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HomeMy WebLinkAbout2017/02/21 - ADMIN - Agenda Packets - City Council - RegularAGENDA FEBRUARY 21, 2017 (Councilmember Lindberg Absent) 7:20 p.m. ECONOMIC DEVELOPMENT AUTHORITY -- Council Chambers 1.Call to Order 2.Roll Call 3. Approval of Minutes 3a. Economic Development Authority Meeting Minutes February 6, 2017 4. Approval of Agenda 5.Reports – None 6.Old Business – None 7.New Business 7a. Third Amendment to PLACE Preliminary Development Agreement Recommended Action: Motion to Adopt EDA Resolution approving the Third Amendment to the Preliminary Development Agreement with PLACE. 8.Communications -- None 9.Adjournment 7:30 p.m. CITY COUNCIL MEETING – Council Chambers 1.Call to Order 1a. Pledge of Allegiance 1b. Roll Call 2.Presentations 2a. 2016 Human Rights Award 3. Approval of Minutes 3a. City Council Workshop Minutes January 26-27, 2017 3b. Special Study Session Minutes February 6, 2017 4.Approval of Agenda and Items on Consent Calendar NOTE: The Consent Calendar lists those items of business which are considered to be routine and/or which need no discussion. Consent items are acted upon by one motion. If discussion is desired by either a Councilmember or a member of the audience, that item may be moved to an appropriate section of the regular agenda for discussion. The items for the Consent Calendar are listed on the last page of the Agenda. Recommended Action: Motion to approve the Agenda as presented and items listed on the Consent Calendar; and to waive reading of all resolutions and ordinances. (Alternatively: Motion to add or remove items from the agenda, or move items from Consent Calendar to regular agenda for discussion.) Meeting of February 21, 2017 City Council Agenda 5. Boards and Commissions -- None 6. Public Hearings 6a. Public Hearing to Consider Allocation of 2017 Community Development Block Grant (CDBG) Funds Recommended Action: Mayor to open the public hearing, take testimony, and then close the hearing. Motion to Adopt Resolution approving proposed use of 2017 Urban Hennepin County Community Development Block Grant (CDBG) Program Funds and authorize execution of Subrecipient Agreement with Hennepin County and Third Party Agreements. 7. Requests, Petitions, and Communications from the Public – None 8. Resolutions, Ordinances, Motions and Discussion Items 8a. Third Amendment to the Preliminary Development Agreement with PLACE Recommended Action: Motion to Adopt Resolution approving the Third Amendment to the Preliminary Development Agreement with PLACE. 8b. First Reading of Parks and Recreation Ordinance Amendment to Allow Alcohol in the ROC Recommended Action: Motion to approve First Reading of an ordinance amending Chapter 20-5 of the St. Louis Park Code of Ordinances relating to prohibited acts to allow alcohol at the Recreation Outdoor Center (“ROC”); regulations for Parks and Recreation, and to set the second reading for March 6, 2017. 8c. Residential Stormwater Cost Share Program Recommended Action: Approve Residential Stormwater Cost Share Program. 8d. Traffic Study No. 675: Authorize Parking Restrictions on the 3700 Block of Oregon Avenue South Recommended Action: Motion to Adopt Resolution authorizing the implementation of overnight parking restrictions and residential permit parking on the 3700 block of Oregon Avenue South. 8e. Master License Agreement with Verizon Recommended Action: Motion to approve a Master Licensing Agreement with Verizon. 8f. Resolution Approving Annual City Manager Evaluation Recommended Action: Motion to Adopt Resolution for formal acceptance of the final City Manager annual evaluation. 8g. Resolution Approving 2017 City Manager Compensation Recommended Action: Motion to Adopt Resolution to approve the 2017 compensation for the City Manager. 9. Communications – None Auxiliary aids for individuals with disabilities are available upon request. To make arrangements, please call the Administration Department at 952/924-2525 (TDD 952/924-2518) at least 96 hours in advance of meeting. Meeting of February 21, 2017 City Council Agenda CONSENT CALENDAR 4a. Adopt Resolution approving the arbitration award and labor agreement between the City and the LELS Local #206 Police Officers, establishing terms and conditions of employment for two years, from 1/1/16 – 12/31/17. 4b. Approve a Subordinate Funding Agreements (SFA) between the City and Met Council for SWLRT Local Work – Construction. 4c. Adopt Resolution to participate in PERA’s Phased Retirement Option (PRO). 4d. Approve additions to ownership entity and Resolution approving renewal of the On-Sale Wine and 3.2% Malt Liquor License for Azeka, Inc. dba Brush Studio, located at 1651 Park Place Blvd. for the license term March 1, 2017 – March 1, 2018. 4e. Designate Insituform Technologies as the lowest responsible bidder and authorize execution of a contract with the firm in the amount of $315,642.40 for the Sanitary Sewer Main Rehab Project No. 4017-3000. 4f. Approve Amendment No. 3 to City Agreement No. 4219, between the City and Verizon Wireless (VAW) LLC d/b/a Verizon Wireless for communication antennas on the City’s water tower at 2541 Nevada Avenue S. 4g. Adopt Resolution reversing the Board of Zoning Appeals denial of Library Lane LLC’s application for a 256 square foot variance to allow 1,056 square feet of ground floor area for accessory buildings instead of the 800 square feet maximum allowed. 4h. Adopt Resolution reversing the Board of Zoning Appeals denial of Kim Erickson’s application for a 20.7 foot variance to the required 25.0 foot rear yard, and a 2.0 foot variance to the required 7.4 foot side yard required for a proposed addition to a home located at 3951 Quentin Ave S. 4i. Authorize the issuance of purchasing cards for residents conducting community meetings to collect information as part of the St. Louis Park Vision 3.0 process. 4j. Accept for filing Fire Civil Service Commission Minutes of November 2, 2016 4k. Accept for filing Planning Commission Minutes of January 18, 2017 St. Louis Park Economic Development Authority and regular City Council meetings are carried live on Civic TV cable channel 17 and replays are frequent; check www.parktv.org for the schedule. The meetings are also streamed live on the internet at www.parktv.org, and saved for Video on Demand replays. The agenda is posted on Fridays on the official city bulletin board in the lobby of City Hall and on the text display on Civic TV cable channel 17. The agenda and full packet are available by noon on Friday on the city’s website. Meeting: Economic Development Authority Meeting Date: February 21, 2017 Minutes: 3a UNOFFICIAL MINUTES ECONOMIC DEVELOPMENT AUTHORITY ST. LOUIS PARK, MINNESOTA FEBRUARY 6, 2017 1. Call to Order President Mavity called the meeting to order at 7:25 p.m. Commissioners present: President Anne Mavity, Steve Hallfin, Gregg Lindberg, Thom Miller, and Susan Sanger. Commissioners absent: Tim Brausen and Jake Spano. Staff present: Executive Director (Mr. Harmening), City Attorney (Mr. Mattick), Assistant Zoning Administrator (Mr. Morrison), Engineering Director (Ms. Heiser), and Recording Secretary (Ms. Pappas). 2. Roll Call 3. Approval of Minutes 3a. Economic Development Authority Meeting Minutes January 3, 2017 It was moved by Commissioner Sanger, seconded by Commissioner Hallfin, to approve the EDA minutes as presented. The motion passed 5-0. (Commissioners Brausen and Spano absent). 4. Approval of Agenda It was moved by Commissioner Miller, seconded by Commissioner Hallfin, to approve the EDA agenda as presented. The motion passed 5-0. (Commissioners Brausen and Spano absent). 5. Reports 5a. Approval of EDA Disbursements It was moved by Commissioner Lindberg, seconded by Commissioner Miller, to approve the EDA Disbursements. The motion passed 5-0. (Commissioners Brausen and Spano absent). 6. Old Business - None 7. New Business - None 8. Communications - None 9. Adjournment The meeting adjourned at 7:30 p.m. ______________________________________ ______________________________________ Melissa Kennedy, Secretary President Meeting: Economic Development Authority Meeting Date: February 21, 2017 Action Agenda Item: 7a EXECUTIVE SUMMARY TITLE: Third Amendment to PLACE Preliminary Development Agreement RECOMMENDED ACTION: Motion to Adopt EDA Resolution approving the Third Amendment to the Preliminary Development Agreement with PLACE. POLICY CONSIDERATION: Does the EDA wish to continue to pursue the PLACE redevelopment project? SUMMARY: PLACE, the EDA and the City are currently parties to a Preliminary Development Agreement in which the parties agreed to work cooperatively toward a mutually supportable transit oriented development project on the subject properties and to negotiate in good faith toward a definitive Purchase and Redevelopment Contract as well as a related planning development contract regarding the development. The Agreement terminates on February 28, 2017 unless it is extended. Given that the parties are close to entering into such agreements, PLACE has requested that the Preliminary Development Agreement be extended 6 months until August 31, 2017 so as to allow the parties adequate time to successfully complete negotiations on the contracts and present them for formal consideration. The extension is necessary to provide PLACE’s funding partners with continued assurance of its ability to secure the subject properties for the proposed development. It is the expectation of all parties to work toward the approval of a formal Purchase and Redevelopment Contract and planning development contract no later than August 31, 2017. A resolution of approval and third amendment to the Preliminary Development Agreement has been prepared by the EDA’s legal counsel and is attached for EDA action. Also is attached a chart showing the schedule or timeline of anticipated City Council meetings and actions regarding PLACE over the next few months. Some of the dates are likely to change. As they do we will update and distribute this schedule for the City Council. FINANCIAL OR BUDGET CONSIDERATION: Under the proposed Third Amendment, PLACE remains obligated to reimburse the EDA for all out-of-pocket costs it incurs in connection with review and analysis of the proposed Development prior to the extended termination date. VISION CONSIDERATION: St. Louis Park is committed to providing a well-maintained and diverse housing stock. SUPPORTING DOCUMENTS: EDA Resolution Third Amendment to PLACE Preliminary Development Agreement PLACE Timeline Prepared by: Greg Hunt, Economic Development Coordinator Reviewed by: Kevin Locke, Community Development Director Approved by: Tom Harmening, City Manager Page 2 Economic Development Authority Meeting of February 21, 2017 (Item No. 7a) Title: Third Amendment to PLACE Preliminary Development Agreement EDA RESOLUTION NO. 17-____ RESOLUTION APPROVING A THIRD AMENDMENT TO THE PRELIMINARY DEVELOPMENT AGREEMENT BETWEEN THE ST. LOUIS PARK ECONOMIC DEVELOPMENT AUTHORITY, THE CITY OF ST. LOUIS PARK, AND PLACE BE IT RESOLVED BY the Board of Commissioners ("Board") of the St. Louis Park Economic Development Authority, St. Louis Park, Minnesota (the "Authority") as follows: Section 1. Recitals. 