HomeMy WebLinkAboutCity Council Minutes 07-09-2002 SpecialAdopted Minutes
Special Council Meeting
July 9, 2002
A Special Meeting of the Plymouth City Council was called to order by Mayor Tierney at
6:10 p.m. in the Public Safety Training Room, 3400 Plymouth Boulevard, on July 9,
2002.
COUNCIL PRESENT: Mayor Tierney, Councilmembers Hewitt, Harstad, Slavik, Stein
and Black.
ABSENT: Councilmember Johnson.
STAFF PRESENT: City Manager Johnson, Assistant City Manager Ahrens, Community
Development Director Hurlburt, Public Works Director Faulkner, Housing Manager
Barnes, City Attorney Knutson, and City Clerk Paulson.
Discuss Offers on 3030 County Road 101
Therese Griffith, from Bedrock Real Estate, presented the following purchase offers that
had been received for City owned property at 3030 County Road 101:
Brad and Nicole Middendorf. Offer of $220,000 with the net being to the City after
selling expenses - $213,437.67.
Richard Kariniemi: Offer of $233,500 with the net being to the City after selling
expenses - $221,896.43.
She noted that the financing papers for Mr. Kariniemi needed to be signed by Mr.
Kariniemi.
Scott Frank, from Coldwell Banker Burnet, stated he is representing Mr. Kariniemi, and
signed documents would be presented to Ms. Griffith tomorrow.
Ms. Griffith explained that Mr. Kariniemi's first offer was contingent upon an inspection.
She recommends to her clients to accept offers that have no contingencies which is why
she recommended the purchase offer from the Middendorfs at the June 25 Council
meeting.
Councilmember Black asked if the Middendorfs had an opportunity to counter the
Kariniemi offer. Ms. Griffith replied no.
City Manager Johnson noted that the Kariniemi counter offer was just received late this
afternoon.
Adopted Council Minutes
Special Meeting of July 9, 2002
Page 2 of 3
Mayor Tierney asked Ms. Griffith if it would be possible for the Middendorfs to provide
a counter offer this evening. Ms. Griffith replied yes.
City Attorney Knutson recommended that the Council make a determination as to when
they wish to close the offers.
Brad Middendorf explained that they were just made aware that Mr. Kariniemi presented
a counter offer. He explained that their purchase offer was presented to the Council at
the June 25 meeting, and that offer was made public on the City's website. Therefore,
Mr. Kariniemi had the opportunity to review their figures and prepare a counter offer. He
indicated that usually prospective buyers are not able to know the variables and other
contingencies from other prospective buyers. He stated at the June 25 meeting, there was
a memorandum from staff as well as from Ms. Griffith in the packet materials that
recommended the Council accept their purchase offer. He noted that originally, they
made two offers on this property, but a staff committee rejected them. He stated they
were informed that their purchase offer had to meet the City's asking price. He stressed
that this process appears to be more of a bidding process rather than a confidential real
estate transaction.
Mayor Tierney stated any documents pertaining to the sale of this property are considered
public which explains why their purchase offer was included in the June 25 packet
materials as well as on the City's website.
City Attorney Knutson stated this is not a bidding process. He stated the City has
received two offers on the subject property, and the Council would make a determination
on which purchase offer to accept.
Nicole Middendorf reiterated that Mr. Kariniemi had the opportunity to review their
purchase offer. She stated they were also informed that there was a deadline of 4:00 p.m.
today for any purchase offers to be presented to the City.
Community Development Director Hurlburt stated the 4:00 p.m. deadline was discussed
after the June 25 Council meeting in order to determine how to proceed for this evening's
meeting. With a 4:00 p.m. deadline, it would provide Ms. Griffith an opportunity to
analyze the offers and make copies of the purchase offers for the Council. This deadline
doesn't preclude anyone from presenting a purchase offer at tonight's regular Council
meeting unless the Council would close the offers prior to that time.
Councilmember Black suggested that the Council establish a deadline for purchase offers.
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Adopted Council Minutes
Special Meeting of July 9, 2002
Page 3 of 3
Mr. Frank stated Mr. Kariniemi was originally notified that the Middendorf s initial offer
was rejected, so he submitted a bid. Mr. Kariniemi had the high offer until the
Middendorfs submitted another purchase offer. Therefore, Mr. Kariniemi never had an
opportunity to present a counter offer.
Councilmember Black stated the Council has the responsibility to accept the best
purchase offer. She stressed that the City is a public entity so all information is
considered to be public unless it's client/attorney privilege information.
Motion was made by Councilmember Black, and seconded by Councilmember Harstad.
to close all offers at 6:55 p.m. this evening. With all members voting in favor, the motion
carried.
Schedule Future Study Sessions
Councilmember Hewitt requested that the Council schedule a Study Session to discuss
withdrawing from the Northwest Hennepin Human Services Council. With more than
1 three Councilmembers in support of discussing this item, the Council scheduled a Special
Meeting on August 13 at 5:00 p.m.
Adiournment -
Motion was made by Councilmember Slavik, and seconded by Councilmember Black, to
adjourn the meeting at 6:42 p.m. With all members voting in favor, the motion carried.
Sandra R. Paulson, City Clerk