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HomeMy WebLinkAbout198-12 RESOLUTIONRESOLUTION NO. 198-12 A RESOLUTION APPROVING A SETTLEMENT AGREEMENT WITH ZARA L. THOMAS, TRUSTEE OF THE ZARA L. THOMAS REVOCABLE TRUST U/D/T NOVEMBER 20, 1998, AND OF THE MARY C. THOMAS REVOCABLE TRUST U/D/T NOVEMBER 20, 1998, CONCERNING CONDEMNATION LITIGATION FILED REGARDING THE EXTENSION OF MEADOW VALLEY TRAIL (U OF A FARM TRAIL) • 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 an agreement with Zara L. Thomas, Trustee of the Zara L. Thomas Revocable Trust u/d/t November 20, 1998, and of the Mary C. Thomas Revocable Trust u/d/t November 20, 1998, in a total amount of $20,000.00, as full and final settlement of condemnation litigation (City of Fayetteville v. Thomas, Washington County Circuit Court Case No. CV 2011-2220-7) filed regarding the extension of Meadow Valley Trail (U of A Farm Trail). Section 2: That the City Council of the City of Fayetteville, Arkansas, in furtherance of the settlement, hereby approves payment of an additional $2,700.00 over and above the $17,300.00 placed on deposit with the court. PASSED and APPROVED this 16th day of October, 2012. APPROVED: ATTEST: I 1 NELD JO J' , Mayor By: SOND E. SMITH, City Clerk/Treasurer 0111 1111/4 OYp .�. c ; FAYETTEVILLE:�= -% ° f yak Spm s /// ii-(5 �iiit+'‘"Ns Matt MihalevichY Submitted By City of Fayetteville Staff Review Form City Council Agenda Items and Contracts, Leases or Agreements 10/16/2012 City Council Meeting Date Agenda Items Only Engineering Division Action Required: Development Services Department Approval of a Resolution authorizing the City Attorney to settle the condemnation case with Zara L. Thomas Revocable Trust U/D/T November 20, 1998 in the amount of $2,700.00 for certain lands that were necessary for the Meadow Valley Trail Project. 2,700.00 Cost of this request 199,364.00 4470.9470.5810.00 $ Account Number 02016/1202 Project Number Budgeted Item X Category / Project Budget 157,399.54 Trail Development Program Category / Project Name Trail Improvements Funds Used to Date Program / Project Category Name 41,964.46 Sales Tax Capital Remaining Balance Budget Adjustment Attached Fund Name Akt69111/4 Department Di/ i ctor 'money Qt.. �,,St•-� Finance and Internal Services Director p4-v'}-.2oty Date 9-0?t 1,�--- Date 5-t8-zoi Date Date /06/Z1:— ate Previous Ordinance or Resolution # Original Contract Date: Original Contract Number: Received in Cit99-27-12 PO4:38 R C V D Clerk's Office i 1 - / Comments: Revised January 15, 2009 a'�ffve eville THE CITY OF FAYETTEVILLE, ARKANSAS DEPARTMENT CORRESPONDENCE ARKANSAS www.accessfayetteville.org CITY COUNCIL AGENDA MEMO City Council Meeting of October 16th, 2012 To: Mayor Jordan and City Council Thru: Don Marr Chief of Staff Jeremy Pate, Director of Development Services Chris Brown, City Engineer fid From: Matt Mihalevich, Trails Coordinator` ki Date: September 26, 2012 Subject: Zara L. Thomas Revocable Trust Settlement RECOMMENDATION: Staff recommends Approval of a Resolution authorizing the City Attorney to settle the condemnation case with Zara L. Thomas Revocable Trust U/D/T November 20, 1998 for an additional amount of $2,700.00 for certain lands that were necessary for the Meadow Valley Trail Project. PROPOSAL: The 2 mile long Meadow Valley Trail was officially opened to the public with a ribbon cutting ceremony on August 8th, 2012. This highly requested trail provides a safe alternative transportation route for the numerous residents and businesses west of I-540. On July 5th, 2011, resolution number 118-11 authorized the City Attorney to seek condemnation and possession of certain lands owned by the Zara L. Thomas Trust. The order of possession was delayed in court for several