3.   Operations Committee, July 10, 2008 (any committee consent agenda item pulled for discussion will be discussed at the end of the committee discussion portion of the agenda, which is item G on this agenda) (Mr. Smith)

a.   Stephens Road Petition for Water and Sewer Service (EN09-001)
Committee unanimously recommended approval of a petition submitted by the residents of Stephens Road requesting water and sewer service and the creation of separate projects to fund the water and sewer system construction, as follows:

 

STAFF REPORT

Operations Committee, July 10, 2008

Stephens Road Petition for Water and Sewer Service (EN09-001)

Consideration of a petition submitted by the residents of Stephens Road requesting water and sewer service

Speaker:  Mr. Tim Bailey
 

From:  Tim Bailey, PE, Engineering Director
Prepared by:  Jarrod A. Buchanan, PE, Engineer
Approved by:  William B. Coleman, Jr., Town Manager
Approved by:  Benjamin T. Shivar, Assistant Town Manager

The residents along Stephens Road have sufficiently petitioned for water and sewer service in accordance with Policy Statement 23, Water and Wastewater System Extension and Connection Policy.  Presently, all of the properties listed on the petition for water and sewer service are located within the corporate limits of the Town of Cary along Stephens Road as shown on the attached map.  All of the properties included with the petition were annexed during the 2003 Town-initiated annexation, which became effective on June 30, 2003.

Policy Statement 23 requires that sufficient petitions for water and sewer service shall consist of 50% or more of the property owners who own property adjacent to 50% or more of the frontage along the proposed water and sewer alignment.  Within the petition area along Stephens Road, there are 9 properties that are eligible to request Town funded water and sewer extensions under the provisions of Policy Statement 23 and 2 vacant properties that are not eligible to participate.  Property owners representing 7 of the 9 available properties, not currently served by municipal water and sewer service, have signed a valid petition requesting water and sewer service.  Since 78% of the property owners within the petition area along Stephens Road have requested water and sewer, and those properties include more than 50% of the street frontage along the proposed alignment, the base petition requirements have been met.

However, since the existing sewer only allows service to be extended to a portion of Stephens Road at this time, and it would not be feasible to extend the water line only half of the distance of Stephens Road, it would be appropriate to extend the water the full length of Stephens Road.

As a condition of Policy 23, the petitioning property owners have agreed to pay their corresponding water and sewer development fees.  Since all of the properties in the petition area along Stephens Road were annexed during the 2003 annexation, the same fee schedules utilized by the other 2003 annexation communities, including Hillsdale Forest, Triangle Forest and Summerwinds, would be utilized, upon approval of their petition.  As a result, no connection fees would be charged to those petitioning property owners in the petition area along Stephens Road who pay their development fees on schedule.

Fiscal Impact: Pending approval of the petition submitted by the property owners along Stephens Road, funding would be provided by the water and sewer accounts created to fund petition initiated water and sewer extension projects.  Project accounts SW1087 and WT1094 were created during the 2003 fiscal year to fund water and sewer extensions to serve established residential communities annexed during 2003 and other communities as necessary inside the Town limits that do not have access to municipal water and sewer service.  Project WT1094 currently has a balance of $1,790,276 and project SW1087 has a balance of $2,352,739.  In order to establish project funding for the proposed Stephens Road water and sewer extensions, separate water and sewer project accounts would have to be created, using funding from WT1094 and SW1087.

Staff Recommendation: Staff recommends approving the petition submitted by the residents along Stephens Road.  Staff further recommends creating separate projects as follows to fund the water and sewer system construction.

• SW5015 – Stephens Road – Phase 1 Sewer Extension

Staff recommends creating a project account in the amount of $100,000 under project number SW5015 to fund the construction of the Stephens Road-Phase 1 Sewer Extension.  Staff recommends moving $100,000 from SW1087 to create the construction budget.  The creation of project account SW5015 will reduce the remaining balance of SW1087 to $2,252,739, to fund new petition initiated sewer projects.

