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HomeMy WebLinkAboutReg 2018-05-21 Item 4D - Agreement - Strander Boulevard Extension Phase III Design Reimbursement with BP-Olympic Pipeline for $630,000COUNCIL AGENDA SYNOPSIS Initials Meeting Date Prepared Ig Mayor's revi Council review review 05/21/18 HH /titkJ L - �'i ❑ Ordinance AN Date ❑ Bid Award Mtg Date ❑ Public Hearing ANDate ❑ Other Altg Date A/tg SPONSOR ❑ Council ❑ Mayor ❑ HR ❑ DCD ❑ Finance ❑ Fire ❑ IT ❑ P&R ❑ Police ►1 PIF" SPONSC)R'S Council is being asked to approve the Reimbursement Agreement with BP/Olympic Pipe SUMMARY Line Company in the amount of $630,000 for the design and utility coordination of the Olympic pipeline for the Strander Blvd Phase 3 Project. All design completed by the City's consultant, Berger Abam will be accessed by the Olympic Pipe Line Company to avoid any duplication of work. REV'IEW[D BY ❑ COW Mtg. ❑ CA&P Cmte ❑ F&S Cmte ❑ Utilities Cmte ❑ Arts Comm. ❑ Parks Comm. DATE: 04/09/18 & 5/14/18 COMMITTEE CHAIR: 1 Transportation Cmte ❑ Planning Comm. THOMAS MCLEOD ITEM INFORMATION ITEM NO. 4.D. CAS NUMBER: STAFF SPONSOR: HENRY HASH ORIGIN 1, AGI?NDA DATE: 05/21/18 AGI:ND:\ Iii t Trri.l : Strander Boulevard Extension Phase 3 BP/Olympic Pipe Line Design Reimbursement Agreement C:\TEGCRY ❑ Discussion AN Date 0 Motion Date 05/21/18 ❑ Resolution ANDate ❑ Ordinance AN Date ❑ Bid Award Mtg Date ❑ Public Hearing ANDate ❑ Other Altg Date A/tg SPONSOR ❑ Council ❑ Mayor ❑ HR ❑ DCD ❑ Finance ❑ Fire ❑ IT ❑ P&R ❑ Police ►1 PIF" SPONSC)R'S Council is being asked to approve the Reimbursement Agreement with BP/Olympic Pipe SUMMARY Line Company in the amount of $630,000 for the design and utility coordination of the Olympic pipeline for the Strander Blvd Phase 3 Project. All design completed by the City's consultant, Berger Abam will be accessed by the Olympic Pipe Line Company to avoid any duplication of work. REV'IEW[D BY ❑ COW Mtg. ❑ CA&P Cmte ❑ F&S Cmte ❑ Utilities Cmte ❑ Arts Comm. ❑ Parks Comm. DATE: 04/09/18 & 5/14/18 COMMITTEE CHAIR: 1 Transportation Cmte ❑ Planning Comm. THOMAS MCLEOD RECOMMENDATIONS: SPONSOR/ADMIN. COMMITTEE Public Works Unanimous Approval; Forward to Regular Consent Agenda COST IMPACT / FUND SOURCE EXPI?NDVI'URI? RI':QUIRI%D AMOUNT BUDGETED APPROPRIATION REQUIRED $630,000.00 $4,998,000.00 $0.00 Fund Source: 104 ARTERIAL STREET FUND (PAGE 13, 2017 CIP) Comments: MTG. DATE RECORD OF COUNCIL ACTION 05/21/18 MTG. DATE ATTACHMENTS 05/21/18 Informational Memorandum dated 05/11/18 2017 CIP, page 13 and Proposed 2019 CIP with new 30% Cost Estimate BP/Olympic Pipe Line Company's Reimbursement Agreement Minutes from the Transportation & Infrastructure Committee of 04/09/18 & 5/14/18 24 City of Tukwila Allan Ekberg, Mayor Public Works Department - Henry Hash, Director INFORMATIONAL MEMORANDUM TO: Transportation and Infrastructure Committee FROM: Henry Hash, Public Works Director 1'. BY: Steve Carstens, PE, Senior Program Manager CC: Mayor Ekberg DATE: May 11, 2018 SUBJECT: Strander Boulevard Extension Phase 3 Project No. 98610403 BP/Olympic Pipeline Design Reimbursement ISSUE Approve the BP/Olympic Pipeline reimbursement agreement for Strander Boulevard Phase 3. BACKGROUND The City of Renton completed Phase 1 of the Strander Boulevard/SW 27th Street (Oakesdale Avenue to Naches Avenue) in 2008 and Phase 2 (Naches Avenue to the new Tukwila Station/Sounder Commuter Rail Station parking lot, between BNSF and UPRR) in 2014. Phase 3 is being led by the City of Tukwila. Tukwila received Federal grant funding for the preliminary engineering and right-of-way phases and is proceeding with the design process as part of the preliminary engineering phase. DISCUSSION In order to proceed with the design and coordinate utility work for the