BOARD AGENDA MEMORANDUM
SUBJECT:
Title
Conveyance of Real Property Rights to Moffett Place LLC, and to the City of Sunnyvale, Execution of Bridge Agreement with Moffett Place LLC, and Execution of a Cost Sharing Agreement with Moffett Place LLC (District 3).
End
RECOMMENDATION:
Recommendation
A. Consider the potential environmental effects of the proposed conveyance of real property as discussed in the Final Subsequent Environmental Impact Report (SEIR) adopted by the City of Sunnyvale, acting as the lead agency;
B. Adopt a Resolution MAKING RESPONSIBLE AGENCY FINDINGS PURSUANT TO THE CALIFORNIA ENVIRONMENTAL QUALITY ACT FOR APPROVAL OF THE USE OF THE CITY OF SUNNYVALE’S MOFFETT PLACE PROJECT ENVIRONMENTAL IMPACT REPORT TO AUTHORIZE CONVEYANCE OF REAL PROPERTY RIGHTS AND EXECUTION OF A BRIDGE AGREEMENT;
C. Adopt a Resolution CONVEYANCE OF REAL PROPERTY RIGHTS TO MOFFETT PLACE LLC;
D. Approve and authorize the Interim CEO to execute the Right of Way Agreement between Moffett Place LLC and District for the conveyance of a portion of District real property at the location of N. Mathilda Avenue and Bordeaux Drive over Sunnyvale West Channel based upon the terms and conditions as set forth in the Agreement, per Section 31 of the District Act;
E. Approve and authorize the Interim CEO to execute the Quitclaim Deed with reservation of easement rights at N. Mathilda Avenue and Bordeaux Drive to Moffett Place LLC (District Real Estate File No. 2027-2.5);
F. Approve and authorize the Interim CEO to execute the Quitclaim Deed for the conveyance of property rights at the existing roadway at Bordeaux Drive to the City of Sunnyvale with reservation of easement rights for flood protection and maintenance purposes (District Real Estate File No. 2027-2.6);
G. Approve and authorize the Interim CEO to execute the Bridge Agreement between Moffett Place LLC and Santa Clara Valley Water District for the construction of a vehicular bridge crossing Sunnyvale West Channel (District Real Estate File No. 2027-2.7); and
H. Approve the Cost Sharing Agreement with Moffett Place LLC for the construction of floodwalls along Sunnyvale West Channel in accordance with the District flood protection improvement project.
Body
SUMMARY:
Moffett Place LLC is constructing a vehicular bridge, public street improvements, and floodwalls along the Sunnyvale West Channel as part of the Moffett Place Development Project. The construction of public street improvements located at those portions of N. Mathilda Avenue and Bordeaux Drive that cross over Sunnyvale West Channel will require the conveyance of the necessary property rights from the Santa Clara Valley Water District (District) to the Moffett Place LLC. The appraised fair market value for North Mathilda Avenue Bridge widening and for Bordeaux Drive Bridge widening area are $100,000 and $26,500 respectively as presented in the Appraisal Report dated May 18, 2015.
It was determined that the City of Sunnyvale (City) had not obtained adequate rights for the existing roadway crossing at Bordeaux Drive; therefore, the City has requested that land rights for the existing roadway crossing also be conveyed at this time. An easement for flood protection purposes will be retained by the District. Transfer of the underlying fee to the City reduces the District’s risk exposure related to the public use of the Bordeaux Drive roadway crossing.
The City negotiated with Moffett Place LLC to acquire land rights from the District for the bridge widening areas at N. Mathilda Avenue and Bordeaux Drive. The District would sell fee title to Moffett Place LLC with a reservation of easement rights over the acquired areas for flood protection and maintenance purposes. After Moffett Place LLC completes construction of the roadway improvements, it will convey the property interests acquired from the District to the City by the end of three years from the date of recordation of the quitclaim deed; this condition is included in the quitclaim deed. The City requested that Moffett Place LLC enter into a right of way agreement with the District at this time to complete the transaction in a timely and efficient manner.
Moffett Place LLC proposes to construct a vehicular, pedestrian and bicycle bridge downstream of Bordeaux Drive, as allowed by rights reserved when Sunnyvale West Channel was acquired by the predecessor agency to the District to improve the traffic circulation between the two properties on both sides of the channel. and desires to enter in to the Bridge Agreement for the construction, operation, maintenance and use of a vehicular, pedestrian and bicycle bridge crossing over Sunnyvale West Channel and District property. Moffett Place LLC will pay a use fee for the first year in the amount of $3,800.00 and the fees for the subsequent years shall be in accordance with the Bridge Agreement.
The District has a proposed flood protection project along Sunnyvale West Channel and the construction schedule of the Moffett Place Development Project precedes and is coincident with the District’s Sunnyvale East Channel and Sunnyvale West Channel Flood Protection Project. The coordination of both entities’ projects will reduce the overall District project costs by avoiding unnecessary duplicative work. Therefore, the District desires Moffett Place LLC to incorporate certain flood protection improvements located at the Bordeaux Drive roadway crossing into the Moffett Place Development Project, which includes construction of floodwall improvements along the District’s east maintenance road extending from Bordeaux Drive downstream approximately 339 feet and along the District’s west maintenance road extending from Bordeaux Drive downstream approximately 547 feet to the end of Moffett Place ‘s property. Cost sharing with Moffett Place LLC for the construction of the floodwall within their project will not only result in cost savings of public funds but also avoid any potential damages to the Moffett Place Development Project.
This agenda item presents a request for the Board to consider the land rights transactions with the City and with Moffett Place LLC, the Bridge Agreement between the District and Moffett Place LLC, and the Cost Sharing Agreement between the District and Moffett Place LLC. The District will issue permits for the construction of all the work elements within the District fee-owned right of way after the Board approves the agenda recommendations.
FINANCIAL IMPACT:
Moffett Place LLC will pay the sum of $126,500 to the District as consideration for the conveyance of the real property interests.
Moffett Place LLC will pay the District use fees for vehicular, pedestrian and bicycle bridge crossing over Sunnyvale West Channel and District property.
LEVEL 10 Construction, Moffett Place LLC’s contractor, and the District agreed to a reimbursement cost of $868,033 for the construction of the District’s improvements. There are adequate funds in the approved FY 2017 Sunnyvale East Channel and Sunnyvale West Channel Flood Protection Project budget to fund this expenditure.
CEQA:
On December 3, 2013, a Final SEIR was adopted by the City of Sunnyvale, the Lead Agency under CEQA and approved the Moffett Place Improvement Plan. The Final SEIR is available in the District Clerk of the Board’s Office. The Board must adopt the resolution making responsible agency findings of findings and facts before approving the conveyance of real property rights and execution of the Bridge Agreement.
ATTACHMENTS:
Attachment 1: Final SEIR
Attachment 2: CEQA Resolution
Attachment 3: Resolution for Conveyance of Property Rights
Attachment 4: Bridge Agreement
Attachment 5: Cost Sharing Agreement
UNCLASSIFIED MANAGER:
Manager
Ngoc Nguyen, 408-630-2632