ST0502A-PR110329
(8/5/2011) Keith Marvin - Fwd: Freeport Parkway - ProposalPage 1
From: Michael Garza
To:Keith Marvin
Date: 3/29/2011 4:06 PM
Subject: Fwd: Freeport Parkway - Proposal
Attachments:Cover Letter and Contract.docx; Cover Letter and Contract.pdf
>>> On 3/29/2011 at 3:24 PM, in message <689027.76617.qm@web81706.mail.mud.yahoo.com>, Jay Cullar
<jaycullar@sbcglobal.net> wrote:
Mike,
Attached is a draft of what I have worked on today. Please feel free to make or
suggest any changes. As stated previously, the proposal covers everything that
we have encountered with our clients over the past decade. There is much in it
that likely does not relate to Freeport Parkway. We simply include everything in
the event you needed us for something else not previously discussed.
The document is in MS Word format and PDF format. Please let me know if you have
trouble opening the document.
Cordially,
Jay Cullar
14277 Preston Rd. #623
Dallas, TX 75254
Cell: 817-319-3900
Email: info@rowac.com
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March 29, 2011
Mr. Mike Garza, EIT
City of Coppell
Engineering Department
P.O. Box 9478
Coppell, TX 75019-9478
Re: Freeport Parkway Improvement Project
Dear Mr. Garza:
It was a pleasure to meet with you yesterday. Thank you for taking the time to show me the
project and explain some of the challenges the City faces.
In our meeting, the thought occurred to me that the City might be concerned that we try to
complete the project in as quick a manner as possible and then abandon the project. Yes, it is true
that we do try to complete projects in a timely manner. However, we strive to maintain a
relationship with our clients for many consecutive years. We only work in the Metroplex. We
have been here exclusively since we were founded in 1986. We anticipate being able to serve the
City and her residents for as long as the City desires. We have no requirement nor expectation to
hurry property owners to make a decision. Our only goal is to serve the City in the manner the
City requires.
PROJECT SUMMARY
After the meeting, I drove the project, have given additional thought to it and have a clearer
understanding of what might be required to successfully complete it.
The properties can be divided into two general categories: commercial and residential uses.
Commercial Uses:
The properties that are currently utilized as commercial uses should be fairly straight forward
acquisitions.
ECOM Real Estate Management: This should be a fairly straight forward acquisition. However,
the property owner appears to be based in Boston, Massachusetts. It could prove to be a
challenge to cause them to give the City’s project the attention that it deserves. We should take
this into consideration when planning our course of action. It should be noted that ECOM and
Amberpoint appear to be the same property owner. For our purposes, we treat these two
properties as one negotiation.
Alford Media Services: We have been a customer of Alford for the past 15 years. Their primary
concern should be maintaining ingress and egress to their property for their suppliers and
customers.
Residential Uses:
There are several potential challenges associated with the residential uses. If we were to work on
the project, we would anticipate these challenges and create a plan for addressing the needs of
the residents and owners.
Stewart Family Living Trust: This property has significant items in the right of way including a
metal fence and several mature trees which creates a pleasing residential atmosphere. In these
situations, it is irrelevant that the trees may be hackberries. For the use and enjoyment of the
property, they might as well be planted, ornamental trees.
The proximity of the new road will, of course, cause the property owner concern. However, the
property is still fully functional in the after condition with some modification of the existing
improvements such as the fence, gate / driveway, and a plan to address the mature trees.
Our approach to this acquisition would be to meet with the owner to 1) understand their
concerns, and 2) determine if there was a way that we could re-create a similar or otherwise
complementary use and feel for the continued enjoyment of the property owner. We have
significant experience dealing with this type of intrusion into a residential property, and we
believe that we can help walk the property owner through the process in a way that provides
what the City needs, and takes into consideration the desires of the property owner.
Property owners need to feel that their concerns are being treated seriously and that their needs
are being taken into consideration and addressed. Frequently property owners feel powerless. If
we can overcome those issues, we can make progress with a property owner.
