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2022-91CITY OF CHANHASSEN CARVER AND HENNEPIN COUNTIES, MINNESOTA DATE: November 28, 2022 RESOLUTION NO: MOTION BY: McDonald SECONDED BY: 2022-91 Rehm RESOLUTION APPROVING A SETTLEMENT AGREEMENT FOR CSAH 101 PARCEL 29 WHEREAS, the City of Chanhassen ("City"), having the power of eminent domain as provided in Minnesota Statutes, Chapter 117, filed a petition in eminent domain proceedings and motion for early transfer of title and possession to acquire various interests in land in the City of Chanhassen for the reconstruction, expansion, and improvement of County State Aid Highway 101 from County State Aid Highway 14 (Pioneer Trail to County State Aid Highway 61 (Flying Cloud Drive) (the "Project"); and WHEREAS, the Petition for the Project was filed on November 18, 2019, as a part of Carver County Court File No. 10-CV-19-1132 (the "Action"); and WHEREAS, to facilitate the Project, the Action included acquiring certain real property interests owned by Renee L. Strickland (the "Owner") and as defined as Parcel 29 within the Action (the "Property"); and WHEREAS, subject to approval by the City Council, representatives of the parties have negotiated a Settlement Agreement, a copy of which is attached hereto as Exhibit A, which resolves all outstanding claims and issues between the parties related to the Property; and WHEREAS, the City Council has fully considered the terms of the Settlement Agreement and has determined that it is in the best interests of the community to approve it as presented. NOW, THEREFORE, BE IT RESOLVED THAT the above -referenced recitals are incorporated herein to this Resolution. BE IT FURTHER RESOLVED, that the Settlement Agreement is hereby approved by the City Council of the City of Chanhassen. BE IT FURTHER RESOLVED, that the Mayor and City Manager of the City are hereby authorized and directed to execute all appropriate documents and take all necessary actions to facilitate the settlement contemplated herein, with all such actions to be in accordance with the terms and conditions set forth in this Resolution and the incorporated Settlement Agreement. BE IT FINALLY RESOLVED, that the Mayor and City Manager of the City, staff and consultants are hereby authorized and directed to take any and all additional steps and actions necessary or convenient in order to accomplish the intent of this Resolution. PASSED AND ADOPTED by the Chanhassen City Council this 28t' day of November, 2022. ATTEST: '00�1 2A� i Meu , City q1erk Elise Ryan, Mayor YES NO ABSENT Ryan McDonald Campion Rehm Schubert EXHIBIT A The Settlement Agreement STATE OF MINNESOTA COUNTY OF CARVER The City of Chanhassen, a Minnesota municipal corporation, Petitioner, vs. PCH Development, LLC, et al, Respondents. IN DISTRICT COURT FIRST JUDICIAL DISTRICT Case Type: Condemnation Court File No. 10-CV-19-1132 STIPULATION OF SETTLEMENT FOR PARCEL 29 This Stipulation of Settlement for Parcel 29 (the "Agreement") is entered into by and between the Petitioner City of Chanhassen ("City") and Respondent Renee L. Strickland ("Owner") (together collectively referred to herein as the "Parties", or each a "Party"), on this day of , 2022. Recitals A. The City filed a petition in eminent domain proceedings and motion for early transfer of title and possession to acquire various interests in land in the City in the above -captioned matter for the reconstruction, expansion, and improvement of County State Aid Highway 101 (Flying Cloud Drive). B. The Owner is the owner in fee simple of certain real property located in Carver County and which are legally described in the attached Exhibit A (the "Property" or "Parcel 29") CHI 35-61-831779.v1-10/12/22 C. The following parties are identified in the Petition as having or potentially having an interest in Parcel 29 but are not parties to this Agreement (the "Third Party Respondents"): a. Wings Financial, a Minnesota credit union, now known as Wings Financial Advisors, a Minnesota limited liability company; and b. All other parties unknown, together with unknown successors, assigns, heirs, devisees and spouses, if any. D. On January 13, 2020, the Court filed its Findings of Fact, Conclusions of Law and Order Approving Petition and Transfer of Title and Possession. On January 31, 2020, the Court filed