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Acquistion of Property for Southwest Arterial ProjectMasterpiece on the Mississippi TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Southwest Arterial Project Right -of -Way Property Acquisition - Set Date for Public Hearing DATE: March 3, 2011 Dubuque ktritel All-America City 1111 1 2007 Assistant City Engineer Robert Schiesl recommends the City Council set a public hearing for April 4, 2011, on the City's intent to acquire or condemn, if necessary, property for the Southwest Arterial Project. I concur with the recommendation and respectfully request Mayor and City Council approval. MCVM:jh Attachment cc: Barry Lindahl, City Attorney Cindy Steinhauser, Assistant City Manager Robert Schiesl, Assistant City Engineer Gus Psihoyos, City Engineer Michel C. Van Milligen Masterpiece on the Mississippi TO: Michael C. Van Milligen, City Manager Gus Psihoyos, City Engineer FROM: Robert Schiesl, Assistant City Engineer Dubuque trail NI America CII 2007 SUBJECT: Southwest Arterial Project Right -of -Way Property Acquisition - Set Date for Public Hearing DATE: March 2, 2011 INTRODUCTION The purpose of this memorandum is to provide the City Council with information related to the right -of -way property acquisition phase for the Southwest Arterial Project and request that a public hearing be set for April 4, 2011 on the City's intent to acquire or condemn if necessary property for the Southwest Arterial Project BACKGROUND The preliminary engineering design phase is completed and the Southwest Arterial project will now proceed with the final engineering design phase, right -of -way property acquisition and archaeological and cultural resource phase III mitigation work. On February 2, 2009, the City signed a joint partnership agreement between the City and the Iowa DOT to perform right -of -way property acquisition services for the Southwest Arterial Project. The Iowa DOT Office of Right -of -Way will be responsible for completing the following acquisition phases: ■ Right -of -Way Negotiations and Acquisition • Relocation Assistance • Title and Closing Services Based on the right -of -way property acquisition services agreement with the Iowa DOT, the City will be responsible for contracting the following acquisition related work tasks: • Acquisition Appraisals • Review Appraisals • Condemnation Services On September 10, 2009, the City received official Iowa DOT notification that the Federal Highway Administration (FHWA) has given approval and authorization to proceed with right -of -way acquisition for the 45 impacted properties. PROPERTY ACQUISITION STATUS The City and the Iowa DOT property acquisition staff are currently proceeding with right - of -way property acquisition for the 45 impacted properties. As of March 2011, the City has purchased 17 properties for a total purchase expenditure in the amount of $3.1 million to -date. Another 11 properties are ready to begin the acquisition process as soon as the acquisition appraisal updates are completed and the Public Hearing (April 4 is held for those respective properties. Those properties are identified as follows: • Parcel 124 (Sharon Bradley, trustee of Sharon L. Bradley Trust) • Parcel 130 (Robert W. Bradley, trustee of Robert W. Bradley Trust) • Parcel 147 (Betty Jean Siegert Tigges) • Parcel 151a (John L. Knepper) • Parcel 169s (River City Development Group, LLC) • Parcel 170 (Connie F. Simon) • Parcel 172 (Mt. Olivet Cemetery Association) • Parcel 173 (Michael D. Lambert and Chris A. Lambert) • Parcel 174 (David L. Lambert and Shirley A. Lambert) • Parcel 184 (Jon D. Luckstead) • Parcel 187 (Jon D. Luckstead) Another 6 properties are anticipated to be released for acquisition within the next 60 days. The remaining 11 properties are temporarily on -hold while the project team completes the design modifications to the Southwest Arterial / U.S. 20 / Seippel Road interchange. We anticipate that these properties will be releases for acquisition by July 2011 Iowa DOT property acquisition staff has indicated that several of the remaining properties to purchase