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June 27, 2001 Council Meeting Minutes Mr. Hoeft reviewed two issues in the Purchase Agreement with the Council. He stated the original closing date was June 29th but noted he was contacted by Ms. Turcotte's attorney stating they would like to close on July 13th. Mr. Hoeft noted Ms. Turcotte has found housing as of August 1 sl and would be willing to rent back the property between July 13 th and August 151. Mr. Hoeft noted today he found out there were some issues with the title of the property. He indicated the issues were significant enough that the title company would not insure the property until these items were resolved. Mr. Hoeft stated the expense to clear up these items would range from $3,000 to $5,000. He stated the Council could resolve these items after purchase or ask the Seller to resolve these items with a reduced purchase price amount. Council Member Nelson asked if it is the general practice for the Seller to clean up the title. Mr. Hoeft stated this is usually the case, but stated the City has already agreed to pay $1,000 to $1,500 for recording and filing fees. Mayor Swedberg asked what would need to be done to clear the title. Mr. Hoeft stated a registration process would take place to notify those interested in the property. He indicated he does not anticipate anyone coming forward with the registration of this parcel. Mr. Hoeft noted the only problems are with the legal description of the property and that there were not liens against the property. Council Member Broussard Vickers asked what would happen if the title could not be cleared. Mr. Hoeft stated the Council would have to buyout the person challenging the property. He indicated he does not anticipate this taking place, but that it would be the procedure in a worse case scenario. Council Member Broussard Vickers asked if a larger down payment could be offered to Ms. Turcotte to allow the closing date to be delayed until the title was cleared. Mr. Hoeft stated this could be an option but noted he would have to approach her attorney with the Council's concerns. He asked that the Council keep in mind the value of the property versus what the City is paying for it. Council Member Nelson noted she would not be in favor of picking up the additional expense for the title registration. Council Member Broussard Vickers indicated she was in favor of the expense if it meant getting the property and not having it owned by a private party. Council Member Capra questioned how long the title registration and clearing process would take. Mr. Hoeft stated he anticipates the process being eight to twelve months. Mr. Hoeft asked for direction from the Council on this issue. The Council advised Mr. Hoeft to speak with Ms. Turcotte's attorney and report back at the next Council meeting. IX. NEW BUSINESS Page 7 of12