2003 AGN MAY 06 I14 - Laserfiche WebLink

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sidewalks, City representatives and East Valley Land Company, the developer of the project contacted the Southern California Gas Company to extend the gas lines on the project site. Since there are currently no existing gas -users in the area, the Gas Company requires the City to pay the fees of the gas main installation upfront. A portion of these fees will be recovered as users connect into the gas, as provided in Section VI of the attached Agreement and Cost Estimate (Attachment "B"). Installation of the Gas Line was budgeted in the EDA Grant Application in the amount of $40,000. The actual cost of the gas line installation is $65,748.55. There is also a construction contingency line item in each of the funding sources for $70,645 and $89,912, respectively. Given that the cost of the gas line installation exceeds the original budget amount, upon approval of the Council, staff will seek approval from the funding sources to ensure that the increase is authorized. Staff has evaluated the importance of providing this utility for the project to be functional. The expenses for this item of work is eligible for reimbursement and a copy of the cost proposal and agreement will be sent to EDA -Los Angeles Office for evaluation and authorization. ENVIRONMENTAL IMPACT On July 17, 2000, an Environmental Assessment addressing the construction of that portion of the street improvements involving construction of new streets was submitted to the Community Development Department. The City of Colton recommended a Negative Declaration be prepared for this project. On August 8, 2000, EDA Project No. 0 7-01-05132 (Construction of Infrastructure Improvements to Serve the Cooley Ranch Area) was conditionally approved by the Planning Commission with a Negative Declaration; a Notice of Determination (Environmental) for said Negative Declaration was prepared for this project pursuant to the provisions of CEQA and filed with the Clerk of thBoard of Supervisors. FINANCIAUFISCAL IMPACT An amount of $2,306,896.00 has been allocated for the EDA Project No. 07-01-05132 (Construction of Infrastructure Improvements to Serve the Cooley Ranch Area). A Public Works and hifrastructure Grant has been secured from the United States Commerce, Department of Economic Development Administration, in the amount of $1,000,000.00. The Redevelopment Agency applied for and received a loan from the California Infrastructure and Economic Development Bank (CIEDB) to fund the remaining balance.. The loan will be repaid from Cooley Ranch Redevelopment Project Area tax increment over a period of (30) years. The increase in the line item for the gas line installation will be drawn down against the line item for the construction contingency. The City has allocated funds in account number 457-6650-6652- 3890, pending reimbursement from the EDA and CIEDB