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11 Price Street Public HearingMike Blackburn (903) 737-2468 COMMISSIONER~ PRECINCT 1 LAMAR COUNTY 119 N. Main Paris, Texas 75460 February 25, 2002 Mr. MichaelE. Malone, CityManager City ofPafis P.O. Box 9037 Pads, Texas 75460 In re: Request for abandonment of a portion of West Price Street adjacent to the Lamar County Courthouse Dear Mr. Malone: Please consider this a formal request on behalf of the Lamar County Commissioners' Court for the City of Paris to initiate appropriate proceedings to abandon that portion of West Price Street from the west boundary line of North Main Street (U.S. Hwy. 271) west to the east Boundary line of First Street, N.W. As you may be aware, this portion of West Price Street is under consideration by the County for inclusion in the master design for renovations to the Lamar County Courthouse Complex. Any consideration you could give and assistance you could provide would be most appreciated. ~/~~Sincerely, Michael R. Blackburn County Commissioner ITl RECEIVED FEB 2 7 2002 CITY MANAGER PARIS. TEXAS RESOLUTION NO. 2000-003 A RESOLUTION OF TIlE CITY COUNCIL OF THE CITY OF PARRS, PARIS, TEXAS, AUTIIORIZING TIlE ACCEPTANCE OF AN EIGHTY- FOOT RIGHT-OF-WAY AND IMMEDIATELY ADJACENT RIGHT-OF- WAY PROPERTY FROM LAMAR COUNTY TO THE CITY OF PARIS IN ORDER TO ACCOMMODATE THE EXTENSION OF HEARNE STREET; MAKING OTHER FINDINGS AND PROVISIONS RELATED TO THE SUBJECT; AND DECLARING AN EFFECTIVE DATE. WHEREAS, the City Council of the City of Paris has heretofore by prior Resolution No. 90-020, requested the transti2r of right-of-way across the sonth end of property purchased by Lamar County from Foy Crockett, et ux, described in deed recorded in Volume 126, Page 188, Real Property Records, Lamar County, Texas, in order to accommodate the extension of Hearne Street for the porpose oF providing adequate turoing space for large tracks as part of the economic development eFtbrt to support the expansion oFindastries located in the immediate vicinity thereof, and to minimize the impact on adjacent residential properties; and, WHEREAS, the Pace Group, in a Business Retention Survey and Flexible Incentive Plan For tile City of Paris, dated May 12, 1994, advised the Paris Economic Development Corporation of the inadequacy oF access roads to Delta Logistics and Rodgers-Wade ManuFactnring to properly service the expanding business demands oF these vital industries; and, WHEREAS, the current route used to access Delta Logistics, Rodgers-Wade MannFactaring, and warehooses itl the vicinity thereoF is through residential areas on streets which do not provide adequate turning space for large tracks, and significant amounts oFtraffic by large vehicles throagh residential areas causes deterioration to the street; and, WIIEREAS, tile Pm'is Economic Development Corporation deemed it appropriate and in the interest of retaining tile aforesaid important businesses and enlarging the operation of those bosinesses at the current locations that the Paris Economic Development Corporation participate in the extension oFHearne Street fi'om 1st Street S.W. to 4th Street S.W., through the project entitled "PEDC Hearne Street Extension, 1999," at a cost ,lot to exceed $265,000.00, in order to provide an adequate route for large vehicles traveling to Rodgers-Wade and the warehouses in the vicinity thereof and to alleviate the road deterioration caused by large vehicles traveling through residential areas; and, WtlEREAS, tile Paris Economic Development Corporation did, based on these considerations, pass Resolution No. 99-007 on September 13, 1999, as thereafter amended by subseqoent resolution adopted on November 29, 1999, the purpose of said resolutions addressing the extension of ltearne Street from Ist Street S.W. to 4th Street S.W., thereby aothorizing the "PEDC Hearne Street Extension, 1999" to be landed at a cost not to exceed $265,000.00 by the Paris Economic Development Corporation and requesting the City of Paris to pertbrm the construction of the aforesaid I learne Street extension; and, WHEREAS, it was deemed by the Commissioners Court of Lamar County, Texas, to be in the best interests of the County of Lamar and its citizens, and in the interest of promoting economic development while at the same time benefitting affected residences in the immediate area, that said right-of-way request by the City and the Paris Economic Development Corporation be honored in order that Hearne Street may be extended West from I st Street S.W. to 4th Street S.W., thereby providing additional access for industrial truck traffic and alleviating similar traffic through residential areas and at the same time thereby promoting improved traffic circulation in and adjacent to the Lamar County Jail; and, WHEREAS, as a