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HomeMy WebLinkAbout118-02 RESOLUTION• RESOLUTION NO. 118-02 A RESOLUTION APPROVING THE SALE OF APPROXIMATELY 7.68 ACRES OF ABANDONED RAILROAD RIGHT-OF-WAY TO THE UNIVERSITY OF ARKANSAS BOARD OF TRUSTEES FOR THE PRICE OF EIGHTY-TWO THOUSAND THREE HUNDRED DOLLARS ($82,300.00). BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS• Section 1. That the City Council of the City of Fayetteville, Arkansas hereby approves the sale of approximately 7.68 acres of abandoned railroad right-of-way to the University of Arkansas Board of Trustees for the price of Eighty -Two Thousand Three Hundred Dollars ($82,300.00). Section 2. That the City Council of the City of Fayetteville, Arkansas hereby authorizes the Mayor and the City Clerk to convey said property to the University of Arkansas Board of Trustees. PASSED and APPROVED this 6th day of August, 2002. •., criE_ ER WOODRUFF; ity Clerk APPROVED: By: DAN COODY, May • 1 3 4 s- 7 7 g 9 Jo // NAME OF FILE: CROSS REFERENCE: Resolution No. 118-02 08/06/02 Resolution No. 118-02 08/06/02 Copy of the Quitclaim Deed (gave both originals to Ed Connell, per his request, on August 8, 2002) 07/16/02 Offer and Acceptance Contract with the University of Arkansas, Fayetteville 07/15/02 Memo to Fayetteville City Council thru Dan Coody, Mayor, from Ed Connell, Land Agent, regarding Sale of Railroad Right of Way to the University of Arkansas Memo to Fayetteville City Council thru Dan Coody, Mayor, from Ed Connell, regarding Garland and Cleveland Streets Improvements Right of Way Acquisition Compromise 05/02/02 Appraisal Report for City of Fayetteville (location: abandoned railroad right-of-way between S. School Ave. and S. Garland Ave.) 08/06/02 Staff Review Form 08/08/02 Memo to Ed Connell, Engineering Division, from Heather Woodruff, City Clerk 05/21/02 Memo to Fayetteville City Council Members, thru Mayor Coody, Ray Bordreaux, John Maguire, Greg Boettcher, Jim Beavers, from Ed Connell, Land Agent, regarding Research & Technology Park (South Fayetteville) 06/14/02 City of Fayetteville Press Release regarding Wilson Spring Business Park Assessment Task Force Wilson Springs Business Park Information & Frequently Asked Questions NOTES: Parcel Na 765-15045.000 QUITCLAIM DEED MUNICIPAL CORPORATION BE IT KNOWN BY THESE PRESENTS: A Res. 118-02 THAT the City of Fayetteville, Arkansas, a municipal corporation, hereinafter called GRANTOR, for and in consideration of the sum of One Dollar ($1.00) and other good and valuable CCP)/ consideration, the receipt of which is hereby acknowledged, does hereby grant, sell and quitclaim unto Board of Trustees of the University of Arkansas, Fayetteville, Arkansas, hereinafter called GRANTEE, and unto Grantee's successors and assigns, all of Grantor's right, title and Interest in and to the following described lands situated in the County of Washington, State of Arkansas, to - wit: PROPERTY DESCRIPTION: (99069718) All that portion of the former Burlington northern and Santa Fe Railway Company's(formerty St. Louis and San Francisco Railway Company) 100 foot wide Fayetteville to Pettigrew, Arkansas branch line property, now discontinued, being 50 feet wide on each side of said Railway Company's Main Tract centerline as originally located and constructed upon, over and across the Southwest Quarter (SWY4) of the Southwest Quarter (SW%), the Southeast Quarter (SE%) of the Southwest Quarter (SW%) and the Southwest Quarter (SW%) of the Southeast Quarter (SE%) of Section 21, Township Sixteen (16) North, Range 30 West of the 51h Principal Meridian, Washington County, Arkansas, bounded on the easterly side by the centerline of State Highway 716 (south School Street) and bounded on the west by the West line of said Section 21, said centerline being more particularly described as follows, to -wit: Beginning at a point on the West boundary line of said Section 21, said point being North 02° 45' 29° East 801.29 feet from the Southwest comer of said Section 21; thence North 83° 30' 32" East 1328.07 feet thence North 82° 59' 33" East 1841.44 feet thence North 87° 48' 12" East 254.54 feet to the centerline of State Highway 718, containing 7.86 acres, more or less, all being subject to easements and rights of way of record. TO HAVE AND TO HOLD the same unto the said Grantee and unto Grantee's successors and assigns forever. /���1111"""�� WITNESS the execution hereof on this r0 day of tee./ 2002. • ,,, ATTEST: � �.. • CI - O04 :r,A if a? - a1� i.Clerk STATE OF ARKANSAS CITY OF FAYETTEVILLE, ARKANSAS, a municipal corporation BY: COUNTY OF WASHINGTON Dan Goody, Mayor ACKNOWLEDGMENT 85. (Seal) BE IT REMEMBERED, that on this date, before the undersigned, a duly commissioned and acting Notary Public within and for said County and State, personally appeared Dan Coady and Heather Woodruff, to me well known as the persons who executed the foregoing document, and who stated and acknowledged that they are the Mayor and City Clerk of the City of Fayetbvllle, Arkansas, a municipal corporation, and are duly authorized in their respective capacities to execute the foregoing instrument for and in the name and behatf of said municipal corporation, and further stated and acknowledged that they had so signed, executed and delivered said instrument for the consideration, uses and purposes therein mentioned and set forth. WITNESS my hand and seal on thisaday of sQ'' ' J'z ?' Ry b MY COMMISSION EXPIRES: j; OtA y Cis :<a y-�-of i- .tors co...,,cs..-1/4 au„ uunnmunmmn Notary Public .4 • • . Cary a,estr/,ose... OFFER AND ACCEPTANCE CONTRACT ORIGINAL 1. That the Board of Trustees of the University of Arkansas , acting on behalf of the University of Arkansas, Fayetteville, hereinafter referred to as the Buyer, offers to buy, subject to the terms and conditions set forth herein, the following described property: SEE ATTACHED EXHIBIT "A" FOR PROPERTY DESCRIPTION from the City of Fayetteville. Arkansas a municipal corporation, hereafter referred to as Seller. 2. Purchase Price: Subject to the following conditions, the Buyer shall pay for the property at closing, the total and cash only payment of $ 82.300 . 3. Title Requirements:. If title requirements are not fulfilled to the satisfaction of the Buyer, or the Seller fails to fulfill any obligations under this contract, the Buyer may, at its option, declare this contract null and void. If the Buyer fails to close this transaction or fails to fulfill his obligations under this contract or after all conditions have been met, the Seller, at its option, may declare this contract to be null and void. Alternatively, the either party may assert legal or equitable rights which each may have because of breach of this contract. 4. Conveyance will be made to the Buyer by Quit Claim Deed and such deed shall be subject to recorded instruments and easements, if any. Such conveyance shall include any and all rights owned by the Seller. 5. The Seller shall furnish, at Sellers expense, a policy of title insurance in the amount of the purchase price from a title insurance company as selected by the Seller. 6. Seller agrees to allow Buyer, if Buyer so desires, at Buyer's expense, to survey the property. Seller does not possess a current survey of the property Seller agrees to cure any title problems which may result from any differences between the recorded legal descnptions of the property and the survey descnption. Said title problems, if any, must be solved prior to dosing to the satisfaction of the Buyer. 7. Taxes and special assessments due on or before closing shall' be paid by the Seller. Insurance, general taxes, ad valorem taxes, special assessments and rental payments shall be prorated as of closing. 8. The closing date shall be within thirty (30) days after approval of this contract by the Fayetteville City Council and the Board of Trustees of the University of Arkansas, whichever occurs later. If such date of closing falls on a weekend or holiday, it will be held the following working day. &:rte u. :,;119 • h"-::;1:)^ns .. tifle .J;611Ak l:j +Jik'a 1' J. • �. I .. . .2'tf,' 4 v • OFFER AND ACCEPTANCE CONTRACT Page 2 of 5 9. Closing costs, except for those heretofore mentioned, shall be shared equally between Buyer and Seller. 