Agenda No. 2.
CITY COUNCIL MEMORANDUM
| City Council Meeting: | May 23, 2023 |
| Department: | Engineering |
| Subject: | Resolution 23-R-44 - A Resolution by the City Council of the City of Schertz, Texas, authorizing the City Manager to enter into a Developer Reimbursement Agreement with Schertz 1518, Ltd. for the relocation of utilities – specifically Water and Sewer Mains along FM 1518 in preparation for the FM 1518 Project. (B.James/K.Woodlee/E.Schulze) |
BACKGROUND
Due to conflicts with the Texas Department of Transportation’s (TxDOT) proposed FM 1518 project, the City of Schertz must relocate an existing 12” water and 10” sewer main. In coordination with the Crossvine Development (Schertz 1518 Ltd), the proposed installation will consist of an 18” sewer main in lieu of a 10” main in preparation of additional growth of the Crossvine subdivision in this area. The relocated improvements will be installed in a newly acquired easement adjacent to the FM road.
The relocation of the 12” water and 10” sewer main will be paid for by the City, however the difference in costs to upsize to an 18” sewer line will be paid for by Schertz 1518, Ltd. Responsibilities of the City and Schertz 1518, Ltd. related to this relocation are outlined in the Reimbursement Agreement with Developer for Construction of Public Improvements Associated with FM 1518.
The relocation of the 12” water and 10” sewer main will be paid for by the City, however the difference in costs to upsize to an 18” sewer line will be paid for by Schertz 1518, Ltd. Responsibilities of the City and Schertz 1518, Ltd. related to this relocation are outlined in the Reimbursement Agreement with Developer for Construction of Public Improvements Associated with FM 1518.
GOAL
The goal of Resolution 23-R-44 is to authorize a Developer Reimbursement Agreement with Schertz 1518, Ltd. for the relocation of utilities due to TXDOT’s FM 1518 project.
COMMUNITY BENEFIT
The relocation of utilities will allow for the continuation of water and sewer service to residents along FM 1518.
SUMMARY OF RECOMMENDED ACTION
Approve Resolution 23-R-44.
FISCAL IMPACT
A portion of the American Rescue Plan (ARP) Tranche 2 Funding has been allocated for the project. The City will reimburse Schertz 1518, Ltd. the cost to relocate the 12” water main. The funds reimbursed to the City by TxDOT for relocation of the 10" sewer main will be used to reimburse Schertz 1518, Ltd. to perform that relocation. Schertz 1518, Ltd. will fund the difference in betterment to upsize the sewer main to an 18” line. The total project is expected to cost $3,110,000. Funding is proposed as follows.
| TXDOT Reimbursement | $1,498,000 |
| ARP Tranche 2 | $1,347,000 |
| Schertz 1518, Ltd. | $ 265,000 |
| Total Estimated Project Costs | $3,110,000 |
RECOMMENDATION
Staff recommends that City Council approve Resolution 23-R-44, authorizing a Developer Reimbursement Agreement with Schertz 1518, Ltd. for the relocation of utilities along FM 1518.