City of Olathe header
File #: G25-4898   
Type: New Business Status: Agenda Ready
File created: 2/3/2025 In control: City Council
On agenda: 2/4/2025 Final action:
Title: Consideration of Ordinance No. 25-06 authorizing payment by the City Treasurer of an eminent domain award and court-appointed appraisers' fees in the eminent domain case of The City of Olathe, Kansas vs. Sutherland Lumber Company of Kansas City, LLC, et al., Case No. 24-CV-05563 for the Animal Shelter Project, PN 6-C-007-23.
Staff Contact: Ron Shaver, Mike Sirna
Attachments: 1. A: Appraiser’s Award Ordinance

Focus Area: Legal; Quality of Life

Staff Contact: Ron Shaver; Mike Sirna

Subject: Authorization to pay an eminent domain award and court-appointed appraiser’s fees for the Animal Shelter Project, PN 6-C-007-23.

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Consideration of Ordinance No. 25-06 authorizing payment by the City Treasurer of an eminent domain award and court-appointed appraisers’ fees in the eminent domain case of The City of Olathe, Kansas vs. Sutherland Lumber Company of Kansas City, LLC, et al., Case No. 24-CV-05563 for the Animal Shelter Project, PN 6-C-007-23.

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Summary:

Project No. 6-C-007-23 was created by Resolution No. 23-1027 on April 4, 2023.  The project will include construction of a new animal shelter facility to alleviate various issues in the current facility, including access, overcrowding, maintenance costs, health and disease control, safety, improved working conditions, and an improved customer experience. 

 

On October 9, 2024, the City Council approved Resolution No. 24-1062, authorizing an engineering survey of land needed for the project, and Ordinance No. 24-25, approving the survey and authorizing the filing of a petition for eminent domain in the Johnson County, Kansas District Court.

 

On October 21, 2024, Orrick & Erskine, L.L.P. filed the petition for eminent domain in the Johnson County, Kansas District Court on behalf of the City of Olathe.  On December 19, 2024, the Johnson County District Court approved the city’s petition conferring the City the power of eminent domain for the Animal Shelter Project and appointing Robin Marx, John Moser, and Frank Gilman as Court-appointed appraisers.  The appraisers’ hearing was held on January 24, 2025. 

 

On January 31, 2025, the Court-appointed appraisers awarded $2,100,000 in fee simple for the property (the property condemned is approximately 5.93 acres, so approximately $8.13/square foot) and $12,967.50 as appraisers’ fees ($2,112,967.50 total).

 

Staff recommends accepting the award and approving the ordinance (Attachment A). 

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Financial Impact:

The 2025-2029 Capital Improvement Plan has allocated $15,000,000 in General Obligation Bonds to finance the Animal Shelter project. Funds to pay the award and appraisers’ fees will be paid from the project account.

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Action Needed:

Approve Ordinance No. 25-06 authorizing payment by the City Treasurer of an eminent domain award and court-appointed appraisers’ fees in the eminent domain case of The City of Olathe, Kansas vs. Sutherland Lumber Company of Kansas City, LLC, et al., Case No. 24-CV-05563 for the Animal Shelter Project, PN 6-C-007-23.

 

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Attachment(s):

A:  Appraiser’s Award Ordinance