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Item 4Q - MemoItem 4Q Page 1 of 2 M E M O R A N D U M (April 5, 2022) To: Shana Yelverton, City Manager From: Rob Cohen, Director of Public Works Subject: Approve an Interlocal Agreement (ILA) with the City of Keller for shared design and construction costs to the intersection improvements at FM 1709 and Pearson Lane. Action Requested: Approve an Interlocal Agreement (ILA) with the City of Keller for shared design and construction costs to the intersection improvements at FM 1709 and Pearson Lane. Background Information: The intersection improvements at FM 1709 and Pearson Lane will add dedicated left turn lanes from North and South Pearson Lane onto FM 1709, including traffic signal and pedestrian modifications as identified in the City of Southlake’s 2017 Citywide Intersection Capacity Analysis report. The scope of the ILA outlines the FM 1709 and Pearson Lane intersection improvements at the Southlake/Keller border and both municipalities desire to provide these modifications to increase mobility and alleviate congestion. Tarrant County selected this project for inclusion in the 2021 bond program, with the County funding 50% of the total project cost. The remaining 50% will be shared between the City of Keller and the City of Southlake. Much of the project is within Southlake City limits and therefore the cost share agreed upon is 75%/25%, where the City of Keller will reimburse 25% of all design and construction costs incurred by the City of Southlake for the improvements as defined in the ILA. The City of Keller approved the ILA at their March 1, 2022 meeting. Financial Considerations: The ILA with the City of Keller is a no cost agreement to the City. The total estimated cost to complete design and construction is $3,000,000. Under the terms of the bond program, $1,500,000 will be funded by Tarrant County, while the remaining $1,500,000 will be shared between Southlake and Keller. As defined in the ILA, Southlake will cover 75% of the project costs with Keller reimbursing 25% to Southlake. Item 4Q Page 2 of 2 Strategic Link: This item links to the City’s Strategy Map strategic focus areas of Safety & Security, Mobility, Infrastructure, and Partnerships & Volunteerism. It specifically relates to the City’s Corporate Objectives, C1: Achieve The Highest Standards Of Safety & Security, C2: Provide Travel Convenience Within City & Region, B2: Collaborate With Select Partners To Implement Service Solutions, and F2: Invest To Provide & Maintain High Quality Public Assets. The Critical Business Outcomes are, CBO2: Enhance Mobility Through Aggressive Traffic Management Initiatives And Capital Project Implementation, and CBO5: Improve Quality Of Life Through Progressive Implementation Of Southlake’s Comprehensive Plan Recommendations. Citizen Input/ Board Review: None. Legal Review: The City Attorney has reviewed the agreement. Alternatives: The City Council may approve or deny the agreement. Supporting Documents: Attachment A: ILA with City of Keller Staff Recommendation: Approve an Interlocal Agreement (ILA) with the City of Keller for shared design and construction costs to the intersection improvements at FM 1709 and Pearson Lane. Staff Contact: Rob Cohen, Director of Public Works Kevin Ferrer, P.E., Deputy City Engineer Jeff Ginn, P.E., Civil Engineer To: Mark R. Hafner, City Manager From: Alonzo Liñán, Director of Public Works Subject: ..Title Consider a resolution authorizing the City Manager to execute an Interlocal Agreement with the City of Southlake to make improvements to the intersection of Pearson Road and FM1709/Keller Parkway/Southlake Boulevard ..Body Action Requested: Consider a resolution authorizing the City Manager to execute an Interlocal Agreement with the City of Southlake to make improvements to the intersection of Pearson Road and FM1709/Keller Parkway/Southlake Boulevard Background: In January 2021, Tarrant County issued a Call for Projects to municipalities to submit potential projects to be included in the fall 2021 bond referendum. While the City of Keller submitted projects that were solely under Keller control, one project the C ity of Southlake submitted was done with the support of Keller for the project as well as a commitment to participate in the cost of this project if it was successfully supported in the Fall Referendum. With the successful support of this project in the Fall Referendum, the City of Southlake is now ready to start the project and requires an Interlocal Agreement (ILA) with Keller to begin the project (Exhibit A). The joint project with Southlake is at the intersection of Pearson Road & and FM1709/Keller Parkway/Southlake Boulevard. The scope of the work is to construct northbound and southbound left turn lanes, reprogram the traffic signal, and