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Home My WebLink About5.c. DPC Assessment Settlement10 CITY OF ROSEMOUNT EXECUTIVE SUMMARY FOR ACTION CITY COUNCIL MEETING DATE: February 4, 1992 AGENDA ITEM: D.P.C. Assessment Settlement AGENDA SECTION: Old Business PREPARED BY: Ron WasmundFY 0-46 AGEND� 'Y' 5 0 Public Works Director/Building Official ATTACHMENTS: Correspondence AP V U As you'll recall at the Pine Bend Trail Assessment Hearing, D.P.C. Industries registered their objection to the assessment for their- parcel. heirparcel. They followed up their objection by filing a lawsuit of appeal. They cited lack of benefit and lack of statutory authority to cause the assessment. Since the file of appeal in November, I have been working with representatives of D.P.C. to negotiate a settlement that would be acceptable to both parties. D.P.C. had figured their assessment on an area wide assessment and planned for a $12,000.00 amount. The project and subsequent assessment was figured on a front footage basis. The resulting assessed amount for D.P.C. totalled $44,076.66. This amount was to be repaid over a ten year period at 8.2% interest. Our negotiations examined such things as a different interest rates lowered assessment amount or complete dismissal of assessment. The settlement we reached was based upon taking the difference between the full $44,076.66 at the certified rate of 8.2% and our bonding.rate of 6.1% for the ten year life of the assessment. The difference is $611.11 per year or $6,111.10 in ten years. We then deducted that amount from the original assessment amount of $44,076.66 to come up with a new total of $37,965.56. To maintain an easier accounting the new amount of assessment will be certified at the County at the original 8.2% interest rate. The difference between the original amount and the new assessment amount will be paid for from the Street Core (MSA) funds. This proposal has been tentativelypresented and accepted by D.P.C. Pending your approval, they will withdraw their motion of lawsuit and agree to pay the revised assessment. I have discussed this proposal with the Citys attorney, Eric Short, and with City Administrator, Steve Jilk. We feel it is an equitable solution and recommend your approval. RECOMMENDED ACTION: Motion to approve the regards to the Pine Bend Trail Assessment Director Wasmunds memo. COUNCIL ACTION: 5 settlement with D.P.C. in as noted in Public Works 999 Westview Drive Nastinys, UN $5033.2495 (812) 437.3148 PAX (612) 437-2732 *Samuel H. Hertogs Donald J. Fluegel * „Michoet R, Siebon *:.Michael S. Polk *Harvey N. Jones R+chard A. LeVerdiers S'town 0. Hawn • George L. May Thomas R. Longfellow W *J. Michael Miles Leo F. Schumacher Shawn M. Moynihan Bernie M. Duslch Mark J. Felftn %lichceY R. Strom John P Sieben Scott J. Hertogs Eric A. Snort Craig M. Room Sara M. Hulse Barbara J. Hoekstra Of Counaol: James M Goetternan vA!so adrnm, ad in Wisconsin Aft atlm.tea m lows *Cer0ed as civil IrW. saeeiallsis by the National Board of T-4 rovccacy ♦ Ctwtifieel nvil ,ripl inar..ixiM by the Minnesota State Sar AMMO &;ion ST PAUL OFFICE: Galuer Plaza Suite 550 76 Ffftn Street cast St. Raul. MIN 55'0'-290' (612; 2224145 FAX (61-2) W-8279 Ssrtogs Ruegel Sieben Polk Jones & LaVerdlere W4f.P+VVU"t AV0X..A