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HomeMy WebLinkAboutResolutions R23-06-654 - 06/19/2023 - Amend & Revise the City of Milton ROW Acquisition PolicySTATE OF GEORGIA COUNTY O F FULTON RESOLUTION NO . R23-06-654 A RESOLUTION TO AMEND AND REVISE THE CITY OF MILTON RIGHT OF WAY ACQUISITION POLICY BE IT RESOLVED by t he City Council of the City of Milton, Georgia, while in a Regular ca ll ed Council meeti ng on the 19th day of Ju ne, 2023 , at 6:00 p.m. as follows: SECTION 1. Th e Mi lton City Council previously approved and adopted a Right of Way Acquisition Policy on or about March 20 , 2023. SECTION 2 . The amendments and rev isions t o the Right of Way Acquis it io n Policy fo r the City of Milton, attached hereto and incorporated herein by reference as Ex hi bit "A," are hereby adopted and approved . SECTION 3. A ll reso lutions in conflict herewith are here b y re p ea led. SECTION 4 . Th is Resolution shal l become effective upon its adoption . RESOLVED this 19th day of June 2023. A tt est: MILTON~ Public Works Dep art ment STANDARD O PERAT IN G PR OC EDUR ES SOP NUMBER: PW-2 3-0 02 SOP TITLE: Righ t of Way Acquisition Pol icy AUTHOR(S): Sara Leaders EFFECTIVE DATE: 3/21 /23 ISSUE DATE : 3/21 /23 REVISION DATE : 6/19/23 COUNCIL APPROVAL : 3/20/23 PURPOSE This Standard Operating Procedure (SOP) establishes t he policy and process for locally-funded land acquisition for capital projects managed by the Publ ic Works department. SCOPE This SO P is a mandatory document unless otherwise specified an d will be followed by all intern al staff and consu lta nts . Th is SOP applies to locally-funded projects on ly. Projec t s involving st ate and federal funding will follow Georgia Depart ment of Transportation 's required policy and process . DELIVERABLES The City Manager or designee is respons ib le for ensuring that staff follow th is procedure and u nderstand the SOP 's objectives . There are multip le approval steps for staff and the e lected officials which will require m ul tiple agenda items initiated by st aff. RESPONSIBILITIES All City staff who are involved in any step of design , land acquisition or construction of capital projects delivered by the Publ ic Works Department will adhere to this policy and fo ll ow each step in this process. Each p roject shall have a Project Manager designated by the Public Works Director. The Project Manager's responsibility is to implement this process . DEFINITIONS Acquisit ion Budget -A lump sum total of fair market value (FMV), plus cost to cure, plus negotiati on t hresholds for each parce l within a capital project. Acquisition Team -Consultant that works alongside Ci ty staff and City attorney to complete land acquisitions . Administrative Negotiation - A methodology tha t allows for the acquisition team and public works staff to consider justified counteroffers up to established negot iation MILTON~ Public Works Department STANDARD OPERATING PROCEDURES thresholds that determines limits above FMV that staff may use to negotiate a settlement in land acquisition. Administrative Settlement Analys is -The acquisition team prepares this document for any counteroffer over FMV to justify the request. Appraisal -Formal document prepared by a certified general appraiser to determine value of land acquisition. Blanket Right of Way Approval -Acquisition plan and budget for the capital project that is presented to City Council for approval as an agenda item. 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 that it less formal than an appraisal and used for impacts valued up to $15 ,000. 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 FM V. 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 in order to make the property owner whole as determined by a 3rd party certified general appraiser or using a cost estimate. Justified Counteroffer -A request from a property owner that is proven acceptable through an Administrative Settlement Analysis. 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 comp lete a capital project. Negotiation Thresholds -The set values for limits above FMV that may be applied, only if justified , to reach a settlement agreement for acquisition. 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. y MILTON ~ Public Works Department STANDARD OPERATING PROCEDURES • The acquisition team wil l 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 : • Parcels with impacts valued up to $ l 5,000 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. A dministra t ive Negot iati on • The negotiating thresholds are established to al low staff approval of purchase agreements without the need for executive session discussion and individual council agenda items for each parcel considered for acquisition . • Once all parcel impact estimates are complete, Public Works staff will determine the project acquisition plan and budget by app lying an administrative negotiation factor to all parcels based on the fol lowing criteria: • If FMV < $ l 0,000 , up to double • If FM V > $ l 0,000 , either $10 ,000 or 10% (whichever is greater) • Public works staff wil l add together all FM Vs and negotiation thresholds for the acquisition budget. • Public works staff will present the consideration of a Blanket Right of Way Acquisition Approval at a City Council Meeting as a New Business item. • This agenda item will also serve as the final review of the project location and design. • This wil l authorize all FMV offers and justified counteroffer set tl ements within negotiating thresholds and approved acquisition budget. Donati ons • 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. MILTON~ Public Works Department STANDARD OPERATING PROCEDURES • 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 • The acquisition team will begin making offers to parcel owners at FMV. • 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 threshold will be discussed in Executive Session with Mayor and Council, Public Works and City Attorney. • Any counteroffer that is above FMV + administrative negotiating threshold 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. • The parcel will be discussed in executive session before moving forward with process. MILTON~ Public Works Department STANDARD OPERATING PROCEDURES • Staff will send the property owner a 10-day letter outlining the final offer to reach a settlement and allows for 10 days before the City moves forward with condemnation. • 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 • Council will consider the blanket right of way approvals 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. APPROVED BY: Sara Leaders Public Works Director DATE: COUNCIL APPROVAL: First Approved by Resolution No. R23-03-644 Revision Approved by Resolution No.