improve pedestrian accommodations. The project is estimated to cost $3M with Southlake taking the lead on this project. Additional right of way and utility relocation will also be required. The attached ILA outlines project scope, schedule, and cost sharing as summarized on Exhibit B. A site map of the project location is also included for reference as Exhibit C. Because this project has been selected by the county for inclusion in the 2021 program, this ILA formalizes commitments by Southlake and Keller to split the County required 50% local share 25/75 between Keller and Southlake respectively. Financial Impact: Funding is included in the Street System CIP budget with funding provided by the General Fund. Citizen Input/Board Review: Not Applicable. Attachment A Legal Review: The City Attorney has review and approved. Alternatives: City Council has the following alternatives: - Approve as submitted - Approve with changes - Denial Council Action: Staff recommends approval of the proposed resolution as presented. RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF KELLER, TEXAS, APPROVING AN INTERLOCAL AGREEMENT WITH THE CITY OF SOUTHLAKE FOR THE FUNDING OF INTERSECTION IMPROVEMENTS AT THE INTERSECTION OF PEARSON ROAD AND FM1709/KELLER PARKWAY/SOUTHLAKE BOULEVARD. WHEREAS, the Tarrant County Commissioners have successfully passed the 2021 Transportation Bond Program; and WHEREAS, the proposed improvement of the Pearson Road and FM1709/Keller Parkway/Southlake Boulevard intersection was identified by the City of Southlake, supported by the City of Keller, and was included in the 2021 Transportation Bond Program; and WHEREAS, it is understood that the 2021 Transportation Bond Program requires that fifty percent (50%) of the cost of successful p rojects would come from the local funds and the other fifty percent (50%) from county funds; and WHEREAS, it has been determined by the City Council of the City of Keller, Texas that it is in the best interest of the health, safety and general welfare of the citizens of the City of Keller to enter into an Interlocal Agreement with the City of Southlake, Texas to jointly share in providing the required local funds for this said intersection improvements; and WHEREAS, the ratio of project cost participation by the City of Keller will not exceed twenty-five percent (25%) of the local share requirement or $375,000.00, whichever is less. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF KELLER, TEXAS: Section 1: THAT, the above findings are hereby found to be true and correct and Section 2: THAT, the City Council of the City of Keller, Texas hereby approves an Interlocal Agreement with the City of Southlake for the funding of intersection improvements at the intersection of Pearson Road and FM1709/Keller Parkway/Southlake Boulevard. AND IT IS SO RESOLVED. Passed by a vote of __ to __ on this the 1st day of March, 2022. CITY OF KELLER, TEXAS BY: _________________________ Armin R. Mizani, Mayor ATTEST: _________________________________ Kelly Ballard, City Secretary Approved as to Form and Legality: _________________________________ L. Stanton Lowry, City Attorney CITE' SECRETARY Exhibit A CONTRACT NO . INTERLOCAL AGREEMENT Between the City of Keller and the City of Southlake This Interlocal Agreement ( hereinafter the "Agreement" ) regarding funding an intersection improvement project is made and entered into by and between the CITY OF KELLER ( hereinafter " Keller" ) and the CITY OF SOUTHLAKE ( hereinafter "Southlake" ), which are both home rule municipal corporations and political subdivisions of the State of Texas . Keller and Southlake are referred to herein individually as a " Party" and collectively as the " Parties . " RECITALS WHEREAS, this Agreement is made pursuant to Chapter 791 of the Texas Government Code ; and WHEREAS, to the extent necessary the Parties will use current revenues to pay obligations in this Agreement; and WHEREAS, the project serves a public purpose ; and WHEREAS, Keller and Southlake each have the legal authorityto perform its obligations in this Agreement; and WHEREAS, the division of costs provided in this Agreement constitutes adequate consideration to each party; and WHEREAS, the Parties acknowledge they are each a "governmental entity" and not a " business entity" as those terms are defined in Tex . Gov't . Code sect . 