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HomeMy WebLinkAbout2011-07-06 PACKET 04.H.REQUEST OF CITY COUNCIL ACTION COUNCIL AGENDA MEETING ITEM # DATE 7/6/2011 , PREPARED BY Administration Ryan Schroeder ORIGINATING DEPARTMENT DEPARTMENT HEAD COUNCIL ACTION REQUEST Consider adopting a resolution approving partial payment for property acquired for utility easements through eminent domain proceedings. STAFF RECOMMENDATION Adopt the resolution. SUPPORTING DOCUMENTS ❑ MEMO /LETTER: ® RESOLUTION: Draft. ❑ ORDINANCE: ❑ ENGINEERING RECOMMENDATION: ❑ LEGAL RECOMMENDATION: ® OTHER: Stipulation for Partial Payment. ADMINISTRATORS COMMENTS } 1 City Administrator Date COUNCIL ACTION TAKEN: ❑ APPROVED ❑ DENIED ❑ OTHER Document3 From: Jennifer M. Levitt, P.E., City Engineer Date: June 30, 2011 Re: Approve Partial Payment in Condemnation Proceeding for Court File No. 82 -CV- 11 -1391 (City of Cottage Grove v. McHattie Farms; et al.) Utility Project - History On June 7, 2006, the City Council authorized a feasibility report for the East Ravine Neighborhood 1 North Sanitary Sewer. Then on August 9, 2006 Council approved the feasibility report, ordered the project, authorized the preparation of plans and specifications, and acquisition of easements. Then on February 21, 2007 in a workshop session with Council, direction was provided to move forward with the necessary trunk utilities needed to service the East Ravine Neighborhood in response to residential development activities. Based on that direction, modifications were made to the original feasibility report to include trunk water main and storm sewer. The revised feasibility report was approved on March 7, 2007. Through the design process for this project, it was concluded that a more cost effective and efficient process for the installation of the sanitary sewer would be to utilize a jacking operation for the pipe where temporary and permanent easements could not be obtained near the Military Road and CSAH 19 intersection. So the project was broken into two parts, Phase 1 which was a specialized jacking operation and Phase 2 which utilized an open trench method. Also, the Phase 2 project included other public utilities necessary to serve the residential development known as The Preserve at Cottage Grove. The Phase 1 Improvement plans and specifications were approved on May 16, 2007 and a bid date established. The Phase 2 improvement plans were approved and bid on July 12, 2007. Construction of the utilities was completed in the late fall of 2007. The service area of the Phase 2 improvements is 423 acres; please see Figure 1, Sewer Service Area. The sewer service provides service to the McHattie parcel and 341 acres to the west of McHattie service in accordance with the East Ravine's AUAR. In 2007 the City had an agreement with McHattie Farm's, Inc. to install the utilities, but agreed later to acquire the easements for the utilities by compensation if a final plat for the McHattie property was not approved by August 1, 2008. The developer did not proceed with its development and the City has commenced an eminent domain proceeding for the purpose of acquiring easements. MaHattie Farms Development - History Homes by Chase had presented a concept plan to the Planning Commission on February 27, 2006. At that time, the McHattie Farms project consisted of 157 detached single - family homes on lots of varying sizes and 66 townhouse units on approximately 90 acres of land. The original concept plan also provided open spaces, ponds, trails, and a common area that would be a privately -owned community facility with a pool, pool house, play structures, and ball field. The key issue addressed by the Planning Commission at that time involved the townhouses proposed at the south side of the property. The consensus opinion of the Planning Commission was that the proposed townhouses did not conform to the East Ravine Plan. The public hearing for this review was initially scheduled for February 27, but the developer was unable to attend the meeting. For this reason, the public hearing was continued to March 26. The Planning Commission reviewed the preliminary development plan on March 26, 2007. There was no public testimony opposing the plan. The Planning Commission voted three to two to approve the plan, subject to the following conditions: 1. Reduce the number of lots with widths less than 85 -feet by eliminating the 76 -foot lots adjacent to the 100 -foot wide lots. Currently, approximately 20 percent of the single - family lots are 76 -feet wide. 2. An emergency vehicle access or second street access is provided in the twin home neighborhood. 