• WT5015 – Stephens Road Water Extension

Staff recommends creating a project account in the amount of $100,000 under project number WT5015 to fund the construction of the Stephens Road Water Extension.  Staff recommends moving $100,000 from WT1094 to create the construction budget.  The creation of project account WT5015 will reduce the remaining balance of WT1094 to $1,690,276, to fund new petition initiated water projects.

SW5015 – Stephens Road – Phase 1 Sewer Extension
Creation of project account number SW5015 in the amount of $100,000 to fund the construction of the Stephens Road-Phase 1 Sewer Extension, with $100,000 to be transferred from SW1087 to create the construction budget, which will reduce the remaining balance of SW1087 to $2,252,739, available to fund new petition-initiated sewer projects.

 

WT5015 – Stephens Road Water Extension
Creation of project account number WT5015 in the amount of $100,000 to fund the construction of the Stephens Road Water Extension, with $100,000 to be transferred from WT1094 to create the construction budget, which will reduce the remaining balance of WT1094 to $1,690,276, available to fund new petition-initiated water projects.

ACTION: Mrs. Adcock moved to approve the consent agenda, except for item B.4.d., Minor Subdivision Exemptions and Fee Relief Decision (PL09-004). Mr. Frantz provided the second, and council granted unanimous approval.

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b.   Request for Additional Funding – Bachelor Branch Interceptor and Pump Station Elimination Project – Phases 2 through 5 (EN09-002)
Committee unanimously recommended that $1,000,000 of the currently available $1,926,000 in the Morris Branch Regional Pump Station Project (SW1065) be transferred into the Construction Account of the Bachelor Branch Interceptor and Pump Station Elimination Project (SW1095).  Committee further recommended that $2,215,000 of the currently budgeted $7,990,000 in the Green Level Interceptor Project (SW1130) be transferred to the Bachelor Branch Interceptor and Pump Station Elimination Project (SW1095) accounts, with $1,900,000 being appropriated to the Construction Account, $300,000 to the Land and Site Acquisition Account, and $15,000 to the Contracted Services Account.

STAFF REPORT

Operations Committee, July 10, 2008

Request for Additional Funding – Bachelor Branch Interceptor and Pump Station Elimination Project – Phases 2 through 5 (EN09-002)

Consideration of a request for additional funding
Speaker:  Mr. Tim Bailey

From:  Tim Bailey, PE, Engineering Director
Prepared by:  Jarrod A. Buchanan, PE, Engineer
Approved by:  William B. Coleman, Jr., Town Manager
Approved by:  Benjamin T. Shivar, Assistant Town Manager

The Engineering Department is finalizing the design plans and contract specifications for Phases 2 through 5 of the Bachelor Branch Interceptor and Pump Station Elimination Project.  Additional funds are needed for construction of the project, for geotechnical testing during project construction, and to purchase the remaining easements needed for the installation of the final phases of the interceptor.

Phase 1 of the Bachelor Branch Interceptor and Pump Station Elimination Project was constructed along with the White Oak and Bachelor Branch Interceptor and Pump Station Elimination and White Oak Greenway Phase IV Projects (SW1098 and PR1057).  The entire White Oak Interceptor and Phase 1 of the Bachelor Branch Interceptor are complete and operational as of October 30, 2007.  The White Oak Greenway, between NC Highway 55 and Green Level Church Road, has been open since early 2008, and was recently dedicated on June 7, National Trails Day.  The Bachelor Branch Interceptor and Pump Station Elimination Project was combined into the White Oak Interceptor and Pump Station Elimination Project, along with all of its funds, on July 27, 2006 (EN07-007).  As stated in Staff Report EN07-007, staff anticipated the request of additional funds for the next phase of the Bachelor Branch Interceptor and Pump Station Elimination Project.

