HomeMy WebLinkAbout46-03 RESOLUTIONRESOLUTION NO, 46-03
A RESOLUTION TO APPROVE THE OFFER AND
ACCEPTANCE CONTRACT BETWEEN THE CITY OF
FAYETTEVILLE AND MOUNT SEQUOYAH ASSEMBLY, INC.
FOR THE PURCHASE OF ABOUT 67 ACRES OF LAND
FOR $1,300,000.00 AND A BUDGET ADJUSTMENT IN THE
AMOUNT OF $600,000.00 AS FIRST YEAR'S PAYMENT
WHEREAS, the City of Fayetteville desires to purchase about 67 acres of land on
the east side of Mount Scquoyah now owned by Mount Sequoyah Assembly, Inc. to be used
primarily as a nature park, preserving the natural habitat as much as possible with nature
trails, picnic areas, benches, etc. and with small parking lots near access areas; and
WHEREAS, the City of Fayetteville invites the purchase of its development rights to
this property by the Fayetteville Natural Heritage Committee for conveyance to the Ozark
Land Trust; and
WHEREAS, the City of Fayetteville intends to work with adjoining landowners to
allow them to purchase small buffer areas (as their backyards) along the edge of this
property.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF TIIE
CITY OF FAYETTEVILLE, ARKANSAS:
Section 1. That the City Council of the City of Fayetteville, Arkansas hereby
approves the Offer and Acceptance Contract between the City and Mount Sequoyah
Assembly, Inc. (attachcd as Exhibit A) in which the City purchases about 67 acres of Mount
Sequoyah Assembly, Inc. land for $1,300,000.00. The City Council expressly authorizes
Mayor Coody to sign the S700,000.00 mortgage note described in the Offer and Acceptance
contract.
Section 2. That the City Council of the City of Fayetteville, Arkansas hereby
approves the budget adjustment in the amount of $600,000.00 as the first year's payment on
the 67 -acre purchase.
PASSED and APPROVED this the Im day of April, 2003.
a
••
so e •
•
APPROVED:
7
/
▪ . a
• / 1.
I • • :0
v.!
• , ,.
By
• : / •
Alc STi •••
By.
Sondra.Smith, City Cler
..
• .../ .•.
'
DA COODY, Mayor
OFFER AND ACCEPTANCE CONTRACT
1. The City of Fayetteville, Arkansas, a municipal corporation, offers to buy, subject to
the terms and conditions set forth herein, the following descnbed property:
The East 895 feet of the Southeast Quarter (SE%) of the Northeast Quarter
(NE'!.) of Section Fifteen (15), Township Sixteen (16) North, Range Thirty (30)
West, Washington County, Arkansas, being all that part of said 40 acre tract
not included in the plat of Western Methodist Assembly subdivision to the City
of Fayetteville. Arkansas, containing 27.12 acres, more or less,
and
The Southwest Quarter (SW%) of the Northwest Quarter (NW%) of Section Fourteen
(14), Township Sixteen (16) North, Range Thirty (30) West, Washington County,
Arkansas, containing 40 acres more or less.
2 Purchase Price Subject to the following conditions, the City of Fayetteville shall, pay
$ 1,300,000 to Mt. Sequoyah Assembly, Inc., an Arkansas non-profit corporation, for
the described property, which includes a cash payment of $ 600,000 at the time of
closing and a mortgage note in the principal amount of $ 700,000, payable in five (5)
annual installments of $140,000.00 plus 3% per annum interest on the unpaid
balance, the first installment being due on the anniversary date of this contract and
such date each year thereafter for the following four (4) years. The City of Fayetteville
shall have the right to prepay the principal amount due, plus accrued interest, at any
time. It is understood that the City of Fayetteville shall have full access to such
land(s) and may implement improvements to said land in their normal course of
improvement and maintenance of park or trails areas.
Contingent Earnest Money Deposit: The City of Fayetteville shall, within two weeks
after the full execution of this contract, tender a check for $ 13,000 to Mt. Sequoyah
Assembly, Inc., as earnest money, which shall apply on the purchase price and
credited toward the cash payment at closing . This offer of purchase is contingent
upon approval of the City Council of the City of Fayetteville, Arkansas, and, if they do
not so approve, the earnest money deposit will be returned to the City of Fayetteville
by the Mt. Sequoyah Assembly, Inc.. If title requirements are not fulfilled or if Mt.
