City of Milwaukee - File #: 040258

• File #: 040258
• Version: 1
• Type: Resolution
• Status: Passed
• File created: 6/15/2004
• In control: PUBLIC WORKS COMMITTEE
• Final action: 9/21/2004
• Title: Substitute resolution approving a Turnkey Development Agreement for the design, construction and occupancy of a new, combined Department of Public Works and Water Works facility at the Tower Automotive site.
• Sponsors: THE CHAIR
• Indexes: AGREEMENTS, DEPARTMENT OF PUBLIC WORKS, PUBLIC BUILDINGS

Date	Ver.	Action By	Action	Result	Tally
9/30/2004	1	MAYOR	SIGNED
9/21/2004	1	COMMON COUNCIL	ADOPTED	Pass	14:1
9/8/2004	1	PUBLIC WORKS COMMITTEE	RECOMMENDED FOR ADOPTION; Minutes note: Speakers: James Purko, Dept. of Public Works Jim Scherer, Dept. of City Development Tom Gardner, City Attorney's Office	Pass	5:0
9/7/2004	1	CITY CLERK	DRAFT SUBMITTED
9/3/2004	0	PUBLIC WORKS COMMITTEE	HEARING NOTICES SENT
9/3/2004	0	PUBLIC WORKS COMMITTEE	HEARING NOTICES SENT
9/3/2004	0	PUBLIC WORKS COMMITTEE	HEARING NOTICES SENT
9/3/2004	0	PUBLIC WORKS COMMITTEE	HEARING NOTICES SENT
6/15/2004	0	COMMON COUNCIL	ASSIGNED TO

Number

040258

Version

SUBSTITUTE 1

Reference

040025

Sponsor

THE CHAIR

Title

Substitute resolution approving a Turnkey Development Agreement for the design, construction and occupancy of a new, combined Department of Public Works and Water Works facility at the Tower Automotive site.

Analysis

This resolution approves a Turnkey Development Agreement for the design, construction and occupancy of a new, combined Department of Public Works and Water Works facility at the Tower Automotive site in the vicinity of North 35^th Street and West Keefe Avenue.  The Agreement will be between the City (in cooperation with the Redevelopment Authority) and Central Land Company, LLC, with the latter being responsible for site acquisition and preparation, as well as design and construction of the new facility.  This resolution also approves the Redevelopment Authority's blight designation of the Tower Automotive site, such designation being a prerequisite to entering into the Agreement.

Body

Whereas, Common Council File Number 040025, adopted May 25, 2004, authorized the Department of Public Works ("DPW"), in cooperation with the Redevelopment Authority of the City of Milwaukee ("RACM"), to pursue relocation of DPW'S Traser Yard facilities and two Milwaukee Water Works water distribution facilities to new facilities to be developed on the Tower Automotive site ("the Site") in the vicinity of North 35^th Street and West Keefe Avenue; and

Whereas, File Number 040025 also authorized and directed the proper City officials, in cooperation with RACM, to negotiate a turnkey development or lease agreement for the design, construction and occupancy of a new, combined DPW and Water Works facility at the Site; and

Whereas, File Number 040025 stipulated that the terms of the turnkey development agreement or lease agreement shall be subject to Common Council review and approval; and

Whereas, DPW and RACM have negotiated a Turnkey Agreement with Central Land Company, LLC, for site acquisition and development and design, construction and occupancy of a new combined DPW/Water Works facility at the Site for a guaranteed maximum price not to exceed $23,024,043; and

Whereas, In addition to this development cost, DPW anticipates approximately $500,000 in City costs for this project (i.e., costs of project management, on-site owner's representative and relocation of existing facilities); and

Whereas, The negotiated Turnkey Development Agreement further addresses issues of cooperation between the City and RACM, including project financing and land transfers; and

Whereas, A copy of the negotiated Turnkey Development Agreement is attached to this file, along with a preliminary site plan and a preliminary project schedule; and

Whereas, In order for the City and RACM to participate in the Turnkey Agreement, the Site must be declared blighted for redevelopment and acquisition purposes, pursuant to s. 66.1333, Wis. Stats.; and

Whereas, Following a public hearing on September 16, 2004, RACM determined the site to be blighted; now, therefore, be it

Resolved, By the Common Council of the City of Milwaukee, that the attached Turnkey Agreement for development of a new, combined Department of Public Works and Water Works facility at the Tower Automotive site by Central Land Company, LLC, is approved; and, be it

Further Resolved, That changes to the Turnkey Development Agreement that are non-substantive and are approved by the City Attorney shall be permitted prior to execution of the Agreement; and, be it

Further Resolved, That the Tower Automotive site to be redeveloped pursuant to the Turnkey Development Agreement is found to be blighted within the meaning of s. 66.1333(4)(bm), Wis. Stats., as amended; and, be it

Further Resolved, That the proper City officials are authorized and directed to execute the approved Turnkey Agreement, subject to, and conditioned upon, the City's subsequent approval of a Cooperation, Reimbursement and Redevelopment Agreement, and related collateral agreements, with H-D Milwaukee, LLC, providing for the redevelopment of approximately 20 acres of property owned by the City and RACM and located adjacent or proximate to the intersection of 6^th and Canal streets; and, be it

Further Resolved, That upon redevelopment of the Tower Automotive site as set forth in the Turnkey Development Agreement, RACM is authorized to convey the property to the City and the City is authorized to accept the conveyance from RACM.

Requestor

Department of Public Works

Drafter

LRB04344-1

JDO

09/03/04