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HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 06/04/2019 - FIRST READING OF ORDINANCE NO. 076, 2019, APPROVINAgenda Item 11 Item # 11 Page 1 AGENDA ITEM SUMMARY June 4, 2019 City Council STAFF Ken Sampley, Water Systems Engineering Manager Theresa Connor, Water Engineering Field Operations Mrg Shane Boyle, Civil Engineer III Lance Smith, Utilities Strategic Finance Director Judy Schmidt, Legal SUBJECT First Reading of Ordinance No. 076, 2019, Approving, Affirming and Ratifying Funding of the Non-City Share of the NECCO Project by Offering to Owners and Developers of Property Within the NECCO Area a Proportionate Buy-In to Connect to the NECCO Project. EXECUTIVE SUMMARY The purpose of this item is to adopt the cost share concept whereby development and redevelopment draining into the Northeast College Corridor Outfall (NECCO) stormwater system are required to pay their proportional cost share of the NECCO improvements if they choose to use the NECCO system in lieu of constructing separate stormwater facilities. The NECCO stormwater system (or NECCO Project) was designed to provide an adequate stormwater outfall for the area north of Vine Drive and east of College Avenue in order to alleviate existing drainage problems and to facilitate development and redevelopment in the area. STAFF RECOMMENDATION Staff recommends adoption of the Ordinance on First Reading. BACKGROUND / DISCUSSION Project History The Northeast College Corridor Outfall (NECCO) Project was initiated in response to large development potential north of Vine Drive and east of College Avenue. At that time, there was no adequate stormwater outfall for this area of the city, which created a significant hinderance to development and redevelopment. There were also drainage problems in this area from existing development, mainly due to a lack of stormwater regulations when this area of the City originally developed. The NECCO area map is Exhibit A to Ordinance No. 076, 2019. In response to development interest in the area, design was initiated on a stormwater system that would help mitigate existing drainage issues in the area, as well as provide an adequate stormwater outfall. The NECCO stormwater design was managed by the City’s Stormwater Capital Improvement Program group and was completed in 2009. The NECCO stormwater system schematic is Attachment 1 to this AIS. Construction of the “backbone” storm sewer system occurred in 2016-2017 and the regional pond was constructed in 2018. Other portions of the NECCO stormwater system have been completed by development, and were funded partially through the Developer Repay program and partially through the NECCO buy-in paid by the development. Another section of the system is under design and will be constructed as part of Planning, Development and Transportation’s Suniga Road capital project. Agenda Item 11 Item # 11 Page 2 Cost Share Concept Entities proposing to develop in this area (Developers) can choose to connect into the NECCO stormwater system in order to receive the benefits of the system. Developers that choose to connect pay a proportionate share of the NECCO stormwater system cost as described below. Developers that choose not to connect to the NECCO stormwater system are required to meet typical stormwater requirements without the benefit of NECCO. Since the NECCO proportionate cost for a development only covers its respective share of the NECCO stormwater system, all properties still pay the standard stormwater plant investment fees (PIFs) in addition to their respective share of the NECCO stormwater system cost. The NECCO area was originally analyzed to determine which portions of the area are developed and undeveloped. To define proportionate cost shares, the NECCO stormwater system was broken down into individual project components and the cost of each component was divided among the area benefitting from that component (e.g., only those areas receiving a benefit from the regional pond pay for the regional pond). The analyses determined that the City’s share of the NECCO Project would be approximately 49% and the appropriate developer share would be approximately 51%. The NECCO stormwater system cost allocation spreadsheet is Exhibit B to Ordinance No. 076, 2019. To date, the City