Right-of-Way Acquisition (Engineering)

Larimer County covers 2,600 square miles and has over 1,000 miles of public roads. These roads are located within public rights-of-way. As roads and bridges are constructed or improved it is sometimes necessary for the County to acquire additional right-of-way (ROW). This information provides a general overview of the ROW acquisition process as it relates to road and bridge construction projects. It is not intended to provide legal advice, nor does it cover every possible situation as each project is unique.

Historical Background

Larimer County's road system dates back to the 1860's when Colorado was not yet a state. Although the law has always allowed for acquisition of needed ROW for roads, historically property owners themselves often petitioned the County for a road to be established through their land and owners typically donated the needed ROW (generally a minimum of 60' wide).

Current Needs

In current times, the originally established rights-of-way may not be adequate to reconstruct an existing road in a manner that meets present engineering standards, mobility needs, vehicle use, travel speeds, safety, etc. It may be necessary for the County to acquire additional ROW when a road project is undertaken. During the design phase of a project, the design engineer will determine if additional ROW is needed. They will also determine how much new right-of-way will be required. This determination is made using:

Accepted engineering design standards
The road's functional classification
The projected design (adding lanes, shoulders, bike/walking facilities, etc.)
An analysis of existing right-of-way limits

Research

Records Research

County staff researches the history, extent, and nature of the existing right-of-way. This involves reviewing:

Maps going back to the 1860's
Land records going back to the 1860's
Recent right-of-way dedications
- development platting
- previous road construction projects

Project Requirements

During the project design phase, the engineer will determine if additional ROW is required. They will also determine how much ROW is needed for each individual property that adjoins the project. This determination uses:

Accepted engineering design standards
The road's functional classification
Future needs
- roadside safety requirements
- additional lanes
- expanded shoulders
- walking/biking facilities
- drainage facilities

Owner Contact

When ROW needs have been determined for a project, County staff or their representative, will contact each affected property owner. A meeting is arranged with each owner at their property to discuss:

The nature of the project
The acquisition process
Details of how the project will affect the specific property
- Additional ROW
- Landscaping
- Driveways
- Temporary construction easements
- Timing of construction
Address any questions or concerns

Contact information for County staff is provided to the property owner. They are encouraged to call with additional questions, or to resolve issues that can occur prior to or during construction.

Agreement Components

When a construction project requires acquisition of additional ROW or temporary construction easements, or where there will be a significant impact on individual properties, it is necessary to negotiate a written agreement between the County and the property owner. Agreement details include:

ROW required
Expected impacts
Compensation
- additional ROW
- loss of or damage to trees
- loss of or damage to landscaping
- temporary easements
The County will take measures to resolve issues related to the following:
- driveway disturbance
- loss of access
- fencing replacement
- drainage improvements
- other issues
Deadlines or limitations on compliance with terms of the agreement

It is the County's goal to be fair to the property owner as well as the taxpayers who will be paying all of the costs associated with the project.

Determining Value

The process to determine the value of the ROW or an easement can happen is a couple of ways depending on the estimated value of the ROW:

Estimated Fair Market Value of $5,000.00 or Less

County staff will use County Assessor's records to find recent sales data for vacant parcels of similar size near the project area. Based upon these sales a per-square-foot or per-acre value will be determined. Property owner input regarding local land values and recent sales in the area is welcome.

Estimated Fair Market Value Greater Than $5,000.00

Unless otherwise waived by the landowner, the County will hire an independent qualified appraiser to determine the actual value. The appraiser will:

Contact the property owner
Inspect the property (owners should accompany the appraiser)
Create a report identifying fair market value of the property to be acquired
For property acquisitions with an estimated value of $5,000 or more, State law requires the County also pay the reasonable costs of an appraisal obtained by the property owner, if desired by the owner.
The appraisal report determines Fair Market Value based on:
- recent sales in the project area
- analysis of all elements that affect value
  - ownership
  - tenants
  - improvements
  - other land sales
- other compensation
  - damages
  - temporary easements

Compensation

Using staff research or the appraisal report the County determines the amount of "Just Compensation" that will be offered to the owner. This includes:

Compensation for the actual ROW to be acquired
Values for easements
- temporary construction easement
- slope/drainage easements
Impact on landscaping
Impact on trees
Damage to existing improvements
In rare cases, compensation will be paid for removal of:
- sheds
- garages
- pump houses
- irrigation systems
- other structures

Finalizing the Agreement

Acquisitions Documents

Deed of Dedication - Formally grants the ROW to the County. This document will be filed with the County Clerk and Recorder.
Slope/Drainage Easement - Formally grants a permanent easement to the County. This document will be filed with the County Clerk and Recorder.
Temporary Construction Easement - Allows County representatives access and use of the designated property for a predetermined term. The normal term of a temporary construction easement agreement is one year. Actual construction work is usually completed in a much shorter time.

