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HomeMy WebLinkAbout138-04 RESOLUTIONRESOLUTION NO.138-04 A RESOLUTION AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT WITH SOUTHPASS DEVELOPMENT COMPANY TO ACCEPT 200 ACRES OF PARK LAND, A 10 ACRE WATER TANK S ITE, ONE MILLION DOLLARS FOR PARK LAND DEVELOPMENT AND OTHER CONSIDERATION FOR THE CITY'S ACCEPTANCE OF OWNERSHIP OF A 33 ACRE LANDFILL 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 accepts and approves the Contract with SouthPass Development Company (attached as Exhibit "A") to accept 200 acres of park land, a 10 acre water tank site, one million dollars for park land development and other consideration for the City's acceptance of a 33 acre landfill and its agreement to spend the money currently identified in its Parks Capital Improvement Plan for the community park development. PASSED and APPROVED this 7th day of September, 2004. ATTEST: By: t S NDRA SMITH, City Clerk By: 3._0: •;-3 ;FAYETIEVILLE; y.9 P: %s : AGREEMENT TO ACQUIRE AND DEVELOP THE COMMUNITY PARK FOR FAYETTEVILLE This contract and agreement is entered into by the City of Fayetteville and SouthPass Development Company, LLC (hereinafter "SouthPass"); Whereas, the City of Fayetteville desires to obtain a 200 acre Community Park for its citizens and tourists; and Whereas, the Parks and Recreation Advisory Board has carefully studied available sites and determined that the Cummings' property is the most desirable site for the Community Park; and Whereas, The City of Fayetteville does not have the current resources to both purchase the necessary acreage and develop such acreage into a functioning, attractive Community Park and so publicly requested proposals from developers for a public/private partnership to facilitate the acquisition and development of the Community Park; and Whereas, SouthPass Development Company, LLC submitted a workable, attractive proposal which was selected by the City's selection committee as the recommended proposal. NOW, THEREFORE, pursuant to the terms and conditions of the City's Request for Proposals and SouthPass Development Company, LLC's recommended Proposal, the City and SouthPass agree as follows: 1. Upon approval of this contract by the Fayetteville City Council and SouthPass Development Company, LLC and the accomplishment of all contingencies listed below, SouthPass shall tender to the trustee/owners of the Eight Hundred Acre (more or less) Cummings property an unconditional offer to purchase all said property for the sum of Six Million Nine Hundred Thousand Dollars ($6,900,000.00). The obligation of SouthPass Development Company, LLC shall not become binding or enforceable until all the below contingencies have been fully accomplished: (A) A Master Plan for the development of the approximately 800 acre site has been prepared and approved by SouthPass Development Company LLC and the City of Fayetteville; (B) The City Council has annexed or committed itself to annex the entire 800 acre site; • • (C) The zoning of the portion of the 800 acre site to be owned by SouthPass has been accomplished or the City Council has committed itself to rezone that portion in conformance with the approved Master Plan; (D) The Greenland School District and Fayetteville School District have agreed that this entire site shall be within the Fayetteville School District; (E) The Arkansas Department of Environmental Quality has agreed with the present owners of the Cummings landfill and assured the City of Fayetteville that the costs of the necessary corrective actions for the landfill shall not be borne by, recovered from, assessed to, or collected from the City of Fayetteville or SouthPass Development Company, LLC. 2. If this Offer is accepted by the Trustee and the Court, and all others necessary to accept the offer and legally deed the entire tract of 800 acres, more or less, SouthPass Development company, LLC shall pay the agreed price to the trustee/ owners and the land shall be conveyed by warranty deed free from all encumbrances to the following parties: (A) SouthPass Development Company, LLC shall be deeded the entire Eight Hundred (800) acre tract, more or less, except the 33 acre landfill; (B) The City of Fayetteville shall be deeded (free and clear of any obligation to pay, repay, or otherwise fund the necessary corrective actions for the landfill: partial or full recapping of the landfill and restoration of the stream corridor) the Thirty -Three (33) acre abandoned and closed landfill located within the 800 acre property; (C) South Pass Development Company LLC shall convey by warranty deed to the City of Fayetteville a Two Hundred (200) acre parcel for the Community Park which location shall be determined by the City; (D) SouthPass Development Company LLC shall convey by warranty deed the Ten (10) acre City of Fayetteville water tank site to the City of Fayetteville. 