Resolution No 34-2020 - Settlement Agreement Acquire Portion Norfolk S. Railway Coal Line Trail

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INTER-OFFICE MEMORANDUM Department of Law City of South Bend 227 W Jefferson Blvd TO: Board of Public Works, Linda Martin, Anne Fuchs FROM: Sandra Kennedy, Assistant City Attorney SUBJECT: Resolution Authorizing Settlement of Condemnation Claim Against Norfolk Southern Railway Company (the “Agreement”) DATE: 12/15/20 Members of the Board, Ms. Martin, and Ms. Fuchs: As you are aware, the City has been planning a multi-use trail over the abandoned railway line that formerly brought coal to the University of Notre Dame campus . The project team has been acquiring properties along the trail line, with the largest portion of approximately 10.48 acres plus an abandoned railroad bridge over the St. Joseph River (the "Property") owned by Norfolk Southern Railway Company ("NSRC"). The City's efforts to negotiate a purchase with NSRC failed, and the City filed a complaint in court to condemn the Property. The City and NSRC agreed to mediation, which was held on December 9, 2020, and the City, with Mayoral support, agreed to acquire the Property for $600,0 00, which is a per acre price higher than the City's initial offer but lower than the per acre price demanded by NSRC. The parties will enter into a separate Real Estate Purchase Agreement for the purchase of the Property and payment will be made upon the closing of the sale. The City's condemnation claim will be dismissed concurrently with the transfer. Thank you.