8.2 Intent to Purchase
CITY OF SALINA
REQUEST FOR CITY COMMISSION ACTION
DATE
3/03/03
TIME
4:00 P.M.
AGENDA SECTION:
NO.
8
ORIGINATING DEPARTMENT:
APPROVED FOR
AGENDA:
CITY MANAGER
ITEM
NO.
2
BY: Michael W. Morgan
BY:~
ITEM:
Consideration of acquisition of land as park and recreation property for development of a future
soccer complex.
BACKGROUND:
The City's 2002-2006 Capital Improvement Program, adopted in March 2002, includes a Soccer
Complex as a listed potential project in the "For Further Review" section of the plan. City staff
was directed to conduct further analysis of issues such as concept design, cost, location,
partnerships, etc. During the past year staff has worked with a group of local youth soccer
supporters to gather significantly more information to allow this capital project to proceed to a
next step in the City's capital improvement plan as a partnership project. Other major city park
and leisure facilities (Bill Burke Park, Dean Evans Stadium, Oakdale Stage, Community Theater,
First Tee Golf) have followed this same path. Staff has verified that there is significant citizen
interest and private donation cost-sharing for such a project. We have identified a good location
for this type of city recreation facility and have completed preliminary negotiations with the
property owners for an agreement in which the City of Salina could acquire the land for this
purpose, as previously directed by the City Commission.
The Parks and Recreation Advisory Board received a staff report and citizen input at their latest
meeting and voted to endorse the soccer complex and its proposed location as outlined in
concept for them. The next step is City Commission action related to property acquisition and
further direction to staff.
Outline of Policy Determination Issues for Commission Consideration
1. Is development of a City of Salina parks and recreation system soccer complex a priority in
the community's recreation planning?
D Salina has a very limited number of soccer fields available currently, and no location with
several fields available for youth leagues, tournaments, etc. No Salina facilities exist
similar to our baseball/softball complexes.
D There is a rapidly growing interest in soccer at the youth, high school, college and adult
levels.
D There is substantial community interest and support for a soccer complex, as indicated
by comments received by the City, by an organization of supporters and significant
private donation commitments they have received.
D Parks and Recreation Department professional staff and the Parks and Recreation
Advisory Board endorse the project as a priority.
2. Is the proposed site for a future soccer complex a good location?
D The acquisition plan is for approximately 64 acres at the southeast corner of North Ohio
Street and Stimmel Road in the northeast section of the City. The acreage is adequately
CITY OF SALINA
REQUEST FOR CITY COMMISSION ACTION
DATE
3/03/03
TIME
4:00 P.M.
AGENDA SECTION:
NO.
ORIGINATING DEPARTMENT:
APPROVED FOR
AGENDA:
CITY MANAGER
ITEM
NO.
BY: Michael W. Morgan
BY:
Page 2
sized for a complex of up to 11 fields, along with parking, drainage, future
concessions/restroom buildings, and other related facilities.
D The site is located on a major arterial street providing excellent access for Salina
community recreation participants, teams and families, as well as those coming from
elsewhere in the region for tournaments.
D Recent water and sewer utility extensions in the North Ohio corridor make these services
available near the site.
D Development of a high quality city outdoor recreation complex at this location is
consistent with and an enhancement to the City's North Ohio Corridor plans, which
include significant new commercial development at the Ohio/I-70 interchange, major
infrastructure improvements such as the North Ohio Railroad Overpass Project, and
expectations of further growth and development in this area of North Salina.
D This particular tract has its best use as open space outdoor recreation, due to some
floodplain/floodway factors which limit general commercial or business development
opportunities. This situation is similar to that at the Bill Burke Complex.
3. What are the costs of land acquisition, and how would those costs be paid for?
D Based on preliminary negotiations, the real estate transaction would involve a period of
time in which the City of Salina would make annual lease/rental payments to the property
owner. Those annual payments would be approximately $6,500.
