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Home My WebLink AboutCoachella Valley Association of Goverments Agreement - C23760 Contract Amendment Number 4 - Cook Street Widening Between Fred Waring and Frank Sinatra 601-05Contract No. C23760 CITY OF PALM DESERT PUBLIC WORKS DEPARTMENT STAFF REPORT REQUEST: APPROVE AMENDMENT NO. 4 TO THE REIMBURSEMENT AGREEMENT WITH THE COACHELLA VALLEY ASSOCIATION OF GOVERNMENTS FOR THE COOK STREET WIDENING BETWEEN FRED WARING DRIVE AND FRANK SINATRA DRIVE (PROJECT 601-05, CONTRACT C23760) SUBMITTED BY: Mark Greenwood, P.E., Director of Public Works DATE: January 27, 2011 CONTENTS: Amendment No. 4 Recommendation By Minute Motion: 1. Approve Amendment No. 4 to the Reimbursement Agreement with the Coachella Valley Association of Governments (CVAG) for the Cook Street Widening between Fred Waring Drive and Frank Sinatra Drive (Project 601-05, Contract No. C23760); and 2. Authorize the Mayor to execute the Agreement. There is no funding required with this action. Background On May 12, 2005, the City Council approved reimbursement agreements with CVAG for design and construction of the Portola Avenue Bridge over the Whitewater Channel, and the Cook Street Widening project between Fred Waring Drive and Frank Sinatra Drive. The reimbursement agreements set maximum contribution limits for CVAG based on estimates of the total costs of each project. In July 2005, after the bid opening for the Portola Bridge revealed that the project was underfunded, the City executed Amendment No. 1, which transferred $2,000,000 in CVAG funding from the Cook Street Widening project to the Portola Avenue Bridge project. This decreased the CVAG funding on the Cook Street project to $2,750,000. On June 14, 2007, the City Council approved staffs recommendation to divide the entire project into two phases. Phase I would include the storm drain and intersection improvements and the addition of right -turn lanes at Cook Street and Hovley Lane East, and Cook Street and Country Club Drive. Phase II is for the improvements proposed to widen Cook Street from four to six lanes. Staff Report Approve Amendment No. 4 with CVAG for C23760 January 27, 2011 Page 2 of 2 On March 13, 2008, the City Council approved Amendment No. 2 to restore and increase the funding that was lost under Amendment No. 1. The increase of $2,250,000 would bring CVAG funding for the Cook Street project to $5,000,000, or 50% of the project cost. On April 26, 2010, staff received Amendment No. 3 from CVAG. Essentially, Amendment No. 3 allowed the construction contract award date to be extended to July 1, 2010, and CVAG's share to be reduced to $3,000,000 based on the cost estimates for Phase I at the time. Staff reviewed it and determined that the City could not meet that deadline because problems had been encountered causing delays during the right-of-way acquisition process. Therefore, Amendment No. 3 was not brought forward to the City Council for approval and execution. On June 22, 2010, a meeting was held with City staff and the CVAG Executive Director and Deputy Executive Director to discuss the funding and capacity issues for Phase I of the project. As a condition of the Reimbursement Agreement, CVAG requires that Cook Street be widened in the future to its ultimate six -lane configuration in order to be consistent with CVAG's regional arterial plan. Therefore, it was suggested that an amendment would be needed to include project phasing language and a triggering mechanism for future Phase II Cook Street corridor improvements. Subsequently, on July 8, 2010, the City Council approved staff's recommendation to consider such an amendment to the current Reimbursement Agreement. On October 4, 2010, staff received Amendment No. 4 to the Reimbursement Agreement that was approved by the CVAG Executive Committee. The attached Amendment No. 4 now includes the language to establish a time trigger and/or an event trigger mechanism for both phases of the project. Therefore, staff requests that City Council approve Amendment No. 4 to the Reimbursement Agreement with CVAG and authorize the Mayor to execute the agreement. Fiscal Analysis Not considering such an amendment to the current reimbursement agreement could jeopardize the previously designated Measure A Bond Funds. Prepared By: A .� Depalyhefi),yead: Bo Chen, P.E f�iq, Paul S. G Engineer it or of Finance Johw. Wohlmuth, City Manager Mark Greq6wood, P.E. Director Public Works CITY COUNCTLA71ON APPROVED DENIED RECEIVED OTHER AYES: rn_rn= 3� NOES:_1VOL ABSENT: ABSTAIN: VERIFIED BY: LOW IX4M Original on File with City Jerk's Office CVAG COACHELLA VALLEY ASSOCIATION of GOVERNMENTS Blythe • Cathedral City Coachella • Desert Hot Springs • Indian Wells • Indio • La Quinta • Palm Desert • Palm Springs • Rancho Mirage County of Riverside Agua Caliente Band of Cahuilla Indians • Cabazon Band of Mission Indians • Torres Martinez Desert Cahuilla Indians September 30, 2010 Ms. Rachelle Klassen City Clerk City of Palm Desert 73-510 Fred Waring Drive Palm Desert, CA. 92260 Dear Ms. Klassen: Enclosed please