Discussion and possible action to: (a) authorize the creation of two new capital improvement program projects and (b) approve a budget transfer in the amount of $3,300,000, to allow for the commencement of design services.  

A national home builder has submitted an application to Arizona State Land Department (ASLD) bringing approximately 800-acres in the Peoria Innovation Core (PIC) Core 1 to public auction.  Consistent with the ASLD Intergovernmental Agreement (IGA), the City is the master developer of the PIC and has been requested to complete the design of Lone Mountain Parkway and 96th Avenue in Core 1. The City had not anticipated projects outside of Core 2 to be required this quickly, but the market is showing great interest in development of the PIC.  The City will design the roadway but will not construct these roads.  As a reminder, the City will be reimbursed design (soft) costs at the time of auction.

In an effort to move forward with the infrastructure for Core 1 of the PIC, it is requested that the 96th Avenue, Lone Mountain Parkway to Dixileta Drive and the 96th Avenue, Dixileta Drive to L303 be established as projects within the City’s current CIP and the funding for the Lone Mountain Parkway segment be advanced to FY2026.  By doing so, this will allow for the commencement of design services. All three projects will be designed for a 6-lane arterial roadway. The design will include roadway, drainage, traffic analysis, City utilities, power, telecommunication, landscape and landscape irrigation and other design components. Upon completion of the design, the construction phase can take place which in turn will accelerate private development within Core 1 and within the entire PIC area.

As part of the adoption of the FY2026-FY2035 CIP, City Council approved the Lone Mountain Parkway, Lake Pleasant Parkway to 96th Avenue project.

Staff recommends that City Council authorize the creation of two new capital improvement program projects and approve a budget transfer in the amount of $3,300,000, from the Lake Pleasant Parkway; L303 to CAP project to the 96th Avenue, Lone Mountain Parkway to Dixileta Drive, 96th Avenue, Dixileta Drive to L303, and the Lone Mountain Parkway, Lake Pleasant Parkway to 96th Avenue projects. 

If approved, this request will transfer $3,300,000 from the Lake Pleasant Parkway; L303 to CAP project to the respective three CIP projects.