REPORT TO THE CITY COUNCIL
June 4, 2015
FROM: SCOTT L. MOZIER, PE, Director
Public Works Department
THROUGH: ANDREW J. BENELLI, PE, City Engineer/Assistant Director
Public Works Department, Traffic and Engineering Services Division
JILL GORMLEY, TE, City Traffic Engineer/Division Manager
Public Works Department, Traffic and Engineering Services Division
BY: ALAN JAMES, Supervising Engineering Technician
Public Works Department, Traffic and Engineering Services Division
SUBJECT
Title
HEARING pertaining to the vacation of a portion of public rights-of-way at the northeast corner of N. Blackstone and E. Shields Avenues and related purchase agreement with Omninet Properties Manchester Center, LLC (Council District 7)
1. ***RESOLUTION - Ordering the vacation of a portion of public street and pedestrian walkway rights-of-way at the northeast corner of N. Blackstone and E. Shields Avenues
2. Adopt agreement for purchase and sale of property with Omninet Properties Manchester Center, LLC.
Body
RECOMMENDATIONS
Staff recommends the City Council conduct the required public hearing and, at the close of the hearing, adopt the attached resolution ordering the vacation of a portion of public street right-of-way at the northeast corner of North Blackstone and East Shields Avenues adjacent to Manchester Center as described in Exhibit "A" and shown on Exhibit "B" of the attached Resolution, and a portion of public pedestrian walkway right-of-way on the north side of Shields east of Blackstone, as described in Exhibit "C" and shown on Exhibit "D" of the attached resolution and authorize the Public Works Director or designee to execute a Quitclaim deed to the adjacent owner. Staff further recommends the City Council approve a purchase and sale agreement transferring the excess right-of-way to Omninet Properties Manchester Center, LLC, in exchange for the construction of certain temporary and permanent street improvements.
EXECUTIVE SUMMARY
As part of an overall master plan to revitalize Manchester Center, Omninet Properties Manchester Center, LLC (Omninet Properties) is requesting the proposed vacation to eliminate a dedicated right turn lane that is no longer functionally necessary. As part of the City of Fresno grant-funded intersection improvement project, the sweeping free right turn will be eliminated, with the new intersection to have a second left turn lane on Shields and a traditional right turn lane as part of a smaller intersection footprint. Sale of the excess right-of-way will accommodate additional parking proposed at Manchester Center by Conditional Use Permit No. C-14-111.
The purchase and sale agreement will transfer the excess right-of-way to Omninet Properties in exchange for Omninet Properties constructing temporary and permanent street and frontage improvements at the corner of Blackstone and Shields.
BACKGROUND
Omninet Properties' master plan for the center includes the construction of an 8,000 square foot building which will accommodate three tenants, reconfiguration of the parking lot to maximize onsite parking, creation of an events area on the east side of the site and a complete redo of center's façade and signage. The proposed plans for Manchester Center are consistent with the goals of the Fresno General Plan serving as a key Activity Center along the proposed Bus Rapid Transit corridor. Investment at this Activity Center will enhance mobility; improve aesthetic conditions along the corridor and increases economic activity at this key intersection.
In conjunction, the Public Works Department has a capital improvement project planned for the Blackstone and Shields intersection. On November 21, 2013, the Council adopted Resolution No. 2013-197, authorizing a number of grant applications to the Fresno Council of Governments (Fresno COG) for Federal Congestion Mitigation Air Quality (CMAQ) funding, including the Blackstone and Shields project. This grant project has been approved for funding through Fresno COG, Caltrans and the Federal Highway Administration, as well as by the Council through the annual budget approval. The scope consists of the installation of dual left-turn lanes on eastbound and westbound Shields plus the removal of the free right-turn lanes on all of the intersection corners, replacing them with traditional right turn pockets. Eliminating the free right-turn lanes provides room for the dual left-turn lanes and also provides more roadway width so that u-turns can be allowed. Removing the free right-turn lanes also significantly improves pedestrian safety.
