HomeMy WebLinkAbout2020-143 Council Resolution•
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CITY OF LINO LAKES
RESOLUTION NO. 20-143
APPROVING AMENDED STIPULATION AGREEMENT FOR NORTHEAST LINO
LAKES DRAINAGE AREA IMPROVEMENTS
WHEREAS, the City Council authorized staff and City Attorney to make offers on the
acquisition of land for the NE Drainage Improvement project on February 25, 2019, and
WHEREAS, the City Council authorized acquisition of property by eminent domain on May 28,
2019; and
WHEREAS, The City filed a Petition in Condemnation in Anoka County District Court, Court
File No. 02-CV-19-5586, to acquire the Exhibit A property interests over the Property. The
District Court granted the Petition.
WHEREAS, The City has undertaken a redesign of the Project and Owners have been in
discussions that would decrease the amount of land needed by the City for the redesigned
Project.
WHEREAS, Owners wish to have the City reconvey to them those portions of the Property that
were acquired that will not be needed for the Project given the redesign of the Project.
WHEREAS, The parties hereto have reached agreement on just compensation due for the
revised taking.
WHEREAS, all parties to support amendment of the dates within said agreement.
NOW, THEREFORE BE IT RESOLVED by The City Council of The City of Lino Lakes:
1. That the Stipulation and Settlement Agreement and the Drainage and Utility Easement
Agreement with the Leibel Property ownership group are hereby approved and the Mayor
and City Clerk are authorized to execute the agreements on behalf of the City.
Adopted by the Council of the City of Lino Lakes this 23rd day of November, 2020.
The motion for the adoption of the foregoing resolution was introduced by Councilmember
Lyden and was duly seconded by Councilmember Cavegn and upon a vote being taken
thereon, the following voted in favor thereof:
Lyden, Cavegn, Ruhland, Stoesz, Rafferty
The following voted against same: None
ATTEST:
nne Bartell, 1 ity lerk
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tt24r,t\,,.,
Ro Rafferty, Mayor
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STA I OF MINNESOTA
ANOKA COUNTY
DISTRICT COURT
TENTH JUDICIAL DISTRICT
Case Type: 2, Condemnation
City of Lino Lakes,
Petitioner,
vs.
James W. Salo and Bernice M. Salo,
individually and as trustees of the Trust
Agreement of James W. Salo and Bernice M.
Salo dated December 17, 2013, Novation Credit
Union, Hal Leibel, Pamela Leibel, Lyn
Arvidson, Royce Arvidson, Jim Kohler,
LeeAnn Dye, Mark Dye, Colleen Dye, County
of Anoka, Rice Creek Watershed District,
Metropolitan Council, and all other persons
unknown claiming any right, title, estate,
interest, or lien in the real estate described
herein,
Respondents.
Court File No: 02-CV-19-5586
STIPULATION AND
SETTLEMENT AGREEMENT
This Stipulation and Settlement Agreement is entered into this day of
2020 by and between the City of Lino Lakes (the "City") and Hal Leibel, Pamela Leibel,
Lyn Arvidson, Royce Arvidson, Jim Kohler, LeeAnn Dye, Mark Dye, and Colleen Dye
(collectively, the "Owners").
RECITALS
1. The Owners in the aggregate are owners of, or have an interest in, the varied
properties identified as PID Nos. 14-31-22-12-0002, 14-31-22-14-0001, 14-31-22-
11-0002, and 14-31-22-11-0001 (collectively, the "Property").
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2. The City is installing a stormwater project (the "Project") that required acquisition
of certain interests in the portions of the Property as more fully described in
Exhibit A. The City will install the infrastructure at depths and locations generally
consistent with the October 12, 2020 plans prepared by WSB Engineering, and
will conspicuously flag the manholes identified in the plans.
3. The City filed a Petition in Condemnation in Anoka County District Court, Court
File No. 02-CV-19-5586, to acquire the Exhibit A property interests over the
Property. The District Court granted the Petition.
4. The City has undertaken a redesign of the Project and Owners have been in
discussions that would decrease the amount of land needed by the City for the
redesigned Project.
5. Owners wish to have the City reconvey to them those portions of the Property that
were acquired that will not be needed for the Project given the redesign of the
Project.
6. The parties hereto have reached agreement on just compensation due for the
revised taking.
Based on the above, the parties agree as follows:
1. The City agrees to reconvey to the Owners, by limited warranty deed, the property
interests described in Exhibit B.
2. The Owners shall convey to the City a drainage and utility easement and
temporary construction easements for the Project on the terms set forth in the
drainage and utility easement attached hereto as Exhibit C. This conveyance is
intended to convey an easement only, and no fee interest is being conveyed to the
City.
