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City Council Report Date: June 1, 2026 To: City Council Through: Marc Heirshberg, Deputy City Manager From: Lance Webb, City Engineer Marc Ahlstrom, Assistant City Engineer Subject: Amendment 2 to Intergovernmental Agreement with Flood Control District of Maricopa County for Design, Rights-of-Way Acquisition, Utility Relocations, and Construction of Drainage Improvements on Baseline Road east of Signal Butte Road City Project No. CP1099 Council District(s) 5 and 6 Purpose and Recommendation The purpose of this report is to request Council approval of a resolution to amend the IGA in order to extend the Project construction and funding from June 30, 2026, to June 30, 2027, and to update the estimated Project costs. (See Exhibit A for project location) Flood Control District of Maricopa County (District) has agreed to fund seventy-five (75%) of the construction costs, up to $500,000. The City will cover the full design costs and remaining construction costs. The City’s estimated contribution is $540,901. Staff recommends that the Council approve the resolution and authorize the City Manager to execute this IGA amendment on behalf of the City. Background Baseline and Signal Butte Roads Drainage Improvements Project intends to mitigate excess stormwater runoff impacting existing residences and businesses. This will be achieved through a drainage ditch and other drainage features that divert stormwater into the existing storm drain system. On October 19, 2022, the Board of Directors of the District (the Board) adopted Resolution FCD 2022R003 (C-69-23-013-X-00) authorizing the District to cost-share in projects recommended under the District’s Small Project Assistance Program. At this time, a draft 2 IGA was prepared that limited the District’s financial participation to charges for work completed and invoiced between July 1, 2022 and June 30, 2024. On October 18, 2023, the Board approved IGA FCD 2022A007 authorizing the District and the City to cost-share in the Project. On October 23, 2024, the Board approved IGA FCD 2022A007A extending the completion date for the Project from June 30, 2024 to June 30, 2026. Project development since authorization has taken longer than originally anticipated. Easement acquisition across Arizona State Land significantly contributed to the delay. Due to these circumstances, the City has requested and the District has agreed to extend the completion date from June 30, 2026, to June 30, 2027. Discussion The purpose of this IGA amendment is to extend the Project construction and funding from June 30, 2026 to June 30, 2027. It is anticipated that construction will start in Fall 2026 and be completed in Summer 2027. Community Impact – This project will mitigate stormwater runoff that impacts existing residences and businesses. Alternatives The City Council could choose not to enter into this IGA. This is not recommended because it will significantly affect residents and businesses along Baseline Road east of Signal Butte Road. Fiscal Impact The District has agreed to fund seventy-five (75%) of the construction costs, up to $500,000. The City will cover the full design costs and remaining construction costs. The City’s estimated contribution is $540,901. This project is funded by Local Streets, HURF and Transportation Funds. Coordinated With The Transportation Department concurs with this recommendation.