FMV Wetlands Property - Pullen,
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MEMORANDUM
July 13, 2004
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TO:
The Honorable Mayor and City Council Members
FROM:
Michael C. Van Milligen, City Manager
SUBJECT: Resolution Establishing Fair Market Value for Property for Property To Be
Acquired for Wetlands Mitigation for the Realignment of University Avenue
to US 20
On February 4, 2002, the City of Dubuque entered into a project agreement with the
Iowa Department of Transportation to improve traffic flow along the US 20 Corridor by
realigning University Avenue from approximately Ethel Street and connecting it to US 20
at the entrance to Theisen's. This realignment of University Avenue will impact a small
wetland located within the project limits.
In order to mitigate the wetlands impact, the City plans to enhance an existing wetland
(marsh) located just south of the confluence of the Little Maquoketa River and the
Mississippi River east of the John Deere facility.
The plan also includes purchase of a portion of the property owned by Charles and
Beverly Pullen in an effort to alleviate any liability from encroaching water pumped into
the marsh. This purchase was insisted upon by U.S. Fish & Wildlife Service and was
agreed to by the City Engineering Department in a coordination meeting. The purchase
involves acquisition of 2.81 acres of property, including 1.13 acres of platted but
undeveloped roads, from the Pullens.
Acting Public Works Director/City Engineer Gus Psihoyos is recommending
establishment of fair market value of the property at $2,500 to begin the acquisition
process.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
¡vLJ) 1 ,~
Michael C. Van Milligen
MCVM/jh
Attachment
cc: Barry Lindahl, Corporation Counsel
Cindy Steinhauser, Assistant City Manager
Gus Psihoyos, Acting Pubic Works Director
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MEMORANDUM
July 13, 2004
TO:
Michael C. Van Milligen, City Manager
FROM:
Gus Psihoyos, Acting Public Works Director
SUBJECT: Resolution Establishing Fair Market Value for Property To Be
Acquired for Wetlands Mitigation for the Realignment of University
Avenue to US 20
INTRODUCTION
The enclosed resolution establishes the fair market value of a portion of the
property currently owned by Charles R. and Beverly Pullen at 19299 Riverside
Road.
The first step in the process of acquiring a parcel of property for public right-of-
way is for the City to have the property appraised.
The City Council must then establish the fair market value of the property which
cannot be less than the appraised value. The authority to initiate eminent
domain proceedings cannot be initiated until a good faith effort is then made to
negotiate the acquisition of the property.
DISCUSSION
On February 4, 2002, the City of Dubuque entered into a project agreement with
the Iowa Department of Transportation to improve traffic flow along the US 20
Corridor by realigning University Avenue from approximately Ethel Street and
connecting it to US 20 at the entrance to Theisen's. This realignment of
University Avenue will impact a small wetland located within the project limits.
In order to mitigate the wetland impact, the City plans to enhance an existing
wetland (marsh) located just south of the confluence of the Little Maquoketa
River and the Mississippi River east of the John Deere facility. This
enhancement involves pumping water into the marsh each year during the dry
period from late summer to early fall. This enhancement will help maintain the
wetland characteristics of the area and will thereby improve the habitat for
migratory waterfowl. The anticipated pumping duration is approximately six (6)
weeks each year. The City will be required to provide the supplemental water for
a period of five (5) years. At the conclusion of five years, the operation will be
turned over to U.S. Fish & Wildlife Service who will then be responsible for
providing supplemental water to the marsh.
The plan also includes purchase of a portion of the property owned by Charles
and Beverly Pullen (subject to the recommended Council action) in an effort to
alleviate any liability from encroaching water pumped into the marsh. This
purchase was insisted upon by U.S. Fish & Wildlife Service and was agreed to by
the City's Public Works Director in a coordination meeting. The purchase
involves acquisition of 2.81 acres of property, including 1.13 acres of platted but
undeveloped roads, from the Pullens.
The proposed acquisition from the Pullens has been discussed with them on
several occasions. These discussions included conversations between Jon
Estrem of Howard R. Green Company (Project Manager for the University
Avenue Extension improvement) and James Pullen (son of the owners). The
discussions also included that which took place between Bob Felderman
(appraiser) and the Pullens during the appraisal interview. Based upon these
discussions, it appears that the Pullens will be willing sellers.
Both the purchase of the Pullen property and the pumping of water to the marsh
are requirements of a U.S. Army Corps of Engineers 404 Permit that was
secured to allow construction of the University Avenue Extension to take place.
The permit requires the pumping operations to begin in 2004. Purchase of the
Pullen property is a prerequisite to commencement of pumping operations to
alleviate any liability that might arise from altering the water level on the property.
Given the timeframe requirements, it is important that purchase of the Pullen
property not be delayed.
RECOMMENDATION
An appraisal by Felderman Appraisals indicates that the fair market value of the
Pullen property is $2,500.
I recommend that the City Council establish the fair market value of $2,500.00 for
the following property:
A Part of Government Lot 215 and adjacent roadways in the Town of
Peru, Dubuque County, Iowa, containing 2.81 acres, according to the
acquisition plat thereof.
BUDGET IMPACT
This is a STP project which is funded with 80% of federal aid funds and 20% of
City of Dubuque funds.
ACTION TO BE TAKEN
The City Council is requested to adopt the attached resolution establishing the
fair market value of the Pullen property for wetlands mitigation for the
realignment of University Avenue from Ethel Street to US 20 at the entrance to
Theisen's and to authorize the City Manager and Corporation Counsel to
commence negotiations with the owners of the property and any other interested
parties for the purchase of the property.
cc:
Jon Estrem, Howard R. Green Company
David Ness, PE
.'
RESOLUTION NO. 279-04
279-04
ESTABLISHING THE FAIR MARKET VALUE FOR CERTAIN REAL
PROPERTY OWNED BY CHARLES R. & BEVERLY PULLEN IN THE CITY OF
DUBUQUE, IOWA FOR WETLANDS LITIGATIONS IN CONNECTION WITH
THE UNIVERSITY AVENUE EXTENSION PROJECT
Whereas, the City of Dubuque (City) has entered into an agreement with
the Iowa Department of Transportation for the University Avenue Extension
Project (the Project); and
Whereas, the City intends to acquire certain real property owned by
Charles R. and Beverly Pullen (Owners) legally described as follows (the
Property):
A Part of Government lot 215 and adjacent roadways in the Town of
Peru, Dubuque County, Iowa, containing 2.81 acres, according to the
acquisition plat thereof.
as shown on Attachment A for wetlands mitigation; and
Whereas, the City may not make an offer to purchase the Property which
is less than the fair market value the City has established for the Property; and
Whereas, the City has caused an appraisal of the Property to be made
and the appraised value of the Property is $2,500; and
Whereas, the City Council now desires to establish the fair market value
of the Property.
NOW THEREFORE, BE IT RESOLVED BY THE COUNCil OF THE
CITY OF DUBUQUE, IOWA, AS FOllOWS:
Section 1. That the fair market value of the Property is hereby
established to be $2,500.
Section 2. The City Manager and Corporation Counsel are hereby
authorized to commence negotiations with the Owners of the Property and any
other interested parties for the purchase of the Property for a purchase price that
is not less than the fair market value established by this resolution.
Passed, adopted and approved this 19th day of Jul
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,2004.
Terrance M. Duggan, Mayor
Attest:
Jeanne F. Schneider, City Clerk
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eanne F. Schneider, CMC, City Clerk
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