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Easement Agreement, Ace Construction-Dubuque, L.L.CCity of Dubuque City Council Meeting Consent Items # 09. Copyrighted November 7, 2022 ITEM TITLE: Easement Agreement, Ace Construction -Dubuque, L.L.0 SUMMARY: Senior Counsel recommending City Council adopt the resolution approving an Agreement between Ace Construction -Dubuque, L.L.C. and the City for an access easement and the Grant of Easement itself. RESOLUTION Approving an Agreement by and between the City of Dubuque, Iowa and Ace Construction -Dubuque, L.L.0 and a Grant of Easement to the City of Dubuque SUGGESTED Suggested Disposition: Receive and File; Adopt Resolution(s) DISPOSITION: ATTACHMENTS: Description Type Memo Staff Memo Resolution Resolutions Grant of Easement Supporting Documentation Agreement Supporting Documentation THE CITY OF DUB E Masterpiece on the Mississippi BARRY A. LINDAHL, ESQ. SENIOR COUNSEL MEMO To: Mayor Brad M. Cavanagh and City Council Members DATE: October 27, 2022 RE: Easement Agreement, Ace Construction -Dubuque, L.L.C. Dubuque AII•America City 2007-2012.2013 2017*2019 On August 1, 2022, the City Council approved a resolution authorizing acquiring property owned by Ace Construction -Dubuque, L.L.C. (Ace) by eminent domain if necessary for access to a City water well located adjacent to the property. Since that time, Water Department Manager Chris Lester and I have worked with the attorney for Ace to acquire easements on the property, rather than acquiring the entire parcel. With the cooperation of Ace, we believe the easements will provide appropriate access to the water well for inspection, repairs, maintenance and/or replacement. Attached is the resolution approving an Agreement between Ace and the City for an access easement and the Grant of Easement itself. I recommend the City Council adopt the resolution approving the Agreement and the Grant of Easement. BAL:JLM CC' Mike C. Van Milligen, City Manager Crenna M. Brumwell, City Attorney Chris Lester, Water Department Manager Prepared by Barry A. Lindal, Esq. 300 Main St., Ste 330 Dubuque IA 52001-6944 (563) 583-4113 Return to Adrienne N. Breitfelder, City Clerk, 50 W. 13t' St., Dubuque, IA 52001, (563) 589-4100 RESOLUTION NO. 345-22 APPROVING AN AGREEMENT BY AND BETWEEN THE CITY OF DUBUQUE, IOWA AND ACE CONSTRUCTION-DUBUQUE, L.L.0 AND A GRANT OF EASEMENT TO THE CITY OF DUBUQUE WHEREAS, on August 1, 2022, the City Council approved a resolution authorizing acquiring property owned by Ace Construction -Dubuque, L.L.C. (Ace) by eminent domain if necessary for access to a City water well located adjacent to the Ace property; and WHEREAS, Ace and the City have tentative entered into an Agreement attached hereto for a Grant of Easement to the City of Dubuque subject to City Council approval; and WHEREAS, the City Council finds that the Agreement and Grant of Easement should be approved and the Grant of Easement accepted. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA AS FOLLOWS: 1. The Agreement by and between the City of Dubuque, Iowa and Ace Construction - Dubuque, L.L.0 and the Grant of Easement to the City of Dubuque are hereby approved. 2. The Mayor is hereby authorized and directed to sign the Agreement on behalf of the City of Dubuque. 3. The Grant of Easement is hereby accepted. Brad M..!.. Attest: a��'rz /7 &AW Adrienne N. Breitfelder, City Clerk GRANT OF ACCESS EASEMENT For and in consideration of the sum of One Dollar and other good and valuable consideration, the receipt whereof is hereby acknowledged Ace Construction -Dubuque, L.L.C. (Grantor) of Dubuque County, State of Iowa, for its successors and assigns, does hereby grant, sell and convey to the CITY OF DUBUQUE, IOWA, a municipal corporation, its agents and contractors, from the date hereof, a perpetual easement across the following described real estate situated in Dubuque, Iowa, to wit: All that part of Lots 193, 194, 195 and 196 lying North and West of Railroad, subject to Railroad Right of Way, and all in "Map of Eagle Point or Ham's Addition to the City of Dubuque 1854" (commonly known as Ham's Addition) in the City of Dubuque, Iowa, according to the recorded plat thereof (the Property). As shown Exhibit A (the Easement Area) attached hereto and by reference made a part hereof for the purpose of repairing, maintaining and replacing the City water well (the Well) shown on Exhibit A together with the right of access over the Easement Area and upon the terms and conditions set forth herein. 