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Home My WebLink About5K Authorizing Mayor and City Manager to enter into a Stipulation with PL-Spring Lake Watershed DistrictPRIO U try \ 4646 Dakota Street SE Prior Lake_ MN 55372 CITY COUNCIL AGENDA REPORT MEETING DATE: May 16, 2011 AGENDA #: 5K PREPARED BY: Suesan Lea Pace, City Attorney PRESENTED BY: Suesan Lea Pace AGENDA ITEM: CONSIDER APPROVAL OF A RESOLUTION AUTHORIZING THE MAYOR AND CITY MANAGER TO ENTER INTO A STIPULATION WITH THE PRIOR LAKE - SPRING LAKE WATERSHED DISTRICT REGARDING THE CONDEMNATION OF CERTAIN EASEMENTS FOR THE IMPLEMENTATION OF THE DISTRICT'S OUTLET STRUCTURE REPAIR PROJECT. (Morlock) DISCUSSION: Introduction The City of Prior Lake ( "City ") and Prior Lake - Spring Lake Watershed District Wa- tershed District ( "District ") are parties to two Agreements, a Memorandum of Agreement For Construction, Use, Operation, and Maintenance of the Prior Lake Outlet Channel and Outlet Structure ( "MOU ") and a Joint Powers Agreement For Construction, Use, Operation, and Maintenance of the Prior Lake Outlet Channel and Outlet Structure ( "JPA "), both dated October 1, 2006. On May 15, 2009 the Watershed District commenced an eminent domain pro- ceeding to acquire a permanent easement in property required to implement the Outlet Structure Repair Project. The property is owned by Dean and Judy Mor- lock and legally described in Exhibit A of the District's Petition. The City was also named in the District's Condemnation Petition because it has an access easement over the Morlock property which coincides, with respect to an area of 356 square feet, with the location of the easement the Watershed District was condemning. The condemnation proceeding has concluded and the District has acquired the needed easements. Morlock appealed the amount of the condemnation award and that case is expected to go to trial sometime this fall, but the appeal does not involve the City. Current Circumstances The City and District agreed that the City would not file an Answer in the condem- nation proceeding because the relationship between the City and the Watershed District concerning the Outlet Channel are described in the MOU and JPA and, therefore, it was unnecessary to incur the legal expense to prepare an Answer. The Outlet Channel Repair Project was substantially completed in July 2010. In- stead the parties agreed to enter into this Stipulation which essentially provides that "...the Parties agree to coordinate any substantial use of the the area of easement overlap to ensure that use by one Party does not interfere with use by the other." A copy of the Stipulation is attached. ISSUES: The Stipulation is consistent with the City and Watershed District's obligations re- garding the Outlet Channel and Outlet Structure provided for in the MOU and JPA. FINANCIAL None IMPACT: ALTERNATIVES: 1. Authorize the Mayor and City Manager to execute a Stipulation in the Prior Lake Spring Lake Watershed District vs. Dean E. Morlock et al, Court File No.: 70- CV -09- 10793, condemnation matter. 2. Defer action on the Resolution for a specific reason. RECOMMENDED Alternative #1 MOTION: Reviewed by: Frank Boyles, City Manager ►,� PRIO�, U fri �, , V1VES 0_ ' 4646 Dakota Street SE Prior Lake. MN 55372 RESOLUTION 11 -xxx A RESOLUTION AUTHORIZING THE MAYOR AND CITY MANAGER TO ENTER INTO A STIPULATION WITH THE PRIOR LAKE - SPRING LAKE WATERSHED DISTRICT REGARDING THE CONDEMNATION OF CERTAIN EASMENTS FOR THE IMPLEMENTATION OF THE DISTRICT'S OUTLET STRUCTURE REPAIR PROJECT ( Morlock). Motion By: Second By: WHEREAS, The Prior Lake - Spring Lake Watershed District is responsible for the improvement and oversight of the outlet box and channel from lower Prior Lake; and WHEREAS, The Prior Lake - Spring Lake Watershed District commenced eminent domain proceedings to acquire a permanent easement for property required to implement the outlet structure repair project; and WHEREAS, The subject property was owned by Dean and Judy Morlock; and WHEREAS, The City is named in the Prior Lake - Spring Lake Watershed District condemnation petition because it has a coincidental easement for access over 365 square feet of the area the Prior Lake - Spring Lake Watershed District is condemning; and WHEREAS The condemnation process has concluded and the Prior Lake - Spring Lake Watershed District has acquired the easements; and WHEREAS Morlock appealed the amount of the condemnation award which does not involve the City; and WHEREAS The Prior Lake - Spring Lake Watershed District and City have agreed the City would not take an answer to the appeal. NOW THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA as follows: 1. The recitals set forth above are incorporated herein. 