Adopt Resolution #15-08-212 Approving Memorandum of Agreement for Ramsey Town Center Public Works Improvements

Purpose:
The purpose of this case is to adopt Resolution #15-08-212 approving a Memorandum of Agreement between Anoka County and the City of Ramsey for Ramsey Town Center Public Works Improvements completed as part of the Riverdale Drive extension to Traprock Street, Improvement Project #12-22.

Background:
City Improvement Project #12-22 includes the extension of Riverdale Drive between Alpaca and Traprock Streets.  The extension of Riverdale Drive includes concrete curb and gutter, bituminous pavement, storm sewer, bituminous pathway, and public utility improvements, which benefit adjacent undeveloped properties by providing access to streets, utilities, and pedestrian pathways.  In recognition of this, a Memorandum of Understanding (MOU) was developed by and between the City of Ramsey and the two property owners of the adjacent undeveloped parcels south of the Riverdale Drive extension including Outlot A Tooth Acres, owned by PSG, LLC, and Lot 1, Block 1 The Diamonds, owned by 2-OI, LLC.  The intent of the MOU, adopted by the City on May 13^th, 2013, is to define tentatively agreed upon terms and conditions of the parties to allow definitive legally binding documents to be executed by the parties at a later date, and to provide for the required roadway right of way, trail, drainage and utility easements needed to extend Riverdale Drive through the privately owned parcels.  A copy of the executed MOU is attached.
 
During the extension of Riverdale Drive, City staff coordinated construction of all items addressed within the MOU with the LLC’s to ensure the terms of the MOU were being met.  Included in section 6 of the MOU are conditions related to a parcel owned by Anoka County known as Outlot B Tooth Acres.  Section 6.a of the MOU states “The City shall use its best efforts to obtain title to Outlot B Tooth Acres from the County and if successful convey that portion of said Outlot B Tooth Acres designated as “E” to one of the LLC’s as they shall select (except that portion retained by the City for the Riverdale Extension)”.  The intent of this condition is to allow area “E” as shown in Exhibit 1 of the MOU, which is currently a regional stormwater pond, to be transferred to one of the LLC’s so it can be filled in and utilized for parking/drive aisles to enhance development of the adjacent parcels, thereby benefiting the LLC’s.  The City will also benefit through the cross-access potential between the two parcels allowing drivers to navigate between parcels without using Riverdale Drive, thereby reducing congestion and improving safety on Riverdale Drive.  This will also benefit the City by requiring the City to maintain one less regional stormwater pond in perpetuity, saving maintenance costs over time.  And both the City and the County will benefit from the additional taxes that will be generated by returning this 1.5 acre parcel to the tax rolls.

Attached to this case is a Memorandum of Agreement between Anoka County and the City of Ramsey that describes the responsibilities of each party required to convey the northerly 1.5 acres of Outlot B Tooth Acres parcel, designated as "A" in Exhibit 1 of the MOA, from Anoka County to the City of Ramsey.  Such responsibilities address costs for constructing and maintaining the various storm sewer improvements to allow the property to be conveyed and filled in, as well as required easements for storm sewer pipes, ponds, and trails.  The attached MOA was approved by the Anoka County Board of Commissioners during their July 16^th Board meeting by roll call vote.  The City Attorney also reviewed and approved the MOA as attached.
 
Upon City Council approval, Anoka County will execute the MOA, after which the City and County will begin preparing the required legal documents required to convey the property by title to the City of Ramsey, and to secure the necessary trail and drainage and utility easements as outlined in the MOA. Once the City obtains title to the property, it may then be conveyed to the LLC’s in support of section 6a of the MOU.  City Council approval will be required for each of these items moving forward.

Alternative #1 - Motion to adopt Resolution #15-08-212 approving a Memorandum of Agreement between Anoka County and the City of Ramsey for Ramsey Town Center Public Works Improvements completed as part of the Riverdale Drive extension to Traprock Street, Improvement Project #12-22.

Alternative #2 - Motion denying adoption of Resolution #15-08-212 at this time.

As part of the extension of Riverdale Drive, the City of Ramsey funded the storm sewer improvements described within the MOA that will allow the 1.5 acre parcel on the north end of Outlot B Tooth Acres to be conveyed from Anoka County to the City of Ramsey.  The City will be reimbursed for these costs in full by 2-OI, LLC at the time that title is conveyed for the 1.5 acre parcel from the City to 2-OI, LLC as per a separate development agreement that is being considered for approval by Council this evening.

The MOA also requires the City to cooperate with the County as related to applying for and approving the required registered land survey to convey the 1.5 acre parcel.  These fees are proposed to be waived, but the City will be required to pay the recording fees which are estimated to cost less than $200.

Staff recommends adopting alternative #1.  This alternative supports the terms and conditions of the previously adopted MOU.
 
Staff does not support alternative #2.  This alternative opposes the terms and conditions of the previously adopted MOU.

Motion approving or denying adoption of Resolution #15-08-212.