To:
- Pikes Peak Rural Transportation Authority Board of Directors
- Pikes Peak Rural Transportation Authority Citizen Advisory Committee
From: Joshua Palmer P.E., County Engineer, El Paso County Department of Public Works
Date: October 9, 2024
Re: Reimbursement Agreement with Melody Homes, Inc. for the Construction of a portion of the Eastonville Corridor Project
El Paso County (EPC) requests approval to enter into a reimbursement agreement with Melody Hones, Inc. (Melody Homes) in the amount, not to exceed, of $4,000,000 for construction services on the northern portion of the Eastonville Corridor project (also referred to as the Eastonville Road project). The Reimbursement Agreement calls for El Paso County to reimburse Melody Homes, Inc. in the amount of fifty percent (50%) of the EPC approved developer’s costs, not to exceed four million dollars ($4,000,000.00).
The Eastonville Corridor Project – McLaughlin Road to Latigo Boulevard – is a three-phased project with Phase I focusing on the “middle section” – Motley Road through Londonderry Drive. Phase I is nearing design completion, with construction expected to start in late 2024/early 2025. Design for Phase II, the “South End” – McLaughlin to Motley, is expected to be complete by early 2025, with construction to follow Phase I in 2025.
Phase III, the “North End” – Londonderry Drive to Latigo Boulevard is being planned in coordination with site development. The portion from Londonderry Drive through the Rex Road intersection is developer-led in coordination with Melody Homes/DR Horton planned development of Grandview. EPC has been working with the developer’s design team (HR Green) on the construction plans. With this approach, EPC has been able to effectively extend PPRTA funding, capitalizing on shared construction costs, while upgrading the North End of the corridor for the future, beyond only development-driven need. This portion of Phase III is targeted for construction in late 2024/early 2025, with EPC and DR Horton working hand-in-hand on timing of the developer-led portion of Phase III and County-led Phase I. This North End improvement will upgrade the limited existing rural gravel road to a paved urban collector/minor arterial, addressing any recurring condition concerns with the highly-trafficked gravel road.
The developer’s total cost for construction is estimated to be around $6.5M (with the possible addition of corridor length lighting) resulting an estimated EPC reimbursement of $3.25M. Per the Reimbursement Agreement EPC is only responsible for reimbursing Melody Homes for fifty percent (50%) of the EPC approved developer’s costs, not to exceed four million dollars ($4,000,000.00). In addition, Melody Homes is fully funding the construction of both roundabouts located at Dawlish Road and Rex Road as part of their planned development, with pursuant of reimbursement under the Road Impact Fee.
Funds for this contract will come from the PPRTA Capital Funds Account 06-20-5060004 for the El Paso County Department of Public Works.
CONTRACT
Project: Reimbursement Agreement with Melody Homes, Inc. for the Construction of a portion of the Eastonville Corridor Project
Contract Amount: PPRTA: $4,000,000 (Not to exceed)
Type: (Choose all that apply)
- ☒ Capital
- ☐ Maintenance
- ☐ Transit
- ☐ Consultant
- ☐ Equipment
- ☒ Construction
- ☐ Materials
- ☐ Personnel
- ☐ Other (description):
Project Description: Reimbursement Agreement with Melody Homes, Inc. to build for the future of the north section of the Eastonville Corridor Project, achieving a roadway cross-section build-out to support future traffic, not just the limited upgrade required by Melody Homes for their upcoming Development.
Funds for this contract will come from the PPRTA Capital Funds Account 06-20-5060004 for the El Paso County Department of Public Works.
VENDOR INFORMATION
Vendor: Melody Homes, Inc
Contract No.: N/A
Contract Term (start/end dates) / Duration: Date approved by PPRTA Board and El Paso County Board of County Commissioners until completion of project
FINANCIAL INFORMATION
| Budget Category | Project Category | Contract Amount | Funds Available | 2025 Budget Amount | Budget Code |
|---|---|---|---|---|---|
| ☒ Capital ☐ Maintenance ☐ Transit | $4,000,000 | $4,000,000 | $4,000,000 | 06-20-5060004 | |
| Comments: Reimbursement agreement is not to exceed $4,000,000. Funds available equals total funding amount. | |||||
AWARD PROCESS
- ☐ IFB (Invitation for Bid)
- ☐ RFP (Request for Proposal)
- ☐ Sole Source
- ☒ Other
Comments: No advertisement is required. PPRTA is partnering with Melody Homes, Inc. to improve their planned improvements to the corridor.
Attachments:
- ☒ Supporting Documentation
- ☐ Award Process Document
- ☒ Location Map
The map shows Eastonville Road between McLaughlin Road and Latigo Boulevard, showing the phasing of the project and the reimbursement agreement limits.
- Phase I, in red, is between Londonderry Drive and Motley Road
- Phase II, in green, is between Motley Road and McLaughlin Road
- Phase III, in blue, is between Eastonville Road and Latigo Boulevard
- The reimbursement agreement limits is between Londonberry Drive and Rex Road