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purposes or for public use as parks, recreatioiial facilities, playgrounds, trails, wetlands, or open <br />space; provided that (a) the municipalitj' may choose to accept an equivalent amount in cash <br />fiom the applicant for part or all of the pcruon required to be dedicated to such public uses or <br />purposes based on the fair market value of the land no later than at the time of final approval, (b) <br />any cash payments received shall be placed in a special fund by the municipality \ised only for <br />the piuposes for which the money was obtained, (c) in establishing the reasonable portion to be <br />dedicated, the regulations may consider the open space, park, recreational, or common areas and <br />facilities wiiich the applicant proposes to reserve for the subdivision, and (d) the municipality <br />reasonably determines that it will need to acquire that portion of the land for the purposes stated <br />in this paragraph as a result of the approval of the subdivision. <br />As to such dedications and exacticns, Minnesota has followed the majority test which has <br />been the “rational nexus” test where a reasonable connection must be shown by the government <br />between the exaction or condition imposed and the need created by or benefits provided thereby <br />to the subdivision, in order to be valid. The Minnesota Supreme Court adopted the rational <br />nexus test in the context of analyzing park ^aication fees in a subdivision approval andnexus test m tne context ox anaxyziag parx^aic^ion tees m a suoaivision approval ana <br />summarized the problems with e.xactions^Colii^. CiTvofRloomingtorL 246 N.W.2d 19 <br />(1976): V <br />A municipality could use dedication regulations to exact land or fees from <br />a subdivider far out of preportion to the needs created by his subdivision <br />in order to avoid imposing the burden of paying for additional serv ices on <br />all citizens via taxation. To tolerate this situation would allow an <br />otherwise acceptable exercise of police power to become “grand theft.” <br />246N.W.29 19 at 26. <br />See also Middlemist v. Citv of Pl-.Tp.outh . 3S7 N.W.2d 190 (Minn. App. 1986), Avres v. <br />City Council. 207 P.2d 1 (Ca. 1949); Jordan v. ViTla^re of Menomonee Falls. 137 N.W.2d 442 <br />(Wise. 1965). <br />In the recent casC^Kottschade^ Citv nf Rochester . 537 N.W.2d 301 (Miniu .App. <br />1995), the Court stated thaTetiy-frartSe burden of proving required relationship between the <br />property development and city ’s need for land dedication and, to meet that burden, the city must <br />show that essential nexus exists between legitimate state interest and the condition exacted; if <br />that nexus exists, the court must then decide whether city has demonstrated rough propordonalitv <br />between planned development and municipality ’s requirement for a dedication of land. <br />In that case the Court found there was sufficient nexus between need for roads and <br />proposed shopping mall development to jusrify requirement of dedication of right-of-way as <br />condition for approval of conveyance of portion of a platted lor to the developer, so that there <br />was no taking. The Kottschade case rcCrcts how the Minnesota Court of Appeals has applied <br />the U.S. Supreme Court decisions in Nollan vs. California Coastal Commission , 483 U.S. 825 <br />(1987) and Dolan v.^Cirv of Tigard. 114 S.Ct. 2309 (1994). <br />^0/^0 *d <br />/ <br />lS£98£8dl9 *0N XVd 301dd0 1191 NOiSNlM 9£:0l am 16-11-AON