1b. Approve Stipulation of Settlement and Order as to Parcel 2, Degler4 0
CITY OF
CgANgASSEN
7700 Market Boulevard
PO Box 147
Chanhassen, MN 55317
Administration
Phone: 952.227.1100
Fax: 952.227.1110
Building Inspections
Phone: 952.227.1180
Fax: 952.227.1190
Engineering
Phone: 952.227.1160
Fax: 952.227.1170
Finance
Phone: 952.227.1140
Fax: 952.227.1110
Park & Recreation
Phone: 952.227.1120
Fax: 952.227.1110
Recreation Center
2310 Coulter Boulevard
Phone: 952.227.1400
Fax: 952.227.1404
MEMORANDUM
TO: Todd Gerhardt, City Manager
FROM: Paul Oehme, Director of Public Works /City Engineer <t
DATE: January 9, 2012
1-b
SUBJ: Approve Stipulation of Settlement and Order as to Parcel 2, Degler
Property, for the Lyman Boulevard Improvement Project No. 06 -03,
Phase 1
PROPOSED MOTION
"Approve Stipulation of Settlement and Order as to Parcel 2, Degler property, for
the Lyman Boulevard Improvement Project No. 06 -03, Phase 1, Court File No. 10-
CV-08- 426."
City Council approval requires a simple majority vote of the City Council present.
BACKGROUND
On December 10, 2007, Council approved a cost participation agreement with Carver
County and City of Chaska for the Lyman Boulevard Project, Phase 1, for Galpin
Boulevard to Audubon Road.
On May 12, 2008, the City Council approved the plans and specifications for the project.
On May 27 2008, the City Council approved bids for the project.
DISCUSSION
Planning &
Property from the Degler family trust property was needed to make improvements to
Natural Resources
Lyman Boulevard as part of the 2008 -2009 project. The acquisition needs included right
Phone: 952.227.1130
Fax: 952.2271110
of way, drainage and utility easements and temporary construction easements. The
property is located on the southeast and southwest quadrants of Audubon and Lyman
Public Works
Boulevard.
7901 Park Place
Phone: 952.227.1300
The City attorney's office is recommending this settlement. The amount of the
Fax: 952.227.1310
settlement is for $77,500 which includes all claims for interest and other expenses. An
additional drainage and utility easement was also acquired after the project because some
Senior Center
steep slopes on the properties needed drain tile installed to keep the slopes stable.
Phone: 952.227.1125
Fax: 952.227.1110
The funding agreement for the Lyman Boulevard projects calls for the City of
Chanhassen to pay 45% of the right of way cost, Carver County to pay 45% and the City
Web Site
of Chaska to pay 10 %. Chanhassen's share would be $34,875 and is proposed to be
www.ci.chanhassen.mn.us
funded with Municipal State Aid funds.
This was the only property that contested the acquisition amounts.
Attachment
Chanhassen is a Community for Life - Providing for Todayand Planning for Tomorrow
gAeng \public \_2000 -2009 public projects \_2006 projects \06 -03 lyman imp (powers to th 41) \010912 bkgd app degler settlement agreement.doc
CAMPBELL KNUTSON
Professionad Association
IMME
November 7, 201
horn-S L C'anlphdl
Rugcr rNf, mi),Ason
CITY OF C HANHASSEN
F1 RE E 5 U E 5P
Jnef J.Jamnik
AndreaN11d)u,"A
Mr. Paul Oehme NOV 0 F) 2011
eta 3 INC !Artuick
City of Chanhassen ENGINES91;NG DEPT.
John F'. lmell.v
7700 Market Boulevard
I : . -schadl r k C ,
P. O. Box 147
Mina Schwal-ty, -
Chanhassen, Minnesota 55317
sanaud J, Edn"unds
Re: City of Chanhassen vs. Degler, et al.
Court File No. 10 -CV -08 -426
Dear Paul:
Enclosed please find the Stipulation of Settlement relating to this
condemnation matter. We recommend approval of the settlement.
This acquisition for additional right of way, drainage and utility easements
and temporary construction easements is part of the 2008-2009 Lyman Boulevard
project from Galpin to east of Audubon. The Degler family trust own property on
the southeast and southwest quadrants of Audubon and Lyman Boulevard.
This is a county project. The City was responsible for acquiring the
necessary easements. The other parcel involved in the condemnation was the
Holasek parcel which was settled quite some time ago. The resolution of the
Degler property was delayed due to some drainage issues that have been monitored
since construction was completed.
