PRESENTER: Presenter
Jeff Jewell, Economic and Community Development Director
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SUBJECT: Title
Public hearing, discussion, and possible action approving an expenditure of up to $89,160 to Economic & Planning Systems, Inc., for a planning and feasibility study for a possible public/private partnership, a project authorized under 505.102 of the Texas Local Government Code; and authorizing the President to execute said agreement.
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DEPARTMENT: Economic and Community Development
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COUNCIL DISTRICTS IMPACTED: 4
BACKGROUND INFORMATION:
The New Braunfels Economic Development Corporation (NBEDC) acquired a 16-acre site at Gruene Road and Common Street to support the expansion of HD Supply. For a multitude of reasons, the company does not anticipate expanding its building footprint but the NBEDC still owns the property adjacent.
Staff is recommending Economic & Planning Systems, Inc., to undertake a development scenario and feasibility analysis for the Gruene 16 property. The scope of work includes a demographic and economic framework analysis, market trends and potentials, financial feasibility pro-forma and a “but for” analysis for a fee not to exceed $89,160.
The primary goal of this project is to develop a range of development scenarios for the EDC-owned property on Gruene Road and Common Street behind the current HD Supply operation. The analysis will include a financial model to enable the EDC to test different development programs and select the optimal combination of land uses and appropriate level of financial return. The feasibility and concept plan is intended to be used to solicit proposals from developers to submit plans for the site’s eventual development. These initial tasks support a larger project that will eventually lead to the development of a preliminary Term Sheet, the establishment of criteria for evaluation and developer selection, a developer Request for Proposals, and the creation and negotiation of a Developer Agreement to bring the project to fruition.
ISSUE:
The NBEDC has agreed with staff’s recommendation to contract with a consultant to acquire a planning and feasibility study for a possible public/private partnership to address the NBEDC owned property.
FISCAL IMPACT:
Economic & Planning Systems, Inc. submitted a scope and fee, not to exceed $89,160. The NBEDC has adequate funds for this project expenditure.
Recommendation
RECOMMENDATION:
Staff recommends the approval of the project expenditure, up to $89,160, with Economic & Planning Systems, Inc., for a planning and feasibility study for a possible public/private partnership, a project authorized under 505.152 of the Texas Local Government Code; and authorizing the President to execute said agreement.