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HomeMy WebLinkAbout9.d. Petition and Waiver Agreements - Connemara Trail Improvements, City Project 431AGENDA ITEM: Petition and Waiver Agreements Connemara Trail Improvements, City Project 431 AGENDA SECTION: N N f IA,7j 1W3 PREPARED BY: Andrew J. Brotzler, PE Director of Public Works City Engi e/ r _I AGENDA NO. q ATTACHMENTS: Petition and Waiver Agreements; Cost Share Table APPROVED BY: RECOMMENDED ACTION: Motion to authorize the execution of the Petition and Waiver Agreements for Connemara Trail Improvements, City Project 431. ROSEMOUNT BACKGROUND SUMMARY CITY COUNCIL City Council Special Meeting: August 1, 2011 EXECUTIVE SUMMARY The Connemara Trail Improvement project will extend Connemara Trail approximately 2,800 feet east to Akron Avenue. The extension of this segment has been discussed as an opportunity to encourage development in the area, and to provide an alternate access from the Bloomfield neighborhood to CSAH 42. The proposed utility improvements include the construction of water main, sanitary sewer and storm sewer along the entire segment. The estimated project cost that will be deferred development cost assessments is $2,094,888. The development of Prestwick Place 2n and Prestwick Place 3" was the catalyst for proceeding with the Connemara Trail Improvements project. The Petition and Waiver Agreements have been prepared to defer assessments to the properties within Prestwick Place. The deferment is for a period of ten years or when properties subdivide, whichever occurs sooner. The attached table which is included in the Petition and Waiver agreements shows the allocation of costs to the owners within Prestwick Place. Staff is recommending the City Council authorize the execution of the Petition and Waiver Agreements for the Connemara Trail Improvements, City Project 431. G: \ENGPROJ\ 431 \20110801 CC Petition Waiver Agreements.docx Prestwick Place Cost Sharing Total Assessment o 69 N 49 CO 4 c '0 0 n ti e o 0 69 s.15 0n 69 ZSb'L68'9$ L I laaJIS O w O c., 9 O v+ O q O 44 O {q 00 r O N cn OS OS OS $622,100 $942,810 $415,860 Street 16 O_ O N cc Street 14 0 r N 69 I 69 1 V M M G9 61aaa1S N 05 269.49 I 195.55 I 268.06 I $96,751 I $797,403 1 $2,094,892 1 $1,197,267 I 5100 ,396 1 $395,030 1 5234,943 Street 8 OS 1 13aJ1S OS OS SO S O 1 Connemara Trail East of Akron Avenue $107,035 $196,157 ObL`9£I$ 58C65$ Z9 CVO IS 1.81`8685 Connemara Trail West of Akron Avenue 64 69 O$ CR 42 Access OS 05 Akron Avenue Z48`ES Ib0'L$ 9Z0`6 IS 806'4$ L96'1$ 9tL'£S Acre (Developable Platted Area) bC 171 81 SC61 16'1. LO'S 1 1622 11738 Acre (Exhibit D) 81'61 (d11pglstml) co O 00 9b l'OZ 81 ZLO 51 Owner O a 1. O F. III 0 Vl N 7 Z U 0.' co i. F_ f U O W U Q z 0 O. O Q Le i O a O a m O a O a O O -r C c E z F F 0 co a a O O w w C z0 v OC O.' I' I 4'.1.O.1. This Agreement made this PETITION AND WAIVER AGREEMENT day of 2011, by and between the CITY OF ROSEMOUNT, a Minnesota municipal corporation "City and ARCON PEMTOM, LLC, a Minnesota limited liability corporation, "Owner WITNESSETH: WHEREAS, the Owner is the fee owner of certain real property (the "Subject Property") located in the City, the legal description of which is Outlots E and N of Prestwick Place as shown on EXHIBIT A, attached hereto and hereby made a part hereof; and WHEREAS, the Owner desires to have certain public improvements constructed to serve the Subject Property generally described as the improvement of Connemara Trail, and as more specifically described in EXHIBIT B, attached hereto and hereby made a part hereof (hereinafter referred to as the "Improvement Project"); and WHEREAS, the Owner wishes for the City to construct the Improvement Project without notice of hearing or hearing on the Improvement Project, and without notice of hearing or hearing on the special assessments levied to finance the Improvement Project, and to levy $214,843 of the cost of the Improvement Project against the Subject Property as outlined in EXHIBIT D, attached hereto and hereby made a part hereof; and Page 1 G:\ENGPROJ\431\petition and waiver ArconPemtom Tracts 1 &4B.docx WHEREAS, the City is willing to construct the Improvement Project in accordance with the request of the Owner and without such notices or hearings, provided the assurances and covenants hereinafter stated are made by the Owner to ensure that the City will have valid and collectable special assessments as they relate to the Subject Property to finance the costs of the Improvement Project; and WHEREAS, were it not for the assurances and covenants hereinafter provided, the City would not construct the Improvement Project without such notices and hearings and is doing so solely at the behest, and for the benefit, of the Owner. NOW, THEREFORE, ON THE BASIS OF THE MUTUAL COVENANTS AND AGREEMENTS HEREINAFTER PROVIDED, IT IS HEREBY AGREED BY AND BETWEEN THE PARTIES HERETO AS FOLLOWS: 1. The Owner hereby petitions the City for construction of the Improvement Project. 2. The Owner represents and warrants that it is the owner of 100 percent of the Subject Property, that it has full legal power and authority to encumber the Subject Property as herein provided, and that as of the date hereof, it has fee simple absolute title in the Subject Property, which is not subject to any liens, interests or encumbrances, except as listed on the attached EXHIBIT C. 3. The Owner requests that $214,843 of the cost of the Improvement Project be assessed against the Subject Property. 