Description: AGENDAHED.JPG

Item No:††††††† ††††††††††† 5G.

 

Meeting Date:†††††††††† June 24, 2013

 

From:††††††††††††††††††††††††† Raymond S. Sharp, Interim City Manager

 

Subject:††††††††††††††††††††† Resolution authorizing purchase of property identified by Alternate Key Number 1174295, north of Center Street, west of US HWY 27

 

 


Staff Recommendation:

Staff believes that the referenced parcel has value to the city as a future stormwater retention site.However, staff is unable to recommend purchase at the sellerís offered price.Staff recommends the seller obtain a separate appraisal for the purpose of negotiating a suitable purchase price.

 

Analysis:

The property owner has approached the city to offer a parcel for sale to the city.The city has evaluated the potential use of the property in question as a stormwater retention pond.It presently contains a pond and adjacent wetlands which receive some runoff from Center Street.A review of the existing stormwater subbasin suggests that the subbasin which includes the parcel is largely land-locked, without a natural outfall; this reinforces the potential future use of the site for storm water purposes. Therefore, at some point in the future, when improvements are necessary for Center Street and adjacent city streets, the site will likely be suitable for construction of a stormwater retention pond.

 

Because the site is land-locked, one of the contingencies of the purchase is the inclusion of a twenty-five foot easement to Center Street for access and stormwater conveyance.

 

The city obtained an appraisal, attached, for the parcel in question.The appraised value is $35,600.The seller disagrees with this appraisal and has offered the property for sale at $100,000.Staff has been unable to reach a negotiated price.Staff has suggested the seller obtain an appraisal at the sellerís expense to further negotiations of a purchase price acceptable to staff and the seller.As of this writing, seller has not furnished a second appraisal.

 

While the site has some utility for stormwater purposes, staff is unable to support a purchase price which is at considerable odds with the cityís appraisal.Therefore staffís recommendation is to offer the seller the opportunity to obtain an appraisal and negotiate the purchase price with the city based upon the two appraisals.

 

The seller has advised staff that if the sellerís current offer is not accepted, seller will increase the price by twenty-five percent.

 

Staff believes the seller and staff have negotiated in good faith, and will continue to do so.The issue appears to be a difference of opinion on the value of the site.

 

Options:

  1. Decline the offer to sell at $100,000, but offer the seller the opportunity to resume negotiations, based on a second appraisal to be obtained at sellerís expense; or,
  2. Accept the sellerís offer as presented; or,
  3. Such alternative action as the Commission may deem appropriate.

 

 

Fiscal Impact:

If authorized, the purchase will be made by the Stormwater Fund.This purchase was not anticipated, and will therefore require a budget amendment.The stormwater fund balance is adequate to fund this purchase, with no adverse impacts to present or future operations or capital projects.

 

Submission Date and Time:††† 6/19/2013 6:38 PM____

 

Department: City Manager

Prepared by:R. Sharp†††††††††††††††††††††

Attachments:†††††††† Yes X ††No ______

Advertised:†† ____Not Required X†††††††††††††††††††††

Dates:†† __________________________†††††††††††††††††††††

Attorney Review :†††††† Yes X ††No ____

††††††††††††††††††††††††††††††††††††††††††††††††

_________________________________†††††††††††

Revised 6/10/04

 

Reviewed by: Dept. Head ________

 

FinanceDept. __________________†††††††††††††††††††††††††††††††††††

††††††††††††† †††††††††††††††

Deputy C.M. ___________________††††††††††††††††††††††††††††††††††††††††† †††††††††††††††††††††††††††††

Submitted by:

City Manager ___________________

 

Account No. _014-7099-531-6110___

 

Project No. __140002____________

 

WF No. ______________________

 

Budget______________________

 

Available _____________________


 

RESOLUTION NO._______________

 

RESOLUTION OF THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE A CONTRACT FOR SALE AND PURCHASE WITH LAKE-SUMTER FUEL OILS, INC. FOR A PARCEL IDENTIFIED BY ALTERNATE KEY NUMBER 1174295, NORTH OF CENTER STREET; AND PROVIDING AN EFFECTIVE DATE.

 

BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA:

 

††††††††††† THAT the Mayor and City Clerk are hereby authorized to execute a Contract for Sale and Purchase with Lake-Sumter Fuel Oils, Inc. whose address is P.O. Box 490778, Leesburg, Florida 34749-0778, for property identified by Alternate Key # 1174295.

 

††††††††††† THAT this resolution shall become effective immediately.

 

PASSED AND ADOPTED by the City Commission of the City of Leesburg, Florida, at a regular meeting held the 24th day of June, 2013.

 

 

 

†††††††††††††††††††††††††††††††††††††††††††††††††††††††††††† †††††††††††††††__________________________

†††††††††††††††††††††††††††††††††††††††††††††††††††††††††††††††††††††††††††† Mayor

 

ATTEST:

 

 

__________________________

City Clerk