The City's appraisal of damages relating to the acquisition totaled
$600,660. The amount of $570,000 was paid to the Deglers in the Fall of 2008
when the project commenced.
Deglers obtained appraisals showing damages in the total amount of
$781,000, which is $181,000 higher than the City's appraisals. The proposed
_330 Carpoo atc C nter Curve
settlement is in the total amount of $647,500, which is $47,500 more than the
MN 55121
City's appraisals. In addition to the compensation for the land acquired, the
65 t -4 5 2 -.5 00-0.
settlement *includes any and all claims for interest in the approximate amount of
P F ix 6.5
$9,000, costs, attorneys' fees and other expenses.
- 452 2 1 1-7i�_50
.com
IMME
Mr. Paul Oehme
November 7, 2011
Page Two
Again, we recommend approval of the settlement. Please contact me with any questions.
Best regards,
Campbe tson
Profess l Association
By: (/ I ' -
_
Thomas M. Scott
TMS:cjh
Enclosure
a .
STATE OF MINNESOTA
COUNTY OF CARVER
DISTRICT COURT
FIRST JUDICIAL DISTRICT
CASE TYPE: CONDEMNATION
City of Chanhassen, a Minnesota Court File No. 10 -CV -08 -426
municipal corporation,
Petitioner, STIPULATION OF
SETTLEMENT AND ORDER
VS. AS TO PARCEL 21DEGLER
Deloris B. Holasek, sole Trustee, or her
successors in trust, under the Deloris B.
Holasek Living Trust dated December
15, 1995; Dean F. Degler and Lois R.
Degler, Trustees of the "Dean F. Degler
Trust "; Lois R. Degler and Dean F. Degler,
Trustees of the "Lois R. Degler Trust ";
John Doe and Mary Roe and County
of Carver,
Respondents.
The Petitioner City of Chanhassen above named, by and through its undersigned counsel
and Respondents Dean F. Degler and Lois R. Degler, Trustees of the "Dean F. Degler Trust"
and Lois R. Degler and Dean F. Degler, Trustees of the "Lois R. Degler Trust" ( "Degler
Trusts "), by and through their undersigned counsel, pursuant to Minnesota Statutes Section
117.185, hereby stipulate that they have negotiated a settlement for the acquisition of easements
as set forth in the attached Final Certificate.
The City will pay a total amount of $647,500.00 to Respondents Degler Trusts in
settlement of any and all claims relating to the acquisition by Petitioner of easements involved in
these proceedings, including reimbursement for appraisal costs, interest, attorney's fees, right of
first refusal pursuant to Minn. Stat. §117.226, costs and disbursements.
160365vl
2. Pursuant to the "quick take" condemnation process, on or about July 2, 2008,
Petitioner deposited with the District Court Administrator the sum of $450,000 and on or about
December 8, 2008, Petitioner deposited with the District Court Administrator the sum of
$120,000, which amounts represent the Petitioner's approved appraised value for the property
identified in the Amended Petition as Parcel 2. Pursuant to the Court's Order dated November 4,
2010, $100,000 of the $570,000 was disbursed by the Court to the Degler Trusts.
3. The remaining balance of the Petitioner's approved appraised value for Parcel 2 in
the amount of $470,000 held by the District Court Administrator, together with any accrued
interest shall be paid to Dean F. Degler and Lois R. Degler, Trustees of the "Dean F. Degler
Trust" and Lois R. Degler and Dean F. Degler, Trustees of the "Lois R. Degler Trust" and
forwarded to Kyle J. Hegna, Wilkerson & Hegna, P.L.L.P., One Corporate Center I11, Suite 300,
7300 Metro Boulevard, Edina, Minnesota 55439 -2302, attorney for Respondents Degler Trusts.
4. Within ten (10) days of the City's approval of the settlement, the City will issue a
check in the amount of $77,500.00 payable to Dean F. Degler and Lois R. Degler, Trustees of the
"Dean F. Degler Trust" and Lois R. Degler and Dean F. Degler, Trustees of the "Lois R. Degler
Trust" which shall constitute full payment of the balance of the settlement amount: Said check
shall be mailed to Kyle J. Hegna, Wilkerson & Hegna, P.L.L.P., One Corporate Center III, Suite
300, 7300 Metro Boulevard, Edina, Minnesota 55439 -2302, attorney for Respondents Degler
Trusts.
