PRESENTER: Presenter
Barbara Coleman, Purchasing Manager
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SUBJECT: Title
Approval of an expenditure of up to $3,100,000 to acquire the necessary right-of-way and utility easements for Barbarosa Road/Saur Lane Improvements Project, and authorization for the City Manager to execute all necessary conveyance documents.
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DEPARTMENT: Finance
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COUNCIL DISTRICTS IMPACTED: Districts 5 and 3
BACKGROUND INFORMATION:
The Barbarosa Road Improvement Project is an approved project under Proposition A of the City’s 2023 Bond Program. The project will expand the existing roadway to four lanes, improve drainage infrastructure, enhance intersections, and provide sidewalks and a shared-use path to improve mobility and safety.
Implementation of the project requires the acquisition of right-of-way (ROW) and public utility easements from 26 parcels. The City has contracted with Cobb Fendley to provide right-of-way acquisition services. As part of the acquisition process, appraisals will be obtained, and initial offers will be presented to affected property owners.
Funds will be used to acquire the necessary ROW and public utility easements, as well as to compensate property owners for damages to affected improvements, including fencing, landscaping, and other impacted property features, as applicable.
Note: To protect the City’s negotiating position during ongoing right-of-way acquisitions, parcel-specific acquisition details are not available for public viewing.
ISSUE:
City Council authorized ROW acquisitions for approximately 19 parcels on January 13, 2025, with an estimated expenditure of $1,450,000. The Project was initially scoped for 19 fee simple acquisitions and no easement acquisitions, however, as the project moved further into design and the project boundaries have become better defined, Additional parcels have been identified as a need for the project.
To provide additional details, the City of New Braunfels has needed to purchased utility easements on behalf of NBU, which NBU will be reimbursing the City for. This added 4 new acquisitions to the project. Additionally, two of the initially scoped parcels were subdivided after the start of the project, adding 4 parcels to the acquisition count. To date, the City has closed on 12 parcels, with an additional 14 parcels ready to close or in negotiations.
Staff are requesting an additional $3,100,000 to fund the acquisition of the 14 parcels pending and currently in negotiation. With this additional funding, the total projected project cost will be approximately $4,550,000.
Right-of-way acquisitions for the project are anticipated to be completed by January 2027.
This total cost of ROW is due to several factors such as higher market values (compared to the original 2022 project estimates), additional properties identified as a requirement for the project and the utility easements. As mentioned earlier, the cost associated with the utility easements will be reimbursed by New Braunfels Utilities ($260,000).
There is an additional piece of property on the eastern edge of the New Braunfels National Airport that will be brought to City Council for acquisition spend approval once the analysis and acquisition process is cleared with FAA and TxDOT.
STRATEGIC PLAN REFERENCE:
☐Economic Mobility ☒Enhanced Connectivity ☐Community Identity
☐Organizational Excellence ☐Community Well-Being ☐N/A
FISCAL IMPACT:
Funds for the acquisition of right-of-way and easements are incorporated in the project budget utilizing 2023 Bond funding. As mentioned above, utility easements will be reimbursed to the city by New Braunfels Utilities.
Recommendation
RECOMMENDATION:
Staff recommend approval of an expenditure of up to $3,100,000 to acquire the necessary right-of-way and utility easements for Barbarosa Road/Saur Lane Improvements Project, and authorization for the City Manager to execute all necessary conveyance documents.