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Title
Ordinance amending the FY 2016/2017 Capital Improvement Project Fund; Additional funding request for an agreement with Miami Partners LLC and Highway I-30 Investors LLC; dedicating rights of way and easements and constructing a Palace Parkway extension in the amount of $300,610
Presenter
Marty Wieder, Director of Economic Development
Recommended Action
Approve
Analysis
On September 1, 2016, the City of Grand Prairie, Miami Partners LLC and Highway I-30 Investors LLC teamed on a Request for Development Proposals for 55.5 acres wrapping the northeast corner of IH-30 and Belt Line Road. While two letters of interest were received by the October 27, 2016 deadline, the request failed to attract an actual development proposal.
On June 20, 2017, an attorney on behalf of Miami Partners LLC submitted an alternative proposal for City Council consideration to facilitate construction of the Palace Parkway extension through the three tracts. The Palace Parkway extension has already been designed, and the Grand Prairie Tax Increment Reinvestment Zone #1 has sufficient funds for the project’s construction. Extension of Palace Parkway will create a levee, helping property owners begin to reclaim property for eventual development.
In particular, the attorney representing Miami Partners LLC proposed that:
Ø The City deed to Miami Partners LLC fee simple title to approximately 23.4 acres in exchange for Miami’s deed of Palace Parkway rights of way and easements.
Ø As a condition, the City will complete the Palace Parkway extension within 12 months of the property exchange.
Ø Miami Partners and Highway I-30 Investors LLC agree to prohibit fast food or quick serve restaurants for three (3) years after the exchange-with the exception of one pad, either immediately north of QuikTrip or east of Whataburger.
Ø In exchange for Highway I-30 Investors LLC donating Palace Parkway rights of way and easements, the City will assist Highway I-30 Investors with their on-site tree oval (not to exceed $60,000) and in communicating with the USACOE and FEMA on site reclamation. Highway I-30 Investors will incur no fees to deed acreage for Palace Parkway rights of way and easements.
Ø The City will cover the cost of developing a master plan of the 55.5 acres.
Palace Parkway construction costs are based on engineer's estimate; we will have actual numbers when the project is bid for construction.
A resolution to enter into an agreement with Miami Partners LLC and I-30 Investors LLC for Palace Parkway is on the August 1, 2017 agenda as item 17-6991.
The current agenda item will also be presented to Finance and Government Committee on August 1, 2017.
Financial Consideration
Estimated ROW Costs, Miami Partners LLC - $1,031,820
Estimated ROW Costs, Highway I-30 Investors LLC - $105,000
City's Cost for 23.4 acres - $251,651 (surplus right of way from TxDOT) Approved by City Council May 5, 2016 as item 15-4596.
Funding in the estimated amount of $2,842,000 for construction is available as follows:
1. $2,541,390 is available in Street Capital Projects Fund (400192) WO #09903601-03 (Palace Connection)
2. $300,610 is available by appropriating and transferring from the unobligated fund balance in the Street Capital Projects Fund (400192) to WO #09903601-03 (Palace Connection)
Body
AN ORDINANCE OF THE CITY OF GRAND PRAIRIE, TEXAS, AMENDING THE FY 2016/2017 CAPITAL IMPROVEMENT PROJECTS BUDGET BY TRANSFERRING AND APPROPRIATING $300,610 FROM THE UNOBLIGATED FUND BALANCE IN THE STREET CAPITAL PROJECTS FUND (400192) TO WO #09903601-03 (PALACE CONNECTION)
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF GRAND PRAIRIE, TEXAS:
SECTION 1. THAT THE FY 2016/2017 Capital Improvement Projects Budget be amended by transferring and appropriating $300,610 from the unobligated fund balance in the Street Capital Projects Fund (400192) to WO #09903601-03 (Palace Connection)
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF GRAND PRAIRIE, TEXAS, AUGUST 1ST, 2017.