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Agreement with Kwik Trip, Inc. - Kwik Trip, Inc. Convenience Store/Gas Station at Intersection of Kerper Boulevard and Kerper CourtCity of Dubuque City Council Meeting Consent Items # 021. Copyrighted December 19, 2022 ITEM TITLE: Agreement with Kwik Trip, Inc. - Kwik Trip, Inc. Convenience Store/Gas Station at Intersection of Kerper Boulevard and Kerper Court SUMMARY: City Manager recommending City Council approval of an Agreement with Kwik Trip, I nc. (KTI) for off -site roadway improvements at the intersection of Kerper Boulevard and Kerper Court related to the proposed Convenience Store/Gas Station site improvements at said intersection. RESOLUTION Approving an Agreement between the City of Dubuque, Iowa and Kwik Trip, Inc. for construction of certain off -site public roadway improvements at the intersection of Kerper Boulevard and Kerper Court related to the proposed site improvements at said intersection SUGGESTED Suggested Disposition: Receive and File; Adopt Resolution(s) DISPOSITION: ATTACHMENTS: Description Development Agreement with Kwik Trip, Inc. Kerper Blvd and Kerper Court-MVM Memo Staff Memo Resolution Traffic Safety Improvements Agreement Type City Manager Memo Staff Memo Resolutions Supporting Documentation THE C Dubuque DUjIBQTE WAWca 914 Masterpiece on the Mississippi YP pp aoo�•o 13 z0i7*20*�oi9 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Agreement with Kwik Trip, Inc. Kwik Trip, Inc. Convenience Store/Gas Station at Intersection of Kerper Boulevard and Kerper Court DATE: December 15, 2022 City Engineer Gus Psihoyos is recommending City Council approval of an Agreement with Kwik Trip, Inc. (KTI) for off -site roadway improvements at the intersection of Kerper Boulevard and Kerper Court related to the proposed Convenience Store/Gas Station site improvements at said intersection. I concur with the recommendation and respectfully request Mayor and City Council approval. Mic ael C. Van Milligen If•[yT/f•iWIIIIIIIIIIIIIII IIIIIIIII Attachment cc: Crenna Brumwell City Attorney Cori Burbach, Assistant City Manager Gus Psihoyos, City Engineer Nate Kieffer, Land Surveyor THE CITY OF DUB TE Masterpiece on the Mississippi TO: Michael C. Van Milligen, City Manager FROM: Gus Psihoyos, City Engineer Dubuque AII•America City \;❑�Ufwl_OVM�i iiF 2ao7•2012-2013 2017*2019 SUBJECT: Agreement with Kwik Trip, Inc. Kwik Trip, Inc. Convenience Store/Gas Station at Intersection of Kerper Boulevard and Kerper Court DATE: December 15, 2022 INTRODUCTION The purpose of this memorandum is to request City Council approval of an Agreement with Kwik Trip, Inc. (KTI) for off -site roadway improvements at the intersection of Kerper Boulevard and Kerper Court related to the proposed Convenience Store/Gas Station site improvements at said intersection. BACKGROUND Recently, KTI had submitted a site plan to improve the 3.45-acre site located at the southwest quadrant of the intersection of Kerper Boulevard and Kerper Court. The proposed site development includes a KTI convenience store and gas station. The site improvements will include both car/truck and semi fueling stations. DISCUSSION During the site plan review process, the City requested that KTI hire a consultant to perform a Traffic Impact Study due to the fact that convenience stores and gas stations are high traffic generator land uses. According to the traffic study prepared for Kwik Trip by Kimley Horn and dated 04-26-2021, intersection improvements, including traffic signals, would be required to adequately address the traffic impacts from the proposed KTI site development. The traffic study also states that a roundabout may be considered, as both would provide sufficient capacity to accommodate future traffic volumes. The City prefers roundabouts to over signalized intersections for the following reasons: 1. When planning for intersection improvements, the City of Dubuque prefers roundabouts to traffic signals whenever appropriate conditions exists. 2. Roundabouts save the taxpayers money in maintenance and electricity costs over the life of the project. 3. Roundabouts are easier to maintain than signalized intersections. 4. Roundabouts are safer for pedestrians/bicyclists and prevent head on or T-bone crashes. 5. Roundabouts offer improved flexibility for business access/Roadway locations. 