Sequoyah Assembly, Inc. fails to fulfill any obligations under this contract, the eamest
money shall be promptly refunded to the City of Fayetteville. If the City of Fayetteville
fails to fulfill his obligations under this contract or after all conditions have been met,
the City of Fayetteville fails to close this transaction, the earnest money shall become
liquidated damages to Mt. Sequoyah Assembly, Inc.
OFFER- AND ACCEPTANI CONTRACT
Page 2 of 5
•
4. Conveyance and Limited Land Use: Conveyance will be made to the City of
Fayetteville by General Warranty Deed,. This conveyance shall include mineral rights
owned by the Mt. Sequoyah Assembly, Inc. The City of Fayetteville intends to use
this land as a nature park, preserving the natural habitat as much as possible with
nature trails, picnic areas, benches, etc., and small parking lots at access areas.
Except where necessary to access the park, the trails and picnic areas shall not be
located near existing homes. The City of Fayetteville shall invite the purchase of its
development rights for this acreage by the Fayetteville Natural Heritage Committee
for their conveyance of development rights to the Ozark Regional Land Trust.
5. Mt. Sequoyah Assembly, Inc. shall furnish a policy of title insurance in the amount of
the purchase price from a title insurance company as selected by the City of
Fayetteville. The City of Fayetteville and Mt. Sequoyah Assembly, Inc. shall equally
share in the cost of said insurance policy.
Mt. Sequoyah Assembly, Inc. agrees to allow the City of Fayetteville, if the City of
Fayetteville so desires, at City of Fayetteville's expense, to survey the property. Mt.
Sequoyah Assembly, Inc. agrees to cure any title problems which may result from any
differences between the recorded legal descriptions of the property and the survey
description. Said title problems, if any, must be solved prior to closing to the
satisfaction of the City of Fayetteville.
7. Taxes and special assessments due on or before closing shall be paid by the Mt.
Sequoyah Assembly, Inc.. Insurance, general taxes, ad valorem taxes, special
assessments and rental payments shall be prorated as of closing. Closing costs,
except those heretofore mentioned, shall be equally shared between the City of
Fayetteville and Mt. Sequoyah Assembly, Inc.
8. The closing date shall be within sixty ( 60 ) days after approval of this contract by the
Fayetteville City Council.
(,im. v act
9. Possession of the property shall be delivered to the City of Fayetteville on the date of
closing.
10. Mt. Sequoyah Assembly, Inc. hereby grants permission for the City of Fayetteville or
its employees or designates to enter the above described property and improvements
for the purpose of inspection and/or surveying.
11. All fixtures, improvements and attached equipment are included in the purchase price.
12. Risk of loss or damage to the property by fire or other casualty occurring up to the
time of closing is assumed by Mt. Sequoyah Assembly, Inc..
•
OFFER AND ACCEPTANPE CONTRACT
Page 3 of 5
•
13. Mt. Sequoyah Assembly, Inc. shall disclose to the City of Fayetteville any and all
environmental hazards of which Mt. Sequoyah Assembly, Inc. has actual knowledge.
Upon acceptance of all conditions and terms of this Offer and Acceptance, the City
of Fayetteville and Mt. Sequoyah Assembly, Inc. shall share equally the costs of any
and all testing for the existence of environmental hazards. Should the existence of
environmental hazards be known or determined, Mt. Sequoyah Assembly, Inc. shall
cure such, at Mt. Sequoyah Assembly, Inc.'s expense, or in the alternative, at the City
of Fayetteville's discretion, the City of Fayetteville may cure such environmental
hazard, and Mt. Sequoyah Assembly, Inc. shall indemnify the City of Fayetteville for
all costs associated with said cure.
14. This agreement shall be governed by the laws of the State of Arkansas.
15. This agreement, when executed by both the City of Fayetteville and Mt. Sequoyah
Assembly, Inc. 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.
16. This contract expires, if not accepted by the Mt. Sequoyah Assembly, Inc. on or
before the 28th day of February 2003.
