Empathy List Archives

KR

Kay Robbins Wall

Wed, Jul 12, 2023 8:59 PM

Fellow Attorneys:

Eufaula has had to abandon the old City Hall due to mold and other difficult working conditions and has purchased a different building at another location and moved. Attempts to obtain bids for remodeling have not been successful for the last few years, due to the rising cost of construction.
A charity has asked to purchase this building for the sum of One Dollar ($1.00), to be used as an Arts Center.
Do we have an obligation to take this issue to a vote of the Citizens? Do we have an obligation to get an appraisal in an attempt to obtain fair market value? Any information on the sale of this public building that you could give me would be appreciated.
Thanks,
Kay Wall

Fellow Attorneys: Eufaula has had to abandon the old City Hall due to mold and other difficult working conditions and has purchased a different building at another location and moved. Attempts to obtain bids for remodeling have not been successful for the last few years, due to the rising cost of construction. A charity has asked to purchase this building for the sum of One Dollar ($1.00), to be used as an Arts Center. Do we have an obligation to take this issue to a vote of the Citizens? Do we have an obligation to get an appraisal in an attempt to obtain fair market value? Any information on the sale of this public building that you could give me would be appreciated. Thanks, Kay Wall

JM

Jon Miller

Wed, Jul 12, 2023 9:45 PM

Kay,

The empty building is property owned by the city. I see two issues. First, does the city want to sell the property? That question would be answered by the city manager, likely with discussion with the city council (which may or may not involve formal action). I am not aware of any requirement that the city council submit a proposal to buy municipal property to a vote of the people on the question of whether or not the city desires to or should sell the property.

The second question is: what are the legal requirements to effect the sale? If the city wants to sell the property, it could require a vote of the people. Some charters require either a vote of the people or a non-emergency ordinance to authorize the sale of property over a certain value. Some charters require surplus property be sold with competitive bidding. Look to Eufaula’s charter and ordinances to answer those questions.

The city cannot legally make a gift of the property to the charity. That said, you could research whether selling the property for nominal consideration could serve a public purpose if the city imposed conditions that would lead to an enhancement of the health, safety and welfare of the people of the community. I have not researched the issue of whether a public art center might be a public use that would justify the expenditure of public funds. Other city attorneys may have more insight into that question. Absent a public purpose, a sale for nominal consideration sounds like a gift.

Finally, look to see how the building was originally obtained and financed, if at all. Was it acquired with restricted bond funds? It could be possible that the source of the funds used to acquire the property could impose some obligations or requirements. I have not had to address that issue, and will leave that to city attorneys more experience in dealing with that situation.

Good luck,

Jonathan E. Miller
City Attorney
City of Mustang
1501 N. Mustang Road
Mustang, Oklahoma 73064
Telephone: (405) 376-7746
Facsimile: (405) 376-7721

This email is sent by the City Attorney and may contain information that is privileged or confidential. If you received this email in error, please notify the sender by reply email and delete the email and any attachments. If you are a and officer, employee or agent of the City of Mustang, you should not share this email with others. Sharing this email may result in a loss of the attorney-client privilege.

From: Kay Robbins Wall via Oama oama@lists.imla.org
Sent: Wednesday, July 12, 2023 3:59 PM
To: OAMA Luistserv oama@lists.imla.org
Subject: [Oama] Sale of Former City Hall Building

Fellow Attorneys: Eufaula has had to abandon the old City Hall due to mold and other difficult working conditions and has purchased a different building at another location and moved. Attempts to obta
Caution! This message was sent from outside your organization.

sophospsmartbannerend
Fellow Attorneys:

Eufaula has had to abandon the old City Hall due to mold and other difficult working conditions and has purchased a different building at another location and moved. Attempts to obtain bids for remodeling have not been successful for the last few years, due to the rising cost of construction.

A charity has asked to purchase this building for the sum of One Dollar ($1.00), to be used as an Arts Center.

Do we have an obligation to take this issue to a vote of the Citizens? Do we have an obligation to get an appraisal in an attempt to obtain fair market value? Any information on the sale of this public building that you could give me would be appreciated.

