City Council Meeting

City Council Chambers 214 SE 8th Street Topeka, Kansas 66603 https://www.topeka.org Governing Body Agenda December 28, 2017 6:00 PM SPECIAL MEETING Mayor: Larry E. Wolgast Councilmembers Karen A. Hiller District No. 1 Brendan Jensen District No. 6 Sandra Clear District No. 2 Elaine Schwartz District No. 7 Sylvia E. Ortiz District No. 3 Jeff Coen District No. 8 Tony Emerson District No. 4 Richard Harmon District No. 9 Michelle De La Isla District No. 5 City Manager: Brent Trout Addressing the Governing Body: No person shall address the Governing Body during a Governing Body Meeting, unless they have notified the City Clerk at (785)368-3940 or by email at cclerk@topeka.org by 5:00 P.M. on the day of any Governing Body Meeting or sign up to speak at the meeting by 6:00 P.M. This limitation shall not apply to items added during the course of a meeting. The Governing Body does not take action with respect to any subject not on the agenda unless added to the agenda by a two-thirds vote of the Governing Body. Persons addressing the Governing Body will be limited to four (4) consecutive minutes on a particular agenda item. Debate, question/answer dialogue or discussion between Governing Body members will not be counted towards the four (4) minute time limitation. The Chair may extend time with the unanimous consent of the Governing Body or by an affirmative vote of five (5) Governing Body members may extend the four (4) minute limitation. The requirement to notify the City Clerk will not apply towards public hearings required by State and Federal law. To make arrangements for special accommodations please call 785-368-3940. A 48-hour advance notice is preferred. The Federal Communications Commission (FCC) has adopted use of the 711 dialing code for access to Telecommunications Relay Services (TRS). TRS permits persons with a hearing or speech disability to use the telephone system via a text telephone (TTY) or other device to call persons with or without such disabilities. To reach the City Clerk's office using the TRS, please dial 711. (Agendas are available on Thursday afternoon in the City Clerk's office, 215 SE 7th -Room 166 and on the City's web site at https://www.topeka.org) CALL TO ORDER: 1. ROLL CALL: 2. ACTION ITEMS: A. Disposal of Real Property - SW Van Buren and S. Kansas Avenue APPROVAL of the Real Estate Purchase Agreement between the City of Topeka and Pioneer Midtown Homes, L.L.C., for the disposal of real property located at 1601 SW Van Buren, 1606 SW Van Buren, 1601 S. Kansas Avenue and the northwest corner of 16th Street and S. Kansas Avenue. (formerly 1515 - 1529 S Kansas Avenue.) Voting Requirement: Majority vote of the Governing Body (6) (Approval would authorize the transfer of City real property to Pioneer Group for affordable housing.) 3. ADJOURNMENT:  City of Topeka Council Action Form Council Chambers 214 SE 8th Street Topeka, Kansas 66603 www.topeka.org December 28, 2017 DATE: December 28, 2017 CONTACT PERSON: Sasha Haehn, DOCUMENT #: Neighborhood Relations Director SECOND PARTY/SUBJECT: Pioneer Midtown PROJECT #: Homes LLC CATEGORY/SUBCATEGORY 007 Contracts and Amendments / 013 Sale of Land CIP PROJECT: No ACTION OF COUNCIL: Approve the real estate JOURNAL #: agreement for the disposal of real property PAGE #: DOCUMENT DESCRIPTION: APPROVAL of the Real Estate Purchase Agreement between the City of Topeka and Pioneer Midtown Homes, L.L.C., for the disposal of real property located at 1601 SW Van Buren, 1606 SW Van Buren, 1601 S. Kansas Avenue and the northwest corner of 16th Street and S. Kansas Avenue. (formerly 1515 - 1529 S Kansas Avenue.) Voting Requirement: Majority vote of the Governing Body (6) (Approval would authorize the transfer of City real property to Pioneer Group for affordable housing.) VOTING REQUIREMENTS: Majority vote of the governing body (6) POLICY ISSUE: Whether to authorize the transfer of City real property to the Pioneer Group for affordable housing as authorized by T.M.C. 3.30.340(d)(3) which allows transfer of property