17. NOTICE: THE CITY OF FAYETTEVILLE, ARKANSAS, ASSERTS AND MT.
SEQUOYAH ASSEMBLY, INC. HEREBY ACKNOWLEDGES THAT THIS
OFFER IS EXPRESSLY CONTINGENT UPON THE APPROVAL OF
THIS OFFER OF PURCHASE BY THE CITY COUNCIL OF
FAYETTEVILLE AND THAT THE FAILURE OF THE COUNCIL TO SO
APPROVE WILL MAKE ALL PORTIONS OF THIS OFFER NULL AND
VOID, INCLUDING, BUT NOT LIMITED TO THE RETURN TO THE
CITY OF FAYETTEVILLE OF THE $ 13 000 EARNEST MONEY
DEPOSIT.
•
•
OFFER AND ACCEPTANCE CONTRACT
Page 4 of 5
Mt. Sequoyah Asse bl nc.
arles allace, ehaimiatiTrtskci-oni
WITNESS:
City of Fayetteville, Arkansas,
a muni al corpo tion
Dan Coody, Mayor
100vtia.) nev;Liki
Sondra Smith, City Clerk
Date:
•
Date:
Date: 24/D
Date:
c9/3/40 3
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 Dr.Charles Wallace
MUM refircse eta Mt Tr •-• ST CP c to me well known as the persoAwho executed the foregoing
document, and who stated and acknowledged that thestssettlmtabaiffixamang he is r' -,c r err
of Mt. Seouoyah assembly. Inc. andaili? duly authorized to execute the foregoing instsurarl for and in
the name and behalf of said corporation, and further stated and acknowledged that tfiey 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 f ifTh day of Cc fpr -J cacti 2003.
MY COMMISSION EXPIRES:
ci - a 9
OFFICIAL SEAL
A. WIWSTINE SMITH
NOTARY PUBLIC - ARKANSAS
WASHINGTON COUNTY
MY COMMISSION EXPIRES: 12-09-2004
Notary Public
•
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 Dan Coody and Sondra
Smith, 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 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 day of /LiEricaidges'
MY COMMISSION EXPIRES:
eV- 2o /o
2003.
1*
EDWARD D. CONNELL
Washfrgtoncounty
my CC111nssionEip1ms
1,2010
Notarv Public
t4,
„
ILL() goitiRECORD--.-
PEED OFTRUST .02-11kN ,• 2$1,,,fIgi,14- SI: - -
., • .,, •
Date: Dearnter 31,21101 e,f.,WAS il I NeTON CO as:. • - -1:
Grantor : MOUNT SEQUOYAFI ASSEMBLY, NC, an Arlentats regirpriftleiinprition, (trinatriyini,, .. . - :...t 2-...,-..
known as WESTERN METHODIST ASSEMBL.Y, a conioradon) by arid itiningh us ' . , :,..
authorized npossentative CHARLES WALLACE, pursuant to take of -the BOARD OF:. ; . - :
TRUSTEES of MOLINT SEQUCIYAH.ASSEMBLY, INC, 7the Acnitihli." .
Grantor's Man Address Cuthiding county):
150 NM Sicyfue Drive Payee -vane Wasbiogton County, Adaroas.72701.
Trustee : PATRICIA R. SPRAYBERRY-HAIL
Trustee's Mng Address (Inducting county):
3215 West 4th Sheet, Fon Worth, Tarrant Cowry, Teas 76107
Beneficiary: THE FOUNDATION OF THE CENTRAL TEXAS ANNUAL CONFERENCE. OF THE
UNITED METHODIST CHURCH, a Toms on -profit corporation doing busbies esnbe
CENTRAL TEXAS METHODIST FOUNDATION (the Foundation tt)
Beneficiary's Mailing Address (incluifing easy):
3215 West sith Street Fon Worth Turam Camiy, Tens 76107
No ti(s)
Date Denote 31. 2001
Ammon: THREE HUNDRED S1XTY-SEVEN 1140USAND FIVE HUNDRED and
NO/100 DOLLARS (S367.500.00)
Maker The Assmarly
Payee: The Fmmdatisr.
