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HomeMy WebLinkAboutDocuments form Eric City of Oak Park Heights 14168 Oak Park Blvd. N•Box 2007•Oak Park Heights,MN 55082•Phone(651)439-4439•Fax(651)439-0574 9-24-09 MEMO TO: City Council Members FROM: Eric Johnson, City A.m i to RE: Purchase of Property well • tow- Attached you will find the enclosed items: 1. A spreadsheet that estimates cost of the properties to be purchased. I have broken it down into three parcels (1,2, 3). In total these costs would be approximately$888,000 if all three were purchased. It is likely however that the City would not need Area#3, dropping the price to$803,000.(see the map on page 3 of this packet) Also noted are possible funding sources*, again being: • $707,971.63 is available in the Water Connection Charge Fund . • $397,000.00 is available by reallocating transfers out from general fund to the Street/storm sewer to this purchase • $60,694.1 1 is available in the City's EDA fund. • Utility revenue Bond. *Source:J. Hoist memo dated 7/7/09 Also noted are the estimated soft acquisition costs, being$23,764.00 just define and acquire the property.These are of course estimates at this time. 2. Map depicting the areas considered for purchase and known land uses.This map is based on the actual updated aerial photo (2008) and better represents lands for purchase.The area in RED is the largest parcel-being 2.04 acres;the area in YELLOW was what was indicated as the minimum area needed for a well and tower-1.24 acres and lies fully within the 2.04 acre parcel. 3. Updated aerial photo from 2008-post expansion.This map was utilized to estimate sizes of possible land divisions. 1 of 4 C No c 3 • � N w o• m E ao N - p ut m a, • c� Z' o w � w u N a w n N 5 C .0 W w .w at N C N w o m N 0 2 V O w W W V 0 c as u W 10 2 m w E N 7 `o m . A c m LL n LL n E 2 = u , •• nis � �. 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The City Council reconvened the September 22nd, 2009 City Council Meeting at 5 p.m. Present: All City Council members were in attendance, City Attorney Mark Vierling, City Administrator Eric Johnson, Finance Director Judy Hoist. 2. Pursuant to MN Stat. 13 D, The City Council adjourned to Closed Work Session at 5:05 pm for the purposes of discussing possible land acquisition. City Attorney Mark Vierling provided a statement regarding the general purpose of the Closed Session and cited such statute. 3. The City Council reconvened the meeting at 5:45pm where the City Attorney made a clarifying statement again referencing the statutory requirements of a closed session, indicated who attended the Closed Session, (all Council members, City Attorney, City Administrator and Judy Hoist- Finance Director) and verified that no specific motions or actions were taken in the closed session. 4. Motion by Mayor Beaudet that the City secure an updated appraisal for Area #1 and #2, and that the City solicit an offer from Stillwater Motors for such lands at price not to exceed the updated appraised value.Seconded by Councilmember Swenson.The lands to be purchased would be for the purposes of locating a well and water-tower. (Areas 1 &2- being lands owned by Stillwater Motors, generally lying north of a midway point under the Xcel Energy Transmission Line Easements,south of STH 36 and west of currently paved areas/storage ponds.) Councilmember Runk sought clarification from the City Attorney as to the requirement for the Planning Commission to review that the possible purchase of the property is in fact consistent with the City's Comprehensive Plan.The City Attorney did refer to the City Administrator's comment that the Planning Commission did review this matter (September 2009) and found the possible purchase of the property to be consistent with such plan. Motion Passed 3-2. 5. Councilmember Swenson made a motion to adjourn the meeting,Seconded by Councilmember Abrahamson,Motion Passed 5-0. 1 Technical Memorandum 4 Bonestroo 2335 Highway 36 W To: City Staff Project: Well&Tower 3 Date: June 15, 2009 St.Paul,MN 55113 Tel 651-636-4600 From: Mark Wallis,Dick Foster, Client: Oak Park Heights Fax 651-636-1311 Mark Janovec www.bonestroo.com Re: Preliminary Site Analysis File No: 55-09158-0 As requested, we have performed a preliminary site investigation for Well 3 and Water Tower 3. The purpose of this analysis is to review factors that may affect the well and water tower siting and to provide updated cost estimates for these projects. The following analysis was performed by reviewing available data regarding local geology, well databases, aquifer data, and contamination information. This analysis is not designed to be all-inclusive and may not consider data regarding