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2007-09-17 CC Agenda SpecialA,Ibertvillc sal Tourn wry. So city Mr. ALBERTVILLE CITY COUNCIL COMMITTEE OF THE WHOLE AGENDA SEPTEMBER 17, 2007 Immediately following regular Council meeting 1. CITY HALL SOUTH PARKING LOT/ALBERTVILLE BODY SHOP DISCUSSION RECOMMENDATION: It is respectfully requested the Mayor and Council discuss six options on how the City goes forward with negotiating the South Parking lot with Jamie Stevens. Following a workshop discussion, it is recommended the Council appoint two Council members to meet with Mr. Stevens. 2. NIEMEYER TRAILER SALES — City Improvement Project vs. Private Development 3. CSAH 19 North — Feasibility Study Overview in preparation for Tuesdays meeting with Otsego and Wright County 4. ADJOURNMENT MA\Public Data\City Council\Council Agendas\2007 Agendas\Workshop Agendas\A 09-17-2007 Committee of the Whole.doc AFFIDAVIT OF POSTING STATE OF MINNESOTA SS. COUNTY OF WRIGHT Tracey Nubbe, being first duly sworn, says that on the 14th day September 2007 Tracey posted the documents as shown on the reverse side a true copy of each thereof at 3:37 p.m. at the Albertville City Offices in the window, at the City of Albertville, County of Wright, State of Minnesota. Subscribed and sworn to before me thislday of 2007. 1 �1 Notary Publi BRIDGET MARIE MILLER • NOTARY PUBLIC-MINNESOTA My commission Exp es Jan. 31, 2008 04 AAA r MAPublic Data\City Council\Council Agendas\2007 Agendas\Workshop Agendas\A 09-17-2007 Committee of the Whole.doc A�Ibcrtvillc Small Town Living. Big City Uls. COMMITTEE OF THE WHOLE MEETING SEPTEMBER 17, 2007 Immediately following Regular Council meeting SUBJECT: City Hall South Parking lot/Albertville Body Shop RECOMMENDATION: It is respectfully requested the Mayor and Council discuss six options on how the City goes forward with negotiating the South Parking lot with Jamie Stevens. Following a workshop discussion, it is recommended the Council appoint two Council members to meet with Mr. Stevens. BACKGROUND: In July of 2007, the City completed purchase of railroad property south of City Hall. Historically, the Albertville Body Shop used the railroad land along with their 4,294 square foot triangular parcel as their parking lot. In the fall of 2006, the City and Jamie Stevens reached a consensus to jointly build a 15 car parking lot. Since then Mr. Stevens has another preferred proposal for the City to consider as follows: Tuesday, September 11, 2007 Hi Larry, What I was thinking is to sell the lot adjacent to City Hall for $75,000.00, with the condition that Albertville Body Shop would have an easement per say to park finished product in a certain number of stalls. I'm not sure if this is far fetched or realistic, but for us, it would free this piece up off the tax roll, and the city would own and control that whole piece. Let me know when you might get that meeting set-up. Thanks, Jamie Wright County currently has a value of $35,500 on the parcel. County Assessor Tony Rasmuson, stated the County placed this value on it because of the cross use with the railroad land. Mr. Rasmuson stated that if the City sodded and landscaped the railroad property and enforced its parking ordinance, it would very much restrict the use of this parcel. The County would then have to re-evaluate the market value and might find that the Bettendorf appraisal is indicative of the property's value. Mr. Rasmuson stated that in the past the previous owner Loren Becker attended Board of Equalization Hearings requesting the value be reduced because of its size and irregularity. In conclusion, the County determined its contributing value based on the broader use of the railroad property as a parking lot contributing to the business. The following graphic identifies the City swapping land with Jamie Stevens and sliding Jamie's land to the south. MAPublic Data\City Council\2007\Council Workshop A,endas\09-17-2007 Committee of the Whole.doc 0 Uj City Hall Building �—---EL25--- :. X 50' f N89'36'56'W r rf 4294 Square feet W t q '4 3 z The proposed parking lot would then be constructed partially