Find Maturity Date Direanher 1,2017
Property Onduding any Improvements now or hereafter placed opal*
See Exhilit A. which is incorporatedherein by reference
Prior Liens (including recording Informadon):
NONE
Other Extend= to Conveyance and Warranty:
1. This conveyance is nide and accepted rubjoa to the ftillowiog tauten, to de at= same an in
effect at this tin= any arid all II:Stra dem reStriCtink covenants, WrICEI ions and M=1, if any,
relatim to the hereirotove desmlsed property, tat only to the extent they are still in effect, glOW11 of
record in the hatinabove mentioned County and Stan, and to all rating Inn, regulations and
ordinances of mimicipal and/or otter gonna authorities, if any, but only to the went that they
am still in effea, reining to die keninabove desailed propos/. This correeyaree Is made and
accepted subject to the following testi:hem
2. All ertfmances, lava, ruks and residue= of every kind and character, if any, of am governs=
&dimity to whisk theproperty is subjecu and
3. AD ad valorem tues, if any, assessable against tho prtverty kr the year &±is Deed ofTrust.
For value received and to secant the payment of the no, Gramm conveys de property to the Trustee in
mot Grantor warms and agrees ea defend the title to dr property. If Grantor performs all of the corranans
and Pays dr DOW =Oda% to it mu; ditEk114101(INEFSRU3kassmituttbr cffea; and EkrefIciary stall
rel=sc it at Grantor's onierec 6 CLOSING .
3595 N. COLLEGE
Paw Eats Ow cermst FAYETTEVILLE, AR 72703
Pao:m.0)14
. • File No.: 1-15938
.."•. EXHIBIT, A
.•
C.1 Tract A: • .1•
-
... „
cl.@•
,, -- A part of the S la of the NE1/4 of Section 15, T-l&N, R -30-W, WashingionC,itity
. lying within the Western Methodist Assembly PIM, and bounded by Skyline prive;allattl-:- . •
unplatted parcel of greamd bounded on the North side by Skyline Drive aiirl'enthelbailitlide by.
... Total Way and on the West side by Lots 65 &68, Weston Methodist ASSenils....1y,:....::#':. ....." •
Also,
Lots 60,61 62 & Lots 142 through 157 (inclusive), Western Methodist Assendily•Plat Mthe City, •
of Fayetteville, ArIcansas, as shovm on plat of record in the plat records of Washington' aunty,
Arkansas.
Tract B:
The East 895 feet of the SEI/4 of the NEI/4 of Section 15, T -16-N, R -30-W, Washingtai
County, Arkansas, being all that pan of said 40 sae tract not included in the plat of Western
Mediodist Assembly.
Tract C:
The SWI/4 of the NW1/4 of Section 14, T -16-N, R -30-W, Washington County, Arkansas,
containing 40 acres, more or less.
2002000705
• rtkix-.-44:4•1j
•
•
i •
Street Right of WIYI V9IYFILED:FOR•RiCtiRD.
KNOW ALL MEN BY THESE PRESENTS:
; '110 'Pill
• . .
THAT tbo undraped, hereinafter ailed GRANTOR. for and In cduild_.
amble madder -Aden, the receipt of vrWch is hereby acknoirledgedCde
ale • •
thepublic, hereinafter. called GRANTEX, a Street Right Of wi;. 4ndiW2iolsylc I ;1. 71:t.:
eonstmet, maintain, operate, locate,. inspect, roma, rely and • remon 4stiaseis; a 4 diital;ige- 741ich ;_.y.711h
Sated . structures and -public utilities, rah the right . of: ingnes ancitegreSi•to and ifieeo tlie aMmialba2747
following described lands lying istWASIM4G7IDIS courth, Anitatrises,'10,Trt (
THE EAST HALF OF TSOUTHWEST QUARTER OF rice Nor•tawesr QUART*
HE OF
SECTION FOURTEEN (14), IN TOWNSHIP SIXTEEN (16) NORTITtRANGE 30 WEST Oir THE T. :?..-iic1.2-1:y
sm PRINCIPAL MEI:DIAN AS DOCUMENTED IN DEED RZCORDEDINBOOJC 1181 cor:,
PAGE 70D IN THE WASHINGTON COUNTY CIRCUTT CLERIC'S OFFICE..” - .
. •
••• •
IT IS UNDERSTOOD AND AGREED between the parties HMO that the above daralita lands sal be -
subject to the aforementioned purposes, BUT THAT this easement, ether than for parposes incident to-
coastruction, repair, maintenance, removal and relaying, shall be limited alt permanant easenimil •
following described lands:
A 24' WIDE TRACT OF PROPERTY ALONG AND ADJACENT TO THE BASF PROPERTY •
LINE OF THE ABOVE DESCRIBED TRACT RUNNING NOFtTil 9711' FROM THE scarrlizAfir
CORNER CONTAINING 053 ACRES MORE OR LESS.