1.01. Pursuant to its authority under Minnesota Statutes, Sections 469.090 to 469.1082, as amended, the Authority administers its Redevelopment Project No. 1 (the “Project”), for the purpose of facilitating the redevelopment of certain substandard property within the Project. 1.02. The Authority and the City of St. Louis Park (the “City”) own certain property (the “Property”) within the Project, which Property has been the subject of certain preliminary negotiations with PLACE (the “Developer”) for purposes of constructing a mixed-use (multi- family residential and commercial), mixed-income development on the Property and related parking, incorporating renewable energy sources including an anaerobic digester (the “Development”). 1.03. The Authority, the City, and the Developer previously executed a Preliminary Development Agreement, dated as of May 18, 2015, as amended by a First Amendment thereto dated as of February 16, 2016 and a Second Amendment thereto dated as of June 20, 2016 (as amended, the “Agreement”), providing for the performance of certain activities on the part of the parties in preparation for the negotiation of a definitive Purchase and Redevelopment Contract in connection with the Property. 1.04. The parties have negotiated and propose to execute a Third Amendment to the Agreement (the “Third Amendment”) in order to extend the termination date of the Agreement, to allow sufficient time to negotiate and finalize the definitive Purchase and Redevelopment Contract. Section 2. Third Amendment Approved. 2.01. The Third Amendment as presented to the Board is hereby in all respects approved, subject to modifications that do not alter the substance of the transaction and that are approved by the President and Executive Director, provided that execution of the Third Amendment by such officials shall be conclusive evidence of approval. 2.02. The President and Executive Director are hereby authorized to execute on behalf of the Authority the Third Amendment and any documents referenced therein requiring execution by the Authority, and to carry out, on behalf of the Authority, its obligations thereunder. 2.03. Authority staff and consultants are authorized to take any actions necessary to carry out the intent of this resolution. Page 3 Economic Development Authority Meeting of February 21, 2017 (Item No. 7a) Title: Third Amendment to PLACE Preliminary Development Agreement Reviewed for Administration: Adopted by the Economic Development Authority February 21, 2017 Thomas K. Harmening, Executive Director Anne Mavity, President Attest: Melissa Kennedy, Secretary Page 4 THIRD AMENDMENT TO PRELIMINARY DEVELOPMENT AGREEMENT THIS THIRD AMENDMENT TO PRELIMINARY DEVELOPMENT AGREEMENT (this “Agreement”), dated _____________, 2017, by and between the St. Louis Park Economic Development Authority, a public body corporate and politic under the laws of the State of Minnesota (the “Authority”), the City of St. Louis Park, a Minnesota municipal corporation (the “City”), and PLACE, a Minnesota nonprofit corporation (the “Developer”); WITNESSETH: WHEREAS, the Authority, the City, and Developer previously entered into a Preliminary Development Agreement dated as of May 18, 2015, as amended by a First Amendment thereto dated as of February 16, 2016 and a Second Amendment thereto dated as of June 20, 2016 (as so amended, the “Agreement”), to promote the development of certain improvements (the “Minimum Improvements”) on certain property within Redevelopment Project No. 1 in the City, located at 5725, 5925 and 5815 Highway 7, 3575 Wooddale Avenue, 5814 36th Street, and 5816 36th Street (the “City and Authority Property”) and 3520 Yosemite Avenue, 3565 Wooddale Avenue and a portion of 3548 Xenwood Avenue (the “Rail Property” and together with the City and Authority Property, the “Property”); and WHEREAS, the parties desire to extend the termination date of the Agreement to allow adequate time to successfully complete negotiations toward the Contract (as defined in the Agreement) and reach mutually acceptable terms for the conveyance of the Property as required to allow construction of the Minimum Improvements. NOW THEREFORE, in consideration of the foregoing and of the mutual covenants and obligations set forth herein, the Authority, the City and the Developer hereby agree as follows: 1.During the term provided in this Third Amendment, the parties agree to continue working cooperatively toward the goals outlined in the Agreement, pursuant to its terms. 2.This Third Amendment shall terminate by its terms if the governing bodies of the Authority and City have not approved the Contract (as defined in the Agreement) by August 31, 2017. Upon such termination, the Developer remains obligated to pay any costs payable under paragraph 13 of the Agreement that were incurred by the Authority and the City prior to such date. 3.Except as amended by this Third Amendment, the Agreement shall remain in full force and effect. Upon execution, the Developer shall reimburse the Authority for all out-of pocket-costs incurred by the Authority in connection with negotiating, drafting and approval of this Third Amendment. Economic Development Authority Meeting of February 21, 2017 (Item No. 7a) Title: Third Amendment to PLACE Preliminary Development Agreement Page 5 IN WITNESS WHEREOF, the City and Authority have caused this Agreement to be duly executed in their name and behalf and their seal to be duly affixed hereto and the Developer has caused this Agreement to be duly executed as of the date and year first above written. PLACE ST. LOUIS PARK ECONOMIC DEVELOPMENT AUTHORITY By: Its ______________________________ Its President Its Executive Director CITY OF ST. LOUIS PARK Its Mayor Its City Manager Economic Development Authority Meeting of February 21, 2017 (Item No. 7a) Title: Third Amendment to PLACE Preliminary Development Agreement Date TIF/Dev Agr Comp Plan Amend/PUD/Plat & Variance Housing Bonds EAW 21-Feb 3rd Amendment to Preliminary Development Agr. 23-Feb Neighborhood meeting #8 by PLACE 27-Feb Recommended TIF assistance amount 3-Mar PLACE Environmental Assessment Worksheet (EAW) published in Environmental Quality Board (EQB) Monitor 6-Mar Call for the TIF District Public Hearing Call for private activity revenue bonds Public Hearing 8-Mar 13-Mar 1. Plng Commission Public Hrg 2. PLACE at Parks & Rec Advisory Commision 20-Mar Purchase Agr Aproval for Hennepin Co parcels 27-Mar 3-Apr First Reading of Approvals Private Activity Hsg Revenue Bond Hearing and approval 5-Apr End of 30 day EAW comment period 10-Apr Study Session on proposed Dev Agr Terms 17-Apr 24-Apr 1. TIF District Hrg and district establishment 2. Approve and authorize signature of Dev Agr 8-May 15-May 22-May PLACE closes on Private Activity Housing Bonds PLACE Timeline - 2/15/17 City Council Meetings and Actions Meetings and Actions by Others City Council's Record of Decision 1-May Second Reading of Approvals 15-Mar Economic Development Authority Meeting of February 21, 2017 (Item No. 7a) Title: Third Amendment to PLACE Preliminary Development Agreement Page 6 Meeting: City Council Meeting Date: February 21, 2017 Presentation: 2a EXECUTIVE SUMMARY TITLE: 2016 Human Rights Award Presentation RECOMMENDED ACTION: No formal action is requested. The City Council is asked to join the Human Rights Commission in recognizing Chana Shagalow with Sha’arim: Gateways to Learning for the 2016 Human Rights Award. POLICY CONSIDERATION: None at this time. BACKGROUND: The Human Rights Award recognizes individuals, groups, organizations or businesses that have made an outstanding contribution toward increasing understanding and cooperation between people of different backgrounds in St. Louis Park. The St. Louis Park Human Rights Commission would like to recognize Chana Shagalow, founder of Sha’arim: Gateways to Learning for the 2016 Human Rights Award. 2016 Human Rights Award Recipient: Chana Shagalow, Sha’arim: Gateways to Learning Chana Shagalow founded Sha’arim 18 years ago to help children with special needs after discovering the school her daughter attended did not have resources that would meet these needs. The program provides students quality education, support and resources while fully participating in the Jewish community. Additionally, Chana’s organization provides fun social activities for children with special needs and their families to connect and gather as a community. The organization’s work also includes raising awareness of special needs issues throughout the St. Louis Park community. The programs of Sha’arim: Gateways to Learning has helped several St. Louis Park residents be included in the community and overcome challenges as a community. Chana saw a need in the community and felt compelled to address it. Her hard work and dedication has proven to be successful as several different schools and organizations participate, regardless of their affiliation. The St. Louis Park Human Rights Commission is honored to recognize Chana Shagalow with the 2016 Human Rights Award. FINANCIAL OR BUDGET CONSIDERATION: Not applicable. VISION CONSIDERATION: St. Louis Park is committed to being a connected and engaged community. SUPPORTING DOCUMENTS: None Prepared by: Breanna Freedman, Community Liaison Reviewed by: Chad Kraayenbrink, Interim Police Chief Approved by: Tom Harmening, City Manager Meeting: City Council Meeting Date: February 21, 2017 Minutes: 3a UNOFFICIAL MINUTES City Council Workshop Session January 26 and 27, 2017 January 26, 2017: The workshop session was called to order 4:05 p.m. Councilmembers present: Mayor Jake Spano, Councilmembers Tim Brausen, Steve Hallfin, Gregg Lindberg, Anne Mavity, Thom Miller and Sue Sanger Staff present: City Manager (Mr. Harmening) and Deputy Cit y Manager/Director of Human Resources (Ms. Deno). Others present: Bridget Gothberg, Facilitator 1. Agenda Reviewed agenda for January 26 and welcome from Mayor Spano 2. Carver Governance Model Council participated in several exercises and discussions on Carver Governance. 3. Unwritten Rules and Council Norms Ms. Gothberg presented information on current unwritten rules and council norms and discussion took place by council. No major changes or adjustments to the current document were suggested. 