3. To facilitate the preparation of the Master Plan, the City shall immediately pay for the perimeter survey of the property and the 200 acre Community Park site. 4. SouthPass shall fund up to $10,000.00 and retain a mutually acceptable community master planning consultant for recommendations for a Master Plan for this entire 800 acre area (including the 200 acre Community Park area). • • 5. The City of Fayetteville shall assist in facilitating the planning, zoning and other development approval processes which are in accordance with the mutually acceptable master plan 6. The City of Fayetteville shall recommend to the Fayetteville School Board and Greenland School Board that this property should be within the Fayetteville School District. 7. The City of Fayetteville and SouthPass shall cost share (50/50) all costs of extending sewer to the Community Park site and neither shall charge for the acquisition of necessary water or sewer easements across their property to serve their land within this 800 acre area. 8. If all the contingencies listed in paragraph 1 have been accomplished and all the actions listed in paragraph 2 have been achieved, SouthPass Development Company LLC shall contribute One Million Dollars ($1,000,000.00) when the City is ready to award the first construction contract utilizing the 2004 and 2005 budgeted CIP allocation as shown in Exhibits A and B*. Signed this 31 day of fkt.-e , 2004. Signed this 7 0,. day of September, 2004. SOUTHPASS DEVELOPMENT By COQ PANY LLC J IJP►' NOCK ging Member By: DAN COODY Mayor CITY OF FAYETTEVILLE, ARKANSAS Attest: llilnciJi-a.� Sondra Smith, City Cl *Attached as Exhibit A are copies of the current Capital Improvement Program adopted last December by the City Council showing 2004-2008 Parks Development Fund allocations for Community Park Development (total about $2.4 million) and Sales Tax CIP funds allocated to Community Park Development (total about $1.2 million). Attached as Exhibit B is the amount of funds that have been allocated by the City Council that will be available on January 1, 2005 for development of the Community Park (about $1.6 million). • • City of Fayetteville, Arkansas 2004 - 2008 Capital Improvements Program Recommended Ranking by Project Category by Year Year Division Project Amount Priority Parks Development Fund• Parks & Recreation Improvements 2004 Parks & Recreation Community Park Development 466000 1 466,000 2005 • Parks & Recreation 2006 Parks & Recreation 2007 • Parks & Recreation 2008 Community Park Development 473000 1 473,000 Community Park Development 457.000 1 457,000 Community Park Development 489 000 1 489,000 Parks & Recreation Community Park Development i EXHIBIT • Denotes Continuing Project From Previous Year 57 506,000 1 506,000 1 1 1 1 1 1 1 1 1 CITY OF FAYETTEVILLE, ARKANSAS 2004 - 2008 CAPITAL IMPROVEMENTS PROGRAM PROJECT DETAIL 1 PROJECT TITLE: Community Park Development 1 REQUESTING DIVISION: Parks & Recreation FUNDING SOURCE: Sales Tax Capital Improvements Fund PROJECT CATEGORY: Parks & Recreation Improvements INITIAL YEAR PRIORITY: 2 PROJECT TYPE: REPLACEMENT PROJECT DESCRIPTION & JUSTIFICATION : The Parks and Recreation Master Plan recommends development of a Community Park. Facilities would include baseball, soccer, and softball complexes, as well as trails, tennis courts, sand volleyball courts, a pavilion, picnic tables/grills/benches, disc golf, and multi- purpose fields, to name a few possibilities. Facilities would be developed on a priority basis depending upon public desires. With the Lewis Soccer Complex to be retumed to the U of A, there is an urgent need to relocate this facility as well as the Walker Park Baseball Complex due to its poor condition and a need for future growth. This project Is included in both Parks Development and Sales Tax Capital Improvements Funds. In addition, there is $20,000,000 in Sales Tax funding in the unfunded projects list. EXPANSION Y PROJECT COST 2004 $ 165,000 2005 338,000 2006 319,000 2007 