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SARASOTA COUNTY GOVERNMENT

General Services

TO: Sarasota County Commission

THROUGH: Thomas A. Harmer, County Administrator

FROM: Carolyn Brown, Director, Parks, Recreation and Natural Resources Lin Kurant, Real Estate Services Manager

DATE: August 29, 2017

SUBJECT: Acquisition of Land for Northern Extension of The Legacy Trail

RECOMMENDED MOTION(S) OR ACTION(S):

A. To adopt a resolution authorizing execution of a contract for sale and purchase with The Trust for Public Land for the purchase of the railroad corridor from its current terminus at Culverhouse Park north to the intersection of Ashton Road, Sarasota, in the amount of $7,900,000 subject to the availability of lawfully appropriated funds as provided in the contract, and to authorize the Chairman, Vice Chair, or designee to execute all documents necessary to complete the transaction; and

B. To adopt a resolution authorizing execution of a contract for sale and purchase with The Trust for Public Land for the purchase of the railroad corridor from the intersection of Ashton Road, Sarasota north to the intersection of Fruitville Road, Sarasota, in the amount of $30,100,000 subject to the availability of lawfully appropriated funds as provided in the contract, and to authorize the Chairman, Vice Chair, or designee to execute all documents necessary to complete the transaction.

BACKGROUND:

In December 2004, Sarasota County acquired its first rails-to-trail corridor commencing at Culverhouse Park south to Center Road. The purchase price for this corridor was $11,750,000. The trail was constructed in 2007 and named The Legacy Trail. It has proven to be a vital community asset attracting over 175,000 users every year.

In the summer of 2013, the Friends of The Legacy Trail submitted a request to the Board of County Commissioners (Board) to extend the trail an additional nine miles (which includes spurs) north to Payne Park in downtown Sarasota from its current terminus.

The County retained the services of Cardno, Inc. in 2014 to prepare a feasibility study for the north trail extension. The report was completed in March 2015 and included recommendations for design alternatives and estimated construction costs.

The Trust for Public Land (TPL) is a nonprofit organization that facilitates the creation of parks and protected lands. TPL handled the negotiations with CSX Transportation, Inc. (CSX) and Seminole Gulf Railway L.P. (SGR) during the first corridor purchase in December 2004. In February of 2017, the Board directed the County Administrator to once again negotiate with TPL for the acquisition of the northern trail extension and to pursue funding options, including a public referendum for acquisition and improvements.

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RELEVANT PRIOR BOARD ACTION:

1. August 28, 2013 – The Board authorized the allocation of up to $75,000.00 from the Trails Master Plan Capital Improvement Fund for a feasibility study regarding a proposed extension of the Legacy Trail to connect the northern terminus at Sawyer Loop Road to School Avenue with the private sector providing financial assistance if the cost exceeds $75,000.00 and with future exploration of funding sources (5-0 vote).

2. May 20, 2014 – The Board adopted Resolution No. 2014-077, Budget Amendment No. B2014-018, amending the Fiscal Year 2014 Budget to appropriate a contribution from the Friends of the Legacy Trail for the Legacy Trail Extension feasibility study, in the amount of $14,824.00 (5-0 vote).

3. April 1, 2015 – The Board considered the acceptance of the final Legacy Trail Extension Feasibility Study, and directed the County Administrator to obtain real estate appraisals for the Legacy Trail Extension (5-0 vote).

4. February 15, 2017 – The Board authorized the County Administrator to continue to negotiate with the Trust for Public Land for the acquisition of the necessary rail corridor for the Legacy Trail north extension and to pursue funding options, including a public referendum for the acquisition and improvements related to the project (5-0 vote).

OUTREACH:

Public outreach has been extensive. The Friends of the Legacy Trail began formal efforts in 2013. The trail extension is identified in the 2013 Sarasota/Manatee Metropolitan Planning Organization Bicycle, Pedestrian and Trails Master Plan. The need to extend the trail was highlighted multiple times during the development of the Sarasota County Parks, Preserves and Recreation Strategic Master Plan. It was ranked high during discussion with focus groups and at public workshops. The Parks Advisory and Recreation Council (PARC) discussed and approved The Legacy Trail Extension work plan at their November 3, 2016 meeting.

The extension of The Legacy Trail is identified as a future proposed trail in the existing 2006 Trails Master Plan as the North Railroad Trail. Public surveys conducted in 2017 as part of the Trails Master plan update identifies the extension of The Legacy Trail as a top priority from survey respondents.

