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  • Three-way trade will result in new offices for Nephi City Police and the Juab School District


SCHOOL DISTRICT NEW HOME • In a property trade negotiated by Nephi City, Juab School District and Central Valley Medical Center, Juab School District offices will be relocated to the former Central Valley Clinic building on 600 North in Nephi. Nephi City will acquire the current district offices East of the Juab County Center and will turn it into offices for the Nephi City Police. Central Valley Medical Center will receive some cash and property in the trade at the Nephi Industrial Park located near its current site.

By Myrna Trauntvein
Times-News Correspondent

Nephi City will have a new police station, Juab School District will have a new office building, and Central Valley Medical Center will own 4.527 acres of property.

After months of negotiations by officials of the three entities, Nephi City Council approved the transaction and authorized the mayor to sign a memorandum of understanding at Tuesday's council meeting.

The agreement also required approval from the Juab School District Board of Education and the Central Valley Medical Center Board of Directors. The president of the school board and the chairman of the non-profit hospital board also must sign the agreement for it to be official.

"The document is not that involved, on purpose," said Chad Brough, mayor. "But we have had many meetings on the property exchange and it has taken us quite some time to determine."

Randy McKnight, city administrator, said that representatives of the three entities had worked on the document, each contributing what they termed to be germane.

The document signed is to serve as a memorandum of understanding between the Juab School District, Nephi City, and the Central Valley Medical Center concerning the three-way property transaction.

"The three-way exchange is designed to give each entity something they need while something they no longer need will go to another entity who does need it," said Leon Pexton, school board president.

Juab School District will receive the old Nephi Medical Clinic building.

Nephi City will receive the District Office Building.

Central Valley Medical Center will receive 4.527 acres of property given up by the city and $665,000 in cash ($565,000 from the District and $100,000 from the city).

The building currently serving as the Juab School District office is valued at $200,000. Located at 42 East 200 North in Nephi, the building will be separated from the other Nephi City holdings on the block by the Juab County building.

In addition to the building, the district will also contribute cash in the amount of $565,000 to the transaction.

The city will enter 4.527 acres of property and cash in the amount of $100,000 into the transaction.

Central Valley Medical Center will give up the old Nephi Medical Clinic (the newest of the three buildings on the old hospital site), valued at $765,000 and located at 346 East 600 North in Nephi, into the transaction.

In addition to each entity contributing a share in the costs of the transaction, each entity will provide title insurance for the property conveyed in the transaction, will pay one-third of the closing costs and will pay their own recording costs.

The hospital will allow for the city to maintain a utility easement on the north and south borders of the industrial park property in order for the city to maintain and develop existing and future utilities.

"It will take some time for remodeling of the medical clinic," said Pexton.

Therefore, the agreement stipulates that the district will occupy the current district office building for up to six months from the date of closing while the medical clinic is remodeled.

If the city needs access to the building, the district will work with the city so that access can be granted in a manner that the regular operations of the district will not be interrupted.

"The school district will allow us to come in and do the radio system for the police department while they are still in the building," said Brough.

During this six-month period, the district will maintain all property and liability insurance on the property. The district will also continue to assume all utility and maintenance costs.

"The office space now used by the police department has not been adequate for some time," said Brough.

Upon approval of the memorandum of understanding by all parties involved, the district will contact Juab Title to prepare closing documents and to schedule a closing of the transaction.

The city and the hospital will enter into a separate agreement regarding street construction and consultation about industrial park property uses.

The parties may enter into separate agreements regarding furnishings and equipment related to the properties.

The legal property descriptions and final details of the transaction will be provided in the closing documents.

At one time, all the property on Nephi's Main Street which is now used by Juab County and Nephi City was school district property. It was the site of the old Juab High School.

When the new high school, now the middle school, was built, the property became city and county property. The current district office building was the old Seminary building which, at the time, belonged to the Church of Jesus Christ of Latter-day Saints.