11 - Laserfiche WebLink

construction costs were increasing, staff applied for and received a grant toward the Stoneridge Drive and 1-680 On -Ramp project from the Alameda County Transportation Commission (ACTC) in the amount of $5,200,000. City Council accepted the grant in 2021 and allocated the grant funds to CIP No. 18531, increasing the total budget in CIP No. 18531 to $11,585,568. With the proposed Amendment One to the Agreement, based on the Final Cost Estimate the total CIP budget amount needed for direct reimbursement of the Stoneridge Drive and 1-680 Project at the completion of the project is $11.6 million, leaving a shortfall of $14,432 in CIP No. 18531. Since the Final Cost Estimate includes a 10 percent construction contingency staff is not recommending a budget adjustment to CIP No. 18531 at this time. CIP No. 21596 JDEDZ ROW and Misc. with a budget of $1.8 million was created in 2020 to fund the purchase of the right-of-way needed for the JDEDZ Street Improvements. In September 2021 City Council approved a purchase agreement in the amount of $1,027,239 for the land needed from DSRSD, leaving a balance of $772,761.17 available in CIP No. 21596. The six purchase agreements recommended for approval with this agenda report total $1,321,317, including title insurance and escrow fees. However, the purchase agreement with TP Heritage Inn LLC, the company constructing two hotels on Johnson Drive, states the $594,788 payment for the right-of-way needed along its property frontage will be in the form of a fee credit applied to its City permit fees. With the fee credit payment to TP Heritage Inn, the balance needed for payment on the other five purchase agreements is $726,529 which is available in CIP No. 21596. It is recommended that City Council approve the six purchase agreements and authorize the City Manager to execute the agreements. Assuming the City Council approves the six purchase agreements, the balance remaining in CIP No. 21596 will be $46,233. As stated previously staff will continue efforts to acquire the right-of-way needed from the two remaining properties on Johnson Drive to complete the sidewalk and landscaped parkway. The Final Cost Estimate of $2,581,788 to acquire all the right-of- way needed for the JDEDZ Street Improvements includes an estimated cost of $230,000 total for these two properties. If staff is successful in negotiating purchase agreements with these property owners for the estimated total cost of $230,000, the shortfall in CIP No. 21596 will be $183,767. However, no budget adjustment is recommended at this time. If staff is successful in finalizing one or both purchase agreements, the agreement(s) will be presented to City Council for approval at a future City Council meeting along with a recommended fund allocation to CIP No. 21596 necessary to complete the transactions. Expected Loan and Payback Period As shown in the table on page 8 of this report, based on the Final Cost Estimate the total loan from Costco to the City to complete the traffic mitigation measures for the JDEDZ Project is $10,806,698. The Agreement requires the City to repay this loan Page 9 of 11