find three originals of AMENDMENT NUMBER FOUR to the Reimbursement Agreement between the City of Palm Desert and the Coachella Valley Association of Governments (CVAG) for "Cook Street Widening Project" (from Fred Waring Drive to Frank Sinatra Drive). This Amendment was approved by the Executive Committee on September 27, 2010. Please have the documents signed and returned to the address below. CVAG 73-710 Fred Waring Drive, Suite 200 Palm Desert, CA 92260. When complete, I will send an executed original for your records. If you have any questions, or need further information regarding this agreement, please contact me at (760) 346-1127. Sincerely, COACHELLA VALLEY ASSOCIATION OF GOVERNMENTS le ra lG� DIANA PAZ ' Receptionist:+r''' x. cc: Michael Shoberg, Trans. Prog. Mngr. v rn 73-710 Fred Waring Drive, Suite 200 • Palm Desert, CA 92260 • (760) 346-1127 • FAX (760) 340-5949 COACHELLA VALLEY ASSOCIATION of GOVERNMENTS AMENDMENT NUMBER FOUR CITY OF PALM DESERT- CVAG REIMBURSEMENT AGREEMENT FOR COOK STREET WIDENING PROJECT (FRED WARING DRIVE TO FRANK SINATRA DRIVE) AMENDMENT NUMBER FOUR is made and entered into this day of , 2010, by and between the Coachella Valley Association of Governments, a California joint powers agency, (CVAG), and the City of Palm Desert (Agency), and is made with reference to the following background facts and circumstances: This Amendment Number Four provides no additional funding than established under the terms of the existing Reimbursement Agreement, executed May 12, 2005, Amendment Number One, executed October 27, 2005, Amendment Number Two, executed March 13, 2008, and Amendment Number Three, approved April 26, 2010. This Amendment Number Four establishes Phase 1 and Phase 2 of the Cook Street Widening Project and extends the deadline for award of a construction contract for both Phases. All other provisions in the existing Reimbursement Agreement, Amendment Number One, Amendment Number Two and Amendment Number Three are considered in force. This Amendment Number Four confirms that all submitted payment requests must be eligible for reimbursement by CVAG as outlined in the CVAG Policies and Procedures Manual for the Regional Arterial Program, most recently amended. The Executive Committee of CVAG, at their meeting of October 25, 2004, approved a list of Regional Transportation Projects and the amounts recommended for funding by the RCTC bond sale process for the total amount of $28,275,000, of which the Cook Street Widening Project is one of those approved Regional Transportation Projects. The approved projects will receive bond fund proceeds for no more that 50% (Fifty Percent) of approved project costs. The Executive Committee of CVAG, at their meeting of October 29, 2007, approved a modified list of projects and revised bond fund amounts for the total amount of $26,985,000. The Cook Street Widening Project is one of those approved projects. The City of Palm Desert has requested that the Cook Street Widening Project be constructed through a Phase 1 and Phase 2 segments of work. This Amendment Number Four shall: Establish a Time Trigger to provide that work on Phase 1 on the Cook Street Widening Project shall begin within two years after the Date of Execution of this Amendment Number Four, and; Establish an Event Trigger to provide that work on Phase 2 of the Cook Street Widening Project shall begin within one year of the traffic level on any buildable segment of that COACHELLA VALLEY ASSOCIATION of GOVERNMENTS portion of Cook Street reaching 55,000 vehicles for the measured 24-Hour Average Daily Traffic (ADT), and; Establish a Time Trigger to provide that work on Phase 2 of the Cook Street Widening Project shall begin within Ten (10) Years after the Date of Execution of this Amendment Number Four, and; Require the City of Palm Desert to repay any Regional Funds advanced for the initial/ earlier constructed phases of the Cook Street Widening Project, with interest, should the City fail to meet the deadlines established by the Time Triggers or the Event Trigger as described, and; Require that any regional funds advanced to the City of Palm Desert for the initial/ earlier phases of the Cook Street Widening Project which are then directed for repayment shall accrue interest at the rate for the Local Agency Investment Fund (LAIF), as determined on July I" of each year. Summary of CVAG's Share: Previously obligated and authorized for expenditure (Original Agreement) $ 4,750,000 Previously obligated and authorized for expenditure (Amendment #1) $(2,000,000) Previously obligated and authorized for expenditure (Amendment #2) $ 2,250,000 Total amount authorized for expenditure, after Amendment #3 3.000.000 (Signatures on following page) COACHELLA VALLEY ASSOCIATION of GOVERNMENTS IN WITNESS WHEREOF, the parties hereto have caused this Amendment Number Four to be executed by their duly authorized representatives on this date: ATTEST: 0 City Clerk ATTEST: M Tom Kirk, Executive Director CITY OF PALM DESERT M CVAG an )nne Parks AG Chairman 81.11 wn t-130 Doz v Q '1�3S3Q WIV d 0U3 0 S,N83-10 �, 1.10