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6.C. - Page 15 of 29 <br />2. Informal City Council Approval. <br />In a closed session pursuant to Government Code section 54956.8, the <br />City Council should authorize the City Manager to undertake negotiations <br />for the acquisition of a particular parcel and provide direction on price <br />and terms of the acquisition. The City Attorney should be consulted to <br />properly agendize the closed session. The notice for the closed session <br />and the agenda shall identify the subject real property and the person(s) <br />with whom the City Manager may negotiate. Formal City Council <br />approval at a public meeting will still be necessary at a subsequent stage <br />of the process to finalize an acquisition. <br />3. Appraisal. <br />For purchases, the City Manager shall retain the services of a qualified <br />independent real property appraiser so that the City has a formal <br />valuation of the acquisition parcel and is aware of the reasons supporting <br />that value. Having an appraisal done can provide an assurance that a <br />proposed acquisition will not result in a gift of public funds. The owner of <br />the parcel shall be informed that an appraisal is being prepared and shall <br />be given an opportunity to accompany the appraiser upon an inspection <br />of the property. Generally under State law, the City is required to offer <br />the appraised value for the purchase of the parcel when acquisition by <br />eminent domain is anticipated. There are certain exceptions to this <br />general rule. In some cases involving State and Federal grants, a review <br />appraisal will also be necessary. Public agencies with the power of <br />condemnation frequently appraise properties for planning and other <br />purposes; the fact that a parcel is being appraised does not necessarily <br />mean that the City intends to acquire the parcel or use its eminent <br />domain powers. <br />4. Negotiations and Agreement with Property Owner. <br />After the City Council has authorized negotiations and (for purchases) the <br />appraisal has been completed, the City Manager shall enter into <br />negotiations with the owner of the parcel. If the property owner <br />indicates a willingness to sell the parcel, an informal letter agreement <br />between the parties summarizing the terms and conditions of a sale <br />should precede preparation of formal purchase and sale or lease <br />documents. <br />ATTY/POLICIES/PROPERTY ACQUISITION AND DISPOSITION PROCEDURES FINAL <br />REV: 09-16-13 PT <br />Page 9 of 22 <br />7 <br />