City initiates land swap

The City of Sundance is to pursue a land trade with Plains Towing & Recovery of Sturgis that would enable the company to open its third location in Sundance. If completed, the trade will see the city acquire an approximately 3.5 acre lot near the Best Western motel in the commercial zone in exchange for five acres of city-owned recapture land in the industrial zone.

Plains Towing & Recovery initially visited the council in May to ask whether zoning rules permit such an enterprise in the commercial district. The land swap was suggested for aesthetic purposes as it would move the business away from the entrance to town and into the industrial zone.

The five acres in question were recaptured by the city as part of the Croell Red-Mix headquarters grant, which the city agreed to administer. The council felt the plot’s location and access to the Port of Entry and interstate would meet the company’s needs and that it would be an acceptable use of the property because the purpose of the recapture is to promote economic development.

Plains Towing returned to the council on Tuesday to confirm that the property does meet their needs and the company would be interested in pursuing the trade. However, said Mayor Paul Brooks, “The question at this point is the nuances of the utilities to the lot line.”

Water, sewer and power lines are all located on the other side of the road to the plot. The company requested that the city consider bringing the utilities across the road to the edge of the property on the basis that the 3.5 acres they had wanted to purchase already has utilities to the lot line.

Public Works Director Mac Erickson pointed out that, in Sundance, it is usually the landowner’s responsibility to bring the utilities from their location on the ground to the property.

He informed the council that the utilities are buried at a depth of 12 feet at that location and the city does not have the necessary equipment to reach the trench, so would need to hire a contractor. Council Member Callie Hilty felt it would behoove the council to see firm numbers before making a decision.

Erickson provided a rough estimate of around $6000 to fulfill the request. He also expressed concern that the one-inch line was privately installed to feed the Oneok pipeline staging area without his department’s oversight.

On this basis, he urged the council not to rule out altogether the possibility of allowing the business to set up in its original location with regulations to control the property’s appearance. Brooks agreed there would need to be regulations, commenting that he has visited Plains Towing in Sturgis and feels very comfortable with the company’s practices, but does not have the same confidence in a potential successor.

Patrick Donahue of Western Properties, representing Plains Towing, asked if the city could actually stop the company from moving onto the original plot. While the answer was no, Clerk-Treasurer Kathy Lenz noted that the council does have final approval on the building permit.

Donahue suggested that the city will likely recoup its money because the 3.5 acre lot already has utilities to its property line. Not to mention, he said, that the smaller plot is more valuable land.

A representative from Plains Towing clarified that the company wants to continue its tradition of strong relationships with the communities it works in and would prefer to reach a conclusion in the best interests of all and without creating any friction.

Council Members Joe Wilson and Brad Marchant both expressed a desire to see Plains Towing move onto the five acre plot; Wilson suggested there could be a possibility of a cost share for the water and sewer. The city is not responsible for bringing electricity to the lot line, however, as this is a request fulfilled by Powder River Energy.

A motion was passed to move forward with the land swap, research the cost to extend the services across the street, negotiate how this will be paid for and move ahead with appraising the two pieces of land prior to publishing the proposed swap and holding a public meeting.