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HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 07/15/2014 - FIRST READING OF ORDINANCE NO. 104, 2014, AUTHORIZAgenda Item 12 Item # 12 Page 1 AGENDA ITEM SUMMARY July 15, 2014 City Council STAFF Patrick Rowe, Real Estate Specialist Jason Graham, Water Reclamation/Biosolids Manager Ronald Russell, Technical Services Supervisor SUBJECT First Reading of Ordinance No. 104, 2014, Authorizing the Conveyance of a Non-Exclusive Utility Easement on City Property to the Nunn Telephone Company. EXECUTIVE SUMMARY The purpose of this item is to authorize the conveyance of a non-exclusive easement to Nunn Telephone Company (NTC) for the purpose of installing a fiber-optic connection to an AT&T fiber regeneration hut that is located on a portion of the Meadow Springs Ranch. The proposed easement is 10 feet wide and approximately 690 feet long and would be placed immediately adjacent to an existing access road. STAFF RECOMMENDATION Staff recommends adoption of the Ordinance on First Reading. BACKGROUND / DISCUSSION Nunn Telephone Company (NTC), a telephone and internet service provider that serves northeast Larimer County and northwest Weld County, has requested a non-exclusive utility easement from the City to allow NTC to install a fiber-optic line between Weld County Road 15 and an AT&T fiber regeneration hut located on a portion of Meadow Springs Ranch (MSR). MSR is a 26,600 acre property owned by the City and managed by the Water Reclamation and Biosolids Division as a site for land application of biosolids. The easement request pertains to the southeast corner of MSR and per Utilities staff, will have no effect on City operations. The proposed easement is 10 feet wide and approximately 690 feet long and would be located immediately adjacent to the existing access road that serves the AT&T fiber hut. Installation of the 690 foot fiber-optic run will occur using a combination of equipment, but in general, a 4-inch slot will be trenched to a nominal depth of 36 inches (no less than 24 inches). After the cable is located, the soil will be replaced and compacted. To achieve a more natural look, the vegetation will be allowed to recover on its own; however, the City may request additional restoration efforts from NTC at the City’s discretion. Additionally, NTC will be required to control weeds within the disturbed areas. Upon review of the easement proposal, and given the City’s positive experience in working with NTC on a prior easement request, City staff is confident that the easement will cause minimal or no lasting disturbance. FINANCIAL / ECONOMIC IMPACTS Real Estate Services reviewed value information for Meadows Springs Ranch to determine a compensation estimate for the requested easement. Given the easement’s small size and the low dollar per acre values that are appropriate for MSR, the concluded easement value was below a minimum threshold that Real Estate Agenda Item 12 Item # 12 Page 2 Services determined would be appropriate, and thus a nominal value of $2,500 has been concluded. Along with the property value of the easement, NTC must compensate the City a $1,000 processing fee which will be used to offset staff time to process the easement request. Additionally, NTC is responsible for any costs necessary to restore the property, including re-seeding and addressing weeds, if applicable. NTC has paid the City the $1,000 processing fee and will pay the easement compensation at the time of the easement conveyance. ENVIRONMENTAL IMPACTS Upon review of the easement proposal, and given the City’s positive experience in working with NTC on a prior easement request, City staff is confident that the easement proposal and associated work will cause minimal or no lasting environmental impact. BOARD / COMMISSION RECOMMENDATION On June 19, 2014, the Water Board voted unanimously to recommend approval of a permanent utility easement to NTC, provided that the additional requirement of addressing noxious weeds will also be added to the City’s agreement with NTC. City staff concurs with the Water Board's recommendation regarding noxious weeds and this additional requirement will be added to the City-NTC easement agreement. ATTACHMENTS 1. Location Map (PDF) 2. Easement Alignment Photos (PDF) 3. Easement Conditions (PDF) 4. Water Board Minutes (PDF) ATTACHMENT 1 Easement Alignment Photos Figure 1. Proposed easement would align with right side of this access road as viewed from Weld County Road 15. AT&T fiber regeneration hut is seen in the distance. Figure 2. Proposed easement would align with left side of this access road as viewed from AT&T fiber regeneration hut. Weld County Road 15 is seen in the distance. ATTACHMENT 2 Water Reclamation Division 3036 Environmental Drive Fort Collins, CO 80525 970.221.6900 970.221.6970 - fax fcgov.com/utilities Conditions for City of Fort Collins Approval of Nunn Telephone Company Easement Proposed at Meadow Springs Ranch Meadow Springs Ranch (MSR) is owned by the City of Fort Collins and is managed by the Water Reclamation and Biosolids (WRB) Division. Granting an easement conveys a property right that must be approved by City Council. Water Board will review the easement proposal and provide City Council with a recommended action. Nunn Telephone Company (NTC) must accept the conditions below in order to receive approval of the proposed utility easement. Additional conditions may be added as the proposal is reviewed by the City. WRB and Real Estate Services staff will work with NTC during the review process.  NTC and its contractors must minimize impact on the affected land by managing their activity to limit the area and visibility of disturbed land. Activity will be restricted to the designated area of the easement.  NTC must restore affected areas, including surface grade, fences, and gates, to a condition that is equal or better than the condition prior to any disturbance caused by NTC activity.  NTC will be responsible for restoration of damage caused by any activities to maintain or repair the cable after it has been installed.  The disturbed area will not be seeded unless native vegetation fails to satisfactorily reestablish within two growing seasons. If the City determines seeding is needed, the seed mix will be designated by the City.  NTC will be responsible for addressing noxious weeds that may develop in disturbed areas which occur in the first two growing seasons following the disturbance and for the two growing seasons following seeding if it is necessary. NTC will coordinate any weed abatement actions with City Staff in order to ensure that best practices are followed.  NTC must minimize their interference with City and grazing association operations at MSR.  