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Agenda 01/14/2025 Item #11A (To secure funding to purchase the Seminole Gulf Rail Line (SGRL) right of way from north of Wiggins Pass Rd to the Lee County Line)1/14/2025 Item # 11.A ID# 2025-20 Executive Summary Recommendation that the Board receive an update from the Trust for Public Lands (TPL) regarding the Seminole Gulf Rail Line acquisition and direct the County Manager or their designee to 1) Provide $5,000 to TPL for preparation of a grant application for the acquisition of the Seminole Gulf Rail Line; 2) Pledge up to $899,000 toward the local match for the grant; and 3) Work with partner municipalities on a Memorandum of Agreement to formalize cooperation of the entities. OBJECTIVE: To secure funding to purchase the Seminole Gulf Rail Line (SGRL) right-of-way from north of Wiggins Pass Road to the Lee County Line. CONSIDERATIONS: In May 2020, the County Manager’s Office was approached by the Trust for Public Lands (TPL) to begin exploring the acquisition of the SGRL from north of Wiggins Pass Road to Alico Road in coordination with the City of Bonita Springs & the Village of Estero. The intended use of the corridor is for a passive-recreation trail. Approximately 0.75 miles +/- of the railroad corridor is immediately adjacent to Conservation Collier lands (Railhead Preserve), with nearly .4 of a mile bifurcating the Preserve. In addition, a short section will facilitate the necessary roadway crossing for the extension of Veterans Memorial Boulevard. In July 2020, TPL requested the County to provide approximately $11,500 toward the cost of the corridor appraisal. This was the cost of the appraisal ($68,000) split between six entities, former County Manager Leo Ochs, authorized the participation. At the October 27, 2020, Board meeting, County Manager Ochs provided an update to the Board that the County Manager’s staff was working with the Village of Estero, City of Bonita Springs & Lee County in a joint effort facilitated by the TPL to attempt to acquire the railroad right-of-way. Appraisals were received, and the TPL attempted to negotiate an acceptable purchase price with the SGRL. However, at that time, they were unable to come to an agreement and negotiations stalled. In early 2024, the TPL was able to place the corridor from north of Wiggins Pass Road to Alico Road under contract for $82M with a closing timeframe no later than March 2026. The corridor is intended to be railbanked to preserve the opportunity for future rail use. Railbanking is a voluntary agreement between a railroad company and a trail sponsor (such as a trail organization or government agency) to use an out-of-service rail corridor as a trail until a railroad might need the corridor again for rail service. This interim trail use of railbanked corridors has preserved thousands of miles of rail corridors that would otherwise have been abandoned. Railbanking maintains the corridor for a potential future rail use. However, if that use would come forward, the entity would be required to reimburse the County the initial purchase price inclusive of an escalation to account for consumer price index (CPI) and also provide compensation for any improvements based on a depreciated value. The TPL made a presentation to the Metropolitan Planning Organization (MPO) Board in April 2024, requesting the corridor be placed on the MPO priority list as well as support for future funding requests, which was unanimously approved. The TPL is pursuing multiple state and federal funding opportunities, many of which will require a match of the potential grant award. Match requirements for most federal funds are 20% of the grant request. The TPL in coordination with Lee County applied for an Active Transportation Infrastructure Investment Program (ATIIP) grant, in which at the June 11, 2024, agenda item 16B15, the Board authorized staff to provide $5,333.33 to TPL for grant application preparation and pledged up to $241,611 toward the local match for the grant. To date, there has been no notice of award for the grant application and TPL and Lee County are still awaiting the results. While the City of Bonita Springs and the Village of Estero have acted specifically supporting the acquisition of the corridor and pledged several million dollars toward the purchase, Lee County has yet to do so. Therefore, an option to acquire the right-of-way in a phased manner has been negotiated with the seller to allow for a continued acquisition of the portions within Collier County, City of Bonita Springs and the Village of Estero, with a future purchase in unincorporated Lee County. Below is a breakdown of Phase 1 and Phase 2 costs per mile and value from the most current appraisal: Phase 1 Segment Length % of Phase 1 Length Value % of Phase 1 Value Page 1468 of 6405 1/14/2025 Item # 11.A ID# 2025-20 (miles) Village of Estero 5.3 42.06 $29,057,517 37.91% City of Bonita Springs 5.8 46.03 $33,815,561 44.11% Collier County 1.5 11.90 $13,781,660 17.98% Phase 1 Totals 12.5 100% $76,654,735 100% Phase 2 Unincorporated Lee County 2.3 100% $7,672,979 100% The TPL is currently pursuing a Rebuilding American Infrastructure with Sustainability and Equity (RAISE) for Phase 1 of the project, the grant fund request is limited to $25 million and will require a minimum of a 20% local match. The total grant preparation costs are anticipated to be $25,000 and will be split equally among participating members (Village of Estero, City of Bonita