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HomeMy WebLinkAbout2006-02-14 - AGENDA REPORTS - INTERSTATE 5 PHASE II S1003 (2)PUBLIC HEARING Agenda Item: 16 CITY OF SANTA CLARITA AGENDA REPORT City Manager Approval: Item to be presented by: DATE: February 14, 2006 SUBJECT: INTERSTATE 5 AT MAGIC MOUNTAIN PARKWAY, PHASE II IMPROVEMENTS, PROJECT NO. 51003 - RESOLUTION OF NECESSITY, NATIONAL CREDIT TENANT INVESTMENT LLC DEPARTMENT: Public Works RECOMMENDED ACTION City Council conduct the public hearing and adopt a resolution authorizing the condemnation proceedings necessary for the right-of-way acquisition for the right-of-way improvements associated with Magic Mountain Parkway/I-5 Intersection Improvements Phase II, Project No. 51003; authorize the deposit of $460,500 from Account No. S1003304-8001 to the Los Angeles County Superior Court to initiate immediate taking proceedings; and authorize the City Manager or designee to execute all documents, subject to City Attorney approval. BACKGROUND On May 24, 2005, the City Council authorized the City to enter into an agreement with Newhall Land to fund construction of the Magic Mountain Parkway/I-5 Intersection Improvements. The City is the lead agency in the Magic Mountain Parkway/I-5 Phase II project. This project will consist of reconstruction of the interstate ramps, widening of Magic Mountain Parkway from The Old Road to the proposed northbound ramps, and realignment and widening of The Old Road from approximately 550 meters south of to 450 meters north of Magic Mountain Parkway. This project is being designed by Newhall Land with the City and Caltrans providing design and right-of-way oversight. The project requires property from the owner, National Credit Tenant Investment LLC, a fee acquisition of 2,725 square feet. The required property is used as landscaping and parking for Marie Callender's Restaurant. No buildings are located on the required property. Negotiations with the property owner have not resulted in acquisition of the property. The original offer of $88,000 was presented to the property owner on May 11, 2005. This offer was based on an appraisal dated March 30, 2005. An updated appraisal conducted on January 16, 2006, valued the total just compensation at $460,500. A second offer was presented to the property owner on January 27, 2006 for $460,500. Pursuant to California Government Code Sections 7267.2, 37350, and 40401 et seq., and California Code of Civil Procedure Section 1230.010 et seq., and Section 19, Article I of the California Constitution, and other authorities, the City of Santa Clarita is authorized to acquire property interests by eminent domain, provided certain procedural steps are followed. The Director of Community Development has found this acquisition to be consistent with the City's General Plan. The Notice of Hearing was timely and duly noticed. A copy of the Notice of Hearing is attached, showing that the notice was given in accordance with the applicable statutes. Adoption of this resolution requires four of the five City Councilmembers to vote affirmative. As is the case for every proposed condemnation by the City, staff will continue to negotiate with the property owner to reach a settlement. At this time, however, City staff believes that it is important to move the official processes forward, so that improvements may begin, and allow for a higher level of service to motorists in the area. To the extent that the City is able, and for adequate consideration (i.e., fair market value), City staff will use its best efforts to convey to the owner an interest in the surplus frontage created with the relocation of The Old Road. Possible uses would conceptually include additional parking and landscaping. ALTERNATIVE ACTIONS Other action as determined by the City Council. FISCAL IMPACT The final expense of litigation associated with the condemnation action is unknown as this time. Although funds for the deposit of $460,500 are available in Account No. S1003304-8001, staff anticipates an immediate fiscal impact for the litigation expenses. However, in accordance with the agreement with Newhall Land that was executed on October 25, 2005, the developer has agreed to reimburse the City for all costs associated with this project, including litigation. ATTACHMENTS Notice of Hearing Resolution Legal Descriptions and Maps January 30, 2006 Attn: Mr. Mike Geiger National Credit Tenant Investment, LLC 2301 Dupont Drive, Suite 100 Irvine, CA 92612 CERTIFIED MAIL Subject: 27630 The Old Road, Valencia, California APN 2826-037-009 Dear Owner(s): YOU ARE HEREBY NOTIFIED, pursuant to Code of Civil Procedure Section 1230.010 et. seq., that the City Council of the City of Santa Clarita intends to consider the adoption of a Resolution of Necessity for acquisition by eminent domain, of fee interests ("Interests") of certain real property ("Property") for public road and right-of-way purposes and all appurtenant uses. The Interests in the Property are described and depicted on Exhibits "A" and `B" enclosed hereto and tabled below, and are incorporated herein by this reference. Based on an