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HomeMy WebLinkAbout20120206 - VI-14 AGREEMENT REGARDING PARCEL BOUNDARY LINE ADJUSTMENT, SEWER AND WATER SERVICE LINES, AND WAIVER OF PROCEDURAL IRREGULARITY AND ASSESSMENT APPEAL THIS AGREEMENT, is made this day of , 2012, between the City of Hastings, a Minnesota Municipal Corporation (hereinafter referred to as "City") having a principle address of 101 East 4th Street, Hastings, Minnesota, 55033, and Ryan Contracting Company, a Minnesota Corporation (hereinafter referred to as “Owner”) having a principle address of 26350 France Avenue, PO Box 246, Elko, Minnesota 55020. WHEREAS, Owner is the owner of two residential parcels of real estate located at generally at 2703-2705 Rushmore Road, Hastings, Minnesota 55033 and legally described as follows: Lot 3 and Lot 4, Block 2, Glendale Heights 3rd Addition, Dakota County, Minnesota. (“Owner’s Property”); WHEREAS, Owner has applied for an administrative boundary line adjustment pursuant to Hastings City Code Section 154.10(E) to allow the residential parcel legally described as Lot 3, Block 2, Glendale Heights 3rd Addition (“Lot 3”) to be combined with the residential parcel legally described as Lot 4, Block 2, Glendale Heights 3rd Addition (“Lot 4”) for the purpose of constructing one residential structure upon the two platted lots as depicted more fully on the attached Exhibit A; WHEREAS, Hastings City Code allows the City to impose reasonable conditions upon approval of an administrative boundary line adjustment application; WHEREAS, the existing water and sewer utility service lines were designed and installed to service two residential structures on the two lots identified above as Owner’s Property; WHEREAS, to accommodate Owner’s plans for development of Owner’s Property and the construction of one, rather than two, residential structures thereon, Owner will be required to install water tight caps on the end of the unused sanitary sewer service in the boulevard and Owner will connect and combine the unused water service line with the primary water service line behind the curb valve servicing one of the parcels; WHEREAS, municipal regulations provide that: (1) all owners, platters and developers are responsible for complying with City utility requirements; (2) property owners served by water and sewer utilities are responsible for installation and maintenance of all lateral sewer and water facilities from the water and sewer mains which are owned by the City; and (3) all costs related to connection of sanitary sewer service and water service to the property must be paid by the property owners; WHEREAS, the process of capping the end of the unused sanitary sewer service line and connecting and combining the unused water service line to the primary water service line behind the curb valve may, potentially, lead to conditions requiring corrective action in the future which may include, but are not limited to, leaking pipes, surface settlement resulting from broken pipes, or interference with other construction projects; WHEREAS, the City has approved Owner’s application for administrative boundary line adjustment subject to certain conditions, including the following: (1) That the parcels to be combined must be subject to a covenant recorded upon the resulting parcels prohibiting further division or sale of the property as separate parcels; and (2) Owner’s agreement, on behalf of itself, its successors and assigns, to repair, at its cost, any damage to the sanitary sewer and water service lines and any damage caused by the unused sanitary sewer and water service lines and to indemnify and hold harmless the City for any resulting damage or claims, and upon Owner’s failure to perform in a timely manner, Owner’s agreement that the City may complete the necessary work and assess the cost of any such work against the parcels, as provided in this agreement; and WHEREAS, Owner understands that the conditions and potential problems which may result from the unused sanitary sewer and water service lines remaining connected and in place are not certain, and cannot be fully identified or described with certainty, but Owner, on behalf of itself and its successors and assigns, desires to assume all future responsibility and costs of repairing or otherwise correcting such conditions and resulting damage. NOW THEREFORE IN CONSIDERATION of the City's willingness to approve the Owner’s application for administrative boundary line adjustment, the parties make the following agreement: 1. Owner shall cause Lot 3 and Lot 4 to be combined into a single tax parcel by causing the execution, filing and recording of documents or deeds in the Office of the County Recorder (or Registrar of Deeds if applicable) in and for Dakota County, Minnesota, as necessary and as approved by Dakota County, to cause combination and reconfiguration of Owner’s Property into a single tax parcel. Owner shall pay all costs and fees associated with such lot combination. 2. Owner shall immediately provide City with copies of the recorded deeds or other documents combining Lot 3 and Lot 4 and the new parcel identification number (PIN) assigned by Dakota County to the new tax parcel. 3. Owner shall cause a water tight cap/plug to be installed on the end of the unused sanitary sewer service in the boulevard previously installed to service Lot 3; and shall connect the unused water service line installed to service Lot 3 to the primary water service line which will service the residential structure, behind the curb valve; all as depicted on the attached Exhibit A. All such installation shall be completed in a good and workman like manner approved by the City. Both curb stop valves shall remain in place on the water service lines. The connections between water services shall be on the house side of the curb stops using a City approved and plumbing code compliant 1”x1”x1” fitting. Owner may use Pex or a plumbing code equivalent from the fitting to the residential structure. Prior to backfilling the trench where such work is completed, Owner and its contractor shall provide City an opportunity to inspect and approve the installation. 