on Mr. Steven's parcel and on City newly acquired land. 5 an -street slatts Main Avenue NE MAPublic Data\City Council\2007\Council Workshop Agendas\09-17-2007 Committee of the Whole.doc a OPTIONS: 1. Pursue Jamie Stevens' request for the City to purchase his land and construct a parking lot at a cost of $120,000 plus landscaping the balance of the lot. 2. The City enters into a public/private partnership with Mr. Stevens to construct a 15 stall parking lot as per the attached agreement. The City would assume responsibility to plat the new lot configuration, construct a parking lot at an estimated cost of $44,790 and maintain the said lot. Mr. Stevens would pay approximately one-third of the construction costs for five stall, on his property or possibly based on the square footage of construction on his lot. The City purchases Mr. Stevens parcel and constructs a 15 car parking lot with Mr. Stevens contributing towards a parking lot fund in lieu of on -site parking. The estimated construction cost of a parking space would be $3,000 and $5,000 for land for a total of $8,000 per stall. In this case, Mr. Stevens would sell the parcel for $75,000 and then pay the City $40,000 for the five stalls or $60,000 for 7.5 stalls depending on the number of stalls the Albertville Body Shop needs based on the City Planner's recommendation. 4. The City does not participate in a parking lot and landscapes the newly acquired railroad property. The City Engineer's estimated cost to sod, irrigate and landscape this area is $10,608. If the City chooses this option, it is recommended that the Public Works Department completes this work for substantially less. 5. The City purchases the lot from Jamie Stevens and landscapes the entire area south of City Hall at a cost of $14,820 plus the cost of Mr. Stevens' parcel. Once again the Public Works could do the landscaping. Total cost would be $90,000. 6. The City leases Mr. Stevens the newly acquired railroad property for a parking lot in an as is condition. The City paid $68,000 for this parcel and assuming a 5% return on City investments would be $3,400 per year. It would be reasonable to assume the lease could be anywhere from $2,000 to $3,400 per year plus property taxes and maintenance. KEY ISSUES: • Albertville Body Shop's land next to City Hall has limited development potential by itself due to its small size, irregular shape and lack of water and sewer utilities. Parking lot development is limited by a 5 foot parking lot set back and a required 22 foot- 24 foot drive lane. Any retail use requires one parking stall for every 200 square feet of building. • The Albertville Body Shop does have available land for all of their parking needs on the east side of Main Avenue. • There are no marked pedestrian cross walks between the parking lot and the east side of the street. • The City does not have a need for additional City Hall parking, but may want to develop a public parking area to facilitate the parking needs of the neighborhood. MAPublic Data\City Council\2007\Council Workshop Agendas\09-17-2007 Committee of the Whole.doc 14 • The City's Downtown Parking effort with Geez and the 152 Club currently has them paying 100% of the cost of their parking project, with the City paying for consulting efforts to help structure a project. Deviating and subsidizing this project may have other implications for how we handle other parking projects. • It should not be an issue now, but during construction of City Hall, Mr. Stevens was not happy with the City using some of his land for cranes and construction. The General Contractor was responsible to arrange the use of additional land and they told me they had it covered. At one point, Tim Guimont asked to spend some time with our equipment to level gravel on the Albertville Body Shop lot, which the City Administrator agreed to. Later the City received an $800 plus bill for gravel we did not order. The City paid the bill and provided the equipment to accommodate displaced parking. I believe Mr. Stevens was never quite satisfied with whatever arrangements the General Contractor made. POLICY