Loading...
HomeMy WebLinkAbout2007-290 Findings - Verde Village (2) BEFORE THE CITY COUNCIL CITY OF ASHLAND, JACKSON COUNTY, OREGON December 18, 2007 IN THE MATTER OF A REAL PROPERTY EXCHANGE ) SUPPORTIVE OF PLANNING ACTION # 2006-01663, A ) FINDINGS OF FACT EXCHANGE OF APPROXIMATELY 1.54 ACRES OF CITY ) CONCLUSIONS OF LAW PROPERTY FOR 2.78 ACRES OF PRIVATE PROPERTY ) AND ORDER PURSUANT TO ORS 271.310 - 271.350 AND PUBLIC HEARING) PROCEDURES IN ORS 221.725 ) APPLICANT: Greg and Valri Williams ) I. NATURE OF PROCEEDINGS This matter comes before the City Council for the City of Ashland for a public hearing concerning a real property exchange pursuant to statutory notice and hearing requirements of ORS 221.725. On November 6,2007 and November 20,2007, the Ashland City Council, at the City Council Chambers at 1175 East Main Street conducted an advertised public hearing on a proposed real property exchange pursuant to ORS 271.310 - ORS 271.350. The public hearing was conducted together with public hearing on an Ordinance declaring the approval of a proposed Verde Village Development Agreement, and several associated land use actions necessary for the development of the Verde Village project. The nature of the land exchange, including appraisal and other evidence of market value were fully disclosed in the staff report and supporting documents entered into the record at the public hearing. At such Public Hearing the City Council received written and oral testimony from interested parties on the question of the land exchange. Based upon the evidence in the record, the City Council for the City of Ashland makes the following findings of fact and conclusions of law: II. FINDINGS OF FACT 1) The Nature of Proceedings set forth above are true and correct and are incorporated herein by this reference. 2) The City property subject to the real property exchange consists of approximately 1.54 acres of the 10 acre City -owned parcel known as the Ashland Dog Park (TL 200 39 IE 04BB). The specific area of exchange Ordinance Attachment 3- Real Property Exchange Findings Page 1 is the entrance road and lawn area associated with the entrance to the dog park. The exchange does not impact the parking lot or actual dog park itself. The exchanged City property will be incorporated into the Verde Village residential development, located generally at 87 W. Nevada St. and 811 Helman St. (Ashland Greenhouses). The legal description and drawings of the City property is more fully set forth in the record of this proceeding and incorporated herein by this reference. 3) The private property subject to the real property exchange consists of approximately 2.78 acres of property contiguous to the dog park and located along Ashland Creek. The owner of the property is Ashland Flower Shop and Greenhouses, Inc. (AFSG) (Greg and Valri Williams). This property appears on City's Parks, Trails and Open Space Master Plan Map (a part of City's Comprehensive Plan) as Long-Term Acquisition Area "10". The legal description and drawings of the AFSG property (alk/aI Williams Property) is more fully set forth in the record ofthis proceeding and incorporated herein by this reference. In addition to this real property, the City will receive as part of a Development Agreement for Verde Village, a new city standard public street entrance to the dog park and an additional 1300 lineal feet of Bear Creek Greenway Trail. These improvements are not included in the valuation of this exchange. 4) The approximately 2.78 acres of property received by the City will be used for public open space and passive recreation, including the greenway trail. The reasons stated for City Council consideration for the exchange include but are not limited to the added value to the City's Parks and Trails system. 5) The acreage for the land exchange as revised and updated based on an October 2007 survey is set forth in the revised Verde Village application materials in the record. (Exhibits N-l and N-2 in Book III-Narrative, dated stamped October 30,2007). (2.78 acres, up from 2.57 acres) (1.54 acres, up from 1.37 acres) 1 ~8 S86'ZZ'OO'E: '- 7/ , ZU 98' ,,'> /./. ~~ / /' ~ NB(;'i!1!'OO'V " 388.98' '. SCALE:. 1'- eO/)' '\, ?O' , ~1~ '\ !::I~ " ~I" . I '\ I 1\ : \ VLll., PI> ~:'-~ f'1~ '\ ~I ~~ :S:~U:G I I ~ \ '\ \ \ \ 39lE04.) ) TL.800 I W :> DR_un!; I W,j 8 ~ OIII.UAH$' I 39rU;'BB .~~~~ ! I (llfLL[AH$, ~ J ~ !:l I VlL. 296. PG. 362 'I! ~ \ I ( 39lE04B.'C J J rL800 I (VILUMlS, I I I ' I ({)R 67-0401!0> I , ~L l~l:B I / / I ( ~~:=>>~:Jf[-r _LHI TERR PROFES ASHLAND. ~- ~. aTlCIN.. ~aJRDS. J/lCKSCIH ,. C!JIJHrr. 1J1IE:IDJ i CITY aF ASHLAND 39 IE: 04BB It 200 DR n-13324 LEOEN. .EGEND a<<R OF rRlICr TO BE: rRAHSF'E:RRED FRDH 1IllJ..1Nn TO CITY OF f/lSHtIlHll CSkCNN $HolUlE1I) OR n-J3384 I L4 :J <". , ,r--- r=====-:"---l i' \ ~ I I \ 39 IE 04BB I TL 7011 I (Ir'1l..LlAHS> \ I 39T!..lE~JlBI I <' (\(lLLJf/lHS~ ,I _, " I 1---2 ~ \ I "Ie OfB h OilLLlf/IHS> -39 IE: 0481 n I TL!tOll -: n. lIOlI I OilLL1I'HS) ! - - n: J _ _ _ _ _ -LJ.