its Amended Findings of Fact, Conclusions of Law, and Order Approving Petition and Transfer of Title and Possession (the "Amended Order Approving Petition") in the above matter, approving the City's acquisition of the interests in the Property and authorized the City to obtain the early transfer of title and possession of the Property upon the City's payment to the Owner or deposit with the Court of the City's approved appraisal value for the Property pursuant to Minnesota Statutes, Section 117.042. E. On February 18, 2020, pursuant to the Amended Order Approving Petition, the City deposited with the Court Administrator's Office $9,350 as the amount of the City's approved appraisal of value for Parcel 29 (the "Quick Take Deposit") F. On February 18, 2020, the City filed said Amended Order Approving Petition in the Office of the County Recorder/Registrar of Titles for Carver County, as Document No. A691199. On February 18, 2020, the City filed a Receipt of Deposit in the Office of the County Recorder/Registrar of Titles for Carver County, as Document No. A691200, thereby causing title and the right to possession of the Properties to pass to the City. 2 G. The Parties have now reached an agreement on the total amount which the City will pay to the Owner in settlement of all claims which the Owner may have against the City in connection with the taking by the City from the Property in this matter, and the Parties enter into this Agreement confirming the terms and conditions of said agreement. Terms of the Agreement NOW, THEREFORE, in consideration of their mutual promises and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties stipulate and agree as follows: 1. Recitals. The recitals set forth above are true and accurate and each are incorporated as material terms. 2. Settlement Amount. The Parties agree to a full and final settlement of all claims related to and arising from the City's acquisition of Parcel 29 for the total payment amount of thirty-two thousand, nine hundred ten dollars and no cents ($32,910.00) (the "Settlement Amount"), payable to Owner as set forth in Paragraph 5 below. 3. Proposed Award. The Parties agree to the issuance by the court -appointed commissioners of a report of commissioners for the Property equal to the Settlement Amount, payable entirely to the Owner, with zero dollars payable to all other Respondents, in substantially the form attached as Exhibit B ("Proposed Award"). Once the Commissioners have signed the Proposed Award, the City shall file it with the District Court and serve notice of its filing. Subject to the contingency in Paragraph 4 of this Agreement, the Parties agree not to appeal this Agreement, the Settlement Amount, or the award made in the Report of Commissioners. 4. Contingency. This Agreement is contingent on the filing of the Report of Commissioners awarding the Settlement Amount as specified in Paragraphs 2 and 3 above, and on 3 the expiration of the statutory appeal period without an appeal. All known respondents who may claim an interest in the taking of the Property Interests will be given notice of the Commissioners' Hearing and of the filing of the Report of Commissioners. If any Third -Party Respondent objects to the entry of the Report of Commissioners, then this Stipulation shall terminate and Petitioner and Respondents each reserve their right to proceed with a contested Commissioners' Hearing on damages and to pursue appeals from the final award of Commissioners; PROVIDED that Owner may (at its option) (a) negotiate a resolution to any claim by a third party ("Third -Party Claim") and secure a waiver or release reasonably satisfactory to City of any Third -Party Claim ("Third -Party Release") or (b) bring any and all necessary motions to the Court seeking to secure an order from the Court disposing of or liquidating the claims of any other Third -Party Respondent ("Third -Party Motion"). The City agrees not to object to the Third -Party Motion. If the Owner is successful in obtaining a Third -Party Release or in disposing of Third -Party Claims, then the City and Owner agree to be bound by this Stipulation. If an appeal of the commissioners' award is filed within the statutory appeal period, this Agreement shall be null and void and both parties agree to proceed to conduct a de novo jury trial before the Minnesota District Court Payment. Within 15 business after the expiration of the 40-day appeal period under Minnesota Statutes, Section 117.145 without appeal, or upon entry of a final judgment as provided in Paragraph 4 above (after Respondent obtains either a Third -Parry Release or disposes of Third -Party Claims), the City shall pay the Unpaid Balance of the Settlement Amount to the Owner by issuing a check in the name of "Renee L. Strickland" and sending it by U.S. mail to the following address: 10251 Great Plains Boulevard, Chaska, MN 55318. 