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HomeMy WebLinkAbout39. 13-576 DECEMBER 10, 2013 13-576 RESOLUTION (CARRIED___7-0_____LOST________LAID OVER________WITHDRAWN________) PURPOSE: APPROVAL OF SETTLEMENT AGREEMENT FOR LAND RD PURCHASE FROM AUGUST PITZ & SONS AT 702 WEST 3 AVENUE IN THE AMOUNT OF $69,750 FOR THE UPGRADE TO THE PUBLIC WORKS FIELD OPERATIONS FACILITY INITIATED BY: DEPARTMENT OF PUBLIC WORKS BE IT RESOLVED by the Common Council of the City of Oshkosh that the attached rd Settlement Agreement for Land Purchase from August Pitz & Sons at 702 West 3 Avenue in the Amount of $69,750 for the Upgrade to the Public Works Field Operations Facility, is hereby approved and the proper City officials are hereby authorized to execute and deliver the agreement in substantially the same form as attached hereto, any changes in the execution copy being deemed approved by their respective signatures, and said City officials are authorized and directed to take those steps necessary to implement the terms and conditions of the Agreement. Money for this purpose is hereby appropriated from: Acct. No. 323-0450-7214-06310 – Property Fund – Central Garage Renovations ( 0 OfHKOIH ON THE WATER MEMORANDUM TO: Honorable Mayor and Members of the Common Council FROM: David C. Patek, Director of Public Works -� DATE: December 5, 2013 RE: Approve Settlement for Land Purchase from August Pitz & Sons at 702 West 3rd Avenue in the Amount of $69,750 for the Upgrade to the Public Works Field Operations Facility BACKGROUND The Common Council approved the concept to upgrade the Central Garage facility in April of 2012. To stay at the existing site, adjoining private property needed to be acquired to allow for additional space requirements. A Relocation OrdedDetermination of Necessity to Acquire Properties for the upgrade was approved in July of 2012 per Resolution No. 12 -351. In addition, a Jurisdictional Offer (JO) for this property was approved in July of 2013 per Resolution No. 13 -329. ANALYSIS Our right -of -way consultant has had discussions with the property owner. The property owner has agreed to sell their property for $69,750. The following information pertains to this property acquisition: CityAppraisal Owner Appraisal Value Value JO Value Agreed U on Price Fee Acquisition $46 ,000 $93,500 $61,000 $69,750 The Settlement Agreement formalizes the details of this land acquisition. The various topics relating to relocation or moving expenses are regulated by State Statutes. The intent of the agreement is to help facilitate the relocation of this business in an expeditious fashion. FISCAL IMPACT Funding for these acquisitions is included in the "Property Improvements" Section of the Capital Improvement Program. RECOMMENDATION I recommend approval of the land purchase. Approved, 0 �- John M. Fitzpatric Assistant City Manager DCPItlt 1:XEngineeringlTracy TaylorSMemos to Mayor & Cammon Councii12 0 1 311 3 -05 Approve Land Purch -702 W 3rd Ave -PW Field Ops Fac 12- 5- 11docx SETTLEMENT AGREEMENT REGARDING CITY OF OSHKOSH ACQUISITION OF 702 W. 3rd AVENUE This Agreement is made between the City of Oshkosh (herein "City ") and Bernard Pitz d/b /a August Pitz & Sons (herein "Pitz "). City and Pitz may be referred to herein individually as "party" or collectively as "parties ". Back round Recitals WHEREAS, Pitz owns an improved lot located at 702 W. 3 rd Avenue, Oshkosh, WI (the "Property ") in the City which the City is acquiring pursuant to eminent domain law under § 32.05 Wisconsin Statutes; and WHEREAS, the City and Pitz have negotiated a settlement of the purchase price for the Property and relocation costs and moving expenses. NOW, THEREFORE, the parties agree as follows: 1. Purchase Price It is agreed that the purchase price for the Property is $69,750 which shall be paid by the City to Pitz in exchange for the Warranty Deed.. 2, Warranty Deed Pitz will convey title to the Property by Warranty Deed in exchange for payment of the purchase price on or before which closing date shall be selected by the City. 3. Relocation Expense As required by Wisconsin Statutes, the City will pay up to a maximum of $50,000 as relocation expense to Pitz, which is the maximum allowable relocation expense allowed, subject to Pitz providing documentation/receipts of the actual costs from contractors and others which have performed the relocation related work as shown on Exhibit A attached hereto. This payment will be made within 30 days of submission of invoice for actual completed work. 4. Moving Estimates To comply with its obligations under Wisconsin Law to pay moving expenses, the City will reimburse Pitz for the cost incurred in the amount of $1,000 paid to obtain the moving estimate dated September 5, 2013 from Aetna Moving & Storage, Inc. The City is granted permission to go on the property on or about December 3 rd with moving contractors to obtain two additional estimates /proposals for moving the personal property of Pitz from 702 W. 3 rd Avenue, Oshkosh, WI to 2215 Minnesota Street with the adjoining lot that backs up to Montana Street. The City shall be entitled to select from either of these new moving contractors or Aetna Moving & Storage, Inc. to perform the move. Whichever mover is selected shall provide a certificate of liability insurance to both the City and Pitz in a form and amount of coverage reasonably acceptable to perform the services required. 5. Moving Arrangement . The City may select and will be responsible to pay fora moving contractor to move Mr. Pitz's personal property from 702 W. 3 rd Avenue, Oshkosh, WI to 2215 Minnesota Street with the adjoining lot that backs up to Montana Street. Alternatively, Mr. Pitz has the right to choose to use another contractor, in that case the City shall be responsible to pay only the amount of the lowest bid . The moving contract will be made jointly between Pitz, the City, and the moving contractor, so that both Pitz and the City have privity of contract to protect their interests in accomplishing the move. The time to commence and complete the move will be determined by the City subject to availability and completion terms agreed upon by the contractor selected by the City. Pitz will cooperate with the moving contractor to accommodate the moving schedule negotiated by the City with the moving contractor. The City will reimburse Bernard Pitz at the statutorily required rate for the time actually expended in onsite direction to the moving company for loading, transfer, and unloading the personal property. 6. No Rent From the date of closing until the moving company completes the move, the City will not charge rent to Pitz while waiting for the moving company selected by the City to complete the move of the personal property. 7. Reimbursement of Certain Fees Pitz's fees for retaining the services of Reginald Draheim and Herrling Clark Law Firm Ltd are not reimbursable by the City to Pitz. Attorney's fees incurred by Pitz for acquisition of a replacement property are reimbursable by the City to Pitz as part of relocation expense. 8. Complete Agreement This constitutes the complete agreement .between the parties and there have been no other oral representations, warranties, or agreements upon which either party has relied, unless in writing and signed by the party to be bound. 9. Persons Bound This Agreement is binding on the parties hereto and their respective heirs, successors, and assigns. 10. Signatures Copy signatures transmitted by fax or other electronic transmission and counterpart signature pages are deemed as binding and valid as originals for purposes of this document. Dated this day of December, 2013. CITY OF OSHKOSH EO. . Mark A. Rohloff, City Manager I� Pamela R. Ubrig, City Clerk BERNARD PITZ D /B /A AUGUST PITZ & SONS BY: Bernard Pitz EXHIBIT A RELOCATION EXPENSE Some of the expenses below are actual expenses and some are estimates. August Pitz & Sons will provide the City of Oshkosh with documentation supporting the following relocation expenses in recognition that the City will agree to pay a maximum of $50,000 to August Pitz & Sons in satisfaction the claim for these relocation expenses. 1. Road work — special assessment: 2. Tree removal to install fence: 3. Install fence: 4. Roof repair: 5. Repair wall someone drove into: 6. Install dividers for material Add lumber storage: 7. Electrical connect fees Welder and overhead saw: 8. New downspouts: 9. Surveyor: 10. Attorney's fees on purchase: 11. Title insurance: 12. Property Search Fee: 13. Two Furnaces Replacement: 14. Two overhead garage door repairs $7,394.48 150.00 12,000.00 1,500.00 1,500.00 6,500.00 900.00 1,000.00 900.00 5,047.00 600.00 1,000.00 4,800.00 undetermined SUBTOTAL: $43,291.48 Purchase Price Replacement Property: $82,400.00 (Closing November 27, 2013) Sale Price for 702 W. 3` Avenue: $69,750.00 Difference: $12,650.00 $12,650.00 TOTAL OF ACTUAL AND ESTIMATES: $55,891.48 Maximum relocation expense obligation of the City _to Pitz remains at $50,000.