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CONTRACT K-1516-75: A CONTRACT BY AND BETWEEN THE CITY OF NORMAN, OKLAHOMA, AND R. L. SHEARS COMPANY, P.C., IN THE AMOUNT OF $190,715.50 FOR THE DESIGN OF THE DOWNTOWN MAIN STREET STREETSCAPE TRANSPORTATION ENHANCEMENT PROJECT AND BUDGET APPROPRIATION FROM THE CAPITAL FUND BALANCE.
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BACKGROUND: The 2012 - Moving Ahead for Progress in the 21st Century (MAP-21) federal transportation funding bill allocates Federal funds for the implementation of eligible transportation enhancement projects in the state of Oklahoma.
Growing concerns about air quality, open space, and traffic congestion led Congress to create several programs through legislation in the 1991 Intermodal Surface Transportation Efficiency Act (ISTEA). These programs broaden the federal focus on transportation from building highways to funding projects tied to smarter planning requirements that help ensure communities are more “livable”. At the center of that focus about transportation, growth, and quality of life is the Transportation Enhancement Program.
With the passage of the Transportation Equity Act for the 21st Century (TEA-21), and its successors, the Safe, Efficient, Flexible, Effective Transportation Equity Act: a Legacy for the User (SAFETEA-LU) and the current 2012 - Moving Ahead for Progress in the 21st Century (MAP-21), Congress continues to reaffirm its commitment to the original concepts established under ISTEA. Like its predecessors, the new legislation continues to provide a catalyst for stimulating activities which go beyond traditional transportation projects.
Transportation Enhancements (TE) activities offer communities funding opportunities to help expand transportation choices, such as safe bicycle and pedestrian facilities, scenic routes, beautification, and other investments that increase recreation opportunity and access. Communities may also use TE funds to contribute toward the revitalization of local and regional economies by restoring historic buildings, renovating streetscapes, or providing transportation museums and visitors centers.
Federal funds available under the Enhancement Program may be used for a maximum of eighty percent (80%) of the eligible project costs, capped at $600,000 per project. Successful applicants must agree to provide a minimum of twenty percent (20%) of the total project costs. Federal and State Agencies, along with Tribal, County, and Local Governments, are eligible and can apply for the funds.
On August 26, 2010, Council’s Planning and Transportation Committee was briefed on the program’s 11th Biennial Application Cycle that is administered by the Oklahoma Department of Transportation (ODOT), and recommended that the following two projects be pursued:
1. Downtown Main Street Streetscape Improvement Project (West End) from University Boulevard to James Garner Avenue, which consists of streetscape, cobblestone paving bands, street furniture, decorative lighting upgrade, stamp and colored asphalt, sidewalks and accessible ramps.
2. Legacy Trail Extension along 24th Avenue NW and 36th Avenue NW, which consists of a ten-foot wide paved path for pedestrians and bicyclists that will ultimately connect the Downtown area and University of Oklahoma Main Campus to the Ruby Grant Park in NW Norman.
On September 7, 2010, City Council met in Study Session and accepted the recommendations of the Planning and Transportation Committee, directing staff to proceed with the formal application process.
On September 28, 2010, City Council adopted Resolution R-1011-36 supporting the use of federal surface transportation enhancement program funds for the Downtown Main Street Improvement (West End) and the Legacy Trail Extension along 24th Avenue NW and 36th Avenue NW projects, and directed staff to submit formal applications to ODOT.
On September 9, 2014, ODOT informed the City of Norman that the Downtown Main Street Streetscape Improvement (West End) and the Legacy Trail Extension along 24th Avenue NW and 36th Avenue NW projects were among the statewide projects selected for inclusion in their latest Transportation Enhancement Program plan.
DISCUSSION: The Public Works Department evaluated the qualifications of the thirty two ODOT pre-qualified engineering firms available for the design of transportation enhancement projects and selected three for further consideration (Cabbiness Engineering, LLC, R. L. Shears Company, PC, and Landplan Consultants, Inc.). A Selection Committee was formed consisting of Shawn O’Leary - Director of Public Works, Scott Sturtz - City Engineer, Angelo Lombardo - City Transportation Engineer, and two citizens (Stephen Koranda - Chair of the Norman Downtowners Association, and Dr. Tom Woodfin - Chair of the City’s Bicycle Advisory Committee) to interview the three firms. These interviews were conducted on July 30, 2015 and R. L. Shears Company, P.C of Tulsa was selected as the most suited firm to design the Downtown Main Street Streetscape project. Subsequent to the selection, R. L. Shears Company, P.C. developed a detailed scope of service and the related fee of $190,715.50 for the services, both of which City and ODOT staffs have reviewed and found acceptable.