have a high probability of eminent domain proceedings. As a result, the acquisition appraisals are being updated and the City Council is requested to hold a Public Hearing to establish fair market value so the procedural requirements are met in the event that good faith negotiations fail and condemnation / eminent domain proceedings are initiated. The attached tabular summary and aerial photo corridor maps provide additional detail and color coding which delineates those properties that have been purchased, in process, or are temporarily on -hold. RECOMMENDATION I recommend that the City Council set April 4th, 2011, as the date for a public hearing on the City's intent to acquire or condemn if necessary property for the Southwest Arterial Project. FUNDING SUMMARY The current estimate of probable cost for the right -of -way property acquisition phase for the Southwest Arterial project is as follows: Description Estimated Cost Right- of- Way•Property Acquisition $ 9,803,020 Total Project Cost Estimate $ 9,803,020 The anticipated project funding is summarized as follows: Fund Description American Recovery and Reinvestment Act Funding ESL -2100 (646)- -7S -31 Federal SAFETEA -LU Funding (80 %) STP -U -2100 (634)- -70 -31 City - Local Funding (10 %) County - Local Funding (10 %) Total Project Funding Prepared by Robert Schiesl, Assistant City Engineer cc: Tim O'Brien, Assistant City Attorney Doug Bates, Iowa DOT Fund Amount $ 2,909,534 5,514,789 689,349 689,349 $ 9,803,020 As part of the American Recovery and Reinvestment Act (ARRA), the City and County have committed all of the local transportation funding, $2.9 million, for the purchase of property for the Southwest Arterial. As of March 2011, the City expended all ARRA stimulus funding. ACTION TO BE TAKEN The City Council is requested to adopt the attached resolution setting the date for a public hearing on the City's intent to acquire or condemn if necessary property for the Southwest Arterial Project. NOTICE OF INTENT TO COMMENCE A PUBLIC IMPROVEMENT PROJECT FOR THE SOUTHWEST ARTERIAL PROJECT AND TO ACQUIRE AGRICULTURAL LAND FOR THE PROJECT Last known address of Owners owner of Affected land TO: Sharon L. Bradley, Trustee(Parcel 124) Robert W. Bradley, Trustee(Parcel 130) Betty Jean Siegert Tigges(Parcel 147) John L. Knepper (Parcel 151a) Connie F. Simon(Parcel 170) Mt Olivet Cemetery Association(Parcel 172) Michael D. Lambert and Chris A Lambert(Parcel 173) 12016 English Mill RD Dubuque, IA 52003 12016 English Mill RD Dubuque, IA 52003 2082 Admiral Dubuque, IA 52002 2873 Thornwood Ct Dubuque, IA 52003 -9113 River City Development Group, LLC(Parcel 169s)24655 75 Ave Cascade, IA 52033 1004 Maquoketa Dr Dubuque, IA 52003 10556 Military Road Dubuque, IA 52003 10338 Mt St Bernard Dr. Dubuque, IA 52003 David L Lambert and Shirley A Lambert(Parcel 174) 10368 Military Road Dubuque, IA 52003 Jon D. Lucksted(Parcels 184 and 187) 3642 Echo Hills Dr Dubuque, IA 52031 Legal Descriptions: Parcel 124. The N 1 /2 of the NE 1/4 of the NE '/4 of Section 5, Township 88 North, Range 2 East of the 5 P.M., Lot 1 of Lot 1 of the SE 1 /4 of the SE 1/4 and Lot 2 of the NE 1 /4 of the SE 1 /4 and Lot 1 of Green Valley Farms, in Section 32, and the SW 1 of Section 33, in Township 89 North, Range 2 East of the 5th P.M., according to the United States Government Survey and the recorded plats thereof, subject to highway and easements of record; Parcel 130. Lot 3 of the NW 1/4 of the NE 1/4 of Section 5, Township 88 North, Range 2 East of the 5th P.M., and Lot 2 of the SW 1/4 of the SE 1/4 of Section 32, Township 89 North, Range 2 East of the 5thP.M., according to the United States Government Survey and the recorded plats thereof, subject to easements of record; Parcel 147. Lot 1 of Lot 2 of the SE 1 of the NW 1/4, the SE 1/4 of the SW 1/4 and Lot 2 of Lot 1 of the NE 1/4 of the SW ' /o, in Section 4, Township 88 North, Range 2 East of the 5th P.M., located in Dubuque County, Iowa, according to the United States Government Survey and the recorded plats thereof; subject to highway and easements of record; Parcel 151a. West One (1) acre