NTC must provide WRB with advance notification for all work performed on the easement including any work performed after the installation.  Cash compensation will be required for the value of the easement property. Due to the small size of the easement, a nominal value of $2,500 has been assigned for the property. NTC must also pay a $1,000 fee to offset staff time to process the easement. NTC must provide the City with full payment for the easement property and processing prior to transfer of the easement deed. If additional administrative costs occur after transfer of the deed, NTC will pay those costs within 30 days of being notified.  NTC will be responsible for damages not acceptably reclaimed as determined by acceptable appraisal techniques. ATTACHMENT 3 Excerpt from Unapproved Water Board Minutes, June 19, 2014 Nunn Telephone Company Fiber-Optic Easement at Meadow Springs Ranch (Attachments available upon request.) Technical Services Supervisor Ron Russell (Utilities Water Reclamation & Biosolids Division) presented information, along with Real Estate Specialist III Patrick Rowe, and Water Reclamation & Biosolids Manager Jason Graham. Meadow Springs Ranch (MSR), owned by the City and managed by the Water Reclamation and Biosolids Division, contains 26,600 acres, about 40 square miles, extending from the Buckeye exit of I-25 at Rawhide Power Plant to about a mile from the Wyoming border. The proposed easement is in lower right hand corner of map. Mr. Russell stated the easement is needed for NTC to make a connection to an AT&T fiber-optic regeneration hut located on MSR, to continue receiving service from the hut. He described the installation process; surface disturbance (vegetation) is not at a high level. Previous easement work by NTC in fall 2013 did not cause long-term damage. Discussion Highlights  A board member inquired if there is a better time (season) than others to do the easement work. Mr. Russell stated seeding probably won’t be required due to the disturbed area’s potential to recover on its own, therefore timing won’t make a difference. Mr. Russell stated if seeding were required, he would work with Natural Areas to determine the best seed mix and other such details.  A board member expressed concerns about invasive plants such as Dalmatian toadflax thriving in disturbed areas. Mr. Russell stated a requirement for Nunn Telephone Company to control weeds will be added to the conditions for granting the easement. STAFF RECOMMENDATION Utilities staff has reviewed the easement proposal from NTC and found the easement will have minimal environmental disturbance or impact on Utilities activities at Meadow Springs Ranch. Discussion on the motion: There was no discussion on the motion. Vote on the motion: It passed unanimously. Board Member Brian Brown moved for City Council to consider approval of an Ordinance authorizing conveyance of a permanent utility easement to Nunn Telephone Company on the City property Meadow Springs Ranch, with additional of adding noxious weeds in the agreement. Board Member Brunswig seconded the motion. ATTACHMENT 4 - 1 - ORDINANCE NO. 104, 2014 OF THE COUNCIL OF THE CITY OF FORT COLLINS AUTHORIZING THE CONVEYANCE OF A NON-EXCLUSIVE UTILITY EASEMENT ON CITY PROPERTY TO THE NUNN TELEPHONE COMPANY WHEREAS, the City is the owner of real property located in Larimer County and Weld County, Colorado, known as Meadow Springs Ranch (the “City Property”); and WHEREAS, the City Property is managed by the City’s Water Reclamation and Biosolids Division as a site for land application of biosolids; and WHEREAS, Nunn Telephone Company (NTC) is requesting a utility easement ten feet wide and approximately 690 feet long across the City Property for the installation and maintenance of a fiber-optic line between Weld County Road 15 and an AT&T fiber regeneration hut located on the City Property; and WHEREAS, the proposed easement is described on Exhibit “A”, attached and incorporated herein by reference (the “Easement”); and WHEREAS, the Easement would be located immediately adjacent to an existing access road that serves the AT&T fiber hut; and WHEREAS, NTC has agreed to pay the City $2,500 as compensation for the Easement, plus a $1,000 processing fee for City staff’s time to process this request; and WHEREAS, City staff has not identified any negative impacts to the City Property expected to result from the grant of the Easement and related work; and WHEREAS, at its regular meeting on June 19, 2014, the Water Board voted unanimously to recommend approval of the Easement conveyance provided that NTC agrees as part of the Easement agreement to be responsible for controlling noxious weeds within the area disturbed by NTC’s activities; and WHEREAS, Section 23-111 of the City Code provides that the City Council is authorized to sell, convey, or otherwise dispose of any and all interests in real property owned in the name of the City, provided that the City Council first finds, by ordinance, that such sale or other disposition is in the best interest of the City and, with respect to real property that is part of the City’s water or utility systems, that the disposition will not materially impair the viability of the particular utility system as a whole and will be for the benefit of the citizens of the City. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: - 2 - Section 1. That the City Council hereby finds that the conveyance of the Easement on the City Property to NTC as provided herein is in the best interest of the City, will not impair the City’s wastewater utility system, and will be for the benefit of the citizens of the City. Section 2. That the Mayor is hereby authorized to execute such documents as are necessary to convey the Easement to NTC on terms and conditions consistent with this Ordinance, together with such additional terms and conditions as the City Manager, in consultation with the City Attorney, determines are necessary or appropriate to protect the interests of the City or effectuate the purposes of this Ordinance, including, but not limited to, any necessary corrections to the legal description of the Easement, so long as such changes do not materially increase the size or change the character of the Easement. Introduced, considered favorably on first reading, and ordered published this 15th day of July, A.D. 2014, and to be presented for final passage on the19th day of August, A.D. 2014. __________________________________ Mayor Pro Tem ATTEST: _______________________________ City Clerk Passed and adopted on final reading on the 19th day of August, A.D. 2014. __________________________________ Mayor ATTEST: _______________________________ City Clerk