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4.9 SR 04-05-2021 Request for Action To Item Number Mayor and City Council 4.9 Agenda Section Meeting Date Prepared by Consent April 5, 2021 Zack Carlton, Planning Manager Item Description Reviewed by Jackson Street Water Tower: Agreement to Peter Beck, City Attorney Accept Ownership and Transfer Property to Reviewed by City Action Requested Approve, by motion, an agreement accepting ownership and long-term maintenance of the Jackson Street Water Tower and property. Adopt, by motion, the resolution approving transfer of the Jackson Street Water Tower from Elk River Municipal Utilities to the City of Elk River. Background/Discussion The repair and painting of the Jackson Street Water Tower has been a topic of discussion for many years, and thanks to the hard work of the Heritage Preservation Commission, the city has now positioned itself to complete the improvements. One of the final steps is formally transferring ownership and long-term maintenance responsibilities of the structure from Elk River Municipal Utilities to the city. The improvements are expected to begin in April and be completed mid-May. Financial Impact Elk River Municipal Utilities will transfer $90,000 to the city to assist with the funding for the current improvements as well as long-term maintenance obligations. Mission/Policy/Goal Preserve the history of Elk River. Attachments  Resolution  Agreement  Quit Claim Deed The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity. Updated: August 2020 City of Elk River City Council Resolution 21-____ A Resolution of of theCity of Elk RiverApproving Acquisition of The Jackson Street Water Tower WHEREAS,Elk River Municipal Utilities (“ERMU”) no longer needs to operate the Jackson Street Water Tower; and WH EREAS,the Jackson Street Water Tower, after being nominated by the City of Elk River (“City”), has been listed on the National Registry of Historic Places; and WHEREAS,the City received a grant from the Minnesota Historical Society to repair and paint the water tower to preserve and improve the historic structure for future residents of the City; and WHEREAS, ERMU has agreed to contribute $90,000 to the City for preservation and maintenance of the water tower, and WHEREAS,the City has agreed that long-term ownership of the water tower will be the City’s responsibility, requiring ownership by the City; and WHEREAS,pursuant to Minnesota Statutes 462.356, subdivision 2, the City Council finds that acquisition of the water tower has no relationship to the City’s Comprehensive Plan. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River, Minnesota, as follows: That the Agreement between ERMU and the City, attached as Exhibit A to this Resolution is approved That the City accepts ownership of and responsibility for the water tower as provided in the attached agreement That the City Council finds that acceptance of the water tower has no relationship to the comprehensive municipal plan. Passed and adopted this 5th day of April 2021 John J. Dietz, Mayor ATTEST: Tina Allard, City Clerk Exhibit A Agreement AGREEMENT THIS AGREEMENT(“Agreement”) entered into this day of April 2021, by and between Elk River Municipal Utilities (“ERMU”) and the City of Elk River (“City”). BACKGROUND ERMU previously operated the water tower (“Tower”) located on the property described in Exhibit A attached hereto (“Property”). ERMU no longer needs the Tower and intended to have it removed from the Property. City has secured funding to preserve the Tower and desires to take ownership of and responsibility for the Tower. AGREEMENT 1.ERMU agrees to execute the quitclaim deed attached as Exhibit B to this Agreement quitclaiming and transferring to City all of its interest in the Property and the Tower. 2.City agrees to accept, as of the date of this Agreement, ownership of and responsibility for the Property and the Tower. City represents and acknowledges that it is aware of the condition of the Tower, accepts ownership of the Tower in its existing “as is” condition, and agrees to indemnify and hold ERMU harmless from any and all claims related to the Property and the Tower, including any claims related to the condition of the Tower. 3.In consideration of City’s agreement to take ownership of and responsibility for the Tower, thus saving ERMU the costs of demolishing and removing the Tower, ERMU will contribute, upon execution of this Agreement, $90,000 to be applied towards the City’s preservation of the Tower. IN WITNESS WHEREOF,the parties have executed and delivered this Agreement as of the date first written above. ELK RIVER MUNICIPAL UTILITIES By: John J. Dietz, Chair By: Theresa Slominski, General Manager CITY OF ELK RIVER By: John J. Dietz, Mayor By: Tina Allard, City Clerk S-1 EXHIBIT A Legal Description of Property Beginning at a point Sixty six (66) feet South of the Northwest corner of Lot five (5), Auditor's Subdivision Number Four (4), Village of Elk River, and running thence due East at Right angles OneHundred (100) feet, thence due South and parallel with the West line of said Lot One Hundred (100) feet, thence due west and parallel with the North line a distance of One Hundred (100) feet to the West line thereof, thence North One Hundred (100) feet along the West line to the place of beginning, Sherburne County, Minnesota. A-1 EXHIBIT B Quitclaim Deed B-1 (Reserved for Recording Data) QUIT CLAIM DEED eCRV number: not required STATE DEED TAX DUE HEREON: $1.65 Dated: ___________________, 2021. F OR V ALUABLE C ONSIDERATION,ELK RIVER MUNICIPAL UTILITIES,a Minnesota municipal utility (“ERMU”), Grantor, hereby conveys and quitclaims to the CITY OF ELK RIVER,aMinnesota municipal corporation,Grantee, real property in Sherburne County, Minnesota, as legally described on the attached Exhibit A and made a part hereof by reference: together with all hereditaments and appurtenances belonging thereto. The consideration for this transfer was less than $3,000.00. Check box if applicable: The Grantor certifies that the Grantor does not know of any wells on the described real property. A well disclosure certificate accompanies this document. I am familiar with the property described in this instrument and I certify that the status and number of wells on the described real property has notchanged since the last previously filed well disclosure certificate. 1 214471v1 ELK RIVER MUNICIPAL UTILITIES By: John Dietz, Chair STATE OF MINNESOTA) )ss. COUNTY OF SHERBURNE) The foregoing instrument was acknowledged before me this __________ day of _____________________, 2021, by John Dietz,the Chairof Elk River Municipal Utilities, a Minnesota municipal utility,on behalf of said entity. __________________________________________ Notary Public Check here if part or all of the land is Registered (Torrens) Tax Statements for the real property described in this instrument should be sent to: City of Elk River 13065 Orono Parkway Elk River, MN 55330 DRAFTED BY: CAMPBELL KNUTSON, P.A. Grand Oak Office Center I 860 Blue Gentian Road, Suite 290 Eagan, Minnesota 55121 Telephone: 651-452-5000 AMP/smt 214471v1 2 EXHIBIT “A” Legal Description Beginning at a point Sixty six (66) feet South of the Northwest corner of Lot five (5), Auditor's Subdivision Number Four (4), Village of Elk River, and running thence due East at Right angles One Hundred (100) feet, thence due South and parallel with the West line of said Lot One Hundred (100) feet, thence due west and parallel with the North line a distance of One Hundred (100) feet to the West line thereof, thence North One Hundred (100) feet along the West line to the place of beginning, Sherburne County, Minnesota. 3 214471v1