In addition to the original proposal for the Bachelor Interceptor, staff decided to add an additional phase of gravity sewer to the project, which would allow the total abandonment of the Thomas Brooks Park Pump Station and Force Main.  The original proposal called for the abandonment of approximately 60% of the Thomas Brooks Park Force Main, whose easement will be used for the installation of the Bachelor Branch Interceptor.  This pump station is small and with the addition of the USA Baseball Facility and its additional sewer flow, may require upgrading in the future.  The benefit of the total abandonment of the Thomas Brooks Park Pump Station, and the reduction in long-term maintenance for the Town’s Public Works and Utilities Department far outweigh the cost of the additional gravity sewer main.

The cost of real estate in this area has increased dramatically over the past few years, since the original budget was set for this project.  There are several new subdivisions under construction, and one of the larger tracts for which an easement will have to be purchased, had a “mixed use” overlay district placed upon it, further increasing its value.  Also, the original estimate for the real estate costs only took into account the cost of a “Utility Pipeline Easement” for the sewer interceptor.  The easements now being purchased are combined “Utility Pipeline and Greenway Easements.”  The addition of the greenway stipulation to the easements, increases the overall cost of the easement, but allows a greenway to be co-located along the same corridor as the sewer main, similar to Phase IV of the White Oak Greenway, which was mentioned earlier.  This allows for a savings, compared to the option of purchasing the utility and greenway easements separately.

Fiscal Impact:

Funding

At present, there are no funds in the SW1095 account.  Per Staff Report EN07-007, mentioned above, all funds were transferred to SW1098.  The engineer’s estimated cost for construction of the project was $2,900,000.

Table 1: Funding to Date and Identified Needs

The Morris Branch Regional Pump Station Project (SW1065) is now completed except for the addition of a third pump when sewer flows reaching that station warrant.  The remaining balance after the requested transfer will be adequate for this remaining work.  The scope of the Green Level Interceptor Project (SW1130) has been reduced by various other projects in the area.  The remaining balance after the requested transfer will be sufficient for the current remaining scope.

Operating Impact

Short term operating impacts include providing staff for construction administration and project management for the sewer main construction and pump station demolition.  The first phase of the Batchelor Branch Interceptor and Pump Station Elimination Project is complete and operational.  The remaining phases of the Batchelor Branch Interceptor, running north from Green Level West Road to the Fieldstone Pump Station and the Thomas Brooks Park Pump Station are expected to be complete and operational in 2009.  All of the construction administration, inspection and operation and maintenance requirements associated with this project can be provided by current Town staff with no additional staffing or funding required.  Longer term operating impacts include operation and maintenance by Public Works and Utilities staff.

Staff Recommendation:  Staff recommends that $1,000,000 of the currently available $1,926,000 in the Morris Branch Regional Pump Station Project (SW1065) be transferred into the Construction Account of the Bachelor Branch Interceptor and Pump Station Elimination Project (SW1095).  Staff also recommends that $2,215,000 of the currently budgeted $7,990,000 in the Green Level Interceptor Project (SW1130) be transferred to the Bachelor Branch Interceptor and Pump Station Elimination Project (SW1095) accounts.  Of this $2,215,000, $1,900,000 should go into the Construction Account, $300,000 should go into the Land and Site Acquisition Account, and $15,000 should go into the Contracted Services Account.

ACTION: Mrs. Adcock moved to approve the consent agenda, except for item B.4.d., Minor Subdivision Exemptions and Fee Relief Decision (PL09-004). Mr. Frantz provided the second, and council granted unanimous approval.

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c.   Connectivity – Lake Drive (EN09-007)
Committee unanimously recommended extending Lake Drive as a part of the Annual Connectivity Project, to be initiated with appropriations of $300,000 in the ST1167 Connectivity Project-FY08 and $300,000 in the Connectivity Project-FY09.

