Title
***ITEM REVISED (SEE ATTACHED MEMO)*** Request to Amend Development Agreement with Chamberlain Development, LLC (Ordinance S-50804)
Description
Request authorization for the City Manager, or his designee, to execute an amendment to Agreement 155403 with Chamberlain Development, LLC, to provide additional funding to address the increased project cost to construct a 15-inch sewer line on 59th Avenue south of Lower Buckeye Road. Further request to authorize execution of this amendment to the agreement as necessary within the Council approved expenditure authority as provided below, and for the City Controller to distribute the necessary funds related to this item.
Report
Summary
The development is 15 acres of real property, located at the northeast corner of 59th Avenue and Lower Buckeye Road within the City of Phoenix. Chamberlain Development, LLC (referred to here in as the "Developer") agreed to design, construct, and dedicate to the City a 600 foot 15-inch sewer main extension, and the City has agreed to reimburse the cost of design and constructing of the new sewer main.
The Developer completed the construction of the sewer main in January 2024. Due to field condition change orders and inflation, the final project cost increased from $410,000 to $886,309. The City agrees to amend the agreement to increase both the project cost and reimbursement payment to reflect the increased cost.
Contract Term
The contract will expire on Oct. 25, 2026, or when the City issues final acceptance to the new sewer main, whichever occurs first.
Financial Impact
The initial authorization for the agreement was for an expenditure not to exceed $410,000. This amendment will increase the authorization by $476,309 for a new total not to exceed of $886,309. The additional funding will come out of the City's Estrella South Wastewater Impact Fee.
Concurrence/Precious Council Action
The City Council approved:
- Development Agreement between the City of Phoenix and Chamberlain Development LLC (Ordinance S-47946) on Sept. 15, 2001.
Location
Council District 1
Department
Responsible Department
This item is submitted by Deputy City Manager Ginger Spencer and the Water Services Department.