Said GRANTEE t•eattiy covenant with ihe Gterron, their heirs, assIgm, or canton, to rePair any al
MI denier= to the Wads above described, which mid GRANTEE, Its servants or agmts may cause, or
reimburse Me GRANTOR, their heirs, assigns, or executors just compmation therefore
GRANTOR shall rennin the Owoen of the above described lands, entitled to foil usage thereof for all
purposes not inconsistent with the easement berein conveyed, except GPABTOR shall eat ma any
permanent structures on or ova the above described permanent easement.
Um undersigned GRANTOR, benby acknowledge, lc consurrame with the data of this ea:coast that! am
an individual acting la my own right.
GRANTOR:
2a1
:40
WITNESS roy band sod stal Ible22day of rchn_St.
State of Texas
County of
ACKNOWLEDGEMENT
On this day, before me, a Notary Public &IQ commissiocied and acting for the Stole and Couoty aforetaido
personally appeared _20,ACombling who acknowledged that he mu the Mama of MluSEHIILLYALT
dl4FMTU Y INC *corporation, and tint he, as sneh being authorized so to do, bad eneuted the foregoing
1=17130e -0i for tin Palma therein contained, by stag the inane of tha corporation by himself as such oflactr.
Witness coy hand and sal as such Notary Puha tbl • day at iteaff44•2 2000.
My commission Expires:
5 - - At:03
Notary Public
nINHILIKCCE
MY 031003.01 RPM,
lis73.2033
•
2000020100
• •••••••,,r
q,.r On*
4;;;;;;-, •,••• "••••rPrkatts,;31,-
;tett.cs;:e...]:411:
e I VOL••7.1C
State of Oklahoma )
)
County of
•
•••yr•stlit
On this thy. before mt. a Neter, Eabile di*/ cannalsiithed 14d!ict4i!ciitE.,24 CaiStaC"°!041
persanally appeared hIII-RONALD et Oflaithcs snicienvielgat thailthyriX thiekeryiefaxi MilatC4a
SROUOYAR ASSEMBLY; WC moeratkoirii34 bilits .14 6dpi:sill:Si iota ditid ecithined:-
the fonecting lastrumtat ler the purposes therein coatanuth bye:loin the name? the co
. A
much efflux%
Whams my hand and seal as such Notary Pubre this 49 day of Prdri--' • 2009.1. ••: ,
. . . .
,•
/l2th)2pe ret:da.1191.1) `.114
•
. ACKICIONYLKOOEMEEff:.:
. • •
My commission Expires:
iati‘-ata
v
1
irr•
a. •.9 or •
41‘../a 0. •
No Public
2000020101
44.?
•
Budget Year
2003
Department:
Division:
Program:
•
City of Fayetteville, Arkansas
Budget Adjustment Form
Sales Tax Capital Improvements
•
Date Requested
4/1/2003
Adjustment Number
Project or Item Requested:
$600,000 is requested in the Mount Sequoyah Land
Purchase capital project.
Project or Item Deleted:
$13,000 from the Use of Fund Balance.
To recognize $371,320 in revenue received from the Sale
of Property to the University of Arkansas.
Justification of this Increase:
The funding is for the down payment of $600,000 for the
purchase of 67 acres on Mount Sequoyah.
Justification of this Decrease:
There is sufficient fund balance remaining. This is from
postponing the Budgeting & Planning Software ($150,000)
and the Employee Parking Lot ($1471600) capital projects.
$15,000 will be received from the Fayetteville Natural
Heritage Group. $26,080 is from the Park Land
Acquisition project. The $371,320 in revenue received in
General Fund is from the sale of land to the U of A.
