The Taconite Capital of the World

City of Mountain Iron, Minnesota



Resolution Number 08-12 Tax Forfeit Land

RESOLUTION NUMBER 08-12

 

CERTIFYING ITS ENTITLEMENT TO LAND PURSUANT TO A DEVELOPMENT AGREEMENT

 

BE IT RESOLVED BY THE CITY COUNCIL OF MOUNTAIN IRON, MINNESOTA, that:

 

Section 1.         Recitals.

 

1.01     The City of Mountain Iron (the “City”) entered into a Development Agreement dated August 17, 2005, as amended, a copy of which is attached hereto as Attachment A (the “Development Agreement”), by and among the City, the Mt. Iron Economic Development Authority, a public body, corporate and politic, and a political subdivision, duly organized and existing under the laws of the State of Minnesota (the “Authority”), and Mountain Timber Properties, LLC, a limited liability company duly organized and existing under the laws of the State of Minnesota (the “Developer”).

 

1.02     Pursuant to the terms of the Development Agreement the Developer agreed to purchase the Development Property, and construct the Minimum Improvements on the Development Property, as both terms are defined in the Development Agreement.

 

1.03     The Development Agreement and the deed transferring the Development Property to the Developer, a copy of which attached hereto as Attachment B, contain a right of reverter stating that ownership of the Development Property reverts back to the City! Authority in the event the Developer does not construct the Minimum Improvements (the “Right of Reverter”).

 

1.04     With the permission of the City and the Authority, in the Developer transferred a portion of the Development Property to another entity. The portion of the Development Property remaining after said transfer is legally described on Attachment C attached hereto and is referred to herein as the “Tax-Forfeit Property.”

 

1.05     The Minimum Improvements have not been constructed on the Tax-Forfeit Property and Developer is in default of the Development Agreement.

 

1.06     Developer failed to pay the property taxes on the Tax-Forfeit Property, it has gone tax-forfeit, and is now owned by the State of Minnesota.

 

1.07     Pursuant to Minnesota Statutes, Section 282.01 Subdivision 1a.(t), the commissioner of revenue shall convey a parcel of non-conservation tax-forfeited land to a local government subdivision upon the favorable recommendation of the county board if the governmental subdivision has certified to the board that prior to forfeiture the subdivision was entitled to the parcel under a written development agreement, but the conveyance failed to occur prior to forfeiture.

 

Section 2.         Certification to the Board of Commissioners for St. Louis County. The Council hereby certifies to the Board of Commissioners for St. Louis County that the City is entitled to the Tax-Forfeit Property pursuant to the Development Agreement and the Deed, but the conveyance failed to occur prior to forfeiture.

 

DULY ADOPTED BY THE CITY COUNCIL THIS 16th DAY OF APRIL, 2012.

 

 

 

____________________________________

Mayor Gary Skalko

ATTEST:

 

 

 

__________________________________

City Administrator

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