HomeMy WebLinkAboutA002 - Council Action Form dated August 11, 2026ITEM #:*
DATE:08-11-26
DEPT:P&H
SUBJECT:DOMANI I COTTONWOOD RD EXTENSION AGREEMENT
COUNCIL ACTION FORM
BACKGROUND:
The Domani I subdivision is located along Green Hills Drive south of Oakwood Road. The first
two phases are nearly completed and the developer desires to proceed with the Final Platting
of the 3rd Addition. The Phasing Plan for Domani requires the extension of Cottonwood Road
as part of the third phase. The Final Plat approval for the 3rd Addition is a separate item on the
agenda.
As part of the City Council efforts from December 2025 to incentivize additional residential
development, the City Council agreed on February 10 to take on the obligation of the
construction of Cottonwood Road with the final platting of the remaining 23 lots within the final
phase.
The attached agreement relieves the developer of the requirement to construct the
Cottonwood extension with the 3rd Addition subject to the following:
1. The Developer completes the construction of Green Hills Drive and Lunetta Drive within
the 3rd Addition by August 11, 2029 at their sole cost.
2. The Developer provides to the City complete improvement plans with plans and
specifications for the City to bid the paving of Cottonwood Road, including the extension
of utilities as specified, by January 1, 2027. The agreement includes an exhibit
identifying the scope of work.
If the Developer meets these requirements, they do not have to incur the cost of constructing
of Cottonwood Road. The City of Ames will have the responsibility to construct Cottonwood
once the Green Hills extension is complete. The City is additionally responsible for the cost of
streetlights within the Domani Third Addition to help balance out the developer incentive value
because of the cost of the Green Hills intersection improvement.
Staff will include the Cottonwood Extension within the City Manager's Recommended
CIP for FY 2027-28 with an estimated cost of approximately $370,000. Funding of the
project is anticipated to require issuance of General Obligation Bonds or some other
source of funding identified at a later date. It should be emphasized that the City will
have the responsibility for the improvement regardless of the final cost of the project.
The exact timing of constructing the extension is subject to the discretion of the City.
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ALTERNATIVES:
1. Approve the Supplemental Development Agreement for the City to construct the
Cottonwood Road extension. (Applicant to return signed copy by Tuesday)
2. Deny the approval of the Supplemental Development Agreement, thereby requiring the
developer to construct the extension of Cottonwood Road.
3. Refer the item back to staff for more information or changes.
CITY MANAGER'S RECOMMENDED ACTION:
The proposed agreement is consistent with the description of the project outlined to
the City Council on February 10. The Developer must act first by constructing the other
roadways within the subdivision and ensuring that buildable lots are in fact created.
The City will then be responsible for the Cottonwood extension at no cost to the
developer. The City is responsible for bidding the project using plans from the
developer. The ultimate timing of the project is at the discretion of the City, but is
planned to occur in FY 2027-28. Therefore, it is the recommendation of the City Manager
that the City Council adopt Alternative 1.
ATTACHMENT(S):
Supplemental Agreement (Domani) v4.pdf
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