Memo- Cty Rd 3, Segment 3 Discussion
. I Public Warks Department I
Memorandum
To: Honorable Mayor and Members of the City Council
.1
From: Steven J. Stadler, Public Works Director CS"j')
Date: February 4, 1999
Subject: County Road 3, Segment 3 Discussion
Backqround
Following discussion of this item at the January 12th worksession, City Council had
questions regarding the Bottle House Liquor store and East End Barber shop property
and requested additional information. Specifically, staff was to more-fully investigate
. the various issues regarding partial or total taking of this property and prepare options
regarding a future Milwaukee Street extension to Jackson Avenue.
Milwaukee Street Extension to Jackson Avenue
Preliminary layouts of two alternatives were not yet available at the time worksession
packets were being assembled. Staff will provide these layouts as a separate item in
the Friday Council packet or be delivered separately on Monday, February 8th. The
layouts will include one alternative which requires no residential property acquisition.
Unfortunately, this alternative does not meet truck movement needs through the
intersection. An alternative which had no impact on the abutting residential properties
and met all traffic (truck) needs could not be found. The second alternative meets truck
turning movement needs but requires acquisition of one residential property. Jim
Benshoof will be at the meeting to present the alternatives and answer questions.
Property Acquisition costs and damaqes
The appraisers hired by Hennepin County will perform a "before" and "after" appraisal
of the property to determine the property's current market value and the property
damages due to a partial taking. This information should be available in draft by mid-
March. This will determine the additional city cost under the County's cost allocation
. proposal if a total taking is requested by the city.
. After the two appraisals of this property are done, the County will review the results
with us and make the owners an offer. The offer will include damages if there is only a
partial taking. Again, the damages would be the difference between the before and
after appraisal amounts. The owner can then negotiate a settlement with the County.
If no settlement is reached, condemnation action is started to ensure the property is
acquired in time to allow construction.
City Council asked if the city would be vulnerable to a lawsuit due to lost business if the
city were to acquire the property and then lease it back to the current business owners.
The City Attorney says no because damages would have already been addressed in
the settlement or condemnation action and our lease agreement would be written to
preclude any action against the city for additional damages.
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