Thanks,

Kay Wall

Kay, The empty building is property owned by the city. I see two issues. First, does the city want to sell the property? That question would be answered by the city manager, likely with discussion with the city council (which may or may not involve formal action). I am not aware of any requirement that the city council submit a proposal to buy municipal property to a vote of the people on the question of whether or not the city desires to or should sell the property. The second question is: what are the legal requirements to effect the sale? If the city wants to sell the property, it could require a vote of the people. Some charters require either a vote of the people or a non-emergency ordinance to authorize the sale of property over a certain value. Some charters require surplus property be sold with competitive bidding. Look to Eufaula’s charter and ordinances to answer those questions. The city cannot legally make a gift of the property to the charity. That said, you could research whether selling the property for nominal consideration could serve a public purpose if the city imposed conditions that would lead to an enhancement of the health, safety and welfare of the people of the community. I have not researched the issue of whether a public art center might be a public use that would justify the expenditure of public funds. Other city attorneys may have more insight into that question. Absent a public purpose, a sale for nominal consideration sounds like a gift. Finally, look to see how the building was originally obtained and financed, if at all. Was it acquired with restricted bond funds? It could be possible that the source of the funds used to acquire the property could impose some obligations or requirements. I have not had to address that issue, and will leave that to city attorneys more experience in dealing with that situation. Good luck, Jonathan E. Miller City Attorney City of Mustang 1501 N. Mustang Road Mustang, Oklahoma 73064 Telephone: (405) 376-7746 Facsimile: (405) 376-7721 This email is sent by the City Attorney and may contain information that is privileged or confidential. If you received this email in error, please notify the sender by reply email and delete the email and any attachments. If you are a and officer, employee or agent of the City of Mustang, you should not share this email with others. Sharing this email may result in a loss of the attorney-client privilege. From: Kay Robbins Wall via Oama <oama@lists.imla.org> Sent: Wednesday, July 12, 2023 3:59 PM To: OAMA Luistserv <oama@lists.imla.org> Subject: [Oama] Sale of Former City Hall Building Fellow Attorneys: Eufaula has had to abandon the old City Hall due to mold and other difficult working conditions and has purchased a different building at another location and moved. Attempts to obta Caution! This message was sent from outside your organization. sophospsmartbannerend Fellow Attorneys: Eufaula has had to abandon the old City Hall due to mold and other difficult working conditions and has purchased a different building at another location and moved. Attempts to obtain bids for remodeling have not been successful for the last few years, due to the rising cost of construction. A charity has asked to purchase this building for the sum of One Dollar ($1.00), to be used as an Arts Center. Do we have an obligation to take this issue to a vote of the Citizens? Do we have an obligation to get an appraisal in an attempt to obtain fair market value? Any information on the sale of this public building that you could give me would be appreciated. Thanks, Kay Wall

BA

Beth Anne Childs

Sun, Aug 27, 2023 10:56 PM

https://okmunicipalattorneys.org/online-training

Please see the attached! Also, I can’t remember…is Eufaula a Charter City? If so, you will need to check that as well!

Hope you are well!

Beth Anne

Beth Anne Childs
The Childs Law Firm, PLLC
1015 South Detroit Avenue
Tulsa, Oklahoma. 74120
(918) 521-3092

From: Kay Robbins Wall via Oama oama@lists.imla.org
Date: Wednesday, July 12, 2023 at 4:00 PM
To: OAMA Luistserv oama@lists.imla.org
Subject: [Oama] Sale of Former City Hall Building
Fellow Attorneys:

Eufaula has had to abandon the old City Hall due to mold and other difficult working conditions and has purchased a different building at another location and moved. Attempts to obtain bids for remodeling have not been successful for the last few years, due to the rising cost of construction.

A charity has asked to purchase this building for the sum of One Dollar ($1.00), to be used as an Arts Center.

Do we have an obligation to take this issue to a vote of the Citizens? Do we have an obligation to get an appraisal in an attempt to obtain fair market value? Any information on the sale of this public building that you could give me would be appreciated.

Thanks,

Kay Wall

https://okmunicipalattorneys.org/online-training Please see the attached! Also, I can’t remember…is Eufaula a Charter City? If so, you will need to check that as well! Hope you are well! Beth Anne Beth Anne Childs The Childs Law Firm, PLLC 1015 South Detroit Avenue Tulsa, Oklahoma. 74120 (918) 521-3092 From: Kay Robbins Wall via Oama <oama@lists.imla.org> Date: Wednesday, July 12, 2023 at 4:00 PM To: OAMA Luistserv <oama@lists.imla.org> Subject: [Oama] Sale of Former City Hall Building Fellow Attorneys: Eufaula has had to abandon the old City Hall due to mold and other difficult working conditions and has purchased a different building at another location and moved. Attempts to obtain bids for remodeling have not been successful for the last few years, due to the rising cost of construction. A charity has asked to purchase this building for the sum of One Dollar ($1.00), to be used as an Arts Center. Do we have an obligation to take this issue to a vote of the Citizens? Do we have an obligation to get an appraisal in an attempt to obtain fair market value? Any information on the sale of this public building that you could give me would be appreciated. Thanks, Kay Wall

KC

Keith, Craig B.

