11. Boley Annexation/De-Annexationi
t
[1
CITY OF 11.
cHaNHassEN
690 COULTER DRIVE • P.O. BOX 147 • CHANHASSEN, MINNESOTA 55317
(612) 937 -1900 • FAX (612) 937 -5739
TO: Mayor and City Council
FROM: Don Ashworth, City Manager
DATE: July 6, 1994
SUBJ: Boley Annexation/De- Annexation, Chanhassen and Victoria, Lundgren Brothers
This item is a discussion item so that the council can give direction to staff as to how to
potentially resolve boundary issues as a part of the Boley Subdivision. Specifically, the
Mayor and I have been meeting with representatives from Lundgren Brothers for well over a
year to see how we might be able to shift the Victoria/Chanhassen boundary so as to be
equitable to all parties. The enclosures marked "Chanhassen Staff Proposal' represented a
proposal which seemed logical to staff and was believed to be equitable for both Victoria and
Chanhassen.
As the council may recall, most of the northerly half of the Boley property lies within the
City of Chanhassen except for a narrow band of property (3.6 acres) on the westerly edge of
the Boley property. The plat, as approved by the city, has the buildable portion of each of
the lots on the westerly portion of the Boley property in the City of Chanhassen. However,
each of these lots have their backyards in the City of Victoria. Although the outlot
(cumulative backyards of all of the properties on the westerly side) could be used in an
association fashion, that solution beconjes cumbersome as it deals with fences, gardens,
swimming pools, sheds, etc. A more reasonable solution (Chanhassen Staff Proposal) would
have Victoria agree to allowing the City of Chanhassen to annex this strip and therefore allow
each lot to have a backyard in Chanhassen. The "carrot" offered to Victoria is proposed to be
our allowance for our sewer and water to be extended into Boley Phase II (primarily in
Victoria). Under staff's proposal, approximately 4-5 lots in Boley Phase II would remain in
the City of Chanhassen (see Exhibit E- Chanhassen Staff Proposal).
The Victoria staff presented both their recommended solution as well as the Chanhassen staff
recommendation to their city council this past week (see attached "Victoria Proposal ").
Victoria staff remains adamant that any form of trade should be "equal land." They would
propose that Victoria give up the thin strip of land on the westerly edge of the Boley property
for the 4 -5 lots in Boley Phase II (see Exhibit F- Victoria Proposal). The cover letter from
MEMORANDUM
n
1
Mayor and City Council
July 6, 1994
Page 2
Mr. Terry Forbord, which spells out Victoria's position, appears to portray that Chanhassen
staff is in agreement with this proposal. That is not the case. I did inform Mr. Forbord that I
would be presenting both the "Chanhassen Proposal" as well as the "Victoria Proposal" to the
city council for guidance. Somewhere during that conversation I recall stating, "Who knows,
the council may approve it."
The ironic part about the entire debate is the fact that the Victoria staff remains adamant that
the sewer and water to Boley Phase II should come from Victoria. The irony occurs because
we sincerely believe that the feasibility of getting sewer to the Boley property is simply not
possible given existing grades (in some areas nearly 50 feet of cut is required), the number of
wetlands that need to be crossed, the amount of non - assessable property (major areas of the
Arboretum's apple orchard), and the necessity to obtain Metropolitan Council agreement to
expand the MUSA far beyond what Victoria's needs would be well into the future.
The City Attorney will be present Monday evening to discuss potential options open to the
city /developer through the Municipal Annexation Board or other alternatives if an impasse
continues to exist. Again, this is a discussion item.
I �,
May 20, 1994
67 �A.v /S a.11 a -/
x4a�f:p
Ms. Miriam Porter
City Administrator
City of Victoria
P.O. Box 36
Victoria, MN 55386 -0036
Dear Miriam:
s �—/
We have been working with Lundgren Brothers to find a reasonable solution to resolving the
boundary problem on the Boley property (The Highlands at St. Joe). After careful
consideration, we believe we have found a fair and equitable solution for all parties.
Attached to this letter is a proposed cooperative agreement between the City of Chanhassen,
City of Victoria and Lundgren Brothers prepared by legal counsel for Lundgren Brothers and
with contributions by me and the City Attorney of Chanhassen, Roger Knutson. Lundgren
Brothers would like to appear before your city council as quickly as possible to present this
proposal. The proposal has my support and we would like to move forward in a cooperative
manner.
