HomeMy WebLinkAbout2012-07-18 PACKET 04.J.REQUEST OF CITY COUNCIL ACTION COUNCIL AGENDA
MEETING ITEM #
DATE 7/18/12
PREPARED BY Community Development Robin Roland
ORIGINATING DEPARTMENT STAFF AUTHOR
COUNCIL ACTION REQUEST
Consider approving the vacation and discontinuance of a segment of Ideal Avenue right -of-
way lying between 60th Street and 63rd Street.
Consider approving an agreement between the City and Roger and Ruth Ann Bothe to
acquire 1.161 acres of the easterly half of the vacated Ideal Avenue right of way and a
permanent easement of 1,950 square feet.
STAFF RECOMMENDATION
1. Adopt the resolution that approves the vacation and discontinuance of the right -of -way.
2. Approve the agreement with the Bothes to acquire 1.161 acres of the vacated right -of -way
and a permanent easement.
BUDGET IMPLICATION $ $
BUDGETED AMOUNT ACTUAL AMOUNT FUNDING SOURCE
SUPPORTING DOCUMENTS
® MEMO /LETTER: Memo from John McCool dated 6/21/12
® RESOLUTION: Draft
❑ ORDINANCE:
❑ ENGINEERING RECOMMENDATION:
❑ LEGAL RECOMMENDATION:
® OTHER: Purchase agreement
Sunnyhill Park Layout
ADMINISTRATOR'S COMMENTS
I 1
City Administrator Date
COUNCIL ACTION TAKEN: ❑ APPROVED ❑ DENIED ❑ OTHER
CITY OF COTTAGE GROVE
MINNESOTA
TO: Honorable Mayor and City Council
Ryan Schroeder, City Administrator
FROM: John McCool, Senior Planner
DATE: June 21, 2012
RE: Vacate Ideal Avenue Right -of -Way and Approve the Bothe Agreement
Introduction
The City Council held a public hearing on June 20, 2012 to vacate and discontinue a segment of
the Ideal Avenue right -of -way located along the east side of the Pinecliff neighborhood. There
was no testimony and the hearing was closed.
As there were only three members of the Council present, and the vote to vacate the Right of
Way required a four -fifths majority, this item was tabled to the July 18, 2012 Council meeting.
Discussion
In 2004, U.S. Home Corporation filed a preliminary plat application with the City to develop
68.69 acres of land consisting of 118 single - family lots. The development is located on the
northeast corner of Hinton Avenue (CSAH 13) and 65th Street. The City approved the prelimi-
nary plat on April 20, 2005. That approval included the future relocation of a portion of Ideal
Avenue to create a neighborhood park (now known as Sunnyhill Park) that will serve this resi-
dential neighborhood and future development east of Ideal Avenue.
Now U.S. Home Corporation is developing their last Pinecliff phase, Pinecliff 5th Addition. City
approval of the final plat was on May 16, 2012, subject to the City vacating and discontinuing
that portion of Ideal Avenue.
Ownership of this vacated right -of -way automatically reverts back to adjoining property owners.
The west half of Ideal Avenue was incorporated into the Pinecliff 5th Addition final plat as resi-
dential lots and park land (Outlot A) for the future development of Sunnyhill Park.
The east half of Ideal Avenue abuts two parcels of land owned by Roger and Ruth Ann Bothe.
The Bothes do not object to vacating this segment of Ideal Avenue and have agreed to sell
1.161 acres of vacated right -of -way to the City and to grant the City a permanent easement
comprised of 1,950 square feet for a total price of $46,734.32. The purpose of the permanent
easement is to extend the sanitary sewer to the west property line for future development of 47
acres of that property. The location of the proposed land purchase is shown below. A copy of
the Bothe agreement is attached.
Honorable Mayor, City Council, and Ryan Schroeder
Ideal Avenue Vacation and Bothe Agreement
June 21, 2012
Page 2 of 2
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Proposed Land Acquisition
Recommendation
1. Adopt the attached resolution that vacates and discontinues that portion of Ideal Avenue
South lying between 60th Street South and 63rd Street South (legally described and shown
in Exhibit "A "). Said resolution declares this street right -of -way vacation to be in the best
interest of the public and the City of Cottage Grove. It authorizes the Mayor and City Clerk to
sign all documents necessary to effectuate the intent of this resolution and authorizes the
City Clerk to prepare a Notice of Completion of this vacation proceeding in accordance with
Minnesota Statutes Section 412.851 to be presented to the proper Washington County
officers. This requires a four -fifths majority.