10. Possession of the property shall be delivered to the Buyer on the date of closing. 11. Seller hereby grants permission for the Buyer or its employees or designates to enter the above described property and improvements for the purpose of inspection and/or surveying. 12. All fixtures, improvements and attached equipment are included in the purchase price. 13. Risk of Toss or damage to the property by fire or other casualty occurring up to the time of closing is assumed by the Seller. 14. Seller shall disclose to Buyer any and all environmental hazards of which Seller has actual knowledge. Buyer may obtain a preliminary Phase I, or modified Phase I, environmental assessment within the specified time frame for closing If such assessment indicates the existence of asbestos or heavy metals in quantities which could be considered as hazardous materials or environmental hazards, a more extensive assessment would be conducted by the Seller at Seller's cost to determine the extent of required remediation. Buyer may extend said closing until such hazards have been corrected by Seller, or buyer may terminate this contract. Altematively, Seller may elect to deduct the cost of such remediation from the purchase pnce. 15. This agreement shall be govemed by the laws of the State of Arkansas. 16. This agreement, when executed by both the Buyer and the Seller shall contain the entire understanding and agreement of the parties with respect to the matters referred to herein and shall supersede all price or contemporaneous agreements representations and understanding with respect to such matters, and no oral representations or statements shall be considered a part hereof. 17. This contract expires, if not accepted by the Administration of the Seller, on or before the day of , 2002. 18. The property, as described herein, shall be sold on a as -is basis, with no actual or implied guarantees other than those set forth in this document. 19. It is understood and agreed by Buyer and Seller that each entity will submit for approval by their respective governing bodies within a period of 60 days after this document is fully executed. 1 • OFFER AND ACCEPTANCE CONTRACT Page 3 of 5 20.. NOTICE: SELLER ASSERTS AND BUYER HEREBY ACKNOWLEDGES THAT THIS CONTRACT IS EXPRESSLY CONTINGENT UPON THE APPROVAL. OF THE CITY COUNCIL OF FAYETTEVILLE AND THE BOARD OF TRUSTEES OF THE UNIVERSITY OF ARKANSAS, AND THAT THE FAILURE OF THE COUNCIL OR BOARD OF TRUSTEES TO SO APPROVE WILL MAKE ALL PORTIONS OF THIS OFFER NULL AND VOID SELLER: City of Fayetteville, Arkansas A municipal Corporation BY: an Coody, Mayor ATTEST:: I4eather Woodruff, City Clew BUYER: Board of Trustees of the University of Arkansas BY: .� .4.C�.ceeensc,___ Donald Pederson, Vice Chancellor ATTEST: JaaeIl,PrdDior Date: D L Date: 7/f,/o'L Date: i/,010 Date: 7AVO - • OFFER AND ACCEPTANCE CONTRACT Page 4 of 5 EXHIBIT "A" PROPERTY DESCRIPTION PROPERTY DESCRIPTION: All that portion of the former Burlington Northam and Santa Fe Railway Company 100 foot wide Fayetteville to Pettigrew, Arkansas Branch Line property, now discontinued, being 50 feet wide on each side of the former Railway Company's Main Tract centerline as originally located and constructed upon, over and across the Southwest Quarter (SW%) of the Southwest Quarter (SW'/.) and the Southeast Quarter (SE'/.) of the Southwest Quarter (SW%) and the Southwest Quarter (SW'/.) of the Southeast Quarter (SE'/.) of section 21, Township 18 north, Range 30 West of the r Principal Meridian, Washington county, Arkansas, bounded by the Easterly side by the centerline of State Highway 71 (now State Highway 71-B) and bounded on the West side by the West Ilse of said Section 21, containing 7.88 aces, more or less and subject to rights of way and easements of record. SIGNED FOR IDENTIFICATION SELLER: City of F yetteville, Arkansas BY: Title: Dan Coody, Ma BUYER: UNIVERSITY OF ARKANSAS BY: Title Date:?%%l _.. Date: • • • OFFER AND ACCEPTANCE CONTRACT Page 5 of 5 ACKNOWLEDGMENT STATE OF ARKANSAS ) ) COUNTY OF WASHINGTON ) BE IT REMEMBERED, that on this date, before the undersigned, a duly commissioned and acting Notary Public within and for said County and State, personally appeared Donald 0, Pederson and James Ezell, to me well known as the persons who executed the foregoing document, and who stated and acknowledged that they are the Vice Chancellor and ProgramlProJect Director for the University of Arkansas, Fayetteville, and are duly authorized to execute the foregoing instrument for and in the name and behalf of the Trustees of the University of Arkansas, and further stated and acknowledged that they had so signed, executed and delivered said instrument for the consideration, uses and purposes therein mentioned and set forth. WITNESS my hand and seal on this day of MY COMMISSION EXPIRES: 2002. Notary Public ACKNOWLEDGMENT STATE OF ARKANSAS ) ) COUNTY OF WASHINGTON ) SS BE IT REMEMBERED, that on this date, before the undersigned, a duly commissioned and acting Notary Public within and for said County and State, personally appeared Dan Coody and Heather woodruff, to me well known as the person who executed the foregoing document, and who stated and acknowledged that they are the Mayor and City Clerk of the City of Fayetteville, Arkansas, a municipal corporation, and are duly authorized in their respective capacities to execute the foregoing instrument for and in the name and behalf of said municipal corporation, and further stated and acknowledged that they had so signed, executed and delivered said instrument for the consideration, uses and purposes therein mentioned and set forth. WITNESS my hand and seal on this /6)* day of 2002. MY COMMISSION EXP per- O/-2ol0 Notary Public FAYETTEVIPI,E THE CITY OF EAYETTEVILLE. ARKANSAS DEPARTMENTAL CORRESPONDENCE DATE: July 15, 2002 TO: Fayetteville City Council THRU: Dan Coody, Mayo FROM: Ed Connell, Land Agent RE: Sale of Railroad Right of Way to the University of Arkansas In July of 1999, the City purchased 7.86 acres of abandoned railroad right of way from Burlington Northern and Santa Fe Railroad Company as part of a possible multi-purpose trail from Garland Avenue to Armstrong Ave. in the Industrial Park. Purchase of the railroad right of way was done at minimum fee cost with title conveyed limited by Quit Claim Deed. The trails project never materialized since all of the old railroad right of way (100' wide), between School and Momingside, had either been sold by the railroad to private parties or the easements reverted back to the Grantors. The university is planning some major expansions around the 'Genesis Center' in the very near future and it is their desire to acquire this 7.86 acres form the city for control purposes as they try to acquire all of the lands from Cato Springs Rd north to Town Branch. The University has offered the City a price of $82,300 for this railroad corridor property. Attached is the Offer and Acceptance Contract signed by both parties. The above mentioned offer includes $3,300 as the university's share of a settlement reached with the Fayetteville School District in the acquisition of right of way around Leverett School on Garland and Cleveland. The city will convey this amount, along with an equal amount, to the School District in that settlement case. The railroad corridor land was appraised for $79,000. At this writing, the University intends to utilize a portion of this railroad corridor for trail purposes until it crosses Cato Springs Branch, after which the trail will follow the stream embankment until it approaches School Avenue. Muth of the area north of the railroad corridor is in the flood plane and the university intends to make a major portion of this into a park area. They are currently negotiating with Kenneth Easterling for the acquisition of about 25 acres that he owns on the east and north sides of the Genesis Center. The City has a 6" water main in the railroad corridor which will be maintained by the City. Attached is a copy of a recent easement which