To: Honorable Mayor and Members of Town Council
Through: David L. Corliss, Town Manager
From: Jeff Brauer, Director of Parks and Recreation
Title
Resolution Approving the Public Infrastructure Cost Participation Agreement Between the Town of Castle Rock and CD-ACME, LLC, for Industrial Tributary Trail Improvements
Body
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Executive Summary
Parks and Recreation staff seeks Town Council approval of a Resolution approving a Public Infrastructure Cost Participation Agreement with CD-ACME, LLC for construction of the Industrial Tributary Trail pedestrian underpass beneath Prairie Hawk Drive and associated infrastructure improvements. The agreement establishes the Town's and developer's respective construction and financial responsibilities, with the Town's contribution estimated at $4,975,062.47, funded through the Town's trail improvements account.
The Industrial Tributary Trail is a long-planned connection identified in the Town's Parks, Recreation and Trails Master Plan that will link Philip S. Miller Park and western neighborhoods to Downtown Castle Rock through the Miller's Landing and Brickyard developments. The trail is being completed in partnership with private developers, with Miller's Landing's portion completed in 2023 and the Brickyard's trail segment nearing completion.
The Town's remaining improvements include a pedestrian underpass beneath Prairie Hawk Drive and the final trail connection through the existing railroad arch, across East Plum Creek and to the East Plum Creek Trail near Festival Park.
The Brickyard developer is currently completing roadway improvements along Prairie Hawk Drive, including required drainage infrastructure beneath the roadway. Because the planned Industrial Tributary Trail must also cross beneath Prairie Hawk Drive, the Town has an opportunity to coordinate construction of the pedestrian underpass with the developer's improvements. Constructing both improvements together allows the Town to avoid reconstructing the roadway at a later date and provides a more coordinated approach to construction. The work is particularly complex due to the number of existing utilities beneath the roadway, which require additional excavation, support and coordination.
Under the agreement, CD-ACME, LLC will manage construction of the combined improvements, with the developer responsible for its required drainage and roadway improvements and the Town contributing toward the pedestrian underpass and associated infrastructure. The total project cost is estimated at approximately $7.12 million, with the developer contributing approximately $2.15 million and the Town contributing approximately $4.98 million. By coordinating construction, both parties can complete their respective improvements as part of a single project.
A separate Construction and Maintenance Agreement with BNSF Railway Company is also being presented for Council consideration to address two areas where the trail project and associated roadway improvements involve railroad property. Near Prairie Hawk Drive, an existing railroad spur must be removed to accommodate the planned roadway improvements associated with the Brickyard development. Farther east, the Industrial Tributary Trail will pass through an existing stone arch beneath the BNSF railroad as it continues toward Downtown Castle Rock. The agreement establishes the necessary railroad approvals, construction coordination, property rights and associated costs for both improvements, along with the Town's future maintenance responsibilities for the trail crossing.
Together, these agreements will allow staff to advance the remaining trail improvements. Construction of the Prairie Hawk Drive underpass is anticipated to begin in late 2026, with roadway improvements coordinated ahead of the Castle Rock Sports Center's planned opening in 2027. Staff anticipates returning to Town Council with additional construction contracts for the remaining trail improvements as the project progresses.
History of Past Town Council, Boards & Commissions, or Other Discussions
The Industrial Tributary Trail has been identified as a priority in the Town's Parks, Recreation and Trails Master Plan for more than 20 years.
In 2022, the Town secured $4,920,000 in grant funding through the Denver Regional Council of Governments' Transportation Improvement Program. On September 5, 2023, Town Council approved Resolution No. 2023-111, authorizing an Intergovernmental Agreement with the State of Colorado through the Colorado Department of Transportation (CDOT) to administer the grant funding and advance design and construction.
Since that approval, staff has continued coordinating design, permitting and construction requirements with CDOT, BNSF and the Brickyard developer. The project design has also been revised to utilize the existing railroad arch and a low-water crossing of East Plum Creek to help manage construction costs.
Budget Impact
The estimated cost of the Prairie Hawk Drive pedestrian underpass and associated improvements is approximately $7.12 million. Under the proposed agreement, CD-ACME, LLC will contribute approximately $2.15 million toward the drainage and roadway improvements required for the Brickyard development, while the Town's estimated contribution of $4,975,062.47 will fund the pedestrian underpass and associated infrastructure necessary for the Industrial Tributary Trail.
The broader Industrial Tributary Trail project includes an estimated $6 million for the remaining connection from the railroad to East Plum Creek, with $3 million in CDOT funding anticipated for that phase. The separate BNSF agreement includes an estimated $786,510 in railroad-related expenses, initially funded by the Town and subject to reimbursement from CD-ACME, LLC for its allocated share.
The Town currently has $7.2 million budgeted for the Industrial Tributary Trail project. Additional funding is anticipated to complete the remaining improvements; however, a budget amendment is not required for the agreements currently being considered. Following bidding of the next construction phase, staff will return to Town Council with the proposed construction contract and an accompanying budget amendment to provide the additional funding necessary to complete the project.
Costs associated with this Resolution and Agreement will be charged to the Industrial Tributary Trail project, account 110-5275-452.75-14.
Staff Recommendation
Staff recommends approval of the resolution as introduced by title.
Proposed Motion
“I move to approve the resolution as introduced by title.”
Alternative Motions
“I move to approve the resolution as introduced by title, with the following conditions: (list conditions).
“I move to continue this item to the Town Council meeting on (date) to allow additional time to (list information needed).”
Attachments
Attachment A - Resolution
Attachment B - Public Infrastructure Cost Participation Agreement
Attachment C - Industrial Tributary Trail Project Map