The extension of The Legacy Trail is also identified as a future area of improvement and identified deficiency within the Sarasota County Bicycle and Pedestrian Plan. Public outreach of the 2013 Bicycle and Pedestrian plan identifies Greenways and Trails as the #1 priority ranking for locations of future connections.

In 2016, Sarasota County in partnership with the Tampa Bay Regional Transportation Authority (TBARTA) received 69 letters of support in an effort for the Southwest Regional Trail Corridor to be named as the next statewide priority area for Phase 1 SUN Trail funding. Letters of support to connect the statewide trail system from Hillsborough County to Lee County, which includes the extension of The Legacy Trail were submitted from a variety of groups which includes non-governmental organizations, advocacy groups, tourism agencies, chambers of commerce and local government agencies.

PROCUREMENT ACTION:

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N/A

ANALYSIS/NEXT STEPS:

Staff has negotiated contracts with TPL and below is a summary of the Terms and Conditions:

The corridor has been split into two segments:

1. Segment one commences at Culverhouse Park and extends north to the intersection of Ashton Road.

The purchase price for segment one is $7,900,000 and closing is scheduled for December 20, 2017. Potential funding was identified at the March 29, 2017 Budget Workshop, and the closing on the purchase is conditioned upon the Board appropriating legally available funds prior to the conclusion of the inspection period.

a. Inspection period runs through November 30, 2017. Due diligence will include a boundary

survey, an environmental assessment, the issuance of a title commitment, and obtaining a second appraisal. The average of the two appraisal reports shall not be less than the purchase price for the entire corridor.

b. TPL and the County will split the cost of the boundary survey and environmental

assessments.

c. Premises are subject to certain leases, licenses, easements and encroachments. The County will have the right during the inspection period to cancel the contract in the event these are not acceptable.

d. The deed will contain restrictive covenants stating the corridor may not be used for any

other purpose other than a recreational trail or rail service.

e. CSX and SGR will file a petition to the Surface Transportation Board (STB) requesting issuance of notice of interim trail use/rail banking under the National Trails System Act, and the County agrees that the premises remain subject to the jurisdiction of the STB for purposes of reactivating rail service.

2. Segment two commences at the intersection of Ashton Road and extends north to Fruitville

Road.

The purchase price for segment two is $30,100,000 and closing is scheduled for May 30, 2019, contingent upon passage of a referendum which will seek voter approval of the issuance of general obligation bonds for the purpose of acquiring real property interests over the rail corridor property together with the costs of converting the existing rail corridor property to recreational trail use. That referendum is currently anticipated to occur in November, 2018. If voters approve the referendum, the debt service on the bonds will be paid from an increased debt millage on taxpayers’ property tax bills. Based upon the current contract purchase price and the expected costs to convert the property, the bond issue is estimated to be $65,000,000, which represents the amount of the purchase price of the land plus costs of converting the existing rail corridor to a recreational trail use. The annual debt service is estimated to be

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$4,000,000, which would result in a millage increase of 0.07 or $14.00 on $200,000 of taxable value.

a. Inspection period would commence after the passage of the bond referendum and runs

through April 29, 2019. It includes boundary survey, environmental assessment, title, and a second appraisal.

b. Paragraphs b, c, d, and e from the segment one description will apply here also.

FUNDING:

There is no funded project at this time, although a project for segment one is being proposed in the Fiscal Year 2018 budget. A description of the funding plans for segments one and two are included under Analysis/Next Steps above.

STAFF RECOMMENDATION(S):

Staff recommends adoption of the resolutions approving the contracts and providing authority to the County Administrator (or his delegated authority) to extend time periods to complete due diligence investigations, to close the transactions and cause to be done, and all duties and tasks necessary for carrying out the transactions contemplated by the resolutions and the contracts.

Upon the Board’s adoption of the resolutions and approval of the contracts, the County Administrator hereby delegates to the Real Estate Services Manager his delegated authority to complete due diligence investigations, to close the transaction, and cause to be done, all duties and tasks necessary for carrying out the transactions contemplated by the resolutions and the contracts.

ATTACHMENTS:

1. Location Map 2. Resolution with Purchase and Sale Agreement ($7,900,000.00) 3. Resolution with Purchase and Sale Agreement ($30,100,000.00)

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North Trail Extension Location Map

This map is produced from Sarasota County GIS,and is representative information only.The County does not warrantee, guarantee, orassume any responsibility for geographicinformation completeness and/or accuracy.This map should not be used as guide for navigation.Copyright © SCGIS 2017

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Aerial Imagery Provided by Pictometry International:Sarasota County, FL

January 20174" Resolution

N.A.D. 1983 HARN State Plane Florida West FIPS 0902 (U.S. Survey Feet)