00-036-O

ORDINANCE NO. __________

AN ORDINANCE AUTHORIZING SALE OF CERTAIN PROPERTY ADJACENT TO GARFIELD AVENUE TO SPAD FOR THE UPS EXPANSION PROJECT FOR $13,800.

BY PRESIDENT GILBERT:

The city of Duluth does ordain:

Section 1. That the proper city officials are hereby authorized to execute a deed, in substantially the form of Public Document No. ____________________, selling and conveying the described property thereon in St. Louis County, Minnesota, by quit claim deed, to the Seaway Port authority of Duluth, for the sum of $13,800, payable to Fund 100-015-1515-4644, facilities management, and execute all documents necessary with regard to said conveyance.

Section 2. This ordinance shall take effect 30 days from and after its passage and publication.


STATEMENT OF PURPOSE: The purpose of this ordinance is to authorize the conveyance of approximately 46,000 square feet of property adjacent to United Parcel Service's operations at the port authority to SPAD for the purpose of allowing them to convey the property to UPS to facilitate UPS's expansion of its Duluth facilities. The property is shown on the attachment to the proposed deed.

The city originally received the property from the state of Minnesota as highway turnback after the completion of the Blatnik Bridge project. Because of its size, location and configuration, the city has no foreseeable need for the property; on the other hand it will facilitate UPS's expansion of its receiving and shipping facility located adjacent to the property in question.

The city assessor's office has established the value of the land at 30¢ per square foot which when rounded yields a purchase price of $13,800.