AGENDA #4d
TO: Mayor and Town Council
FROM: W. Calvin Horton, Town Manager
SUBJECT: Allocation of Remaining 1996 Drainage Bond Funds
DATE: June 10, 2002
The attached resolution would authorize the Manager to allocate the remaining 1996 drainage bond funds for Burning Tree Drive drainage improvements and provide for Town funding contribution to Federal Realty for associated flood mitigation measures within the Town Linear Park in the amount of $10,000. See Attachments #1 – #3 for background information concerning the Federal Realty flood mitigation issue.
BACKGROUND
In 1996, $400,000 of street bond monies was approved for allocation to drainage projects. Those funds have been used for projects including the Piney Mountain Road culvert replacement, North Lake Shore Drive bridge replacement, Elliott Road culvert clearing and sediment removal, and several other small drainage projects.
Currently, approximately $46,000 in drainage bond funds remains available for other drainage improvement projects. We previously recommended that $40,000 in drainage bond funds be used for cost-sharing in drainage improvements being done at the Eastgate Shopping Center by its owner, Federal Realty. However, because resources are very limited, it is necessary to more strictly evaluate and prioritize spending based on considerations such as the severity and frequency of the threat to public safety; property damage; public versus private facilities in need of repair, and of the amount of flooding associated with each potential project.
DISCUSSION
Town Collaboration Efforts with Federal Realty
The Town Linear Park project, primarily funded by a Department of Transportation Enhancement Grant, allows stormwater runoff from the Eastgate and Staples properties to be routed through the Linear Park in such a way that the environmental restoration and water quality requirements of the grant can be met while improving drainage conditions and alleyway access for the shopping center. We have been working closely with the Federal Realty engineering consultants to create a cost-effective design that will benefit both Federal Realty and the Town. This solution has corrected the Staples outlet problem as well as corrected the frequent drainage problems behind Eastgate Shopping Center.
A limited amount of grant funding has been budgeted for “ditch restoration” under the grant agreement. We think that it would be reasonable for the Town to share in Federal Realty’s costs associated with the Linear Park in the amount of $10,000 to be allocated from the approved State Enhancement Grant funds. The Town has retained a consultant to design and monitor the construction of the Linear Park project, including coordination with the Eastgate Shopping Center improvements as may be necessary.
The Council has suggested that the linear park pond be used for detention. We have determined that it is not feasible to use the Linear Park pond to provide flood mitigation, due to its location and size. The pond will, however, be modified to provide important water quality and natural habitat functions.
The Council has suggested utilizing floodproofing measures to reduce the risk of flood waters entering businesses at Eastgate Shopping Center. Federal Realty will re-grade the shopping center parking lot to provide a level of flood protection to the structures. The Town has provided Federal Realty with alternative flood proofing methods for their consideration.
Consideration of Utilizing Remaining Drainage Bond Funds
Early in 2002, the Town received a citizen request to resolve a flooding problem at a residence. This residence is located adjacent to a tributary to Little Creek immediately upstream of Burning Tree Drive. The flooding can occur during more frequent rain events, partially related to an obsolete storm sewer system in the public right-of-way of Burning Tree Drive. We estimate that an improvement project to mitigate the flooding problem on Burning Tree Drive would cost in excess of the remaining drainage bond fund balance. Town staff evaluated this problem in relation to other drainage/flooding problems in Town and believes that the Burning Tree Drive problem should have the highest priority for an improvement project using the remaining 1996 drainage bond funds. Therefore, we recommend that remaining 1996 drainage bond funds be designated for the Burning Tree Drive drainage improvement project.
If the Council agrees, this decision would leave no drainage bond funding available for cost-sharing with Federal Realty and would allow for the remaining drainage bond funds
to be utilized towards the Burning Tree Drive drainage improvements project.
Conclusion
As requested by the Council, we have investigated and will continue to investigate means to collaborate with and assist Federal Realty in reducing flood risks and improving water quality at and surrounding the Eastgate Shopping Center. We have identified improvements for which we think it would be reasonable for the Town to share in costs.
