STAFF REPORT

Operations Committee, Date: December 6, 2007

Swift Creek Open Space Donation/Acquisition (PR08-13)
Consideration to acquire 38.27 acres of land located along Swift Creek

Speaker:  Ms. Mary Henderson

 

From:  Mary G. Henderson, Director, PRCR
Prepared by:  Doug McRainey, Parks Planning Manager, PRCR

Approved by:  William B. Coleman, Jr., Town Manager
Approved by:  Benjamin T. Shivar, Assistant Town Manager

Staff is requesting Council’s consideration to approve an acquisition/donation of 38.27 acres of critical open space located along Swift Creek.  The property is owned by Glenn Futrell and located on east side of Holly Springs Road and just north of Penny Road.  The tract is adjacent to several open space tracts, owned by the Town of Cary, Wake County and the Triangle Land Conservancy (TLC). This tract is comprised predominantly of flood plain on the south side of Swift Creek, with high bluffs to the south and east side of the property.

Acquisition would provide unique opportunities and positive potential benefits for the County, as well as the City of Raleigh, the Town of Cary and area residents. In addition to the obvious contribution to water quality in the critical Swift Creek Watershed, this land provides a key link to the future Swift Creek Greenway planned by both Cary and Raleigh, which would ultimately provide linkage with Lake Wheeler and Lake Benson, located 6.5 miles to the east. 

It has been the intent of the landowner to preserve this property for the past several years.  Due to its location between jurisdictions, the Town of Cary, Raleigh and Wake County and the TLC met over several months to discuss the terms and conditions of the purchase and the joint use of the property.  The parties have discussed a partnership in which Wake, Cary and Raleigh would equally share in the purchase price and TLC would actually own and manage the property.  Additionally, TLC will request a $300,000 Clean Water Management Trust Fund grant.  Any grant funds approved would provide equal share reimbursements to the County, Cary and Raleigh.

The basic terms of the proposed agreement are described more specifically as follows:

• The owner has committed to the protection of 38.27 acres of his property along the Swift Creek, located between Holly Springs Road and Lake Wheeler.
• Of the 38.27 acres, the owner has agreed to donate 24 acres and sell the remaining 14 acres for a total of $762,000. (An appraisal was completed for the property. The appraisal determined the value of the 38.269 acres to be $50,301.81 per acre, with a total property value of $1,925,000.)
• It has been proposed that the communities of Raleigh and Cary partner with Wake County for the equal purchase of this property.  The three government agencies would need to commit an equal share of $254,000 each towards the purchase of this property.
• A conservation easement will be reserved or deeded back to the Triangle Land Conservancy (TLC) for the 100-year floodplain along Swift Creek. The easement will allow for future greenway and/or utility construction. (Utility construction includes sewer, telecommunications, gas, fiber optic and power, as needed.)
• The TLC has agreed to take ownership and manage this property.
• TLC will draft and route a purchase contract to all parties for review and approval as well as obtain supporting documentation including title insurance, and an environmental assessment.
• TLC will also apply for a 2008 Clean Water Management Trust Fund grant in the amount of $300,000 on behalf of the project, with any grant award being split among the Town of Cary, the City of Raleigh and Wake County as a reimbursement after the purchase.
• Closing on the property to occur on or before December 31, 2007.

The Swift Creek is a significant tributary.  It is expected that this acquisition will be the first of several with the ultimate intent to protect the entire natural corridor between Holly Springs Road and Lake Wheeler.  In terms of the greenway, the proposed length is 1.25 miles to link Holly Springs to Lake Wheeler.  Raleigh has already developed a plan for a 6.5 mile greenway link between Lake Wheeler and Lake Benson.  Given the significance of this natural corridor, the PRCR Department requested funding from the USDA in 2007 to complete a stream restoration, greenway and open space study of the land between Holly Springs Road and Lake Wheeler. (PRCR has not been notified yet whether the funding has been awarded.) The purpose of this study will be to delineate which properties to protect, to complete a greenway alignment and to determine which segments of the Swift Creek need to be restored. (The Town completed a similar study along the White Oak Creek in west Cary in 2006 in partnership with the Town of Apex.)

For tax reasons, the owner must close on this property before the end of 2007 in order to take advantage of this proposed bargain sale.  If we are unable to close by December 31, 2007, the owner loses his incentive to offer the property at such a bargain sale.  Both Wake County and Raleigh have already agreed to partner on the purchase of this property.  If details of the transaction are not concluded by closing, Wake County will fund the cost of the acquisition that will be conveyed to TLC, and the Town’s consideration will be reimbursed to Wake County.  As such, this partnership is unique among agencies and is evidence of the significance of this open space to the region.

Fiscal Impact:

Operating Impacts:  There are no operating impacts since the Triangle Land Conservancy has agreed to take ownership and maintenance responsibilities for this property.

Funding Impacts: If approved, the Town would be agreeing to provide $254,000 in funding to assist in the acquisition of this property.  Funding would be from capital project WT1078.  To date, a total of $29,804,982 has been appropriated to the WT1078 Open Space Acquisition project.  Expenditures/ encumbrances to date total $21,462,139 leaving a current available balance of $8,342,843.

Staff Recommendation:  Staff recommends the following:

1)     Approval to partner with the City of Raleigh, Wake County and the Triangle Land Conservancy in the acquisition of 38.27 acres as described;

2)     Approval to appropriate $254,000 from capital project WT1078 towards the acquisition of this property, which is one-third of the total acquisition price and as such represents Cary’s equal share in partnership with Wake County and Raleigh; and,

3)     Approval to support the Triangle Land Conservancy’s 2008 application to Clean Water Management Trust Fund on behalf of the project, with any grant award being split among the Town of Cary, the City of Raleigh and Wake County as a reimbursement after the purchase.