Account Name
Land acquisition
Land acquisition
Account Name
Use of fund balance
Donations
Park improvements
Gain/loss-sale of assets
Increase Expense (Decrease Revenue)
Account Number Amount Project Number
4470 9470 5805 00
1010 6600 5805 00
228,680 03017 1
371,320 03017 1
Decrease Expense (Increase Revenue)
Account Nurnber Amount Project Number
4470
4470
4470
1010
0947 4999
0947 4809
9470 5806
0001 4881
99
00
00
02
187,600
15,000 03017 1
26,080 02016 1
371,320
Approval Signatures
Requested By
Budget Mana
Department
rector
kJ"
nternaol :
411
nan
Mayor
ices Dir tor
Date
Date
Date
-2. ov- C73
Date
Date
Budget Office Use Only
Type: A
Date of Approval
Posted to General Ledger
Posted to Project Accounting
Entered in Category Log
D E
Date Initial
Date Initial
Date Initial
Date Initial
Q
•
WARRANTY DEED
BE IT KNOWN BY THESE PRESENTS:
THAT, MT. SEQUOYAH ASSEMBLY, INC., an Arkansas non-profit
corporation, hereinafter called GRANTOR, for and in consideration of the sum
of One Dollar ($1.00) and other good and valuable consideration, the receipt of
which is hereby acknowledged, do hereby grant, bargain sell and convey unto the
City of Fayetteville, Arkansas, a municipal corporation, hereinafter called
GFtANTEE, and unto Grantee's successors and assigns, the following described
land situated in the County of Washington, State of Arkansas, to -wit:
•fre-c3
MICROFILMED
The East 895 feet of the Southeast Quarter (SE%) of the Northeast Quarter (NE'/.) of Section Fifteen (15),
Township Sixteen (16) North, Range Thirty (30) West, Washington County, Arkansas, being all that part
of said 40 acre tract not included in the plat of Westem Methodist Assembly subdivision to the City of
Fayetteville, Arkansas, containing 27.12 acres, more or less.
ALSO,
The Southwest Quarter (SW%) of the Northwest Quarter (NW%) of Section Fourteen (14), Township
Sixteen (16) North, Range Thirty (30) West Washington County, Arkansas, containing 40 acres, more or
less.
TO HAVE AND TO HOLD the said lands and appurtenances thereunto belonging unto the said Grantee and
Grantee's successors and assigns, forever. And the said Grantors hereby covenant that they are lawfully seized of said
to\ lands and premises; that the same is unencumbered, and that the Grantors will forever warrant and defend the title to the
K.% said lands against all legal claims whatever.
I A\
/ •
WITNESS the execution hereof on this garb, day of
1111111111111141111111111111
Doc ID: 0048 3 9000 TVD : REL
Recorded 06/ 8/ 003 at 03:23:27 PM
Fee Amt: ta.00 Peo I of 1
WashInaton Co ntv. AA
Bette Stems Cir u t Clerk
F11.2003-00027312
By:
2003.
MT. SEQUOYAH ASSEMBLY, INC.
rle ce, President
n M. Le is, Tristee
•
Robert M. Davis, Trustee
ACKNOWLEDGMENT
STATE OF ARKANSAS
ss
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 Charles Wallace, John M. Lewis, and Robert M. Davis, to me
well known as the persons who executed the foregoing document, and who stated and acknowledged that they are the
President, Trustee, and Trustee, respectively, of Mt. Sequoyah Assembly, Inc., and duly authorized to execute the
foregoing instrument for and in the name and behalf of said Mt. Sequoyah Assembly Inc. 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
MY COMMISSION EXPIRES:
oFFicim. SEAL
A. WIWSTINE SMITH
NOTARY RAMC ARKANSAS
WASHINGTON COUNTY
MY COMMISSION WIRES: 12-09-2004
day of t --n
2003.
kA r-, kAos%
Notary Public
4 sEA-A/E14 -is-/-3o
/1. crsia Ev-- Ned —3
•
NJejo unago - sd
nes
UeteLmoo-cooeieculinN end
GMS 11308 LlipinIJOOQJ pus
Wel Lt:Ce:£0 CO0e/9140
uo pew sem juaturuisul sitii Amigo
eitr 'itiunoo uo;t3Lutisem
4q
i
NAME OF FILE:
CROSS REFERENCE:
Item #
Date
•
Resolution No. 46-03
Document
•
1
04/01/03
Res. 46-03 w/Ex. A
2
03/19/03
Staff Review Form w/attachments
memo to Council
letter from BMW Investments, LLC
letter from Fayetteville
Natural Heritage Association
maps of area
copy of Sondra Smith memo
copy of old agenda request w/attachments
3
Ifigio
copy of
memo to Hugh Earnest
NOTES:
i
FAYETTEVILLE
THE CITY OF FAYETTEVILLE. ARKANSAS
DEPARTMENTAL CORRESPONDENCE
•
To: Hugh Eamest
Administration
From: Clarice Buffalohead-Pearman
City Clerk Division
Date: 4/8/03
Re: Res. 4643
Attached please find an executed copy of the above referenced resolution passed by the City
Council April 1, 2003 approving an Offer and Acceptance Contract to purchase approximately 67
acres, locate at Mt. Sequoyah in the amount of $1,300,000.00 and a copy of the approved budget
adjustment
The original resolution will be microfilmed and filed in the city clerk's office. If anything else is
needed please let the city clerk's office know.
