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Merced Street Storm Drain 2 January 28, 1997 properties located at 1777 Abrams Court and 2000 Merced Street. Since November 1996, the City's Acquisition Agent has made an offer of fair market value to the two property owners at 1777 Abrams Court and 2000 Merced Street. Both property owners are not willing to accept the City offers and staff is proceeding with eminent domain action to purchase these easements. DISCUSSION A detail description of the two properties and associated easements is provided below: 1777 Abrams Court (Exhibit A): The subject property is an irregular shaped parcel which is 1.95 acres +/- in size. The property is owned by Wayne R. Hilf from Southern California. It is currently being leased by the U.S. Postal Service as their distribution center and office building for the San Leandro area. Also, an active Southern Pacific Railroad spur line exists on the northerly portion of the property. The proposed storm drain easement will be a strip of land 10 feet wide in the northwesterly corner portion of the property. It will consist of an area of approximately 1,263 square feet. In addition to the easement, the City will also be purchasing a temporary construction easement (TCE) adjoining the storm drain easement. 2000 Merced Street (Exhibit A): The subject property is a rectangle shaped parcel which is 1.00 acre +/- in size. The property is owned by Thomas K. McManus, Jr. and Janet Anne McManus from Lafayette, California. The property is currently being leased by a trucking/delivery business. Also, an active Southern Pacific Railroad spur line exists on the northerly portion of the property. The proposed storm drain line will be a strip of land 10 feet wide across the northerly portion of the property. It will consist of an area of approximately 3,250 square feet. The storm drain easement will run parallel to the present railroad easement that currently occupies the property. Also, the City will be purchasing a temporary construction easement (TCE) adjoining the storm drain easement. It should be emphasized that this action has nothing to do with money, but is only related to time. An Order of Possession through the eminent domain process needs to conclude by March, 1997 as the Storm Drain Merced Street to Williams Street Project moves forward into construction. No discussion of acquisition costs is permitted at the Public Hearing for the issue may eventually become litigious. This issue is solely whether the City has proper authority to acquire the easements and when City possession of the easements should be established. Fiscal Impact There is no fiscal impact on the City at this time. The cost of acquiring these easements will be determined as part of the eminent domain proceedings in Alameda County Superior Court. WKA:UU:RC:mc Attachment FACOUNCIUFEB 18\mreddm.m= 6