was prepared for the purpose of this water line. A fiber optic cable system is being considered by the University that will be located in the south portion of the corridor. Their easement has been signed by the city for this purpose. It is staff recommendation that this corridor be sold to the university, especially since their current intention meets the original intention of the City when the property was purchased. The property will be conveyed in Quick Claim Deed, however, Bronson Abstract feels confident in the title work and is willing to write title insurance on the property sale. Such title insurance will provide a degree of assurance to the university. If you have any questions, please do not hesitate to give me a call at 444-3415. FAYETTEVI?LE THE CITY OF FAYETTEVILLE, ARKANSAS DEPARTMENTAL CORRESPONDENCE TO: Fayetteville City Counal THRU: Dan Coody, Mayo FROM: Ed Connell at RE: Garland and Cleveland Streets Improvements Right of Way Acquisition Compromise The Arkansas State Highway Department (AHTD) is doing a major expansion and improvement of Garland Avenue, from Maple Avenue to North Avenue. The City of Fayetteville is improving Cleveland Street at Garland to correspond with the anticipated work by the AHTD. Both of these projects are impacting Fayetteville School District Leverett Elementary School at this intersection. The school already had student drop-off problems and the Garland ROW taking by the AHTD virtually eliminated their existing drop-off on the East side of the building. Sidewalks, utility easements some additional right of way requirements on Cleveland St. make it impossible to have a drop-off on the South side of the school. These right of way requirements were (are) going to require the school to relocate their entry and drop-off point to the West side of the school budding. Not only were they going to have to sacrifice some play ground area, but they were going to have to renovate the inside of the building to accommodate the change. The AHTD would not take into account this intemal cost of the budding renovation. The School District rejected the AHTD offer for the ROW compensation and held out for an additional $10,000. It appeared that this entire project was going to be put on hold and the back bumer if some compromise couldn't be worked out. With this project about to come to a halt, Mayor Coody brought three of the four parties together and reached a compromise among the University, City and School District, each of which would share in the cost of the additional $10,000 renovation expenses. The School District would absorb $3,400, the University would contribute $3,300 and the City would pay the district $3,300 for easements required of the distnct on the subject piece of property. With this compromise, the school district signed the AHTD nght of way acquisition documentation and this project is in the final stages before construction bid letting. The University, with payment for the acquisition of the City's railroad right of way between Garland and School Street, will include their portion of this obligation. The total amount of that transaction will be $82,300, or $3,300 over the appraised amount of $79,000. When the city acquires the easement required around Leverett School on Cleveland Street, the School Distnct will be paid $6,600 by the City. If you have any questions, give me a call at 444-3415. 04 b too O 1 .34y puejing 6/108 n%szs►,zos Cato Springs Rd. • Ataziia k\ Date: 06-19-2002 File: UoARRrow.des k2 2 ! ;mw 3 ■! 2|% -) .i--� !Wilt I,_111 !!ƒa!!§" -E. man\f�( m In.eac?/f/\ d�� o$ A\\ *rno 4 §| !!§_ -` ae#m B§§tWi411» )1252s&r w�wn) Tide: Proposed Railroad Right of way sale to the U of A 2 7 k .9 _)ef§,- ..) PROJECT COUNTY PARCEL 0 LOCATION FEE OWNER ADDRESS • • • &PPRAISAI. REPORT EUR (`ITY /1F FAYFTTFYILLF Complete Summary Appraisal Report 20° Sues Washington NA Abandoned Raihoad ROW between S. School Ave. and S. Garland Ave City of Fayetteville 113 W. Mountain, Fayetteville, AR 72701 ESTATE APPRAISED Fee Simple AREA OF WHOLE AREA OF PROPERTY (Description attached) 7.86 aa. 7.86 acres AREA OF RESIDUAL 0 ESTIMATED FAIR MARKET VALUE OF THE PROPERTY: Before Land Improvements Total After Land Improvements 579,000 S NA S 0 S NA Total FAIR MARKET VALUE OF PROPERTY As or the 2nd day of May, 2002 ALLOCATION OF FAIR MARKET VALUE Taal Acquisition 7.86 acs - or 342,382 sq.tt. ® S.23/sq.R 579,000 L 0 Taal Compensation ATTACHMENTS: - Certificate of Appraiser Photographs _2L Site, Improvement, NAB Use Narrative Legal Descriptions - Market Data Approach _2L Site Drawing Tax Assessment Cards 579,000 Say 178,748 579,000 579,000 Fayetteville, AR • • Sent by: BRONSON ABSTRAC . 479 442 8475; BRONSON ABSTRACT CO., INC. 3810 FRONT STREET SUITE 5 (501-442-2700) FAYETTEVILLE AR 72703 To: CITY OF FAYETTEVILLE 113 E. MOUNTAIN ATTN: ACCOUNTS PAYABLE FAYETTEVILLE, AR 72701 07/11/024; JflFan #599;Page 2/5 Invoice Invoice No.: 6715 1 • THE BOARD OF TRUSTEES U OF A TITLE SEARCH Thank You Invoice subtotal Invoice total 100.00 100.00 473.50 473.50 ..Sent' by: BRONSON ABSTRAC is479 442 8475; 07/11/004; Jetfs: #599;Page 3/5 ALTA Commitment -10/17/1992 SCHEDULE A Commitment No.FATIC 2002--13254 1. Effective Date; JULY 1, 2002 at 7:00 A.M. 2. Policy or Policies to be issued: Amount ALTA Owner's Policy (Amended 10-17-70) Proposed Insured: THE BOARD OF TRUSTEES OF THE UNIVERSITY OF ARKANSAS ALTA Loan Policy (Amended 10-17-70) $ Proposed Insured: $82,300.00 3. The estate or interest in the land described or referred to in this Commitment and covered herein is a FEE SIMPLE. 4. Title to the FEE SIMPLE estate or interest in said land is at the effective date hereof vested in: THE CITY OF FAYETTEVILLE, ARKANSAS, a municipal corporation 5. The land referred to in this Commitment is situated in the County of WASHINGTON, State of ARKANSAS, and is described as follows: All that portion of The Burlington Northern and Santa Fe Failway Company's (formerly St. Louis, San Francisco Railway Company) 100 foot wide Fayetteville to Pettigrew, Arkansas Branch Line property, now discontinued, being 50 feet wide on each side of said Railway Company's Main Track centerline as originally located and constructed upon, over and across the Southwest Quarter of the Southwest Quarter, the Southeast Quarter of the Southwest Quarter and the Southwest Quarter of the Southeast Quarter of Section 21, Township 16 North, Range 30 West of the 5th Principal Meridian, Washington County, Arkansas, bounded on the Easterly side by the centerline of State Highway No. 71 and bounded on the West by the West line of said Section 21. COUNTERSIGNED BY: BRONSON ABSTRACT COMPANY, INC. 28 EAST CENTER STREET FAYETTEVILLE, AR. 72701 FIRST AMERICAN TITLE: INSURANCE COMPANY • .Sgnt by: BRONSON ABSTRAC • • 479 442 8475; 07/11/0211115; Jeffa #599;Page 4/5 .1 ALTA Commitment -10/17/1992 SCHEDULE B -I Commitment No.FATIC 2002-13254 The following are the requirements to be complied with: 1. Payment to, or for the account of, the sellers or mortgagors of the full consideration for the estate or interest to be insured. 2. Instruments in insurable form which must be executed, delivered and duly filed for record: (a) Quitclaim deed conveying herein described land from the City of Fayetteville, Arkansas, to the Board of Trustees of the University of Arkansas. BRONSON ABSTRACT COMPANY, INC. 28 EAST CENTER STREET FAYETTEVILLE, AR. 72701 tx*******************xx*x******** FIRST AMERICAN TITLE INSURANCE COMPANY **'A**t**'*.wA A' w*x wwwww*Aw*x'A 'AA'*tA* • 1 Sent by; BRONSON ABSTRAC • 479 442 8475; 07/11/0.05; hilfm #599; Page 5/5 ALTA Commitment -10/17/1992 SCHEDULE B -II Commitment No.FATIC 2002-13254 Schedule B of the policy or policies to be issued will contain exceptions to -the following matters unless the same are disposed of to the satisfaction of the Company: 1 Defects, liens, encumbrances, adverse claims or other matters, if any, created, first appearing in the public records or attaching subsequent to the effective date hereof but prior to the date the proposed insured acquires for value of record the estate or interest or mortgage thereon covered by this Commitment. 