BACKGROUND/DISCUSSION:
On April 16, 2019, the City Council authorized a Chapter 380 Agreement between the City and AM & JK Development, LLC (The Square). The provisions under the agreement provided for the construction of public infrastructure including Saginaw Square Boulevard and associated utilities and work within Business 287 (Roadway Improvements).
Included in the Roadway Improvements are a new median opening and signal within the Business 287 right-of-way regulated by the Texas Department of Transportation (TxDOT) and a new sanitary sewer metering station regulated by the City of Fort Worth.
TxDOT will require an Advance Funding Agreement (AFA) outlining the obligations of the City and State. The City of Fort Worth will require an Interlocal Agreement authorizing the sanitary sewer connection, the cost of the connection and the requirements for building the metering station. The sanitary sewer connection will have a small cost share to be borne by the City of Saginaw because the connection fee is related to the sewerage area being served. A small percentage of the drainage area is outside of The Square’s development and should be the obligation of the City.
In order to facilitate the construction of these improvements it is necessary for the City of Saginaw to enter into agreements with both the TxDOT and the City of Fort Worth. With the exception of the City’s share of the sanitary sewer connection, the City’s direct costs associated with the agreements will be borne by the The Square. The agreement will provide for a dollar for dollar reduction in reimbursement cost to The Square to fund these agreements.
FINANCIAL IMPACT:
N.A.
RECOMMENDATION:
Staff recommends approval of Amendment No. 1 to the Chapter 380 Economic Development Agreement with AM & JK Development, LLC (The Square)