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42 Regular Meeting August 1k¡ 1996 Page 8 Mayor Moore introduced for consideration Item 9.C. (8) removed from the consensus agenda, adoption of a Resolution, the caption which was read as follows: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN MARCOS, TEXAS, APPROVING THE TERMS AND CONDITIONS OF AN AGREEMENT BETWEEN THE CITY AND THE TEXAS DEPARTMENT OF TRANSPORTATION TO CONTRIBUTE FUNDS TOWARDS THE SH123/FM621 INTERSECTION REALIGNMENT PROJECT; AUTHORIZING THE MAYOR TO EXECUTE THE AGREEMENT ON BEHALF OF THE CITY; AND DECLARING AN EFFECTIVE DATE. Mr. Hart moved for adoption of the Resolution and to amend to attach an Agreement which includes some changes recommended by Stephen Jenkins and Mr. Mihalkanin seconded the motion. Mr. Gilley stated this is the work that will take place on the City's right-of-way for the City's portion of the realignment. Mr. Gilley advised bids will be opened Wednesday this week. Mr. Hernandez stated the map provided is not clear and asked if the State's realignment of Hays Street and the City's reconstruction of that street are going to work out, and Mr. Gilley stated those streets will line up. Mr. Hernandez wants to insure it will line up and requested a better map of the realignment. Mr. Guerra stated the realignmènt is what all parties agreed to inclusive of the neighbors, and Mr. Cox stated the neighbors need to be kept aware of the progress. Mr. Hernandez stated in 1994 a Mrs. Hernandez, not related to Mr. Hernandez, who owned a grocery never came to a meeting of the minds of what we are going to do. Mr. Gilley stated that is a good point, that while the neighborhood was supportive of this project, it was not unanimous, he is quite sure. The Council voted unanimously for adoption of the Resolution. Mayor Moore introduced for consideration Item 9.E. removed from the consensus agenda, approval for use of General Fund Contingency Funds in the amount of $37,000.00 for outside counsel and expert witness fees in connection with a Construction Contract lawsuit brought by Kencon Constructors regarding the Public Library Project. Mr. Guerra asked how much has been spent on this legal issue, and Mr. Taylor advised $46,000.00 to date in attorney's and witness fees. Mr. Taylor stated part of the $37,000.00 will cover outstanding legal fees and $15,000.00 of that will be for the remainder of the fiscal year. Mr. Guerra asked when this matter will be resolved, and Mr. Taylor stated trial is scheduled for November, and mediation the end of this month. Mr. Taylor expects whoever loses will appeal and estimates that will end a year from now. The Council voted unanimously for approval of the funding. Mayor Moore introduced the City Manager's Report. (1) Mr. Gilley stated a Workshop needs to be scheduled to further discuss the transportation issues. The City also needs to prepare for the TDOT public hearing, and we have not heard when it will be. Mr. Gilley stated Mayor Moore and he had recently met with TDOT to discuss a petition request for the City to appear before the Texas Transportation Commission regarding items we want to ask them about, including (1) providing additional funding for the Centerpoint Overpass rather than widening that overpass as the current plans! call for, (2) to provide funding for railroad overpass on Wonder! World Drive, and (3) request them to provide funding in the next phase of IH35 reconstruction project, which is Blanco River to State I Highway 123, to include a connection between River Road and Riverside Drive. The petition needs to be submitted as soon as possible because there is a 90 day process from the time submitted before meeting with the Commission. Mr. Gilley thinks there may be some implications to the addition of the River Road/Riverside Drive in addition to costs. Mr. Gilley stated if this is included in the project, it will probably delay the reconstruction project. Mr. Gilley asked if the Council wants to discuss this in a Workshop or on a Regular agenda for action. Mr. Gilley asked for direction to pursue the River Road/Riverside connector. He stated if there is no interest in that at all, we will prepare the petition and move forward. Mayor Moore understood the addition could delay the - project for two years because of its proximity to the river and