However, due to a higher priority use identified for the remaining 1996 drainage bond funds, we are now unable to recommend the $40,000 in drainage-bond funding that we had previously identified for cost-sharing with Federal Realty for drainage improvements. We recommend that all of the remaining available drainage bond funds be designated for use on the Burning Tree Drive flood mitigation project.
Although we are presently unable to identify any alternative source of funds to assist Federal Realty with drainage improvements at the Eastgate Shopping Center, we have included language in the attached resolution that would allow the Council to consider contributing up to $40,000 to the Eastgate Shopping Center drainage improvements if and when such funds may become available and the need for the improvements continues to exist.
We do have grant funds assigned to the Linear Park that are still available and we think they could be used to share in the cost of work being done by Federal Realty that is associated with the park. If the Council concurs, Town cost-share funding in the amount of $10,000 could come from State Enhancement Grant funds assigned to the Linear Park.
That the Council adopt the attached resolution which would:
- approve the use of $10,000 of State Enhancement Grant funds for a Town share of the cost of drainage improvements to be included in the Town’s Linear Park construction and intended to mitigate flooding problems at and around the Eastgate Shopping Center,
- allocate the remaining $46,000 in 1996 drainage bond funds for repair of the drainage problem on Burning Tree Drive, and
- consider contributing an additional $40,000 to the Eastgate Shopping Center drainage improvements at such time that funds are available and recommended by the Town Manager, provided the need for such improvements continues to exist.
ATTACHMENTS
1. Agenda Item #7 from February 26, 2001 including a petition from Federal Realty for Town assistance (p. 6).
2. Federal Realty letter dated October 18, 2001 (p.17).
3. Federal Realty letter dated February 6, 2001 (p. 19).
A RESOLUTION AUTHORIZING THE TOWN MANAGER TO MAKE AVAILABLE UP TO $10,000 IN STATE ENHANCEMENT GRANT FUNDS TO FEDERAL REALTY INVESTMENT TRUST FOR FLOOD MITIGATION PURPOSES AND TO ALLOCATE REMAINING DRAINAGE FUNDS FOR RESOLVING A FLOODING PROBLEM ON BURNING TREE DRIVE (2002-06-10/R-4)
WHEREAS, the Eastgate Shopping Center has historically experienced and continues to experience repetitive flood damages; and
WHEREAS, the owner of the Eastgate Shopping Center, Federal Realty and Investment Trust, has investigated, designed, and is presently implementing measures to mitigate said repetitive flooding; and
WHEREAS, the Chapel Hill Town Council directed Town staff to assist and collaborate with Federal Realty in its investigation of possible flood mitigation measures at the Eastgate Shopping Center and to identify how the Town might assist the property owner in implementing those measures; and
WHEREAS, the Town has provided significant assistance to Federal Realty and its shopping center tenants including technical assistance and field maintenance work; and
WHEREAS, Federal Realty’s consulting engineer has shared data related to the drainage of the area in and around Eastgate with Town staff for use in designing the Linear Park; and
WHEREAS, Federal Realty’s consulting engineer, in association with Town staff, has identified certain measures that would be effective in mitigating flooding and flood related damages at the Eastgate Shopping Center; and
WHEREAS, Town staff has determined that it would be reasonable and prudent to continue to provide technical assistance to Federal Realty and to share in certain costs for implementation of identified flood mitigation measures, including modification to the Town’s planned Linear Park adjacent to the shopping center; and
WHEREAS, Town staff has determined that a flooding problem involving a drainage pipe under Burning Tree Drive, downstream from a tributary of Little Creek, is the highest priority of drainage and flooding problems currently identified;
NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Manager is authorized to provide continuing technical assistance and to make available up to $10,000 of State Enhancement Grant funds to Federal Realty Investment Trust, through a Performance Agreement, for flood mitigation purposes that will provide a benefit to the public and will improve drainage conditions in the area.
BE IT FURTHER RESOLVED that remaining 1996 drainage bond funds be allocated for mitigating the flooding problem at Burning Tree Drive close to a tributary to Little Creek, and
BE IT FURTHER RESOLVED that the Council will consider contributing an additional $40,000 to the Eastgate Shopping Center drainage improvements at such time that funds are available and as may be recommended by the Town Manager, provided the need for such improvements continues to exist.
This the 10th day of June, 2002.