CONSIDERATIONS: The City has not in the past participated in any private/public parking lots, however the ordinance does allow for businesses in the Downtown area to pay into a fund for off -site parking. FINANCIAL CONSIDERATIONS: The cost of these various options varies ranging from doing nothing to a $130,000 project. It appears the least expensive acceptable option would be to have our Public Works grade and landscape the newly acquired railroad property and not do any further improvements. The other extreme would be to purchase the lot from Mr. Stevens and construct a parking lot. Funds from any of these options would come out of the proceeds of the City Hall Bond financing and/or reserve set aside for the project. Originally, the Council discussed spending $25,000 to $30,000 on this total effort. LEGAL CONSIDERATIONS: The City has the authority to enter into real estate agreements that allows for cross easements and maintenance thereof. Respectfully Submitted Larry R. Kruse City Administrator MAPublic Data\City Council\2007\Council Workshop Agendas\09-17-2007 Committee of the Whole.doc 5 DECLARATION OF CROSS EASEMENTS This Declaration of Cross Easements (the "Declaration") is made as of , 2007, (the "Effective Date") by the City of Albertville, a municipal corporation organized under the laws of the State of Minnesota ("City") and Jamie L. Stevens and Krista A. Stevens, husband and wife, (collectively, the "Stevens"). The City and Stevens are collectively referred to throughout this Declaration as "Declarants." RECITALS A. The City is the owner of certain real property located in the City of Albertville, Wright County, Minnesota legally described on the attached Exhibit A ("City Property"), which is intended to be a burdened property under this Declaration. B. Stevens is the owner of certain real property located in the City of Albertville, Wright County, Minnesota legally described on the attached Exhibit B ("Stevens Property"), which is intended to be a burdened property under this Declaration. C. Both the City and Stevens desire to use their respective City Property and Stevens Property for parking purposes. D. Declarants desire to declare by this Declaration a non-exclusive right of access for vehicular ingress and egress to, over, upon and across the City Property and Stevens Property for Declarants, together with their respective agents, employees, invitees, successors and assigns; ("Cross Access Purposes"). E. Declarants desire to declare by this Declaration a non-exclusive right of shared vehicular parking over, upon and across the City Property and Stevens Property for Declarants, together with their respective agents, employees, invitees, successors and assigns; ("Cross Parking Purposes"). MAPublic Data\City Council\2007\Council Workshop Agendas\09-17-2007 Committee of the Whole.doc Y.i NOW, THEREFORE, Declarants declare that the Lots are and shall be held, transferred, sold, conveyed and occupied subject to the covenants, conditions and restrictions hereinafter set forth, which covenants, conditions and restrictions shall run with the Lots and shall be binding upon all parties having any right, title or interest in said land or any part thereof, and their respective heirs, successors and assigns, and shall inure to the benefit of Declarants: 1. CROSS ACCESS EASEMENT. A. The City hereby declares that, subject to the terms and conditions of this Declaration, the City Property is subject to a non-exclusive, perpetual, appurtenant easement in favor of the property described on the attached Exhibit B for use by all such property's owners, owner's tenants and its respective agents, employees, and invitees for vehicular and pedestrian access purposes. B. Stevens hereby declares that, subject to the terms and conditions of this Declaration, the Stevens Property is subject to a non-exclusive, perpetual, appurtenant easement in favor of the property described on the attached Exhibit A for use by all such property's owners, owner's tenants and its respective agents, employees, and invitees for vehicular and pedestrian access purposes. 