D-9. 610 West 96th Street: Approve Settlement Agreement with Robert and Christin Boecker e, CITY OF ClIANIIASSEN
9 S Chanhassen is a Community for Life-Providing for Today and Planning for Tomorrow
NH AS
MEMORANDUM
TO: Todd Gerhardt, City Manager
FROM: Bob Generous, Senior Planner
DATE: August 28, 2017
SUBJ: 610 West 96th Street
Settlement Agreement
PROPOSED MOTION
"The Chanhassen City approves the execution of the settlement agreement for Robert and
Christin Boecker at 610 West 96th Street."
City Council approval requires a majority vote of City Council present.
EXECUTIVE SUMMARY
The property owners are requesting approval to enter into an agreement to permit the
construction of the tunnel connection between the house and the accessory structure to bring the
building into compliance with city code.
BACKGROUND
We discovered the illegal building expansion to the accessory structure and issued a stop work
order on August 28, 2014. On February 23,2015, City Council denied the variance request to
allow the building expansion. Subsequently,the owner applied for a permit to connect the house
and the accessory building via a hallway to create an attached building. On August 18, 2015,we
issued a permit for the hallway connection to connect the accessory structure to the home. On
September 26, 2016,the plans were changed from a hallway to a tunnel. These revised plans
were approved on January 6, 2017. No building activity took place and on July 11, 2017, the
city sent a letter to the owners stating that the building permit had expired and that the expansion
needed to be demolished.
With this agreement, the owners agree to complete the construction of the tunnel by January 1,
2018 ("Completion Date") in accordance with the Building Permit, call for and receive a final
inspection and receive a certificate of occupancy from the City's Building Official.
PH 952.227.1100• www.ci.chanhassen.mn.us• FX 952.227.1110
7700 MARKET BOULEVARD • PO BOX 147 • CHANHASSEN • MINNESOTA 55317
Todd Gerhardt
610 West 96th Street- Settlement Agreement
August 28, 2017
Page 2 of 2
If the Owner has not completed the required work in accordance with the Building Permit called
for and received a final inspection and received a certificate of occupancy from the city's
Building Official by the Completion Date, the Owner must remove the accessory building,
tunnel and appurtenances by February 1, 2018. If the Owner has not removed the accessory
building tunnel and appurtenances by February 1, 2018, the city may without notice to Owner
enter the Subject Property and remove the accessory building, tunnel, and appurtenances. The
Owner,however, is not required to remove the concrete slab at the base of the accessory building
but the concrete slab may not be screened, covered or have a roof of any type. This Agreement is
a license for the city to act, and it shall not be necessary for the city to seek a Court order for
permission to enter the land.
RECOMMENDATION
Staff recommends approval of the settlement agreement.
ATTACHMENTS
Agreement
g:\plan\code enforcement\610 west 96th street-accessory structure\settlement agreement memo.doc
a
AGREEMENT
THIS AGREEMENT (the "Agreement') is entered into effective as of August 28, 2017
(the "Effective Date") by and between Robert Boecker and Christin E. Boecker, husband and
wife("Owner") and the City of Chanhassen, a Minnesota municipal corporation("City").
WHEREAS, Owner owns property located at 610 West 96th Street in Chanhassen,
Minnesota("Subject Property") legally described as:
The East 155 feet of the West 1085 feet, as measured along the North and South
lines thereof, of the Southwest Quarter of the Northwest Quarter of Section 25,
Township 116,Range 23, Carver County, Minnesota.
EXCEPT Parcel 22 of the Right of Way Plat No. 10-22, as Document No.
393637, and as shown on Minnesota Department of Transportation Right of Way
Plat No. 10-22.
NOW THEREFORE, for good and valuable consideration,the receipt and sufficiency of
which are acknowledged, the parties agree as follows:
1. Background. There is an existing single family home on the Subject Property
which is zoned Agricultural Estate District(A2). In 2014,the City discovered that the Owner was
illegally constructing an accessory building on the Subject Property and the City issued a stop
work order. On February 23,2015,the City Council denied the Owner's application for a variance.
On January 6, 2017, the City issued the Owner a building permit ("Building Permit") to connect
the accessory building to the single family home by a tunnel so that the accessory building would
be part of the home and no longer be an accessory building ("Required Work"). The Owner has
not completed the Required Work.
2. Completion Date. By January 1, 2018 ("Completion Date") the Owner must
complete the Required Work in accordance with the Building Permit, call for and receive a final
inspection and receive a certificate of occupancy from the City's Building Official.
