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HomeMy WebLinkAboutItem 10 - State Highway 121 Funding11T # / MEMO TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: ROGER NELSON, CITY MANAGER�� -� MEETING DATE: JANUARY 18, 2000 SUBJECT: RESOLUTION AUTHORIZING AN INTERLOCAL AGREEMENT WITH DENTON COUNTY RELATIVE TO FUNDING PARTICIPATION ON SH 121 MAIN LANE IMPROVEMENTS IN NORTHEAST GRAPEVINE RECOMMENDATION: City Council consider adopting a resolution approving an Interlocal Agreement with Denton County addressing funding participation in the design and construction of SH 121 main lane improvements between FM 2499 and the Collin / Denton County Line, authorize the Mayor to execute said Interlocal Agreement, and take any necessary action. FUNDING SOURCE: Funds are available in the 2000 and 2001 G. O. Bond Sale programmed for Economic Development . A $750,000 payment will be due to Denton County in five annual installments of $150,000 beginning on October 1, 2000 and subsequent anniversaries through October 1, 2004. Overall Project Funding SIB Loan $ 10 Million Cities Repay State Infrastructure Bank Denton County $ 8.25 Million Denton County Bonds NCTCOG $ 30 Million STP -MM Funding from TEA -21 TxDOT $ 97.55 Million NHS Funding from TEA -21 Total $ 145.8 Million O:\AGENDA\011800\121 I NTERLOC January 13, 2000 (9:05AM) BACKGROUND: Denton County has been spearheading the development of a funding package to implement main lane improvements on SH 121. These improvements will ultimately extend from FM 2499 to the Denton / Collin County Line east of Lewisville and include an interchange at IH -35E. The cost of these improvements is estimated at $145.8 million. The segment of this project in Grapevine, extending from FM 2499 to Denton Creek comprises $40 million of the $145.8 total cost. NCTCOG has ranked the Grapevine segment of the overall project as the top priority in the SH 121 corridor due to its existing traffic volumes, its projected traffic volumes, and its role in serving the north entrance of the DFW Airport and northeast Tarrant County. Without improvements to this segment of the project, improvements to the remainder of the corridor have little effect due to this segment's lane restrictions and at grade, signalized crossings. Denton County has committed $8.25 million from their bond funds for this project. NCTCOG has committed $30 million from the Metroplex allocation Of TEA -21 Funds, and the cities in the corridor have been asked to commit $10 million for a total of $48.25 million toward the total project cost. The balance of the funding from TxDOT's NHS funds should be available in April or May of this year. Denton County has committed to the City of Grapevine to withhold $4 million of the $48.25 million for the design of the segment in Grapevine. Design of the segment by Denton County's consultants will begin once the segment has received environmental clearance. The environmental clearance for the Grapevine segment is being completed as part of the SH 114 / SH 121 MIS, currently underway. Once environmental clearance has been issued for the Grapevine segment, expected in late 2000 or early 2001, TxDOT staff will administratively reclassify the segment to Level II funding which authorizes the design of the segment and the preparation of Plans, Specifications, and Estimates (PS&E). Staff recommends approval. O:\AGE N DA\011800\1211 NTERLOC January 13, 2000 (9:05AM) THE STATE OF TEXAS ) COUNTY OF DENTON } INTERLOCAL AGREEMENT — SH 121 This Interlocal Agreement — SH 121 (the "Agreement') is entered into as of 1 11 by and between Denton County, Texas (the "County") and the City of Grapevine, Texas (the "City"). WITNESSETH: WHEREAS, the County and the City desire to enter into an agreement for the design and construction of improvements to that portion of State Highway 121 between FM 2499 and the Collin / Denton County Line (the "Project'); WHEREAS, the Interlocal Cooperation Act, codified as V.T.C.A., Government Code, Chapter 791 (the "Act'), provides authorization for any local government to contract with one or more local governments to perform governmental functions and services under the terms of the Act; and WHEREAS, the County has filed an application with the Texas Department of Transportation to obtain a $10,000,000 loan from the State Infrastructure Bank (the "SIB Loan") to fund a portion of the Project, including, particularly the engineering therefor; WHEREAS, the City has heretofore expressed its support of the Project and the funding of a portion of the costs of said Project; WHEREAS, to enable the County to perform certain functions related to the Project the City has heretofore agreed to pay to the County a total amount of $750,000 payable in five equal annual installments of $ 150,000 each as hereinafter provided; WHEREAS, the parties hereto agree that if the SIB Loan has not been made to the County on or before October 1, 2000, the City reserves the right to withdraw its commitment under this Agreement; WHEREAS, the City and the County have both found and determined and do hereby find and determine that the Project is in the best interests of the citizens of both the City and the County; NOW, THEREFORE, in consideration of the premises and covenants herein contained, the City and the County agree as follows: Section 1. The provisions of