SUBJECT/RECOMMENDATION:
Title
Declare surplus for the purpose of sale, through Invitation to Bid 09-18, real property located in Hillsborough County formerly used by the City of Clearwater for dumping treated sludge and dredged materials whereby the successful bid meets the terms set by Council.
Body
SUMMARY:
This property is roughly 425 acres and is located in Keystone, Florida, which is an unincorporated area of Hillsborough County. It is comprised of three abutting parcels whose Hillsborough County folio numbers are 001688-0000, 001689-0000, and 001697-0000.
This land was acquired by the City of Clearwater in 1982 for the purpose of disposing treated sludge from the City’s wastewater treatment plant. This site was used again from 2009 to 2014 for discarding dredged materials as a part of Stevenson Creek Restoration Project. The property is no longer needed for City operations.
The property has been managed by Robert and Patricia Smith since the property was acquired in 1982 under a series of management agreements with the City. The current management agreement between the City and Mr. & Mrs. Smith was entered into on March 23, 2016 and is set to expire on March 28, 2021. No money is exchanged in this agreement; Mr. and Mrs. Smith manage the property in exchange for being allowed to raise cattle on the property. Either party has the right to terminate this agreement, at anytime, upon providing ninety days notice.
Two independent appraisals were performed on the property on August 18, 2017 by Trigg, Catlett & Associates and on September 19, 2017 by Urban Economics, Inc. The appraised values were $6,450,000 and $2,727,400 respectively. The discrepancy in values is the result of the two appraisers using different potential layouts for the site and sales comparisons during their valuation.
Per City Charter 2.01, real property declared surplus shall be sold to the party submitting the highest competitive bid above the appraised value whose bid meets the terms set by the Council and whose proposed use of the property is in accordance with the Council’s stated purpose for declaring the property surplus. Accordingly, all qualifying bids must meet the following terms:
• The bid price shall exceed $6,450,000.
• The successful bidder will hold harmless, release and indemnify the City for any existing environmental conditions.
No representation in made as to environmental problems on the property although historic uses of the property and surrounding lands may compel a buyer to conduct an environmental site assessment.