has been constructing improvements and is being repaid for a pro-rata share of costs for the developer share of the Project as development occurs through development and/or repay agreements. It is anticipated the City will stop collecting allocated costs once the appropriate developer shares of NECCO improvements have been received. Current costs are based on a combination of estimated and actual construction costs. The cost estimate will be updated to reflect actual construction costs as improvements are constructed. Although the NECCO Project has a long history and is partially constructed, the purpose of the proposed Ordinance is to formalize the allocation of costs between the City and benefitted development, and the allocation of the developer share of improvement costs among benefitted properties as they develop or redevelop. CITY FINANCIAL IMPACTS The intent of this Ordinance is to establish a cost sharing mechanism that allows the City to recover the portion of costs incurred to date for this project that is associated with new development and anticipated redevelopment. To date the City has recovered $1M of the $6M developer’s share of project cost. While this project is a very cost-effective solution to the required stormwater infrastructure for future development and redevelopment, there is the possibility that future development may choose to build alternative stormwater drainage. Staff considers this risk to be minimal based on the alternatives considered before constructing this project and the participation of development to date. BOARD / COMMISSION RECOMMENDATION At its February 21, 2019 meeting, the Water Board unanimously recommended that City Council adopt the Ordinance. (Attachment 2) At its April 15, 2019 meeting, the NECCO Stormwater system funding approach was presented to the Council Finance Committee (CFC) which supported going forward with this topic for Council consideration. (Attachment 3) PUBLIC OUTREACH Significant public outreach has been completed over the course of the NECCO planning and various capital projects since inception in 2008 to the present. Outreach has been focused on property owners in the vicinity of the NECCO infrastructure that can be served by the improvements, the North College Citizen’s Advisory Group, and the Urban Renewal Authority. Agenda Item 11 Item # 11 Page 3 ATTACHMENTS 1. Pipe Schematic (PDF) 2. Water Board minutes, February 21, 2019 (PDF) 3. Council Finance Committee minutes, April 15, 2019 (PDF) E VINE DR CONIFER ST N LEMAY AVE REDWOOD ST N COLLEGE AVE LUPINE DR JEROME ST BLUE SPRUCE DR FOXTAIL ST LINDENWOOD DR E WILLOX LN SITKA ST E SUNIGA RD CAJETAN ST OSIANDER ST 9TH ST CLARK ST PASCAL ST EMMAUS LN RED CEDAR CIR BAYBERRY CIR 10TH ST BRISTLECONE DR SUGARPINE ST COULTER ST MULLE IN DR GROUSE CIR LINDEN ST BLONDEL ST 11TH ST NOKOMIS CT N MASON ST HICKORY ST PINON ST HEMLOCK ST ASCOT CT FOREST HILLS LN STEAMBOAT LN QUAIL RUN BREWER DR WOODLAWN DR LOPEZ CT MONTEREY DR HIBDON CT LINDEN CENTER DR PICA RUN TRUJILLO ST SOL VISTA LN COPPER MOUNTAIN LN LA GARITA LN FIREWEED LN ALPINE ST WALLFLOWER LN YARROW CIR ECHO MOUNTAIN LN SANGRE DE CRISTO LN RENEGADE CT MATUKA CT Excerpt from MINUTES - WATER BOARD REGULAR MEETING February 21, 2019, 5:30 p.m. 222 Laporte Avenue, Colorado River Community Room 02/21/2019 – Excerpt from MINUTES Page 1 • Northeast College Corridor Outfall (NECCO) Stormwater Improvements (Attachments available upon request) Presentation Summary: Development Review Engineer Shane Boyle summarized milestones, next steps, and the proposed funding mechanism that would allow Fort Collins Utilities to recoup $6 million of the $12 million project costs. Project purpose: provide a stormwater outfall for the area north of Vine Drive and east of College Avenue to solve flooding problems and allow for efficient development in the area. Cost share is based on proportional costs for areas draining to each section of NECCO system. Development and redevelopment pay proportionate share of costs when connecting into the system. City will stop allocating costs once development share of system has been collected. This agenda item will go to Council Finance Committee in March and City Council in May. Discussion Summary: Board members commented on and inquired about various related topics including a ditch