HomeMy WebLinkAbout294-22 RESOLUTION113 West Mountain Street
Fayetteville, AR 72701
(479) 575-8323
Resolution: 294-22
File Number: 2022-1075
MHOON FAMILY TRUST CONDEMNATION:
A RESOLUTION TO AUTHORIZE THE CITY ATTORNEY TO SEEK CONDEMNATION
AND POSSESSION OF CERTAIN LANDS OWNED BY THE MHOON FAMILY TRUST
NEEDED FOR THE WEST TRANSMISSION WATER MAIN PROJECT
WHEREAS, the City of Fayetteville and the Mhoon Family Trust have been unable to agree upon a
fair price for approximately 2.7 acres of permanent easements needed to complete the West
Transmission Water Main Project; and
WHEREAS, the City of Fayetteville needs to gain possession of this needed property promptly to
begin work on this public improvement and to not delay construction of the project.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
FAYETTEVILLE, ARKANSAS:
Section 1: That the City Council for the City of Fayetteville, Arkansas hereby authorizes the City
Attorney to file suit to seek court -ordered possession of property located on or near the West
Transmission Water Main Project and owned by Mhoon Family Trust, that is needed for right-of-way
or other easements for the Project, and to pay into the registry of the Circuit Court just compensation
in the amount of $131,800.00.
PASSED and APPROVED on 12/6/2022
Page 1 Printed on 1217122
Resolution: 294-22
File Number: 2022-1075
Attest:
�.�v�'�.• • C I Ty ' •�;t9'���
Kara Paxton, City Clerk Treasurer v,; v ,r (�
Page 2 Printed on 1217122
City of Fayetteville, Arkansas 113 West Mountain Street
Fayetteville, AR 72701
(479)575-8323
Text File
File Number: 2022-1075
Agenda Date: 12/6/2022 Version: 1 Status: Passed
In Control: City Council Meetinq File Type: Resolution
Agenda Number: D.10
MHOON FAMILY TRUST CONDEMNATION:
A RESOLUTION TO AUTHORIZE THE CITY ATTORNEY TO SEEK CONDEMNATION AND
POSSESSION OF CERTAIN LANDS OWNED BY THE MHOON FAMILY TRUST NEEDED FOR
THE WEST TRANSMISSION WATER MAIN PROJECT
WHEREAS, the City of Fayetteville and the Mhoon Family Trust have been unable to agree upon a fair price
for approximately 2.7 acres of permanent easements needed to complete the West Transmission Water Main
Project; and
WHEREAS, the City of Fayetteville needs to gain possession of this needed property promptly to begin work
on this public improvement and to not delay construction of the project.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
FAYETTEVILLE, ARKANSAS:
Section 1: That the City Council for the City of Fayetteville, Arkansas hereby authorizes the City Attorney to
file suit to seek court -ordered possession of property located on or near the West Transmission Water Main
Project and owned by Mhoon Family Trust, that is needed for right-of-way or other easements for the Project,
and to pay into the registry of the Circuit Court just compensation in the amount of $131,800.00.
City of Fayetteville, Arkansas Page 1 Printed on 121712022
City of Fayetteville Staff Review Form
2022-1075
Legistar File ID
12/6/2022
City Council Meeting Date - Agenda Item Only
N/A for Non -Agenda Item
Tim Nyander 11/16/2022 WATER SEWER (720)
Submitted By Submitted Date Division / Department
Action Recommendation:
Staff recommends City Council approval of a Resolution authorizing the City Attorney to seek condemnation and an
order of possession of certain land owned by Mhoon Family Trust necessary for the West Water Transmission Main
project.
