SUBJECT:
Request Approval of a Purchase Agreement for Parcel 7001-001-009 Associated with Access to Oak Run Lift Station No. 1 (Budget Impact - Neutral; expenditure of $245,000 plus closing costs and ongoing service fees)
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INITIATOR: |
DEPARTMENT: |
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Steven Cohoon, P.E., County Engineer |
Office of the County Engineer |
DESCRIPTION/BACKGROUND:
This is a request to approve a Purchase Agreement for Parcel 7001-001-009 to provide improved access to Oak Run Lift Station No. 1. Marion County Utilities (MCU) has been working to improve access to and resolve property ownership issues associated with lift station sites within the Oak Run community. During its evaluation of Lift Station No. 1, MCU determined that improved access from the internal right-of-way is necessary for continued operation and maintenance of the facility.
Access to the lift station is best provided from the cul-de-sac of SW 109th Lane through the subject parcel. Initially, access will be provided along the western portion of the property. The existing residential structure may ultimately require demolition to provide permanent access, depending on future operational needs.
A purchase price of $245,000, inclusive of moving and relocation expenses, plus closing costs, was negotiated with the property owners. The owners may remain in the residence for up to 90 days following closing. Any occupancy beyond that period will require a lease with the County at $1,500 per month, with the owners remaining responsible for utilities and maintenance. The owners will also execute a release of claims against the County as part of the transaction.
The parcel is subject to a mandatory monthly service fee payable to Oak Run Associates, LTD., currently $150.84 per month. The fee applies regardless of whether a structure remains on the property and is adjusted annually based on the Consumer Price Index (CPI), with the adjusted rate becoming effective January 1 of each year. Property owners are notified of the upcoming rate in November or December. Approval includes authorization for payment of this ongoing fee while the County owns the parcel.
BUDGET/IMPACT:
Neutral; expenditure of $245,000 plus applicable closing costs and ongoing mandatory Oak Run service fees. Funding is available in Fund ZF440536 - Account 561101.
RECOMMENDED ACTION:
Motion to approve the Purchase Agreement for Parcel 7001-001-009 in the amount of $245,000 plus closing costs; authorize payment of the mandatory Oak Run Associates, LTD. service fees associated with County ownership of the parcel; and authorize the Chairman and Clerk to execute the Purchase Agreement and any related documents necessary to complete the transaction.