HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 03/02/2004 - SECOND READING OF ORDINANCE NO. 026, 2004, APPROPR ITEM NUMBER: 8
AGENDA ITEM SUMMARY DATE: March 2, 2004
FORT COLLINS CITY COUNCIL STAFF: Matt Baker
SUBJECT
Second Reading of Ordinance No. 026, 2004, Appropriating Unanticipated Revenue in the
Capital Projects Fund - Timberline Road Improvements Project to be used for the Engineering
Design of Timberline Road from Prospect Road to Drake Road.
RECOMMENDATION
Staff recommends adoption of the Ordinance on Second Reading.
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 morning and
evening 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 capital improvement funding for this intersection, two developers are
electing to privately fund these improvements in order to proceed with their development
projects. These two developers, owners of the bulk of the impacted property, are proposing the
initiation of a special improvement district (SID) which will assess a portion of the costs of the
improvements to the other owners of undeveloped property in the area that will benefit by the
improvements.
The two initiating developers have contributed $100,000 so the City can prepare the plans, an
estimate of costs, and maps of the district needed to complete the engineering design without
cost to the City. This Ordinance, which was adopted 6-0 (Mayor Pro Tem Bertschy was absent)
on First Reading on February 17, 2004, appropriates funds into a capital project account for the
selection of a consulting engineering firm to provide the design plans and documents needed for
the creation of the SID and the construction of the project.
ORDINANCE NO, 026, 2004
OF THE COUNCIL OF THE CITY OF FORT COLLINS
APPROPRIATING UNANTICIPATED REVENUE IN THE CAPITAL PROJECTS FUND -
TIMBERLINE ROAD IMPROVEMENTS PROJECT TO BE USED FOR THE ENGINEERING
DESIGN OF TIMBERLINE ROAD FROM PROSPECT ROAD TO DRAKE ROAD
WHEREAS,traffic congestion at the intersection of Timberline Road and Prospect Road(the
"Intersection") is well below the City's level of service requirements with almost all legs and turn
movements failing during the morning and evening peak rush hours; and
WHEREAS,improvements for the Intersection are not a part of the any of the City's current
capital improvement programs,and funding for these improvements has not yet been identified;and
WHEREAS, Section 3.7.3.(D)(1)(b) of the City's Land Use Code requires that all
developments shall meet or exceed the transportation level of service standards contained in Part II
of the City of Fort Collins Multi-modal Transportation Level of Service Manual for motor vehicles,
bicycles, and pedestrians; and
WHEREAS, prior to any new development impacting the Intersection any level of service
deficiencies at the Intersection must be corrected; and
WHEREAS,currently,the development of two large parcels within a one-mile radius of the
Intersection is on hold due to the inadequate levels of service at the Intersection; and
WHEREAS, the developers of the aforementioned parcels (the James Company and the
Cumberland Group) have proposed privately funding the improvements needed to meet the
minimum levels of services at the Intersection necessary to allow development of their parcels; and
WHEREAS, the City received a petition from the James Company requesting that the
Council initiate proceedings for the creation of a special improvement district which would spread
the cost of the needed improvements among benefitted properties in the vicinity of the Intersection;
and
WHEREAS, on November 4, 2003, City Council adopted 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 for Community Planning and Environmental
Services to Prepare and Present to the City Council the Necessary Information for the Formation of
Said District; and
WHEREAS, the City has received a total of$100,000, from the James Company and the
Cumberland Group to be used to prepare plans, estimate of costs, and maps of the proposed special
improvement district in order to complete the engineering design of improvements along Timberline
Road; and
WHEREAS, upon completion of the engineering design in January 2005 City Council may
be asked to consider adoption of a resolution accepting the completed plans, approving an
assessment method, holding a public hearing, and creating a special improvement district by
ordinance adopting the creation of a special improvement district; and
WHEREAS, right of way acquisition is scheduled to be completed by October 2005, with
interim improvements to be constructed at an estimated cost of$2.3 million, in order to bring the
Intersection into compliance with minimal levels of service by the Fall of 2006; and
WHEREAS, Article V, Section 9, of the Charter of the City of Fort Collins (the "Charter")
permits the City Council to make supplemental appropriations by ordinance at any time during the
fiscal year,provided that the total amount of such supplemental appropriations,in combination with
all previous appropriations for that fiscal year does not exceed the current estimate of actual and
anticipated revenues to be received during the fiscal year; and
WHEREAS, City staff has determined that the appropriation of funds from unanticipated
revenue as described herein will not cause the total amount appropriated in the Capital Projects Fund
- Timberline Road Improvements Capital Project to exceed the current estimate of actual and
anticipated revenues to be received during any fiscal year; and
WHEREAS, it is the desire of the Council to appropriate the sum of$100,000, representing
contributions from two developers proposing development projects along Timberline Road, north
of Drake Road,in the Capital Projects Fund-Timberline Road Improvements Capital Project to be
used for the Engineering design of Timberline Road from Prospect Road to Drake Road.
NOW, THEREFORE,BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS that there is hereby appropriated for expenditure from unanticipated revenue in the
Capital Projects Fund-Timberline Road Improvements capital project,the sum of ONE HUNDRED
THOUSAND DOLLARS ($100,000),in the form of contributions from two developers proposing
development projects along Timberline Road, north of Drake Road, to be used for the Engineering
design of Timberline Road from Prospect Road to Drake Road.
