HomeMy WebLinkAboutOrdinance 10- 1779 Sale of former City Hall, 411 East Main St. d
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ORDINANCE NO. 1779
AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF BOZEMAN,
MONTANA, AUTHORIZING THE CITY MANAGER TO SIGN A PURCHASE AND
SALE AGREEMENT FOR THE SALE AND CONVEYANCE OF THE FORMER
BOZEMAN CITY HALL LOCATED AT 411 EAST MAIN STREET AND INCLUDING
SEVERAL CONTINGENCIES REGARDING THE SALE AND AN EFFECTIVE DATE.
WHEREAS, the City of Bozeman owns property known as the former Bozeman City
Hall located at 411 East Main St., with a legal description of. Rouse's 1 st Addition to Bozeman,
Lots 10 14, Block F, Section 7. T2S R6E, Bozeman, Gallatin Co., Montana; and
WHEREAS, the City is desirous of selling the above described real property; and
WHEREAS, Section 2.11 of the Bozeman City Charter requires adoption of an
ordinance when the City "convey[s]... or authorize[s] the conveyance... of any lands of the
city and
WHEREAS, Section 2.05.030 of the Bozeman Municipal Code (BMC), adopted
pursuant to Ordinance 1658, grants the City Commission the jurisdiction and power to sell any
real property, however acquired, belonging to the City that is not necessary to the conduct of city
business or the preservation of property; and
WHEREAS, Section 2.05.040, BMC, adopted pursuant to Ordinance 1713, states,
"When the City Commission, after a public hearing, has determined by a two- thirds vote of all
the members, that any real property owned by the city is not needed for public use, or that the
public interest may be furthered, the City may sell such property by... negotiated sale...,
ORDINANCE 1779
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subject... to a minimum price established through an appraisal that certifies the value of such
property..." and
WHEREAS, Section 2.05.040, BMC, also states, "Notice of sale... shall be published as
provided in MCA 7 -1- 4127 and
WHEREAS, Section 2.05.050.13, BMC, adopted pursuant to Ordinance 1658, states,
a sale may not be made for less than 90% of the appraised value and
WHEREAS, Section 2.05.060, BMC, adopted pursuant to Ordinance 1658, states,
no sale of real property shall be made of any property unless it has been appraised within one
year prior to the date of the sale and
WHEREAS, on July 14, 2008, the Bozeman City Commission, by a vote of four to zero,
determined the property located at 411 Fast Main St., which served as the former Bozeman City
Hall, was no longer necessary to the conduct of city business; and
WHEREAS, at that time the Bozeman City Commission authorized the City Manager to
market the property and negotiate a sale; and
WHEREAS, Keith O'Reilly, MAI, a General Certified Appraiser from Bridger
Appraisal, Inc., on February 19, 2009, appraised the value of the former Bozeman City Hall to be
between $900,000.00 and $1,200,000.00; and
WHEREAS, on January 15, 2010, the Bozeman City Manager received an offer to
purchase this property for eight hundred ten thousand dollars ($810,000) cash; and
WHEREAS, the offer to purchase the former Bozeman City Hall is attached to this
Ordinance as Attachment 1; and
WHEREAS, should the Bozeman City Commission provisionally adopt this ordinance
accepting said offer by no less than a two thirds vote of its total membership, notice of
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provisional adoption of this ordinance shall be published in compliance with Sect. 7 -1 -4127,
MCA, prior to final adoption; and
WHEREAS, should the Bozeman City Commission provisionally adopt this ordinance
the City Commission shall conduct a public hearing on acceptance of the purchase and sale
agreement attached as Attachment 1 at final reading.
NOW THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE
CITY OF BOZEMAN, MONTANA:
Section 1
The Bozeman City Commission hereby accepts and authorizes the City Manager to sign the offer
for the sale of the former Bozeman City Hall tendered by purchaser GSC Family Limited
Partnership which is attached as a Purchase and Sale Agreement (Attachment 1). The property is
located at 41.1 East Main Street and is legally described as Rouse's I" Addition to Bozeman,
Lots 10 14, Block F, Section 7. T2S, R6E, Bozeman, Gallatin Co., Montana. By accepting this
offer the Commission authorizes, subject to completion of the contingencies as stated in the
attached Purchase and Sale Agreement and those contingencies listed below, the conveyance of
the fee title to the property to the purchaser:
1. The sale prices shall be eight hundred and ten thousand dollars and zero cents
($810,000.00).
2. The purchaser shall pay cash to the City at closing.
3. The City Manager shall not be authorized to sign the Purchase and Sale Agreement until
30 days after final adoption of this ordinance; as such, the Purchase and Sale Agreement
shall not be binding on the City of Bozeman until executed by the City Manger at that
time.
4. The sale shall close no later than April 15, 2010.
5. Prior to release of contingencies, an agreement, acceptable to the Bozeman City
Commission, shall be signed by the purchaser and the City regarding ownership, and
maintenance of all infrastructure within the building including the tunnel and that
infrastructure related to heating and other utilities shared with Fire Station No. 1 and for
payment of related utility services.
6. The purchaser shall recognize and agrees that the City of Bozeman may reserve to itself
any easement(s) for access, maintenance, and replacement of fixtures remaining on the
property that are necessary for service of the Bozeman Fire Station No. 1.
Proceeds of the sale shall be deposited in the City Hall construction fund.
ORDINANCE 1.779
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Section 2
Repealer.
All provisions of the ordinances of the City of Bozeman in conflict with the provisions of
this ordinance are, and the same are hereby, repealed and all other provisions of the ordinances
of the City of Bozeman not in conflict with the provisions of this ordinance shall remain in full
force and effect.
Section 3
Savings Provision.
This ordinance does not affect the rights and duties that matured, penalties that were
incurred or proceedings that were begun before the effective date of this ordinance. All other
provision of the Bozeman Municipal Code not amended by this Ordinance shall remain in full
force and effect.
Section 4
Severability.
That should any sentence, paragraph, subdivision, clause, phrase or section of this
ordinance be adjudged or held to be unconstitutional, illegal, or invalid, the same shall not affect
the validity of this ordinance as a whole, or any part or provision thereof, other than the part so
decided to be invalid, illegal or unconstitutional, and shall not affect the validity of the Bozeman
Municipal Code as a whole.
Section 5
Codification Instruction.
The provisions of this Ordinance shall not be codified in the Bozeman Municipal Code;
rather, this Ordinance shall be maintained by the City Clerk in an indexed file of all Ordinances
not to be codified.
Section 6
Effective Date.
This ordinance shall be in full force and effect 30 days after final adoption.
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PROVISIONALLY PASSED by the City Commission of the City of Bozeman,
Montana, on first reading at a regular session held on the 19` day of January, 2010.
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FINALLY PASSED, ADOPTED AND APPROVED by the City Commission of the City of
Bozeman, Montana on second reading at a regular session thereof held on the 1st day of
February, 2010. The effective date of this ordinance is March 3, 2010
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ATTEST:
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APPROVED AS TO FORM:
G G SULLIVAN
City Attorney
ORDINANCE 1779
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