Adopt Resolution #22-017 Approving Riverstone Outlot Ownership

Riverstone is a development that has received Final Plat approval for all phases of the project, with the first phase being platted in 2017 and the last phase platted in 2020.  Within the development, outlots were platted for the purpose of parks, stormwater ponds and utility extensions.  In the case of stormwater pond outlots, historically it has been Ramsey's practice to have such outlots privately owned with a drainage and utility easement granted to the City for the purpose of conforming to stormwater management requirements.

As part of the overall development review, staff had the opportunity to review documents associated with implementation of a Homeowners Association (HOA).  Typically, the HOA would become the private entity with ownership of such outlots.  However, in the review of the HOA documents, not all outlots were included to be owned by the HOA.  Based on staff's review without requiring the inclusion of the outlots as HOA owned, it was the developers assumption that the City would assume ownership.  Discussions between the developer and staff occurred on this matter, however, Deeds where never brought forward for acceptance.  Though this is not uncommon for other cities to follow this practice, there is not a common theme across cities for a best practice when it comes to ownership of outlots.

As the development continued to be platted, Riverstone Development LLC (Developer), became the private owner of multiple outlots.  The Developer does not have a future benefit in holding ownership as the outlots hold a public use to them.  The Developer has requested the City assume ownership of various outlots in the development.

Two outlots within the development are owned by the Riverstone Homeowners Association.  These two outlots serve the purpose of a private park and buffer area against the railroad and Highway 10.  They are Riverstone, Outlots A and B and would remain privately owned by the homeowners association.

Staff has discussed the request internally and recognize zero benefit to the Developer to maintain ownership of the remaining outlots.  Furthermore, given the general public purpose of these outlots it would not be unreasonable for the City to retain ownership.  Retaining ownership in this situation would be due to the historical practice of the City not being implemented in this situation.

Staff recommends approval of the resolution to assume ownership of the outlots identified as follows:

• Riverstone, Outlot D
• Riverstone 4th, Outlots E, G, H
• Riverstone 5th, Outlots A, B

Furthermore, staff recommends ownership of the outlots with the following condition:

• The Developer pay in full any outstanding taxes owed through year end 2022

Adopt Resolution #22-017 Approving Riverstone Outlot Ownership.