12/08/98 - Laserfiche WebLink

Home

FC CASE Background: APPROVE PURCHASE OF COMMUNITY PARK #5 By: Mark Boos, Parks/Utilities Supervisor and Dean Kapler, Director of Public Works At the City Council meeting of May 12, 1998, staff was authorized to negotiate a purchase price for what has been referred to as "Community Park #5". This action was initiated prior to adoption of the 1999 - 2000 Capital Improvement Plan (CIP) due, in part, to concerns that the 83.33-acre property could be sold. Notification: The Park and Recreation Commission's five-year CIP has included this park acquisition for several years. The Commission has held public hearings specifically on the five-year plan in each year and the park and trail plan has shown this same space, as proposed, for about a decade. Observations: The purpose of this case is to authorize payment to Mr. Vernon Halderson et.al, in the amount of $205,000 for purchase of the property known as "Community Park #5" Anoka County's 1998 estimated market value of the land is $204,700. The Haldersons have agreed to the above purchase price under the conditions of $120,000 payable in 1998, and $85,000 payable in 1999. As stated, the authorization to purchase this property is ahead of Council action on the other 1999 capital improvements, but is necessary due to a balloon payment obligation in 1998, by the current owners. If the City misses the opportunity to acquire this park land, it may have a serious, long term, impact on the gross area and distribution of community park space in the City. In the near term, the developers and homeowners of Apple Ridge are expecting the City to fulfill promises to provide recreation and open space in proximity to the subdivision. The majority of users, however, will be existing and future residents in this same area for which there is currently no recreational facilities -- and an ever-declining amount of vacant land to provide for it. Financing: The 1998 payable portion of $120,000 would be funded from the Park Trust Fund interest earnings. The remainder of $85,000, payable in 1999, could be funded from the Park Trust Fund or from a bond issue that would be paid from a future storm water management fee. The total purchase price of $205,000 could be treated as a loan depending on the outcome of the storm water management fee and bonded debt.