HomeMy WebLinkAboutFORT COLLINS RETAIL CENTER PUD - Filed RD-ROW DEDICATION - 2003-11-03DISTRICT COURT, LARIMER COUNTY,COLORADO
CASE NO. 87 CV 1813
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CITY ATTORNEY
CITY OF FORT COLLINS, COLORADO, a municipal corporation,
Petitioner,
VS.
GEORGE A. HOLTER and NADINE HOLTER,
Respondents.
THIS MATTER is before the court with -regard to the
Motion in Limine filed by Respondents. This motion raises,
with regard to this condemnation proceeding, the threshold
issues of necessity, public purpose, and good faith negotia-
tions. The Court finds, concludes, and orders as set
forth below.
Petitioner filed this eminent domain action on December
30, 1987. Respondents have put in issue the three issues
described above. Petitioner has alleged that it is necessary
to acquire 486 square feet of property in Larimer County,
owned by Respondent, for the purpose of constructing a
curb return at the intersection of Pavilion Lane and South
College Avenue. Petitioner further alleges that good
faith negotiations have taken place and a good faith offer
has been made pursuant to C.R.S. 38-1-121(6). Necessity
for the taking is alleged as found in the resolution of
the Fort Collins City Council dated October 20, 1987.
Respondents dispute the existence of a public purpose,the
necessity for the taking, or good faith negotiations.
Respondents assert that the proposed taking is for a purely
private purpose, without any necessity, and this action
is a sham brought in bad faith by the City of Fort Collins.
Pavilion Lane, a dedicated road now in use, lies
between property owned by Respondents, on the south, and
Troutman Properties, on the north. The Troutman Properties
development is a shopping center. Ordinarily the city
would have required that the road be built one-half on
Respondents' property and one-half on the Troutman land;
in this case, after extensive negotiations, the city agreed
that the entire road be built on Troutman land. However,
the City maintains it is necessary to condemn a portion
of Respondents' property to construct the curb return
(a widening of the road at the intersection, to facilitate
turning by vehicle traffic). Prior to involvement by
the City of Fort Collins, unsuccessful negotiations had
taken place between the Troutman developers and Respondents,
wherein the shopping center developers sought to purchase
an easement from Respondents for Pavilion Lane. These
negotiations not being fruitful, the City became formally
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involved, in an attempt to facilitate resolution of the
issue between the private landowners. Again, no progress
was made, and the City determined to seek condemnation
of the property at issue herein. The situation was complicated
further by a contractor's mistake in that the curb return
has actually been built, mistakenly, on Respondents' property,
without legal authority.
NECESSITY
The existence of necessity for the condemnation is
a threshold issue which must be resolved prior to trial
(Colorado State Board of Land Commissioners V. District
Court, 163 Colo. 338, 430 P2d 617 (1967)). Absent fraud
or bad faith, the determination of the public agency involved
of the necessity for the taking is final and conclusive,
and binding on the court (Colorado State Board, supra).
The fact that there may be private benefit to certain
individuals, if there also is public necessity, does not
negate the existence of such necessity.
It should be pointed out, before proceeding further,
that, contrary to one assertion of Respondents, the condemnation
sought herein does not involve an attempt by Petitioner
to establish a private way of necessity (Crystal Park
Company v. Morton, 27 Colo. App. 74, 146 P 566 (1913)).
Respondents deny the existence of necessity for the
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condemnation. Petitioner asserts the existence of such
necessity, as found in Resolution 87-158. College Avenue
is a major, vehicle thoroughfare, and Pavilion Lane provides
access to the shopping center off of it. Substantial
vehicle traffic may be expected. The curb return is necessary
to the safe operation of vehicles on Pavilion Lane. There
has been no engineering reason shown by the evidence why
Pavilion Lane could not have been placed elsewhere, had
the City so elected.
Approval by the City of the Pavilion development
contained a requirement that the developer negotiate with
Respondents to acquire the easement in question. Respondents
Point to this as illustrating their contention that the
easement constitutes a purely private purpose. In the
Court's view this mistakes the purpose of the easement
and purpose of this requirement by the City. Although
the Holters and the developers negotiated, no easement
was ever agreed upon. While the City may require the
parties to negotiate, the City cannot require them to
agree. If and when they fail to agree, it is not unreasonable
for the City, having failed to obtain resolution of the
matter by agreement, to then exercise its condemning authority
in the public interest. The fact that the City attempted
previously to bring about a resolution of this problem
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through private negotiations does not indicate bad faith,
or that the City is serving as a stalking horse for a
private developer. Nor does the fact that Pavilion Lane
- including a safer Pavilion Lane due to the curb returns
- obviously benefits the developer, as well as the public
as a whole, diminish the necessity for the taking.
