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City plans to purchase Apache Junction Rodeo Grounds

Posted 10/8/20

The Apache Junction Rodeo Grounds, home to annual events such as Lost Dutchman Days, is on property leased by the city from the Bureau of Land Management in the U.S. Department of the …

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development

City plans to purchase Apache Junction Rodeo Grounds

Posted

The Apache Junction Rodeo Grounds, home to annual events such as Lost Dutchman Days, is on property leased by the city from the Bureau of Land Management in the U.S. Department of the Interior.

That may change soon as the City Council on Oct. 6 approved a resolution in a consent agenda with other items authorizing the city to enter into an agreement with BLM for preparatory rodeo grounds purchase costs.

Processing is to cost approximately $85,395, with $64,395 from BLM, which includes 21.5%, or $11,395, in administrative overhead; and $21,000 from Apache Junction, according to an appendix with the agreement.

The city has a recreation and public purpose lease for the 20-acre rodeo grounds at 1590 E. Lost Dutchman Blvd. and is interested in purchasing the land.

“This would allow the city to expand the recreational and equestrian uses and generate revenue to help fund future parks and recreation facilities and amenities,” Parks and Recreation Director Liz Langenbach said in a Sept. 18 memo to the council.

That was three days after the City Council met in a closed-door executive session for “discussions or consultations with designated representatives of the public body in order to consider its position and instruct its representatives regarding negotiations for the purchase, sale or lease of real property,” according to the Sept, 15 agenda for the meeting not open to the public.

The resolution approved Oct. 6 includes an agreement with BLM that provides the framework for the pre-purchase process and the preparatory costs associated with purchasing the land.

“As part of this process, an appraisal will be completed and will dictate the purchase price. When that figure is available, staff will bring back the matter for council consideration,” Ms. Langenbach said in the memo.

Agreement with BLM

The property is proposed to be conveyed via a direct sale to Apache Junction, according to the agreement.

“It is also the purpose of this agreement to provide a framework for the cooperation and coordination between the BLM and AJ in completing the conveyance of the subject public lands that will be necessary in order to complete the FLPMA §203 & §209 (43 U.S.C. §1713 & §1719) sale of the public lands in a timely, efficient and legally sufficient manner. This agreement describes the respective roles, responsibilities and funding mechanism for completing the sale,” it states about the Federal Land Policy and Management Act for sales, Section 203, and reservation and conveyance of mineral interest, Section 209; and 43 U.S. Code sales of public land tracts, Section 1713, and mineral interests, Section 1719.

Per the agreement, Apache Junction is to:

  • Fund the costs associated with the processing of the land sale. Processing costs involve all tasks associated with the proposed sale, including internal approvals, appraisals, environmental analyses and clearances, hazardous materials site assessments, mineral reports, public notification, legal review and project oversight. Tasks that Apache Junction undertakes specific to this effort will be completed in a manner satisfactory to BLM and compliant with the applicable federal laws and regulations.
  • Apache Junction will volunteer to deposit the initial sum of $20,000 into a non-interest-bearing BLM cost-recovery account. Funds remaining in the account upon completion of the proposed sale will be returned to Apache Junction.

Per the agreement, BLM is to:

  • Provide the necessary project-management expertise for processing the sale of the public lands identified in the legislation.
  • Initiate and process the sale of the subject public lands in accordance with FLPMA and other existing laws, regulations and policies, and provide the final documentation and reports to the proponent.
  • Manage a cost-recovery account and provide an expended cost summary of the contributed funds on a semi-annual basis until the completion of the stated purpose of this agreement.