In order to facilitate construction of the new W.O. 12-05, Five Mile Lift Station Project, staff has pursued a license agreement (see attached Agreement) with a private land owner, BCJM Properties (Matt Brosovich). The license agreement would allow the City's project construction contractor to occupy and use approximately 0.5 acre of the BCJM property (see attached Exhibit) adjacent to the project site for the purpose of vehicular and construction access and for equipment and materials staging during project construction.

Staff believes that securing use of the private land will reduce the project bid price since contractors bidding the project would not have to include the estimated costs to secure their own project access routes and staging sites in their bids.

In exchange for use of the land, BCJM Properties will receive all excess fill material generated during project construction that would otherwise be hauled off site, further reducing the project cost. The City will also agree to apply weed control to the disturbed portions of BCJM’s land immediately after the project and at the 1-year project warranty inspection.

The Council may:

• Approve the license agreement between the City and BCJM Properties; or  
• Not approve the license agreement between the City and BCJM Properties.

If the City is unable to obtain the License Agreement from BCJM Properties, project bidders will need to include their projected costs for securing their own private land agreements for project access and staging in their bid prices.  A substantial amount of excess fill material generated during the project, mostly from the installation of a 30-foot deep lift station wet well, would also have to be hauled off-site by the City's contractor.

Entering into a license agreement to use BCJM Properties land during the lift station project will save the City an indeterminate amount of costs for securing land agreements during project bidding.  More significantly, the City can eliminate hauling off-site as much as 2,500 cy of excess fill at an estimated cost of approximately $10,000.

Staff recommends approval of the License Agreement between the City and BCJM Properties.