6. Quick Take Deposit. The Owner hereby assigns to the City all of its right, title and interest in the Quick -Take Deposit. The City and the Owner hereby agree to the entry of a Court order 2 directing disbursement to the City alone of the Quick -Take Deposit, together with any interest that has accrued thereon. At any time after the delivery of the Settlement Check to Owner, the City may apply to the Court for disbursement to the City of the Quick -Take Deposit, together with any interest that has accrued thereon, without further notice to respondents. 7. Full and Final Compromise. The terms and conditions of this Agreement constitute a full and final compromise of all matters in dispute with respect to the Property and the Parties. In consideration of the Settlement Amount and other terms and conditions of this Agreement, the Owner waives any and all claims it may have against the City in connection with this condemnation action, including without limitation, just compensation, statutory remedies, all severance damages, any other damages, interest, relocation benefits, appraisal fees, attorney fees, and costs and disbursements to which Owner may otherwise be entitled. Owner agrees that payment and acceptance of the Settlement Amount constitutes full accord and satisfaction for all claims for damages, past, present, and future, of any kind or nature, occasioned by the taking, that were made or could have been made in the condemnation action. The Owner waives any and all rights to further notices, viewings, or hearings regarding this action. 8. Waiver of Appeal. The Parties waive the right to appeal this Agreement and/or any orders entered pursuant to this Agreement. 9. Condemnation Action. After payment as provided under Paragraph 5 of this Agreement the City will file a Final Certificate with respect to Parcel 29 and will file a discharge of notice of lis pendens in the Office of the Office of the County Recorder or Registrar of Titles for Carver County. Each party will bear its own costs in connection with this action. The district court shall retain jurisdiction to enforce the terms of this Agreement. E 10. Entire Agreement. This Agreement contains the entire agreement of the Parties regarding this matter. 11. Binding Effect and Capacity to Sign. Any person signing this Agreement in a representative capacity represents and warrants by signing this Agreement that it is the signer's intent to bind the principal being represented to the terms and conditions of this Agreement, that the signer has been authorized to bind the principal to the terms and conditions, and that it is the intent of the principal to be so bound. 12. Voluntary Execution. Owner has either consulted or had the opportunity to consult with an attorney prior to executing this Agreement. The undersigned state and represent that they have fully read this Agreement, and that they each know and understand the consequences and legal effect thereof. 13. Mediation. Any controversy, dispute or claim rising out of or relating to this Agreement, if not settled by direct negotiation between the Parties, shall be submitted to mediation prior to initiating action with the Court. Any demand for mediation by either Party shall be made in writing and served upon the other party and shall set forth with reasonable specificity the basis of the dispute and the relief sought. Any mediation hereunder shall be conducted before an independent mediator mutually selected by the Parties. 