to a private entity if used for public benefit. STAFF RECOMMENDATION: Staff recommends the Governing Body approve the real estate agreement and authorize the disposal of real property. BACKGROUND: In 2016, Mayor Wolgast formed the Affordable Housing Task Force to work on the issues surrounding affordable housing in Topeka. Pioneer Group was invited to join the Task Force as a representative affordable housing development, as was the Topeka Housing Authority. Both groups develop affordable housing in Topeka and are considered valuable partners to the City’s Neighborhood Relations Department. In the summer of 2017, Pioneer, THA and Neighborhood Relations began discussions regarding the potential for a scattered site affordable housing project and the possibility of a public/private partnership to facilitate the development of the project. Pioneer Group, operating as Pioneer Midtown Homes LLC, will serve as the developer, Topeka Housing Authority will serve as the property manager once the project is complete and the City will facilitate the development with the contribution of real estate. The proposed public/private partnership will result in approximately 81 new affordable housing units in the community and a project/improvement estimated at approximately $10 million dollars. The project will include the Van Buren area properties listed below and potentially another location in Central Topeka that the developer is working to acquire. The Van Buren School property located at 1601 SW Van Buren, the residential lot at 1606 SW Van Buren St., 1601 S. Kansas Ave. (SW corner of 16th and Kansas Ave.) and the North West corner of 16th St. and Kansas Ave. is being proposed to be sold to the developer for $1 and other valuable consideration. The County’s appraised valuation of these properties is approximately $63,700. The project is located in the Monroe NIA. Staff has been in steady contact with the Monroe NIA President Todd Huston, beginning in late October regarding the potential for a project in the neighborhood. Although details of the project could not yet be disclosed at the request of the developer and related to their efforts to acquire surrounding properties for the project, information was shared that there was a potential affordable housing project being worked on between Neighborhood Relations and two of our local development partners. Staff, Pioneer representatives and THA representatives had tentatively planned to attend the November and December NIA meetings to share project details. Unfortunately, the project was not yet at a stage to disclose details in time for either meeting. Mr. Huston was contacted December 21, 2017, and information was shared including the identity of our partners and more specific details on the project. Mr. Huston requested that plans be made to attend their January meeting to share project details so that residents could be notified that may be interested in attending the January meeting to learn about the project. BUDGETARY IMPACT: There is no direct financial cost to the city at this time. The contribution of real estate is valued at approximately $63,700. The City’s liability related to the Van Buren school building if it were to be demolished is estimated between $250,000-$400,000 based on the environmental reviews done and the level of asbestos contamination in the building. SOURCE OF FUNDING: Not Applicable ATTACHMENTS: Description Executive Summary Real Estate Report Van Buren Project Aerial Van Buren School floor plan Real Estate Agreement  CITY OF TOPEKA DEPARTMENT OF NEIGHBORHOOD RELATIONS 620 S.E. Madison Street, 1st Floor Phone: (785) 368-3711 TOPEKA, Kansas 66607 Fax: (785) 368-2546 MEMORANDUM Date: December 21, 2017 To: Brent Trout, City Manager From: Sasha Haehn, Director of Neighborhood Relations Subject: Van Buren School project & disposal of real property BACKGROUND: In August 2016 Neighborhood Relations acquired the Van Buren School property located at 1601 SW Van Buren by donation of the owner. The Department intended to demolish the