2 Rights or claims of parties in possession, boundary line disputes, overlaps, encroachments, and any other matters not shown by the public records which would be disclosed by an accurate survey and inspection of the land described in Schedule A. 3 Easements, or claims of easements, not shown by the public records. 4 Any lien, or right to a lien, for services, labor or material heretofore of hereafter furnished, imposed by law and not shown by the public records. 5 Taxes or assessments which are not shown as existing liens by either the public records or the records of any taxing authority that levies taxes or assessments on real property. 6 Zoning ordinances, resolutions, lot split or lot line adjustment regulations, and subdivision requirements of the municipality or county in which the insured premises is located. 7 General Taxes for the year 2002 and subsequent years not ye: due and payable. 8 The policy will not insure acreage, any mention thereof is for descriptive purposes only. • BRONSON ABSTRACT COMPANY, INC. , 28 EAST CENTER STREET FAYETTEVILLE, AR. 72701 FIRST AMERICAN TITLE INSURANCE COMPANY II '34y pawn° z • • G ID1N•GIATLA51A211&30.d q, 051 1102 11:51:02 AM• Jostrowski I - F I J I 0 � o _ y _ r ___ I 'EL ______ __________ ___ `'h • LIB. - '_ � \ Vi. f 4I 1 o I _ -# Elam 1<; . 1 - a PR10E•YI---`--A �••-i L->....-..y,^� L'�:•,; I . -„ 1 14\ io li: - 1 \\`y ��y I <•- 'i tI! _ -1 t1-} { `• 1 r' i too 1 ��. 1,10 ,• , 1.,,., �1� v'� I / 1 i 1 • ' . 4 1•I , l H:TTT.\ ; __ - ` - C!!1!- • - -AYAEIE ' .j ;- J lx ----- f• 1 �t .-2C.4 - 1 -C•7L II Jf r ti Q o 1 I t w� /µ z - _ uuHc n M-- R k} I l� •.t /L�3. TI. /4 VJ; JL St - o _ &C+11 1s 1 I 11 ly7{ JT cH 1, I 4 1 lO I S1 1 1.� I.--.-�. , .T1 VD y . +c -.•r 1/ 1'I -_--� I �UftE?{kAVEr-{ 1 7 r II i` • ;. I floit; . �/ \11� a)� , o f� ll -1 1J 1 )j f1 I 1 rY•�i--. T �4 " 11 \ �1 ttI`� 1 :_;__ j __ ) \ I to i 1 } S "`�"e ti vz- yam, ❑ I i 11 .{ :' "crnz� ________ } 11 '' � •,,�, • ..__77 i LL�J � F l (( 1 r -k--------- iS� - D � - =1mm � EKt/ f I �II � f I t 1 II J fJ �j • STAFF REVIEW FORM • _L AGENDA REQUEST CONTRACT REVIEW GRANT REVIEW For the Fayetteville City Council meeting of August &20024 PROM: Ed Cornell E e rin Public Works ame msion partmen ACTION REQUIRED: Passage of a Resolution approving the sale of 7.68 acres of abandoned railroad right of way between Garland Ave. and South SchoolAve. to the University of Arkansas for $82,300 in conjunction with the expansion of the "Genesis Center" and use of this corridor predominately for trail purposes. Income from this transaction will go toward the purchase of the Meredith property on Nonnamaker Street (currently tabled pending determination of soil contaminations area). Approval is for the above amount less closing costs. COST TO CITY: $ -82 300 ��3. General Fun avenue ost o'j' ,S eques�— gteg "�ect gadget ategory ro� ame lceount i-assl.oz 11GG--� 7�ccount um r Fun5s s o ate gram Name N/A s tG 'S" General Project Number emammg a once Fun BU�pF#T IRE c it P: Budgeted Item _ Budget Adjustment Attached YYYbV. VW_s.._... CONTRACT/GRANT/LEASE REVIEW: Administrative ernces vector aTf GRANTING AGENCY: 17 0 Date at6 e e �! c asmg cer ate e2 STAFF RECOMMENDATION: This railroad corridor land was originally purchased b the City in 1999 for the purpose of installing a trail from Garland to Armstrong Ave. in the Industrial Park. The trail project never materialized and it would appear that a goodyortion of the trail will be put in by the university on this land. There is a Water/Sewer Easement In a portion of the corridor which covers a city water line. The agreed price Is $3,300 in excess of the appraised value. Recommendation is the approval of this sale as soon as possible. 0'% /%"O2 —�a(e Cross Reference New Item: Yes_ jC No j 9j�/ �Ll1 vPrev Ord/Res #: a 7//f% Orig Contract Date: Date New 66 Ll • Page 2 STAFF REVIEW FORM Description Sale of railroad ROW to U of A: Garland Ave to School Ave Meeting Date August 6.2002 Comments: Budget Coordinator Accounting Manager City Attorney Purchasing Officer ADA Coordinator Internal Auditor Reference Comments: FAYETTEVI ?LE 40 ME CITY OF FAYETTEVILLE. ARKANSAS DEPARTMENTAL CORRESPONDENCE To: Ed Connell, Engineering Division From: Heather Woodruff, City Clerk Date: August 8, 2002 Please find attached a copy of Resolution No. 118-02 approving the sale of approximately 7.68 acres of abandoned railroad right-of-way to the University of Arkansas Board of Trustees. The original will be microfilmed and filed with the City Clerk. Per your request, I am returning both originals of the Quitclaim Deeds. cc: Nancy Smith, Internal Audit Jim Beavers, City Engineer FAYETTEVItLE THE CITY OF FAYETTEVILLE, ARKANSAS DEPARTMENTAL CORRESPONDENCE DATE: May 2l, 2002 TO: Fayetteville City Couxpjlpymbers THRU: Dan Coody, Mayor ' Ray Bordreaux, Aifport and Economic Development Director John Maguire, Economic Development Coordinator Greg Boettcher, Public Works Director Jim Beavers, City Engineer FROM: Ed Connell, Land Agent4'C% RE: Research & Technology Park (South Fayetteville) Property Sales and Acquisition FYI — General Update During the past few months, the City and the University of Arkansas have been in the process of developing a plan that would provide for a Research & Technology Park area associated with Engineering South "Genesis" Center. Much of this plan is still in the development stage, however, the areas of interest by the University have been defined and both parties, in an effort of cooperation, are working toward that means. As of now, the University is looking toward a major expansion of the Engineering South facilities. Over the past years, many a program has been developed by "Genesis", but minor and major business and industrial development has gone elsewhere. The endeavor of the. U of A is to secure an area close to "Genesis" for R & T purposes, thus the city has been called upon to help in securing an area for future installation of intermediate or small industrial purposes. The U of A is looking to purchase properties along School Avenue from Town Branch south to Cato Springs Road. To this endeavor, they purchased two tracts of City land along Research Center Blvd. earlier this year. Some of that money was used, indirectly, for the City to purchase 32+/- acres on the east side of School Ave. from Mr. Bryan Walker 1I1. This area is part of the U of A plan, however, their plan extends further south to include properties around Nonnamaker Dr. down to the north side of 22a" Street. Mr. And Mrs. Kenneth Easterling own about 25 acres on the north and east sides of the "Genesis" Center. The U of A is currently in negotiations with Mr. Easterling for this acquisition. The have recently purchased two parcels of land from Dash Goff along School Ave. Eventually, they would like to go both east and west from the Research Center in the acquisition of land to go into this R & T Park. As parcels come on the market, they have the approval to make offers for this purpose. Part of the area they wish to acquire is the 100 foot wide abandoned railroad right of way that goes from Garland Ave. to School St. and is owned, by QCD, by the City. The City acquired this ROW in 1999 from Burlington Northern/ Santa Fe Railroad, the initial purpose was to develop a trail to the Industrial Park. The Railroad would only convey this in Quit Claim Deed, thus the city can only convey in QCD. The U of A has indicated that they Research & Technology Park — South FYI Page 2 of 2 plan'the installation of a trail along Town Creek in conjunction with the development of a recreation park on the Easterling property, north of the railroad corridor. It has been decided that this railroad bed will not be used for the installation of a new track to the Industrial Park The City has obtained an independent appraisal of this 7.68 acres of RR ROW, that being $79,000. At this point, it is the intention of the administration to sell the railroad right of way to the University and use such monies toward the purchase of a track of land (w/building) at the comer of Nonnamaker & S. School. The property the city wishes to