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HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 08/20/2019 - FIRST READING OF ORDINANCE NO. 105, 2019, AUTHORIZAgenda Item 12 Item # 12 Page 1 AGENDA ITEM SUMMARY August 20, 2019 City Council STAFF Dan Woodward, Civil Engineer I Kerri Allison, Real Estate Specialist II Timothy Kemp, Civil Engineer III Ingrid Decker, Legal SUBJECT First Reading of Ordinance No. 105, 2019, Authorizing the Acquisition by Eminent Domain Proceedings of Certain Lands Necessary to Construct Public Improvements in Connection with the Realigned Lemay Avenue Bridge over Vine Drive and Burlington Northern Santa Fe Railroad Tracks. EXECUTIVE SUMMARY The purpose of this item is to seek authorization from City Council to use eminent domain, if necessary, to acquire property interests along Realigned Lemay Avenue. The acquisitions will include purchase of rights-of- way and permanent easements from three property owners. To meet project construction timelines, timely acquisition of the property interests is necessary. Staff fully intends to negotiate in good faith with the affected owners and is requesting authorization to use eminent domain only if project staff and the City Attorney’s office believe such action is necessary after reasonable efforts to negotiate an acquisition. This action would ensure the City can secure all the right-of-way required to build the entire project and complete the right-of-way acquisition phase of the project. There may still be a need for acquisition of future temporary construction easements, but no additional permanent right-of-way acquisition. STAFF RECOMMENDATION Staff recommends adoption of the Ordinance on First Reading. BACKGROUND / DISCUSSION In June 2019 City Council adopted Ordinance No. 074, 2019, authorizing the use of Transportation Capital Expansions Fees (TCEF) to continue design and move forward with construction of portions of the Realigned Lemay Avenue Bridge over Vine Drive and Burlington Northern Santa Fe (BNSF) railroad tracks. The appropriation of $9.1M is currently being used to continue design, secure a construction contractor as well as secure the additional property interests required to construct the project. There are three parcels south of the BNSF tracks that the City needs to acquire property from. City staff has met with the property owners on multiple occasions over the past few years and discussed the impacts of the project to their property. The City intends to begin construction of embankment (dirt), rock walls, utilities, bridge foundations and other preliminary construction items starting in spring of 2020 along the new Lemay alignment, just to the east of existing Lemay Avenue from Lincoln Avenue north to Conifer Street. All the property on the north side of Vine Drive has been acquired to date, through a previous acquisition process that began in April 2016 following City Council authorization. Since construction will occur on both the north side as well as the south side of Vine Drive and the BNSF tracks, the City must secure the ultimate right-of-way (ROW) along with permanent and temporary easements required to construct these improvements. Agenda Item 12 Item # 12 Page 2 Realigned Lemay Avenue has been on the City’s Master Street Plan since the 1980s. This project, along with the grade separation at the BNSF Railway, has been included in numerous planning efforts over the past few decades. Train switching operations continue to increase in the Vine and Lemay area. The total time that the intersection is blocked to the travelling public has increased 50% from June 2016 to February 2019 (22 hours of blockage per month vs. 33 hours of blockage per month). The construction of this project will alleviate existing deficiencies and provide a “key” infrastructure asset for northeast Fort Collins. More specifically, this project will: • Improve quality of life, access, and neighborhood livability for Andersonville, Buckingham, and Alta Vista • Reduce accidents and congestion, and improve emergency services coverage by separating travel modes from BNSF Railway switching operations • Improve air quality by reducing the emissions from idling vehicles, whereby aligning with the goals of the Climate Action Plan • Provide multi-modal connectivity to the new Beet Street Park at the southwest corner of Vine and Lemay • Reduce traffic volumes on Ninth Street (Lindenmeier Road) Over the past few years, staff has given many formal presentations and provided project information at City sponsored events; designed to encourage public participation and collect feedback. Staff is actively addressing community questions and working with nearby residents, business owners, landowners, and proposed development projects. This action would complete all the required ROW purchases for the entire project. City staff is still working with local property owners and businesses to determine temporary construction impacts, and there may be a need to secure temporary easements in the future, but not any additional permanent ROW. Securing the ultimate ROW for the project will allow the project to expend all the Phase II funding appropriated through the May 2019 Council Action. This area is needed in order to construct the roadway to the ultimate width in its new alignment both north and south of the BNSF tracks. How and When City Staff uses Eminent Domain When City staff are planning a project, they consider whether they will need any land for it. If so, they also consider whether they will have to have the land even if they can’t come to an agreement with the property owner to buy it. If that is the case, staff will ask the City Council to adopt an ordinance giving authority to use eminent domain (condemnation) if necessary. Once an ordinance is adopted and the project plans are finalized, the City sends the property owner a Notice of Intent to Acquire letter by certified mail. The letter explains what the City needs for the project. Then the City and sometimes, the property owner get appraisal of the property to determine its fair market value. The City then makes the owner an offer for the property needed based on the fair market value. The City and the property owner negotiate to reach an agreement to buy the needed property interests. If an agreement cannot be reached, the City may file an eminent domain case in court, if necessary. The court then decides what the City must pay for the property it needs. In most cases the City and the property owner reach agreement before case gets to that point. Staff recommends that City Council authorize the use of eminent domain for this project to provide a fair and equitable process that will allow the City to meet project design and