I" January 16, 1992 VIA FAX Mr. Ron Wasmund City of Rosemount P.O. Rnx 51.D 2875 - 145th Street West Rosemount, MN 55068 RE: DPC Industries Dear Ron: I have prepared, and transmit herewith, three amortization schedules. First, I have prepared an amortization schedule for an original assessment of $44,076.66, 8.2% interest, annual payments, ten year payback. Seconds I have prepared an amortization schedule for $44,076-66, 6.1% interest, annual payments, ten year payback period. The difference in payments under these two scenarios came to $611.01 per year, or $6,110.90 over ten years. Subtracting $6,110.90 from $44,076.66 left an amount of $37,965.76. The third amortization schedule is for $37,965.16, 8.2% interest, annual payments, ten year payback period. Give me a call after you have had the opportunity to review these so that we may see to finalizing matters with nPC Industries. EAS:dso Very truly yours, FOR THE FIRM: Eric A. Short JAN -16-1992 15:52 FROM HERTOGS LAW TO 4235203 P.03 ------ - ---• ---------------_------__--__-_________-4444__-- 1/16/92 Note Title DPC Industries Page 1 Prepared for Eric -_-__TaftCameron--{ Prepared by -,.------------------ --------------- +� 'rw---------------_w�.-�__-w NOTE TERMS AND CONDITIONS ---------- ". ---------------------------- ----------- ---------------------------Date 1/01/92 Date Note begins 1/01/93 Date Payments begin Note begins as Regular Amortizing Note Amount $44,076.66 8.2% Annual Interest Rate Annual Payments will be $6,628.10 Payment Amount Amortization Period 10yrs Omo Cash out date Full Term (No Balloon) U1Tnpaid Interest Accrues to principal No --------------------------------------------- ---------------------------------.w_--------- • SCHEDULE OF PAYMENTS PMT DATE PAYMENT INTEREST PRINC2PAL PRUNPAID INCIPAL INTEREST MM AMOUNT - - - -_-_ .. _----_-�-4....4..4-4.. --- --- -+ ------- - w-_ -------- +---------`---- - - - 6x628.10 1 1/01/93 ------- - - -------- 3,614.29 3,013.$1 41,062.8 -- ----------- ------------------------------------------------------------------855 31614.29 31013.81 TOTALS FOR -1993 CUMULATIVE TOTAL 3,614.29 31013.81 -------------------------- 61628.10 3,367.15 3,260.95 37,801.90 2 1/01/94 --------- --------------_-+ +----------------w----------------------------------------------- 1994 3,367.15 3, 260.95 TOTALS FOR CUMULATIVE TOTAL 6,981.44 6,274.76 +--------_-_w____ ----2$.10-----3-099.76----------------- 3 1/01/95 ' 6,6 99.7--- ---'--------------------------------+ 3528.34 34, 273 56 _+ --------------------------------w-------------- ----------.------------------------------------ TOTALS FOR 1995 3,099.76 3,528.34 -. CUMULATIVE TOTAL 10,081.20 9,803.10 ---------------- -------------------------_ - 4 1/01/96 6,628_10-----2_810.43-- _'" - 3817.67 !-_ 30,455.89 _--_-455_89------------ 1----------------......__ --- 1996 2,810.43 - - _3,817.67 TOTALS FOR CUMULATIVE TOTAL 12,891.63 13,620.77 6,628.10 2,497.38 41130.72 26,325.17 5 1/01/97 -------------------------------------- TOTALS FOR 1997 2,497.38 4,130.72 CUMULATIVE TOTAL 15,389.01 17,751.49 +----------------- _..............w__..--------------------------------- 6 1/01/98 6,628.10 2,158.66 4,469.44 21 855.73 , ---- +___..