Administration and Projects Committee STAFF REPORT Meeting Date: March 1, 2018 Subject Summary of Issues Interstate 680 (I 680)/State Route 4 (SR4) In
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1 Administration and Projects Committee STAFF REPORT Meeting Date: March 1, 2018 Subject Summary of Issues Interstate 680 (I 680)/State Route 4 (SR4) Interchange Improvements (Project 1117/6001) Authorization to Execute Amendment No. 4 to Cooperative Agreement No with the California Department of Transportation (Caltrans) for Right of Way (ROW) Acquisition and Services, and Utility Coordination As part of the I 680/SR4 Interchange Improvements, Phase 3 project, SR4 is proposed to be widened in the median to accommodate additional Eastbound (EB) and Westbound (WB) lanes. In September 2014, Cooperative Agreement No was executed with Caltrans for ROW support in the amount of $200,000 and ROW capital in the amount of $300,000. To accommodate project needs for ROW, coordination and expenditures for utility relocations, agency coordination, and extended schedule, Amendment Nos. 1, 2, and 3 were executed bringing the total agreement value to $10,156,000. To address the increase in the utility relocation cost estimates as provided by Philip 66, which is $1,800,000 higher than the original estimates, the utility agreement between Caltrans, the ROW agent acting on behalf of the Authority for this project and Philip 66 needs to be amended to reflect the new cost. This will fully fund the Philip 66 Oil Pipeline Relocation project and move the project to construction once all permits are obtained. Recommendations Staff seeks authorization for the Chair to execute Amendment No. 4 to Cooperative Agreement No with Caltrans in the amount of $1,800,000 for a new total agreement value of $11,956,000 for ROW acquisition and services, and utility coordination. Staff also seeks authorization for the Executive Director to make any non substantive changes as needed
2 Administration and Projects Committee STAFF REPORT March 1, 2018 Page 2 of 3 Financial Implications Options Sufficient State Transportation Improvements Program and Regional Improvement Program (STIP/RIP), Measure C and Measure J funds for this proposed amendment are included under the project. The Authority Board could elect not to approve this amendment; however, this may delay the project delivery schedule. Attachments A. Draft Amendment No. 4 to Cooperative Agreement No Changes from Committee Background The I 680/SR4 Interchange Improvements, Phase 3 project would widen SR4 in the median to provide a third lane in the EB and WB directions from Morello Avenue to just east of SR242. The project is in the final design phase. The project originally included widening the existing Grayson Creek bridge structures. However, due to the age and condition, the bridge is being replaced rather than widened. Amendment No. 1 provided for additional support and capital as several utilities needed to be relocated that previously would have remained in place, increasing the capital and support budgets from the original cooperative agreement estimates. To accommodate coordination and expenditures for utility relocations, agency coordination, and an extended schedule, Amendment No. 2 was executed to compensate for the additional capital and support costs. Amendment No. 2 increased the support budget to $700,000 and the capital budget to $9,156,000 for a new total agreement value of $9,856,000. Amendment No. 3 was executed to reprogram STIP/RIP funds from the construction phase to the ROW phase and to increase the support cost by $300,000 for a new total agreement value of $10,156,000. In December 2017, Philip 66, owner and operator of the oil pipeline completed the design phase of relocating the pipeline and updated its cost estimates. After examining the updated estimates, it was discovered that contingencies were accounted at each level in addition to the overall contingency. Staff and Caltrans entered into a discussion with Philip 66 about the need to have the estimates updated using the most recent bid prices and have one overall 5.2-2
3 Administration and Projects Committee STAFF REPORT March 1, 2018 Page 3 of 3 contingency. Philip 66 staff agreed to this method and thus revised their estimates accordingly. The revised engineer s estimate is $1,800,000 higher than what was previously estimated. Amendment No. 4 to the Cooperative Agreement No with Caltrans is needed in order to execute the utility agreement with Philip 66 for the construction phase of relocating the oil pipeline. Amendment No. 4 will increase the ROW capital cost by $1,800,000 for a new total agreement value of $11,956,
4 ATTACHMENT A AGREEMENT A4 Project No EA CC-4-R11.2/R AMENDMENT NO. 4 TO COOPERATIVE AGREEMENT (Draft 2/20/18, AH) This Amendment No. 4 to Agreement (AMENDMENT 4 ), entered into, and effective on, 2018, is between the State of California, acting through its Department of Transportation, referred to as CALTRANS, and Contra Costa Transportation Authority, a public entity, referred to hereinafter as CCTA. RECITALS 1. CALTRANS and CCTA, collectively referred to as PARTNERS, entered into Agreement (AGREEMENT) on September 25, 2014, defining the terms and conditions for cooperating on the R/W phase of a highway improvement project (PROJECT) in Contra Costa County. PROJECT consisted of widening the median of State Route 4 (SR 4) in both directions to provide a third lane from east of Milano Way/Glacier Drive to east of SR 242 in Phase 3 of the I-680/SR 4 interchange. PROJECT also included widening of Grayson Creek Bridge. Under AGREEMENT, CCTA is the sole SPONSOR and FUNDING PARTNER and CALTRANS is the IMPLEMENTING AGENCY and CEQA and NEPA lead agency for PROJECT. 