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HomeMy WebLinkAbout5I - McKinley Easement CITY COUNCIL AGENDA REPORT MEETING DATE: April",-, ~2003 AGENDA #: 5 I PREPARED BY: Bud Osmundson, Public Works Director AGENDA ITEM: CONSIDER APPROVAL OF A RESOLUTION APPROVING ACQUISITION OF A PARCEL FROM JOHN MICHAEL MCKINLEY FOR THE RING ROAD AND AUTHORIZING THE MAYOR AND CITY MANAGER TO EXECUTE ALL DOCUMENTS TO EFFECTUATE THE PURCHASE. DISCUSSION: History: The City's Capital Improvement Program has long called for the construction of a Ring Road from Franklin Trail to CSAH 23 /170 TH Street to improve access to the commercial/retail properties in this area. The first segment of the road was construction through the Park Nicollet property in conjunction with the Keystone project. Plans and specifications have now been completed for Phases II and III of the road which will complete construction from the Park Nicollet property to CSAH 23 / 170th Street. The staff has been in the process of acquiring the right-of-way needed to complete the roadway. We have been successful in acquiring the Thrift Store Property, a portion of the Wells Fargo property and a portion of the Borka property. The Council recently authorized condemnation of all remaining properties. The staff has nonetheless continued to negotiate the acquisition of the required properties. Current Circumstances: Mike McKinley owns the parcel on the south side of Tower Street, east of Panama Avenue. For this parcel, the City requires both a permanent easement and temporary easement for construction purposes for the Ring Road. The total purchase amount for the easements on this parcel is $31,613.50. Attached is a easement agreement prepared by the City Administration office for this parcel. ISSUES: The value of the permanent easement is in accordance with our appraisal for other properties in the area. This is important as it will establish a value for the remaining parcels. This purchase is also important as it is one less which will require additional court costs and time through the condemnation process. Maintenance Center 17073 Adelmann St. S.E., Prior Lake, Minnesota 55372 / Ph. (952) 440~9675 / Fax (952) 440-9678 X:\OSMUNDSON\STREET SYSTEM\23 & FIVmfAW~,bi~DA APPROVE MCKIN PURCHASE.DOC ALTERNATIVES: (1) Approve Resolution 03-XX Authorizing the Acquisition a permanent and temporary easement from John Michael McKinley at a cost not to exceed $31,613.50 and authorizing the Mayor and City Manager to execute the necessary documents. (2) Take no action. RECOMMENDED MOTION: Alternative (1). X:\OSMUNDSON\STREET SYSTEM\23 & FIVE HAWKS\AGENDA ITEMS\AGENDA APPROVE MCKIN PURCHASE DOC _'__'.._-_'~-~"_--'-----~-..._-----_..,.,~---,..,-~~----..~-,,----_._- . - - -"~. -.- '_'_-"_._.,~.-..._,""----~_.__.- RESOLUTION 03-xx RESOLUTION AUTHORIZING ACQUISTION OF A PERMANENT AND TEMPORARY EASEMENT FROM JOHN MICHAEL MCKINLEY FOR ROADWAY PURPOSES, AND AUTHORIZING THE MAYOR AND CITY MANAGER TO EXECUTE THE NECESSARY DOCUMENTS MOTION BY: WHEREAS, WHEREAS, WHEREAS, WHEREAS, SECOND BY: pursuant to Resolution 03-xx, the City Council accepted the Feasibility Report and setting a public hearing on the CSAH 23 / Five Hawks / TH 13 /170th Street / Tower Street (Ring Road Phase 3) Improvement Project (City Project #02-06); and the City Council has previously determined that permanent and temporary easements across the property commonly known as the Mike McKinley site (the legal descriptions of which are attached hereto), are necessary for public purpose for the construction of the roadway improvements; and on February 3, 2003, the City Council initiated a condemnation action for the necessary property interests by Resolution 03-18; and prior to completing the condemnation action, staff and property owner have successfully negotiated terms for the purchase of said easement interests. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA, 1. The recitals set forth above are incorporated herein. 2. The acquisition of the permanent and temporary easements is hereby approved, and funds for this purchase shall be drawn from the Collector Street Fund in an amount not to exceed $31,613.50. 3. The Mayor and City Manager are hereby authorized to execute all necessary documents to effectuate the closing of the transaction. 4. Upon execution of the easement documents, the City Attorney is hereby authorized to remove said parcels from the condemnation action. Maintenance Center x:\dshQi7&~ &.lEvy ~ ~&Dtaa~ilQr,Xi~~Gt40-9675 / Fax (952) 440-9678 AN EQUAL OPPORTUNITY EMPLOYER Passed this ih day of April 2003. Blomberg Blomberg Haugen Haugen LeMair LeMair Petersen Petersen Zieska Zieska YES NO { Seal} Frank Boyles, City Manager X:\Osmundson\Street System\23 & Five Hawks\Agenda Items\Agenda approve Mckin purchase. DOC Mike McKinley 16961 Mushtown Road SE Prior Lake, MN 55372 Re: Tower Street / CSAH 23/ Five Hawks Project City Project 02 - 06 Dear Mr. McKinley: Thank you for your cooperation on moving ahead with the purchase of a part of your property for the Ring Road project. As we have discussed, the City is willing to offer you $5.00 per square foot (sf) for the permanent easement we want