purchase belongs to Darrel and Ethel Meredith and was formerly used by the World Wrestling Federation on lease from Meredith. This property has been listed "For Sale" and according to the listing agent, a number of interested parties are looking at it for investment purposes. The parcel(s) is part of the area to be acquired for the R & T Park and it is considered prudent to move on this tract at the time it is for sale. An independent appraisal put the fair market value at $120,000. This includes 0.44 acre of land and a main building of approximately 3,450 ft2. The City is currently leasing space from Lazenby for storing equipment and this building can be used for that purpose. Some work (overhead door replacement) will be required on the building but it is in reasonable to good shape for the most part. The city is preparing to make an offer of $120,000 to Mr. and Mrs. Meredith on this property. Although other offers are pending, Mr. Meredith would prefer to work with the city, especially since the area has been designated for the eventual development of an R & T Park. The purchase of this property will not require new or additional public funds. In January, 2002, the city sold to the University two tracts of land for $459,000. Of that income, $360,000 was used in the purchase of 32 acres from Bryan Walker III on 19i° and School, leaving a balance into the reserve fund of $ 99,000. Of that reserve, $25,000 was used for the Pay Plan Review, leaving a net balance in the reserve fund, from the above source, of $74,000. We anticipate an overall cost of approximately $129,000 for the purchase of, environmental testing and some minor repair work on the Meredith property. As indicated above, the sale of the railroad right of way will bring in approx. $79,000, and the remaining $50,000 will come from the reserve fund, leaving a net positive balance of $24,000. Of that balance, appro0ximately $ 10,000-11,000 will be required to do the demolition and disposal of the old buildings on the Walker property. To / From Balance in Activity Value Reserve Fund Reserve Fd.* 1. Sale of 20t° Street Properties to U of A 459,000 459,000 459,000 2. Purchase of Walker Property 360,000 -360,000 99.000 3. Pay Plan Review 25,000 - 25,000 74,000 4. Sale of RR ROW to U of A 79,000 79,000 154,000 5. Purchase of Meredith Property 120,000 -120,000 34,000 6. Meredith Prop. other Expenses 9,000 - 9,000 25,000 7. Walker Prop Demo. & Disp. 11,000 - 11,000 14,000 * South Research & Development Park activities Within the next month, agenda items will be presented to the City Council for (1) the sale of the railroad right of way between Garland and School to the U of A and (2) the purchase of the Meredith property. At this point, the administration does not anticipate any additional purchases in this area for the year 2002 due to limited resources. We will, however, be looking into obtaining independent appraisals for the 8-9 outstanding parcels that will constitute the remainder of the R & T Park. • • 1 City of Fayetteville Press Release RECEIVED June 14, 2002 jIlh 1 4 ,'102 CITY OF FAYE'i . _VILLE Immediate Release CITYCLERICSCFrICE Wilson Spring Business Park Assessment Task Force I have formed a Task Force to evaluate from an independent perspective the environmental and economic issues that are before the community concerning the Wilson Spring Business Park. There are many issues to evaluate within the scope of this assessment. These include the protection and enhancement of the habitat of a species that may become listed as endangered; the economic viability of the business park development; public/private partnerships in the development of this business park; the need for local government to be involved with job creation and business investment; and other issues that the assessment team will consider within the scope of their work. The purpose of this assessment is to evaluate the costs and benefits of development of the Wilson Spring Business Park. This assessment will include an evaluation of all costs and benefits of the project including development and environmental costs as well as all benefits including job creation and environmental preservation and protection and other issues that the assessment team feels are relevant to an unbiased appraisal of this project. There are several public goals that have been established for this project. These goals are: • Diversify the local economy and create additional tax base for the community. This goal is inherent with the creation of jobs that will attract and retain the human capital that we currently export each year to Dallas, Austin, Kansas City, and the other leading edge economic engines of the nation. We must create the type of business infrastructure that will permit and encourage the creation of those jobs that can and will utilize the talented resources that each year leave Fayetteville and the State to find adequate, high paying and satisfying employment. • Encourage an environment for business/home office development in Fayetteville. • Preserve 100 acres of land surrounding the environmentally sensitive habitat of the Arkansas Darter, a candidate for listing as an endangered species. • Develop a model of business coexisting with ecological preservation and enhancement. This model can serve as a demonstration of the manner in which growth and environmental conservation can both be promoted. • Recover investment in the property, both purchase and all development costs. Additionally, the profits from the sale of land could be utilized to fund other 06-14-02P03:03 RCVD i environmental activities, such as trail development, acquisition of sensitive lands, and promotion of other quality of life issues, which otherwise could not be funded. The assessment team will establish its own process and procedure for conducting this assessment. I hope that the assessment team can report their findings to the City Council by August 6, but in any event not later than August 20, 2002. The Assessment Team membership is a balance between various groups who have expressed interest in this project or who have particular expertise in evaluating environmental or economic problems. The Assessment Team has been established by the Mayor's Office and is, in my opinion, an objective group representing a variety of interests. I have asked two individuals to co-chair the Assessment Team; these are Jeff Collins, PhD, from the Walton School of Business, and Mike Fuhr, Director of Aquatic Conservation, Arkansas Chapter of the Nature Conservancy. The remainder of the team is of similar stature. I feel that there is a balance between various "stakeholder" groups, banking, development, environmental, and professional/technical. The Assessment Team is comprised of: Jeff Collins Co -Chair Walton School of Business Mike Fuhr Co -Chair Nature Conservancy Jim Lindsay Development Sector Phil Stafford Technical Genesis Jim Irwin Development Sector John Lewis Banking Cathy Foraker Technical, SWBT PeteHeinzelmann Environmental Duane Woltjen Sierra Club Tom McKinney Sierra Club Jon Johnson Sierra Club and Business I am excited about the opportunities before us. I am also confident that this process will bring forward a consolidated assessment of this project so that the community can move forward either toward this development or toward other activities that demand the public's attention. Dan Coody, Mayor City of Fayetteville Contact: Gary Dumas, General Services Director 479-575-8330 I II ' I I I) I `� r 1� no OO E aE I• 0 CD. O a d Q) d d C CD T — •N N L L Cl) O c d C) 0 U C j a d U d O y - V) L 4 F fn N N N T "IC E Q • C_ O 'L ^ O > Q LL (� N m C J Q. = 0 w U) C1 Q) Q N i O L O E O Q Q '' O (OOO O — O r N N L Qr VI A• ___ in ` o a C ≥ � C X N EE v v L G N O ° ../�.. cu a Y o Q) 0 IIli ."•.. p 3U)=U fl - �� `_ 0 C I) �+ E 3 a`�" { V L' '" o E c u o E 0rn v c I O o u u via a,aon p. aaoEnw� 0 0 0 o _• r N C OV. I i �C1 Lo.. c ci o f• --'-•.I n CIp N N I�' 'Ii c U U I {I N 0 T t0 > C .a - V �j" >1 ° ti� �vZvia °k. ll I r C C,ENE �t� 3 c J C 2 W E n a n_L �__� E E -0oQcQ,Et y C _ o w p o ov o.a O — a WvC to v L J c E C a '.._- l m Cl N u 10 O j Ql a)° .. Q Earrno° ac E. of u �w N_ r I �� m t� vo� .0• �.... `.