Empathy List Archives

KR

Kay Robbins Wall

Tue, Oct 5, 2021 8:38 PM

One of my cities wants to sell a few buildings owned by the City-- City Hall, the fire station, the community center, and the Department of Human Services Building, which is no longer used by DHS. The purpose of the sales is to raise money to buy new lands and build new buildings. (New city hall, new fire station, etc. to replace those that have many issues.) I have done a bit of research, and think that we do not have to take this to a vote of the people-- correct? Do I simply need Resolutions authorizing the sales? I am thinking that we should at least obtain appraisals, and only sell for a price that is the appraised value. Thoughts?
Also, I have never used a Realtor to list city property for sale, but "City Hall" wants to list with a local Realtor. (We have many realtors in our town.) Are there special considerations in the realtor aspect of the sales?
The DHS building is currently in use by a non-profit corporation, on a year to year basis.
Thanks for all input.
Kay Wall918.689.7737 office

One of my cities wants to sell a few buildings owned by the City-- City Hall, the fire station, the community center, and the Department of Human Services Building, which is no longer used by DHS. The purpose of the sales is to raise money to buy new lands and build new buildings. (New city hall, new fire station, etc. to replace those that have many issues.) I have done a bit of research, and think that we do not have to take this to a vote of the people-- correct? Do I simply need Resolutions authorizing the sales? I am thinking that we should at least obtain appraisals, and only sell for a price that is the appraised value. Thoughts? Also, I have never used a Realtor to list city property for sale, but "City Hall" wants to list with a local Realtor. (We have many realtors in our town.) Are there special considerations in the realtor aspect of the sales? The DHS building is currently in use by a non-profit corporation, on a year to year basis. Thanks for all input. Kay Wall918.689.7737 office

DD

david davis

Tue, Oct 5, 2021 9:07 PM

Here is a case dealing with the issues you describe:

STATE EX REL. REMY v. AGAR
1977 OK 6
559 P.2d 1235
Decided: 01/18/1977
Modified: 01/25/1977
Supreme Court of Oklahoma

Also if your city has a charter it will likely contain a provision that deals with sale of city property.
The use of a realtor would be a professional service and could be dealt with by requesting proposals.

CONFIDENTIALITY NOTE: This transmission is protected by the Electronic Communications Privacy Act, 18 U.S.C. Sections 2510-2521 and intended to be delivered only to the named addressee(s) This e-mail message is intended only for the personal use of the recipient(s) named above. This message is or may be an attorney-client communication and as such privileged and confidential. If you are not an intended recipient, you may not review, copy or distribute this message. If you have received this communication in error, please notify us immediately by e-mail and delete the original message.

s/ David A. Davis
LAW OFFICE OF DAVID A. DAVIS
4312 N. Classen Blvd.
OKLAHOMA CITY, OK 73118
405 840-6353
405 557-0777 (FAX)
ddavislaw@live.com mailto:ddavislaw@live.com

From: Kay Robbins Wall lkrw@sbcglobal.net
Sent: Tuesday, October 5, 2021 3:38 PM
To: OAMA Luistserv oama@lists.imla.org
Subject: [Oama] selling municipal property

One of my cities wants to sell a few buildings owned by the City-- City Hall, the fire station, the community center, and the Department of Human Services Building, which is no longer used by DHS. The purpose of the sales is to raise money to buy new lands and build new buildings. (New city hall, new fire station, etc. to replace those that have many issues.) I have done a bit of research, and think that we do not have to take this to a vote of the people-- correct? Do I simply need Resolutions authorizing the sales? I am thinking that we should at least obtain appraisals, and only sell for a price that is the appraised value. Thoughts?

Also, I have never used a Realtor to list city property for sale, but "City Hall" wants to list with a local Realtor. (We have many realtors in our town.) Are there special considerations in the realtor aspect of the sales?

The DHS building is currently in use by a non-profit corporation, on a year to year basis.

Thanks for all input.

