HomeMy WebLinkAbout1B, Release & Settlement of 3327 Dunlap St. Driveway
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~HILLS
Request for Council Action
Prepared By: Greg Hoag
Council Work Session Date: August 18, 2008
Discussion Regarding the Release and Settlement Agreement for the 3327 Dunlap Street Driveway
Budgeted Amount:
$47,500
Actual Amount:
$4,140.00
Funding Source:
Water Utility
Background:
This item was tabled to Work Session at the August 11, 2008 City Council meeting. Staff
is requesting City Council discussion on the issue. The funding for this item is proposed
from the water utility maintenance materials Hne item, which is the funding source for
water main repair.
Supporting Documents:
1. Memorandum dated August 11, 2008 from Public Works Director.
2. Settlement and Release Agreement drafted by City Attorney, Jerry Filla
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MEMORANDUM
DATE:
August 11, 2008
TO:
Honorable Mayor and City Council
Ron Moorse, City Administrator
FROM:
Greg Hoag, Public Works Director
SUBJECT:
Driveway Repair 3327 Dunlap Street
BACKGROUND
On November 7,2007 the Public Works Department repaired a broken water main under the
driveway in the city right of way at 3327 Dunlap Street. The property owners notified us that
they had just replaced the driveway in the late summer and the contractor had provided the
residents with a two year warranty. Due to our digging up and patching a portion of the new
driveway to complete the repair of the water main, the driveway contractor informed the
residents that the warranty on the driveway was now void.
Over the last few months City staff and the City Attorney have been working with the residents
on a settlement agreement for the damage caused to the driveway. Attached is the Settlement
and Release Agreement for your review.
STAFF RECOMMENDATION
Approve the Settlement and Release Agreement between the City of Arden Hills and James and
Julie Rechtiene in the amount of$4,140.00 for damages caused to the driveway at 3327 Dunlap
Street.
RECOMMENDED COUNCIL ACTION
Approve the Settlement and Release Agreement between the City of Arden Hills and James and
Julie Rechtiene in the amount of$4,140.00 for damages caused to the driveway at 3327 Dunlap
Street, and authorize the Mayor and City Administrator to execute the agreement.
SETTLEMENT AND RELEASE AGREEMENT
1.0 Parties. This Settlement and Release Agreement (\\Agreement") is entered into
by and between the City of Arden Hills, a Minnesota statutory city (\\City"); and James
Rechtiene and Julie Rechtiene (collectively herein \\Rechtienes").
2.0 Recitals.
A. Rechtienes are the owners of the following described real property (\\Property")
situated in Arden Hills, Minnesota:
Lot 1, Block 8, Josephine Hills, Plat NO.2
B. In 2007, the Rechtienes hired a contractor to install a new driveway to serve the
Property (\\Rechtiene Driveway").
C. Shortly after the Rechtiene Driveway was installed, the City had to repair a City
watermain segment.
D. The City watermain segment was located within the unimproved portion of the
right-of-way adjacent to the Property and below the Rechtiene Driveway.
E. A portion of the Rechtiene Driveway was saw cut, removed and patched by the
City after the watermain segment was repaired (\\Project").
F. The Rechtienes contractor would not warrant the Rechtiene Driveway because
the City had removed and patched a section of the Rechtiene Driveway and, in
order to obtain the warranty, the Rechtiene Driveway would need to be
reinstalled from the improved portion of the City street to the garage.
G. The Parties have agreed to resolve this matter pursuant to the terms of this
Settlement and Release Agreement.
3.0 Terms and Settlement. NOW THEREFORE, in consideration of the mutual
undertakings herein expressed, the Parties agree as follows:
A. Upon execution of this Agreement by the Parties, the City shall pay Rechtienes
the sum of $4,140 (\\Settlement Amount").
B. In consideration of the payment of the Settlement Amount, Rechtienes for
themselves and their successors and assigns agree to release the City, its
employees and contractors from any liability or claims \ whatsoever, known or
unknown, arising out of, or in any way related to the Project.
C. This is a Settlement Agreement and not an admission of liability.
D. This is a legally binding document and each party has' had an opportunity to
consult with legal counsel.
E. This Agreement may be executed in counterparts by the parties.
IN WITNESS THEREOF, the parties have executed this Settlement and Release
Agreement on the dates set forth below.
CITY OF ARDEN HILLS
Dated:
By:
Stan Harpstead
Its: Mayor
Dated:
By:
Ronald Moorse
Its: City Administrator
STATE OF MINNESOTA
COUNTY OF
)
) SSe
)
On this _ day of , 2008, before me, a notary public within and
for said county, personally appeared Stan Harpstead, the Mayor of the City of Arden Hills, and
Ronald Moorse, the City Administrator of the City of Arden Hills, and they executed the above
Settlement and Release Agreement as their own free act and deed.
Notary Public
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Dated:
James Rechtiene
Dated:
Julie Rechtiene
STATE OF MINNESOTA )
) SSe
COUNTY OF )
On this _ day of , 2008, before me, a notary public within and
for said county, personally appeared James Rechtiene and Julie Rechtiene, husband and wife,
and they executed the above Settlement and Release Agreement as their own free act and will.
Notary Public
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