Title
Resolution Authorizing an Amendment to a Reimbursement Agreement Between the City of Greensboro and Union Square Campus Inc. for Construction of Public Improvements in South Elm Redevelopment Project
Body
Department: Planning
Council District: 2
Public Hearing: N/A
Advertising Date/By: N/A
Contact 1 and Phone: Sue Schwartz, 373-2149
Contact 2 and Phone: Dyan Arkin, 433-7377
PURPOSE:
City Council approval is requested for an amendment to the construction Reimbursement Agreement with Union Square Campus Inc. (USCI), executed May 14, 2015. This construction agreement supports the future development of the South Elm Street Brownfields Project by improving public infrastructure within a designated redevelopment area. The requested amendment adds infrastructure, streetscape, and parking construction for the Union Square Campus (Campus) to the Reimbursement Agreement.
BACKGROUND:
The South Elm Street Redevelopment Plan was approved by City Council in 2007 and included an $11,013,500 dollar proposed budget for land assembly, environmental assessment and remediation; infrastructure and streetscape improvements; and affordable housing subsidies. This requested funding allocation is a portion of the investment of public funds the Plan anticipated for infrastructure and streetscape improvements.
In February 2015, City Council approved a Reimbursement Agreement with USCI for design and construction of public improvements required to ensure that the first building of the Union Square Campus is ready for occupancy in summer 2016. This approach has been economically and functionally efficient, eliminating City mobilization costs, providing for economies of scale, and allowing for seamless coordination across the public and private elements of the project. Under this reimbursement agreement, infrastructure/streetscape design and some construction of public infrastructure has already been accomplished. USCI has proposed amending the agreement, so the remainder of the improvements can be completed on schedule.
Approval of the requested amendment allows for the completion of storm sewer upgrades and streetscape elements along Arlington Street and the south side of Gate City Boulevard between and including the intersections at Arlington and South Elm Streets. It also allows for construction of up to 250 parking spaces at no cost to USCI, as outlined in the February 2014 City Council resolution of support for the Campus.
USCI and their design and construction team are working closely with the City’s M/WBE office to ensure continued compliance with the City’s policies and procedures. They set a 30% overall M/WBE participation goal for the construction of the first building that aligns with the State funding M/WBE requirement. Work completed so far with funds provided by the City has achieved a 22% MWBE participation rate.
BUDGET IMPACT:
The amendment to the reimbursement agreement adds $2,407,500 to the contract amount, bringing the total not-to-exceed contract amount to $3,045,898 as shown below:
ACTIVITY CURRENT BUDGET AMENDMENT TOTAL BUDGET
Construct Surface Parking 0 775,000 $ 775,000
Streetscape Construction 0 1,075,000 1,075,000
Storm Sewer Construction 431,340 400,000 831,340
Design 120,990 0 120,990
Construction Administration 0 10,000 10,000
Contingency 86,068 147,500 233,568
TOTAL $638,398 $2,407,500 $3,045,898
Funding for the Amendment is requested from the following sources:
$775,000 Parking - Contributions to Non-Governmental Agencies 543-4530-01.5931
$390,000 State Highway Allocation Capital Project Fund 402-4531-02.5410
$445,000 Pipe System Improvements FY15 506-7014-01.6018
$797,500 Street Improvement Fund 471-4502-25.6019
Budget Adjustments are necessary to utilize these funds.
RECOMMENDATION / ACTION REQUESTED:
The Planning Department recommends City Council approval of an amendment of $2,407,500.00 to the reimbursement agreement with Union Square Campus Inc. bringing the total contract to an amount not to exceed $3,045,898.00 and the associated Budget Adjustments.
COMMITTEE ACTION: This item was referred to Council by the Infrastructure Committee.