Title
A Resolution authorizing the use of a Possession and Use Agreement and Eminent Domain to acquire Real Property and Temporary Construction Easements, on Real Property owned by PRD Real Estate LLC, using PPRTA funds for the Marksheffel Road Improvements - Woodmen Road to North Carefree Circle 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 and a temporary construction easement from PRD Real Estate, LLC (the “Property Owner”) needed in connection with the Marksheffel Road Improvements - Woodmen Road to North Carefree Circle Project (the “Project”). The Project and property purchase would be funded by the Pikes Peak Rural Transportation Authority (“PPRTA”).
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 Owner owns property that is needed for the Project. The City needs approximately 0.073-acres (3,196 sf) for right of way in fee simple and approximately 0.080-acres (3,474 sf) of temporary construction easement (collectively, the “Property”) from the Property Owner for the Project. The Property to be acquired will allow for improvements to Marksheffel Road and for the construction of the corresponding infrastructure.
The City provided the Property Owner with a Notice of Intent to Acquire the Property on June 19, 2024. Upon minor design revisions, the City provided the Property Owner with a Notice of Plan Revision with updated legal descriptions on October 15, 2024. Pursuant to Chapter 9 of The City of Colorado Springs Procedure Manual for the Acquisition and Disposition of Real Property Interests, Revised 2021 (“RES Manual”), the City secured an independent appraisal and presented the Property Owner with an offer to acquire the Property in the amount of $110,400 on January 30, 2025.
The City provided the Property Owner with a final offer to acquire in the amount of $110,400 on April 30, 2025. The Owner has not provided the City with an independent appraisal.
Negotiations with the Property Owner with respect to the required Property are at an impasse. The Property Owner had questions regarding the landscaping restoration, which the City has addressed, and to date has not provided a counteroffer.
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 8, 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 Owner has 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 Improvements - Woodmen Road to North Carefree Circle Project.
Summary of Ordinance Language
N/A