Title
A Resolution authorizing the Use of Possession and/or Eminent Domain to acquire real property, permanent easements and temporary easements using PPRTA funds for the Marksheffel Road - North Carefree to Dublin Project.
Presenter:
Gayle Sturdivant, PE, PMP, City Engineer/Deputy Public Works Director
Kellie Billingsley, Real Estate Services Manager
Body
Summary:
The proposed resolution would authorize the use of possession and use agreements and/or eminent domain to acquire real property, Colorado Springs Utilities (CSU) utility easement, and temporary construction easement, as set forth in the table below, known as the “Property” from Stetson Hills Property Owner LLC (the “Property Owner”), needed in connection with the Marksheffel Road Improvements Project (the “Project”).
|
Property Owner |
Right-of-way (Square Feet) |
Utility Easement CSU (Square Feet) |
Temporary Construction Easement (Square Feet) |
|
Stetson Hills Property Owner LLC |
9,364 |
31,967 |
12,464 |
Background:
The Project was identified by the Pikes Peak Rural Transportation Authority (“PPRTA”) as an “A-list” priority project. The PPRTA committed funding for the Project, which commenced construction in May 2023, and is anticipated to be completed in December 2026.
The Property to be acquired will allow for the widening of Marksheffel Road and for the construction of the corresponding infrastructure (see attached Location Map for Project location).
Included in the acquisition of the Property for the Project is a utility easement to be acquired on behalf of Colorado Springs Utilities. The cost of acquiring this easement will be reimbursed to PPRTA pursuant to an existing agreement.
Negotiations with the Property Owner with respect to the required Property are at an impasse. The Notice of Intent to Acquire was provided to the Property Owner on August 5, 2024. Separate appraisals were completed by the City and the Property Owner. The City made an offer based on the City appraisal value, which was approximately 50% higher than the appraisal obtained by the Property Owner. The Property Owner provided comments relating to the easements and agreements, which were reviewed and approved by the City Attorney’s office. The final versions of the Real Estate Purchase Agreements were sent to the Property Owner for signature on March 7, 2025. Voicemails and follow-ups emails have been sent with no response.
Staff requests that City Council approve the Resolution for acquisition of the Property through the use of Possession and Use Agreements and/or Eminent Domain. Additionally, the attached Resolution authorizes the City’s Real Estate Services Manager and the Public Works Director to execute all documents necessary to acquire the Property. In all cases, the Property Owner will be compensated for the Property needed for the Project.
Previous Council Action:
On August 23, 2022, City Council endorsed the extension of the Pikes Peak Rural Transportation Authority Capital Program in Resolution No. 121-22. Subsequently, on November, 2022, the citizens approved Ballot Issue 5A extending the PPRTA Capital Program until December 31, 2034, and the issue included this Project.
Financial Implications:
The Project is funded by PPRTA and accounted for in each of their budgets for this project.
City Council Appointed Board/Commission/Committee Recommendation:
N/A
Stakeholder Process:
The Property Owners have been engaged with the Project throughout the engineering phase and property acquisition phase.
Alternatives:
City Council may approve, modify, or deny approval of the Resolution.
Recommended Action
Proposed Motion:
Move to approve a resolution authorizing the use of eminent domain to acquire the Property needed for the Marksheffel Road - North Carefree to Dublin Project.
Summary of Ordinance Language
N/A