Please give this your prompt consideration and call me if you have any questions.
Sincerely,
Aa,
Don Ashworth
City Manager
DA:k
Enclosure
1
J
CITY OF
CHANHASSEN
690 COULTER DRIVE • P.O. BOX 147 • CHANHASSEN, MINNESOTA 55317
(612) 937 -1900 • FAX (612) 937 -5739
1
'
U.S. OFFIC[i:
222 SOUTH NINTH STREET
DENVER. COLORADO
MINNEAPOLIS, MINNESOTA 35402
TEL 303- 993 -1200
'
MIAMI. FLORIO^
FAX 612 -334 -8888
TEL SOS - 930.0030
WASNINCTON, D.C.
TEL 302 -962 -9700
P OPHA H AI K
SCHNOORICH & KAUFMAN, LTD.
SUITE 3300
INTERNATIONAL OFFIc[s.
222 SOUTH NINTH STREET
LEI►21C. GERMANY
MINNEAPOLIS, MINNESOTA 35402
TEL 01 14 8-341-4918429
TEL 612 -223 -4800
sTUTT6114RT. GCRWA14V
FAX 612 -334 -8888
TEL 0114 9-711-22363
BRUCE D. MALKERSON, ESQ.
DIRECT M&L (6 12) 334.260E
March 11, 1994
Re: Proposed Cooperative Agreement Between City of Chanhassen, City of
Victoria, Lundgren Brothers Construction Co.
Our File No. 6827 -003
t Dear Mr. Hoff-
L Introduction
I represent Lundgren Brothers Construction Co. ( "Lundgren Brothers ") which is a well
' known and respected developer of single family homes in the seven county metropolitan area.
I have been assisting Lundgren Brothers in its obtaining a preliminary and final plat approval
from the City of Chanhassen for property it has an option to purchase in the City of
' Chanhassen and in reviewing how best to plat and develop additional parcels of land in the
City of Victoria which Lundgren Brothers has an option to purchase adjacent hereto.
Part of that review has entailed discussions with staff of the City of Chanhassen as to
what municipal services the City of Chanhassen may be willing to provide to the property for
which the City of Chanhassen has granted preliminary and final plat approval and adjacent
' parcels, two of which are within the City of Victoria.
Because of the legal nature of the issues involved, I thought it would be beneficial to.
' outline to you, as the City Attorney for the City of Victoria, the factual, legal and procedural
01522035454 3/11194
George Hoff, Esq.
Hoff & Allen
3000 Prune Center Drive
'
Suite 250
Eden Prairie, MN 55344
March 11, 1994
Re: Proposed Cooperative Agreement Between City of Chanhassen, City of
Victoria, Lundgren Brothers Construction Co.
Our File No. 6827 -003
t Dear Mr. Hoff-
L Introduction
I represent Lundgren Brothers Construction Co. ( "Lundgren Brothers ") which is a well
' known and respected developer of single family homes in the seven county metropolitan area.
I have been assisting Lundgren Brothers in its obtaining a preliminary and final plat approval
from the City of Chanhassen for property it has an option to purchase in the City of
' Chanhassen and in reviewing how best to plat and develop additional parcels of land in the
City of Victoria which Lundgren Brothers has an option to purchase adjacent hereto.
Part of that review has entailed discussions with staff of the City of Chanhassen as to
what municipal services the City of Chanhassen may be willing to provide to the property for
which the City of Chanhassen has granted preliminary and final plat approval and adjacent
' parcels, two of which are within the City of Victoria.
Because of the legal nature of the issues involved, I thought it would be beneficial to.
' outline to you, as the City Attorney for the City of Victoria, the factual, legal and procedural
01522035454 3/11194
George Hoff, Esq.
March 11, 1994
Page 2 ,
issues as I understand them. Hopefully, thereafter Roger Knutson, the City Attorney for ,
Chanhassen, and I could meet with you to discuss the enclosed. It may be beneficial to invite
Mr. Palmatier, the Mayor of the City of Victoria, to such a meeting, since he is an attorney. '
Thereafter, hopefully, you could discuss the enclosed suggestions and analysis with the
City Council and City Administrator of the City of Victoria and the City Council could '
inform Don Ashworth, the City Manager of the City of Chanhassen, and me if the
suggestions set forth herein would be supported by the City Council of the City of Victoria.