consequence of said conclusion, tile Commissioners Court of Lamar County, Texas, at an official meeting convened on December 27, 1999, did at that time consider and adopt a resolution authorizing the transfer of the aforesaid right-of-way to the City of Paris, conditioned upon compliance with state law requiring the preparation of an appraisal in payment of fair market value by or on behalf of the City of Paris to Lamar County, in full conformance with the requirements of Section 272.001 (b) (5) of the Local Government Code; and, WHEREAS, the City Council of the City of Paris is prepared to accept said conveyance by and on behalf of the Paris Economic Development Corporation and Lamar County, and to authorize the City Manager to proceed in undertaking the necessary action to cause the completion of said Hearne Street Extension; NOW, TtlEREFORE, BE IT RESOLVED BY TIlE CITY COUNCIL OF TItE CITY OF PARIS, PARIS, TEXAS: Section I. That the findings set out in the preamble of this resolution are hereby in all things approved. Section 2. That the City Council does hereby authorize and accept the conveyance by Right- of-Way Deed of that property immediately south of the County Jail as described in said deed as a necessary acquisition incident to the extension of Hearne Street. Section 3. That the City Manager is hereby authorized to expend city funds pursuant to a certified appraisal prepared in conlbrmance with Section 272.001 (b) (5) of the Local Government Code to Lamar County as full and complete payment for the fair market value of the right-of-way so acquired, such funds to be contributed by the Paris Economic Development Corporation in conformance with Resolution No. 99-007 adopted by the Economic Development Corporation Board on September 13, 1999, and as thereafter amended by subsequent Resolution adopted November 29, 1999. Section 4. That the City Manager is hereby authorized to undertake any and all other actions necessary to initiate tile construction of the Hearne Street Extension as described herein, Section 5. That this resolution shall be effective from and after its date of passage. PASSED AND APPROVED this 10th day of January, 2000. .( Charles H. Neeley, Mayor ATTEST: MattieCunnin~ham, City Clerk' c~- ' APPROVED AS TO FORM: AGENDA INFORMATION SHEET PROJECT: Authorizing acceptance of right-of-way conveyed by Lamar County to the City of Paris for completion of the Hearne Street Extension. BACKGROUND: The City Council of the City of Paris has previously adopted Resolution No. 90-020, requesting the transfer of right-of-way immediately south of the County Jail in order to accommodate the extension of Hearne Street for the purpose of providing adequate turning space for large trucks, thereby supporting the expansion of industries located in the immediate vicinity, and to minimize the impact of such expansion on adjacent residential properties. Subsequently, the Pace Group, in a business retention survey and flexible incentive plan for the City of Paris, dated May 12, 1994, advised the Paris Economic Development Corporation (PEDC) of the inadeqnacy of access roads to Delta Logistics and Rodgers-Wade manufacturing to properly service the expanding business demands of those entities. One approach to alleviate these traffic demands is to extend Hearne Street from 1st Street S.W. to 4th Street S.W. Recently, the PEDC board adopted Resolution No. 99-007 at its September 13, 1999, meeting, and thereafter amended said resolution by official action on November 29, 1999, authorizing the expenditure of PEDC fnnds in an amount not to exceed $265,000.00 to pay the cost of extending Hearne Street from Ist Street S.W. to 4th Street S.W. in order to alleviate the identified traffic problems, and as an economic incentive to the businesses located immediately adjacent thereto to continue to expand their industrial base while at the same time minimizing the traffic impact. Before such street extension can be completed, two segments of right-of-way must be acquired, one from Lamar County. As a consequence, the City has made a specific request of Lamar County for transfer of the necessary right-of-way conditioned upon payment being made of the fair market value of the right-of-way in accordance with State Law and a certified appraisal. The PEDC is prepared to pay the cost of the appraisal and the right-of-way acquisition. DESCRIPTION: The City Council is asked to consider a resolution authorizing the acceptance of the proffered right-ot:way t¥om Lamar County, including the necessary 80 foot right-of-way, plus additional right- of-way owned by the County south of and immediately adjacent to the 80 foot right-of-way which the County Commissioners detemfined they wanted included in the actual transfer. Likewise, the resolution authorizes payment of