Item Coversheet

CITY COUNCIL AGENDA COMMUNICATION
AGENDA DATE:February 13, 2018
SUBJECT:

Approve the Terms of Settlement and Authorize the City Manager to Execute Documents Necessary for the Acquisition of Right-of-Way for a McDermott Drive Right-Hand Turn Lane.

STAFF RESOURCE:

Chris Flanigan, Engineering Director

PREVIOUS COUNCIL ACTION:

On February 24, 2015, City Council authorized the City Manager to enter into an interlocal agreement between the City of Allen and Collin County for right turn lanes at various intersections throughout the City of Allen.

 

On May 12, 2015, City Council authorized the City Manager to Execute a Professional Services Contract with Huitt-Zollars, Inc., in the amount of $86,850 for the design of Intersection Improvements for McDermott Drive at US75, Stacy Road at US75 and Greenville Avenue at Exchange Parkway.

 

On March 22, 2016, City Council adopted a Resolution determining the necessity for acquisition of land for the construction of Intersection Improvements at McDermott Drive at US75, Stacy Road at US75, and Greenville Avenue at Exchange Parkway; providing for a Last and Final Offer and authorization to purchase right-of-way; and authorizing the City Attorney to file proceedings in eminent domain to acquire such property, if necessary.

ACTION PROPOSED:

Approve the Terms of Settlement and Authorize the City Manager to Execute Documents Necessary for the Acquisition of Right-of-Way for a McDermott Drive Right-Hand Turn Lane.




BACKGROUND

Increased traffic at McDermott Drive at US 75 necessitates the addition of right turn lanes to accommodate traffic flow.  To implement, this project requires the purchase of real property (i.e. additional right-of-way) to complete the proposed work.  Staff negotiated with four affected property owners, of which three accepted offers based on appraised value.

 

Staff had been unsuccessful negotiating a final purchase price on one parcel related to the proposed right-hand turn lane on the northeast corner of McDermott Drive and US 75. Consequently, the City of Allen proceeded with filing an eminent domain case. The matter was heard by Special Commissioners appointed by the County Court Judge, who heard both sides (City and property owner). The Special Commissioners arrived at an award in the amount of $65,000.

 

Following the hearing, the property owner filed an objection to the award with the courts. In advance of trial, City of Allen staff and the landowner engaged in negotiations through a mediator to attempt settlement in lieu of trial.

 

Through mediation, the negotiated settlement was arrived at total compensation of $81,000 (i.e. $16,000 more than the award determined by the Special Commissioners). Execution of this settlement agreement finalizes compensation to the landowner and concludes this matter with no further legal exposure.


BUDGETARY IMPACT

There are sufficient funds in the project budget for this purchase.


STAFF RECOMMENDATION

Staff recommends that the City Council approve the terms of settlement and authorize the City Manager to execute documents necessary for the acquisition of right-of-way for a McDermott Drive right-hand turn lane.


MOTION

I make a motion to approve the terms of settlement and authorize the City Manager to execute documents necessary for the acquisition of right-of-way for a McDermott Drive right-hand turn lane.



ATTACHMENTS:
Description
Location Map
Settlement Agreement