aquifer parameters or local contamination information that is not published or readily available. This analysis assumes that Well No. 3 and Water Tower 3 are to be located on the parcel to the northeast of the cul de sac on Memorial Avenue North, just south of Highway 36. Figures 1 and 2 show the proposed locations. Design Capacity Minimum design capacities are guided by the City Comprehensive Water Supply & Distribution Plan (WSDP) and 2030 Comprehensive Plan. According to the WSDP, the City needs a back-up well with a capacity of 400 to 500 gpm to meet current needs. A 1000 gpm well is required to meet the needs of the 2030 design population.Therefore for the purposes of this memo, design capacities of 400 to 1000 gpm are discussed. The City's existing water storage facilities are adequate for both the existing and 2030 design. However, staff requested an idea of how much land would be required for a tank, and planning level cost estimates for a future 500,000 gallon tank — if it were ever required. Minimum Site Size Requirements The City must own or control at least 50 feet from the outside of the well casing. Typically, this results in a minimum well site of 105' by 105'. Temporary construction easements are typically not required — however it is becoming more difficult to dispose of the well development water Water tower sites should be a minimum of 200' by 200'to provide adequate working space for future repainting. A temporary construction site of 400' by 400' is recommended. Figures 1 and 2 show preliminary site layouts. K:\55\55091580\Reports\TechMemowndum.doc Cost Estimates Detailed cost estimates are beyond the scope of this preliminary site analysis; however the following estimates can be used for planning. The costs shown in the table below are project costs (including 35% for contingencies, legal, administrative, and engineering). A break-down of the well estimate is found at the end of this memo. Item Project Cost 400 gpm Well 1,000 gpm Well Well 3 $700,000 $800,000 500,000 Gallon Water Tower $2,000,000 Geology of Well Site The surface elevation of the well site lies between 940-950 feet above mean sea level. Depth to bedrock at the site is expected to be approximately 100-120 feet. The uppermost bedrock at the site is the Prairie du Chien formation, a dolomitic limestone that overlies the Jordan sandstone formation. In the Twin Cities area, the Prairie du Chien formation is an aquifer that helps transmit water to the underlying Jordan aquifer. The Prairie du Chien formation contains a number of secondary porosity features, such as fractures and solution cavities, that allow for the rapid transmittal of water over a relatively short time span. The elevation of the top of the Jordan sandstone aquifer is expected to be approximately 740-760 feet, or approximately 180-200 feet below the land surface. Thickness of the Jordan aquifer at the well site is expected to be approximately 75- 100 feet. The Jordan aquifer is considered to be confined at the proposed well site, with depth to water in the Jordan aquifer well expected to be approximately 50-75 feet below ground surface. Predicted Aquifer Yield The Jordan aquifer is one of the most highly productive bedrock aquifers within the Twin Cities area. Well yields in this aquifer typically range from 500-2000gpm, with capacities in excess of 3000gpm reported in some locations. Well yields in Washington County often range from 1000-2000gpm for large diameter wells that are well- developed. The closest municipal well to the proposed well site, Lake Elmo Well No. 2, is an 18-inch well that was test pumped at 1000gpm in 2001. The well experienced 28 feet of drawdown during the pumping test, indicating that actual capacity of the well could be much greater, and would likely exceed 1500gpm if a larger pump were used. It is expected that the proposed well site will have no difficulty in providing a well with a capacity of 400-1000gpm. Aquifer performance is expected to be comparable with Lake Elmo Well No. 2, assuming all other factors (well construction, development, etc.) are equal. Since future well sites are limited within Oak Park Heights, the City may wish to consider drilling a well capable of at least 1000gpm, even if only 400gpm is needed at the moment. Increased water demands or contamination at one of the other existing City wells may eventually result in the need for a fourth well, if Well No. 3 is not sized to pump more than 400gpm. Page 1 of 6 Well Interference The installation of any new high capacity well requires an analysis of the potential impact the new well will have on any surrounding wells. If the cone of depression caused by the pumping of the large capacity