186,000 2008 188,000 TOTAL PROJECT COST $ 1,196,000 PROJECT STATUS OF IN PROGRESS) : $206,173 Is included in 2003 CIP funds. Staff evaluated 18 sites and six (6) of these have been appraised. A recommendation for a Community Park site will be presented to City Council after the sites have been fully evaluated, including wetlands/flood plains and land special analysis. EFFECT OF THE PROJECT ON ANNUAL OPERATIONS Depending on the site and conceptual plan, personnel, vehicles, utilities, and maintenance costs may increase accordingly. There would be income generated from sponsorships, entry fees, rentals, etc. No projections on the impact to the operating budget have been made. These figures will be estimated as soon as a site is selected. • • City of Fayetteville, Arkansas Community Park Development Capital Project - Funding 2004/2005 Budgeted Expenses Remaining Budgeted Total 2004 2004 2004 2005 Available Parks Development Fund: 2250.9255.5200.00 $ 256 $ 255 $ 1 $ $ 1 2250.9255.5301.00 45 45 - - 2250.9255.5314.00 51,300 51,300 (0) (0) 2250.9255.5806.00 531,049 2,000 529,049 473,000 1,002,049 582,650 53,600 529,050 473,000 1,002,050 Sales Tax Capital Improvements 4470.9470.5314.00 8,150 8,150 8,150 4470.9470.5806.00 275,000 275,000 338,000 613,000 283,150 283,150 338,000 621,150 $ 865,800 $ 53,600 $ 812,200 $ . 811,000 $ 1,623,200 gMl EDT 0 NAME OF FILE: CROSS REFERENCE: Item # Date Resolution No. 138-04 Document 1 08/19/04 memo to mayor & City Council 2 copy of Request for Proposal 04-13 3 draft resolution 4 RFP 04-13 Comparison 5 Community Park Development Capital Project 6 Staff Review Form 7 copy of newspaper article 8 memo to Gary Dumas 9 10 11 12 13 14 15 16 NOTES: CITY COUNCIL AGENDA MEMO To: Mayor and City Council From: Gary Dumas, Director of Operations Date: August 19, 2004 9/7/°� Agenda Item Number i38 ccoutlA 55 (bpn11.d al IK Imo'^ Subject: APPROVAL OF RESOLUTION AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT WITH SOUTHPASS DEVELOPMENT COMPANY TO ACCEPT 200 ACRES OF PARK LAND, A 10 ACRE WATER TANK SITE, ONE MILLION DOLLARS AND OTHER CONSIDERATION FOR THE CITY'S ACCEPTANCE OF OWNERSHIP OF A 33 ACRE LANDFILL RECOMMENDATION Approval of resolution authorizing the mayor to execute an agreement with SouthPass Development Company to accept 200 acres of park land, a 10 acre water tank site, one million dollars and other consideration for the city's acceptance of ownership of a 33 acre landfill. BACKGROUND In 2000 the community through a public participation process defined the need for a Community Park. In December 2002 the Parks and Recreation Advisory Board requested the staff to pursue land for the future Community Park. From this search 18 potential sites were evaluated against numerous criteria. One site emerged as the best site, the property known as the Cummings Farm in Southwest Fayetteville along Cato Springs Road. The sole issue with the site, was the impact that an abandoned landfill on approximately 33 acres of the 800 acre site would have upon development of a Community Park and other surrounding land uses that may develop in proximity to the Community Park. The City partially funded with the Arkansas Department of Environmental Quality an initial study to determine any impacts that the landfill would have on the use of the landfill site and surrounding land. That study found that the landfill did not pose a significant environmental concern. Two corrective actions were proposed however: these were; the recapping of all or part of the landfill and the restoration of the stream corridor. The Arkansas Department of Environmental Quality concurred with the study and agreed to fund the corrective actions necessary, at no cost to the City, by utilizing the State Landfill Post Closure Trust Fund. This State cost will range of $1.5 million to $3.3 million depending upon options and techniques developed by the State. There has been significant public debate concerning the need for a community park beginning prior to September 9, 2002 when this issue was discussed before the Parks and Recreation Advisory Board meeting. The public discussion continued through January and February 2004 when the Parks and Recreation Advisory Board discussed options on funding the purchase and development. These options ranged from the use of sales tax to property tax to selling off a part of the property to pay for the land needed for the Community Park through a public-private