Title
Resolution to Approve Participation in the Purchase of a Conservation Easement on the Renz Land Co, LLC Property in Scio Township, Approve a Participation Agreement with Scio Township and Washtenaw County Parks and Recreation Commission, and Appropriate $432,334.00 (8 Votes Required)
Memorandum
This resolution approves a participation agreement with Scio Township and Washtenaw County Parks and Recreation Commission for the purchase of a conservation easement on a 101.361-acre property owned by Renz Land Co, LLC in Scio Township. The resolution also approves an appropriation of funds not to exceed $432,334.00 (14.17% of purchase price) from Open Space and Parkland Preservation Millage proceeds for the purchase.
The landowners applied to the Scio Township Purchase of Development Rights Program and the Township has been the lead agency in the negotiations with the landowners. The Township commissioned an appraisal, completed in 2021, that determined the fair market value of a conservation easement on the property to be $ $2,995,000.00. The Township is the lead agency and will be the holder of the conservation easement. In addition to the acquisition costs below, the Township will cover due diligence and closing costs.
Renz Land Co, LLC Property, Scio Township
The property is approximately 101.361 acres and is located in Section 35 of Scio Township with legal access from Wagner Road. It is owned by Renz Land Co, LLC. The property scored in the top 19% of applications received by the Greenbelt Program in the scoring system developed and approved by the Greenbelt Advisory Commission. The property contains 18 acres of forest and 10 acres of wetlands. The property is located adjacent to the Greenbelt’s 30.85-acre Thomas-Lobato conservation easement purchased with funds from the Open Space and Parkland Preservation Millage, and adjacent to the University of Michigan’s 80-acre Saginaw Forest. The Greenbelt Advisory Commission considers this parcel a priority for acquisition due to its size, proximity to other protected properties, and possibility to leverage funds with township and County funding. The Commission recommended approving the participation agreement at their August 5, 2021 meeting.
Proposed Project Budget:
Total Acquisition Costs $ 2,995,000.00
City of Ann Arbor $432,333.33 14.44%
Washtenaw County $432,333.33 14.44%
Scio Township $377,333.34 12.60%
USDA NRCS $928,000.00 30.98%
MDARD $825,000.00 27.54%
Staff recommends approval.
Staff
Prepared by: Remy Long, Greenbelt Program Manager, The Conservation Fund
Reviewed by: Derek Delacourt, Community Services Area Administrator
Approved by: Milton Dohoney Jr., Interim City Administrator
Body
Whereas, Chapter 42 of Ann Arbor City Code establishes the Greenbelt District and authorizes the City to purchase conservation easements on property within the district with Open Space and Parkland Preservation Millage proceeds;
Whereas, Chapter 42 of Ann Arbor City Code authorizes City Council to enter into agreements for joint acquisition of conservation easements in the Greenbelt District with other government agencies;
Whereas, The fair market value for the conservation easement was determined by an appraisal as required by Section 1:320 of Ann Arbor City Code; and
Whereas, Scio Township, as the lead agency on this purchase, will hold the conservation easement;
RESOLVED, That the Mayor and City Clerk are authorized and directed to execute a participation agreement with Scio Township and Washtenaw County Parks and Recreation Commission for the purchase of a conservation easement on the Renz Land Co, LLC property after approval as to form by the City Attorney and as to content by the City Administrator;
RESOLVED, That $432,334.00 is appropriated from the Open Space and Parkland Preservation Millage proceeds for contribution toward the purchase of the conservation easement on the Renz property, for the life of the project, without regard to fiscal year;
RESOLVED, That the City’s contribution is contingent upon the approval by the City of the conservation easement document and appropriate due diligence, including review of title work, an environmental assessment, and survey, as appropriate; and
RESOLVED, That the City Administrator is authorized to take all appropriate actions to implement this resolution, including the determination of satisfactory due diligence and execution of all appropriate documents.