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Rail-to-Trail Project Sparks Outcry Over Alleged Land Value Suppression

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The Sonoma Marin Area Transit Authority (SMART) is allegedly seeking to scam landowners in their latest attempt to push through their Rail-to-Trail project, intended as part of California’s 300-plus-mile Great Redwood Trail, despite legal challenges. The project, which seeks to convert sections of an existing railroad right of way into a multi-use recreational pathway, requires SMART to acquire easements from private property owners who own property along the pathway. Recent communications sent by SMART to affected property owners have come under fire for being highly misleading and omitting crucial legal information that could significantly impact owners' rights and compensation.

Background: SMART is seeking to build a recreational path

SMART is seeking to convert sections of its existing railroad right of way into a multi-use recreational pathway, necessitating the acquisition of easements from private property owners. SMART’s rail-trail conversion is part of the larger Great Redwood Trail project, a planned 300-plus-mile rail-trail spanning from southern Marin County to Arcata in Humboldt County. The agency has mailed letters to those affected, offering to purchase these easements based on appraisals that set the value of the land at a “nominal” sum —typically only $1,000.

Legal Omission: Property owners are entitled to fair compensation

Critically, these communications fail to inform property owners of a key finding in the case of Muelruth v. SMART, in which the court determined that SMART does not have the right to convert its railroad right of way to a recreational pathway. So, although SMART can move forward with its pathway project, it can only do so after paying affected landowners fair and just compensation—the fair market value of their land plus any damages associated with the pathway, including those related to privacy and security concerns. These damages are far more than a token amount based on arbitrary appraisals based on current Sonoma County land values.

It is alleged that SMART is undervaluing this property. Rather than disclosing the full scope of the court’s decision, SMART’s letters to land owners present an “appraisal” suggesting that the property’s value is only “nominal” and implying that the legal status of the right of way is “ambiguous.” This practice has generated significant concern, as the difference between the amount being offered and the compensation property owners are legally entitled to receive is substantial. According to plaintiffs’ attorney Steve Wald: “What SMART is trying to pull off is outrageous. In at least one case they are offering our client $1,000 for land that is worth well in excess of $100,000. SMART is clearly trying to take advantage of property owners who do not have legal counsel.”

Plaintiffs Take Action: Motion for Protective Order

In response to SMART’s ongoing communication practices, the plaintiffs in the Muelruth v. SMART lawsuit have recently filed a Motion for a Protective Order with the Court. The motion seeks to prevent SMART from further misleading property owners and asks the Court to mandate the sending of a corrective notice. This notice would advise all affected individuals of the court’s findings and clarify their rights in relation to SMART’s limited easement.

Call for Transparency and Fairness

Property owners and advocates are calling on SMART to adhere to the principles of transparency and fairness in its dealings. They urge all affected parties to consult legal counsel and to be aware of their rights under the law before responding to any offers. The situation remains fluid as the Court considers the plaintiffs’ Motion for Protective Order, which could reshape the communications and compensation process going forward.

  • For further information, affected property owners are encouraged to:
  • Review the court’s findings in Muelruth v. SMART
  • Seek independent appraisals and legal advice
  • Stay informed as the litigation develops and corrective notices are issued