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City Council Agenda Packet 04-06-2007 Special AGENDA SPECIAL MEETING - MONTICELLO CITY COUNCIL Friday April 6, 2007 -1:00 p.m. 1. Callto Order 2. Consideration of new information relating to discussion of proposed orderly annexation agreement between City of Big Lake and Big Lake Township. (Information will be provided at meeting). 3. Adjourn Prepared by Flaberty & Hood, PA .525 Park Street, Suite 470, Saiut Paul, MN 55103. (651) 225,8840 CONTESTED CASE ANNEXATION PROCESS Section 414.031 1) Initiating Process - City files petition with Office of Administrative Hearings, The City must provide notice of intent to annex to the affected township and thereafter file a resolution/petition, adopted at a city council meeting, with the Minnesota Office of Administrative Hearings ("OAR"), 2) OAH sets matter on for hearing (30 to 60 days). Within 30 to 60 days after filing the resolution/petition, the OAH will set the matter on ~or hearing and continue the matter indefinitely pending the outcome of voluntary settlement discussions and/or mediation, if required by OAR. 3) Voluntary meetings with Township (60 days). After setting the matter on for hearing, the OAR may order the parties to meet 3 times oyer the next 60 days voluntarily to see if the parties can reach an agreement on their own. OAH can also alternatively order the matter go right to mediation or a hearing and forego the voluntary meetings. 4) Mediation (60 to 120 days). After setting the matter on for hearing, OAH will likely order the parties to mediation and give the parties a list of mediators to select. Shortly thereafter, the parties will select a mediator, make contact with the mediator, and set a date for the first mediation session. Mediation is facilitated settlement discussions between the city and township. The mediator, however, cannot force a settlement. The length of mediation will depend on whether progress is being made towards settlement. If progress is not being made, mediation will be terminated and the matter will be transferred to an Administrative Law Judge ("ALJ") from OAH for trial. 5) Contested-case hearing (3 to 7 days). If mediation fails to result in settlement, the matter will be transferred to the OAR for a trial-type hearing before an ALJ. The ALJ will hold a trial in accordance with the law, hear testimony, accept evidence from both parties, and make a binding decision. Prior to trial there will be a period for discovery and motions. 6) ALJ decision (90 days). After the hearing and the submission of closing briefs by the parties, the ALJ will weigh the evidence presented and make a decision on the question of annexation. The ALJ has 90 days from the last day of hearing to render a decision on the matter. The ALJ's decision is binding. 7) Appeal. Either party may appeal the final decision of the ALJ to district court. Statutory Criteria and Decision Standards for Contested Annexations - Section 414.031, Subd. 4 (a) In arriving at a decision, the administrative law judge (ALl) shall consider the following: (1) recordings and public documents from joint informational meetings under section 414.0333 relevant to other factors listed in this subdivision; (2) present population and number of households, past population and projected population growth of the annexing municipality and subject area and adjacent units oflocal government; (3) quantity ofland within the subject area and adjacent units oflocal government; and natural terrain including recognizable physical features, general topography, major watersheds, soil conditions and such natural features as rivers, lakes and major bluffs; (4) degree of contiguity of the boundaries between the annexing municipality and the subject area; (5) present pattern of physical development, planning, and intended land uses in the subject area and the annexing municipality including residential, industrial, commercial, agricultural and institutional land uses and the impact ofthe proposed action on those land uses; (6) the present transportation network and potential transportation issues, including proposed highway development; (7) land use controls and planning presently being utilized in the annexing municipality and the subject area, including comprehensive plans for development in the area and plans and policies of the Metropolitan Council, and whether there are inconsistencies between proposed development and existing land use controls and the reasons therefore; (8) existing levels of governmental services being provided in the annexing municipality and the subject area, including water and sewer service, fire rating and protection, law enforcement, street improvements and maintenance, administrative services, and recreational facilities and the impact ofthe proposed action on the delivery of said services; 1 2 (9) the implementation of previous annexation agreements and orders; (10) existing or potential environmental problems and whether the proposed action is likely to improve or resolve these problems; (11) plans and programs by the annexing municipality for providing needed and enhanced governmental services to the subject area in a cost-effective and feasible manner within a reasonable time from the date ofthe annexation; (12) an analysis of the fiscal impact on the annexing municipality, the subject area, and adjacent units oflocal government, including net tax capacity and the present bonded indebtedness, and the local tax rates ofthe county, school district, and township; (13) relationship and effect of the proposed action on affected and adjacent school districts and communities; (14) adequacy of town government to deliver services to the subject area; (15) analysis of whether necessary governmental services can best be provided through the proposed action or another type of boundary adjustment; and (16) if only a part of a township is annexed, the ability ofthe remainder of the township to continue or the feasibility of it being incorporated separately or being annexed to another municipality. (b) Based upon the factors, the director may order the annexation on finding: (1) that the subject area is now, or is about to become, urban or suburban in character; (2) that municipal government in the area proposed for annexation is required to protect the public health, safety, and welfare; or (3) that the annexation would be in the best interest of the subject area. 3 ( c) If only a part of a township is to be annexed, the director shall consider whether the remainder of the township can continue to carry on the functions of government without undue hardship. (d) The director shall deny the annexation on finding that the increase in revenues for the annexing municipality bears no reasonable relation to the monetary value of benefits conferred upon the annexed area. ( e) The director may deny the annexation on finding: (1) that annexation of all or a part of the property to an adjacent municipality would better serve the interests of the residents ofthe property; or (2) that the remainder of the township would suffer undue hardship. (f) The director may alter the boundaries of the area to be annexed by increasing or decreasing the area so as to include only that property which is now or is about to become urban or suburban in character or to add property of such character abutting the area proposed for annexation in order to preserve or improve the symmetry ofthe area, or to exclude property that may better be served by another unit of government. (g) The director may also alter the boundaries ofthe proposed annexation so as to follow visible, clearly recognizable physical features. (h) Ifthe director determines that part ofthe area would be better served by another municipality or township, the director may initiate and approve annexation by conducting further hearings and issuing orders pursuant to subdivisions 3 and 4. (i) In all cases, the director shall set forth the factors which are the basis for the decision.