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6.2 Status of City Parcel 409 West EuclidCITY OF SALINA REQUEST FOR CITY COMMISSION ACTION DATE TIME 08/08/2022 4:00 P.M. AGENDA SECTION 6 ORIGINATING DEPARTMENT: FISCAL P_P.RROVAL: NO: (7oj/ BY: ITEM City Manager's Office FINAL APPROVAL: NO: 2 Page 1 BY: Shawn Henessee 5 BY: ITEM: Status of City Owned Parcel BACKGROUND: In 2015, the City of Salina notified the property owner at 409 West Euclid that the dwelling and garage on the parcel were dangerous structures that needed to be either repaired or demolished. The property owner was unable to repair the structures due to their medical situation. There were insufficient repairs to the structure undertaken and in July 2015 the property was gifted to the city. On July 13, 2015 the city formally accepted the donation of the property. It was intended at the time of acceptance according to the minutes from July 13, 2015, that the property would be used for either the anticipated land bank, not for profit or other charitable use.The property owner was able to get a demolition permit in October 2015 and the dwelling was removed from the property. The parcel remains devoid of structures. The city has been approached about selling the property to an adjacent landowner. The adjacent landowner owns an convenience store on the adjoining parcel and intends to expand and improve the existing convenience store. An RFP has been created and is attached that outlines a process to allow interested parties to bid and to facilitate the transfer of the property to interested purchasers. Below is a breakdown of the timeframe envisioned by the RFP. August 8th -City commission reviews draft RFP and relates any additions or modifications to the RFP August 12"' -All additions or modifications to the RFP are included and it is published September 12th -Deadline for bid proposals to be received by the City. City Commission review of submited bids will occur no more than 60 days after September 12, 2022. Unsuccessful bid deposits will be returned within 5 days of September 12, 2022. The City Commission has broad discretion to determine which bid should be accepted. Additionally, the City Commission may include any additional requirements that it would like to see in the proposed RFP or revise them as they see fit. While the bid amounts will be one factor in the City Commission decision -the City Commission is also able to consider the best uses for the property and to determine what use of the property is in the best interests of the City of Salina. FISCAL NOTE: The City would receive whatever bid amount that was accepted and would no longer have the cost of mowing and maintaining the parcel. COMMISSION ACTION OR RECOMMENDED ACTION: Staff has identified the following options for the City Commission's consideration: 1.) Determine that the parcel at 409 West Euclid is surplus. 2.) Authorize accepting bids on the property as outlined in the draft RFP. CITY OF SALINA REQUEST FOR CITY COMMISSION ACTION DATE TIME 08%08/2022 4:00 P.M. AGENDA SECTION ORIGINATING DEPARTMENT: FISCAL APPROVAL: NO: BY: ITEM City Manager's Office FINAL APPROVAL: NO: Page 2 BY: Shawn Henessee BY: 3.) Modify the RFP in the manner the City Commission desires. 4.) Decline to divest the property and retain ownership of the property. Staff recommends option number 1 and 2. Attachments: RFP for 409 West Euclid CC: City of Salina, Kansas Request for Proposals (RFP) 409 West Euclid Salina, Kansas The East Seventy feet (70') of the West One Hundred Forty feet (140') of lots Four (4) and Five (5), Block One (1), Tucker Park Addition to the City of Salina, Saline County, Kansas (more commonly referred to as 409 W. Euclid Salina, Kansas) TABLE OF CONTENTS 1. Notice of Call for Bids 2. General Information 3. Property Description 4. Minimum Bid Price 5. Bid Security 6. Selection 7. Submission Instructions 8. Contact 9. City Rights Reserved 10. Property Rights/Disclosure of Information 11. Submission Rejection/Rights to Disqualify 12. Special Terms and Conditions 13. Conflicts of Interest 14. Brokerage Fee 15. Bidding Procedures 16. Bid Package Acknowledgements & Receipt 17. Brokers Acknowledgements 18. Exhibits A. Legal Description of Lot B. Location Map C. Aerial Map D. Present Day Vacant Lot E. Bid Documents 11 Page City of Salina 300 West Ash City County Building NOTICE OF CALL FOR BIDS 1. Notice of Call for Bids The City of Salina offers for sale the parcel of real property described below and more commonly known as 409 West Euclid. Written sealed bids will be accepted at the City Clerk's office 300 West Ash, Suite 206, Salina, Kansas. All written sealed bids must be received by and will be opened at 10:00 A.M, September 12th, 2022 in the office of the City Clerk. Sale is subject to the approval of the City Commission and the City reserves the right to reject any and all offers. 