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Purchase of Property_2263 Elm StreetMasterpiece on the Mississippi TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Bee Branch Restoration Project, Acquisition of 2263 Elm Street (CIP 7201654) DATE: April 12, 2011 MCVM:jh Attachment cc: Barry Lindahl, City Attorney Cindy Steinhauser, Assistant City Manager Gus Psihoyos, City Engineer Mic ael C. Van Milligen Dubuque kettil AA- AmedcaCity 2007 City Engineer Gus Psihoyos recommends City Council approval to purchase commercial property located at 2263 Elm Street owned by Robert D. and Livija Klauer for the appraised value of $47,000. This purchase is part of the acquisition program associated with the Bee Branch Creek Restoration Project. I concur with the recommendation and respectfully request Mayor and City Council approval. Masterpiece on the Mississippi TO: Michael Van Milligen, City Manager FROM: Gus Psihoyos, City Engineer SUBJECT: Bee Branch Restoration Project, Acquisition of 2263 Elm Street (CIP 7201654) DATE: April 12, 2011 INTRODUCTION Dubuque ?Moedacp 2007 The purpose of this memorandum is to request City Council approval to purchase commercial property required for the Bee Branch Creek Restoration Project at 2263 Elm Street owned by Robert D. Klauer and Livija Klauer. 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. On May 3, 2010, the City Council passed Resolution 135 -10 establishing the fair market value of 2263 Elm Street at the appraised value of $47,000.00 and authorizing the City Manager to commence negotiations to acquire the property. DISCUSSION The owners of the property, Mr. and Mrs. Klauer, have agreed to sell 2263 Elm Street at the appraised value of $47,000.00. The attached Exhibit A shows the location of the property. RECOMMENDATION I recommend that the City purchase 2263 Elm Street for $47,000.00. BUDGET IMPACT The purchase price is within the budget for the property. It 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 Robert D. Klauer and Livija Klauer at 2263 Elm Street legally described as Lot 1 -1 -1 -3 -103 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 Address: 2263 Elm Street Exhibit A Bee Branch Creek Restoration Project Property Acquisition Legal Description: Lot 1 -1 -1 -3 -103 L H Langworthy's Add Prepared by: Ron Turner, Surveyor, 50 West 13 Dubuque IA 52001 (563- 589 -4270) Return to: Jeanne Schneider, City Clerk, 50 West 13 Dubuque IA 52001 (563- 589 -4120) RESOLUTION NO. 131 -11 A RESOLUTION APPROVING THE ACQUISITION OF REAL ESTATE OWNED BY ROBERT D. KLAUER AND LIVIJA KLAUER 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 2001 "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 1 -1 -1 -3 -103 L H Langworthy's Add, in the City of Dubuque, Dubuque County, Iowa At the cost of Forty Seven Thousand and 00/100 Dollars ($47,000.00). 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. Attest: Passed, approved and adopted this 18 day of April, 2011. eanne F. Schneider, CMC City Clerk Roy D. Buol, Mayor