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HomeMy WebLinkAboutItem 2D: Resolution Approving Grant for Green Property ECC UGENE ITY OUNCIL AIS GENDA TEM UMMARY Adoption of Resolution 4940 Authorizing Application for Grant from the Oregon Parks and Recreation Department for the Acquisition of the East Fork Amazon Headwaters Meeting Date: April 28, 2008 Agenda Item Number: 2D Department: Public Works Staff Contact: Carolyn Weiss www.eugene-or.gov Contact Telephone Number: 682-4909 ISSUE STATEMENT The Oregon Parks and Recreation Department requires a council resolution that authorizes the City’s grant application to help with acquisition costs of the Green property. On January 28, 2008, the City Council approved a purchase option agreement for the Green property and directed staff to seek grant funding to help with acquisition costs. BACKGROUND On January 28, 2008, the City Council acted to acquire an initial option to purchase a 39.9 acre parcel owned by Joe Green. At that time, the council also directed staff to seek grant funding to help with acquisition costs. Staff has prepared and submitted a grant application to the Oregon Parks and Recreation Department (OPRD). Although the grant application was due on April 4, the council resolution approving the grant application can be submitted as late as the end of April. Staff is also preparing a grant application to be submitted to the Oregon Watershed Enhancement Board (OWEB) by April 21st. A council resolution is not required for the OWEB application. The purchase price identified in the option agreement is supported by a recent appraisal for $3.8 million. The current funding plan is as follows: ? OPRD - approximately $950,000, 25% of the total purchase price ? OWEB - approximately $1.9 million, 50% of the total purchase price ? Donation - approximately $380,000 from the current property owner. ? City of Eugene - approximately $570,000, the City’s share combined with the property owner donation equals 25% of the total purchase price. If the grant applications are successful, staff would put together a funding package that would include funds from the 2006 Parks Bond, Parks’ systems development charge’s (SDC) stormwater acquisition dollars, or other sources as directed by the City Council. The percentages that would come from each source have not yet been identified. The funding structure for this acquisition is similar to the funding structure defined in last year’s applications to the Forest Legacy Program and OWEB for the purchase of 400 acres along the Ridgeline F:\CMO\2008 Council Agendas\M080428\S0804282D.doc trail. While the dollar amounts included in this application fall within the range of both granting agency’s criteria, the requests are higher than recent grants awarded. If the council does not authorize the OPRD grant application, the application will not meet the review criteria and would be subsequently rejected. RELATED CITY POLICIES ?A Parks and Open Space Bond Measure was passed by Eugene voters on November 7, 2006. ?The PROS Project and Priority Plan was adopted by the council on May 22, 2006. ?Rivers to Ridges Metropolitan Regional Parks and Open Space Study was endorsed by the council on March 12, 2003. ?The Ridgeline Area Open Space Vision and Action Plan was endorsed by the council on February 25, 2008. COUNCIL OPTIONS Option A: Authorize the City’s grant application to the Oregon Parks and Recreation Department by approving the attached resolution. Option B: Void the City’s grant application to the Oregon Parks and Recreation Department by failing to approve the attached resolution. CITY MANAGER’S RECOMMENDATION The City Manager recommends Option A: Authorize the City’s grant application to the Oregon Parks and Recreation Department by approving the attached resolution. SUGGESTED MOTION Move to adopt Resolution 4940 authorizing application for grant from the Oregon Parks and Recreation Department for the acquisition of the East Fork Amazon Headwaters. ATTACHMENTS A. Proposed Resolution FOR MORE INFORMATION Staff Contact: Carolyn Weiss Telephone: 682-4909 Staff E-Mail: carolyn.j.weiss@ci.eugene.or.us F:\CMO\2008 Council Agendas\M080428\S0804282D.doc ATTACHMENT A RESOLUTION NO. _____ A RESOLUTION AUTHORIZING APPLICATION FOR GRANT FROM THE OREGON PARKS AND RECREATION DEPARTMENT FOR THE ACQUISITION OF THE EAST FORK AMAZON HEADWATERS. The City Council of the City of Eugene finds that: A. The Oregon Parks and Recreation Department is accepting applications for the Local Government Grant Program. B. The City of Eugene desires to participate in this grant program to the greatest extent possible as a means of providing needed park and recreation acquisitions, improvements and enhancements. C. The Eugene City Council has identified the acquisition of the East Fork Amazon Headwaters (“the Property”) as a high priority need in the City of Eugene. D. The Property, if acquired, will serve multiple functions including passive recreation, preservation of water quality, storm water retention, and habitat preservation. The City of Eugene seeks to acquire fee title ownership of the 39-acre parcel of undeveloped land and protect it as publicly-owned and managed natural open space. This action will prevent the property from development and protect the forested natural areas, waterways, and wetlands, as well as the diversity of species currently inhabiting the Property. E. The Property has been appraised for $3,800,000 by Powell Valuation, Inc. F. Green Valley Glen, LLC, has signed an Option Agreement with the City to sell the Property for a net purchase price of $3,433,500. That price is equal to an initial, oral appraisal of $3,815,000 from Powell Valuation, less a donation by the seller to the City of 10% of that amount. G. The City of Eugene certifies that the matching share for this application is readily available at this time. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF EUGENE, a Municipal Corporation of the State of Oregon, as follows: Resolution - Page 1 of 2 08 Grant for Purchase of Amazon Headwater Parcel (00196151) Section 1. The City of Eugene is authorized to apply for a Local Government Grant from the Oregon Parks and Recreation Department for the acquisition of the East Fork Amazon Headwaters as specified above. Section 2. This Resolution shall become effective immediately upon its adoption. The foregoing Resolution adopted the _____ of April, 2008. ____________________________________ City Recorder Resolution - Page 2 of 2 08 Grant for Purchase of Amazon Headwater Parcel (00196151)