north of Vine Drive on the system schematic; the timing of Old Town North and Aspen development and whether they already bought in to the NECCO project (Mr. Boyle replied yes, those developments paid $32,000/acre); redevelopment; the City’s share; Ms. Connor explained regionalizing stormwater infrastructure; Mr. Boyle stated the master plan sizes infrastructure for existing conditions, not full build-out; the development The Crowne at Old Town North. Chairperson Bovee moved that Water Board recommend City Council adopt an ordinance approving, affirming and ratifying the funding of non-city share of the NECCO Project by offering developers of property within the NECCO area the opportunity to pay a proportionate buy-in to connect to the NECCO system in lieu of providing separate stormwater facilities to meet City development standards. Board Member Tarry seconded the motion. Vote on the motion: It passed unanimously, 10-0. ATTACHMENT 2 Finance Administration 215 N. Mason 2nd Floor PO Box 580 Fort Collins, CO 80522 970.221.6788 970.221.6782 - fax fcgov.com Finance Committee Meeting Minutes 04/15/19 10 am - noon CIC Room - City Hall Council Attendees: Mayor Wade Troxell, Ross Cunniff, Ken Summers, Gerry Horak Staff: Darin Atteberry, Kelly DiMartino, Jeff Mihelich, Mike Beckstead, Kevin Gertig, Lance Smith, Theresa Connor, Shane Boyle, Wendy Williams, Mike Calhoon, Kurt Friesen, Laurie Kadrich, Noelle Currell, Chad Crager, Kyle Lambrecht, Tim Kemp, Dean Klingner, Travis Storin, John Duval, Blaine Dunn, Ginny Sawyer, Tom Leeson, John Voss, Katie Ricketts, Carolyn Koontz Others: Kevin Jones, Chamber of Commerce ______________________________________________________________________________ Meeting called to order at 10:04 am Approval of Minutes from the March 18th, 2019 Council Finance Committee Meeting. Ross Cunniff moved for approval of the minutes. Ken Summers seconded the motion. Minutes were approved unanimously. A. Stormwater - Northeast College Corridor Outfall Cost Sharing (NECCO) Theresa Connor, Deputy Director, Utilities Lance Smith, Utilities FP&A Director EXECUTIVE SUMMARY The Stormwater Utility proactively constructed an outfall to serve both existing developed and undeveloped land near Vine and Lemay. The Northeast College Corridor Outfall (NECCO) stormwater system (or NECCO system) was designed to provide an adequate outfall for the area north of Vine Drive and east of College Avenue in order to alleviate existing drainage problems and to facilitate development and redevelopment in the area. The NECCO system is intended to provide a less expensive means of satisfying storm drainage for this area through economies of scale than individual landowners could provide separately. The purpose of this item is for City Council to consider adopting the cost share concept whereby development and redevelopment draining into the NECCO system be allowed to pay their proportional cost share of the NECCO improvements if they choose to use the NECCO system in lieu of constructing separate stormwater facilities. GENERAL DIRECTION SOUGHT AND SPECIFIC QUESTIONS TO BE ANSWERED Is the Council Finance Committee supportive of staff bringing forth an Ordinance formalizing the cost sharing opportunity associated with the NECCO system? ATTACHMENT 3 2 BACKGROUND/DISCUSSION Project History The Northeast College Corridor Outfall (NECCO) Project was initiated in response to large development potential north of Vine Drive and east of College Avenue. In 2010 the North College Infrastructure Funding Plan (Resolution 2010-023) was adopted by the City Council. At that time, there was no adequate stormwater outfall for this area of the City, which created a significant hinderance to development and redevelopment. There were also drainage problems in this area from existing development, mainly due to a lack of stormwater regulations when this area of the City originally developed. In response to the development interest in the area, design was initiated on a stormwater system that would help mitigate existing drainage issues in the area, as well as provide an adequate stormwater outfall. The NECCO design was managed by the City’s Stormwater Engineering group and was completed in 2009. Appropriations were made through the 2015-16 Budgeting For Outcomes (BFO) process and further appropriations