REPORT TO THE CITY COUNCIL FROM: NICHOLAS D. MASCIA, PE, Assistant City Manager Interim Director, Capital Projects Department GREGORY A. BARFIELD, M.A., Director Department of Transportation BY: NANCY BRUNO, Right of Way Manager Capital Projects Department, Capital Administration Division SHANNON M. MULHALL, CASp, Projects Administrator Department of Transportation, Administration Division SUBJECT ..Title Actions pertaining to the acquisition of property rights on a parcel located on South Cedar Avenue, south of East Dwight Way, to benefit the FAX Bus Stop ADA Improvements Project (Council District 5): 1. Adopt a finding of Categorical Exemption for Environmental Assessment Number P26-20262, pursuant to Section 15301/Class 1 and Section 15302/Class 2 of the State of California Environmental Quality Act (CEQA) Guidelines 2. HEARING to consider a Resolution of Necessity for acquisition of a permanent easement and a temporary construction easement for public pedestrian walkway and street purposes on a portion of Assessor's Parcel Number 471-282-20, owned by Evert Hugosson and Nanette Hugosson, for the construction of the FAX Bus Stop ADA Upgrades Project 3. ***RESOLUTION - Determining that public interest and necessity require acquisition of a permanent easement and a temporary construction easement for public pedestrian walkway and street purposes through and across portions of Assessor's Parcel Number 471-282-20, owned by Anders Evert Hugosson and Nanette Hugosson, for the construction of the FAX Bus Stop ADA Upgrades Project, and authorizing eminent domain proceedings for public use and purpose (Requires 5 affirmative votes) (Subject to Mayor's Veto) ..Body RECOMMENDATIONS Staff recommends the City Council: 1) adopt a finding of Categorical Exemption for Environmental Assessment Number P26-20262, pursuant to Section 15301/Class 1 (Existing Facilities) and Section 15302/Class 2 (Replacement or Reconstruction) of the CEQA Guidelines, 2) conduct a public hearing to consider the adoption of a Resolution of Necessity for the acquisition of a 0.0024-acre (104.88 square feet) permanent pedestrian easement and a 0.0036-acre (158.65 square feet) temporary construction easement from portions of the real property identified as Assessor's Parcel Number (APN) 471-282-20, owned by Anders Evert Hugosson and Nanette Hugosson, for the construction of the Fresno Area Express (FAX) Bus Stop Americans with Disabilities Act (ADA) Upgrades Project (located on South Cedar Avenue, South of East Dwight Way); and 3) adopt the Resolution of Necessity, which states that public interest and necessity require acquisition of a permanent easement and a temporary construction easement for public pedestrian walkway and street purposes through and across portions of Assessor's Parcel Number 471-282-20, owned by Anders Evert Hugosson and Nanette Hugosson, for the construction of the FAX Bus Stop ADA Upgrades Project, and authorizing eminent domain proceedings for public use and purpose, pursuant to California Code of Civil Procedure �1245.230. EXECUTIVE SUMMARY The acquisition of property rights on a portion of APN 471-282-20, located at 4160 East Dwight Way in Fresno, California (the Subject Property), will provide the City with a permanent easement and a temporary construction easement (collectively, the Easements). The Easements are necessary to support construction at FAX Bus Stop Number 1537 for the FAX Bus Stop ADA Upgrades Project (the Project). The Easements on the Subject Property, owned by Anders Evert Hugosson and Nanette Hugosson (collectively, the Owner), comprise approximately 0.0060-acre (263.53 square feet) in total and include existing improvements that will be evaluated and compensated as part of the acquisition process. The Resolution of Necessity (RON) authorizes the City Attorney to initiate an eminent domain action and obtain an order of possession for the required property rights on the Subject Property. To acquire the Easements, the City must secure a court order through the eminent domain process. Adoption of this action requires five (5) affirmative votes and is subject to veto by the Mayor. BACKGROUND The City of Fresno is committed to remediating accessibility deficiencies at bus stops systemwide per the FAX ADA Bus Stop Transition Plan adopted in 2021. While the focus of this plan is the removal of barriers to access for people with disabilities, the resulting capital improvement projects enhance bus stops and amenities for the whole community. These bus stops are prioritized according to route ridership and access to key services (healthcare, education, food, etc.). Engineering design for the identified 75 bus stops was completed and divided into four phases: A, B, C, and D. Phase D improvements benefit the following bus routes: 9, 26, 32, 34, 38, 39 and 58. This Project is part of FAX's efforts to improve service, provide passengers with a better overall experience and meet the Department's obligations under the ADA. The improvements will include repairs to sidewalk slopes, repair and replacement of curb and gutter, and may include the relocation of stops in order to best remediate barriers. This Project does not include the installation of any new shelters, benches, or trash cans. Where these amenities exist at Project locations, they will be reinstalled at the same location unless doing so would violate State and Federal standards or codes. To accommodate construction of the Project, the acquisition of certain property rights is required. One of the affected properties is APN 471-282-20, located at 4160 East Dwight