structure based on the deteriorated condition. As staff worked toward the demolition of the project, a structural analysis of the building was obtained from Treanor HL. Discussions had begun with Pioneer Group in late 2016 regarding the potential for them to rehabilitate the school into affordable housing. In 2016 Mayor Wolgast also formed the Affordable Housing Task Force to work on the issues surrounding affordable housing in Topeka. Pioneer Group was invited to join the Task Force as a representative affordable housing development, as was the Topeka Housing Authority. Both groups develop affordable housing in Topeka and are considered valuable partners to the City’s Neighborhood Relations Department. In the summer of 2017 Pioneer, THA and Neighborhood Relations began discussions regarding the potential for a scattered site affordable housing project and the possibility of a public/private partnership to facilitate the development of the project. Pioneer Group, operating as Pioneer Midtown Homes LLC, will serve as the developer, Topeka Housing Authority will serve as the property manager once the project is complete and the City will facilitate the development with the contribution of real estate. The proposed public/private partnership will result in approximately 81 new affordable housing units in the community and a project/improvement estimated at around $10 million dollars. The project will include the Van Buren area properties listed below and potentially another location in Central Topeka that the developer is working to acquire as we prepare for this project. I am hopeful that they will be able to share that location at the Council meeting. The Van Buren School property located at 1601 SW Van Buren, the residential lot at 1606 SW Van Buren St., 1601 S. Kansas Ave. (SW corner of 16th & Kansas Ave.) and the North West corner of 16th St. and Kansas Ave. is being proposed to be sold to the developer for $1 and other valuable consideration. The County’s appraised valuation of these properties is approximately $63,700. Included in the Council packet is an aerial map of the properties proposed to be contributed to this project, as well as a real estate report and real estate purchase agreement.  The project is located in the Monroe NIA. Staff has been in steady contact with the Monroe NIA President Todd Huston, beginning in late October regarding the potential for a project in the neighborhood. Although I was not at liberty to disclose the details of the project at the request of the developer and related to their efforts to acquire surrounding properties for the project, I did share that there was a potential affordable housing project being worked on between Neighborhood Relations and two of our local development partners. Staff, Pioneer representatives and THA representatives had tentatively planned to attend the November and December NIA meetings to hopefully share project details. Unfortunately, the project was not yet at a stage to disclose details in time for either meeting. I spoke to Mr. Huston 12/21/17 and was able to share the identity of our partners and more specific details on the project. We discussed my attendance at their NIA meeting that evening, but Mr. Huston requested that we plan to attend their January meeting to share project details so that he could have time to notify neighbors and alert residents that may be interested to attend the January meeting to learn about the project. FINANCIAL CONSIDERATIONS: There is no direct financial cost to the city at this time. The contribution of real estate is valued at approximately $63,700. The City’s liability related to the Van Buren school building, if we were to demolish it, is estimated between $250,000-$400,000 based on the environmental reviews we have done and the level of asbestos contamination in the building. LEGAL CONSIDERATIONS: The City Attorney’s office created the Real Estate Purchase agreement and has approved it as to form. RECOMMENDATION/ACTION: Approve the Real Estate Purchase Agreement authorizing