HomeMy WebLinkAbout20B - AA - WARNER AVE AND GRAND AVE WIDENINGREQUEST FOR
COUNCIL ACTION
CITY COUNCIL MEETING DATE:
OCTOBER 15, 2012
TITLE:
SECOND AMENDMENT TO THE JOINT
EXERCISE OF POWERS AGREEMENT
WITH THE CITY OF TUSTIN AND
AMENDMENT TO THE FY 2012/2013
CAPITAL IMPROVEMENT PROGRAM
FOR WARNER AVENUE AND GRAND
AVENUE WIDENING PROJECTS
CITY MANAGER
RECOMMENDED ACTION
CLERK OF COUNCIL USE ONLY:
APPROVED
? As Recommended
? As Amended
? Ordinance on 151 Reading
? Ordinance on 2"d Reading
? Implementing Resolution
? Set Public Hearing For_
CONTINUED TO
FILE NUMBER
1. Authorize the City Manager and Clerk of the Council to execute the attached second
amendment to the Joint Exercise of Powers Agreement with the City of Tustin for reallocation of
Transportation System Improvement Program area fees and bond proceeds, subject to
nonsubstantive changes approved by the City Manager and City Attorney.
2. Amend the Fiscal Year 2012/2013 Capital Improvement Program, and approve an
appropriation adjustment accepting funds in the amounts of $8 million from City of Tustin
Community Facilities District bond proceeds, and $2,919,046 from Transportation System
Improvement Program Area B fees into the Transportation System Improvement Area Revenue
Fund, and appropriating $10,919,046 to the Transportation System Improvement Area
Expenditure Fund for the Warner Avenue Widening Project from Main Street to Grand Avenue.
3. Amend the Fiscal Year 2012/2013 Capital Improvement Program, and approve an
appropriation adjustment accepting funds in the amount of $2,790,262 from Transportation
System Improvement Program Area A fees into the Transportation System Improvement Area
Revenue Fund, and appropriating the same amount to the Transportation System Improvement
Area Expenditure Fund for the Grand Avenue Widening Project from First Street to Fourth
Street.
DISCUSSION
The Cities of Santa Ana and Tustin (Cities) entered into a Joint Exercise of Powers Agreement
(JPA) dated November 6, 1989, creating a Transportation System Improvement Authority (TSIA)
and two Transportation System Improvement Program (TSIP) areas that allow the Cities to charge
fees to new development to offset the cost of transportation system improvements within these
areas (Exhibit 1 a). On February 22, 2001, the JPA was amended to include a funding mechanism
to finance improvements in Santa Ana that would mitigate the traffic impacts identified in the
20B-1
Second Amendment to Agreement
With City of Tustin for JPA
October 15, 2012
Page 2
environmental documents of the development of the former Marine Corps Air Station (MCAS) in
Tustin. On April 17, 2006, the City Council approved a Joint Community Facilities Agreement with
the City of Tustin which required Tustin to fund transportation improvements to the Grand/Edinger
and Grand/Dyer intersections through the issuance of a Community Facilities District (CFD).
Santa Ana is in the process of preparing the environmental analysis for the Warner Avenue
Widening Project from Main Street to Grand Avenue (Exhibit 1b). This priority project will widen
Warner from two to three lanes in each direction, including construction of landscaping in the
parkways and the median islands, traffic improvements, drainage structures, and bike lanes. The
MCAS final environmental documents determined that the Warner Widening Project provides as
equivalent a level of mitigation as the Grand/Edinger Intersection Project. Based on this analysis,
the Cities now desire to transfer $8 million in CFD bond proceeds from the Grand/Edinger
Intersection Improvement Project to the Warner Avenue Widening Project between Main Street
and Grand Avenue.
Additionally, the Authority Governing Board met on October 11, 2012, and approved additional
allocations of $2,790,262 in TSIP Area A funds for the Grand Avenue Widening Project from First
to Fourth (Exhibit 1c), as well as $2,919,046 in TSIP Area B funds for the Warner Avenue
Widening Project. To utilize the CFD and TSIP Areas A and B funds, an amendment to the Capital
Improvement Program for Fiscal Year 2012/2013 and an appropriation adjustment recognizing
these funds is necessary.