6. Roundabouts effectively and safely slow traffic and improve traffic flow. 7. Roundabouts are being added by local and state governments across the US. Today, they are commonplace for large vehicle operators such as semi or dump truck drivers. 8. Roundabouts reduce fuel consumptions and save money, especially for truck drivers. A roundabout at the subject intersection would work well in concert with the planned roundabouts to the south along the 16th Street corridor. It is the City's policy to require developers to pay for the necessary public traffic safety and street improvements required based on the development's traffic impacts. The City of Dubuque has entered into an agreement (see agreement attached) with KTI setting forth terms and conditions for the off -site work. Per the Agreement, the City is requiring that KTI be responsible for one-half, but to exceed $750,000, of the estimated $1,500,000 cost for the design and construction of the roundabout intersection, including right of way acquisition. The City will design, construct, and conduct right of way acquisition for the project. The intersection improvements will include a two-lane roundabout intersection with street lighting, sidewalk, and underground utilities and other appurtenances. The City will own and operate the off -site public street intersection (roundabout) improvements. The City will start on the design and construction of the project immediately after the Agreement is executed by the City and KTI. KTI has agreed, at no cost to City, to dedicate to the City all street right-of-way necessary for the construction of the roundabout improvements. KTI plans to begin construction of the proposed private site improvements in the Spring of 2024 and to be open for business by December of 2024. The City will construct and have the roundabout intersection operational prior to the opening of the Convenience Store/Gas Station business. A copy of the Agreement executed by KTI is attached. RECOMMENDATION I recommend that the City approve the Agreement with KTI for off -site roadway improvements at the intersection of Kerper Boulevard and Kerper Court related to the proposed Convenience Store/Gas Station site improvements at said intersection per the terms of the attached Agreement. ACTION TO BE TAKEN I respectfully request adoption of the attached resolution approving said Agreement and authorizing the City Manager to execute said Agreement. Attach. Prepared by: Nate Kieffer, PE/PLS CC' Bob Schiesl, Assistant City Engineer Wally Wernimont, Planning Services Manager John Klosterman, Public Works Director Return to Adrienne N. Breitfelder, City Clerk, 50 W. 131h St., Dubuque, IA. (563)5894100 RESOLUTION NO. 387-22 APPROVING AN AGREEMENT BETWEEN THE CITY OF DUBUQUE, IOWA AND KWIK TRIP, INC. FOR CONSTRUCTION OF CERTAIN OFF -SITE PUBLIC ROADWAY IMPROVEMENTS AT THE INTERSECTION OF KERPER BOULEVARD AND KERPER COURT RELATED TO THE PROPOSED SITE IMPROVEMENTS AT SAID INTERSECTION WHEREAS, Kwik Trip, Inc. (KTI) has proposed a development project (the Project) at the intersection of Kerper Boulevard and Kerper Court; and WHEREAS, the City of Dubuque has determined that the Project will require certain improvements to the public right of way of Kerper Boulevard and Kerper Court and KTI agrees that such improvements are reasonable and necessary; and WHEREAS, the City of Dubuque has negotiated an Agreement, subject to City Council approval, with KTI for the construction of off -site public roadway improvements at the intersection of Kerper Boulevard and Kerper Court related to the proposed private site improvements by KTI at the southwest quadrant of said intersection; and WHEREAS, the City Council finds that it is in the best interest of the City of Dubuque to approve the Agreement attached hereto. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA: Section 1. The Agreement attached hereto is hereby approved. Section 2. The City Manager is authorized and directed to execute the Agreement on behalf of the City of Dubuque and to take such action as may be necessary to carry out the terms of the Agreement. Passed, Approved, and Adopted this 19th day of December, 2022. r Attest: A &*W017 Adrienne N. Breitfelder, City Clerk TRAFFIC SAFETY IMPROVEMENTS AGREEMENT BETWEEN THE CITY OF DUBUQUE, IOWA AND KWIK TRIP, INC. This Agreement (the Agreement), dated for reference purposes the 19-tb day of December , 2022, is made and entered into by and between Kwik Trip, Inc., a