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Home My WebLink About7A - Annexing Gold Property MEETING DATE: AGENDA #: PREPARED BY: AGENDA ITEM: DISCUSSION: ISSUES: 16200 Eagle Creek Avenue S.E. Prior Lake, MN 55372-1714 CITY COUNCIL AGENDA REPORT NOVEMBER 21, 2005 7A JANE KANSIER, PLANNING DIRECTOR CONSIDER APPROVAL OF AN ORDINANCE ANNEXING 7.05 ACRES OF PROPERTY IN SECTION 10, SPRING LAKE TOWNSHIP PURSUANT TO MINNESOTA STATUTES 414.033, SUBD. 2 (GOLD PROPERTY) Introduction This agenda describes a request from the property owner to annex 7.05 acres of land in Spring Lake Township. Since the property is not a part of the Orderly Annexation Area, Minnesota Statutes require the City Council to conduct a public hearing. Notice of this hearing was delivered via certified mail to owners of property adjacent to the site, and to the Spring Lake Township clerk. H istorv Mark and Karen Gold are property owners of a total of approximately 27 acres of land located north of 180th Street, east of Wedgewood Lane and west of Rice Lake, in Section 10, Spring Lake Township. The north 20 acres of this property were included in the Orderly Annexation Area, and were annexed in 2004. The property owners have now filed a request to annex the remaining 7.05 acres of their property. The purpose of the annexation is to allow the development of this property. Current Circumstances The property in question is located outside of the Spring Lake Orderly Annexation Area. It is adjacent to the City limits on its northern boundary. The property is the site of a single family home and outbuildings. Development of the parcel will have to be done in conjunction with the property to the north. Under Minnesota Statutes 414.033, Subdivision 2 (3), the City Council may adopt an ordinance annexing land to the City under the following circumstances: . The land abuts the municipality; and . The area to be annexed is 60 acres or less; and . The area is not presently served by public sewer facilities or public sewer facilities are not otherwise available; and . The municipality receives a petition for annexation from all of the property owners of the land to be annexed. This method of annexation does not require approval of the Township but does require a public hearing by the City Council. Prior to the hearing, the City must give 30-days written notice by certified mail to the Township and to all owners of land adjacent to the property in questions. If the City Council adopts an ordinance annexing the property, this ordinance is sent to the State Municipal www.cityofpriorlake.com :~one952.:447t)P2~O / Fax 952.447.4245 Boundary Adjustment office for review. It must also be noted that this property is not included on the City's Comprehensive Plan Map. If the City Council agrees to annex the property, it will automatically be zoned R-1 (Low Density Residential). Eventually, either the City Councilor the petitioner must initiate an amendment to the Comprehensive Plan Map to include this area. Staff recommends the City Council instruct the developer to submit this petition. The property in question meets the criteria for annexation under Minnesota Statutes Section 414.033, Subdivision 2 (3). Development of the property should occur within the City limits, once sewer and water service are available to serve this site from the adjacent parcels. FINANCIAL IMPACT: Approval of the annexation will allow the development of the property within the City limits, which will increase the City tax base. Under Minnesota Statutes 414.033, Subdivision 12, the property will also be subject to tax feathering, as follows: When a municipality annexes land under subdivision 2, clause (2), (3), or (4), property taxes payable on the annexed land shall continue to be paid to the affected town or towns for the year in which the annexation becomes effective. If the annexation becomes effective on or before August 1 of a levy year, the municipality may levy on the annexed area beginning with that same levy year. If the annexation becomes effective after August 1 of a levy year, the town may continue to levy on the annexed area for that levy year, and the municipality may not levy on the annexed area until the following levy year. In the first year following the year when the municipality could first levy on the annexed area under this subdivision, and thereafter, property taxes on the annexed land shall be paid to the municipality. In the first year following the year the municipality could first levy on the annexed area, the municipality shall make a cash payment to the affected town or towns in an amount equal to 90 percent of the property taxes distributed to