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10.G.
City Council Meeting - FINAL
Meeting Date:
08/15/2017
Co-Submitter:
Mark Landsiedel
From:
Neil Gullickson, Planning Development Manager

Information

TITLE:

Consideration and Adoption of Resolution No. 2017-27:  A resolution of the City Council of the City of Flagstaff, Arizona, authorizing the execution of the development agreement between German Dobson CVS, L.L.C. and the City of Flagstaff related to the development of approximately 300 linear feet of right-of-way, the third northbound traffic lane (Road Project), located adjacent to Milton Road and the proposed CVS retail store (CVS DA).

STAFF RECOMMENDED ACTION:

1) Read Resolution No. 2017-27, by title only
2) City Clerk reads Resolution No. 2017-27 by title only (if approved above)
3) Adopt Resolution No. 2017-27

Executive Summary:

State law allows the City to enter into development agreements by resolution. City desires the Developer to design and construct a northbound traffic lane along State Highway 89/Milton Road adjacent to Northern Arizona University (“NAU”), south of Butler Avenue, in order to help alleviate traffic congestion and promote public safety. 

The Arizona Department of Transportation (“ADOT”) owns and controls State Highway 89/Milton Road. ADOT currently has no designated funding to pay for widening Milton Road. The Developer is the owner of approximately 1.67 acres of real property located at the intersection of Milton Road and West Route 66. Developer intends to develop a CVS Pharmacy and is obtaining a construction permit from ADOT to widen Milton Road by adding a north-bound lane along its entire Property frontage, resulting in three northbound lanes. 

NAU/the Arizona Board of Regents is willing to dedicate an easement for public right-of-way along Milton Road north of Developer’s Property to ADOT, at no cost, to add a northbound traffic lane. The developer is willing to construct a northbound traffic lane within the NAU Right-of-Way, if the City is willing to pay for the design, permitting and construction, and ADOT is willing to include this extension as part of the ADOT construction permit.  If this part of Milton Road is not widened, Milton Road will narrow from three northbound lanes, to two northbound lanes for approximately 300 feet, and then back to three northbound lanes approaching Butler Avenue. This would likely result in traffic congestion and safety issues.

The map detailing this project can be found as Exhibit B included in the Development Agreement attached to this staff summary.

Financial Impact:

The terms and conditions of this Agreement shall only be applicable to Developer’s design and construction of the Road Project and the City’s agreement to pay for the cost of design, permitting and construction of the Road Project. The terms and conditions of this Agreement are not applicable to the development of the CVS Pharmacy on the Property or any other public improvements related thereto.

As the work is proposed to be completed by German Dobson CVS LLC through the approval of this development agreement, the City procurement process is guided by A.R.S. § 34-201.G   This statute allows that Arizona cities have the authority to pay up to $151,950 (in FY2017-18) for any single development for  the construction of public infrastructure pursuant to a development agreement.  Should the value of the design and construction of the City's portion of this road project exceed $151,950 the City will require German Dobson CVS LLC to utilize the current City public procurement process.

The City's FY 17/18 approved budget allocates $400,000 of Transportation Tax Funding to the Northbound Milton/Butler Right Turn Lane Project.  The entire amount is budgeted in account # 040-05-112-3398-6-4443.

Policy Impact:

None

Connection to Council Goal, Regional Plan and/or TeamFlagstaff Strategic Plan:

COUNCIL GOALS:
TRANSPORTATION AND OTHER PUBLIC INFRASTRUCTURE
Deliver quality community assets and continue to advocate and implement a highly performing multi-modal transportation system.

REGIONAL PLAN:
Goal T.1. Improve mobility and access throughout the region
Goal T.2. Improve transportation safety and efficiency for all modes

Has There Been Previous Council Decision on This:

Yes. On July 5, 2017, the City Council approved an Intergovernmental Agreement with Northern Arizona University.  Paragraph 8 of this IGA details the City's responsibilities for paying for the Road Project and signage on NAU's property. Paragraph 8 also details NAU's responsibility to grant an easement (at no cost) to ADOT for the public roadway.

Attachments