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File #: 21-1026    Version: 1 Name: 9/20/21 DDA Contribution to Streetlight Replacement and Painting Project
Type: Resolution Status: Passed
File created: 9/20/2021 In control: City Council
On agenda: 9/20/2021 Final action: 9/20/2021
Enactment date: 9/20/2021 Enactment #: R-21-353
Title: Resolution to Appropriate the Downtown Development Authority's Contribution to the Streetlight Replacement and Painting Project ($150,000.00) (8 Votes Required)
Attachments: 1. DDA Cost-Sharing Agreement_20210817.pdf

Title

Resolution to Appropriate the Downtown Development Authority’s Contribution to the Streetlight Replacement and Painting Project ($150,000.00) (8 Votes Required)

Memorandum

On June 21, 2021, City Council awarded a construction contract to Corby Energy Services for the replacement and painting of streetlights in various areas of the City, including West Liberty Street from South First Street to South Main Street (R-21-223: “Resolution to Award a Construction Contract to Corby Energy Services for the 2021 Streetlight Replacement and Painting Project”). To enable the project to be fully funded, the Downtown Development Authority (DDA) agreed to contribute $150,000.00 towards the construction costs.  This resolution seeks to appropriate their contribution of  $150,000.00 for the current fiscal year to the existing project budget.  The following two fiscal year $150,000.00 annual contributions will be incorporated in the annual budget process, bringing the total contribution to $450,000.00 over three years.

 

As mentioned in R-21-223, an agreement between the City of Ann Arbor and the Downtown Development Authority regarding the responsibilities and cost allocation for the project was to be prepared.  The agreement indicates the City will be responsible for management and construction of the project; thus, requiring the DDA contribution to be allocated to the existing project budget. This allows that funding to be available for contract-required payments. 

 

The construction phase of the project is scheduled to begin this spring and is anticipated to be completed by early summer. Contract extensions or subsequent awards are anticipated for future fiscal years  

 

Budget/Fiscal Impact:  This agreement will contribute $150,000.00 annually to the Streetlight Replacement and Painting Project which will fund repairs in the downtown. The appropriation of the DDA’s contribution is necessary to make it available for construction payments in the current fiscal year.

Staff

Prepared by:                       Raymond Hess, Transportation Manager

                                                               Cyrus Naheedy, Transportation Engineer

Reviewed by:                       Craig Hupy, Public Services Area Administrator

Approved by:                       John Fournier, Assistant City Administrator

Body

Whereas, The existing streetlights on West Liberty Street, from South First Street to South Main Street, are in poor condition and are in need of replacement;

 

Whereas, Other areas of downtown within the Ann Arbor Downtown Development Authority boundary are expected to require streetlight maintenance needs in the future;

 

Whereas, The Ann Arbor Downtown Development Authority (“DDA”) agreed to contribute $450,000.00 over three years towards these maintenance costs; and

 

Whereas, The City and the DDA have entered into an agreement indicating the City of Ann Arbor is responsible for the management of the project;

 

RESOLVED, That $150,000.00 be appropriated to the existing Streetlight Replacement and Painting Project and the corresponding revenue and expenditure budgets are increased by the amount of the appropriation;

 

RESOLVED, That future DDA project contributions of $150,000.00 annually for FY 23 & FY 24 for a total of $300,000.00 are included in the proposed annual budget process; and

 

RESOLVED, That the City Administrator be authorized to take the necessary administrative actions to implement this resolution.