Loading...
HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 05/20/2008 - SECOND READING OF ORDINANCE NO. 043, 2008, APPROPR ITEM NUMBER: 8 AGENDA ITEM SUMMARY DATE: May 20, 2008 FORT COLLINS CITY COUNCIL STAFF: Ken Mannon Helen Matson SUBJECT Second Reading of Ordinance No. 043, 2008, Appropriating Prior Year Reserves in the General Fund to Purchase Property Located at 225 Maple Street. RECOMMENDATION Staff recommends adoption of this Ordinance on Second Reading. EXECUTIVE SUMMARY The City has acquired all of Block 32, with the exception of the property at 225 Maple Street. The Civic Center Master Plan includes two City office buildings on this block. The new office building has not been planned,but this property will be used either as the building site, a parking garage,or a park adjacent to the new building. This Ordinance,unanimously adopted on First Reading on May 6,2008,appropriates the funds necessary to acquire the property and pay associated expenses for the purchase. ATTACHMENTS 1. Copy of First Reading Agenda Item Summary- May 6, 2008. (w/o original attachments) ATTACHMENT 1 ITEM NUMBER: 10 AGENDA ITEM SUMMARY DATE: May6, 2008 FORT COLLINS C13XZ. O I FF: Ken Mannon -It )LP Helen Matson SUBJECT First Reading of Ordinance No. 043,2008,Appropriating Prior Year Reserves in the General Fund to Purchase Property Located at 225 Maple Street. RECOMMENDATION Staff recommends adoption of the Ordinance on First Reading. FINANCIAL IMPACT This Ordinance authorizes the ropriat n of$ 4 00 injp �year reserves in the General Fund to purchase property located at ,p a resee a portion of the proceeds from the properties exchange with Colorado State University, specifically for the 25 acre site at the intersection of Prospect Road and I-25. These funds will be used for the purchase of the site, environmental testing, appraisal services, razing the site, closing costs, and staff time for negotiation. EXECUTIVE SUMMARY The City has acquired all of Block 32,with the exception of the property at 225 Maple Street. The Civic Center Master Plan includes two City office buildings on this block. The new office building has not been planned, but this property will be used either as the building site, a parking garage, or a park adjacent to the new building. In order to proceed with this transaction, staff is requesting Council to approve the appropria5WA,2f ftiaasAece&QAU t quirettie property and pay associated expenses for the purchase. �,"/ (W."/ 0 BACKGROUND Off and on since the 1980s, City staff has met with the owners of Haiston Oil Company to discuss the City's purchase of its site. Negotiations have always failed because no agreement could be reached on a purchase price for the site. Late last year,Haiston again came to the City with an offer to sell its property to the City. The City and Haiston both acquired appraisals. Recently Haiston Oil Company agreed to sell its site to the City, environmentally clean, for $1,400,000, or $43/square May 6, 2008 -2- Item No. 10 foot. This site is the last parcel on Block 32 to be purchased by the City. The agreed upon price is reflective of sold assemblage purchases in the area. The City had a Phase I Environmental Site Assessment prepared for the property. Based on this Phase I report,the City will be o �g a I tal ort. From the Phase II report, both parties will know what it s,nee be c e ed y s n Oil Company prior to the City taking title to the property. e Agr ent case Sale of Real Property is being developed at this time. The requested funds will be used for the $1,400,000 purchase price, environmental testing, site demolition, appraisal services, closing costs, and staff time to complete negotiation services. The total appropriation request is $1,465,000. ATTACHMENTS 1. Location Map. ORDINANCE NO. 043, 2008 OF THE COUNCIL OF THE CITY OF FORT COLLINS APPROPRIATING PRIOR YEAR RESERVES IN THE GENERAL FUND TO PURCHASE PROPERTY LOCATED AT 225 MAPLE STREET WHEREAS, the City owns all of Block 32 in the city, with the exception of the property at 225 Maple Street; and WHEREAS,the City's Real Estate Services staff has reached an agreement with Haiston Oil Company to purchase the property at 225 Maple Street, once all environmental hazards have been resolved to the City's satisfaction, for $1,400,000, subject to the Council's appropriation of the necessary funds; and WHEREAS,the City had a Phase I Environmental Site Assessment prepared for this site and, based on this report, the City will order a Phase II Environmental Site Assessment to determine whether the issues identified in the Phase I Environmental Site Assessment merit remediation or are satisfactory to the City prior to the City taking title to the property; and WHEREAS, an appropriation of $1,465,000 is requested and will be used to pay the $1,400,000 purchase price and an additional $65,000 for environmental testing, site demolition, appraisal services, closing costs, and staff time to complete negotiation services; and WHEREAS,the City received funds in 2007 from a property transaction with Colorado State University,specifically the 25 acre site at the intersection of Prospect Road and I-25,and these funds were to be used for land purchases; and WHEREAS,the proceeds received in 2007 are now available in the General Fund prior year reserves; and WHEREAS, Article V, Section 9,of the Charter of the City of Fort Collins permits the City Council to appropriate by ordinance at any time during the fiscal year such funds for expenditure as may be available from reserves accumulated in prior years,notwithstanding that such reserves were not previously appropriated. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS that there is hereby appropriated for expenditure from General Fund prior year reserves the sum of ONE MILLION FOUR HUNDRED SIXTY FIVE THOUSAND DOLLARS($1,465,000) to be used for the purchase of property located at 225 Maple Street. Introduced,considered favorably on first reading,and ordered published this 6th day of May, A.D. 2008, and to be presented for final passage on the 20th day May, A.D. 2008. Mayor ATTEST: �tl L,�. 4. I A.--tit j,j City Clerk Passed and adopted on final reading on the 20th day of May, A.D. 2008. Mayor ATTEST: City Clerk