months and eventually was submitted to Arkansas Supreme Court where it was dismissed on March 15, 2012. The trail was then constructed across the Thomas property shortly after and is now enjoyed by many citizens daily. To finalize the condemnation case, the Thomas Trust has agreed to a settlement in the total amount of $20,000.00 as just compensation for the taking. The appraised value for the 14,305 square foot multi -use trail easement was established at $17,300.00 and this amount is currently on deposit with the Circuit Court. After the $17,300.00 is deducted from the $20,000 settlement offer, the remaining funds to be paid will be $2,700.00. In addition the Thomas family has requested a chain link fence to be constructed between their property and the new trail. This fence has been budgeted as part of the trail construction, but delayed due to the ongoing court case. Upon approval from City Council, the City will construct approximately 717 linear feet of 6' tall chain link fence at an estimated value of $8,604.00 . BUDGET IMPACT: The payment for settlement in the amount of $2,700.00 will be made from the project budget allocated for the Meadow Valley Trail Project, which is funded by the Transportation Bond Trail Improvements Fund. RESOLUTION NO. A RESOLUTION APPROVING A SETTLEMENT AGREEMENT WITH ZARA L. THOMAS, TRUSTEE OF THE ZARA L. THOMAS REVOCABLE TRUST U/D/T NOVEMBER 20, 1998, AND OF THE MARY C. THOMAS REVOCABLE TRUST U/D/T NOVEMBER 20, 1998, CONCERNING CONDEMNATION LITIGATION FILED REGARDING THE EXTENSION OF MEADOW VALLEY TRAIL (U OF A FARM TRAIL) 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 an agreement with Zara L. Thomas, Trustee of the Zara L. Thomas Revocable Trust u/d/t November 20, 1998, and of the Mary C. Thomas Revocable Trust u/d/t November 20, 1998, in a total amount of $20,000.00, as full and final settlement of condemnation litigation (City of Fayetteville v. Thomas, Washington County Circuit Court Case No. CV 2011-2220-7) filed regarding the extension of Meadow Valley Trail (U of A Farm Trail). Section 2: That the City Council of the City of Fayetteville, Arkansas, in furtherance of the settlement, hereby approves payment of an additional $2,700.00 over and above the $17,300.00 placed on deposit with the court. PASSED and APPROVED this 16th day of October, 2012. APPROVED: ATTEST: By: By: LIONELD JORDAN, Mayor SONDRA E. SMITH, City Clerk/Treasurer KIT WILLIAMS FAYETTEVILLE CITY ATTORNEY JASON B. KELLEY Assistant City Attorney Judy Housley Office Manager Phone (479) 575-8313 FAX (479) 575-8315 TDD (479) 521-1316 September 25, 2012 S. Lance Cox, Esq. Cox, Cox & Estes, PLLC P.O. Box 878 Fayetteville, AR 72702 rteville ARKANSAS 113 W. Mountain, Suite 302 Fayetteville, AR 72701-6083 Re: City of Fayetteville v. Thomas, Wash. Co. Circuit No. CV 11-2220-7 Dear Lance: In accord with our recent Email communications regarding the above -referenced case, please allow this letter to formalize the terms of settlement to which the City and Mr. Thomas have agreed. Subject to the approval of the Mayor and City Council of Fayetteville, the City agrees to pay a total of $20,000.00 as just compensation for the taking at issue in the above -referenced case. This $20,000.00 represents the $17,300.00 currently on deposit with the circuit court, plus an additional $2,700.00 to be paid directly to your client. Additionally, the City agrees to construct a chain-link fence along the trail easement in the location of the current barbed wire fence. In exchange, your client agrees to accept the above -stated and to execute a trail easement deed and any documents necessary for dismissal of the above -referenced court case. We will be requesting this proposal be considered at the October 