to acquire, and $0.50 per square foot for the temporary easement for the total time of construction. The permanent easement we need is 4,790 square feet, so the total offer for the permanent easement is $5.00 x 4790 sf= $23,950.00. The temporary construction easement would be for the time period between the date of closing to October 1,2004, and consists of 15,327 sf. At $0.50 per sf, this offer totals $7,663.50. The total of the offer for the permanent and temporary easements is $31,613.50. This offer is contingent on authorization of signatures and approval of this purchase by our City Council. As I discussed with you, the City is moving forward with condemnation action on all remaining parcels for the Ring Road project. So it is no surprise to you, you will be receiving a notification of this action. However, upon closing of the sale of the property, your part of the condemnation will be dismissed. If you are in agreement with this offer, please sign on the appropriate line following on this letter and return the letter to me by 4:30 pm on Monday, March 24 at the Maintenance Center. (The attached second original is your copy of this letter.) We will then have a purchase agreement drawn up for the parcel. This would be sent to you for your signature and then presented to the City Council for their approval at the next regularly scheduled City Council meeting after we receive the signed purchase agreement Maintenance Center 17073 Adelmann 51. S.E., Prior Lake, Minnesota 55372 / Ph. (952) 440-9675 / Fax (952) 440-9678 AN EQUAL OPPORTUNITY EMPLOYER Thank you for your cooperation on these matters and please call me at 952 - 447 - 9890 (office) or 952 - 292 - 2080 (mobile) if you have any questions. I:e' Bud Osmundson, P.E. Public Works Director Cc: Frank: Boyles, City Manager Sue McDermott, City Engineer Suesan Lea Pace, City Attorney I agree to accept the City's offer for the purchase of the permanent and temporary easements as set forth above; subject, however, to my acceptance of the terms of the final purchase agreement (including without limitation the legal description of the easement area) and execution of the purchas~ agreement by all parties not later than April 8, 2003. If a final purchase agreement has not been executed by 4:25 p.m. on Tuesda~April 8, this letter agreement is null and void. Date: j~h~t!J3 (Reserved for Recording Data) GRANT OF PERMANENT EASEMENT AND TEMPORARY CONSTRUCTION EASEMENT PERMANENT EASEMENT This Agreement made this day of , 2003, by and between Lawrence N. Schweich and Bonita J. Schweich, husband and wife ("Fee Owners'), and John M. McKinley, a single person ("Contract for Deed Holder), (hereinafter collectively referred to as "GRANTORS"), in consideration of Twenty-three Thousand, Nine Hundred Fifty Dollar(s) ($23,950.00) and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, do hereby grant unto the CITY OF PRIOR LAKE, a municipal corporation organized under the laws of the State of Minnesota, the Grantee, hereinafter referred to as the "CITY", its successors and assigns, forever, a permanent easement for public street, drainage and utility purposes over, across, on, under, and through land situated within the County of Dakota, State of Minnesota, as described on the attached Exhibit "A". INCLUDING the rights of the City, its contractors, agents, servants, and assigns, to enter upon the easement premises at all reasonable times to construct, reconstruct, inspect, repair, and maintain said public street, drainage and utility systems over, across, on, under, and through the easement premises, together with the right to grade, level, fill, drain, pave, and excavate the easement premises, and the further right to remove trees, bushes, undergrowth, and other obstructions interfering with the location, construction, and maintenance of said public street, drainage and utility systems. TEMPORARY CONSTRUCTION EASEMENT The Grantors, in consideration of Seven Thousand Six Hundred Sixty-Three and 50/100 Dollars ($7,663.50) and other good and valuable consideration to them in hand paid by the CITY, the receipt and sufficiency of which is hereby acknowledged, do hereby grant unto the CITY, its successors and assigns, a temporary easement for construction purposes, over, on, across, under, and through the land situated in the County of Scott, State of Minnesota, as legally described on the attached Exhibit "A". TO HAVE AND TO HOLD the same, unto the CITY, its successors and assigns, commencing upon execution of this agreement and expiring October 1, 2004, for the purpose of construction activities associated with City Improvement Project No. 02-06 (Ring Road Phase 3 improvements); it being the intention of the parties hereto that the Grantors hereby grant the uses herein specified without divesting themselves of the right to use and enjoy the above described temporary easement premises, subject only to the right of the CITY to use the same for the purposes herein expressed. The CITY agrees that it shall restore all affected areas to a condition as nearly as equal to the conditions existing prior to commencement of construction activities. CITY shall not be responsible for