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TO: |
Board of Trustees |
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THROUGH: |
Jay Fox, Executive Director |
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FROM: |
Paul Drake, Director of Real Estate & TOD |
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PRESENTER(S): |
Jordan Swain, TOD Project Manager |
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TITLE:
title
R2022-05-01 - Resolution Authorizing Execution of a First Amendment to the Master Development Agreement for Clearfield Station
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AGENDA ITEM TYPE:
Resolution
RECOMMENDATION:
Approve Resolution R2022-05-01 and the proposed amendment to the Clearfield Station Master Development Agreement with Clearfield City, Utah Transit Authority, and Clearfield Station Partners, LLC.
BACKGROUND:
The process of rezone and approval of both the Clearfield Station Master Development Plan and Agreement (MDP & MDA), occurred in December of 2020. The MDP and MDA were both approved by UTA’s Board of Trustees in Resolution R2021-01-01. As part of this approval, it was agreed that Clearfield City would bond for, and finance the horizontal infrastructural improvements.
Since the MDP & MDA were approved, Clearfield City has finalized the bond, and worked with the development partnership to finalize civil and site design, and other materials necessary to begin construction on horizontal infrastructural improvements. During this time, construction costs have radically escalated, to the extent that bids provided by interested contractors were much higher than anticipated in preliminary cost estimates. Because of this, Clearfield City and the development partnership have identified alternative funding sources and have designed the utility work in a manner that reduces costs without compromising the quality of the final product.
DISCUSSION:
The proposed amendment outlines a phased approach to the installation of the public
infrastructure. The proposed phased approach outlined in the amendment has been thoroughly vetted by the parties and is the agreed upon best approach available due to current funding constraints to allow for the continuation of the project, which will in turn support the future complete buildout. The proposed amendment to the MDA acknowledges: (1) that current funds are insufficient for the design and construction of the public infrastructure as originally planned, and (2) that as additional funding is obtained, such funding is intended to be applied to the continued construction of the public infrastructure in a prioritized order. The exhibit shows the following:
• 1450 South from 1000 East to State Street
• The connection of Depot Street in the northwest corner of the project
• The remaining internal streets and landscaping
ALTERNATIVES:
Alternatives to approving the proposed amendment are:
• Deny any amendment of the original Clearfield Station MDP & MDA
• Modify the language proposed in the amendment. Either scenario will limit Clearfield City’s ability to qualify for additional funding.
FISCAL IMPACT:
The proposed amendment will potentially make Clearfield City eligible for grant funding through the Governor’s Office of Economic Opportunity (GOEO), in the sum of approximately $5M. These funds will be used to supplement Clearfield City’s bond funding and accelerate construction of later phases of infrastructure.
ATTACHMENTS:
Resolution R2022-05-01---