STAFF REPORT

Operations Committee, July 10, 2008

Connectivity – Lake Drive (EN09-007)
Consideration of extending Lake Drive as a part of the Annual Connectivity Project
Speaker:  Mr. Tim Bailey

From:  Tim Bailey, PE, Engineering Director
Prepared by:  Kristen Dwiggins, PE
Approved by:  William B. Coleman, Jr., Town Manager
Approved by:  Benjamin T. Shivar, Assistant Town Manager

The FY08 Capital Improvements Budget approved by Town Council on June 28, 2007 included a $300,000 appropriation to the Town’s annual connectivity project, and the FY09 Capital Improvements Budget approved by Town Council on June 26, 2008 included an additional $300,000 appropriation.  Streets eligible for the project are residential or collector streets designated for a future road extension to connect gaps in the road system.  When connections cannot be made through a site plan development, the Town may take action to make the connections.

Criteria to prioritize connecting existing roads were approved by Town Council on September 11, 2007.  The following information is considered when ranking future road connections: reducing emergency response time, reducing vehicle miles traveled and/or time traveled to a particular destination, promoting walking and bicycling, connecting neighborhoods to each other and to local destinations such as schools, parks, and shopping centers, and increasing the effectiveness of municipal service delivery.

The residents of Lake Drive have submitted a petition to request the Town to complete the gap on Lake Drive between Evans Road and Woodland Drive. 

Lake Drive is a prime candidate for the Connectivity Annual Project because it falls within the most important components of the criteria.  A second access point will allow for more efficient municipal service delivery (solid waste, leaf collection, street sweeping), as well as a second entrance for emergency response vehicles.  Neighborhoods will be connected together, allowing school buses to drive through the neighborhood to pick up children (since the road currently dead ends, buses cannot enter the neighborhood).  This connection could eliminate two bus stops on major roads (buses currently stop at the corner of Woodland Drive and Chapel Hill Road and at the corner of Lake Drive and Evans Road). 

The most important component of the criteria is to have the project requested by citizens in the community.  A petition for the completion of Lake Drive has been submitted with over a majority of signatures showing support to make the road connection.  The residents of Lake Drive are currently the only citizens who have come forward with a petition to be considered for this project in FY 2008. 

Fiscal Impact: 

Operating: There are no operating impacts associated with the Lake Drive connectivity project.

Funding: $300,000 was appropriated to Connectivity Projects in FY08 and another $300,000 in FY09, and no expenditures or encumbrances have been made so far, resulting in an available balance of $600,000.  The petition for the extension of Lake Drive was the only one received in FY2008.  Staff estimates that the Lake Drive connection will cost approximately $600,000.

Staff Recommendation:  Staff recommends moving forward with the connection on Lake Drive.  The Lake Drive connection project should be initiated with appropriations of $300,000 in the ST1167 Connectivity Project-FY08 and $300,000 in the Connectivity Project-FY09. 

ACTION: Mrs. Adcock moved to approve the consent agenda, except for item B.4.d., Minor Subdivision Exemptions and Fee Relief Decision (PL09-004). Mr. Frantz provided the second, and council granted unanimous approval.

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d.   WakeMed Soccer Park Lease Assumption (PR09-001)
Committee unanimously recommended approving the assumption of a ground lease between Wake County and the State of North Carolina for WakeMed Soccer Park property for the use and management of the WakeMed Soccer Park property.

STAFF REPORT

Operations Committee, July 10, 2008

WakeMed Soccer Park Lease Assumption (PR09-01)
Consideration of assumption of a ground lease between Wake County and the State of North Carolina for WakeMed Soccer Park property
Speaker:  Ms. Mary Henderson

From:  Mary Henderson, PRCR Director
Prepared by:  William Davis, Athletic Manager
Approved by:  William B. Coleman, Jr., Town Manager
Approved by:  Benjamin T. Shivar, Assistant Town Manager

On July 6, 1999 the State of North Carolina and Wake County entered into a Ground Lease Agreement for the land and park now known as WakeMed Soccer Park.  On July 1, 2004 the Town of Cary entered into a sub-lease agreement with Wake County assuming operations and maintenance of the park as a sub-tenant.   Wake County has fulfilled their obligations under the original lease to date and has initiated and agreed to terminate their role as Tenant in the lease of the property from the State of North Carolina and assign that role to the Town. The Council of State has also agreed to this assignment.  This will allow the Town to deal directly with the N.C. State Property Office for any property issues or improvements eliminating the County as an approving authority of any desired operational or property improvement matters. Upon approval and assignment, the Town and Wake County will terminate the current sub-lease.