project, BP/Olympic Pipeline has indicated that there will be a $630,000 fee for their company to design the utility relocation of their pipeline. In the April 16, 2018 Transportation and Infrastructure Committee Meeting, the members asked that staff determine additional information related to duplication of work. After discussions with the design team and BP/Olympic, it was determined there would be minimal duplication of effort based on the scope of work submitted. Any previous efforts performed by the design team (survey and geotechnical work) are included in the scope and fees shown on the fee breakdown. FISCAL IMPACT Berger ABAM Design Contract BP/Olympic Pipeline Total Estimate Budget $4,147,328.00 $4,998,000.00 630, 000.00 $4,777,328.00 $4 998 000.00 RECOMMENDATION Council is being asked to approve the agreement with BP/Olympic Pipeline in the amount of $630,000 for their design of utility relocation associated with the Strander Boulevard Extension Phase 3 project and consider this item on the Consent Agenda at the May 21, 2018 Regular Meeting. Attachments: 2017 CIP, pg. 13 and Draft 2019 CIP pg. BP/Olympic Pipeline Agreement W:IPW Eng1PROJECTSIA- RW & RS Projects\Strander Extension (98610403)101_Preliminary Engineering120180511 Info Memo BP AG SM gl.docx 25 26 PROJECT: DESCRIPTION: JUSTIFICATION: STATUS: MAINT. IMPACT: COMMENT: CITY OF TUKWILA CAPITAL PROJECT SUMMARY 2017 to 2022 Strander Blvd Extension Phase 3 Project No. 98610403 Design and construct arterial improvements for a new roadway extending Strander Blvd/SW 27th St from West Valley Highway to Oaksdale Ave in the City of Renton. East/west capacity between 1-405 and S 180 St is needed to serve Tukwila and Renton access. Project segregated into three phases. Phase I extended Stander Blvd/SW 27th St from Oaksdale Ave to Naches Ave SW. Phase 11 constructed a 2 lane road from Naches to the Sounder Train's Tukwila Longacres Station's parking lot. Paid Renton $1 m for Phase I & II. Phase III will construct the undercrossing of the UPRR and complete the 4 lane roadway from West Valley Hwy in Tukwila to Naches Ave SW in Renton. New street. Project partners include the City of Renton, Boeing, WSDOT, FMSIB, Sound Transit, Metro, Amtrak, and BNSF and UP Railroads. Funds in 2015-16 are for updated cost estimates and grant applications. STP (PSRC), FAST Lane, and TIGER grants were submitted in 2016. FINANCIAL in $000's1 Through Estimated 2015 2016 2017 2018 2019 2020 2021 2022 BEYOND TOTAL EXPENSES Project Location jA- yy 1 Design 58 440 2,500 2,000 4,998 Land (R/W) 104 450 1,000 1,554 Wetland Mitigation 50 500 y 550 Const. Mgmt. 2,800 2,000 4,800 Construction 15,000 12,200 27,200 TOTAL EXPENSES 162 440 3,000 3,000 18,300 14,200 0 0 0 39,102 FUND SOURCES Awarded STP Grant 2,551 2,595 5,146 Proposed TIGER Grant 7,900 5,894 13,794 Proposed State TIB Grant 2,500 2,500 5,000 Proposed FMSIB Grant 2,500 2,500 5,000 Proposed STP Grant 5,000 3,000 8,000 City Oper. Revenue 162 440 449 405 400 306 0 0 0 2,162 TOTAL SOURCES 162 440 3,000 3,000 18,300 14,200 0 0 0 33,956 2017 - 2022 Capital Improvement Program 13 27 Project Location jA- yy 1 i tri -,30 us jr- SS Cial y 2017 - 2022 Capital Improvement Program 13 27 2019 to 2024 PROJECT: Strander Blvd Extension Phase 3 Project No. 98610403 DESCRIPTION: Design and construct arterial improvements for a new roadway extending Strander Blvd/SW 27th St from West Valley Highway to Oaksdale Ave in the City of Renton. JUSTIFICATION: East/west capacity between 1-405 and S 180 St is needed to serve Tukwila and Renton access. Project segregated into three phases. Phase I extended Stander Blvd/SW 27th St from Oaksdale Ave to STATUS: Naches Ave SW. Phase II constructed a 2 lane road from Naches to the Sounder Train's Tukwila Longacres Station's parking