Res 2017-41 Escrow Agreement - W. Dahl
RESOLUTION NO. 2017 - 41
RESOLUTION APPROVING AND RATIFYING THE ESCROW AGREEMENT FOR
PARCEL NO. 12-30-24-21-0002, AMENDING THE DEFERRED ASSESSMENT
PLACED ON PARCEL ID. NO. 12-30-24-21-0002, UNDER THE 1986-1 STREET
IMPROVEMENT PROJECT AND IDENTIFYING THE SUM OWED AS $44,080.59,
AND DIRECTING THE CITY CLERK TO EFFECTUATE COLLECTION OF
DEFERRED ASSESSMENT FROM ESCROW FUNDS WITH THE ESCROW AGENT
WHEREAS, Wayne E. Dahl (the “Landowner”), until very recently, owned the real and
improved property located at 7699 Viron Rd NE in Fridley (the “Property”); and
WHEREAS, there exists a deferred assessment against the Property; and
WHEREAS, the deferred assessment and its accrued interest presented impediments to the sale,
closing, and improvement of the Property; and
WHEREAS, to permit transfer of title and closing on the Property, as well as subsequent
improvement of the Property while preserving the City’s rights with respect to obtaining
payment of the deferred assessment, the City Manager executed an Escrow Agreement, a copy of
which is attached hereto as Exhibit A (the “Escrow Agreement”); and
WHEREAS, the City Council approves and ratifies the Escrow Agreement executed by the City
Manager relating to the escrow of funds for the closing on the Property; and
WHEREAS, in 1987 the Landowner requested and Council approved a deferral of special
assessments related to street improvements performed and certified against the Property in 1986;
and
WHEREAS, the City has reviewed the deferral (Resolution 36-1987) attached hereto as Exhibit
B, and, in an effort to expedite the sale and improvement of the Property, the City desires to
amend the original deferral; specifically the calculation of accrued interest; and
WHEREAS, the City understands that amending the accrued interest to a term consistent with
the other property included in the assessment is in the best interest of the City and Landowner;
for the improvement of the Property and
WHEREAS, the amendment to the original deferral placed on the Property will now accrue
interest through 12/31/1996 and not until the property is sold, re-platted, or has new development
in excess of 3,600 square feet as previously agreed; and
WHEREAS, the total amended deferred assessment including accrued interest is $44,080.59 and
is identified as the sum of the Escrow Amount requiring payment pursuant to Section 3.3(a) of
the Escrow Agreement to the Escrow Agent.
Resolution No. 2017 - 41 Page 2
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Fridley that
1.The amendment to the original deferred assessment place on Parcel No. 12-30-24-21-0002,
under the 1986-1 Street Improvement Project, with accrual of interest through 12/31/1996 in
the amount of $44,080.59 and not until the property is sold, re-platted, or has new
development in excess of 3,600 square feet as previously agreed is hereby approved.
2.The sum of the Escrow Amount that the City has determined as being due and owing on the
City Claim pursuant to Section 3.3(a) of the Escrow Agreement is $44,080.59.
3.The Escrow Agreement executed by the City Manager with respect to the closing on the
Property is hereby approved and ratified.
4.The City Clerk is hereby directed to contemporaneously:
a.Send a certified copy of this Resolution pursuant to Section 3.3(a) of the Escrow
Agreement prior to September 1, 2017 to the Escrow Agent at the address set forth in the
Escrow Agreement, Section 3.9 to collect $44,080.59 from the Escrow Amount; and
Send the Landowner, at the address set forth in Section 3.9 of the Escrow Agreement,
b.
notice of the transmittal of the certified copy of this Resolution to the Escrow Agent.
PASSED AND ADOPTED BY THE CITY OF COUNCIL OF THE CITY OF FRIDLEY
TH
THIS 28 DAY OF AUGUST, 2017.
____________________________________
SCOTT J. LUND - MAYOR
ATTEST:
__________________________________
DEBRA A. SKOGEN – CITY CLERK