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32 - Declaring the City of Paris' intent to provide 1% of the needed funding for the Northeast Loop 286 TxDOT Improvement ProjectItem No. 32 TO: Mayor, Mayor Pro -Tem & City Council FROM: Grayson Path, City Manager SUBJECT: TxDOT Loop 286 Project Northeast Loop Intention to Contribute Financially DATE: December 13, 2021 BACKGROUND: The TxDOT has long been planning major improvements to Loop 286 around Paris. This would be a substantial project, but it is absolutely necessary in order to maintain critical infrastructure for our community and economy. This project consists of several potential phases if the entire project is not funded at once. Once such phase is the Northeast Loop from Stillhouse Road to Pine Mill Road. This is arguably one of the busiest stretches of roadway in Lamar County. A project here would consist of building a new overpass at North Collegiate, rebuilding the overpass at FM195, adding one-way frontage roads along both sides of Loop 286, and replacing Loop 286 from Stillhouse Road to Pine Mill Road. This project would improve safety, increase regional mobility, improve traffic operations, and address long term maintenance issues. In regards to safety, it is estimated that this project could help reduce crashes by 65% given the area at North Collegiate Drive accounts for nearly a third of crashes on the entire Loop. Given the price tag for the entire Loop 286 project around Paris, TxDOT believes it must focus its attention on the Northeast Loop at this time. This project is approximately 90% through schematic drawing and nearly 30% through construction design. This has allowed them to estimate it at nearly $90 million (that is strictly an estimate). STATUS OF ISSUE: The local TxDOT Regional Office, working with members of the Sulphur River Regional Mobility Authority (SURRMA), Lamar County, and City of Paris, met to discuss this project. We believe we have a strong case to prove to TxDOT's main office in Austin that this project would meet all necessary criteria to warrant funding and implementation. However, given how competitive projects are across all of Texas and how limited funding is, the local regional office and members of SURRMA have recommended that both the City of Paris and Lamar County agree to contribute approximately 1% (each) of the necessary funds for this project. That would be approximately $900,000.00 each (strictly an estimate given known data). To do this, the City Council would need to approve a Resolution to that effect. It must be known that given this project is still two or more years away, the current City Council cannot bind a future City Council to this Resolution, but it would provide appropriate guidance to current staff, TxDOT, and the future City Council that this is an important project that we today believe must be funded. This Resolution would need to be included in our Regional TxDOT Office's submittal to the Main Office in Austin in January. Representatives from our Regional TxDOT Office as well as SURRMA are present tonight to discuss this project and answer any questions they can. You can also find more information about this protect by visiting lvr IC � Given this project, if funded, is not slated to begin for a few more years, there is no financial impact to the City in FY21/22. However, assuming TxDOT approves this project and we are indeed asked to contribute, City Staff will recommend long term financing for our share of the funding. This can take the form of a Certificate of Obligation or perhaps some SIB Loans as have occurred in the past. Those decisions will come at a future point. If this project does receive funding, the City will automatically have a 10% financial obligation for ROW and Utility Easement expenses, but our I% can be applied towards this expense. OPTIONS: 1. Approve a Resolution declaring the City of Paris' intent to provide 1% of the needed funding for the Northeast Loop 286 TxDOT Improvement Project. 2. Request additional information. 3. Reject this resolution and/or edit it. •uuhR:•► 1. Approve a Resolution declaring the City of Paris' intent to provide 1% of the needed funding for the Northeast Loop 286 TxDOT Improvement Project. RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS DECLARING THE CITY OF PARIS' INTENT TO PROVIDE 1% OF THE NEEDED FUNDING FOR THE NORTHEAST LOOP 286, TXDOT IMPROVEMENT PROJECT; MAKING OTHER FINDINGS AND PROVISIONS RELATED TO THE SUBJECT; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the Texas Department of Transportation (TxDOT), has long planned major improvements to Loop 286 around the City of Paris that are critical to the infrastructure for our community and economy; and WHEREAS, one phase is the Northeast Loop from Stillhouse Road to Pine Mill Road consisting of building a new overpass at North Collegiate, rebuilding the overpass at FM195, adding one-way frontage roads along both sides of Northeast Loop 286, and replacing Northeast Loop 286 from Stillhouse Road to Pine Mill Road.; and WHEREAS, TxDOT estimates these improvements could help reduce crashes by 65% given the area at North Collegiate Drive accounts for nearly a third of crashes on the entire Loop; and WHEREAS, the project is approximately 90% through schematic drawing and nearly 30% through construction design and is estimated to cost nearly ($90,000,000.00) NINETY MILLION DOLLARS; and WHEREAS, TxDOT, working with the Sulphur River Regional Mobility Authority (SURRMA), have recommended that both the City of Paris and Lamar County agree to contribute approximately 1% each of the necessary funds for the project (approximately $900,000.00 each) to help secure funding from the State; and WHEREAS, in the event that the State funds said project, City Staff recommends long term financing for the City's share of the funding in the form of Certificate of obligation or SIB Loans; and NOW THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS, THAT: Section 1. The findings set out in the preamble to this resolution are hereby in all things approved. Section 2. The City Council hereby declares the City of Paris' intent to provide 1% of the needed funding for the Northeast Loop 286 TxDOT Improvement Project, in the sum of approximately $900,000.00. PASSED, APPROVED, AND EFFECTIVE this 131h day of December, 2021, by the City Council of the city of Paris, Texas. Paula Portugal, Mayor ATTEST: Janice Ellis, City Clerk APPROVED AS TO FORM: Stephanie H. Harris, City Attorney I lw� I ig°„ it ed" i '" / . Nip, 00,11