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INTERLOCAL AGREEMENT BETWEEN <br />HAYS COUNTY AND THE CITY OF SAN MARCOS <br />RELATED TO THE CAPE STREET SHARED USE PATH PROJECT <br />This interlocal agreement (the "Agreement") is entered into as of this 6th day of January, <br />2026, by and between Hays County, a political subdivision of the State of Texas (the "County") <br />and the City of San Marcos, a Texas home -rule municipality (the "City") (collectively, the <br />"Parties"). In this Agreement, the City and the County are sometimes individually referred to as <br />"a Party" and collectively referred to as "the Parties". <br />RECITALS <br />WHEREAS, Texas Interlocal Cooperation Act, Chapter 791 of the Texas Government <br />Code, provides that any one or more public agencies may contract with each other for the <br />performance of governmental functions or services for the promotion and protection of the health <br />and welfare of the inhabitants of this State and the mutual benefit of the parties; and <br />WHEREAS, the City intends to prepare and submit a CAMPO funding application <br />requesting $1,000,000 for the design of a shared use path along both sides of Cape Street (the <br />"Project"); and <br />WHEREAS, the Parties desire to enter into this Agreement to set forth the terns and <br />conditions through which they will jointly participate in the funding of the Project design; and <br />WHEREAS, the Parties agree that the City shall serve as the lead agency for the Project <br />design, and the County shall contribute fifty (50) percent of the required local match; and <br />NOW, THEREFORE, in consideration of the foregoing and the mutual promises and <br />obligations of the Parties contained in this Agreement, the Parties agree as follows: <br />I. <br />PURPOSE <br />1.01 General. The purpose of this Agreement is to define each Party's responsibilities <br />related to the preparation, administration, funding, and completion of the Project design. All such <br />activities are collectively the "Project." <br />1.02 Obligations. This Agreement is for design only. It will not cover ROW <br />acquisitions or construction of the project. An amendment to this agreement will be required in <br />the future if both the County and City decide to pursue additional funding for ROW acquisitions <br />or constriction of the project. <br />II. <br />CITY OBLIGATIONS <br />2.01 Project Management. The City shall lead all efforts necessary for the Project <br />design and shall coordinate with the County as required. <br />