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HomeMy WebLinkAbout2019-02-19-J04 28E Agr_Waukee School District_Sports Complex AGENDA ITEM: CITY OF WAUKEE, IOWA CITY COUNCIL MEETING COMMUNICATION MEETING DATE: February 19, 2019 AGENDA ITEM: Consideration of approval of a resolution approving Agreement Under Iowa Code Chapter 28E Between the City of Waukee and the Waukee Community School District [Community Park and Youth Sports Complex] FORMAT: Resolution SYNOPSIS INCLUDING PRO & CON: The City of Waukee and Waukee Community School District entered into a 28E Agreement in 2016 for the joint acquisition of property for purposes of the development of a second high school, community park and youth sports complex. The property has since been purchased, the second high school is currently under construction and plans are currently being completed for the community park and youth sports complex. The proposed 28E Agreement deals with the final split of the joint property between the City and the School District as well as specific obligations to be completed by both the School District and City for the joint development and construction of the property. FISCAL IMPACT INCLUDING COST/BENEFIT ANALYSIS: COMMISSION/BOARD/COMMITTEE COMMENT: STAFF REVIEW AND COMMENT: RECOMMENDATION: Approve the resolution. ATTACHMENTS: I. Proposed Resolution II. 28E Agreement PREPARED BY: Brad Deets, Development Services Director REVIEWED BY: J4 THE CITY OF WAUKEE, IOWA RESOLUTION 19- APPROVING AGREEMENT UNDER IOWA CODE CHAPTER 28E BETWEEN THE CITY OF WAUKEE AND THE WAUKEE COMMUNITY SCHOOL DISTRICT IN THE NAME AND BY THE AUTHORITY OF THE CITY OF WAUKEE, IOWA WHEREAS, the City of Waukee, Iowa is a duly organized municipality within Dallas County; AND, WHEREAS, the City of Waukee and Waukee Community School District entered into a certain Agreement under Iowa Code Chapter 28E between the City of Waukee and the Waukee Community School District dated May 9, 2016 and filed with the Iowa Secretary of State’s Office on May 10, 2016 concerning the acquisition of certain property for the development of a second high school, city park and youth sports complex; AND, WHEREAS, the City Property and the WCSD Property are adjacent to one another and the parties envision that certain elements of their respective projects will be used by patrons visiting or otherwise using the facilities of the other Party pursuant to an agreement the parties intend to enter into in the future; AND, WHEREAS, the parties have evaluated certain elements of their respective projects and reached an agreement concerning the completion and cost sharing of the various public improvements to be completed in an effort to increase cost efficiency and coordination of the respective party’s construction activities; AND, WHEREAS, legal counsel for both entities have reviewed a proposed 28E agreement and find it satisfactory; NOW THEREFORE BE IT RESOLVED by the City of Waukee City Council that the City of Waukee hereby approves the Agreement Under Iowa Code Chapter 28E Between the City of Waukee and the Waukee Community School District. Passed by the City Council of the City of Waukee, Iowa, and approved the 19h day of February, 2019. ____________________________ William F. Peard, Mayor Attest: ___________________________________ Rebecca D. Schuett, City Clerk RESULTS OF VOTE: AYE NAY ABSENT ABSTAIN Anna Bergman R. Charles Bottenberg Courtney Clarke Shelly Hughes Larry R. Lyon Prepared by: Steven P. Brick, Brick Gentry P.C., 6701 Westown Parkway, Ste 100, West Des Moines, IA 50266 (515) 274-1450 Return to: City Clerk, City of Waukee, 230 W. Hickman Road, Waukee, Iowa 50263 (515) 987-4522 Chapter 28E Agreement Recorder’s Cover Sheet Preparer Information: Steven P. Brick 6701 Westown Parkway, STE 100 West Des Moines, Iowa 50265 Taxpayer Information: N/A Return Address Steven P. Brick 6701 Westown Parkway, STE 100 West Des Moines, Iowa 50265 Grantors: N/A Grantees: N/A Legal Description: See Page 2 Document or instrument number of previously recorded documents: N/A SUPPLEMENTAL AGREEMENT UNDER IOWA CODE CHAPTER 28E BETWEEN THE CITY OF WAUKEE AND THE WAUKEE COMMUNITY SCHOOL DISTRICT This SUPPLEMENTAL AGREEMENT (this “Supplemental Agreement”) is entered into between the City of Waukee, an Iowa municipal corporation in the State of Iowa (hereinafter referred to as "City"); and the Waukee Community School District, an Iowa school corporation in the State of Iowa (hereinafter referred to as "WCSD" or the “District”); (The City, and WCSD may also be collectively referred to as “Parties”). WHEREAS, the Parties entered into a certain Agreement under Iowa Code Chapter 