Mon, Aug 28, 2023 1:28 PM

Transfers of property held by a city in its corporate capacity may be sold at fair market value (which may include monetary and non-monetary consideration) or else may violate Oklahoma Constitution Article X, section 17.

From: Beth Anne Childs via Oama oama@lists.imla.org
Sent: Sunday, August 27, 2023 5:56 PM
To: Kay Robbins Wall lkrw@sbcglobal.net; OAMA Luistserv oama@lists.imla.org
Subject: [Oama] Re: Sale of Former City Hall Building

https://okmunicipalattorneys.org/online-training

Please see the attached! Also, I can't remember...is Eufaula a Charter City? If so, you will need to check that as well!

Hope you are well!

Beth Anne

Beth Anne Childs
The Childs Law Firm, PLLC
1015 South Detroit Avenue
Tulsa, Oklahoma. 74120
(918) 521-3092

From: Kay Robbins Wall via Oama <oama@lists.imla.org mailto:oama@lists.imla.org>
Date: Wednesday, July 12, 2023 at 4:00 PM
To: OAMA Luistserv <oama@lists.imla.org mailto:oama@lists.imla.org>
Subject: [Oama] Sale of Former City Hall Building
Fellow Attorneys:

Eufaula has had to abandon the old City Hall due to mold and other difficult working conditions and has purchased a different building at another location and moved. Attempts to obtain bids for remodeling have not been successful for the last few years, due to the rising cost of construction.

A charity has asked to purchase this building for the sum of One Dollar ($1.00), to be used as an Arts Center.

Do we have an obligation to take this issue to a vote of the Citizens? Do we have an obligation to get an appraisal in an attempt to obtain fair market value? Any information on the sale of this public building that you could give me would be appreciated.

Thanks,

Kay Wall
CONFIDENTIALITY NOTE: This e-mail message and any attachments are intended solely for the person to which it is addressed and may contain privileged and confidential information protected by law. If you have received this communication in error, please notify the sender immediately by telephone or e-mail, destroy this message and delete any copies held in your electronic files. Unauthorized use and/or re-disclosure may subject you to penalties under applicable state and federal laws.

Transfers of property held by a city in its corporate capacity may be sold at fair market value (which may include monetary and non-monetary consideration) or else may violate Oklahoma Constitution Article X, section 17. From: Beth Anne Childs via Oama <oama@lists.imla.org> Sent: Sunday, August 27, 2023 5:56 PM To: Kay Robbins Wall <lkrw@sbcglobal.net>; OAMA Luistserv <oama@lists.imla.org> Subject: [Oama] Re: Sale of Former City Hall Building https://okmunicipalattorneys.org/online-training Please see the attached! Also, I can't remember...is Eufaula a Charter City? If so, you will need to check that as well! Hope you are well! Beth Anne Beth Anne Childs The Childs Law Firm, PLLC 1015 South Detroit Avenue Tulsa, Oklahoma. 74120 (918) 521-3092 From: Kay Robbins Wall via Oama <oama@lists.imla.org<mailto:oama@lists.imla.org>> Date: Wednesday, July 12, 2023 at 4:00 PM To: OAMA Luistserv <oama@lists.imla.org<mailto:oama@lists.imla.org>> Subject: [Oama] Sale of Former City Hall Building Fellow Attorneys: Eufaula has had to abandon the old City Hall due to mold and other difficult working conditions and has purchased a different building at another location and moved. Attempts to obtain bids for remodeling have not been successful for the last few years, due to the rising cost of construction. A charity has asked to purchase this building for the sum of One Dollar ($1.00), to be used as an Arts Center. Do we have an obligation to take this issue to a vote of the Citizens? Do we have an obligation to get an appraisal in an attempt to obtain fair market value? Any information on the sale of this public building that you could give me would be appreciated. Thanks, Kay Wall CONFIDENTIALITY NOTE: This e-mail message and any attachments are intended solely for the person to which it is addressed and may contain privileged and confidential information protected by law. If you have received this communication in error, please notify the sender immediately by telephone or e-mail, destroy this message and delete any copies held in your electronic files. Unauthorized use and/or re-disclosure may subject you to penalties under applicable state and federal laws.