D At some point during the coming ten year period, but no later than ten years, the owners
would provide notice to the City of their desire to complete the sale of the property to the
City, at a sale price of $245,000. The City would then proceed with them to close the
real estate transfer.
D During both the period of rent/lease and after ownership transfer, the property would be
in full control of the City, with City annexation, platting and management of its
development as a city park and recreation facility similar to our other city parks. The City
would likely take control of the property in Summer 2003, after the wheat crop is
harvested.
D All the costs incurred in the acquisition process and any annual lease/rental costs would
be paid from the City's Special Parks Fund budget. These funds are generated by the
proceeds of the State's alcohol tax and restricted to park purposes. The City is
generating adequate revenues from this source to pay these initial acquisition costs
without negatively impacting the City's General Fund and without reducing or eliminating
other parks and recreation projects or programs.
D At the point during the 10-year contract period at which the final property transfer takes
place, the City would issue up to $250,000 in 10-year General Obligation Bonds to
finance the purchase. Annual bond payment obligations would be approximately
$35,000, beginning at the earliest in 2005, and at the latest in 2013. The funds for
CITY OF SALINA
REQUEST FOR CITY COMMISSION ACTION
DATE
3/03/03
TIME
4:00 P.M.
AGENDA SECTION:
NO.
ORIGINATING DEPARTMENT:
APPROVED FOR
AGENDA:
CITY MANAGER
ITEM
NO.
BY: Michael W. Morgan
BY:
Page 3
making these bond payments would also be allocated from the Special Parks Fund.
Special Parks Funds are expected to be available for those payments without impacting
other projects. Of course, the City Commission could determine at the time if other
capital funds were available as an alternative to bond financing.
4. What is the plan, timetable and financing for development of the land as a soccer complex?
D Through donated preliminary design work, a concept design for the future soccer
complex has been completed. A copy is enclosed. City staff concurs with this 11 field
concept as a vision for the development. Some changes will likely occur as further
planning and engineering takes place.
D This type of major project will clearly have to be accomplished in phases. Timetables
and scope of each phase have not yet been determined, and will be dependent primarily
on funding availability. However, a shared goal of city staff and private supporters is to
have all or the majority of fields available for youth soccer play by the Summer or Fall of
2004.
D Field availability in Summer/Fall 2004 would require earthwork, irrigation and turf
development in Fall 2003, with driveway and parking lot construction in the first half of
2004.
D The private sector soccer supporters indicate they will have significant donated or grant
funds available in 2003 to begin Phase One on that timetable. They are very confident in
the success of their fundraising and grant application efforts.
D With the City's current uncertain financial situation, any further budget allocation for 2003
or 2004 cannot be determined or committed to at this time. Better information will be
available by June 2003 as the State legislative session ends and we begin city budget
consideration.
D Operation of an outdoor soccer complex would be a responsibility of the City's Parks and
Recreation Department, with costs incurred in their annual operating budget.
Department staff report that operating and maintenance costs should be manageable,
and are expected to be less than those we now have for baseball and softball facilities.
COMMISSION ACTION:
1. Consider affirming the City's intent to purchase this tract of land for park purposes,
specifically for development as a soccer complex, based on the policy determinations in this
report.
2. Direct the City staff to proceed with development of a real estate contract, required
engineering and final design plans, environmental reviews, grant application, private
donation partnership agreements, phasing and finance plans. Full staff reports and action
items will be brought back to the City Commission no later than June 1, 2003.
CITY OF SALINA
REQUEST FOR CITY COMMISSION ACTION
DATE
3/03/03
TIME
4:00 P.M.
AGENDA SECTION:
NO.
ORIGINATING DEPARTMENT:
APPROVED FOR
AGENDA:
CITY MANAGER
ITEM
NO.
BY: Michael W. Morgan
BY:
Page 4
Note: Deputy City Manager Michael Morgan has been assigned as staff team leader and city
contact for this major project. He will be assisted by the City Attorney, Parks and Recreation
Director, City Engineer and other staff members as needed. The City Manager will provide
guidance as to financial planning and budgeting issues.
Enclosures: As stated