2''. CROSS PARKING EASEMENT. A. The City hereby declares that, subject to the terms and conditions of this Declaration, the City Property is subject to a non-exclusive, perpetual, appurtenant easement in favor of the property described on the attached Exhibit A for use by all such property's owners, owner's tenants and its respective agents, employees, and invitees for vehicular parking purposes. No vehicle shall be allowed to be parked on the City Property for more than 24 continuous hours. B. Stevens hereby declares that, subject to the terms and conditions of this Declaration, the Stevens Property is subject to a non-exclusive, perpetual, appurtenant easement in favor of the property described on the attached Exhibit B for use by all such property's owners, owner's tenants and its respective agents, employees, and invitees for vehicular parking purposes. No vehicle shall be allowed to be parked on the Stevens Property for more than 24 continuous hours. 3. MAINTENANCE AND REPAIR OF THE SHARED ACCESS AND SHARED PARKING EASEMENT AREAS. A. For a period of 20 years from the date of this Declaration, the owner of the property described on Exhibit A shall, at its sole expense, maintain the parking lot located on the City Property and the Stevens Property. MAPublic Data\City Council\2007\Council Workshop Agendas\09-17-2007 Committee of the Whole.doc B. After said 20 year period, the owner of the property described on Exhibit A shall be responsible for maintaining the City Property at its own expense and the owner of the property described on Exhibit B shall be responsible for maintaining the Stevens Property at its own expense. C. All maintenance required by this Declaration shall include all repairs including, but not limited to, the repair of any curbs and gutters, landscaping, as well as the resurfacing, striping, signage, cleaning, clearing, snow and ice removal, general maintenance, and replacements of or any of the aforementioned, that are reasonably necessary to maintain the City Property and Stevens Property in a safe condition and in compliance with all applicable governmental laws and regulations. 4. REMEDIES UPON FAILURE TO MAINTAIN EASEMENT AREAS. In the event one of the owners of the benefited property fails to maintain its burdened property in a commercially reasonable manner as required by this Declaration, the other benefited property owner may maintain such property and shall be entitled to recover the costs of such maintenance from the non -performing owner, provided that: i. The performing owner provides the non -performing owner with 30 days written notice of the needed maintenance to the burdened property; and ii. The weather during said 30-day notice period reasonably permits the needed maintenance to the burdened property to be performed without unusual or extraordinary cost and effort; and iii. No such notice shall be required to clear snow and ice from the burdened properties if such snow or ice is not removed within 24 hours after such snow or ice accumulation has ceased. iv. Any costs due to a Declarant under this paragraph shall be paid within 30 days of mailing of an invoice by the performing owner. 5. INTERFERENCE WITH EASEMENT RIGHTS. Except during necessary construction, maintenance and repairs to the Shared Easement Area herein created, no Owner shall permit any activity on their respective burdened properties that may interfere with or obstruct the Cross Easements created herein. 6. ATTORNEYS' FEES. If any of such Owners reasonably incurs costs in order to enforce any provision of this Declaration, the prevailing Owner(s) shall be reimbursed by the other(s) for all reasonable costs so incurred, including reasonable attorneys' fees and costs. 7. RUNNING OF BENEFITS AND BURDENS. All provisions of this Declaration shall run with the land and shall inure to the benefit of and be binding upon the Lots and the Owners, and their respective successors and assigns, including any mortgagees or subsequent holders of mortgages. MAPublic Data\City Council\2007\Council Workshop Agendas\09-17-2007 Committee of the Whole.doc 8. ENTIRE AGREEMENT AND MODIFICATION. This Declaration may not be altered or amended except by an agreement in writing signed by the Parties. 