II. Overview of the Facts '
1. Lundgren Brothers has an option to purchase approximately 60 acres of '
property (known as the Boley Property). Approximately 32 acres of the Boley Property are
located within the City of Chanhassen and 28 acres are located in the City of Victoria.
Exhibit A attached hereto shows the location of the Boley Property. ,
2. The City of Chanhassen has granted final plat approval for 32 acres of the
Boley Property located in the City of Chanhassen. Exhibit B attached hereto is a copy of the '
approved final plat, hereinafter also referred to as Boley Phase 1.
The Boley Property configuration is unique in that a small strip of land (approximately ,
110 feet wide; 3.6 acres) within the Boley Property adjacent to Boley Phase 1 is located
within the City of Victoria. Exhibit C shows that strip in relation to the Boley Property '
(Exhibit A). Exhibit D shows that strip in relation to the approved final plat (Exhibit B).
That strip of property should be annexed to the City of Chanhassen so that the outlots '
C, D and E (8.5 acres) shown for Boley Phase 1, which are adjacent to the strip (Exhibit B),
can be replatted into lots to include that strip as shown on Exhibit E. Otherwise that strip of
land cannot be platted and developed in a logical and reasonable manner. '
If that strip is not annexed to the City of Chanhassen so that it can be part of the
replat of outlots C, D and E of Boley Phase 1, then the City of Chanhassen is willing to '
replat oudots C, D and E (Exhibit B) anyway with smaller lots, but then the strip of land in
the City of Victoria remains as excess undeveloped land.
3. The City of Chanhassen provides sewer water, street access, police, fire and
planning services to Boley Phase 1 and is also willing to provide these services to the strip
area if annexed and Don Ashworth believes that the Chanhassen City Council is willing to '
015/22035454 311 194 1
George Hoff, Esq.
March 11, 1994
' Page 3
provide these services to Boley Phase 2 (the remaining Boley property, approximately 24.4
acres as shown on the enclosed proposed preliminary plat) (see Exhibit F) which could be
' platted into 22 lots if that area were annexed by the City of Chanhassen, which Don
Ashworth believes the Chanhassen City Council is willing to do.
' The City of Victoria does not have municipal sewer or water available in this area.
The road serving Boley Phase 2 is within the City of Chanhassen. There is no access from
City of Victoria local roads.
5. The City of Chanhassen and Lundgren Brothers understand that the City of
Victoria does not want to lose future tax base and may therefore oppose any such annexation
petition. For the reasons discussed generally in section VI hereof, I believe such an
annexation would be approved by the Minnesota Municipal Board ( "MMB ") pursuant to
Minnesota Statutes, Sections 414.061, 414.041, subd. 5. See also City of Lake Elmo v. City
' of Oakdale 468 N.W.2d 575 (Minn. App. 1991).
6. In any event, Don Ashworth, the Manager of the City of Chanhassen, and
Lundgren Brothers are willing to suggest to the City of Victoria a cooperative agreement
which we hope will be viewed as a win -win situation for all three parties as discussed
hereafter. If this agreement is acceptable conceptually to the City of Victoria, Chanhassen
' City staff will recommend it to the Chanhassen City Council.
J
M. Proposed Cooperative Agreement
1. The City of Chanhassen and Lundgren Brothers ask that the City of Victoria
agree to the annexation of the strip of land (See Exhibit E) to the City of Chanhassen. The
outlots C, D and E in Boley Phase 1 (Exhibit B) would then be replatted as shown on
Exhibit E.
2. The City of Chanhassen and Lundgren Brothers ask that the City of Victoria
agree to approve the preliminary and final plat of Boley Phase 2 (See Exhibit F) or in a form
similar thereto. As part thereof, the crosshatched area on Exhibit F would be annexed to the
City of Chanhassen because those lots would be served by City of Chanhassen sewer and
water, to the extent feasible, as part of the replat of Outlot C. The remaining 22 lots would
remain in the City of Victoria. Any MUSA line extension would be obtained by the City of
Victoria.
015/22035454 311164
a
George Hoff, Esq.