were made in the 2017-2018 BFO cycle. Construction of the “backbone” storm sewer system occurred in 2016-2017 and the regional pond was constructed in 2018. Other portions of the NECCO system have been completed by development, which were funded partially through the Developer Repay program and partially through the NECCO buy-in paid by the development. Another section of the system is under design and will be constructed as part of Planning, Development and Transportation’s Suniga Road capital project. Cost Share Concept At the time of development, a Developer can choose whether to tie into the NECCO system in order to receive the benefits of the system. If the Developer chooses to connect to NECCO, they pay a proportionate share of the NECCO system cost, as described below. If a Developer chooses not to connect to the NECCO system, then they are required to meet typical stormwater requirements without the benefit of NECCO. Since the NECCO proportionate cost for a development only covers their share of the NECCO stormwater system which serves as a gateway to the City’s stormwater infrastructure, all properties still pay the standard Stormwater plant investment fees (PIFs) in addition to their share of the NECCO cost. In allocating the costs for the NECCO improvements, the impacted area was analyzed to determine which portion of the area was developed and which portion of the area was undeveloped. To define proportionate cost shares, the NECCO system was broken down into individual project components and the cost of each component was divided among the area benefitting from that component (e.g. only those areas receiving a benefit from the regional pond pay for the regional pond). Based on the analyses, it was determined that the City’s share of the NECCO system would be approximately 49% and the appropriate developer share of the Project would be approximately 51%. To date, the City has been constructing improvements and is being re-paid for a pro-rata share of costs for the “developer share” of the Project as development occurs through development and/or repay agreements. The City will stop collecting allocated costs once development’s appropriate share of NECCO improvements has been satisfied. Current costs are based on a combination of estimated future and actual construction costs. The cost for a developer to buy into the NECCO system will be updated to reflect actual construction costs as improvements are constructed. Although the NECCO project has a long history and is partially constructed, the purpose of the proposed ordinance is to formalize the allocation of costs between the City and benefitted development, and the 3 allocation of the developer share of improvement costs among benefitted properties as they develop or redevelop. Project Costs Attachment 1 - NECCO Cost Breakdown Analysis shows the total estimated cost of the NECCO system to be $13.9M of which development’s share is 51.5% or $7.2M and the City’s share is 48.5% or $6.8M. To date, $7.6M of improvements have been completed and $875K has been received by development buying into the NECCO system. As development and redevelopment continues in this area it is expected that the full $7.2M of the developer share of these improvements will be received into the Stormwater Enterprise. Public Outreach Significant public outreach has been completed over the course of the NECCO planning and various capital projects, beginning in 2008 through February of 2019. Outreach has been focused on property owners in the vicinity of the NECCO infrastructure that can be served by the improvements, the North College Citizen’s Advisory Group, and the Urban Renewal Authority. DISCUSSION / NEXT STEPS Mayor Troxell; Please talk about what you have proposed in the context of URA as there was no mention of URA. 4 Theresa Connor; this was developed before the URA - they did contribute to some land cost for the pond as part of this project. In context with other projects, this wraps up the cost share portion of NECCO and formalizes with Council approval how we cost share with the private sector. For all of the undeveloped properties - it provides at least a portion of the stormwater system – regional pond will provide detention and water quality treatment. Before NECCO all of the properties had to build their own