8E Consent 2006 1106 - Laserfiche WebLink

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CITY OF SAN LEANDRO STAFF REPORT APPROVED AND FORWARDED TO CITY COUNCIL TO: John Jermanis, City Manager DATE: November 1,2006 FROM: Uchenna Udemezue, Director Engineering & Transportation Dept. SUBJECT PROJECT/PROJECT DESCRIPTION: RESOLUTION APPROVING FIRST AMENDED AGREEMENT WITH BA YSIDE BC, LP FOR CONSTRUCTION OF INTERSECTION IMPROVEMENTS SUMMARY AND RECOMMENDATION On March 30, 2003, the City entered into an agreement with Bayside BC, LP that required the developer to advance funds for the construction of improvements at the Davis/Doolittle intersection. The estimated cost of the improvements at that time was $872,000. The amount advanced by the developer was to be repaid by the City not later than November 4, 2007. The developer has been unable to advance the required funds and has offered to make a cash payment in-lieu of the advance of construction funds. Staff recommends the City Council approve a resolution to amend the agreement and accept the cash payment to satisfy the conditions for Planned Development Number 2002-00031. BACKGROUND As a condition of approval for the Bayside Business Center at the end of Davis Street, the developer was obligated to pay 15% of the actual cost of the Davis/Doolittle intersection improvements. The developer's share of the construction cost was $217,979 and this amount has been paid. In addition, the developer was required to advance funds to the City for the remaining 85% of the intersection construction cost. The developer was unable to provide the cash advance when requested by City staff and offered to satisfy this obligation by an in-lieu cash payment that represented the interest cost on the construction funds advance. The total in-lieu cash payment to be made by the developer is $108,725, which includes $45,358 for the purchase of land from the City that was needed for the Bayside Business Center project. Current City Council Policy Not applicable.