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Resolution 6649
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06500 - 06999 (2005-2007)
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Resolution 6649
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6/25/2019 10:11:01 AM
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4/6/2007 10:00:34 AM
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MV City Council
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(emphasis added). Minnesota courts have not had an opportunity to construe this statute. <br />However, the Attorney General concluded in two opinions that a city may disregard charter or <br />statutory procedural requirements when entering into a contract with another governmental <br />entity. In both cases, the Attorney General decided that a city could disregard statutory and <br />charter bidding provisions when entering into a contract for the purchase of electricity from the <br />federal government. See Op.Atty.Gen., 59-A-15, March 30, 1965; Op.Atty.Gen., 59-A-15, July <br />7, 1945. <br />Section 12.05 of the Mounds View Charter that provides that "[n]o real property of the City shall <br />be disposed of except by ordinance." However, section 471.64 authorizes the City to enter into a <br />contract for the sale of property to the EDA without regard to the city charter. Although the City <br />Council complied with the charter and adopted an ordinance authorizing the conveyance, Minn. <br />Stat. § 471.64 provides authority for the Council to adopt a resolution authorizing staff to finalize <br />conveyance of the property to the EDA. <br />B. Minn. Stat. § 465.035. <br />The second statute that supports the argument that the conveyance of property is not subject to <br />charter requirements is Minn. Stat. § 465.035. That section provides: <br />Any county, town, city or other public corporation may lease or convey its lands for <br />a nominal consideration, without consideration or for such consideration as may be <br />agreed upon to the state or to any governmental subdivision ...for public use when <br />authorized by its governing body. <br />The Minnesota Supreme Court addressed this statute in County of Hennepin v. Cit o~ opkins, <br />58 N.W.2d 851 (Minn. 1953). In that case, Hennepin County conveyed property to the village of <br />Hopkins for park and recreation purposes. After the deed had been recorded, the county brought <br />an action to invalidate the conveyance based on the failure to comply with a statute requiring the <br />adoption and publication of a resolution defining the terms of the sale, a bond, and other specific <br />requirements. The court held, however, that Minn. Stat. § 465.035 trumped the requirements in <br />the other statute and that the. county was permitted to convey the property without complying <br />with the other statute. See id. at 855. <br />The City in this case has authorized conveyance of property to the EDA for a public purpose. <br />Under the Court's holding in County of Hennepin, Minn. Stat. § 465.035 would trump the City's <br />charter requirements. Thus, the City may adopt a resolution authorizing staff to finalize <br />conveyance of the property to the EDA, despite the ordinance requirement in the charter. Under <br />this same reasoning, a court could also find that, in a conveyance of property from one public <br />entity to another, section 465.035 trumps the referendum provision in the city charter. <br />III. Minnesota Statutes Chapter 462 Preempts the Charter Referendum Provision. <br />The City may also be able to argue that the conveyance and redevelopment of property is <br />governed by Minnesota Statutes Chapter 462, and, therefore, Chapter 462 preempts the <br />SJR-268835v3 <br />MU205-30 <br />A-4 <br />
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