March 11, 1994
Page 4
The City of Chanhassen would allow Lundgren Brothers to hook up the 22 lots in '
Boley Phase 2 (Exhibit F) to sewer and water from the City of Chanhassen. Lundgren
Brothers would pay all costs related to such hookups, lift stations, installation of the internal '
roads, etc. without cost to the City of Chanhassen. The future lot owners in Boley Phase 2
would be billed by the City of Chanhassen for sewer and water on the same basis that the
City bills the other lot owners in the City of Chanhassen. Those lots would remain in the
City of Victoria.
3. The City of Chanhassen would also be willing to provide sewer and water '
service, at no cost to the City of Chanhassen, and to the extent feasible to the Burau/Lano
Property as shown on Exhibit G, approximately 80 acres, if the City of Victoria so desired,
which property logically should be part of the City of Chanhassen because of the topography,
road access, sewer and water access, etc. Any MUSA line extension would be obtained by
the City of Victoria. This offer by the City of Chanhassen presupposes that the Burau/Lano
property can be developed in the future with road access directly out to Highway 5. ,
4. The City of Chanhassen would not seek annexation o: either the remaining lots
in Boley Phase 2 Property or the Burau/lano Property thereafter.
N. Advantages to the C111 of Victoria of this Proposed Cooperative Agreement
r and water available to Bole Phase 2 (22
1. By having City of Chanhassen sewer Y
lots) (Exhibit F), which will remain in the City of Victoria, the City of Victoria will receive
the real estate taxes from the development of 22 lots which will be developed with average
anticipated estimated market values of $225,000 per lot (total market value: $4,950,000).
Based on the current tax rates, I believe the taxes generated each year would be as follows: '
City of Victoria Carver County School District Total Annual Taxes
$27,324 $38,016 $51,084 $116,424
The total taxes on Boley Phase 2 Vacant Property are presently approximately only $1,190
per year (total market value: $62,500) of which the City of Victoria receives approximately
$163.
In addition, the City of Victoria would receive approximate park dedication and other ,
fees from the development of those 22 lots as follows:
01522035454 3/1104 '
' George Hoff, Esq.
March 11, 1994
Page 5
' Parks Fee $1,100 ($50 per lot)
' Bldg. Permit Fee $35,024 ($1,592 per unit)
Misc. Fees $2,332 ($106 per unit)
' TOTAL: $38,456
' 2. By having City of Chanhassen sewer and water available to the Burau/L.ano
property (Exhibit G), which will remain in the City of Victoria, the City will receive the real
estate taxes from the development of 61 probable lots which will be developed with average
anticipated estimated market values of $225,000 per lot (total market value: $13,725,000).
Based on the current tax rates, I believe the taxes generated each year would be as follows:
' City of Victoria Carver County School District Total Annual Taxes
$75,324 $105,408 $144,642 $325,812
In addition, the City of Victoria would receive park dedication and other fees from the
development of those lots as follows:
Parks Fee $3,050 ($50 per lot)
' Bldg. Permit Fee $97,112 ($1,592 per unit)
Misc. Fees $6,466 ($106 per unit)
TOTAL: $106,628
3. The City of Victoria will not be faced with the cost of opposing the annexation
petition for the strip of land (Exhibit D), the Boley Phase 2 Property (Exhibit F) and possibly
in the future the Burau/Lano Property (Exhibit G). Moreover, the City of Victoria will be
assured of the fact that the City of Chanhassen will not support any annexation for the
remaining lots in Boley Phase 2 or the Burau/L.ano Property. The tax base and other benefits
therefrom will remain in the City of Victoria and can be realized in the immediate future.
1 015/220354543/11 /94
.�,. Aft1b
George Hoff, Esq.
March 11, 1994
Page 6
V. What Are the Real or Perceived Disadvantages to the City of Victoria of Such a ,
Cooperative Agreement
1. The City of Victoria may think that at some point in the future it may extend '
its own sewer and water to the Burau/Lano Property and Boley Phase 2 Property, if such
property has not already been annexed to the City of Chanhassen. The City may think that '
therefore it does not want those areas to be served now by Chanhassen sewer and water
because then the City of Victoria could not assess the Boley Phase 2 Property and
Burau/Lano Property for such sewer and water systems in the future. ,
I believe that such an analysis is flawed for several reasons:
a. As Y ou know, under Minnesota Statutes § 429.01 et. seq., the City of
Victoria could only assess an amount equal to or less than the, increase
in value to those properties because of the availability of sewer and '
water.