stormwater outfall systems. Darin Atteberry; do property owners need to notify us of an opt in now or can they do that at any time? Theresa Connor; they can do that at any time Darin Atteberry; so, this is just away for us to recapture some of our expense Is the opt in price equal to the marginal increase in additional capacity? Lance Smith; the costs are allocated depending on which portions of the system improvements you are benefitting from and how much of that capacity you are using. Darin Atteberry; so, we are building the whole system - regardless of opt in Theresa Connor; if they don’t opt in, they will have to build their own outfall - so it is voluntary but would be cost prohibitive -we have worked together collaborative to date - it is an attractive offer and we think they will opt in. Ken Summers; I am in support but have a few questions. Do we want to give them an option? Is that really in our best interest? Does it even make sense to offer an option? Based on that, we are looking at a recommendation to codify existing practices. I assume those who have participated feel this is fair, cost effective and adequate. Do we really want parallel systems? Theresa Connor; NECCO System Schematic; the area in red already constructed - blue laterals - thought development agreements - we may work with PDT when they do Vine/ Lemay - this area will develop as developers or other opportunity come to us. Darin Atteberry; where does the pond drain out? Shane Boyle; It does drain - off of Redwood - drains due east into Lemay and is pumped into the A4 lateral - working to fix the A4 lateral and that is gravity Ross Cunniff; with the cost sharing - the public benefits regardless of benefit to developers to pay less money. Can you go over public benefits? Darin Atteberry; is the stormwater rate payer paying for the oversizing? 5 ACTION ITEM: Theresa Connor; Majority of benefit are to existing owners - 49% and 51% between existing rate payers and future development Ross Cunniff; add that to the Council presentation - front and center Lance Smith; we do have some exposure if the development decided to do this themselves, the rate payers would be impacted - to date we have recovered about $1M of the $7M Theresa Connor; they would have to construct their own outfall – the cost of that directs them toward NECCO project - for our citizens this is very cost effective per acre. Partnership is good. Mayor Troxell, Ross Cunniff and Ken Summers support going forward with this topic to the full Council. B. Vine/Lemay TCEF Funding Chad Crager, City Engineer SUBJECT FOR DISCUSSION Financing alternatives for the Lemay Avenue realignment project from Lincoln Avenue to Conifer Street. The project also includes a new intersection of Lemay Avenue and Suniga Road, the extension of Buckingham Street, and a grade separated crossing of the Burlington Northern Santa Fe (BNSF) Railway. EXECUTIVE SUMMARY The purpose of this item is to present and discuss potential financing alternatives for this high priority transportation capital improvement project. Staff has recently completed the plans for the 50% design, a majority of the right-of-way (ROW) acquisitions, and construction of the Phase One roadway embankment in collaboration with the Utilities Department. The total current project (design, right-of-way, and construction) cost is estimated at $23.5M. Current project funding includes: The Budgeting for Outcomes (BFO) process, the City’s Transportation Capital Expansion Fee (TCEF) Reserves, and Developer contributions for Local Street obligations. To date, $3.7 M has been appropriated to Phase One of the project and all funds have been expended. Phase Two would be a $9.1 M appropriation from TCEF reserves. The Phase Three funding needed for the project is $10.5 M (in 2019 dollars). GENERAL DIRECTION SOUGHT AND SPECIFIC QUESTIONS TO BE ANSWERED Staff is seeking direction regarding an appropriation of the TCEF reserves. Completion of Phase II will allow staff to further refine the proposed construction schedule and stay on track for a project opening date in the next budget cycle. Questions for the Council Finance Committee: Does the Council Finance Committee support a Summer 2019 appropriation of the TCEF reserves in the amount of $9.1M for Phase Two funding? -1- ORDINANCE NO. 076, 2019 OF THE