partnership. Through the late winter and spring the concept of the public-private partnership evolved until May 23`d when a • • Agenda Item Number request for proposals was issued seeking a private partner. The general focus of the request is as follows: Request for Proposals RFP 04-13 For Public - Private Partnership to facilitate the Acquisition and Development of a Community Park The City of Fayetteville is interested in partnering with a private developer or developers to facilitate the acquisition and development of a community park in southwest Fayetteville. The City of Fayetteville has purchase options to approximately 800 acres (formerly known as the Cummingss Farm) in southwest Fayetteville. This property is for the most part outside of the City Limits of Fayetteville and within the jurisdiction of Washington County. The majority of the land lies within the Greenland School District. A properly closed landfill is located on the site. Currently water supply is available at an adjacent storage facility and sewer service is available near Cato Springs and I-540. Other utilities, if available, are only available along the southern perimeter. The exact boundary of the community park will be determined through negotiation and in conjunction with a mutually agreed upon development designer. The City of Fayetteville has publicly expressed a desire for a park to serve the community in this area. The City of Fayetteville Parks and Recreation Advisory Board have determined this location as the preferred location to serve this community need. Each proposer is expected to avail themselves to any and all public information concerning the City's desire for a community park. Each proposal must include • method of transferring property from owner/City/proposer, • methods in which the proposer prefers to address landfill issues • address how the proposer wishes to address the ability to provide appropriate sewage disposal facilities to the site described above • amount of acreage to be provided to the City for a Community Park • Agenda Item Number • address how the proposer prefers to provide appropriate transportation access to the site described above • any additional payment to the City • any other items to be required of the City, • any additional issues that the proposer wishes to include within the proposal On June 9, 2004 two responses were opened. One was determined non-responsive by the Purchasing Agent and City Attorney. The second was evaluated and selected for negotiation. For the Council's information the non-responsive proposal was evaluated and compared to the responsive proposal. That comparison is attached. Since June 10th the staff has been in negotiation with SouthPass Development Company, L.L.C. in order to develop a contract which could be considered by the City Council. That contract is now ready for City Council consideration. DISCUSSION The following are the action steps contained within the contract which will result in the City obtaining 243 acres for a Community Park and an existing water tank storage site at no cost, $1,000,000 in cash, impact fees, and an approximate 560 acre development and resulting sales and property taxes. The Company's participation in this project is contingent upon the City obtaining all necessary permits, approvals, or other assurances demonstrating that the abandoned C & L Landfill area is not an environmental hazard. The following sets forth the obligations of the Company and the City: The Company will: a. Agree to purchase the entire approximate 800 acre property at a price not to exceed $8,500 per acre (approximately $6,900,000) and b. contemporaneously with said acquisition in a manner acceptable to current property owner, the City and the Company, will deed to the City, without monetary consideration and free and clear of all liens or encumbrances, approximately 233 acres that the City shall use in connection with the development of a community park inclusive of baseball and soccer fields, related amenities and other park uses and c. contribute $1,000,000 in cash to the City in furtherance of the development of this community park contemporaneously with the City's contractual expenditure of funds within the Parks Development Fund and Parks Capital Improvement Program committed to Community Park Development initiating construction of the community park, and d. retain and fund to a maximum of $10,000, a mutually acceptable community master