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Item 10DCity of Southlake, Texas MEMORANDUM TO: Billy Campbell, City Manager FROM: Bruce Payne, Planning Director SUBJECT: Consider agreement with the cities of Southlake, Westlake, Keller, and Tarrant County for the expansion of F.M. 1938 Action Requested: Consideration of Interlocal Agreement Background Information: The interlocal agreement is between the cities of Southlake, Keller, and Westlake, and Tarrant and Denton Counties, so that each local government is aware of and agrees to their specific responsibilities necessary to complete the FM 1938 Project. Commissioner Glen Whitley initiated the agreement due to concerns over the language in the Texas Transportation Commission's Minute Order that authorized TxDOT to proceed with the project. Financial Considerations: None. Citizen Input/ Board Review: None. Legal Review: Completed. Alternatives: None. Supporting Documents: Interlocal agreement, attached. Staff Recommendation: Recommend approval of attached interlocal agreement. THE STATE OF TEXAS COUNTY OF TARRANT KNOW ALL BY THESE PRESENTS INTERLOCAL AGREEMENT This Agreement is made and entered into on the date it is fully executed by all parties hereto, by and between the COUNTY OF TARRANT, acting herein by and through its governing body, the Tarrant County Commissioners Court, the COUNTY OF DENTON, acting herein by and through its governing body, the Denton County Commissioners Court, both hereinafter referred to as COUNTIES, and both being political subdivisions of the State of Texas, and the CITY OF KELLER, acting through its governing body, the Keller City Council, the CITY OF SOUTHLAKE, acting through its governing body, the Southlake City Council, and THE TOWN OF WESTLAKE, acting through its governing body, the Westlake Board of Alderman, hereinafter referred to as CITIES, all being municipalities of the State of Texas, witnesseth: WHEREAS, each governing body finds that the performance of this Agreement is in the common interest of all parties, that the undertaking will benefit the public, and that the division of cost fairly compensates the performing party for the services of functions under this Agreement; and WHEREAS, each governing body, in performing governmental functions or in paying for the performance of governmental functions hereunder, shall make the performance or those payments from current revenues legally available to that party; and WHEREAS, it is deemed necessary to make certain improvements to FM 1938 from FM 1709 to SH 114 and which improvements will necessitate the acquisition of certain right -of -way; and WHEREAS, this project is funded with current funds from the COUNTIES, CITIES, State of Texas, and Federal funds; and WHEREAS, it is agreed that such right -of -way purchase shall be by joint effort of the CITIES AND COUNTIES as defined in this Agreement: NOW THEREFORE, be it agreed that acquisition of such right -of -way shall be in accordance with the terms of this agreement and in accordance with applicable Federal and State laws governing the acquisition policies for acquiring real property. The CITIES hereby authorizes and requests the COUNTIES to proceed with acquisition according to the terms and conditions of this agreement. The CITIES Interlocal Cooperation Agreement Page 1 of 6 and COUNTIES agree to share the cost of such right -of -way acquisition according to the provisions defined below; NOW THEREFORE, be it agreed that each city will perform its duties as defined below within its respective municipal boundary and each county will perform its duties as defined within its respective county. Fu Location Surveys and Preparation of Right -of -Way Data: The CITIES, without cost to the COUNTIES, will do the necessary preliminary engineering and survey work in order to supply the COUNTIES the data and instruments necessary to obtain acceptable title to the desired right -of -way. Engineering and survey work shall meet minimum State design standards. PIZ Determination of Right -of -Way Values: The COUNTIES agree to make a determination of property values for each right -of -way parcel, which shall be based on the appraised value of a licensed appraiser and review appraiser. Such work will be performed by the COUNTIES at its expense without cost participation by the CITIES, except that the Town of Westlake will pay all costs associated with determination of Right of Way values for the section of the project that falls within Denton County so that there will be no cost to Denton County. Such appraisal reports shall be submitted to the COUNTIES when completed. 3. Right -of -Way Values Influenced by City Rules, Orders, and Policy: The CITIES agree that, in the event any existing, future, or proposed City order, policy, or other directive which, are more restrictive than State law, policy, or directive, and thereby results in any increased costs for right -of -way acquisition, then the CITIES will pay one hundred percent (1000) of all such increased costs. The amount of the increased costs associated with the existing, future, or proposed City order, rule, policy, or other directive will be determined by the COUNTIES and the COUNTIES independent appraiser. 4. Title Investigation: The COUNTIES agree to hire title company's acceptable to the COUNTIES, to investigate property titles. The COUNTIES agree to purchase a title policy for each parcel acquired, when deemed necessary. The cost of title investigation, closing costs, recording of instruments, and the title policy is the responsibility of the COUNTIES, except that the Town of Westlake will pay all costs associated with determination of Right of Way values for the section of the project that falls within Denton County so that there will be no cost to Denton County. Interlocal Cooperation Agreement Page 2 of 6 5. Negotiations: The negotiation and settlement with the property owner will be the responsibility of the COUNTIES without participation by the CITIES; The COUNTIES will provide the labor and supervisory personnel employed directly by the COUNTIES or hire qualified right - of -way acquisition contractors, at the COUNTIES sole discretion, necessary for the work. The COUNTIES will deliver properly executed deeds, which together with any curative instruments that are found to be necessary as a result of the title company's requirements that will properly vest title to the STATE OF TEXAS, for each