6.2. SR 03-08-1993
ITEM 6.2.
TO:
SUBJECT:
MAYOR AND CITY COUNCIL
PATRICK KLAERS, CITY ~TOR
MARCH 5, 1993 ~
CONSIDER LAND EXCHANGE FOR WATER
TOWER SITE
FROM:
DATE:
As the City Council is aware, a water tower site has
identified within the Rick Foster Hillside Estates area.
exact location is in unplatted property to the northeast of
land that currently has been platted.
been
The
the
.
Mr. Foster has suggested that instead of the City purchasing
this property and in lieu of the City obtaining the property
through the park dedication process, he would like the City
Council to consider a property exchange for this water tower
site and the City 5.5 acre parcel along Highway 169, north of
the MnDOT facility. This exchange seems to make sense from his
pOint-of-view as he is not ready to plat the property where the
water tower is located and, therefore, this land is currently
not available to be obtained through the park dedication
process. Additionally, Mr. Foster has platted the property
directly north of the City land along Highway 169 and the City
property could be combined with this property to make a
reasonable residential development pattern.
In order for this property exchange to take place, the Council
must evaluate a number of issues. First, the Council must
conclude that this City land has limited value in spite of
being located adjacent to Highway 169. This land is zoned R-lc
and does not seem to have commercial possibilities at this
time. Additionally, as noted in the 3/1/93 letter from Mr.
Foster, the property has a number of drawbacks for development.
The second thing the Council must consider if this land
exchange is to take place, is the fact that the City would be
buying land for the water utility. This would be considered
part of the City's contribution to the water department
infrastructure. We have indicated to the Water Utilities that
we felt confident that we would be able to work with Mr. Foster
in obtaining the appropriate site for the water tower, as we
felt that this property would be obtained through the park
dedication process. ~owever, the timing of platting versus the
need for the water tower can become a "chicken and the egg"
situation with a lot of discussion on what comes first.
.
Attached for your information is the 3/1/93 letter from Mr.
Foster regarding this proposal and a generalized map showing
the location of tqe City site and the water tower site. Also
attached, is some information from Terry Maurer regarding items
1, 2, and 3 at the end of page 2 of the Mr. Foster letter. If
720 Dodge Avenue N.W., Elk River, Minnesota 55330 (612) 441-7420
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the City Council is concerned about the impression what this
type of transaction would have with the general public, then
the City can certainly pay cash for the water tower site (or
have the Utilities pay cash for the water tower site) and then
sell the City property to Mr. Foster as he is the most logical
buyer at this time.
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March 1st, 1993
Mr. Pat Klaers, Administrator
City of Elk River
720 Dodge Ave.
Elk River, Mn. 55330
RE: CITY PROPERTY - WATER TOWER SITE
Dear Pat,
I would like to acquire fee title to the City of Elk
River property in section 27 lying north of the MnDot facility
adjacent to Highway #169.
The City of Elk River would like to acquire fee title to a new
water tower site in section 26 and access to it. I am suggesting
we trade the two parcels, "even trade".
Even though the properties are of unequal size, (City 5.6
acres, Foster 3.6 acres including access easement) I feel the
exchange is more than fair and in the City's favor for the
following reasons:
1. The City property has a 1 acre +/- holding pond in the
S.E. corner which will not be developable as lots.
2. There is a 75 foot natural gas line easement running
diagonally through the property.
3. The land lying westerly of the gas line appears to have at
one time been used as a "borrow pit" as the elevation
drops 10-15 feet from the gas line. Because the gas line
cannot economically be relocated or lowered this creates
a barrier to servicing this area with sewer and water.
.
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4. The property to the south is a MnDot Highway Maintenance
Facility and is noisy and unsightly.
5. U.S. Highway #169 lies to the west.
I also feel that a water tower on my property will have a
negative impact for the following reasons:
1. It will require that I change my original development
slightly and cause me to develop in a northeasterly
direction rather than easterly as I had originally planned
(see attached exhibit).
2. It will probably be necessary to re-design the area near
the proposed water tower and I mayor may not lose one or
two lots from my original layout.
3. The value of the lots adjacent to the tower could be
reduced by as much a $4,000.00 per lot.
other considerations I would need are as follows:
1. The City pay for any surveying (other than design and
layout) and legal work required.
2. Access road to be cleared and graded at the city's
expense.
3. No assessment on these improvements (tower and watermain)
until the property is platted.
4. Neutral colors for the tower and landscaping. No outside
storage.
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5. No trunk assessment on tower land.
6. City of Elk River authorizing a subdivision of the
property without platting.
The location of the water tower site was made by Terry Mauer,
the City's Engineer, and I agree that it is the best and most
economical site for the tower to be built.
If you would like to discuss this matter further please contact me
at #241-0714.
Thank-you,
,S.~ae;~(S~
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'l.C~t.. , c::; . '
Richard C. Foster
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31
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MAR-_~-93 F~I 13:56 MAIER STEWART & ASSOC.
P.01
CONSULTING ENGINEERS
Maier Stewart & Associates Inc.
March S, 1993
File: 23S..()()4-20
Mr. Pat Klaers, Administrator
City of Elk River
720 Dodge A venue NW
Elk River, M1'i 55330
RE: WATER TOWER SITE ACQUISITION
Dear Mr. Klaers:
As you requested, we have reviewed the letter from Mr. Rick Foster regarding the acquisition
of the water tower site. Specifically, we have reviewed the first three items listed under Other
Considerations on page 2. Based on our review, we would offer the following comments:
1. The City pay for any surveying (other than design and layout) and legal work
required.
If the developer provides a calculation sheet showing the access easement and the water
tower site, as he has indicated he will, this should be sufficient. Prior to establishing the
location of the new water tower or the watermain leading to it, our survey crews would
always establish or reestablish the easement limits. Therefore, we have no problem with
Mr. Foster's proposal on this item.
2. Access road to be cleared and graded at the City's expense.
The clearing, grubbing, and grading of the easement (future road right-of-way) is
necessary to install the watermain at the proper elevation. However, it certainly benefits
future phases of Hillside Estates. Therefore, we believe the developer should, at a
minimum, participate in this cost.
3.
No assessment on these improvements (tower and watennain) until the property is
platted.
We do not concur that the tower and watermain should not be assessed until the property
is platted. However, there is the issue of sanitary sewer. With the new water tower and
watermains, the property still cannot be developed until trunk sanitary sewer is made
available from the southwest. It may be reasonable to not assess this property for either
1959 SLOAN PLAce. SUITE 200. ST. PAUL, MINNESOTA 55117 812.774-6021
9800 SHELARO PARKWAY, SUITE 102, MINNEAPOLIS. MINNESOfA 55441 612.546-0432 · Eql,.l~l OppOrtl,.lnity Employer
MAR- 5-93 FRX 13:57 MAXER STEWART & ASSOC.
P.I2l::2
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Mr. Pat Klaers, Administrator
March 5, 1993
Page Two
sanitary sewer or water until both are available. It is not reasonable that no assessments
are levied until the property is platted, since this could be years after utilities become
available.
If you have any questions or need additional information, please call.
Sincerely,
MAJER STEWART & ASSOCIATES, INC.
~P7l/aMt()
Terry J. Maurer, P.E.
TJM:tp
. 004-0508.~
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