--------------- ------------- ---- 1998 2,158.66 ---------------w-�--------------- 4 469.44 , TOTALS FOR CUMULATIVE TOTAL 17,547.67 22,220.93 ------------ --------------------------- 'JAN -16-1492 1553 FP.OM HEPTOGS LAID TO 4235203 P.04 t_---- ------ ------------------------------------------ NoteTitleDPC Industries 1/26/92 Prepared for Eric Page 2 Prepared by I Deb I TaftCameran +__-....------------------------------------- ---- ----+ 5CHEDULE or PAYMENTS PK DATE PAYMENT INTEREST PRINCIPAL PRINCIPAL UNPAID NUld AMOUNT BALANCE INTEREST ---.---------------------------------------------�-�--------_---.---....----- ---------- 7 1/01/99 6,628.10 1,792.17 4,835,93 I7,019.80 +---------------------------------------- ----- -------------------------------- TOTALS FOR 1999' 1,792.17 4,835.93 CUMULATIVE TOTAL 19,339.84 27,056.86 -------------------------------------------------------------------------------a 8 1/01/ 0 6,628.10 1,395.62 5,232.48 11,787.32 -------------- ----------------_--------------------------------------------+ TOTALS FOR 20001,395.62 5,232.48 CUMULATIVE TOTAL 20,735.46 32,289.34 +-----------_-__-----........---_-_.-------------.�'_.-_--------------:_-.......+......�.. -- ... �.-...1 9 1/01/ 1 G,G28.10 956.56 5,661.54 6,225.70. -------------------.__-------------------------_ y, _---.--- _--_—_ -------- TOTALS FOR 2001 966.56 51661.54 CUXULATIVE TOTAL 21,702.02 37,950.88 +----------------..........---------------------------------------------------------+ 10 1/01/ 2 6,628.09 502.31 6,125.78 0.00 --------------------------------------------------------- ��'1 �, J'"$�,��.i4�4°Ji .�I��ITT;:il�.�r$di4�' Gp%K.�'f�tiQ�� °I'tl �r `fy�tli�iri fK?1�. n 1`II$il.lt.k h4 N6 1; J S• !�'!F. u� � t j H $1 .}..'Y'1'I"R N; JAN -16-1992 16:16 FROM HERTOGS LAW TO 4235203 P.01 _�--------------- -r..-- -- ----- ---------------_ Industries - 1/16/:2 ` NoteTitleDPCEric Page 1 Prepared for -_ -_ Deb r-_- - TaftCameron Propared hy------------------- - -- - - - - - -- - - - -r r r - _r- - -- - -- - - - -- -- NOTE TERMS AND CONDITIONS PRINCIPAL --- _+ NUM AMOUNT 1/01/92 Date Note begins 1/01/93 Date Payments begin Regular Amortizing Note begins as $44,076.66 Note Amount 6' Annual interest Rate Annual Payments will be $$,017.01 Payment Amount Amortization Period 10yrs 0mo Cash out date Full Term (No SallvoNo Unpaid Interest Accrues to principal _-+ ------------- ---- -- ------------------------- --- SCHEDULE OF PAYMENTS pRT DATE PAYMENT INTEREST PRINCIPAL PRINCIPAL UNPAID PRSALANCY, INTEREST' NUM AMOUNT • _ _.._ _ - - -_ - - - - - _ __ - -------- _._ -._ 1 1/01/93 6,017.01 _.-------- 2,688.68 3,328_33- - _--40,748.33-------- -- +---------------------------------------- 19932,688.68 r 3,328.33 TOTALS FOR CUMULATIVE TOTAL 2,688.68 3,328.33 --------------------------------------------------_--+ �--------------------------- 2 1/01/94 61017.01__ 2r485-65 3,531 36 - 37,215.47 _�3-------------------- -------------�----------- -TOTALS FOR 1994 - 2,485.65 51174.33 --------- - 3 6,859.69 CUMULATIVE TOTAL ------7 3 1/01/95 6,01 01 - 2,270.24 3,746.77 -------------------- --- 33,470.20--_--W-----� _--------- -- --------------------------- TnTAIA FOR 1995 ------------ 2,270.24 31746.77 CUMULATIVE TOTAL ----------------------- --------7,444.57----10,606.46---------------------------- 4 1/01196 6, 017.01 _2, 041.68 3,975.33 ------ 29,494.87 ---------------- --------------------�------------ TOTALS FOR 1996 21041.68 3,975.33 1'.tTM17T.ATIVE TOTAL, 9,486.25 14,581-79- - ---------------------------------------------------- ------------------------------------------------------ 5 1/01/97 61017.01 1,799.19 4,217.82_--_ ----- _25,277_ -- -+ ----------------------------------------------------- --------------------------- TOTALS FOR 1997 11799.19 4-05-------- r 7.82 CUMULATIVE TOTAL 11,285.44 18,799.61 -------------+ -------------------^----- --6--1/01/98 61017.01 r 11541.90 -----4,475.11- 20, 801.94 TnTALrS-FOR 1998 - .. ----------.........-----------------------------..-+ --^----------- 1,541..90 12,827.34 4,475.11 23t274.72 CUMULATTVE TOTAL ------------------------ -------------------------------------------------------- ------------------------------------- -�-------------.. JAN-10-� 11.:19 FROM HERTOGS LAW TO 423 203 F.02 ------ ------ NoteTitle--------- ---------DPC Industries + 1/16/92 Prepared for Eric Page 2 Prepared by I Ueb I TaftCameron 1 ------- ------------------rr---_—— ---_fir--.--�M------fir—.—rY_a�+T SCHEDULE UY PAYXENTS PMT DATE PAYXENT INTEREST PRINCIPAL PRINCIPAL UNPAID BALANCE INTERES+ sm AMOUNT ------*----------------w-.-_ ----------------------------------------------------- 7 1/01/99 61017.01• 1.1268.92 41748.0.9 16,053.85 ---------------------------�-----------r------------------------y----------r--------- 1999 11268.92 4,748.09 TOTALSFOR CUMULATIVE TOTAL 14,096.26 28,022.81 —_.nw_--__--_—.rw_..rr ____r.__.-'} --------...—..._r--_—r...r__-----_..----____.---_—_ 8 1/01/ 0 61017.01 979.28 5,037 73 11,016.12 ---------------------------------------------------------w------------w-_----_..+ -TOTALS FOR - 979.28 5,037.73 CUMULATIVE TOTAL 15,075.54 33,060.54 -------------------- 9 1/01/ 1 5,01.1.01 671.98 ------------------------------------�-+ 5,345.03 5,671.09 ------------------------------------------- --------------------------------- TTOTALS FOR 2001 671.98 5x345.03 CUMULATIVE TOTAL 15,747.52 38,405.57 ---- -------------------....-------ww--�-------------..--------------_.._..----------+ 10 1/011 2 6,017.01 345.94 5,671._07 0.02 _--------------------------------------------------y --------w- ------ TOTALS FOR 2002 - -- - --- -- 345.94 5,671.07 CUMULATIVE TOTAL 16,093.46 44,076.64 ---_ _-__- --- ------------- 1/- 3 -4------------------ 02 0.40 ----------- 002 0.00 +---------------------------------»------------------------------------------------ TOTALS FOR 2003 0.00 0.02 CU.14ULATIVE TOTAL 16,093.46 44,076.66 --------------------------------------------- -- --------------------------- -------------------------- ----------- --- Note Title DPC Industries 1/105/92 Prepared for Eric Page 1 ' Prepared by I Deb I TaftCameron -------...--------------------------.--------w--- --------------------- -.-.------.ww--------a ---- NOTE TERMS AND CONDITIONS ---------------------------------------------- Date--------------------------------------------•f• Date Neap hagins 1/01/92 Date Payments begin 1/01/93 Note begins as Regular Amortizing Nota Amount $37,965.76 Annual Interest Rate 8.2% Payments will be Annual Payment Amount $5,709.16 Amortization Period 10yrs 0mo Cash out date Full Term (No Balloon) unpaid interest Accrues to principal No ---------------------------------------------- SCHEDULE -------------------------- -----+ SCHEDULE OF PAYMENTS PX.T DATE PAYMENT INTEREST PRINCIPAL PRINCIPAL UNPAID NUM AMOUNT BALANCE INTEREST T - - - - - - -- - - - - -- - -- - - ---- - - - - -.