City, Volz Builders reach pending agreement for sale of property
City commissioners approved to set up an agreement with Volz Builders for the purchase of 95.3 acres for the Rebein/Goodnight property, the property east of 14th Avenue and north Iron Road in Dodge City.
According to city manager Nick Hernandez, the Rebein/Goodnight family property of 147 acres will be available for developments with 114 acres available for residential developments and 33 acres for commercial developments.
"We put together a request for proposals to send out for a 30-day time period," Hernandez said. "In that time we received one bid and one no-bid from Zach Carlton and the one bid we did receive was from Volz Builders.
"I did meet with Mr. Volz on Tuesday, March 30, to discuss the proposal and he stated this large tract of land will allow for him to develop a much better master plan for subdivisions, different layouts and a bunch of different options."
In the proposal will be the purchase of the 95.3 acres for roughly $114,360 which, according to Hernandez, will take close to a year to get started on the lots.
The city legal counsel is currently drafting the sale purchase of the property which will be presented to the commission at a later date.
The 95.3 acres will be for housing development and the city will continue to maintain available acres for business development as well as the north wastewater treatment plant with the other acres of the property.
"All the frontage along 14th Avenue will be commercial property that the city will maintain," Hernandez said.
According to Volz, as a rule of thumb they could develop three houses per acre with the allocation of street right-of-ways and drainage, making it roughly 285 new homes.
The commissioners approved the drafting of the agreement with Volz Builders with a 4-0 vote.
Commissioners also approved a resolution in order to obtain financing for construction of the city Downtown Streetscapes project for Front Street; 1st Avenue; 2nd Avenue; 3rd Avenue; Central Avenue (Front Street to Gunsmoke Street) and Central Avenue (Gunsmoke Street to Vine Street).
According to city finance director Nicole May, the estimated cost of the project will be for $8,746,726.83 with $3,200,000 of the costs of the project paid from STAR Bonds.
"In order to finance any projects through bond financing, the projects must first be authorized and that's what this resolution is doing," May said. "It's authorizing this project."
The resolution is one of several steps needed for approval to move the project forward.
"It doesn't count against our debt to have the resolution authorized or anything like that, it's just simply authorizing the project, making it available to be financed with temporary notes or General Obligation Bonds," said May.
Currently the city is in the design phase of the streetscape project and the commission will be presented the phases in which the project will be completed within the next month, according to Hernandez.
Hernandez added an application will be sent the Kansas Department of Transportation for $2 million to help further the project.
"Also we were in discussion the development administration and they look like they will have funds available for tourism as well which may cover the remaining funds for the project that we have," Hernandez said. "So there's that slight chance that there may not be any local additional dollars having to go into this project. Slight chance but we'll keep our fingers crossed."
The resolution was approved with a 4-0 vote.
Commissioners approved another resolution to obtain financing for construction of street projects that will be financed with General Obligation Bonds for U.S. Highway 50 and Loretta Drive Intersection design for $500,000; Trail Street widening and improvements for $1,200,000; McCaustland Road 2 reroute for $950,000; Comanche Street reconstruction on 14th Avenue near the Walmart drive for $400,000; Second Avenue Bridge repair construction for $575,000; 14th Avenue Bridge repair design for $50,000; levee certification improvements for $850,000 and Avenue D and Wyatt Earp drainage improvements for $150,000.
According to May, the city is awaiting for some funding from the Federal Emergency Management Agency for the levee certification for the riverbed.
"Again this resolution just authorizes these projects could be financed with General Obligation Bonds," May said. "Right now we are looking at a closing date of early August for the bonds."
The street project resolution was approved with a 4-0 vote.
Commissioners approved the purchase of two, one-ton flatbed trucks for the streets department.
According to director of administration Ryan Reid, a single bid for the trucks was received for $104,968 for the two trucks at $52,484 each and staff recommends purchase of the two Chevrolet 3500 HD trucks from Lewis Chevrolet. The trucks will be used for day-to-day work in the streets division and the previous trucks will be sold through Purple Wave.
The truck purchases were approved with a 4-0 vote.
A purchase of 330 water meters from Municipal Supply for $103,599 was also approved by commissioners. The purchase comes as a need of 200 5/8-inch meters, 100 3/4-inch meters, 20 one-inch meters and 10 two-inch meters to replace non-radio read style meters and repair meters that are damaged throughout the city.
According to public works director Corey Keller, the meters is an annual purchase to replace existing meters. Funding will come from the general supply fund which had $250,000 available. There had been an expenditure used for $22,213.52 which, after the meter purchase, leaves the general supply fund with $124,187.48 for the rest of the year.
The meter purchased was approved with a 4-0 vote.
For small crack sealing projects throughout the city, commissioners approved unanimously a bid of $50,000 from Stripe & Seal LLC for the 2021 street program where 4,420 gallons of sealant will be use for asphalt street cracks.
Funding for the street program will come from the special streets fund.
Commissioner Kent Smoll was absent from the meeting and did not vote.
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