Minutes 09/13/2011 - Laserfiche WebLink

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September 13. 2011 1 . That it hereby authorizes the City Manager to execute on behalf of the City an Enterprise Zone Local Incentives Grants Funding Agreement by and between the City of Portsmouth, Virginia and the Economic Development Authority of the City of Portsmouth, Virginia in a form substantially similar to the draft Funding Agreement attached hereto and made a part hereof. 2. That this resolution shall take effect on the date of its adoption." Ayes: Cherry, Edmonds, Heretick, Moody, Randall, Whitehurst, Wright Nays: None 11 - 381 - Adoption of a resolution approving a Cooperation Agreement with the Economic Development Authority for the disposition of the old Churchland Branch Library property at 3215 Academy Avenue. Vision Principles: A Robust and Prospering Economy and Thriving Neighborhoods and a Sense of Community. Background: . The City of Portsmouth owns a 5,873 square foot building at 3215 Academy Avenue situated on .535 acres and commonly referred to as the Old Churchland Library. . The property is zoned for General Mixed Use (GMU) which allows for office and retail uses. . City Staff has evaluated the property for potential public reuse and has determined it to be no longer needed for City operations. Numerous prospective users have inquired about the availability of the building for purchase or lease. . The City itself can not directly sell the property to one of these users and the Economic Development Authority (EDA) exists, in part, to conduct such transactions. . The City and EDA use Cooperation Agreements to state the terms of these transactions. Discussion: . It is proposed that the property be transferred to the EDA for sale to a qualified user. Because there has been interest from multiple parties, the EDA will issue a brief RFP with specific criteria for evaluating proposals based on price, type of use, and taxable value. A sale will allow the vacant property to be reused and increase revenues for the City. Financial impact: . The building was appraised in January, 2009 for $540,000 and affirmed in November, 2009. A sale will result in a one-time accrual from the proceeds of the transaction. . The building and real estate are currently not taxed. New revenues will be generated according to the assessed value. The property is maintained by the City. These expenses in the City's operating budget will be eliminated. Recommended Action: . Authorize the execution of the Cooperation Agreement. Vision Principles: A Robust and Prospering Economy and Thriving Neighborhoods and a Sense of Community. Next Steps Following Council Action: . The EDA will issue an RFP listing the property for sale. Motion by Mr. Moody, and seconded by Mr. Whitehurst, to adopt the following resolution, and was adopted by the following vote: "RESOLUTION AUTHORIZING THE TRANSFER OF THE FORMER CHURCHLAND BRANCH LIBRARY PROPERTY TO THE ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF PORTSMOUTH.