of the Northeast Quarter of the Northwest Quarter Section 11, T88N, R 2 E, 5th P.M.; West One (1) acre of the Southeast Quarter of the Northwest Quarter Section 11, T88N, R 2 E, 5th P.M.; Lot 2 of the East 39 acres of the Northeast Quarter of the Northwest Quarter Section 11, T88N, R 2 E, 5th P.M.; Lot 2 of the East 39 acres of the Southeast Quarter of the Northwest Quarter Section 11, T88N, R 2 E, 5th P.M., all in Dubuque County, Iowa, according to the United States Government Survey and the recorded plats thereof; subject to highway and easements of record; Parcel 169s. Lot 2 of Wertzberger Acres #3; Lot 1 of Lot 1 of the NE 1 /4 of the NE 1/4; Lot 2 of the SE 1/4 of the NE 1 /4, Lot 1 of the NW 1 /4 of the NE '/ and the SW 1/4 of the NE 1/4, all in Section 14, Township 88 North, Range 2 East of the 5 P.M., located in Dubuque County, Iowa, according to the United States Government Survey and the recorded plats thereof; subject to highway and easements of record; Parcel 170. Lot 2 of Lot 3 of Archdiocese Place No. 2 at Key West in Section 11, Lot 2 of the NW % of the NE 1/4, Lot 2 of Lot 1 of the NE'/ of the NE'/ and Lot 1 of the SE 1 /4 of the NE'/, in Section 14, Township 88 North, Range 2 East of the 5th P.M., located in Dubuque County, Iowa, according to the United States Government Survey and the recorded plats thereof; subject to highway and easements of record; 2 Parcel 172. Lot 2 of Archdiocese Place No. 2; Lot 2 of Lot 1 of the SE1 /4 of the SE1 /4, Lot 2 of the SW1 /4 of the SE1 /4, Lot 2 of the NW1 /4 of the SE1 /4 and Lot 2 of Lot 7 of the NE1 /4 of the SE1 /4, all in Section 11, Township 88 North, Range 2 East of the 5th P.M., located in Dubuque County, Iowa, according to the United States Government Survey and the recorded plats thereof; subject to highway and easements of record; Parcel 173. Lot 3 of Lot 1 of Archdiocese Place No. 2 in Key West, in Dubuque County, Iowa, according to the recorded plat thereof; subject to easements and agreements of record; Parcel 174. Lot 1 of Lot 1 of Archdiocese Place No. 2 in Key West, in Dubuque County, Iowa, according to the recorded plat thereof; subject to easements and agreements of record; Parcel 184. Lot C of Tamarack S.E. Fourth Subdivision in Section 14, Township 88 North, Range 2 East of the 5th P.M., Dubuque County, Iowa, according to the United States Government Survey and the recorded plat thereof; subject to easements and restrictions of record; Parcel 187. Lot 1 of Lot 2 of the SE 1 /4 of Section 14, Township 88 North, Range 2 East of the 5 th P.M., Dubuque County, Iowa, according to the United States Government Survey and the recorded plats thereof; subject to highway; and Under the provisions of Chapter 6B of the Iowa Code, a governmental body which proposes to acquire agricultural land under power of eminent domain for a public improvement project is required to give notice of intent to commence the project to all owners of such agricultural land whose properties may be acquired in whole or in part for the project. See Iowa Code §§ 6A.21(a), 6B.2A. 1. DESCRIPTION OF THE PROJECT. NOTICE IS HEREBY GIVEN to the above identified owners of agricultural land that the City Council of the City of Dubuque will consider authorizing the commencement of a project to construct the Southwest Arterial Project and related facilities. 2. PRIVATE PROPERTY MAY BE ACQUIRED BY PURCHASE OR CONDEMNATION. If the above described project is approved by the City Council, the City will be required to acquire property for the project improvements. Upon review of Dubuque County property records, it appears that agricultural land owned by the above identified persons may have to be acquired in whole or in part for the project. The City will attempt to purchase the required agricultural land by good 3 faith negotiations, and it may condemn those properties which it is unable to purchase. The proposed location of the above described public improvement is shown on a conceptual drawing of the project which is now on file in the office of the City Engineer and available for public inspection. 