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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. 160365v1 2 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; 160365v1 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. 160365v]