Memorandum
Date: July 11, 2023
To: The Honorable Lake County Board of Supervisors
From: Scott De Leon, Public Works Director
Subject: Consideration and Establishment of Just Compensation for Properties to be Purchased for the Hill Road Slide Repair and Restoration Project
Executive Summary:
Following the winter storms of 2014, the hillside adjacent to Hill Road, near the housing development known as Lakeside Heights, experience significant movement causing extensive damage to surrounding residences and a continuous threat to Hill Road - a County-maintained Road that provides direct access to Sutter Hospital for the entire Northshore communities. Though delayed by numerous issues - including a lawsuit that was eventually settled - the repair project has finally been designed and staff is in the process of acquiring the right of way necessary to complete the project. Today’s item is intended for your Board to establish the Just Compensation for the properties to be acquired.
Background Information
The acquisition of right of way for this project is subject to the requirements of the Code of Federal Regulations (CFR) due to the Federal funding obtained through the disaster declaration at the time of the storm. 49 CFR Section 24.102 (d) states that before the initiation of negotiations, the Agency shall establish an amount which it believes is Just Compensation for the property. The amount shall not be less than the approved appraisal of the Fair Market Value of the property.
To comply with the Federal guidelines, the engineering consultant who designed the repairs hired sub-consultants to perform the appraisal of the properties to determine their Fair Market Values and to make a formal review of those appraisals. All that remains is for the Agency (County of Lake) to establish the Just Compensation, which staff recommends be not less than the appraised value of the properties. A summary of the properties and their appraised values is attached to this memorandum for your Board’s review.
If not budgeted, fill in the blanks below only:
Estimated Cost: ________ Amount Budgeted: ________ Additional Requested: ________ Future Annual Cost: ________
Purchasing Considerations (check all that apply): ☐ Not applicable
☐ Fully Article X. <https://library.municode.com/ca/lake_county/codes/code_of_ordinances?nodeId=COOR_CH2AD_ARTXPU_S2-38EXCOBI>- and/or Consultant Selection Policy <http://lcnet.co.lake.ca.us/Assets/Intranet/Policy/Policies+$!26+Procedures+Manual/Ch4_2021v2.pdf>-Compliant (describe process undertaken in “Executive Summary”)
☐ Section 2-38 <https://library.municode.com/ca/lake_county/codes/code_of_ordinances?nodeId=COOR_CH2AD_ARTXPU_S2-38EXCOBI> Exemption from Competitive Bidding (rationale in “Executive Summary,” attach documentation, as needed)
☐ For Technology Purchases: Vetted and Supported by the Technology Governance Committee <http://lcnet.co.lake.ca.us/Assets/Intranet/Intranet+Forms/Information+Technology/AdvPlan.pdf> (“Yes,” if checked)
☐ Other (Please describe in Executive Summary)
Consistency with Vision 2028 <http://www.lakecountyca.gov/Government/Directory/Administration/Visioning/Vision2028.htm> (check all that apply): ☐ Not applicable
☒ Well-being of Residents ☒ Public Safety ☐ Disaster Prevention, Preparedness, Recovery
☐ Economic Development ☒ Infrastructure ☐ County Workforce
☐ Community Collaboration ☐ Business Process Efficiency ☐ Clear Lake
Recommended Action:
Staff recommends that the Board of Supervisors determine that Just Compensation for the properties listed in Attachment A be no less than the Fair Market Values, as determined by appraisals performed by Bender Rosenthal Incorporated, and formally reviewed and certified by Sierra West Valuation, and authorize the Public Works Director to provide approval to commence negotiations.