19-20 - Love's Travel Center Traffic Signal AgreementsItem Nos. 19 & 20
memorandum
TO: Mayor & City Council
FROM: John Godwin, City Manager
SUBJECT: LOVE'S TRAFFIC SIGNAL AGREEMENTS
DATE: December 7, 2015
BACKGROUND: The new Love's travel center on US 271 will be located on the northwest
corner of North Main and the Campbell's truck entrance road. This location with its significant
existing truck traffic, combined with future anticipated traffic levels at the new truck stop, will
necessitate some traffic improvements, most especially including a new traffic signal.
STATUS OF ISSUE: Ultimately, Love's will be responsible for all costs associated with the
signal construction. However, any work in and on TXDOT right -of -way must be completed by
TXDOT or a TXDOT contractor, and TXDOT is only allowed to enter into reimbursement
agreements with governmental entities. Therefore, TXDOT will build the signal, we will pay
TXDOT, and then Love's will pay us. To complete this circle, we will need to approve a local
project advance funding agreement (LPAFA) by which we will pay TXDOT, and a
reimbursement development agreement for the new traffic signal with Love's by which they will
pay us back.
BUDGET: Net no cost to the city.
RECOMMENDATION: Authorize city manager to execute both agreements.