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November 23, 2021 City Council Regular Meeting
Title
37. Approval for the Sale of Timber on a Portion of the New Hampstead Conservation Tract (NHCT), an 863-Acre Tract of Land Donated to the City in 2020. Tract is situated along New Hampstead Parkway at Little Neck Road in the amount of $200,071 ($188K to the City; Remainder to Broker). Funds will be used to establish & maintain trails, fire breaks, enhance wildlife habitat & replant harvested areas.
Strategic Priority
Good Government
Description

The City of Savannah accepted the donation of a 863.29 acre conservation tract of land from Figure 8, LLC in 2020. This tract is situated along New Hampstead Parkway at Little Neck Road, west of I-95 and south of I-16. The tract is encumbered with a Conservation Easement held by North American Land Trust. Staff obtained a forest stewardship management plan from the Georgia Forestry Commission (GFC) to assist the City in safe and productive management of this important property. The GFC recommended the City engage an experienced forestry management consultant and timber broker in order to implement the forestry management plan. Accordingly, the City adopted this recommendation and City Council recently (April 2021) awarded a forestry management consultant and timber brokerage contract to Marsh Forestry and Appraisal Services (Marsh).

Prudent management of this important conservation tract requires periodic timber harvesting and thinning of underbrush to prevent fires, provide room for remaining trees to grow, and to provide re-planting opportunities in areas where the prior owner previously cut and/or thinned forested areas. Periodic harvesting also provides revenue to help offset management costs associated with maintaining access trails, fire breaks, wildlife habitat, and security. Marsh recently posted an invitation to bid on behalf of the City and advertised a timber sale associated with 311 acres of the property (about one-third of the overall tract). Twenty-two regional timber companies were contacted and invited to bid. Three bids were received, and the highest bid was submitted by Ohoopee Land and Timber, LLC at a price of $200,071.

Recommend approval to award a sale of timber to the highest bidder in the amount of $200,071. The City will net approximately $188,000 from this sale after paying the requisite six percent (6%) broker commission to Marsh. Furthermore, authorize staff to use these funds to establish and maintain trails, fire breaks, enhance wildlife habitat, and replant harvested areas with new pine seedlings to generate a new generation of forests on the property in the future.

 

Recommendation

Approval

Contact
David Keating, Senior Director of Real Estate Administration
Financial Impact
Gross Profit of $188,067 to General Fund
Review Comments
Attachments
Exhibit 1: Map Attachment - Little Neck Road.pdf
Exhibit 2: Georgia Forestry Commission Plan.pdf
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