HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 11/04/2003 - RESOLUTION 2003-122 ACCEPTING A PROPERTY OWNER PET ITEM NUMBER: 19
AGENDA ITEM SUMMARY DATE: November 4, 2003
FORT COLLINS CITY COUNCIL STAFF: Matt Baker/
Ron Phillips
SUBJECT
Resolution 2003-122 Accepting a Property Owner Petition Regarding the Initiation of a Special
Improvement District, Stating the Need For, the Nature Of, and the Location of the
Improvements to Be Made, Describing the Area to Be Assessed for the Same, and Directing the
Director of Community Planning and Environmental Services to Prepare and Present to the City
Council the Necessary Information for the Formation of Said District
RECOMMENDATION
Staff recommends adoption of the Resolution.
FINANCIAL IMPACT
This Special Improvement District will be financed privately by property owners developing in
the proposed district, with normal Street Oversizing Program participation. There will not be
any City of Fort Collins Special Improvement District Bonds issued.
EXECUTIVE SUMMARY
Traffic congestion at the Timberline/Prospect intersection is well below the City's Level of
Service requirements, with almost all legs and turn movements failing during the AM and PM
peak rush hours. In accordance with the Adequate Public Facilities Ordinance, any new
development which impacts this intersection cannot proceed until these existing deficiencies are
corrected. In the absence of any City Capital Improvement funding for this intersection, two
impacted developers are electing to privately fund these improvements in order to proceed with
their development projects. These developers are expected to constitute the majority of the
property owners within the proposed District. They are proposing the initiation of the District to
spread a portion of the costs to other undeveloped property in the area benefited by the
improvements through assessments.
This Resolution accepts the petition of one of the participating property owners and directs City
staff to prepare the plans and cost estimates. The Resolution is the first step in creating the
District. In subsequent actions, City Council will be asked to accept the completed plans,
approve the assessment method, hold a public hearing, and then create the SID by Ordinance.
November 4, 2003 -2- Item No. 19
BACKGROUND
Timberline Road, from Drake to Prospect is currently the highest deficiency segment in the
City's street network. The Timberline/Prospect intersection experiences failing levels of service
in both the AM and PM peak hours. Attempts by the City to create a funding mechanism for the
necessary improvements have not been successful.
The City's Adequate Public Facilities (APF) Ordinance does not allow any additional
development to impact failing intersections. A conceptual estimate indicates that $2.3 million
is needed to improve the intersection to meet minimum levels of service necessary to allow
additional development in the area. The improvements contemplated are:
• Dedicated right turn lanes on all legs of the intersection
• Double left turn lanes on Timberline
• Additional through lanes on Timberline
These interim improvements will add capacity to the intersection, but will not include
landscaped medians, concrete paving, enhanced crosswalks, or other elements not necessary to
increase levels of service.
There are two large development parcels which are currently affected by the APF Ordinance.
The James Company controls 221 acres on the east side of Timberline and north of Drake and is
proposing development of approximately 925 residential lots. Timberline-Drake, Inc. is
proposing 448 to 682 residential units and 7.2 acres of employment on the west side of
Timberline and north of Drake. Neither of these developments can build in the absence of
improvements to Timberline/Prospect. These developers have elected to fund the $2.3 million
APF improvements in order to proceed with their development projects.
There are other smaller undeveloped parcels in the one-mile radius area around
Timberline/Prospect that are also affected by the City's APF Ordinance. Some have expressed
interest in participating in the cost of improving the Timberline/Prospect intersection while
others have indicated a desire to wait until the improvements are made before developing.
The James Company and Timberline-Drake Investments have proposed the formation of an SID
as a financing mechanism to allow for fair and equitable assessment of all benefitting property
owners. The terms of the district would generally be:
I. The amount financed is estimated to be $2.3 million, or the amount needed to make the
"APF' improvements to the Timberline/Prospect intersection.
2. No municipal or City-backed bonds will be issued. Financing will be by the developers,
using cash or private placement bonds. The City would be the collection agency for
assessments, but would not incur any financial liability. Actual payment of the $2.3
million by the James Company and Timberline-Drake Investments will not occur until
construction bidding (February 2005) to avoid capitalized interest. Security in the
estimated amount of$2.3 million will be necessary in order for development to continue
during the formation of the Special Improvement District.
November 4, 2003 -3- Item No. 19
3. It is anticipated that the proposed assessment method will be based on two factors
associated with benefitting undeveloped property. These factors are trip generation and
proximity to the intersection within a one-mile radius. Efforts will be made to obtain
consent of any potentially assessable property owner prior to the creation of the District.
4. The properties included in the SID will begin repayment of their proportionate share (the
assessments) upon completion of the construction and final accounting of the costs
(tentatively in late 2006).
Providing a 10 year repayment schedule for properties being assessed could be an incentive for
properties to participate in the SID without opposition. However, in accordance with the
TABOR Amendment, a vote of district properties may be necessary to allow the City to enter
into a multi-year obligation to collect assessments over time. The alternative to a 10 year
payback is an immediate one time assessment of the full amount due. This one time assessment,
without the option to pay in installments, would likely produce a greater protest from any
involuntary participants in the District.
The initiating developers will also immediately provide $100,000 in funds to allow the City to
prepare the plans, estimate of costs, and maps of the district in order to complete the engineering
design without cost to the City.
The improvements to Timberline along the frontage of the developing parcels will be funded in
accordance with normal Street Oversizing Program participation. The entire segment of
Timberline from Drake to Prospect, and the Timberline Prospect intersection improvements, are
planned to be constructed at the same time in order to reduce the impacts of construction on
motorists and to take advantage of cost savings due to economies of scale. A tentative timeline
would be:
• November 2003 -- Acceptance of the petition
• November 2003 to August 2004—Engineering design
• August/September 2004 — Second Resolution Accepting Plans, SID Creation Ordinance,
call election within the District for TABOR requirement if necessary
• August 2004 to February 2005 —ROW Acquisition
• March 2005 to August 2006—Construction
• Assessment Ordinance immediately after construction
Staff has reviewed the form of the petition of the proposed District and find it in compliance
with adopted City Council policies regarding Special Improvement Districts. Staff believes the
SID proposed for financing the corrections to the Adequate Public Facilities deficiencies is:
• Fair and equitable to undeveloped property owners in the District
• In the public's interest due to the health and safety problems associated with the
Timberline/Prospect intersection
• A no risk financial solution to the City to fund improvements
November 4, 2003 -4- Item No. 19
The petition states that the Petitioner can withdraw the petition, as long as the Petitioner does so
within five days of the passage of the resolution approving the plans, specifications, map and
estimate of the City Engineer. Staff anticipates that this resolution will likely be presented to the
Council in the summer or fall of 2004. If the Petitioner does withdraw the petition, it will still be
up to the Council to decide whether to rescind the SID proceedings and call a halt to the SID.
Even if the SID is terminated, however, the improvements will still be made, assuming that the
property owners choose to construct their developments. The developers would then be limited
to seeking reimbursement of their funding through reimbursement agreements rather than
through the SID.
RESOLUTION 2003-122
OF THE COUNCIL OF THE CITY OF FORT COLLINS
ACCEPTING A PROPERTY OWNER PETITION REGARDING THE
INITIATION OF A SPECIAL IMPROVEMENT DISTRICT,
STATING THE NEED FOR, THE NATURE OF, AND THE LOCATION
OF THE IMPROVEMENTS TO BE MADE, DESCRIBING THE AREA TO BE ASSESSED
FOR THE SAME, AND DIRECTING THE DIRECTOR OF COMMUNITY PLANNING AND
ENVIRONMENTAL SERVICES TO PREPARE AND PRESENT TO THE CITY COUNCIL
THE NECESSARY INFORMATION FOR THE FORMATION OF SAID DISTRICT
WHEREAS,the Council of the City of Fort Collins,Colorado(the"Council')has received
a Petition from an affected property owner (the "Petitioner") in the area of a proposed special
improvement district(the"District')requesting that the Council initiate proceedings for the creation
of the District; and
WHEREAS,the District would be established for the purpose of constructing certain street
improvements to Timberline Road between Drake Road and Prospect Road, including the
Timberline/Prospect intersection, and
WHEREAS, such improvements are sorely needed to relieve severe traffic congestion in
such area of the City; and
WHEREAS, the Council has received the Petition,accepts the same,and desires to proceed
with the formation of the District.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT
COLLINS:
Section 1. That the Petition, as submitted by the Petitioner requesting the formation of
the District, is hereby received and accepted.
Section 2. That the Petitioner constitutes one percent(1%) of the owners of the area of
the property be assessed in the District.
Section 3. That the improvements to be constructed will consist generally of
improvements to Timberline Road between Drake Road and Prospect Road, including the
Timberline/Prospect intersection, and will include, but need not be limited to, right-of-way
acquisition,earthwork,curb and gutter,sidewalk,bicycle lanes,bridge expansion,railroad crossing
expansion, drainage improvements, utility relocations, paving and other improvements that are
necessary or appurtenant thereto.
Section 4. Such improvements are needed in order to provide adequate access for
vehicles and pedestrians to the properties abutting Timberline Road to be improved, in order to
relieve severe traffic congestion in the area,and to provide adequate storm drainage and landscaping
amenities.
Section 5. That it is hereby recognized that improvements to be constructed in the
District will confer special benefits on the real property in the District and general benefits to the
City at large.
Section 6. That the nature and location of the improvements to be made in the District
are as set forth on Exhibit"A" attached hereto and by this reference incorporated herein.
Section 7. That the Director of Community Planning and Environmental Services is
hereby directed to prepare and present to the Council the following:
a. Preliminary plans and specifications of the improvements described herein;
and
b. An estimate of the probable total cost of such improvements, including the
cost of planning,constructing,or otherwise acquiring the same;engineering,
legal and advertising costs;interest during construction and until assessments
are made by ordinance against the property benefited, and other incidental
costs incurred in the District; and
C. A map of the District to be assessed for the cost of the improvements.
Section 8. That the area to be assessed for the District improvements described on
Exhibit`B,"attached hereto and incorporated herein by this reference,shall be approximately as set
forth in the Petition heretofore submitted by Petitioner and on file with the City Clerk.
Section 9. That the District shall be known as the Timberline/Prospect Special
Improvement District No. 93.
Passed and adopted at a regular meeting of the City Council held this 4th day of November,
A.D. 2003.
Mayor
ATTEST:
City Clerk
2
EXHIBIT "A"
DESCRIPTION OF IMPROVEMENTS
Timberline/Prospect SID#93
The Timberline/Prospect Special Improvement will generally consist of roadway and
intersection improvements to increase capacity at the Timberline Prospect intersection:
• Construction of dedicated right turn lanes on all legs of the intersection
Construction of double left turn lanes on NB and SB Timberline Road
• Construction of additional through lanes on NB and SB Timberline Road for a
total of four lanes
• Extension (widening) of the Timberline bridge over Spring Creek
• Extension of the RR crossing at the Great Western RR spur, including relocation
of the exisiting signal crossing arms and warning devices
• Relocation of an existing high pressure gas main
• Relocation and upgrade of the existing Timberline/Prospect traffic signal
• All incidental utility and drainage work necessary for construction of the
improvements
• Acquisition of all necessary ROW and easements
One Mile Radius EXHIBIT `B"
Around Intersection of
Timberline and Prospect
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PROPERTY OWNER'S PETITION AND WAIVER FOR THE ORGANIZATION OF A
SPECIAL IMPROVEMENT DISTRICT FOR CERTAIN IMPROVEMENTS TO
TIMBERLINE ROAD BETWEEN DRAKE ROAD AND PROSPECT ROAD, WITHIN THE
CITY OF FORT COLLINS, COLORADO
PETITION
To the Honorable City Council of the City of Fort Collins:
The undersigned Petitioner, being the owner of certain real property located in the City of Fort
Collins, Colorado (the "City") and described on Exhibit "A", attached hereto and incorporated
herein by this reference,respectfully petition the City Council of the City(the"Council")to institute
the necessary proceedings to authorize the adoption of an ordinance organizing certain street
improvements and certain lots and lands that will receive special benefit from said improvements
into a special improvement district(the"District")under the provisions of Article III of Chapter 22
of the Code of the City ("the Code"), for the purpose of ordering the construction of said
improvements in accordance with such provisions of the Code and in accordance with plans and
specifications to be approved by the Council. The boundaries of the District shall be generally as
shown on Exhibit `B," attached hereto and incorporated herein by this reference. The Petitioner
constitutes the owners of at least one percent (1%) of the area of the property to be assessed in the
District.
DISTRICT IMPROVEMENTS
The District improvements requested by the Petitioner(the "Improvements") consists generally of
street widening, reconstruction and asphalt paving of Timberline Road between Drake Road and
Prospect Road,including the Timberline/Prospect intersection. The Improvements may include,but
need not be limited to, right-of-way acquisition,earthwork,curb and gutter,sidewalk,bicycle lanes,
bridge expansion, railroad crossing expansion, drainage improvements, utility relocations, paving
and other improvements that are necessary or appurtenant thereto.
ASSESSMENTS
The Petitioner understands that, if the District is established by the Council,the costs of acquiring,
constructing, or otherwise installing the Improvements shall be assessed against the properties in
the District on such terms and conditions, and through such method of apportionment, as may be
approved by the Council, and an estimate of such costs shall be more fully described in the estimate
to be prepared pursuant to Section 22-35 of the Code.
The entire unpaid principal of such assessment, together with interest accruing thereon to the next
assessment interest payment date, shall be immediately due and payable by the seller or transferor
of any lot,tract,or parcel in the District prior to the sale or transfer of the same, unless the purchaser
or transferee thereof shall acknowledge, in writing, receipt of notice that the seller or transferor is
Page 1 of 3
not paying such assessment in full prior to such sale or transfer and that such assessment against any
lot, tract, or parcel shall continue to be a lien thereon. The restriction of this paragraph shall be
deemed to constitute a covenant of the undersigned Petitioner running with all properties in the
District owned by the Petitioner and shall be binding upon the Petitioner and any subsequent owners
of said properties. The Petitioner hereby covenants to take all steps necessary to assure that the
restriction contained in this paragraph will he binding upon all owners, from time to time, of their
properties in the District,including recordation of this Petition and Waiver,in all appropriate public
offices for real property in Latimer County, Colorado. The Petitioner hereby covenants to include
such restriction in any documents transferring any interest in said properties to another to the end
that such transferee has notice that such transferee is bound by such restriction. The City shall have
the right to seek specific performance of the requirements of this paragraph.
WAIVER
The Petitioner, by execution hereof, hereby waives any and all of the provisions of Article III of
Chapter 22 of the Code relating to or requiring public hearings,notices,publications,letting of bids,
and all other procedural aspects of the creation of the proposed District, the construction of the
improvements,the levying of assessments therefor, the limit on assessments as set forth in Section
22-90 of the Code, the maximum cost of improvements as set forth in Section 22-36 of the Code,
the provisions of Section 22-81 of the Code relating to apportionment of costs of street intersection
improvements, and any right to challenge the manner or amount of the assessments to be made
against real property in the District,and further,the Petitioner does hereby agree that the full amount
of assessments against the real property in the District, as set forth in the legal documents creating
the District, shall be made to pay the costs incurred for the improvements in the District. The
Petitioner does hereby agree to hold the City harmless from any loss incurred by the Petitioner or
third parties should the City fail to create or fund the proposed District. Any requirements of Article
III of Chapter 22 of the Code deemed not waived hereby because of lack of specificity shall in no
manner affect the valid waiver of requirements specifically stated herein. This Petition and Waiver
may be amended after its submission with the consent of the City Manager for the purpose of adding
additional waivers.
WITHDRAWAL OF PETITION
This Petition and Waiver may be withdrawn by the Petitioner or any of its successors in interest as
long as any such withdrawal occurs no later than five (5)working days after the Council's adoption
of a resolution approving the plan, specifications, map and estimate of the City Engineer pursuant
to Section 22-61 of the Code. The Petitioner understands that if the Petition and Waiver is
withdrawn by the Petitioner within such period of time: (1) the Council may or may not decide to
rescind the SID proceedings pursuant to the Petitioner's request and such decision shall be entirely
discretionary with the Council; and (2) if the Council does decide to rescind the SID proceedings,
the Petitioner shall be obligated to reimburse the City for any and all costs that may have therefore
been incurred by the City in connection with the proposed District.
Page 2 of 3
Petitioner:
SPRING CREEK FARMS, LLC
a Colorado Limited Liability Company
By: By: �
Calvin Johpron, Co-Manager Glen A. Johnson, Co-Manager
STATE OF COLORADO )
) ss.
COUNTY OF LARIMER )
The foregoing instrument was acknowledged before me this y of
2003, by Calvin Johnson and Glen A. Johnson as Co-Managers of SPRING NEEK FARMS,LLC,A
COLORADO LIMITED LIABILITY COMPANY for the purpose herein above set forth.
Witness my hand and official seal.
My Com
10/27/04
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Page 3 of 3
EXHIBIT A
Legal Description:
A TRACT OF LAND SITUATE IN SECTION 20, TOWNSHIP 7 NORTH, RANGE 68
WEST OF THE 6T" P.M.,LARIMER COUNTY, COLORADO, WHICH,
CONSIDERING THE SOUTH LINE OF SAID SECTION 20 AS BEARING EAST
AND WEST, AND WITH ALL BEARINGS CONTAINED HEREIN RELATIVE
THERETO, IS CONTAINED WITHIN THE BOUNDARY LINES WHICH BEGIN AT
A POINT WHICH BEARS EAST 1337.40 FEET, AND AGAIN N00251'00"W
1748.80 FEET FROM THE SOUTHWEST CORNER OF SAID SECTION 20, AND
RUNS THENCE N00251'00"W 1479.02 FEET TO A POINT ON THE SOUTHERLY
RIGHT-OF-WAY LINE OF THE EXISTING RAILROAD; THENCE ALONG SAID
SOUTHERLY RIGHT-OF-WAY LINE, S502 12'00"E 5042.05 FEET TO A POINT ON
THE SOUTH LINE OF SAID SECTION 20; THENCE ALONG SAID SOUTH LINE,
WEST 2587.66 FEET TO THE SOUTHEAST CORNER OF THE PROPERTY
DEEDED TO CARGILL IN BOOK 1383 AT PAGE 143; THENCE ALONG THE
EASTERLY AND NORTHERLY BOUNDARY OF SAID PROPERTY DEEDED TO
CARGILL, NOOQ34'00"E 339.79 FEET, AND AGAIN N15214'00"w 193.40 FEET,
AND AGAIN N50 Q 23'00"W 360.30 FEET, AND AGAIN N42 Q 24'00"W 246.15 FEET,
AND AGAIN N50248'00"W 366.40 FEET, AND AGAIN N38226'30"W 729.12 FEET,
AND AGAIN N77 Q 15'00"W 36.75 FEET TO THE POINT OF BEGINNING,
AND
A TRACT OF LAND SITUATE IN THE WEST ONE-HALF OF SECTION 20,
TOWNSHIP 7 NORTH, RANGE 68 WEST OF THE 6T" P.M., LARIMER COUNTY,
COLORADO WHICH CONSIDERING THE SOUTH LINE OF THE SOUTHWEST
ONE-QUARTER OF SAID SECTION 20 AS BEARING N90200'00"E AND WITH
ALL BEARINGS CONTAINED HEREIN RELATIVE THERETO IS CONTAINED
WITHIN THE BOUNDARY LINES WHICH BEGIN AT THE SOUTHWEST
CORNER OF SAID SECTION 20 AND RUN THENCE N90200'00"E 1337.40 FEET
ALONG THE SOUTH LINE OF THE SAID SOUTHWEST ONE-QUARTER TO THE
SOUTHWEST CORNER OF THE TRACT DESCRIBED IN BOOK 1383 AT PAGE
143 OF THE LARIMER COUNTY RECORDS; THENCE ALONE THE WEST LINE
OF THE SAID TRACT ALONG AN EXISTING FENCE LINE, N00 Q 51'00"W 1748.80
FEET TO THE NORTHWEST CORNER OF THE SAID TRACT; THENCE
CONTINUING ALONG THE EXISTING FENCE LINE NOO251'00"W 1480.05 FEET
TO A POINT ON THE SOUTHWESTERLY RIGHT-OF-WAY LINE OF THE
BURLINGTON NORTHERN RAILROAD; THENCE ALONG THE SAID RIGHT-OF-
WAY LINE N50211'57"W 1359.36 FEET AND AGAIN ALONG THE ARC OF A
2914.93 FOOT RADIUS CURVE TO THE RIGHT OF DISTANCE 409.71 FEET, THE
LONG CHORD OF WHICH BEARS N46210'21"W 409.38 FEET TO A POINT ON
THE WEST LINE OF THE NORTHWEST ONE-QUARTER OF SAID SECTION 20;
THENCE SOO245'40"E 1730.46 FEET ALONG THE WEST LINE OF THE SAID
NORTHWEST ONE-QUARTER; THENCE SOO235'15"E 2651.99 FEET TO THE
POINT OF BEGINNING.
One Mile Radius EXHIBIT °B"
Around Intersection of
Timberline and Prospect
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