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HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 02/22/2005 - FORMAL PROCESS TO TRANSFER OWNERSHIP OF HARMONY RO DATE: February 22, 2005 STUDY SESSION ITEM STAFF: Gary Diede FORT COLLINS CITY COUNCIL SUBJECT FOR DISCUSSION The purpose of this study session item is to begin the formal process to transfer ownership of Harmony Road (State Highway #68) between College Avenue and I-25, from the Colorado Department of Transportation(CDOT) to the City of Fort Collins. GENERAL DIRECTION SOUGHT AND SPECIFIC QUESTIONS TO BE ANSWERED Will the City Council authorize the City Manager to sign the attached proposed letter to CDOT (Attachment 1), initiating the formal process to consider the transfer of ownership of SH-68, recognizing that a final decision will be available to City Council at a later date? BACKGROUND Representatives from Colorado Department of Transportation (CDOT) and Fort Collins Transportation Services have been discussing options for transferring ownership of SH-68 from CDOT to the City of Fort Collins for many years. This is a short road segment that from CDOT's perspective does not need to be on the state system. East Harmony Road is now developing into an urban arterial, and it seems to make sense to CDOT for the City to own and maintain it. The City has resisted these proposals in the past because of the costs that would be involved. A major change has occurred with the most recent discussions on this matter. CDOT now has funds available that they are willing to provide to the City in conjunction with the transfer of ownership. There is some urgency to this matter because part of these funds need to be committed by CDOT in this fiscal year (before July, 2005). Estimates of the costs to upgrade, overlay and maintain East Harmony Road for 20 years are attached. These estimates were developed jointly between City and CDOT staff. CDOT is offering the City a lump sum payment of approximately $13,650,000 to take ownership of SH-68. After these funds are expended over the next 20 plus years, the City would have to find $220,000 per year to cover the on-going maintenance costs. There are a number of reasons why City Council should consider the transfer at this time: • Fort Collins will have full control of the future design, construction and maintenance of Harmony Road. • Fort Collins will no longer have to seek A-Line access approval from CDOT. • Fort Collins can modify the Access Control Plan on its own without CDOT involvement. • It is highly unlikely that CDOT will be able to accumulate this amount of funds in the future to pay to the City. February 22, 2005 Page 2 Three steps are needed to complete the ownership transfer: 1. Fort Collins needs to send a letter to Karla Harding, CDOT Regional Transportation Director, requesting the ownership transfer (under consideration tonight). 2. Colorado Transportation Commission acts on CDOT Region IV's recommendation to remove this highway section and transfer ownership to the City. 3. CDOT and Fort Collins exchange ownership by approving an Intergovernmental Agreement (IGA) (requires City Council action at a later date). The transfer process can be stopped at any time by either party and it does not become final until the intergovernmental agreement is approved by City Council and the funds are received. ATTACHMENTS 1. Proposed letter to Karla Harding, Regional Transportation Director, Region IV, CDOT. 2. Cost estimate for upgrades and maintenance of East Harmony Road. ATTACHMENT iaCity Manager's Office City of Fort Collins February 23, 2005 [DRAFT ] Karla Harding Regional Transportation Director Colorado Department of Transportation,Region 4 1420 2n' Street Greeley, CO 80631 RE: State Highway 68 Abandonment Dear Ms. Harding, This letter is intended to document discussions between our staffs,and to serve as a formal request from the City of Fort Collins to remove State Highway 68(East Harmony Road), between US Highway 287 and the Harmony RoaM-25 Transfer Center, from the state highway system. The City of Fort Collins wishes to exercise local control over the development and access within this important corridor,which has become more urban in nature as compared to the rural highway it once was. The entire roadway is within the City's Urban Growth Area. The Colorado Department of Transportation(CDOT)is interested in minimizing the total mileage in the state highway system while providing a comprehensive,regional system, To facilitate the proposed transition,we understand that CDOT agrees to make a one-time payment to the City in the approximate amount of$13.65M to account for the state's share of upgrading the condition of the roadway to an acceptable standard as well as covering the costs of operation and maintenance for a 20-year period. Based on these mutual interests,the City of Fort Collins would like to request that CDOT initiate the process of developing an intergovernmental agreement for formal consideration by both parties,which will remove this segment of roadway from the state highway system and give the City of Fort Collins full jurisdiction over the road. Sincerely, Darin A.Atteberry City Manager 300 LaPbrte Avenue - PO.Box 590 - Fort Collins,CO$0522-0580 - (9M 221-6505 - FAX(970)274-6107• TDD(970)22"W1 www.fcgovcom ATTACHMENT East Harmony Road (SH-68)—Costs to Upgrade and Maintain HARMONY ROAD, COLLEGE TO 1-25 Harmony Overlay Cost: $3,885,000 Concrete Intersections: Ziegler $1,786,000 Corbett $1,364,000 College $1,557,000 Repair RR Crossing $70,000 Reconstruct FCRID Box Culvert: $200,000 EB Profile Adjustment: $75,000 Add EB Bike Lane, Ziegler to Strauss Cabin: $300,000 20 Years of O&M Costs: $4,413,000 TOTALS: $13,650,000