lot. Paid Renton $1m for Phase 1 & II. Phase 111 will construct the undercrossing of the UPRR and complete the 4 lane roadway from West Valley Hwy in Tukwila to Naches Ave SW in Renton. MAINT. IMPACT: New street. Project partners include the City of Renton, Boeing, WSDOT, FMSIB, Sound Transit, Metro, Amtrak, and COMMENT: BNSF and UP Railroads. Funds in 2015-16 are for updated cost estimates and grant applications. STP (PSRC), FAST Lane, and TIGER grants were submitted in 2016. FINANCIAL Through Estimated in $000's 2015 2016 2017 2018 2019 2020 2021 2022 BEYOND TOTAL EXPENSES Design 58 301 341 3,269 1,659 5,628 Land (R/VV) 104 1,720 1,824 Wetland Mitigation 50 500 550 Const. Mgmt. 2,300 2,300 4,600 Construction 31,900 31,900 63,800 TOTAL EXPENSES 162 301 341 3,319 38,079 34,200 0 0 0 76,402 FUND SOURCES Awarded STP Grant 255 1,946 2,945 5,146 Awarded Fastlane Grant 2,500 2,500 5,000 Awarded FMSIB Grant 2,500 2,500 5,000 Proposed State/Fed Appropriation 250 250 500 Proposed PSRC Grant 4,760 4,760 Proposed BUILD America - TIGER 0 Proposed CRISI Grant 0 Proposed State TIB Grant 0 Proposed KC Metro 0 Proposed Sound Transit 0 Proposed City of Renton Funds 0 Proposed UPRR Funds 0 Proposed BNSF Funds 0 Proposed City Mitigation Fees 0 City Oper. Revenue 162 301 86 1,373 25,124 28,950 0 0 0 55,996 TOTAL SOURCES 162 301 341 3,319 38,079 34,200 0 0 0 76,402 Updated as of 5/17/18 per Berger Abam's 30% Design, still under review. Proposed 2019-2024 Capital Improvement Program 28 \\PWStore\PW Common$\PW Eng \PROJECTS\A- RW & RS Projects\Strander Extension (98610403)\Grant Apps\2018 STP-CMAQ\CIP 2019-2024 DRAFT 051518 gl.xlsx REIMBURSEMENT AGREEMENT MILEPOST: 114 approximate PROJECT: Strander Blvd. Extension Project, Relocation of OPL 14 -inch R -P pipeline and OPL 12 -inch SeaTac lateral pipeline LOCATION: A portion of NW Quarter of Section 25, Township 23 North, Range 04 East OPL FILE REFERENCE: 3679 -KI -239 and 3678A -L -KI -5 THIS AGREEMENT, made and entered into this day of 2018 ("Effective Date"), by and between OLYMPIC PIPE LINE COMPANY LLC, a Delaware limited liability company, whose address is 600 SW 39th Street, Suite 275, Renton, WA 98057 (hereinafter referred to as "OPL") and the CITY OF TUKWILA, a State of Washington municipal corporation, whose address is 6200 Southcenter Boulevard, Tukwila, WA 98188 (hereinafter referred to as "CITY"). WITNESSETH: WHEREAS, CITY desires to proceed with a construction project on property at the location identified above (the "Strander Boulevard Extension Project"), which will require the eventual relocation of a portion of OPL'S fourteen -inch pipeline and twelve -inch pipeline, and WHEREAS, it is in the mutual interest of OPL and CITY for OPL to perform and provide necessary preliminary pipeline relocation activities and services, as specified herein, with OPL'S regular personnel, or by a contractor or subcontractor paid under a contract let by OPL, and WHEREAS, OPL requires payment for the estimated expense, Toss, or damage either caused or made necessary by the performance of such activities and the provision of such services provided by OPL, as specified herein, whether it is incurred directly by OPL or others on behalf of OPL at the request of OPL prior to beginning any such work, as well as payment for any actual increased or additional costs above the estimated amount, as more fully described in Section II of this Agreement. NOW THEREFORE, FOR AND IN CONSIDERATION OF THE MUTUAL COVENANTS HEREIN RECITED, OPL AND CITY DO HEREIN AGREE AS FOLLOWS: 1 29 Section I OPL with its regular personnel at its standard schedule of wages and working hours, or by a contractor or subcontractor, will perform the necessary activities as outlined in the scope of work document being Exhibit "A" (the "Work") attached hereto and made a part hereof. The preliminary estimated cost of the Work is Six Hundred Thirty Thousand Dollars ($630,000.00) as set forth in attached Exhibit "B" ("Estimated Cost"). Section II a) CITY shall pay any and all actual costs and expenses incurred by or on behalf of OPL in connection with performance of the Work (the "Actual Cost"). Monthly, OPL will submit a reimbursement request to the City that describes the work performed and the cost. The City will pay OPL within 30 days of receipt of the request. Section III OPL shall perform the Work as defined and outlined in Exhibit "A". Section IV OPL shall have no obligation to start the Work until written notice has been provided by CITY that the Work has been agreed to, approved by and authorized by CITY, a satisfactory starting date has been mutually agreed upon by both CITY and OPL, and the Estimated Cost has been paid. Prior to starting the Work, CITY shall cooperate with OPL in obtaining or causing to be obtained, in a form acceptable to OPL, any right, permit, permission, easement and access rights, at the sole cost and expense of CITY, required for OPL to perform the WORK and CITY shall, if requested by OPL, survey and stake all easements and access rights that pertain to the Work. Section V 2 30 OPL, its contractor and sub -contractors, if any, shall not discriminate against any employee or applicant for employment, to be employed in the performance of this contract, with respect to his or her hire, tenure, terms, conditions or privileges of employment, or any matter directly or indirectly related to employment, because of race, color, religion, sex, handicap, national origin or ancestry. Section VI CITY HEREBY AGREES TO INDEMNIFY AND HOLD HARMLESS THE OPL, ITS AFFILIATED COMPANIES (INCLUDING BUT NOT LIMITED TO ITS OPERATOR, BP PIPELINES (NORTH AMERICA), INC.), AND ITS AND THEIR RESPECTIVE OFFICERS, DIRECTORS, AGENTS, EMPLOYEES AND CONTRACTORS FROM AND AGAINST ANY AND ALL LIABILITIES, CLAIMS, LOSSES, FINES, DAMAGES, COSTS AND EXPENSES (INCLUDING COSTS AND EXPENSES OF DEFENSE), ARISING OUT OF ANY DUTY, OBLIGATION OR SERVICE OF THE CITY PURSUANT TO THIS AGREEMENT OR ANY ACTION OR CONDUCT PERFORMED BY THE CITY IN CONNECTION WITH THE STRANDER BOULEVARD EXTENSION PROJECT; EXCEPT, HOWEVER, THIS INDEMNITY SHALL NOT APPLY TO THE EXTENT OF THE GROSS NEGLIGENCE OR WILLFUL MISCONDUCT OF OPL, ITS EMPLOYEES, AGENTS OR CONTRACTORS. IF ANY PROVISION OF THIS INDEMNITY IS DETERMINED BY A COURT OF COMPETENT JURISDICTION TO BE INVALID OR UNENFORCEABLE, THE REMAINING PROVISIONS OF THIS INDEMNITY WILL REMAIN IN EFFECT TO THE MAXIMUM EXTENT PERMITTED BY LAW. NOTWITHSTANDING ANYTHING IN THIS AGREEMENT TO THE CONTRARY, NEITHER PARTY HERETO SHALL BE LIABLE TO THE OTHER PARTY FOR CONSEQUENTIAL, INCIDENTAL, EXEMPLARY OR PUNITIVE DAMAGES (INCLUDING, BUT NOT LIMITED TO, LOST PROFITS, LOSS OF PRODUCTION OR OTHER DAMAGES ATTRIBUTABLE TO BUSINESS INTERRUPTION) ARISING IN CONNECTION WITH THIS AGREEMENT. 3 31 Section VII The term of this Agreement shall commence on the Effective Date and continue for a period of twenty-four (24) months. The term of this Agreement shall not be extended unless an authorized representative of OPL and CITY agree in writing to extend the term. If the Work is not completed within the twenty-four (24) month term, or any agreed upon extension of the term, OPL shall have the option to not perform or complete the Work and shall reimburse CITY the amount that CITY has paid OPL less all actual costs incurred by OPL through the date of termination of this Agreement. The provisions of Section VI of this Agreement shall survive any termination and shall continue to remain in full force and effect upon termination of this Agreement. Section VIII Without