ENVIRONMENTAL IMPACT
There is no environmental impact associated with this action.
FISCAL IMPACT
Upon approval of the appropriation adjustment, funds will be available in the Transportation
System Improvement Area Funds (accounting units 99117950-66220 and 99217950-66220).
APPROVED AS TO FUNDS AND ACCOUNTS:
e?
Raul odinez II
Executive Director
Public Works Agency
Francisco Gutierrez
Executive Director
Finance & Management Services Agency/
RG/JG
Exhibits: 1. Location Maps
2. Agreement
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LEGEND
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T. S. I . P. BOUNDARY EXHIBIT 1 a
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SANTA ANA TRLE:
CITY COUNCL SECOND AMENDWENI' TO JOINT EETNERJOISSE OF
P W A AGENDA DATA AMND AME DLE NT TO THE FY 202108 CAPITAL
PICu OCT. 15 2012 MuPROVEkENT PROGRAWI FOR WARNER AVENUE
AND GRAND AVENUE WDENNG PROJECTS
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AMENDMENT TO THE FY 2012/2= CAPITAL
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LEGEND:
IMPROVEMENT AREA
EXHIBIT 1c
SANTA ANA TITLE: BEOOPD AMENDMIEVT TO
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FIRST STREET
FOURTH STREET
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EXHIBIT 2
SECOND AMENDMENT TO JOINT EXERCISE OF
POWERS AGREEMENT BETWEEN THE CITY OF SANTA ANA
AND THE CITY OF TUSTIN REGARDING THE TUSTIN-SANTA ANA
TRANSPORTATION SYSTEM IMPROVEMENT AUTHORITY
THIS SECOND AMENDMENT to the Joint Exercise of Powers
Agreement ("Second Amendment') is entered into as of March 2012, by and
between the City of Santa Ana, a charter city and municipal corporation duly organized
under the Constitution and laws of the State of California ("Santa Ana") and the City of
Tustin, a municipal corporation ("Tustin").
RECITALS
A. Santa Ana and Tustin entered into a Joint Exercise of Powers Agreement
dated November 6, 1989, creating the Santa Ana/Tustin Transportation System
Improvement Authority ("JPA Agreement'). This JPA Agreement created two
Transportation System Improvement Program ("TSIP") areas and, pursuant to the
provisions of Government Code section 6500 et seq., established a legally separate, joint
exercise of powers authority (the "Santa Ana/Tustin Transportation System Improvement
Authority") to exercise various defined powers within the TSIP areas. These powers
include expenditure of developer impact fees ("TSIP Area Fees") to study, plan and
implement area-wide circulation improvements.
B. By Amendment to JPA Agreement (the "Amendment'), dated February
22, 2001, the Parties established a funding mechanism to finance off-site traffic
improvements within the jurisdictional boundaries of Santa Ana (the "Improvements")
required to mitigate the effects of development of the MCAS Tustin property, identified
in the Final Environmental Impact Statement /Environmental Impact Report for the
Disposal and Reuse of MCAS Tustin (the "FEIS/FEIR").
C. The Santa Ana Improvements include both the Grand and Edinger
intersection and the Grand and Dyer intersection in Santa Ana, and require that Tustin
pay its fair share of the Total Costs of both short and long range improvements.
D. The Amendment provides that Santa Ana, in cooperation with Tustin, may
select and implement alternative improvements to those identified in the Amendment as
requiring funding by Tustin.
E. The City of Tustin and the City of Santa Ana entered a Joint Community
Facilities Agreement, dated May 1, 2006, to provide for the financing of the Santa Ana
improvements through issuance of City of Tustin Community Facilities District No. 06-
01 (Tustin Legacy/Lennar Homes) ("Community Facilities District").
F. Tustin in September 2011 previously released bond proceeds from the
Community Facilities District to pay the total cost of Improvements to Grand and Dyer in
the amount of $296,060.00 based on a request from Santa Ana, and Santa Ana released
Tustin from any further Improvement obligations under the JPA Agreement with an
Acknowledgement and Release dated March 28, 2011.
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H. Santa Ana desires to utilize bond proceeds from the Community Facilities
District to pay the cost of certain alternative traffic mitigation measures which they have
determined to provide an equivalent level of mitigation to Grand and Edinger
Improvements identified in the Amendment, and will release Tustin from its obligation to
pay its fair share total cost of all remaining Grand and Edinger Intersection
Improvements.