/cbp
Nancy Smith, Internal Auditor
Kevin Springer, Budget & Research
• , 6.5
• I 1 lavo3
STAFF REVIEW FORM
X AGENDA REQUEST get-#-,
CONTRACT REVIEW
GRANT REVIEW MI' `51Parilj
For the Fayetteville City Council meeting of April 1,2003 Ar C, 0014141
FROM:
Hittffi Earnest Administration
Name Division Department
ACTION REQUIRED: Approval of the attached Offer and Acceptance Contract between the city and Mt. Sequoyah Assembly, Inc.
for the purchase of 67 Acres of land on the east side of Mt. Sequoyah for the price of $1,300,000, to be used for trails and natural habitat
preservation purposes. Terms include $0.6 MM cash at closing and the remaining $0.7 paid in five (5) annual payments of $140,000
each plus 3% interest on the unpaid balance, beginning one year after closing. Approval of a Budget adjustment is also required.
COST TO CITY:
$33004)00 I5000 Mt. Seqmoyah Property Pur.
Cost of this Request Category/Project Budget Category/Project Name
4470-9470-5805.00
Account Number
0317-1
Project Number
13,000 Land Acquisition
Funds Used To Date Program Name
2,p00
Remaining Balance Fund
BUDGET REVIEW:
Budgeted Item Budget Adjustment Attached
Budget Coordinator Administrative Services Director
CONTRACT/GRANT/LEASE REVIEW: GRANTING AGENCY:
Acco g Man er —T3e Internal Auditor Date
1/V6 3
ttorney ate ADA Coordinator Date
Purchasing Officer Date
STAFF' RECOMMENDATION: Staff recommends acquisition of this property for the purposes intended since the opportunity to do
such may never present itself in the future. Of the $0.684M initial cash requirement, funding sources include 5370, 0100 ± from the
completed sale o112 acres to the U of A, with other sources identified in the attached memorandum. The $0.7MM note to Mt. Sequoyah
Assembly will be made with annual payments over five years which will be budgeted on an annual basis..
Division Head
—Trite Cross Reference
Department Director Date
AdminiiWative Services Director
Chic
o -aa
Date
549 -os
Date
ate
New Item: Yes X No
Prey Ord/Res #:
Orig Contract Date:
Page 2
•
STAFF REVIEW FORM
Description Purchase of 67 Acres from Mt. Sepuoyah Assembly, Inc. Meeting Date April I, 2003
Comments: Reference Comments:
Budget Coordinator
Accounting Manager
City Attorney
Purchasing Officer
ADA Coordinator
Internal Auditor
Page 2
FAYETTEALLE
THE CITY OF FAYETTEVILLE, ARKANSAS
Date:
From:
Subject:
March 20, 2003
The Mayor and Council
Hugh Earnest
Chief Administrative Officer
Mt, Sequoyah Purchase
Background
On February 3, 2003, Mayor Dan Coody submitted an offer to purchase approximately
67 acres from the Mt. Sequoyah Assembly, Inc. The offer of $1,300,000 was accepted by
a representative of the Assembly on February 14, 2003. The offer and acceptance
contains a provision that the City agrees to make an initial cash payment of $600,000 to
the Assembly within 60 days after the resolution authorizing the purchase,
Current Situation
What is before the Council is a resolution approving the attached offer and acceptance
between the City and Mt. Sequoyah Assembly, Inc. for the purchase of 67 acres on the
east side of Mt. Sequoyah for $1,300,000. The terms of the contract include $600,000
cash at closing with the remaining paid out over five (5) years in annual payments of
$140,000 each plus 3% interest on the unpaid balance. These payments are to begin one
year after closing. The listed price of $1,300,000 ($19,400/acre) from the Mt. Sequoyah
Assembly has been verified by an independent audit commissioned by the City. His
conclusion was that the property was valued at $1,407,000 ($21,000/acre) The assembly
has committed to hold to their original amount.
The monies for the initial down payment are to come from the below listed sources:
• Sale of the former walker property (32 acres) to U of A. $371,320
• Allecatien-ef-tnenies-remaining-frent the-ketifts-tree-settlements=1-1-5/47450 Am-es.p2..