5. Upon payment of the amount due hereunder, the City may file its Final
Certificate, a copy of which is attached hereto as Exhibit A, and upon filing said Final Certificate
these proceedings shall be concluded.
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agreement.
This Stipulation of Settlement contains all the terms and conditions of the parties'
CAMPBELL KNUSTON
Professional Association
Dated:
Dated:
2011
/a /S —
, 2011
By:
Thomas M. Scott, #98498
317 Eagandale Office Center
1380 Corporate Center Curve
Eagan, Minnesota 55121
651- 452 -5000
Attorneys for Petitioner
WILKERSON & HEGNA, P.L.L.P.
a�
By:
K J.. na, #202408
One Corporate Center 111, Suite 300
7300 Metro Boulevard
Edina, Minnesota 55439 -2302
952- 987 -1707
Attorneys for Respondents Degler Trusts
DEAN F. DEGLER TRUST
Dated: / / / ' 2011
Dean F. Degler, Trustee
B %�
Lois R. Degler, Trustee �..-
LOIS R. DEGLER TRUST
Ij� q
Dated:
2011
B
Lois R. Degler, Trustee
Dean F. Degler, Trustee
160365v1 3
The above Stipulation is hereby incorporated in this Order of the Court.
BY THE COURT:
Dated: , 2011
Judge of District Court
160365v] 4
EXHIBIT A TO STIPULATION OF SETTLEMENT
STATE OF MINNESOTA
COUNTY OF CARVER
DISTRICT COURT
FIRST JUDICIAL DISTRICT
CASE TYPE: CONDEMNATION
City of Chanhassen, a Minnesota
municipal corporation,
VS.
Petitioner,
Deloris B. Holasek, sole Trustee, or her
successors in trust, under the Deloris B.
Holasek Living Trust dated December
15, 1995; Dean F. Degler and Lois R.
Degler, Trustees of the "Dean F. Degler
Trust"; Lois R. Degler and Dean F. Degler,
Trustees of the "Lois R. Degler Trust ";
John Doe and Mary Roe and County
of Carver,
Respondents.
Court File No. 10 -CV -08 -426
FINAL CERTIFICATE AS
TO PARCEL 2/DEGLER
IN THE MATTER OF THE CONDEMNATION OF CERTAIN LAND
FOR PUBLIC PURPOSES
FINAL CERTIFICATE AS TO PARCEL 2
DEAN F. DEGLER AND LOIS R. DEGLER, TRUSTEES OF THE
"DEAN F. DEGLER TRUST" AND LOIS R. DEGLER AND DEAN
F. DEGLER, TRUSTEES OF THE "LOIS R. DEGLER TRUST"
By authority of Minnesota Statutes Section 117.201, I hereby certify that the rights herein
described have been taken by the City of Chanhassen in eminent domain proceedings in
conformity with the requirements of Chapter 117 of said statutes; that the Petitioner and
]60365vt 5
Respondents Dean F. Degler and Lois R. Degler, Trustees of the "Dean F. Degler Trust" and
Lois R. Degler and Dean F. Degler, Trustees of the "Lois R. Degler Trust" have negotiated a
settlement determining full compensation for damages sustained by the Petitioner's taking; that
all damages have been paid by the City of Chanhassen to Respondents Degler Trusts; that said
proceedings, as they relate to Parcel 2 (Degler Trusts) in the above matter, are now complete and
that the City of Chanhassen now holds easement interests in the lands situated in the County of
Carver, State of Minnesota and legally described on Exhibit A attached hereto and made a part
hereof by reference.
Dated: 1 2011. CAMPBELL KNUTSON
Professional Association
Thomas M. Scott, #98498
Attorneys for Petitioner
317 Eagandale Office Center
1380 Corporate Center Curve
Eagan, Minnesota 55121
160365vl 6
THE ABOVE CERTIFICATE IS HEREBY APPROVED AND THE COUNTY RECORDER
AND /OR REGISTRAR OF TITLES IS HEREBY ORDERED TO ACCEPT A CERTIFIED
COPY OF THE SAME FOR FILING WITH THE RECORDS OF CARVER COUNTY,
MINNESOTA, OR CERTIFICATES OF TITLE COVERING THE ABOVE - DESCRIBED
REAL PROPERTY, IF ANY.