1. The Regular Inspection Easement is for regular monthly inspections of the Well. The Regular Inspection Easement is lane Nine (9) feet by One Hundred Twenty - Five Feet (188) as shown on Exhibit A and must be clear of all permanent obstructions which will allow City vehicles and personnel access to the Well. City shall provide Ace not less than forty-eight (48) hours' notice of intended use of the Regular Inspection Easement provided to Ace by email at aceconstruction.lm@gmail.com and by telephone at 563-495-8193. The Regular Inspection Easement may be occupied by City for not more than forty-eight (48) hours. In the event the Regular Inspection Easement is not clear of all obstructions, City may cause the obstructions to be removed at Ace's cost. 2. The Service/Maintenance Easement is intended for the need to pull the Well for repairs, maintenance and/or replacement which require crane access to the Well and storage of the large Well elements. Use of the Service/Maintenance Easement is only expected to be once in every several years with the exception of emergencies. In addition to the Regular Inspection Easement, the area shown as the Service/Maintenance Easement must be clear of all permanent obstructions which will allow City vehicles and related equipment and personnel access to the Well for repairs, maintenance and replacement of the Well. City shall provide Ace not less than twenty-four hours' notice of intended emergency use of the Regular Inspection Easement and the Service/Maintenance Easement and not less than 120 hours' notice of intended ordinary use provided to Ace by email at aceconstruction.lm@gmail.com and by telephone at 563-495-8193. The Service/Maintenance Easement may be occupied by City for not more than 14 days. In the event the Service/Maintenance Easement are not clear of all obstructions, City may cause the obstructions to be removed at Ace's cost. 10192022ba1 To have and to hold unto the said City of Dubuque, Iowa, forever, and the undersigned does hereby expressly covenant that Ace Construction -Dubuque, L.L.C. is the owner in fee of said real estate and has good right to execute this agreement. Dated at Dubuque, Iowa this day of -..._ , 2022. Ace Construction -Dubuque, L.L.C. By: ,'.. Louis Mihalakis NOTARY PUBLIC STATE OF IOWA, COUNTY OF DUBUQUE COUNTY, SS: On this -�v day of9 C-'(6904.D., 2022 before me, the undersigned, a Notary Public in and for said County, in said State, personally appeared Louis Mikhilakis to me known to be the identical person(s) named in and who executed the within and foregoing instrument, to which this is attached, and acknowledged that he executed the same as his voluntary act and deed on behalf of Ace Construction-Dubuque,.�L.L.Q--) JEFF'RE'Y' L.. 8a ALT'ER.S Nurimnbaeir 145486 WY 00,01o" Esp., NiOV 19, 2023 na t - ne+g wuim P� w o b;sssgiuW uw rs x o 10192022ba1 abf r - Exhibit A Speeial Aehi--m in 015 Al"�-74w a part of NON PT OF LOTS 193, 194, 195, & 196 HAMS ADD Y q r. r f � f J ti 2387 101' 7" 2365 }- Legend Mihalakis Property Regular Inspec6an Easement (928.26 sq ft) SeruicefMaintenance Easement (1,394.18 sq R) "ty fD.b ue. EA. Kocara �r+[ern ""` o` : ".�.:°,��• ; Map Prepared by: Feet of Dubuque �K R� Water department R. p 25 50 75 100 1942 Hawthorne St 563-589-4291 �.K .>..�.,. d�a...