16, 2012, City Council meeting. Assuming a positive outcome, I will then contact you to work out final payment and. execution of documents. cc: C. Brown M. Mihalevich cerely, ason B. Kelley Assistant City. Attorney 9/25/2012) Jason Kelley RE: Z. Thomas Page From: "Lance Cox" <lcox@coxfirm.com> To: "Jason Kelley" <jkelley@ci.fayetteville.ar.us> Date: 9/25/2012 1:46 PM Subject: RE: Z. Thomas Sounds good, Jason. Thanks for your help in getting this resolved. lc S. Lance Cox Cox, Cox & Estes, PLLC Arvest Bank Plaza P.O. Box 878 75 N. East Ave., Ste. 400 Fayetteville, AR 72702 (479) 251-7900 (tel.) (479-251-7910 (fax) PENALTY NOTICE: To comply with certain U.S. Treasury regulations, we inform you that, unless expressly stated otherwise, any U.S. federal tax advice contained in this e-mail, including attachments, is not intended or written to be used, and cannot be used, by any person for the purpose of avoiding any penalties that may be imposed by the Internal Revenue Service. From: Jason Kelley [mailto:jkelley@ci.fayetteville.ar.us] Sent: Tuesday, September 25, 2012 1:12 PM To: Lance Cox Subject: RE: Z. Thomas Lance, We can do the chain link fence. Assuming the Council and Mayor approve (I have no reason to doubt they will), it appears we have a deal. I will formalize everything in a letter to you and begin the process of getting this on the next available city (9/25/2012) Jason Kelley RE: Z Thomas Page.2q council agenda for approval. Jason K. Jason B. Kelley Assistant City Attorney City of Fayetteville, Arkansas 113 W. Mountain St., Suite 302 Fayetteville, Arkansas 72701 Telephone (479) 575-8313 Facsimile (479) 575-8315 Email: jkelley@ci.fayetteville.ar.us Website: www.accessfayetteville.org <http://www.accessfayetteville.org/> »> "Lance Cox" <lcox@coxfirm.com> 9/25/2012 9:44 AM »> Jason, I've heard back from my clients in regard to settlement. They are agreeable to accepting $20,000 for the land, but they would like a chain link fence instead of a wooden privacy fence. My last discussion with them about fencing was approximately a year ago, and my memory was that they wanted a wooden privacy fence. I was wrong. I assume a chain link fence is actually less expensive than a wooden privacy fence?? Just let me know if that's an issue. Otherwise, it appears we have this settled. Also, I don't know what kind of lighting, if any, currently exists out there (i.e., on the trail, in proximity to Mr. Thomas' house), but if the city would make sure that that area of the trail is reasonably lit the Thomases would certainly appreciate it. This is just a request, as it relates to Mr. Thomas' safety; it is not an additional term or requirement of settlement. Thanks Jason. lance S. Lance Cox (925/2012) Jason Kelley RE Z.Thomas Page 3, Cox, Cox & Estes, PLLC Arvest Bank Plaza P.O. Box 878 75 N. East Ave., Ste. 400 Fayetteville, AR 72702 (479) 251-7900 (tel.) (479-251-7910 (fax) PENALTY NOTICE: To comply with certain U.S. Treasury regulations, we inform you that, unless expressly stated otherwise, any U.S. federal tax advice contained in this e-mail, including attachments, is not intended or written to be used, and cannot be used, by any person for the purpose of avoiding any penalties that may be imposed by the Internal Revenue Service. From: Jason Kelley[mailto:jkelley@ci.fayetteville.ar.us] Sent: Monday, September 24, 2012 11:15 AM To: Lance Cox Subject: RE: Z. Thomas Lance, Here's what we can offer: Subject to Mayor and City Council approval, we would agree to pay Mr. Thomas a total of $20,000.00. This represents the $17,300.00 currently on court deposit, plus and additional $2,700.00. The City, at its expense, would also construct a wooden privacy fence in the location where the barbed wire fence is currently