The cost of extending such sewer and water pipes, with possible sewer '
lift stations, from the northwest in the City of Victoria across the steep
topography and intervening wetlands would be excessive and would
more than likely never be paid back by the possible future assessments '
of the Boley Phase 2 Property and the Burau/Lano Property.
b. In the interim, until such time that sewer and water is extended, the real ,
estate taxes to the City of Victoria would be minimal each year because
the Burau/Lano Property and/or Boley Phase 2 Property would remain
undeveloped or minimally developed with a few houses with on site
septic systems. Moreover, the payment of other fees that would be paid
to the City of Victoria outlined in Section IV above, would be delayed.
2. I know of no other possible disadvantages. If you know or learn of any, I
would like to know of them so I or others can address them.
VL It is Also in the Best Interest of the Property that it be DeveloRed Now with
Municipal Sewer and Water
The above outlined cooperative agreement will result in the development of the
referenced properties in the City of Victoria in an ecologically sound manner with municipal '
015/22035454 3/11/94
George Hoff, Esq.
March 11, 1994
' Page 7
sewer versus on site septic systems. It will allow the property to be developed to its highest
and best reasonable use now in conformance with the zoning and subdivision codes of the
City of Victoria for sewered residential land.
The small strip area of land to be annexed to the City of Chanhassen can only be
logically developed as the back yards for the houses to be built in Boley Phase I. There is
no other logical use for that strip. The small amount of land to be annexed to the City of
Chanhassen in Boley Phase 2 should logically be part of the City of Chanhassen because the
' vast majority of those lot areas are already in the City of Chanhassen.
VII. Summary
' Hopefully, the City of Victoria will view this proposed cooperative agreement as a
i
good faith effort by all parties to respect the reasonable needs of all parties involved n order
' to develop these properties in a logical, ecologically sound manner, with the least resulting
cost and with a fair allocation of the benefits of such development to all of the parties.
' As stated previously, the above represents the recommendations of the Chanhassen
City staff and Lundgren Brothers. If it is agreeable conceptually to the City of Victoria, the
Chanhassen City staff will recommend approval thereof to the Chanhassen City Council. If
approved, the details can be quickly worked out and the parties involved can proceed
accordingly.
I would appreciate your calling me to discuss the above.
Very truly yours,
O�- 0 W-dt&�
Bruce D. Malkerson
Enclosures
cc: Don Ashworth, City Manager, City of Chanhassen
Roger Knutson, Esq., City Attorney, City of Chanhassen
Terry Forbord, Lundgren Brothers Construction, Inc.
Kara Einess, Lundgren Brothers Construction, Inc.
015122035454 3/11194
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CONSTRUCTION
filly 1, 1994 111 CA r f �
INC.
v Mid 1
Mr. Don Ashworth
City Manager
'
CITY OF CHANHASSEN
690 Coulter Drive
Chanhassen, MN 55317
935 E. Wayzata Blvd.
Dear Mr. Ashworth:
Wayzata
'
Minnes::ta 55391
This letter is in furtherance of my June 20, 1994 letter (see attached) describing the
results of the Victoria City Council meeting on June 16, 1994 where I presented to
(612)47,4 -12,1
the Council the initial proposed cooperative agreement between the City of
'
Chanhassen, the City of Victoria and Lundgren Bros, for the annexation of the
approximate 3.5 acres of land of the Boley Phase I property presently lying in the
City of Victoria to the City of 'Chanhassen. The details of that proposed
'
cooperative agreement are outlined in Mr. Bruce Malkerson's (Lundgren Bros,
attorney) March 11, 1994 cooperative agreement which you contributed to and, are
familiar with. In m37 letter to you of June 20, 1994,- I summarized for you the
general position of the Victoria City Council.
At the June 16 1994, Victoria City Council meeting the Council essentially ,
maintained their position of trading an equal amount of land in Victoria for an
equal amount of land in Chanhassen. As you know after our initial proposed '
cooperative agreement dated March 11, 1994 the City of Victoria staff submitted a
counter proposal that would allow an orderly annexation of the strip of land in
Victoria just west of Boley Phase I in exchange for what is now known on the final ,
plat of Boley Phase I as Outlot C. We appeared before the City Council to make
sure they weren't interested in our initial proposed cooperative Agreement and to
confirm staffs counter proposal.