• Donation from Fayetteville Natural Heritage Group $ 15,000
• Earnest money committed
• Park Development fund
• Total cash authorization
$ 13,000
$ 26,080
$600,000
The payment schedule committed to by the city for this property is as follows:
Note: $700,000 at 3% over 5 years
Anniversary Date 12 months after the date of closing:
113 WEST MOUNTAIN 72701 479421-7703
FM 479-1576-8257
Year
1.
2.
3
4.
5.
Balance
700,000
560,000
420,000
280,000
140,000
Principal
140,000
140,000
140,000
140,000
140,000
Interest@3%
21,000
16,800
12,600
8,400
4,200
Total Payment
161,000
156,800
152,600
148,400
144,200
Several other issues are of importance in this proposed purchase of this parcel.
Mathias Property
The Tree and Trail task force had been approached by representatives from Parks and
Recreation relative to the possible purchase from settlement monies of 40 plus acres in
the Clabber Creek watershed for $200,000. Rather than continue with this approach, we
have been working very hard and successfully with the Mathias Corporation and have
secured from them an agreement to deed to the City approximately 20 acres south of the
creek. In addition, as can be seen from the attached letter, the corporation has agreed to
deed similar land north of the creek after closing on the remainder of this land around
June. The corporation will receive from the city a tax deductible receipt from the City for
all lands so deeded. This arrangement is in the best interest of the public in that a
greenway corridor will be protected in perpetuity and the corporation receives a value for
the land so dedicated. A map showing the property in question is attached along the
letter.
Park Land Dedication
Our Parks Department had proposed an expenditure of $30,000 as their part of the
monies that was being requested from the Tree and Trail task force. We will use
approximately $27,000 of that initial amount for this first payment.
Fayetteville Natural Heritage Association
This association has committed, as can be seen from the attached letter, to secure up to
$650,000 over the next two years from donations and through working with various
professional groups to identify and secure conservation grants from a variety of sources.
The Council should be aware that the responsibility for all payments resides with the City
and the commitment from this group, while commendable, will not relieve the City of the
legal responsibility that will remain with the City to make the annual payments contained
within the contract.
Recommendation
This is an opportunity to acquire a large parcel of relatively undisturbed ground located
within an urban setting. Property of this nature and size is rarely being found in an urban
setting. h is staff's opinion that the city council should seize this chance to preserve this
large parcel for public enjoyment for this and future generations.
Approval of a Budget Adjustment is also requested
2
February 17, 2003
Mayor Dan Coody RECEIVED
City of Fayetteville
113 W. Mountain MAR 0 5 2003
Fayetteville, Alt 72701 CITY OF FAYETTEVIU.E
MAYOR'S OFFICE
Re: Clabber Creek Acreage
Dear Mr. Coody:
This letter will confirm our intention to deed the City of Fayetteville additional acreage along Clabber
Creek as we discussed February 14, 2003. In order for us to obtain the lot split as required, we had to
alter our prior commitment ofJanuary 9, 2003.
We will deed the city all of the undeveloped and unused acreage in both the flood way and flood plain
south of Clabber Creek and north of both Phase land Phase II of Clabber Creek Subdivision. The exact
acreage we will deed is unclear at this time because we are still working on our large scale development
but we estimate the total acreage, including park dedication and retention pond will be approximately 18
acres MOL. This, with the approximately three acres for park dedication in Phase I, will give the city
control of approximately 21 acres south of the creek.
We are in agreement to accept from the City of Fayetteville a tax deductible receipt in the amount of
$5,000.00 per acre of flood way land and $23,125.00 per acre of flood plain land. At this point we
anticipate closing on the property that will become Phase II by mid-March.
In addition, we also agree to work with the city on the additional acreage north of Clabber Creek when
and if we purchase that acreage. Right now our time frame is approximately mid-June to mid-July for
closing on the property north of the Clabber Creek.
h is our opinion that the highest and best use for this land will be as an addition to the trails corridor and
will greatly benefit the neighborhood that will be created and the city as a whole. Thank you for your
help in transferring this property to the city.
If you have any additional questions, please do not hesitate to call me at 750-9100.
Sincerely,
.2.1 ware
Sam Mathias
BMW Investments, LLC
PO. BOX 6485 • SPRINGDALE, AR 72766 • (479) 750-9100 • FAX (479) 750-0953