HomeMy WebLinkAboutEDA April 7, 1998
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CITY of ANDOVER
EDA Meeting - Tuesday, April 7,1998
Call to Order - 7:00 PM
Discussion Items
1. Commercial Auto SettlementlPark Update
2. Charles Mistelske Relocation Benefits
Other Business
Adjournment
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CITY OF ANDOVER
REQUEST FOR ECONOMIC DEVELOPMENT AUTHORITY
ACTION
DATE: April 7, 1997
AGENDA SECTION
ORIGINATING DEPARTMENT
Discussion Item - EDA Meeting
Administration
Richard Fursman
ITEM NO.1.
Commercial Auto Settlement
BACKGROUND:
Staff will be presenting the Economic Development Authority with Commercial Park Plan review and
update and settlement terms on the Mistelske matter.
The City is waiting on TKDA for Feasibility Report numbers and a settlement offer from Mistelske. It
is anticipated that the EDA will be meeting in a closed session to discuss the settlement offer by
Mistelske.
If the Feasibility Report appears to be in order, staff will be recommending the plans and specifications
be ordered for the project.
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CITY OF ANDOVER
REQUEST FOR ECONOMIC DEVELOPMENT AUTHORITY
ACTION
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DATE: April 7, 1997
AGENDA SECTION
ORIGINA T1NG DEPARTMENT
Discussion Item - EDA Meeting
City Attorney
William Hawkins
ITEM NO.2.
Charles Mistelske Relocation Benefits
REQUEST:
The Economic Development Authority is requested to approve a relocation benefit of $27,500.00 to
Commercial Auto.
The City recently concluded research regarding previous relocation benefits Commercial Auto Parts
would be entitled to for the blue building located at the comer of Jay Street and Bunker Lake Boulevard.
Our review indicates that Commercial Auto Parts has been paid one month storage at the rate of
$2,500.00 per month. Under the Uniform Relocation Act they would be entitled to eleven more
additional months of storage for an additional payment of $27,500,00. We had attempted to pay
Commercial Auto Parts $20,000.00 last summer but an agreement could not be reached as to who would
receive the money because of the pending marriage dissolution action, It is our recommendation at this
time that the Council authorize payment of the amount of $27,500.00 to conclude the storage cost
portion of the relocation benefits claim on this site. A copy of our letter to Mr. Mistelske's attorney
summarizing this history is also included.
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LAW OffiCES OF
William G. Hawkins and Associates
WILLIAM G. HAWKINS
BARRY A. SULLIVAN
Legal Assistant
T AMMI J. UVEGES
2140 FOURTH AVENUE NORTH
ANOKA. MINNESOTA 55303
PHONE (612) 427-8877
FAX (612) 421-4213
March 25, 1998
Kirk A. Schnitker, Esq.
SCHNITKER & ASSOCIATES
2300 Central Avenue NE
Minneapolis, MN 55418
Re: Commercial Auto
Dear Mr. Schnitker:
The purpose of this letter is to try to clear up any confusion that may exist
regarding storage costs which may be due Mr. Mistelske as relocation benefits for
the storage building property.
It is my understanding that Mr. Mistelske is requesting twelve months of storage
at the rate of $2,500.00 per month. Initially, the City paid Mr. Mistelske as
relocation benefits $14,357.00. This claim included $11,857.00 for moving costs
and $2,500.00 for the first month of storage, that being June of 1996.
Thereafter, the City denied further storage costs. A contested case hearing was
held before Assistant Anoka County Attorney Dan Klint. Mr. Klint ruled that the
City owed Mr. Mistelske $20,000.00 in storage costs for June of 1996 through
June of 1997. He further ruled that a claim on the remaining four months was
premature. Subsequently, the City was prepared to pay $20,000.00 in
accordance with this ruling. However, the litigation in the dissolution action
prevented further payment.
Consequently, the City has paid $2,500.00 representing one month of storage
costs. The City is prepared to pay the balance of $27,500.00 forthwith.
If this is your understanding, please advise and we will have the City issue a check
in the amount of $27,500.00 made payable to you and Mr. Mistelske forthwith. If
this is not your understanding or if Mr. Mistelske feels that this does not
Kirk A. Schnitker
March 25, 1998
Page Two
adequately satisfy the storage costs portion of his relocation claim for that
property, please advise.
Thank you for your attention to this matter.
Ancere ,
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cc: Sean Ingvalson
Richard Fursman