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Home My WebLink About4.C.2. Approve an Agreement woth SPUC for a Drainage and Utility Agreement for Regional Ponding Consent Business 4. C. 2. Sf-IAKOPEE TO: Mayor and City Council FROM: Bruce Loney, Public Works Director DATE: 10/20/2015 SUBJECT: Approve an Agreement with SPUC for a Drainage and Utiltiy Agreement for Regional Ponding (D,E) Action Sought Authorize the appropriate city officials to execute the Drainage and Utility Easement Agreement with Shakopee Public Utilities for Regional Ponding. Background As part of the Gateway South Plat, staff has worked with the developer and Shakopee Public Utilities (SPU) staff on a regional pond. The City has off site drainage coming into the Gateway South development that needs to meet ponding requirements. SPU has a future ponding needs when they expand their facilities on their site. Also Gateway South has to meet development ponding standards. Through several discussions, it has been determined that the best pond design is for a regional pond meeting all parties ponding needs both current and future. The basic conditions of the agreement are for SPU to grant an easement to the City and the City pay for the construction of the pond including restoration. The City would need to pay for land to Gateway South if not able to use the SPU site. The cost of construction of the pond is slightly less than purchasing land from the developer and provides SPU with ponding for the future expansion. Staff has presented this concept at a September 21, 2015 SPUC meeting and the commissioners were in agreement to move forward. Attached is the drainage and utility agreement for Council consideration. This agreement will be presented to the SPUC at their Oct. 19, 2015 meeting. Also attached is an overall drawing showing the regional pond and future expansion areas for SPUC site. Recommendation Staff recommends approval of the agreement as it is a win-win-win proposal for the utility, city and developer. Budget Impact Regional ponding costs affect the Storm Drainage Enterprise fund. Relationship to Vision This supports Goals D & E: Maintain, improve and create strong partnerships with other public and private sector entities; and Deliver effective and efficient public services by a staff of well-trained, caring and professional employees. Requested Action Authorize the appropriate city officials to execute the Drainage and Utility Easement Agreement with Shakopee Public Utilities for Regional Ponding. Attachments: Drainage & Utility Easement Regional pond DRAINAGE AND UTILITY EASEMENT AGREEMENT THIS DRAINAGE AND UTILITY EASEMENT AGREEMENT (this "Agreement") is made by and between SHAKOPEE PUBLIC UTILITIES COMMISSION, a municipal utility commission organized under the laws of the State of Minnesota ("SPU"), and the CITY OF SHAKOPEE, a Minnesota municipal corporation ("City"). Recitals A. SPU is the fee owner of property in Scott County, Minnesota legally described on Exhibit 1 to this Agreement(the"Property"). B. SPU desires to grant to the City an easement, according to the terms and conditions contained in this Agreement. C. An adjoining property owner, Duke Realty Limited Partnership, an Indiana limited partnership ("Duke"), will grant to the City, via plat, an easement for drainage and utility purposes for the portion of the ground surface drainage ways, drainage facilities, stormwater holding pond, storm sewer or other public facilities or improvements located on Duke's property directly adjacent to the Easement Area. Terms of Easement 1. Grant of Easement. For good and valuable consideration, receipt of which is acknowledged by SPU, SPU grants and conveys to the City a perpetual non-exclusive easement for drainage and utility purposes (the "Easement") over, under, across and through the portion of the Property legally described on Exhibit 2 to this Agreement ("Easement Area") and depicted on Exhibit 3 to this Agreement. 2. Scope of Easement. The Easement includes the right of the City, its contractors, agents, officials and employees to enter the Easement Area at all reasonable times for the purpose of locating, constructing, reconstructing, operating, maintaining, inspecting, altering and repairing within the Easement Area, ground surface drainage ways, drainage facilities, stormwater holding pond, storm sewer or other public facilities or improvements of any type that are not inconsistent 1 with drainage and utility use (the "Drainage and Utility Improvements") and in compliance with all laws. The Easement also includes the right to cut, trim, or remove from the Easement Area any improvements,trees, shrubs, or other vegetation as in the City's judgment interferes with the Easement Area or the Drainage and Utility Improvements located in the Easement Area. 3. Responsibility for Maintenance. The City shall be responsible for maintaining and repairing the Drainage and Utility Improvements. Upon completion of any work by the City, the City, its successors, assigns, employees, contractors, subcontractors or agents shall restore the Easement Area to substantially the same condition in which it was found prior to the commencement of such work, and in such manner that drainage, erosion control and aesthetics are perpetuated. 4. Liens. The City shall keep the Property free and clear of any and all mechanics',material suppliers', and other liens for or arising out of or in connection with any work or labor done, services performed, or materials or equipment used or furnished for or in connection with, any work. 5. Warranty of Title. SPU warrants that it is the owner of the Property and has the right, title and capacity to convey the Easement to the City. 6. Indemnity. The City shall defend, indemnify and save harmless SPU, its officers, agents and employees, against all suits, demands, causes of action, liabilities, or claims thereof for injury or damages of whatever nature, including death, or damage to property arising out of or related to any activity of the City or its agents, employees, licensees or contractors within the Easement Area. 7. SPU's Use of Stormwater Holding Pond. In consideration of SPU granting the Easement to the City, the City agrees that SPU may utilize the Drainage and Utility Improvements that will be constructed in the Easement Area and on the adjacent property for managing its current stormwater needs and any future stormwater needs required by any expansion of SPU's building located on the Property. 