DEPARTMENT: Transportation & Capital Improvements
DEPARTMENT HEAD: Mike Frisbie, P.E.
COUNCIL DISTRICTS IMPACTED: Council District 2
SUBJECT:
Funding Agreement with H-E-B to complete engineering and design plans for potential improvements to Foster Road.
SUMMARY:
An Ordinance authorizing the execution of a Funding Agreement between the City of San Antonio and H-E-B Grocery in an amount not to exceed $800,000.00, for the engineering and design of potential street improvements to Foster Road, in support of the City's Master Thoroughfare Plan (MTP) and the expansion of H-E-B's distribution center at the SW corner of East Houston and South Foster Road, in Council District 2.
BACKGROUND INFORMATION:
H-E-B is Texas' largest food retailer in South and Central Texas. H-E-B operates 400 retail stores in Texas and Mexico. In addition, H-E-B was named to the Forbes list of "America's Best Employers" in 2017. Known for putting community first, H-E-B is one of the largest philanthropic companies in Texas donating 5% of pretax earnings to Texas non-profits.
On May 17, 2018 City Council approved waivers of City of San Antonio development and SAWS water and sewer impact fees, in connection with a substantial HEB hub expansion at the SW corner of East Houston and South Foster Road in Council District 2. H-E-B plans to invest at least $130 million at this site over a three-year period and will be the largest single-build warehouse in its supply-chain division. In connection with this hub, H-E-B is master planning for future expansions and investments at this site.
Foster Road is adjacent to this H-E-B distribution center and is undersized in its current configuration for the increased activity anticipated as a result of the expansion. Improvements to Foster Road are part of the MTP and will address the substantial increase in development in this area. H-E-B is proposing to begin the engineering and design work needed for the Foster Road improvements to allow fo...
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