NOW, THEREFORE, for and in consideration of the mutual promises and covenants
herein, Tustin and Santa Ana agree as follows:
Section 1. Selection of Alternative Improvement
Pursuant to Section D of the Amendment, "Alternative Improvements", Santa
Ana hereby selects, and Tustin approves, releasing bond proceeds from the Community
Facilities District in the amount of Eight Million Dollars ($8,000,000.00) for the Warner
Avenue Widening Project as an Alternative Improvement determined by Santa Ana to
provide an equivalent level of mitigation for Grand and Edinger Improvements in Santa
Ana identified in the Amendment and FEIS/EIR and agreeing that release of these bond
proceeds to Santa Ana will constitute Tustin's fair share of the Total Costs of Grand and
Edinger Improvements as identified in Section B.2 of the Amendment.
Section 2. Funding of Alternative Improvement
Upon Tustin's transfer of Eight Million Dollars ($8,000,000.00) to Santa Ana,
Tustin shall be thereupon relieved of any further fair share or construction responsibility
for the completion of Grand and Edinger Improvements as set forth in Section B.2 of the
Amendment. Further, since Santa Ana is electing to utilize the Community Facilities
District bond proceeds for Alternative Improvement rather than for the Grand and
Edinger Intersection Project, no subsequent mitigation shall be required by Tustin for any
inadequacies in this intersection as a result of the improvements not being made to the
intersection by Santa Ana as a result of Santa Ana's selection of Alternative
Improvements.
Section 3. Use of Funds by Santa Ana and Tustin
3.1 Any and all funds received by Santa Ana from Tustin pursuant to this
Amendment shall be used exclusively for the Warner Avenue Widening Project. Santa
Ana may utilize this money on any phase(s) of the Project, for preliminary costs such as
alignment studies, design, environmental documentation beyond the FEIS/FEIR, property
appraisal for improvements, property acquisition, relocation, lost goodwill, attorney's
fees and court costs, and construction costs. The Parties agree that Santa Ana may utilize
the Alternative Improvement funds as match funds to obtain grant funding for the Project.
3.2 Pursuant to Section E. 2 of the Amendment, Eighty-five percent (85%)
of TSIA fees collected by Tustin from the MCAS Tustin Project will continue to be
solely allocated to Santa Ana for the Warner Avenue Widening Project and utilized
exclusively for the Warner Avenue Widening Project until January 1, 2020 only as it
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relates to the TSIP Area B, as amended by Exhibit D. Notwithstanding the status of
completion of the Warner Avenue Widening Project as identified in Section E. 2 and any
priority originally intended to be given to Improvements to Barranca and Jamboree Road
as identified in Section EA of the Amendment, Santa Ana and Tustin mutually agree that
any additional TSIA Area B fees generated from MCAS Tustin (the remaining "fifteen
percent" or "15%") shall be allocated to Tustin to be used solely for transportation system
improvements determined by Tustin for the MCAS Tustin project and its implementation.
Section 4. This Second Amendment to the JPA Agreement is intended by the parties
as a complete and exclusive statement of the agreement and understanding of the parties
hereto in respect to the selection of an Alternative Improvement contained herein. This
Amendment supersedes any and all prior restrictions, promises, representations,
warranties, agreements, understandings and undertakings between the parties with respect
to such alternative improvement.
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IN WITNESS WHEREOF, the parties hereto have executed this Amendment as
of the date first above written.
SANTA ANA
ATTEST:
MARIA D. HUIZAR
Clerk of the Council
CITY OF SANTA ANA
PAUL M. WALTERS
Interim City Manager
APPROVED AS TO FORM:
JOSEPH STRAKA
Interim City Attorney
APPROVED AS TO CONTENT:
RAUL GODINEZ, II
Executive Director
Public Works Agency
TUSTIN
ATTEST
PAMELA STOKER
City Clerk
CITY OF TUSTIN
JEFFREY C. PARKER
City Manager
APPROVED AS TO FORM:
DAVID KENDIG
City Attorney
APPROVED AS TO CONTENT:
CHRISTINE SHINGLETON
Assistant Executive Director
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