Public Works committee sets $25,000 minimum, two-year finish line for tax-deed motel bid

The Richland County Public Works Steering Committee voted Thursday to open a sealed-bid process for a tax-deed property known as the county’s former motel, setting a $25,000 minimum bid, a two-year performance deadline and a Jan. 12, 2023, 4 p.m. deadline for sealed proposals.

The committee’s action follows staff and legal drafting of bid requirements that would require prospective bidders to be current on all county property taxes they own, to have inspected available records, to submit a plan showing how they will bring the property up to current code and to demonstrate they have the resources to complete that plan within the time period accepted by the committee.

Why it matters: the property has been a long-running blight and the county previously wrote off roughly $40,000 in unpaid taxes; committee members said they want to put the parcel back on the tax rolls but also ensure a bidder can complete costly cleanup. Committee discussion cited estimated cleanup costs ranging from about $100,000 to $150,000 to clear and remediate the site.

Committee and staff said the bid solicitation will include the contract language summarizing the requirements so bidders know those terms before submitting offers. County legal counsel told the committee that instead of a simple quitclaim deed, the county will use a contract of sale that incorporates the bid terms and allows the county to pursue remedies—extensions by committee discretion, or default remedies such as suing for specific performance or recovery of costs—if a buyer fails to meet the plan.

Attorney Windle summarized the revenue limitation the county faces if sale proceeds exceed the county’s costs: “We have 5 years to turn the money over to the former owner above and beyond our expenses incurred.” Administrator Langrick and county staff said that legal and administrative language will be incorporated into the solicitation and the final contract.

Committee members debated how high to set the minimum. Discussion referenced the property’s assessed land value (staff said the land portion was listed at about $50,000 in a 2022 summary) and the likelihood a buyer would shoulder demolition and cleanup costs. After an initial suggestion of a $40,000 starting point, the committee amended the motion and approved $25,000 as the minimum sealed bid.

On timing and notice, staff and counsel advised the committee that a Class 3 notice is required for the advertisement; the committee set a three-week advertising window and directed staff to set bid materials that include the performance timeline and plan requirements. The committee voted to have bids due at the start of its Jan. 12, 2023, meeting at 4 p.m.

Motions and votes: the committee approved the bid requirements and the contract approach, amended and approved a $25,000 minimum bid, set a two-year completion timeframe for whatever revitalization plan is accepted, and set the sealed-bid due date as Jan. 12, 2023, 4 p.m. Voting on those items was by voice vote; the meeting record shows the motions passed.

Next steps: staff will prepare the public notice and solicitation that incorporate the conditions the committee approved, set the appraisal or minimum-baseline value for the sealed bid and return to the committee with timelines and the final advertisement language.

Sources and attribution: Statements and quotations come from Administrator Langrick; Attorney Windle; Josh Elder, Highway Commissioner; and committee members Mark Cooley and Richard McKee as recorded on the meeting transcript.