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9. EDSR 10-08-2007ITEM # 9. MEMORANDUM TO: Economic Development Authority FROM: Scott Clark, Community Development Director DATE: October 3, 2007 SUBJECT: Post Office Property -Line Avenue and County Road 12 On September 27, 2007, City staff met with representatives of the U.S. Post Office regarding their future operations within the city. Their strategy will be as follows: 1. Convert the existing post office into an operation carrier service facility. 2. Start astatutory-defined six-month process to lease 2,500 square feet of existing space within the community for their retail operation. 3. Begin a process of selling their 4.5-acre property at Line Avenue and County Road 12 (see attached map). The U.S. Post Office will be coming back to the City Council at a future Council date, either in mid-October or early November, to state their exact process in terms of items 1 and 2 as required by Federal Statutes. Regarding the sale of the Line Avenue parcel and based upon past inquiries, staff recognizes that the subject property is a very attractive commercial piece and it appears that it would be desirable for the city to try to guide the ultimate development of this parcel, if possible. Based on initial discussions with the U.S. Post Office, it was discussed whether the city may have the ability to be first in line for the acquisition of this property; but in further discussions, the U.S. Post Office can act independently of other federal entities and because of this, the property will be sold under an open bid process. Staff does not have a definitive time as to when a request for proposal will be issued; however, it is our understanding that an appraisal has already been done on this property, which means that a bid process seemingly will be open by the end of this year. There are no decisions for the EDA to make at this meeting, however, a general discussion could be held now or at the November meeting if the EDA is desirous of entering into that bidding process, in order to assure the city of getting the right type of development on this property. Currently, any use listed under the permitted or conditional use sections in the Business Park District provisions of the city's zoning ordinance would be allowed, with the only controls the city having is on-site layout and design considerations. Staff will keep the EDA and City Council apprised of bidding specifics as staff receives more information over the next month or so. The policy questions framed for the EDA are incorporation in the next agenda item. S:\Community Development\Scott Clark\2007 EDA memos\Post Office property.doc