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Community Development Agency, Transportation Division, recommending the Board approve and authorize the Chair to sign the Road Improvement Agreement, AGMT 17-54660, between the County and the Developer Lennar Homes of California, Inc., to construct road improvements referred to as the Golden Foothills Parkway Pavement Remediation, which the County will provide a not to exceed of $37,500 in-lieu of performing pavement maintenance on the roadway.
FUNDING: Road Fund.
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DEPARTMENT RECOMMENDATION
Community Development Agency (CDA), Transportation Division (Transportation), recommending approval of the Road Improvement Agreement, AGMT 17-54660 (Agreement), in order for Lennar Homes of California, Inc. (Lennar/Developer), to comply with its obligation to restore the roadway under the Carson Crossing Drive Project requirements.
DISCUSSION / BACKGROUND
This Agreement will allow Lennar Homes to place a two-inch asphalt pavement overlay with a geosynthetic membrane on Golden Foothills Parkway between Latrobe Road and Carson Crossing Drive adjacent to the El Dorado Hills Business Park and, in exchange, the County will release a $125,000 Road Damage Security Deposit and contribute funds to the effort ($0.55/square foot, not to exceed $37,500), in-lieu of performing pavement maintenance on the roadway. Under the terms of the proposed Agreement, the County will receive a substantially superior roadway structure and surface, contributing only funds already set aside for maintaining this roadway segment, and the Developer will fulfill certain obligations of its’ area developments.
Lennar is the developer of the Carson Crossing residential subdivision (west of Latrobe Road), and much of the Blackstone Project (east of Latrobe Road). The Carson Crossing Project required installation of a reclaimed waterline connecting the Carson Crossing and Blackstone Projects within Golden Foothills Parkway and Blackstone Parkway. To mitigate the impact of this work, Lennar was required to resurface the southerly half of the roadway. Additionally, in 2014 Lennar provided to the County a Road Damage Security Deposit in the amount of $125,000 to guarantee repair of damage which may have occurred due to heavy construction traffic hauling material to the adjacent Carson Crossing Project.
The County has scheduled a maintenance project that would provide a rubberized cape seal to all of the streets in the El Dorado Hills Business Park. In reviewing the planned work, discussions occurred between the County and Developer producing this proposed Agreement, which will allow the County and Developer to combine efforts in a single more cost effective solution. The Agreement includes the Developer placing geotsynthetic pavement reinforcement material, and a two-inch asphalt concrete overlay of Golden Foothills Parkway. This pavement treatment adds structural stability to the roadway as well as providing a new driving surface, which is superior to the rubberized cape seal proposed by the County. The Agreement also includes the release of the Road Damage Security Deposit provided by the Developer, as the overlay will mitigate any damage that occurred due to the Contractor's operation.
This Agreement does not provide direct payment to the Developer, but rather provides compensation by crediting the Developer for future inspection costs on the adjacent Carson Crossing Project. This reduction and the County’s contribution is based upon the $0.55 per square foot budgeted for maintenance work that would be performed if this Agreement were not to be implemented, and is capped at a maximum dollar amount of $37,500.
ALTERNATIVES
The Board could choose to not approve the Agreement.
One option available to the Board would be to direct Transportation to have Lennar meet their obligations as previously contemplated (pavement only of the southern half of the Golden Foothills Parkway), and for Transportation to perform its’ planned maintenance work (placement of a rubberized cape seal on the northern half of the road). This scenario would necessitate further negotiations with Developer as to the impacts of prior operations and the release or partial retention of the Road Damage Security Deposit. This negotiation would likely be difficult as it has been discussed previously without mutual agreement.
Another option available to the Board would be to direct Transportation to have Lennar meet their obligations as previously contemplated, and to defer planned maintenance work. In this scenario, the untreated pavement would continue to deteriorate and necessitate the County paving the northern half of Golden Foothills Parkway at a later date.
The Board may also direct Transportation to pursue another alternative and return to the Board at a later date.
OTHER DEPARTMENT / AGENCY INVOLVEMENT
County Counsel
CAO RECOMMENDATION
It is recommended that this item be approved if the preference is to have Lennar Homes start with the road construction improvements in the next few weeks.
FINANCIAL IMPACT
Funding for the County’s obligation, pursuant to the Agreement and capped at a maximum of $37,500, will be provided by the Road Fund.
CLERK OF THE BOARD FOLLOW UP ACTIONS
1) The Clerk of the Board will obtain the Chair’s signature on two (2) original copies of the Agreement.
2) The Clerk of the Board will return one (1) fully executed original copy of the Agreement to CDA Transportation, attention Julie Millard.
STRATEGIC PLAN COMPONENT
Infrastructure
CONTACT
Bard R. Lower, Transportation Division Director
Community Development Agency