2. Approve the agreement between Roger and Ruth Ann Bothe for the City to acquire 1.161
acres of the easterly one -half of the vacated Ideal Avenue South right -of -way and a per-
manent easement comprising 1,950 square feet in the total amount of $46,734.32.
Attachments: Exhibit "A"
Draft Resolution
Agreement with Bothe
RESOLUTION NO. 2012 —XXX
A RESOLUTION VACATING AND DISCONTINUING A PORTION OF
IDEAL AVENUE SOUTH LOCATED BETWEEN 60TH STREET SOUTH
AND 63RD STREET SOUTH, COTTAGE GROVE, MN
WHEREAS, the City of Cottage Grove has applied to vacate and discontinue certain
public right -of -way on property legally described as:
That part of west half of Ideal Avenue lying in the Northeast Quarter of Section 5,
Township 27, Range 21, Washington County, Minnesota, lying southerly of the
easterly extension of the northerly line of Outlot A, PINECLIFF 4TH ADDITION,
according to the recorded plat thereof, Washington County, Minnesota and lying
northerly of the easterly extension of the southerly line of Outlot D, PINECLIFF
2ND ADDITION, according to the recorded plat thereof, Washington County,
Minnesota.
G1TJ
That part of east half of Ideal Avenue lying in the Northwest Quarter of Section 4,
Township 27, Range 21, Washington County, Minnesota, lying southerly of the
easterly extension of the northerly line of Outlot A, PINECLIFF 4TH ADDITION,
according to the recorded plat thereof, Washington County, Minnesota and lying
easterly and northerly of the following described line:
Commencing at the southwest corner of said Northwest Quarter; thence North 00
degrees 49 minutes 49 seconds East, along the west line of said Northwest
Quarter, a distance of 808.64 feet to the point of beginning; thence South 07
degrees 13 minutes 25 seconds East a distance of 176.82 feet; thence southerly
75.06 feet, along a tangential curve, concave to the west, having a central angle
of 08 degrees 06 minutes 53 seconds and a radius of 530.00 feet; thence South
00 degrees 49 minutes 49 seconds West a distance of 58.01 feet; thence North
89 degrees 37 minutes 41 seconds East a distance of 3.00 feet to the easterly
right of way line of said Ideal Avenue and there terminating
WHEREAS, notice of public hearing was published in the South Washington County
Bulletin on June 6, 2012; and
WHEREAS, the public hearing to consider the vacation of such street was held on the
June 20, 2012, before the City Council in the City Hall located at 7516 80th Street South at
7:30 p.m. after due published and posted notice had been given, as well as personal mailed
notice to all affected property owners by the City on the June 8, 2012, and all interested and
affected persons were given an opportunity to voice their concerns and be heard; and
WHEREAS, any person, corporation, or public body owning or controlling easements
contained upon the property vacated, reserves the right to continue maintaining the same or to
Resolution No. 2012 -XXXX
June 20, 2012
Page 2
enter upon such way or portion thereof vacated to maintain, repair, replace, or otherwise
attend thereto; and
WHEREAS, the City Council in its discretion has determined that the street vacation will
benefit the public interest because said portion of Ideal Avenue will be relocated within the
adjoining residential subdivision plat named Pinecliff 5th Addition. A new neighborhood public
park will be developed on a portion of this vacated Ideal Avenue; and
WHEREAS, no written or oral testimony from the general public opposed said right -of-
way vacation at the public hearing on June 20, 2012; and
WHEREAS, at least four - fifths of the City Council members must concur in this
resolution.
NOW, THEREFORE BE IT RESOLVED, by the City Council of the City of
CottageGrove, Washington County, Minnesota:
1. That the proposed vacation of Ideal Avenue South lying between 60th Street South and
63rd Street South is in the best interest of the public and the City of Cottage Grove; and
2. The portion of Ideal Avenue South as legally described above is hereby declared
vacated and discontinued.
BE IT FURTHER RESOLVED, that the Mayor and City Clerk are hereby authorized to
sign all documents necessary to effectuate the intent of this resolution and that the City Clerk
or their designee prepare a notice to be presented to the proper Washington County officers a
Notice of Completion of this vacation proceeding in accordance with Minnesota Statutes
Section 412.851.
Passed this 20th day of June 2012.
Myron Bailey, Mayor
Attest:
Caron Stransky, City Clerk
PURCHASE AGREEMENT
This Purchase Agreement (the "Agreement ") is made this day of June, 2012 by and
among Roger E. Bothe and Ruth Ann Bothe, husband and wife (the "Owners ") and City of
Cottage Grove, A Minnesota municipal corporation (the "City ").
