SUBJECT
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Approve Agreement for Sale and Purchase between Texas Aquatic Harvesting, Inc. and Polk County for the construction of a new wastewater treatment facility to service the East Regional service area. ($8,530,000 one-time expense)
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DESCRIPTION
Based on Board direction to increase utility capacity in the East Regional Service Area to meet the needs of anticipated growth and development, Polk County Utilities has plans to construct a new wastewater treatment facility in the area. County staff reviewed multiple properties in the area for the construction of a new treatment facility and identified a site along the north side of Masterpiece Road to the north and east of Lake Wales. The site contains approximately 150-acres of contiguous property along Masterpiece Road along with approximately 47-acres located adjacent to the northwest thereof for a total of 197-acres. County staff contacted the owner of the property, Texas Aquatic Harvesting, Inc., to inquire if it had any interest in selling the property and the owner stated that it would consider the sale of the entire property only. After further review it was determined that any additional property could be utilized for other public services needed in the area to include roadway maintenance, fleet maintenance and sheriff operation as well as future public service needs that may arise. Additionally, it was determined that the 47-acre tract is located adjacent to the north of a tract of land which was approved by the Conservation Land Acquisition Selection Advisory Committee (CLASAC) and the Board for acquisition under that program and could be utilized for conservation preservation in conjunction with that site.
The County hired an independent appraiser to establish a value for the property. Negotiations with the owner have resulted in a proposed price of $8,500,000 for the purchase of the property and the owner has executed an Agreement for Sale and Purchase. The initial purchase is proposed to be funded by the Utilities Division with proportionate shares of the purchase amount being reimbursed by the various user divisions through the fiscal year 26/27 CIP budgeting process.
The County Attorney’s Office and the Real Estate Services Director have reviewed the Agreement for Sale and Purchase and recommend approval. Approving the Agreement, authorizing the issuance of funds for the purchase and associated closing costs, and hiring American Government Services Corporation to close the transaction will allow the County to take ownership of the property to be utilized for the proposed wastewater plant as well as conservation preservation and other public service needs.
RECOMMENDATION
Request Board approve the aforementioned Agreement for Sale and Purchase, authorize the issuance of funds in the amount of $8,500,000 for the purchase. Also request Board approve hiring American Government Services Corporation to close the transaction and approve paying estimated closing costs in the amount of $30,000 for a total amount of $8,530,000.
FISCAL IMPACT
Funds are available in the Utilities Capital Expansion Funds. A reimbursement to the project from the other divisions slated to utilize the property will be built into the FY 26/27 CIP budget.
CONTACT INFORMATION
R. Wade Allen, Director
Real Estate Services
863-534-2577