9. HEADINGS; EXHIBITS. The headings of sections in this Declaration are for convenience only; they form no part of this Declaration and shall not affect its interpretation. The Recitals contained herein, and all schedules, exhibits, addenda or attachments referred to herein are incorporated in and constitute a part of this Declaration. 10. SEVERABILITY. If any provision of this Declaration is invalid or unenforceable, such provision shall be deemed to be modified to be within the limits of enforceability or validity, if feasible; however, if the offending provision cannot be so modified, it shall be stricken and all other provisions of this Declaration in all other respects shall remain valid and enforceable. 11. CONTROLLING LAW. This Declaration shall be governed by and construed under the laws of the State of Minnesota. City of Albertville: On behalf of the City of Albertville, and pursuant to authority granted by the City Council, we have signed this Declaration of Easements on the terms and conditions set forth therein: Ron Klecker, Mayor Bridget Miller, Clerk Jamie Stevens and Krista Stevens: Jamie L. Stevens and Krista E. Stevens, husband and wife have signed this Declaration of Easements on the terms and conditions set forth therein: am Jamie L. Stevens Krista E. Stevens MAPublic Data\City Council\2007\Council Workshop Agendas\09-17-2007 Committee of the Whole.doc REAL ESTATE TRADE AGREEMENT THIS AGREEMENT is made by and between City of Albertville, a Minnesota municipal corporation ("City") and Jamie L. Stevens and Krista A. Stevens, husband and wife ("Stevens") In consideration of the mutual promises herein, the parties agree as follows 1. Land Trade. A. Stevens agrees to provide the City with a quit claim deed for that property described on Exhibit A. The City agrees to provide Stevens with a perpetual ingress, egress and parking easement over that property described on Exhibit A. Said easement shall be in the form attached as Exhibit C. B. The City agrees to provide Stevens with a quit claim deed for that property described on Exhibit B. Stevens agrees to provide the City with a perpetual ingress, egress and parking easement over that property described on Exhibit B. Said easement shall be in the form attached as Exhibit D. C. The City and Stevens shall execute and record the Declaration of Cross Easements attached as Exhibit E. D. The two deeds, the easements and the Declaration of Cross Easements shall be exchanged simultaneously at closing. 2. Construction of the Parking Lot. The City shall construct a parking lot over the property described on Exhibits A and B in substantially the configuration as shown on the attached Exhibit F. The City shall construct such parking lot to City standards within one year of the exchange of deeds required by this Agreement. Stevens grant permission to the City to begin construction of said parking lot prior to the closing if the City elects to do so. 3. Payment for Construction of Parking Lot. Upon completion of the construction of the parking lot as required by paragraph 3 above, Stevens shall pay the City $6,258.98 as Stevens share of the cost of construction of said parking lot. 4. Maintenance of the Parking Lot. The City shall maintain the drive aisles and parking areas constructed on the property described on Exhibit B at its sole expense for a period of 20 years from the date of this Agreement. After such time, Stevens shall be responsible for the maintenance of said parking lot located on the property described on Exhibit B. 5. Title. Within a reasonable time after the execution of this Agreement by both parties, each party shall deliver to the other an updated title abstract or a commitment for an owner's title insurance policy issued by a title insurance company licensed to do business in the State of Minnesota for the property to be deeded to the other party. 