MEMO TO: Members of the City Council
FROM: Mayor John Marchione
SUBJECT:
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Authorization for the Mayor to Approve Sound Transit Reimbursement Agreements for City Real Property Services for Sound Transit 2 (E360) and Sound Transit 3 (DRLE) Projects
I. RECOMMENDED ACTION
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Authorize the Mayor to approve the Sound Transit agreements for reimbursement of professional services associated with real property transaction for the Sound Transit 2 (E360) and Sound Transit 3 Downtown Redmond Link Extension (DRLE) projects.
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II. DEPARTMENT CONTACTS
Jane Christenson, Deputy City Administrator 425-556-2107
III. DESCRIPTION/BACKGROUND
Earlier this year, the City Council approved a real property consultant agreement with LaBonde Land for professional services related to the Sound Transit 2 (E360) and Sound Transit 3 (DRLE) projects. These added services were needed to augment the City’s capacity to complete this significant body of real property transaction work. Sound Transit has committed to reimburse the City for these costs, as well as the requisite legal review to execute these transactions. These costs are estimated at $260,000 for both the E360 and DRLE projects, for an approximate total of $520,000 in anticipated reimbursements.
Since approving the LaBonde contract, the City Council has reviewed the scope of this Sound Transit work, authorizing the administration to execute certain transactions to expedite this process as a prerequisite to and in alignment with Sound Transit’s construction schedule.
IV. PREVIOUS DISCUSSIONS HELD
April 3, 2018 City Council Approval of Real Property Consultant Contract
June 26, 2018 Council Finance, Administration, and Communications (FAC) Committee Consideration to Authorize Mayor to Execute Certain Sound Transit Real Transit Property Transactions
August 28, 2018 Council FAC Committee Consideration to Authorize Mayor to Execute Certain Sound Transit Real Transit Property Transactions
October 2, 2018 Authorization for the Mayor to Execute/Approve Sound Transit Real Property Transactions Within Certain Parameters
November 27, 2018 Council FAC Committee Consideration to Authorize Mayor to Approve Sound Transit Reimbursement Agreements for Real Property Services Costs for E360 and DRLE Projects
V. IMPACT
A. Service/Delivery:
City staff has been working with LaBonde since late March/April 2018, incurring costs in anticipation of Sound Transit reimbursements for the E360 and DRLE work.
B. Fiscal Note:
Approval of the reimbursement agreement will allow for the City to be repaid for the costs it has already covered in 2018, as well as the significant body of real property transaction work to come in 2019 and beyond.
VI. ALTERNATIVES TO STAFF RECOMMENDATION
None, unless the City elects to pay for Sound Transit-related real property services.
VII. TIME CONSTRAINTS
Please see service/delivery and fiscal note impacts described above.
VIII. LIST OF ATTACHMENTS
There are no attachments as the reimbursement agreements are being finalized within Sound Transit. That said, the draft content of the evolving agreement was reviewed by the Council FAC Committee at its November 27, 2018, meeting.