Way. The Subject Property is part of a larger parent parcel consisting of three properties that function as one economic unit; however, only APN 471-282-20 is affected by the Project. The larger parcel comprises approximately 0.73-acre (31,920 square feet). From this larger parcel, a total of 0.0060-acre (263.53 square feet) is needed in the form of a permanent easement and temporary construction easement to provide the space necessary for the Project improvements. City Staff (Staff) prepared a waiver valuation to determine the fair market value (FMV) of the Easements for the Project. The combined FMV was determined to be $2,100 based on the waiver valuation, as defined by Section 1263.320 of the Code of Civil Procedure. Pursuant to Section 7267.2 of the Government Code, a first written offer of just compensation in the full amount of the waiver valuation was sent via USPS First-Class Mail to the Owner by Staff on November 18, 2025. On December 10, 2025, Staff received a phone call from Niklas Hugosson, the Owner's son, who stated that he has an ownership interest in the property. After reviewing the City's offer, he and his parents expressed concerns about the Project and its impact on their parcel. Mr. Hugosson suggested that FAX relocate the existing bus stop to another location instead of pursuing the Easements on the Subject Property. The FAX project manager conveyed that relocation is not feasible due to Federal Transit Administration (FTA) guidance and recommended practices. Mr. Hugosson subsequently emailed Staff to notify them that the Owner's would obtain an independent appraisal, as permitted under California Code of Civil Procedure Section 1263.025. Staff has not yet received the owners' appraisal. In the interim, the City retained the Dor� Group (TDG) to appraise and determine the value of the acquisition area on the Subject Property. The appraisal report, with a date of value of February 2, 2026, concluded that the combined fair market value (FMV) of the Easements is $8,000. On February 10, 2026, Staff sent a revised offer of just compensation via USPS First-Class Mail in the full amount of the appraisal. Staff attempted to contact the Owner several times to discuss the second offer, but their calls and emails were not returned. Staff recommend initiating the eminent domain process to acquire the Easements and right-of-way on the Subject Property. Starting the eminent domain process now allows the City to obtain an order of possession from the court while giving the Owner a forum in which to make their claim for compensation. For each property interest to be acquired, a Resolution of Necessity must be adopted prior to the commencement of eminent domain proceedings (see Attachment, Resolution of Necessity Requirements). The Project is funded through SB125 Transit Funding allocation, administered by the State of California, along with Federal Funds. The City Attorney's Office has reviewed and approved the Resolution of Necessity. ENVIRONMENTAL FINDINGS Staff performed a preliminary environmental assessment of the Project and determined that it falls within the Categorical Exemptions set forth in CEQA Guidelines, Section 15301/Class 1 (Existing Facilities), which exempts the repair and maintenance of existing facilities that involves negligible or no expansion of an existing use, and Section 15302/Class 2 (Replacement or Reconstruction), which exempts the replacement or reconstruction of existing structures and facilities where the new structure will be located on the same site as the structure replaced and will have substantially the same purpose and capacity. The Project is consistent with Class 1 and Class 2 exemptions because the Project proposes improvements to existing bus stops to meet the dimensions of state and federal accessibility requirements, with right-of-way acquisition across five of the stops at various locations within the city limits of Fresno and will involve negligible expansion of capacity and will be located on the same site as the existing facilities. These improvements will add safety features and accessible pathways at each of the 20 bus stops, which will be beneficial to the public who use the FAX bus transportation system. The area in which each of the 20 existing bus stops is located is not environmentally sensitive, is served by all required utilities and public services, and is surrounded by urban uses. The Project includes only minor alterations and accessibility upgrades which will not negatively impact on the existing characteristics of the respective areas or the condition of land. The Project will positively contribute to promoting reduction in vehicle miles traveled, automobile delays and to greenhouse gas emissions through the further development of multimodal transportation networks. Based on Staff analysis, it has been determined that no adverse environmental impacts will occur as a result of the Project. None of the exceptions to Categorical Exemptions set forth in the CEQA Guidelines, Section 15300.2 apply to this Project. LOCAL PREFERENCE Local preference was not considered because this agreement does not include a bid for or an award of a construction or services contract. FISCAL IMPACT This Project, located in Council District 5, has no fiscal impact on the General Fund. The contract will be funded by SB125 Transit Funding Allocation, administered by the State of California, along with Federal funds. Attachments: Environmental Assessment No. P26-20262 Resolution of Necessity (RON) Resolution of Necessity Requirements Vicinity Map Location Map Staff Presentation