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November 28, 2009

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BLM sets minimum bids on sales near Mesquite

Friday, Sept. 28, 2001 | 9:49 a.m.

CARSON CITY -- The Bureau of Land Management Thursday set the minimum bid prices for the auction of three parcels near Mesquite that could accommodate thousands of new residents.

The property in Lincoln County will go on sale at auction Oct. 12 at the Mesquite City Hall.

Chris Hanefeld, spokesman for the BLM, said the appraisals on the land will be the starting point for bidding at the auction. The appraised value on the largest parcel of 4,357 acres is $2.8 million. For the second parcel of 2,009 acres, the minimum price will be $755,000. And the smallest parcel -- 112 acres -- is valued at $95,000.

The BLM expects the land to be used to handle the overflow from Mesquite, one of the fastest growing cities in Nevada. Although the proposed development is in Lincoln County, Mesquite is in Clark County, 80 miles northeast of Las Vegas.

The development fits in with plans by Lincoln County, one of the poorest counties in Nevada, to change nontaxable federal lands into private property.

The development could dramatically increase the population of Lincoln County, which the 2000 Census pegged at just more than 4,100. Lincoln County Commissioner Paul Donohue said the new residents -- and new property taxes -- would greatly benefit the county.

"We're darn glad the federal government has decided to give us some public land and put it into private purposes," Donohue said.

He said the land sale and development could quadruple the population of Lincoln County, although the full impact may not be realized for decades.

Issues including water sources and what government agency will provide municipal services have not yet been worked out. The Lincoln County Land Act authorizing the auction says the development has to conform to Mesquite planning rules, said Bryan Mongomery, Mesquite city manager.

But the city hasn't made a decision on whether to annex the area, he said. One possible way to bring police, fire and other services to the area would be through an agreement with Lincoln County.

"It would be very difficult for Lincoln County to provide those services from Pioche," the Lincoln County seat, Montgomery said. "Although it may not be in the city limits, it would be a logical part of Mesquite's growth."

Lincoln County Commission Chairman Don Frehner said water will likely be a big issue in the development of the land.

Although Lincoln County has relatively abundant ground water supplies, Virgin Valley Water District staff in Mesquite said they fear drilling water in the Tule Springs area -- the likely source for the development water -- could affect water supplies in the Mesquite area.

Frehner said he believes the water issue can ultimately be resolved.

Bids on the 112-acre parcel will begin at 10 a.m. The final two parcels will be auctioned off at 1:30 p.m.

Ace Robison, a consultant for Lincoln County, said four interested parties showed up for a tour of the properties conducted by the BLM on Sept. 12. He said three of the parties had already "done due diligence" in acquiring information on the land.

Those four and several other parties attended an informational meeting Tuesday conducted by the BLM in Mesquite. Robison said he did not see any major publicly traded companies, such as the Del Webb Corp., at the session.

Robison said he, Frehner and Donohue would be available for private meetings for those seeking more information.

The apparent high bidders on Oct. 12 will have 30 days from the sale date to enter into an initial development agreement with Lincoln County, which wants "orderly and planned" growth in the area.

Sun reporter Launce Rake contributed to this story.

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