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Mounds View City Council November 8, 2010 Regular Meeting Page 3 whole negotiation process. 1 2 MOTION/SECOND: Mueller/Hull. To Waive the Reading and Adopt Resolution 7697, 3 Authorizing Retroactive Health Insurance Adjustments to Public Works Bargaining Group and 4 Non-Union Employees. 5 6 Ayes – 4 Nays – 0 Motion carried. 7 8 B. Resolution 7689, Approving Lease and Access Agreement with Dell-Comm. 9 10 City Administrator Ericson stated the City owns a land-locked parcel adjacent to the south 11 boundary of the Townsedge Terrace manufactured home park, accessible from Mustang Circle 12 via property owned by Dell-Comm at 4860 Mustang Circle. The parcel had been the site of the 13 original municipal water tower and presently is improved with one of the city’s civil defense 14 siren. 15 16 City Administrator Ericson indicated in 1994, the City Council approved a resolution authorizing 17 a development agreement regarding a building expansion with Wolf & Associates, the property 18 owner at the time of the adjacent property south of the manufactured home park. The resolution 19 was conditioned on three points, one of which that Wolf & Associates enter into a lease 20 agreement for the use of the former water tower site. While Wolf & Associates ultimately opted 21 against moving forward with their expansion, they did begin to use the City’s parcel, however no 22 lease was executed. At some point subsequent to 1994, Wolf & Associates sold to Dell-Comm, 23 who continues to use the City’s parcel, believing that Wolf had secured the requisite approvals. It 24 was not until earlier this year that the City ascertained that no lease had ever been approved for 25 the private usage of the public property. 26 27 Staff recommends the Council consider approval of a resolution authorizing a lease and access 28 license agreements between Dell-Comm and the City of Mounds View. The lease and license 29 agreements have been reviewed by Kennedy & Graven. 30 31 Council Member Hull questioned where the revenues from this parcel would be placed. City 32 Administrator Ericson stated this was a Council decision but he would recommend the general 33 fund. 34 35 Council Member Stigney asked what the parcel was currently being used for. City Administrator 36 Ericson indicated the site was used for parking and exterior storage. 37 38 Mayor Flaherty questioned if the parcel had any hazardous materials being stored on the parcel. 39 City Administrator Ericson noted he was not aware of any hazardous storage. 40 41 Council Member Stigney felt the lease rate was too low and asked about the size of the parcel. 42 City Administrator Ericson stated the parcel was approximately 16,000 square feet. City 43 Administrator Ericson remarked that the parcel had very limited appeal and the lease rate was the 44 best the City could get, at this time. 45