Budget Impact:
5400.720.5600-5810.00
Water and Sewer
Account Number Fund
10007.1 W/S Improvements Defined by Study
Project Number Project Title
Budgeted Item? Yes Current Budget
$ 1,028,987.00
Funds Obligated
$ 599,575.00
Current Balance
$ 429,412.00
Does item have a cost? Yes Item Cost
$ 131,800.00
Budget Adjustment Attached? No Budget Adjustment
$ -
Remaining Budget 297,612.00
V20210527
Purchase Order Number: Previous Ordinance or Resolution #
Change Order Number:
Original Contract Number:
Comments:
Approval Date:
CITY OF
FAYETTEVILLE
ARKANSAS
MEETING OF DECEMBER 6, 2022
TO: Mayor and City Council
THRU: Susan Norton, Chief of Staff
Tim Nyander, Utilities Director
FROM: Corey Granderson, Utilities Engineer
DATE: November 16, 2022
CITY COUNCIL MEMO
SUBJECT: Approval of a Resolution authorizing the City Attorney to seek
condemnation and an order of possession of certain land owned by Mhoon
Family Trust necessary for the West Transmission water main project.
RECOMMENDATION:
Staff recommends City Council approval of a Resolution authorizing the City Attorney to seek
condemnation and an order of possession of certain land owned by Mhoon Family Trust
necessary for the West Water Transmission Main project.
BACKGROUND:
The City's wholesale water supplier, Beaver Water District, intends to build a western water
distribution point near HWY-112 and the newly constructed Springdale Northern Bypass, HWY-
612. This facility will supply a western water transmission feed to all four customer cities,
helping with hydraulics, critical redundancy, and overall utility resiliency. Fayetteville's 11-mile
connection to the proposed BWD facility has been identified in water master plans for many
years. The project is currently being designed, with construction planned to begin in late 2024.
For this 48-inch diameter waterline, a 50-foot width easement is necessary along the entire
route to construct and maintain the line throughout its lifetime. The route chosen is specifically
designed to be as unobtrusive as possible to impacted properties, staying close to property lines
whenever possible.
DISCUSSION:
The Mhoon Family Trust easement consists of approximately 2.7-acres of easement area.
Since 2017, staff has sent many letters, spoken with realtors, and appraised the property over
the course of several years without any meaningful negotiations with the ownership. For this
reason, Staff recommends that the City Attorney file for order of possession of this easement,
paying the value of the property as documented in the appraisal, recently updated.
BUDGET/STAFF IMPACT:
The payment for land acquisition will be made from the project budget allocated for the
easements for the West Water Transmission Line. The agenda item staff review form indicates
$131,800.00 as the cost of this request. It should be noted that this is an estimate, based on the
appraised value of the property, and that the final cost is subject to negotiation with the property
Mailing Address:
113 W. Mountain Street www.fayetteville-ar.gov
Fayetteville, AR 72701
owners or by court order. The appraised value will be deposited into the Registry of the Circuit
Court as just compensation when the condemnation complaint is filed for the property.
Attachments:
Final Offer Letter
Appraisal summary sheet
Easement Form & Exhibits
Case History
�A
CITY OF
FAYETTEVILLE
ARKANSAS
November 2, 2022
Mhoon Family Trust
PO Box 22
Tontitown, AR 72770
RE: West Transmission Main Line
Parcel Nos.830-37621-000 & 830-37623-000
ALSO Parcel Nos. 830-37780-000 & 830-38036-000
Tracts 52 & 53
FINAL Offer & Notification Letter
Dear Ms. Mhoon:
As you may be aware, the City of Fayetteville in conjunction with Beaver Water District, is planning the construction of a 48-
inch water main extension from Van Asche (Hwy 112) and Garland Avenue in Fayetteville to Elm Springs west of US Interstate
49. Construction of this water main is expected to begin in 2024. It is our intent to obtain 50-foot wide easements for this 48-
inch water main line presently to avoid future development at the time of construction. The route we have chosen is specifically
designed to be as unobtrusive as possible to the property, staying close to the property lines whenever possible. A portion of
this easement is within an existing setback and appraised accordingly. The property will be returned to a condition as good as
or better than it was found.
The City of Fayetteville hereby offers $122,800.00 for rights associated with the permanent easements (50,792 square feet,
Tract 52 or 1.17Ac and 66,523 square feet, Tract 53 or 1.53Ac) and $9,000.00 for landscaping damages for 9 trees that will be
removed during construction for a total offer of $131,800.00. This offer is based on updated appraisal by Reed & Associates,
Inc_ and the summary sheet has been provided for your review.
