AGENDA #4b

MEMORANDUM

 

TO:                  Mayor and Town Council

 

FROM:            W. Calvin Horton, Town Manager

 

SUBJECT:       Purchase of Open Space on Dickerson Court

 

DATE:             January 28, 2002

 

 

The attached resolution would authorize the acquisition of 105 Dickerson Court, Tax Map 7.48.A.5 and the use of up to $53,000 of 1996 Open Space bond funds to purchase the property, and $10,000 of Capital Improvement Funds to demolish the structure. The Manager recommends adoption.

 

BACKGROUND

 

Three single family and one duplex rental homes located between Bolin Creek and Dickerson Court have flooded repeatedly over the years. The Town has been awarded a Flood Mitigation Assistance grant from the Federal Emergency Management Agency (FEMA) and has purchased three of the four structures. The Council approved their acquisition on August 27, 2001. The fourth structure, 105 Dickerson Court, was not qualified for the grant agreement, due to its lack of a flood insurance policy with the National Flood Insurance Program (NFIP).

 

On May 26, 1998, the Council adopted the Chapel Hill Greenways Comprehensive Master Plan, which established a goal of building a greenway trail along Bolin Creek from Elizabeth Street to Community Center Park. This 0.8-mile section of trail was completed in 1998. A short section of this trail utilizes the pavement of Dickerson Court itself. This purchase and demolition would create contiguous Town-owned open space for future construction of the trail system off of Dickerson Court. The demolition would be performed by a private contractor.

 

DISCUSSION

 

Since the July 2000 flood event, which severely damaged 105 Dickerson Court, the Engineering Department has been negotiating with the property owner for the purchase of this property with the three others on Dickerson Court. When we found out that the Federal Emergency Management Agency did not approve this parcel as a part of the Flood Mitigation Assistance agreement, we began further discussions to purchase this property under a separate agreement.

 

Mr. John McCormick, the property owner, has offered to sell the property to the Town for $50,000.  We recommend that the Town Council accept this offer, which is less than the appraised value of $56,000.  With this additional open space purchase, the Town could then demolish the house and utilize the resulting contiguous open space for the trail system and for other potential riparian and water quality purposes. We would expect to spend up to $3,000 for legal and closing costs from the Open Space Bonds fund and approximately $10,000 from the Capital Improvement Programs Greenway account to demolish and remove the structure.

 

Description of Property

The lot is approximately 0.44-acres, located on Bolin Creek. It is larger than the three adjoining lots purchased by the Town under the Flood Mitigation Assistance agreement.

 

The site is flat and partially wooded with a stand of mature hardwoods and a mix of other mature vegetation.  One hundred percent of the property lies within the Resource Conservation District of Bolin Creek and the Regulatory Floodway. The existing masonry block structure is 1120 square feet, on a crawl space foundation. It is in poor condition, due to the July 2000 flood event and should be demolished.

 

Conditions of Sale

The purchase of the property would be contingent upon the owner removing contaminated soils caused by a leaking underground fuel tank, performing any other required environmental remediation and achieving full environmental case closure by the North Carolina Department of Water Quality, Underground Storage Tank Section. This work may take several months, depending upon the levels of contamination.  No asbestos was found that would require removal and disposal by a licensed technician.

 

 

Potential Uses of the Property

The property is located in the regulatory floodway and the Resource Conservation District. Demolishing the house would remove another high-risk structure from the floodway. As open space, it would be an important parcel for the contiguous Bolin Creek greenway trail corridor, would benefit the Town by improving the riparian area immediately adjacent to Bolin Creek and  would allow for future trail construction to occur, removing the  need to use the pavement of Dickerson Court as a part of the current trail system.

 

Costs and Benefits of a Potential Purchase

This offer to sell property to the Town presents several opportunities and costs that we list below for your consideration.

 

Potential Benefits of Acquiring the Property:

 

·        This property is one of four tracts between Dickerson Court and Bolin Creek; the three adjoining parcels have been purchased through the Flood Mitigation Assistance agreement and will be demolished in the near future.

 

·        This acquisition would add a final section of the Bolin Creek riparian corridor to the Town’s inventory of open space that is contiguous from Elizabeth Street to Community Center Park.

 

·        The property could be utilized in the future to make water quality improvements or other riparian area improvements with the adjoining Town-owned properties.

 

·        The purchase would allow the Town to construct the connector trail in the future, so that the pavement of Dickerson Court would not have to be utilized by the trail users.

 

·        All of this property qualifies as Stormwater Conservation Area.

 

Potential Costs of Acquiring the Property:

 

·        This purchase would use up to $53,000 of the remaining estimated $1,371,493 of 1996 Open Space bond authorization and approximately $10,000 of the CIP Greenways fund. 

 

·        The purchase would remove the tract and any future improvements from the property tax base.

 

MANAGERS RECOMMENDATION

 

That the Council adopt the attached resolution which would authorize the Manager to purchase the property at 105 Dickerson Court along Bolin Creek, using 1996 Open Space Bond funds for the purchase price of $50,000 and expenses not to exceed another $3,000, and to use approximately $10,000 of the Capital Improvement Program Greenways fund for demolition costs.

 

ATTACHMENTS

 

1.         Site area map (p. 5).

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

A RESOLUTION AUTHORIZING THE MANAGER TO ACQUIRE 105 DICKERSON COURT AND TO USE 1996 TOWN OPEN SPACE BOND FUNDS FOR THE PURCHASE AND CAPITAL IMPROVEMENT PROGRAM GREENWAYS FUNDS OF APPROXIMATELY $10,000 FOR THE DEMOLITION OF THE STRUCTURE (2002-01-28 /R-3)

 

WHEREAS, in November 1996, Chapel Hill voters approved $3,000,000 in general obligation bonds for purchase of open space; and

 

WHEREAS, on May 26, 1998, the Council adopted the Chapel Hill Greenways Comprehensive Master Plan, which set as a goal the construction of a trail along Bolin Creek from the Elizabeth Street and Community Center Park; and

 

WHEREAS, this approximately 0.44 acre parcel meets the Council goal of acquiring land suitable for promoting non-automobile community connectivity and/or preserving, scenic vistas, environmentally sensitive areas, Resource Conservation District land, community open space and neighborhood open space; and

 

WHEREAS, the Town has purchased three adjoining parcels under the Flood Mitigation Assistance agreement; and

 

WHEREAS, the health and safety risks of the occupants and potential Town emergency rescue units will would be reduced during flood events;

 

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Town Manager is authorized to purchase the property at 105 Dickerson Court along Bolin Creek, Tax Map Lot 7.48.A.5, using 1996 Open Space Bond funds for the purchase price of $50,000 and expenses not to exceed another $3,000, and to use approximately $10,000 of the Capital Improvement Program Greenways fund for demolition costs.

 

This the 28th day of January, 2002.