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HomeMy WebLinkAboutAgenda Report - October 17, 2007 E-10AGENDA ITEM E OV 10 CITY OF LODI %V COUNCIL COMMUNICATION TM AGENDA TITLE: Adopt Resolution authorizing the City Managerto enter into negotiations with Union Pacific Railroad (UP) for the acquisition of properties located at 232 N. Washington, 242 Rush Street and 420 E. Lockeford Street as part of an affordable housing project. MEETING DATE October 17,2007 PREPARED BY: Community Development Department RECOMMENDED ACTION: Adopt Resolution authorizing the City Managerto enter into negotiations with Union Pacific Railroad (UP) for the acquisition of properties located at 232 N. Washington (APN:043-087-17), 242 Rush Street (APN:043-090-13) and 420 E. Lockeford Street (APN:043-202-29) as part of an affordable housing project. BACKGROUND INFORMATION: The City of Lodi had been notified by Union Pacific Railroad (UP) that they were interested in selling of a group of parcels along East Lockeford Street, referred to as the Kentucky House Railroad line. As the City has first right of refusal before that land can be put on the open market, it was decided to reserve that right as the acquisition of some of those parcels would allow for future expansion of the right- of-way along East Lockeford Street and the potential for an affordable housing project. As the City Council has just gone through the process of selecting a developer to work with on an affordable housing projectfor this site, the time has come to open negotiations with UP to acquire the properties. We ask that the City Council authorize the City Managerto initiate that negotiation process. FISCAL IMPACT: The value of the land, based upon an appraisal in 2003 is $1.5 million. FUNDING AVAILABLE: Community Development BlockGrant/HOME Program Randy bQfch Community Development Director APPROVED: —fir ing, City Manager RESOLUTION NO. 2007-206 A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING THE CITY MANAGER TO ENTER INTO NEGOTIATIONSWITH UNION PACIFIC RAILROAD FOR THE ACQUISITION OF PROPERTIES LOCATED AT 232 NORTH WASHINGTON STREET, 242 RUSH STREET, AND 420 EAST LOCKEFORD STREET AS PART OF AN AFFORDABLE HOUSING PROJECT WHEREAS, Union Pacific Railroad has notified the City of Lodi that it intends to abandon its operations and sell the parcels of land on what it refers to as the Kentucky House Rail Line, which runs along East Lockeford Street, namely 232 North Washington Street (APN 043-087-17), 242 North Rush Street (APN 043-090-13), and 420 East Lockeford Street (APN 043-202-29); and WHEREAS, the City of Lodi has first right to acquire those parcels of land from Union Pacific; and WHEREAS, the City of Lodi has an interest in developing an affordable housing project on this land; and WHEREAS, on October 3, 2007, the City Council selected a developer for this affordable housing project and now must begin the process of negotiating the purchase of the propertiesfrom Union Pacific Railroad. NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby authorize the City Manager to enter into negotiations with Union Pacific Railroad for the acquisition of properties located at 232 North Washington Street (APN 043-087-17), 242 North Rush Street (APN 043-090-13), and 420 East Lockeford Street (APN 043-202-29)for an affordable housing project. Dated: October 17, 2007 hereby certify that Resolution No. 2007-206 was passed and adopted by the City Council of the City cf Lodi in a regular meeting held October 17, 2007, by the following vote: AYES: COUNCIL MEMBERS— Hansen, Hitchcock, Katzakian, Mounce, and Mayor Johnson NOES: COUNCIL MEMBERS— None ABSENT: COUNCIL MEMBERS— None ABSTAIN: COUNCIL MEMBERS— None City Clerk 141I1IM1I:1