County supervisor offers to swap work for land

By Bob Steenson, bsteenson@charlescitypress.com

A proposal by a Floyd County supervisor to trade demolition work on county property for the deed to the property has caused discussion and questions at two board meetings so far.

Over the summer the county took possession of the former Gary Hummel property located at 1726 Woodland Drive for unpaid property taxes. The property is located along the Avenue of the Saints between Floyd and Charles City.

In August the county published a request for bids to clear the property, including demolition of an abandoned house; removing materials including possible hazardous waste such as propane tanks, paints and pesticides; plugging a private well; abandoning a septic system; backfilling any excavations; and other specifications

The county received three bids, which were opened Sept. 9. One bid was from Downing Excavating of Charles City, for $13,895. Another was from Cole Excavating of Greene for $11,800.

The third bid was from JAK LLC of Charles City, which didn’t list a monetary bid, but offered to meet all the conditions of the bid specifications in exchange for the deed to the property.

JAK is majority owned by Jean Ann Kamm, the wife of Supervisor Doug Kamm, who said he owns 49 percent of the corporation. Doug Kamm also owns Kamm Excavating Corp.

At the bid opening earlier this month and at a planning session Monday, Kamm recused himself from any discussion or decisions on the matter because of his involvement, he said.

At the bid opening, Supervisor Linda Tjaden had called the offer “intriguing” because it would solve both sides of the problem — clearing the land and then getting rid of the property. Even after the land was cleared there was no guarantee anyone would be interested in buying it, supervisors noted.

Supervisors Tjaden and Mark Kuhn voted at the Sept. 9 meeting to table the decision until they had a chance to discuss the bids with the county attorney’s office.

At the planning session Monday, Assistant County Attorney Randall Tilton told the supervisors he didn’t see anything in the bid specifications that would preclude an offer to trade work for the title, but he suggested that if Tjaden and Kuhn were considering accepting JAK’s offer they should notify the other two bidders to give them an opportunity to revise their bids if they want to.

And any disposal of county property needs to be preceded by a public hearing, even if no money changes hands, Tilton said.

“My concern is if the JAK bid is accepted without the others being notified, you are potentially setting yourself up for a claim that the bidding was unfair,” Tilton said.

Kuhn said he had sought information from the Iowa Ethics and Campaign Disclosure Board and was told that when a public official is concerned about a possible conflict he or she should ask if the decision passes three tests.

Those tests are the “front page test” — how will people react if they read about it on the front page of the newspaper?; the “back of your head test” — does it make the hair on the back of your head stand up?; and the “stink test” — how does the decision “smell”?

“From your perspective, does this pass those three tests?” Kuhn asked Tilton.

“The one that concerns me is the ‘front page test,’” Tilton said. “The public isn’t going to hear all that went on at this meeting. They’re just going to see a county supervisor getting county property.”

He noted that the low bid was $11,800, so in the public’s eye that will be the price JAK is paying for the property.

“Is that a fair deal for the property?” Tilton asked.

County Auditor Gloria Carr said the property has an assessed value through the county of $14,000, with an additional $5,360 for the home, although she noted that the home would no longer be part of the property after demolition and probably shouldn’t be considered in its value.

Tilton said one possible course would be to notify the other bidders and give them a week or so to revise their bids if they desire, and set a public hearing on the disposal of the property.

If either or both of the bidders modifies their bids, or if anyone shows up at the public hearing to express their own interest in buying the property or to argue against the JAK deal, Tjaden and Kuhn will have that information before making a decision, Tilton said.

The meeting Monday was a planning session, so no official action could be taken. Tuesday (today) at their regular meeting the supervisors may make decisions on notifying the other bidders and setting a public hearing date regarding disposal of the property.

Also on the agenda for Tuesday, the supervisors are scheduled to:

• Hold a public hearing regarding disposal of a small piece of county property in Rockford. Stacey Jones has offered $250 for the property.
• Hold a public hearing regarding a proposed dangerous dog ordinance that would provide rules for classifying and dealing with dogs that are considered dangerous.
• Consider an application for approval of an anhydrous ammonia storage installation at Norwood Polk LLC, 3030 180th St., Charles City.
• Decide on tax abatement for two properties.
• Set a hearing on an urban renewal plan amendment for the Southwest Bypass Urban Renewal Area.

The supervisors meet at 9 a.m. in the second-floor board room at the Floyd County Courthouse.