6. Title Obiections. Each party shall be allowed 10 business days after receipt of the updated abstract or Commitment and survey to examine them and object to the marketability of the title to the Real Property. Objections shall be made by written notice or they will be deemed waived. If one party makes any objections, the other party shall immediately commence and MAPublic Data\City Council\2007\Council Workshop Agendas\09-17-2007 Committee of the Whole.doc IC diligently endeavor to complete all actions necessary to cure such objections. Each party shall be allowed 120 days to cure the objections and make the title to the Real Property good and marketable of record, subject only to the exceptions listed in the commitment to which the party did not object. When title is corrected, or the objecting party waives any outstanding uncorrected objections, Stevens and City shall perform this Agreement according to its terms. 7. Title Remedies. If the title to the Real Property, as evidenced by the abstract or Commitment, is not good and marketable of record in the current owner at the Closing Date, the other party may choose either of these options: 7.1. Elect to accept the title in its unmarketable condition by giving notice to the other party. 7.2. Terminate this Agreement by giving notice to the other party, in which event this Agreement shall become null and void, and neither party shall be liable for damages to the other party. 8. Closin . The closing shall take place no later than 90 days from the date of this Agreement. 9. Real Estate Taxes. Real estate taxes shall be prorated between City and Stevens to the date of closing. Stevens shall pay any back taxes or recaptured taxes which may become due on the property described on Exhibit B as a result of the transaction contemplated by this Agreement. 10. Possession. The parties shall deliver possession of the quitclaimed property on the date of closing. 11. Notices. All documents to be delivered, and all correspondence and notices to be given in connection with this Agreement, shall be effectively delivered only if they meet all the following requirements: they shall be in writing, signed by a duly authorized representative of the party giving the notice, and shall be delivered by hand or by mail to the addresses below. If notice is given by mail, it shall be given by Certified Mail with delivery signature required and postage prepaid. A notice given by facsimile transmission or e-mail shall not be effective. A notice shall be deemed given on the day it is actually received by the intended recipient. Notices shall be addressed as follows: If to City: City of Albertville 6031 Main Street Albertville MN 55373 With a copy to: Mike Couri Couri & MacArthur P.O. Box 369 705 Central Ave E St. Michael, MN 55376 MAPublic Data\City Council\2007\Council Workshop Agendas\09-17-2007 Committee of the Whole.doc If to Stevens: Jamie Stevens and Krista Stevens 1754 50th Street NE Buffalo, MN 55313 12. Commissions and Representation. Neither party has retained an agent or broker in connection with this transaction 13. Complete Agreement. This Agreement, including any Exhibits attached hereto and made a part hereof, constitutes a final Agreement between the parties and contains their entire agreement and supersedes all previous understandings and agreements, oral or written, relative to the subject matter of this Agreement. 14. Time of the Essence. Strict compliance with dates and deadlines is an essential part of this Agreement. Time is of the essence in the performance of this Agreement. 15. Controlling Law. This Agreement has been made and entered into under the laws of the State of Minnesota, and said laws shall control the interpretation hereof. 16. Captions and Wording. The paragraph headings or captions appearing in this Agreement ,are for convenience only, are not a part of this Agreement, and are not to be considered in interpreting this Agreement. Words and phrases used in this Agreement shall have their ordinary and common meaning unless the context indicates otherwise. The word "shall" means an action is mandatory, while the word "may" means it is optional. 