the town in regard to the annexed area in the last year the property taxes from the annexed area were payable to the town; in the second year, an amount equal to 70 percent; in the third year, an amount equal to 50 percent; in the fourth year, an amount equal to 30 percent; and in the fifth year, an amount equal to ten percent. The municipality and the affected township may agree to a different payment. In 2005, the Township share of taxes on this 7 acre parcel was $274.05. Using this amount, the City would be responsible for reimbursing the Township as follows: Year 1 90% Year 2 70% Year 3 50% Year 4 30% Year 5 10% Total $247.50 $192.50 $137.50 $82.50 $27.50 $687.50 These taxes would be reimbursed from the City's share of taxes for this property in the next five years. ALTERNATIVES: The City Council has three alternatives: 1. Approve an ordinance annexing the property as requested. 2. Deny the ordinance annexing the property on the basis it is inconsistent with the Comprehensive Plan or State Statutes. 3. Defer this item and provide staff with specific direction. RECOMMENDED MOTION: A motion and second to approve an ordinance annexing the 7.05 acres of land in Section 10, Spring Lake Township pursuant to Minnesota Statutes 414.033, Subdivision 2 (3). The ordinance will be forwarded to the Minnesota Office of Boundary Adjustment for their review. /L Reviewed by: 16200 Eagle Creek Avenue S.E. Prior Lake, MN 55372-1714 CITY OF PRIOR LAKE ORDINANCE NO. 05- XX AN ORDINANCE ANNEXING PROPERTY FROM SPRING LAKE TOWNSHIP INTO THE CITY OF PRIOR LAKE MOTION BY SECOND BY The City Council of the City of Prior Lake does hereby ordain that: 1. That the following described property in Spring Lake Township is subject to annexation pursuant to Minnesota Statutes 414.033, Subdivision 2 (3); That part of Government Lot 2, Section 10, Township 114, Range 22, Scott County, Minnesota, and that part of the Southwest Quarter of the Southeast Quarter of said Section 10, described as follows: Beginning at a point on the west line of said Southwest Quarter of the Southeast Quarter distant 1176.65 feet northerly of the southwest corner; thence easterly parallel with the South line of said Southwest Quarter of the Southeast Quarter a distance of 818.53 feet; thence northerly parallel with the west line of the Southeast Quarter of said Section 10, distance of 372.78 feet; thence westerly parallel with said South line a distance of 818.53 feet to said west line; thence southerly along said west line a distance of 372.78 feet to the point of beginning. AND That part of Government Lot 2, Section 10, Township 114, Range 22, Scott County, Minnesota and that part of the Southwest Quarter of the Southeast Quarter of said Section 10, described as follows: Beginning at a point on the west line of said Southwest Quarter of the Southeast Quarter distant 1176.65 feet Northerly of the Southwest corner, thence Easterly parallel with the South line of said Southwest Quarter of the Southeast Quarter a distance of 818.53 feet; thence Northerly parallel with the west line of the Southeast Quarter of said Section 10, a distance of 1451.0 feet more or less to the North line of said Government Lot 2; thence Westerly along said North line to Northwest corner; thence Southerly along the west line of said Government Lot 2, and the west line of the Southwest Quarter of Southeast Quarter to the point of beginning. All being in Scott County, Minnesota. And 2. The petition for annexation has been signed by all of the owners of the subject property; and 1:\05 files\05 annexations\gold property\an~!Qt~riorlake.com Phone 952.447.4230 / Fax 952.447.4245 3. The City Council of the City of Prior Lake upon passage and adoption of this ordinance, and upon acceptance by the Minnesota Office of Boundary Adjustment, annexes the aforementioned property into the City of Prior Lake. 4. That there is no change in electrical service provided for the subject annexation, therefore, State Statute 414.0235, Subd. 1 A, is not applicable. NOW THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PRIOR LAKE, SCOTT COUNTY, MINNESOTA, THAT: The City of Prior Lake approves the proposed annexation of the aforementioned property from Spring Lake Township into the City of Prior Lake. This ordinance shall become effective from and after its passage and publication. Passed by the City Council of the City of Prior Lake this 21 st day of November, 2005. ATTEST: City Manager Mayor Drafted By: Prior Lake Planning Department 16200 Eagle Creek Avenue Prior Lake, MN 55372 1:\05 files\05 annexations\gold property\annex ord.doc 2 LOCATION MAP GOLD ANNEXATION Gold Property 7 Acres to be Annexed 5]