COUNCIL OF THE CITY OF FORT COLLINS APPROVING, AFFIRMING AND RATIFYING FUNDING OF THE NON-CITY SHARE OF THE NECCO PROJECT BY OFFERING TO OWNERS AND DEVELOPERS OF PROPERTY WITHIN THE NECCO AREA A PROPORTIONATE BUY-IN TO CONNECT TO THE NECCO PROJECT WHEREAS, on June 1, 2004, City Council adopted Ordinance No. 057, 2004, adopting updated Master Drainage Plans for the City, including the Dry Creek Master Plan, December 2002, which identified stormwater drainage improvement projects within the basin; and WHEREAS, on December 21, 2004, City Council adopted Resolution 2004-151 finding the area in and around North College Avenue described therein (the “North College Area”) to be blighted and Resolution 2004-152 approving the North College Avenue Urban Renewal Plan to facilitate elimination and prevention of such blight and promote the redevelopment, conservation, and rehabilitation of the North College Area under the governance of the Urban Renewal Authority (“URA”), all in accordance with the Colorado Urban Renewal Law (CRS Section 31-25-1010, et seq.); and WHEREAS, the City designed and constructed the Dry Creek Drainage Improvements (consisting of the Douglas Dam fuseplug, Flood Control Basins 1 and 2, improvements to the Larimer and Weld Canal, a SCADA system at the Larimer and Weld Canal headgate motors, and the East Vine Diversion channel) to reduce and mitigate flooding risks in the drainage basin; and WHEREAS, on June 17, 2008, the Federal Emergency Management Agency (FEMA) adopted a new, reduced 100-year Dry Creek floodplain in conjunction with a Physical Map Revision that identified reduction of flooding risk because of the Dry Creek Drainage Improvements; and WHEREAS, the Dry Creek Master Plan, December 2002 did not identify stormwater improvements for the North College Area, a portion of which came to be referred to as the Northeast College Corridor Outfall (“NECCO”) project; and WHEREAS, the North College Drainage Improvement Design Report, February 2006 (Ayres Associates), identified master planned regional stormwater improvements serving the North College Area and the NECCO area; and WHEREAS, on March 20, 2007, City Council adopted Resolution 2007-032 adopting the updated North College Corridor Plan as an element of the City’s Comprehensive Plan, recognizing resolution of Dry Creek flooding issues in the North College Area by completion of a system of upstream facilities over multiple years, citing lack of adequate drainage as the primary obstacle to creation of the desired street patterns and development within the Area and including regional detention ponds to eliminate the need for on-site detention in individual (re)development projects and provide a simple and efficient stormwater solution; and -2- WHEREAS, in response to a proposed development in 2009, which was not subsequently completed, Stormwater Utility staff completed engineering plans for construction of the NECCO project as a unified regional stormwater system for an area east of College Avenue to Lemay Avenue and South of Willox Avenue to East Vine Drive, including a regional detention pond west of Redwood Drive, (the “NECCO Area”) generally depicted on attached Exhibit “A,” which is incorporated by this reference, and an outfall pipe connecting the pond to the East Vine Drive Diversion channel east of Lemay Avenue (collectively, the “NECCO Project”) and WHEREAS, on May 4, 2010, City Council adopted Resolution 2010-023 approving the North College Infrastructure Funding Plan as a framework for coordinating work efforts and decision-making related to a prioritized list of infrastructure projects needed in the North College Area, including the NECCO Project; and WHEREAS, the City Stormwater Utility purchased the real property for the NECCO regional pond in June 2010; and WHEREAS, City Council subsequently approved a loan in the amount of $326,472 from the Stormwater Utility to the URA (Resolution 2011-032) and appropriated the funds for that loan (Ordinance No. 061, 2011) for the URA’s contribution to the cost of acquiring the NECCO pond site to facilitate regionalized stormwater control in the NECCO Area, facilitate redevelopment and improve watershed health impacted by uncontrolled runoff from the Area; and WHEREAS, based on an analysis of the existing drainage issues and regional stormwater