3. The Owners stipulate to just compensation for the acquisition in the amount of
$250,000, which shall constitute full and final payment for the taking and
acquisition of lands, as adjusted by this Stipulation and Settlement.
4. The City has previously deposited the sum of $438,800 with the District Court as
its appraised value of the interests of the Owners initially acquired by the City. By
this stipulation, the parties agree that the Anoka County Court Administrator may
disburse the amount of $250,000, made payable to the Owners jointly, and may
disburse the balance of the deposited funds to the City. The parties agree to file a
joint request, which will be prepared by the City at its expense, for release of the
funds upon their exchange of the limited warranty deed and drainage and utility
easement referenced in paragraphs one and two above. The joint request shall
provide for equal apportionment of the $250,000, with payable to Hal and
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Pamela Leibel, ''/ payble to Lyn and Royce Arvidson, '/4 payble to Jim Kohler, and
payble to LeAnn and Mark Dye.
5. The parties agree the electronic signatures of this Stipulation and Settlement
Agreement shall constitute valid, binding signatures. This agreement may be
executed in counterparts
OWNERS CITY OF LINO LAKES
By
By
By
By
By
By
By
Hal Leibel
Pamela Leibel
Lyn Arvidson
Royce Arvidson
Jim Kohler
LeeAnn Dye
Mark Dye
By
Its
By
Its
By
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Colleen Dye
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(top 3 inches reserved for recording)
DRAINAGE AND UTILITY EASEMENT AGREEMENT
This Drainage and Utility Easement Agreement is entered into by and between Hal
Leibel, Pamela Leibel, Lyn Arvidson, Royce Arvidson, Jim Kohler, LeeAnn Dye, Mark
Dye, and Colleen Dye ("Grantors"), and the City of Lino Lakes, a municipal corporation
under the laws of Minnesota ("Grantee").
RECITALS
WHEREAS, Grantee is engaged in a project involving the installation of utility
services ("Project"); and
WHEREAS, Grantee requires a permanent drainage and utility easement over a
portion of Grantors' property, which portion is legally described in Exhibit A and depicted
in Exhibit B ("Easement Area"), in order to complete the Project; and
WHEREAS, Grantors agree to grant a permanent drainage and utility easement to
Grantee according to the terms and conditions contained herein.
PERMS OF EASEMENT
NOW THEREFORE, IN CONSIDERATION OF the foregoing and the mutual
promises and agreements contained herein and for other good and valuable consideration,
the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows:
1. Grant of Easement. Grantors hereby grant and convey to Grantee a
permanent drainage and utility easement over, under, and across the Easement Area, as
described in the attached Exhibit A and depicted in the attached Exhibit B.
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2. Scope of Easement. The easement granted hereunder includes the right of
Grantee, its contractors, agents, and employees to enter upon said premises at all reasonable
times for the purposes of construction, grading, sloping, and restoration purposes, and all
purposes ancillary thereto, together with the right to remove trees, shrubs, or other
vegetation in the Easement Area, as well as the right to deposit earthen materials within
the Easement Area, all as necessary to utilize the Easement Area for the intended drainage
and utility purposes. The City will install utility infrastructure at depths and locations
generally consistent with the October 12, 2020 plans prepared by WSB Engineering, and
will conspicuously flag the manholes identified in the plans, so long as the property
burdened by the Easement is used for agricultural purposes.
3. Obligation to Repair. Grantee shall, at its own expense, restore the land (to
substantially its condition immediately prior to the disturbance) in the Easement Area or
the surrounding area in the event of a disturbance caused by Grantee's use of the Easement
Area. However, Grantee shall not be required to restore agricultural crops impacted by
Grantee's use of the Easement Area.
4. Warranty of Title. Grantors warrant they are the owners of the property
described herein and have the right, title and capacity to convey to Grantee the easement
described herein.
5. Environmental Matters. The Grantee shall not be responsible for any costs,
expenses, damages, demands, obligations, including penalties and reasonable attorney's
fees, or losses resulting from any claims, actions, suits or proceedings based upon a release
or threat of release of any hazardous substances, pollutants, or contaminants that may have
existed on, or that relate to, the Easement Area described herein or the surrounding property
prior to the date of this instrument.
6. Indemnity and Liens. Grantee shall defend, indemnify, and hold Grantors
harmless from any claims, losses, expenses, or damages, including without limitation
reasonable attorney's fees, arising from its use of the Easement Area. Grantee shall keep
the Easement Area free from liens for work done by Grantee in the Easement Area.
7. Grantors' Use of Easement Area. Grantors retain the right to use the
Easement Area for uses not inconsistent with the rights granted to Grantee hereunder,
including without limitation the right to farm, landscape, install roads and driveways and,
as permitted by pertinent city code, utilize the area within the Easement Area for meeting
performance standards for development of Grantors' adjacent property.
