The Special City Meeting on July 14th at 6:00 PM, announced with one day notice, was called to extend the time frame to close on the contract to purchase the Cardinal Hill property on which the Cardinal Hill Temporary Waste Water Treatment Facility is located. Council members Nancy Adorno and Don Kimsey did not attend the meeting.
Due to the additional time it has taken to rate the now $10,000,000 bond, the bond has not been finalized yet. Without the money from the bond, the city doesn't have the money to close on the purchase of the Cardinal Hill property yet. Originally, the property lease required a dormancy period for the plant due to begin no later than August 1st, 2011. This will be the 3rd extension of the dormancy period. This extension requires the city to pay a $25,000 deposit. The 2nd extension of the dormancy period was approved by city council at the February 14th, 2011, city meeting. A monthly rent of $5,000 per month has been being paid to the property owner, and will continue to be paid until the property is purchased or a new agreement is reached. The impact fee credits originally worked into the original lease as payment will be satisfied by calculating a cash value equivalency, roughly $300,000 total, which has been worked into the purchase price. This credit equivalency is at least part of the reason why the proposed purchase price of $825,000 for the 39 acre parcel of property seems so extremely inflated over the Polk County Property Appraiser's current valuation of roughly $70,000. Here is a link to this parcel on the Property Appraiser's web site: Cardinal Hill Property - Parcel ID 252630000000021030 This new extension will move the closing date on the property to no later than November 1st, 2011. Mr. Cloud stated that he expected the bond to close sometime in August, so the November extension should be plenty of time to close the property deal after the bond closes. The vote to approve the extension was passed with a 3-0 vote.
Here is the Ledger article about last night's meeting: Council Approves Land Deal Extension For Polk City
I am really getting confused. The majority of the City management team and their attorney think it's a good idea to borrow ten million dollars without knowing the what interest will be charged. This is the same group that is going to pay $875,000 for land evaluated at $70,000. These folk will be all gone in a couple of years and the entire debt will be left for the residents of the city to pay. Seems we have found a new home for Alice.
ReplyDeleteSo I guess they have won. What is going to happen to us.
ReplyDeleteIt should be clear to all by now that the council is being led down the garden path by the attorney and consultants who will be the only ones to benefit from the bond effort.
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