We have not heard from you after repeated letters and emails have been sent. We are happy to meet with you to discuss any
concerns you may have regarding this easement or our offer. We will be handing this over to our City Attorney's office to take
to City Council to request approval for Resolution to move forward with condemnation on this easement on the 6th of December
2022. They meet at 113 W Mountain Street Fayetteville, AR in Room 219 at 5:30 p.m -
Should you electto accept this offer, the Water/Sewer Easement contained herein should be executed by all parties with current
ownership interest in the property. The documents should be notarized and returned to the City of Fayetteville. A City Land
Agent will be pleased to witness and notarize the execution of the documents if you will advise our office accordingly. Upon
receipt of the documents, a check will be requested and you will be paid the amount indicated in this offer letter. Payment
normally takes three weeks to process once all the documents have been received.
Copies of the documents are included for your records. We can provide a copy of the recorded documents upon your request
and at the appropriate time. Please piuvidL- us with a Social Security Number or a Tax Identification Number (Corporation) so
that a check can be written. A W-9 is provided for this purpose.
A City Land Agent will be glad to meet with you at your convenience and discuss all phases of this project and the associated
easements and acquisitions. Please contact Holly Jones at (479) 444-3414 (hones(, fayetteville-ar.gov) or Brandi Samuels
(479) 444-3421 (bsamuels fa etteville-ar. ov). For questions or concerns, please contact Corey Granderson, Utilities
Engineer at cgranderson -_fayettevilie-ar.gov or Tim Nyander, Utilities Director at to ander fa etteville-ar. ov.
Sinc rely
Tim yander
Utilities Director
TN/hj
Enclosures
City of Fayetteville Water/Sewer-Utilities Department: 479-575-8386
Mailing Address:
113 W. Mountain Street www.fayetteville-ar.gov
Fayetteville, AR 72701
SUMMARY OF SALIENT FACTS AND CONCLUSIONS
Location: West side of State Highway 112, east side of N. Barrington Road, Tontitown, AR
Client: McClelland Consulting Engineers
Fee Owner: Mhoon Family Trust
Mailing Address: P.O. Box 22, Tontitown, AR
Tract No. 52 & 53
Area Of The Whole:
Area Of Remainder:
Area Of Acquisition:
88.85± ACS Permanent Utility
Easement:
88.85± ACS
Not Applicable Temporary Construction
Easement:
Date of Report: November 1, 2022
HIGHEST AND BEST USE:
Whole Property- Residential development/ use
Remainder Property- Residential development/ use
ACQUISITION COMPENSATION:
1.5271 ACS — Tract 52
1.166f ACS — Tract 53
2.693f ACS
Not Applicable
Before
Land: 88.85± ACS $ 4,846,900
Improvements: Not Applicable $ 0
Total: $ 4,846,900
After
Land: 88.85± ACS $ 4,715,100
Improvements: Not Applicable $ 0
Total $ 4,715,100
Total Compensation as of: October 13, 2022 $ 131,800
ALLOCATION OF COMPENSATION
Land: Not Applicable $ 0
Utility Easement: 2.693± ACS $ 131,800
Temporary Construction Easement: Not Applicablc $ 0
Improvements: None $ 0
Damages: None $ 0
Cost to Cure Items: None $ 0
Total Compensation: $ 131,800
Please see the Extraordinary Assumptions and Hypothetical Condition previously presented.
Katie Reed Hampton, CG3642
Reed & Associates, Inc.