3. CITY PROCESS TO DECIDE TO PROCEED WITH THE PROJECT AND TO ACQUIRE PROPERTY; CITY COUNCIL ACTION REQUIRED TO PROCEED WITH PROJECT; OPPORTUNITY FOR PUBLIC INPUT. In making the decision to proceed with the above described project and to authorize the acquisition of property and property interests, the City Council is required to hold a public hearing, giving persons interested in the proposed project the opportunity to present their views regarding the project and regarding the proposed acquisition of property for the project. The public hearing on the project will be held during the City Council's regularly scheduled meeting on the 4 day of April, 2011 at the Historic Federal Building Council Chambers(second floor) 350 W. 5 St., Dubuque, Iowa, commencing at 6:30 p.m. In order for the City to proceed with the above - described project and commence the acquisition of property for the project, the City Council will be required to approve the project and authorize acquisition of private property for the project by Council resolution. The City Council is scheduled to consider adoption of the resolution initiating the above described project following the public hearing. If the project is approved by the City Council, a certified appraiser retained by the City will determine the compensation (in compliance with Federal regulations and Iowa Department of Transportation right -of -way acquisition policies and procedures) to be paid for property or property interests that are needed for the project. The City will offer no less than the appraised value and will attempt to purchase only the needed property by good faith negotiations. If the City is unable to acquire properties needed for the project by negotiation, the City will acquire those properties by condemnation. 4. CONTACT PERSON. Persons desiring further information regarding the proposed public improvement project or its impact on the properties identified above may contact by mail Assistant City Engineer, Robert Schiesl, 50 West 13 St., Dubuque, Iowa 52001, or by telephone at (563) 589 -4270. 5. STATEMENT OF RIGHTS. Just as the law grants certain entities the right to acquire private property, you as the owner of property have certain rights. You have the right to a. Receive just compensation for the taking of property. (Iowa Const., Article I, Section 18) 4 b. An offer to purchase which may not be less than the lowest appraisal of the fair market value of the property. (Iowa Code §§ 6B.45, 6B54) c. Receive a copy of the appraisal and review appraisal, upon which the acquiring agency's determination of just compensation is based not less than 10 days before being contacted by the acquiring agency's acquisition agent. ( Iowa Code §6B.45) d. When an appraisal is required, an opportunity to accompany at least one appraiser of the acquiring agency who appraises your property. (Iowa Code §6B.54) e. Participate in good faith negotiations with the acquiring agency before the acquiring agency begins condemnation proceedings. (Iowa Code §6B.3(1)) f. If you cannot agree on a purchase price with the acquiring agency, a determination of just compensation by an impartial compensation commission and the right to appeal its award to district court. (Iowa Code §§ 6B.4, 6B.7, and 6B.18) g. Payment of the agreed upon purchase price, or if condemned, a deposit of the compensation commission award before you are required to surrender possession of the property. (Iowa Code §§ 6B.25 and 6B.54(11)) h. Reimbursement for expenses incidental to transferring title to the acquiring agency. (Iowa Code §§ 6B.33 and 6B.54(10)) i. Reimbursement of certain litigation expenses: (1) if the award of the compensation commissioners exceeds 110 percent of the acquiring agency's final offer before condemnation; and (2) if the award on appeal in court is more than the compensation commissioner's award. (Iowa Code § 6B.33) j. At least 90 days written notice to vacate occupied property. (Iowa Code § 6B.54(4)) k. Relocation services and payments, if you are eligible to receive them, and the right to appeal your eligibility for and amount of payments. (Iowa Code §316.9) The rights set out in this Statement are not claimed to be a full and complete list or explanation of an owner's rights under the law. They are derived from Iowa Code Chapters 6A, 6B and 316. For a more thorough presentation of an owner's 5 rights, you should refer directly to the Iowa Code or contact an attorney of your choice. This Notice is given by authority of the City Council of the City of Dubuque, Iowa. Published in the Telegraph Herald on the day of , 2011. Mailed to all affected Property Owners on the — day of , 2011. 