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9. The District attempted to negotiate in good faith with Steffel for the direct <br /> purchase of the Property in accordance with the requirements of Minnesota <br /> Statutes Section 117.036, subdivision 3. No agreement was reached on the <br /> purchase price for the Property. <br /> 10. On September 21, 2015, the District's School Board reviewed the Appraisal <br /> Report, as well as information about negotiations between the District's <br /> administration and Steffel. The School Board then determined that the acquisition <br /> of the Property was necessary to serve a public purpose and was in the interest of <br /> the health, safety, and general welfare of the District and the public. A copy of the <br /> School Board's Resolution is affixed hereto as Exhibit 1. <br /> 11. Following the School Board's September 21, 2015 approval of condemnation <br /> proceedings, the District learned that Steffel conveyed the Property to Paul H. <br /> Steffel Properties, LLC, on or about September 18, 2015. The District <br /> affirmatively alleges its negotiations with Steffel, which took place prior to <br /> September 18, 2015, are sufficient to satisfy the requirements in Minnesota <br /> Statutes Section 117.036, subdivision 2 and 3 as they relate to his limited liability <br /> company Paul H. Steffel Properties, LLC. <br /> 12. The District is in need of additional parking space for the operation of a school <br /> located on District property ("School Site") abutting the Property and the District <br /> does not currently own sufficient land within the School Site to adequately meet <br /> its parking needs. <br /> 3 <br /> 19 <br />