Report to Mayor and City Council
Tuesday, September 07, 2021
Consent
SUBJECT:
Title
CONSIDER RESOLUTION NO. 21-114 APPROVING AND AUTHORIZING THE CITY MANAGER TO EXECUTE A RIGHT OF WAY CONTRACT AGREEMENT BY AND BETWEEN THE CITY OF CARSON AND THE STATE OF CALIFORNIA DEPARTMENT OF TRANSPORTATION FOR TEMPORARY USE OF A PORTION OF CITY PROPERTY ON E. 223RD STREET (APN: 7315-012-900) FOR TEMPORARY STORAGE OF EQUIPMENT AND CONSTRUCTION ACCESS EASEMENT TO RETROFIT THE ADJACENT DOLORES YARD OVERHEAD BRIDGE PROJECT (CITY COUNCIL)
Body
I. SUMMARY
On June 1, 2021, the City Council approved the draft Right of Way Contract Agreement (Exhibit No. 1) in concept with the State of California Department of Transportation ("Caltrans") for the temporary use of City Property on 223rd Street (APN: 7315-012-900) ("Property") to store construction equipment in connection to its Dolores Yard Overhead Bridge ("Bridge") retrofitting project. This Bridge is the portion of E. 223rd Street that extends over the Alameda Rail Corridor and is adjacent to the Property. The City also adopted Resolution No. 21-068 authorizing the City Manager to make and/ or accept minor modifications to finalize the agreement. Subsequently, the City Attorney's Office negotiated the final terms of the agreement with Caltrans that resulted in the following notable updates:
* Rent. Caltrans did not agree to the City's proposed compensation amount of $768,684 for the 28-month term ("Term"). Caltrans had appraised the 28-month lease rate of the Property for $534,000 earlier this year. The parties have agreed to split the difference, which would make the compensation amount $651,342 for the Term.
* Holdover. Caltrans did not agree to the City's holdover penalty rate of 200% that would be prorated daily each day if Caltrans failed to vacate the Property by the end of the Term. While both parties are aware that Caltrans has no right to extend the Term beyond the end date, the City and Caltrans have not agreed to any...
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