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Home My WebLink About8C - Resolution 99-23 - Bluff Indemnification AGreements MEETING DATE: AGENDA #: PREPARED BY: REVIEWED BY: AGENDA ITEM: DISCUSSION: CITY COUNCIL AGENDA REPORT APRIL 19, 1999 8C JANE KANSIER, PLANNING COORDINATOR DON RYE, PLANNING DIRECTOR CONSIDER ADOPTION OF RESOLUTION 99~ G NULLIFYING THE BLUFF INDEMNIFICATION AGREEMENTS FOR SPECIFIC PROPERTIES History: On January 20, 1998, the City Council adopted Ordinance 98-01 (see attached). This ordinance amended the Zoning Ordinance to clarify the definition of a bluff, and also required that the property owner "prepare and record a declaration of covenants, conditions and restrictions in a form acceptable to the City Attorney which provides for owner maintenance of all manufactured slope areas, acceptance of all risks and liability associated with those areas and indemnification of the City from all associated claims". When this ordinance was further amended in June, 1998, this provision remained. Since the adoption of this ordinance, we have issued 10 building permits which required the indemnification agreements. These permits were for the properties listed below: 3030 Fairview Road 16085 Northwood Road 16099 Northwood Road 16033 Northwood Road 16077 Northwood Road 16087 Northwood Road 16091 Northwood Road 4231 Quaker Trail 15380 Red Oaks Road 3440 Twin Island Circle All of the property owners recorded an indemnification agreement as part of the building permit requirements for these properties. Current Circumstances: When reviewing the new Zoning Ordinance, the City Council discussed whether or not to include this provision. The Council determined the indemnification requirement was not really necessary, since the City's liability in these instances was 62 .J~9..9files\9}1subiec\99-0 W\ccTe.Qt.doc , p~ J 1 UU-cagle CreeK Ave, :),E., f'nor Lake, Mmnesota 55372-1714 / Ph, (612) 447-4230 / Fax (ol~) 447-4245 AN EQUAL OPPORTUNITY EMPLOYER FISCAL IMPACT: ALTERNATIVES: RECOMMENDED MOTION: REVIEWED BY: minimal even without such an agreement. The Council therefore removed this provision from the new Zoning Ordinance. As a result ofthe Council's action on the new Zoning Ordinance, the City has received a request from the owner's of the property at 4231 Quaker Trail to remove the indemnification agreement. Rather than review each property separately upon request, it seemed prudent to act upon all of the indemnification agreements at this time. The Issues: The issue is the City's liability if the indemnification agreement is rescinded. Based on earlier discussions, the City's liability in these cases is very limited. The lack of an indemnification agreement will not change this fact. Conclusion: The purpose of the indemnification agreement is to protect the City. However, the lack of such an agreement in these cases will not subject the City to any increased liability. After May 1, 1999, the effective date of the new Zoning Ordinance, other properties similar to the ten listed above will not be required to sign and record this type of agreement. It seems reasonable, therefore, to rescind these existing agreements, effective May 1, 1999. If the Council adopts the attached resolution, it will be forwarded to the affected property owners who can then record it as proof of rescinding the agreement. Budget Impact: There is no budget impact as a result of this resolution. The City Council has three alternatives: 1. Adopt Resolution 99-XX rescinding the recorded indemnification agreements for the listed properties. 2. Deny Resolution 99-XX. 3. Defer this item and provide staff with specific direction. The staff recommends Alternative 1. A motion and second adopting Resolution 99-XX. 1:\99files\99subjec\99-0 I O\ccrept.doc Page 2 ", RESOLUTION 99-XX RESOLUTION NULLIFYING THE BLUFF INDEMNIFICATION AGREEMENTS FOR SPECIFIC PROPERTIES MOTION BY: SECOND BY: WHEREAS: the Prior Lake City Council adopted Ordinance 98-01 on January 12, 1998; and WHEREAS: this ordinance requires that the owner of property with a bluff must "prepare and record a declaration of covenants, conditions and restrictions in a form acceptable to the City Attorney which provides for owner maintenance of all manufactured slope areas, acceptance of all risks and liability associated with those areas and indemnification of the City from all associated claims"; and WHEREAS: the owners of the following properties have all recorded indemnification agreements as part of the building permit requirements: 3030 Fairview Road 16085 Northwood Road 16099 Northwood Road 16033 Northwood Road 16077 Northwood Road 16087 Northwood Road 16091 Northwood Road 4231 Quaker Trail 15380 Red Oaks Road 3440 Twin Island Circle and WHEREAS: on February 16, 1999, the City Council adopted Ordinance 99-02, adopting a comprehensive new Zoning Ordinance for the City of Prior Lake; and WHEREAS: this ordinance is effective on May 1, 1999; and WHEREAS: this ordinance eliminates the need for the bluff indemnification agreements. NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA, that: 1. The above recitations are herein fully incorporated as set forth above. 