Staff recommends that the City Council:

1. Approve the establishment of a new Capital Improvement Project (CIP) – Historic Old Town Parking Lot Improvement Project (Project); 

2. Adopt a resolution to approve a Letter of Understanding (LOU) Agreement prepared by the Union Pacific Railroad Company (UPRR) covering the possible sale by Union Pacific Railroad Company (Seller) to City of Roseville (Buyer) of Seller's interest in certain real property in Roseville, California for an agreed-upon purchase price of $800,000, and authorize the City Manager to execute the LOU Agreement, and to terminate the LOU Agreement during the feasibility review period if conditions warrant; and

3. Adopt an ordinance to approve a budget adjustment appropriating $2,170,000 from the Strategic Improvement Fund (SIF) to the Project for the acquisition of a 1.64-acre parcel from UPRR, environmental review, and design services for the Project.

In 2017, a parking analysis was completed to evaluate the parking impact in response to the Capitol Corridor Third Track Project. In the analysis, a parking shortfall of approximately 90 to 160 spaces was identified at peak times. The UPRR parcel, referenced in the LOU Agreement, was identified as an ideal property to construct a parking lot to address the shortage.  This property was also identified for a potential parking lot by the Downtown Specific Plan, adopted in 2009.   

In addition to the Third Track project, the study identified the following factors as contributing to the shortfalls:

• Full utilization of the Roseville Station surface parking lot under existing conditions
• Increase in ridership and parking demand associated with the Third Track project
• Lack of available off-street public parking within a five-minute walk of the Roseville Station platform under existing conditions
• Significant increase in residential development and associated parking demand
• Reduction of off-street parking supply

Approval and execution of the LOU Agreement is necessary to establish an agreed-upon purchase price for the property and terms and conditions for both parties, including allowing the City time to do appropriate due diligence in advance of property acquisition, such as environmental testing, surveys, title report review, mitigation studies, etc. The LOU provides for a 90-day survey period and a concurrently running 120-day Feasibility Review Period, during which time surveys will be shared with the Seller (UPRR) and City staff will conduct a title review. If needed, an additional 90-day extension can be requested of UPRR for further title review by City staff. Should any of the surveys deem the acquisition of the property for the agreed-upon purchase price undesirable to the goals of the City, the City Manager can terminate the LOU and reassess terms of acquiring the property from UPRR. 

Establishment of the CIP is necessary for staff to continue with the City’s effort to create more parking in Historic Old Town Roseville, should the acquisition be finalized.

With final acquisition approvals following the feasibility review period, staff anticipates the acquisition of the property being completed by March, 2025.  Design of the approx. 110-space parking lot will immediately follow successful acquisition and will include development of the construction timeline.

A budget adjustment in the amount of $2,170,000 is being requested from the Strategic Improvement Fund (SIF) to fully fund the property acquisition, environmental review, and design services.  Construction is estimated to cost approximately $3,130,000 and will come to Council for future contract and budget approval. No General Fund resources are proposed for this project.

Development of the Historic Old Town Parking Lot Improvements Project was previously evaluated in the Downtown Roseville Specific Plan EIR (March 16, 2009) (SCH: 2007102090), and identified in the associated City of Roseville Downtown Specific Plan. As discussed in the Specific Plan EIR, the EIR provides environmental analyses of community infrastructure and facilities, including parking facilities, like the proposed project. Because the project is consistent with the Downtown Roseville Specific Plan Final EIR and Specific Plan, no new effects would be expected to occur and all applicable mitigation measures from the Downtown Roseville Specific Plan EIR will be implemented during the design and construction of the Historic Old Town Parking Lot Improvements Project. Because the proposed project meets the requirements identified in Section 15183 of the State CEQA Guidelines, no additional CEQA review is required.

Goal F - Invest in well-planned infrastructure and growth

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Dominick Casey, City Manager