M&C Review


COUNCIL ACTION:  Approved on 12/11/2018 

DATE: 12/11/2018 REFERENCE NO.: **C-28965 LOG NAME: 1717ED_AMEND3_WATERSIDE
CODE: C TYPE: CONSENT PUBLIC HEARING: NO
SUBJECT:  

Authorize Amendment to Economic Development Program Agreement with Waterside Partners LLC (City Secretary Contract No. 45725) to Extend the Completion Deadline for the Second Phase of a Mixed-Use Development Located in the Vicinity of Bryant Irvin Road and Arborlawn Drive (COUNCIL DISTRICT 3)


RECOMMENDATION:

It is recommended that the City Council authorize the City Manager to execute an amendment to the Economic Development Program Agreement with FW Waterside Partners LLC, (City Secretary Contract No. 45725) to extend the completion deadline for the second phase of a mixed-use development located in the vicinity of Bryant Irvin Road and Arborlawn Drive from December 31, 2018 to June 15, 2019 on account of construction delays caused by inclement weather and unforeseen permitting delays.

 
DISCUSSION:
On March 4, 2014 (M&C C-26698), the City Council authorized execution of an Economic Development Program Agreement (Agreement) with Trademark Property Company or an affiliate related to a mixed-use project to be constructed on the west side of Bryant Irvin Road at Arborlawn Drive at the former site of the Lockheed Martin Recreation Area in southwest Fort Worth. The planned development was to be constructed in three phases, with the second phase to be completed by December 31, 2018.

City Secretary Contract No. 45725 provides that deadlines established by the Agreement may be extended on account of events that cause delays and that are not the fault of the performing party (identified in the Agreement as events of force majeure).

On March 21, 2017 (M&C C-28149), the City Council approved an amendment to change the completion deadline for the first phase of the development from March 19, 2017 to August 1, 2017 as a result of inclement weather.  The developer also waived any further claims for force majeure through the effective date of the amendment.  However, that waiver only applied to Phase I.

In February 2018, the developer notified the City by letter that various events of inclement weather occurring between January 1, 2017 and February 28, 2018 impacted their phase II development. The developer also cited unforeseen permitting delays, primarily associated with necessary reviews by the Army Corp. of Engineers, occurring between August 25, 2016 and April 31, 2017. Both events of delay are constituted events of force majeure under the Agreement.  The developer provided City staff with documentation to substantiate a total of a 204 day delay during that period. At that time, the developer was uncertain as to how much time would specifically be needed past the December 31, 2018 deadline for Phase II completion, so the developer and City staff agreed to delay action until late 2018.

In August 2018, the developer met with City staff to officially request the extension for Phase II and staff began efforts to substantiate the request. As a result of those efforts, City staff recommends that the Agreement be amended to change the completion deadline for the second phase of the development from December 31, 2018 to June 15, 2019.

This project is located in COUNCIL DISTRICT 3.

 
FISCAL INFORMATION/CERTIFICATION:

The Director of Finance certifies that approval of this agreement will have no material effect on the Fiscal Year 2019 Budget. While no current year impact is anticipated from this action, any effect on expenditures and revenues will be budgeted in future Fiscal Years and will be included in the long-term financial forecast.

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Submitted for City Manager's Office by:
Susan Alanis (5804)
Originating Department Head:
Robert Sturns (2663)
Additional Information Contact:
Tracy Williams (2627)

 
 
ATTACHMENTS
  Form 1295 Certificate 100441112.pdf