STAFF REPORT
Operations Committee, November 5, 2009

Walker Street Extension Municipal Agreement (EN10-021)
Consideration of a Municipal Agreement with the North Carolina Department of Transportation for the Walker Street Extension Project (ST1158, NCDOT Project U-5117)
Speaker:  Mr. Tim Bailey

From:  Tim Bailey, P.E.; Director of Engineering
Prepared by:  Eric W. Simpson, P.E.; Engineer
Approved by:  Benjamin T. Shivar, Town Manager
Approved by:  Michael J. Bajorek, Assistant Town Manager

Executive Summary:  The North Carolina Department of Transportation (NCDOT) has forwarded a Municipal Agreement to the Town for the Walker Street Extension Project from Walnut Street to Chapel Hill Road.  The Town of Cary has been designated as a recipient to receive funds allocated to the NCDOT by the Federal Highway Administration (FHWA) and the Federal Railroad Administration (FRA) up to and not to exceed $2,084,000 for the project.  This Municipal Agreement supersedes the Municipal Agreement approved September 2009.  Staff recommends execution of the attached Municipal Agreement.
 
Background:  The Town of Cary requested federal funding for the Walker Street Extension.  In March 2009, $980,000 was approved and included into the 2008 Federal Budget for the Walker Street Extension under the Transportation, Housing and Urban Development, and Related Agencies Appropriations Act.  In September 2009, the Federal Railroad Administration (FRA) granted an additional funding of up to and not to exceed the maximum award amount of $1,104,000.  The appropriations are eligible for right of way acquisition, utility relocation, and construction.  NCDOT has agreed to administer the disbursement of the funds on behalf of FHWA and the FRA to the Town of Cary.  The Municipal Agreement identifies the conditions of the funding and the guidelines for reimbursement.

Fiscal Impact:  There are no operating budget impacts associated with the federal funds discussed in this staff report.

Funding: A total of $2,180,000 has been appropriated to date to the ST1158 TCAP – Walker Street Extension project.  This figure includes the $980,000 approved and included in the 2008 Federal budget.  Accepting the $1,104,000 award will increase total appropriations to $3,284,000.  Already appropriated Town funding will be used to meet a 20% match requirement associated with the federal funds.

Staff Recommendation:  Staff recommends that the Town of Cary execute the Municipal Agreement with NCDOT and recognize and appropriate the additional $1,104,000 from FHWA and the FRA.  These funds should be budgeted within the land and site acquisition account of ST1158 TCAP – Walker Street Extension Project.