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1998-06-10 Park Dedication MEMORANDUM TO: ALBERTVILLE CITY COUNCIL MEMBERS; DAVE LUND, CITY ADMINISTRATOR. FROM: MIKE COURI, CITY ATTORNEY SUBJECT: PARK DEDICATION FOR CEDAR CREEK SOUTH DATE: JUNE 10, 1998 Attached is the letter from the Wright County Assessor valuing the Cedar Creek South Golf Course Property at $2,040 per acre. Under our park dedication ordinance and the Master Golf Course PUD Agreement, Pilot must pay 7.5% of the value of the land zoned for golf course use, valued at the time it is platted (but prior to the grading work ah.eady performed). In the Master Agreement, the City and Pilot agreed to use the Wright County Assessor's valuation. The Cedar Creek South plat has 85.77 acres. Using the Assessor's valuation, the Pilot owes the City $13,122.81 (85.77 acres x $2,040 per acre x 7.5%). Under the City's ordinance, Pilot would be required to pay the $13,122.81 before the City releases the Cedar Creek South plat. Pilot has requested that the City extend the time for payment of the $13,122.81 for five years after plat approval (June 15, 2003). Pilot requests this in order to lessen the initial outlay required to start up the golf course. Pilot believes that it will be able to more easily pay this amount after the golf course has been operating for several years and is profitable. This request is a policy issue which should be decided by the City Council. If Pilot's request is granted, I would recommend that the City require Pilot to give the City a promissory note for the $13,122.81, and the City should take a second mortgage on the golf course property with Pilot paying all costs related to the establishment of the m011gage. Accordingly, the following two issues should be addressed by the City Council: 1. Acceptance of the Wright County Assessor's valuation of $2,040 per acre for golf course land. 2. Pilot's request to extend the payment of golf course park dedication fees. 1 C:\mike\ALBERT\GENERAL\administrator memo12.doc MAY 1 3. 1<~,rL..: ..&. i~~f..j vt'1'Ty 0/::0 ,P ~ v ~ J... Z I '~.7 m \- ! ~ ~y 7856 DOUGLAS M. GRUBER Wright County Assessor Wright County Government Center 10 2nd Street N. W . Room 240 Buffalo, Minnesota 55313-1183 Phone: (612) 682-7367 / (612) 682-7368 FAX: (612) 682-6178 May 7, 1998 Mr. David Lund, City Administrator 5975 Main Ave N PO Box 9 Albertville, 1.fr~ 55301 RE: Valuation of Cedar Creek Golf Course and Center Oaks Plats Dear Mr. Lund This letter is to state the position of the Wright County Assessor with regard to the undeveloped land value of the above mentioned proposed plats in the cities of Albertville and St. Michael. It is my position that the 130.5 acres that are to be developed as the golf course will have a raw land value of $2040 per acre before the golf course is completed at the time of the plat recording. The rest of the value on the property for the 1998 assessment will be attributed to the platted building lots. If you have any further questions regarding this matter please feel free to contact me. ".-',.., \ "sincerely, \ \ ^"\, \...., \.... '.'.' \,' " '''~>) (."N:;i:'~/\ Dougl~S'!IVI. Gruber Wright County Assessor cc: Donald Jensen, Pilot Land Development Michael Couri, Albertville City Attorney Equal Opportunity / Affirmative Action Employer