As part of the Grand Avenue Widening Project, it was necessary to condemn five separate parcels of land.  The owner of two of the parcels previously settled his claim with the City for the amount of the original appraisal once the work was completed. This agenda item would constitute Council approval to settle the owners' claims for two additional parcels; the former Dairy Queen location at 11th and Grand, owned by Reger Land and Investment Co., and a paved parking lot at 12th and Grand, owned by Grand Development LLC.  The City and the owners of these two properties have agreed to settle both claims for an amount which corresponds to the City's most recent appraisals of the properties plus interest to which the owners are statutorily entitled, and anticipated condemnation commissioners' fees which the City would also be required to pay pursuant to statute.  The City Attorney's office has discussed these settlement terms in executive session with the Council.

 The Council may approve the proposed settlements or the Council may disapprove the proposed settlements.

 The City will pay, in total, $350,000 for the property at 11th and Grand, and $93,000 for the property at 12th and Grand.  In June, 2007, the City deposited $350,000 with the District Court pursuant to the statement of claim filed by the owner of the property at 11th and Grand, and $93,504 pursuant to the statement of claim filed by the owner of the property at 12th and Grand.  The owners have withdrawn 75% of those sums, which they are entitled to do under the statute, and if this settlement is approved and finalized with the Court, the owners would receive the remaining 25% of the amounts of their statements of claim.  The City will not have to commit any new money to effectuate either of the settlements.

 Staff recommends that the Council approve settlement of these two cases at the stated amounts.