28E between the City of Waukee and the Waukee Community School District dated May 9, 2016 and filed with the Iowa Secretary of State’s Office on May 10, 2016 concerning the acquisition of certain Property more particularly described therein (hereinafter referred to as the “Prior Agreement”); and WHEREAS, the property was acquired by the City in accordance with the Prior Agreement and the City and WCSD have platted the property acquired pursuant to the Prior Agreement; and WHEREAS, the City is a municipal Corporation duly formed and existing pursuant to Iowa law which owns property legally described as Lot 2 of Waukee High School #2, a plat now in and forming a part of the City of Waukee, Dallas County, Iowa (herein after referred to as “City Property”); and WHEREAS, WCSD is a school corporation duly formed and existing pursuant to Iowa law which owns property legally described as Lot 1 of Waukee High School #2, a plat now in and forming a part of the City of Waukee, Dallas County, Iowa (herein after referred to as “WCSD Property”); and WHEREAS, the City intends to develop the City Property as a public park and recreational sports complex and associated infrastructure (generally depicted on Exhibit A attached); and WHEREAS, WCSD intends to develop the WCSD Property as a second-high school complex with associated facilities and infrastructure (depicted on Exhibit A attached); and WHEREAS, the City Property and the WCSD Property are adjacent to one another and the parties envision that certain elements of their respective projects will be used by patrons visiting or otherwise using the facilities of the other Party pursuant to an agreement the parties intend to enter into in the future; and WHEREAS, the parties have evaluated certain elements of their respective projects and reached an agreement concerning the completion and cost sharing of the various public improvements to be completed in an effort to increase cost efficiency and coordination of the respective party’s construction activities; and WHEREAS, the Parties have obtained cost estimates related to certain public infrastructure and improvements necessary to develop their respective properties attached as Exhibit B and Exhibit C; and WHEREAS, upon commencing construction of its project, WCSD will undertake and complete construction of grading, storm sewer, detention pond and associated infrastructure in accordance with plans approved by the City, in the City’s reasonable discretion, on City Property (hereinafter referred to as “Improvements”); and WHEREAS, the WCSD Property is also directly adjacent to NW 10th Street and NW Sunrise Drive and will benefit from, and as part of the development of its Property it is required to undertake certain public improvements including, but not limited to, the Street, Storm Sewer and Curb and Gutter, Street light and certain pedestrian improvements along NW 10th St and NW Sunrise Drive adjacent to WCSD Property to be undertaken by the City; and WHEREAS, the Parties desire to enter into this Supplemental Agreement setting forth the respective obligations of the Parties to help facilitate their respective projects and provide for items that remain to be completed under the Prior Agreement. In consideration of the mutual promises as more particularly set forth herein, sufficiency of which is hereby acknowledged, the Parties agree as follows: 1. Land Acquisition. Pursuant to the Prior Agreement the City acquired the property identified therein. The City paid the entire initial purchase price for the acquisition of the property was of $6,235,771.54 and has, to date, been reimbursed by the WCSD in the amount of $3,117,572.27. The Parties have now agreed on a final ownership allocation of the property as generally depicted on attached Exhibit A (the “Property Allocation”) and costs associated with the acquisition of the property: a) WCSD Property Allocation. The City shall transfer to the WCSD the property now known as Lot 1 of Waukee High School #2, a plat now in and forming a part of the City of Waukee, Dallas County, Iowa consisting of approximately 74.45 acres. (the “WCSD Property”) The WCSD, as part of its development of the WCSD Property, is also responsible for 8.47 acres of the property acquired that will be utilized as public right of way; .63 acres of excess property and 10.04 acres of the property acquired for detention and storm water management although ownership of said property will remain with the City. As consideration for the WCSD Property, WCSD shall reimburse the City $538,647.87 ($3,656,220.14, less a credit in the amount of $3,117,572.27 which was paid by WCSD at the time