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HomeMy WebLinkAboutResolutions R23-03-644 - 03/20/2023 - ROW Acquisition Policy1 1 I STATE OF GEORGIA COUNTY OF FULTON RESOLUTION NO. R23-03-644 A RESOLUTION TO ADOPT A CITY OF MILTON RIGHT OF WAY ACQUISITION POLICY BE IT RESOLVED by the City Council of the City of Milton, Georgia while in Regular called Council meeting on the 20'h day of March, 2023 at 6:00 p.m. as follows: SECTION 1. That the Right of Way Acquisition Policy for the City of Milton, attached hereto and incorporated herein by reference as Exhibit "A," is hereby adopted and approved; and, SECTION 2. That all resolutions in conflict herewith are hereby repealed. SECTION 3. That this Resolution shall become effective upon its adoption. RESOLVED this 20th day of March 2023. Attest: '�rammy LONIT, Pey Jamison, Mayor MILTON'k Public Works Department STANDARD OPERATING PROCEDURES SOP NUMBER: PW-23-002 SOP TITLE: Right of Way Acquisition Policy AUTHOR(S): Sara Leaders EFFECTIVE DATE: 3/21 /23 ISSUE DATE: 3/21 /23 REVISION DATE: Not applicable COUNCIL APPROVAL: PURPOSE This Standard Operating Procedure (SOP) establishes the policy and process for locally -funded land acquisition for capital projects managed by the Public Works department. SCOPE This SOP is a mandatory document unless otherwise specified and will be followed by all internal staff and consultants. This SOP applies to locally -funded projects only. Projects involving state and federal funding will follow Georgia Department of Transportation's required policy and process. DELIVERABLES The City Manager or designee is responsible for ensuring that staff follow this procedure and understand the SOP's objectives. There are multiple approval steps for staff and the elected officials which will require multiple agenda items initiated by staff. RESPONSIBILITIES All City staff who are involved in any step of design, land acquisition or construction of capital projects delivered by the Public Works Department will adhere to this policy and follow each step in this process. Each project shall have a Project Manager designated by the Public Works Director. The Project Manager's responsibility is to implement this process. DEFINITIONS Acquisition Budget - A lump sum total of fair market value (FMV), plus cost to cure, plus administrative negotiation for each parcel within a capital project. Acquisition Team - Consultant that works alongside City staff and City attorney to complete land acquisitions. Administrative Negotiation - A methodology established in executive session as a discussion between Public Works, Mayor and Council and City Attorney that MILTON*t Public Works Department STANDARD OPERATING PROCEDURES determines values above FMV that staff may use to negotiate a settlement in land acquisition. Appraisal - Formal document prepared by a certified general appraiser to determine value of land acquisition. Blanket Right of Way Agreement - Acquisition plan and budget for the capital project. Capital Projects - Improvement projects that require designs, plans, bids, and construction and sometimes require land acquisition. Cost Estimate - Use of comparable sales to determine value for land acquisition; a method of property valuation that it less formal than an appraisal. Cost to Cure - The value to restore a parcel and "cure" any damages that are a result of the project's acquisition, and this value is added to the land acquisition value as part of the FMV of the appraisal. Counteroffer - A response from the parcel owner for a value that exceeds FMV. Executive Session - A portion of a Council Meeting closed to the public to discuss land acquisition. Fair Market Value (FMV) - The value of a project's impact to real property that the parcel owner is entitled to recover make the property owner whole as determined by a 3rd party certified general appraiser. Land Acquisition - May include some or all of the following: Fee simple right of way/land, permanent easements for maintenance, or temporary easements for construction, any of which may be necessary to complete a capital project. Parcel - A property where land or easement is needed to complete a capital project. Purchase Agreement -The document that summarizes the terms of the settlement for land acquisition and is signed by the parcel owner and the City. PROCEDURES Pre -Acquisition Process • The engineer of record will finalize the project footprint showing all project impacts to parcels abutting the City's right-of-way and will provide the acquisition team the necessary plan sheet information and right of way tables. • The acquisition team will coordinate with the City Attorney to complete title searches to verify ownership of the impacted parcels as reflected on the right of way plans. • The acquisition team will update any prior right of way