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SR - - PURCHASE PROPERTY 811 EAST LINCOLN AVENUEAGENDA ITEM s •. 4 May 13, 2014 �bU c TO: Honorable Mayor and Members of the City Council THRU: John W. Sibley City Manager FROM: Joe DeFrancesco, Public Works Dir ctor ReviewedNerified B City Manager Finance Dir ctor To Be Prese By: Jo eFrancesco X Cons Calendar V City Mgr Rpts Council Reports _ Legal Affairs Boards /Crates _ Noticed Hrgs Admin Reports Plan/Environ 1. SUBJECT Purchase of property at 811 E. Lincoln Avenue for the purpose of street widening, sidewalk installation, and storm drain improvement. 2. SUMMARY This parcel is necessary for the ultimate widening of Lincoln Avenue, the installation of a sidewalk, and storm drain improvement. 13. RECOMMENDED ACTION Authorize the Mayor and City Clerk to execute escrow and related documents concerning the purchase of property at 811 E. Lincoln Avenue for the purpose of widening Lincoln Avenue, the installation of a sidewalk, and storm drain improvement. Purchase price is $372,600, plus related escrow costs. 14. FISCAL IMPACT Funds are available in the following accounts: 272.5011.56330.20072 (Gas Tax - Lincoln Avenue Improvement) $ 83,344 550.5011.56330.20072 (HSIP Grant - Lincoln Avenue Improvement) $ 636,478 15. STRATEGIC PLAN GOAL(S) 1 d. Provide for a safe community — Assure the development of the City occurs in a fashion that maximizes public safety. 2d. Be a fiscally healthy community — Effectively manage and develop City assets. ITEM # 3631 1 5/13/14 0' Printed on Recycled Paper 6. GENERAL PLAN IMPLEMENTATION Infrastructure Element Goal 3.0 Ensure adequate maintenance of public rights -of -way to enhance public safety and improve circulation. Policy 3.1: Continue to maintain and repair sidewalks and pavement surfaces on public rights - of -way. 7. DISCUSSION and BACKGROUND The subject property extends into the west bound side of Lincoln Avenue between Olive Avenue and Orange -Olive Road. This creates a dangerous situation for ingress and egress to the westerly adjacent property. In 2011, Public Works Engineering obtained $679,000 grant from Highway Safety Improvement Program (HSIP) to widen the street and install sidewalk. The proposed improvement will improve the safety of Lincoln Avenue at the subject property location. The City needed to acquire 2,372 square feet of property from 811 E. Lincoln Avenue. Part of the right -of -way purchase includes acquisition and demolition of the existing office building. Staff proceeded with obtaining a real estate appraisal and a relocation benefit appraisal under the Federal Uniform Relocation Act by licensed appraisers. Staff also got a bid for the demolition of the office building. The results of those appraisals are as follows: Purchase of real property and temporary construction easement $ 281,500 Demolition and removal of office building $ 28,900 Relocation benefits per the Federal Uniform Relocation Act $ 62,200 TOTAL COMPENSATION $ 372,600 Staff offered the property owner the total appraised amount ($372,600) as just and fair compensation for the subject property and for the demolition and removal of the office building. The property owners accepted the offer and have agreed to this amount as total compensation. Tonight's action by the City Council will approve the purchase of the subject property and authorize the Mayor and City Clerk to execute escrow and related documents. The purchase price is $372,600, plus related escrow costs. 8. ATTACHMENTS • Location map. • Purchase offer letter. • Preliminary title report. JD;mw;ly NAPublic Works\ADMIN\ADMIN \LYoung \Council Items \COLINCIL\May - 2014 \5- 13\Agenda - Bronco Roofing purchase.doc 2