TO:
VIA:
FROM:
DATE:
Placentia Cit Council
AGENDA REPORT
CITY COUNCIL
CITY ADMINISTRATOR
DEPUTY CITY ADMINISTRATOR/PUBLIC SERVICES AND INFRASTRUCTURE NOVEMBER 7, 2023
SUBJECT: APPROVAL OF QUITCLAIM DEEDS ON EASEMENTS PREVIOUSLY
ACQUIRED BY THE CITY FOR CONSTRUCTION OF THE GOLDEN AVENUE
BRIDGE REPLACEMENT PROJECT
FISCAL
IMPACT: There is no fiscal impact associated with the recommended actions.
SUMMARY:
Golden Avenue Bridge was constructed in 1934 and was rated as "functionally obsolete" by the California Department of Transportation (Caltrans) in 2005. Since 2015, the City has worked with an engineering design team to complete the final design package for a new bridge which was ultimately completed in December of 2019. At the same time, it was discovered that temporary construction and permanent easements for portions of the bridge footings were needed from private property owners on some of the adjacent properties. Staff reached out to all the affected property owners and in good faith negotiated and acquired all easements necessary for the construction of the new bridge. In June of 2020, City Council approved a total of 4 permanent and 4 temporary easements for the construction of the new bridge and local City funding, not Federal funding, was utilized to acquire the easements.
Subsequently, the City was awarded a Federal Earmark totaling $2.2 million towards the cost of the project. These funds are being routed through the Federal Highway Administration (FHWA).
Unfortunately, such Federal funding triggers new requirements that must be met to be able to properly utilize these funds. The City was notified by Caltrans that the methods for acquiring these easements did not follow FHWA regulations. Even though local funds were used to acquire the easements, Federal grant funds were used to design the project. Therefore, the City now must undertake the right-of-way acquisition process again based upon the FHWA guidelines, with the first step entailing quitclaiming all of the easements the City previously obtained and starting the process anew.
RECOMMENDATION:
It is recommended that the City Council take the following actions:
•
1. Approve the quitclaim deeds for reverting the easements back to the property owners; and 1A.
Nov. 07, 2023
City Council Agenda
November 7, 2023
2. Direct the City Clerk to record the quitclaim deeds on easements with the Orange County Clerk -Recorder's Office.
STRATEGIC PLAN STATEMENT:
This item does not conform to any specific Strategic Planning Goal or Objective.
DISCUSSION:
The Golden Avenue Bridge over Carbon Canyon Channel was originally built in 1934. The bridge was inspected by Caltrans in 2005 and rated as "functionally obsolete" at that time. There are currently no sidewalks or bicycle lanes on the bridge resulting in pedestrians, bicyclists, and motorists sharing the road at the same time. The Bridge crosses over the channel, which is a blue line stream and a regional flood control facility. Three (3) separate regulatory agencies have jurisdiction over the channel: Army Corps of Engineers; Department of Fish and Wildlife; and Regional Water Quality Control Board. Regulatory permits from all three (3) agencies are required and were obtained for this project. In addition, the channel is a regional flood control facility managed by the Orange County Flood Control District.
The design plans for a bridge replacement project were finalized back in December of 2019, however, during the final design phase, it was determined that several easements were needed to accommodate the bridge construction. The City negotiated in good faith with the affected property owners and subsequently, entered into agreements with each one to purchase the necessary easements. This action was taken under the assumption that these purchases did not have to follow the Federal grant funding requirements, due to the City utilizing local funding to purchase them. Subsequently, easement agreements and deeds were approved and accepted by the City Council on June 2, 2020, after which, they were executed and recorded. Six easements were purchased from the abutting three property owners and two easements were obtained at no cost to the City. Another two easements were obtained through property entitlement for development of residential projects. In total, 10 permanent and temporary construction easements were secured by the City in support of the bridge construction.
Subsequent to the acquisition of the easements the City was awarded a Federal earmark totaling $2.2 million. The funds are being routed through the Federal Highway Administration (FHWA) which requires all aspects of the project to follow FHWA guidelines. While the City was going through the final permitting procedures for releasing the construction funding, Caltrans notified the City that the easement procurements did not follow FHWA requirements. Even though the City utilized local funds to acquire the easements it used Federal grant funds for the engineering design. Therefore, unbeknownst to Staff at the time, if a project utilizes just $1 of Federal funding on any aspect of a project, then the entire project is subject to FHWA guidelines, even if future phases of the project are funded with local funds. The City later received a letter from Caltrans listing a number of corrective actions to implement in order to comply with FHWA requirements.
These actions include hiring a Caltrans -qualified consultant to perform right of way and property acquisition services, quitclaiming all previously acquired deeds and to restart the easement acquisition process from the beginning following FHWA requirements.
City Council Agenda
November 7, 2023
On May 17th, 2023, the City signed an agreement with Epic Land Solutions (ELS) to assist with the corrective actions, following all Federal and State guidelines. ELS is a Caltrans -certified real property agent well -versed in FHWA requirements who is now assisting the City with all the necessary tasks related to the easement acquisition, including preparation of quitclaim deeds, appraisals and negotiations for new easements and acquisition services. All work is now being coordinated through Caltrans and in compliance with FHWA regulations. ELS has prepared the attached Quitclaim deeds for reverting the easements to the property owners, after which, they will begin the appraisal process in conformance with FHWA requirements that are needed for construction of the bridge.
The following easement deeds will be quitclaimed reverted to the property owners:
1. Quit claim Deeds (Permanent and Temporary Construction Easements) to Gabrial John Aburto - APN # 334-011-36
2. Quit claim Deeds (Permanent and Temporary Construction Easements) to AA Investments LLC — APN # 336-291-01
3. Quit claim Deeds (Permanent and Temporary Construction Easements) to Paramount Imperial Villas — APN # 336-371-36
4. Quit claim Deeds (Permanent and Temporary Construction Easements) to John and Allison Gaddis — APN # 334-011-35
5. Quit claim Deeds (Permanent and Temporary Construction Easements) to Villena Community Association — 334-021-15
FISCAL IMPACT:
There is no fiscal impact associated with the recommended actions. Subsequent to the June 2, 2020 City Council meeting, when the City initially approved and accepted acquiring the easements, the cost of those easements was approximately $15,000. Once the properties are re -appraised the City will then reacquire those easements at the new reappraisal cost using City funds.
Prepared by:
Reviewed and approved:
Christopher Tanio, P.E. Luis Estevez
Deputy Public Works Director/City Engineer Deputy City Administrator Reviewed and approved:
Damien R. Arrula
City Administrator
City Council Agenda
November 7, 2023
Attachments:
1. Quit claim Deeds (Permanent and Temporary Construction Easements) to Gabrial John Aburto - APN # 334-011-36
2. Quit claim Deeds (Permanent and Temporary Construction Easements) to AA Investments LLC —APN # 336-291-01
3. Quit claim Deeds (Permanent and Temporary Construction Easements) to Paramount Imperial Villas — APN # 336-371-36
4. Quit claim Deeds (Permanent and Temporary Construction Easements) to John and Allison Gaddis — APN # 334-011-35
5. Quit claim Deeds (Permanent and Temporary Construction Easements) to Villena Community Association — 334-021-15