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Home My WebLink AboutC30140 - Abandon Mid-Valley Bike Path Prjct 707-07 Contract No. C30140 CITY OF PALM DESERT PUBLIC WORKS DEPARTMENT STAFF REPORT REQUEST: ABANDON THE MID-VALLEY BIKE PATH PROJECT (PROJECT NO. 707-07), AUTHORIZE STAFF TO CLOSE OUT CONTRACT NO. C30140 WITH TY LIN INTERNATIONAL, AND AUTHORIZE STAFF TO SUBMIT A LETTER TO THE COACHELLA VALLEY ASSOCIATION OF GOVERNMENTS (CVAG) REQUESTING THE REMOVAL OF THE PROJECT FROM THE FEDERAL TRANSPORTATION IMPROVEMENT PROGRAM (FTIP); AND REFUND ALL OF THE COLLECTED IN-LIEU FEES FROM IMPACTED DEVELOPERS AND RELEASE THE RELATED SECURITIES SUBMITTED BY: Mark Greenwood, P.E., Director of Public Works DATE: January 12, 2017 CONTENTS: CVAG Email Vicinity Map Recommendation By Minute Motion: 1. Abandon the Mid-Valley Bike Path Project (Project No. 707-07) and remove it from City's Capital Improvement Program; 2. Authorize staff to close out Contract No. C30140 with TY Lin International; 3. Authorize staff to submit a letter to CVAG requesting the removal of the project from the FTIP; and 4. Refund all of the collected in-lieu fees from impacted developers and release the related securities. Strategic Plan Objective The original project would have furthered the goals of the Strategic Plan by de-emphasizing the use of single/low occupancy vehicles while optimizing alternative modes of transportation. The action will shift staffs' attention to similar projects in higher priority areas within the City. Staff Report Cancel the Mid-Valley Bike Path Project Page 2 of 3 January 12, 2017 Background In August 2010, the City Council awarded Contract No. C30140 to TY Lin International for the design and environmental study for the Mid-Valley Bike Path. The contract includes 30 percent complete design plans and the environmental approval through Caltrans. In November 2013, Caltrans reviewed the Preliminary Environmental Study (PES) for the project and requested that our consultant perform an Historical Resources Evaluation Report (HRER). The consultant did not budget for this report and requested more funding; however, no additional funding was authorized. On January 8, 2016, Caltrans provided substantial comments from their first review of the draft Historic Property Survey Report (HPSR). These comments expanded significantly the HPSR, HRER and Archeological Survey Report (ASR). TY Lin International was not able to absorb the cost to complete the additional surveys and additional work necessary to complete the environmental report. Although there is $2.2 million of Congestion Mitigation and Air Quality (CMAQ) funds allocated to the Mid-Valley Bike Path, the project is approximately $7.8 million underfunded and there is no other source of funding currently available. Staff believes abandoning the project is an appropriate action for the City Council to consider. There are several factors to think about should the City Council decide to abandon the project. First, the City will forfeit $2.2 million of CMAQ funding to other regional projects. Staff did discuss with CVAG the possibility of reallocating the $2.2 million to the Eldorado West Bike Project, but it was denied (see attached email) as the Eldorado West Bike Project was not part of the original CMAQ call for projects application in 2008. Second, the City has conditioned several projects that were affected by the Mid-Valley Bike Path route to either improve their portion of the path, or to pay an in-lieu fee and dedicate the necessary rights-of-way or easements. Therefore, any collected in-lieu fees and associated conditions of approval will need to be returned and removed respectively. Third, Class II bike lanes are already in use throughout most of the proposed Mid-Valley Bike Path alignment, so elimination of this project does not preclude bicycles as an effective means of transportation across Palm Desert (see attached Vicinity Map). Finally, the Mid-Valley Bike Path shown in the proposed General Plan Amendment should be removed to avoid confusion for future conditions of the development projects. Fiscal Analysis The City used Capital Project Reserve funds to fund the design and environmental studies of the project. The expected construction costs of the Mid-Valley Bike Path were estimated to be $10 million, and the project is underfunded. By abandoning the Staff Report Cancel the Mid-Valley Bike Path Project Page 3 of 3 January 12, 2017 Mid-Valley Bike Path project, the City will relinquish the $2.2 million of CMAQ funding, and the City will need to refund any related securities or fees collected. Prepared By: Depart n d: Joel Mo 9 talvo, P.E, Senior Engineer Mark G ee wood, P. Directo of ublic Works J net . Moore, Director of Finance Approval: ___ _______---7._ ___ - L . Lauri Aylaian, City Manager Montalvo, Joel From: Eric Cowie<ecowle@cvag.org> Sent: Wednesday, June 22,2016 5:02 PM To: Montalvo,Joel Cc: Tom Kirk; Dennis Woods Subject: CMAQ Joel, I reviewed our policy on CMAQ funded projects,and there is no ability for a jurisdiction to simply swap one project for another.As you are aware,when we issue a CMAQ call for projects,each application is ranked and the top projects are funded. If the project that you wanted to fund was the next highest ranked (and un-funded)on our last call for projects, we might have been able to work it out. CVAG certainly values the Mid Valley Bike Path project, and the willingness of the City of Palm Desert to work with the region in optimizing our use of these federal funds. 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