8. Vegetation Planting and Maintenance. The City agrees to plant trees, vegetation, and native prairie grass around the perimeter of the Easement Area similar to the natural vegetation that currently exists and which screens SPU's storage area from the adjacent property to the east and south. SPU agrees to maintain the trees, vegetation, and native prairie grass 9. Binding Effect. The terms and conditions of this Agreement nm with the land and are binding on SPU and the City and their successors and assigns. 10. Termination or Amendment of Easements. The Easement declared, granted, established and conveyed herein is permanent in nature and may be terminated or amended only by an agreement in writing signed by the parties or their successors and assigns. In the event of any such termination or amendment, the parties agree to execute a recordable document to memorialize of record any such termination or amendment. 2 11. Further Actions. The Parties shall execute and deliver all further documents and take all further actions reasonably necessary or appropriate to effectuate the purposes of this Agreement. 12. Governing Law. This Agreement has been made under the laws of the State of Minnesota and such laws shall control its interpretation. 13. Counterparts. This Agreement and any amendments to this Agreement may be executed in counterparts, each of which shall be fully effective and all of which together shall constitute one and the same instrument. 14. Severability. In case any one or more of the provisions contained in this Agreement shall for any reason be held to be invalid, illegal or unenforceable in any respect, such invalidity, illegality, or unenforceability shall not affect any other provision hereof, and this Agreement shall be construed as if such invalid, illegal, or unenforceable provision had never been contained herein. [The remainder of this page is intentionally left blank] 3 STATE DEED TAX DUE: NONE Dated this day of , 2015. SHAKOPEE PUBLIC UTILITIES COMMISSION By Its Chairperson By Its Secretary STATE OF MINNESOTA ) ) SS. COUNTY OF SCOTT ) The foregoing Agreement was acknowledged before me this day of , 2015 by , and , the Chairperson and Secretary of Shakopee Public Utilities Commission, a municipal utilities commission organized under the laws of the State of Minnesota, on behalf of the Commission. Notary Public NOTARY STAMP OR SEAL 4 CITY OF SHAKOPEE BY: Brad Tabke Mayor BY: William Reynolds City Administrator STATE OF MINNESOTA ) ) SS. COUNTY OF SCOTT ) The foregoing was acknowledged before me this day of , 2015, by Brad Tabke and William Reynolds, the Mayor and City Administrator, respectively, of the City of Shakopee, a municipal corporation on behalf of the City. Notary Public NOTARY STAMP OR SEAL THIS AGREEMENT DRAFTED BY: Kennedy& Graven, Chartered(JJT) Suite 470 U.S. Bank Plaza 200 South Sixth Street Minneapolis, MN 55402 5 EXHIBIT 1 (Legal Description of SPU's Property) The West 1234.91 feet, as measured at right angles to the West line thereof, of that part of the Northwest Quarter of SECTION 5, TOWNSHIP 115, RANGE 22, Scott County, Minnesota, lying south of the southerly right of way line of the Chicago, St. Paul, Minneapolis and Omaha Railway Company, as the same is now located and established over and across said Section 5, EXCEPTING therefrom the South 639.08 feet, as measured at right angles to the south line thereof, of said Northwest Quarter of said Section 5. Certificate of Title No. Exhibit 1-1 EXHIBIT 2 (Legal Description of Easement Area) That part of the West 1,234.91 feet as measured at right angles to the West line thereof, of that part of the Northwest Quarter of Section 5, Township 115, Range 22, Scott County, Minnesota, lying South of the Southerly right of way line of the Chicago, St. Paul, Minneapolis and Omaha Railway Company, as the same is now located and established over and across said Section 5. EXCEPTING therefrom the South 639.08 feet, as measured at right angles to the South line thereof on said Northwest Quarter of Section 5., lying easterly, southerly and easterly of the following described line: Commencing at the west quarter corner of said Section 5; thence North 01 degrees 06 minutes 12 seconds East, along the west line of said Section 5, a distance of 639.30 feet to the intersection of said west line and the north line of said South 639.08 feet of the Northwest Quarter; thence North 89 degrees 36 minutes 52 seconds East, along said north line, a distance of 40.01 feet to the east right of way line of Sarazin Street, also being the point of beginning of the line to be described; thence North 01 degrees 06 minutes 12 seconds East, along said east line, a distance of 10.00 feet; thence North 89 degrees 36 minutes 52 seconds East, parallel and distant 10 feet north of the north line of the said South 639.08 feet of the Northeast quarter, a distance of 1,134.23 feet; thence North 11 degrees 12 minutes 21 seconds West, a distance of 473.01 feet,•thence North 22 degrees 25 minutes 53 seconds East, a distance of 78.53 feet; thence North 53 degrees 06 minutes 52 seconds West, a distance of 250.91 feet; thence North 78 degrees 30 minutes 48 seconds West, a distance of 24.25 feet; thence North 30 degrees 41 minutes 45 seconds West, a distance of 47.16 feet to said south right of way line of Chicago, St. Paul, Minneapolis and Omaha Railway Company and the point of termination. 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