�—�1 `, `> InL o�nY{n vi N v O N OL 0- m n i o n J O 0 0 E -I ° c d O C V) C 14 c v in rn E E O fo c /� W IQ Q Y O Z Q Io O Nc bE aci U c o o v ai O is Y `J i + 4-'c a�i E io ai C v 0) a, V E N > C a) KO f0 W Y M C aJ c> Q Q ar, o0 ov rn o O v wo a v a v c u ≥ f0 OuC d r Y E U -. o v U Vl U) 4 W U E n Q tp Q v in v OW u c> C , >(I) > L fa V In tot — ate+ IIL Licm DmU UU) 0 0 0 Wilson Spring Business Park Frequently Asked Questions Environment 1. We ask the City to propose no impact on the wetlands and, therefore, no mitigation. While this may cost the City several acres of hypothetically saleable land, it will at the same time save the City tens of thousands of dollars in mitigation costs as well as infrastructure costs connected to filling and stabilization. We have seen no economic information that would justify the development of the wetlands. Response: A Zero Impact option has been developed. This option was concurred with Andrea Radwell and Tom McKinney on April 10, at the second meeting with the environmental community in the offices of McClelland Engineers, others present were Don Bunch of the Fayetteville Planning Commission and MCE staff. Copies of the concept layout were provided to Tom McKinney several days later for his use. The individuals present seemed to understand that street layout, preliminary cost, mitigation requirements, if any, and benefit cost analysis would be developed. That benefit cost analysis is approaching conclusion, at this time awaiting the completion and a professional and competent development appraisal. When the appraisal is received the benefit cost analysis will be completed and provided to the City Council so that the project can be evaluated before proceeding further. 2. We ask the City to contemplate ONLY development that is LIMITED and AWAY FROM the wetlands. We have seen no hydrological information that supports the City's contention that the wetlands will not be harmed in the long run by development of this area, nor an interest in performing professional environmental assessments of the biological and ecological aspects of this property. We believe that the information presently available is insufficient to assure protection. We do not understand why the City does not support its proposal with more impressive data. Response: Only very limited wetland is proposed to be impacted by the 17 -acre wetland impact scenario. This design concept was developed during conversation with members of the environmental community; Andrea Radwell and Tom McKinney, on April 10, at the second meeting in the offices of McClelland Engineers, others present were Don Bunch of the Fayetteville Planning Commission and MCE staff. Copies of this concept layout were provided to Tom McKinney several days later for his use. This 17 -acre impact concept was developed based upon comments from these environmental representatives. The concerns expressed were taken into consideration. The wetlands impacted are upland and prior disturbance is evident on the majority of this generally lower quality wetland area. 3. We do not know why the City has put this project on a "fast track". We have been given information to the effect that there is no deadline attached to the "grant"promised for next fall. We ask the City to take the project off "fast track" and concentrate on gathering all information (economic as well as environmental) that might justify or argue against this project as planned. If there is a deadline, we would like to see that in writing from the granting authority. Response: It is apparent from the time that the City has been taking to discuss with all interested parties, that this project is not on a "fast track." That does not mean however that the project should languish. The City is committed to developing an environmentally responsible and economically viable project. A project that while protecting the Arkansas Darter and potentially removing it from the "threatened species" list will also generate the creation of jobs with a livable wage, that will help in retaining our youth and in creating a business environment that will compete effectively with the remainder of the I-540 corridor. 4. We ask the City to justify its claim that the appraisal of this property at $10,000 /Acre is "bogus' If the City has quotations of the selling price of wetland acres near this project site, we would like to see them in writing with a documented source. Response: Whether the residential appraisal is valid or not, the perception is that it is not, based upon the actual sale of a lot within the project area to a local software firm. This lot (sold for $40,000/acre) was subsequently repurchased from the buyer because the City could not complete the infrastructure improvements at that time due to project controversy. In order to satisfy its fiduciary responsibility to the taxpayers and citizens of Fayetteville, a new appraisal has been ordered. This appraisal will form the basis of the benefit cost analysis that will provide the City Council with some of the information necessary to form the decision on whether to proceed with the project or not. 5. Comments received from public agencies and from private 501c3's during the 404 comment period (Spring 2000) included requests that conservation easements held by (a) 501c3 conservation organization(s) be applied to the wetlands and to all mitigation areas. We ask that the City pledge to do this and begin immediately working with the Nature Conservancy or a similar entity qualified to hold conservation easements. Response: It is true that a conservation easement will be developed for any wetland preservation area. It is also true that the City will be ultimately responsible for the maintenance of the wetland area and therefore any agreement with another agency to manage any preservation area will need to be carefully considered. The Arkansas Department of Game and Fish will be a likely tenant of the development if it comes to fruition in the near future. This State agency is also a likely organization to manage the preservation easement. However, until there is a project, until the Council has agreed to a plan that requires mitigation and therefore a Corps 404 permit, until the mitigation plan has been developed and approved by Corps, any negotiation with an agency to manage the wetland for the City of Fayetteville would seem premature. 6. We ask the City to take the initiative in asking fora meeting with US Fish and Wildlife within the next 2 weeks to discuss the Candidate Conservation Agreement for the Arkansas darter. We would also like clarification of who is doing the work presently on this CCA and on progress that may have been made. Response: The City has agreed with the U. S. Fish and Wildlife to voluntarily develop a candidate conservation agreement to outline the City of Fayetteville's actions to protect the threatened Arkansas Darter species. This agreement is currently being placed in outline form by U. S. Fish and Wildlife so that when the project is authorized by the City Council to move forward, the agreement may be developed as expeditiously as possible. Again, until the project is authorized by the Council it is premature to develop a plan of action based on construction or wetland preservation agreements that may not occur. Other unassociated construction activities on the project site such as the sewer line to the new sewer plant will be required to amend any plan developed as part of this project or if this project does not proceed, then to develop the conservation agreement for the sewer line project construction. Again any action to spend resources or funds to develop this agreement would seem to be premature. 