needs, the existing state of development within the area (developed v. undeveloped), the future development/redevelopment stormwater needs in the NECCO Area and an analysis of the benefit to the properties available for development/redevelopment, Utility Stormwater staff developed a system of allocating the estimated costs of the NECCO Project to be borne by the City (49% of the total estimated cost, referred to as the “City Share”) and by the properties available for new development (and redevelopment) within the NECCO Area (51% of the total estimated costs, referred to as the “Non-City Share”); and WHEREAS, the cost of each individual component of the NECCO Project included in the Non-City Share was further allocated among the areas benefitting from that component (for example, the Non-City Share of the cost of the regional pond is allocated among property within the NECCO Area based on the benefit received from the regional pond), as shown on the map of the NECCO Area attached as Exhibit “A,” to calculate the “Development Proportionate Buy-In”; and WHEREAS, the methodology for calculating the Development Proportionate Buy-In for benefitted properties is generally illustrated on Exhibit “B” attached hereto (although dollars shown are estimates in some cases and are not intended to be fixed); and WHEREAS, in the 2013-2014 budget cycle, Council’s approved budget included funding of $1.1M for the NECCO Regional Pond (BFO Offer 202.2 NECCO); and -3- WHEREAS, on November 21, 2013, the City entered into a Development Agreement with Breckenridge Group Fort Collins Colorado, LLC for the Aspen Heights project pursuant to which the Developer constructed certain off-site stormwater improvements that are part of the NECCO Project at a total cost $1,021,030 and the City agreed to repay the developer for that portion of the regional improvements in excess of the development’s agreed upon portion of costs ($372,569), up to a maximum repayment of $648,461; and WHEREAS, in the 2015-2016 budget cycle, Council’s approved budget included funding of $.5M - $2.5M in 2015 and $2.5M in 2016 for the NECCO Project (2015-2016 BFO – Offer 71.2 Utilities Capital Project: Stormwater NECCO Improvements (phase 2)); and WHEREAS, in the 2017-2018 budget cycle, Council’s approved budget included funding of $3.3M - $1.6M in 2017 and $1.7M in 2018 for the NECCO Project (2017-2018 BFO – Offer 8.21 Capital Project – Utilities: Stormwater Phase 3); and WHEREAS, it is anticipated the remainder of the NECCO Improvements will be funded by a combination of City Capital Improvement Projects and Development Proportionate Buy-In; and WHEREAS, the City and Sasick Properties (doing business as Raw Urth) entered into a Development Agreement dated March 24, 2016, pursuant to which the developer agreed to pay a Development Proportional Buy-In of $26,047 for development of its property within the NECCO Area; and WHEREAS, the City and Crowne at Old Towne North entered into a Development Agreement dated April 4, 2018, pursuant to which the developer constructed a portion of the NECCO Improvements and the City agreed to reimburse the developer in an amount not to exceed $298,339 for the City’s Share of such Improvements, with the unreimbursed cost being the agreed upon Development Proportional Buy-In in exchange for its right to connect its property to the NECCO Project; and WHEREAS, the City and OTN FC, LLC (Old Town North Third) entered into a Development Agreement dated April 11, 2018, pursuant to which the developer agreed to pay its applicable Development Proportionate Buy-In, to be allocated to and paid with building permit fees for each lot in the development in exchange for its right to connect its property to the NECCO Project; and WHEREAS, City stormwater utility staff continues to offer (re)developments of property in the NECCO Area the opportunity to pay its Development Proportionate Buy-In in order to connect to the NECCO Project in lieu of providing separate stormwater facilities to meet City development standards; and WHEREAS, the City Stormwater Utility desires to formalize the arrangement to offer (re)development in the NECCO Area Development Proportionate Buy-In moving forward and recommends that Council formally approve, affirm and ratify this approach to funding the Non- City Share of the NECCO Project estimated costs of 51% ($6,445,155), which portion is -4- available to serve the stormwater needs of private development/redevelopment within the NECCO Area that may otherwise be required to provide private stormwater facilities on site to meet City development standards. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That the City Council hereby makes any and all determinations and findings contained in the recitals set forth above. Section 2. That the City Council hereby approves, affirms and ratifies funding the Non-City Share of the NECCO Project by offering to owners and developers of property within the NECCO Area the opportunity to pay its Development Proportionate Buy-In in order to connect to the NECCO Project in lieu of providing separate stormwater facilities to meet City development standards; and Section 3. That the City Council hereby authorizes the City Manager or his designee to enter into development agreements with and as requested by developers and owners of property within the NECCO Area that include payment of a Development Proportionate Buy-In calculated in accordance with the methodology generally illustrated on Exhibit “B” attached hereto as a condition to connecting to and utilizing the NECCO PROJECT to serve such property, in lieu of providing private stormwater facilities to meet City development standards. Introduced, considered favorably on first reading, and ordered published this 4th day of June, A.D. 2019, and to be presented for final passage on the 2nd day of July, A.D. 2019. __________________________________ Mayor Pro Tem ATTEST: _______________________________ City Clerk Passed and adopted on final reading on the 2nd day of July, A.D. 2019. __________________________________ Mayor ATTEST: _______________________________ City Clerk /DULPHU:HOG&DQDO 9LQH'ULYH 6XQLJD &RQLIHU +LFNRU\ &RQLIHU &ROOHJH /HPD\ EXHIBIT EXHIBIT A Larimer Weld Canal Conifer Suniga Vine Drive Hickory Conifer NECCO Cost Breakdown Analysis By: SB Date: 1/23/2011 (Updated 5-17-2018 to reflect actual costs for backbone and regional pond) Contributing Total Area NECCO Improvement Cost (acres) Pipe Network Into Regional Pond $5,721,600 237.5 Includes all areas that are conveyed to the regional pond via the proposed pipe network. Regional Detention Pond $1,310,000 187.0 Includes all areas that are served by the regional pond, including water quality capture volume (See subsets below for pond volume). WQ Volume (acre-ft) 10.44 Pink (Except Basin 102), Orange, Red, Blue Water quality volume subset. Detention Volume (acre-ft) 30.02 Orange, Blue Detention volume subset. Redwood Pond and Outfall $621,450 118.2 Includes all areas served by the Redwood detention pond and associated outfall. Outfall From Regional Pond to Vine Drive $4,990,000 647.3 Includes all basins tributary to the project. Total Project Cost = $12,643,050 Map Area Basin Allocated Basin WQ+Det WQ+Det Detention Allocated Basin Allocated Basin Allocated Total Cost Color Basin (acres) Contribution? Areal % Cost Contribution? Vol (ac-ft) Vol % Areal % Cost Contribution? Areal % Cost Contribution? Areal % Cost Cost per acre PINK GROUP SUMMARY 75.7 Yes 31.87% $1,823,685 Yes 1.65 4.08% 0.00% $53,423 No 0.00% $0 Yes 11.69% $583,567 $2,460,675 $32,506 ORANGE GROUP SUMMARY 118.6 Yes 49.94% $2,857,186 Yes 18.60 45.98% 63.42% $602,383 No 0.00% $0 Yes 18.32% $914,281 $4,373,850 $36,879 BLUE GROUP SUMMARY 68.4 Yes 18.19% $1,040,729 Yes 20.21 49.94% 36.58% $654,194 No 0.00% $0 Yes 10.57% $527,292 $2,222,215 $32,489 GREEN GROUP SUMMARY 118.2 No 0.00% $0 No 0 0.00% 0.00% $0 Yes 100.00% $621,450 Yes 18.26% $911,197 $1,532,647 $12,967 YELLOW GROUP SUMMARY 228.6 No 0.00% $0 No 0 0.00% 0.00% $0 No 0.00% $0 Yes 35.32% $1,762,265 $1,762,265 $7,709 GOLD GROUP SUMMARY 37.8 No 0.00% $0 No 0.00% 0.00% $0 No 0.00% $0 Yes 5.84% $291,398 $291,398 $7,709 Totals 100.00% $5,721,600 100.00% 100.00% $1,310,000 100.00% $621,450 100.00% $4,990,000 $12,643,050 Contributing Areas (map color) Pink, Orange, Red, Blue (Except Basins 126, 127, 526) Redwood Pond and Outfall Outfall From Regional Pond to Vine Dr Green All Pipe Network Into Regional Pond Regional Detention Pond NOTE: dollars may be estimates for improvements not completed at any point in time and are subject to adjustment. EXHIBIT B MUDDLER CT ATTACHMENT 1 /