3. Park and open space areas should be more clearly defined. For the developer to proceed, they had to file the following planning applications: 1. A rezoning from AG -1, Agricultural District to R -2A, Residential Single- family District and PDO, Planned Development Overlay District 2. Approval of a Planned Development Overlay Final Development Plan 3. Preliminary Plat 4. Final Plat The Public Safety Commission reviewed this plan at their February 20, 2007 meeting and had no comments. On April 18, 2007, the preliminary development plan was presented to the City Council. The Council tabled this item to May 2, 2007 in order to allow the developer the � � I M, .. k z The Public Safety Commission reviewed this plan at their February 20, 2007 meeting and had no comments. On April 18, 2007, the preliminary development plan was presented to the City Council. The Council tabled this item to May 2, 2007 in order to allow the developer the opportunity to prepare responses to the following issues: Lot Layout. There was discussion that the proposed arrangement of lots backing on Jamaica Avenue should be more varied so future houses are not aligned in a row. The developer provided a revised layout to provide more variety in the lot layout. Reduction in Number of 76 Foot lots. The preliminary plan showed 43 of the total 148 single family lots at widths of 76 feet. Both the Planning Commission and City Council thought this number should be reduced. The developer revised the plan to show all lots abutting the 100 foot wide lots to be 85 feet wide. This eliminated 11 of the 76 -foot wide lots. Additional Area for Eyebrow Open Space on North Side of Ravine Parkway. The devel- oper considered options for adding open space on the north side of Ravine Parkway. Better Definition of Ravine Parkway Open Space Design. The Planning Commission and City Council asked for more definition on the design of the open space area along Ravine Parkway. The design of those areas was going to be refined through the future stages of design review of McHattie Farms. The general concept, however, was to provide open, landscaped areas which enhance the experience of users of the Parkway and provide separation between the Parkway and residential areas. Design of Jamaica Avenue Buffer Strip. Questions about the ultimate design of this area were raised. The buffer strip would average 75 feet in depth and is intended to provide separation between backyards and the county roadway. Except in areas with ponds, the buffer strips would be landscaped berms in heights of four to six feet. City zoning requirements required the developer to establish landscaping which, at maturity, would proved 50 percent opacity. A trail would wind through the buffer strip, with areas of landscaping between the trail and Jamaica Avenue. Any backyard fences would be of a uniform design and located behind the buffer strips. Entrance Features. Ravine Parkway will include a stone monument in the median east of Jamaica Avenue. Entrance features for the McHattie Farms subdivision, including any monument signs, will be coordinated with the Parkway features in the final plans for the project. Project Phasing. The Council asked for a defined staging plan for McHattie Farms. The developer provided that information on May 2. On July 30, 2007, Mattamy Homes filed the following planning applications: 1. Zoning amendment to change the zoning from AG -1 to R -2A; 2. A preliminary plat called McHattie Farms (156 single - family lots, 42 twinhomes, and ten outlots) The public hearing was scheduled for August 27, 2007 to be held by the Planning Commission. On August 15, 2007, Mattamy homes requested to table their application indefinitely. The City never took final action on the rezoning or preliminary plat. A final plat application was never filed. A utility easement agreement was drafted in July, 2007. Mattamy Homes did not exercise their land acquisition option with McHattie because they decided not to proceed with this development proposal. Discussion The City Council on January 5, 2011 in Resolution 2011 -007 determined the necessity for and authorized the acquisition of certain property by proceedings in eminent domain. The value of the financial compensation in the attached stipulation for partial payment is consistent with the amount approved at the January 5, 2011 session. The enclosed stipulation for partial payment has been approved by the City Attorney and the petitioner's legal council. Recommendation It is recommended that Council approve the resolution for partial payment in the condemnation proceedings for Court File No. 82 -CV -11 -1391 (City of Cottage Grove v. McHattie Farms; et al.). RESOLUTION NO. 2011 - [Resolution Number] 11WALRITOMI • .