well is great enough, there is a risk that nearby wells will experience a drop in water level that causes the wells to go dry, or have water levels that fall below the current pump setting. Using Lake Elmo Well No. 2 as an indicator of possible well performance, future Oak Park Heights Well No. 3 could be expected to have 30-50 feet of drawdown while pumping 1000gpm. Drawdown is expected to decrease the greater the distance from the pumping well, with drawdown approximately less than 10 feet expected beyond 1/4 mile of the pumping well. Less than 5 feet of drawdown would normally be expected greater than 1/2 mile from the pumping well. The following table shows wells identified within County Well Index that appear to be located within 1/2 mile of the proposed Oak Park Heights Well Site. Figure 3 shows the location of private wells in this area. Unique Owner and Address Well Type Depth Aquifer Number (feet) 251284 Cty Road 5 Irrigation,County Road 5 Irrigation 157 Drift 415658 Carol Palmquist, 12202 55th Street N Domestic 118 Prairie du Chien 415914 Bernie Nass,5651 Manning Ave N Domestic 138 Prairie du Chien 427862 Stillwater Ford, 12969 60th Street N Domestic 141 Prairie du Chien 493229 Century Power Equip, 5920 Memorial Ave Domestic 115 Prairie du Chien 493245 Stillwater Motors,5900 Stillwater Blvd Domestic 147 Drift 517024 Buberl,5750 Memorial Ave Domestic 121 Prairie du Chien 561770 William Zintl,5620 Memorial Ave Industrial 285 Jordan 571531 Stillwater West LLC,5635 Memorial Ave Public Supply 230 Jordan 594338 Secure Mini Storage,5710 Memorial Ave Domestic 215 Jordan 604251 John Kern,5469 Stillwater Blvd Domestic 138 Drift 112601 Thomas Hollihan, 1401 Nightingale Ave Domestic 140 Prairie du Chien 130837 Tim Brown,1180 Nightingale Ave Domestic 82 Prairie du Chien 261994 US Bank 1 Public Supply NA NA 437347 Robert Golish,12563 62nd Street N Domestic 98 Prairie du Chien 493198 Dan Berner,12680 62nd Street N Domestic 94 Drift 505376 Kevin Shoberg, 12730 62nd Street N Domestic 90 Drift 514375 Richard Huelsman,12610 62"d Street N Domestic 85 Prairie du Chien 634276 Paul Bergmann,12239 62nd Street N Irrigation 280 Jordan Since the County Well Index usually does not contain a full record of all wells in a given location, it is likely that more wells exist within the search area than were identified in the above table. While only 4 wells in the above table were identified as being in the same aquifer (Jordan) than the proposed City well will be drilled in, any well drilled in the Prairie du Chien formation may also experience well interference effects due to the hydraulic connection between the two aquifer units. Additionally, if the drift aquifer wells are in hydraulic connection with the Prairie du Chien aquifer, it is possible that pumping from the Jordan aquifer may also impact drift aquifer wells. While it is possible that the proposed well and Lake Elmo Well No. 2 may not dry out certain domestic wells while they run by themselves, there is a possibility that wells may be negatively impacted during periods when both municipal wells are running simultaneously. The collection of well interference data during a pumping test at the proposed well will help to predict if this will be an issue. Page 3of6 When reviewing the probability of well interference, the wells closest to the proposed well site should be examined more closely, including the wells at Stillwater Motors, Buberl, and Century Power Equipment The City should consider monitoring these wells during the pump testing of Well No. 3, following development. Also, the nearest Jordan aquifer well (Stillwater West LLC) should also be considered for monitoring, as it is completed within the same aquifer as the proposed well. It is also possible the DNR will require these wells to be monitored during a pumping test in order to demonstrate that the new City well will not negatively impact local private wells. Finally, the distance between the Lake Elmo well and the proposed Oak Park Heights well is approximately 3800 feet. While it is possible these two wells may cause minor well interference impacts on each other, those impacts are likely to be on the order of 1-2 feet of additional drawdown in each well. This drawdown is not expected to be enough to significantly impact the performance of either well. If Oak Park Heights builds a well that is capable of pumping 1000gpm, but only pumps 400gpm in the near future, there is also time to better study the impacts of well interference before the pumping rate needs to be increased. In the meantime, some of the nearby domestic wells may be abandoned as homes and businesses connect to the municipal water supply system. Aquifer Vulnerability The