located. Let me know your position, after you have a chance to meet with the family. Jason K. (9125/2012) Jason Kelley RE: Z. Thomas Page 4 Jason B. Kelley Assistant City Attorney City of Fayetteville, Arkansas 113 W. Mountain St., Suite 302 Fayetteville, Arkansas 72701 Telephone (479) 575-8313 Facsimile (479) 575-8315 Email: jkelley@ci.fayetteville.ar.us Website: www.accessfayetteville.org <http://www.accessfayetteville.org/> »> "Lance Cox" <lcox@coxfirm.com> 9/24/2012 10:10 AM »> K. Sounds good. Thanks Jason. sent via ipad S. Lance Cox Cox, Cox & Estes, PLLC Arvest Bank Plaza P.O. Box 878 75 N. East Ave., Ste. 400 Fayetteville, AR 72702 (479) 251-7900 (tel.) (479-251-7910 (fax) PENALTY NOTICE: To comply with certain U.S. Treasury regulations, we inform you that, unless expressly stated otherwise, any U.S. federal tax advice contained in this e-mail, including attachments, is not intended or written to be used, and cannot be used, by any person for the purpose of avoiding any (9/25/2012) Jason Kelley RE. Z Thomas Paae5�[ penalties that may be imposed by the Internal Revenue Service. From: Jason Kelley [mailto:jkelley@ci.fayetteville.ar.us] Sent: Monday, September 24, 2012 9:19 AM To: Lance Cox Subject: Z. Thomas Lance, We may be close to something here. I am meeting with the city engineer this morning to finalize our position. You should get a solid word from me today. Jason K. Jason B. Kelley Assistant City Attorney City of Fayetteville, Arkansas 113 W. Mountain St., Suite 302 Fayetteville, Arkansas 72701 Telephone (479) 575-8313 Facsimile (479) 575-8315 Email: jkelley@ci.fayetteville.ar.us Website: www.accessfayetteville.org <http://www.accessfayetteville.org/> s • u Existing Bike Lanes on Mt. Comfort Roadl 4'�ti r nt x.,51 ` y�• Y 1 L: Z. _•-- -41 v r _ l�wa z viii - '�_ .rte. [Meadow Valley Trail - 2.0 Milesf Z m Future Trail Extension under 1-540— Pending AHTD Permit Approval -�–fi�=r–l� /A�, I�. it .�III1 4,;Q x`4.1. •I r� !e. _Il Iil.- • ... . r i c w 3ly z a qq � �r dL,tr • C 5 ?�. �C - .n 'T' a 111!.s ! .l8 I!I s a1 r_'_=.._ ji -_I1i',4F_,I LilMA parka; CPII Legend Future Shiloh Trail - 2014 -- Scull Creek & Meadow Valley Trails Bike Lane Bike Lane/Shared Lane VIM Existing Scull Creek Trail - 7.6 Miles (Including Mud Creek and Frisco Trailsjt SB Zara L. Thomas Property °.. gEir di Ir,�.- II A .1144% V• g hAT Aft Ho "Ia°.. 1;4. _ 1 : air 41171_0:41,-, llie a - 1 r .141 - lI.t1IUf1Stp3�• ,: Rte: - ' r pad F.,_- - 1 [ : 1 ] ' . s-� a` 11I+IIj y i .. Rip.. -as o -n — of / II! , i - y 7.r■I■ _. •— . t _ , ,. r „ _.y . 1.1.,./r' , i R-ra • r:. a .�..', �,=�� : 1111 1 if/ YEA ti_ R. 4 a. . 'r I 2 II a �+ s:s . 11 T •s• • I s Yui —• �J . • aar 7 tiap iF � i `•.. • -y. _ Shared Lane " _ • • _ _ . p T Arkansas Agricultural Experiment Statio - Meadow Valley Trail Y L• 2.0 Miles a a_ & -C • • 11 . A.Li = a.. .L 14. '— E:1-;-_-4::-.''4,11.8-,-4 _ .. �C m-' :— 1 -:,:iii r. � C1- + a a s a ilk: ��I u 1;�.. „ems a . LI Fi • LI-; '5'Q 41:�Y r: �� • yea et�i'lle CHECK REQUEST Date: 16 -Oct -12 Vendor Number: Payable to: Zara L Thomas Revocable Trust For: Property condemnation settlement (PN 765-05140-000) City of Fayetteville vs. Thomas, Wash Co. Circuit No. CV 11-2220-7 Payable From: Fund Name Sales Tax Capital Charged as follows: Manual Check Mail Yes ri No u Return Check to: City Attorneys Office Send Copy to: Separate Check Code Bank Number 012 Amount of Check $ 2700.00 Account Name Amount Fund Dept Sub Dept Base Detail Project Sub Project Easements 2,700.00 4470 9470 5810 00 02016 1202 TOTAL $2,700.00 Prepared by: Ginny Gundiach Approved by: Entered: G/L Account Number Key Code Accounting Use - Receipting Additional Approval: Does Not Meet Purchasing Policy FT Contract Payment F-7 Other Approved: