BY COUNCILOR JOHNSON:
The city of Duluth does ordain:
Section 1. That the city council hereby finds that the city-owned property located in St. Louis County, Minnesota, and legally described below is surplus to the city’s needs and available for disposal:
Lot 23, Block 154, DULUTH PROPER THIRD DIVISION, except the southerly 17 feet thereof for boulevard.
Section 2. That, notwithstanding the provisions of Section 2-176 of the Duluth City Code, 1959, as amended, the proper city officials are hereby authorized to offer the above described-property for sale at public auction through St. Louis County in conjunction with adjacent tax forfeited lands and to sell the same to highest bidder subject to receiving a minimum bid therefore of at least $15,150, the proceeds of which shall be deposited in the General Fund 100-700-1420-4640.
Section 3. That upon the request of the successful bidder therefore, the proper city officials are hereby authorized to enter into a certificate of Sale with such bidder and St. Louis County, substantially in the form of that on file in the office of the city clerk as Public Document No. ____________, and upon receipt by the city of the total amount of the purchase price therefore to execute a quit claim deed conveying said property to said high bidder.
Section 4. That 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 city to sell city-owned property described herein, located generally near the intersection of Mesaba Avenue and Central Entrance, with other property which is tax forfeited and under the control of St. Louis County and allow both properties to be sold jointly at an auction to be conducted by the county land department.
The ordinance allows the land to be sold either by payment in full by the purchaser or by means of a “certificate of sale,” the tax forfeit land equivalent of a contract for deed whereby the purchaser is able to pay for the land over ten years and to receive a deed when the entire purchase price has been paid.
The city is assured of receiving market price for its property by going through the auction process and by the establishment of a minimum bid below which it would not sell the land.