4. Relational Learning Ms. Gothberg facilitated discussion with council on learning and review of each Gregorc style. Council discussed styles and working with each other. Council participated in an exercise regarding communication styles in critical situations. Adjourned at 9:00 p.m. January 27, 2017: The workshop session was called to order 8:44 a.m. Councilmembers present: Mayor Jake Spano, Councilmembers Tim Brausen, Steve Hallfin, Gregg Lindberg, Anne Mavity, Thom Miller and Sue Sanger Staff present: City Manager (Mr. Harmening), Deputy City Manager/Director of Human Resources (Ms. Deno), Director of Community Development (Mr. Locke), Deputy CD Director/Housing Supervisor (Ms. Schnitker), Director of Engineering (Ms. Heiser), Director of Operations and Recreation (Ms. Walsh), Director of Inspections (Mr. Hoffman), Chief Information Officer (Mr. Pires), Interim Police Chief (Mr. Kraayenbrink), Fire Chief (Mr. Koering), Communications and Marketing Manager (Ms. Larson) and Chief Financial Officer (Mr. Simon). Others present: Gordon Goodwin, Facilitator 1. Introductions and Check-In City Council Meeting of February 21, 2017 (Item No. 3a) Page 2 Title: City Council Workshop Session Minutes of January 26-27, 2017 2. Advancing Racial Equity Objectives for participants:  Gain awareness of the history of race; implicit and explicit bias; and individual, institutional, and structural racism and how it impacts or lives.  Be able to identify instances of implicated and explicit bias and individual, institutional and structural racism.  Be motivated to take action. Laying it on the line Early experiences with race Discuss Race the Power of Illusion Episode 3 – The House We Live In What is racial equity and inequity? What is explicit and implicit bias? What is individual, institutional and structural racism? Putting ideas into action: 1. Concepts for next steps 2. Meeting with Human Rights Commission and Multicultural Committee Council action plan - develop three measurable steps for 2017: 1. Information gathering during Vision on advancing racial equity and hearing voices and include this in all areas of Vision/Comp Plan. 2. Workforce initiatives i. Staffing – initiatives to include avenues for success in hiring and advancing racial equity at our workplace ii. Contractors and wealth creation (opportunities that open up inclusion with underrepresented groups/vendors) 3. Work on connecting with potential leaders in the community to diversify boards, commissions and involvement in other areas 4. Work with HRC to continue increasing awareness in advancement of racial equity in the community, including outreach. 3. Redevelopment Brief overview by staff. Council discussion on understanding each other as it relates to redevelopment; balancing strategic and reactive development; and whether we can or should be more selective. Adjourned at 3:30 p.m. ____________________________________ ______________________________________ Melissa Kennedy, City Clerk Jake Spano, Mayor Meeting: City Council Meeting Date: February 21, 2017 Minutes: 3b UNOFFICIAL MINUTES CITY COUNCIL SPECIAL STUDY SESSION ST. LOUIS PARK, MINNESOTA FEBRUARY 6, 2017 The meeting convened at 7:04 p.m. Councilmembers present: Steve Hallfin, Gregg Lindberg, Anne Mavity, Thom Miller, and Susan Sanger. Councilmembers absent: Tim Brausen and Mayor Jake Spano. Staff present: City Manager (Mr. Harmening), Deputy City Manager/Human Resources Director (Ms. Deno), and Recording Secretary (Ms. Pappas). Mayor Pro Tem Sanger chaired the meeting. 1. City Manager Compensation Ms. Deno explained the City Manager’s compensation package to the council, noting the contract for the City Manager states that base salary and benefits must be set when salaries are established for other non-union employees. Also, compensation must comply with the state mandated salary cap. On January 3, 2017, council approved the pay range for this position to be consistent with other positions and be adjusted by 2.75% for 2017. The staff report details how the City Manager’s pay range is determined and how a recommendation has been developed for 2017 compensation within the range that complies with the state statute on salary cap and the city’s new pay philosophy based on the 85th percentile of the market. Ms. Deno explained that yearly increases in compensation are held until after the City Manager’s evaluation is completed. The council will review compensation tonight, and it will be presented as an action item at the February 20 City Council Meeting. Councilmember Lindberg asked if paid time off (PTO) is paid out annually. Ms. Deno stated yes, every July. Mayor Pro Tem Sanger asked if all non-union city employees will get double raises. Ms. Deno stated to move through the range the program allows for up to double the standard increase, the same practice that has been followed since 1997. She added that with this plan, it takes 7-8 years to reach the maximum pay within the range. It was the consensus of the city council to accept the recommendations of staff regarding the City Manager’s compensation and have staff return to the council with a summary of the City Manager’s evaluation and compensation portion for consideration at the February 20 meeting. The meeting adjourned at 7:20 p.m. ______________________________________ ______________________________________ Melissa Kennedy, City Clerk Susan Sanger, Mayor Pro Tem Meeting: City Council Meeting Date: February 21, 2017 Consent Agenda Item: 4a EXECUTIVE SUMMARY TITLE: 2016-2017 Law Enforcement Labor Services (LELS) Local #206 Police Officers Labor Agreement RECOMMENDED ACTION: Motion to Adopt Resolution approving the arbitration award and labor agreement between the City and the LELS Local #206 Police Officers, establishing terms and conditions of employment for two years, from 1/1/16 – 12/31/17. POLICY CONSIDERATION: None. Council must approve the binding arbitration award. SUMMARY: The City and police officers union participated in binding arbitration to settle contract terms and conditions for 2016-2017. The police officers are the last group to have a settled contract for 2016. The following are details of the arbitration award and other changes agreed upon prior to arbitration: • Duration of two years (1/1/16 – 12/31/17). • Wage increase of 2.5% for 2016. • Wage increase of 2.75% for 2017. • Increase in supplemental pay of 2.5% for 2016, and 2.75% for 2017. • Employer contribution for health insurance consistent with other groups for 2016 and 2017. • Adding paid parenting leave to contract (benefit was formerly provided in a Memorandum of Understanding). • Adding a new call back pay minimum of three hours if employees are called back due to an emergency. • Expanding double time for unscheduled holidays worked to all holidays recognized in contract. • Expressing wages in bi-weekly amounts, and replacing ERU with SWAT titles. Staff recommends approval. The arbitration award and contract is on file with the city clerk. More detail is available upon request. FINANCIAL OR BUDGET CONSIDERATION: Funds for the arbitration award are available in the 2016 and 2017 budget. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Resolution Prepared by: Ali Timpone, HR Coordinator Reviewed by: Nancy Deno, Deputy City Manager/HR Director Approved by: Tom Harmening, City Manager City Council Meeting of February 21, 2017 (Item No. 4a) Page 2 Title: 2016-2017 Law Enforcement Labor Services (LELS) Local #206 Police Officers Labor Agreement RESOLUTION NO. 17-____ RESOLUTION APPROVING THE ARBITRATION AWARD AND LABOR AGREEMENT BETWEEN THE CITY OF ST. LOUIS PARK AND LAW ENFORCEMENT LABOR SERVICES, INC., LOCAL #206 POLICE OFFICERS JANUARY 1, 2016 – DECEMBER 31, 2017 WHEREAS, representatives of the City and representatives of Law Enforcement Labor Services, Inc., Local #206 presented unresolved issues to an arbitrator as required by Minnesota Statutes Section 179A; and WHEREAS, the arbitration award is binding on the parties; and WHEREAS, the parties had agreed upon other items prior to arbitration; NOW, THEREFORE BE IT RESOLVED by the City Council of the City of St. Louis Park that the mayor and city manager are authorized and directed to prepare contract documents incorporating this arbitration award and other agreed upon items and further, that upon receipt of the three original contracts executed by the union, the appropriate city representatives be authorized and directed to execute the original contracts. Reviewed for Administration: Adopted by the City Council February 21, 2017 Jake Spano, Mayor Thomas K. Harmening, City Manager Attest: Melissa Kennedy, City Clerk Meeting: City Council Meeting Date: February 21, 2017 Consent Agenda Item: 4b EXECUTIVE SUMMARY TITLE: SWLRT Agreement for Local Work - Construction RECOMMENDED ACTION: Motion to approve a Subordinate Funding Agreements (SFA) between the City and Met Council for SWLRT Local Work – Construction. POLICY CONSIDERATION: Is the SFAs for the construction of SWLRT Local Work consistent with the City desired project improvements? SUMMARY: SWLRT Local Work – SFA 9 - The City has worked with the Southwest Project Office (SPO) on a number of capital improvements that the city would fund to be added to the SWLRT project. The City is now being asked to commit to funding for construction of these improvements. These items were discussed along with others at the November 28, 2016 City Council Study Session and updated in subsequent reports, most recently on January 3, 2017. This agreement includes the following items: Local Work Construction Agreement 9 Amount Beltline/CSAH 25 Improvements $882,195 Upgraded railing on Beltline Trail Bridge $332,683 Lighting on Beltline Trail Bridge $225,999 Upgraded railing on Louisiana Trail and LRT Bridges $62,556 SUBTOTAL $1,503,433 NEXT STEPS: This is the last of the SFA agreements we expect to have with Met Council for construction. The City/EDA will enter into a separate agreement regarding the Beltline Park & Ride in the future. FINANCIAL OR BUDGET CONSIDERATION: The cost in the agreement totals $1,548,536, which includes administration costs. This would be paid in increments from 2017 to 2020. Sources for the funds are a combination of bonding, tax increment financing and HRA levy; they are included in the Capital Improvements Plan (CIP) as well. VISION CONSIDERATION: St. Louis Park is committed to being a connected and engaged community. SUPPORTING DOCUMENTS: Discussion Subordinate Funding Agreement 9 Prepared by: Meg J. McMonigal, Principal Planner Reviewed by: Kevin Locke, Community Development Director Approved by: Tom Harmening, City Manager City Council Meeting of February 21, 2017 (Item No. 4b) Page 2 Title: SWLRT Agreement for Local Work - Construction DISCUSSION SWLRT City Costs & Agreements The following table shows a list of all of the local and project improvements with costs. Payments will be made over a series of years, between June of 2017 and January of 2020, through a combination of bonding, tax increment financing and HRA levy. On January 3, 2017, two agreements were approved by the City Council for: •Base Project Construction items - $2,062,928 •Cash Contribution - $2,000,000 Agreements Estimated City Cost (Nov 28, 2016) Revised City Cost (Feb 21, 2017) Revisions January 3, 2017 Base Project Construction Agreement #10 Louisiana trail underpass $300,000 No change Stairs to Wooddale trail underpass $45,500 No change Beltline trail bridge stairs (both sides) $126,000 No change Lynn Avenue extension $1,591,428 No change SUBTOTAL $2,062,928 Cash Contribution Agreement #11 $2,000,000 No change Letter of Intent - Park & Ride No cost with LOI SUBTOTAL $4,062,928 February 2017 Local Work Construction Agreement #09 Louisiana trail connection $746,971 $957,257 $210,286 Louisiana upgraded bridge railings $80,000 $64,556 $-15,444 Beltline/CSAH 25 intersection $727,626 $882,195 $154,569 Beltline trail bridge upgraded railings and lighting Est. $650,000 $558,682 $-91,318 SUBTOTAL $1,457,626 $1,505,433 $47,807 Payments from 6-1-17 to 2-1-20) $5,520,554 $5,568,361 Page 1 of 3  Reference Numbers: SWLRT Project:61001 Metropolitan Council: 14I061I City of St. Louis Park: _____________ PROJECT: SOUTHWEST LIGHT RAIL TRANSIT PROJECT MASTER AGREEMENT: Master Funding Agreement – City of St. Louis Park PARTIES TO AGREEMENT: Metropolitan Council (“Council”) City of St. Louis Park (“City”) SUBORDINATE FUNDING AGREEMENT City of St. Louis Park – 09 (Local Work - Construction) This Subordinate Funding Agreement (“SFA”) with the City of St. Louis Park is entered into by and between the above named Parties. WHEREAS: 1.The Parties entered into a Southwest Light Rail Transit Project (“Project”) Master Funding Agreement (“MFA”) effective on February 3, 2015. 