Wisconsin corporation (Kwik Trip) and the City of Dubuque, Iowa (City). Whereas, Kwik Trip is the Contract Buyer of the property legally described as: Lot 2 of Kerper Industrial Park No. 2, in the City of Dubuque, Iowa, according to the recorded plat thereof and as shown on Exhibit A (the Real Estate); and Whereas, Kwik Trip desires to develop the Real Estate for a convenience store/fueling station (the Development Project) as conceptually shown on Exhibit B; and Whereas, City has determined that the Development Project will require certain traffic safety improvements, including but not limited to a two-lane roundabout intersection with street lighting, sidewalk, and underground utilities and other appurtenances, to the public right of way of Kerper Boulevard and Kerper Court as set forth herein and as shown conceptually on Exhibit C (the Required Improvements) and Kwik Trip agrees that such improvements are reasonable and necessary; and Whereas, City is planning to design and construct the Required Improvements as part of a future CIP project, with the exception of the installation of sidewalks abutting Kwik Trip's property along Kerper Boulevard ("Sidewalks"), which shall be constructed by Kwik Trip at Kwik Trip's sole expense.; and Whereas, City is willing to allow the construction of the Development Project on the Real Estate subject to the conditions set forth herein. NOW, THEREFORE, IT IS AGREED BY AND BETWEEN KWIK TRIP AND CITY AS FOLLOWS: SECTION 1. CITY OBLIGATIONS. 1.1 City agrees to design and construct the Required Improvements as shown conceptually on Exhibit C. The estimated cost of the Required Improvements is $1, 500, 000. 1.2 The Required Improvements project will include the installation of the Sidewalks, which shall be constructed by Kwik Trip at Kwik Trip's sole expense. 12152022 With the exception of the Sidewalks, City agrees to construct the Required Improvements so that they are operational by December 1, 2024. If construction of the Required Improvements has not been materially commenced by July 1, 2024 City will forfeit/repay to Kwik Trip the full Escrow Amount (as defined in Section 2.1 herein). The City shall be excused from its obligations under this Section 1 if and to the extent and during such time as the City is prevented, impeded, or hindered, unable to perform its obligations or is delayed in doing so due to events or conditions outside of the City's reasonable control and after the City has taken reasonable steps to avoid or mitigate such event or its consequences including, without limitation in any way, as the result of any acts of God, war, fire, or other casualty, riot, civil unrest, extreme weather conditions, terrorism, strikes and/or labor disputes, pandemic, epidemic, quarantines, government stay-at-home orders, municipal and other government orders, or other matter beyond the control of such party. SECTION 2. KWIK TRIP OBLIGATIONS. 2.1 Subject to Section 1.3, KwikTrip agrees to contribute to City fifty percent (50%) toward the costs of the Required Improvements, including but not limited to engineering, right of way acquisition and construction, provided however, that such costs required by Kwik Trip shall not exceed $750,000. Within thirty (30) days after Kwik Trip's acquisition of the Real Estate, Kwik Trip must place $750,000 (the Escrow Amount) in an escrow account for the benefit of City (the Escrow Account) pursuant to an Escrow Agreement acceptable in form to City and Kwik Trip. Funds in the Escrow Account will be available to City any time City in its sole discretion deems necessary. 2.2 KwikTrip agrees, at no cost to City, to dedicate to City by plat acquisition, the plat to be prepared by City (which shall be reviewed and approved by Kwik Trip), all street right- of-way necessary for the construction of the Required Improvements as conceptually shown on Exhibit D. Kwik Trip also agrees to pay to City upon receipt of a statement from City the property taxes prorated to the date of recording of the plat for the property dedicated to City 2.4 Kwik Trip agrees to be solely responsible for the costs of any necessary utility connections and connection fees for the Development Project 2.5 City will issue all required permits for construction of the Development Project after all required approvals of the site plan are granted for the Development Project. Kwik Trip will receive its certificate of occupancy for the Development Project when the Development Project has been completed as required by the City approved site plans and to the satisfaction of the City Inspection and Construction Services Division and the earlier of (i) the date that the Required Improvements are operational, as determined by the City Engineer, or (ii) December 1, 2024. 