Once the agreement is signed by both parties a payment request is submitted to the County Finance Department. Payment is issued in the name of the property owner(s) in the amount stated in the agreement(s). Owner(s) generally receive payment in four to six weeks after the request is submitted.

Eminent Domain

Larimer County makes every effort to reach an agreement with each property owner during negotiations. County representatives are receptive to additional information that owners can provide while working towards a fair settlement.

In the unusual case that an agreement cannot be reached, the County has the authority to acquire the property by exercising its power of Eminent Domain (Colorado Revised Statute 38-1-101). If eminent domain is undertaken, formal condemnation proceedings are initiated with the appropriate State court, the court may authorize the County to gain immediate "possession and use" of the required ROW so the project can proceed in a timely manner. Subsequent court hearings would be held to determine the final amount of just compensation to be paid by the County. It is common for owners to obtain legal counsel when they receive notice that the County will be exercising eminent domain.

It should be noted that it is extremely rare for the County to pursue eminent domain.

Utility Relocation/Construction

Most projects require utility installation or relocation. The utility companies (water, sewer, electricity, phone, etc.) have independent legal authority to work on their facilities. Their contractors fall under this same authority. The County has little or no control over this part of a project. If questions or issues arise regarding utilities on a project County staff can provide property owners with contact names and phone numbers for the utility companies.

Project Construction

Once the project is under construction County staff will continue to communicate with affected property owners as well as road users. We will accommodate the needs of affected property owners to the extent possible while recognizing that construction scheduling and timing of work activities are often dictated by outside forces such as school schedules, irrigation ditch flow requirements, availability of alternative routes, weather, etc.

Property owners are encouraged to track the project's progress on the County's website or to call the Engineering Department with concerns or questions.

While we strive to minimize negative construction impacts, we acknowledge that area residents and the travelling public may be inconvenienced during construction, and we appreciate your patience.

We value your input. After completion of construction, we may contact area residents to determine how the improvements are perceived and how we might do better in the future.

Important Definitions

Acquisition: The process of acquiring real property (real estate) or some interest therein.
Appraisal: The act or process of estimating the monetary value of an interest in property. The appraisal is to be independent and impartial and prepared by a qualified appraiser. It must set forth an opinion of defined value for a specific described property. The value will be assigned as of a specific date and will be supported by the presentation and analysis of relevant market data. The term appraisal is also frequently used as a synonym for the written appraisal report.
Condemnation: The legal process of acquiring private property for public use or purpose through the acquiring agency’s power of eminent domain. Condemnation is usually not used until all attempts to reach a mutually satisfactory agreement through negotiations have failed. An acquiring agency then goes to court to acquire the needed property.
Easement: In general, the right of a person or entity to use all or part of the property of another person or entity for some specific purpose. Easements can be permanent or temporary (i.e., limited to a stated period of time). The term may be used to describe either the right itself or the document conferring the right.
Eminent Domain: The right of a government to take private property for public use. In the United States, just compensation must be paid for private property acquired through eminent domain.
Fair Market Value: The sale price that a willing and informed seller and a willing and informed buyer can agree to for a particular property.
Functional Classification: The process by which streets and highways are grouped into classes according to the character of service they are intended to provide. Roads with higher classifications serve the mobility needs of a greater number of people, and typically carry more traffic. Roads with lower classifications tend to provide access more to individual properties than serve the mobility needs of a greater number of people.
Interest: A right, title, or legal share in something. People who share in the ownership of real property have an interest in the property.
Just Compensation: The price a public agency must pay to acquire real property. The price offered by the agency is considered to be fair and equitable to both the property owner and the public. The agency’s offer to the owner is “just compensation” and may not be less than the amount established in the approved appraisal report as the fair market value for the property. If it becomes necessary for the acquiring agency to use the condemnation process, the amount paid through the court will be just compensation for the acquisition of the property.
Lien: A charge against a property in which the property is the security for payment of a debt. A mortgage is a lien. So are taxes. Depending on the value of the lien relative to the value of the property, it may be required that the lien be paid in full when the property is acquired by the public agency.
Negotiations: The process used by acquiring agencies to reach amicable agreement with property owners for the acquisition of needed property. An offer is made for the purchase of property in person or by mail, and the offer is discussed with the owner.
Person: Any individual, partnership, corporation, or association.
Personal Property: In general, property that can be moved. It is not permanently attached to, or a part of, the real property.
Qualified Appraiser: A person who, by education, experience, ability, and licensing or certification requirements is capable of preparing an appraisal of a particular piece of real estate.
Real Property: The interest, rights, and benefits that go along with the ownership of real estate, which is land and the improvements thereon.
Right-of-Way (ROW): Land or property acquired for or devoted to transportation purposes.