6 Jeanne Schneider, City Clerk Description Estimated Cost Right -of -Way Property Acquisition $ 9,803,020 Total Project Cost Estimate $ 9,803,020 The anticipated project funding is summarized as follows: Fund Description American Recovery and Reinvestment Act Funding ESL -2100 (646)- -7S -31 Federal SAFETEA -LU Funding (80 %) STP -U -2100 (634)- -70 -31 City - Local Funding (10 %) County - Local Funding (10 %) Total Project Funding As part of the American Recovery and Reinvestment Act (ARRA), the City and County have committed all of the local transportation funding, $2.9 million, for the purchase of property for the Southwest Arterial. As of March 2011, the City expended all ARRA stimulus funding. ACTION TO BE TAKEN The City Council is requested to adopt the attached resolution setting the date for a public hearing on the City's intent to acquire or condemn if necessary property for the Southwest Arterial Project. Prepared by Robert Schiesl, Assistant City Engineer cc: Tim O'Brien, Assistant City Attorney Doug Bates, Iowa DOT Fund Amount $ 2,909,534 5,514,789 689,349 689,349 $ 9,803,020 Prepared by: James A. O'Brien 300 Main Street Suite 330, Dubuque IA 52001 563 589 -4381 Return to: James A. O'Brien 300 Main Street Suite 330, Dubuque IA 52001 563 589 -4381 RESOLUTION NO. 67 -11 SETTING A PUBLIC HEARING ON THE INTENT TO ACQUIRE OR CONDEMN IF NECESSARY PROPERTY FOR THE SOUTHWEST ARTERIAL PROJECT Whereas, Iowa Code § 6B.2A requires an acquiring agency to provide written notice of a public hearing to each owner of record of agricultural land that may be the subject of condemnation; and Whereas, the City Council finds that it may be necessary to acquire or condemn in whole or in part the following- described property for the Southwest Arterial Project: Parcel 124. The N 1 /2 of the NE 1/4 of the NE 1 /4 of Section 5, Township 88 North, Range 2 East of the 5 P.M., Lot 1 of Lot 1 of the SE'/ of the SE A/4 and Lot 2 of the NE Y4 of the SE 1 /4 and Lot 1 of Green Valley Farms, in Section 32, and the SW 1 4 of Section 33, in Township 89 North, Range 2 East of the 5 P.M., according to the United States Government Survey and the recorded plats thereof, subject to highway and easements of record; Parcel 130. Lot 3 of the NW 1/4 of the NE 1/4 of Section 5, Township 88 North, Range 2 East of the 5th P.M., and Lot 2 of the SW 1/4 of the SE 1/4 of Section 32, Township 89 North, Range 2 East of the 5thP.M., according to the United States Government Survey and the recorded plats thereof, subject to easements of record; Parcel 147. Lot 1 of Lot 2 of the SE 1 /4 of the NW 1/4, the SE 1 /4 of the SW 1 /4 and Lot 2 of Lot 1 of the NE 1 /4 of the SW in Section 4, Township 88 North, Range 2 East of the 5th P.M., located in Dubuque County, Iowa, according to the United States Government Survey and the recorded plats thereof; subject to highway and easements of record; Parcel 151a. West One (1) acre of the Northeast Quarter of the Northwest Quarter Section 11, T88N, R 2 E, 5th P.M.; West One (1) acre of the Southeast Quarter of the Northwest Quarter Section 11, T88N, R 2 E, 5th P.M.; Lot 2 of the East 39 acres of the Northeast Quarter of the Northwest Quarter Section 11, T88N, R 2 E, 5th P.M.; • Lot 2 of the East 39 acres of the Southeast Quarter of the Northwest Quarter Section 11, T88N, R 2 E, 5th P.M., all in Dubuque County, Iowa, according to the United States Government Survey and the recorded plats thereof; subject to highway and easements of record; Parcel 169s. Lot 2 of Wertzberger Acres #3; Lot 1 of Lot 1 of the NE %of the NE%; Lot 2 of the SE %of the NE 1/4, Lot of the NW 1 /4 of the NE 1 /4 and the SW % of the NE %, all in Section 14, Township 88 North, Range 2 East of the 5 P.M., located in Dubuque County, Iowa, according to the United States Government Survey and the recorded plats thereof; subject to highway and easements of record; Parcel 170. Lot 2 of Lot 3 of Archdiocese Place No. 2 at Key West in Section 11, Lot 2 of the NW % of the NE %, Lot 2 of Lot 1 of the NE 1 /4 of the NE % and Lot 1 of the SE % of the NE 1/4, in Section 14, Township 88 North, Range 2 East of the 5th P.M., located in Dubuque County, Iowa, according to the United States Government Survey and the recorded plats thereof; subject to highway and easements of record; Parcel 172. Lot 2 of Archdiocese Place No. 2; Lot 2 of Lot 1 of the SE1 /4 of the SE1 /4, Lot 2 of the SW1 /4 of the SE1 /4, Lot 2 of the NW1 /4 of the SE1 /4 and Lot 2 of Lot 7 of the NE1 /4 of the SE1 /4, all in Section 11, Township 88 North, Range 2 East of the 5th P.M., located in Dubuque County, Iowa, according to the United States Government Survey and the recorded plats thereof; subject to highway and easements of record; Parcel 173. Lot 3 of Lot 1 of Archdiocese Place No. 2 in Key West, in Dubuque County, Iowa, according to the recorded plat thereof; subject to easements and agreements of record; Parcel 174. Lot 1 of Lot 1 of Archdiocese Place No. 2 in Key West, in Dubuque County, Iowa, according to the recorded plat thereof; subject to easements and agreements of record; Parcel 184. Lot C of Tamarack S.E. Fourth Subdivision in Section 14, Township 88 North, Range 2 East of the 5th P.M., Dubuque County, Iowa, according to the United States Government Survey and the recorded plat thereof; subject to easements and restrictions of record; Parcel 187. Lot 1 of Lot 2 of the SE % of Section 14, Township 88 North, Range 2 East of the 5 P.M., in Dubuque County, Iowa, according to the United States Government Survey and the recorded plats thereof; subject to highway; and Whereas, the owner of the Parcel 124 is Sharon L. Bradley, trustee of the Sharon L. Bradley Trust dated March 25, 2004; and Whereas, the owner of the Parcel 130 is Robert W. Bradley, trustee of the Robert W. Bradley Trust dated March 25, 2004; and Whereas, the owner of the Parcel 147 is Betty Jean Siegert Tigges; and Whereas, the owner of the Parcel 151a is John L. Knepper; and Whereas, the owner of the Parcel 169s is River City Development Group, LLC; and Whereas, the owner of the Parcel 170 is Connie F. Simon; and Whereas, the owner of the Parcel 172 is Mt. Olivet Cemetery Association; and Whereas, the owners of the Parcel 173 are Michael D. Lambert and Chris A. Lambert; and Whereas, the owners of the Parcel 174 are David L. Lambert and Shirley A. Lambert; and Whereas, the owner of the Parcels 184 and 187 is Jon D. Lucksted; and Whereas, a public hearing should be set on the City's intent to commence a public improvement project for the Southwest Arterial and to acquire or condemn, if necessary, Parcels 124, 130, 147. 151a, 169s, 170, 172, 173, 174, 184 and 187; and Whereas, notice of the public hearing should be published and mailed as required by law to the owners of Parcels 124, 130, 147, 151a, 169s, 170, 172, 173, 174, 184 and 187. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA, AS FOLLOWS: The City Clerk is hereby authorized and directed to cause a notice in the form attached hereto to be mailed to each of the owners and published as prescribed by Iowa Code § 6B.2A of a public hearing on the City's intent to commence a public improvement project for the Southwest Arterial and to acquire or condemn in whole or in part, if necessary, Parcels 124, 130, 147, 151a, 169s, 170, 172, 173, 174, 184 and 187, to be held on the 4th day of April, 2011, at 6:30 o'clock p.m. at the City Council Chambers 350 W. 5 St., Dubuque, Iowa. Passed, approved and adopted this 3rd day of March, .- ' 11. ,n ttest: Jeanne F. Schneider, City Clerk Roy D. oI, Mayor Legend SW Arterial Properties Legend SW Arterial Properties City /County /State -owned Property Purchased In Process On Hold Dubuque City Limits