• .. IN CONDEMNATION PROCEEDING WHEREAS, the City of Cottage Grove undertook a project to extend utilities through property owned by McHattie Farms, Inc. in order to provide utility services for developments in the vicinity of the McHattie Farms property (the "Project "); and WHEREAS, pursuant to a 2007 Agreement with McHattie Farms, Inc., the City entered installed the utilities but agreed to later acquire the easements for the utilities by compensation, if a final plat for the McHattie property was not approved by August 1, 2008; and WHEREAS, the developer did not proceed with its development, and the City has commenced an eminent domain proceeding for the purpose of having just compensation determined; and WHEREAS, the property owner has requested that a partial payment be made to the owner, based on the City's approved appraised value; and WHEREAS, the City Attorney has prepared a stipulation providing for the partial payment. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COTTAGE GROVE, MINNESOTA, AS FOLLOWS: 1. The stipulation prepared by the City Attorney regarding the partial payment is hereby approved. 2. The City finance director is authorized and directed to make a payment to McHattie Farms, Inc. in accordance with the stipulation. Passed this 6th day of July 2011. Myron Bailey, Mayor Attest: Caron M. Stransky, City Clerk 06/28/2011 17:10 6123353572 STATE OF MINNESOTA COUNTY OF WASHINGTON The City of Cottage Grove, a Minnesota municipal corporation, Petitioner, v Ralph G. MOT - lattie; Bernadine M. McHattie; McHattie Farms, Inc., a Minnesota corporation; all other parties unknown having any right, title or interest in the premises herein, together with the unknown heirs or devisees, if any, of the parties that may be deceased, and including unknown spouses, if any, Respondents. Court File No. 82 -CV -11 -1391 STIPULATION FOR PARTIAL PAYMENT THIS STIPULATION is made by and among the petitioner City of Cottage Grove ("City") and the respondents Ralph E. McHattie, Bernadine M. McHattie and MCHattic Farms, Inc. (collectively, "Respondents "). Recitals A. Respondents, collectively, are the owners of the property that is the subject of this condemnation action (the "Property "). B, Pursuant to an agreement, the Respondents granted to the City certain permanent utility easements and temporary construction easements as described in the attached Exhibit A (the "Easements "), with compensation to be determined by condemnation action, if the parties could not reach a mutual agreement. A. Pursuant to the Agreement, the City has commenced this action. FRANKMAN LAW OFFICE PAGE 02/03 Case Type: Condemnation DISTRICT COURT TENTH JUDICIAL DISTRICT 3859270 CA14CT160 -137 06128!2011 17:10 6123353572 FRANKMAN LAW OFFICE PAGE 03103 E. The Respondents have requested a partial payment toward the final award. The City is agreeable to making a partial payment. Stipulated The recitals above are incorporated into this agreement and stipulation. 2_ Within five business days after approval of this stipulation by the City Council, the City will issue a check payable jointly to Respondents in the amount of $269,300.00. 