2.The Parties provided in the MFA that certain aspects of funding for the Project would be determined in subsequent SFAs. 3.The Project scope includes Locally Requested Capital Improvements, as shown in Exhibit A to this Agreement (“Local Work”), which the City will fund. 4.The Parties desire to enter this SFA in order to provide funding for construction of the City’s Local Work. NOW, THEREFORE, in reliance on the statements in these recitals, the Parties hereby agree as follows: 1.Amount of Authorized Funding. The total for all Local Work plus administrative costs shall be in an amount not to exceed $1,548,536. 2.Payment. The funds shall be payable in full in accordance with the payment schedule set forth in Exhibit A. Any changes to the scope or budget needed to construct the Local Work will be addressed through change orders funded through a separate Change Order SFA to be entered into by the City and Council prior to award of the civil construction contract. City Council Meeting of February 21, 2017 (Item No. 4b) Title: SWLRT Agreement for Local Work - Construction Page 3 Page 2 of 3  3.Project Budget. The budget for the Council’s activities described in this SFA is provided in Exhibit A. City funds provided for this SFA may only be used to fund the Council’s costs for activities to be directly incurred within the described Specific Description of Funding Authorization and as detailed in the MFA. 4.Specific Description of Funding Authorization. Activities to be performed by the Council’s construction contractor and funded by the City include construction of the Local Work identified on Exhibit A. 5.Project Activity Periods. The project activity period for the purposes of this SFA shall be effective upon execution and shall terminate on the later date of: a) date all costs under this SFA have been paid, b) the City’s inspection and acceptance of the Local Work, in accordance with the procedures outlined in Exhibit B unless terminated earlier consistent with the terms of the MFA. 6.Entry onto Easements. The Parties hereby grant to each other the right to enter onto property and any easements and rights-of-way that the Parties may have obtained for construction of the Local Work in order to fulfill obligations under this SFA. 7.Ownership/Maintenance. Unless otherwise noted on Exhibit A, after substantial completion of the Local Work, the Local Work shall become property of the City and all associated warranties and guarantees provided by the Council’s contractor(s) performing work on the Local Work shall become the property of the City. Upon the City becoming the owner of the Local Work, the City will be responsible for operation and maintenance of the Local Work. 8.Project Management. Except for the City’s responsibilities outlined in Exhibit B, the Council shall perform, direct, and supervise all construction, contract administration, and inspection that the Council deems required or necessary and appropriate to complete the Local Work. All Local Work shall be performed by the Council or the Council’s contractors, as directed by the Council, in accordance with the Contract Documents, defined in Exhibit B, for the Project. The Council will actively pursue and manage each warranty identified for the duration of the warranty. 9.Incorporation. The terms, conditions, and definitions of the MFA are expressly incorporated into this SFA except as modified herein. City Council Meeting of February 21, 2017 (Item No. 4b) Title: SWLRT Agreement for Local Work - Construction Page 4 Page 3 of 3  CITY OF ST. LOUIS PARK METROPOLITAN COUNCIL By: By: Its: Its: Date: Date: By: Its: Date: City Council Meeting of February 21, 2017 (Item No. 4b) Title: SWLRT Agreement for Local Work - Construction Page 5 EXHIBIT A Description of Local Work, Payment Schedule, and Budget Detail Local Work Name Description Bid Amount 32 Beltline/CSAH 25 Improvements Includes roadway and pedestrian improvements in the Beltline Boulevard Station area, such as: Bike lanes, pavement, striping, signing, and lighting on Beltline Boulevard from Park Glen Road to approximately 225 feet north of Park Glen Road and from CSAH 25 to approximately 335 feet south of CSAH 25 Sidewalk and trail improvements on the west side of Beltline Boulevard from Park Glen Road to approximately 380 feet north of Park Glen Road and from CSAH 25 to approximately 375 feet south of CSAH 25 Trail improvements on the east side of Beltline Boulevard from Park Glen Road to approximately 290 feet north of Park Glen Road Lengthening the left turn lane for eastbound CSAH 25 Traffic Signal and pedestrian ramp improvements at the Beltline Boulevard and CSAH 25 intersection Trail improvements along the south side of CSAH 25 from Beltline Boulevard to Lynn Avenue Pedestrian accommodations at the Lynn Avenue and CSAH 25 traffic signal including pedestrian ramps and APS Sidewalk connection on the east side of the Beltline Station park and ride lot $882,195 34a Upgraded Railing on Beltline Trail Bridge Includes installing upgraded railing on the Beltline Trail bridge. $332,683 34b Lighting on Beltline Trail Bridge Includes installing lighting on the Beltline Trail bridge. $225,999 City Council Meeting of February 21, 2017 (Item No. 4b) Title: SWLRT Agreement for Local Work - Construction Page 6 34c Upgraded Railing on Louisiana Trail and LRT Bridges1 Includes installing upgraded railing on the Louisiana trail and LRT bridges. $62,556 Bid Total $1,503,433 Administration (3%) $45,103 SFA Total $1,548,536 1 The Council will own and maintain the LRT Bridge railing. When necessary, however, the Council is not responsible for replacing the LRT Bridge railing in-kind. City Council Meeting of February 21, 2017 (Item No. 4b) Title: SWLRT Agreement for Local Work - Construction Page 7 EXHIBIT A Payment Schedule for Local Work Payment # Payable on or before: Amount 1 30 Days Following SWLRT Project Civil Contract Notice to Proceed 25%: 387,134 2 February 1, 2018 50%: 774,268 3 February 1, 2019 Remaining balance: $387,134 City Council Meeting of February 21, 2017 (Item No. 4b) Title: SWLRT Agreement for Local Work - Construction Page 8 2/9/2017 Bid item Description Quantity Units Unit Price Bid Total 412100 Demo Roadway Bituminous 3198 SY $7.50 $24,144.90 412300 Demo BituminousTrail 216 SY $14.80 $3,196.80 414000 Demo Curb & Gutter 1134 LF $8.04 $9,117.36 415000 Demo Sidewalk [Standard] 3048 SF $1.20 $3,657.60 417700 Remove Storm Structures 5 EA $605.40 $3,027.00 417800 Remove Storm Mainline 30 LF $8.21 $246.30 427100 New Storm Catch Basins 25 VF $617.50 $15,437.50 428205 New Storm Mainline Pipe 18 LF $37.70 $678.60 461415 New Seed Type, [TURF]1488 SY $2.30 $3,422.40 461420 New Seed Type, [Native]294 SY $1.41 $414.54 464100 New Truncated Domes 16 EA $416.10 $6,657.60 464200 New Street PED Ramps 16 EA $270.00 $4,320.00 464300 New Sidewalk [Standard]6552 SF $4.60 $30,139.20 465310 New Sidewalk [Special]2782 SF $1.50 $4,173.00 466000 New Bituminous Trail 1320 SY $9.80 $12,936.00 471400 New Curb & Gutter 1966 LF $15.50 $30,473.00 473000 New Roadway Bituminous 3764 SY $57.48 $216,354.72 477500 New Street Paint / Striping 1 LS $9,440.70 $9,440.70 522200 Traffic Signal R 1 LS $266,769.47 $266,769.47 522300 Traffic Signal T 1 LS $56,131.72 $56,131.72 Total Cost :$700,738 Bid Risk 10%$70,074 Construction Direct Cost (Base Year 2015):$770,812 Local Work 32 - Beltline Blvd/CSAH 25 Improvements Originator: City of St.Louis Park 7-Feb-17 Description: Includes roadway and pedestrian improvements in the Beltline Boulevard Station area, such as: • Bike lanes, pavement, striping, signing, and lighting on Beltline Boulevard from Park Glen Road to approximately 225 feet north of Park Glen Road and from CSAH 25 to approximately 335 feet south of CSAH 25 • Sidewalk and trail improvements on the west side of Beltline Boulevard from Park Glen Road to approximately 380 feet north of Park Glen Road and from CSAH 25 to approximately 375 feet south of CSAH 25 • Trail improvements on the east side of Beltline Boulevard from Park Glen Road to approximately 290 feet north of Park Glen Road • Lengthening the left turn lane for eastbound CSAH 25 • Traffic Signal and pedestrian ramp improvements at the Beltline Boulevard and CSAH 25 intersection • Trail improvements along the south side of CSAH 25 from Monterey Avenue to Lynn Avenue • Pedestrian accommodations at the Lynn Avenue and CSAH 25 traffic signal including pedestrian ramps and APS Construction - Direct Cost City Council Meeting of February 21, 2017 (Item No. 4b) Title: SWLRT Agreement for Local Work - Construction Page 9 2/9/2017 Percentage Increase Cost 2%$15,416 2%$15,416 1%$7,708 Total Cost:$38,541 Cost Comments $809,353 Base Year (2015) $882,195 YOE (2018) Percentage Increase Cost 3%$26,466 $908,660Total Additional Cost for Local Work 32 - Beltline Blvd/CSAH 25 Improvements: Administration Base Year Construction Cost Administration Description Construction Cost with Escalation to YOE (3% per year) Total Construction Costs Description Construction - Indirect Costs Inspection Survey/Stake Description Material Testing City Council Meeting of February 21, 2017 (Item No. 4b) Title: SWLRT Agreement for Local Work - Construction Page 10 2/7/2017 Originator: St.Louis Park 2-Feb-16 Description: Bid item Description Quantity Units Unit Price Bid Total 1020 Beltline 4' Wire Mesh Railing - (Unit 1, 3 and 5) -1410 LF 65.86 -92,862.60 1040 Beltline Arched Wire Mesh- 6' Min. 8' Max, Unit 2 -250 LF 88.42 -22,105.00 1060 Beltline Arched Wire Mesh- 6' Min. 12' Max, Unit 4 -259 LF 107.31 -27,793.29 1080 6' Wire Mesh OCS Protection -175 LF 75.86 -13,275.50 1100 RTW E226 4' Wire Mesh Railing -276 LF 65.86 -18,177.36 1110 RTW E227 4' Wire Mesh Railing -306 LF 65.86 -20,153.16 1120 RTW E301 4' Wire Mesh Railing -305 LF 65.86 -20,087.30 1130 RTW E302 4' Wire Mesh Railing -367 LF 65.86 -24,170.62 Total Cost :($238,625) Bid item Description Quantity Units Unit Price Bid Total 4020 4' Ornamental Railing (Unit 1, 3 and 5) 1,410 LF 119.57 168,593.70 4040 Arched Ornamental 6' Min, 8' Max, Unit 2 250 LF 200.28 50,070.00 4060 Arched Ornamental 6' Min, 12' Max, Unit 4 434 LF 278.80 120,999.20 4080 6' Wire Mesh OCS Protection 175 LF 75.86 13,275.50 4100 RTW E226 4' Ornamental Railing 276 LF 119.57 33,001.32 4110 RTW E227 4' Ornamental Railing 306 LF 119.57 36,588.42 4120 RTW E301 4' Ornamental Railing 305 LF 119.57 36,468.85 4130 RTW E302 4' Ornamental Railing 367 LF 119.57 43,882.19 Total Cost :$502,879 Bid Risk 10%$26,425 Construction Direct Cost (Base Year 2015):$290,680 Local Work 34a - Ornamental Railing Includes installing upgraded railing on the Beltline trail bridge. Construction - Direct Cost Base Project Ornamental Railing City Council Meeting of February 21, 2017 (Item No. 4b) Title: SWLRT Agreement for Local Work - Construction Page 11 2/7/2017 Percentage Increase Cost 2%$5,814 2%$5,814 1%$2,907 Total Cost:$14,534 Cost Comments $305,214 Base Year (2015) $332,683 YOE (2018) Percentage Increase Cost 3%$9,980 $342,664 Construction - Indirect Costs Total Additional Cost for Local Work 34a - Ornamental Railing: Description Inspection Survey/Stake Material Testing Total Construction Costs Description Base Year Construction Cost Construction Cost with Escalation to YOE (3% per year) Administration Description Administration City Council Meeting of February 21, 2017 (Item No. 4b) Title: SWLRT Agreement for Local Work - Construction Page 12 Bid item Description Quantity Units Unit Price Bid Total 520 Elec Cabinet Conc Pedestal 1 EA $396.05 $396.05 540 Elec lighting Cabinet 60"H x 48"W x 16" D 1 EA $2,952.59 $2,952.59 560 Elec Panel Board 100 amp, 24 circuits 1 EA $2,209.20 $2,209.20 580 Exposed Conduit - 1" Galv Rigid Steel & 3#6 Wire 401 LF $22.57 $9,050.57 600 1" PVC Conduit Embedded and 3# 6 Wire 2483 LF $15.67 $38,908.61 605 1" PVC Conduit Embedded and 3# 4 Wire 981 LF $18.39 $18,040.59 620 Pedestrian Light Pole Base 2 EA $1,602.75 $3,205.50 630 Light Pole Grounding 2 EA $240.48 $480.96 640 Install Light Pole 2 EA $3,611.55 $7,223.10 660 Install Fixtures 2 EA $2,480.09 $4,960.18 700 Light on Fence Column 40' oc 85 EA $431.10 $36,643.50 702 Add Color turning capabilities-per each light unit 85 EA $87.50 $7,437.50 704 Controllers and color changing software 1 LS $7,500.00 $7,500.00 720 LED Pod Handrail - West Stairway 52 LF $311.58 $16,202.16 740 LED Pod Handrail - East Stairway 78 LF $311.58 $24,303.24 Total Cost :$179,514 Bid Risk 10%$17,951 Construction Direct Cost (Base Year 2015):$197,465 Percentage Increase Cost 2%$3,949 2%$3,949 1%$1,975 Total Cost:$9,873 Survey/Stake Material Testing Inspection Local Work 34b - Lighting on Beltline Trail Originator: City of St.Louis Park 27-Jan-17 Description: Includes installing upgraded lighting on the Beltline trail bridge. Construction - Direct Cost Construction - Indirect Costs Description City Council Meeting of February 21, 2017 (Item No. 4b) Title: SWLRT Agreement for Local Work - Construction Page 13 Cost Comments $207,338 Base Year (2015) $225,999 YOE (2018) Percentage Increase Cost 3%$6,780 $232,779 Administration Description Administration Total Additional Cost for Local Work 34b - Lighting on Beltline Trail : Total Construction Costs Description Base Year Construction Cost Construction Cost with Escalation to YOE (3% per year) City Council Meeting of February 21, 2017 (Item No. 4b) Title: SWLRT Agreement for Local Work - Construction Page 14 Bid item Description Quantity Units Unit Price Bid Total 1020 4' Wire Fence Railing - LRT Bridge -292 LF 65.86 -19,231.12 1040 4' Wire Mesh Railing - TRL Bridge -290 LF 65.86 -19,099.40 Total Cost :($38,331) Bid item Description Quantity Units Unit Price Bid Total 4020 3' 6" Ornamental Railing - LRT Bridge 292 LF $138.72 $40,506.24 4040 4' Ornamental Railing - TRL Bridge 290 LF $163.84 $47,513.60 Total Cost : $88,020 Bid Risk 10% $4,969 Construction Direct Cost (Base Year 2015): $54,658 Percentage Increase Cost 2%$1,093 2%$1,093 1%$547 Total Cost: $2,733 Cost Comments $57,391 Base Year (2015) $62,556 YOE (2018) Percentage Increase Cost 3%$1,877 $64,433Total Additional Cost for Local Work 34C - Ornamental Railing: Description Inspection Survey/Stake Material Testing Total Construction Costs Description Base Year Construction Cost Construction Cost with Escalation to YOE (3% per year) Administration Description Administration Construction - Indirect Costs Local Work 34C - Ornamental Railing Originator: St.Louis Park 12-Dec-16 Description: Upgraded Railing on Louisiana Trail and LRT Bridges Construction - Direct Cost Base Project Ornamental Railing 12/13/2016 City Council Meeting of February 21, 2017 (Item No. 4b) Title: SWLRT Agreement for Local Work - Construction Page 15 EXHIBIT B Procedures for Inspection & Acceptance of Local Work The Council shall be responsible for constructing all Local Work at the sole cost and expense of the City, in accordance with the contract specifications, drawing, and change orders (“Contract Documents”). The City shall have the right to review and inspect, at its sole cost and expense exclusive of this SFA, the as-built condition of all Local Work for compliance with Contract Documents prior to the City’s acceptance of the Local Work from the Council. Inspection Process: a.The Council shall provide the City with seven (7) days advance notice of the date on which the Council anticipates reaching an inspection-point for any Local Work. b.The Council shall notify the City of the date on which the inspection-point has been achieved and the Local Work is available for the City’s inspection. The City shall complete its inspection, at its sole cost and expense exclusive of this SFA, within seven (7) days from the date of such notice that the Local Work has reached an inspection-point. c.The City shall provide the Council with written notice of any work that does not strictly conform to the Contract Documents (“Defective Work”) identified by the City in its inspection within seven (7) days from such inspection. The City’s notice of Defective Work must specify the reason(s) the Local Work is defective, and the actions which, in the opinion of the City, must be taken to make the Local Work conform to the Contract Documents. The Council shall in good faith take reasonable steps to address the Defective Work specified in the City’s notice. d.If the Council concurs with the City’s opinion regarding Local Work, the Council shall require its contractor to make corrections. The Council shall notify the City when the Local Work identified by the City as Defective Work has been corrected, and the City shall have up to five (5) business days to conduct an inspection of the corrected Local Work. Upon such further inspection, the City shall either provide a further notice of Defective Work, or a notice that the Defective Work has been corrected. The process shall repeat until the Defective Work is in compliance with the Contract Documents. Disagreements between the Council and the City with respect to the existence of Defective Work shall be resolved in accordance with the Dispute Resolution process outlined in the Master Funding Agreement. e.The City’s failure to inspect the Local Work within the time specified in this Exhibit shall be deemed to waive the City’s right to inspect the Local Work. The City’s failure to inspect the Local Work, or to notify the Council of Defective Work within the time specified in this Exhibit shall be deemed a waiver of the City’s right to request any further changes. City Council Meeting of February 21, 2017 (Item No. 4b) Title: SWLRT Agreement for Local Work - Construction Page 16 Substantial Completion and Acceptance: a.The Council will provide the City with written notice of the substantial completion after the Council determines that all of the Local Work to be constructed pursuant to this SFA have progressed to the point it is sufficiently complete and in accordance with the Contract Documents. Together, the Parties will inspect the Local Work in accordance with the Inspection Process outlined above. b.After the joint inspection, and acceptance of the Local Work by the City Council, the City shall provide the Council written acknowledgment that the Local Work has been completed and are suitable for its intended use and the City’s maintenance responsibilities related to the Local Work will begin. City Council Meeting of February 21, 2017 (Item No. 4b) Title: SWLRT Agreement for Local Work - Construction Page 17 Meeting: City Council Meeting Date: February 21, 2017 Consent Agenda Item: 4c EXECUTIVE SUMMARY TITLE: Resolution Approving Participation in PERA’s Phased Retirement Option (PRO) RECOMMENDED ACTION: Motion to Adopt Resolution to participate in PERA’s Phased Retirement Option (PRO). POLICY CONSIDERATION: Does Council wish to participate in PERA’s Phased Retirement Option? SUMMARY: In 2009, the MN Legislature adopted a law that allows for phased retirements by eligible PERA members. The program is intended to facilitate a transition into retirement for a PERA member while providing employers with a workforce planning tool that can help transfer knowledge from long-time employees to new or less tenured employees. The law allows employers, at their discretion, to offer a PRO to an eligible employee. The employee who accepts a PRO terminates PERA membership, begins collecting a pension and continues to work with a reduction of hours for a limited period of time. The City would like to have the option of offering this program to employees. In order to do so, the City’s governing body must first vote to participate in offering a PRO to employees. FINANCIAL OR BUDGET CONSIDERATION: If the City decides to offer a PRO to an employee, funds will come from the 2017 budget. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Resolution Prepared by: Ali Timpone, HR Coordinator Reviewed by: Nancy Deno, Deputy City Manager/HR Director Approved by: Tom Harmening, City Manager City Council Meeting of February 21, 2017 (Item No. 4c) Page 2 Title: Resolution Approving Participation in PERA’s Phased Retirement Option (PRO) RESOLUTION NO. 17-___ RESOLUTION APPROVING PARTICIPATION IN PERA’S PHASED RETIREMENT OPTION (PRO) WHEREAS, the City Council wishes to offer employment arrangements in the best interest of the City; and WHEREAS, PERA offers a Phased Retirement Option that allows cities to ease employees into retirement while allowing for a workforce planning tool; NOW THEREFORE BE IT RESOLVED that the City Council of the City of St. Louis Park hereby approves participation in PERA’s Phased Retirement Option (PRO). Reviewed for Administration: Adopted by the City Council February 21, 2017 Thomas K. Harmening, City Manager Jake Spano, Mayor Attest: Melissa Kennedy, City Clerk Meeting: City Council Meeting Date: February 21, 2017 Consent Agenda Item: 4d EXECUTIVE SUMMARY TITLE: Brush Studio Liquor License Ownership Additions and Renewal RECOMMENDED ACTION: Motion to approve additions to ownership entity and Resolution approving renewal of the On-Sale Wine and 3.2% Malt Liquor License for Azeka, Inc. dba Brush Studio, located at 1651 Park Place Blvd. for the license term March 1, 2017 – March 1, 2018. POLICY CONSIDERATION: Does the Council wish to approve the addition of Jean Forbes and Jodi Karn as officers of Azeka, Inc. dba Brush Studio and renew the liquor license for the 2017-2018 license term? SUMMARY: Jean Forbes and Jodi Karn have been added as officers of Azeka, Inc. dba Brush Studio. Both individuals have been employed at the establishment since it opened in 2014 and are generally responsible for the day-to-day operations at the business. David Forbes was previously identified as the President/Owner of the establishment when the license was originally approved. Mr. Forbes continues to be an officer of the business, but has added Ms. Forbes and Ms. Karn as President & Vice President of Azeka, Inc. City Code Section 3-69(b) states that licenses issued to corporations shall be valid only as long as there is no change in the officers or ownership interest of the corporation, unless such change is approved by the City Council. The Police Department completed background investigations on Ms. Forbes and Ms. Karn and found no reason to deny the request to add both individuals as officers to the liquor license held by Azeka, Inc. dba Brush Studio. Additionally, the City has received all of the required information for renewal of the On-Sale Wine and 3.2% Malt Liquor License held by Azeka, Inc. dba Brush Studio for the license term of March 1, 2017 – March 1, 2018. FINANCIAL OR BUDGET CONSIDERATION: Fees received for liquor license renewals are budgeted and defray the costs the city incurs to administer and enforce liquor licensing regulations and requirements. The annual license fee for this establishment is $2,750. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Resolution Prepared by: Melissa Kennedy, City Clerk Reviewed by: Nancy Deno, Deputy City Manager/HR Director Approved by: Tom Harmening, City Manager City Council Meeting of February 21, 2017 (Item No. 4d) Page 2 Title: Brush Studio Liquor License Ownership Additions and Renewal RESOLUTION NO. 17- ____ RESOLUTION APPROVING RENEWAL OF ON-SALE WINE AND 3.2% LIQUOR LICENSE FOR AZEKA, INC. DBA BRUSH STUDIOS FOR THE PREMISES LOCATED AT 1651 PARK PLACE BLVD. FOR THE LICENSE TERM MARCH 1, 2017 - MARCH 1, 2018 WHEREAS, Minnesota Statutes Chapter 340A and St. Louis Park City Code Chapter 3 provide for liquor licensing in cooperation with the Alcohol and Gambling Enforcement Division of the Minnesota Department of Public Safety, and WHEREAS, no license may be issued or renewed if required criteria has not been met, and NOW THEREFORE BE IT RESOLVED by the City of St. Louis Park City Council that Azeka, Inc. dba Brush Studio has met the criteria necessary for issuance of their liquor licenses, and their application is hereby approved for March 1, 2017 to March 1, 2018. Reviewed for Administration: Adopted by the City Council February 21, 2017 Thomas K. Harmening, City Manager Jake Spano, Mayor Attest: Melissa Kennedy, City Clerk Meeting: City Council Meeting Date: February 21, 2017 Consent Agenda Item: 4e EXECUTIVE SUMMARY TITLE: Bid Tabulation: Sanitary Sewer Main Rehabilitation Project No. 4017-3000 RECOMMENDED ACTION: Motion to designate Insituform Technologies as the lowest responsible bidder and authorize execution of a contract with the firm in the amount of $315,642.40 for the Sanitary Sewer Main Rehab Project No. 4017-3000. POLICY CONSIDERATION: Does the City Council wish to continue the City’s practice of rehabilitating sanitary sewer infrastructure through lining? SUMMARY: Bids were received on February 6, 2017 for Sanitary Sewer Main Rehabilitation (Project No. 4017-3000). A total of five (5) bids were received for this project. A summary of the bid results is as follows: CONTRACTOR BID AMOUNT Insituform Technologies $315,642.40 Hydro-Klean, LLC $326,291.00 Lametti & Sons, Inc. $354,832.00 Veit & Company $368,641.00 Michels Corporation $399,709.00 Engineer’s Estimate $369,750.00 A review of the bids indicates Insituform Technologies submitted the lowest bid. Insituform is a reputable contractor that has successfully completed worked for the City before. Staff recommends that a contract be awarded to the firm in the amount of $315,642.40. FINANCIAL OR BUDGET CONSIDERATION: This project was planned for and included in the City’s adopted Capital Improvement Program, with an estimated construction cost of $410,000. The low bid received is well within the budget for this work. This project is paid for using Sanitary Sewer Utility Funds. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Discussion Prepared by: Phillip Elkin, Senior Engineering Project Manager Reviewed by: Debra Heiser, Engineering Director Approved by: Tom Harmening, City Manager City Council Meeting of February 20, 2017 (Item No. 4e) Page 2 Title: Bid Tabulation: Sanitary Sewer Main Rehab Project No. 4017-3000 DISCUSSION BACKGROUND: The City has a program to routinely video inspect the sewer system. Video inspection has revealed structural defects in various lines. Due to structural defects, infiltration, sewer blockages (backups), or line collapse may occur. To address these structural defects, before they lead to the problems described above, the city’s Capital Improvement Plan includes annual funding for a sanitary sewer main lining program. Lining can extend the life of our sanitary sewers by 50 years or more. This technology, called cured-in-place pipe (CIPP) renewal, installs a new resin pipe inside the old clay tile sewer main without digging up city streets, which results in minimal disruption to residents during construction. The liner pipe is inserted into the main through existing manholes and cured in place with a heat or steam process. Any given segment is usually completed in one working day. Service line connections are reopened using a robotic cutter and remote cameras. During the process, existing flows are bypassed using pumps. Project 4017-3000 includes lining of 14,118 feet of sanitary sewer mains at a number of streets in the Sorenson, Kilmer, Cobblecrest, Crestview, South Oak Hill, Oak Hill, Texa Tonka, Aquila, and Triangle neighborhoods. An advertisement for bids was published in the St. Louis Park Sun-Sailor on January 12, 2017. In addition, plans and specifications are noticed on the City Website and are made available electronically via the internet by our vendor Quest CDN.com. Email notification was provided to five minority associations and final printed plans were available for viewing at iSqFt and The Blue Book Building & Construction Network Planrooms and at City Hall. Construction Timeline Construction is tentatively planned to begin in March and should be completed by late May. Meeting: City Council Meeting Date: February 21, 2017 Consent Agenda Item: 4f EXECUTIVE SUMMARY TITLE: Lease Amendment No. 3 to City Agreement No. 4219 with Verizon Wireless RECOMMENDED ACTION: Motion to approve Amendment No. 3 to City Agreement No. 4219, between the City and Verizon Wireless (VAW) LLC d/b/a Verizon Wireless for communication antennas on the City’s water tower at 2541 Nevada Avenue S. POLICY CONSIDERATION: None at this time. SUMMARY: Original Agreement - In 1997, the City negotiated an antenna lease agreement with Verizon (f/k/a US West Communications, Inc.) for placement of up to 9 communication antennas, located 80’ above ground, on our water tower on Nevada Ave. The agreement was for a 5-year term with the option of four renewable 5-year terms. Amendment No. 1 (Approved 2/11/13) - The amendment allowed Verizon to place 12 antennas (3 additional) at 120’ above ground. In addition, Verizon removed and replaced their ground equipment storage building with a larger sized structure (approximately 30’x11’) to accommodate their equipment needs. Amendment No. 2 (Approved 11/17/14) - The amendment allowed Verizon to add 6 auxiliary boxes to the tower to work in conjunction with the new antennas being installed. Amendment No. 3 (Current Request) - The amendment allows Verizon to upgrade existing 12 antennas to new multi-technology antennas and add 3 new auxiliary boxes for a total of fifteen auxiliary boxes on the water tower. The Amendment has been reviewed and found to be acceptable by the City Attorney. FINANCIAL OR BUDGET CONSIDERATION: The annual lease rate for 2017 is $54,544.73. The revised 2017 annual lease rent rate will increase to $58,324.73, with a prorated amount of $3,150.00 due within 60 days after the amendment goes into effect. The rent structure is based on the number and type of antennas/auxiliary boxes and their height above ground on the tower. The financial terms of this agreement require annual lease payments with a 3% annual rate increase. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Amendment No. 3 to Agreement Prepared by: Scott Merkley, Public Works Services Manager Reviewed by: Mark Hanson, Public Works Superintendent Cynthia S. Walsh, Director of Operations and Recreation Approved by: Tom Harmening, City Manager City Council Meeting of February 21, 2017 (Item No. 4f) Page 2 Title: Lease Amendment No. 3 to City Agreement No. 4219 with Verizon CITY OF ST. LOUIS PARK AMENDMENT NO. 3 TO WATER TOWER ANTENNA AGREEMENT CONTRACT NO. 4219 (Verizon Wireless Site No. MIN060 St. Louis Park) This AMENDMENT NO. 3 TO WATER TOWER ANTENNA AGREEMENT (“Amendment) is made this ______ day of _______________________, 2017, by and between the City of St. Louis Park, Minnesota (“City”) and Verizon Wireless (VAW) LLC d/b/a Verizon Wireless (hereinafter “LESSEE”), with its principal office located at One Verizon Way, Mail Stop 4AW100, Basking Ridge, New Jersey 07920 (telephone number 866-862-4404), with reference to the facts set forth in the Recitals below: RECITALS A. City and LESSEE, or their predecessors in interest, are parties to a Water Tower Antenna Agreement dated November 3, 1997, Amendment No. 1 dated January 7, 2013, and Amendment No. 2 dated November 17, 2014 (“Agreement”) whereby City has leased a portion of City’s real property (the “Property”) and Water Tower to LESSEE, along with access and utility rights. B. City and LESSEE desire to amend the Agreement to (i) provide for additional equipment being added to the Water Tower. C. The LESSEE desire to amend the agreement to replace the existing twelve antennas with higher capacity antennas and increase the number of auxiliary antenna boxes allowed from twelve boxes to fifteen boxes to expand their communication capabilities. AGREEMENT NOW, THEREFORE, in consideration of the facts contained in the Recitals above, the mutual covenants and conditions below, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows: 1. The parties agree that Paragraph 3A of the Agreement is amended to read in its entirety as follows: A. Commencing March 1, 2017, LESSEE shall pay City, as rent, the sum of Fifty- eight Thousand Three Hundred Twenty-four and 73/100 Dollars ($58,324.73) per year (“Rent”). Rent shall be paid before January 1 of each year. Therefore, Lessee shall pay the City a prorated amount of Three Thousand One Hundred and Fifty and 00/100 Dollars ($3,150.00) for the increased rent for 2017 for March through December within sixty (60) days of execution of this Amendment as indicated in Exhibit F. Commencing on January 1, 2018, and each January 1 thereafter, the annual Rent shall increase by three percent (3%) as shown on Exhibit “F”. B.Add Exhibit “F” to the Agreement to showing the payment schedule for the next few years of the lease. City Council Meeting of February 21, 2017 (Item No. 4f) Page 3 Title: Lease Amendment No. 3 to City Agreement No. 4219 with Verizon 2. Exhibit “B-2” to the Agreement is replaced in its entirety by Exhibit B-3 consisting of the final plan set Rev. 1 signed and dated 12/20/16 and approved, signed, and dated 1/20/17 by the City. 3. The color of the antennas and any equipment placed on the Water Tower shall at all times be painted and maintained, at LESSEE’s expense, to match the color of the Water Tower or a color selected by the City. 4. LESSEE shall remove all non-operating equipment on the water tower at the time the new antennas are installed. 