Title
Approving a memorandum of understanding with the Capital Metropolitan Transportation Authority, and authorizing the City Manager to execute the same.
Summary
As part of the Secondary Colorado River Raw Water Line project, the City has been working with the Capital Metropolitan Transportation Authority (CapMetro) to solidify a Memorandum of Understanding to allow for the City to construct the second pipeline under the existing railroad line near the City’s River Pump Station in south Austin. During these negotiations, it was determined that the original line was permitted through the City of Austin in 2004 and was not approved through a licensing process that is now standard for all railway lines that CapMetro oversees. These licenses typically have a duration of 10 years and have an annual payment due to the party that oversees the railroad that has an annual cost escalation.
Also as part of the project design, CapMetro notified the City that they wished to construct a parallel drainage easement within the City’s existing easement on another parcel owned by CapMetro where the City has a permanent raw water line easement. This parallel drainage easement would save CapMetro a significant amount of money on their capital project where the City’s raw water line easement is located and minimizes their need to construct a full curb and gutter system within their complex. This raw water line easement prohibits parallel easements to be constructed to prevent damage to the pipeline in the future so a parallel drainage easement would not be standard for our raw water pipeline.
After extensive negotiations with CapMetro, the City and CapMetro were able to come to an agreement to allow the existing raw water pipeline and planned second pipeline that cross the railroad to have a perpetual license with no expiration at no cost to the City in exchange for allowing a parallel drainage easement within the City’s raw water line easement. While both parties would have to allow for something that is not standard for either operation, it was determined that this was in the best interest for both parties and for the greater region that both entities serve. With the execution of this Memorandum of Understanding, it will allow the two parties to execute these agreements to allow both projects to continue moving forward and for both parties to have a benefit to each of their respective projects.
Prior City Council Action
On September 24, 2024, City Council authorized the City Manager to execute a conditional purchase agreement and associated conveyance documents between CapMetro (Parcel 29a) and the City of Pflugerville as necessary to acquire real property interests for the Secondary Colorado River Raw Water Line Project.
Deadline for City Council Action
Action is requested October 22, 2024
Funding Expected: Revenue __ Expenditure __ N/A X_
Budgeted Item: Yes __ No __ N/A X_
Amount: ___N/A_____
1295 Form Required? Yes __ No __
Legal Review Required: N/A __ Required X_ Date Completed: _10/9/2024_
Supporting documents attached:
CapMetro MOU
Recommended Action
Staff recommends approving a memorandum of understanding with the Capital Metropolitan Transportation Authority, and authorizing the City Manager to execute the same.