The terms of the lease would remain the same except that the Town of Cary would be assigned the role of Tenant. The current lease between the State and the County for which the Town would accept responsibility expires August 1, 2029.  Thereafter, there is a twenty year renewal option. 

Wake County has fulfilled its commitment to the Town of Cary set forth in the Interlocal Agreement dated August 16, 2004.  This agreement provided that net cost would be shared equally for operating and maintaining the park for three years by Wake County contributing half of the net operating costs per year.  For 2005-2007, Wake County paid the Town of Cary a total of $397,245.50.

As defined in the initial ground lease agreement, all revenues generated in the operations of the facility shall be used for operation and maintenance costs, capital replacement and any additions of facilities on the Lease Premises. 

Fiscal Impact:  The Town currently manages the WakeMed Soccer Park as sub-lessee.  There would be no further fiscal impact beyond current management expenses.

Staff Recommendation:  Staff seeks Council approval for assumption of the Wake County’s lease from the State of North Carolina for the use and management of the WakeMed Soccer Park property. 

NORTH CAROLINA

WAKE COUNTY

ASSIGNMENT AND ASSUMPTION OF GROUND LEASE AGREEMENT

            THIS ASSIGNMENT AND ASSUMPTION OF GROUND LEASE AGREEMENT (this “Assignment”), is entered into by and between WAKE COUNTY (hereafter referred to as “Assignor”) and the  TOWN OF CARY (hereafter referred to as “Assignee”), its successors and assigns, effective as of the ____ day of ____________, 2008 (which date is the date of last execution hereof) (the “Effective Date”).

witnesseth:

WHEREAS, the State of North Carolina (“Landlord”) and Assignor entered into that certain Ground Lease Agreement dated July 6, 1999 (the “Ground Lease”) and the First Amendment to Ground Lease Agreement dated February 28, 2001 (the “First Amendment”), and the Second Amendment to Ground Lease Agreement dated January 12, 2006 (the “Second Amendment”) (the Ground Lease, the First Amendment and the Second Amendment are collectively referred to in this Assignment as the “Lease”) for the lease of the Premises and certain Improvements as more particularly defined and described in the Lease.

WHEREAS, Assignor wishes to assign to Assignee all of Assignor’s right, title and interest in, to and under the Lease, subject to and in accordance with the terms of this Assignment; and

WHEREAS, Assignee wishes to accept the assignment of Assignor’s rights and assume Assignor’s obligations under the Lease; and

WHEREAS, Landlord consents to the assignment and assumption of Assignor’s rights and obligations under the Lease.

NOW, THEREFORE, for and in consideration of the Premises, the Improvements and the sum of Ten Dollars ($10.00) and other good and valuable considerations, the receipt and sufficiency of which are hereby acknowledged, Assignor and Assignee hereby agree as follows:

1.        Assignment and Assumption.  Assignor hereby assigns to Assignee all of its right, title and interest in and to the Lease, and Assignee hereby accepts such assignment and hereby agrees to assume, satisfy and discharge all obligations of Assignor pursuant to the Lease.

2.        Consent of Landlord.  Pursuant to Section 7.4 of the Ground Lease, Landlord executes this Assignment for the purpose of evidencing its consent to the assignment by Assignor of its rights and obligations in and to the Lease and the assumption of same by Assignee.   Upon the Effective Date, Assignor shall be to released from its rights and obligations under the Lease, including, but not limited to the obligation to make rental or other payments and the obligation to maintain in effect any performance bond or other insurance as required by the Lease.

3.        Assignor’s Covenants and Agreements. Assignor covenants and agrees with Assignee  that:

(i)             The copy of the Lease attached hereto as Exhibit is a true, complete and accurate copy of the Lease, and the Lease has not otherwise been modified, revised, supplemented or amended in any manner.