5. LESSEE is responsible for paying the cost of the consultant, hired by the City, for plan review and inspection services to ensure that the work authorized by this Amendment is done to City standards and in accordance with the requirements of the Agreement and this Amendment. 6. Except as specifically modified by this Amendment, the parties agree that all of the terms and conditions of the Agreement are in full force and effect and remain unmodified, and the parties hereby ratify and reaffirm the terms and conditions of the Agreement and agree to perform and comply with the same. In the event of a conflict between any term or provision of the Agreement and this Amendment, the terms and provisions of this Amendment shall control. In addition, except as otherwise stated in this Amendment, all initially capitalized terms will have the same respective defined meaning stated in the Agreement. IN WITNESS WHEREOF, City and LESSEE have caused this Amendment to be executed by each party’s duly authorized representative on the date written below. CITY: LESSEE: City of St. Louis Park, Minnesota Verizon Wireless (VAW) LLC d/b/a Verizon Wireless _______________________________ By: _________________________________ Jake Spano, Mayor ____________________________________ (Print Name) _______________________________ Its: _________________________________ Thomas K. Harmening, City Manager Meeting: City Council Meeting Date: February 21, 2017 Consent Agenda Item: 4g EXECUTIVE SUMMARY TITLE: Appeal of BOZA Decision – Library Lane LLC (Marge Nelson), 3338 Library Lane RECOMMENDED ACTION: Motion to Adopt Resolution reversing the Board of Zoning Appeals denial of Library Lane LLC’s application for a 256 square foot variance to allow 1,056 square feet of ground floor area for accessory buildings instead of the 800 square feet maximum allowed. POLICY CONSIDERATION: Is the application in alignment with the criteria that are considered when variances are requested? SUMMARY: The Applicant is requesting a 256 square foot variance to the 800 square foot maximum ground floor area allowed for accessory buildings to construct a second detached garage. The property is improved with a duplex. The existing detached garage is utilized by one of the families living in the building. The second detached garage is requested so the second family can have a garage to park vehicles in. The BOZA conducted a public hearing, and voted 3-1 to deny the application. The Applicant appealed the BOZA decision to the council, and the council conducted a public hearing on February 6, 2017. The council voted 5-0 to direct staff to prepare a Resolution reversing the BOZA decision, and approving the variance. The requested Resolution is attached for council consideration. The findings the council cited have been incorporated into the Resolution for your review. FINANCIAL OR BUDGET CONSIDERATION: Not Applicable. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Draft Resolution Exhibits to Resolution: Survey & Construction Detail Prepared by: Gary Morrison, Assistant Zoning Administrator Reviewed by: Sean Walther, Planning & Zoning Supervisor Michele Schnitker, Housing Supervisor/Deputy CD Director Approved by: Tom Harmening, City Manager City Council Meeting of February 21, 2017 (Item No. 4g) Page 2 Title: Appeal of BOZA Decision 3338 Library Lane DRAFT RESOLUTION NO. 17-____ RESOLUTION ADOPTING FINDINGS AND DECISION REVERSING THE BOARD OF ZONING APPEALS (BOZA) DENIAL OF LIBRARY LANE LLC’S APPLICATION FOR VARIANCE AT 3338 LIBRARY LANE BE IT RESOLVED by the City Council of the City of St. Louis Park, Minnesota, that the following Findings and Decision are adopted reversing the Board of Zoning Appeals (BOZA) denial of Library Lane LLC’s application for a variance to the accessory building ground floor area. PROCEDURAL BACKGROUND 1.On or about October 28, 2016, Marge Nelson, Chief Manager for Library Lane LLC filed a written request for a variance related to the ground floor area for accessory buildings. Specifically, the applicant is requesting a ground floor area of 1,056 square feet instead of the 800 square foot maximum allowed by code for the construction of a second detached garage. 2.On November 29, 2016, BOZA conducted a public hearing regarding the application. 3.BOZA voted 3-1 to deny the variance application. BOZA adopted Resolution 3- 16. 4.Marge Nelson, Chief Manager for Library Lane LLC appealed the decision to the City Council on December 6, 2016. 5.The City Council conducted a public hearing regarding the matter on February 6, 2017. 6. The record consists of the following: a.Council staff report – February 6, 2017. b. Draft resolution upholding the BOZA determination. c.Letter of appeal to city council, dated December 6, 2016. d. Development plans. e.BOZA resolution denying variance. f. BOZA staff report with attachments – November 29, 2016. g.BOZA minutes – November 29, 2016. h. Exhibits submitted to BOZA at the public hearing. 7.The City Council closed the public hearing, and on a 5-0 vote directed staff to draft a Resolution approving the variance application. 8.The Resolution approving the variance to allow a 256 square foot variance to allow 1,056 square feet of ground floor area for accessory buildings instead of the 800 square foot maximum allowed by code came before the City Council on February 21, 2017. City Council Meeting of February 21, 2017 (Item No. 4g) Page 3 Title: Appeal of BOZA Decision 3338 Library Lane FINDINGS OF FACT 1. The property is located at 3338 Library Lane, St. Louis Park, Minnesota (“Subject Property”). 2. The Subject Property is zoned R-2 Single-Family Residence. 3. The applicant is seeking to construct a second detached garage which requires a 256 square foot variance to the ground floor area maximum to allow 1,056 square feet of ground floor area instead of the required 800 square foot maximum required by code. 4. When reviewing the variances, the following criteria were examined and findings determined: A. The effect of the proposed variance upon the health, safety, and welfare of the community. The neighbors provided letters in support of the project. The proposed garage is adjacent to an alley and city street, so it does not directly impact adjacent residential properties. B. Whether or not the request is in harmony with the general purposes and intent of the Zoning Ordinance. The property is improved with a duplex. There is currently one two-car garage for one tenant. The proposed garage will be for the use of the other tenant in the duplex. This is consistent with the general purpose and intent of the zoning ordinance to allow each dwelling unit to have a two-car garage. C. Whether or not the request is consistent with the Comprehensive Plan. The Comprehensive Plan encourages “move-up housing”, which is achieved through remodeling existing homes and includes additions to homes and garages. D. Whether or not the applicant establishes that there are practical difficulties in complying with the Zoning Ordinance. Practical Difficulty means: 1. The proposed use is permitted in the zoning district in which the land is located. A variance can be requested for dimensional items only. The property is zoned R-2 Single-Family Residence, and detached garages are a permitted accessory use. 2. The plight of the landowner is due to circumstances unique to the property and not created by the landowner. The property was improved with a duplex in 1949. Duplexes are not permitted in the R-2 Zoning District, so the existing duplex is legally non- conforming. The existing garage was constructed in 2016 by the current property owner. Prior to the new garage and the current request, the City Council Meeting of February 21, 2017 (Item No. 4g) Page 4 Title: Appeal of BOZA Decision 3338 Library Lane property did not have garages and tenants parked on a gravel surface in the back yard. 3. The variance, if granted, will not alter the essential character of the locality. The property is larger than most in the area. The home owner is able to construct the proposed garage and maintain a large private open space in the back yard. The amount of impervious surface on the property will be reduced as a result of the new garage, thereby increasing the amount of open space in the backyard. 4. Economic considerations alone do not constitute practical difficulties. Economic considerations are not the primary issue to be remedied by the variance. 