Rob Stefonowicz Secures Victory in Major Roadway fee Case


The Minnesota Court of Appeals, in a published opinion, has held that the City of Woodbury’s “Major Roadway Assessment Fee” – a fee that the city charges to developers to purportedly fund potential future off-site roadway infrastructure improvements – is “invalid and unenforceable.” In striking down the fee, the court of appeals confirmed that there is no authority – either express or implied – under Minnesota law to condition development approval on such a fee.

The city sought to collect a $1.3 million fee from Martin Harstad, the owner and developer of residential property located in Woodbury, as a condition of approval of his proposed 183-unit residential development known as “Bailey Park.” The fee sought by the city was over and above the substantial costs and expenses to be borne by Harstad for the construction of roadway and infrastructure needs for the Bailey Park development.

The challenge to the city’s roadway fee was brought by Harstad, who is represented by Rob Stefonowicz, Gary Van Cleve and Peter Coyle.