REPORT TO THE CITY COUNCIL
FROM: SCOTT L. MOZIER, PE, Director
Public Works Department
RANDALL W. MORRISON, PE, Director
Capital Projects Department
BY: ANDREW J. BENELLI, PE, Assistant Director
Public Works Department
NANCY BRUNO, Supervising Real Estate Agent
Capital Projects Department, Capital Administration Division
SUBJECT
Title
Actions pertaining to the acquisition of fee interest and a permanent street easement and right of way for the construction of a storm drain pipeline along the McKinley Avenue alignment between Armstrong Avenue and Laverne Avenue (Council District 7)
1. HEARING to consider a resolution of public use and necessity for acquisition of fee interest and a permanent street easement and rights of way for public street purposes over, under, through and across portions of Assessor’s Parcel Number (APN) 574-130-05, owned by Sukhwinder Singh, for the construction of a storm drain pipeline between Armstrong Avenue and Laverne Avenue (Project)
2. ***RESOLUTION - Determining that public interest and necessity require acquisition of fee interest and permanent easement and rights of way for public street purposes over, under, through and across portions of APN 574-130-05, owned by Sukhwinder Singh, a married man as his sole and separate property, for the construction of a storm drain pipeline between Armstrong Avenue and Laverne Avenue and authorizing eminent domain proceedings for public use and purpose (Requires 5 Affirmative Votes) (Subject to Mayor’s Veto)
Body
RECOMMENDATIONS
Staff recommends that the City Council (1) Conduct a public hearing to consider the adoption of a resolution of public use and necessity for the acquisition of 3.03 acres of property in fee-simple title, and 1.21 acres of property in permanent street easement for the construction of a storm drain pipeline between Armstrong Avenue and Lavern Avenue from 2045 North Armstrong Avenue (APN 574-130-05), owned by Sukhwinder Singh, and (2) Adopt the attached resolution of public use and necessity, which states the public interest and necessity require fee acquisition and permanent street easement for public street purposes over, under, through and across real property for the construction of a storm drain pipeline along the McKinley Avenue alignment between Armstrong Avenue and Laverne Avenue; and authorize an eminent domain action to acquire the fee portion and permanent street easement pursuant to the California Code of Civil Procedure.
EXECUTIVE SUMMARY
McKinley Avenue does not currently exist between Clovis Avenue and Temperance Avenue, but is under construction at two locations. The City’s General Plan Circulation Element stipulates that the missing segment of McKinley Avenue will be constructed as a collector street. On December 8, 2016, the City Council approved the Official Plan Line for East McKinley Avenue between North Sunnyside and North Temperance Avenues pursuant to the Fresno General Plan Land Use and Circulation Map. Significant residential development has occurred in the area by Armstrong Avenue and the future extension of McKinley Avenue. Fresno Metropolitan Flood Control District (FMFCD) owns a detention basin (Basin BS) near the intersection of Laverne Avenue and McKinley Avenue. The McKinley Avenue right of way is needed to allow FMFCD to complete the storm drain collection system in this area, which will provide permanent drainage service to several neighborhoods served only by small temporary basins.
BACKGROUND
Significant residential development has been built on the east side of Fresno in the last ten years. Most of the subdivisions south of Shields Avenue and east of Fowler Avenue are designed to have the storm water conveyed to an existing basin (Basin BS) on the southeast corner of Fowler and McKinley Avenues. The developments have been responsible for the installation of inlets and main storm-drain pipes within the subdivisions. Most of the collection system has been installed. FMFCD’s Master Plan stipulates that a 72-inch pipeline will be built in the future McKinley Avenue right of way to connect to Basin BS. FMFCD has funds to complete the final pipeline to Basin BS and has agreed to install the pipe as soon as the right of way is acquired.
All the subdivisions in FMFCD Drainage Area BS have temporary basins. These temporary basins reached maximum capacity after heavy storms in early 2023. Emergency pumps were deployed, and storm water was pumped into canals, open fields, and areas with inlets that flow to Basin BS. Had the City’s Public Works Department not taken immediate action to assist in removing water from the developer-maintained temporary basins, homes would have been flooded. Completion of the large pipeline to connect the existing collection system to Basin BS is a high priority for FMFCD, the Public Works Department, and the residents of neighborhoods served only by temporary basins.
City staff have conducted several meetings with the property owner, Mr. Sukhwinder Singh, to discuss purchasing the street right of way from a portion of the eleven-acre parcel. The property owner lives on the property in a home that is close to Armstrong Avenue. Behind the home (west of the homesite), the property owner leases the property to a farmer that grows annual crops. The right of way purchase and construction of the storm drain pipeline and McKinley Avenue will not impact the primary residence or the surrounding landscaping. The acreage that is available for farming will be reduced in size from about ten acres to less than six acres. The property has an existing agricultural well and irrigation lift-pump that are in the area to be acquired for street right of way.
The City retained The Dore Group to prepare an appraisal of the McKinley right of way that is needed from the Singh property. They determined the total value to be $924,000. The land value without the cost to cure was established as $647,252, and the cost to cure was set at $276,645. The cost to cure appraisal includes funds to replace the agricultural well and the irrigation lift-pump, the loss of revenue from the farm lease and the funds to reconstruct the irrigation delivery system.
City Real Estate staff mailed a formal offer to the property owner on May 24, 2023, but the City did not receive a response to the offer letter. A second letter was sent on July 5, 2023. The property owner then contacted City staff on August 17th, and a meeting was held with Mr. Singh and his family on August 21st. The property owner has indicated his disagreement with the appraisal amount. The right-of-way is required as quickly as possible, in order that the storm drain pipeline can be installed before the winter rainy season. Staff will continue in their efforts to negotiate the terms of the purchase with the property owner in parallel with seeking the order of possession. However, it is important that the City Council approve the attached Resolution of Necessity to allow for a hearing date to be set with the courts, so that an order of possession can be obtained.
The City Attorney’s Office has reviewed and approved this item as to form.
ENVIRONMENTAL FINDINGS
On December 8, 2016, the City Council Adopted a Finding of Conformity to the to the Fresno General Plan Master Environmental Impact Report (MEIR #2012111015) for the McKinley Avenue Official Plan Line. Environmental Assessment No EA.16-023 was filed with the County Clerk’s office on September 16, 2016.
LOCAL PREFERENCE
Local preference was not considered because this agreement does not include a bid or award of a construction or services contract.
FISCAL IMPACT
The McKinley Avenue right of way will be purchased with revenue generated by Major Street Impact Fees. Funds for this purchase were allocated in the Fiscal Year 2024 Budget. No General Funds will be used for this land acquisition.
Attachment(s):
Resolution
First Written Offer with Agreement for Purchase and Sale
Deed of Easement
Grant Deed
Vicinity Map
Location Map