Chapter 4.02 — SALE OF SURPLUS REAL PROPERTY

A.

"Surplus real property" means the real property of the city not needed for the purpose for which it was acquired or for any other public purpose.

B.

"Sale" includes a lease of an interest in city-owned land for a term in excess of 15 years.

(Ord. 5581 § 1 (part), 1982)

It is the policy of the board of directors of the city that the process by which the city land is determined to be surplus, and is sold, leased or developed, and the records relating thereto, shall be open to public examination and any disposition of such land shall be accomplished through a publicly noticed, competitive process, available to all interested persons. In disposing of surplus land, unless some extraordinary and overriding public benefit is identified and obtained in consideration of the transaction, the city shall seek the highest monetary return, consistent with the interests of city and community needs.

(Ord. 5581 § 1 (part), 1982)

The city board may refer to the planning commission and the community development commission any unused parcel of real property owned by the city for recommendation, if appropriate, to be declared surplus real property. If so requested by the board of directors, the housing and community development agency shall prepare precise development standards applicable to such parcel for consideration by the planning commission, the community development commission and the board of directors.

(Ord. 5581 § 1 (part), 1982)

Except for sales made pursuant to Sections 4.02.030 and 4.02.040, surplus real property may be sold only after an open and competitive bidding process to the highest bidder, determined on the basis of current value of the consideration to be paid, in accordance with the provisions of a public notice inviting bids.

(Ord. 5581 § 1 (part), 1982)

A.

The board of directors may authorize a sale other than pursuant to Section 4.02.020 only if, not less than 60 days before any sale, it has made special findings, after public hearing, that an extraordinary and overriding public benefit will be achieved. Such public benefit may relate to the provision of public parking, low-cost housing, a public service facility, or a museum or other cultural or artistic institution, or the economic and public well-being of other properties in the immediate vicinity.

B.

When the board of directors has authorized an exception pursuant to subsection A of this section, the city may exchange surplus real property for other land; may negotiate with public agencies or not-for-profit institutions for the sale or lease of land; may negotiate with adjoining landowners for the sale of land; and may approve the sale of land for less than the highest possible monetary return. Any such transaction must be consistent with the findings of the board of directors that an extraordinary and overriding public benefit will be achieved.

(Ord. 5581 § 1 (part), 1982)

The following conveyances shall not be subject to the provisions of this chapter:

A.

Sale of real property or an interest therein having a reasonable market value of $10,000.00 or less, as determined by the city manager and approved by the said city council;

B.

Quitclaim or other release of any real or apparent interest of city made for the purpose of clearing title to real property owned by others, upon payment of a consideration reasonably equal to the city's presumed interest and costs of conveyance;

C.

Quitclaims to the record owner redeeming property from a tax sale to the city;

D.

Sale or exchange of real property or an interest therein to the United States of America, state, county, school district or other public body within the county;

E.

Sale of any right to receive electric energy on a basis reflective of reasonable value;

F.

Sale to an adjoining landowner of surplus residentially zoned real property which is less than one half the minimum lot area and width required or is found by the said board to be so impaired in configuration as to be unbuildable as a separate parcel;

G.

Sale to a lessee or sublessee of real property which is owned by the city and subject to a long-term lease; provided, that the sale is negotiated on the basis of seeking the highest monetary return to the city for the city's interest in the property. For

purposes of this subsection, a "long-term lease" means property subject to a leasehold interest with not less than 15 years remaining for the term of lease.

(Ord. 6996 § 1, 2004; Ord. 6097 § 1, 1985; Ord. 5581 § 1 (part), 1982)

The city clerk shall publish a notice inviting bids or proposals in the official newspaper upon the board of director's determination to sell the surplus real property. The notice shall specify the terms of the sale and other appropriate information.

(Ord. 5581 § 1 (part), 1982)

The board of directors shall adopt regulations, by resolution, pertaining to the conduct of sales, requests for proposals, appraisals, the process of declaring property surplus, public availability to lists of surplus real property, the giving of public notice regarding sales of surplus real property, and such other factors as are required to dispose of property in accordance with the policy of this chapter. All sales of surplus real property shall be made in accordance with such regulations.

(Ord. 5581 § 1 (part), 1982)