Extracted text (via pymupdf)
3024 characters
Item Number: H.3. CITY COUNCIL REPORT SUBJECT: Resolution No. 2626 - Development Agreement with Bay State Milling Company: Roadway Widening Improvements along 99th Avenue MEETING DATE: December 4, 2025 TO: Mayor and Council FROM: Jason Earp, Development Services Director REVIEWED: Reyes Medrano, Jr., City Manager PURPOSE: The Development Services Department requests that the City Council adopt Resolution No. 2626 authorizing the City Manager to execute a Development Agreement on behalf of the City with Bay State Milling Company related to the development of certain property located along 99th Avenue to the railroad tracks. BACKGROUND: Bay State Milling Company is the legal owner of the property located at 421 South 99th Avenue in Tolleson. In preparation for its planned development activity, roadway and associated improvements are required pursuant to City Code. Coordination between the City and the property owner has identified the opportunity for the City to construct the required improvements along 99th Avenue. These improvements include roadway widening along the property frontage as well as the installation of curbs, sidewalks, gutters, and a traffic signal. The arrangement benefits both the City and the property owner by aligning infrastructure needs with planned development and construction timelines. DISCUSSION: Under the Development Agreement, the City will install the necessary improvements described in the agreement. Bay State Milling Company will contribute a maximum of $1,200,000 toward the cost of the improvements, consisting of an initial payment of $900,000 followed by up to $300,000 for documented improvement overruns. The company’s financial obligation cannot exceed $1,200,000. The City of Tolleson will be responsible for all project costs that exceed the owner’s maximum contribution. The current estimated cost to complete the improvements is $894,366.87. The cost proposal was obtained from Talis Construction and is attached to the agreement. Adoption of Resolution No. 2626 will authorize execution of the Development Agreement and allow the City to proceed with construction and administration of the project. The City Clerk will also be required to record the agreement with the Maricopa County Recorder within ten days of execution. BUDGET IMPACT: Bay State Milling Company will contribute up to $1,200,000 toward the improvements. The City will be responsible for all additional costs beyond this amount. Any remaining City-funded improvements will be supported through applicable capital improvement or transportation program budgets. RECOMMENDATION: Staff recommends approval of Resolution No. 2626 authorizing the City Manager to execute the Development Agreement with Bay State Milling Company for roadway widening improvements along 99th Avenue to the railroad tracks. ATTACHMENTS: 1. Res 2626 Bay State Milling Co. Development Agreement - 99th Ave. and Railroad Tracks - Roadway Widening 12 04 25