Sandpoint Halts Bid To Auction Off City Hall After A Surprise Challenge To The Legality Of The Auction, No One Bids On The Historic Building
The city’s attempt to auction off its historic City Hall turned into a bust Monday.
When Mayor Ron Chaney called for the minimum bid of $400,000, he received a surprise objection from an attorney instead.
Lauren Hayden said she represented a group of residents near Lake and Ella streets where the new City Hall would be located. She then successfully stopped any bidding by claiming the city’s auction violated state law and was being done improperly.
“I ask the council to please reconsider the ordinance for auction of this building,” Hayden said. “If this is challenged (in court) you may have to do this again.”
Hayden didn’t say why her clients wanted the auction stopped.
Councilman David Sawyer said he also received calls of concern Monday about auctioning the 85-year-old building. The language of the law allowing the process was poorly worded, he said, and recommended postponing the sale.
Chaney admitted there was a “minor technicality” with the ordinance, but said the auction was still legal. However, no one chose to bid on the building after the process was challenged.
Chaney was he was “confused and perplexed” by the last-minute objection to the auction, which had been planned and advertised for two months.
“We have not had one call indicating any objection to the plan,” he said.
Since no bids were received, Chaney said the city will negotiate with interested buyers. The final sale will then be approved by the council.
Idaho law required the city to hold a public auction for the government building instead of taking private bids. And by law, Chaney acted as auctioneer.
City officials decided to put City Hall on the auction block several months ago. The 11,000-square-foot building does not meet access requirements for disabled people and would be too costly to remodel.
The building is also too small. The upstairs council chambers can legally hold about 20 people. The police department has to store files and evidence at other buildings, and the city’s fire trucks won’t all fit into the existing bay.
To lower fire insurance rates, the city needs to keep four trucks at City Hall. It can now fit only three.
“The building has a lot of character,” Chaney said, but it no longer meets the city’s needs. The mayor said vacating the building will also free up retail space to help revitalize the downtown.
Cash from the sale will help the city pay for more spacious headquarters on the west end.
The city struck a $1.1 million deal to buy, remodel and move into the Coldwater Creek building on Lake Street, a facility with twice the space the city now has. The move was expected to take place in August.