HomeMy WebLinkAboutRESOLUTIONS - 05022006 - 2006-192 1
SE Contra
TO: BOARD OF SUPERVISORS/ E-
REDEVELOPMENT AGENCY
Costa
FROM: DENNIS BARRY, DIRECTOR
COMMUNITY DEVELOPMENT` _ titi County
OST'q COl1I3'�
JOHN CULLEN, EXECUTIVE DIRECTOR
CONTRA COSTA COUNTY REDEVELOPMENT AGENCY
DATE: May 2, 2006 -
SUBJECT: Parker Avenue Reconstruction, Rodeo
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SPECIFIC REQUEST(S)OR RECOMMENDATIONS)&BACKGROUND AND JUSTIFICATION
RECOMMENDATION:
1. As the Board of Supervisors, ADOPT Resolution 2006/192:
(� • Approving an Amended and Restated Project Agreement - Parker Avenue
Reconstruction Project, Rodeo with the Contra Costa County
--9 Redevelopment Agency increasing the amount of the agreement by
v $6,500,000 to an amount not to exceed $8,000,000 and extending the term
to December 31, 2008 and authorizing the Director of Public Works to
execute the Agreement;
• Consent to a Public Facilities and Loan Agreement between the Contra
Costa County Redevelopment Agency and the City of Pinole providing for
® the Agency to loari $300,000 for sewer force main relocation underlying
Ci Parker Avenue and San Pablo;
CONTINUED ON ATTACHMENT: ® YES SIGNATURE:
[ 0E'COMMENDATION OF EXECUTIVE DIRECTOR ❑ REC M NDATION OF AGENCY
COMMITTEE
[PROVE ❑ OTHER
SIGNATURE(S).
ACTION OF I E Y ON
APPROVED AS RECOMMENDED OTF R ❑
VOTE OF COMMISSIONERS: I HEREBY CERTIFY THAT THIS IS A TRUE AND
/ CORRECT COPY OF AN ACTION TAKEN AND
v UNANIMOUS(ABSENT ENTERED ON THE MINUTES OF THE
AYES: NOES: REDEVELOPMENT AGENCY ON THE DATE
SHOWN.
ABSENT: ABSTAIN:
ATTESTED 2-0o(
Contact: Jim Kennedy (335-7225)
JOHN CULLEm ,dGEN6Y SECRETARY
Orig Redevelopment Agency
cc: CAO "
County Counsel By: Deputy
Redevelopment Agency
\ r
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RECOMMENDATION cont:
• Make findings required by California Community Redevelopment Law
(California Health & Safety Code Section 33000 et. seq.) related to the
a) Improvement of publicly owned facilities within the Rodeo
Redevelopment Project Area;
b) That the Parker Avenue improvements, including sewer force main
relocation is of benefit to, and will eliminate blight within the Rodeo
Redevelopment Project area;
c) That there are no other reasonable means available to finance the
Parker Avenue improvements, including the sewer force main
relocation; and
d) That the payment of funds by the Contra Costa County
Redevelopment Agency is consistent with the Agency's adopted
Implementation Plan and the Adopted Redevelopment Plan;
• Determine that the Mitigated Negative Declaration for the Parker Avenue
Reconstruction Project adopted by the County on January 28, 2003
adequately covers impacts of the project; and
• Determine that the force main relocation portion of the Parker Avenue
Reconstruction Project is exempt from the California Environmental Quality
Act (CEQA) pursuant to Section 15304 (e) of the CEQA Guidelines.