�...d S 10192022ba1 AGREEMENT BY AND BETWEEN THE CITY OF DUBUQUE, IOWA AND ACE CONSTRUCTION-DUBUQUE, L.L.0 This Agreement (this Agreement), dated for reference purposes the r day of Ncvem6r, 2022, is made and entered into by and between the City of Dubuque, Iowa and Ace Construction -Dubuque, L.L.C. WHEREAS, Ace Construction -Dubuque, L.L.C. (Ace) is the owner of the Real Estate legally described as follows: All that part of Lots 193, 194, 195 and 196 lying North and West of Railroad, subject to Railroad Right of Way, and all in "Map of Eagle Point or Ham's Addition to the City of Dubuque 1854" (commonly known as Ham's Addition) in the City of Dubuque, Iowa, according to the recorded plat thereof (the Property) and; WHEREAS, the City of Dubuque (City) owns a water well (the Well) on property adjacent to the Property which Well supplies potable water to the entire City of Dubuque; and WHEREAS, it is essential for City Water Department personnel to have access to the Well for maintenance, repairs and/or replacement; and WHEREAS, City and Ace desire to enter into an agreement to provide City access to the well upon the terms and conditions set forth herein. NOW, THEREFORE, IT IS AGREED BY AND BETWEEN THE PARTIES AS FOLLOWS: SECTIONI. ACCESS EASEMENT. Ace agrees to convey to City an access easement as set forth in the attached Easement Agreement. SECTION 2. COMPENSATION. City agrees to pay to Ace upon execution of this Agreement One Thousand Two Hundred Fifty Dollars ($1,250) and One Thousand Two Hundred Fifty Dollars ($1,250) on each anniversary of this Agreement while this Agreement is in effect. SECTION 3. TERMINATION. Either party may terminate this Agreement upon thirty (30) days written notice delivered to the other party. SECTION 4. GRANT OF RIGHT OF FIRST REFUSAL. Ace hereby grants City a right of first refusal with regard to the Property as follows: If Ace receives a bona fide offer from a third party to purchase the Property, Ace shall give notice in writing to City stating the price and terms upon which the 10192022bal Property is proposed to be purchased via the bona fide offer from the third party, and Ace shall provide a copy of such offer to City. City shall have the right to purchase the Property at the price and on the terms so stated except as otherwise provided herein. If City does not so elect to purchase the Property within twenty (20) days from the date on which Ace receives the written notice as set out above, then Ace shall have the right to sell the Property at not less than the price so stated and not on terms more favorable to the third party; thereafter, City shall no longer have a right of first refusal hereunder. If City matches the bona fide third party offer by notice in writing to Ace within twenty (20) days of City's receipt of such written notice, then Ace shall proceed to continue the abstract and proceed to closing following the procedure and within the time as described below. A "bona fide" third party offer for these purposes shall be a written offer to purchase the Property from a buyer with the documented wherewithal (e.g., bank letter or other evidence) to afford such purchase and to pay the purchase price in a timely fashion. Upon City's exercising its rights of first refusal herein, Ace, at its expense, shall promptly continue and pay for the abstract of title to the Property continued through a date not more than thirty (30) days prior to the closing date stated in the notice of the exercised of the option. The proposed closing date shall be no later than sixty (60) days after the written exercise of the option. Such abstract shall show merchantable title in Ace in conformity with this Agreement, Iowa law and title standards of the Iowa State Bar Association. The abstract shall become the property of City when the purchase price is paid in full. Ace shall pay costs of additional abstracting or title work due to acts or omissions of Ace and be responsible for prorated real estate taxes, real estate transfer tax and other normal seller expenses for real estate closings in Dubuque County, Iowa. Upon payment of the