CITY OF TEXARKANA, AR

REQUEST FOR BOARD ACTION

 

AGENDA TITLE:  Adopt a Resolution authorizing the City Manager to purchase the building and property located at 808 Olive Street for the purpose of moving the Information Technology (IT) division and Geographic Information System (GIS) division. (TWU)

AGENDA DATE:  April 4, 2016

ITEM#:  9

DEPARTMENT:  Texarkana Water Utilities

DATE SUBMITTED:  March 16, 2016

PREPARED BY:  J.D. Phillips, P.E., Interim Executive Director

SUBJECT:  Consider a Resolution authorizing the City Manager to purchase the building and property located at 808 Olive Street for the purpose of moving the Information Technology (IT) division and Geographic Information System (GIS) division.

EXHIBITS:  Resolution, Exhibit A: Appraisal Analysis, and Exhibit B: Environmental Site Assessment Summary

APPROVAL:

EXPENSE REQUIRED: $48,165.00

AMOUNT BUDGETED: $39,322.00

APPROPRIATION REQUIRED: $8,843.00

SUMMARY: The Texarkana Water Utilities recently became aware that the building and property located at 808 Olive Street were available for purchase.  This building is located across the alley from the Utilities’ existing building at 801 Wood Street.  After consulting with the City Managers of Texarkana, Arkansas and Texarkana, Texas, the Utility staff negotiated a price of $130,000 for the building and two (2) lots the building is located on.  An appraisal of the property was made by the Appraisal Group and the building and property were valued at $135,000.  A Phase 1 Environmental Site Assessment (ESA) of the property was made by HEC Environmental Group, Inc. and no evidence of recognized environmental conditions in connection with the subject property were identified.  The Utility would propose to move the Information Technology (IT) and the Geographic Information System (GIS) Departments into the building.  The IT and GIS Departments are currently located in a building located on Summerhill Road that the Utility rents.  Moving the IT and GIS Departments into the building located at 808 Olive Street would have several advantages for the Utility and the Cities.  The Olive Street building is larger than the building on Summerhill Road and more parking is available on the Utilities’ existing parking lots.  Access to the IT and GIS Departments would be improved for City and Utility personnel by bringing the departments back downtown to the vicinity of both city halls and the Utility’s main office.  Parking for citizens needing information would also be improved.  The building will require some remodeling of the former dental office portion of the building.

 

Funds for the purchase of the building are available in the Utilities’ Arkansas Capital Improvement Fund portion of the budget.  The Texarkana, Arkansas portion of the purchase price will be $48,165.  The Utility is currently paying $3,000 per month rent for the building on Summerhill Road.  The payback for the Olive Street building would be less than four (4) years.

 

BOARD ACTION: The City Manager and Texarkana Water Utilities staff recommends approval.

 

 

 

RESOLUTION NO. ______

 

            WHEREAS, the Texarkana Water Utilities (TWU) is currently leasing space to house its IT and GIS Departments at a location on Summerhill Road; and

            WHEREAS, real property located at 808 Olive Street, adjacent to TWU’s existing main building is available for purchase and has been valued by appraisal at $135,000.00; and

            WHEREAS, Utility staff have negotiated a price of $130,000.00 for such property; and

WHEREAS, TWU requests permission to enter into a purchase agreement for the purpose of acquiring such property at said negotiated price; and

WHEREAS, the City Manager and staff recommend Board approval;

NOW, THEREFORE, BE IT RESOLVED, by the Board of Directors of the City of Texarkana, Arkansas, that the City Manager and Interim Executive Director of Texarkana Water Utilities is authorized to enter into a purchase agreement for the purposes and in the amounts set forth above; provided that the terms and conditions set forth therein are acceptable to the City Manager and reviewed by the City Attorney and, provided further, that the portion of such purchase price to be paid by the City of Texarkana, Arkansas, does not exceed $48,165, the funds being available and allocated from the TWU Arkansas Capital Improvement Fund.   

PASSED AND APPROVED this 4th day of April, 2016.

 

____________________________

Ruth Penney-Bell, Mayor

ATTEST:

 

________________________________

Heather Soyars, City Clerk

 

APPROVED:

_______________________________

George M. Matteson, City Attorney

 

 


 

 

 

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