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Report approving a license agreement and fee for tiebacks within Dubuque Avenue for the construction of 580 Dubuque Avenue and approving budget amendment number 23.040. (Jason Hallare, Senior Civil Engineer)
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RECOMMENDATION
Recommendation
Staff recommends that the City Council adopt resolutions approving a license agreement and fee for tiebacks within Dubuque Avenue for the construction of 580 Dubuque Avenue.
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BACKGROUND/DISCUSSION
580 Dubuque, the empty lot north of and adjacent to the City of South San Francisco (“City”) Caltrain Station parking lot, is being developed by IQHQ (“Developer”) to construct an eight-story office/R&D building of approximately 263,000 square feet above grade, a four-story subterranean garage, and supporting site improvements (“Project”). The Project was approved by the City Council on May 11, 2022 and July 27, 2022.
The construction of the four-story subterranean garage requires a temporary shoring wall to support the adjacent earth until the permanent basement walls are constructed. On June 2, 2022, the Developer submitted an encroachment permit application to install tiebacks in the Public Right-of-Way (“ROW”) in Dubuque Avenue. The Developer and City staff have met and discussed multiple alternatives to the temporary shoring and have ruled out other shoring options due to physical constraints and practical infeasibility. After reviewing tieback policies of other local agencies and a case study on tiebacks, City staff determined that tiebacks will be allowed in the ROW with certain considerations, and an approval would consist of an Encroachment Permit and a License Agreement defining a License Area as shown in Attachment 1.
City staff had developed a tieback policy to be applied to this and future projects. The tieback policy is as follows:
• Allow tiebacks in the ROW that serve as temporary supports for permanent shoring construction.
• Alternative temporary shoring methods shall be demonstrated to be infeasible for the project.
• Tiebacks within 20-ft of the surface: all tieback elements shall be removed in their entirety.
• Tiebacks deeper than 20-ft below surface: a tieback fee of $2,000 per tieback shall be charged, and the tieback may remain in-place under tension.
The Project proposes to install 217 tiebacks within Dubuque Avenue consisting of 4 vertical rows all deeper than 20-feet below the surface as shown in the Attachment 2 figures.
The total tieback fee is $434,000. The related encroachment permit fees are $641.
The total License Fee is therefore $434,641.
The License Agreement would have a term of five years or until the issuance of a certificate of occupancy for the new building, whichever is earlier. The temporary tiebacks will continue to remain in their subterranean locations thereafter but no work or maintenance would be required thereafter as they are temporary support for the permanent shoring construction. The agreement requires Developer to maintain insurance, repair damages to the license area, and indemnify the City for liabilities associated with work allowed under the agreement.
FISCAL IMPACT
The Encroachment Permit fees of $641 will be received into the General Fund to support staff and inspection time.
Budget Amendment #23.040 accepts the tieback fee of $434,000 into the Infrastructure Reserve with the intent that, if ever in the future, a tieback left within the ROW needed to be removed the Infrastructure Reserve would be utilized.
RELATIONSHIP TO THE STRATEGIC PLAN
Approving the proposed agreement will support City Priority Area 2 Initiative 2.4 expanding employment options through development projects.
CONCLUSION
Staff recommends that the City Council adopt a resolution approving a license agreement and fee for tiebacks within Dubuque Avenue for the construction of 580 Dubuque Avenue and authorizing the City Manager to execute the agreement; and to approve the budget amendment number 23.040.
Attachments:
1. Vicinity Map
2. Tieback Exhibits