Likewise, there are property owners who believe that their concerns are the only things that
matter and that the needs and desires of the community are irrelevant. Property owners who
believe this way can be a significant challenge.
Tate: This property appears to be significantly impacted by floodplain / floodway. We can learn
more through further study. It may be that after the acquisition of this property, that the property
has extremely marginal utility. We would prepare the City to consider the possibility of having to
make an offer to acquire the entire property in the event it is determined that the property cannot
be developed in the future. This is required by law in the event of creating an uneconomic
remainder.
Alexander: It appears that the project brings the ROW acquisition to within 10’ of the Alexander
residence. Although the Stewart family may have been the most vocal property owner on the
project, we consider this property to have similar issues to Stewart, and we would approach this
property owner in the same manner as Stewart.
Hardman: The primary concern that this property owner may have is likely to be replacement of
paved parking currently enjoyed. We consider this to be a curable item. Generally speaking,
property owners are concerned about how they will pay for the improvements to be replaced, and
who will be performing the work. We will be prepared to answer all of the property owner’s
concerns.
Floodplain / Floodway
It has been noted that the Tate, Alexander and Sorokwasz properties may be significantly
impacted by floodplain and/or floodway. We are very familiar with the acquisition of properties
significantly impacted in this manner.
Attached is professional services contract we have used with our clients for the past decade. It is
what we call an “evergreen” contract in that our clients can add or remove acquisitions as the
need arises. Additionally, the services are a-la-carte in that the City can pick and choose what
services they want for any particular need. For example:
Basic Services: The Freeport Parkway project is one which would fall under the category of
Basic Services in that the services required on the project are typical and customary of many
other similar projects: determining ownership, meeting with property owners, satisfying
concerns, addressing issues, obtaining signatures, et cetera.
Additional Services: These services are used primarily for consulting assignments such as cost
estimating or route studies. Additionally, anything the City requires that does not fit into the
category of a “traditional” acquisition fall under this category.
We want to be a team player with the City and blend into the City’s established customs as much
as possible. Should we need to change anything in the proposed contact, please let me know and
we will adjust it accordingly.
Cordially,
Jay Cullar
Enclosure: Proposal
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March 29, 2011
Mr. Mike Garza, EIT
City of Coppell
Engineering Department
P.O. Box 9478
Coppell, TX 75019-9478
Re: Proposal for right-of-way acquisition services for the City of Coppell
Freeport Parkway Improvement Project
Dear Mr. Garza:
Thank you for considering ROWAC to assist the City of Coppell with the referenced
project. We are familiar with the property and have outlined the most probable scope of
services needed to acquire the necessary right-of-way.
Title Research
It is standard and customary that we must determine the ownership of properties and
encumbrances of those properties prior to beginning the acquisition phase because these
things can affect how the agents are to proceed.
For this, or any other project where title insurance is not obtained, ROWAC proposes to
perform a title abstract to determine the current ownership of all affected properties and
any liens or encumbrances filed of record.
It may be that some title clearing may become necessary depending upon what is
discovered and the desires of the City. The extent of title clearing cannot be estimated
with having first examined the title. Therefore, we cannot estimate the time that it will
take to clear the title. Our experience has been that title can be cleared with
approximately ten hours of work. ROWAC will perform the work at the previous agreed
hourly rates.
Acquisition
ROWAC proposes to perform the necessary functions needed to secure the required right
of way land rights by agreed compensation. For the purpose of this proposal, a parcel is
defined as a contiguous tract of land owned by an individual ownership entity, i.e.
nuclear family, partnership or corporation. Fees associated with negotiating with
additional interest holders (tenants, landlords, attorneys, partners, other family members
not authorized to convey title to the property, etc.) or for the acquisition of additional
tracts of land owned by the same entity are listed as well.
Basic Services required for this project will include ROWAC ordering all title
commitments and abstracts, ordering appraisal services for various parcels if deemed
necessary, making all contacts and negotiations with the property owners, soliciting
signatures of owners of record, and preparing the file for condemnation in the event it
becomes necessary.