ARTICLE 1
DEFINED TERMS
1.01 Owner Property. The Owners are the fee owner of certain real estate located in Cottage
Grove, Washington County, MN, which are shown on the attached Exhibit A (the "Owners'
Property "). The tax parcel numbers of the Owners' Property is 04.027.21.22.0001 and
04.027.21.23.0001, both legally described as:
That part of the Northwest Quarter of Section 04, Township 027 North, Range 021 West
being the North 940 feet of the West 860 feet; subject to easement.
RBI•
That part of the Northwest Quarter of Section 04, Township 027 North, Range 021 West
being the west 80 acres, except the East 357.24 feet of the West 1,269.24 feet of the North
185 feet of the South 1,651 feet and except the East 30 feet of the West 942 feet of the
North 25 feet of the South 1,651 feet and except the North 940 feet of the West 860 feet of
Section 04, Township 027 North, Range 021 West, subject to easements.
1.02 Right -of -Way. The Cit will vacate a portion of Ideal Avenue South which runs north and
south, lying between 60 Street South and 63` Street South. The Owners' do not object to
the vacation and discontinuance of this portion of Ideal Avenue South which is legally
described on the attached Exhibit B and defined as the Vacated and Discontinued Right -of-
Way.
1.03 Permanent Easement. The Owners requested the City to extend city sanitary sewer to the
east side of Ideal Avenue. A permanent easement (the "Permanent Easement ") for
constructing this sanitary sewer stub to the Owner's west property boundary line is
required. The Permanent Easement area is legally described and depicted on the attached
Exhibit C.
ARTICLE 2
PURCHASE AND EASEMENT TERMS
2.01 Offer /Acceptance. In consideration of the agreement herein contained, Owners agree that
they will sell and convey the vacated Right -of -Way to the City and simultaneously grant
the Permanent Easement to the City.
2.02 Purchase Price of Right -of -Way and Easement. The purchase price (the "Purchase
Price ") for the vacated right -of -way is $0.9052 per square foot with a total of 50,573.16
Page 1
square feet. The Permanent Easement has a total of 1,950 square feet. The purchase price
for the easement is $0.49 per square foot. The parties agree that the Purchase Price for the
vacated right -of -way and Permanent Easement $46,734.32.
2.03 Terms.
A. Terms. At the Closing, on the Closing Date, City shall pay the Owners the amount of
$46,734.32, less any adjustments as provided in this Agreement.
B. Documents to be delivered at Closing by Owners. At Closing, Owners shall deliver to
City:
1. Warranty Deed conveying title to the Right- of-Way to the City free and clear of all
liens and encumbrances except the following items (allowable encumbrances):
a. Building and zoning laws, ordinances, state and federal statutes or other
governmental regulations;
b. Reservation of any minerals or mineral rights in the State of Minnesota; and
c. Those items approved by the City pursuant to Section 2.05.
2. Standard form Affidavit of Sellers.
3. Permanent Easement to the City with consent of mortgagee, if required.
4. Any fees required by Owners' mortgage company to obtain a release and consent.
5. Such other documents as may be reasonably required by City's title examiner or title
insurance company.
C. Documents to be delivered at Closing by City. At Closing, City shall deliver to Owners:
1. Proof of Subdivision Approval.
2. Payment of all closing costs, deed taxes, title reports, document preparation fees,
escrow fees, title insurance premiums, if requested by City, and recording fees.
3. Such other documents as may be reasonably required by a title company.
D. The City will restore the Owners electric power service to the existing utility pole located
at the northeast corner of their west private access drive and vacated portion of Ideal
Avenue South without cost to the Owners.
E. The sanitary sewer in 63` Street will be extended to the east side of Ideal Avenue for
future use by Owners'. The Owners do not pay for this sanitary sewer stub to their west
property boundary line for the 04.027.21.23.0001 parcel.
F. Existing utilities within the proposed Ideal Avenue right -of -way vacation will be
removed and /or relocated without cost to the Owners.
Page 2
G. The Owners grant to the City the Permanent Easement as described in Exhibit C. City's
payment to the Owners for this Permanent Easement is included in the price of the
vacated right -of -way. The Permanent Easement encompasses 1,950 square feet.
I. The City will reimburse the Owners for any crop loss on the Parcel identified as
04.027.21.23.0001. Determining the cost for crop loss will be based on the future grain
price on August 1, 2012 multiplied by 45 bushels per acre.
