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HomeMy WebLinkAbout36. 21-164MARCH 23, 2021 21-164 RESOLUTION APPROVE SPOT BLIGHT DESIGNATION; AUTHORIZE REDEVELOPMENT AUTHORITY TO ACQUIRE; 548 OTTER AVENUE ($50,000.00) INITIATED BY: COMMUNITY DEVELOPMENT REDEVELOPMENT AUTHORITY RECOMMENDATION: Approved WHEREAS, the Redevelopment Authority of the City of Oshkosh was created to assist in the elimination and prevention of blight and blighting influences and to promote urban renewal; and WHERES, per Section 66.1333, Wisconsin Statutes, the Redevelopment Authority may spot blight and acquire blighted property without designating a boundary or adopting a redevelopment plan; and WHEREAS, the property owner has offered the property at 548 Otter Avenue to the Redevelopment Authority and said property is not within a designated redevelopment area; and WHEREAS, the Redevelopment Authority conducted a public hearing and approved a determination that the property at 548 Otter Avenue is blighted and in need of rehabilitation and blight elimination; and WHEREAS, the Common Council has previously approved the City’s 2021 Annual Operating Budget and it is necessary to amend such Budget for the purpose of funding the purchase of this property; and NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of Oshkosh that the property 548 Otter Avenue is hereby declared blighted pursuant to the provisions of Section 66.1333, Wisconsin Statutes. (CARRIED__7-0_____LOST_______LAID OVER_______WITHDRAWN_______) PURPOSE: APPROVE BUDGET AMENDMENT AND FUND TRANSFER; MARCH 23, 2021 21-164 RESOLUTION CONT’D BE IT FURTHER RESOLVED by the Common Council that a comprehensive redevelopment plan is not necessary to determine the need for acquisition and redevelopment of said property. BE IT FURTHER RESOLVED that the following 2021 Operating Budget is hereby amended to fund said land purchase in an amount of up to $50,000 or sufficient funds to cover the acquisition related costs based on closing statement shall be transferred from 0303-0740-7208-16917 Community Development Block Grant: 0901-0999-7208 Redevelopment Authority BE IT FURTHER RESOLVED that the proper Redevelopment Authority officials are authorized and directed to acquire said property for $50,000 plus closing costs and execute any and all documents necessary to consummate this transaction. Money for this purpose is hereby appropriated from the following accounts: 0901-0999-7208 Redevelopment Authority City Hall, 215 Church Avenue P.O. Box 1130 Oshkosh, WI 54903-1130 920.236.5000 http://www.ci.oshkosh.wi.us TO: Honorable Mayor and Members of the Common Council FROM: Allen Davis, Community Development Director DATE: March 18, 2021 RE: Approve Budget Amendment and Fund Transfer; Approve Spot Blight Designation; Authorize Redevelopment Authority to Acquire; 548 Otter Avenue ($50,000.00) BACKGROUND Code Enforcement has identified numerous code violations and the property is currently vacant. The site is located within the River East Neighborhood Association. The River East Neighborhood was recently selected for the 2021 Rock the Block event with GOHNI and Habitat for Humanity. ANALYSIS The current owner approached City staff with an interest in selling the property to the City for the amount of $50,000. The assessed value of the property is $94,300 and the fair market value of the property is $106,000. The condition of the structure no longer supports the fair market value. City staff has completed a field inspection and recommends acquisition and eventual demolition. The clean-up of the site would contribute to the neighborhood. The long term plan for the property would be to land bank the property for future redevelopment. The property owner to the north has approached staff regarding acquiring the lot once the structure has been removed. The Redevelopment Authority (RDA) considered the proposal at their March 17, 2021 meeting and approved the project. FISCAL IMPACT The RDA/City would use a portion ($50,000) of Community Development Block Grant (CDBG) funds for the acquisition and demolition (estimated up to $10,000). If the site is not acquired, the City will pursue a court order to raze the structure with City funds and the owner would continue to own the lot. The City could be reimbursed for the demolition costs by a future lot buyer. On-going maintenance of the parcel would cost about $500/year for grass cutting and snow removal. Funds to cover the acquisition of 548 Otter Avenue will be transferred from 0303-0740-7218-16917 (CDBG Central Blight Elimination Fund) to 0901-0999-7208 (Redevelopment Authority). RECOMMENDATION The Council approves the budget Amendment and fund Transfer, the spot blight designation and the acquisition of 548 Otter Avenue for $50,000. Respectfully Submitted, Approved: Allen Davis Mark A. Rohloff Community Development Director City Manager BAY STBAY STOTTER AVOTTER AV WAUGOO AV WAUGOO AV J:\GIS\Planning\Plan Commission Site Plan Map Template\2020 Plan Commission Site Plan Map Template.mxd User: annam Prepared by: City of Oshkosh, WI Printing Date: 3/9/2021 1 in = 63 ft 1 in = 0.01 mi¯548 OTTER AVENUE548 OTTER AVENUE City of Oshkosh maps and data are intended to be used for general identification purposes only, andthe City of Oshkosh assumes no liability for the accuracy of the information. Those using theinformation are responsible for verifying accuracy. For full disclaimer please go towww.ci.oshkosh.wi.us/GISdisclaimer 548 OTTER AVE 548 Otter Avenue