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Agenda 10/14/2025 Item #11E (Acquisition pledge of 50% of the funds for the Seminole Gulf Railway corridor within Collier County)10/14/2025 Item # 11.E ID# 2025-3681 Executive Summary Recommendation to pledge 50% of the funds for acquisition of the Seminole Gulf Railway corridor within Collier County (up to $6,890,830) and provide staff direction on the Trust for Public Lands request of a pledge of 100% of the acquisition costs (up to $13,781,660). OBJECTIVE: To secure the Seminole Gulf Rail Line (SGRL) right-of-way from north of Wiggins Pass Road to the Collier/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 0.4 miles of the railroad bifurcating the southern portion of 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. 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 and can be up to 50% for other funding opportunities such as legislative requests. While the City of Bonita Springs and the Village of Estero have acted specifically supporting the acquisition of the corridor and pledged at least 50% of their respective area appraised value 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 (miles) % of Phase 1 Length Value % of Phase 1 Value 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% Page 1421 of 6526 10/14/2025 Item # 11.E ID# 2025-3681 It should be noted that the $13,781,660 acquisition costs attributable to the Collier County portion would be the maximum amount. The amount could be lower based on subsequent requisite appraisals and environmental assessments and negotiated potential remediation costs. On April 8, 2025, the Board approved entering into a Memorandum of Agreement for the Bonita Estero Rail Trail with the City of Bonita Springs and the Village of Estero for the acquisition of the SGRL. This agreement formalizes the goals, objectives and emphasizes the collaboration of the multiple entities toward the common goal of the corridor acquisition. At this time, the Board has committed $100,000 of transportation funds for the County’s share of the pre- acquisition costs. Earlier this year, TPL requested a pledge of 50% of the acquisition cost; potential sources of funding include Conservation Collier funds, Road Impact Fees, Gas Tax and general fund. Staff presented options to the Conservation Collier Land Acquisition Advisory Committee (CLAAC) in both June and July 2025 to gain their recommendation on the use of Conservation Collier funds. The Collier County portion of the rail right of way was broken into 5 segments, which is visually represented in Attachment 1 (2 separate options were presented for Segment 4): Segment 1 – Southern most portion of the corridor, is not adjacent to Conservation Collier lands and has an existing cell tower on the property Segment 2 – South of Veteran’s Memorial Boulevard and immediately adjacent to Railhead Scrub Preserve Segment 3 – Veteran’s Memorial Boulevard road right-of-way Segment 4a – South of Railhead Boulevard, but only those lands that are immediately adjacent to Railhead Scrub Preserve to Veteran’s Memorial Boulevard Segment 4b – Beginning at Railhead Boulevard traversing south to Veteran’s Memorial Boulevard (4b encompasses all of 4a). Segment 5 – Railhead Boulevard north to the Lee County line. After careful consideration, with a vote of 7 - 2, the CLAAC endorsed pledging 50% of the funds to acquire segments 2 and 4b, as this area is also an approved Target Protection Mailing Area. With their recommendation of support, the CLAAC stated that they support the project and the acquisition meets the overall goals of the Program by increasing amenity opportunities for Railhead Scrub Preserve, and they recommended Option 2 because they wanted to manage the Program’s property acquisition budget given the recent transfer of funds. Segment Length in Feet Acreage Portion of Total Total Acquisition 50% Pledge Amount 1 (Other Appropriate Sources) 351.066 1.049873 0.0432 $595,372.84 $297,686.42 2 (Conservation Collier) 2278.582 6.798456 0.280391 $3,864,247.27 $1,932,123.64 3 (Roads) 171.3748 0.509819 0.021088 $290,634.53 $145,317.26 4 (Conservation Collier) 2908.987 8.710627 0.357965 $4,933,351.13 $2,466,675.57 5 (Other Appropriate Sources) 2416.448 7.231446 0.297356 $4,098,054.23 $2,043,027.11 Breakdown Conservation Collier $8,797,598.40 $4,398,799.20 Page 1422 of 6526 10/14/2025 Item # 11.E ID# 2025-3681 Roads $290,634.53 $145,317.26 Other Appropriate Sources (TBD) $4,693,427.07 $2,346,713.53 Following the approval by the CLAAC, the TPL has been corresponding with potential grantor agencies, legislative delegation members and Seminole Gulf as there are specific timeframes that are required for abandonment of the railroad and railbanking. TPL recommends that the County pledge up to the full amount of the acquisition costs to ensure that the corridor is secured. 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: If the acquisition were to move forward, a subsequent Board action will be necessary for approval and a budget amendment will be required for the County's determined share of the acquisition of $13,781,660. Sources of acquisition costs include Conservation Collier funds, Road Impact Fees, Gas Tax and General Fund. If the CLAAC recommendation is accepted, the funding distribution would be as follows, unless otherwise directed by the Board: Conservation Collier (50% Pledge - $4,398,799.20/100% Pledge - $8,797,598.40); Road Impact Fees/Gas Tax (50% Pledge - $145,317.26/100% Pledge - $290,634.53) and other appropriate sources to be determined (50% Pledge - $2,346,713.53/100% Pledge - $4,693,427.07). GROWTH MANAGEMENT IMPACT: This item is consistent with the Growth Management Plan. LEGAL CONSIDERATIONS: This item has been reviewed by the County Attorney, is approved as to form and legality and requires a majority vote for approval. -JAK RECOMMENDATIONS: To pledge 50% of the funds for acquisition of the Seminole Gulf Railway corridor within Collier County (up to $6,890,830) and provide staff direction on the Trust for Public Lands request of a pledge of 100% of the acquisition costs (up to $13,781,660). PREPARED BY: Trinity Scott, Department Head, Transportation Management Services ATTACHMENTS: 1. A1 - Railway Near Veterans Memorial Option 2 Page 1423 of 6526 Old 41Veterans Memorial Railway Area Options 1 & 2 Segment 1 Segment 2 Segment 3 Segment 4 Segment 5 Surrounding Parcels 0 0.2 0.4 Miles Location Length in Feet Length in Miles AcreageSegment 1 351.066 ft 0.06649 mi 1.049873Segment 2 2278.582 ft 0.43155 mi 6.798456Segment 3 171.3748 ft 0.032457 mi 0.509819Segment 4 2908.987 ft 0.550945 mi 8.710627Segment 5 2416.448 ft 0.457661 mi 7.231446 Page 1424 of 6526