- -- - - -- - --- -- -- -- - - --..-- -- - -- - ---.. t.. 1 1/01/93 5,709.16 3,113.19-----2,595.97 35,369.79 +------------------------------------------------------------------------------- TOTALS FOR 1993 3,113.19 2,595.97 CIIWL&TIVE TOTAL 3,113.19 2,595.97 ;------------------------- ----------------------- ---- ---- ---- -- 2 1/01/94 5,709.16 21900.32 21808.84 32,560.95 �--------------------------------------------- ------------- -----:------ -- TOTALS FOR 1994 21900.32 21808.84 CUMULATIVE TOTAL 6,013.51 5,404.81 - - - - -- - - - - - -.- - - - - - - - - - - - - -- - - - - - - - - - - - - - - - - - - - -- -- - - - - - - -- - - -- - -- 3 1/01/95 5,709.16 21670.00 3,039.16 29,521.79 --- -------------------------------------- --------------- ---- TOTALS FOR 1995 2,670.00 3,039.16 CUMULATIVE TOTAL 8,683.51 8,443.97 ------------------------------------ --- --------------------- - ---- 4 1101/96 5,709.16 2,420.79 3,288.37 26,233.42 --------------------------- -------------------------------------------------------- -.----.-----------------.-----.---------------_-...----- w ----------------------- TOTALS TOTALS FOR 1996 21420.79 3,288.37 CUMULATIVE TOTAL 11,104.30 11,732.34 --------------------------------------------------------------------------------- 5 1/01/97 5,709.16 2,151.14 3,558.02 22,675.40 ----------------------------------- ------ ----- ------------------- TOTALS FOR 1997 2,151.14 3,558.02 CUMULATIVE TOTAL 13,255.44 15,290.36 - ----------------------------------------------------------------------------- 6 1/01/98 5,709.'16 1,859.38 3,849.78 18,825.62 --------------------------------- - - ----- ----- ------ --- ------------------ TOTALS FOR 1998 1,859.38 3,849.78 CUMULATIVE TOTAL 15,114.82 19,140.14 - - - - - - - - - - - -.- - - - - - - - - - - - -- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -- - - - - -- -- - - - - - -.- - - - - - - rr n•i ncr: t uuZLHv, I U 4Z Lj 5 f '. U4 Note Title - - DPC Industries 1/16/92 Prepared for Erin Page 2 Prepared by I Deb I Tafteameron -------------- ------------------------------------.-----------_-------.-----.fir- SCHEDULE OF PAYMENTS PMT DATE PAYMENT INTEREST PRINCIPAL PRINCIPAL UNPAID NUM AMOUNT l3A1. AMCS INTEREST -------------------------------------------------------- - -- ------------------------------------------------w..r-a-_s------_-------a_-- w ------------------ 7 7 1/01/99 5,709.16 1,543.70 4,165.46 14,660.16 +------------------------------------------------------------------------------+ TOTALS FOR 1999 1,543.70 41165.46' CUMULATIVE TOTAL 16,658.52 23,305.60 -- -------------------------------------------•-------------------------------_---f- 8 1/01/ 0 5,709.16 1,202.13 4,507.03 10,.1.5.3.13 ------------------------------ m -------------------------- w ---------------------- TOTALS FOR 2000 1,202.13 4,50.1.03 CUMULATIVE TOTAL 17,860.65 27,812.63 ----------------------------------------- --------------------•------------9 M --------------------------------- 9 1/01/ 1 5,709.16 832.56 41876.60 5,276.53 -------------- w ----------------------------------------------------------------- TOTALS