7. There has been no public discussion of the relationship between the two 404 permit applications, i.e. the permit for the B & Tpark wetlands and the permit that will be required for the large sewer line that we understand will run through the B & Tpark area carrying sewage to the new Westside treatment plant. We do not believe it should be routed through or near a wetland. We believe further that the 404 permitting process now underway for the B & TPark wetlands mitigation will be invalid if the sewer line is to be run through these same wetlands. We request a map showing the proposed location of the sewer treatment line as well as clarification of the relationship of the two 404 permit applications. Response: There have been numerous discussions with the Corps of Engineers, who are responsible for 404 permit review. Discussions have also been held between the U.S. Fish and Wildlife and the sewer line project team to make certain that their work is proceeding in a manner which addresses the concerns of the U. S. Fish and Wildlife. Yes, there will be a separate 404 permit for the entire sewer plant project. Yes, of course the wetland in the business park, which will be under the restrictions of the conservation easement, will be protected by means appropriate for sewer line construction. As these documents are developed they can be reviewed. The request is at this time premature until the Council has agreed to go forward with the business park project and the layout for Truckers Lane (also the most likely route for the sewer line) is designed. Economy 1. The City has not presented any in-depth data about its prospects for the future of the project once the proposed mitigation and infrastructure have been completed. We request answers to the following questions about the economics and the future development of the "park": Response: There have been many public comments concerning the purpose of this project. Some of those comments have been visionary; i.e., attempting to create an expanding business environment which can provide opportunities for job growth for the community's young people, so that they will not need to move to Dallas, or Austin, or Kansas City or Chicago to find craft, technical, and professional jobs which paya livable wage and better; some have been aesthetic; wanting Fayetteville's exposure to the I-540 corridor to be as attractive and presentable as that of some of our neighbors to the north, such as Pinnacle Point in Rogers for example; some have been practical; wanting to create a development which truly represented the commitment of the City of Fayetteville and its citizens toward environmental preservation and balanced land development in a manner that benefited all parties and in a process that indicated the maturity of the community and its ability to resolve complex issues in an equitable and sincere process. 1. What is the purpose of the business technology park? How does the city benefit from its development? Response: Perhaps the name of the project business and technology has created some confusion. Its purpose is to create job opportunities in a campus style business park environment. Those job opportunities will most likely come from office development, perhaps with software developers, or perhaps craftsmen or professionals involved with dental; or optical, or medical laboratories, or any number of existing employment opportunities that will offer jobs with livable and better wages to keep and attract the communities young people and graduates from the university. The benefits of this kind of business park seem self evident. Additionally the purpose is to create a campus style development which will be competitive with quality and amenities to the most attractive and successful business developments along the I- 540 corridor. Perhaps the most significant purpose of this proposed project is the demonstration between the ecology and capital motivation, both working together to build a development that accomplishes the objective of enhancing environmental quality'while creating a business park that not only accomplishes its objectives of appropriate job creation but also returns capital to the City for additional programs. 3. How is this project dii ferent from the other business parks in the region? Response: This project is different from other business parks in the region in that it is in Fayetteville. The City Administration is of the opinion that Fayetteville should be an attractive place for job creation, that even though we have the University, there remains a need to create a diversified economy, to capitalize upon the opportunities that exist within the region but at the same time create a unique opportunity for those businesses that want to grow and prosper in Fayetteville. Certainly there are other business parks in the region that offer many amenities. The Administration believes that this business park can match those amenities offered in other parks of the region and state and can offer other features which set it uniquely apart from the others. These features include its environmental design, it proximity to easily available redundant single mode fiber optic cable access, its campus atmosphere, and the availability of highly educated and talented human capital in the form of University graduates and teaching staff. 4. How is this project different from the nearby, privately developed CMN Business Park? Response: The CMN Business Park is a highly successful development. Its focus to date has been toward retail activities. The focus of this project is toward business development, those opportunities will most likely come from office development, perhaps with software developers, or perhaps craftsmen or professionals involved with dental, or optical, or medical laboratories, or any number of existing employment opportunities that will offer jobs with livable and better wages to keep and attract the communities young people and graduates from the university. Certainly there are business opportunities which each of us can envision, but at the same time there are opportunities that have not yet been envisioned, this is the place that they can grow and develop and become a part of our community. 5. What type of businesses are you expecting to buy lots in the park (give specific examples)? Response: The focus of this project is toward business development, those opportunities will most likely come from office development, perhaps with software developers, or perhaps craftsmen or professionals involved with dental, or optical, or medical laboratories, or any number of existing employment opportunities that will offer jobs with livable and better wages to keep and attract the communities young people and graduates from the university. Certainly there are business opportunities which each of us can envision, but at the same time there are opportunities that have not yet been envisioned, this is the place that they can grow and develop and become a part of our community. 6. What/where is your market? Is it growing, shrinking or staying the same? Response: The market for this project is not fixed; it is and will constantly evolve even after build out. By the question it seems that there are those who think that Fayetteville is stuck in time and perhaps we have been in the past. This administration is now looking to the future and we feel that if Fayetteville is to continue to prosper, we must recognize (by looking at building permits, sales tax receipts, an other indicators of economic vitality) that we as a City may lose our dominance in the region, even with the University, if we do not create opportunities for job and business growth. Certainly we must be watchful of the jobs that we create to make certain that they provide a livable or better wage, but more, that they are the type of business enterprise that promotes the quality of life which does define Fayetteville. 7. How much -will a lot cost per acre? How will that price compare to similar lots in Fayetteville (e.g., CMN, south industrial park, airport and Genesis), Bentonville, Rogers, Ft. Smith etc.? Response: The cost per lot will be determined by the development appraisal currently being developed. 