During processing of annexation #12-07 (Resolution #12-19207 approved by City Council on August 27, 2012), staff determined that the right-of-way in front of the subject property on Grand Avenue is identified as a road tract on the north half and a road easement on the south half. Section 7-2-4211 of the Montana Code Annotated (MCA) requires a city to annex the entire width of adjacent roads with the properties it annexes. To comply with Section 7-2-4211 MCA, the City is securing a quit claim deed from the County for the north half, with the County deeding any interest it may have in the road tract to the City (See separate agenda item for October 9 Council Meeting). The City is also seeking a quit claim deed from the property owner to the south for the road easement portion of Grand Avenue to facilitate annexation of that half of the right-of-way. At this meeting, the Council will consider a Resolution of Intent to annex Grand Avenue right-of-way and set of a public hearing date to take action on the right-of-way annexation.

The portion of the Grand Avenue right-of-way that will be annexed is a 30-foot wide Petitioned County Road easement that covers approximately 0.167 acres along the front of Tracts 1A, Certificate of Survey 2990. The property is located along the south side of Grand Avenue just west of the intersection of Grand Avenue and 48th Street West (See Exhibit Attachment). The Estate of August Kramer is the legal owner of this road right of way property, but the ownership interest is subject to the public’s right to use it as a roadway. City staff contacted the property owner via certified mail, provided them with the option of either deeding the property to the City and having it removed from the property’s taxes, or taking no action and having the 30-foot-wide road easement annexed by the City and paying City taxes on the annexed portion of the right of way (See Letter to Property Owner Attachment). The property owner has not responded at the time this memo was drafted and so annexation of the easement by the City may be the outcome. However, staff is continuing to try and contact the owner prior to the Council's final action in November to see if the quit claim deed might be completed.

Section 7-2-4211 of the Montana Code Annotated (MCA) requires a city to annex the entire width of a road with the properties it annexes. To comply with Section 7-2-4211 MCA, the City is seeking a quit claim deed from the property owner to the south for the road easement portion of Grand Avenue to facilitate annexation of that half of the right-of-way.
The Council may:

• Approve a Resolution of Intent to annex Grand Avenue right-of-way and set of a public hearing date to take action on the right-of-way annexation.
• Not approve a Resolution of Intent to annex Grand Avenue right-of-way and not set of a public hearing date to take action on the right-of-way annexation. Not acting on the resolution and moving forward with the right-of-way annexation process would put the City out of compliance with Section 7-2-4211 MCA regarding annexation of right-of-way adjacent to annexed property.

There is no direct financial impact to the City in moving forward to annex a portion of Grand Avenue road right-of-way. However, as more property along Grand Avenue is annexed in the future, maintenance and management of Grand Avenue will become the City's responsibility.

Staff recommends that the Council approve the Resolution of Intent to annex a portion of Grand Avenue right-of-way and set a public hearing date for November 13, 2012.