20A - AA THIRD & BROADWAY CONSULTANT

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Agreement with Elisa Stipkovich August 21, 2018 Page 2 period of the project and identified specific business transaction terms between the City and Caribou Industries to move forward with the development of the Third and Broadway parking garage. City Council also approved an appropriation adjustment to recognize the potential $100,000 in reimbursement from Caribou Industries for the City's expenses related to the services provided by Elisa Stipkovich and Kosmont Companies. Of that total, $46,438.63 was expended for the project and a balance of $53,561.37 remains at the end of FY 2017-18. The next step in the process will be to prepare and present a Disposition and Development Agreement (DDA) with more detailed business terms to City Council for consideration. The DDA will further describe the terms of the transaction, including a schedule of completion with milestones for the developer to achieve. The City will not convey the site until the developer has met all the obligations defined in the DDA, obtained all approved permits and entitlements, and provided proof of financing for the project. In order to develop the Disposition and Development Agreement and finalize all business terms between the City and Caribou Industries, staff is recommending amending the scope of work with Elisa Stipkovich for these services. The consultant's new scope of work is attached as Exhibit 1 to the amendment to the agreement. This contract amount has been included under the reimbursement agreement entered with Caribou Industries to cover costs associated with the negotiation and execution of the ENA and DDA. STRATEGIC PLAN ALIGNMENT Approval of this item allows the City to meet Goal #3 (Economic Development), Objective #5 (Leverage private investment that results in tax base expansion and job creation citywide), Strategy A (Identify and market underutilized properties for new development that will create new jobs and expand the City's tax base). FISCAL IMPACT Approval of the appropriation adjustment will recognize $53,561.37 in the Miscellaneous Revenue Expense Reimbursement account (no. 01102002-57000) and appropriate the same amount to the Community Development Agency's Economic Development Contract Services expenditure account (no. 01118810-62300) in the FY 2018-19 budget. Thereafter, funds will be available in the Economic Development, Contract Services account (no. 01118810-62300) for the amendment to the agreement with Elisa Stipkovich. -25k, AA - Steven A. Mendoza Executive Director Community Development Agency APPROVED AS TO FUNDS AND ACCOUNTS: Sergio Vidal Co Assistant Director Finance and Management Services Agency Exhibit: 1. Amendment to Agreement with Elisa Stipkovich including new scope of work 20A-2