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File #: PH-14-038A    Version: 1 Name: Downtown Improvements Ph II - MOU
Type: Resolution/Public Hearing Status: Passed
File created: 4/21/2014 In control: City Council
On agenda: 5/27/2014 Final action: 5/27/2014
Title: Consider a Memorandum of Understanding and Agreement with Killeen Economic Development Corporation in the amount of $300,000 for the Downtown Improvements, Phase II project.  
Sponsors: Public Works Department, Transportation Department
Indexes: Downtown Streetscaping
Attachments: 1. Council Memorandum, 2. Memorandum of Understanding
Related files: PH-14-038C, PH-14-038B, RS-18-105
TITLE
 
Consider a Memorandum of Understanding and Agreement with Killeen Economic Development Corporation in the amount of $300,000 for the Downtown Improvements, Phase II project.  
 
SUMMARY
 
AGENDA ITEM            
 
AUTHORIZE A MEMORANDUM OF UNDERSTANDING AND AGREEMENT WITH THE KILLEEN ECONOMIC DEVELOPMENT CORPORATION FOR THE DOWNTOWN IMPROVEMENTS, PHASE II PROJECT
 
ORIGINATING DEPARTMENT            
 
PUBLIC WORKS - TRANSPORTATION DIVISION
 
BACKGROUND INFORMATION
 
On May 29, 2012, the City Council passed a resolution authorizing the award of a construction contract bid for the Downtown Streetscaping and Andy K. Wells Trail Extension project (CCM/R 12-015R). This first phase of Downtown Improvements was substantially completed in early 2014.
 
On January 2, 2014, the Killeen Economic Development Corporation (KEDC), approved a Performance Agreement with Solix, Inc. to lease a building at 402 East Avenue D, which will serve as a customer care center and will include call center operations.  As part of that agreement, the KEDC will pay the City of Killeen for a portion of the Downtown Improvements, Phase II project to extend Avenue D two blocks east to 10th Street and improve drainage on 10th Street (the "Project").
 
DISCUSSION/CONCLUSION
 
The attached Memorandum of Understanding and Agreement proposes a that the City accept the amount of $300,000 as the contributing portion from the KEDC for the project, which includes streetscaping improvements on Avenue D and drainage improvements along 10th Street.
 
The Project budget estimates a total project cost of $1,624,877, with $1,404,367 being the estimated construction project costs. The City will provide funding for this expenditure and the KEDC will advance $300,000 towards the total Project costs.
 
As indicated by a separate resolution and budget amendment ordinance being proposed, the proposed engineering contract submitted by Walker Partners, L.L.C., in the amount of $220,510, provides engineering services including surveying, design, permitting, and bidding administration for the Project, which is the first step in moving forward with this Project.
 
FISCAL IMPACT
 
The City's General Fund will be increased by the amount of $300,000, which the KEDC will pay to the City of Killeen.
 
RECOMMENDATION
 
Staff recommends that the City Council authorize the City Manager to enter into a Memorandum of Understanding and Agreement with the Killeen Economic Development Corporation for the amount of $300,000, and that the City Manager be expressly authorized to execute any and all change orders within the amounts set by state and local law.