of acquisition of a portion of the Property), for its remaining share of the property acquisition costs. The City shall invoice the WCSD for the outstanding obligation related to land acquisition and the WCSD shall reimburse the City by March 31, 2019. b) City Property Allocation. The City shall continue to own Lot 2 of Waukee High School #2, a plat now in and forming a part of the City of Waukee, Dallas County, Iowa consisting of 66.16 acres (City Property). The City shall also own and be responsible for 9.28 acres of the property that was acquired for public right of way and .63 acres of excess property. The City shall also be responsible for 7.6 acres for use as a detention pond of which is included in the City Property acreage. 2. WCSD Obligations. WCSD intends to construct a second high school, school athletic fields, parking and associated infrastructure and facilities on the WCSD Property (the “WCSD Project”). As part of the WCSD Project, the WCSD agrees to construct certain improvements to the City Property as follows: A. Grading of City Property. In connection with the grading undertaken by the WCSD on WCSD Property, the WCSD agrees to grade and stabilize the City Property pursuant to the grading plan approved by the City at WCSD’s sole cost and expense. B. Site Improvements. WCSD agrees to construct the storm water facilities and public water main on the City Property as generally identified on Exhibit B (the “Site Improvements”). The Site Improvements include all grading, detention ponds, box culvert installation and conveyance systems as well as water main along NW 10th Street on the City Property as generally identified on Exhibit B and in accordance with the construction plans approved by the City. The preliminary engineer’s estimate of costs of the Site Improvements is identified on Exhibit C attached. WCSD agrees to complete the Site Improvements in accordance with designs and specifications approved by the City, in the City’s reasonable discretion. WCSD shall pay the cost of the Site Improvements and the City shall reimburse WCSD for the portion of the costs of the Site Improvements owed by the City based upon actual construction bid quantities as determined by as-built drawings at the completion of the project. Upon completion of the WCSD Project, the WCSD shall invoice the City for the Site Improvements, and the City shall reimburse the District in accordance with section 4 of this Supplemental Agreement. C. Pedestrian Underpass. WCSD agrees to construct as part of its project the Pedestrian underpass under the future NW Douglas Avenue right of way on the City Property as identified on Exhibit B (the “Pedestrian Underpass”). The Pedestrian Underpass includes all grading and box culvert installation on the City Property as identified on Exhibit B. The preliminary engineer’s estimate of costs of the Pedestrian Underpass is identified on Exhibit C (“Site Improvements Cost Estimate”) attached. WCSD agrees to complete the Pedestrian Underpass in accordance with designs and specifications approved by the City, in the City’s reasonable discretion. WCSD shall pay the cost of the Pedestrian Underpass and the City shall reimburse WCSD for all costs associated with the Pedestrian Underpass. Upon completion of the WCSD Project, the WCSD shall invoice City for the Pedestrian Underpass, and the City shall reimburse WCSD in the manner provided in section 4 of this Supplemental Agreement. D. Shared Parking Facility. WCSD will build as part of its project a parking lot on WCSD Property generally depicted on Exhibit B just north of baseball fields #3 and #4 in accordance with the construction plans approved by the City. That parking facility may be used by patrons to either the WCSD Property or the City Property with 50% of the stalls being allocated for City events when City events are scheduled on the softball fields located to the north of the parking lot. The school district shall be responsible for insurance and maintenance of that parking facility and it shall not be removed or modified without the express written consent of the City. There shall be no reimbursement by the City for the costs incurred by WCSD for this component in exchange for the completion of the improvements of a pedestrian bridge connecting the City Property to the northwest parking lot of the WCSD Property over the detention pond as depicted on Exhibit B undertaken by the City. Said pedestrian bridge will allow for a direct pedestrian connection to the City parking facility located along the north property line which shall be available for WCSD overflow parking during large events when nothing is scheduled on the City property. E. Manner of cost determination. WCSD shall bid all of the foregoing improvements in the manner required under Iowa Law. The bid shall require the itemization of the materials and labor associated with the Site Improvements and Pedestrian Underpass so the bid results clearly identify the actual cost of those undertakings paid by the WCSD for work done on City Property. Upon acceptance of a bid, WCSD shall forward a copy of the accepted bid to the City for its records and information. 