planning consultant that will identify and outline the usable land amounts and the highest and best uses of the property in harmony with a 233 acre community park. The City will subject to City Council approval: • • Agenda Item Number a. assist in facilitating the planning, zoning and other approval processes in accordance with a mutually acceptable master plan and b. annex the property into the City's boundaries and c. assist to the fullest extent possible with the Greenland School District and the Fayetteville School District to extend the Fayetteville School District boundary .to encompass the property and d. work with ADEQ to resolve all landfill issues using the State's landfill closure trust fund at no additional cost to the City or the Company and e. cost share all costs of extending sewer to the park in accordance with normal City of Fayetteville off-site cost share policies and practices and f. provide all other City utilities and services to the park in accordance with the City's normal off-site utility extension policies. BUDGET IMPACT The City of Fayetteville financial obligation is to participate in all normal off-site improvements required to service the community park and private development. The participation in the off-site improvement for sewer extension is specifically listed as this service is necessary to serve the community park. This cost share for sewer is 50% for both SouthPass and the City. Additional financial requirements are: 1. funding the perimeter survey of the property and the survey of the area to become the community park; estimated cost $50,000. 2. committing to fund the first phase of the park development in order to receive the $1,000,000 donation toward park improvements. 3. long term operation and maintenance of the community park; the current operation and maintenance budget for Lewis Soccer Complex will be transferred to the Community Park as the Lewis Complex reverts back to University use. • • RESOLUTION NO. A RESOLUTION AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT WITH SOUTHPASS DEVELOPMENT COMPANY TO ACCEPT 200 ACRES OF PARK LAND, A 10 ACRE WATER TANK S ITE, ONE MILLION DOLLARS FOR PARK LAND DEVELOPMENT AND OTHER CONSIDERATION FOR THE CITY'S ACCEPTANCE OF OWNERSHIP OF A 33 ACRE LANDFILL 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 accepts and approves the Contract with SouthPass Development Company (attached as Exhibit "A") to accept 200 acres of park land, a 10 acre water tank site, one million dollars for park land development and other consideration for the City's acceptance of a 33 acre landfill and its agreement to spend the money currently identified in its Parks Capital Improvement Plan for the community park development. PASSED and APPROVED this 7th day of September, 2004. ATTEST: By: SONDRA SMITH, City Clerk APPROVED: ®lk° sc By: DAN COODY, Mayor CO mint M C _ rr 0 0 G 0 v i n w 0 v (/i Lani Cost to City urphase -0 -fits (Costs) to City kct Fees cD N h from Lot Sales over Several Years Q D 0 ►onation 0) R lent Plan 0 cp cD O D 3 cpr r-F 233 acri $2,610,0 000`00L` 1-$ $10,000 o 233 acres 0 0 0 0 o 300 acres ($3,500,000) p unknown utilities loss of Sales 0 ($100,000) + unknown o _o ri o 300 acres _0 0 b 0 0 0 b o o City of Fayetteville, Arkansas Community Park Development Capital Project - Funding 2004/2005 Budgeted Expenses Remaining Budgeted Total 2004 2004 2004 2005 Available Parks Development Fund: 2250.9255.5200.00 $ 256 $ 255 $ 1 $ $ 1 2250.9255.5301.00 45 45 - - 2250.9255.5314.00 51,300 51,300 (0) (0) 2250.9255.5806.00 531,049 2,000 529,049 473,000 1,002,049 582,650 53,600 529 050 473,000 1,002,050 Sales Tax Capital Improvements 4470.9470.5314.00 8,150 8,150 8,150 4470.9470.5806.00 275,000 275,000 338,000 613,000 283,150 283,150 338,000 621,150 $ 865,800 $ 53,600 $ 812200 $ 811,000 $ 1,623,200 XXX AGENDA REQUEST CONTRACT REVIEW GRANT REVIEW • • STAFF REVIEW FORM - FINANCIAL OBLIGATION For the Fayetteville City Council Meeting of: September 7, 2004 FROM: Gary Dumas Operations Department Name Division Department ACTION REQUIRED: APPROVAL OF RESOLUTION AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT WITH SOUTHPASS DEVELOPMENT COMPANY TO ACCEPT 200 ACRES OF PARK LAND, A 10 ACRE WATER TANK SITE, ONE MILLION DOLLARS AND OTHER CONSIDERATION FOR THE CITY'S ACCEPTANCE OF OWNERSHIP OF A 33 ACRE LANDFILL COST TO CITY: $50,000 est for survey $ 1,676,150.00 Cost of this request 2250.9255.2806.00 4470.9470.5806.00 Category/Project Budget 53,600.00 Account Number Funds Used to Date 02002 Project Number $ 1,622,550.00 Remainin Balance Community Park Program Category / Project Name Parks Development Sales Tax Capital Program / Project Category Name Sales Tax Capital/Parks Development BUDGET RREEVIEW: xxxx Budgeted Item Budget Manager Date Budget Adjustment Attached CONTRACT/GRANT/LEASE REVIEW: 'L2*7 Date ?