Omninet Properties would like to move forward with its improvements to the center now, but the City is still in the planning and design phase for improvement of the entire intersection. So, to facilitate the center's immediate need, the City will vacate and quitclaim excess right-of-way adjacent to the center to square off the corner, and transfer the excess right-of-way to Omninet Properties. In exchange for the property, Omninet Properties will construct temporary improvements at the Northeast corner of Blackstone and Shields to maintain a westbound left turn lane, two westbound through lanes, and a westbound right turn lane during on-site construction. The estimated cost of these improvements is equivalent to the appraised value of the property being transferred ($80,000).
Additionally, Omninet Properties will construct permanent frontage improvements consisting of permanent curb, gutter, and sidewalk improvements consistent with the City's intersection improvement project. Omninet Properties will receive a credit against applicable Traffic Signal Mitigation Impact (TSMI) fees for the cost incurred for the permanent improvements that are included in the fee program. Credit shall be for the actual cost of the improvements, but not to exceed $180,000, and may be applied to any TSMI fees owed by Omninet Properties until exhausted.
A portion of the public street right-of-way proposed to be vacated was acquired by the State of California for State Route 41 in fee simple title, and was relinquished to the City in 1983. The remaining portion of the public street right-of-way and public pedestrian right-of-way were dedicated to the City as easements.
The attached resolution authorizes the Public Works Director or designee to execute a quitclaim deed for the entire fee simple title portion of the intersection to Omninet Properties prior to the vacation being recorded.
On April 25, 1985, the Council adopted a policy on fee-title vacations that requires the owner of the property adjacent to the area to be vacated to pay the City the same amount that was originally expended for the purchase of the area to be vacated. According to the policy, in the case where the original price paid for the right-of-way to be vacated cannot be determined, staff is to determine an appropriate value. The area being quitclaimed is 13,951 square feet, while 7,377 square feet will remain an easement for public street purposes, resulting in a net area of 6,574 square feet. Omninet Properties will be providing improvements equal in value to the property it is receiving, per the terms of a purchase agreement. The developer will be depositing 10% at the time the purchase agreement is approved.
The Traffic and Engineering Services Division, other City departments, and utility agencies have reviewed the proposed vacation and determined that the rights-of-way proposed for vacation are unnecessary for present or prospective public street or pedestrian walkway purposes subject to: (1) the reservation of a public utility easement over the entire portion of the public street right-of-way being vacated, (2) the removal of public street improvements from the areas proposed to be vacated, and (3) the construction of curb, gutter, sidewalk, street lights and any other required improvements to City of Fresno Public Works Department Standards with street improvement plans approved by the City's Traffic and Engineering Services Division and other affected departments and agencies.
On May 14, 2015, the Council adopted Resolution of Intention No. 1098-D, setting the time and place for the public hearing at 10:15 a.m. on June 4, 2015, in the Council Chambers at Fresno City Hall. The public hearing has been duly noticed in accordance with the Public Streets, Highways, and Service Easements Vacation Law.
The City Attorney's Office has approved the attached resolution as to form.
The vacation, if approved by the Council at the public hearing, will become effective when the vacating resolution is recorded in the office of the Fresno County Recorder, but not until the City Engineer determines that the conditions specified in the attached resolution have been satisfied and the required improvements are accepted by the City. All work required by such conditions shall be completed in compliance with City Standard Specifications and will require engineered construction plans prepared by a registered civil engineer and approved by the Public Works Department.
The applicant's proposed plans for development would require modification if the vacation is denied.
ENVIRONMENTAL FINDINGS
This project was previously assessed and determined to be within the scope of the Master Environmental Impact Report (MEIR) SCH No. 2012111015 prepared for the new Fresno General Plan Update adopted by the Fresno City Council on December 18, 2014. The Finding of Conformity was adopted by the City on March 30, 2015, in connection with Conditional Use Permit Application No. C-14-111. This approval is to implement a portion of that project.
LOCAL PREFERENCE
Not applicable because the vacation of public right-of-way does not involve bidding or contracting.
FISCAL IMPACT
There will be no City funds involved with this vacation. Omninet Properties has paid all processing fees to cover staff cost in accordance with the Master Fee Schedule.
Attachments: Vicinity Map
Proposed Quitclaim Deed
Resolution
Purchase Agreement