14. Counterparts. This Stipulation may be executed in counterparts which, taken together, shall constitute one agreement. {The remainder of this page is intentionally left blank; signature pages to follow} 2 {Signature Page for the City of Chanhassen} Dated: November 30 .2022 � CHAN 4 �•� VypORgTF r`r�. • SEAL P, • �•� M/ H N E S O Dated: , 2022 CITY OF CHANHASSEN z4v� A40r-�� Elise Ryan, Mayor Laurie Hokkanen, City Manager KENNEDY & GRAVEN, CHARTERED Joshua P. Weir (#0402328) Fifth Street Towers 150 South 51h Street, Ste. 700 Minneapolis, MN 55402 (612) 337-9300 ATTORNEYS FOR PETITIONER CITY OF CHANHASSEN 7 j4wner's Signature Page for Stipulation of Settlement Parcel 29) OWNER: Dated: kVe.y�,b.ex' o , 2022y - f Renee L. Strickland EXHIBIT A Parcel 29 Property Tax Identification No. 25.120-0080 Property Address: 10251 Great Plains Boulevard, Chaska, MN 55318 Property: Abstract Legal Description of Subject Property: Lot 7, Block 2, BLUFF CREEK HIGHLANDS, Carver County, Minnesota. Description of Portion of Subject Property to Be Encumbered Herein by Temporary Easement for Construction Purposes: Parcel 29 as shown on CARVER COUNTY RIGHT OF WAY PLAT No. 29, on file and of record in the office of the County Recorder, Carver County, Minnesota, containing a total of 12,016 square feet, more or less. Term of Temporary Easement: The temporary easement tract will expire on December 31, 2021. Respondents Interests Renee L. Strickland Fee Owner Wings Financial, a Minnesota credit union, Mortgagee now known as Wings Financial Advisors, a Minnesota limited liability company City of Chanhassen Special Assessments, if an All other parties unknown, together with Any right, title or interest within the unknown successors, assigns, heirs, devisees acquired portion of the Subject and spouses, if any Property A-1 EXHIBIT B Form of Proposed Award STATE OF MINNESOTA COUNTY OF CARVER The City of Chanhassen, a Minnesota municipal corporation, Petitioner, VS. PCH Development, LLC, et al, Respondents. IN DISTRICT COURT FIRST JUDICIAL DISTRICT Case Type: Condemnation Court File No. 10-CV-19-1132 REPORT OF COMMISSIONERS PARCEL 29 We, the undersigned Commissioners, appointed in this matter by Order of this Court, do hereby report as follows: I. We met at the time and place appointed by this Court in the office of the Court Administrator, and each took the oath prescribed by law. II. After notice, we viewed the property identified as Parcel 29 described on Exhibit A of the Court's Amended Findings of Fact, Conclusions of Law, and Order Approving Petition and Transfer of Title and Possession filed January 31, 2020. After notice of meeting and an opportunity for possible claimants to be heard, we make the below award for damages as to Parcel 29. The award is based on the commissioners viewing B-1 CHI 35-61-831779.v1-10/12/22 of said real estate and the Stipulation of Settlement Agreement (Parcel 29), attached here to as Attachment A (the "Agreement"), which we received and accepted. We heard no testimony relative to this taking nor reviewed any appraisal or other evidence of fair market value or damages related to the taking, other than the Agreement. IV. Pursuant to the parties' Agreement, we now make the following award for the damages sustained by the Respondents by reason of the taking of the property interests described in Exhibit A to the Petition (a copy of Exhibit A is attached hereto): TO: Renee L. Strickland $32,910.00 TO: Wings Financial, a Minnesota credit union, now known as Wings Financial Advisors, a Minnesota limited liability company $0.00 TO: All other parties unknown, together with unknown successors, assigns, heirs, devises and spouses, if any $0.00 TOTAL DAMAGES TO ALL PARTIES $32,910.00 The foregoing award assumes that the above -referenced properties are free of all pollutants, contaminants and hazardous wastes. We have not assessed any damages for the presence of pollutants, contaminants, and hazardous wastes on the subject properties. This award is made with the express understanding that the Petitioner, the City of Chanhassen, has reserved all rights to recover damages, testing costs and cleanup -costs attributable to the existence of pollutants, contaminants or other hazardous wastes on the properties from the Owner in a separate legal action. {Remainder of Page Intentionally Left Blank; Signature Pages to Follow) B-2 CHI 35-61-831779.v1-10/12/22 {Commissioners' Signature Page for Parcel 29) Dated: Richard Black Commissioner Dated: Virginia Bell Commissioner Dated: Peter Sampair Commissioner I� CHI 35-61-831779.v1-10/12/22