Dated: , 2011. BY THE COURT:
Judge of District Court
THIS INSTRUMENT WAS DRAFTED BY:
Campbell Knutson
Professional Association
Suite 317
1380 Corporate Center Curve
Eagan, Minnesota 55121
TMS:cjh
160365v1
EXHIBIT A
TO
FINAL CERTIFICATE
PARCEL 2 — DEGLER
PIN Nos. 25.0220800 and 30- 0220100
DESCRIPTION OF PARCELS OVER WHICH EASEMENTS ARE TAKEN:
PARCEL A: The Northwest Quarter of the Southeast Quarter (NW 1/4 of SE1 /4) of Section 22,
Township 116, Range 23, Carver County, Minnesota.
PARCEL B: Beginning at a post in South line of Northwest Quarter of Southeast Quarter (NW
1/4 of SE 1/4), Section 22, Township 116, Range 23, One (1) chain West from the
Southeast (SE 1/4) corner of said Northwest Quarter of Southeast Quarter (NW
1/4 of SE 1/4); thence South 38 1/2 degrees West 2.38 chains; thence South 73
degrees West 4.35 chains; thence South 36 1/2 degrees West 1.90 chains; thence
South 17 1/2 degrees West 3.70 chains; thence North 82 degrees West 1.50 chains
to a point in North and South middle line of Southwest Quarter of Southeast
Quarter (SW 1/4 of SE 1/4); thence North along said middle line 8.00 chains to a
post in South line of Northwest Quarter of Southeast Quarter (NW 1/4 of SE 1/4);
thence East 10.00; chains to place of beginning, situated in East Half (E 1/2) of
Southwest Quarter of Southeast Quarter (SW 1/4 of SE 1/4), Section 22,
Township 116, Range 23.
PARCEL C: Commencing at a post on center line of Section 22, Township 116, Range 23,
which post bears South 4.28 chains from center post of said Section 22; thence
South 15.32 chains to Quarter Quarter post; thence North 44 1/2 degrees West
27.90. chains; thence East 15.32 chains; thence South 4.28 chains; thence East
4.28 chains to place of beginning, situated in Lot 2, Section 22, Township 116,
Range 23.
PARCEL D: Beginning at the Quarter Section post on South line of Section 22, Township 116,
Range 23, running thence North along center line of said Section 20.00 chains to
middle line of Southeast Quarter (SE 1/4) of said Section; thence East along said
middle line 10.00 chains; thence South parallel with first mentioned line 15.75
chains to a point in the center of a creek; thence Southerly along center of said
creek to South line of said Section; thence west 7.00 chains to place of beginning,
situated in West half of Southwest Quarter of Southeast Quarter (W 1/2 of SW 1/4
of SE 1/4) of Section 22, Township 116, Range 23.
DESCRIPTION OF EASEMENTS:
A permanent easement. for public street purposes over "Parcel 14 ", "Parcel 17 ", "Parcel 21" and
"Parcel 22" as said Parcels are shown on Carver County Right of Way Plat No. 17, Carver
County, Minnesota;
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ERN
A permanent easement for public drainage and utility purposes over "Parcel 17A" and "Parcel
1713" as said Parcels are shown on Carver County Right of Way Plat No. 17, Carver County,
Minnesota;
AND
A permanent easement for public drainage and utility purposes over that part of the Northwest
Quarter of the Southeast Quarter of Section 22, Township 116, Range 23, Carver County,
Minnesota, described as follows:
Beginning at the southeasterly corner of Parcel 17B, CARVER COUNTY RIGHT WAY
PLAT NO. 17, said point also being an angle point on the southerly line of Parcel 17A,
CARVER COUNTY RIGHT OF WAY PLAT NO. 17; thence North 89 degrees 21 minutes
47 seconds East, along said southerly line of Parcel 17A, a distance of 181.24 feet; thence
South 00 degrees 40 minutes 11 seconds East, 38.00 feet; thence South 89 degrees 38
minutes 46 seconds West, 261.90 feet; thence North 00 degrees 17 minutes 29 seconds East,
38.00 feet to the southerly line of said parcel 1713; thence South 89 degrees 42 minutes 31
seconds East, along said southerly line, 80.03 feet to the point of beginning.
AND
A temporary construction easement over "TE Parcel 14 ", "TE Parcel 14A ", "TE Parcel 17 ", "TE
Parcel 21" and "TE Parcel 22" as said Parcels are shown on Carver County Right of Way Plat
No. 17, Carver County, Minnesota.
Said temporary easements expire: December 31, 2009.
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