2252 , 908, and therefore, no disclosure of interested parties is required ; and WHEREAS, it is mutually advantageous to both parties to enter into this Agreement : AGREEMENTS, TERMS AND CONDITIONS NOW, THEREFORE, for and in consideration of the mutual covenants, terms and conditions set forth herein, and the mutual benefits to each party, the receipt and sufficiency of which are hereby acknowledged, the Parties hereby contract, covenant, warrant and agree as follows : I . ADOPTION OF RECITALS All of the matters stated in the Recitals stated above are agreed to be true and correct and are hereby incorporated into the body of the Agreement by reference as though fully set forth in their entirety herein . II . PROJECT DESCRIPTION This Project will include improvements at the intersection at FM 1709 and Pearson Lane to help alleviate traffic backups during peak hours . ( hereinafter the " Project" ) . III . RESPONSIBILITIES OF THE PARTIES; COST APPORTIONMENT 3 . 1 Keller shall be responsible for the following : ( a ) Reimbursing Southlake for twenty-five percent ( 25 % ) of all remaining Project design and construction costs plus any additional costs incurred by Southlake . Remaining Project costs include all costs incurred less reimbursements to be paid through the 2021 Tarrant County Bond Election . (b) TxDOT ' s construction standards will apply to the Project, including those portions of the Project that extend into Southlake ' s City Limits (c) Keller will appoint a representative that will be responsible for timely reviewing the design and approving location and placement of equipment within its right of way . 3 . 2 Southlake shall be responsible for the following : ( a ) Seventy-five percent ( 75 % ) of all remaining Project design and construction costs plus any additional costs incurred by Southlake . Remaining Project costs are all Project costs less the requested funding to be paid through the 2021 Tarrant County Bond Election . ( b ) TxDOT' s construction standards will apply to the Project, including those portions of the Project that extend into Keller' s City Limits ( c) Southlake will appoint a representative that will be responsible for timely reviewing the design and approving location and placement of equipment within its right of way . 3 . 3 Fiscal Agent . Southlake shall serve as the fiscal agent of the Parties for purposes of the Project . Southlake will review, approve, and pay the bills incurred for the Project and will then bill Keller for its respective share . Keller is entitled to request a copy of any bill for review, prior to or following Southlake' s payment of the same, provided that Keller may not unreasonably delay timely payment of any bill approved for payment by Southlake . Unless otherwise provided in this Agreement, Keller will remit payment to Southlake within thirty ( 30 ) days of receipt of any and all invoices . 3 . 4 Rights- of-way. The Parties agree to provide necessary access to their respective rights-of-way for the Project . The Parties will designate a single point of contact for managing rights- of-way issues . IV. COST Cost participation is contingent upon project approval through the 2021 Tarrant County Bond Election . Keller agrees to fund the actual costs of the Project by reimbursing Southlake . Payment to Southlake shall be in accordance with the funding schedule set forth in Attachment A, which is attached hereto and hereby made a part of this Agreement for all purposes . The Parties agree Keller has no obligation to provide payments during schedule delays . The Parties further agree Keller' s payments for the Project are contingent upon approval of additional funding from the 2021 Tarrant County Bond Election , and the Southlake' s and Keller' s reasonable determination that the work for which reimbursement is sought has been successfully completed , which shall not be unreasonably withheld . Prior to the final payment, Southlake agrees to provide certification signed by the City Manager or other authorized official that the work has been completed and that the funds being requested have been expended . The Parties acknowledge that the funding contained herein is designated for the costs of the Project, as defined in Section I . V. AGENCY- INDEPENDENT CONTRACTOR Neither Keller nor any employee thereof is an agent of Southlake and neither Southlake nor any employee thereof is an agent of Keller . Each party shall supervise the performance of its own personnel and shall not be entitled to control the manner and means by which its work and services are to be performed , subject to the terms of this Agreement . It is understood and agreed by and between the Parties that each , in satisfying the conditions of this Agreement, is acting independently, and that neither assumes responsibility or liability to any third party in connection with their performance of this Agreement . This Agreement does not and shall not be construed to entitle either party or any of their respective employees, if applicable, to any benefit, privilege or other amenities of employment by the other party . Southlake agrees that the Keller will have no right to control the manner or means of construction of the Project . VI . ASSIGNMENT Neither Party may assign , in whole or in