fair market value for the property as determined by a certified appraisal in accordance with state law. Finally, the City Manager would be authorized to undertake and approve any and all documents incident to the actual transfer. PRESENTED BY: City Manager, Michael E. Malone, and City Attorney, Larry Schenk. RECOMMENDED ACTION: Consideration of the resolution for approval. STAFF CONTACT: City Manager, Michael E. Malone, and City Attorney, Larry Schenk. COST: As determined by the certified appraisal. LOCATION: The proposed right-of-way acquisition is immediately south of the County Jail between 1st and 4th Streets S.W. and lined up appropriately with the current l learne Street right-of-way. SCHEDULE: The actual transfer of deed will occur at some time in the near future following authorization by City Council of acquisition of the right-of-way. COUNCIL DATE: Consider for approval at City Council's Janaary 10, 2000. regular council meeting. 'MEMO February 21, 2002 TO: FROM: SUBJECT: Mayor and City Council Members City Manager Larry Sch,.e1~ Updated information reo~ardino~ closino~ of Price ~(treet I have previously forwarded to you a memorandum dated February 4, 2002 which detailed the City's attempt to obtain a formal letter from Lamar County requesting the abandonment of the Price Street Right-of-Way. In addition, the memorandum summarized state law with regard to the process cities and counties must follow in divesting themselves of real property, including streets rights-of-way. You will also recall that at City Council's last Council meeting the Council tabled any further action with regard to the abandonment of the Price Street right-of- way until such time as a formal request for abandonment of said right-of-way is received from the County. Only after receipt of that request can certain issues raised by the Planning & Zoning Commission be addressed as well as other related issues dealing with relocation of utilities. Since the time of the City Council meeting. I have been contacted by two County Commissioners seeking information regarding the process for abandonment of Price Street. In response to those inquiries, I forwarded a duplicate copy of the letter I previously forwarded to the County Judge and also explained the process for abandonment. Because it appears the County may be close to taking formal action on a request for abandonment of Price Street, I am including for your review another copy of my prior memorandum because if we receive a formal request from the County for abandonment, the issue of fair market value and the opportunity to exchange the Price Street right-of-way for the Hearne Street right-of-way will become an immediate issue. I encourage you to refer to this memorandum and I also am pleased to advise you that based on my latest research, it does appear the City would be able to exchange the Price Street right-of-way for the Hearne Street right-of-way, as long as the City Council determines the fair market value of the two properties is the same, and also assuming such an exchange is acceptable to the County. If you have any additional questions re~garding this matter, please do not hesitate to contact me. ~ LW$/ap Attachment MEMO February 4, 2002 TO: Mayor and City Council Members City Manager FROM: Larry Schenk SUBJECT: Closing of Pr/ce Street You will recall at our prior Council meeting we requested City Council to initiate the process of the closing of Price Street adjacent to the County Court House. This action was taken as a consequence of verbal representations at different times by the County Judge that the County will require the Price Street property as part of the over-all renovation and reconstruction of the County Court House complex. Prior to bringing the matter to City Council at our January meeting, I forwarded a letter to Judge Superville (copy enclosed) requesting that he in turn return a letter to us over his signature formally requesting abandonment of the Price Street right-of-way. At the same time, our City Engineer initiated his review of the easements existing in the Price Street right-of-way. The letter requesting the abandonment, while a formality, is a necessary part of the process of abandoning any right-of-way as a manifestation of the actual request of the adjacent property owner for the right-of-way to be abandoned. At the time I forwarded the letter to Judge Superville, I also included a form letter of request for his secretary to use in retyping on County stationery, thereby requiring the County Judge only to sign the letter and return same to me. To date, I have not received a letter requesting abandonment of the Price Street right-of-way. I subsequently requested my secretary, Alice Pinalto, to contact Judge Superville's secretary regarding the status of the letter