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West Transmission Main
Parcel No. 830-37621-000 & 830-37623-000
Parcel No. 830-37780-000 & 830-38036-000
Tract No. 52 & 53
WATER/SEWER EASEMENT
BE IT KNOWN BY THESE PRESENTS:
THAT Linda Mhoon, as the Trustee of the Mhoon Family Trust dated
June 12, 2012, 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, does hereby GRANT, SELL and CONVEY unto
the City of Fayetteville, Arkansas, a municipal corporation, hereinafter called
GRANTEE, and unto Grantee's successors and assigns, a permanent easement to
construct, lay, remove, relay, inspect, enlarge and/or operate a water and/or
sanitary sewer pipe line or lines, manholes, and appurtenances thereto, on, over,
across, and under the following described land situated in the County of
Washington, State of Arkansas, to -wit:
PROPERTY DESCRIPTION: (Deed Ref: 2012-34636 1st, 31 41h and 7ch descriptions only)
(Also)Part of the Northeast Quarter of Section 1, Township 17 North, Range 31 West, described as follows:
Commencing at the SE corner of the West Half of the East Half of said Quarter section, and running thence
North 1538 '/2 feet, for a beginning point, thence North 152.5 feet, thence West 1428 feet, to the middle of
the Barrington Road, thence South bearing West 152.5 feet, thence East 1440 feet to the place of
beginning, and containing 5 acres, more or less. Also a part of the Northeast Quarter of Section 1,
Township 17 North, Range 31 West beginning at the Southeast corner of the West '/2 of the East Half of
said Quarter section, and running thence North with the West line of Brown 15 acres tract, 1699'/2 feet, to a
beginning point, thence North 876 feet to the North line of said Quarter section, thence West 1256 feet to
the middle of the Barrington Road, thence South with the middle of said road, to a point due West of
beginning, thence East to beginning.
Also, The North Half of the Southeast Quarter of the Southeast Quarter of Section 36, Township 18 North,
Range 31 West containing 20 acres, more or less. Also, S1/2 of SE'/4 of SE'/4 Sec. 36, Twp. 18 North,
Range 31 West.
PERMANENT EASEMENT DESCRIPTION:
Tract 52:
Part of the NE'/4 of the NE'/4 of Section 1, Township 17 North, Range 31 West, Washington County,
Arkansas, being more particularly described as follows: Commencing at the NE corner of the NE'/4 of the
NE'/4 of said Section 1; thence North 86056'05" West 656.25 feet to the POINT OF BEGINNING; thence
South 03°09'49" West 1,015.74 feet; thence North 87°10'05" West 50.00 feet; thence North 03°09'49" East
1,015.94 feet; thence South 86°56'05" East 50.00 feet to the POINT OF BEGINNING, containing 50,792
square feet or 1.17 acres, more or less.
Tract 53:
Part of the SE'/4 of SE'/4 of Section 36, Township 18 North, Range 31 West, Washington County, Arkansas,
being more particularly described as follows: Commencing at the SE Corner of the SE'/4 of the SE'/4 of said
Section 36; thence North 86°56'06" West 656.26 feet to the POINT OF BEGINNING; thence North
86°56'05" West 50.00 feet; thence North 00°13'02" East 411.72 feet; thence North 09029'29" East 279.93
feet; thence North 05°34'42" East 639.03 feet; thence South 87°02'25" East 50.05 feet; thence South
05°34'42" West 643.02 feet; thence South 09°29'29" West 277.61 feet; thence South 00°13'32" West
410.13 feet to the POINT OF BEGINNING, containing 66,523 square feet or 1.53 acres, more or less.
Together with the rights, easements, and privileges in or to said lands which may be required for the full enjoyment
of the rights herein granted.
TO HAVE AND TO HOLD unto said Grantee, its successors and assigns, so long as such pipe line or lines,
manholes and/or appurtenances thereto shall be maintained, together with free ingress to and egress from the real estate
first hereinabove described for the uses and purposes hereinabove set forth.
The said Grantor is to fully use and enjoy the said premises except for the purposes hereinbefore granted to the said
Grantee, which hereby agrees to bury all pipes, where feasible, to a sufficient depth so as not to interfere with cultivation of
soil, and that manholes will be constructed flush with the surface of the ground except in bottom lands where they shall be at
a height above high water.
WATER/SEWER EASEMENT
Page 2 of 2
The Grantor agrees not to erect any buildings or structures in said easement. Driveways and parking lots will not be
considered permanent structures.