I. Overview
1. Lundgren Brothers has an option to purchase approximately 60 acres of ,
property (known as the Boley Property). Approximately 32 acres of the Boley
Property are located within the City of Chanhassen and 28 acres are located in '
the City of Victoria, Exhibit A attached hereto shows the location of the Boley
Property.'
1
cT,_
1SHOD "SOH N3&Ddwn Wd90 : zo t76 TO - F i '
1
2. The City of Chanhassen has granted final plat approval for 32 acres of the
Boley Property located in the City of Chanhassen, Exhibit B attached bereto is
a copy of the approved final plat, hereinafter also referred to as Boley Phase I.
The Boley Property configuration is unique in that a ' small strip of land
(approxi - mately 110 feet wide and 1350 feet long; 3.6 acres) within the 'Boley
Property adjacent to Boley Phase 1 is located within the City of Victoria.
Exhibit C shows that strip in. relation to the, Boley Property (Exhibit A.).
Exhibit D shows that strip in relation to the approved final plat (Exhibit B).
1 The compromise proposed by Victoria (and acceptable to Lundgren Bros.) is
that strip of property should be annexed to the City of Chanhassen so that the
outlots D and E (3.6 acres) shown for Boley Phase l,'which are adjacent to the
strip (Exhibit B), can be replatted into lots to include that strip as shown on
Exhibit E. Otherwise that strip of land cannot be platted and developed in a
logical and reasonable manner. Outlot C would be annexed to the City of
' Victoria as a fair exchange for Outlots D and E into Chanhassen.
5, The City of Chanhassen and Lundgren Bros. would ask that the City of
Victoria agree to approve the preliminary and final plat of Boley Phase H (See
Exhibit F) or in a form similar thereto. The crosshatched area on Exhibit F
(Outlot C) would be annexed to the City of Victoria and that parcel along with
the remainder of Boley II Property would comprise 24 lots that would be
served by City of Chanhassen sewer and water. Any MUSA lime extension
would be obtained by the City of Victoria.
li
' E. T, 'S ' d ' 1SHOD ' SOH QdDawni Wdzo :2o b6: TO 11 l
3, The City of Chanhassen provides sewer, water, street access, police, fire and
planning. services to Boley Phase 1 and is willing to provide these services to
the strip area if annexed to Chanhassen and you believe that Chanhassen is
willing to provide sewer and water to Boley Phase IT (the remaining Boley
approximately 24,4 acres as shown on the enclosed proposed
property,
preliminary plat) (see Exhibit F) which could be platted into 24 lots as part of
'
the compromise.
4. In any event, with your support, Lundgren Brothers is willing to suggest to the
City Council of Chanhassen a cooperative agreement which we hope will be
viewed as a win -vein situation for all three parties as discussed hereafter. If this
agreement is acceptable conceptually to the City of Chanhassen, Lundgren
Bros. will take the proposal back to the Victoria City Council for their
consideration,
5, The City of Chanhassen and Lundgren Bros. would ask that the City of
Victoria agree to approve the preliminary and final plat of Boley Phase H (See
Exhibit F) or in a form similar thereto. The crosshatched area on Exhibit F
(Outlot C) would be annexed to the City of Victoria and that parcel along with
the remainder of Boley II Property would comprise 24 lots that would be
served by City of Chanhassen sewer and water. Any MUSA lime extension
would be obtained by the City of Victoria.
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' E. T, 'S ' d ' 1SHOD ' SOH QdDawni Wdzo :2o b6: TO 11 l
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The City of Chanhassen would allow Lundgren Brothers to hook up the 24 lots in ,
Boley. Phase 11 (Exhibit F) to sewer and water from the City of Chanhassen.
Lundgren Brothers would pay all costs related to such hookups, lift stations (if
any), installation of the internal roads, etc. without cost to the City of Chanhassen. '
The future lot owners in Boley Phase II would be billed by the City of Chanhassen
for sewer and water on the same basis that the City bills the other lot owners in the
City of Chanhassen. Those lots would remain in the City of Victoria.