cost estimate with the latest impacts. • Based on the cost estimate: MILTON*t Public Works Department STANDARD OPERATING PROCEDURES • Parcels with impacts valued up to $15,000 and no complex issues, the cost estimate will be used to establish FMV. • Parcels with impacts valued more than $15,000 or with complex issues, an appraisal of the property impacts will be performed by a third -party licensed general appraiser contracted by the acquisition team. • Any parcel owner, regardless of estimated value, may request an appraisal and such request overrides the policy that allows the cost estimate for impacts valued at $15,000 or less; if requested by the property owner, the City shall complete an appraisal for that project parcel. • No property may be condemned without an appraisal. • Once all parcel impact estimates are complete, Public Works staff will apply an administrative negotiation factor to all parcels, add them together, and bring a Blanket Right of Way Acquisition Agreement to a Council Meeting for approval as a New Business item. • This agenda item will also serve as the final review of the project location and design. Donations • When a capital project creates a direct benefit to a parcel and/or when the owner and the City both have a vested interest in the project, the City may seek a donation of land acquisition. • Parcel owners will always retain the ability to indicate their desire to waive the appraisal/compensation processes and agree to donate the property to the City for the betterment of this community. • Parcel owners are always entitled to just and adequate compensation based on an opinion of value estimate, including any damages to the remainder property, if any. • If the owner seeks impact fee credits for land donations on eligible capital projects, the cost estimate value will be used to determine amount contributed to the project. • An appraised value can be used if provided by the owner and that value is reviewed and approved by the Public Works Director. • The Public Works Director will coordinate with the Community Development Department on processing and presenting any the impact fee credits. Acquisition Process • Once the blanket right of way agreement is approved by the City Council, the acquisition team will begin making offers to parcel owners at FMV. 4 MILTON'* Public Works Department STANDARD OPERATING PROCEDURES • Any offer that is accepted by the parcel owner at or below FMV + administrative negotiating value will be accepted with the Public Works Director's countersignature on the purchase agreement and such acquisition will be moved into the closing phase by City Attorney. • Any counteroffer by a parcel owner that is above FMV + administrative negotiating value will be discussed in Executive Session with Mayor and Council, Public Works and City Attorney. Any counteroffer that is above FMV + administrative negotiating value and accepted by the City in Executive Session will be placed onto a future Council Meeting agenda as a Consent item. • Once this item is approved, the Mayor signs the purchase agreement and the parcel will move into closing phase by City Attorney. • Negotiation between the parcel owner and the City will continue until an offer is accepted by both parties or the City decides to initiate the eminent domain process. Condemnation • If a timely agreement is not reached, the City will initiate the eminent domain process. • Staff and City Attorney will place a new business item on a Council agenda for consideration of a resolution to condemn the property rights needed. • Upon approval of the resolution, City Attorney will file necessary documents with the Court and the City will pay the FMV amount based on a current appraisal (not more than 12 months old) into the Court's registry. • After the land has been acquired by the City through eminent domain, negotiations will continue until a settlement amount is approved by all parties or the final amount owed to the parcel owner is determined by the Court. Required Council Action Points • Staff will initiate a discussion in executive session every two (2) years in January after local elections are complete to determine if there are any changes to the previous methodology for administrative negotiation. • Council will consider the blanket right of way agreement as a new business item for capital projects requiring land acquisition. • Any parcel discussed and agreed on in executive session shall be placed on a published agenda for a regular Council meeting for consideration/approval. • Any parcel that does not reach and agreement will be presented as a new business item for a resolution to condemn, if needed. MILTON'M Public Works Department STANDARD OPERATING PROCEDURES APPROVED BY: Sara Leaders Public Works Director DATE: COUNCIL APPROVAL: I Approved by Resolution No.