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09/17/97 WED 14:50 FAX 612 340 7800 DORSEY & WHITNEY 2002 DORSEY & WHITNEY LLP MINNI:APOI,IS PILLSBURY CENTER SOUTH NEW YO0.X WASHINGTON.Mr.- 220 SOUTH SIXTH STILHET DANVEA LONOON MINNEAPOLIS,MINNESOTA 55402-1498 AEATTLE DRUSSr.A TBI.EPHONri: (612) 340-2600 fn0.00 HONG KONG FAX: (612) 340-2868 BILLINGS DES MOINES MR=X Soth ROCHESTER (612).940.2969 MISSOULA Fax(612)940-7800 COSTA MESA soth.willlam0dorseylaw.com C:KWr VAUA September 17, 1997 Michael J. Mornson City Manager City of St. Anthony 3301 Silver Lake Road St. Anthony, MN 55418 Re: Flood Task Force • Dear Mike: You have posed the following question, which was submitted to you by the Flood Task Force: "How can the City reimburse residents for damage to their property caused by public water being stored on the citizen's property?" As indicated in the previous letters from me, the Attorney for the League of Minnesota Cities and Jerry Gilligan, the City does not have the discretion to reimburse residents for damage to their property. Although the Mayor and City Council probably would like very much to be of assistance to the residents who suffered the water damage, the City is not authorized by laver to make discretionary grants of assistance or other payments of assistance to individual residents. Some people may be of the opinion that a City can operate in the nature of a charitable organization and assist its residents. This simply is not the law. The one thing the City could do is acquire properties either by purchase or condemnation, but it could do so only if it is determined that it was in the public Interest of the City to do so. This determination could be made only if it could, be established that the property could be used for drainage and ponding which would • help alleviate the City's water problems. Such a conclusion would have to be based upon findings established by engineers and could not be based solely upon the desire to be of assistance to the owners.