The Grantee shall have the right to construct pipe lines and/or make repairs to lines within the above described
easement at any time in the future and agrees to pay for or repair any damages as a result of such future construction and/or
repairs as set out in this easement.
It is further understood that Grantee's easement shall be exclusive and that Grantor and/or Grantor's successors
shall convey no parallel rights to any person, utility or corporation on, across or under said easement without the express
written permission of Grantee.
The consideration first above recited as being paid to Grantor by Grantee is in full satisfaction of every right hereby
granted. All covenants and agreements herein contained shall extend to and be binding upon the respective heirs, legal
representatives, successors and assigns of the parties hereto.
It is hereby understood and agreed that the party securing this document in behalf of the Grantee is without authority
to make any covenant or agreement not herein expressed.
WITNESS the execution hereof on this the day of 12022.
BY
Linda Mhoon, Trustee
STATE OF ARKANSAS
COUNTY OF
Mhoon Family Trust dated June 12, 2012,
BY:
ACKNOWLEDGMENT
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 Linda Mhoon, as the Trustee of the Mhoon Family Trust
dated June 12, 2012, to me well known as the person who executed the foregoing document, and who stated and
acknowledged that she 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 12022.
MY COMMISSION EXPIRES:
Notary Public
Basis of Bearings:
Arkansas State Plane UTILITY EASEMENT MAP
Coordinate System TRACT MAP NO. 52
(North Zone) EXHIBIT "A"
Scale: 1 "=250'
50' PE
ARKANSAS WESTERN GAS 586*56'05"E
SW -SE BLANKET EASEMENT w 50.00'
36-18-31 20' WIDTH ASSUMED m
( 258-302 )
PE - 50,792 SQ. FT. (1.17 AC.)
TCE - 0 SQ. FT. (0 AC.)
SECTION 36 T-18-N
N 86'56'05" W - I
SECTION 1 T- 17-N
NW CORNER POB Section
NE1/4, NE1/4
SECTION 01 Corner
T-17-N,
R-31-W NE CORNER
SE -SE I SW -SW
36-18-31 31-18-30
NE -NE I NW -NW
01-17-31 06-17-30
50' PE
NE1 /4, NE1 /4
TRACT
SECTION 01
NW -NE 'N
T-17—N,
01-17-31
52
O
I
R-31—W
I
J
830-37621-000
I
I
830-37623-000
0;
S3'09'49"W
D;
2012-34636
MHOON FAMILY TRUST
1015.74'
SW -NE
01-17-31
830-37621-000
830-37623-000
SW CORNER
NE1/4, NE1/4
SECTION 01
T-17-N,
R-31-W
SE -NE
01-17-31
N3'09'49"E
1015.94'
50' PE
NE -NE
01-17-31
T- 17-N 1 T- 17-N
SECTION 1 SECTION 6
\—N87'10'05"W
50.00' SE CORNER
LJ NE1/4, NE1/4
Cl-
SECTION 01
50' PE T-17-N,
R-31-W
Land line
w
o_
L E G E N D
Land line
SW -NW
06-17-30
0 Permanent Easement 0 Temporary Construction Easement
Property Line • Corner of Permanent Easement
R7 /W Street Right -of -Way Existing Utility Easement Line
830-37621-000 — Tax Parcel Number PE — Permanent Easement
830-37623-000
2012-34636 — Deed Record TCE — Temporary Construction Easement
Property Owner : MHOON FAMILY TRUST
CITYOF Drawn by : McClelland Consulting Engineers Project Name
FAYETTEVILLE Date: Sept. 2022 Scale : 1" = 250' West Transmission
Project No. 112184 Tract No. 52 Main Route
Basis of Bearings:
Arkansas State Plane UTILITY EASEMENT MAP
Coordinate System TRACT MAP NO. 53
(North Zone) EXHIBIT "A"
Scale: 1 "=250'
NW -SE NE -SE a a 54
36-18-31
36 -18- 31 S87'02'25"E
I A0.05'
N
SW -SE
36-18-31
N
SW CORNER
SE1 /4, SE1 /
SECTION 36
T-18-N,
R-31-W
50' PE
PE - 66,523 SQ. FT. (1.53 AC.)