requesting abandonment. A summary of Ms. Pinalto's conversation with the judge's secretary is attached to this memo. At the same time, I requested Ms. P/rialto to again send a copy of the form letter to Judge Superville's secretary, on the off chance the original letter had been misplaced. In spite of these efforts, I still have not received a formal request letter from Lamar County asking the City of Paris to abandon the Price Street right-of-way. Because I believe this is a necessary part of the over-all process of an abandonment, it is my judgment that no further activities should go forward on this abandonment until the letter requesting same is received by the City. Consequently, I am requesting the Planning and Zoning Commission and City Council to table such abandonment until a formal request is received. In addition, actual abandonment of the street may be premature at this time. Two additional considerations also justify the delay. First of all the City Engineer has indicated that if the actual street right-of-way is abandoned, the ~ounty will have to convey other utility rights-of-way to the City to accommodate relocation of certain utility lines (see attached memo). It would seem prudent to identify the exact route of these new utility lines before the actual right-of-way is abandoned. In addition, the Legal Department has researched the Local Government Code with regard to abandonment of such rights-of-way. You will recall the County has already given conditional approval on abandonment of the Hearne Street right-of-way. At the time of that abandonment, and in conformance with state law, the City had performed an appraisal of the value of the property and was prepared to pay the County for that right-of-way. However, because of the nature of the Price Street right-of-way, and subject to receipt of additional information from the County, abandonment of the Price Street right-of~way may not have to conform with the general requirements of state law that the City receive fair market value for the right-of-way before it is abandoned, i Section 2 72.001 (b) of the Local Government Code exempts certain kinds of rights-of-way from the general requirements of notice and bidding before those property interests are conveyed to another owner. Specifically, a portion of subsection (b) provides as follows: "....The land and those interests described by this subsection may not be conveyed, sold, or exchanged for less than the fair market value of the land or interest unle~; the conveyance, sa/e, or exchange is with one or more abutting property owners who own the underlying fee ~imple. This subsection applies to: 2. Streets or alleys owned in fee or used by easement; 3. Land or a real property interest originally acquired for streets, rights-of- way, or easements that the political subdivision chooses to exchange for other land to be used for streets, rights-of-way, easements, or other public purposes, including transactions partly for cash;" In other words, state law provides that if the Price Street right-of-way is not owned by the City in fee simple because the City did not buy the right-of-way, but rather it was dedicated to the City, and if the County constitutes the abutting property owner on both sides of the property (that is, if the County now owns all of the property on either side of the right-of-way to be abandoned), then it does not appear to be mandated by state law that the City must receive full fair market value of the right-of-way before it is conveyed to the abutting property owner. For these provisions, of the Local Government Code to have meaning 1) the City would have to determine whether or not the City owns the property in fee simple or received it merely by dedication; 2) the Citv must be fc~rmally advised by the County that the County currently owns in fee simple all of the property abutting the right-of-way to be abandoned; and 3) the City Council would have to determine it is prepared to take less than full fair market value for the right-of-way. However, depending upon how the value of the Price Street right-of-way may appraise, it may provide the City and the County the flexibility to make an even swap for the I-learne Street right-of-way. The Legal Department continues to research attorney general's opinions and court cases interpreting the Local Government Code regarding the requirement for fair market value incident to the abandonment of streets and right-of-ways. Needless to say then there are a number of details better resolved before the abandonment than afterwards, and I again recommend tabling this matter until these issues are resolved. If you have any additional questions regarding this matter, please do not hesitate to contact me. L~v~S/ap Attachments cc: Steve Methven/Planning & Zoning Commission