17. Duplicate Originals. This document must be executed in duplicate, both of which shall be considered an "original" for all purposes. One original copy shall be retained by Stevens and one original copy shall be retained by City. 18. Signatures. City of Albertville: On behalf of the City of Albertville, and pursuant to authority granted by the City Council, we have signed this Real Estate Trade Agreement on the terms and conditions set forth in this Agreement: Im Ron Klecker, Mayor Bridget Miller, Clerk MAPublic Data\City Council\2007\Council Workshop Agendas\09-17-2007 Committee of the Whole.doc II Jamie Stevens and Krista Stevens: Jamie L. Stevens and Krista E. Stevens, husband and wife have signed this Real Estate Trade Agreement on the terms and conditions set forth in this Agreement: Jamie L. Stevens Krista E. Stevens MAPublic Data\City Council\2007\Council Workshop Agendas\09-17-2007 Committee of the Whole.doc ►3 CITY HALL SOUTH PARKING LOT 15 STALL PAVED PARKING LOT CITY OF ALBERTVILLE 9111 /MG7 OMI PROJECT NO, T1521660 EEO ITEM L"T UNIT PRICE APPROXIMAT . r' —ArADUW "El —"T!—y PARKING LOTS IMPROVEMENTS I MOBILIZATION LS $1,000.00 1 $1.000.00 2 TRAFFIC CONTROL LS $500,00 1 3500,00 3 COMMON EXCAVATION CY $6.00 416 32,498,00 4 SELEGTORANULAR WWRADE MATERIAL CY $16.100 208 $3,120.00 a AGGREGATE BASE CL 6 (CV) CY $25.00 140 $3,50000 II 2'TYPE MV NONWEAR COURSE MIXTVRE TON $60A0 70 $4,200,00 7 1.5"rYPE MV WEAR COURSE MIXTURE TON $57,00 52 $2.915CO0 a INTUMIMOUS TACK CQAT GA $2M 32 $80-00 a GOeTlVMLE FABRIC Sy 42-00 2180 $4,300,00 10 Ir IMF PIPE VW SOCK LF: $4.00 ISO $1,2010m 11 CONCRETE CURB & GUTTER, 8818 LF $12-50 315 U937,50 12 CONCRETE WALK SF $4-W 300 $1138(i,00 13 SW WITH TOPSOIL SY $3.50 Soo $2.t40,00 14 LN405CAPINIS (0- LOT ONLY) LS $1,600.00 I sumoo Is W Coh[CRETS DRIVEWAY "WMIJOESAGORS" SY $40.00 3s 31'W'00 SIGNAGE LS $600-00 1 OW-00 17 PAVEMENT MARKPM STALL S50.00 is SM.00 is EROSION CONTROL LS $776.00 1 $MOO CONITN GENCY(19%) F:NGPaMV3NG (5-4) ADMIN., LEGAL, MISC. (10%) TOTAL FSTH4ATED PROJECT COSTt $44.7W63 PROPOSKI) NUMMR OF STALU CMT PIEER PARKING STALL PAAKIM LOT ONLY M:\Public Data\City Council\2007\Council Workshop Agendas\09-17-2007 Committee of the Whole.doc . 14 CITY HALL SOUTH PARKJNG LOT LANDSCAPING OF OLD RAILROAD PROPERTY (, 6fl x 60') CITY OF ALBERTVILLE 9/1 V2UU7 SMI PROJECT NO. TI621660 'fFElk1 ITEM Lw UNIT PRICE IR 0UANTjTY AMOUNT _N _ PARKING LOTS IMPROVEWMWS 1 MOBILIZATION LS $360.00 1 SM.00 2 SOD WITH TOPSOIL SY $3,00 so Mamoo 3 TREE EA $35000 b S2.10a0a 4 1 MOIJOUS SF uI3 r--A $35-00 24 $040.00 5 IRRIGATION LS 52,000.00 1 32,000.00 ROCK LANDSCAPING & EDGER L-S $760.00 1 $750.00 ESTIMATED CON37'RU4CTION COST $SX40.00 Ct?NTING1wry (10%) $884" ADhitNV I-EGM, MISC. (100A) "".00 TOTAi. ESTUMATtiD PROJECT COST: $10,08.00 M:\Public Data\City Council\2007\Council Workshop Agendas\09-17-2007 Committee of the Whole.doc I-5 CITY HALL SOUTH PARK NG LOT LANDSCAPING OIL OLD RAILROAD PROPERTY AND STEVEN'S PROPERTY CITY OF ALSERTALLE 9111/2w7 I3MI PROJECT NO. Tl 521600 ITEM UMT UNIT PRICE E QUANTITYT AMOUNT PAMI40 t.=1IIMROVEMENTS t fAMLIZAT" LS S350,00 t i36E}.KIb 2 SOD WITH TOPSOIL SY $3,60 1200 $4.200,00 3 TREE FA $35000 9 53,160:00 4 DEGt[svaus SHKO EA $35.00 40 $1,4PR00 S IRREOAn N+I L$ 52,500.00 1 $2,1540.00 $ ROCK L4NDSCAPM & EDGER LS $760.00 1 $750A0 ESTIMATED CO,NSWWCTION COST $1213%00 COPi'TIN"NCY (10%) 51„236.00 AD N N., LEGAL, MISC. (10%) $1,235AD 'I`WAL FMINATIM PROJECT COST: $14,620.00 M:\Public Data\City Council\2007\Council Workshop Agendas\09-17-2007 Committee of the Whole.doc LtJ Nbcrtvi i 11 f- c Ma or and Council CommunicationSmolt Town living. BigCty liY September 17, 2007 SUBJECT: # Legal - Woodside Communities Karston Cove 3rd Development Agreement Completion of Time Extension from October 31, 2007 to October 31, 2008. RECOMMENDATION: It is respectfully requested the Mayor and Council consider approving Resolution No. 2007-91 extending the deadline for Woodside Communities Karston Cove 3rd Addition from October 31, 2007 to October 31, 2008 with condition that the wear course be installed on 64`h Street NE, the lot graded and seeded, and other items as required by the City Engineer. BACKGROUND: Karston Cove 3rd Addition Development