A determination by the condemning authority of the
existence of necessity is final, conclusive and binding
on the Court, in the absence of a showing of bad faith
or fraud. This includes a determination as to the location
for the road, easement, etc. being condemned (Colorado
State Board of Land Commissioners V. District Court, supra;
Dallastra v. Department of HiQhways 153 Colo. App. 519,
387 P 2d 25). In other words, the Court cannot impute
bad faith or other improper motives to the City by speculating
that the City might as easily put the lane further north.
Similarly, the efforts of the City to resolve this matter,
without the necessity of a condemnation proceeding and
at less cost to the taxpayers, through negotiations between
the private parties, are commendable, and do not establish
bad faith. There being no showing of bad faith or other
conditions which would allow the Court to disregard the
finding of the City of the existence of necessity, the
Court is bound by such finding. Thus, the Court determines
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that Petitioner has made a sufficient showing of necessity.
PUBLIC USE OR PURPOSE
The Court must find that the proposed taking is for
a public purpose or use, before the matter may proceed
further. This term is not precisely defined; rather,
the existence of a public purpose must be determined based
upon the facts of.each case, considering, among other
things, thle physical conditions of the area, the needs
of the community, the character of the benefit, and all
other relevant factors (Tanner v. Treasury Tunnel Mininq
and Reduction'Company, 35 Colo. 593, 85 P 464 (1906)).
In this case, Pavilion Lane provides access from
College, a major thoroughfare in Fort Collins. Considerable
additional use over that now existing is expected in the
future, due to future growth. Pavilion Lane now serves
a shopping center. The public utilizes such shopping
center. The curb returns are needed in order to maximize
the safety of vehicles turning onto Pavilion Lane, and
to comply with Federal standards.
The Court finds that there has been a clear showing
of public purpose or use. The curb returns will enhance
the operational efficiency and safety of Pavilion Lane
(Buck v. District Court, 199 Colo. 344, 608 P2d 350 (1980)).
There is a clear beneficial public purpose. The curb
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return is not analogous to a passage way to enable a single
farmer to pasture his sheep (Crystal Park Company, supra),
or a condemnation to enable one business to store coal
(Potashnik v. Public Service Company, 122 Colo. 98, 247
P2d 137 (1952)). The fact that there may be some ancillary
private benefit is, as a matter of law, not sufficient
to require a different finding.
The Court does not disagree with the principle enunciated
by the line of cases cited by Respondent, including City
of Center Line v. Chmelko, 416 N.W. 2d 401 (Mich. App.
1987) and Wilminqton Parking Authority V. Land With Imorovements,
Del. Supr., 521 A 2d 227 (1986), that is, that a public
entity lacks the power to pursue condemnation proceedings
where the taking, although asserted to be for a public
purpose, is in fact for a purely private purpose, such
as to benefit one favored business or entity, and not
the public as a whole. Rather, the Court finds that the
facts of this case do not support such a finding. Unlike
Chmelko, where the City proposed to condemn certain property
merely to benefit a car dealership, or Wilmington Parking
Authority, where the condemnation was for the sole benefit
of a major newspaper which threatened, absent the condemnation
proceedings, to relocate outside of Wilmington, establishment
of the curb return on Pavilion Lane benefits the public
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as a whole. The public as a whole will utilize Pavilion
Lane. Although obviously some benefit will inure to the
Troutman developers, the primary purpose of the curb return
is to serve the interest of the entire community. This
is qualitatively different from the results that would
have been obtained had the condemnations proceeded in
Chmelko and Wilmington, and renders those cases inapposite.
- GOOD FAITH NEGOTIATIONS
The existence of good faith negotiations prior to
initiation of the condemnation proceeding is a jurisdictional
prerequisite (Board of County Commissioners of Jefferson
County v. Auslander, 745 P2d 999 (Colo. 1987)). The burden
of proof as to this issue is on the Petitioner. Respondents
point out that no offer was made to them after the City
council meeting of October 20, 1987, wherein the condemnation
proceeding was authorized. This appears to be correct.
However, a written offer was extended by Ron Mills on
October 1, 1987. Respondents either did not respond to
this offer or made a counter-offer attempting to tie into
resolution of this issue resolution of another, unrelated
dispute with the City.
Petitioner's conduct meets the requirement of good
faith negotiations (City of Thornton v. Farmer's Reservoir
and Irrigation Comoany, 194 Colo. 526, 575 P2d 382 (1978);
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Board of County Commissioners of Mesa County v. Blecha,
697 P2d 416 (Colo. App. 1985)). What is required is a
reasonable offer, and reasonable time to respond (Cif
of Thcrntcn, supra). Here, the offer was made October
1, and suit not initiated until December 30th. The offer
in question was not so low as be in bad faith. The time
afforded Respondents was far more than the six days found
to be inadequate in Auslander.
The Court concludes that the City has met its burden
of proof with regard to the existence of prior good faith
negotiations.
IT IS THEREFORE ORDERED that, as to the three threshold
issues raised by the Motion in Limine, the Court finds
and concludes as set forth above.
Dated this d`? day of August, 1988.
BY THE COURT:
BY:
DISTRICT COURT JUDGE
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