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<br /> - <br /> ~ <br /> Arden Hills City Council <br /> . June 15, 1992 <br /> Page 2 <br /> Although this section appears to address the expiration of building <br /> permits, when it is read in the context of the remaining provisions <br /> of Section VIII(E), it seems to have more clearly been intended to <br /> address the expiration of site plan approvals. In my judgment, the <br /> provisions of Section VIII(E)(7) mean that site plan approvals will <br /> expire within one year of the date of approval if a building permit <br /> has not been issued within that time or if the applicant has not <br /> requested an extension of the site plan approval within one year of <br /> the date of the original site plan approval. This is the meaning <br /> that was given to Section VIII(E)(7) by City Staff and is the <br /> reason why Mr. Foster was asked to re-app1y. <br /> Mr. Foster's attorney has suggested that his client has <br /> acquired a vested right in the issuance of a building permit <br /> because his client has incurred substantial costs in reliance upon <br /> Ci ty Council approval. In analyzing claims made upon a vested <br /> right theory, it is important to understand specifically how much <br /> cost has been incurred in reliance upon City action. I had <br /> anticipated receipt of a detailed Affidavit by Thursday afternoon <br /> which identified the costs incurred by Mr. Foster. As of 2:00 p.m. <br /> today, I have not received such an Affidavit. Therefore, it <br /> becomes more difficult to provide the City with specific legal <br /> . advice. <br /> A right becomes vested when it has arisen upon a contract or <br /> a transaction in the nature of a contract and liabilities under <br /> that right have been so far determined that nothing remains to be <br /> done by the party asserting the right. Ridgewood Development <br /> Company v. State, 294 N.W.2d 288 (Minn. 1980) , There are <br /> circumstances in which a property owner who has been issued a <br /> building permit may acquire a vested right to complete the <br /> construction of a project. In general, the Minnesota Supreme Court <br /> has stated: <br /> l. A building permit may not be arbitrarily revoked where <br /> the owner has incurred substantial expense in reliance on <br /> the permit. Kiges v. City of st. Paul, 62 N.W.2d 363 <br /> (Minn. 1953) . It may be possible to expand this doctrine <br /> to inClude circumstances involving only the approval of <br /> a site plan, However, as of this date, I have not found <br /> any cases to support this broader interpretation. <br /> 2. The granting of a building permit does not preclude the <br /> adoption of new zoning regulations which prohibit the <br /> erection of a building if the new zoning regulations are <br /> adopted to protect the health, safety and welfare of the <br /> community. Kiges, supra. As applied to our case, this <br /> rule would require the City to review the planning <br /> . process which has occurred to date and determine if the <br />