vulnerability ranking of the Jordan aquifer in the vicinity of the well is an estimate of the likelihood of contamination spilled at the surface reaching the aquifer. Vulnerability is tied in with estimated time frames in which it would take for contaminants to migrate to the aquifer. Vulnerability is assessed by analyzing the amount and thickness of low permeability units (such as clay) that lie between the land surface and the aquifer. If sediments are clay rich, the vulnerability is considered to be low. If sediments are mostly sand and gravel, then vulnerability is considered to be high. Moderate vulnerability is assigned to areas where some clay is present, but not at a thickness to offer full protection to the aquifer. The Washington County Geologic Atlas contains a plate which characterizes the vulnerability of the Prairie du Chien and Jordan bedrock aquifer. In the area immediately around the proposed well site, aquifer vulnerability is considered to be "high," meaning that contamination spilled at the surface could potentially migrate to the aquifer in a time span ranging from weeks to years. The high vulnerability area stretches to the east and south of the well site. Surrounding areas to the north and west show vulnerability ranging from moderate to high-moderate, where contamination could take from years to a decade(or longer)to migrate to the aquifer. While siting a well in a highly vulnerable area does result in a higher risk for contamination, efforts can be undertaken to reduce the risk of the well being contaminated. Currently, the City of Oak Park Heights has a Wellhead Protection Plan in place for Wells 1 and 2. This plan has developed a number of implementation steps to minimize the risk of contamination, including increased public education and identification of potential contamination sources within the capture zones of the wells. The area of the proposed Well 3 is currently within the 10-year capture zone of Wells 1 and 2, meaning this area is already part of the existing Wellhead Protection Plan, as shown in Figure 3. The greatest threats to the aquifer at the proposed well site are the industrial and commercial sites located nearby along Memorial Avenue and Stillwater Boulevard. A Page 4 of 6 spill at one of these sites, or improper disposal of chemicals and wastes, could negatively impact groundwater quality in the area. Also, the close proximity of Highway 36 and County Road 5 leads to the possibility that a spill along the highway could contaminate the groundwater in this area, if the spill is allowed time to infiltrate into the local soils and isn't properly treated in time. The City of Oak Park Heights will be required by the Minnesota Department of Health to update their Wellhead Protection Plan after Well No. 3 goes online. At that time, a more complete analysis of aquifer vulnerability will need to be conducted, along with developing a management plan to minimize contamination that may impact Well 3. Groundwater Contamination This general portion of Washington County has already been impacted, to a degree, by a groundwater contamination plume that originates near downtown Lake Elmo. The contamination in this plume is trichloroethylene (TCE) thought to originate from a former metal working facility in Lake Elmo. The TCE contamination has impacted drift aquifer, the Prairie du Chien aquifer, and the Jordan aquifer in a wide stretch of land from Lake Elmo to Baytown Township all the way east to the St. Croix River. To a degree, the contamination has apparently even impacted the underlying Franconia- Ironton-Galesville aquifer. To address this contamination, the Minnesota Department of Health has restricted well drilling for certain types of well uses in areas where contamination exceeds health risk limits, including municipal well uses. At present, the location of the proposed well site for Oak Park Heights appears to be far enough outside of the well advisory area to not fall under the restrictions caused by this contamination plume. The proposed well site is approximately 1.5 miles due north of the current edge of the well advisory area. It is likely the pumping from this well will not draw in any contamination from the plume, as the general groundwater flow direction is from west-to-east at the proposed well site, not south-to-north. Contaminants from the plume are generally moving eastward from downtown Lake Elmo towards Bayport, though the plume widens the further east it extends as contaminants diffuse and travel along secondary porosity features (such as fractures and solution cavities) within the Prairie du Chien aquifer. The placement of Lake Elmo Well No. 2 was due, in part,to the location of