Memorandum

City of Lawrence

Public Works

TO:	David L. Corliss, Diane Stoddard, Cynthia Boecker, Toni Wheeler
FROM:	Charles F. Soules
CC:	Mark Thiel, Steve Bennett, Scott Wagner
Date:	March 3, 2010
RE:	Lawrence Municipal Airport Land Acquisition AIP Project No. 3-20-0047-15

OVERVIEW:

In 2008, the City of Lawrence was directed by the Federal Aviation Administration (FAA) to acquire four parcels of property adjacent to runway surfaces at the Lawrence Municipal Airport. The purpose of this land acquisition is to satisfy FAA’s concern about potential development encroachment within the designated Runway Protection Zones (RPZ) located at the ends of Runway 1/ 19.

While the FAA has encouraged the city for many years to purchase these parcels, especially Tract 23 and Tract 24 on Exhibit A, the city and the property owners have co-existed for many years under terms of an Avigation Easement which allowed the city to lease this property to protect the RPZ requirements as dictated by FAA while allowing the property owner to maintain an agricultural interest and revenue stream from the property. It is now FAA policy for airport sponsors to own outright all property at its airport.

As land acquisition is eligible for a local sponsor under the Airport Improvement Program (AIP), the FAA has budgeted funds to assist the City of Lawrence to acquire this property. AIP projects enjoy a 95 – 5 percent FAA to airport sponsor funding match. The City of Lawrence will be obligated for 5 percent of the purchase price of this land acquisition project.

PROCESS:

Since the initiation of this AIP eligible project, the city and Airport Development Group, Inc. (ADG) [the city’s designated airport consultant], have moved through the acquisition process to position the city to properly prepare and execute offers to purchase the designated properties. 

The following steps have been completed:

1.  Develop Airport Property Map that clearly delineates the land to be required (attachment).

2.  Consult with the FAA Project Manager to verify that proposed parcels are identified on the approved Airport Layout Plan.

3.  Verify environmental requirements of the National Environmental Policy Act are met.

4.  Prepare survey for proposed property acquisition.

5.  Order preliminary title search to confirm ownership and encumbrances on property title.

6.  Select and negotiate contract for qualified appraiser and review appraiser.

7.  Select and negotiate contract for Environmental Site Assessment (ESA) consultant.

8.  Select and negotiate contract for qualified land acquisition consultant.

9.  Conduct Environmental Site Assessment of property suspected of being contaminated.

10. Perform appraisals and appraisal review and approve appraised fair market value. The property owner shall be given the opportunity to accompany the appraiser on the inspection of the property.

11. Submit appraisal and review appraisal to FAA.

12. Make written offer of just compensation and provide owners notice of rights and   entitlements on the acquisition process.

13. Negotiate purchase agreement.

STATUS:

The city and ADG have successfully met with the KU Endowment Association.  The final offer is acceptable to the Endowment Association. The FAA has agreed to fund this offer.

Purchase:	KU Endowment
	Tract 29	0.802 Acres
	Trace 21	6.828 Acres
	Negotiated Price	$31,300

FUNDING:

The FAA will pay 95% or $29,735 with the city share of 5% or $1,565.

SCHEDULE:

The FAA grant assurance deadline is March 31, 2010.  The application needs to be submitted and the grant agreement written by the FAA and accepted by the city before this deadline to receive funding this year for this project.

ACTION REQUESTED:

1.  Authorize the City Manager to sign property acquisition offer to KU Endowment Association for $31,300.

2.  Authorize Mayor to sign project application to the FAA for property acquisition.

3.  Authorize Mayor to sign grant agreement once written by FAA.

Respectfully submitted,

Charles F. Soules, P.E.

Director of Public Works

CFS/je

Attachment