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HomeMy WebLinkAboutItem 4.10 Exchange FAU Funds with Foster City (2) CITY OF DUBLIN AGENDA STATEMENT City Council. Meeting Date: October 8, 1990 SUBJECT: Agreement with City of Foster City for Purchase of Federal. Aid Urban Funds (Report by Public Works Director Lee Thompson) EXHIBITS ATTACHED: 1) Resolution approving agreement 2) Draft agreement for purchase of Federal. Aid Urban funds RECOMMENDATION: //�� Adopt resol.ution and authorize Mayor to execute �.b kS agreement FINANCIAL STATEMENT: The City of Dubl.in proposes to pay a total_ of $972,800 in General. Fund monies to the City of Foster City in exchange for $1,216,000 in Federal. Aid Urban funds. This represents a savings to the City of Dublin in the amount of $243,200. DESCRIPTION: Under this agreement, Dub]-in would pay a total. of $972,800 to the City of Foster City for $1,216,000 in FAU funds. This item has been simul.taneousl.y scheduled for consideration by Foster City's Council.. These funds are pl.anned to be used for the San Ramon Road Phase IV project. The monies repaid to Foster City will. come from FAU monies as they are paid to Dublin (after Dubl.in's $500,000 Tri-Valley allocation has been received) . If, after the bids have been opened, the ].ow bid for the San Ramon Road project is significantly less than the Engineer's Estimate, excess FAU funds may be turned back to Foster City with no penalty or may be used on other projects at Dublin's option. Once the agreement has been signed by both cities, a copy wil.]. be forwarded to Cal.trans for review and processing through FHWA. ---------------------------------------------------------------------------- ITEM N0. COPIES TO: David Va]_kenaar, City of Foster City RESOLUTION NO. —90 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN -------------------------------------------- APPROVING AN AGREEMENT FOR THE EXCHANGE OF CITY OF FOSTER CITY FEDERAL AID URBAN FUNDS FOR CITY OF DUBLIN GENERAL FUNDS WHEREAS, the City of Foster City has agreed with the City of Dublin to exchange Foster City Federal. Aid Urban (FAU) funds for City of Dublin General. Funds; and WHEREAS, the agreed exchange rate is eighty cents ($.080) of General Funds for every one dollar ($1.00) of FAU funds; and WHEREAS, the City of Dublin plans to use these funds for the San Ramon Road Phase IV project; and WHEREAS, this exchange of funds wil.1. provide a greater amount of Federal_ funds for necessary roadway improvements; NOW, THEREFORE, BE IT RESOLVED that the City Council. of the City of Dubl.in does hereby approve the Agreement between the City of Foster City and the City of Dublin for the exchange of funds. BE IT FURTHER RESOLVED that the Mayor shal-l_ execute this agreement and that the City Clerk shall forward copies to the appropriate authorities. PASSED, APPROVED, AND ADOPTED this 8th day of October, 1990. AYES: NOES: ABSENT: Mayor ATTEST: City Clerk _ 1 AGREEMENT BETWEEN DUBLIN AND FOSTER CITY FOR TRANSFER OF FAU FUNDS THIS AGREEMENT made and entered into this day of 199_, by and between the CITY OF FOSTER CITY, a Municipal Corporation of the State of California, hereinafter referred to as "FOSTER CITY" and the CITY OF DUBLIN, a Municipal Corporation of the State of California, hereinafter referred to as "DUBLIN. " WITNESSETH: WHEREAS, a procedure has been established, acceptable to Federal and State Departments of Transportation, whereby local agencies may jointly agree to exchange Federal Aid Urban (FAU) apportionments for other funds as jointly agreed upon; and WHEREAS, it is mutually agreeable between FOSTER CITY and DUBLIN to transfer general funds apportionments for FAU apportionments to the mutual benefit of both parties hereto; NOW THEREFORE, for and in consideration of the mutual covenants herein contained, the parties agree as follows: 1. FOSTER CITY agrees to transfer to DUBLIN, upon execution of this agreement, or as promptly as possible thereafter, the sum of $1,216,000 from FOSTER CITY' s FAU apportionments. 2. DUBLIN agrees to pay to FOSTER CITY the sum of $972,800 as follows: Within 10 days of the following dates: February 15, 1991 $ 121,600 March 15, 1990 121,600 April 15, 1991 121,600 May 15, 1991 121,600 June 15, 1991 121,600 July 15, 1991 121,600 August 15, 1991 121,600 September 15, 1991 121,600 For a total of $ 972,800 DUBLIN agrees to include interest with each late payment at the rate of twelve percent (12%) per year for each day such payment is late. FOSTER CITY agrees to use said monies only on transportation-related uses. 3. DUBLIN proposes to expend FOSTER CITY' s $1,216,000 in FAU monies on DUBLIN's San Ramon Road Phase IV project. Should DUBLIN' s costs for the project be below the ability to utilize all of FOSTER CITY's $1,216,000, DUBLIN will have the option of utilizing the remainder of the monies on other FAU projects or receiving less than the full $1,216,000 apportionment from FOSTER CITY. In the latter event, DUBLIN shall pay to FOSTER CITY 80% of whatever amount of FOSTER CITY's FAU apportionment is transferred to and accepted by DUBLIN, on the dates and in the manner set forth in Paragraph 2. 4. Notification by DUBLIN to FOSTER CITY of reduction in the amount of exchange shall be made by November 14, 1990, or DUBLIN shall make full payment to FOSTER CITY of the $972,800. 5. It is understood and agreed that this agreement is subject to the prior written approval of the Secretary of the U. S. Department of Transportation or his designee. IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the day and year first above written. CITY OF FOSTER CITY, a Municipal Corporation of the State of California By: Mayor ATTEST: City Clerk CITY OF DUBLIN, a Municipal Corporation of the State of California By: Mayor ATTEST: City Clerk