4. Upon written demand by City identifying repairs to the unused sanitary sewer or the interconnected water service lines deemed necessary, in the sole discretion of the Public Works Director for the City of Hastings, Owner, or its successors and assigns as to Owner’s Property shall at its costs repair the unused sanitary sewer service lines or the water service lines, as the case may be, and after undertaking such work, shall reasonably restore any disturbed areas to their original conditions. If Owner, its successors or assigns as to Owner’s Property fail to perform as required herein, City may undertake all work necessary to repair the unused sanitary sewer service lines or the unused water service lines, as the case may be, and Owner, its successors or assigns as to Owner’s Property shall immediately reimburse the City for all costs incurred. 5. If Owner, its successors or assigns as to Owner’s Property fails to timely reimburse City for all such costs, Owner, for itself, its successors and assigns as to Owner’s Property agrees to have Owner’s Property assessed for the full amount expended by City to repair the unused sanitary sewer lines or the water service lines, as the case may be, and to restore the area to its original condition. The exact amount of this assessment is unknown at this time but will be determined by the City in its reasonable discretion. 6. If the full amount expended by City to repair the sanitary sewer line or water service line and to restore the area to its original condition is $10,000.00 or less, any assessments shall be paid over a period of five years but if the amount to be assessed is over $10,000.00, the assessment shall be paid over a ten year period. In addition, interest shall accrue on the unpaid assessment at a rate equal to the interest rate applied by the City of Hastings for other assessments in the year the work is performed. If no such assessments are certified for other properties in the City of Hastings during that year, the interest rate shall be equal to the interest rate imposed on the most recent assessment certified by the City of Hastings. Owner, for itself, its successors and assigns as to Owner’s Property agrees that City can assess an additional $5.00 per year ($25.00 for a five year assessment period or $50.00 for a ten year assessment) which represents the annual assessment fee imposed by Dakota County for this assessment. 7. Owner, for itself, its successors and assigns as to Owner’s Property agrees that City can certify this assessment to Dakota County for collection with the real estate taxes without the necessity of the City complying with any of the procedural or notice requirements outlined in Minnesota Statutes Chapter 429, or amendments thereto. 8. In further consideration of City’s agreement to approve the Owner’s application for administrative boundary line adjustment, Owner, for itself, its successors and assigns as to Owner’s Property, grants to City, a perpetual easement over and across any portion of Owner’s Property wherein the unused water and sanitary service lines may be located, and ten (10) feet on either side thereof, for the sole purpose of accessing the unused water and service lines in the event removal, repair or replacement of such lines becomes necessary pursuant to the terms of this agreement. 9. In further consideration of City’s agreement to approve the Owner’s application for administrative boundary line adjustment, Owner, for itself, its successors and assigns as to Owner’s Property also agrees to waive any right to appeal the amount assessed against Owner’s Property for these repair costs, whether the basis for the appeal is that the assessment exceeds the benefits to Owner’s Property or on any other basis whatsoever. 10. Where reference is made herein to Owner, reference shall be to Owner, its successors and assigns as to Owner’s Property, and the rights and obligations hereunder shall run with the land and shall burden Owner’s Property, and all subsequent owners thereof. 11. Owner shall indemnify and hold harmless City for any damages or claims resulting from the unused sanitary sewer lines and the combined water service lines remaining connected and in place pursuant to this agreement. 12. Owner further agrees, on behalf of its successors and assigns, that Owner’s Property shall not be further subdivided, and shall forever remain one single lot and tax parcel, unless such subdivision is approved by the written consent and approval of the City. This covenant shall run with the land in perpetuity and shall burden Owner’s Property and all subsequent owners thereof, and shall benefit the City. The City may enforce the provisions of this covenant in any manner allowed by law or equity, including by containing injunctive relief. The City and Owner enter and sign this agreement with full understanding of their legal rights and acknowledge they have had sufficient opportunity to discuss this matter with an attorney of their choosing. Dated: , 2012. CITY OF HASTINGS, A Minnesota Municipal Corporation By: ____________________________________ Paul J. Hicks, Its Mayor (SEAL) By: ____________________________________ Melanie Mesko Lee, Assistant City Administrator/City Clerk ACKNOWLEDGMENT STATE OF MINNESOTA ) ) ss. COUNTY OF DAKOTA ) The foregoing instrument was acknowledged before me this day of _________, 2012, by Paul J. Hicks and Melanie Mesko Lee, the Mayor and Assistant City Administrator/City Clerk of the City of Hastings, a Minnesota Municipal Corporation. ____________________________ ___________ Notary Public Dated: , 2012. OWNER: Ryan Contracting Company By: ____________________________________ Its: _____________________________________ ACKNOWLEDGMENT STATE OF MINNESOTA ) ) ss. COUNTY OF DAKOTA ) The foregoing instrument was acknowledged before me this day of _________, 2012, by ____________________________ as __________________________ of Ryan Contracting Company on behalf of the Corporation. Notary Public THIS INSTRUMENT DRAFTED BY: FLUEGEL LAW FIRM P.A. 999 Westview Drive, Suite #1 Hastings, MN 55033 651-438-9777 (DAN/has) RETURN TO: FLUEGEL LAW FIRM P.A. 999 Westview Drive, Suite #1 Hastings, MN 55033 651-438-9777 (DAN/has)