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Commercial Property Purchase of 2356 Washington for Bee Branch Creek RestorationMasterpiece on the Mississippi Dubuque Patel All-America City 2007 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Commercial Property Purchase for the Bee Branch Restoration Project, 2356 Washington DATE: December 14, 2010 City Engineer Gus Psihoyos recommends City Council approval to purchase a commercial property at 2356 Washington Street for the appraised value of $86,500 owned by Steven R. and Sue A. Boelk. This property is required for the Bee Branch Creek Restoration Project. I concur with the recommendation and respectfully request Mayor and City Council approval. MCVM:jh Attachment cc: Barry Lindahl, City Attorney Cindy Steinhauser, Assistant City Manager Gus Psihoyos, City Engineer Micha I C. Van Milligen Masterpiece on the Mississippi TO: Michael Van Milligen, City Manager FROM: Gus Psihoyos, City Engineer M (7 SUBJECT: Commercial Property Purchase for the Bee Branch Restoration Project, 2356 Washington DATE: December 13, 2010 INTRODUCTION Dubuque kiiiti AI- America City III"! 2007 The purpose of this memorandum is to request City Council approval to purchase a commercial property at 2356 Washington Street owned by Steven R. and Sue A. Boelk 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, Nebraska). Based on the study, approximately 1,150 homes and businesses in the Bee Branch watershed are at risk of flood damage. 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. In 2005, the City Council authorized the City Manager to enter into a contract with Graham Land Acquisition Associates (now JCG Land Services, Inc.) to assist with the acquisition of the commercial properties south of 16 Street required for the Bee Branch project. On May 3, 2010, the City Council passed Resolution 141 -10 establishing the fair market value of 2356 Washington Street at the appraised value of $86,500 and authorizing the City Manager to commence negotiations to acquire the property. DISCUSSION The owners of the property, Steven R. and Sue A. Boelk, have accepted an offer for purchase in an amount equal to the appraised value of the property. RECOMMENDATION I recommend that the City purchase 2356 Washington Street for the appraised value of $86,500. BUDGET IMPACT The purchase will be funded from the FY2009 appropriation of $3,902,395 for property acquisitions for the Bee Branch Creek Restoration Project (CIP 7201654). ACTION TO BE TAKEN I respectfully request adoption of the attached resolution authorizing the purchase of the property owned by Steven R. and Sue A Boelk at 2356 Washington Street legally described as Lot 2 -2 -1 -106 L H Langworthy's Add, all in the City of Dubuque, Dubuque County, Iowa. Prepared by Deron Muehring, Civil Engineer II cc: Jenny Larson, Budget Director RESOLUTION NO. 465 -10 A RESOLUTION APPROVING THE ACQUISITION OF REAL ESTATE OWNED BY STEVEN R. AND SUE A. BOELK IN THE CITY OF DUBUQUE Whereas, the City of Dubuque intends to acquire certain properties located in the area of the Bee Branch Creek Restoration Project for stormwater mitigation activities as recommended in the Drainage Basin Master Plan; and Whereas, a purchase agreement has been finalized with the owner of the property scheduled for acquisition. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA: Section 1. That the City of Dubuque hereby approves the acquisition of the following legally described property: Lot 2 -2 -1 -106 L H Langworthy's Add, all in the City of Dubuque, Dubuque County, Iowa At the cost of Eighty Six Thousand Five Hundred and 00/100 Dollars ($86,500.00). Section 2. That the City of Dubuque be and is hereby authorized to accept a Quit Claim deed from the owner, conveying the owner's interest to the City of Dubuque, Iowa for the herein described real estate. Section 3. That the City Clerk be and is hereby authorized_ and directed to cause said Quit Claim Deed to be recorded in the office of the Dubuque County Recorder, together with certified copy of the Resolution. Section 4. That the City Clerk be and is hereby directed to forward a copy of this Resolution to the Dubuque County Assessor and the Dubuque County Auditor. Passed, approved and adopted this 20th day of Dece ber, 2010. Jeanne F. Schneider, CMC, City Clerk Roy D. Bu.ol, Mayor Address: Exhibit A Bee Branch Creek Restoration Project Property Acquisition 2356 Washington Street Legal Description: Lot 2 -2 -1 -106 L H Langworthy's Add