Bee Branch Creek_Purchase of 2410 Washington StreetMasterpiece on the Mississippi
Dubuque
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AO- AmedcaCity
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2007
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Bee Branch Restoration Project, Acquisition of 2410 Washington Street
(CIP #7201654)
DATE: November 1, 2011
City Engineer Gus Psihoyos recommends City Council approval to purchase a 4 -plex
rental property owned by Kim McDermott at 2410 Washington Street for $119,000. This
purchase is part of the acquisition program associated with the Bee Branch Creek
Restoration Project.
An appraisal of 2410 Washington Street was completed by Adams Appraisal Services,
asserting that the value of the property is $113,500. A review appraisal was performed,
concluding that the Adams' appraisal meets appraisal standards. Ms. McDermott took it
upon herself to have Mr. Bob Felderman of Felderman Appraisals review the appraisal
as well. Mr. Felderman concluded that as a 4 -plex rental unit the "income appraisal
approach," which reflected a property value of $119,000 in the Adams' appraisal, should
have been given more weight. The review appraiser has looked into the matter
concluding that "it would be difficult to show in court that the two approaches are less
than equal."
Therefore, in order to avoid the costs and time associated with acquiring the property
through eminent domain proceedings, and recognizing that there is a real possibility that
a condemnation committee would recognize the value of the property as $119,000, City
Engineer Gus Psihoyos recommends that the City purchase 2410 Washington Street for
$119,000.00.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
Michael C! Van Milligen
MCVM:jh
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
Gus Psihoyos, City Engineer
2
Masterpiece on the Mississippi
Dubuque
AN- Ameica City
2007
TO: Michael Van Milligen, City Manage
FROM: Gus Psihoyos, City Engineer
SUBJECT:
Bee Branch Restoration Project, Acquisition of 2410 Washington Street
(CIP 7201654)
DATE: October 31, 2011
INTRODUCTION
The purpose of this memorandum is to request City Council approval to purchase
property required for the Bee Branch Creek Restoration Project at 2410 Washington
Street owned by Kim McDermott.
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 June 2, 2011, the City Council approved the acquisition of additional property for the
Bee Branch Creek Restoration Project to create a safe, compelling connection between
Comiskey Park and the Bee Branch linear park.
DISCUSSION
An appraisal of 2410 Washington Street was completed by Adams Appraisal Services,
asserting that the value of the property is $113,500.00. A review appraisal was
performed, concluding that the Adams' appraisal meets appraisal standards. Ms.
McDermott took it upon herself to have Mr. Bob Felderman of Felderman Appraisals
review the appraisal as well. Mr. Felderman concluded that as a 4 -plex rental unit the
"income appraisal approach," which reflected a property value of $119,000.00 in the
Adams' appraisal, should have been given more weight. The review appraiser has
looked into the matter concluding that "it would be difficult to show in court that the two
approaches are less than equal."
Therefore, in order to avoid the costs and time associated with acquiring the property
through eminent domain proceedings, and recognizing that there is a real possibility that
a condemnation committee would recognize the value of the property as $119,000.00,
recommend that the City purchase 2410 Washington Street for $119,000.00.
RECOMMENDATION
I recommend that the City purchase 2410 Washington Street for $119,000.00.
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 Kim McDermott at 2410 Washington Street legally described as the
South 44' of Lot Twenty Three (23) of 0 S Langworthys Subdivision, in the City of
Dubuque, Iowa, according to the recorded Plat of said subdivision, County of Dubuque,
State of Iowa.
Prepared by Deron Muehring, Civil Engineer ll
cc: Barry Lindahl, City Attorney
Jenny Larson, Budget Director
Deron Muehring, Civil Engineer
2
RESOLUTION NO. 359 -11
A RESOLUTION APPROVING THE ACQUISITION OF REAL ESTATE OWNED
BY KIM MCDERMOTT 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:
Southwesterly 44' of Lot Twenty Three (23) of 0 S Langworthys
Subdivision, in the City of Dubuque, Iowa, according to the recorded Plat
of said subdivision, County of Dubuque, State of Iowa
At the cost of One Hundred Nineteen Thousand and 00/100 Dollars
($119,000.00). ;{
Section 2. That the City of Dubuque be and is hereby authorized to
accept a Warranty 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 Warranty 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 7th day of 1â–ºvember , 2011.
irnstahl, ity Clerk
Roy D. Buol, Mayor
Exhibit A
Bee Branch Creek Restoration Project Property Acquisition
Address:
2410 Washington Street
Legal Description: Southwesterly 44' of Lot Twenty Three (23) of 0 S Langworthys
Subdivision, in the City of Dubuque, Iowa, according to the
recorded Plat of said subdivision, County of Dubuque, State of Iowa