2.6 Kwik Trip's obligations under this Agreement are conditioned upon Kwik Trip acquiring the Real Estate by January 31, 2023 or at such other date as the parties agree. In the event Kwik Trip does not acquire the Real Estate by January 31, 2023, then this Agreement will be null and void. SECTION 3. BINDING ON SUCCESSORS AND ASSIGNS. This Agreement shall be binding upon the parties hereto and their successors and assigns. SECTION 4. CITY COUNCIL APPROVAL REQUIRED. This Agreement is subject to final approval by the City Council in its sole discretion. SECTION & INDEMNIFICATION FROM THIRD PARTY CLAIMS. To the fullest extent permitted by law, Kwik Trip shall defend, indemnify and hold harmless City, its officers and employees, from and against all claims, damages, losses and expenses claimed by third parties, but not including any claims, damages, losses or expenses of the parties to this Agreement, including but not limited to attorneys' fees, arising during the construction of the Sidewalks in Section 1.2. Kwik Trip shall provide insurance as described in the attached insurance schedule related to claims arising during Kwik Trip's construction of of the Sidewalks as required by Section 1.2 of this Agreement. CITY OF DUBUQUE, IOWA By: Mich el C. Van Millige City Manager KWIK TRIP, INC. By:` -- Name: � rnA5 c.tsc�- Its: cL- Date: 12/19/2022 Date: ! --) - ! �s a 3 EXHIBIT A PLAT E 1- ®� ca im ce) ® so O no'zanp LL PLAT OF SURVEY KERPER INDUSTRIAL PARK NO. 2 IN THE CITY OF DUBUQUE, IOWA LEGEND LINE L-49.24 LOT 3 KERPER INDUSTRIAL PARK - LOT LINE R-537•5w DOC. NO. 6607-99 EASEMENT/ LINE yy/// CNORV-NS3Z004'E ._ ( PLLAASSTTIICSCAP NO A2140B RED _ _ 49.22' T a FWND 6/6' REBAR WRED �� T N740406( PLASTIC CAP NO. 12031 1 67.7fi' ' SET 5 B• REBAR W/ RED PLASTIC 4e KERPER CT. (ROW VARIES) 20a (6205.3 CAP r%. 2140B i Ne6'27'48'E Ii59g I,�, S64V6"J0i ® FOUND MAC NAIL 6 - 166.0M [I9a.r,e'} RW RIGHT OF WAY L-130,34' 21.73L21.90•) 1 (O) RECORD INFORMATION R LOT D KERPER (16fi.T16') L-2115' R-462.50' INDUSTRIAL PARK W1515.49i R-537.50' o-16BB'4g• O / \ 52.61'(52.e4) A-M'15' GN�WWf97V4 i6•$' \ N65'37'S8'E Sl l'39591E CHORD-N60'08'59'E 103.50' 65.41'L65.41 i 21.15' (103.47) LOT 5 KERPER (SSy S DOC -1. HOiJSTRIAL PARK 8607-99 513.02 K LOT 1 (513.}0'1 n GRAPHIC SCALE a 2.57 ACRES LOT 2 H ' 0 100 200 IL Q 3.45 ACRES �' J aim W. 1" = loo, • DRAWING MAY HAVE BEEN REDUCED SZ LOT 2 FDL SECOND ADDITION DOC NO 9550-99 f �g•4G�5pY1 r o I S51'51'51•F po _ CENTERLINE DRAINAGE Ir DITCH - SEE 44,02'. _ a SURVEYOR'S NOTE �• NOTE SURVEYOR'S NOTE `I •�+� Ij\ THIS SURVEY IS SUBJECT TO EASEMENTS, RESOLUTION AUTHORIZING SALE OF REAL ESTATE ALLOWS x RESERVATIONS, RESTRICTIONS AND EASEMENT RIGHTS ACROSS PROPERTY FOR STORM WATER RIGHTS -OF -WAY OF RECORD AND NOT OF STORAGE, UTILITIES, STORM SEWER AND SANITARY SEWER. _ RECORD. INSTRUMENT NO. 3132-72. THE EXACT LOCATION AND 'MDTH WERE NOT DESCRIBED. e� Yip 6\ P0� DESCRIPTION: LOT 2 OF FDL SECOND ADDITION AND LOT 5 KERPER INDUSTRIAL PARK, ALL IN THE CITY OF DUBUQUE, IOWA n ••,� .�pF�' ,:j\ 4P' >� .1� 5F10' xx t I ram+ aarerr 1HAr rlm I,rm arox.rle exxln�R leis fAnwneB �jd] � � um nc p�eArm avncY rorr ru rnsuwm>rr la ar waw w. i 9fR.G1 POkEd1u ]IRfiTHld! xr4, +RAr i AM A Sul q[Crx9 Wn 9MYtTdk l��l ix[ tAIIeF K l¢ fNW., q STATIC I 6 * �� * � } 11W • US PROPRIETORS: JOHN P. MIHALAKIS AND RICHARD L BILLMEYER CRAIG L. roR ilw. P.a �� = GEISER a r3�»�• - 2140B �•� AR�r��Y� "'^ •Tp SURVEYED FOR: TLC PROPERTIES, INC. DATE OF SURVEY: JANUARY 26. 2016 g� _LS r cBuo L I DATE •_.. p„n lur .o I-�-Is •, ll TOTAL AREA SURVEYED: 6.02 ACRES p �p� do ,Apy yp. ,�Tp ' ••�'• "'ya ucExg xa 11WB MY uuNg RDIEWAI DATE Is 12/alI2xIB I ANB IMI[ t-7a-t0 Ydt7 f x f .as 9BFI5 I Q 2 'M�niillxu"' VAB6 d! 91EC15 LO4ExFD BY TKIS S11 A55 61 EXHIBIT B FUELING STATION AND CONVENIENCE STORE CONCEPT .......... .. fA KWIK TRIP KWIK STAN P.O. BOX 2Inc 101 1— ..K GVE u1nom 1 51aM.1.7 - F r AX 1. ...o EXHIBIT C ROUNDABOUT INTERSECTION IMPROVEMENTS CONCEPT E%HINrt OPTION l]. 16 PM.- EXHIBIT D RIGHT OF WAY DEDICATION 10 OXIMATE APPR RIGHT OF WAY DEDICATION AREA aX 11