-i---. n o HEVAM STREET ~. 66-tlleSS <::l ~ ~~ ~~ Ll ~ I , I i ~ rll~ QIf ./ I I _1- I'fEVAJM STAaT 'Jange Findings Page 2 III. FINDINGS APPLYING APPLICABLE STATUTORY CRITERIA 1) The Council finds and determines that the relevant statutory criteria to find property eligible for a real property exchange involving City property are found in or referenced in ORS 271.31O-0RS 271-350 as well as ORS 221.725. 2) The Council finds that it has received all information necessary to make a decision based on the Staff Report, public hearing testimony and the exhibits and evidence received. 3) The Council finds and determines that this proposal to exchange real property meets all applicable statutory minimum criteria for eligibility to exchange real property, as more fully set forth herein. Further the City Council finds and determines that the proposed disposition of real property in the real property exchange is deemed "necessary or convenient" to the City, and furthers the public interest as incorporated into and made part of the negotiated Development Agreement for Verde Village, approved by City Ordinance declaring adoption of the Development Agreement. This finding is supported by competent substantial evidence in the whole record as well as the detailed findings set forth herein, the detailed findings of the Ashland Planning Commission, as well as those submitted by the Applicant, and incorporated herein by this reference. Minimum Criterion for Eligibility for Real Property Exchange 4) [ORS 271.310], [ORS 271.340] & [ORS 271.350] ORS 271.310. Transfer or lease of real property owned or controlled by political subdivision; procedure in case of qualified title. (1) Except as provided in subsection (2) of this section, whenever any political subdivision possesses or controls real property not needed for public use, or whenever the public interest may be furthered, a political subdivision may sell, exchange, conveyor lease for any period not exceeding 99 years all or any part of their interest in the property to a governmental body or private individual or corporation. The consideration for the transfer or lease may be cash or real property, or both. *** (3) Unless the governing body of a political subdivision determines under subsection (1) of this section that the public interest may be furthered, real property needed for public use by any political subdivision owning or controlling the property shall not be sold, exchanged, leased or conveyed under the authority of ORS 271.300 to 271.360, except that it may be exchanged for property which is of equal or superior useful value for public use. Any such property not immediately needed for public use may be leased if, in the discretion of the governing body having control of the property, it will not be needed for public use within the period of the lease. ORS 271.340. Property valuation in exchange to be equal. Ordinance Attachment 3- Real Property Exchange Findings Page 3 When property is exchanged under the authority of ORS 271.310 to 271.330, the value of the real property accepted by the political subdivision in exchange for any of its property plus cash, if any, shall not be less than the value of the property relinquished. ORS 271.350. Determining valuation of property in exchanges. The value of the respective properties proposed to be exchanged shall be determined by the governing body of the political subdivision. The governing body shall cause it to be appraised by one or more competent and experienced appraisers. The compensation, if any, of the appraisers shall be borne equally by the respective owners of the property. In case the valuation shall not be mutually satisfactory to the respective owners it shall not be binding upon them. The statutory requirements are summarized herein: In order to sell, conveyor exchange real property, ORS 271.310(1) (3) requires that the Council find either that the property is "not needed for public use" or "that the public interest may be furthered." ORS 271.310(3) also requires that unless there is a finding the public interest may be furthered, if the property is needed for public use, that property may only be exchanged if the property received is of equal or superior useful value for public use. (also a requirement of Land and Water Conservation). ORS 271.340 clearly established that the monetary value of real property accepted by the City must not have a monetary value less than the value of the property relinquished. The valuation must be established by the City pursuant to ORS 271.350 based on appraisal. Other approvals required: County, State and Federal approval of the real property exchange is required. Because the City Property was acquired using Land and Water Conservation Funds, State and Federal Park agencies must approve the exchange. Because the County's deed to the City reserved to the County a reversionary interest, it must be released by Resolution of the