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HomeMy WebLinkAbout97-12 RESOLUTIONRESOLUTION NO. 97-12 A RESOLUTION APPROVING A SETTLEMENT AGREEMENT WITH THE SPIRITS SHOP, INC., CONCERNING CONDEMNATION LITIGATION FILED AS PART OF THE N. GARLAND AVENUE IMPROVEMENT PROJECT, IN THE TOTAL AMOUNT OF $16,900.00 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 an agreement with The Spirits Shop, Inc., in a total amount of $16,900.00, as full and final settlement of' condemnation litigation (City of Fayetteville v. The Spints Shop, Inc., Washington County Circuit Court Case No. CV 2012-654-7) filed as part of the N. Garland Avenue Improvement Project. Section 2: That the City Council of the City of Fayetteville, Arkansas, in furtherance of the settlement, hereby approves payment of an additional $6,200.00 over and above the $10,700.00 placed on deposit with the court. PASSED and APPROVED this 15th day of May, 2012. APPROVED: B ATTEST: By: SONDRA E. SMITH, City Clerk/Treasurer �nnm`r,rq ...„FK/TR..''... to• E :FAYETTEVILLE: :9.114 ANSP J 1$. ;, y'NG 'ONo ,'``‘ Chris Brown Ct5 Submitted By City of Fayetteville Staff Review Form City Council Agenda Items and Contracts, Leases or Agreements S/IS 118/2012 City Council Meeting Date Agenda Items Only Engineering Division Action Required: Development Services Department Approval of a Resolution authorizing the settlement of The Spirits Shop, Inc. Condemnation Case for a total of $16,900. $ 6,200.00 Cost of this request 4470.9470.5810.00 Account Number 06035.2250 Project Number 185,515.00 $ Category / Project Budget 130,781.23 $ Transportation Bond Program Program Category / Project Name Land Acquisition Funds Used to Date Program / Project Category Name 54,733.77 Sales Tax Capital Improvements Remaining Balance Fund Name Budgeted Item x Budget Adjustment Attached y0 L Depart ent ector 41/6- 14:10/1141. Date C torney Date ieti Q. . y--s't.latz Finance and Internal Services Directo Previous Ordinance or Resolution # Original Contract Date: Original Contract Number: Date Received inU-27-12A11:49 RCVD 919- b - Date Dat Clerk's Office Received in Mayor's Office TOED Comments: Revised January 15, 2009 THE CITY OF FAYETTEVILLE, ARKANSAS DEPARTMENT CORRESPONDENCE ARKANSAS www.accessfayetteville.org CITY COUNCIL AGENDA MEMO City Council Meeting of May 15, 2012 To: Mayor Jordan and City Council Thru: Don Marr, Chief of Staff Jeremy Pate, Director of Development Services& From: Chris Brown) Date: April 27, 2012 Subject: Approval of a Resolution authorizing the settlement of The Spirits Shop, Inc. Condemnation Case for a total of $16,900. PROPOSAL: Improvements to Garland Avenue (Highway 112) are planned as part of a City of Fayetteville and Arkansas State Highway and Transportation Department (AHTD) partnering project. Our agreement with AHTD provides that the City is responsible for 50% of the construction cost, up to $1.5 million, and all of the cost of right of way acquisition and relocation of utility facilities. Prior to construction work by AHTD, the City and local public utilities must relocate existing utility lines out of the widening area. In order to accomplish this work, it was necessary to acquire utility easements adjacent to the right of way. City was not able to negotiate a compensation agreement with the Spirits Shop, therefore, the City Council authorized acquisition by condemnation at its March 6, 2012 meeting, and the City Attorney subsequently filed a complaint with the Circuit Court to acquire the necessary easement The order of possession was received on this property after the complaint was filed and the City deposited $10,700 with the Court as just compensation. On April 241h, after a meeting between Mr. Donald Johnston, representing the Spirits Shop, and City of Fayetteville staff, Assistant City Attorney Jason Kelley provided a settlement offer to The Spirits Shop in the amount of $16,900, contingent on City Council approval. Mr. Johnston has accepted this offer, as indicated by the attached letter. RECOMMENDATION: Staff recommends approval of a Resolution authorizing settlement of the Spirits Shop condemnation case and authorizing an additional payment of $6,200 to The Spirits Shop. This is a fair and equitable settlement to both the City and the property owners, and avoids further staff time and litigation expense on this case. BUDGET IMPACT: Payment of the additional amount to The Spirits Shop will be made from the Garland Avenue Water and Sewer Relocations project of the Transportation Bond Program. There are adequate funds available for this payment. RESOLUTION NO. A RESOLUTION APPROVING A SETTLEMENT AGREEMENT WITH THE SPIRITS SHOP, INC., CONCERNING CONDEMNATION LITIGATION FILED AS PART OF THE N. GARLAND AVENUE IMPROVEMENT PROJECT, IN THE TOTAL AMOUNT OF $16,900.00 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 an agreement with The Spirits Shop, Inc., in a total amount of $16,900.00, as full and final settlement of condemnation litigation (City of Fayetteville v. The Spirits Shop, Inc., Washington County Circuit Court Case No. CV 2012-654-7) filed as part of the N. Garland Avenue Improvement Project. Section 2: That the City Council of the City of Fayetteville, Arkansas, in furtherance of the settlement, hereby approves payment of an additional $6,200.00 over and above the $10,700.00 placed on deposit with the court. PASSED and APPROVED this 15th day of May, 2012. APPROVED: ATTEST: By: By: LIONELD JORDAN, Mayor SONDRA E. SMITH, City Clerk/Treasurer Apr 25 2012 3:19PM DON JOHNSTON R 4795211650 Apr 24 2012 2:39PM FRYETTEVILLE CITY ATTORNE 4795758315 JASON B. KELLEY Assistant Qty Attorriey Judy Mousley Office Manager Phone (479) 57543313 FAX: (479) 5758315 TDD (479) 521-1316 KIT WILLIAMS FAYE I 1 LVILLE CITY ATTORNEY: p.2 p.3 • yeaev ll 113 W. Mountain, State 302 ?OR PURPOSES OF SETTLEMENT NEGOTIATIONS ONLY. Fayetteville, AR 72701-6083 April 24, 2012 • The Spirits Shop, Inc. c/o Donald Johnston VIA Facsimile 479-521-1650 Re: Cttv of Fayetteville v. The Stints Shop. Inc. Wash. Co. Case No. CV 12-654-7 Dear Mr. Johnston: As we discussed during our meeting today. with City representatives Chris Brown and Matt Casey, the City is willing to settle the above -referenced condemnation case concerning the easement along North Garland owned by The Spirits Shop, Inc. for a total of $16,900.00, subject to approval of the Mayor and City Council of Fayetteville. If this is acceptable, please have an authorized representative of The Spirits Shop, Inc. indicate acceptance on the bottom of this letter and feel free to retum fax it to me at 479-575- 2315. Should you desire to accept, we will begin working on preparing the settlement approval paperwork and presenting the agreement to the Mayor and City Council for their approval as soon as possible. This offer will expire if not accepted by 9:00 a.m., Monday, April 30, 2012. Sin rely, cc: C. Brown M_' Casey CCE Jason 13. Kelley Assistant City Attorney Au orized Rep eneS•iri' Shop, Inc. Date:. A- or i to • Takings Aerial SW, NW 0.14-30 THE SPIRITS SHOP INC. 765.13997.000 Inst jlo. 2007-70:8 N 67'16'45'W EXHIBIT SEP. 2011 15 12-0031 Don Johnston; Spirits Shop.doc