Introduced and considered favorably on first reading and ordered published this 17th day of
February, A.D. 2004, and to be presented for final passage on the 2nd d y of March, A.D. 2004.
ATTEST: Mayor
�tl
eCity Cllerk
Passed and adopted on final reading this 2nd day of March, A.D. 2004.
ATTEST: Mayor
City Clerk
ITEM NUMBER: 16
AGENDA ITEM SUMMARY DATE: February 17, 2004
FORT COLLINS CITY COUNCIL
STAFF: Matt Baker
SUBJECT
First Reading of Ordinance No. 026, 2004, Appropriating Unanticipated Revenue in the Capital
Projects Fund - Timberline Road Improvements Project to be used for the Engineering Design of
Timberline Road from Prospect to Ro �-
F,
RECOMMENDATION "� -
Staff recommends adoption of the Ordinance on First Reading.
FINANCIAL IMPACT
Developers have contributed $100d000 to thenCity. for the engineering design of Timberline Road
from Prospect to Drake. The ukon5vembe
c akin u tiA1wi: thoAz roposed Special Improvement
District No. 94 financed privyy' wcs�Aleve ' rig in the proposed district. The
Resolution accepting the petitn� I staff to ' pare the plans and cost estimates
was adopted by City Council , 20 This as contribution will allow the City
to begin the design with no cost to the taxpayers.
EXECUTIVE SUMMARY
Traffic congestion at the Timberline/Prospect intersection is well below the City's Level of
Service requirements, with almost all legs andturn movements failing during the morning and
,.....
evening peak rush hours. Ina or a'A (oithV,*wa ate. ublt Facilities Ordinance, any new
ydevelopment which impacts t s intersprAbee il these existing deficiencies are
corrected. °
In the absence of any capital improvement funding for this intersection, two developers are
electing to privately fund these improvements in order to proceed with their development
projects. These two developers, owners of the bulk of the impacted property, are proposing the
initiation of a special improvement district (SID) which will assess a portion of the costs of the
improvements to the other owners of undeveloped property in the area that will benefit by the
improvements.
The two initiating developers have contributed $100,000 so the City can prepare the plans, an
estimate of costs, and maps of the district needed to complete the engineering design without
cost to the City. This Ordinance will appropriate these funds into a capital project account for
February 17, 2004 -2- Item No. 16
the selection of a consulting engineering firm to provide the design plans and documents needed
for the creation of the SID and the construction of the project.
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 morning and evening peak hours. Attempts by the City to create a funding
mechanism for the necessary im . keJnen ,Iipceptual
ccesul.
� �r
The City's Adequate Publi Facilit (Aanc oes not allow any additional
development to impact failing er§u tj S. timate indicates that $2.3 million
is needed to improve the intersection to the minimum levels of service required 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 2pW1BgJ.e nc cr Kk> r ofr aesthetic elements.
'4
There are two large develop nt pa c wh' current] affected b the APF Ordinance.
k Y
The James Company is prop g the Z ehil "develop t project on the east side of
Timberline and north of Drake, and the Cumberland Group owns 80 acres on the west side of
Timberline and north of Drake. Neither of these developments can proceed without
improvements to the Timberline/Prospect intersection. The James Company and the
Cumberland Group 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 intersection a are('r
r ected by the City's APF Ordinance. Some have
expressed interest in part g inhost i r 'nY
mberline/Prospect intersection
while others have agreed wit a needmp s, t support paying for it.
The James Company and the Cumberland"'Group have proposed the formation of a Special
Improvement District (SID) as a financing mechanism to allow for a fair and equitable
assessment of all property owners who will benefit from the improvements. The terms of the
SID would generally be:
1. The amount assessed against benefited properties in the SID will be the amount needed to
make the APF improvements to the Timberline/Prospect intersection, currently estimated
at $2.3 million.
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 Cumberland Group will not occur until construction
February 17, 2004 -3- Item No. 16
bidding (February 2005) to avoid capitalized interest. Security in the form of a
performance bond for $2.3 million will be necessary in order for development to
continue during the formation of the SID.
3. The 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 the 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 h
sl "° &
Providing a 10-year repayme .schedu for p ies beings ssessed could be an incentive for
property owners to participate ethe°'Slaui out positionA-However, in accordance with the
TABOR Amendment, a vote of district property owners may be necessary to allow the City to
enter into a multi-year obligation to repay the collected assessments over time. The alternative
to a 10-year payback is an immediate, one-time assessment of the full amount. This one-time
assessment, without the option to pay in installments, would likely produce a greater protest
from involuntary participants.
A resolution accepting the petitions and directing City staff to prepare the plans and cost
estimates was adopted by City Council on November 4, 2003.
The two initiating developer ' ave prodded $ 0' (gym fuiig`to allow the City to prepare the
plans, estimate of costs, and aps of e duct n order 4 complete the engineering design
without cost to the City.
The improvements to Timberline along the frontage of the developing parcels will be
constructed 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
proposed timeline is:
• November 2003 -- AcCZncl
ep 'tiApril 2004 toJanuE" ineeri sfn• Janua 2005 — Secon }Gti Pa
January $ Plans, Sty).Creation Ordinance, set election
for TABOR requirement
• January 2005 to October 2005 —ROW Acquisition
• October 2005 to August 2006—Construction
• Assessment Ordinance immediately after construction