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HomeMy WebLinkAbout04-23-18 City Commission Packet Materials - C3. Interlocal Agreement with BSD7 for Second High School ImprovementsPage 1 of 2 Commission Memorandum REPORT TO: Honorable Mayor and City Commission FROM: Anna Rosenberry, Assistant City Manager Andrea Surratt, City Manager SUBJECT: Interlocal Agreement for Infrastructure Improvements for Bozeman Second High School MEETING DATE: April 23, 2018 AGENDA ITEM TYPE: Consent RECOMMENDATION: Authorize the Mayor to sign the Interlocal Agreement with School District 7 detailing the terms and conditions for financing and construction of infrastructure improvements related to the Bozeman Second High School. RECOMMENDED MOTION: I move to authorize the Mayor to sign the Interlocal Agreement with School District 7 detailing the terms and conditions for financing and construction of infrastructure improvements related to the Bozeman Second High School. BACKGROUND: The City has been working with the District to bring about the construction of infrastructure improvements that are in the vicinity of, and necessary for, the opening of the second High School. In January 2018, the City and the School District entered into a Memorandum of Understanding about the improvements. At that time, we were waiting for final bid prices and other terms to be finalized before signing this Interlocal Agreement. Earlier this month, the School District notified us of the final bid prices for the projects and terms were finalized. The School District Board of Trustees approved the Interlocal Agreement, and it has been signed by Superintendent Robert Watson. The bid prices for the total project are significantly less that we estimated in January. Of the Final Bid total of $4,533,311, the City’s share is $2,935,529. (In January we had estimated our share would be $3,692,000.) For the portions of the project that the City is responsible for paying for, we will be saving $756,000 from the estimates. This represents savings of 20% on the total project costs. The largest portion of this savings comes from the estimated costs for the Roundabout at the Oak and Cottonwood intersection. See table on following page. 13 Page 2 of 2 Under this agreement, the School District can proceed with construction as soon as possible. The City must make payment to the School District for our share of the project costs no sooner than July 1, 2019 (beginning of Fiscal Year 20.) Other terms are spelled out in the attached Interlocal Agreement. UNRESOLVED ISSUES: None ALTERNATIVES: As identified by the Commission. FISCAL EFFECTS: Of the Final Bid total of $4,533,311, the City’s share is $2,935,529. On or after July 1, 2019, the City will make payment to the School District for the City’s share of the project costs outlined in the agreement. The City’s Street Impact Fee Fund will pay $2,141,359 and the City’s Arterial & Collector District will pay $794,171. The payments have been incorporated into the City’s Approved Capital Improvement Plan and will be incorporated into the FY20 Budget. Attachments: Exhibit A: Interlocal Agreement Report compiled on: 4-15-2018 Bozeman Second High School - Related CIP Projects Project ID PROJECT SECTION Party Estimate FINAL BID Savings to City Project Costs - both City and School District Portions SIF105 Street Cottonwood (Durston to Oak)School District #7 1,860,000$ 1,232,000$ SIF134 Street Cottonwood (Durston to Oak)Street Impact Fees 85,000$ 51,333$ 33,667$ 1,945,000$ 1,283,333$ SIF134 Street Oak (Cottonwood to Flanders Mill)Street Impact Fees 434,000$ 376,866$ 57,134$ SIF134 Street Oak (Cottonwood to Flanders Mill)Arterial & Collector District 433,000$ 365,881$ 67,119$ SIF134 Street Oak (Cottonwood to Flanders Mill)School District #7 433,000$ 365,782$ 1,300,000$ 1,108,528$ SIF98 Street Oak & Cottonwood Intersection - Roundabout Street Impact Fees 2,192,000$ 1,713,160$ 478,840$ SIF98 Street Oak & Cottonwood Intersection - Roundabout Arterial & Collector District 548,000$ 428,290$ 119,710$ 2,740,000$ 2,141,450$ Grand Totals 5,985,000$ 4,533,311$ 756,471$ City-Only Payment Amounts & Sources Estimate FINAL BID Savings to City SIF134 Street Cottonwood (Durston to Oak)Street Impact Fees 85,000$ 51,333$ 33,667$ SIF134 Street Oak (Cottonwood to Flanders Mill)Street Impact Fees 434,000$ 376,866$ 57,134$ SIF98 Street Oak & Cottonwood Intersection - Roundabout Street Impact Fees 2,192,000$ 1,713,160$ 478,840$ Total from Street Impact Fees 2,711,000$ 2,141,359$ 569,641$ SIF134 Street Oak (Cottonwood to Flanders Mill)Arterial & Collector District 433,000$ 365,881$ 67,119$ SIF98 Street Oak & Cottonwood Intersection - Roundabout Arterial & Collector District 548,000$ 428,290$ 119,710$ Total from Arterial & Collector District 981,000$ 794,171$ 186,829$ Grand Totals 3,692,000$ 2,935,529$ 756,471$ 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35