J. City pays the recording fees for the deed and easement.
2.04 Subdivision Approval The sale of the Right -of -Way involves the division of an existing
tax parcel. The City, at its sole cost and expense, is responsible for obtaining all
necessary subdivision approvals or waivers of subdivision approval (the "Subdivision
Approval ").
2.05 Real Estate Taxes The Owners will be required to pay all the real estate taxes on the
Owner's Property in 2012 prior to or at Closing.
2.06 Title and Remedies The City may obtain at its cost a commitment for an owner's policy
of title insurance for the Owners' Property and shall have 20 days following the receipt of
such commitment, and copies of all the underlying documents mentioned in the
commitment, to make its objections in writing to Owners. Any matter shown on such
Title Evidence and not objected to by Buyer shall be a "Permitted Encumbrance." Seller
shall have twenty (20) days after receipt of the Objections to cure the Objections. Seller
shall use its best efforts to correct any Objections. To the extent an Objection can be
satisfied by the payment of money, Buyer shall have the right to apply a portion of the
cash payable to Seller at the Closing to satisfaction of such Objection and the amount so
applied shall reduce the amount of cash payable to Seller at closing. If Objections are not
cured within such twenty (20) day period, Buyer will have the option to:
(1) terminate this Agreement; OR
(2) waive the objections and proceed to close; OR
(3) withhold from the purchase price an amount reasonably required to remove
the objections, which in the reasonable judgment of Buyer's title company is
sufficient to assure cure of the objections. This amount will be placed in
escrow (the "Escrow ") with the title company used to close the transaction
( "Title "), pending such cure. If seller does not cure such Objections within
one hundred twenty (120) days after such Escrow is established, Buyer may
then cure such Objections and charge the costs of such cure (including
reasonable attorney's fees) against the amount in Escrow. Seller shall agree to
pay the charges of Title to create and administer the Escrow; OR
(4) Buyer has the option to exercise its power of eminent domain to acquire the
Property. In the event Buyer exercises its power of eminent domain, Sellers
Page 3
agree not to challenge public purpose and agree to the commissioner award in
the same amount as Purchase Price of this Agreement.
2.07 Closin . The closing ( "Closing') of Roadway Right -of -Way and Permanent Easement
shall take place on a date mutually agreed to by the parties but not later than July 30,
2012. The Closing shall take place at the offices of the City, 7516 — 80` Street South,
Cottage Grove, MN or such other location as mutually agreed upon by the parties.
2.08 Closing Costs City will be responsible for payment of the cost of the title report or title
commitment pursuant to Section 2.03, payment of title insurance premium, payment of
state deed taxes, recording fees and subdivision approvals. Each party shall be
responsible for its own attorneys' fees.
2.09 Possession Owners shall transfer possession of the Roadway Right -of -Way and
Permanent Easement to the City at Closing.
ARTICLE 3
MISCELLANEOUS PROVISIONS
3.01 No Partnership or Joint Venture Nothing in this Agreement shall be interpreted as
creating a partnership or joint venture among the parties.
3.02 Labor and Material Owners warrant to City that there has been no labor of material
furnished to Owners' Property for which payment has not been made as of the date of this
Agreement. This warranty shall survive the Closing of this transaction.
3.03 No Broker Commissions Each party represents and warrants to the other parties that
there is no broker involved in this transaction with whom the warranting party has
negotiated or to whom the warranty party has agreed to pay a broker commission. Each
party agrees to indemnify the other parties for any and all claims for brokerage
commissions or finders' fees.
3.04 Disclosures; Individual Sewage Treatment System and Well Disclosure Owners
disclose that there is no individual sewage treatment system or well on the proposed Ideal
Avenue right -of -way vacation as described in Exhibit B.
3.05 No Relocation Benefits Owners represent and warrant that the Right -of -Way is vacant
and unoccupied and acknowledge that the acquisition contemplated by this transaction
will not cause the Owners to be displaced. The Owners acknowledge that they are not
entitled to relocation benefits pursuant to Minnesota Statutes Section 117.52, et seq.
3.06 Condition of Subsoil and Ground Water Owners hereby warrant to the City that
during the time the Owners have owned the Right -of -way there have been no acts or
occurrences that have caused or could cause impurities in the subsoil or ground water of
the Right -of -Way or other adjacent properties. This warranty shall survive the Closing.
Page 4
3.07 Entire Agreement; Amendments This Agreement constitutes the entire agreement
among the parties, and no other agreement prior to this Agreement or contemporaneous
herewith shall be effective except as expressly set forth or incorporated herein. Any
purported amendment shall not be effective unless it shall be set forth in writing and
executed by the parties or their respective successors or assigns.
