority’s term to January 1, 2015, and expanded the Bypass Authority’s function and role beyond PA&ED to also include design, right-of-way, construction, route transfer activities, and added the City of Oakley as a fourth party to the original JEPA; and

WHEREAS, subsequent to the formation of the Bypass Authority, the East Contra Costa Regional Fee and Financing Authority was created by the County of Contra Costa and Cities of Antioch, Brentwood, and Pittsburg on August 9, 1994, through a JEPA to establish a uniform regional development fee program to fund several transportation projects in eastern Contra Costa County; and

WHEREAS, as a requirement for the transfer of Segment 3 of the State Route 4 roadway to Caltrans, the Finance Authority is required to fund and the Bypass Authority is required to construct a portion of John Muir Parkway between Foothill Drive and Briones Valley Road located within the jurisdiction of the City of Brentwood; and

WHEREAS, this extension will provide an alternate roadway and allow for the existing Concord Avenue to be vacated to accommodate the Bypass and allow the Venoco gas pipeline currently located in Concord Avenue to be moved out of the future State right-of-way; and

WHEREAS, it is the intent and desire of the City and Bypass Authority to design and construct this project in conjunction with the John Muir Parkway Extension/Foothill Drive - Phase I project located immediately north and adjacent to this extension, which is being managed by the City; and

WHEREAS, it is currently estimated that the Bypass Authority would commence activities on its portion of John Muir Parkway in approximately 2010/2011 due to limited resources and funding commitments; and

WHEREAS, without the completion of the Phase II improvements concurrent with Phase I there would be a gap in the improved roadway from Foothill Drive to Briones Valley Road; and

WHEREAS, the Contribution Agreement requires the Finance Authority to reimburse the City for all actual expenses in relation to the John Muir Parkway Extension - Phase II project including design, environmental, administration and construction; and

WHEREAS, reimbursement to the City will be made upon the City invoicing the Finance Authority and as funds are available in the Regional Transportation Development Impact Mitigation (“RTDIM”) Fund; however, the Contribution Agreement requires the Finance Authority to fully reimburse the City prior to June 30, 2012, regardless; and

WHEREAS, the Finance Authority’s obligation is currently estimated at $2,906,250.

NOW, THEREFORE BE IT RESOLVED that the City Council of the City of Brentwood does hereby approve and authorize the City Manager or designee to execute a Contribution Agreement between the City of Brentwood and the East Contra Costa Regional Fee and Financing Authority for the John Muir Parkway Extension - Phase II project.

PASSED, APPROVED AND ADOPTED by the City Council of the City of Brentwood at a regular scheduled meeting held on the 22nd day of July 2008 by the following vote:

 
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