8. Is high bandwidth fiber optic cable (such as the type located near the BIT park), available elsewhere in the city/county/region/state? Response: Various people have commented that the fiber optic cable which exists through the project area is outdated and will not be the state of the art communication system of the future. To be perfectly honest, I do not know what the communication future will be. What those who do know have said is that the system in place can and will serve the communication needs of the tenants of this park for the foreseeable future. The cable in place is a redundant single mode fiber optic cable system that is a part of the overall system which serves the City of Fayetteville. While it may or may not have the capabilities to serve the unknown future, it currently is a part of the backbone fiber network serving Fayetteville, its businesses, its industry, and its residents. Convenient, nearby, easy access to this backbone would seem to be a significant attribute. 9. How much money does the city currently have to invest in the park? How much does the city expect to invest in the park by the time it is fully completed? What will be the major source(s) of public funding for the BIT Park? Response: There is currently approximately $1.9 million budgeted for the first phase of the infrastructure development for the park. Approximately $700,000 of that is grant funds secured from the State. The most recent very preliminary engineering cost estimate is between $8 and $9 million. Funding for future phases for infrastructure development is expected to come from proceeds from the initial phase. The funding for phase 2 will be generated by the revenue generated from phase 1. Phase 3 and subsequent phases will be similar funded by preceding phases. 10. What do you expect the average square foot costs to be for office space located in the park? Response: That is unknown and will be determined by the individual developers who buy the lots and build the structures. Earlier analysis done by others anticipated 1,000,000 square feet of development on the first 122 acres developed. These improvements were expected to require a capital investment of at least $150,000,000. 11. How many square feet of new facilities are expected to be built in the park? How much of an investment (in dollars) will be required for a fully developed park (include buildings and infrastructure costs)? Response: There is currently approximately $1.9 million budgeted for the first phase of the infrastructure development for the park. Approximately $700,000 of that is grant funds secured from the State. The most recent very preliminary engineering cost estimate is between $8 and $9 million. Funding for future phases for infrastructure development is expected to come from proceeds from the initial phase. The funding for phase 2 will be generated by the revenue generated from phase 1. Phase 3 and subsequent phases will be similar funded by preceding phases. The square footage build out will be determined by the individual developers who buy the lots and build the structures. Those costs will also be borne by them. Analysis done by others expects this build out cost to be in excess of $150,000,000 for the first 122 acres developed. 12. Is there a 5 -year cash flow analysis for the BIT Park? Response: Phase 1, with an approximate cost of $1.9 million will be built initially, with construction beginning in the winter of 2002-2003. Phase 2 will begin when funds from the sale of lots'in Phase I are sufficient of cover the construction costs. 13. How many jobs do you expect the BIT Park to create? How much will the city invest for each job created? Is the cost/job within acceptable standards for a business park? Response: The proposal at this time is for the project to be self supporting. If the project goes forward, the value of the property after infrastructure improvements will greater than the cost of the land and the construction costs. While some land may be discounted in order to generate appropriate development, the project should return all costs to the City. Analysis performed by others expects that the first 1,000,000 square feet of building space will provide jobs for approximately 2,500 people. That is 400 square feet per employee. The average individual salary is expected to be approximately $45,000. The benefit cost analysis, performed by others, anticipates that the cost per job will be approximately $3,600. They further found that this ratio is within acceptable standards typically embraced by State and Federal funding agencies. 14. What do you expect the average salary to be for employees working in the park? Response: Analysis performed by others expects that the first 1,000,000 square feet of building 0 L� space will provide jobs for approximately 2,500 people. That is 400 square feet per employee. The average individual salary is expected to be approximately $45,000. 15. Who will administer the design/building/management/marketing of the park? What are their qualifications? Response: The development of the park design and construction will be managed by Gary Dumas, the City's General Services Director. He has experience as a planner and public works director and has helped to guide projects through design, approval and construction. The management and marketing of the park, as each phase is constructed, will be Ray Boudreaux, the City's Economic Developer and Airport Manager. He has held a similar position in another community. 16. How will you determine if the park is successful? Response: Success will be determined by occupancy of the park by businesses that are contributing to the City of Fayetteville's quality of life, businesses that are providing jobs that are paying a livable wage and better, business that at helping the community retain its youth, businesses that are capitalizing upon the assets of the University, businesses that are proud to be a integral part of the regions first environment business park. Additionally success will be measured in the positive cash flow of phases 1 and 2 and the initiation of construction on Phase 3 within 5 years. Public Process 1. We have requested on several occasions that the City clearly define a process to engage interested parties from the public sector to be involved in further planning of this project. We reiterate this request. Response: There have been two public meetings on this project in the Town Center this year; there have been numerous discussions before the City Council, at the City Council's request. Members of the environmental community were included in two planning meetings where the final wetland impact was resolved and where their input was sought and included in that design, there have been three meetings on the site where a variety of features have been discussed and where with some discussion an apparent nesting area for the Henslow Sparrow is proposed to be preserved. Five months ago, at the initiation of this projects rebirth, approximately 45 acres of wetland were to be disturbed within a typical business subdivision using typical design and construction techniques, through much review and research and public discussion, such items as permeable pavement for parking lots, drainage swales, rain gardens, minimal underground drainage, and a reduction of wetland impact to approximately 17 acres is now being considered. At some point the project must move forward or Fayetteville can truly claim the moniker of "most difficult town to develop in." I do not want that legacy; rather I would prefer the legacy of "Fayetteville, environmentally aware, balancing the needs of the environment and business growth with a common sense approach to problem solving". 015 04 City of Fayetteville 8/12/2002 Maintenance/Inquiry 11:31:51 Document Ite Action Reference Date Ref. Taken Brief Description RES 8/06/2002 118 SALE ABANDOND RAILROAD RIGHT OF WAY - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - Keywords..... . . . . . . . . . : RES. 118-02 SALE 7.68 ACRES ABANDONED RAILROAD RIGHT-OF-WAY UNIVERSITY OF ARKANSAS BOARD OF TRUSTEES $82,300.00 File Reference #......: MICROFILM security Class........: Retention Type: Expiration Date.......: '** Active Date for cont/Referred: Name Referred to......: Press Cmd 6 to Update Cmdl-Return Cmd2-Check out Cmd8-Retention Cmd3-End Press 'ENTER' to Continue Cmd5-Abstract Yes No (c) 1986-1992 Munimetrix Systems Corp.