the current extents of the TCE plume. The location of this well was thought to afford it protection from the plume, as it is unlikely that contaminants from the plume will migrate this far north. The proposed Oak Park Heights well, being located even farther north, should have even less likelihood of becoming contaminated by the TCE contamination from the Baytown plume. Page 5of6 Conclusions 1. The Jordan aquifer is expected to be capable of supplying the proposed well with a capacity of at least 400-1000gpm. 2. A number of private domestic wells are located within 1/2 mile of the proposed well site. There is a possibility of well interference with some of these wells, especially wells located at nearby properties. 3. The vulnerability of the aquifer in the vicinity of the proposed well ranges from moderate to high. This higher vulnerability increases the risk of spilled contaminants reaching the aquifer, if left untreated. 4. The proximity and flow direction of the TCE plume in Lake Elmo and Baytown Township appears to be far enough away and flowing in a direction that shouldn't negatively impact groundwater quality at the proposed well site. Recommendations 1. Because of the limited number of potential well sites in Oak Park Heights, the proposed Well No. 3 should take advantage of productive nature of the Jordan aquifer and be sized to pump at least 1000gpm, even if pumping in the near future is only 400gpm. 2. During development pump testing, water level readings should be recorded at nearby private wells in order to measure well interference effects. This data may be requested by the DNR before granting the City an updated water appropriation permit to pump the new well. 3. The Wellhead Protection Plan will need to be updated when Well No. 3 goes online. The plan should address the vulnerability of the aquifer both at the well site and within the 10-year capture zone of the new well. The City will need to develop management strategies for spills at local businesses and along nearby highways. 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Otr00 � K 1{i '7 �}-kR3 65296(, 1 ♦♦ + • 9J0355 t h • �11�+ ` x • Proposed Well No 3 O Private Wells Private Wells and A N CD 1/2 Mile Radius Arountl Proposed Well Welhead P_ _ 1- i Wellhead Protection Area 10-year Travel Time roteetion Area Drinking Water Supply Management Area City of Oak Park Heights /\/Existing Water Pipe Bonestroo Future Water Pipe 600 0 600 Feet °—easement =Parcels Figure 3 June 2009 k:155\5509158\gislprojects1Private Wells.mod City of Oak Park Heights Well No.3 Estimate of Costs 1000 gpm Well June 10,2009 Item Unit Qty Unit Price Amount Well Mobilization LS 1 $20,000 $20,000 Drive 24"Casing LF 120 $180 $21,600 Drill 24"Open Hole LF 90 $130 $11,700 Place181,80"Casing LF 210 $80 $16,800 Drill pen Hole LF 100 $75 $7,500 at Cement Grout CY 12 $400 $4,800 Dynamite Development LB 500 $25 $12,500 F& I Air Development Equipment LS 1 $7,000 $7,000 Air Development HR 60 $275 $16,500 F& I Test Pumping Equipment LS 1 $6,000 $6,000 Test Pumping HR 60 $150 $9,000 Discharge Piping LF 50 $8 $400 Video Inspection and Cleanup _ LS 1 $1,800 $1,800 Silt Fence LF 200 $5 $1,000 Mudbreak TN 40 $40 $1,600 Subtotal $138,200 Pumphouse General Conditions $40,000 Site Work $50,000 Building $100,000 Piping $35,000 Well Pump $40,000 Chemical Equipment $30,000 HVAC $25,000 Electrical $120,000 Subtotal $440,000 Well and Pumphouse Subtotal $578,200 10 % Contingencies $57,820 Subtotal $636,020 25% Project Costs $159,005 Total Estimated Cost $795,025 City of Oak Park Heights Well No.3 Estimate of Costs 400 gpm Well June 10,2009 Item Unit Qty Unit Price Amount Well Mobilization LS 1 $20,000 $20,000 Drive 18"Casing LF 120 $125 $15,000 Drill 18"Open Hole LF 90 $75 $6,750 Place 12"Casing LF 210 $70 $14,700 Drill 12"Open Hole LF 100 $70 $7,000 Neat Cement Grout CY 8 $400 $3,200 Dynamite Development LB 300 $25 $7,500 F& I Air Development Equipment LS 1 $6,500 $6,500 Air Development HR 60 $275 $16,500 F& I Test Pumping Equipment LS 1 $5,500 $5,500 Test Pumping HR 60 $150 $9,000 Discharge Piping LF 50 $8 $400 Video Inspection and Cleanup LS 1 $1,800 $1,800 Silt Fence LF 200 $5 $1,000 Mudbreak TN 40 $40 $1,600 Subtotal $116,450 Pumphouse General Conditions $40,000 Site Work $45,000 Building $100,000 Piping $20,000 Well Pump $25,000 Chemical Equipment $25,000 HVAC Electrical $25,000 $105,000 Subtotal $385,000 Well and Pumphouse Subtotal $501,450 10% Contingencies $50,145 Subtotal $551,595 25% Project Costs $137,899 Total Estimated Cost $689,494 Nc y j 1 i II,�,,-n-2 M o nrx gt-ft a. Phase I ESA User Questionnaire In order to qualify for one of the Landowner Liability Protections(LLPs) offered by the Small Business