DISCLAIMER

 

06-044-O

ORDINANCE NO. __________


AN ORDINANCE ALIENATING CERTAIN PROPERTY IN WEST DULUTH AND AUTHORIZING SALE OF SAME TO DALE E. AND DEBRA K. DIERYCK FOR $25,769.

BY COUNCILOR STOVER:

The city of Duluth does ordain:

     Section 1. That the city has identified certain property as being surplus to the city’s future needs and hereby declares its intention to alienate its interest in Lot 2 (southerly 20 feet), Lot 3, Lot 4 and Lot 5, Block 150, WEST DULUTH FIFTH DIVISION.

     Section 2. That the proper city officials are hereby authorized to sell and convey the following described property in St. Louis County, Minnesota, by quit claim deed to Dale E.and Debra K. Dieryck for $25,769 to be deposited in General Fund 0100-700-1407-4640 and to execute all documents necessary with regard to said conveyance: Lot 2 (southerly 20 feet), Lot 3, Lot 4 and Lot 5, Block 150, WEST DULUTH FIFTH DIVISION.

     Section 3. That this ordinance shall take effect 30 days from and after its passage and publication.


STATEMENT OF PURPOSE: The city acquired the former Duluth, Winnipeg, and Pacific (DWP) Railroad right-of-way in 1984. The acquisition was for future trail purposes. Since then, key bridges, trestles and other infrastructure has been removed making the development of a future trail costly and impractical. The planning commission recommended the sale of this former railroad property in an action dated September 14, 2004. This property is now surplus to the city’s future needs, and is alienated.


The buyers own a service station business adjacent to this property and plan to use it for business expansion purposes. The other adjoining owners have been queried and are not interested in this property. The Spirit Valley Citizens’ Neighborhood Development association (SVCNDA) has expressed support of the sale of the former DWP property to adjoining owners for business or residential expansion.


The city assessor has established the square foot value of this property at $2.17/sq.ft. and the buyer has agreed to the established price.


Tax Base Impact Summary: This property will be returned to the tax roles after 20+ years minimal tax impact until such time as property is improved with a structure or other site improvement.