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HomeMy WebLinkAbout9A - Pike Lake Park MEETING DATE: AGENDA #: PREPARED BY: AGENDA ITEM: DISCUSSION: ISSUES: 4646 Dakota Street S.E. Prior Lake, MN 55372-1714 CITY COUNCIL AGENDA REPORT SEPTEMBER 4, 2007 9A STEVE ALBRECHT, DIRECTOR OF PUBLIC WORKS CONSIDER APPROVAL OF A RESOLUTION APPROVING AN AGREEMENT WITH THE TRUST FOR PUBLIC LAND FOR THE PURCHASE OF 30 ACRES TO BE KNOWN AS PIKE LAKE PARK Introduction The purpose of this agenda item is to approve an agreement with the Trust for Public Land for the purchase of 30 acres to be known as Pike Lake Park. Historv The Trust for Public Land (TPL)has obtained a purchase agreement for the Pavlish Property located on Pike Lake. A graphic depicting the Pavlish Property along with nearby City and adjacent parcels will be shown at the meeting. The property is split into two separate parcels that total 30 acres of which 16 acres is upland non-wetland or lake. City Staff believes that the acquisition of this land combined with future dedication from adjacent properties as they develop could result in a park that encompasses all of Pike Lake. This park would be 75-100 acres with as much as 40-50 acres of non-wetland or lake. This park would perform the function of both a community park and neighborhood park for this area. Purchase Agreement for the Pavlish Property obtained by the Trust is for $1,875,000 (the amount for which the property was appraised). On December 5, 2006 the City Council authorized City Staff to work with the Trust to obtain grants to acquire the property for City park land. The City Council also supported a funding commitment of up to $500,000 by the City of Prior Lake for the purchase. In July the City was notified that the DNR will be granting the City $906,047 to be combined with $100,000 Metro Conservation Corridors Grant previously authorized by the TPL. Current Circumstances The TPL has secured the needed $1,875,000 to complete the purchase. The TPL and City need to enter into an agreement for the transfer of the property to the City. The City's portion of the funding is $500,000 in addition to the grant dollars noted above. The City's effective purchase price per acre of upland (non- wetlandllake) for the park land is $31,250 which is a great leverage of City Capital Parks Fund and General Fund dollars. ~'\Council\Agend; Reports\2007\U9 04 07\Plke L:.ke PWtJW~CWgOiftStiorlake.com Phone 952.447.9800 / Fax 952.447.4245 FINANCIAL IMPACT: The utilization of $250,000 from the Capital Parks Fund will draw the balance to a level that will not permit the improvement of additional parks until additional development occurs. This fund is development driven and with the slow down in development the demand to develop parks has also slowed. The TPL is purchasing the land for $1,875,000. The TPL has obtained private grants in the amount of $368,953. The City's total portion of the funding is $1,506,047. The City has received approval for DNR Grants in the amount of $1,006,047 leaving $500,000 to be paid from the Capital Park and General Fund. City Staff has reviewed existing fund balances and believes that funding should be provided as follows: Capital Parks Fund: $250,000 (Account # 225-45040-510) General Fund: $250,000 (Account # 101-49999) ALTERNATIVES: 1. Authorize the City Manager and Mayor to enter into a purchase agreement with the TPL for 30 acres to be known as Pike Lake Park. 2. Provide staff alternative direction. 3. Table this item to a certain date in the future. RECOMMENDED MOTION: ~ Staff recommends alternative number 1 les, City Manager R:\CouncillAgenc1a Reports\2007\G9 04 07\Pike LF,"'j Park Agenda.doc A RESOLUTION APPROVING AN AGREEMENT WITH THE TRUST FOR PUBLIC LAND TO ACQUIRE 30 ACRES TO BE KNOWN AS PIKE LAKE PARK Motion By: Second By: WHEREAS The City of Prior Lake has been working with the Trust for Public Land (TPL) to acquire 30 acres of land to be known as Pike Lake Park; and WHEREAS, The TPL and City have secured $1,875,000 for purchase of the park land; and WHEREAS, The City has secured $1,006,047 in grants for the purchase and allocated $500,000 in City funds; and WHEREAS, Fundina Source Amount TPL GrantslWatershed FundinQ $368,953 Metro Conservation Corridor Grant* $100,000 DNR Natural & Scenic Area Grant* $471,047 DNR Remediation Fund Grant* $435,000 Capital Parks Fund (225-45040-510) $250,000 General Fund (101-49999) $250,000 Total Purchase Price $1.875.000 * Grants to the City of Prior Lake WHEREAS, The final conveyance price for the City is $1,506,047 with funding to be noted as above. NOW THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA as follows: 1. The recitals set forth above are incorporated herein. 2. The Mayor and City Manager are authorized to execute a purchase agreement subject to approval by the City Attorney with the TPL for $1,506,047 for 30 acres of land contingent upon receipt of $1,006,047 in grants. 3. Funding shall be taken from the following accounts - Capital Park Fund Account # 225-45040-510 ($250,000 Capital Park contribution) - Capital Park Fund Account # 225-45040-510 ($1,006,047 Grant Funds) - General Fund Account # 101-49999 ($250,000 General Fund appropriation) PASSED AND ADOPTED THIS 4th DAY OF SEPTEMBER 2007. Hauaen Hauaen Erickson Erickson Hedberg Hedbera LeMair LeMalr Millar Millar YES NO Frank Boyles, City Manager C:\Documents and Settings\ralph\Local Settings\Temporary Internet Files\OLKC\Pike Lake Park Res (2).doc www.cityofpriorlake.com Phone 952.447.9800 / Fax 952.447.4245