Appraisal Services
ROWAC believes that clients should be prepared to order appraisal services in the event
it is deemed appropriate. For budgeting purposes, we recommend that our clients allocate
$5,000 in appraisal services per project in the event they become necessary.
Appraisals are considered professional services and cannot be accurately quoted without
detailed investigation of each affected parcel. In the event that appraisal services become
necessary, we would propose having Jim Cullar with the firm of Evaluation Associates
submit a proposal to the City directly for their appraisal services.
Of course, ROWAC and Evaluation Associates will be pleased to work with the City
regardless of the other’s involvement. ROWAC and Evaluation Associates are
independently owned and operated. We have significant history with each other, and our
procedures and policies work better together than those of other firms.
Title Clearing / Title Curative Services
On any given project, title curative or clearing services may or may not be required. In
the event they are necessary, we invoice for these services on a time and materials basis
at the hourly rates stated under Additional Services.
For budgeting purposes, it has been our experience that a budget of $600 per parcel
should cover title curative services in the event they become necessary.
Additional Services
Additional services include communications and negotiations with third parties having
other interests in the same property which must be satisfied to convey unencumbered
title, as specified by the City Attorney. Such parties could include lien holders, taxing
authorities, tenants and heirs. These services will be invoiced on a time and materials
basis at the hourly rate of $75 for Associates and $125 for Principals. Without review of
title commitments or abstracts, it is not possible to estimate the amount of title curative or
additional services accurately. Other additional services include those services not
foreseen nor covered under Basic Services. Additional appraisal services, county
recording/copy fees, courier fees and excess mileage charges are also treated as
additional services and are billed at the actual or nominal expense.
Cost and Fees
ROWAC proposes the following fee structure. The fees are based on a per parcel basis
and are a-la-carte meaning that only those services needed are performed and, therefore,
invoiced. Additionally, the fees are based upon the most likely circumstances that
ROWAC would encounter.
Title Examination / Abstracts $200/parcel
Acquisition Basic Services $2,300/parcel
Additional parcels/owners $1,150/parcel/owner
Title Clearing Impossible to estimate. For budgeting
purposes allow $600/parcel
Appraisal To be determined after review of
engineering and at a later date. For
budgeting purposes, allow $5,000 per
project.
Miscellaneous Fees For budgeting purposes $100/parcel
County recording fees $35 per instrument
FedEx $25/package
Lone Star Overnight $15/package
Hourly Fees (usually only required for title clearing or non-specific project or
planning costs)
Associates $75/hour
Principals $125/hour
Invoices
ROWAC invoices clients on a milestone basis at various intervals. Milestones are
generally considered as follows:
1)Making the firm offer – it is at this time that we have a clear understanding of
the property and challenges faced having made property inspections and
determined the ownership of the property.
2)After entering upon significant negotiations with the property owner. This is
usually signified by having responded to all known property owner concerns in
writing or having received a counter-offer from a property owner.
3)Upon signing or sending out the Final Offer letter which is approved by the
City.
4)Delivering the completed file to the City after agreement or for condemnation
in the event it becomes necessary.
The vast majority of ROWAC’s acquisitions are performed for $2,300. Unique
circumstances and City procedures dictate other services that may be required on a case-
by-case basis.
For ROWAC’s purposes, this proposal will suffice as a professional services agreement.
Signing below will signify that the scope of services outlined in this proposal is
agreeable, and we will begin work upon receipt of the engineering. Should a more
formal agreement be required, we can submit one for your consideration or will be
pleased to execute yours. The City of Coppell may cancel this contract or stop work on a
project at any time, for any reason, with written notice. Fees and charges accrued to that
point will be invoiced on the basis of milestones or actual time spent working on the
project to the date of termination.
Please do not hesitate to contact me if you have any question or if we can assist you in
any way.
Respectfully submitted,
For ROWAC For the City of Coppell
_______________________________ ________________________________
Jay Cullar, SR/WA Name: __________________________
Principal Title: ___________________________