Kay Wall
918.689.7737 office

Here is a case dealing with the issues you describe: STATE EX REL. REMY v. AGAR 1977 OK 6 559 P.2d 1235 Decided: 01/18/1977 Modified: 01/25/1977 Supreme Court of Oklahoma Also if your city has a charter it will likely contain a provision that deals with sale of city property. The use of a realtor would be a professional service and could be dealt with by requesting proposals. CONFIDENTIALITY NOTE: This transmission is protected by the Electronic Communications Privacy Act, 18 U.S.C. Sections 2510-2521 and intended to be delivered only to the named addressee(s) This e-mail message is intended only for the personal use of the recipient(s) named above. This message is or may be an attorney-client communication and as such privileged and confidential. If you are not an intended recipient, you may not review, copy or distribute this message. If you have received this communication in error, please notify us immediately by e-mail and delete the original message. s/ David A. Davis LAW OFFICE OF DAVID A. DAVIS 4312 N. Classen Blvd. OKLAHOMA CITY, OK 73118 405 840-6353 405 557-0777 (FAX) ddavislaw@live.com<mailto:ddavislaw@live.com> ________________________________ From: Kay Robbins Wall <lkrw@sbcglobal.net> Sent: Tuesday, October 5, 2021 3:38 PM To: OAMA Luistserv <oama@lists.imla.org> Subject: [Oama] selling municipal property One of my cities wants to sell a few buildings owned by the City-- City Hall, the fire station, the community center, and the Department of Human Services Building, which is no longer used by DHS. The purpose of the sales is to raise money to buy new lands and build new buildings. (New city hall, new fire station, etc. to replace those that have many issues.) I have done a bit of research, and think that we do not have to take this to a vote of the people-- correct? Do I simply need Resolutions authorizing the sales? I am thinking that we should at least obtain appraisals, and only sell for a price that is the appraised value. Thoughts? Also, I have never used a Realtor to list city property for sale, but "City Hall" wants to list with a local Realtor. (We have many realtors in our town.) Are there special considerations in the realtor aspect of the sales? The DHS building is currently in use by a non-profit corporation, on a year to year basis. Thanks for all input. Kay Wall 918.689.7737 office

JM

Jon Miller

Tue, Oct 5, 2021 9:09 PM

Kay,

Check your Charter. Some older charters have a provision that requires an ordinance or a vote of the people to sell real or personal property over a certain value.

The property may be considered devoted to a public purpose and may require a resolution declaring it no longer suitable or necessary and removing the public trust aspect of the property. See, Immel v. Tulsa Public Works Authority, 2021 OK 39, regarding the sale of property held in public trust.

Make certain no employee or official has any ties with the realtor chosen to sell the property. A conflict could create a problem.

The sale of the DHS building may have to be subject to the lease, unless the non-profit is willing to terminate early.

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 lkrw@sbcglobal.net
Sent: Tuesday, October 5, 2021 3:39 PM
To: OAMA Luistserv oama@lists.imla.org
Subject: [CAUTION: SUSPECT SENDER] [Oama] selling municipal property

One of my cities wants to sell a few buildings owned by the City-- City Hall, the fire station, the community center, and the Department of Human Services Building, which is no longer used by DHS. The purpose of the sales is to raise money to buy new lands and build new buildings. (New city hall, new fire station, etc. to replace those that have many issues.) I have done a bit of research, and think that we do not have to take this to a vote of the people-- correct? Do I simply need Resolutions authorizing the sales? I am thinking that we should at least obtain appraisals, and only sell for a price that is the appraised value. Thoughts?

Also, I have never used a Realtor to list city property for sale, but "City Hall" wants to list with a local Realtor. (We have many realtors in our town.) Are there special considerations in the realtor aspect of the sales?

The DHS building is currently in use by a non-profit corporation, on a year to year basis.

Thanks for all input.

Kay Wall
918.689.7737 office

Kay, Check your Charter. Some older charters have a provision that requires an ordinance or a vote of the people to sell real or personal property over a certain value. The property may be considered devoted to a public purpose and may require a resolution declaring it no longer suitable or necessary and removing the public trust aspect of the property. See, Immel v. Tulsa Public Works Authority, 2021 OK 39, regarding the sale of property held in public trust. Make certain no employee or official has any ties with the realtor chosen to sell the property. A conflict could create a problem. The sale of the DHS building may have to be subject to the lease, unless the non-profit is willing to terminate early. 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 <lkrw@sbcglobal.net> Sent: Tuesday, October 5, 2021 3:39 PM To: OAMA Luistserv <oama@lists.imla.org> Subject: [CAUTION: SUSPECT SENDER] [Oama] selling municipal property One of my cities wants to sell a few buildings owned by the City-- City Hall, the fire station, the community center, and the Department of Human Services Building, which is no longer used by DHS. The purpose of the sales is to raise money to buy new lands and build new buildings. (New city hall, new fire station, etc. to replace those that have many issues.) I have done a bit of research, and think that we do not have to take this to a vote of the people-- correct? Do I simply need Resolutions authorizing the sales? I am thinking that we should at least obtain appraisals, and only sell for a price that is the appraised value. Thoughts? Also, I have never used a Realtor to list city property for sale, but "City Hall" wants to list with a local Realtor. (We have many realtors in our town.) Are there special considerations in the realtor aspect of the sales? The DHS building is currently in use by a non-profit corporation, on a year to year basis. Thanks for all input. Kay Wall 918.689.7737 office