/2.‘/o Lf Date Accounting Man.•er torne Internal Auditor Purchasing Manager Date Date STAFF RECOMMENDATION: Approve Resolution Division Head Departme 1 or Date 19-Z3-04 Date •ham. �� g-zc-� Fina e & Internal Services Dir. Date Chief kip nistrative Officer Seitr Ma 'or I Date Da e Received in. Mayor's Office Cross Reference: Previous Ord/Res#: Orig. Orig. Contract Date: Contract Number: New Item: Date Yes No • City Officials Say Park Could Happen Next Year • 0g4i( E BARKED FUNDS COULD COVER COST OF PROJECT By Dan Craft THE MORNING NEWS - DCRAFT@NWAONLINE.NET FAYETTEVILLE — Fayetteville's part of the money needed to es- tablish a new community park may be available as soon as Jan- uary, city officials said Tuesday. ;The city's capital improvement plan calls for $850,000 to be set aside for the project in 2005, matching an equal amount set aside under the plan for this year, said Gary Dumas, the director of operations. If costs come in on thq lower side of estimates, the 2004 and 2005 funding would cover the full amount of the city's costs for the project, Dumas said. The city expects its portion of did cost to run between $1.6 mil- IiOh and $2 million, said Mayor Dan Coodv. 'MATT BAKER • THE MORNING NEWS FAYETTEVILtE THE CITY OF FAYETTEVILLE, ARKANSAS City Clerk Division DEPARTMENTAL CORRESPONDENCE • 113 West Mountain Fayetteville, AR 72701 Telephone: (479) 575-8323 To: Gary Dumas Director of Operations n� From: Clarice Buffalohead-PearmanV' City Clerk Division Date: September 13, 2004 Re: Res. 138-04 Attached is the resolution passed by City Council on September 7, 2004 approving an agreement with John Nock, d/b/a Southpass Development Company to accept park land, a water tank site, $1,000,000 for park land and ownership of 33 acre landfill. These items will be recorded in the city clerk's office and microfilmed. If anything else is needed please let the clerk's office know. Thanks. /cbp attachments cc: Nancy Smith, Internal Auditor Ron Petrie Submitted By City of Fayetteville Staff Review Form City Council Agenda Items or Contracts N/A City Council Meeting Date Engineering Division Action Required: /0/os AGget Gtitc4l Pus syt„Fh pass Operations Department Approval of a contract with Critical Path Design, Inc. for a boundary survey for the Southpass property. $19,950.00 Cost of this request 4470.9470.5315 Account Number 02002.10 Project Number Budgeted Item x Department ► erector 1,622,936.00 Category/Project Budget Funds Used to Date 1,622,936.00 Remaining Balance Budget Adjustment Attached City Attorn T1 Firiance/an Mayo Internal Service Director /0•zl--os Community Park Development Program Category / Project Name Parks & Recreation Improvements Program / Project Category Name Sales Tax Capital Improvements Fund Name Previous Ordinance or Resolution # Date Original Contract Date: AvAgis Date Original Contract Number: ,�/2,7/71 Date Received in Mayor's Office Comments: *j FAYETTEVILLE THE CITY OF FAYETTEVILLE, ARKANSAS To: Mayor Dan Coody Thru: Gary Dumas, Director of Operatiot From: Ron Petrie, City Engineer Date: October 10, 2005 Subject: Southpass Surveying Contract RFCOMMENDATION Staff recommends approval of a contract with Critical Path Design, Inc. in the amount of $19,950.00 to provide a boundary survey for the Southpass Park. BACKGROUND On July 7, 2004 the City Council approved a resolution authorizing the Mayor to execute an agreement with Southpass Development Company to accept 200 acres of park land, a 10 acre water tank site, one million dollars and other considerations for the City's acceptance of ownership of a 33 acre landfill. DISCUSSION At this time a boundary survey is needed for the site. Critical Path Design, Inc. was selected for this project by an engineering selection committee on September 15, 2005. They have submitted a contract to the City that covers the items necessary for this survey project. BUDGET IMPACT Community Park (Project #02002.10) will be charged the $19,950.00 required for these services. 113 WEST MOUNTAIN 72701 479-521-7700 FAX 479-575-8257