reimbursing Grantors or replacing any removed or destroyed structures, vegetation, trees or any other items altered, removed or destroyed in connection with construction activities. ACKNOWLEDGEMENTS The above named Grantors, their successors, heirs, and assigns do covenant with the CITY, its successors and assigns, that they are well seized in fee title to the easement premises described herein; that they have the sole right to grant and convey the permanent and temporary easements to the CITY; that there are no unrecorded 913193-1 2 interests in the easement premises; and that they will indemnify and hold the CITY harmless for any breach of the foregoing covenants. IN TESTIMONY WHEREOF, the Grantor(s) hereto has/have signed this agreement this day of GRANTOR(S): John M. McKinley Lawrence N. Schweich Bonita J. Schweich STATE OF MINNESOTA ) ) ss. COUNTY OF ) The foregoing instrument was acknowledged before me this John M. McKinley, a single person, Contract for Deed Holder and Grantor. day of J by Notary Public STATE OF MINNESOTA ) ) ss. COUNTY OF ) The foregoing instrument was acknowledged before me this day of Lawrence M. Schweich and Bonita J. Schweich, husband and wife, Fee Owners and Grantor. , by Notary Public 913193-1 3 THIS INSTRUMENT WAS DRAFTED BY: CITY OF PRIOR LAKE 16200 Eagle Creek Avenue SE Prior Lake, MN 55372 Ph. 952.447.4230 kgm 913193-1 4 Location: Prior Lake P.lD. No. 259020910 Project No. 1283-032 Parcel No. 7 Date: January 20,2003 That part of the following described parcel ofland in the City of Prior Lake. A tract ofland in the Southeast Quarter of the Southwest Quarter (SE 1/4 of SW 1/4), Section Two (2), Township one hundred fourteen (114) North, Range Twenty-two (22) West, described as follows: Commencing at a point on the South line of said Section 2, said point being 414.6 feet West of the NE com~ of Government Lot 4, Section 11, Township 114 North, Rang~ 22 West, thence North at a right angle 300 feet; thence West at a right angle 666.29 feet to the Easterly boundary of the Town Road; thence in a Southeasterly direction along said Easterly boundary of the Town Road 343.01 feet to the South line of said Section Two; thence East along the South line of said Section 2, 500.00 feet to the point of beginning. All of the aforedescribed property being in Scott County, Minnesota. Which lies within the following permanent easement for street, utility and drainage purposes: That part of the Southeast Quarter of the Southwest Quarter (SE 1/4 ofSW 1/4), Section Two (2), Township one hundred fourteen (114) North, Range Twenty-two (22) West, described as follows: Commencing at a point on the South line of said Section2, said point being 414.6 feet West of the NE comer of Govemment Lot 4, Section 11, Township 114 North, Range 22 West, thence North at a right angle 300 feet; thence West at a right an~e 666.29 feet to the Easterly boundary of the Town Road; thence in a Southeasterly direction along said Easterly boundary of the Town Road 343.01 feet to the South line of said Section Two; thence East along the South line of said Section 2, 500.00 feet to the point of beginning; All of the aforedescribed property being in Scott County, Minnesota. Said easement is described as that part of the above described tract which lies Northerly of the following described line. Commencing at a point on the South line of said Southeast Quarter of the Southwest Quarter, said point being 414.6 feet West of said Northeast comer of Govemment Lot 4, Section 11, Township 114, Range 22; thence Northerly, at right angles to said South line, 295.00 feet, to the point of beginning of said line to be hereinafter described; thence Westerly, at right angles to the last described line, 501.76 feet; thence Westerly and Southwesterly, 116.33 feet, along a tangential curve concave to the Southeast, having a 2Note: This is not a legal document. It is intended only to present the information to prepare the necessary documents for the acquisition of the easements described above by proceedings in eminent domain or negotiation. 1 F:\ WPWIN\1283-03\SURVEY\P ARCEL7.doc radius of269.00 feet and a central angle of24 degrees 46 minutes 42 seconds, to said Easterly boundary of the Town Road, and said line there terminating. Also which lies within the following temporary easement for coilstruction purposes: A strip of land 25.00 feet in width over that part of the above described tract, the Northerly line of which is contiguous with the Southerly line of the above descnbed permanent street, utility and drainage easement. ' Said strip of land is to extend by its full width from the Easterly line of the above described tract, to said Easterly boundary of the Town Road. Parties: John M. McKinley 2Note: This is not a legal docnment. It is intended only to present the information to prepare the necessary documents for the acquisition of the easements described above by Pl'oceedings in eminent domain or negotiation. 2 F:\WPWIN\1283-03\SURVEY\P AReEL7.doc ,S6l ~~: . o en ~ ~ w ~ :c I- ~4:l 1..1.. 8 i 0 ... :.-l:i ,. ~~ ~3: N ......V1 ...Jl..1..u ~~ :caw I- ... V1 :::J":- II OWI..1.. 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