Board of Commissioners under ORS 271.335. Specifically, City's deed to City's Parcel (recorded as Doc # 77-13325) reflects that the original conveyance ofthe City's Property from Jackson County to City is subject to City's continued utilization of City Property "for public park and recreation purposes or ... [its maintenance] ... for the benefit of the public as a scenic and open space area. When said property is no longer so used, the interest of the grantee [City], or its assigns, shall automatically terminate and the property shall revert to the grantor (Jackson County)."Accordingly, as a condition of the real property exchange, the Jackson County's Board of County Commissioners must release (by resolution) the reversionary interest. City can provide County with an identical or similar reversionary interest in the deed to the Williams Property being provided to City by AFSG pursuant to the exchange and Development Agreement. City and AFSG have agreed to cooperate in good faith to secure approval from Jackson County for said exchange of Jackson County's reversionary interest, such that the same reversionary interest in favor of Jackson County will similarly burden the Williams Property upon transfer of the Williams Property to City pursuant to the real property exchange; and will no longer burden the City Property being transferred to AFSG pursuant to the real property exchange. Jackson County's approval of the reversionary interest release or exchange concurrent with the actual real property transfer is a material term of this approval and Development Agreement. The Federal, State and County approvals must be addressed as conditions of approval, because the applications cannot be Ordinance Attachment 3- Real Property Exchange Findings Page 4 fully processed until the City approves the exchange under ORS 271.310. Pursuant to ORS 271.310, the City Council finds and determines that the public interest will be furthered by the exchange of the City Property previously and currently utilized as access to City's Dog Park in exchange for the Williams Property owned by AFSG. Verde Village Application Materials Exhibit 1, Sub-Exhibit N-1 (Map). The Williams Property appears on City's Parks, Trails and Open Space Master Plan Map (a part of City's Comprehensive Plan) as Long-Term Acquisition Area "10". The real property exchange allows City to acquire a parcel of property (Williams Property) identified on City's Parks, Trails, and Open Space Master Plan's long term acquisition list since 2002. Acquisition by City ofthe Williams Parcel also provides City with the opportunity to extend City's multi-use path, which is part ofthe regional Bear Creek Greenway. The real property exchange also provides the public with additional scenic frontage along Ashland Creek. Further, acquisition of the Williams Property provides City with an opportunity to benefit the community by preserving and enhancing the riparian area along Ashland Creek. In contrast, the City Parcel to be exchanged herein currently serves as a sub-standard access for vehicles, pedestrians, and cyclists from West Nevada Street to City's Dog Park and the Bear Creek Greenway multi-use "bike path". When the Verde Village Project is completed under the Verde Village Development Agreement, access to City's Dog Park will be enhanced via fully improved public streets, approved and constructed to serve the Verde Village Project, while also serving as a safer and more efficient access to the City's Dog Park and the Bear Creek Greenway "bike path". The Bear Creek Greenway "bike path" connects the City of Ashland with the City of Central Point, and promotes the goal of "modal equity", in a time when the financial and environmental costs associated with petroleum resource dependence are under enhanced scrutiny. The real property exchange is also described in Exhibit "1 "[Outline Plan Narrative] (at page 6) and Sub-Exhibits M and N-l appended thereto, incorporated herein by this reference. Because the City Property to be exchanged currently includes access to the City Dog Park, the City cannot find that the property is not necessary for public use. Concerning the monetary value ofthe exchange, the City Council finds and determines that consistent with ORS 271.350, on January 2,2007, the City's Council aftrer considering public comment, authorized AFSG to proceed with its land use application including City's Property, and concurrently directed its Staff to commission the necessary appraisal reports, without reviewing or considering the merits of the Verde Village Project application, in compliance with law. Thereafter, City commissioned appraisals reports to determine the fair market value of the respective real property proposed for exchange from a qualified licensed appraiser with experience in similar real estate appraisals under the strenuous "Yellow Book" guidelines required by the National Parks Service. After considering a number of licensed appraisers, City