Miss Valley Truck Ctr propertyTO:
The Honorable
MEMORANDUM
May 16, 2002
Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Establishment of Fair Market Value and Formal Commencement of
Negotiations with Mississippi Valley Truck Center, Inc.
Economic Development Director Bill Baum is recommending establishment of the fair
market value of 1.486 acres of land owned by Mississippi Valley Truck Center in the
Port of Dubuque at $442,669. He further recommends that the City begin good faith
negotiations to acquire the property in furtherance of the Port of Dubuque Master Plan
and the Ice Harbor Urban Renewal Plan. The Ice Harbor Urban Renewal Plan,
amended and restated on June 5, 2000, designated the parcel for acquistion.
This property is a blighting influence on the area and is a use counter to the Master
Plan. Not only does the $188 million of investment being done as part of the America's
River project need to be protected, but also this will enhance the possibility of an
additional $150 million in investment identified through the Master Plan's financial
analysis.
The America's River project is under construction with the Grand Harbor Resort and
Water Park scheduled to open in November 2002; the Mississippi Riverwalk scheduled
for completion in late 2002; the Mississippi River National Museum and Aquarium
scheduled to open in Summer 2003; the Mississippi River National Education and
Conference Center scheduled for completion in late 2003; and a 45,000 square foot
office building to be competed in early 2004.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
Michael C. Van Milligen
MCVM/jh
Attachment
cc: Barry Lindahl, CorPoration Counsel
Cindy Steinhauser; Assistant City Manager
Pauline Joyce, Adrpinistrative Services Manager
William Baum, Ecdnomic Development Director
CITY OF DUBUQUE, IOWA
MEMORANDUM
May 15, 2002
TO: Michael Van Milligen, City Manager
FROM: William J. Baum, Economic Development Director
SUBJECT: Establishment of Fair Market Value and formal commencement of
negotiations with Mississippi Valley Truck Center, Inc.
INTRODUCTION
This memorandum presents for City Council approval a resolution establishing fair
market value and authorizing commencement of negotiations for property in the Port of
Dubuque.
DISCUSSION
The City Council recently approved a Master Plan for the Port of Dubuque. The Port of
Dubuque is the site of the $188 million America's River Project. The Master Plan
provides for the redevelopment of the area. One of the major responsibilities of the City
in implementing the Master Plan is acquiring and assembling properties, which
ultimately will be offered to developers. The Ice Harbor Urban Renewal Plan, amended
and restated on June 5,2000, designated this parcel for acquisition.
Acquiring properties that are a blighting influence and have a use counter to the Master
Plan is very important to protect the investment occurring in the Port of Dubuque. The
City is in the process of letting bids on the Education and Conference Center. Platinum
Hospitality's hotel and indoor water park is under construction, and the Dubuque County
Historical Society's Mississippi River Museum and Aquarium is also under construction.
Equally important is the financial analysis in the Master Plan that shows there will be
$15O million in additional development in the Port of Dubuque if the City continues to
implement the Plan. The City must continue to negotiate and acquire properties for
further redevelopment of the area.
The City Economic DeveIopment and Legal staff have met on many occasions with the
owners of Mississippi VaIley Truck Center, Inc. to negotiate the acquisition of 1.486
acres of property located at 380 E. 4th Street. A Phase One Environmental Assessment
was completed on the property last year.
We also have attempted to assist the company in finding a new location. Last summer
the City hired an engineering firm to evaluate numerous sites for the company. The City
has also hired a real estate firm to meet with the owners of the company to assist in the
search for a new site. Over 15 sites were toured and discussed with the company. To
date, none of the locations have been selected by the company.
The City has recently completed an updated appraisal of the properly. Based upon the
appraisal, the fair market value of the property as vacant land is $442,669 for 1.486
acres. The fair market yalue includes a deduction ($49,280) for demolition of existing
structures. Enclosed is a copy of a map identifying the property.
RECOMMENDATION
I recommend the City Council move forward with the acquisition of the property of
Mississippi Valley Truck Center, Inc. by adopting the attached resolution establishing
fair market value, and formally authorizing negotiations with the company.
F:\USERS\WBaum\Memos to Mike -- General~lemo about Miller Trucking.doc
RESOLUTION NO. 269-02
ESTABLISHING FAIR MARKET VALUE FOR THE ACQUISITION
OF CERTAIN REAL PROPERTY OWNED BY MISSISSIPPI
VALLEY TRUCK CENTER, INC.
WHEREAS, the City of Dubuque (City) intends to acquire certain
real property owned by Mississippi Valley Truck Center, Inc., legally
described on Exhibit A attached hereto (the Property);
AND WHEREAS, Iowa law requires that City must make a good
faith effort to negotiate with the owner to purchase the Property or any
property interest before proceeding with condemnation;
AND WHEREAS, City may not make an offer to purchase the
Property which is less than the fair market value City has established for
the Property;
AND WHEREAS, City has caused an appraisal of the Property to
be made and the appraised value of the Property is $ 442,669.
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 AS FOLLOWS:
1. The fair market value of the Property is hereby established to be
$ 442,669.
2. The City Manager and the Corporation Counsel are hereby
authorized to commence negotiations with Mississippi Valley Truck
Center, Inc. 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 20th day of May, 2002.
Ann E. Michalski, Mayor Pre-Tern
Attest:
Karen M. Chesterman, Deputy City Clerk
EXHIBIT A
Legal Description
"Wm. Miller 4th Street Place in the City of Dubuque, Iowa" according to the
recorded plat thereof
Wm. MILLER
MISSISSIPPI VALLEY TRUCKING
Location Map
Wm. MILLER
MISSISSIPPI VALLEY TRUCKING
Location Map
In relation to Hotel and Education & Conference Center sites
Built Form Plan
The Port of Dubuque Master Plan