Memorandum

City of Lawrence

Legal Services Dept.

TO:	David L. Corliss, City Manager
FROM:	R. Scott Wagner, Management Analyst
CC:	Debbie Van Saun, Asst. City Manager Dave Wagner, Asst. Director-Dept. of Utilities
Date:	November 8, 2006
RE:	Purchase of Easements: Pump Station No. 48 Project

On September 5, 2006, the City Commission authorized purchase of approximately 44 acres south of the KTA and north of N 1175 Road and north of Martin Park for the location of the Baldwin Creek Pump Station.  Additional property acquisition, primarily sanitary sewer easements and temporary construction access and staging areas are required throughout the remainder of the project alignment – (see attached project map).  On October 10, 2006, the final contract to the design build team of CAS Construction/PEC Engineering was awarded.  Mobilization for this project has already begun and the property acquisition team is continuing its efforts to obtain all the necessary property interests for the project.

The project requires significant contractor storage, staging and access areas on the Westwood Hills development, directly west of the Bauer Brook Estates (see attached map).  Two separate staging areas are need.  Tract 10a contains 2.01 acres (map).  Tract 14a contains 2.348 acres (map).

An appraisal provided from Mainland Valuation Services, was the basis for the City’s fair market value of the property.  The property owner has accepted the appraised offer and the property acquisition team for the project recommends the acquisition of the needed temporary easements in the amount of $2,253 for Tract 10a and $26,081 for Tract 14a.

Easements will also be required on properties within the Bauer Farms Estates. The City will need a 100 foot temporary construction easement (approximately 92,547 sq. ft) which will convert to a 40’ permanent sanitary sewer easement on Lot 1A & Lot 1B, of Bauer Brook Estates No. 4 (approximately 61,698 sq. ft) on property owned by John & Klee Zaricky.

The City engaged Mark Boettcher of Appraisal Dynamics to advise the City on the fair market value of the acquisition.  The property owners have accepted a negotiated settlement based on the appraised offer of compensation for the temporary and permanent easements in the total amount of $21,980.

The property acquisition team continues to negotiate for easements needed north of I-70 along the force main route.  The City will need a 100 foot temporary construction easement (approximately 135,584 sq. ft) which will convert to a 40’ permanent sanitary sewer easement (approximately 60,479 sq. ft) (Tract 30) and a temporary contractor storage and staging area of 1.03 acres (Tract 30A) on property owned by MCV Limited.  An offer of compensation based upon an appraisal prepared by Tim Keller, of Keller & Associates was provided.  The property owner has accepted a negotiated settlement in the amount of $50,000 based upon the appraised offer.

Action Requested

Authorize payment for the above described easement (Tract 10a) to Westwood, L.L.C., in the amount of $2,253 and payment to Westwood Holdings, L.L.C. (Tract 14a) in the amount of $26,081.

Authorize payment to John & Klee Zaricky for the easements needed on Lot 1A and Lot 1B, Bauer Brook Estates No. 4 in the amount of $21,980.

Authorize payment to MCV Limited for temporary storage and staging easements and permanent utility easements in the amount of $50,000.

Project Funding

Initial funding for this acquisition will come from the Utilities Dept. capital improvement reserve fund.  Funding for this project will ultimately be shared by the City at large and by development benefiting from this infrastructure improvement through the payment of special connection charges pursuant to Ordinance 8043.