Posting Language
Title
Authorize negotiation and execution of a cost participation agreement with Soco Development LP for the City to reimburse the developer for costs associated with the design and construction of an oversized water main and appurtenances related to Service Extension Request No. 5627 that will provide water service to a proposed mixed-use development located at 2105 S. Congress Ave in an amount not to exceed $402,500.
De
Lead Department
Austin Water.
Fiscal Note
Funding is available in the Fiscal Year 2022-2023 Capital Budget of Austin Water.
For More Information:
Inquiries should be directed to Blanca Madriz, 512-972-0115, or Blanca.Madriz@austintexas.gov.
Council Committee, Boards and Commission Action:
August 7, 2023 - Recommend by the Water and Wastewater Commission on a 6-0 vote with one absence and four vacancies.
Additional Backup Information:
The S Congress and E Live Oak project consists of approximately 2.84 acres of land located at 2105 S. Congress Ave. (the “Property”). The Property is located entirely within the City of Austin’s (the “City”) Full-Purpose, Impact Fee Boundary, Austin Water’s service area for water and wastewater, the Desired Development Zone, and the East Bouldin Watershed. A map of the property location is attached.
Soco Development LP (the “Owner”) is proposing to develop approximately 5 single-family homes, 273 multi-family units, 8,000 sq. ft. retail space, and 8,000 sq. ft. restaurant space. The Owner requested that the City provide water utility service to the Property as proposed in Service Extension Request (SER) No. 5627. Austin Water will provide retail wastewater service to the Property as proposed in SER No. 5628.
In accordance with Chapter 25-9 of the City Code, the City has asked the Owner to oversize the water main in order to serve additional properties within the Central South water pressure zone consistent with the City’s long range planning goals for this area. If approved by City Council, the City will cost participate in this construction project only to the extent of the City’s proportionate share of the oversized main.
The proposed oversized improvements include construction of approximately 700 feet of 16-inch water main from the existing 6-inch water main located in Leland St. to the existing 10-inch water main located in E. Live Oak St.
The City will reimburse the Owner for an overall total amount not to exceed $402,500.00 for hard costs and soft costs. Hard costs include, but are not limited to, construction and materials. Soft costs include, but are not limited to, preliminary engineering reports, surveying, geotechnical studies, design, and project management. The City’s cost participation by project component is as follows:
• For costs of the 16-inch water main (the minimum pipe diameter of 8-inches required to serve the Property to an oversized 16-inch) and appurtenances, the City’s maximum participation consists of: (1) hard costs, in an amount not to exceed 50% of the hard costs of the 16-inch water main and appurtenances, and (2) soft costs, in an amount not to exceed 15% of the City’s hard cost participation amount.
Other terms of the agreement will require that the Owner:
• Pay all costs for financing, interest, fiscal security, accounting, insurance, inspections, permitting, easement acquisition, legal services, and other non-reimbursable soft costs associated with the project;
• Conform to the City’s design criteria and construction standards;
• Construct all improvements at their cost and, after the City’s final approval of the construction, dedicate the facilities to the City for ownership, operation, and maintenance;
• Allow the City to use the project plans and specifications approved by the City to solicit and publish invitations for bids for the construction of the improvements; and
• Follow the City’s standard bidding practices and procedures, including the minority-owned business enterprise procurement program found in Title 2 of the City Code, and Texas Local Government Code Chapters 212 and 252.
The proposed project will be managed through Austin Water staff and is located in zip code 78704, in City Council District 3.