(ii)            Assignor has full right, title  and authority to assign the Lease.

(iii)           No other assignment of any interest in the Lease has been made.

(iv)          There are no existing defaults under the provisions of the Lease. 

            4.        Binding Effect.  This Assignment applies to and binds the parties and their respective successors and assigns, as well as any subsequent owner of the Premises.

5.        Capitalized Terms.  Capitalized terms used but not defined in this Assignment shall have the meanings given them in the Lease.

            6.        Governing Law.  This Assignment shall be governed by and construed in accordance with the laws of the State of North Carolina without regard to principles on conflict of laws.

7.        Counterpart.  This Assignment may be executed in any number of counterparts, each to be an original, but all of which shall constitute one instrument, and it shall be sufficient if all parties hereto execute at least one such counterpart. 

ACTION: Mrs. Adcock moved to approve the consent agenda, except for item B.4.d., Minor Subdivision Exemptions and Fee Relief Decision (PL09-004). Mr. Frantz provided the second, and council granted unanimous approval.

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e.   Status of New Water Conservation Initiatives (PWUT09-001)
Committee unanimously accepted the informational report from staff regarding the progress and future of four newly adopted programs:  Warm Season Grass Incentive for New Development, Turf Buy Back, High Efficiency Toilet Retrofit Rebate, and Build Your Own Rain Barrel.  The committee also requested that staff do more to increase community awareness regarding the value and importance of water conservation and the benefits of these incentive programs.

STAFF REPORT

Operations Committee, July 10, 2008

Status of New Water Conservation Initiatives (PWUT09-01)
Progress and future of four new programs

Speaker:  Ms. Leila Goodwin

 

From:  Stephen J. Brown, P.E., Director of Public Works and Utilities
Prepared by:  Leila Goodwin, P.E., Water Resources Manager and Marie Cefalo, Water Conservation Coordinator
Approved by:  William B. Coleman, Jr., Town Manager
Approved by:  Benjamin T. Shivar, Assistant Town Manager

On March 13, 2008, Town Council approved four new water conservation programs (PWUT08-23 Water Conservation Initiatives), and modified the Turf Buy-Back Program initiative to include replacing turf with a warm season grass as an alternative to natural areas.  This staff report summarizes the status of the four new water conservation programs.

Warm Season Grass Incentive for New Development

This initiative started July 1, 2008.  A fact sheet about the program has been written and added to the packet developers receive from the Planning Department.  Developers of residential communities or non-residential properties that choose to participate in this program will receive a 21 percent reduction in the irrigation development fee.  Irrigation water budgets for the customers will be reduced by 21 percent based on expected water needs.    

As a result of the Special Task Force that Council appointed to address mass grading, tree preservation, and slab construction, the Planning Department is preparing a staff report for the July 15 Planning and Development Committee meeting to recommend consideration of the issue of requiring warm season grass for common areas within subdivisions, apartments, and all non-residential development. 

Water savings and costs included in the FY09 budget are shown in Table 1.  Staff will follow up with customers after development is completed to ensure they have the information needed to maintain their landscape with an appropriate amount of irrigation.  Irrigation accounts for locations that have benefited from this program will be tracked so that water use can be evaluated.  Since the summer of 2009 will be the first full summer after this program is in place, it will be at least FY10 before we have any information to use for program evaluation, and it may take longer depending on when landscape installation takes place in developments that take advantage of the incentive.

Turf Buy Back

This initiative started July 1, 2008.  This program offers the first 200 eligible property owners $500 to replace a minimum of 1,000 sq. ft. of turf with either a natural area or warm season grass. Irrigation water budgets for customers taking advantage of this program will be adjusted downward based on a 25 or 21 percent reduction in expected water needs, depending on whether they replaced turf with a natural area or a warm season grass, respectively.  Customers who meet eligibility requirements and who replaced their landscaping with natural area or warm season turf after March 13, 2008 will have the opportunity to participate in this program.