3. Removal of Accessory Building and Appurtenances. If the Owner has not
completed the Required Work in accordance with the Building Permit called for and received a
final inspection and received a certificate of occupancy from the City's Building Official by the
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Completion Date, the Owner must remove the accessory building, tunnel and appurtenances by
February 1, 2018. If the Owner has not removed the accessory building tunnel and appurtenances
by February 1, 2018,the City may without notice to Owner enter the Subject Property and remove
the accessory building,tunnel, and appurtenances. The Owner,however,is not required to remove
the concrete slab at the base of the accessory building but the concrete slab may not be screened,
covered or have a roof of any type. This Agreement is a license for the City to act, and it shall not
be necessary for the City to seek a Court order for permission to enter the land.
4. Razing and Removal Costs. The costs for razing and removal of the Accessory
Building, tunnel, and appurtenances shall be borne by the Owner. If the City razes and removes
the accessory building,tunnel,and appurtenances on the Subject Property,the Owner will be billed
by the City for all costs associated with the razing and removal. The Owner shall furnish the City
with a letter of credit in the form attached hereto, from a bank acceptable to the City, or cash
escrow ("security") for $10,000.00 to guarantee payment. The City may draw down the security,
without notice, if the Owner fails to make timely payment to the City. If the letter of credit is
insufficient to reimburse the City for the City's costs,the City will bill the Owner for the deficiency
and the Owner shall pay the Bill upon receipt.
5. Notices. Notices given under this Agreement shall be delivered by (i) overnight
courier, (ii) certified mail, or(iii)hand delivery, and addressed as follows or to such other address
provided by written notice to the other party:
To Owner: Robert and Christin E. Boecker
610 West 96th Street
Chanhassen, Minnesota 55317
To City: City of Chanhassen
Attn: Todd Gerhardt, City Manager
7700 Market Boulevard
Chanhassen, Minnesota 55317
6. Governing Law. This Agreement shall be governed by and construed in
accordance with the laws of the State of Minnesota. In the event of litigation,the exclusive venue
shall be in the District Court of the State of Minnesota for Carver County.
7. Recording. This Agreement shall run with the land and may be recorded against
the title to the Subject Property.
2
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IN WITNESS WHEREOF, the parties have executed this Agreement effective as of the
Effective Date through their undersigned authorized representatives.
Robert Boecker
Christin E. Boecker
STATE OF MINNESOTA )
( ss.
COUNTY OF )
The foregoing instrument was acknowledged before me this day of August, 2017,
by Robert Boecker and Christin E. Boecker,husband and wife.
Notary Public
CITY OF CHANHASSEN
By:
Denny Laufenburger,Mayor
By:
Todd Gerhardt, City Manager
STATE OF MINNESOTA )
( ss.
COUNTY OF CARVER )
The foregoing instrument was acknowledged before me this day of August, 2017,
by Denny Laufenburger and Todd Gerhardt,respectively the Mayor and City Manager of the City
of Chanhassen, a Minnesota municipal corporation, on behalf of the corporation and pursuant to
the authority granted by its City Council.
Notary Public
DRAFTED BY:
CAMPBELL,KNUTSON
Professional Association
860 Blue Gentian Road, Suite 290
Eagan, MN 55121
Telephone: (651) 452-5000
[RNK]
3
193888v1
IRREVOCABLE LETTER OF CREDIT
No.
Date:
TO: City of Chanhassen
7700 Market Boulevard, Box 147
Chanhassen, Minnesota 55317
Dear Sir or Madam:
We hereby issue, for the account of (Name of Developer) and in your favor, our
Irrevocable Letter of Credit in the amount of$ , available to you by your draft drawn
on sight on the undersigned bank.
The draft must:
a) Bear the clause, "Drawn under Letter of Credit No. , dated
, 2 , of (Name of Bank) ";
b) Be signed by the Mayor or City Manager of the City of Chanhassen.
c) Be presented for payment at (Address of Bank) , on or before 4:00 p.m. on
November 30, 2
This Letter of Credit shall automatically renew for successive one-year terms unless, at least
forty-five(45)days prior to the next annual renewal date(which shall be November 30 of each year),
the Bank delivers written notice to the Chanhassen City Manager that it intends to modify the terms
of, or cancel, this Letter of Credit.Written notice is effective if sent by certified mail, postage prepaid,
and deposited in the U.S. Mail, at least forty-five (45) days prior to the next annual renewal date
addressed as follows: Chanhassen City Manager, Chanhassen City Hall, 7700 Market Boulevard,
P.O. Box 147, Chanhassen, MN 55317, and is actually received by the City Manager at least thirty
(30) days prior to the renewal date.
This Letter of Credit sets forth in full our understanding which shall not in any way be
modified, amended, amplified, or limited by reference to any document, instrument, or agreement,
whether or not referred to herein.
This Letter of Credit is not assignable. This is not a Notation Letter of Credit. More than one
draw may be made under this Letter of Credit.
This Letter of Credit shall be governed by the most recent revision of the Uniform Customs
and Practice for Documentary Credits, International Chamber of Commerce Publication No. 600.
We hereby agree that a draft drawn under and in compliance with this Letter of Credit shall
be duly honored upon presentation.
BY:
Its
1.
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