2. As the Governing Board of the Redevelopment Agency, ADOPT Resolution
2006/193
• Approving an Amended and Restated Project Agreement - Parker Avenue
Reconstruction Project, Rodeo with Contra Costa County increasing the
amount of the contract by $6,500,000 to an amount not to exceed
$8,000,000 and extending the term to December 31, 2008 and authorizing
the Redevelopment Director to execute the Agreement;
• Approving a Public Facilities and Loan Agreement between the Contra
Costa County Redevelopment Agency and the City of Pinole providing for
the Agency to loan $300,000 for sewer force main relocation underlying
Parker and San Pablo Avenues;
• Make Finding required by California Community Redevelopment Law
(California Health and Safety Code Section 33000 et. seq.) related to the
a) Improvement of publicly owned facilities within the Rodeo
Redevelopme,t Project area;
b) That the Parker Avenue improvements, including the sewer force main
relocation is of benefit to, and will eliminate blight within the Rodeo
Redevelopment Project Area;
c) That there are no other reasonable means available to finance the
Parker Avenue improvements including the sewer force main
relocation; and
d) That the payment of funds by the Contra Costa County
Redevelopme t Agency is consistent with the Agency's adopted
Implementatio Plan and the adoption of Redevelopment plan;
• Determine that the Mitigated Negative Declaration for the Parker Avenue
Improvements adopted by the County on January 28, .2003 adequately
covers impacts of the project; and
• Determine that the force main relocation portion of the Parker Avenue
Improvement Project is exempt from the California Environmental Quality
Act (CEQA) pursuant to Section 153021(e) of the CEQA Guidelines.
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FINANCIAL IMPACT:
None. No General Funds are involved. The Redevelopment Agency has
identified the source of the required funds contemplated by these actions. The
Agency is using a combination of budgeted funds and funds from an issuance of
Agency Tax Allocation Bonds expected to be completed later this summer. The
underlying financing plan maximizes the ability of the County, the Redevelopment
Agency, and the City of Pinole to undertake the project in the near term. The
County is responsible for approximately $4.3 million (53%) of the total Phase 2
roadway reconstruction project cost to completion and the Redevelopment
Agency is responsible for approximately $3.8 million (47%) of the total Phase 2
project cost to completion, for a total Phase 2 project cost to completion of
approximately $8 million)
The underlying plan of finance contemplates that the Agency would loan the City
of Pinole $300,000 for sewer force main relocation costs, and advance to the
County approximately $2.5 million for a portion of its share of the project, which
advance would be returned to the Agency from road improvement fees and other
available road/street revenues (i.e., Measure C, Unocal and Road Funds). The
total cost of the project its $13.3 million, of which $5.2 million has already been
expended for preliminary and design engineering, Lefty Gomez Park parking lot
improvements, and Phase I Parker Avenue utility undergrounding work. A cost
summary is included as Attachment A.
BACKGROUND:
1. Scope
The Parker Avenue Reconstruction Project in Rodeo was initially approved by the
Board of Supervisors/Redevelopment Agency on December 5, 2000. The project
has two major phases: a) Utility undergrounding; and b) Roadway reconstruction
including streetscape improvements. The project extends along Parker Avenue
for eight blocks from Seventh Street to California Street, through downtown
Rodeo. Phase 1, the utility undergrounding phase, is currently 95% complete.
The final work on this phase of the project, removing existing power poles and
reconnecting utility services to the new underground system, will be completed
during phase 2, the roadway reconstruction phase of the project. Major
improvements in phase 2 include reconstruction of the four-lane commercial
thoroughfare into a two-lane pedestrian-oriented boulevard with landscaped
median islands, curb biulb-outs and curbside parking, and new street lighting,
furniture and trees. Completion of the roadway reconstruction project will create
a visually prominent, tree-lined boulevard uniting downtown Rodeo, the
waterfront, and the surrounding community. The project, when it is completed,
will represent a substantial improvement to the physical conditions of downtown
Rodeo. The adopted Rodeo Redevelopment Plan (July 10, 1990 Ordinance 90-
501) and the more recently adopted Implementation Plan (January 17, 2006) for
the Agency identified the Parker Avenue Improvements as a key element in
addressing blight in Rodeo. Reconstruction and streetscape improvements along
Parker Avenue was also identified as a key element for revitalizing downtown
Rodeo in the Rodeo Dowmtown/Waterfront Specific Plan adopted by the Board of
Supervisors on August 12, 1997.
