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City Council Report Date: November 2, 2026 To: City Council Through: Marc Heirshberg, Assistant City Manager From: Erik Guderian, Transportation Director Sabine King, Assistant Transportation Director Subject: Sossaman Road and Germann Road Intersection Improvements City of Mesa CIP Project No. CP1098 Town of Queen Creek Project No. A0904 Intergovernmental Agreement with Maricopa County and Town of Queen Creek Council District 6 Purpose and Recommendation The purpose of this report is to request Council approval of a resolution authorizing the City of Mesa (City) to enter into an Intergovernmental Agreement (IGA) with Maricopa County (County) and the Town of Queen Creek (Town). The IGA establishes the transfer of jurisdiction over right-of-way associated with improvements to the Sossaman Road and Germann Road intersection and the Union Pacific Railroad (UPRR) at-grade crossing (Project). Refer to Exhibit A for the Project location. Staff recommends Council approve the resolution and authorize the City Manager to execute the IGA on behalf of the City. The IGA defines each party's responsibilities for transferring the Project right-of-way to the Town and establishes the Town's responsibility for property acquisition and future operation and maintenance. Background The Sossaman Road and Germann Road intersection is in southeast Maricopa County, with the City to the north and the Town to the south. Portions of the future Project right- of-way and easements are within the City and unincorporated Maricopa County. In July 2015, the parties completed a final alignment study evaluating the intersection, the UPRR at-grade crossing, and traffic impacts to Pecos Road and Rittenhouse Road. The parties are in the process of completing the Project design, which is currently at 90%. The construction will be the sole responsibility of the Town. In 2022, the parties entered into a separate IGA defining their roles and financial responsibilities for design of the intersection improvements. The current IGA addresses the jurisdictional changes needed for the Project and does not supersede the 2022 IGA. Discussion Public agencies are authorized under A.R.S. Section 11-951 et seq. to enter into IGAs for services and joint or cooperative actions. After the Project design is approved by all parties, UPRR, and the Arizona Corporation Commission, the County will allow the Town to annex the Project right-of-way and easements within unincorporated Maricopa County. The City will deannex the portions of the future Project right-of-way within its current limits, and the Town will then annex those areas. The affected areas include portions of existing Germann Road and Sossaman Road right-of-way, UPRR property, and adjacent parcels needed for the Project, as shown in Exhibit B. The Town will serve as the lead agency and acquire all rights-of-way, easements, and property interests needed to construct the Project. The Town will be solely responsible for the acquisition costs, including appraisals, negotiations, relocation assistance, legal services, and any condemnation proceedings, settlements, or judgments. The Town will also prepare the legal description, annexation exhibit, and draft ordinance for County review. After construction, the Town will be responsible for operating and maintaining the intersection and traffic signal. The IGA will remain in effect for ten years or until the parties have completed their responsibilities. The maintenance and indemnification obligations will continue after the IGA terminates. Alternatives The City Council could choose not to enter into the IGA. This is not recommended because the parties would not have an agreement establishing the jurisdictional transfers needed for the Project or the Town's future operation and maintenance responsibilities, which could delay the Project. Fiscal Impact The IGA does not assign right-of-way acquisition costs to the City. The Town will be solely responsible for all acquisition-related expenses, at no cost or financial obligation to the City or County. The IGA does not change the financial responsibilities established in the 2022 IGA. Coordinated With This Agreement has been coordinated with the Engineering Department.