Agenda - Council - 10/10/2017 - Laserfiche WebLink

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In the early to mid-2000's the City of Ramsey purchased several properties located along U.S. Highway 10 via the Metropolitan Council Right -Of -Way Acquisition Loan Fund (RALF). These properties were purchased based on the "old" US Highway 10 plan that called for the highway to be completely shifted north, adjacent to the BNSF tracks, throughout the entire city. The City adopted the MnDOT/ Metropolitan required "Official Map" in 2004 to reflect our intention to purchase properties for future Highway 10 improvements. Highway 10 Access Planning Study (new plan) In 2014, MnDOT and Anoka County, in cooperation with the Cities of Ramsey and Anoka, conducted the Hwy 10 Access Planning Study to re-examine and identify the ultimate amount of access, types of access, and locations of access to Hwy 10 between the Anoka/Sherburne County line and the Rum River. This study was completed so that high -benefit improvements that are fiscally responsible could be identified so that improvements can be funded, programmed and implemented incrementally to improve the corridor's mobility and safety, for motorists and pedestrians, in a timely manner. In summary, the new Highway 10 Access Planning Study (Highway 10 plan) does not require Highway 10 to be shifted north to the BNSF rail line throughout Ramsey, and results in a much lower demand for "full" property acquisition (in comparison to the former Highway 10 plan). Subsequently, the new Highway 10 plan reduces the demand on the RALF program. Please see attached maps for visuals/ details. Link: http://www.dot.state.mn.us/metro/pro/ects/hwylOstudy/ 6401 Highway 10 Property was formerly a Shell gas station, which included two sub -lease tenants (Cousins Subs and Taco Johns). All businesses closed in early 2015. Owner listed property with Calhoun Companies previously, and is now listing with Colliers. Due to various local forces (changed access to site, and a low absorption of retail space) the next user for this site will need to convert from a gas station to another use (i.e. office or a different form of retail). The property owner has indicated his priority is to have 6401 Highway 10 sold by the end of 2016, regardless of the buyer. The property owner is "willing seller" and is willing to sell this property below market value. This property is officially mapped, and is needed for full accusation in the old and new Highway 10 plans. Outside of helping accomplish the US Highway plans, by purchasing this property (and demolishing/ cleaning -up), the City would be able to clean up a blighted property, and improve the visibility of a struggling retail node. RALF Application, 6401 Highway 10 Attached is the City's draft RALF application for 6401 Highway 10. The City Council approved this application in September 2016. The Metropolitan Council & MnDOT staff team approved Ramsey's pre -application, and have encouraged Ramsey to submit a final application, when all due diligence is completed. A major component of the City Council's approval or the pre -application in September included the completion of due -diligence (environmental assessments, appraisal, pre -demo survey, title work, etc.). The attached work order generally outlines said work. At this point, most work has been completed (Phase I ESA, pre -demolition survey, title work, appraisal). Outstanding items include a Phase II ESA. Notification: NA Observations/Alternatives: Due Diligence Items Pre -Demolition Survey Generally, the purpose of the pre -demolition survey is to identify hazardous materials within a building, before they are disturbed during demolition. Based on the pre -demolition survey, and the age of the building (not old), no major issues are anticipated by staff during the demolition of this building. It should be noted,