Cedar Rapids paying firm to help purchase land for fire station, other facilities

The City Council has agreed to spend up to $500,000 in the next year for a private firm to help the city purchase property for a new Central Fire Station, Intermodal Transit Facility, Animal Care and Control Facility and other projects as the city may assign.

The firm, JCG Land Services Inc., was recommended to the City Council by a City Hall evaluation team over two other firms that bid for the work. JCG is located in Nevada, Iowa, and opened a second office in Cedar Rapids in 2009.

At last week's council meeting, City Council member Don Karr said he was unhappy about the contract, saying he did not understand why city staff or local Cedar Rapids Realtors couldn't do the work for the city.

Rita Rasmussen, the city's senior real estate officer, said the city sought proposals and received three, none of which were from local Cedar Rapids real estate firms. Rasmussen said public land negotiations and purchases like this, which involve Federal Emergency Management Agency rules and funds, require specialized firms with such experience.

The contract involves property acquisition and relocation assistance services, and the contract pays JCG a set hourly rate for specific employees it assigns to the work.

The council approved the contract on an 8-1 vote, with only Karr voting against it.