Funding of the work included in the R.L. Shears Company design contract will come from the Transportation Enhancement Program grant and the City’s Capital Budget. The grant is reimbursable with all funding to be up fronted by the City.
In addition to the streetscape transportation enhancement design, the fee also includes services for the design of water line relocations required as part of the project as well as traffic signal interconnect and roadway lighting upgrades funded as a separate project through the Association of Central Oklahoma Governments (ACOG). The breakdown of design fees for each project component is as follows:
• Streetscape Element (Transportation Enhancement) - $126,416.62
• Traffic Signal Interconnect and Roadway Lighting Upgrade Element (Through ACOG) - $42,954.05
• Water Line Relocation Element - $21,344.83
In order to minimize the local share of the total construction cost, City staff was able to secure federal surface transportation safety funds (100% with no local match) through ACOG for the roadway lighting system and traffic signal interconnect upgrades required on the project. At this time, we are unable to determine if this portion will be funded upfront by the City for later reimbursement by ODOT.
The final funding piece of this project comes in the form of a private contribution of $75,000 which will be collected at a later date.
Only the Streetscape (Transportation Enhancement) design element in the R.L. Shears Company, P.C. design contract can be partially funded through the Transportation Enhancement Program grant (80% or $101,133.30). This is the amount that the City will need to up-front. The remaining portion of the streetscape element (20% or $25,283.32) plus 100% of the design cost for the other two elements ($64,298.88) will be funded from the City’s Capital budget. Attachment No. 1 presents a summary of the fees for the different project design elements.
The current Capital Budget includes $1,049,622 to cover the City’s share of the design, utility relocations and construction costs. These funds are distributed as follows:
Account 050-9300-431.62-01 (Design) Project No. TR0047 - $120,000
Account 050-9300-431.61-01 (Construction) Project TR-0047 - $517,622
Account 050-9300-431.67-01 (Utilities) Project TR-0047 - $412,000
In order to better reflect the actual cost of design services and grant participation in the funding, the funds currently available in the FYE 2016 budget need to be redistributed as follows:
Account 050-9300-431.62-01 (Design) Project No. TR0047 - $89,582.20
Account 050-9300-431.61-01 (Construction) Project TR-0047 - $548,039.80
Account 050-9300-431.67-01 (Utilities) Project TR-0047 - $412,000
Additionally, the following accounts will need to be set-up to pay for the up-front cost of the grant and to better track financial transactions involving these funds:
Account 022-9300-431.62-01 (Design) Project TR0047 - $101,133.30
Account 022-9300-431.61-01 (Construction) Project TR-0047 - $498,866.70
If approved, R. L. Shears Company will complete the design work in the next six months with construction of the improvements anticipated to begin in the fall of 2016.
RECOMMENDATION: Staff recommends approval of Contract K-1516-75 between the City of Norman and R. L. Shears Company, P.C. in the amount of $190,715.50 for the services associated with the design of the Downtown Main Street Streetscape Improvement project.
Additionally, staff recommends the redistribution of the $1,049,622 in the current budget as follows:
Account 050-9300-431.62-01 (Design) Project No. TR0047 - $89,582.20
Account 050-9300-431.61-01 (Construction) Project TR-0047 - $548,039.80
Account 050-9300-431.67-01 (Utilities) Project TR-0047 - $412,000
Finally, staff recommends that the following appropriation from the Special Grants Fund (Fund Balance account number 022-0000-253.20-00) to pay the upfront cost and to better track the expenses associated with the federal grant:
Account 022-9300-431.62-01 (Design) Project TR0047 - $101,133.30
Account 022-9300-431.61-01 (Construction) Project TR-0047 - $498,866.70
Grant revenues will be recorded in Account 022-0000-331-1392 (Transportation Enhancement Grants Revenue) and then transferred to the Capital Fund upon receipt of reimbursements from ODOT.