8. Binding Effect. The terms and conditions of this instrument shall run with
the land and be binding on Grantor and its successors and assigns.
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9. Execution in Counterparts. This Agreement may be executed in
counterparts.
10. Temporary Easements. Grantors also agree to grant to Grantee
temporary easements for the purpose of installation of utility infrastructure in the Easement
Area. The temporary easements are described in Exhibit C, attached hereto. The temporary
easements shall expire on December 31, 2021.
STATE DEED TAX DUE HEREON: NONE
Dated this day of , 2020.
[Signature pages follow]
GRANTOR
Hal Leibel
STA 1E OF
) ss
COUNTY OF
This instrument was acknowledged before me this day of
2020, by Hal Leibel.
Notary Public
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GRANTOR
Pamela Leibel
STA 1L OF )
) ss
COUNTY OF )
This instrument was acknowledged before me this day of
2020, by Pamela Leibel.
GRANTOR
Lyn Arvidson
STA 1L OF
COUNTY OF
)
) ss
)
Notary Public
This instrument was acknowledged before me this day of
2020, by Lyn Arvidson.
GRANTOR
Notary Public
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Royce Arvidson
STATE OF
COUNTY OF
) ss
This instrument was acknowledged before me this day of
2020, by Royce Arvidson.
GRANTOR
Jim Kohler
STA 1h OF
) ss
COUNTY OF
Notary Public
This instrument was acknowledged before me this day of
2020, by Jim Kohler
GRANTOR
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LeAnn Dye
STATE OF
COUNTY OF
)
) ss
)
This instrument was acknowledged before me this day of
2020, by LeAnn Dye
GRANTOR
Mark Dye
STAlE OF )
) ss
COUNTY OF )
This instrument was acknowledged before me this day of
2020, by Colleen Dye
GRANTOR
Mark Dye
STA 1E OF
)
) ss
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COUNTY OF )
This instrument was acknowledged before me this day of
2020, by Colleen Dye
GRANTEE
City of Lino Lakes
By:
Mayor
By:
City Clerk
STATE OF MINNESOTA )
COUNTY OF ANOKA )
ss
The foregoing instrument was acknowledged before me this day of
, 2020, by Rob Rafferty and Julie Bartell, the Mayor and City Clerk of the City of
Lino Lakes, a municipal corporation under the laws of Minnesota.
Notary Public
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THIS INSTRUMENT DRAF I ED BY:
Rupp, Anderson, Squires and Waldspurger
333 South Seventh Street, Suite 2800
Minneapolis, MN 55402
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Exhibit.A
Legal Description of Easement Area
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Exhibit B
Depiction of Drainage and Utility Easement
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CITY COUNCIL
AGENDA ITEM 1E
STAFF ORIGINATOR: Michael Grochala, Community Development Director
MEETING DATE: November 23, 2020
TOPIC: Consider Resolution No. 20-143, Approving Stipulation
and Settlement Agreement and Easement Agreement, NE
Drainage Improvement Project.
VOTE REQUIRED: 3/5
INTRODUCTION
Staff is requesting City Council approval of the Stipulation and Settlement Agreement and
Easement Agreement with the Leibel Property ownership group, regarding the NE Lino Lakes
Drainage Area Improvement project.
BACKGROUND
In March of 2019, the City Council authorized acquisition of property by eminent domain for the
NE Drainage Improvement Project. The City continued to negotiate directly with the Leibel
ownership group throughout 2019. This process included coordinating efforts with a private
developer interested in the balance of the property. On November 20, 2019, the City Council
approved a Stipulation Agreement with the Leibel Family regarding purchase of their property.
Under the agreement, the property owners concurred with public purpose of the condemnation
and agreed to the amount of compensation of $438,800, but retained the ability to seek additional
compensation if the developer acquisition was not completed.
The court awarded possession of the property to the city in December of 2019. Since that time
the City undertook a redesign of the project. Additionally, that original stipulation agreement
expired in June of 2020 and the Leibel family elected to pursue compensation through eminent
domain. All parties continued discussions through summer and fall. Based on discussions with
the City Council in closed session, on November 9, 2020, a Stipulation and Settlement
Agreement has been completed with terms acceptable to both parties. The terms of the
agreement include:
• City will reconvey west parcel to the property owner
• Owner will convey a drainage and utility easement and temporary construction easement
to City.
• Owner will receive $250,000 in compensation to be distributed by the court.
• The balance of funds, in the amount of $188,000, will be disbursed to the City.
The City Attorney has reviewed the proposal and is recommending approval of the agreement.
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RECOMMENDATION
Staff is recommending approval of Resolution No. 20-143.
ATTACHMENTS
1. Resolution No. 20-143
2. Stipulation and Settlement Agreement
3. Easement Agreement
4. Easement Map (west)
5. Easement Map (east)
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