Liability Relief and Brownfields Revitalization Act of 2001 (the "Brownfields Amendment?), the User must provide the following information (if available) to the environmental professional Failure to provide this information could result in a determination that "all appropriate mquirf is not complete. (I.) Environmental cleanup liens that are filed or recorded against the site (40 CFR 31/25) Are you aware of any environmental deanup liens against the property that are filed or recorded under federal, tribal, state or local law? No. (2.) Activity and land use limitations that are in place on the site or that have been filed or recorded in a registry (40 CFR 312.26) Are you aware of any Activity Use Limitations (AULs), such as engineering controls, land use,restrictions or institutional controls that are in place at the property and/or have been filed or recorded in a registry under federal, tribal, state or local law? Standard Zoning Roles and Restrictions:Limits on Storm water Discharges per Brown's Creek watershed District Ru/es. (3.) Specialized knowledge or experience of the person seeking to qualify for the LIP (40 CFR 31121) As the user of this ESA do you have any specialized knowledge or experience related to the property or nearby properties? For example, are you involved in the same line of business as the current or former occupants of the property or an adjoining property so that you would have specialized knowledge of the chemicals and processes used by this type of business? No. Purchaser is the City. (4.) Relationship of the purchase price to the fair market value of the property if it were not contaminated (40 CFR 312.30) Does the purchase price being paid for this property reasonably reflect the fair market value of the properti?:-:If you condude that there is a difference, have you considered whether the lower price is because contamination is known of believed to be present at the property? 1ec we believe it to be reasonable it not contaminated (5.) Commonly known or reasonably ascertainable information about the property (40 CFR 31230) Are you aware of commonly known or reasonably ascertainable information about the property that would help the environmental professional to identify conditions indicative of releases or threatened releases? For example, as a user, (a.) Do you know the past uses of the property? Vacant- undeveloped (b.) Do you know specific chemicals that are present or once were present at the property? Unknown (c.) Do you know of spills or other chemical releases that have taken place at the property? Unknown (d.) Do you know any environmental deanups that have taken place at the property? Unknown (6.) The degree of obviousness of the presence or likely presence of contamination at the property, and the ability to detect the contamination by appropriate investigation (40 CFR 312. 31) As the user of this ESA, based on your knowledge and experience related to the property are there any obvious indications that point to the presence of contamination at the property? No. The following information is helpful in the completion of the Phase I ESA, but is not necessarily required to qualify for one of the Landowner Liability Protections offered by the Brownhe/dr Amendments (a) Why is the Phase 1 ESA required? To provide a,better understanding of the property to be purchased from a historical use perspective. (b) What is the type of property and type of property transaction? (for example, sale, purchase, exchange, lease, etc.) The property it vacant and it is an outright purchase. (c) What is the complete and correct address for the property? ( a map or other documentation showing property location and boundaries is helpful) Already Provided (d) What is the desired scope of services for the Phase I ESA? (do any parties to the property transaction have a required scope of services induding considerations beyond the requirements of ASTM Practice E 1521?) Typical. (e) Please identify all parties who will rely on the Phase I ESA report. (for example, a lender) City of Oak Park Heights-BUYER (f) Who is the site contact and how can he/she be reached? A/rrady Provided (g) Are there any special terms or conditions that we must agree to? None to City's knowledge. (h) Do you have any other knowledge or experience with the property that may be pertinent to the project? (for example, copies of any available prior environmental site assessment reports, documents, correspondence, etc concerning the property and its environmental condition). The property abuts a car dealership/automotive service site. owner should be questioned as to how they may have disposed of hazardous wastes over time. • Eric Johnson From: Paul Gleason [pgleason @brkw.com] Sent: Wednesday, September 30, 2009 10:14 AM To: Eric Johnson Subject: RE: updated appraisal-well and tower acquisition Attachments: RE: Eric, I have viewed the map you attached that illustrates the most recent areas of interest for purchase by the City. For your reference, I have also attached the last email I sent you, which was in response to a similar, though somewhat different, scenario. I believe the appropriate way to address valuing the land in this most recent scenario is this: 1. Develop an opinion of the land encompassing both Area#1 and Area#2 as one parcel; 2. Develop an opinion of the land encompassing Area#1 only; 3. Subtract the latter from the former, which results in a value opinion of the contributory value of Area#2 to the larger parcel containing both. I propose the above method, rather than just focusing on Areas 1 and 2 as separate, stand-alone sites for two reasons. First, on its own, Area#2 has virtually no utility or marketability due to its size and unbuildable nature (it meets minimum lot size and width requirements, but for various reasons in this case the market would find it too small; the more important consideration is the unbuildable status given the power line easement). Second, if just Area#2 was purchased, questions would arise as to the impact on the utility and appeal of the remainder land surrounding this"exception" area, and I would assume the City doesn't want get into a situation where the seller sustains severance damage on the remainder land. Based on our discussion on the phone yesterday, it appears that the addendum letter option to provide an update to the original appraisal report we provided you will be sufficient and appropriate for your needs. Please refer to the attached email which further describes the addendum letter option. Based on this method of updating the original appraisal, the above-described proposed approach of valuing Areas 1 and 2 (assuming that will fit your nee sloe, your timing requirement of two weeks, I propthe fallowing )Appraisal update fee, $1,500 h Completion: October 14, 2009 C a If you would like to move forwa on this proposal, please advise me ASAP. Thank you 4140 Paul J. Gleason Vice President BRKW Appraisals, Inc. 1600 University Avenue, Suite 314 St. Paul, MN 55104 651-646-6114 ph. WI" (1111611. 651-646-8086 fax pgleason(a�brkw.com From: Eric Johnson [mailto:eajohnson @cityofoakparkheights.com] Sent: Tuesday, September 29, 2009 11:46 AM To: Paul Gleason Cc: Mark Vierling Subject: updated appraisal -well and tower acquisition Eric Johnson From: Long, Chris W[Chris.Long©bonestroo.com] Sent: Friday, October 02, 2009 3:01 PM To: Eric Johnson Cc: Fay, Lisa; Schunicht, Bob G; Hanson, Mark A Subject: Phase 1 ESA Proposal Attachments: Phase I ESA User Questionnaire 2-09.doc; CWL2_Johnson^Phase 1 ESA Area Request Photo 10-1-09.pdf Eric, Bonestroo is proposing to complete the Phase I Environmental Site Assessment(Phase I ESA)for the attached Areas 1 and 2 (about 2.5 acres)for a lump sum of$1,980, including reimbursable expenses. We will have the report complete by end of day October 14, assuming autho zation t pjoeeed is received no later than Monday October 5. 4Mp1F,P!,: Pending authorization of the work, the following in rmation will need to be acquired as soon as possible: • Bonestroo Interview of the Property Owner it • Completion of the attached User Questionna by a contact person with the City who is familiar with the site i The time allowed for the study is short, so we would vnt to get started right away. Let me know if you would like us to begin the work, as regulatory and historical informatio 'can be ordered before the weekend. Thanks Eric Chris Long, PE Direct 651-604-4808 Cell 651-492-7747 cl 14 01: chris.IongPbonestroo.com Bonestroo 2335 Highway 36 W St. Paul, MN 55113 Tel 651-636-4600 C It" — ,_ Fax 651-636-1311 - www.bonestroo.com 1 1 Northern Environmental is now part of Bonestroo. 410411t) , to 0 11)01.iiikitior 1 1 Print -Maps Page 1 of 1 Bing Maps t)tng - _ ] 1 . #411444 • • r :. ,... 1 ... my Notes ..• .14 ; aiMIF , . 36 r .,1 .; 3/4/•. .. . . '1. . 7 , •, FREE!Use Bing 411 to find movies, businesses a! more: 800-BING-411 , .. / I ir . ;1 ' / 1.- CY2009 Nal'e• I ' A , °Pedals ple'fess. ' ' '. ,,. . 02000 IViprosoft, 'Ding -,, 60th St N.' " -- 60th 1 . . , P - . 1 , . i .4I aw I 1 / " ; 10 it r e sr ,c1 ,.•; # k M ■ • ir ,... _ . . . ... . ... ., . , ... .,„ • , 1 I le Inelialiii . • I * I 1 fa}, : i 4.4 il.. t '' ' ..,.. .. .. , . , „ . ... . .. -• * -r* , .''''. • , -- , ' • ,„ vtfir, y r ..v * •.•• . .. .. A , . 4i1' , so. • . , Ago 411.•• t ''•rig '," .._,:) VI. 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