purchase price, Ace shall convey the Property to Citv by Warranty Deed, free and clear off all liens, restrictions and encumbrances. SECTION 5. City shall defend, indemnify, and hold harmless Ace against any and all claims by or on behalf of any person, firm, corporation, and its employees or agents, arising out of the City's access agreement identified in Section 1 above, and all costs and expenses incurred, including attorney fees, in connection with such claim, or in connection with any defense of legal proceeding, civil action, or other proceeding brought herein. Said indemnity protection shall include, but is not limited to: workman's compensation claims, personal injury or death, property damage, environmental damage or claims, judgments, liens, and mechanics liens. Further, City waives any and all immunity or other defenses, of any kind, to the extent that it would interfere with it's obligations described in this indemnity protection to Ace. 10192022bal SECTION 6. The City will repair any damage to the property or grounds including, but not limited to, filling any holes or tracks created by its equipment during use of the access easement. SECTION 7. This Agreement is subject to the approval of the City Council. THE CITY OF DUBUQUE ACE CONSTRUCTION-DUBUQUE, L.L.0 e M MEM M,. By. 6� flllJ�" 10192022bal Doc ID: 011040910006 Type: GEN Kind: EASEMENT Recorded: 11/16/2022 at 02:30:36 PM Fee Amt: $32.00 Paqe i of 6 Dubuque County Iowa John Murphy Recorder File2022-00013959 RECORDER'S COVER SHEET GRANT OF EASEMENT Preparer Information: Barry A. Lindahl, City Attorney, 300 Main Street, Suite 330, Dubuque, IA 52001, Telephone: (563) 583-4113 Taxpayer Information: City of Dubuque, Iowa, 50 West 13th Street, Dubuque, IA 52001 Return Document To: Barry A. Lindahl, City Attorney, 300 Main Street, Suite 330, Dubuque, IA 52001 Legal Description: See Page 1 of Grant of Easements Grantors: Ace Construction -Dubuque, L.L.C. Grantees: The City of Dubuque, Iowa DBQ City Clerk 320° GRANT OF ACCESS EASEMENT For and in consideration of the sum of One Dollar and other good and valuable consideration, the receipt whereof is hereby acknowledged Ace Construction -Dubuque, L.L.C. (Grantor) of Dubuque County, State of Iowa, for its successors and assigns, does hereby grant, sell and convey to the CITY OF DUBUQUE, IOWA, a municipal corporation, its agents and contractors, from the date hereof, a perpetual easement across the following described real estate situated in Dubuque, Iowa, to wit: All that part of Lots 193, 194, 195 and 196 lying North and West of Railroad, subject to Railroad Right of Way, and all in "Map of Eagle Point or Ham's Addition to the City of Dubuque 1854" (commonly known as Ham's Addition) in the City of Dubuque, Iowa, according to the recorded plat thereof (the Property). As shown Exhibit A (the Easement Area) attached hereto and by reference made a part hereof for the purpose of repairing, maintaining and replacing the City water well (the Well) shown on Exhibit A together with the right of access over the Easement Area and upon the terms and conditions set forth herein. The Regular Inspection Easement is for regular monthly inspections of the Well. The Regular Inspection Easement is lane Nine (9) feet by One Hundred Twenty - Five Feet (188) as shown on Exhibit A and must be clear of all permanent obstructions which will allow City vehicles and personnel access to the Well. City shall provide Ace not less than forty-eight (48) hours' notice of intended use of the Regular Inspection Easement provided to Ace by email at aceconstruction.lm@gmail.com and by telephone at 563-495-8193. The Regular Inspection Easement may be occupied by City for not more than forty-eight (48) hours. In the event the Regular Inspection Easement is not clear of all obstructions, City may cause the obstructions to be removed at Ace's cost. 2. The Service/Maintenance Easement is intended for the need to pull the Well for repairs, maintenance