DEPARTMENT: Transportation & Capital Improvements
DEPARTMENT HEAD: Mike Frisbie
COUNCIL DISTRICTS IMPACTED: ExtraTerritorial Jurisdiction (ETJ)
SUBJECT: Disposition: SAWS Sale of (former BexarMet) Surplus Property
SUMMARY: Consideration of a resolution recommending the declaration as surplus and disposition of a 0.579 acre tract of real property located in Medina County, and its distribution system (including pipes, an Edwards water well and one 200,000 gallon ground storage tank) as requested by San Antonio Water System and authorized for disposal by the SAWS Board of Trustees through Resolution 18-077 dated March 6, 2018.
BACKGROUND INFORMATION:
Ratepayers voted to dissolve BexarMet and consolidate it into the San Antonio Water System (SAWS) during the November, 2011 election. The U.S. Department of Justice cleared the election results in January, 2012, to allow the dissolution of the utility. BexarMet assets and liabilities were transferred to SAWS. SAWS real estate department identified and evaluated the former BexarMet interests and determined some of the property interests are not necessary for the operation of the system.
The subject property and distribution system was a former BexarMet property. It is not within SAWS’ master plan. Since it is separate from SAWS’ other infrastructure, it is expensive to maintain costs (capital, operating and maintenance). The property and distribution system is not necessary for the operation of the SAWS’ system. The San Antonio Water System Board of Trustees declared the property as surplus to the system and authorized disposal of the property through Resolution 18-077 dated March 6, 2018. City departments and CPS Energy reviewed and approved the request to dispose of (sell) the property.
If the sale is authorized, SAWS will follow all Local Government Codes and the Texas Water Code including notification procedures prescribed by the Public Utility Commission of Texas and the Texas Water Code.
ISSUE:
This resolution will recommend the declaration as surplus and disposition of a 0.579 acre tract of real property located in Medina County, and its distribution system (including pipes, an Edwards water well and one 200,000 gallon ground storage tank) as requested by San Antonio Water System and authorized for disposal by the SAWS Board of Trustees through Resolution 18-077 dated March 6, 2018.
The subject property and distribution system was a former BexarMet property. It is not within SAWS’ master plan. Since it is separate from SAWS’ other infrastructure, it is expensive to maintain costs (capital, operating and maintenance). The property and distribution system is not necessary for the operation of the SAWS’ system. The San Antonio Water System Board of Trustees declared the property as surplus to the system and authorized disposal of the property through Resolution 18-077 dated March 6, 2018. City departments and CPS Energy reviewed and approved the request to dispose of (sell) the property.
If the sale is authorized, SAWS will follow all Local Government Codes and the Texas Water Code including notification procedures prescribed by the Public Utility Commission of Texas and the Texas Water Code.
ALTERNATIVES:
The Planning Commission could choose not to approve this request, however that would prevent SAWS from disposing of property that is no longer necessary for the operation of the Water System and would require SAWS to continue maintaining the property and related service. It is SAWS’ intention to sell the property to a retail water provider.
FISCAL IMPACT:
There is no fiscal impact to the City related to the sale of the surplus property. All revenue associated with the sale of property will go to SAWS who owns and controls said surplus property.
RECOMMENDATION:
Staff recommends approval of this request, by SAWS, to dispose of a 0.579 acre tract of real property located in Medina County, and its distribution system.