06-05-1984 Letter, Review of Issues

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Mr. Jack Collins June 5 Page 2 were set by the City and were not met by the owner. On August 25, 1980, the City Council approved a final extension of the deadline for connection to June 1, 1981, regardless of the outcome of the sub- division application. (Previous deadlines had been set based on allowing a reasonable period for completion of the subdivision and installing a sewer line with capacity to serve all building sites created). Mrs. Olson was required to sign an agreement that she would make the connection before June 1, 1981. A $5,000 bond or letter of credit was required by the City. Prior to October 31, 1980, the septic tanks were to be deactivated and used as holding tanks until the sewer was connected. Mrs. Olson and her agents failed to agree, and failed to provide the letter of credit. On October 17, 1980, a citation was issued to Gladys Olson for failure to connect to available sanitary sewer. A complaint was further filed with the Hennepin County Municipal Court on January 14, 1981. Because of the ongoing subdivision application and acts of apparent good faith by Gladys' agent, Mr. Kaye Westerlund, the charges were eventually dismissed in fall of 1981, although Mr. Westerlund was notified that the property was still in violation. The subdivision application was never completed. A second subdivision application was filed by Gene Earnst and Associates on January 7, 1982. A $5,000 letter of credit for sewer construction was filed on April 19, 1982, to be drawn upon by the City in the event the sewer connection wis not completed on a timely basis. Earnst found that the City Council would not be willing to approve a total of four units on the peninsula and on September 13, 1982, Tonka Lake Properties, as the owner, withdrew the four -unit PRD application and sought preliminary approval of a three -lot plat as had been proposed in the original 1980 application. On September 27, 1982, preliminary approval was granted per Resolution No. 1415. The letter of credit (in the name of Dennis Killian) was extended to May 1, 1983, and later extended to June 1, 1984 as a result of private litigations holding up the developers. The subdivision has never been completed and has expired. No work has been done on the property. The ownership of the properties has changed a number of times. The City allowed the letter of credit to expire on June 1, 1984 without drawing upon it, based on the advice of the City Attorney who noted because of the wording it would be nearly impossible to draw on without having already completed the work. We intend to proceed with a hazardous building action on the basis that this is a lakeshore property with septic systems not meeting code requirements and City sewer available. Our intent is to prohibit occupancy of the house at 1340 Baldur Park Road until the residence is connected to the municipal sewer. I expect the hazardous building action will commence early this summer.