limitation or waiver of any of OPL'S rights elsewhere set forth in this Agreement, OPL reserves the right, with or without cause, to stop the Work at any time and in addition thereto to immediately terminate this Agreement without liability, and in such event OPL shall reimburse CITY the amount that CITY has paid OPL Tess all actual costs incurred by OPL through the date of termination of this Agreement. Section IX This Agreement constitutes the entire agreement, and supersedes all other prior agreements and understandings, both written and oral, among the parties, with respect to the subject matter of this Agreement. This Agreement may be amended, modified, or supplemented but only in writing signed by an authorized representative of both OPL and CITY. Section X 4 32 The provisions of this Agreement are solely for the benefit of the parties to this Agreement and no provision of this Agreement should be deemed to confer upon any other party any remedy, claim or right. Section XI If any term or provision of this Agreement shall be found to be invalid, illegal or otherwise unenforceable, the same shall not affect the other terms or provisions hereof or the whole of this Agreement, but such term or provision shall be deemed modified to the extent necessary to render such term or provision enforceable, and the rights and obligations of the parties shall be construed and enforced accordingly, preserving to the fullest permissible extent the intent and agreements of the parties as set forth herein. Section XII This Agreement shall be construed in accordance with the laws of the United States and the state where the Work is to be performed, without regard to such state's conflicts of law rules. 5 33 IN WITNESS HEREOF, the parties hereto separately and severally have caused this AGREEMENT to be executed in their respective names by and through their duly authorized representatives, as of the day and year first above written. OLYMPIC PIPE LINE COMPANY LLC, a Delaware limited liability company By: /ice Typed: Mar- G iOc1.3 - Title: Pra_5 : da "-k FEIN: L( t2 0y e Z2 ri CITY OF TUKWILA, a State of Washington municipal corporation By: Typed: Title: FEIN: 6 34 Exhibit A SCOPE OF WORK Description of Work OPL will develop a design and plan to relocate its 14 -inch and 12 -inch petroleum pipelines in interference with the Strander Boulevard Expansion Project in Tukwila, WA. This relocation will accommodate the CITY's expansion of Strander Boulevard. As a result OPL's 12 -inch and 14 -inch pipelines are impacted and will need to be relocated. Under this Agreement, OPL will perform the following preliminary engineering design work associated with the modification or relocation of its facilities. Project Management • Organize and develop work plan and advance design development. • Provide guidance on private property coordination and legal review of any easement, and coordinate with CITY on replacement easements and/or reciprocal conveyances. • Procurement of engineering, surveying, and construction contractors. • Track right of way document development. • Coordinate with the CITY on the design and construction methods of the proposed relocation so the CITY can proceed with the permitting. Potholing/Soil Borings • Pothole elevation of 12" and 14" pipelines upstream/upland tie-in location. • Probe/confirm elevation of 20" pipeline downstream tie-in location. • If sufficient subsurface soil and groundwater information is not available, complete soil borings as necessary. Survey Contractor • Update topographic gaps from CITY -provided CADD and mapping information. • Modify data for design development. • Survey location of items during design phase engineering. Modeling • From updated field investigation, model proposed alignment for design development. Design • Design pipe relocation, bends, and length of pipe. • Prepare right of way plan sheets. • Identify laydown area and ingress and egress areas. • Coordinate with mechanical contractor on constructability issues. • Prepare plan view and profile of pipe relocation. • Prepare contract specifications. Geotechnical • Review, evaluate, analyze, and plan for site geotechnical conditions that may impact construction of the petroleum pipeline relocations. 