ROCK FALLS – City leaders took a step through the doors of Rock Falls’ future Tuesday when they approved resolutions that will moved a pair of land acquisitions forward.
Resolutions detailing the financing of two recent city land acquisitions near the state Route 40 and I-88 exchange were approved by the Rock Falls City Council.
One of the resolutions was for the purchase of 30 acres of land from local farmer Wayne Schmitt. The council approved the deal on Sept. 1, which includes an option to buy an additional 25 acres at the site.
The purchase price for the Schmitt property was $1.35 million, but after the city gave Schmitt 45 acres of industrial park farmland on McNeil Road, the price was reduced to $995,000.
The Schmitt property will be completely financed through a bank loan. The city will pay only on the 2 percent interest for the first 2 years.
The resolution backs up the closing date on the property from Dec. 31 to on or before Feb. 16.
“There wasn’t time for Terracon to do the necessary environmental studies before closing, so this extends the deadline on the contract,” City Attorney Jim Reese said.
Terracon is an environmental services consulting firm often used by the city.
A resolution also was approved for the city’s purchase of 67 acres of farmland from George and Jan Hallman of Rock Falls. The Hallmans will be paid $1.975 million for the property that extends south of the Candlelight Inn to Eighth Avenue.
That deal is a bit more complicated because $575,000 will be paid now, and $1.4 million will be financed through a bank. The city will pay only on the 2.7 percent interest for the first 3 years of the loan.
The amount to be paid now will be split evenly between the general fund and the city’s electric department fund. Both funds will be paid back, with the electric department receiving 1 percent interest.
“I am confident that these properties are doors to the future of the south end of Rock Falls,” Mayor Bill Wescott said. “There have been millions of dollars in the utility funds, and I can assure you they have not been drawing that much interest.”
City Administrator Robbin Blackert announced that a plat for the Hallman property has been named after Glen Kuhlemier, who as mayor and alderman had worked for many years to acquire the property for the city.
“The property is now Glen’s Garden Subdivision,” Blackert said. “We felt it was appropriate to include his name because he started working on this decades ago.”
The Hallman property has been referred to the planning and zoning committee so it can be subdivided in accordance with city ordinances.