3. City Obligations. The City agrees to complete the following projects: A. NW 10th St Improvements. By July 1, 2021, the City shall substantially complete the reconstruction of NW 10th Street (the “10th Street Improvements”) to modify the road to a four (4) lane road with curb and gutter from its intersection with the Future NW Sunrise Drive north to the Future Douglas Avenue Right of Way. WCSD shall reimburse the City the actual costs incurred by the City in completing the NW 10th Street reconstruction for that section of the NW 10th Street adjacent to the WCSD Property including the cost of the roadway, storm sewer, trail, traffic signals and street lights along NW 10th Street and adjacent to the WCSD Property as identified on Exhibit D attached (the “10th Street Improvements”). The preliminary engineer’s estimate of costs of the 10th Street Improvements is identified on Exhibit E (“10th Street Improvements Cost Estimate”) attached. The City will invoice WCSD for its share of the costs upon completion and final acceptance of the improvements by the City, and WCSD shall reimburse the City in the manner provided in section 4 of this Supplemental Agreement. B. NW Sunrise Drive Improvements. By July 1, 2021, the City shall construct and substantially complete a two (2) lane street with curb and gutter to be known as NW Sunrise Drive from the intersection with NW 10th Street to the roundabout located at the intersection of NW 6th Street reflected on Exhibit B at the City’s sole cost and expense. The WCSD shall not be required to reimburse the City for this work. The ROW depicted to the east of the roundabout at NW 6th Street on Exhibit B is not part of this agreement. C. Manner of cost determination. The City shall competitively bid the foregoing improvements in the manner required under Iowa Law. Upon acceptance of a bid, the City shall forward a copy of the accepted bid to the WCSD for its records and information. D. Provided amendments to laws of the State of Iowa do not 1) limit or alter the City’s ability to utilize Tax Increment Financing (TIF) to finance the improvements; or 2) reduce or limit the amount of School District tax revenue available to the City as part of TIF to finance the improvements; or 3) reduce or limit the City’s ability to borrow utilizing such revenue of the improvements; and 4) the Project as defined in the Economic Development Assistance Contract Apple, Inc., the City of Waukee and the Iowa Economic Development Authority, Contract #18-TC-008 is completed by Apple, Inc., the City agrees to construct the following: 1. Extension of NW Sunrise Drive. The City shall construct a two (2) lane street with curb and gutter to be known as NW Sunrise Drive from the intersection with NW 6th Street to the roundabout located at the intersection of NW 4th Street reflected on Exhibit B. 2. Extension of 4th Street. The City shall construct a two (2) lane street with curb and gutter to be known as 4th Street from the intersection of NW Sunrise Drive to the anticipated intersection at NW Douglas Avenue reflected on Exhibit B. 4. Reimbursement for Improvements. The Parties acknowledge and agree their reimbursement obligations contained in sections 2 and 3 of this Supplemental Agreement. The Parties further acknowledge that the amount of the respective party’s obligation will not be completely ascertained until the various projects are completed by the respective parties. The parties agree that the financial obligations arising under sections 2 and 3 of this Supplemental Agreement will be offset at the time of invoice, and that any balance remaining after offset will be paid to the party entitled thereto on, or before, July 31, 2021. The parties agree that during construction and prior to final reimbursement as described above, representatives of the WCSD and City will meet on a quarterly basis to review construction timelines, change orders and costs associated with the WCSD Obligations and City Obligations. 