right -of -way parcel involved. The cost for purchasing the right -of -way is the sole expense of the COUNTIES, except for right -of -way parcels titled in the name of the CITIES. The CITIES agree to dedicate such parcels at no costs to the COUNTIES, except that the Town of Westlake will pay all costs associated with negotiations and settlement with the property owners located along the project within Denton County so that there will be no cost to Denton County. W Condemnation: Condemnation proceedings will be initiated at a time selected by the COUNTIES after the COUNTIES submit documentation to the respective District Attorney's Office or its designee, of its failure to negotiate. By law, pursuant to Chapter 251 of the Texas Transportation Code, the CITIES authorize the COUNTIES to condemn property within the limits of the CITIES. Condemnations will be the COUNTIES responsibility at its own expense; however, the CITIES will be available, as needed, to attend condemnation hearings, pre - hearings, and trials as needed by the COUNTIES. The COUNTIES will serve notice to the parties of the condemnation hearings, except that the Town of Westlake will, when necessary, initiate proceedings and pay all costs associated with condemnation of properties located in the project within Denton County so that there will be no cost to Denton County. 7. Improvements: Property owners will be afforded an opportunity in the negotiations to retain any or all of their improvements in the right -of -way taking. In anticipation of the owner desiring to retain improvements, the COUNTIES approved value will include the amounts by which the offer will be reduced for the retention. In the event the improvements, which are, in whole or part, a part of the right -of -way taking are not retained by the owner, title is to be secured in the name of the State of Texas. The COUNTIES shall dispose of all improvements acquired. 8. Relocation of Utilities: If the required right -of -way encroaches upon an existing utility located on its own right -of -way or on a private right -of -way or easement, and the roadway construction Interlocal Cooperation Agreement Page 3 of 6 requires the adjustment, removal or relocation of the utility facility, the CITIES will be responsible for such relocation at no cost to the COUNTIES. The CITIES agree to coordinate all utility relocations, privately or publicly owned displaced by the project. The CITIES will comply with all Local, State, and Federal Laws that apply to Utility relocations. 0 Fencing Requirements: The COUNTIES may either pay the property owner for existing right -of -way fences based on the value such fences contribute to the part taken and damages for an unfenced condition resulting from the right -of -way taking, in which case the estimated value of such right -of -way fences and such damages will be included in the appraised value, or the COUNTIES may do the fencing on the property owner's remaining property except that the Town of Westlake will, when necessary, pay all costs associated with fencing requirements for properties located in the project within Denton County so that there will be no cost to Denton County. 10. Relocation: Property owners who are permanently physically displaced from the property owner's dwelling or place of business are entitled to Relocation under the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, 42 U.S.C.A., 4601- 4655, and amendments thereto. The COUNTIES will notify the State of Texas of parcels where a person is displaced from a dwelling or place of business. Relocation Assistance will be the responsibility of the State of Texas according to Minute Order 108746, passed on December 13, 2001. 11. General: It is understood that the terms of this Agreement shall apply to new right -of -way required for the project which is needed and not yet dedicated, in use, or previously acquired in the name of the CITIES, COUNTIES, or State of Texas for highway, street, or road purposes. 12. Nothing in the performance of this Agreement shall impose any liability for claims against CITIES, other than claims for which liability may be imposed by the Texas Tort Claims Act. The parties to this Agreement do not intend for any third party to obtain a right by virtue of the Agreement. CITIES agree that COUNTIES are relying upon CITIES for notice to proceed with this project, but COUNTIES shall not be required to perform this Agreement within any time limit. By entering into this Agreement, the parties do not intend to create any obligations, expressed or implied, other than those set out Interlocal Cooperation Agreement Page 4 of 6 herein; further, this Agreement shall not create any rights in any party not a signatory hereto. This Agreement in no way obligates the COUNTIES to construct, maintain or operate the above - described project. COUNTY OF TARRANT COUNTY OF DENTON COUNTY JUDGE Date: COUNTY JUDGE Date: Attest: Attest: County Clerk /Deputy County Clerk /Deputy CITY OF KELLER TOWN OF WESTLAKE AUTHORIZED CITY OFFICIAL AUTHORIZED TOWN OFFICIAL Date: Date: Attest: Attest: APPROVAL OF CITY ATTORNEY: APPROVAL OF TOWN ATTORNEY: CITY OF SOUTHLAKE AUTHORIZED CITY OFFICIAL Date: Attest: Interlocal Cooperation Agreement Page 5 of 6 APPROVAL OF CITY ATTORNEY: Approval Form for TARRANT COUNTY District Attorney Assistant District Attorney *By law, the District Attorney's Office may only advise or approve contracts or legal documents on behalf of its clients. It may not advise or approve a contract or legal document on behalf of other parties. Our review of this document was conducted solely from the legal perspective of our client. Our approval of this document was offered solely for the benefit of our client. Other parties should not rely on this approval, and should seek review and approval by their own attorney. Approval Form for DENTON COUNTY District Attorney Assistant District Attorney *By law, the District Attorney's Office may only advise or approve contracts or legal documents on behalf of its clients. It may not advise or approve a contract or legal document on behalf of other parties. Our review of this document was conducted solely from the legal perspective of our client. Our approval of this document was offered solely for the benefit of our client. Other parties should not rely on this approval, and should seek review and approval by their own attorney. Interlocal Cooperation Agreement Page 6 of 6