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5.
City Council Combined Special Meeting/Work Session
Meeting Date:
04/23/2024
From:
Anja Wendel, Senior Assistant City Attorney AW
TITLE
Proposed Relocation of Arizona Materials to adjacent BNSF Railway Parcel
STAFF RECOMMENDED ACTION:
Discussion and receive comments from the Council and the public.
Executive Summary:
Arizona Materials operates a concrete batch plant at 633 E. Brannen Avenue in the Southside (north of Butler Avenue). The City needs to acquire the property for the construction of the Lone Tree Overpass and the Rio de Flag Flood Control Projects. The City is committed to providing relocation assistance to Arizona Materials in accordance with the federal Uniform Relocation Assistance and Real Property Acquisition Act (Uniform Relocation Act). As part of the relocation efforts, the City and Arizona Materials both have been searching for a suitable relocation site for over three (3) years. Arizona Materials requires industrial zoning, at least 2.5 acres of land, and seeks a central location to serve its customers without increased transportation and operational costs. The City is not required to guarantee that a suitable relocation site has been found, but is required to assist in finding such a site. The City has filed a condemnation proceeding against Arizona Materials to acquire its property, but has deferred efforts to obtain a court order for immediate possession of the Arizona Materials property, in an effort to avoid putting Arizona Materials out of business in Flagstaff and to avoid additional costs and risks of litigation.
The City also needs to acquire property from BNSF Railway Company (BNSF) for Lone Tree Overpass and Rio de Flag Flood Control Projects. BNSF Railway is proposing that the City purchase BNSF Railway parcels that are located on either side of Arizona Materials. BNSF is making this request due to railway access to those parcels being limited as a result of the Projects. In lieu of purchasing easements from BNSF Railway, which would leave remnant properties that are not valuable to BNSF, BNSF Railway is proposing that the City purchase the parcels in full. BNSF is in the process of obtaining appraisals for these parcels, and it is anticipated BNSF will make an offer to the City. Any purchase of these parcels will be part of an "overall package" for acquisition of all property rights needed from BNSF, and will be considered at a future public meeting. If the City purchases the BNSF Parcels, the City will have the ability to sell or redevelop the parcels.
Arizona Materials would like to relocate immediately east of its current site onto one of the BNSF Parcels (the East Parcel) at 840 E. Butler Avenue. Arizona Materials is seeking Council support for relocation to this site. The East Parcel is zoned light industrial and batch plant operations would require a conditional use permit to operate. The property is located in the Live/Make Area as designated in the Southside Community Specific Plan (Specific Plan) that is described as an entrepreneurial craft/manufacturing area which supports commercial and large-scale residential development, and a vibrant and creative environment for small businesses. The Specific Plan also provides that the City should consider land exchanges to allow for continuation of businesses and residences affected by the Lone Tree construction and to create more usable park space for the Southside community.
City staff has sent notices of this Work Session to the Southside community and other interested persons in order to obtain public comments. Arizona Materials will also be participating in this Work Session and desires to hear from the public.
This discussion item is an opportunity for Council and the public to ask questions and provide input on the following issues:
Current and ongoing relocation efforts for Arizona Materials
Potential land swap where the City receives the current Arizona Materials site in exchange for the adjacent parcel (assuming the City purchases this parcel from BNSF and that Arizona Materials obtains a conditional use permit to operate on this site)
Development of 840 E. Butler as a relocated batch plant for Arizona Materials
Arizona Materials will be in attendance to discuss its operations and preference to remain adjacent to its existing location.
Information:
A separate presentation is attached.
Attachments
Presentation
Written Public Comment
Additional Public Comment
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