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Home My WebLink About4.08 AlaCo CMA I580Tassj CZTY CLERK File # 600-40 AGENDA STATEMENT CZTY COUNCZL MEETZNG DATE: February 20, 2001 SUBJECT: Agreement with Alameda County Congestion Management Agency for Local Fund Exchange for the Interstate 580/Tassajara Road Interchange Improvements Project Report Prepared by.' Lee S. Thompson, Public Works Director ATTACHMENTS: 1) 2) Resolution approving Agreement with Alameda County Congestion Management Agency (CMA) and authorizing' Mayor to execute Agreement Agreement RECOMMENDATION: Adopt Resolution approving agreement with the Alameda County CMA for Local Fund Exchange for the Interstate 580/Tassajara Road Interchange Improvements Project, including authorization for the Mayor to execute the Agreement FINANCIAL STATEMENT: This Agreement would provide $4.7 million from the State Transportation Improvement Program (STIP) funds not currently allocated to the Interstate 580/Tassaj ara Interchange Project through the Cotmty recommendation for STIP funds. In return, Dublin agrees to pay the CMA an amount equal to ninety percent (90%) of $4.7 million, or $4.23 million in local funds. The $470,000 in savings could be earmarked for the 1-580/Tassaj ara Road Interchange project. DESCRIPTION: Last year, the Alameda County CMA established a Local Ftmds Exchange Program. The purpose of the program is to provide local funds to the CMA for use in projects that either do not have the ability to make use of State or Federal funds, or would face unacceptable delays and/or cost increases if State or Federal funds were used indirectly. Under this program, for every one dollar ($1.00) of Federal/State funds obtained by the project sponsor, the sponsor will repay only ninety cents ($0.90) in local funds. In August 2000, the Council authorized Staff to pursue an exchange of funds with the Alameda County CMA for the 1-580/Tassajara Road Interchange Improvements project, and the Director of Public Works was authorized to negotiate such an exchange. The CMA and the California Transportation Commission had previously approved $4.7 million in STIP funds for the 1-580/Tassajara Interchange Improvement project, and the CMA has asked the City to approve the exchange agreement. This agreement would COPIES TO: g: Imiscproj1580-Tassajara RoadlCMA Local Fund Exchange Agrmt Alameda County CMA ITEM NO. require the City to pay the CMA $4.23. million of local funds, realizing a savings of $470,000. These monies could be earmarked for the interchange project, thereby reducing developers' contributions. This would help to fund the present shortfall in the Eastern Dublin Traffic Impact Fee. Staff recommends that the City Council adopt the resolution approving the agreement with the Alameda County CMA for local fund exchange and authorize the Mayor to execute said agreement. Page 2 RESOLUTION NO. -01 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN AGREEMENT WITH ALAMEDA COUNTY CONGESTION MANAGEMENT AGENCY FOR LOCAL FUND EXCHANGE FOR THE 1-580/TASSAJARA ROAD INTERCHANGE IMPROVEMENT PROJECT WHEREAS, the Alameda County Congestion Management Agency (CMA) recently adopted a funding exchange program to provide local funds for projects that either do not have the ability to make use of State/Federal funds or projects that would face unacceptable delays if State/Federal funds are used; and WHEREAS, the City of Dublin has been working on the design of the Interstate 580/Tassaj ara Road Interchange Improvement project which is scheduled to start construction in September 2001; and WHEREAS, in August 2000, the Council of the City of Dublin authorized Staff to pursue an exchange of funds with the CMA for the interchange project and authorized the Director of Public Works to negotiate such exchange; and WHEREAS, the CMA has approved $4,700,000 in 2000 State Transportation Improvement Program (STIP) funds in connection with the local fund exchange; and WHEREAS, this agreement would require the City of Dublin to pay the CMA $4,230,000 of local funds equally over a 17-month period starting September 1, 2001, coinciding with the construction of the project. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Dublin does hereby approve the agreement with the Alameda County CMA for local fund exchange for the Interstate 580/Tassaj ara Road Interchange Improvement Project. PASSED, APPROVED AND ADOPTED this 20th day of February, 2001. AYES: NOES: ABSENT: ABSTAINING: ATTEST: Mayor City Clerk LOCAL FUNDS EXCHANGE AGREEMENT THIS LOCAL FUND EXCHANGE AGREEMENT ("Agreement") is entered into this day of ,2001 by and between the Alameda Cotmty Congestion Management Agency, a joint powers public agency, CCMA") and the City of Dublin, a local public agency or municipal corporation hereafter referred to as "Sponsor". RECITALS A. WHEREAS, CMA has established a Local Funds Exchange Program for the purpose of providing local funds to CMA for use in projects that either do not have the ability to make use of state or federal funds or would face unacceptable delays and/or cost increases if state or federal funds were used directly. B. WHEREAS, Sponsor is planning to design and construct the 1-580/Tassajara Road Interchange Improvements project CProj ect") which is eligible for State Transportation Improvement Program CSTIP") funding. The total cost of the Project is estimated to be $11,200,000. C. WHEREAS, local funds are more flexible as compared to STIP funds and it is thus equitable for Sponsor to repay CMA only ninety cents ($.90) in local funds in retum for every one dollar ($1.00) in STIP funds obtained by Sponsor pursuant to this Agreement. AGREEMENT NOW THEREFORE, the parties agree as follows: 1. CMA agrees to provide not more than $4,700,000 ("Exchange Amount") from STI1~ funds not currently allocated to the Project through the County recommendation for STIP funds. CMA will program the Exchange Amount in STIP funds for the Project and Sponsor will pay CMA the CMA Retum as provided in this 'Agreement. 