In discussing this matter with you on June 27th, 1994 you indicated that you were
willing to lend your support to this compromise between the City of Chanhassen
and the City of Victoria that has been worked out by Lundgren Bros. You
suggested that Lundgren Bros. request that this matter be addressed by the City
Council at the July 11, 1994 meeting. We respectfully accept your suggestion. ,
Please allow this letter to serve as our request. Don, I believe the contents of this
letter describe our discussions to date and this is the best way we can resolve this
issue and move forward. '
Please let me know if there is anything else that you would like me to do prior to
the July 11, 1994 meeting. ,
Very truly yours, '
Terry M. Forbord '
Vice President
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APPROVED FINAL PLAT- CHANHASSEN
HIGHLANDS ON LACE ST. JOE
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APPROVED FINAL PLAT- CHANHASSEN
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STRIP TO BE ANNEXED
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BROS.
CONSTRUCTION
June 20, 1994
INC.
'
Mr, Don Ashworth
City Manager
'
CITY OF CHANHASSEN
690 Coulter Drive
Chanhassen, MN 55317
935 E. Wayzata Blvd.
Re: Boley Property - Annexation
Results of Victoria City Council Meeting - June 16, 1994
Minnesota 55391
Minne
(612)473 -1231
bear Mr, Ashworth:
'
On June 16 1994 I attended the Victoria City Council Meeting with our attorney
Mr. Bruce Malkerson and our engineer, Mr. Rick Sathre to present the proposed
cooperative agreemen: between the City of Chanhassen, the City of Victoria and
'
Lundgren Bros. for the annexation of the approximate 100' by 1,350' parcel
(approximately 3.5 acres) of the Boley Phase I property lying in Victoria to the
City of Chanhassen. The details are outlined in Bruce Malkerson's March 11, 1994
proposed cooperative agreement which you contributed to and are familiar with.
At the meeting after much dialogue we were given direction by the Council which
I am reporting to you in this letter.
,
As you recall, on June 15, 1994, you and I spoke by telephone and you indicated
to me that you would be willing, as further compromise, to recommend to the
Chanhassen City Council they accept a land trade (as proposed by the City of
Victoria) of the 100' strip on the west boundary of Boley Phase I to the City of '
Chanhassen for Outlot C on the northern portion of Boley Phase 11 to the City of
Victoria. You also said that Chanhassen would be willing to' serve with public
utilities Boley Phase II if the City of Chanhassen had capacity in its lines to do so. I '
told you that I would not present this additional compromise to the Victoria City
Council unless I found it necessary, depending on how the discussion went.
Durin g the Victoria Council meeting, as discussion ensued amongst the Council
members and staff; it appeared to me that their position on trading land for land
was not going to change so I elected to suggest the compromise that you and I
discussed on June 15th. I presented the compromise to the Victoria City Council
only as a suggestion and did not say that I had talked to the City of Chanhassen
ST ET 'J ' iSNOD ' SOS N385aw i Wd3 T : EO t G , TO 7i i1 '
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June 20, 1994
Page 2
about it nor did I represent that the City of Chanhassen would accept it. But I did ask
them that if I was able to convince
low C f Chan t e s rve Bo1ey Phase II trade
'
(as described above) would they al Ci City o
with public utilities. After discussion, the message they conveyed to me was they would
be willing to consider this option as a fair and reasonable solution to this problem.
Bill Thibault, consulting planner to the City of Victoria, appeared to maintain his
obstructionist behavior in bringing resolution to this matter. He interjected by saying that
much more study would need to be done before he would feel comfortable making a
' recommendation to the City of Victoria. I told the Council that I did not feel this matter
was as complicated as Mr. Thibault was attempting to make it and we would carry
Council's recommendation to the City of Chanhassen for their comment and if it was
1 acceptable we would prepare a draft cooperative agreement outlining the details of how
resolution of this matter would take place. I reiterated every attempt would be made to
take into consideration each communities interest. Regardless Council wants to reserve its
'
right for Thibalut to initiate some kind of study.
Don, it is now very clear that Victoria is unwilling to accept less than a land trade and the
solution to bring closure to this matter as quickly as possible would be for each
community to accept the land trade. I �� this h eight r ts on the Chanhassen of
because under this compromise the
Boley Phase I would now have their backyards within the City of Chanhassen, adding
greater value to those homes, allowing for a greater assessed valuation. It also means that
' none of us would need to spend any more of our time debating the issue with Victoria or
possibly having to resolve it in court. I will call you later this week to hear your feelings
about this while at the same time investigating what steps would need to be taken to
accommodate an orderly land swap annexation and Met Council requirements for MUSA
extension.
' If you have any questions do not hesitate to call me,
' Very truly yours,
Terry M. Forbord
Vice President
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