independent appraisal commissioned by the City, the amount of just compensation for the taking of the Interests in the Property totals $460,500, (rounded), broken down as follows: Fee Simple Take 2,725 square feet $85,000 Cost of Site Improvements 2,725 square feet $10,000 Severance Damages $365,500 A hearing will be held on February 14, 2006 at 6:00 p.m., or as soon thereafter as the City Council can hear said matter, at the Council Chambers, located at 23920 Valencia Boulevard, Santa Clarita, California 91355. If the resolution is adopted at this meeting, it will authorize the City to acquire the Interests in the Property described herein by eminent domain for the construction of Interstate 5 at Magic Mountain Parkway Phase II Improvement (hereinafter, the "Project"). Owner(s) January 30, 2006 Page 2 Please take further notice that you have a right to appear and be heard at said Hearing on the following matters and issues, and to have the City Council give judicious consideration to your testimony prior to deciding whether or not to adopt the proposed Resolution of Necessity: a. Whether the public interest, convenience, and necessity require the acquisition by the City of the Interests in the Property for the proposed Project; b. Whether the proposed Project is planned or located in the manner that will be most compatible with the greatest public good and the least private injury; c. Whether the Interests in the Property sought to be acquired by eminent domain and described in the Resolution of Necessity are necessary for the proposed Project; d. Whether the offer required by Government Code Section 7267.2(a), together with the accompanying statement and summary of the basis for the amount established as just compensation, was actually made to you and whether said offer and statement/summary were in a form and contained all of the factual information required by Government Code Section 7267.2(a); e. Whether the City has complied with all conditions and statutory requirements necessary to exercise the power of eminent domain (the "right to take") to acquire the Interests in the Property described herein, as well as any other matter regarding the right to take the Interests in the Property by eminent domain; f. Whether the City has statutory authority to acquire the Interests in the Property by eminent domain; g. Whether the City has fully complied with all the provisions of California's Environmental Quality Act in regard to the proposed Project; and h. Whether the necessary notification of the Notice of Hearing, as required by the California Code of Civil Procedure, Sec. 1245.235, was given to the owner of the Interests in the Property. A copy of the proposed Resolution of Necessity will be available, upon your request, for inspection at the office of the City Clerk at 23920 Valencia Boulevard, Santa Clarita, CA 91355, five (5) days after this Notice was mailed (January 30, 2006) and prior to the hearing at the place of the hearing. The amount of the compensation to be paid for the acquisition of the property is not a matter or issue being heard by the City Council at this time. Your nonappearance Owner(s) January 30, 2006 Page 3 at this noticed hearing will not prevent you from claiming greater compensation, as may be determined by a court of law in accordance with the laws of the State of California. This Notice is not intended to foreclose future negotiations between you and the representatives of the City on the amount of compensation to be paid for your property. If you desire to be heard, please be advised that a written request must be actually received by the City Clerk within fifteen (15) days after this Notice was mailed. The date of mailing appears at the end of this Notice. A failure to file a written request to appear and be heard within fifteen (15) days after the Notice was mailed will result in waiver of the right to appear and be heard on the above matters and issues that are the subject of the hearing. If you elect not to appear and not to be heard, you will only be foreclosed from raising in a court of law the issues that are the subject of this noticed hearing and that are concerned with the right to take the property by eminent domain. If you have any questions information regarding the (661) 286-4046. Sincerely, Barbara Stoll Acquisition Specialist regarding this hearing, the offer, or have additional value of your property, please contact me at BS:tw Pw/cpp/sto1V1-5C magichwimalcredittenamnoh Enclosure cc: Robert Newman, Director of Public Works Alan Sozio, City Attorney Harry Corder, Senior Engineer Marsha Z. Gordon, Esq., Buchalter Nemer Fields & Younger Date of Mailing: January 30, 2006 You may use the enclosure for the purpose of notifying the City of your intent and desire to be heard. REQUEST TO BE HEARD ON RESOLUTION OF NECESSITY FOR THE ACQUISITION OF CERTAIN INTEREST IN REAL PROPERTY FOR INTERSTATE 5 AT MAGIC MOUNTAIN PARKWAY PHASE 2 PROJECT IMPROVEMENTS FEBRUARY 14, 2006 REQUEST TO APPEAR AND BE HEARD Name Telephone Address Date Signature Mail to: City Clerk City of Santa Clarita 23920 Valencia Blvd., Suite 304 Santa Clarita, CA 91