2. General Information The property is currently an empty parcel with no buildings on it. In 2015, the property and home were listed as a dangerous structure. In July of 2015, the property was gifted to the city. On July, 15, 2015 the city formally accepted the donation of the property. At the time the property was donated, the minutes indicate that the intended use for the property would be for a not for profit or other charitable use. The prior owner received a demolition permit in October of 2015 and the dwelling and a garage were removed. This parcel is approximately 70.0 feet wide and 140 feet deep. This surplus parcel fronts Euclid Avenue and currently has no structures. The street address for this property is 409 West Euclid, Salina, Kansas, 67401. 3. Property Description The East Seventy feet (70') of the West One Hundred Forty feet (140) of lots Four (4) and Five (5), Block One (1), Tucker Park Addition to the City of Salina, Saline County, Kansas. The property is located on the south side of Euclid, and is the second parcel west of the intersection of Euclid and North 90' Street. The property is zoned R-2. See Exhibit A for a complete legal description 4. Minimum Bid Price The property value has been estimated at $5,780.00. All offers will be considered. The bid best serving the public interest -as determined by the City Commission -will be selected. Bid price will be a factor in bid award -but not the sole factor. All bids submitted shall be cash only. Additional financing terms are not available. 5. Bid Security Offer to Purchase form must be accompanied by bid security in the amount of 5% of the bid amount made payable to "City of Salina" in the form of a cashier's check or money order only. No personal checks or wire transfers allowed. 2 1 P a g e 6. Selection Bids that include representation by a Kansas licensed broker will not be disadvantaged by the 1.5% cost of the broker's commission described in Section 14 below. The City will evaluate any additional closing contingencies proposed by the bidder on a case by case basis. All bidders are required to have no outstanding tax liens against them. This includes any tax liens at the local, state or federal level. Additionally, bidders shall not have any outstanding debt to the City of Salina that is more than 30 days past due or current outstanding city code violations. The City reserves the right to reject any and all proposals. 7. Submission Instructions Written sealed bids will be accepted at the offices of City Clerk, 300 West Ash, Suite 201, Salina, Kansas, 67401. All written sealed bids must be received by and will be opened at 10:00 a.m. on Monday, September 12th, 2022. Proposals received after that time and date shall be rejected and not considered by the City of Salina Submissions must be made in a sealed package with the statement "409 West Euclid" and the bidder's name, address and phone number clearly indicated on the package. 8. Contact City of Salina Attn: Shawn Henessee Telephone Number (785) 833-8043 Email: shawn.henessee@salina.org 9. City Rights Reserved Notwithstanding any other provision of the Request for Proposals, the City reserves the right to: - Waive any immaterial defect or informality; - Reject any or all submissions, or portions thereof; - Reissue a new or revised Request for Proposals; and - Request one or more bidders to submit a more detailed submission- This RFP does not commit the City of Salina to enter into a contract or development agreement, to pay any cost incurred in the preparation of a submission in response to this request or in subsequent exclusive negotiations. Further, this RFP does not convey to any bidder any contractual or property rights. 