RESOLUTION No. 36241

Adopt the Portland Streetcar Gibbs Extension alignment and the preliminary capital budget and direct actions for implementation. (Resolution)

WHEREAS, on August 22, 2003, the Portland Development Commission entered into the South Waterfront Central District Project Development Agreement with Oregon Health & Science University (OHSU), River Campus Investors, LLC; North Macadam Investors, LLC; and Block 39, LLC (Development Agreement); and

WHEREAS, the Development Agreement provides for the City to extend the Portland Streetcar to SW Gibbs Street to serve the South Waterfront Central District no later than December 2006; and

WHEREAS, after a competitive process, Stacy and Witbeck, Inc. (SWI) was selected to provide pre-construction and construction services for extensions of Portland Streetcar from Portland State University to RiverPlace (Phase 3a), from RiverPlace to SW Gibbs (Phase 3b) and from SW Gibbs to SW Bancroft (Phase 3c); and

WHEREAS, on January 21, 2004, the City Council passed Ordinance No. 178155 authorizing a Contract with SWI for construction of the Portland Streetcar RiverPlace Extension; and

WHEREAS, a number of different alignments between RiverPlace and SW Gibbs (Gibbs Extension) have been investigated, most recently as part of the work called for in Amendment No. 17, as modified by Amendment No. 20 to Agreement No. 31428 with Portland Streetcar, Inc. (Agreement), which presented three alignment alternatives for which SWI provided cost estimates; and

WHEREAS, the three alternatives include the reconstruction of SW Moody with two tracks in mixed traffic (Alternative A), the reconstruction of SW Moody with a single two-way track in an exclusive Streetcar lane on SW Moody (Alternative B) and the construction of streetcar improvements immediately west of SW Moody in the Willamette Shore Rail Right-of-Way jointly owned by the City of Portland, the City of Lake Oswego, the Counties of Multnomah and Clackamas, the Oregon Department of Transportation, TriMet and Metro (Alternative C); and

WHEREAS, on May 4, 2004, the Portland Streetcar, Inc. (PSI) Board passed a motion stating that Alignment Alternative C, which involves building a single Streetcar-only paved track in a southbound lane on SW Moody between SW River Parkway and SW Sheridan Street and a single open tie and ballast track in the Willamette Shore Rail Right-of-Way just west of SW Moody between SW Sheridan and SW Gibbs appears to be the most responsible of three alignment alternatives; and

WHEREAS, on May 4, 2004, the PSI Board adopted Resolution 04-8 that, among other things, directed the consultant staff to review the three alignment alternatives with TriMet, the Portland Development Commission, property owners in the area and other project participants and interested parties; and

WHEREAS, on June 1, 2004, the PSI Board adopted Resolution 04-10 recommending Alignment Alternative C, after completion of an analysis and a public and agency review process, and concluding that Alternative C best meets service objectives and is the only alternative that can be completed within the available funds due to extensive utility relocation and road reconstruction work that would be required under Alternatives A and B; and

WHEREAS, significant savings will be realized by accelerating the schedule for constructing the Gibbs Extension under the Alternative C design to follow on completion of construction of the RiverPlace Extension Project, since the contractor will be mobilized and since there are inflationary pressures on both labor and materials, particularly steel and concrete; and

WHEREAS, in order to accelerate the construction schedule for the Gibbs Extension, an amendment to the SWI Construction Contract will need to be approved by the City Council in mid-November 2004; and

WHEREAS, the PSI Board in Resolution 04-10 recommends that some of the savings realized from the lower cost of the Alternative C Alignment and from the acceleration of the construction schedule be used to offset the cost of purchasing a third Streetcar vehicle, which will provide for a more efficient use of resources to maintain the streetcar fleet and avoid the significantly higher cost of purchasing a single streetcar vehicle for a future expansion of service to SW Bancroft Street; and

WHEREAS, on October 1, 2003, the City Council passed Ordinance No. 177924 authorizing an amendment to the contract with the Inekon Group to extend an additional twenty-four month option period to purchase additional streetcar vehicles; and

WHEREAS, if the new streetcars are ordered by January 2005, revenue service to SW Gibbs could begin by July 1, 2006, which is in line with the planned opening of the tram and the first OHSU building in the South Waterfront.

NOW, THEREFORE, BE IT RESOLVED, by the Council of the City of Portland, a municipal corporation of the State of Oregon, the Council adopts the Alternative C Alignment for the extension of streetcar service from RiverPlace to SW Gibbs, as set forth in Exhibit A attached to the original of this Resolution, and by reference made a part hereof; and

BE IT FURTHER RESOLVED, the City Council adopts the preliminary capital budget for the Alternative C Alignment as set forth in Exhibit B attached to the original of this Resolution, and by reference made a part hereof; and

BE IT FURTHER RESOLVED, Portland Streetcar, Inc. is requested to provide for the completion of design of the Alternative C Alignment and assist the City in negotiating an amendment to the Construction Contract with Stacy and Witbeck, Inc. and bring that amendment back to the City Council for approval in mid-November, 2004; and

BE IT FURTHER RESOLVED, Portland Streetcar, Inc. is requested to assist the City in negotiating a price for three additional streetcars from the Inekon Group so that an amendment to the contract is ready for Council consideration in October 2004 that will lead to a Notice to Proceed in January 2005; and

BE IT FURTHER RESOLVED, Portland Streetcar, Inc. is requested to assist the City in securing the sources of capital funds for the Portland Streetcar Gibbs Extension Project, including forming the Local Improvement District and gaining agreement from TriMet for receipt of their local funds before the City Council approves the procurement of additional streetcar vehicles or any construction activities; and

BE IT FURTHER RESOLVED, Portland Streetcar, Inc. is requested to assist the City in finalizing an Intergovernmental Agreement with TriMet for funding assistance of the Portland Streetcar Gibbs Extension Project and, further, to seek to limit the City and private sector support for on-going operations and maintenance at 1/3 of total anticipated costs; said agreement to be reached before the City Council approves the procurement of additional streetcar vehicles or any construction activities.

Adopted by the Council, August 4, 2004

 GARY BLACKMER

Commissioner Jim Francesconi  Auditor of the City of Portland

Vicky L Diede:slg              BY /S/ SUSAN PARSONS

July 28, 2004

RES re alignment-etc  DEPUTY

BACKING SHEET INFORMATION

AGENDA NO. 929-2004

ORDINANCE/RESOLUTION/COUNCIL DOCUMENT NO. 36241