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16 - SALE OF CITY BUILDINGSItem No. 16 memorandum TO: City Council FROM: John Godwin, City Manager SUBJECT: SALE OF CITY BUILDINGS DATE: May 9, 2016 BACKGROUND: The city recently advertised for bids on the sale of the old police station and health department buildings. We received no bids on the health facility, but did receive a single qualified bid on the PD structure. STATUS OF ISSUE: The single bid was for only $1.00; however, due to the extensive asbestos present in the building, its effective market value is zero. It is simply impractical for the city to refurbish the old building, or even to demolish it, without expending more than the result would be worth. By selling it, even at a de minimis price, we will return the property to the ad valorem tax roll, and also end up with something better there than we have now. BUDGET: N /A. RECOMMENDATION: Award the bid for sale of the old police station and authorize the city manager and city attorney to execute all documents required to complete the transfer of property. 111917 w ORDINANCE NO. AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS; PROVIDING FOR THE SALE OF REAL PROPERTY AND BUILDING LOCATED AT 811 BONHAM STREET IN THE CITY OF PARIS AND BEING ALL THAT CERTAIN TRACT OF LAND SITUATED IN THE CITY OF PARIS, LAMAR COUNTY, TEXAS A PART OF THE ASA JARMAN SURVEY, ABSTRACT NO. 479, AP PART OF THE 2.62 ACRE TRACT CONVEYED TO THE CITY OF PARIS BY DEED RECORDED IN VOLUME 541, PAGE 568 OF THE LAMAR COUNTY DEED RECORDS AND BEING FURTHER DESCRIBED HEREIN; PROVIDING A REPEALER CLAUSE; PROVIDING A SEVERABILITY CLAUSE; PROVIDING A SAVINGS CLAUSE; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City of Paris, Texas, owns certain real property and the improvements situated thereon familiarly known as the former Paris Police department, located at 811 Bonham St., Paris, Texas and more particularly described in Exhibit A hereto, which is incorporated herein by reference; and, WHEREAS, said property and improvements are now vacant and in need of substantial repair, including asbestos remediation, and the City Council of the City of Paris, Texas has determined that the City has no further use for such property and it would be advantageous and in the best interests of the City for the property to be sold pursuant to the authority granted by sec. 253.001(a) and Sec. 272.001 of the Texas Local Government Cod and Sec. 145 of the Charter of the City of Paris, Texas; and WHEREAS, the City previously sought estimates for the remediation of asbestos in the building, which estimates varied between $160,000 and $225,000; and, WHEREAS, pursuant to the City Council to sell said property, the City of Paris solicited sealed bids for the sale and purchase of the property pursuant to the authority granted by Sec. 272.001(a) of the Texas Local Government Code, upon certain specifications, and the notice of such solicitation for bid was published twice in The Paris News, a newspaper of general circulation in the City, which publications occurred on April 19, 2016 and April 24, 2016, and which notices specified that the opening of such sealed bids would occur at 10:00 a.m. on May 9, 2016; and WHEREAS, the tabulation of bids then received reflects that 1 Priority Environmental Services, Inc. submitted the highest bid, with no exceptions listed thereon and agreeing to be responsible for all remediation and management of any kind, whether related to asbestos or otherwise, in accordance with all federal, state and local law; and WHEREAS, the bid by Mo Abdalla of 1 Priority Environmental Service, Inc., of $1.00, in conjunction with the bidder's assumption of all responsibility for remediating environmental hazards as set forth in the bid and hereinabove is deemed to be in the best interests of the City and is acceptable to the City Council as consideration for sale of the said property. WHEREAS, it is further in the best interests and benefit of the City that the environmental hazards existing at and in the Property be abated and remediated, a substantial cost as set forth hereinabove, and the Property returned to the tax rolls; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS, THAT: Section 1. The findings set out in the preamble to this ordinance are hereby in all things approved. Section 2. That the Mayor is authorized to execute a special warranty deed conveying title to the property to 1 Priority Environmental Services, Inc., upon compliance by 1 Priority Environmental Services, Inc. with and subject to the specifications, conditions and restrictions upon which the solicitation for bids was made. Section 3. That, pursuant to Section 145 of the Charter of the City of Paris, the Mayor will not execute said special warranty deed until at least thirty (30) days have elapsed from the passage of this ordinance. Section 4. That all provisions of the ordinances of the City of Paris, Texas in conflict with the provisions of this ordinance are hereby repealed, and all other provisions of the ordinances of the City of Paris not in conflict with the provisions of this ordinance shall remain in full force and effect. Section 5. That the repeal of any ordinance or part of ordinances affected by the enactment of this ordinance shall not be construed as abandoning any action now pending under or by virtue of such ordinance or as discontinuing, abating, modifying, or altering any penalty accruing or to accrue, or as affecting any rights of the municipality under any section or provisions of any ordinance at the time of passage of this ordinance. Section 6. That it is the intention of the City Council of the City of Paris that this ordinance and every provision hereof, shall be considered severable, and the invalidity or partial invalidity of any section, clause, or provisions of this ordinance shall not affect the validity of any other portion of this ordinance. Section 7. This ordinance shall be effective immediately upon passage. DULY PASSED AND APPROVED this 16th day of May, 2016. A.J. Hashmi, M.D., Mayor ATTEST: Janice Ellis, City Clerk APPROVED AS TO FORM: Stephanie H. Harris, City Attorney