2. Sponsor agrees to pay CMA an amount determined by multiplying the Exchange Amount by ninety percent (90%), or $4,230,000 CCMA Return"), in local funds. Sponsor shall request reimbursements of project costs from Caltrans on a monthly basis. Not less than ten (10) days after receiving each such reimbursement from Caltrans, Sponsor shall pay ninety percent (90%) thereof to CMA from 'Sponsor's local funds. Sponsor shall initiate payment of the CMA Return to CMA no later than September 1, 2001. Sponsor shall pay the entire CMA Return to CMA on ol before January 3.1, 2003. If and to the extent Sponsor is delayed or prevented from paying any portion of the CMA Return to CMA due to delays caused by Caltrans or other factors beyond the control of Sponsor, Sponsor shall not be deemed in default despite failure to comply with the above deadlines so long as Sponsor proceeds with due diligence to overcome all such delays as quickly as possible. Sponsor shall give CMA reasonable notice of any such delay. 3. Sponsor has the responsibility of obtaining all necessary state and/or federal approvals prior to initiating work on the Project. 000230.0001\532860.4 4. Sponsor must receive an allocation for the Project from the California Transportation Commission CCTC") prior to initiating work on the Project. 5. If, after execution of this agreement but prior to a CTC vote on the associated funding request, CMA is notified that the Project's estimated cost has been reduced, then this Agreement shall be amended without further action by the parties to provide that (i) the Exchange Amount shall be reduced in such a manner that the Exchange Amount plus the other sources of funding for the Project shall equal such estimated cost; and (ii) the CMA Retum shall also be reduced accordingly pursuant to Section 2 above. 6. If the Project's estimated cost is reduced after a CTC vote on the fimding request associated with this Agreement, there shall be no change to the Exchange Amount or the CMA Return. To the extent the Exchange Amount is less than the revised Project Cost, Sponsor may reduce local and other funds allocated to the Project to correspond to the reduction in cost. However, in the event the revised estimated cost is less than the Exchange Amount, Sponsor shall remain liable for the full amount of the CMA Return set forth above, in light of the fact that any such bid savings would be returned to the State highway account and thus lost to Alameda County. 7. Neither CMA nor any officer, board member or employee thereof shall be responsible for any damage or liability occurring :by reason of anything done or omitted to be done by Sponsor in connection with this Agreement. It is also agreed that Sponsor shall fully indemnify and hold CMA and its officers, board members and employees harmless from any liability imposed for injury or loss occurring by reason of anything done or omitted to be done by Sponsor in connection with this Agreement and/or any claim related to or arising out of the construction of the Project. 8. Neither Sponsor nor any officer, board member or employee thereof shall be responsible for any damage or liability occurring by reason of anything done or omitted to be done by CMA in connection with this Agreement. It is also agreed that CMA shall fully indemnify and hold Sponsor and its officers, board members and employees harmless from any liability imposed for injm'y or loss occurring by reason of anything done or omitted to be done by CMA in connection with this Agreement. Notwithstanding the above, it is expressly agreed that CMA will not be liable to Sponsor for any loss of funds, any actions or failure of CTC or of Caltrans or for anything related to the Project. 9. Should a lawsuit, action or proceeding be instituted regarding the enforcement and interpretation of any of the terms of this Agreement or any matter arising out of or related to this Agreement, the prevailing party shall be entitled to, in addition to any damages awarded, its reasonable attorneys' fees and all costs of the lawsuit, action or proceeding. 10. This Agreement may not be assigned, transferred, hypothecated or pledged by any party without the express written consent of the other party, except as set forth in this Agreement. This Agreement shall be binding upon any successors or assigns of the parties hereto. 11. This Agreement may be amended only by written agreement executed by all of the parties hereto. No alteration or variation of the terms of this Agreement shall be valid unless made in writing signed by both parties and no oral understanding or agreement not incorporated herein shall be binding on either of the parties hereto. 000230.0001\532860.4 12. Califomia. This Agreement shall be interpreted under and governed by the laws of the State of 13. This Agreement shall terminate upon full repayment by Sponsor of the CMA Return in local funds to CMA. However, Sections 8 and 9 of this Agreement shall survive the termination of this Agreement until terminated or modified in writing by mutual agreement. 14. This Agreement constitutes the entire Agreement between the parties hereto relating to the project and supersedes any previous agreement or understanding. 15. This Agreement may be modified upon the approval of both parties to address required changes as they may arise from time to time. Such modifications shall only be effective if they are in writing and signed by both parties. CMA: Alameda County Congestion Management Agency Sponsor: City of Dublin By: By: Mayor Recommended for Approval: Attest: City Clerk Approved As to Form and Legality Approved As to Form: Wendel, Rosen, Black & Dean, LLP CMA General Counsel Attest: City Attomey 000230.0001\532860.4