Springs, Friends of Bonita Estero Rail Trail (BERT) & TPL). The TPL is seeking a contribution of $5,000 from Collier County for the grant application preparation. Because Collier County has an ongoing United States Department of Transportation discretionary grant, either the City of Bonita Springs or the Village of Estero will be the applicant for the grant application. The maximum capital grant award for this grant opportunity is $25 million. Therefore, if the grant were realized, Collier County’s portion of the grant proceeds would be $4,495,000 and the local match $899,000. Should the railroad corridor be included in an upcoming targeted protection area, it would then be eligible for Conservation Collier acquisition funds. The corridor would facilitate the connection between other off-site private preserves with the already acquired Conservation Collier lands, as well as connecting existing Conservation Collier preserves. If this grant is awarded, the ultimate local acquisition contribution could be funded utilizing multiple sources, including, but not limited to, Road Impact Fees, Conservation Collier Acquisition funds, or the General Fund. Per discussions with TPL, the lump sum match amount would not be remitted until Spring 2026 when the property acquisition would occur. In recent conversations with the County’s local delegation, as well as in various grant funding opportunity inquiries, it has been noted that a memorandum of agreement formalizing cooperation of the involved entities is desired. The agreement would assist the entities to align their goals, objective and emphasize the collaboration of the multiple entities toward the common goal of corridor acquisition. This item is consistent with the Collier County Strategic Plan objective to design and maintain an effective transportation system to reduce traffic congestion and improve the mobility of our residents and visitors. FISCAL IMPACT: Funds in the amount of $5,000 are available within the Transportation Cap Fund (3081), Project 60118 for grant application development. The source of funding is general fund and unincorporated general fund. If the grant is awarded, a subsequent Board action will be necessary for approval and a budget amendment will be required for the County's determined share of the required local grant match up to $899,000. Potential sources of grant match include Conservation Collier funds, Road Impact Fees, Gas Tax, and general fund. GROWTH MANAGEMENT IMPACT: These improvements are consistent with the Growth Management Plan Transportation Element. LEGAL CONSIDERATIONS: This item has been reviewed by the County Attorney, is approved as to form and legality and requires majority vote for approval. -JAK RECOMMENDATIONS: That the Board receive an update from the Trust for Public Lands (TPL) regarding the Seminole Gulf Rail Line acquisition and direct the County Manager or their designee to 1) Provide $5,000 to TPL for preparation of a grant application for the acquisition of the Seminole Gulf Rail Line; 2) Pledge up to $899,000 toward Page 1469 of 6405 1/14/2025 Item # 11.A ID# 2025-20 the local match for the grant; and 3) Work with partner municipalities on a Memorandum of Agreement to formalize cooperation of the entities. PREPARED BY: Trinity Scott, Transportation Management Services Department Head ATTACHMENTS: 1. Location Map Page 1470 of 6405 PHASE 1P H A S E 2 EsteroVillagePark EsteroCommunityPark R a i l h e a dScrub P res e rv e GULF OF MEXICO ESTERO BAY !¡ !¡ Estero River Outfitters CGT Kayaks £¤41 UV739 GG885 GG888 GG901 GG850 GG881 GG887 GG865 GG840 BENHILLGRIFFI NPKWY BONI T A B EACH RD SW VANDERBILT DRESTERO BLVDO L D U S-4 1 R D HI CKORYBLVDS TAMIAMI TRLALICO RD W TERRY S T ESTE RO PKWY IMPER IAL P K W YTHREE OAKS PKWYBONITA BEACH RD SE OLD US-41LEE RDC O R K S C R E W R D TAMIAMITRLNSAN CARLOS B LVD LIVINGSTON RDCOCONUT RD §¨¦75MudCreekLeitmerCreekHalfwayC r eekImperia l R i v e rOakCreek M ullockCr eekEsteroR iverSpringCreek LEE COUNTY COLLIER COUNTY We t W oo dsPreserve B a r ef oo t B e a c hPreserveCounty P a r k H i dd enCypressPreserve K or es h a nPreserve Mu l lo c kCreekPreserve Mo un d K e yArchaeologica lState P a r k K or es h a n S ta t eHistoric S i t e De l n o r -W i g g i n sPass S t a t e P a r k Ra i l h ea d S c r ubPreserve K or es h a nState P a r k I m p e r i a l Fl ow w a y E st e ro M a r s hPreserve O a k C r e e kPreserve L o v e r s K e yState P a r k Fl i n t P enStrandPreserve C or k s c r ew Re gi on a lEcosystem W a t er s he d E st e ro B a yPreserveState P a r k L a r r y K i k e rPreserve I m p e r i a lRiverPreserve B i g H i c k o r yIslandPreserve E st e r oPointe Pe l i c a nLandingEco Pa rk M o u n d K e y P r e s e r v e Vi l l a geTrails P a r k FO R T M Y ER S BE A C H BO NIT A SP R I N G S SA N CA RLO S P A R K ES T ER O TH RE E OA K S FL OR ID A G ULF COA S T UNI VE RS IT Y B o n i t a E s t e r o R a i l T r a i l C O L L I E R A N D L E E C O U N T I E S FL AL GA Prop osed Bonita Estero Rail Trail Phase 1 Phase 2 Ex isting trail or greenway County boundary EPA IRA Disadvantaged Community Conservation easement Park or other protected land City, village, or Census Designated Place 0 1 2 Miles ± December 12, 2024 .Copyright © Trust for Pub lic Land. Trust for Public Land and Trust for Public Land logo are federally register ed marks of Trust for Pu blic Land . Information on this map is provided for purposes of d iscussion and visualization only.www.tp l.org Page 1471 of 6405