part, any interest it may have in this Agreement without the prior written consent of the other Party. VII , THIRD - PARTY BENEFICIARY EXCLUDED No person other than a party to this Agreement may bring a cause of action pursuant to this Agreement as a third - party beneficiary . VIII . AUDIT OF RECORDS Southlake' s records regarding this Project shall be subject to audit by Keller during the term of this Agreement and for two years after the completion of the project . IX . ENTIRE AGREEMENT This Agreement represents the entire understanding of and between the Parties and supersedes all prior representations . This Agreement may not be varied orally, but must be amended by written document of subsequent date duly executed by these Parties . This Agreement shall be governed by the laws of the State of Texas and venue for any action under this Agreement shall be in the district courts of Tarrant County, Texas , X . NO WAIVER This Agreement may not be interpreted to waive the sovereign or governmental immunity of any Party to this Agreement to the extent such Party enjoys immunity under Texas law . XI . NOTICE Any notice or other writing required by this Agreement shall be deemed given when personally delivered or mailed by certified or registered United States mail, return - receipt, postage prepaid , address as follows : KELLER : SOUTHLAKE : City Manager City Manager Re : FM 1709 & Pearson Re : FM1709 & Pearson City of Keller City of Southlake 1100 Bear Creek Parkway 1400 Main Street Keller, Texas 76248 Southlake, Texas 76092 XII. SEVERABILITY If, in case any one or more of the provisions contained in this Agreement shall for any reason be held to be invalid , illegal , or unenforceable in any respect, such invalidity, illegality, or unenforceability shall not affect any other provision hereof and this Agreement shall be construed as if such invalid, illegal or unenforceable provision had never been contained herein . XIII. AUTHORITY Each person signing this Agreement warrants that person has received authority from the governing body of the party for which it is signing this Agreement to enter into this Agreement . Signature page to follow EXECUTED hereto on the date(s) shown below . City of Southlake, Texas City of Keller, Texas By : Bye John Huffman, Mayor Armin Mizani, Mayor Attest : Att st : Amy Shelley Kelly Ballard Southlake City Secretary Keller City Secretary APPROVED AS TO FORM : APPROVED AS TO FORM : l /~ - di Allen Taylor Jr. Stanton Lowry City Attorney City Attorney ATTACHMENT A  Project Information City: City of Southlake Project Name: FM 1709 & Pearson Lane Intersection Improvements Proposed Project Schedule Phase Start Date Duration (mos) End Date * Design: In progress 12 December 2022 ROW Acquisition: In Progress 4 May 2022 Utility Relocation: December 2022 4 April 2023 Construction: May 2023 9 February 2024 * Keller agrees to fund 25% of the actual costs of the Project incurred by Southlake, up to the amount of $375,000 by reimbursing Southlake for work completed. Keller’s payments to Southlake for the Project are contingent upon the Southlake’s and Keller’s reasonable determination that the work for which reimbursement is expected is successfully completed, which shall not be unreasonably withheld. Keller retains control over the Keller funding disbursement schedule identified herein. Keller agrees to notify Southlake of any changes to the disbursement schedule 30 days in advance in accordance with Section X of this Agreement. Proposed Payment Estimates by Phase Phase Tarrant County Funding Southlake Payments Keller Payments Total Design: $ 200,000 $ 150,000 $ 50,000 $ 400,000 ROW Acquisition: $ 150,000 $ 112,500 $ 37,500 $ 300,000 Utility Relocation: $ 200,000 $ 150,000 $ 50,000 $ 400,000 Construction: $ 950,000 $ 712,500 $ 237,500 $1,900,000 Total: $ 1,500,000 $ 1,125,000 $ 375,000 $ 3,000,000 Proposed payment estimates by phase. Phase Tarrant County Funding Southlake Payments Keller Payments Total Start Date Duration (mos) End Date Design: $ 200,000 $ 150,000 $50,000 $ 400,000 In progress 12 Dec 2022 ROW Acq: $ 150,000 $ 112,500 $37,500 $ 300,000 In Progress 4 May 2022 Utility Relocates: $ 200,000 $ 150,000 $50,000 $ 400,000 Dec 2022 4 Apr 2022 Const: $ 950,000 $ 712,500 $237,500 $1,900,000 May 2023 9 Feb 2024 Total: $1,500,000 $1,125,000 $375,000 $3,000,000 Intersection Exhibits Delay (SEC/VEH) LOS Delay (SEC/VEH)LOS Delay (SEC/VEH) LOS Delay (SEC/VEH)LOS EB 50.1 D 29.6 C 26.0 C 21.6 C WB 12.6 B 17.0 B 9.1 A 9.1 A NB 103.2 236.2 50.8 D 50.9 D SB 36.0 D 45.2 D 32.7 C 47.4 D Overall 46.8 D 38.1 D 26.0 C 20.3 C1Southlake Boulevard (FM 1709) at Pearson Lane Intersection Controlled Approach Existing 2016 Traffic Existing Conditions Existing 2016 Traffic with Proposed Recommendations 1 AM Peak Hour PM Peak Hour AM Peak Hour PM Peak Hour