engaged Candence E. Robinson, State Certified Appraiser # C000582, Vesta Real Estate Services, Inc., Salem, Oregon. Exhibit 2-44 and Exhibit 3-44. In June 2007, the City of Ashland received Appraisal Reports reflecting the respective value of the Williams Property and City's Dog Park Property. See Verde Village application materials Exhibit 2 and Exhibit 3 as revised. These Appraisal Reports were commissioned by City, with the appraisal cost borne equally by City and AGFS. Corrections to the appraisals were made after input from interested citizens were taken into account. The Council finds and determines that appraiser was competent and experienced. The respective Appraisal Reports, as revised, for the Williams Property and the City Property are included in the record and incorporated herein by reference. The Appraisal Reports and supporting documents were made available to the public prior to the public hearings before both the Planning Commission and City Council Ordinance Attachment 3- Real Property Exchange Findings Page 5 The City Council is charged with the determination ofthe value of the exchanged properties pursuant to ORS 271.350. Based upon the revised appraisal documents, the City Council finds and determines that the City Property to be conveyed to AFSG in connection with the real property exchange authorized by the Verde Village Development Agreement is less than the monetary value of the Williams Property to be conveyed to the City in connection with said real property exchange, as reflected in attached Exhibit 2 and Exhibit 3 in the record, incorporated herein by reference. Pursuant to ORS 271.310, ORS 271.340, and ORS 271.350, City finds that the value ofthe Williams Property to be exchanged is $284,000. City further finds that the value of the City Property to be exchanged is $ 134,000. City finds that the difference in value between the two parcels being exchanged is $150,000 in favor of City, based on the analysis and conclusions contained in the Appraisal Reports commissioned by City, contained in the record and incorporated herein by this reference. AFSG agrees to "gift" the $150,000 difference in value to City. The proposed use of the property received by the City shall be parkland, recreation, open space, or similar uses consistent with Jackson County deed restrictions. Concerning the requirement that the property received have equal or superior useful value for public use (in terms of FL WCF equal or superior public recreational value), the City's Parks and Recreation Commission unanimously endorsed the real property exchange, conceptually, on October 24,2006 following review of the materials and documents presented. The record of the Parks Commission action is included in the record of this proceeding and incorporated herein by this reference. See. E.g. Verde Village Application Materials Exhibit 1, Sub-Exhibit M, (Park Commission Endorsement). Subsequently, on June 25, 2007, City's Parks and Recreation Commission again unanimously confirmed their support of the real property exchange, after reviewing revised materials. See Verde Village Materials Exhibit 1, Sub-Exhibit N-1; Exhibit 2; Exhibit 3, and related submittals. IV. ORDER In sum, the City Council finds and determines that the real property exchange is necessary or convenient, that the exchange furthers the public interest, that the exchange will be for property that is of equal or superior useful value for public use, including recreational use, and that the monetary value of the real property accepted is not less that the monetary value ofthe property relinquished. Accordingly, based on the above Findings of Fact and Conclusions of Law, and based upon the evidence in the whole record, the City Council hereby APPROVES as part of the negotiated Verde Village Development Agreement approved by Ordinance, the real property exchange described herein and in the record of Planning Action #2006-1663, subject to compliance with the conditions of approval, set forth herein. The following are the conditions and they are attached to the approval: . The real property exchange is subject to County, State and Federal approval of the real property exchange. Receipt of written evidence of such approvals in appropriate legal form triggers the exchange under the terms and conditions of the Development Agreement. City shall record a document restricting use of the exchange parcel for recreational use in accordance with County approval of release on the City property. . . The real property exchange is subject to all applicable conditions and requirements of the Development Agreement and acssociated land use approvals for the Verde Village project. Ordinance Attachment 3- Real Property Exchange Findings Page 6 Ashland City Council Approval J!Jf2 ~\~"'~~~ May r John W. Morriso Signature authorized and approved by the full Council this iK day of Oc~, 20Q] Date: 12--/i~ Ordinance Attachment 3- Real Property Exchange Findings Page 7 II