2. The indemnification agreements for each of the properties listed above are legally described on attached Exhibit A. .J:\99fih;s.\99S\lbj~c\99-QIQ\rs92xxcc,doc PAGE 1 16200 Eagle creeK Ave, ~,E" Prior Lake, Minnesota 55372-1714 / Ph, (612) 447-4230 / Fax (612) 447-4245 AN EQUAL OPPORTUNITY EMPLOYER 3. The City Council of Prior Lake hereby declares the indemnifications null and void as of My 1, 1999. 4. Pursuant to the adoption of Ordinance #99-02, the City Council of the City of Prior Lake hereby consents to the removal from title of the indemnification agreements recorded against the properties listed in Exhibit A. S. This resolution is effective on May 1, 1999. Passed and adopted this 19th day of April, 1999. YES NO Mader Mader Kedrowski Kedrowski Petersen Petersen Schenck Schenck Wuellner Wuellner {Seal} City Manager City of Prior Lake I :\99fi1es\99subj ec\99-O 1 O\rs99xxcc,doc PAGE 2 EXHIBIT A 3030 FAIRVIEW ROAD, LEGALLY DESCRIBED AS: LOT 7, BLOCK 8, FAIRVIEW BEACH 16085 NORTHWOOD ROAD, LEGALLY DESCRIBED AS: LOT 94, NORTHWOOD ADDITION 16099 NORTHWOOD ROAD, LEGALLY DESCRIBED AS FOLLOWS: LOT 89, NORTHWOOD ADDITION 16033 NORTHWOOD ROAD, LEGALLY DESCRIBED AS FOLLOWS: LOT 118, NORTHWOOD ADDITION 16077 NORTHWOOD ROAD, LEGALLY DESCRIBED AS: LOTS 96, 97, AND THE WEST 1/2 OF LOT 98, NORTHWOOD ADDITION 16087 NORTHWOOD ROAD, LEGALLY DESCRIBED AS: LOT 93, NORTHWOOD ADDITION 16091 NORTHWOOD ROAD, LEGALLY DESCRIBED AS: LOT 92, NORTHWOOD ADDITION 4231 QUAKER TRAIL, LEGALLY DESCRIBED AS: LOT 23, MAPLE PARK SHORE ACRES, EXCEPT ROAD 15380 RED OAKS ROAD, LEGALLY DESCRIBED AS FOLLOWS: LOTS 24 AND 25, RED OAKS 3440 TWIN ISLAND CIRCLE, LEGALLY DESCRIBED AS FOLLOWS: LOT 25, TWIN ISLES 1: \99fi1es\99subj ec\99-0 1 O\rs99xxcc,doc PAGE 3 CITY OF PRIOR LAKE ORDINANCE NO. 98-01 AN ORDINANCE AMENDING SECTIONS 5-1-7 AND 5-8-3 A.3. OF PRIOR LAKE CITY CODE AND AMENDING SECTION 8.1 AND 9.3A.3 OF PRIOR LAKE ZONING ORDINANCE 83-6. The City Council ofthe City of Prior Lake does hereby ordain: Sections 5-1-7 and 5-8-3A.3 of Prior Lake City Code and Section 8.1 and 9.3A.3 of Prior Lake Zoning Ordinance 83-6 are hereby amended to read as follows: Section 5-1-7 and 8.1 Amend the definition ofbluffto read as follows: Bluff: A topographic feature such as a hill, cliff or embankment having the following characteristics; (A) Part or all of the feature is located in a shoreland area; (B) The slope rises at least 25 feet above the ordinary high water level of the water body; (C) The grade of the slope from the toe of the bluff to a point 25 feet or more above the ordinary high water level averages 30% or more; (D) The slope must drain toward the water body. Amend the definition of Top of Bluff to read as follows: Top of Bluff: The highest point of the slope, as measured from the toe of the bluff, where the grade becomes less than 30%. Section 5-8-3A.3 and 9.3A.3 are amended to read as follows: 3. Bluff Impact Zones, Bluff Setbacks and Engineering Required Structures and accessory facilities, except stairways and landings, shall not be placed in bluff impact zones. Bluff setbacks: As measured from the Top of Bluff, the upper end of a segment at least 25 feet in length having an average slope less than 18%. On properties determined to have a bluff, the applicant for a building permit on that property shall provide engineering certification to the City by a registered professional engineer that no excavation, fill or placement of structures on the 16200 E.~rnl5tki~r&9iill,&or Lake, Minnesota 55372-1714 / Ph. (612) 447-4230 / Fax (612) 447-4245 X\ [I )1\1. OPPORTl,':\ITY Et-IPLOYER site will cause any slope to become unstable or will impose loads that may affect the safety of structures or slopes. The engineer shall also certify that the site development will not interfere with adequate drainage for the site or adjacent properties, will not obstruct, damage or adversely affect existing sewer or drainage facilities, will not adversely affect the quality of stormwater runoff, will not adversely affect downstream properties, wetlands or bodies of water and will not result in erosion or sedimentation. The owner of the property shall provide certification from a registered professional engineer that the final grading of the site was completed iu compliance with an approved grading plan. The property owner shall prepare and record a declaration of covenants conditions and restrictions in a form acceptable to the City Attorney which provides for owner maintenance of all manufactured slope areas, acceptance of all risks and liability associated with those areas and indemnification of the City from all associated claims. This ordinance shall become effective from and after its passage and publication. Passed by the City Council of the City of Prior Lake this 20th day of January, 1998. ATTEST: U)?<3k"1ll1. t~ Mayor Publi III the Prior Lake American on the 24th day of January, 1998. Drafted By: City of Prior Lake Planning Department r:\counciJ\ordinanc\ord980 ),doc 0' '=1 - I 0 ~ 9J~ l~ ~ CoUlYl&:-( ~, lD~ ~ ~oJ- ~~ ~u{L ~, , l^^,-~~~oJi.,~ ~\OJ- t%J JlJUb\.-cQ ad Q~~ &lJ-j\. ~ a.;t- -1-;7 ~ ( Q~~ ~a;J I 5~C0L~ J ) ::)avJu~ Ju ~, ~ {f( ::;2 (/ C' , / ' ,\l',' , \',1101 // e.,V c. ~"'" , VJ " " c\ /" I ~ .J \'\\ V'