Consideration and Adoption of Ordinance No.  2016-03:  An ordinance of the Flagstaff City Council authorizing the acquisition of certain real property as a public right-of-way for the possible widening of Humphreys Street between Route 66 and Cherry Avenue. (In addition, a Development Agreement with additional terms of the purchase will be considered at second reading of the ordinance.)

Ordinance 2016-03 authorizes the City to purchase 2,209 square feet of land adjacent to Humphreys Street right-of-way for possible future expansion of the roadway for a net purchase price of $150,000.  The purchase will include two 8 foot wide strips along the frontage of 100 Humphreys Street (existing Budget Rental) and 175 W. Aspen Avenue (former Wespac office building).  Widening Humphreys Street to allow for a dual left turn lane from Route 66 onto Humphreys was identified as an important transportation improvement in the Flagstaff Metropolitan Planning Organization Urban Mobility Study.

The hotel project has a City staff approved site plan which includes the necessary setbacks for the future roadway project.  The property has existing entitlement rights to allow construction of the project with only a staff approval.  In addition, the properties are in building and civil plan review for the construction of a Marriott Residence Inn.  The north parcel will be the site of the hotel, while the south parcel will be developed as surface parking.  In addition to the proposed purchase, Ordinance 2016-04 to abandon 82 square feet of public right-of-way at the southeast corner of the project to accommodate moving the hotel to the east, out of the proposed purchase area,  and a Development Agreement with additional terms are proposed.

No.

If City Council decides not to acquire the right-of-way at this time, it can be considered for acquisition by the project sponsor at a future date.  Staff believes the acquisition will cost more in the future and the DA limits additional payment to the hotel to costs associated with additional acquisition of right-of-way.  However, waiting to purchase the right-of-way may provide more assurances as to the project sponsor and a funding source to design and construct the roadway.   

Should the proposed purchase and abandonment not be approved, the Developer has proposed an alternate site plan which would move the building to the west, closer to Humphreys Street and out of the Beaver/Aspen right-of-way.  While the proposed project can be constructed without the acquisition of the right-of-way, it cannot proceed as designed without the approval of Ordinance 2016-04 to abandon 82 square feet of right-of-way.  If the right-of-way is not abandoned, the building must be relocated to the west, into the area identified as needed for the Humphreys expansion.  Should Council decide not to purchase the right-of-way, staff strongly supports proceeding with the abandonment to ensure future acquisition is still feasible.  Staff believes it also makes sense to allow the ADA ramp to be constructed within the Aspen Avenue right-of-way so that it will not need to be relocated in the future.  This can be accomplished with an administrative encroachment permit.     
 
 

In conjunction with the Ordinance to purchase, a Development Agreement (DA) has been prepared with additional terms of the purchase. The DA waives the requirement of a surface parking lot screen wall along Humphreys due to the anticipated road widening, allows surface parking to encroach into the future right-of-way until the time of the roadway project, vests the approved site plan for two years, establishes a net purchase price of $150,000 and provides financial assistance to relocate an ADA accessible ramp from the Humphreys Street future right-of-way to Aspen Avenue.  Also, the DA limits additional compensation to the developer from revenue based compensation or for impacts created by the roadway widening to compensation for additional right-of-way only, and acknowledges potential developer participation in a future parking structure on the south parcel which may be achieved through a public/private partnership.  In addition to the request to purchase property from the developer, a second Ordinance to abandon right-of-way at the corner of Aspen Avenue and Beaver Street is proposed. (Ordinance 2016-04)

Humphreys Street is currently Arizona Department of Transportation jurisdiction. However, staff believes partnerships will be required to complete important improvements to the Regional Transportation system. At the recent Flagstaff Metropolitan Planning Organization (FMPO) and Northern Arizona Intergovernmental Public Transportation Authority (NAIPTA) advance, there were many partners at the table with a discussion on how to complete necessary projects. Staff believes this is the type of transportation improvement that requires a partnership between the City, ADOT and the FMPO. In addition, staff believes it is good planning to purchase the property now, as a future acquisition will most certainly have an increased purchase price as the value of land in the downtown continues to increase.

Adoption of an Ordinance requires a public hearing that provides an opportunity to inform the public and receive public comment.