construction deadlines while still ensuring all property owners are fairly compensated for the property rights acquired by the City. Condemnation will only be used as necessary if the City is unable to reach an agreement with a property owner through good-faith negotiations. Obtaining eminent domain authority early in the project will: • Allow staff to develop the project timeline with more certainty. • Help keep a planned property acquisition schedule, reducing the risk and cost of unexpected future delays Agenda Item 12 Item # 12 Page 3 that could occur if staff need to seek eminent domain authority for specific properties throughout the project. • Ensure consistent messaging to affected property owners. CITY FINANCIAL IMPACTS This Council Action will not authorize any new funding for the project but will only authorize acquisition of the identified parcels. The following is a summary of the current appropriated funds for the project as well as future funding needs: Prior Appropriated Funds 2015 / 2016 BFO Process (Keep Fort Collins Great) $1,050,000 2017 / 2018 BFO Process (General Fund Reserves) $1,000,000 Transportation Capital Expansion Fee Funds $10,744,723 Total Current Project Budget $12,794,723 The overall project cost, including design, property acquisition, and construction, is estimated at $25.3M, leaving an overall shortage of $12.5M. These estimates are based on 2021 dollars and construction costs. BOARD / COMMISSION RECOMMENDATION Staff has presented to various boards and commissions over the course of the project, including presentations to the Transportation Board, the Futures Committee, the Council Finance Committee, and at Council work sessions and regular Council meetings. PUBLIC OUTREACH Staff has given many formal presentations and provided project information at City sponsored events. Staff designed the outreach to encourage public participation and collect feedback. Staff is actively addressing community questions and working with nearby residents, business owners, landowners, and proposed development projects. Summary of Public Engagement to Date: • February 2016 - Public Open House (Streets Facility) 122 people signed in for the event • August 2016 - Lincoln Neighborhood Ice Cream Social • November 2016 - Presentation to Alta Vista residents • September 2017 - Open House event for Alta Vista, Andersonville, and Buckingham residents at the Legacy Church (Ninth Street and San Cristo Street) • December 2017 and March 2018 - Fort Collins Area Chamber of Commerce • February 2018 - Fort Collins Sertoma Club • March 2018 and February 2019 - North Fort Collins Business Association Staff will continue public outreach and engagement efforts with stakeholders throughout the duration of the project and is planning another neighborhood meeting this fall. In addition, staff maintains an active project website available at: <http://www.fcgov.com/engineering/vine- lemay.php> ATTACHMENTS 1. Location map (PDF) CITY STREETS OF FORT DEPARTMENT COLLINS CORDOVA RD LOPEZ CT ALTA VISTA ST N LEMAY AVE PLUMWOOD LN GOLD DR BUCKINGHAM ST COLLEGIATE WAY ROMERO ST TRUJILLO ST SAN CRISTO ST GOLD DR LONGLEAF LN E VINE DR 10TH ST N LEMAY AVE DUFF DR 9TH ST CLOVERDALE DR 11TH ST Acquisition Properties Realigned Location Lemay Avenue Map Project / ATTACHMENT 1 -1- ORDINANCE NO. 105, 2019 OF THE COUNCIL OF THE CITY OF FORT COLLINS AUTHORIZING THE ACQUISITION BY EMINENT DOMAIN PROCEEDINGS OF CERTAIN LANDS NECESSARY TO CONSTRUCT PUBLIC IMPROVEMENTS IN CONNECTION WITH THE REALIGNED LEMAY AVENUE BRIDGE OVER VINE DRIVE AND BURLINGTON NORTHERN SANTA FE RAILROAD TRACKS WHEREAS, in June 2019, City Council approved Ordinance No. 074, 2019 authorizing the use of $9.1 million in Transportation Capital Expansion Fee (“TCEF”) funds to continue design and move forward with construction of portions of the Realigned Lemay Avenue Bridge over Vine Drive and Burlington Northern Santa Fe (“BNSF”) railroad tracks (the “Project”); and WHEREAS, that $9.1 million is currently being used to continue design, secure a construction contractor, and secure the additional property interests to construct the Project; and WHEREAS, there are three parcels south of the BNSF tracks that the City needs to acquire property from to complete the Project and City staff has met with the property owners on multiple occasions over the past few years to discuss the impacts of the Project to their property; and WHEREAS, the City intends to begin Project construction of embankment, rock walls, utilities, bridge foundations and other preliminary items in spring of 2020, which construction will impact these three parcels; and WHEREAS, to construct this portion of the Project, the City will need to acquire certain property rights from these three parcels, as described on Exhibits “A” through “E”, attached hereto and incorporated herein by this reference (the “Property Rights”); and WHEREAS, the City will negotiate in good faith for the acquisition of the Property Rights from the owners thereof; and WHEREAS, the acquisition of the Property Rights is desirable and necessary for the construction of the Project, is in the City’s best interest, and enhances public health, safety, and welfare because it will allow for the construction of needed public infrastructure within the City; and WHEREAS, the acquisition of the Property Rights may, by law, be accomplished through eminent domain. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That the City Council hereby makes and adopts the determinations and findings contained in the recitals set forth above. -2- Section 2. That the City Council hereby finds and determines that is necessary in the public interest to acquire the Property Rights described herein for the purpose of constructing the Project. Section 3. That the City Council hereby authorizes the City Attorney and other appropriate officials of the City to acquire the Property Rights for the City by eminent domain proceedings. Section 4. The City Council further finds that, in the event acquisition by eminent domain of the Property Rights or any of them is commenced, immediate possession is necessary for the public health, safety and welfare. Introduced, considered favorably on first reading, and ordered published this 20th day of August, A.D. 2019, and to be presented for final passage on the 3rd day of September, A.D. 2019. __________________________________ Mayor ATTEST: _______________________________ City Clerk Passed and adopted on final reading on the 3rd day of September, A.D. 2019. __________________________________ Mayor ATTEST: _______________________________ City Clerk EXHIBIT A EXHIBIT A EXHIBIT B EXHIBIT B EXHIBIT B EXHIBIT C EXHIBIT C EXHIBIT C EXHIBIT D EXHIBIT D EXHIBIT E EXHIBIT E EXHIBIT E