Appraisals Begin For Tar Creek Federal Buyout

Tuesday, December 19th 2006, 8:42 am

By: News On 6

PICHER, Okla. (AP) A company hired to assess homes, businesses and public-use facilities near the Tar Creek Superfund site has begun appraising properties that qualify for a federal buyout within the site in Ottawa County.

Tulsa-based Cinnabar Service Co. will be paid about $1.8 million to appraise an estimated 700 structures within the buyout zone, said J.D. Strong, chief of staff for the Oklahoma Secretary of the Environment.

Full payment of the contract is contingent upon the federal buyout being fully funded, Strong said.

``The bid is structured in a way that we can put the appraisals on hold until more funding becomes available if funding is delayed,'' Strong said.

The Lead-Impacted Communities Relocation Assistance Trust met Monday night and was expected to discuss the buyout's progress. Cinnabar is expected to complete about 70 appraisals a month.

The relocation committee has $18.8 million on hand to begin the first phase of the buyout. The buyout is expected to cost an estimated $40 million.

Those being bought out first involve a list of 100 homes situated above abandoned mining works with a potential to collapse. In total, an estimated 300 homes, businesses and public-use facilities are expected to be bought out in the first phase.

Cinnabar was the low bidder to appraise properties to be bought by the relocation committee. Smith-Roberts Land Services was the high bidder at $3.7 million, Strong said.

Sen. Jim Inhofe, R-Okla., has pledged to secure all the federal money needed to fully fund the buyout.

``We have not expressed any concern yet about there not being enough money,'' Strong said. ``We are optimistic that Senator Inhofe can get the necessary funding.''

The relocation committee will buy qualifying homes and businesses based on the fair market value of the structures if they were located outside the Superfund site, Strong said.

Once the sale is completed, the committee will dispose of the property to the best possible public benefit, Strong said.