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HomeMy WebLinkAbout18- Memorandum of Understanding - Bozeman School District 7 - Financing Infrastructure of the Second Bozeman High School MEMORANDUM OF UNDERSTANDING REGARDING FINANCING OF PUBLIC INFRASTRUCTURE RELATED TO THE SECOND BOZEMAN HIGH SCHOOL BOZEMAN SCHOOL DISTRICT 7- CITY OF BOZEMAN THIS MEMORANDU&� OF UNDERSTANDING (MOU) is made and entered into this day of ,201\,4oetween Bozeman School District 7,a political subdivision of the State of Montana, principal offices at 404 West Main Street, Bozeman, Montana, 59715 (hereinafter referred to as"District"),the City of Bozeman,a self-governing municipal corporation of the State of Montana, with principal offices at 121 N. Rouse Ave., Bozeman, Montana,59771 (hereinafter referred to as "City"). Collectively, the City and District are referred to as the "Parties." WHEREAS,the District intends to construct a new high school on property located west of Flanders Mill Road, north of Meadowlark Elementary School, east of Cottonwood Road, and south of Oak Street; and WHEREAS,prior to occupancy of the new high school,the District must complete certain public infrastructure which the City also desires to have completed to ensure adequate transportation and other public infrastructure exists in the vicinity of the second high school and Bozeman Sports Park prior to occupancy of the second high school and also to ensure development of the second high school is in compliance with the City's adopted transportation plan,its growth policy and capital improvement plans; and WHEREAS,the District and the City understand that their cooperation in the development of public infrastructure is in the public interest; and WHEREAS, the District and City desire in conjunction with a final decision on site plan approval for the high school and prior to the commencement of construction of any off-site infrastructure to enter into a binding interlocal agreement that will provide the rights and responsibilities and the duties and obligations of the Parties regarding the City's financial participation in the District's construction of infrastructure necessary to serve the second high school; and WHEREAS,the District and the City desire to enter into this MOU to establish the basic principles for which a subsequent interlocal agreement will be created. NOW,THEREFORE,the District and the City understand: I 1. CITY'S FINANCIAL PARTICIPATION IN PUBLIC INFRASTRUCTURE. The Parties desire to cooperate in the costs of designing and constructing certain public infrastructure related to the second Bozeman high school. The Parties understand this cooperation will require the District to pay the costs of the design and construction of certain public infrastructure with the City reimbursing the p.1 of 4 District a percentage of the District's costs. The City's reimbursement to the District for the City's portion of the District's costs will be based on how much of each component of infrastructure is considered "non-local share." The Parties intend the District pay for all infrastructure that is considered the District's "local share"related to the construction of the second high school and for the City to pay the costs of infrastructure that is non-local share for certain infrastructure improvements and the City's local share on Oak Street related to the Sports Park. The chart below provides an understanding at this time of the percent of financial responsibility for the District and City for the estimated costs of each component of infrastructure. It is anticipated the City's payments to the District will occur in Fiscal Year 2020 (beginning July 1,2019.) Such payments and their timing will be finalized in the forthcoming interlocal agreement for construction. The Parties understand that there is the potential for actual costs to exceed estimates; exceeding project cost estimates may require the parties to reach agreement on how those additional costs are to be funded Project Entity Share Estimate Cottonwood Road School District 96% $1,860,000 (Oak to Durtson) City 4% 85,000 Oak Street School District 133% 433,000 City—Sports Park 33% 433,000 City—Impact Fees 34% 434,000 Roundabout at Oak St. and School District 0% Cottonwood Road City—Impact Fees 80% 2,192,000 City—Arterial & Collector District 20% 548,000 Estimated Total Costs $5,985,000 2. FUTURE INTERLOCAL AGREEMENT. The Parties intend the purpose of a future Interlocal Agreement will be to establish the specific legal rights and responsibilities and the duties and obligations of the parties regarding the City's payment of costs identified in Section 1, above. The interlocal agreement must detail the City's and District's share of the District's costs,the timing of the City's payment to the District, and other terms and conditions necessary for the City's payment including compliance with public procurement requirements. 3. REPRESENTATIVES. I a. City's Representative: The City's Representative for the purpose of this MOU shall be Assistant Bozeman City Manager Chuck Winn or such other individual I p.2 of 4 as Mr. Winn shall designate in writing. Whenever approval or authorization from or communication or submission to City is required by this MOU, such communication or submission shall be directed to the City's Representative and approvals or authorizations shall be issued only by such Representative; provided, however, that in exigent circumstances when City's Representative is not available, the District may direct its communication or submission to other designated City personnel or agents as authorized by the City's Representative and may receive approvals or authorization from such persons. b. District's Representative: The District's Representative for the purpose of this Agreement shall be the District's Deputy Superintendent of Operations Steve Johnson or such other individual as the Mr.Johnson shall designate in writing. Whenever direction to or communication with the District is required by this MOU, such direction or communication shall be directed to the District's Representative; provided, however, that in exigent circumstances when the District's Representative is not available, City may direct its direction or communication to other designated District personnel or agents. 4. NON-BINDING.The parties intend this MOU to be non-binding. **** End of MOU except for signatures * ** BOARD OF TRUSTEES BOZEMAN SCHO T By: Arre r T: Michael Waterm n,District Clerk :CITY OF BOZ G,p'r�vuA ►IAS ) rVIAq� ATTE p.3 of 4 Robin Crough,City Cler O, . • • . ' ��c�•, 1883 , •��•" p.4of4