35 36 Permitting Washington State Department of Ecology (WSDOE) — NPDES Construction Stormwater General Permit and approval of possible SEPA amendment determination by City of Tukwila. • City of Tukwila - permits required by City code and after consultation with City staff, which may include permits for right-of-way use and grading. Additionally, depending on the scope of work, determine with City staff whether a SEPA amendment and/or additional Critical Areas Review is required to complete Olympic's work. Deliverable • Plans, Specifications & Estimates (PS&E) for the petroleum pipeline relocation, which will be utilized by OPL to procure the relocation's construction. Schedule (Tentative) • Survey, site reconnaissance, and potholing (if necessary) 2"d & 3rd Quarters 2018. • Engineering design 6 to 8 months; 2"d 3rd & 4th Quarters 2018. • Permit package development & submittal — submittal date TBD. Exhibit A Page 2 of 2 Strander Boulevard Expansion Project Preliminary Engineering Agreement Exhibit B Engineering Cost Estimate Phase 3: Strander Boulevard Expansion Labor $189,400 Travel & Expense $5,000 Engineering & Survey $278,600 Permitting $25,000 15% UAP $74,700 Overhead sub total $572,700 1o.00% $57,270 TOTAL* $630,000 NOTE: UAP based on actual expense and not generated from imbedded worksheet calculations * Rounded to nearest $100 37 38 Transportation & Infrastructure Committee Minutes April 9, 2018 E. Strander Boulevard Extension Phase 3 BP/Olvmoic Pipeline Reimbursement Staff is seeking Council approval of an agreement with BP/Olympic Pipeline in the amount of *$630,000 for their design of utility relocation associated with the Strander Boulevard Extension Phase 3 project. Tukwila received federal grant funding for preliminary engineering and right- of-way and is proceeding with the design process per recent Committee direction. BP/Olympic Pipeline notified the City of their design fee as part of this work. Councilmember Quinn inquired about the possibility of BP/Olympic Pipeline using some of the work already completed by the City. The Committee requested that staff pursue this opportunity and bring the agreement back for additional discussion. RETURN TO COMMITTEE. Councilmember ldan exited the meeting at 6:10 p.m. F. SeaTac International Airport Impact Studv Budeet Proviso Staff update the Committee on the status of the 2019 Budget Proviso for the SeaTac International Airport Impact Study. The final adopted proviso language provides $300,000 for the Washington State Department of Commerce to study the impacts of SeaTac Airport on the cities of SeaTac, Burien, Des Moines, Tukwila, Federal Way, Normandy Park, and other impacted neighborhoods. These funds will serve as a state match and may not be spent unless $300,000 of local matching funds is contributed. The study must be delivered by December 1, 2019. The City of SeaTac has budgeted $250,000 for an airport impact analysis project, but no other city listed in the proviso has formally committed funds to the required local match, nor has Tukwila received a formal request to do so from either the Department of Commerce, the City of SeaTac, or another entity. The Port of Seattle is also going to undertake SEPA and NEPA studies as part of its Sustainable Airport Master Plan, which will consider future impacts as