Water savings and costs included in the FY09 budget are shown in Table 1.  Staff will follow up with customers as part of the application process to ensure they have the information needed to plan their conversion and to maintain their landscape with an appropriate amount of irrigation.  Irrigation accounts for customers that have benefited from this program will be tracked so that water use can be evaluated.  Staff will evaluate the information we have after the summer of 2008, but we anticipate that it may be after the summer of 2009 before we have enough data to fully evaluate the program effectiveness.

As of July 2, 2008, there have been a total of 18 applications received, 14 of which meet the program eligibility criteria.  Of the 14, 2 are for conversion of turf to natural area and 12 are for conversion of cool-season turf to warm-season turf.  Half of the 14 are for conversions that have been completed since March 13, 2008 and half are for planned conversions.

High Efficiency Toilet Retrofit Rebate

This program was initiated June 3, 2008.  Council appropriated $10,000 for 67 rebates in FY08, and $60,000 for 400 rebates in FY09 ($150 per toilet).  As of June 27, 2008, 93 applications for rebates have been received, for replacement of a total of 177 toilets with high efficiency toilets using only 1.28 gallons per flush (gpf).  At the current rate, we expect to expend all funds allotted for FY08, and all FY09 funds by the end of September. Of the177 toilets being replaced, 6 percent have been 7 gpf, 41 percent have been 5 gpf, 49 percent have been 3.5 gpf, and only 4 percent have been 1.6 gpf.

Feedback from participants has been excellent with regard to the ease of application process as well as the products they are purchasing.  Staff is exploring, with other local entities who are preparing to launch toilet rebate programs and with NCDENR, the possibility of providing customers with a way to recycle their old toilets.

Water use by customers that have taken advantage of this rebate will be tracked, and staff will compare 2007-2008 winter water use with 2008-2009 winter water use to evaluate program effectiveness.

Build Your Own Rain Barrel

This program was initiated May 1, 2008 as a low cost alternative to the Town’s fully assembled rain barrel sales.  An initial 100 barrels and kits were purchased by the Town in FY08.  As of June 27, 2008, 51 kits ($16 each) have been sold, and 53 barrels ($34 each) for conversion have been sold. Two workshops on How to Build Your Own Rain Barrels have been offered with a combined total of 50 citizens participating. Two other workshops are scheduled for July 14 and Sept. 9. 

The FY09 budget is based on the Town purchasing 200 kits and barrels in addition to the 100 purchased in FY08.

As a basis for comparison, Cary has sold 193 fully assembled rain barrels ($87 each, obtained from Rainwater Solutions) since May 1. 

Fiscal Impact:  As detailed in Table 1 below, the total costs of these programs is estimated to be $236,757 in FY09. 

Staff Recommendation:  This staff report is provided for information purposes only; no Council action is required.

 Table 1 follows.

ACTION: Mrs. Adcock moved to approve the consent agenda, except for item B.4.d., Minor Subdivision Exemptions and Fee Relief Decision (PL09-004). Mr. Frantz provided the second, and council granted unanimous approval.

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f.    Bid Award: American Tobacco Trail – Chatham County Project (PR09-002)
Committee unanimously recommended awarding a bid to Holmes Contracting, Inc. for the construction contract for the American Tobacco Trail – Chatham County (Project PR1113) at a total bid price of $1,566,481.  An award by council represents a preliminary determination as to the qualification of the bidder and no legally binding acceptance of the bid or offer occurs until the Town has executed a written agreement.

