ADOPT RESOLUTION NO. 2025-2473 APPROVING THE ADOPTION OF RESOLUTION APPROVING AN INTERGOVERNMENTAL AGREEMENT WITH THE STATE OF ARIZONA RELATED TO THE EXTENSION OF STATE ROUTE LOOP 303. (Kini Knudson, Deputy City Manager)

After execution of the IGA, the State will invoice the City for costs associated with City's portion of the Loop 303 Project estimated at $2,190,289, which will be due within 60 days. This item has been included as a project in the fiscal year 2026 budget in the total amount of $2,750,000. The City is also responsible for certain ongoing operations and maintenance responsibilities that will be included in future budgets as appropriate.
 

The State of Arizona Department of Transportation (ADOT) is extending  Loop 303 by designing and constructing the section of Loop 303 between MC 85 and Van Buren Street, a project that involves relocating existing city-owned water and wastewater lines and constructing frontage roads for access, while also including additional improvements at the City's request, such as installing an interconnect traffic management system with CCTV cameras, roadway and underdeck lighting, and specific roadway enhancements. Because the Loop 303 Project runs through the city, the State must acquire portions of city right-of-way, city-owned property, and temporary construction easements, while also incorporating, at the city’s request and expense, specific street and traffic management improvements.

The IGA establishes and identifies the following high-level responsibilities for each party related to the Loop 303 Project:

State Responsibilities:

• Administer the design and construction, which includes the relocation of City's utilities and the design and construction of northbound and southbound frontage roads.
• Prepare and provide all design plans, specifications, and documentation needed for construction, incorporating the City’s feedback.
• Use City standards for traffic signals and lighting at specified streets and install required conduits for the traffic signal interconnect system.
• Issue annual permits for routine and emergency maintenance and coordinate with the City throughout construction for inspections, testing, and acceptance of water, sewer, and other improvements.
• Acquire the necessary rights-of-way and, following final project acceptance,
• Transfer jurisdiction and maintenance responsibilities while retaining a right of entry for ongoing maintenance.
• Notify the City of substantial completion and final acceptance, coordinate the handover of responsibilities, and provide a permit to re-establish prior rights locations for relocated city-owned water and sewer lines.

City Responsibilities:

• Pay the estimated cost for the City’s project improvements within 60 days of receiving the invoice.
• Review and comment on design documents and coordinate with the State throughout construction for inspections, testing, and acceptance of water, sewer, and other project improvements.
• Accept ongoing maintenance for specific structures and improvements, including slope paving, overpasses, crossroads, frontage roads, landscaping, roadway lighting, and ITS systems, and be accountable for future repairs unless damage is due to the State;s actions.
• Prevent unauthorized use of public right-of-way and grant temporary access to the State for construction-related activities.
• Be responsible for providing adjacent water mains and funding all potable water needs for landscape installation and maintenance.
• Assume full responsibility for the ongoing maintenance of landscaping and irrigation systems, including routine upkeep, pest control, and necessary repairs.
• After final acceptance of the Project by the State and approval by the State Transportation Board, accept jurisdiction and maintenance responsibilities for the area.

The proposed Resolution and the IGA attached as Exhibit 1 thereto are included as Attachment A to this CAR.