well as mitigation. The Committee agreed with staff's recommendation to keep this item in Committee until additional information is obtained, with Chair McLeod noting there are several ambiguities. RETURN TO COMMITTEE. III. MISCELLANEOUS Agenda Approval Process Chair McLeod stated that this is a productive and effective Committee that intends to accomplish a lot in 2019. He noted that many agenda items are added by staff due to the timing of capital projects, and as Chair he receives a draft agenda when it is almost too late to add items. Staff mentioned the Committee work plan which captures both staff and Council items, and Councilmember Quinn suggested that the Committee check-in on the work plan on a monthly basis. Staff will begin including the work plan in the packet for the first meeting of every month. Frank Zapp Bridge The Frank Zepp Bridge will be now closed Friday, April 27, 7:00 p.m. through Sunday, April 29, 5:00 a.m. due to repair work, rather than April 13 as originally scheduled. The Transportation Committee Meeting adjourned at 6:40 p.m. Committee Chair Approval Minutes by LH, reviewed by GL 39 City of Tukwila City Council Transportation & Infrastructure Committee TRANSPORTATION & INFRASTRUCTURE COMMITTEE Meeting Minutes May 14, 2018 - 5:30 p.m. - Hazelnut Conference Room, City Hall Councilmembers: Thomas McLeod, Chair; De'Sean Quinn, Zak Idan Staff: David Cline, Henry Hash, Steve Carstens, Peter Lau, Mike Perfetti, Gail Labanara, Dave Sorensen, Ryan Larson, Brandon Miles, Laurel Humphrey Guest: Debbie Gordon, resident CALL TO ORDER: Committee Chair McLeod called the meeting to order at 5:30 p.m. I. PRESENTATIONS II. BUSINESS AGENDA A. Strander Boulevard Extension Phase 3 Funding Update Staff provided a funding update on the Strander Boulevard Extension Phase 3 Project. Now that design is at 30%, the cost estimate for the project has been increased to $70 million, with construction alone increasing to $45 million from $39 million. Design is fully funded, but if the City were to halt design at this point, $589,426 already received in PSRC grant funding would need to be reimbursed. lithe City does not proceed with construction after the design is fully complete, the City would need to pay back $5.1 million within 10 years, and $10.1 million in awarded construction funds would need to be relinquished. City Administration will be working with Tukwila's state lobbyist on a strategy for including the project in a statewide transportation package. Committee members expressed support for continuing the design process but agreed that additional grant seeking should be put on hold due to concerns about how to fund the $30 million budget gap. Councilmember Quinn stated that the City needs to position itself appropriately with regard to funding opportunities as there are limited regional funding sources for transportation projects. Councilmember Idan agreed that design should continue. Chair McLeod stated that the entire Council needs to be briefed on this in the near future. DISCUSSION ONLY. B. Reimbursement Agreement: Strander Boulevard Extension Phase 3 *Staff is seeking Council approval of an agreement with BP/Olympic Pipe Line Company to reimburse them $630,000 for their design of utility relocation associated with the Strander Boulevard Extension Phase 3 project. This item was originally presented to the Committee on April 9, 2018, and staff was directed to return with additional information regarding the possibility of duplicating work already performed by the City, thereby reducing the cost. Discussions with the design team and BP/Olympic revealed there would be minimal duplication of effort and the agreement should proceed as presented. UNANIMOUS APPROVAL. FORWARD TO MAY 21, 2018 REGULAR CONSENT AGENDA. 40