3. The parties agree that the $269,300.00 is to be allocated against the final award or settlement as principal first, then interest. KENNEDY & ORAVEN, CHARTERED Dated: MD Dated: //2011 By: Corrine A. Heine ( #149743) 470 U.S. Bank Plaza 200 South Sixth Street Minneapolis, MN 55402 (612) 3379300 ATTORNEYS FOR PETITIONER LELAND J. FRANKMAN LAW OFFICES By, co=L2 - Leland J. Frinkman (#11562) Harry A. Frankman ( 4310955) 2000 U.S. Bank Plaza 220 South Sixth Street Minneapolis, MN 55402 (612) 375 -1600 ATTORNEYS FOR RESPONDENTS 385b273 CAK CTI60-137 XI" . Parcel (PID. No. 03- 027 -21 -23 -0001 and 03- 027 -21 -23 -0002 and 03- 027 -21 -32 -0001 and 03- 027 -21 -33 -0006) (Abstract Property) Property Address Legal Description of Subject Property Tract A That part of the West Half of the Northwest Quarter of Section 3, Township 27 North, Range 21 West, Washington County, Minnesota described as follows: Beginning at a point at the centerline of County Road No. 20, said point being 368.01 feet West and 968.45 feet South of the Northeast corner of the West Half of the Northwest Quarter; thence South 39 degrees 8 minutes West perpendicular to the centerline of County Road No. 20, a distance of 272.25 feet to an iron stake; thence North 50 degrees 51 minutes West parallel with the centerline of County Road No. 20, a distance of 160 feet to an iron stake; thence North 39 degrees 8 minutes East parallel with the Easterly line of this tract 272.25 feet to the centerline of County Road No. 20; thence South 50 degrees 51 minutes East 160 feet along the centerline of County Road No. 20 to the point of beginning. Tract B That part of the West Half of the Northwest Quarter of Section 3, Township 27 North, Range 21 West, Washington County, Minnesota lying Easterly of Jamaica Avenue, except that portion lying Northeasterly of County Road No. 20; and except that part described as follows: Beginning at a point at the centerline of County Road No. 20, said point being 368.01 feet West and 968.45 feet South of the Northeast corner of the West Half of the Northwest Quarter; thence South 39 degrees 8 minutes West perpendicular to the centerline of County Road No. 20, a distance of 272.25 feet to an iron stake; thence North 50 degrees 51 minutes West parallel with the centerline of County Road No. 20, a distance of 160 feet to an iron stake; thence North 39 degrees 8 minutes East parallel with the Easterly line of this tract 272.25 feet to the centerline of County Road No. 20; thence South 50 degrees 51 minutes East 160 feet along the centerline of County Road No. 20 to the point of beginning. Tract C That part of the Northwest Quarter of the Southwest Quarter of Section 3, Township 27 North, Range 21 West, Washington County, Minnesota lying Easterly of Jamaica Avenue. Tract D That part of the Southwest Quarter of the Southwest Quarter of Section 3, Township 27, Range 21, Washington County, Minnesota lying East of a line described as commencing at the Southwest corner of said Southwest Quarter of the Southwest Quarter; thence North 89 degrees 57 minutes 45 385827v1 CAH CT160 -137 A -1 seconds East, assumed bearing, along the South line of said Southwest Quarter 560.08 feet to the actual point of beginning of the line to be described; thence North 0 degrees 18 minutes 23 Seconds East 1327.34 feet to the North line of said Southwest Quarter of the Southwest Quarter and there terminating, EXCEPT the South 639.67 feet thereof. AND ALSO EXCEPT that part of the Southwest Quarter of the Southwest Quarter of Section 3, Township 27, Range 21, Washington County, Minnesota, described as follows: Beginning at the Northeast corner of the South 639.67 feet of said Southwest Quarter of the Southwest Quarter; thence North 89 degrees 12 minutes 59 seconds West, assumed bearing along the North line of said South 639.67 feet; a distance of 15.41 feet; thence North 01 degrees 26 minutes 59 seconds East, a distance of 687.87 feet to the North line of said Southwest quarter of the Southwest Quarter; thence South 89 degrees 14 minutes 09 seconds East, along said North Line of the Southwest Quarter of the Southwest Quarter, a distance of 12.00 feet to the Northeast comer of said Southwest Quarter of the Southwest Quarter; thence South 01 degrees 09 minutes 55 seconds West, along said East line of the Southwest Quarter of the Southwest Quarter, a distance of 687.84 feet to the point of beginning. Description of Taking: PERMANENT DRAINAGE & UTILITY EASEMENT & TEMPORARY CONSTRUCTION EASEMENT A 100.00 foot temporary construction easement and a 30.00 permanent utility easement over, under, and across the following described property: That part of the Northwest Quarter and the Southwest Quarter of Section 3, Township 27, Range 21, Washington County, Minnesota. Said temporary construction easement being 60.00 feet to the right and 40.00 feet to the Left of the following described line, and said permanent easement being 15.00 feet on each side of the following described line: Commencing at the West Quarter comer of said Section'); thence Notch 01 degrees 01 minutes 08 seconds East, assumed bearing along the west line of said Northwest Quarter, 782.59 feet; thence South 86 degrees 28 minutes 48 seconds East, 49.92 feet to the point of beginning of the fine to be described; thence continuing South 86 degrees 28 minutes 48 seconds East, 308.33 feet thence South 68 degrees 10 minutes 56 seconds East, 196.91 feet; thence South 41 degrees 05 minutes 10 seconds East, 325.75 feet thence South 29 degrees 46 minutes 38 seconds East, 297.92 feet thence South 38 degrees 41 minutes 54 seconds East, 146.03 feet; thence South 61 degrees 45 minutes 36 seconds East, 193.55 feet to a point hereinafter referred to as Point A; thence South 77 degrees 18 minutes 48 seconds East, 139.17 feet and said line there ten ninating. Together with a 100.00 foot temporary construction easement and a 20.00 foot permanent utility easement over, under, and across that above described property. Said temporary construction easement being 30.00 feet to the right and 70.00 ,feet to the left of the following described line and said permanent utility easement being 10.00 feet on each side of the fo ➢owing described 385827vr CAH CT160 -137 A -2 line: Beginning at the aforementioned Point A; thence South 01 degrees 27 minutes 05 seconds West, 237.02 feet; thence South 20 degrees 12 minutes 29 seconds West, 77.19 feet; thence South 00 degrees 53 minutes 01 seconds West. 532.62 feet; thence South 00 degrees 17 minutes 24 seconds West, 118.84 feet; thence South 18 degrees 31 minutes 51 seconds West, 103.30 feet; thence South 37 degrees 26 minutes 30 seconds West, 102.06 feet; thence South 48 degrees 22 minutes 17 seconds West, 189.82 feet to a point hereinafter referred to as Point B; thence North 40 degrees 13 minutes 36 seconds West, 119.21 feet; thence North 60 degrees 57 minutes 22 seconds West, 120.61 feet; thence South 85 degrees 54 minutes 15 seconds West, 142.41 feet; thence South 83 degrees 54 minutes 35 seconds West, 58.15 feet and said line there terminating. "Together with a 100.00 foot temporary constriction easement and a 20.00 foot permanent utility easement over, under, and across that above described property. Said temporary construction easement being 30.00 feet to the right and 70.00 feet to the left of the following described line and said permanent utility easement being 10.00 feet on each side ofthe following described line: Beginning at aforementioned Point B; thence South 40 degrees 16 minutes 16 seconds Fast, 40.12 feet and said line there tenninating. Together with a 100.00 foot temporary construction easement and a 20.00 foot permanent utility easement over, under, and across that above described property. Said temporary construction easement being 30.00 feet to the right and 70.00 feet to the left of the following described fine and said permanent utility easement being 10.00 feet on each side ofthe following described line: Beginning at aforementioned Point B; thence South 50 degrees 02 minutes 37 seconds West 40.72 feet and said line there temvnating. Said temporary easement commenced on August 1, 2007 and expired March 31, 2008. Said taking is subject to existing easements of record. Names and Description of Interests to be Acauired Name Nature of Interest Ralph E. McHattie Fee owner, Tract A Bernadine M. McHattie Fee owner, Tract A McHattie Farms. Inc., a Minnesota corporation Fee owner, Tracts B, C and D All other parties unknown, together with unknown heirs or devisees and spouses, if any Any right, title or interest in the Property Notwithstanding the foregoing attempt to identify all interests held by a party named herein, it is Petitioner's intention herein to encumber all interests owned by the named respondents in the above - described real estate. 385827v1 CAH CT160 -137 A -3 Q m w a o i r u C t H �w w a o i r *1 a V 5 z � r e a Q V C 6 )tO a U £ n' C N C s i / r I II S I � 6 I 6 m AA I yk Y \ � w i a � s w& z� ��a 5 .9■ a f o � u � a o V z w a C a oonsauae xouxs oxv xouaxos3a _ u rova unwvo uwn o L Z 5VHd 3 53bf111(1 NNEbl 3NM 3 lSY3 �p •I � tl10S3NNIW '3AOtl0 30V1100 d0 A110 E / � I / I Y G�y �TgT��$ek•ka �% �a �� I m g Ana ; gm§8 ' \ � 9 `2 p • E � € a� Ede ig Eas m= axaen \ Y y .« `✓ i> as E 1pjj.r is E 3 E 'Im - L=f g6. E=, ✓ I :9E F..Ena a - °9g iu- M z =�s A.rsEae ®a. ilt a pp5: =F.E .•. 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