this Agreement contained in the preambles set forth above are hereby incorporated by reference as if fully set forth in the body of this Agreement and shall become and are hereby made a part of this Agreement for all purposes. Section 2. The City hereby agrees to pay the County the sum of $ 750,000 (the "City Commitment') payable in annual installments of $ 150,000 on or before October 1, 2000 and each October 1 thereafter until fully paid. The County agrees to provide and perform governmental functions and services as permitted by the Act in connection with the Project. The City reserves the right to withdraw and cancel the City Commitment in the event the County has not received the SIB Loan proceeds by or before October 1, 2000. No interest shall be charged to the City in connection with the installment payments of the City Commitment. The City hereby reserves the right to prepay the City Commitment at any time during the term of this Agreement, without penalty. Section 3. The City Commitment shall be paid only from current revenues of the City as those revenues exist from time to time. Section 4. The County hereby agrees to withhold $ 4 million in funds from its bonds ($ 8.25 million), State Infrastructure Bank Loan ( $ 10 million ) and NCTCOG funding ( $ 30 million ) for design of the segment of this project in Grapevine between FM 2499 and Denton Creek. Section 5. The County hereby agrees to engage its consultant engineering firm in the design of the segment of this project in Grapevine between FM 2499 and Denton Creek upon receipt of environmental clearance. Section 6. This Agreement shall be for a term of six (6) years or until the City Commitment is paid in full, whichever is less. Section 7. This Agreement may not be amended or modified without the prior written consent of both the City and the County. Section 8. If any clause, provision or section of this Agreement is ruled invalid or unenforceable by a court of competent jurisdiction, the invalidity or unenforceability thereof shall not affect any of the remaining clauses, provisions or sections hereof. Section 9. This Agreement may be executed in several counterparts, each of which shall be original and all of which shall constitute but one and the same documents. Section 10. This Agreement shall be governed in all respects by the laws of the State of Texas. [The remainder of this page intentionally left blank] IN WITNESS WHEREOF, the City and the County have caused this Agreement to be executed by their duly authorized representatives pursuant to [ordinance or resolution] number of the City and Commissioners Court Order No. DENTON COUNTY, TEXAS Kirk Wilson, Denton County Judge ATTEST: M Deputy, County Clerk Assistant District Attorney Wagenda\011800\IntLcISH 121 CITY OF By: William D. Tate, Mayor ATTEST: in in Linda Huff, City Secretary John Boyle, City Attorney A K I;. • iii I Q I ilk La.11 Ilk 1:422 a" I - 11 WHEREAS, State Highway 121 is a critical component of the Northern Metroplex Regional Transportation System, serving the continually expanding residential communities and employment centers along the corridor between Dallas / Fort Worth International Airport and Collin County; and WHEREAS, Denton County has developed a funding program for the design and construction of main lane improvements on State Highway 121 from Farm to Market 2499 to the Collin / Denton County; and WHEREAS, the five cities in this corridor, Lewisville, Coppell, Carrollton, The Colony, and Grapevine have indicated their support of this program and have indicated a willingness to participate in the funding of these improvements; and WHEREAS, the funding for the project is as follows: State Infrastructure Bank Loan $10 Million Denton County Bonds $8.25 Million North Central Texas Council of Governments (STP -MM) $30 Million Texas Department of Transportation (NHS) $97.55 Million WHEREAS, the City of Grapevine's participation has been established at $750,000 of the total $10 million city participation to repay the State Infrastructure Bank Loan. NOW, THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF GRAPEVINE, TEXAS: Section 1. That all matters stated in the preamble of this resolution are true and correct and are incorporated herein as if copied in their entirety. Section 2. That the City of Grapevine strongly supports the efforts of Denton County to promote the transportation improvement needs in the State Highway 121 corridor from Farm to Market 2499 to the Collin / Denton County Line. Section 3. The City of Grapevine is authorized to enter into an Interlocal Agreement with Denton County committing $750,000 to the funding of the State Highway 121 main lane improvements from Farm to Market 2499 to the Collin / Denton County Line. Section 4. That the funding shall be due to Denton County in five (5) annual installments of $150,000 beginning on October 1, 2000, Section 5. That Denton County shall withhold $4 million of the initial $48.25 million for use on the design of the main lane improvements between Farm to Market 2499 and Denton Creek once environmental clearance has been received. Section 6. That this resolution shall become effective from and after the date of its passage. PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF GRAPEVINE, TEXAS on this the 18th day of January, 2000, ATTEST: APPROVED AS TO FORM: N