2. History
The basis for this project is driven by the blighting conditions along Parker Avenue
in the Rodeo Redevelopment Project Area, including inadequate infrastructure
.and public improvements, and an overall appearance of neglect.. Parker Avenue
will be reconstructed to )incorporate and finalize the streetscape enhancements
specified in the 1997 Rodeo Specific Plan, the Rodeo Redevelopment Plan and
the Agency's Implementation Plan.
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On October 24, 2000, the Board of Supervisors and Redevelopment Agency
approved a Project Agreement and Work Program for the project in the amount
$1.3 million. On December 5, 2000, the Public Works Department presented
revised cost estimates for the project,. and the Board approved an amended
Project Agreement and Work Program in the amount of $1.5 million. On January
28, 2003, the Board found that there was no substantial evidence the project
would have a significant effect on the environment based on the Parker Avenue
Reconstruction and Undergrounding Project Mitigated Negative Declaration initial
study and comments) received, and therefore adopted the Mitigated Negative
Declaration and Mitigated Monitoring Program in compliance with CEQA. The
Board also approved the project and authorized the Public Works Director to
publicly advertise the project at this time.
The utility undergrounding phase (Phase 1) of the project was initiated in the spring
of 2004, and the pre-roadway reconstruction component of this phase was
completed in the spring of 2005. Lastly, on January 27, 2004, the Redevelopment
Agency and Public Works amended the Project Agreement to include
reconstruction of the Lefty Gomez parking lot. This amendment did not increase
the amount of the Redevelopment Agency's financial obligation ($1.5 million) for
the overall project under the agreement at that time. This component of the
project was completed in the winter of 2006.
3. Recent Events
The Parker Avenue improvements from the outset were expected to be a
complicated undertaking, given the age of the underlying improvements and
facilities. The level of complication has far exceeded even the expectation. The
Public Works Department staff has been creative and tenacious in identifying
reasonable solutions to new issues as they arose, including additional storm
drainage work, traffic signal work, water and electrical connections, and landscape
maintenance considerations. Some of these complications have resulted in a
requirement for the I County to cancel the previous bidding period and
subsequently re-advertise the project at a later date, resulting in project cost
increases. In addition, there has been a significant increase in the cost of
essential materials as the project has proceeded through final design.
After successfully sorting through these complications, the County Public Works
Department re-advertised the roadway reconstruction phase of the project on
February 14, 2006, and opened bids for the project on March 28, 2006. With the
actions recommended herein, the Public Works Department will be able to
recommend an award of a contract for construction. The roadway reconstruction
phase of the project is anticipated to start in July or August, 2006.
An additional complication unrelated to County owned facilities was a
determination that a sewer force main serving the cities of Pinole and Hercules
would have to be relocated under Parker Avenue between Seventh and Third
Streets, and under San Pablo Avenue between Railroad and California Streets.
The sewer service in Pinole and Hercules is operated by a Joint Powers Agency
(JPA) comprised of the two cities. Their treated wastewater is pumped through a
sewer force main along Parker, Railroad, and San Pablo Avenues through Rodeo
to the Rodeo Sanitary District Treatment Facility. As a condition of the
encroachment permit issued by the County, the JPA must relocate its facilities at
its own costs. The total cost of the sewer line relocation is approximately $2
million, which is being ahared between the two cities. Hercules has indicated they
can provide their share as required. The City of Pinole has indicated that their
current rates do not allow them to fully fund 100% of their obligation, and have
requested that the County Redevelopment Agency loan the City $300,000 to
permit the project to proceed immediately. The recommended actions to approve
a Public Facilities and Loan Agreement with the City of Pinole accomplished the
desired loan of $300,000. The City would agree to repay the loan over a five year
term, with an interest ra4e fixed at the time of origination based on 5-year Treasury
Bill rates (currently 4.75% ). The City would repay the loan from dedicated sewer
service fees collected by the City. The loan is an unsecured loan to be repaid
solely from available sewer service fees. Staff has reviewed the City's ability to
repay the loan in view of other obligations the City has, and it is comfortable that
the City will have the capacity to repay the loan.
