TO: Mayor and Members of City Council
THRU: Lachelle H. Pulliam, City Attorney
FROM: Kecia N. Parker, NCCP, Real Estate Manager
DATE: August 5, 2024
RE:
Title
Publish City Surplus Real Property Interest List
end
COUNCIL DISTRICT(S):
Council District(s)
All Districts
b
Relationship To Strategic Plan:
Goal 5: Return municipal assets to tax rolls.
Executive Summary:
The purpose of this agenda item is to confirm and publish an interest list of City-owned real properties that can later be declared surplus and returned to the tax rolls.
Background:
At the June 5, 2023, City Council work session, staff was directed to identify the City surplus real properties and provide a list of properties that could possibly be returned to the tax rolls. Staff reviewed 684 city properties and identified their use or future purpose. Staff identified 57 City properties that were identified as possible surplus properties.
Issues/Analysis:
Pursuant to City Policy 155.1, to determine if a property is surplus to the City’s needs, Real Estate staff performs a search to identify if there are any restrictions on the deed that prohibit sale. Finance must be contacted to determine how the property was purchased and if the funding source is restricted. Once determined, Real Estate staff contacts the Director for the department the asset belongs to, for a determination of whether the property is needed. If it is needed, the parcel is not declared surplus. If it is determined that the property is not needed by that department, it is sent out to the Senior Management team and PWC to determine if it may be needed for any future project. If the City and PWC are not in need of the property, then N.C.G.S. § 160A, Article 12 determines the procedure for declaring property as surplus and being sold.
The attached list of properties can be published on an interest list. If a person shows interest in a property, the City can start the surplus property disposal process. The process as dictated by North Carolina General Statute requires that the property is sold for fair market value by either public auction, sealed bid, or negotiated offer and upset bid process. These processes require the City Council to declare a specific property surplus and start a bid process, publish the bids and then finally accept or reject the bids that have been placed by adoption of a Resolution.
Budget Impact:
An interest list would have no impact on the budget until the properties generate interest and are later returned to the tax rolls when sold.
Options:
1. Receive the interest list and direct staff to publish.
2. Do not receive the interest list.
3. Provide additional direction to staff.
Recommended Action:
Staff recommends that Council receive the interest list and provide additional direction to staff as to Council’s interest, if any.
Attachments:
City Surplus Real Property Interest List
City Policy 155.1 City Property Real Property Disposal