10. Property Rights/Disclosure of Information All materials submitted in response to this RFP and submissions subsequent thereto, shall become the property of the City of Salina upon delivery. Any bidder tendering a submission in response to this RFP further acknowledges and understands that the City of Salina is a public entity required to abide by public records laws and shall not be liable for disclosures required by law. 11. Submission Rejection/Right to Disqualify Submission of terms, conditions and/or agreements may result in rejection if such terms, 31 Page conditions or agreements are deemed unacceptable by the City in its sole discretion. The City of Salina reserves the right to disqualify any bidder who fails to provide information or data specifically requested herein, who has outstanding tax liens against them, current city code violations or who provides materially inaccurate or misleading information or data. The City of Salina reserves the right to disqualify any bidder on the basis of any real or apparent conflict of interest. This disqualification is at the sole discretion of the City of Salina. 12. Special Terms and Conditions A. Reservation of Rights by City of Salina The issuance of this RFP and the acceptance of submissions do not constitute an agreement by the City of Salina that any contract will actually be entered into by the City of Salina. B. Form and Terms of Purchase Agreement By submitting a submission in response to this RFP, each bidder agrees that the Offer to Purchase agreement and any other contract resulting from this RFP may be drafted under the supervision of the Salina City Attorney. Bidders may not insist on the use of standard contract agreements, documents or forms, and waive any demand for the use of standard agreement forms. Selection of a bidder does not obligate the City of Salina to accept all of the terms of the successful bidder's submission. C. Applicable Law Any and all disputes arising under this RFP and any contract negotiated as a result of this RFP shall be governed by the laws of the State of Kansas. The venue for any action brought to enforce provisions of the contract shall be in Saline County, Kansas. D. No Partnership/Business Organization Nothing in this RFP or in any subsequent development agreement, lease, or any other contract entered into as a result of this RFP shall constitute, create, give rise to or otherwise be recognized as a partnership or formal business organization of any kind between or among the City of Salina or the bidder. E. Employment Restrictions and Indemnity No person who is an officer, employee, contractor or consultant of a bidder shall be an officer or employee of the City of Salina. The successful bidder shall have the sole responsibility for all salaries, wages, bonuses, retirement, withholdings, worker's compensation and occupational disease compensation, insurance, unemployment compensation, other benefits and taxes and premiums appurtenant thereto concerning its officers, employees, contractors, and consultants. Bidder shall save and hold the City of Salina harmless with respect to any and all claims for payment, compensation, salary, wages, bonuses, retirement, withholdings, worker's compensation and occupational disease compensation, insurance, unemployment compensation, other benefits and taxes and premiums in any way related to bidder's officers, employees, contractors and consultants. 41 Page F. Immigration and Naturalization All bidders shall be required to be in compliance with the Naturalization Reform Act of 1986 and all rules and regulations promulgated thereunder. G. Non -Discrimination Requirements In its employment policies and practices, public accommodations and provision of services, bidder shall comply with all relevant and applicable federal, state, and local laws, regulations and standards relating to discrimination, bias, and/or limitations, such as, but not limited to, Titles VI and VII of the Civil Rights Act of 1964, the Age Discrimination in Employment Act of 1967, the Americans with Disabilities Act of 1990, the Human Relations provisions of the Salina Municipal Code, and the Mayor and Commission policy adopted on February 2, 1992 and amended on September 15, 2012, prohibiting the direct or indirect grant of discretionary City of Salina funds to organizations that have a policy of discrimination on the basis of race, color, religion, ancestry, sex, age, disability, national origin, sexual orientation, gender identity, familial status or marital status. 