3.08 Binding Effect, Assignment This Agreement shall be binding upon and inure to the
benefit of the parties and their respective heirs, executors, administrators, successors and
assigns.
3.09 Notice Any notice, demand, request or other communication which may or shall be
given or served by the parties shall be deemed to have been given or served on the date
the same is deposited in the United States Mail, registered or certified, postage prepaid;
delivered by a nationally recognized overnight delivery company, or actually received by
the recipient and addressed as follows:
A. Owners Roger E. and Ruth Ann Bothe
8180 65" Street South
Cottage Grove, MN 55016
B. City City of Cottage Grove
7516 80th Street South
Cottage Grove, MN 55016
Attn: Robin Roland
With a copy to:
Kennedy & Graven, Chartered
200 South Sixth St. Suite 470
Minneapolis, MN 55402
Attn: Corrine Heine
3.10 Captions, Headings or Titles All captions, headings, or titles in the paragraphs or
sections of this Agreement are inserted for convenience of reference only and shall not
constitute a part of the Agreement or a limitation of the scope of the particular paragraphs
or sections to which they apply.
3.11 Counterparts This Agreement maybe executed in any number of counterparts, each of
which shall constitute one and the same instrument.
3.12 Applicable Law. This Agreement shall be governed by and construed in accordance
with the laws of the State of Minnesota, without regard to choice of law provisions.
IN WITNESS OF THE ABOVE, the parties have caused this Agreement to be executed on the date
and year written above.
Page 5
By:
Roger E. Bothe
By:
Ruth Ann Bothe
STATE OF MINNESOTA
CITY OF COTTAGE GROVE:
Myron Bailey, Mayor
C
Caron M. Stransky, City Clerk
ACKNOWLEDGEMENT FOR CITY
COUNTY OF WASHINGTON
)ss.
The foregoing instrument was acknowledged before me this _ day of
, 2012, by Myron Bailey, Mayor and Caron M. Stransky, City Clerk of the
City of Cottage Grove, a Minnesota municipal corporation, on behalf of the corporation.
Notary Public
(Notary Seal)
STATE OF MINNESOTA
ACKNOWLEDGEMENT FOR OWNER
COUNTY OF WASHINGTON
)
)ss.
On this day of 2012, before me, a notary public within and
for said County, personally appeared Roger E. Bothe and Ruth Ann Bothe, husband and wife, and
both did acknowledge and execute said instrument to be their free act and deed.
Notary Public
(Notary Seal)
Page 6
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PROPOSED VACATION DESCRIPTION
That part of east half of Ideal Avenue lying in the Northwest Quarter of Section 4, Township 27,
Range 21, Washington County, Minnesota, lying southerly of the easterly extension of the
northerly line of Outlot A, PINECLIFF 4TH ADDITION, according to the recorded plat thereof,
Washington County, Minnesota and lying easterly and northerly of the following described line:
Commencing at the southwest corner of said Northwest Quarter; thence North 00 degrees
49 minutes 49 seconds East, along the west line of said Northwest Quarter, a distance of
808.64 feet to the point of beginning; thence South 07 degrees 13 minutes 25 seconds
East a distance of 176.82 feet; thence southerly 75.06 feet, along a tangential curve,
concave to the west, having a central angle of 08 degrees 06 minutes 53 seconds and a
radius of 530.00 feet; thence South 00 degrees 49 minutes 49 seconds West a distance of
58.01 feet; thence North 89 degrees 37 minutes 41 seconds East a distance of 3.00 feet to
the easterly right of way line of said Ideal Avenue and there terminating
Am-
EXHIBIT "B"
Proposed Vacated and Discontinued Right -of -Way
EXHIBIT "C"
A permanent easement for drainage and utility purposes over, under, and across the North 65.00 feet of
the South 739.00 feet of the East 30.00 feet of the West 63.00 feet of the Northwest Quarter of Section
04, Township 027, Range 21, Washington County, Minnesota.
Said permanent drainage and utility easement contains ±1,950 square feet.
CITY OF COTTAGE GROVE
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PERMkiENT OFWRLAGEAO UTILITY EASEMENT
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1 j A pem ,nent aasem?nt foe drainage and 05ty purposes ever. under.
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UNDER THE TAWS OF T STAT E OF h4NNESOrA
PRINT N1J DANIEL J. ROEB
SIGNATURE,
DATE JUNE 9. 2012 W . NO, 43133
R. Paw offlVe
2335 West Rghway 36
St. Paul, 14N 55113
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