the disposal of the real estate listed above to Pioneer Midtown Homes LLC. SUPPORTING DOCUMENTS: Real Estate Report Aerial map of properties being considered Real Estate Purchase Agreement & Exhibit A  DEPARTMENT OF NEIGHBORHOOD RELATIONS REAL ESTATE REPORT a. Common Address: 1601 SW Van Buren, 1606 SW Van Buren, 1601 S. Kansas Ave., NW corner of S. Kansas Ave. (formerly1515-1529) (see attached aerial) b. Legal Description: See pg. 2 c. Current Zoning: C4, M1 & M2, commercial & multi-family d. Acquisition Date: 1601 SW Van Buren – 8/25/16 – donation to City by owner 1606 SW Van Buren – 8/18/17 – deeded to City by estate, deceased owner 1601 S. Kansas Ave. – 6/25/90 – Greenway project acquisition 1515 – 1529 S. Kansas Ave. – 05/26/89 – Greenway project acquisition (NW corner of 16th St. & Kansas Ave.) e. Reason City Eliminate blight, donation by owner & Greenway project Acquired: f. How City Acquired: Donation and warranty deed g. Current Use: Vacant land, abandoned residential and abandoned school h. Expected Future Affordable Housing Use: i. Appraised Value: $63,710 – SNCO 2017 appraised value j. Method of Disposal Private negotiated sale (Topeka Municipal Code 3.30.340) Results: Legal Descriptions; 1601 S. Kansas Ave. The East 75 feet Lots 583 and 585 on Kansas Avenue, in Orchard Place Addition to the City of Topeka, Shawnee County, Kansas; The East 100 feet of Lot 587 on Kansas Avenue in Orchard Place Addition to the City of Topeka, and a strip of ground 8 feet wide on the South side of said lot extending west to the alley, being a part of said lot, in Shawnee County, Kansas; Lot 589 and the North Half of Lot 591, on Kansas Avenue, in Orchard Place Addition to the City of Topeka, Shawnee County, Kansas; The South Half of Lot 591 and all of Lot 593 on Kansas Avenue in Orchard Place Addition to the City of Topeka, Shawnee County, Kansas. NW corner of 16th St. & Kansas Ave. Lot 563 and the North Half of Lot 565 on Kansas Avenue, in Orchard Place Addition to the City of Topeka, Shawnee County, Kansas; The South Half of Lot 565 and all of Lot 567, on Kansas Avenue, in Orchard Place Addition to the City of Topeka, Shawnee County, Kansas; Lot 569 and the North Half of Lot 571, on Kansas Avenue, Orchard Place Addition to the City of Topeka, Shawnee County, Kansas; Lot 573 and the South Half of Lot 571 on Kansas Avenue, in Orchard Place Addition to the City of Topeka, Shawnee County, Kansas; All of Lot 575 and the North 9 ½ feet of Lot 577, on Kansas Avenue, Orchard Place Addition to the City of Topeka, Shawnee County, Kansas; The South 15 ½ feet of Lot 577 and the North 13 feet of Lot 579, on Kansas Avenue, Orchard Place Addition to the City of Topeka, Shawnee County, Kansas; The South 12 feet of Lot 579 and all of Lot 581 on Kansas Avenue, Orchard Place Addition to the City of Topeka, Shawnee County, Kansas. 1601 SW Van Buren St. Tract 1: Lots 589, 591, 593, 595, 597, 601, 603 and 605 on Van Buren Street, in Orchard Place Addition, City of Topeka, Shawnee County, Kansas. Tract 2: Lots 583, 585 and 587 on Van Buren Street, in Orchard Place Addition, City of Topeka, Shawnee County, Kansas. 1606 SW Van Buren St. Lots 590 and 592 on Van Buren Street, Orchard Place Addition, City of Topeka, Shawnee County, Kansas.  Van Buren 100417 1515 - 1529 1606 1601 1601 October 4, 2017 1:2,257 0 0.0175 0.035 0.07 mi Parcels 0 0.03 0.06 0.12 km SNCO GIS SNCOGIS Shawnee County, KS All data shown on the map is subject to the data disclaimer. User accepts all responsibility by using this map.  OI2 M1 C4 C4 SW Van Buren ST SE 1 C4 SW Harrison ST 5th S T M2 M2 M2 M2 C4 M2 OI1 M2 M2 SW 16th ST M1 C4 M1 M1 SW Van Buren ST M1 SW Harrison ST S Kansas AVE M1 C4 M1 M1 C4 ST SE Quinc C4 y M1 M1 M1 C4 M1 Zoning map Subject Parcels µ Topeka Planning Department  Van Buren 100417 1515 - 1529 1606 1601 1601 October 4, 2017 1:2,257 0 0.0175 0.035 0.07 mi Parcels 0 0.03 0.06 0.12 km SNCO GIS SNCOGIS Shawnee County, KS All data shown on the map is subject to the data disclaimer. User accepts all responsibility by using this map.