Minutes - Council Work Session - 02/10/2009

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City Attorney Goodrich stated that the City will acquire, with the transaction, right of access to Highway #47 from the Old Standard station to the Holiday and also a trail easement along the frontage. He stated that he is not sure how $50,000 was arrived at because it was negotiated by the previous City Administrator. He stated that to legally get out of it, the City would have to serve a cancellation of purchase agreement, which would probably end up going to court and the City would have to prove abandonment by the Buyer. Councilmember Elvig stated that he thinks there was an obligation to have a road through the middle of this thing, which was going to be expensive. He stated that he remembers this was a pretty hard discussion and negotiation. Community Development Director Miller stated that on this property, there is a letter from the DNR that prohibits any disturbance of the bluff. She noted that the site plan shows some severe grading in that area, so there needs to be clarification from the DNR on whether this would be allowed and also whether the planned density is allowed in the Scenic River District. Councilmember Jeffrey stated that he thinks staff should go back and look at the minutes because he remembers there was a lot of discussion surrounding this deal. City Attorney Goodrich stated that the City came by through the River's Bend development. He stated that they donated about 35 or 40 acres back in the 1970's, but it wasn't dedicated as parkland, so the City is able to sell this portion. Councilmember Elvig asked why there is even discussion about not selling it to him. Councilmember McGlone stated that from what he is hearing from Community Development Director Miller there are some things that may prevent this from even moving forward. Associate Planner Gladhill stated that the Mr. Foster seems very eager to move forward and the site plan issues could be addressed in the usual manner and also be forwarded to the DNR. Public Works Director Olson stated that for us to sell the property, the City needs to go through the platting process to separate the land out. Councilmember Dehen stated that the abandonment possibility seems tenuous. City Attorney Goodrich stated that the City would have the burden of proof. Councilmember Look stated that he doesn't know if this was a great deal, but if the City made it, he thinks the City should stick to it. City Administrator Ulrich stated that this will need to go through the Planning Commission and it will need to be platted and surveyed. City Attorney Goodrich stated that the City could suggest splitting the cost of platting and surveying with the buyer. City Council Work Session / February 10,2009 Page 5 of6