2. The Mayor and City Manager are authorized to execute a stipulation in the Prior Lake - Spring Lake Watershed District vs. Dean E. Morlock, et al., condemnation matter. PASSED AND ADOPTED THIS 16th DAY OF MAY 2011. YES NO M ser M ser Erickson Erickson Hedberg Hedber Keeney Keene — Soukup Souku Frank Boyles, City Manager MACouncil\Resolutions120111xxx Stipulation Outlet STructure Repair.doc STATE OF MINNESOTA DISTRICT COURT COUNTY OF SCOTT FIRST JUDICIAL DISTRICT Case Type: Condemnation Prior Lake- Spring Lake Watershed District, Court File No.: No: 70 -CV -09 -10793 a political subdivision of the State of Minnesota, Petitioner, VS. STIPULATION BY AND BETWEEN THE PRIOR LAKE- SPRING LAKE WATERSHED DISTRICT AND THE CITY OF PRIOR LAKE Dean E. Morlock, Judy A. Morlock, Dean E. Morlock and Judy A. Morlock, as Trustees of the Dean Morlock Revocable Trust Dated February 8, 2000, as amended, Michael J. Coster, Deloris A. Hayes, Patrick Hayes, The City of Prior Lake, Minnesota Valley Electric Cooperative, Voyager Bank, Mortgage Electronic Registration Systems, Inc., and The State of Minnesota, Respondents. This Stipulation made and entered into this day of , 2011, by and between Petitioner Prior Lake -Spring Lake Watershed District, a political subdivision of the State of Minnesota (hereinafter referred to as "District "), and the City of Prior Lake, a Minnesota municipal corporation (hereinafter referred to as "City ") (together, "Parties "). I._RECITALS A. The District commenced the above - captioned proceeding in eminent domain on or about May 15, 2009, for the purpose of acquiring perpetual easements for implementation of its Outlet Structure Repair Project over the real property described on Exhibit A of its petition, and over which the City holds an easement interest. On September 1, 2009, the District acquired those easements by quick -take. The Project was substantially completed in July 2010. A commissioner's award was made, awarding damages to the fee owner only. The fee owner appealed and the matter is in district court. B. The Parties have determined that the easements that were condemned by the District will be subject to the Parties' Memorandum of Agreement For Construction, Use, Operation and Maintenance of the Prior Lake Outlet Channel and Outlet Structure, dated October 1, 2006 (hereinafter MOA), and the Parties' Joint Powers Agreement For Construction, Use, Operations and Maintenance of the Prior Lake Outlet Channel and Outlet Structure, dated October 1, 2006 (hereinafter JPA). C. The City has not appeared or submitted its answer in this matter. D. A drainage easement taken by the District partly coincides with an existing city access easement, with respect to an area of 356 square feet. The District and City desire to document the City's procedural status and their ongoing intent to cooperate in the exercise of mutual easement rights. II.AGREEMENT THEREFORE the District and City hereby stipulate and agree as follows: 1. The City consents to the condemnation of the easements by the District, as set forth in its Petition, and construction of its Outlet Structure Repair Project, all in accordance with the terms and conditions set forth herein, and finds that its interests in its access easement are not substantially affected by the foregoing. 2. Both the District's drainage easement and the City's access easement are for passage to the outlet structure and shoreline, neither the District nor the City intends to physically occupy its respective easement, and both Parties expect that use of their respective easements will be limited and infrequent. Notwithstanding, the Parties agree to coordinate any substantial use of the area of easement overlap to ensure that use by one Party does not interfere with use by the other. 3. Any notice required pursuant to the Stipulation shall be directed to: Michael Kinney District Administrator 14070 Commerce Avenue NE Suite 300 Prior Lake, Minnesota 55372 Frank Boyles City Manager City of Prior Lake 4646 Dakota Street S.E. Prior Lake, MN 55372 4. Any amendments to this Stipulation, and any waiver of its provisions, shall be in writing and signed by the Parties hereto. If any provision of this Stipulation is determined to be unenforceable, the remainder of this Stipulation shall continue in full force. This Stipulation shall be governed by Minnesota law. 5. This Stipulation is made and entered effective as of date set forth above by the authorized representatives of the Parties as set forth below. Prior Lake- Spring Lake Watershed District BY: Craig Gontarek Its: President THE CITY OF PRIOR LAKE By: Mike Hyser Its: Mayor By: Frank Boyles Its: City Manager