13. Conflicts of Interest This RFP and any award, purchase agreement, lease, or other relationship resulting from this RFP are subject to the Kansas conflict of interest laws. 14. Brokerage Fee The City of Salina will pay a commission of 1.5% to qualified Kansas licensed brokers, should the terms and conditions of the Offer to Purchase be met and the property successfully closes escrow. 15. BIDDING PROCEDURES 1. All Bidders are required to present their bid on the City's Offer to Purchase Real Estate Form, a copy of which is enclosed in the bid package. 2. Offer to Purchase Real Estate form must be accompanied by appropriate bid security. 3. The Offer to Purchase Real Estate Form must be signed by the principal or authorized corporate officer. Any offer not properly signed may be rejected. 4. Sign the receipt form provided that you have received and reviewed all pages of this package (Bid Package Acknowledgement & Receipt). 5. If you are using a broker/agent to help you purchase the property, your broker/agent must sign the Broker Acknowledgement. If you are not using a broker, do not sign the "Brokers Acknowledgement" portion. 6. Submit the completed Offer to Purchase form and deposit in a sealed envelope with the statement "409 West Euclid" and the bidder's name, address and phone number clearly indicated on the package. Envelopes not properly marked which are inadvertently opened prior to bid opening date may be disqualified. 7. Attach bid Security Deposit to the Purchase Agreement. The deposit should be in the form of a cashier's check made payable to "Mid Kansas Title Company" and the amount should be 5% of the amount of the bid. If your bid is not the successful bid, you 51 Page will be notified and your cashier's check will be returned to you with reasonable promptness. 8. Sealed Bids must be received by and will be publicly opened and read aloud on Monday, September 12th, 2022 at 10:00 AM, Central Standard Time. Bid opening will occur in the 206 conference room of the Office of City Clerk, 300 West Ash, Suite 206, Salina, Kansas 67402. 9. All proposals will be evaluated based on the amount of the bid offer and the best interests to the City as determined by the City Commission. 10. Bids that include representation by a Kansas licensed broker will not be disadvantaged by the cost of the broker commission described in Section 14 of this RFP. 11. The City will evaluate any additional closing contingencies proposed by the bidder on a case by case basis. 12. A determination will be made by the City as to which proposal, if any, will be forwarded to the City Manager and then on to Mayor and Commission for consideration. 13. Mayor and Commission consideration will occur no later than 60 days from the date of the bid opening. 14. If two proposals are deemed to be equal according to bid evaluation criteria, the bidders will be invited to submit a best and final offer. 15. Unsuccessful bid deposits will be returned via certified mail within five (5) business days following rejection. 16. In the event the highest bidder fails to close escrow, then the deposit will be forfeited to the City of Salina. At its own discretion, the City may offer the property to the succeeding best bidders for the amount of their bids, subject to the terms herein. 17. Acceptance of the bid best serving the public interest will be subject to City Commission approval. The City reserves the right to reject any and all bids. 18. The City of Salina will pay a commission fee of 1.5% to qualified Kansas licensed brokers, should the terms and conditions of the Offer to Purchase be met. For further information, please contact Shawn Henessee at the City of Salina Government Offices at (785) 833-8043. 16. BID PACKAGE ACNOWLEDGEMENT & RECEIPT The bidder(s) in this Request for Proposal (RFP) submittal acknowledges the receipt of a complete bid package including all documents listed on the Table of Contents and any subsequent supplements provided through the bid submission date. Bidder further acknowledges that they have reviewed the contents of the bid package as listed on the Bid Package Checklist. Bidder Bidder 61 Page Date Date 17. BROKERS ACKNOWLEDGEMENT I, (insert name), am a licensed real estate broker/agent in the State of Kansas. I represent the buyer(s) in this transaction. I have reviewed the contents of the Bid Package for this property and acknowledge that if my client(s) is/are the successful bidder in the purchase