JK

Jordan, Kenneth

Tue, Oct 5, 2021 9:36 PM

A few additional thoughts:

Buildings to sell: City Hall, the fire station, the community center, and the Department of Human Services Building, which is no longer used by DHS

If any of these buildings were originally purchased by the city with G.O. Bond revenues (Art. 10, Sec. 27 (public utilities, as defined by case law under that section), you will need to declare the buildings surplus for G.O. Bond purposes and obtain FMV, with the receipts from the sale being put into accounts and used for the original G.O. Bond purposes based on the G.O. Bond propositions by which the voters approved the bonds. The G.O. Bond purpose follows the asset, so when the asset is converted to cash, the cash must be used for the original G.O. Bond purpose-see Okla. Const. Art. 10, Sec. 16 and cases annotated under it (especially PROTEST OF REID). So you cannot take the cash obtained from sale of a G.O. Bond asset and use it for another purpose, such as economic development.

In regard to the declaration of "surplus" for governmental-purpose property-which likely encompasses most if not all property bought with Sec. 27 G.O. Bond revenues (but I've never researched that specifically)-note that AGAR, cited by David below, states the standard as:

¶16 Conversely, appellant taxpayer argues that such general grants of authority are not sufficient to enable the City to convey land used in the public trust as a public utility, arguing that the dump ground constituted a utility under Oklahoma law. In order to decide the issue before us, it is not necessary to determine whether the City dump constituted a utility, for under the general rule, which we cited with approval in Board of County Com'rs v. Mullins, 202 Okl. 628, 217 P.2d 835https://www.oscn.net/applications/oscn/deliverdocument.asp?citeid=54829 (1950), a municipal property held in a governmental capacity, that is for public use, cannot be sold without special legislative authority unless the public use has been abandoned or the property has become unsuited for continued use. McQuillin's Treatise on Municipal Corporations discusses this principle in depth.

So you're talking about a Resolution declaring that the property has either been "abandoned" for the governmental purpose or "has become unsuited for continued use." It's surplus for the governmental purpose because it is either abandoned or unsuited for continued use.

Perhaps Wiley has additional thoughts on this subject.
From: david davis ddavislaw@live.com
Sent: Tuesday, October 5, 2021 4:07 PM
To: Kay Robbins Wall lkrw@sbcglobal.net; oama@lists.imla.org
Subject: [Oama] Re: selling municipal property

Here is a case dealing with the issues you describe:

STATE EX REL. REMY v. AGAR
1977 OK 6. B
559 P.2d 1235
Decided: 01/18/1977
Modified: 01/25/1977
Supreme Court of Oklahoma

Also if your city has a charter it will likely contain a provision that deals with sale of city property.
The use of a realtor would be a professional service and could be dealt with by requesting proposals.

CONFIDENTIALITY NOTE: This transmission is protected by the Electronic Communications Privacy Act, 18 U.S.C. Sections 2510-2521 and intended to be delivered only to the named addressee(s) This e-mail message is intended only for the personal use of the recipient(s) named above. This message is or may be an attorney-client communication and as such privileged and confidential. If you are not an intended recipient, you may not review, copy or distribute this message. If you have received this communication in error, please notify us immediately by e-mail and delete the original message.

s/ David A. Davis
LAW OFFICE OF DAVID A. DAVIS
4312 N. Classen Blvd.
OKLAHOMA CITY, OK 73118
405 840-6353
405 557-0777 (FAX)
ddavislaw@live.com mailto:ddavislaw@live.com

From: Kay Robbins Wall <lkrw@sbcglobal.net mailto:lkrw@sbcglobal.net>
Sent: Tuesday, October 5, 2021 3:38 PM
To: OAMA Luistserv <oama@lists.imla.org mailto:oama@lists.imla.org>
Subject: [Oama] selling municipal property

One of my cities wants to sell a few buildings owned by the City-- City Hall, the fire station, the community center, and the Department of Human Services Building, which is no longer used by DHS. The purpose of the sales is to raise money to buy new lands and build new buildings. (New city hall, new fire station, etc. to replace those that have many issues.) I have done a bit of research, and think that we do not have to take this to a vote of the people-- correct? Do I simply need Resolutions authorizing the sales? I am thinking that we should at least obtain appraisals, and only sell for a price that is the appraised value. Thoughts?

Also, I have never used a Realtor to list city property for sale, but "City Hall" wants to list with a local Realtor. (We have many realtors in our town.) Are there special considerations in the realtor aspect of the sales?