TCE - 0 SQ. FT. (0 AC.)
FIWCL
NW CORNER
50' PE NE CORN
SE1 /4, SE1 /4
a
SE1 /4, E
SECTION 36
-
SECTION
T-18-N,
T-18-N,
R-31-W
S5'34'42"W R-31-W
N5'34'42"E
_�
643.02'
639.03'
-
TRACT
-�
53
�W
L
830-37780-000
830-38036-000
L2012-34636
SE -SE
MHOON FAMILY TRUST
36-18-31
_
i
50' PE Ran-�Rn35-non
SECT/ON
01)u-13iiau-uuu
N9'29'29"E S9'29'29"W
279.93' - 277.61'
w-
o: ,
NOI3'02"E SO'13'32"W SE CORNER
411.72' 410.13' SE1 /4, SE1 /4
SECTION 36
50' PE T-18-N,
Arkansas Western Gas
Blanket Easement
20' Width Assumer
36 ( 258-302 )
POB R-31-W
N 8656'05" W - 656.25'
i w af\—N8656'05"W
50.00'
L E G E N D
o SW -SW
36-18-31
U21 T-18—N
1 F6 T-17—N
0 Permanent Easement 0 Temporary Construction Easement
Property Line • Corner of Permanent Easement
7/W Street Right —of —Way Existing Utility Easement Line
830-3-000
830-377807780-000 _ Tax Parcel Number PE — Permanent Easement
2012-34636 — Deed Record TCE — Temporary Construction Easement
Property Owner MHOON FAMILY TRUST
CITYOF Drawn by : McClelland Consulting Engineers Project Name
FAYETTEVILLE Date: Sept. 2022 Scale : 1" = 250' West Transmission
Project No. 112184 Tract No. 53 Main Route
CASE HISTORY
WEST TRANSMISSION MAIN
Tracts 52 & 53 MHOON FAMILY TRUST
4/16/2017 Appraisal by Reed & Associates received.
5/1/2017 Offer packet mailed including offer letter ($47,600.00), proposed
easement, and exhibit and appraisal summary sheet. (Tract 52 requires
50,792sf, Tract 53 requires 66,523sf)
4/5/2018 Reminder letter sent
9/30/2020 Owner requested through appraiser that easement be altered to allow for
trees that had been planted along existing fence within setback. See
email. (Mhoon. Realignment)
10/19/2020 Updated appraisal by Reed & Associates received.
Update offer mailed based on updated and revised appraisal ($88,000)
along with proposed easement, exhibit and appraisal summary (Tract 52
requires 71,121 sf, Tract 53 requires 66,523sf). The easement was
adjusted to avoid trees.
11/2/2020 The realtor that met with the appraiser was emailed regarding the offer
since no contact had been made. In that email, I misspoke and called it a
36-inch waterline, and he responded that they had the packet and they'd
discuss. There was no further response.
4/20/2021 The realtor was emailed once again. I offered to meet them, email them
the appraisal and again, there was no response. (See Mhoon.Realtor)
3/15/2022 Reminder letter was mailed to the Mhoon Family Trust letting them know
that on April 7, I'd be handing these tracts over to the City Attorney for
approval.
7/28/2022 Notification Letter to Mhoon Family and I have enclosed the condemnation
brochure and the entire offer packet and informed them of Council date.
5/19/2017 — present
There have been several calls to several different numbers over the years.
If I could find a Linda Mhoon phone number listed, I called it and left a
message. Sometimes, I just called a random Mhoon and asked if they
knew Linda and to have her call me. I have never spoken to anyone
regarding this tract. The closest I have come is the email exchanges with
Joe Frame, their realtor.
There has been no contact as of this date regarding the Notification letter. It states that this
tract will go to the City Attorney's office to be presented at Council on September 6 for
approval for resolution to condemnation. This will give us an eventual order of Possession and
hopefully, a starting point for negotiations with this family without going to court.