Agreement was approved by the City in 2004. The original agreement called for the Developer to install all improvements, including 64th Street NE and all driveways and parking lots by October 31, 2005. To date, the Developer has constructed 64th Street NE with base course (but not wear course) and has installed the driveways and parking facilities on the north side of 64th Street NE. No improvements have been constructed to date on the south side of 64th Street NE. At the request of the Developer, the City has previously extended the date for completion of all improvements to October 31, 2007. The Developer is now requesting an extension of time to complete all improvements until October 31, 2008. The City is still holding a letter of credit to secure completion of 64th Street NE and the driveways and parking lots on the south side of 64th Street NE. KEY ISSUES: • It is the City Engineer's as well as Public Work's recommendation that 641h Street NE have the final bituminous wear course installed by October 1, 2007. • The Letters of Credit must remain in place through the new completion date. POLICY CONSIDERATIONS: The City does not have a specific policy on this, but it has been past practice to evaluate each request for an extension on an individual basis. FINANCIAL CONSIDERATIONS: There are no direct financial implications to the City for this Development Agreement Time Extension as the Developer pays for all consulting fees consumed to process the extension. The Developer provided an original letter of credit in the amount of $592,711, which as been reduced to $460,000 on November 27, 2006. The City Engineer's opinion is that this amount is adequate to insure the completion of the remaining work. Mayor and Council Communication — September 17, 2007 Legal — Woodside Communities (Karston Cove 3rd) Extension Page 2 of 3 LEGAL CONSIDERATIONS: The City has the legal authority to extend the Deadline on Development Agreements and place additional requirements if necessary. Respectfully Submitted t Larry R. Kruse City Administrator Department/Responsible Person: Legal/Mike Couri Attachments: Draft Resolution MAPublic Data\City Council\Council Packet infonnation2007\09-17-04\09 17 2007 Woodside Communities Karston Cove 3rd Extension.doc Agenda Item No. 6.F.1. Meeting Date September 17, 2007 Mayor and Council Communication — September 17, 2007 Legal — Woodside Communities (Karston Cove 3rd) Extension Page 3 of 3 Draft Resolution CITY OF ALBERTVILLE COUNTY OF WRIGHT STATE OF MINNESOTA RESOLUTION NO.2007-91 RESOLUTION EXTENDING THE COMPLETION DEADLINE OF WOODSIDE COMMUNITIES KARSTON COVE 3an ADDITION FROM OCTOBER 31, 2007 TO OCTBER 31, 2008 WITH CONDITIONS WHEREAS, the Woodside Communities has requested the City extend the deadline to complete Karston Cove 3rd Addition from October 31, 2007 to October 31, 2008; and WHEREAS, the demand for housing shows a high inventory of available units and a low demand for new housing units; and WHEREAS, it is mutually beneficial to all parties to hold off on development south of 64th Street NE, and WHEREAS, Woodside Communities has agreed to complete the bituminous wear coarse on 64th Street NE, and NOW, THEREFORE be it resolved by the City Council of the City of Albertville, County of Wright, State of Minnesota: that the City of Albertville hereby extends the 2004 Development Agreement with Woodside Communities as it pertains to the Karston Cove 3rd Addition from October 31, 2007 to October 31, 2008 with the following conditions: Woodside Communities installs the bituminous wear coarse prior to October 1, 2007. Woodside levels, grades and seeds areas identified by the City Engineer to prevent erosion and further completes any additional items required by the City Engineer. Woodside maintains in full force all Letters of Credit. Adopted by the Albertville City Council this 17th day of September, 2007 Ron Klecker, Mayor Bridget Miller, City Clerk M:\Public Data\City Council\Council Packet information\2007\09-17-04\09 17 2007 Woodside Communities Karston Cove 3rd Extension.doc Agenda Item No. 6.F.1. Meeting Date September 17, 2007