4. The Owner waives notice of hearing and hearing pursuant to Minn. Stat. Section 429.031, on the Improvement Project and notice of hearing and hearing on the special assessments levied to finance the Improvement Project pursuant to Minn. Stat. Section 429.061, and specifically requests that the Improvement Project be constructed and special assessments levied against the Subject Property therefore without hearings. 5. The Owner waives the right to appeal the levy of the special assessments in accordance with this Agreement pursuant to Minn. Stat. Section 429.081, or reapportionment thereof upon land division pursuant to Min. Stat. Section 429.071, Subd. 3, or otherwise, and further specifically agrees with respect to such special assessments against the Subject Property or reapportionment that: a. Any requirements of Minn Stat., Chapter 429 with which the City does not comply Page 2 G:\ENGPROJ\431 \petition and waiver ArconPemtom Tracts l &4B.docx are hereby waived by the Owner; b. The increase in fair market value of the Subject Property resulting from construction of the Improvement Project will be at least equal to the amount specified in paragraph 3, and that such increase in fair market value is a special benefit to the Subject Property; and c. Assessment of amount specified in paragraph 3 against the Subject Property is reasonable, fair and equitable. 6. The City will defer the payment of the special assessment for the Improvement Project, without interest, until the earliest to occur of the following: i) ten years from the date of the award of a contract for the Improvement Project (if the Improvement Project is constructed in phases, the deferment of assessments attributable to each phase will be terminated ten years after the award of a contract for that phase), or ii) the Subject Property is subdivided as defined below, or iii) the Subject Property is improved as defined below: a. The Subject Property will be deemed to be subdivided upon fmal approval by the City Council of a subdivision or division of land that creates buildable lots or parcels of land. Subdivision into outlots that are not buildable will not be deemed to be a subdivision. b. The Subject Property will be deemed to be improved if the owner of the Subject Property or the owner's authorized representative applies for and is granted a permit for the construction of any residential, commercial, agricultural, industrial or other building or structure that requires a building permit. c. Following the termination of the deferment of the special assessment, the special assessments may be paid without interest until the earlier of: 1) 90 days after termination of the deferment; or 2) the issuance of a certificate of occupancy for an improvement or release of a fmal plat for a subdivision. If the special assessment is not paid by such date, interest on the assessment will accrue at the rate of five percent per year from the termination of the deferral until December 30 of the year in which the assessment is paid. The assessment will be due and payable with ad valorem real estate taxes in the year following the first November 30 occurring after the termination of the deferral of the assessment. d. If the Subject Property is subdivided, the Owner and the City may agree to the levy of special assessments for the Improvement Project in lieu of payment in accordance with paragraph c. above, in a subdivision agreement for such subdivision, payable on terms that are mutually agreed upon. 7. Owner represents and warrants that the Subject Property is not so classified for tax purposes as to result in deferral of the obligation to pay special assessments; and Owner agrees that it will take no action to secure such tax status for the Subject Property during the term of this Page 3 G:\ENGPROJ4431 \petition and waiver- ArconPemtom Tracts 1 &4B.docx Agreement. 8. The covenants, waivers and agreements contained in this Agreement shall bind the successors and assigns of the Owner and shall run with the Subject Property and bind all successors in interest thereof. It is the intent of the parties hereto that this Agreement be in a form that is recordable among the land records of Dakota County, Minnesota; and the parties agree to make any changes to this Agreement that may be necessary to effect the recording and filing of this Agreement against the title of the Subject Property. 9. This Agreement shall terminate upon the final payment of all special assessments levied against the Subject Property regarding the Improvement Project, and the City shall thereupon execute and deliver such documents, in recordable form, as are necessary to extinguish its rights hereunder. above. IN WITNESS WHEREOF, the parties have set their hands the day and year first written STATE OF MINNESOTA ss. COUNTY OF DAKOTA CITY OF ROSEMOUNT By: And by: Amy Domeier, City Clerk The foregoing instrument was acknowledged before me this day of 2011, by William Droste and Amy Domeier, the Mayor and Clerk, respectively, of the City of Rosemount, Minnesota, a municipal corporation under the laws of the State of Minnesota, on behalf of the City. Notary Public William Droste, Mayor Page 4 G:\ENGPROJ\431 \petition and waiver ArconPemtom Tracts 1 &4B.docx STATE OF MINNESOTA ss. COUNTY OF OWNER By: Its: And by: Its: The foregoing instrument was acknowledged before me this day of 2011, by and the and respectively, of ,a ,on behalf of the Notary Public Page 5 G:\ENGPROJ4431 \petition and waiver ArconPemtom Tracts 1 &4B.docx G NUMBER DRAWING NUMBER DRAWING NUMBER DRAWING G NUMBER DRAWING NUMBER OK, WING:074 DRAWING NUMBER One DRAWIN