2. It was decided in early 2015 that Grayson Creek Bridge will be replaced, rather than widened, thereby significantly increasing the scope of PROJECT. The Project Report was approved on February 9, 2009 and was consistent with the Negative Declaration / Initial Study and Final Environmental Assessment dated November 26, The re-evaluation of the environmental document was approved on December 17, A Supplemental Project Report is being prepared to address the change in scope and is expected to be approved by July 1, PARTNERS entered into Amendment 1 to AGREEMENT (AMENDMENT 1) on July 3, 2015, to increase the local funding for R/W Support from $200,000 to $613,000 and that for R/W Capital from $300,000 to $6,350,000 due to the increase in the PROJECT scope discussed above. 4. PARTNERS also entered into Amendment 2 to AGREEMENT (AMENDMENT 2) on August 11, 2016, to reflect the revised funding obligations on PROJECT. Under AMENDMENT 2, the local funding for R/W SUPPORT was increased from $613,000 to $700,000 and that for R/W CAPITAL from $6,350,000 to $9,156,000 to meet the PROJECT needs. The increase in R/W CAPITAL and SUPPORT costs was primarily due to additional utility relocations, coordination and extended schedule. 5. PARTNERS then entered into Amendment 3 to AGREEMENT (AMENDMENT 3) on July 20, 2017, to incorporate the STIP/RIP funds in the amount $5,100,000 that became available for PROJECT after CTC s approval in May, $4,800,000 of these STIP/RIP funds were used for R/W CAPITAL and $300,000 were used to augment the R/W 1 of
5 AGREEMENT A4 Project No SUPPORT funding. The increase in the R/W SUPPRT cost was due to additional utility coordination, delay in Contra Costa County Flood Control District permit issues, resolution of the deed language issue with the Contra Costa County, the lengthy condemnation process with 1st & 2nd level reviews and the delayed response from the property owner and attorney. The total R/W SUPPORT funds increased under AMENDMENT 3 to $1,000,000, which included the previously allocated $700,000 in local funds. The total R/W CAPITAL funds were unchanged from the previously reported $9,156,000, but now included the STIP/RIP funds, as discussed above. 6. PARTNERS now wish to enter into AMENDMENT 4 to address the current PROJECT needs with respect to R/W CAPITAL. Under AMENDMENT 4, the local funds for R/W CAPITAL will be increased from the previously reported $4,356,000 to $6,156,000, which constitutes an increase of $1,800,000. Accordingly, the R/W CAPITAL funding will increase to $10,956,000 causing the total R/W cost for PROJECT to increase to $11,956,000. IT IS THEREFORE MUTUALLY AGREED: 7. PARTNERS hereby amend AGREEMENT by replacing FUNDING SUMMARY NO. 4 of AMENDMENT 3 in its entirety with FUNDING SUMMARY NO. A4, attached hereto and made a part of AMENDMENT 4. Any reference to FUNDING SUMMARY in AGREEMENT will now be deemed a reference to FUNDING SUMMARY NO. A4. 8. All other terms and conditions of AGREEMENT, as revised under AMENDMENT 1, shall remain in full force and effect. 9. AMENDMENT 4 is deemed to be included in, and made a part of, AGREEMENT. 2 of
6 AGREEMENT A4 Project No SIGNATURES PARTNERS declare that: 1. Each PARTNER is an authorized legal entity under California state law. 2. Each PARTNER has the authority to enter into AMENDMENT The people signing AMENDMENT 4 have the authority to do so on behalf of their public agencies. STATE OF CALIFORNIA DEPARTMENT OF TRANSPORTATION CONTRA COSTA TRANSPORTATION AUTHORITY Helena (Lenka) Culik-Caro Deputy District Director, Design Federal D. Glover Chair Certified as to funds: Attest: District Budget Manager Tarienne Grover Clerk of the Board Certified as to financial terms and policies: Approved as to form and procedure: Accounting Administrator Malathy Subramanian CCTA Counsel 3 of
7 FUNDING SUMMARY NO. A4 Funding Source FUNDING PARTNER FUNDING TABLE IMPLEMENTING AGENCY R/W SUPPORT CALTRANS R/W CAPITAL Fund Type Totals Local CCTA Local $700,000 $6,156,000 $6,856,000 State CALTRANS STIP/RIP $300,000 $4,800,000 $5,100,000 Totals $1,000,000 $10,956,000 $11,956,000 IMPLEMENTING AGENCY SPENDING SUMMARY CALTRANS R/W SUPPORT R/W CAPITAL Fund Type CALTRANS CCTA CALTRANS Totals Local $700,000 $0 $6,156,000 $6,856,000 STIP/RIP $300,000 $0 $4,800,000 $5,100,000 Totals $1,000,000 $0 $10,956,000 $11,956,000 PACT Version of
8 Invoicing and Payment 1. PARTNERS will invoice for funds where the SPENDING SUMMARY shows that one PARTNER provides funds for use by another PARTNER. PARTNERS will pay invoices within thirty (30) calendar days of receipt of invoice. 2. If CCTA has received Electronic Funds Transfer (EFT) certification from CALTRANS then CCTA will use the EFT mechanism and follow all EFT procedures to pay all invoices issued from CALTRANS. CCTA will pay all invoices via EFT within five (5) days of receipt of invoice. 3. When CALTRANS is to be reimbursed from state or federal funds that are provided by CCTA and CALTRANS administers those funds, then CALTRANS will draw from those funds without invoicing CCTA. 4. When a PARTNER is reimbursed for actual costs from funds administered by another PARTNER, invoices will be submitted each month for the prior month's expenditures. Right of Way Support (R/W SUPPORT) 5. CALTRANS will invoice CCTA for a $40,000 initial deposit after execution of this AGREEMENT and thirty (30) working days prior to the commencement of R/W SUPPORT expenditures. This deposit represents two (2) months estimated costs. Thereafter, CALTRANS will invoice and CCTA will reimburse for actual costs. Right of Way Capital (R/W CAPITAL) 6. CALTRANS will invoice CCTA for a $30,000 initial deposit after execution of this AGREEMENT and thirty (30) working days prior to the commencement of R/W CAPITAL expenditures. This deposit represents one (1) months estimated costs. Thereafter, CALTRANS will invoice and CCTA will reimburse for the accepted offer price of parcels 5 of
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