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Bee Branch Creek Rest. Project Purchase of Property_Junnie & Rich's Coin PartnershipTHE CITY OF Dubuque T--. D V L E AI-Nnedcal~tY f Masterpiece on the Mississippi 2007 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Bee Branch Creek Restoration Project, Purchase of Property Owned by Junnie and Rich's Coin Partnership DATE: September 30, 2008 City Engineer Gus Psihoyos recommends City Council approval of resolutions establishing the fair market value of the property owned by Junnie & Rich's Coin Partnership (Lot 353 and the eastern one-half of Lot 352 in East Dubuque No. 2 approved at $100,500 and Lot 319 and the westerly one-half of Lot 352 in East Dubuque No. 2, approved at $100,500) and authorizing the City Manager and the City Attorney to commence negotiations to acquire the property required for the Bee Branch Creek Restoration Project. The owner has been unwilling to sell the property for the appraised values. I concur with the recommendation and respectfully request Mayor and City Council approval. Micha I C. Van Mi ligen MCVM/jh Attachment cc: Barry Lindahl, City Attorney Cindy Steinhauser, Assistant City Manager Gus Psihoyos, City Engineer THE CITY OF DUB E Masterpiece on the Mississippi TO: Michael C. Van Milligen, City Manage FROM: Gus Psihoyos, City Engineer Dubuque e~ ~ r 2007 September 30, 2008 SUBJECT: Bee Branch Creek Restoration Project, Purchase of Property Owned by Junnie and Rich's Coin Partnership. INTRODUCTION The purpose of this memo is to establish the fair market value of property owned by Junnie and Rich's Coin Partnership and seek authorization for the City Manager and City Attorney to begin negotiations to acquire the property required for the Bee Branch Creek Restoration Project. BACKGROUND In December of 2001, the City Council formally adopted the Drainage Basin Master Plan (DBMP) prepared by HDR Engineering (Omaha, NE). Based on the study, approximately 1,150 homes and businesses in the Bee Branch watershed are at risk of flood damage. The DBMP recommends several capital improvement projects that would reduce the threat of flood damage in the Bee Branch Creek Watershed. They are the Carter Road Detention Basin that was completed in the spring of 2004, the W. 32nd Street Detention Basin that is currently under construction, and the Bee Branch Creek Restoration Project from 16th Street to 24th Street that is currently under design. In December of 2004, the City Council established the alignment for the Bee Branch Creek Restoration Project, from 15th and Sycamore Streets to 24th and Washington Streets, and established a building permit moratorium for the properties impacted based on the alignment. The alignment established the properties necessary to be acquired for the Bee Branch Creek Restoration Project. DISCUSSION There are two properties owned by Junnie and Rich's Coin Partnership that were identified for acquisition in the project alignment approved by the City Council. The property legally described as Lot 353 and the Eastern One-half of Lot 352, in East Dubuque No. 2 was appraised at $100,500.00. The property legally described as Lot 319 and Westerly One-half of Lot 352, in East Dubuque No. 2 was appraised at $100,500.00. The owner has been unwilling to sell the property for the appraised value. RECOMMENDATION I recommend that the City establish the fair market value of the property owned by Junnie and Rich's Coin Partnership at the appraised value and that the City Manager and City Attorney begin negotiations with the property owner. BUDGET IMPACT The FY2009 budget included $3,902,395 for the property acquisitions associated with the Bee Branch Creek Restoration Project. ACTION TO BE TAKEN I respectfully request that the City Council adopt the attached resolutions establishing the fair market value of the property owned by Junnie & Rich's Coin Partnership and authorizing the City Manager and City Attorney to commence negotiations to acquire the property. Attach. Prepared by Deron Muehring cc: Barry Lindahl, City Attorney Deron Muehring, Civil Engineer II K:\PROJECTS\Storm and Sanitary\BEE BRANCH\memo, mvm, bb, property, rich-jun 1.doc RESOLUTION NO. ESTABLISHING THE FAIR MARKET VALUE OF CERTAIN REAL PROPERTY OWNED BY JUNNIE AND RICH'S COIN PARTNERSHIP IN THE CITY OF DUBUQUE, IOWA. WHEREAS, the City of Dubuque (City) intends to acquire certain real property owned by Junnie and Rich's Coin Partnership (Owner), legally described as follows (the Property): Lot 319 and Westerly One-half of Lot 352, in East Dubuque No. 2, all in the City of Dubuque, Dubuque County, Iowa as shown on Exhibit A attached hereto for the purpose of the stormwater conveyance associated with the restoration of the Bee Branch Creek; AND WHEREAS, Iowa law requires that City must make a good faith effort to negotiate with the Owner to purchase the Property before proceeding with condemnation; AND WHEREAS, City has caused an appraisal of the property to be made and the appraised value of the property is $100,500.00; AND WHEREAS, the City Council now desires to establish the fair market value of the property. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA: 1. The fair market value of the Property is hereby established to be $100,500.00. 2. The City Manager and the City Attorney are hereby authorized to commence negotiations with the Owner of the Property and any other interested parties for the purchase of the Property for a purchase price which is not less than the fair market value established by this resolution. Passed, approved and adopted this day of , 2008. Roy D. Buol, Mayor Attest: Jeanne F. Schneider, CMC City Clerk RESOLUTION NO. ESTABLISHING THE FAIR MARKET VALUE OF CERTAIN REAL PROPERTY OWNED BY JUNNIE AND RICH'S COIN PARTNERSHIP IN THE CITY OF DUBUQUE, IOWA. WHEREAS, the City of Dubuque (City) intends to acquire certain real property owned by Junnie and Rich's Coin Partnership (Owner), legally described as follows (the Property): Lot 353 and the Eastern One-half of Lot 352, in East Dubuque No. 2, all in the City of Dubuque, Dubuque County, Iowa as shown on Exhibit A attached hereto for the purpose of the stormwater conveyance associated with the restoration of the Bee Branch Creek; AND WHEREAS, Iowa law requires that City must make a good faith effort to negotiate with the Owner to purchase the Property before proceeding with condemnation; AND WHEREAS, City has caused an appraisal of the property to be made and the appraised value of the property is $100,500.00; AND WHEREAS, the City Council now desires to establish the fair market value of the property. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA: 1. The fair market value of the Property is hereby established to be $100,500.00. 2. The City Manager and the City Attorney are hereby authorized to commence negotiations with the Owner of the Property and any other interested parties for the purchase of the Property for a purchase price which is not less than the fair market value established by this resolution. Passed, approved and adopted this day of , 2008. Roy D. Buol, Mayor Attest: Jeanne F. Schneider, CMC City Clerk