5. The Parties agree that the percentages allocated to each of the Parties for the work to be undertaken pursuant to the terms of this Supplemental Agreement, as well as the repayment terms associated with this Supplemental Agreement, have been determined based on an appropriate allocation of the benefits received by the Parties arising by virtue of the installation of the Improvements, and that the same constitute appropriate assessments for the work to be performed. 6. The Parties agree that Exhibits C & E represent engineer's estimates of the costs of the Improvements contemplated by virtue of this Supplemental Agreement. The contingency if identified in these Exhibits is a component of engineering estimates and will not be a component of actual costs or bids obtained by the Parties in furtherance of their obligations pursuant to this Supplemental Agreement. 7. Both Parties understand and acknowledge that this Supplemental Agreement only pertains to the matters referenced herein. Both Parties understand that they must follow all federal, state and local laws as it pertains to the development and platting of their property. Approval of this Supplemental Agreement by the City does not constitute final plat or site plan approval by the City. WCSD shall be responsible for all customary fees, connection fees and charges due to the City throughout the development process of the WCSD Property. 8. Binding Effect. This Supplemental Agreement shall inure to the benefit of and be binding upon all Parties their successors and interests or assigns, if any. 9. Enforcement. Should it become necessary for the either party to enforce this Supplemental Agreement, the defaulting party shall be responsible for any and all attorney’s fees and expenses incurred b y the other party in pursuit of enforcement of this Supplemental Agreement. 10. Jurisdiction. The Parties agree that this Supplemental Agreement and amendments hereto, if any, shall be governed by the laws of the State of Iowa. The Parties consent and agree that the proper venue and jurisdiction relative to the enforcement of the terms, conditions and provisions of this Supplemental Agreement and amendments hereto, if any, is the Iowa District Court in and for Dallas County, Iowa. 11. Effect on Prior Agreement. This Supplemental Agreement is intended to supplement the Prior Agreement. If any terms of this Supplemental Agreement are found to be in conflict with the Prior Agreement, this Supplemental Agreement shall control. The Prior Agreement shall remain in full force and effect in all other respects. Dated: ____________________________, 2019 CITY OF WAUKEE, IOWA By___________________________________ William F. Peard, Mayor By___________________________________ Rebecca D. Schuett, City Clerk (City Seal) STATE OF IOWA : : SS COUNTY OF DALLAS : On this ______ day of ____________________, 2019, before me, the undersigned, a Notary Public in and for the State of Iowa, personally appeared William F. Peard and Rebecca D. Schuett, to me personally known, who, being by me duly sworn, did say that they are the Mayor and City Clerk, respectively, of the City of Waukee, Iowa, a municipal corporation, executing the within and foregoing instrument and acknowledged that they executed the same as their voluntary act and deed of the City of Waukee, by it and by them voluntarily executed. _______________________________________ Notary Public in and for the State of Iowa My Commission expires ___________ Dated: _____________________________, 2019 WAUKEE COMMUNITY SCHOOL DISTRICT By: ___________________________________________ Wendy Liskey, Board President By: _____________________________________ Angie Morrison, Board Secretary STATE OF IOWA ) ) ss. COUNTY OF DALLAS ) On this _______ day of _____________, 2019, before me, the undersigned, a Notary Public in and for the State of Iowa, personally appeared Wendy Liskey and Angie Morrison, to me personally known, who being duly sworn, did say that they are the President and Secretary, respectively, of the Board of Directors of the Waukee Community School District, the corporation executing the within and foregoing instrument, that no seal has been procured by the corporation; that the instrument was signed on behalf of the corporation by the authority of its Board of Directors; and that the President and Secretary, as such officers, acknowledged the execution of the instrument to be the voluntary act and deed of the corporation, by it and by them voluntarily executed. ____________________________________ Notary Public in and for the State of Iowa My Commission expires ___________ EXHIBIT A PROPERTY ALLOCATION MAP EXHIBIT B SITE IMPROVEMENTS MAP EXHIBIT C SITE IMPROVEMENTS COST ESTIMATE EXHIBIT D 10TH STREET IMPROVEMENTS MAP EXHIBIT D 10TH STREET IMPROVEMENTS COST ESTIMATE