FOR 2001 832.56 4,876.60 CUMULATIVE TOTAL lb,693.21 32,689.23 + - - -- - -- -- - - - - w - - - - -- - - - - -- - - - - - - - - --------------------------------------- -------------------------------T10 10 1/01/ 2 5,709.16 432.68 5,276.48 0.05 +-_------------------ -------------- -----------------------=- TOTALS FOR 2002 432.68' 5,276.48 CUMULATIVE TOTAL 19,225.89 37,965.71 1 - - - - - - - - - - - -------------------------------------------------------- . . - 11 1/01/ 3 0.05 0.00 0.05 0.00 +-------------------------------- -- -------- ---------- ---- -- TOTALS FOR 2003 0.00 U.US CUMULATIVE TOTAL 19,125.89 37,965.76 +--------------------------------- --------------------------- ---- ----t- 999 wastview Dft Hastings, MP 55033-2491 (612) 457.3141 FAX (612) 437&M, *Samuel H. Hvtogt *Donald J. Fiuege . Whaol R. Siobor * o Michael S. Point *Harvey N. Jona er.Richard A. LaVerdi" Sloven D. Hawr .George L. May Thomas R. Longtelloa Bernie M. DuSia ..J. Miohacl Milos Leo F. Schumacher Shawn M. Moynihan Mark J. Fellman Michaol R. Strom Jonn P. Sieben Scutt J. Hertogs Eno A. Short Craig M. Roon Sara M. Hulse Barbara J. Hoekmfa Of Counccl: James M. Goettemsn AIA: ahmitt8d in VIr=on$in •+.Alco admiaoo in Iowa irCsrlified as civi! trial soeoai= by the National BUIro of Trial Advooaoy enc the Minae= S= Ba, Assoraatlon :- fed cn•II Vial s,:,BCiatiSt by- the N innesaa stats Bar A,SV=i@tion S% PAUL OFFICE: Gahier Piaza sullu 550 175 Fhh. $treet East Paul. MN 55101.2901 (612) 222.4146 FAX (612) 223.8278 Hertogs Fluegel Sieben Polk Jones & LaVerdlere P"UPt. fro6wAL A�.'%A I" January 23, 1992 VIA FAX Mr. Bill Nixon 300 Jackson Hili Houston, TX 77007 RE: APC Industries/Assessment Appeal Dear Mr. Nixon: After discussing the above -referenced matter with Ron Wasmund of the City of Rosemount, we are prepared to make the following settlement offer. We propose to reduce the amount of the assessment from $44,076.66 to $37,965.76, a reduction of $6,110.90. This amount would then bear interest at the rate of 8.2% per annum. If this is satisfactory to you, please let me know. Of course, this offer is subject to approval by the Rosemount City Council. The Council meeLs next on February 4th, and would be in a position to consider the matter then. As we appear to be on the verge of settling this matter, I would suggest that we continue the trial date of January 31st to give us time to prepare and execute the settlement documents. EAS:dso cc: Ron Wasmund Very truly yours, FOR THE FIRS{ &-- � (a 'Eric A. Short r-liv - L i�1: 5 �_-i rF,31 i HERTI Ol]S LriW TO-, .152,UJ J;* -24--19M 18-'34 r- M DIXIE C -.=MI FL TV 161243177M P.81 mm tiT�24-, l'99Z �. RQ Have i3Q4% H&- tM. Vtwm 7TV9, M -I"7 MxCmameme Mr. aria S. Smart RertcW,, rlix"01, giebvm, Palk, arones & irWYerdiare 999 westView VC. Bast#.ls, PW 55033-2495 Re: DPC Industria-s,TAssam=,ent App"I Dear Mr. Sbort r. we aze to resent of your letter dated January 23, 1992 and agree tc secept the proPased reduction of $6,110.9op contingent UP= aFprawal by Rovimount city Cvunai,i. Our attornega Will be instructed tQ seek a at tittuativtz b"vW the trial date- of Tkm ry 31st, and will be directed to Withdraw our lawsuit t on my L-Qcmjv3.nq confirmation of City curtail apprWal. Sincerely,, .Wit, Jr. TUTFL P. 101