and/or replacement which require crane access to the Well and storage of the large Well elements. Use of the Service/Maintenance Easement is only expected to be once in every several years with the exception of emergencies. In addition to the Regular Inspection Easement, the area shown as the Service/Maintenance Easement must be clear of all permanent obstructions which will allow City vehicles and related equipment and personnel access to the Well for repairs, maintenance and replacement of the Well. City shall provide Ace not less than twenty-four hours' notice of intended emergency use of the Regular Inspection Easement and the Service/Maintenance Easement and not less than 120 hours' notice of intended ordinary use provided to Ace by email at aceconstruction.lm@gmail.com and by telephone at 563-495-8193. The Service/Maintenance Easement may be occupied by City for not more than 14 days. In the event the Service/Maintenance Easement are not clear of all obstructions, City may cause the obstructions to be removed at Ace's cost. 10192022bal To have and to hold unto the said City of Dubuque, Iowa, forever, and the undersigned does hereby expressly covenant that Ace Construction -Dubuque, L.L.C. is the owner in fee of said real estate and has good right to execute this agreement. Dated at Dubuque, Iowa this 6 day of �_ , 2022. Ace Construction -Dubuque, L.L.C. Y By. Louis Mihalakis NOTARY PUBLIC STATE OF IOWA, COUNTY OF DUBUQUE COUNTY, S: On this day of (9C A.D., 2022 before me, the undersigned, a Notary Public in and for said County, in said State, personally appeared Louis Mikhilakis to me known to be the identical person(s) named in and who executed the within and foregoing instrument, to which this is attached, and acknowledged that he executed the same as his voluntary act and deed on behalf of Ace Construction-Dubuqu�.L.C',,--) JEFFREY L.. WAITERS C IftMblr 145M y W7' Como. Exp. WN 19, 2M na 10192022ba1 0 N O N N A� Prepared by Barry A. Lindal, Esq. 300 Main St., Ste. 330, Dubuque IA 52001-6944, (563) 583-4113 Retum to Adrienne N. Breitfelder, City Clerk, 50 W. 131h St., Dubuque, IA 52001, (563) 589-4100 RESOLUTION NO. 345-22 APPROVING AN AGREEMENT BY AND BETWEEN THE CITY OF DUBUQUE, IOWA AND ACE CONSTRUCTION-DUBUQUE, L.L.0 AND A GRANT OF EASEMENT TO THE CITY OF DUBUQUE WHEREAS, on August 1, 2022, the City Council approved a resolution authorizing acquiring property owned by Ace Construction -Dubuque, L.L.C. (Ace) by eminent domain if necessary for access to a City water well located adjacent to the Ace property; and WHEREAS, Ace and the City have tentative entered into an Agreement attached hereto for a Grant of Easement to the City of Dubuque subject to City Council approval; and WHEREAS, the City Council finds that the Agreement and Grant of Easement should be approved and the Grant of Easement accepted. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA AS FOLLOWS: 1. The Agreement by and between the City of Dubuque, Iowa and Ace Construction - Dubuque, L.L.0 and the Grant of Easement to the City of Dubuque are hereby approved. 2. The Mayor is hereby authorized and directed to sign the Agreement on behalf of the City of Dubuque. 3. The Grant of Easement is hereby accepted. Brad M. anagh, Mayor Attest: 44t'ix"nz /7' A4'e4 Adrienne N. Breitfelder, City Clerk CERTIFICATE of the CITY CLERK STATE OF IOWA SS: COUNTY OF DUBUQUE ) I, Adrienne N. Breitfelder, City Clerk, do hereby certify that I am the duly appointed, qualified, City Clerk of the City of Dubuque, Iowa, in the County aforesaid, and as such City Clerk, I have in my possession or have access to the records of the proceedings of the City Council. I do further state that the hereto attached Resolution No. 345-22 is a true and correct copy of the original. In Testimony Whereof, I hereunto set my hand and official seal of the City of Dubuque, Iowa. Dated at Dubuque, Iowa, on this 14th day of November, 2022. OF 4SEA10 gAr , Adrienne N. Breitfelder, City Clerk