STAFF REPORT

Operations Committee, July 10, 2008

Bid Award: American Tobacco Trail – Chatham County Project (PR09‑02)
Consideration of bid award for the American Tobacco Trail - Chatham County (Project PR1113)
Speaker:  Ms. Mary Henderson

From:  Mary G. Henderson, Director, PRCR
Prepared by:  Joe Godfrey, Senior Parks Planner, PRCR
Approved by:  William B. Coleman, Jr., Town Manager
Approved by:  Benjamin T. Shivar, Assistant Town Manager

Staff is requesting approval of a construction contract for capital project PR1113 (American Tobacco Trail – Chatham County). On June 12, 2008, bids were opened for the construction of a segment of the American Tobacco Trail (ATT), from the Wake/Chatham County line to the Chatham/Durham County line, a distance of 4.67 miles. Except for the pedestrian crossing over I-40 (currently under design by City of Durham), this section of trail represents the remaining section of the ATT that has not been constructed, and once completed will provide approximately 23 miles of continuous trail in Wake, Chatham and Durham counties.  Upon approval of the construction contract, work will begin in September of 2008 with an expected completion of June 2009.

Background

In March of 2007, Town Council approved entering into an agreement with the North Carolina Department of Transportation to bid and oversee the construction of the ATT segment within Chatham County (see PR07-23).  The NCDOT Division of Bicycle and Pedestrian Transportation and Structural Division had completed the design and construction documents for the project, but lacked the staff to oversee actual construction.  Unlike Wake and Durham Counties, Chatham County indicated at that time that they did not have the capability to oversee a trail construction project of this scale.  NCDOT requested Cary's assistance with construction administration because the Town has demonstrated a capability to oversee large-scale construction projects that must be built per approved plans and specifications.  NCDOT agreed to reimburse the TOC for one hundred percent (100%) of the costs for construction, construction administration and construction testing and inspection in the amount of $2,319,960.

While the 4.67 mile segment of the ATT discussed in this staff report will not lie within the Town’s jurisdictional limits, assisting in its completion and maintenance benefits Town of Cary residents.  The Town’s greenway system plan is designed to make several connections to the ATT.  Both the Greenway Committee and the PRCR Advisory Board have recommended connectivity to the ATT as a high priority.  The ATT will actually run through three future Town parks, including the Raftery, Weldon Ridge and the Amberly trailhead park sites.

As designed by DOT, the corridor through Chatham County will include a 10 foot-wide asphalt trail as well as a 6 foot-wide adjacent trail, consisting of compacted granite screenings trail. There will also be an approximate 2-4 foot wide grass shoulder along both sides of the trail. This dual trail is recommended to extend from the Durham/Chatham County line south to New Hope Church Road.  From this point the trail will be constructed as a 10-12 foot wide compacted granite screenings trail south of New Hope Church Road so as to link with Wake County’s section of gravel trail.

Construction of this segment, including 4.67-miles of trail with bridges and drainage structures, is expected to take 9 months to complete. 

BIDDING:

General Contract Work

On June 12, 2008 ten bids were received.  The apparent low bidder is Holmes Contracting, Inc. with a base bid of $1,566,481. (See Table 1) 

TABLE 1

After council approval of the low bidder staff will submit the construction contract to the NCDOT Board of Transportation for final approval at their August 7, 2008 meeting.

Fiscal Impact:  Short term operating impacts include providing staff for project management for construction.  Longer term operating impacts include general operation and maintenance by Public Works staff.  Staff recommends that discussion be held during the construction of the project with representatives of Triangle Rails to Trails, a volunteer group, to develop plans for volunteer support that would help defray the annual maintenance costs to the Town.  NCDOT is providing the funding for the construction of this trail in the amount of $2,319,960.  Since the low bid came in under NCDOT’s budgeted amount, staff will pursue additional opportunities with NCDOT for utilizing the remaining $800,000 for other ATT-related projects.

TABLE 2 – AVAILABLE FUNDING

Staff Recommendation:  Approval for the bid to be awarded to Holmes Contracting, Inc. for the construction contract for the American Tobacco Trail – Chatham County at a total bid price of $1,566,481.  An award by council represents a preliminary determination as to the qualification of the bidder and no legally binding acceptance of the bid or offer occurs until the Town has executed a written agreement.

ACTION: Mrs. Adcock moved to approve the consent agenda, except for item B.4.d., Minor Subdivision Exemptions and Fee Relief Decision (PL09-004). Mr. Frantz provided the second, and council granted unanimous approval.

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