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Discussion and action on acquisition services for Northwest Connector Sections II and III
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SUMMARY:
Request for Proposals were issued for acquisition services for Section II and III of the Northwest Connector. The intent is to use the same firm for both Sections since there are a few parcels that are in both sections; however, the time frame for Section II is unknown since the design is not completed and the City has not been released for acquisition. Responses were received from Acquisition Services, PLLC from Athens, W. D. Schock Company, Inc. from Nashville, and Vaughn & Melton from Knoxville. All firms are on the TDOT pre-qualified list. The best proposal is from Acquisition Services for $2,000 per tract. This fee includes the cost of expenses and travel, title search, negotiations, deed preparation, and final closing (unless the tract is turned in for condemnation proceedings). In the process of working with some of the corporate properties or multiple property owners, they may encounter difficulties in working through the corporate chain to get to the correct contacts for approvals and signature or multiple owners or heirs. If that becomes an issue, it would be requested that the City Manager have authority to approve additional funds, up to $5,000 maximum for Section III. The City Clerk has discussed the firm with TDOT-Right of Way, City of Athens, and Cleveland Utilities for their experiences in working with them and recommends that they be approved to proceed with acquisition of Section III. Approval of the firm to proceed with Section II will be brought back to the City Council at a later time.
Estimate of costs to acquire 30 parcels in Section III:
Acquisition services $ 75,000
Acquisition of R-O-W 585,000 (21 of 30 parcels)
Civic Engineering (legal descriptions) 32,790
Appraisals/review appraisals 93,440
$786,230
In addition to this estimate, there will be costs for the acquisition of the utility easements, recording fees, legal work, and any condemnations. As more of the costs become known, the Council will be provided with an updated budget.
BUDGET ACCOUNT: 311-43100-931-011* $1,457,500
*Surface Transportation Funds of $715,799 (local match $143,159.80) has been reserved by TDOT to cover and reimburse for these costs.
Recommended Action
NECESSARY COUNCIL ACTION:
Approve a contract with Acquisition Services, PLLC for acquisition services for Northwest Connector, Sections II and III (including utilities) and approve proceeding with acquisition for Section III.
Approve additional $5,000 in acquisition services on Section III costs at the discretion of the City Manager.
If negotiations fail on any parcels that cannot be closed following federal and state guidelines for offers based on appraisals, authorize the City Manager to give notice to the City Attorney to proceed with condemnation.