4. Elements of the Board/Agency Action:
County/Redevelopment Agency Project Agreement and Work Program
Staff recommends that the Board and Agency approve the "Amended and
Restated Parker Avenue Reconstruction Project Agreement and Work Program"
by Resolution. These actions will allow for Contra Costa County to complete
construction improvements to Parker Avenue within the Rodeo Redevelopment
Project Area. This a ended agreement will accomplish two purposes: 1) allow
the Agency to provide additional funds in the amount of $2.3 million towards
completion of the project; and 2) allow the Agency to provide Public Works an
additional "advance" of $2.5 million to be utilized towards completion of the
project. The County will ultimately be responsible for approximately 53% of the
Phase 2 roadway reconstruction project cost to completion, with the Agency
responsible for approximately 47%. The funding source for the County's share of
the Phase 2 project costs will be a combination of Measure C, Unocal and Road
Funds. The total project cost to completion (Phases 1 and 2) is now estimated at
$13.3 million.
City of Pinole/Agency Agreement
Staff recommends that the Board of Supervisors consents to, and the
Redevelopment Agency approves the "Public Facilities and Loan Agreement'
between the City of Pinole and the Agency. These actions will allow for the
Agency to provide the City of Pinole with a loan in the amount of $300,000 as a
partial source of funds for completion of the relocation of the sewer force main
underlying Parker Averiue.
5. Legal Context
The. Resolution befo a the Board/Agency makes a variety of Findings &
Determinations. The purpose of this section is to briefly summarize these actions.
First, Section 33445 of the Community Redevelopment Law authorizes an Agency
to pay for public improvements, subject to legislative findings. These findings are
made by both the Board of Supervisors and the Redevelopment Agency, and
includes findings that
■ The improvements are of benefit to the project area;
■ No other reasonable means of financing the improvements are
available; and
■ the improvements will eliminate blight in the project area.
The preceding material documents that these findings are appropriate. With
respect to the Pinole Loan Agreement portion of the project, the City of Pinole
made these findings in approving the loan agreement on March 7, 2006.
Second, the Board of Supervisors, as the legislative body for the County, must
consent to the Redevelopment Agency paying its part of the costs of the Parker
Avenue improvements.
Third, with respect to California Environmental Quality Act (CEQA) compliance,
both the Board of Supervisors and the Redevelopment Agency action determine
that 1) the January 28, 2003 Mitigated Negative Declaration adopted by the Board
of Supervisors adequately covers the Parker Avenue improvements because
there are no substantial changes in the project, no new circumstances exist that
would create new environmental effects, and no new information had been k
presented to show any significant effects not previously covered; and 2) that the
Pinole/Hercules sewe force main relocation and the loan agreement between the :.
Agency and the City of Pinole related thereto are exempt from CEQA pursuant to
Public Resources Code Section 2100.21 and the CEQA Guidelines Section
15302(c).
And fourth, the resolutions authorize the Public Works Director, or designee, to
execute documents on behalf of the County and for the Redevelopment Director
to execute documents on behalf of the Agency.
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ATTACHMENT A
Cost Summary: Parker Avenue Reconstruction Project
Phase I (Utility Undergrounding) Costs-Completed
Preliminary, Design, &Construction Engineering $601,000
Construction $2,246,000
TOTAL PHASE I $2,847,000
Phase II (Parker Ave Reconstruction)
Costs to Date
Lefty Gomez Parking Lot Improvements $232,000
Preliminary and Design Engineering
Redevelopment portion $507,000
Public Works portion $1,634,000
Sub-Total Phase II Costs to Date $2,373,000
Estimated Costs to Completion
Redevelopment Agency Share $3,800,000
County Share $4,300,000
Sub-Total Estimated Phase ll to Completion $8,100,000
TOTAL PHASE If $10,473,000
PROJECT COSTS - TOTAL (Estimated) $13,320,000