Library board warns city not to commit expansion funds after $800,000 eminent‑domain payment

The North Public Library Board of Directors discussed on Sept. 11 the risk that a pending eminent‑domain award for an adjacent parking lot could reduce the library’s remaining expansion funds. Board member Alex Knop warned the board not to commit its leftover expansion money before getting clarity from the city.

“Of the amount that was in Jessica’s budget that should have been our budget, $800,000 of it has already been allocated to the party when the city paid that to the superior court,” Alex Knop said. “If the court awards more than $800,000, there's a danger that the city will take it out of our remaining expansion money of about $700,000.”

Board members said the city used American Rescue Plan Act money to acquire the parcel and then pursued condemnation rather than further negotiation. The board heard that the city paid a good‑faith estimate of $800,000 to the court and that a trial on the property valuation is expected next month; a board member said corporation counsel asked them to be a witness in that proceeding.

Why it matters: The board is preparing to issue an RFP for a strategic‑planning consultant and to move ahead with design work. Several directors said they do not want the city to reserve or reallocate the library’s remaining expansion funds while the court determines the final award.

In the discussion, board members flagged uncertainty about the property’s market value. One participant noted competing views about future development value versus current parking‑space appraisal. “Milligan was saying that he was gonna build units on the place, so it's not really the value of a parking space from his point of view,” a board member said, reflecting arguments expected in the trial.

Board members directed staff to obtain more information from city finance and corporation counsel about whether the library’s remaining expansion appropriation could be reserved or used to cover any additional eminent‑domain award. The board paused plans to issue design‑phase RFPs until that clarification is provided.

The board did not take a formal vote on the matter at the Sept. 11 meeting; members agreed to follow up with the city and report back at a future meeting.