The DHS building is currently in use by a non-profit corporation, on a year to year basis.

Thanks for all input.

Kay Wall
918.689.7737 office
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.

A few additional thoughts: Buildings to sell: City Hall, the fire station, the community center, and the Department of Human Services Building, which is no longer used by DHS If any of these buildings were originally purchased by the city with G.O. Bond revenues (Art. 10, Sec. 27 (public utilities, as defined by case law under that section), you will need to declare the buildings surplus for G.O. Bond purposes and obtain FMV, with the receipts from the sale being put into accounts and used for the original G.O. Bond purposes based on the G.O. Bond propositions by which the voters approved the bonds. The G.O. Bond purpose follows the asset, so when the asset is converted to cash, the cash must be used for the original G.O. Bond purpose-see Okla. Const. Art. 10, Sec. 16 and cases annotated under it (especially PROTEST OF REID). So you cannot take the cash obtained from sale of a G.O. Bond asset and use it for another purpose, such as economic development. In regard to the declaration of "surplus" for governmental-purpose property-which likely encompasses most if not all property bought with Sec. 27 G.O. Bond revenues (but I've never researched that specifically)-note that AGAR, cited by David below, states the standard as: ¶16 Conversely, appellant taxpayer argues that such general grants of authority are not sufficient to enable the City to convey land used in the public trust as a public utility, arguing that the dump ground constituted a utility under Oklahoma law. In order to decide the issue before us, it is not necessary to determine whether the City dump constituted a utility, for under the general rule, which we cited with approval in Board of County Com'rs v. Mullins, 202 Okl. 628, 217 P.2d 835<https://www.oscn.net/applications/oscn/deliverdocument.asp?citeid=54829> (1950), a municipal property held in a governmental capacity, that is for public use, cannot be sold without special legislative authority unless the public use has been abandoned or the property has become unsuited for continued use. McQuillin's Treatise on Municipal Corporations discusses this principle in depth. So you're talking about a Resolution declaring that the property has either been "abandoned" for the governmental purpose or "has become unsuited for continued use." It's surplus for the governmental purpose because it is either abandoned or unsuited for continued use. Perhaps Wiley has additional thoughts on this subject. From: david davis <ddavislaw@live.com> Sent: Tuesday, October 5, 2021 4:07 PM To: Kay Robbins Wall <lkrw@sbcglobal.net>; oama@lists.imla.org Subject: [Oama] Re: selling municipal property Here is a case dealing with the issues you describe: STATE EX REL. REMY v. AGAR 1977 OK 6. B 559 P.2d 1235 Decided: 01/18/1977 Modified: 01/25/1977 Supreme Court of Oklahoma Also if your city has a charter it will likely contain a provision that deals with sale of city property. The use of a realtor would be a professional service and could be dealt with by requesting proposals. CONFIDENTIALITY NOTE: This transmission is protected by the Electronic Communications Privacy Act, 18 U.S.C. Sections 2510-2521 and intended to be delivered only to the named addressee(s) This e-mail message is intended only for the personal use of the recipient(s) named above. This message is or may be an attorney-client communication and as such privileged and confidential. If you are not an intended recipient, you may not review, copy or distribute this message. If you have received this communication in error, please notify us immediately by e-mail and delete the original message. s/ David A. Davis LAW OFFICE OF DAVID A. DAVIS 4312 N. Classen Blvd. OKLAHOMA CITY, OK 73118 405 840-6353 405 557-0777 (FAX) ddavislaw@live.com<mailto:ddavislaw@live.com> ________________________________ From: Kay Robbins Wall <lkrw@sbcglobal.net<mailto:lkrw@sbcglobal.net>> Sent: Tuesday, October 5, 2021 3:38 PM To: OAMA Luistserv <oama@lists.imla.org<mailto:oama@lists.imla.org>> Subject: [Oama] selling municipal property One of my cities wants to sell a few buildings owned by the City-- City Hall, the fire station, the community center, and the Department of Human Services Building, which is no longer used by DHS. The purpose of the sales is to raise money to buy new lands and build new buildings. (New city hall, new fire station, etc. to replace those that have many issues.) I have done a bit of research, and think that we do not have to take this to a vote of the people-- correct? Do I simply need Resolutions authorizing the sales? I am thinking that we should at least obtain appraisals, and only sell for a price that is the appraised value. Thoughts? Also, I have never used a Realtor to list city property for sale, but "City Hall" wants to list with a local Realtor. (We have many realtors in our town.) Are there special considerations in the realtor aspect of the sales? The DHS building is currently in use by a non-profit corporation, on a year to year basis. Thanks for all input. Kay Wall 918.689.7737 office 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.