of this property, which upon successful close of escrow to this transaction, I or my broker, will be paid a commission equal to 1.5% of the gross sales price. Broker/Agent Signature Date Name of Brokerage Company Address of Brokerage Company MLS Agent # MLS Office # Office Phone Mobile Phone Email Address 7 1 P a g e 18. EXHIBITS A. Legal Description B. Location Map C. Aerial Map D. Present Day Vacant Lot E. Bid Documents Exhibit "A" Legal Description The East Seventy feet (70') of the West One Hundred Forty feet (140') of lots Four (4) and Five (5), Block One (1), Tucker Park Addition to the City of Salina, Saline County, Kansas (more commonly referred to as 409 W. Euclid Salina, Kansas) 81 Page Exhibit "B" Location Map Parcel Outline in Red 91 Page Exhibit "C" Aerial Map 101Page 111 Page Exhibit "E" Bid Documents TO THE BOARD OF COMM CITY OF SALINA, KANSAS Offer to Purchase Real Estate Form (409 West Euclid) The East Seventy feet (70') of the West One Hundred Forty feet (140') of lots Four (4) and Five (5), Block One (1), Tucker Park Addition to the City of Salina, Saline County, Kansas (more commonly referred to as Salina 409 W. Euclid, Kansas) 1. Proposal to Enter into Contract. The undersigned Bidder hereby submits the following Bid for the real estate indicated above, in accordance with the terms and Specifications of the Request for Bids and related Bid Documents. Bidder proposes and agrees, if this Bid is accepted, to furnish all Deliverables for which a Contract is awarded, within the date(s) specified, in the manner and at the prices herein stated, and in accordance with the terms and conditions of the Bid Documents. 2. Bidder's Acknowledgments. Bidder accepts all of the terms and conditions of the Bid Documents, including but not limited to the City's Standard Purchase Terms and Conditions (as applicable). This Bid will remain subject to acceptance for sixty (60) days after the Bid opening, or for such longer period of time that Bidder may agree to in writing upon request by the City. 3. Bidder's Representations. In submitting this Bid, Bidder represents that: a. Bidder has carefully reviewed the Bid Documents, and the following addenda, receipt of which is hereby acknowledged: 2. b. Bidder understands and agrees that in signing this Bid, Bidder waives all rights to plead any misunderstanding regarding the Bid Documents or the above -referenced addenda. c. Bidder has given the written notice of all conflicts, errors, ambiguities, or discrepancies that Bidder has discovered in the RFP. d. Documents are acceptable to Bidder. 4. Bid Price. Owner will sell and Bidder will provide the specified Deliverables in accordance with the Bid Documents, for the following prices: 121 Page 409 The East Seventy feet (70') of 1 Real Estate W. Euclid the West One Hundred Forty Lot feet (140') of lots Four (4) and Five (5), Block One (1), Tucker Park Addition to the City of Salina, Saline County, Kansas (more commonly referred to as 409 W. Euclid, TOTAL 5. Delivery Date: Delivery Charges. Bidder represents and warrants that, if this Bid is accepted, Bidder will deliver cash in hand and provide all related documents at time of closing as performed by Mid Kansas Title Company within 60 days after receipt of a notice of award. 6. Definitions. Terms used in this Bid shall have the meanings assigned to them in the Bid Documents. 7. Bid Enclosures. NAME OF BIDDER ADDRESS: E-MAIL ADDRESS: BY: TITLE: DATE SUBMITTED: 131 Page REQUEST FOR BIDS SALE OF REAL PROPERTY The City of Salina offers for sale the parcel of real property described below, and more commonly known 409 West Euclid. Written sealed bids will be accepted at the City Clerk offices 300 West Ash, Salina, Kansas. All written sealed bids must be received by and will be opened at 10:00 A.M. on Monday, September 12th, 2022. Sale is subject to the approval of the Mayor and City Commission, and the City reserves the right to reject any and all offers. Legal Description: The East Seventy feet (70') of the West One Hundred Forty feet (140') of lots Four (4) and Five (5), Block One (1), Tucker Park Addition to the City of Salina, Saline County, Kansas (more commonly referred to as 409 W. Euclid Salina, Kansas) The City of Salina, Kansas, reserves the right to reject any or all proposals and to waive any irregularities therein. THE CITY OF SALINA, KANSAS /s/ JoVonna Rutherford CITY CLERK 141 Page