5. Practical difficulties include inadequate access to direct sunlight for solar energy systems. Access to direct sunlight is not a factor in the request or the project. E. Whether or not there are circumstances unique to the shape, topography, water conditions, or other physical conditions of the property. The property is larger than most in the area, so the additional garage space is in keeping with the character of the area. The amount of pervious surface will increase in the back yard as a result of the proposed garage construction. F. Whether or not the granting of the variance is necessary for the preservation and enjoyment of a substantial property right. The granting of the variances enables the tenants of the duplex to have a two-car garage, which is enjoyed by most families in the single-family district. G. Whether or not the granting of the variance will impair light and air to the surrounding properties, unreasonably increase congestion, increase the danger of fire, or endanger public safety. The proposed garage is located adjacent to the alley and 1st Street right-of-way, so it is not directly visible from neighboring properties. The proposed garage will also be located farther from the property line than the minimum required setbacks thereby reducing the visible impact from the adjacent right-of-ways. H. Whether or not the granting of the variance will merely serve as a convenience but is necessary to alleviate a practical difficulty. The granting of the variance will not merely serve as a convenience. The variance will allow each family in the duplex to have a two-car garage which is commonly enjoyed by residents in the neighborhood. City Council Meeting of February 21, 2017 (Item No. 4g) Page 5 Title: Appeal of BOZA Decision 3338 Library Lane DECISION Based upon the above findings, the Board of Zoning Appeals’ denial of Library Lane LLC’s variance application is reversed. The requested variance for 1,056 square feet of ground floor area for accessory buildings instead of the 800 square feet maximum required by code is approved with the condition that the variance allows only the two garages as presented to the city council and adopted as exhibits to this Resolution. Reviewed for Administration: Adopted by the City Council February 21, 2017 Tom Harmening, City Manager Jake Spano, Mayor Attest: Melissa Kennedy, City Clerk Exhibits to Resolution: Survey City Council Meeting of February 21, 2017 (Item No. 4g) Title: Appeal of BOZA Decision 3338 Library Lane Page 6 Construction Detail City Council Meeting of February 21, 2017 (Item No. 4g) Title: Appeal of BOZA Decision 3338 Library Lane Page 7 Meeting: City Council Meeting Date: February 21, 2017 Consent Agenda Item: 4h EXECUTIVE SUMMARY TITLE: Appeal of BOZA Decision – Kim Erickson, 3951 Quentin Avenue South RECOMMENDED ACTION: Motion to Adopt Resolution reversing the Board of Zoning Appeals denial of Kim Erickson’s application for a 20.7 foot variance to the required 25.0 foot rear yard, and a 2.0 foot variance to the required 7.4 foot side yard required for a proposed addition to a home located at 3951 Quentin Ave S. POLICY CONSIDERATION: Is the application in alignment with the criteria that are considered when variances are requested? SUMMARY: The Applicant, Kim Erickson is requesting a 20.7 foot variance to the required 25 foot rear yard and a 2.0 foot variance to the required 7.4 foot side yard to construct an addition to the home and garage. The purpose of the addition is to expand the kitchen and attached garage. The BOZA conducted a public hearing, and voted 2-1 to deny the application. Ms. Erickson appealed the BOZA decision to the council, and the council conducted a public hearing on February 6, 2017. The council voted 4-1 to direct staff to prepare a Resolution reversing the BOZA decision, and approving both variances. The requested Resolution is attached for council consideration. The findings the council cited have been incorporated into the Resolution for your review. FINANCIAL OR BUDGET CONSIDERATION: Not Applicable. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Draft Resolution Exhibits to Resolution: Survey & Construction Plan Prepared by: Gary Morrison, Assistant Zoning Administrator Reviewed by: Sean Walther, Planning & Zoning Supervisor Michele Schnitker, Housing Supervisor/Deputy CD Director Approved by: Tom Harmening, City Manager City Council Meeting of February 21, 2017 (Item No. 4h) Page 2 Title: Appeal of BOZA Decision – Kim Erickson, 3951 Quentin Avenue South DRAFT RESOLUTION NO. 17-____ RESOLUTION ADOPTING FINDINGS AND DECISION REVERSING THE BOARD OF ZONING APPEALS (BOZA) DENIAL OF KIM ERICKSON’S APPLICATION FOR VARIANCES BE IT RESOLVED by the City Council of the City of St. Louis Park, Minnesota, that the following Findings and Decision are adopted reversing the Board of Zoning Appeals (BOZA) denial of Kim Erickson’s application for a variance to the rear yard, and a variance to the interior side yard. PROCEDURAL BACKGROUND 1.On or about November 16, 2016, Kim Erickson filed a written request for a variance related to the interior side yard and the rear yard. Specifically, the applicant requests a 4.3 foot rear yard where 25 feet is required, and a 5.4 foot interior side yard where 7.4 feet is required. 2.On December 22, 2016, BOZA conducted a public hearing regarding the application. 3.BOZA voted 2-1 to deny both variance applications. BOZA adopted Resolution 4-16. 4. Kim Erickson appealed the decision to the City Council on December 29, 2016. 5. The City Council conducted a public hearing regarding the matter on February 16, 2017. 6. The record consists of the following: a.Council staff report – February 6, 2017. b. Draft resolution upholding the BOZA determination. c.Letter of appeal to city council, dated December 29, 2016. d. Development plans. e.BOZA resolution denying variances. f.BOZA staff report with attachments – December 22, 2016 g.BOZA minutes (unofficial) – December 22, 2016 h. Exhibits submitted to BOZA at the public hearing. 7.The City Council closed the public hearing, and on a 4-1 vote directed staff to draft a Resolution approving the variance applications. 8.The Resolution approving the variance to allow a 4.3 foot rear yard where 25 feet is required, and a 5.4 foot interior side yard where 7.4 feet is required came before the City Council on February 6, 2017. City Council Meeting of February 21, 2017 (Item No. 4h) Page 3 Title: Appeal of BOZA Decision – Kim Erickson, 3951 Quentin Avenue South FINDINGS OF FACT 1.The property is located at 3951 Quentin Avenue South, St. Louis Park, Minnesota (“Subject Property”). 2. The Subject Property is zoned R-2 Single-Family Residence. 3.The applicant seeks to expand the kitchen which requires the 2.0 foot variance to the interior side yard to allow a 5.4 foot interior side yard instead of the required 7.4 feet, and to add to the garage which requires a 20.7 foot variance to allow a 20.7 foot variance to allow a 4.3 foot rear yard instead of the 25.0 feet required by code. 4.When reviewing the variances, the following criteria were examined and findings determined: A.The effect of the proposed variance upon the health, safety, and welfare of the community. The project will not impact the health, safety or welfare of the community. The project will not negatively impact the neighboring properties and the neighbors directly adjacent to the additions provided letters in support of the project. The proposed project has the least impact on the neighboring properties than other options presented to the city council. B.Whether or not the request is in harmony with the general purposes and intent of the Zoning Ordinance. The project proposes a modest expansion to the kitchen and garage. The kitchen expansion provides additional counter space and space to dine in the kitchen. The garage expansion provides additional storage space for yard equipment and trash containers. C.Whether or not the request is consistent with the Comprehensive Plan. The Comprehensive Plan encourages “move-up housing”, which is achieved through remodeling existing homes and includes additions to homes and garages. D.Whether or not the applicant establishes that there are practical difficulties in complying with the Zoning Ordinance. Practical Difficulty means: 1.The proposed use is permitted in the zoning district in which the land is located. A variance can be requested for dimensional items only. The property is zoned R-2 Single-Family Residence, and a single-family home is permitted in this district. 2.The plight of the landowner is due to circumstances unique to the property and not created by the landowner. The property is irregularly shaped, and the house was built facing the side yard abutting the street instead of the front yard which is more typical. The City Council Meeting of February 21, 2017 (Item No. 4h) Page 4 Title: Appeal of BOZA Decision – Kim Erickson, 3951 Quentin Avenue South combination of these two factors makes it difficult to expand the living and storage areas without a variance. 3.The variance, if granted, will not alter the essential character of the locality. The proposed additions are modest in size, and the resulting distance from the additions to the neighbor’s homes resemble distances typically found in this neighborhood. 4.Economic considerations alone do not constitute practical difficulties. Economic considerations are not the primary issue to be remedied by the variance. 5.Practical difficulties include inadequate access to direct sunlight for solar energy systems. Access to direct sunlight is not a factor in the request or the project. E.Whether or not there are circumstances unique to the shape, topography, water conditions, or other physical conditions of the property. The property is irregularly shaped, and legally non-conforming to the lot width requirements. F.Whether or not the granting of the variance is necessary for the preservation and enjoyment of a substantial property right. The granting of the variances enables the property owner to enjoy a modest sized kitchen and garage space. G.Whether or not the granting of the variance will impair light and air to the surrounding properties, unreasonably increase congestion, increase the danger of fire, or endanger public safety. If approved, the proposed variance would not impair light and air to the surrounding properties, or increase the congestion, danger of fire, or endanger public safety. H.Whether or not the granting of the variance will merely serve as a convenience or is it necessary to alleviate a practical difficulty. The granting of the variance will not merely serve as a convenience. The design and construction of the additions results in a modest kitchen that will enable the applicant’s family to dine at a table in the kitchen, and to store yard equipment and trash cans in the garage. Both of which are commonly enjoyed by residents in the neighborhood. City Council Meeting of February 21, 2017 (Item No. 4h) Page 5 Title: Appeal of BOZA Decision – Kim Erickson, 3951 Quentin Avenue South DECISION Based upon the above findings, the Board of Zoning Appeals’ denial of Kim Erickson’s variance applications is reversed. The requested variance for 5.4 foot interior side yard instead of the 7.4 feet required by code, and the 4.3 foot rear yard instead of the 25.0 feet required by code are approved with the condition that the variances apply only to the additions presented to the city council and adopted as exhibits to this Resolution. Reviewed for Administration: Adopted by the City Council February 21, 2017 Tom Harmening, City Manager Jake Spano, Mayor Attest: Melissa Kennedy, City Clerk Exhibits to Resolution: Survey City Council Meeting of February 21, 2017 (Item No. 4h) Title: Appeal of BOZA Decision – Kim Erickson, 3951 Quentin Avenue South Page 6 City Council Meeting of February 21, 2017 (Item No. 4h) Title: Appeal of BOZA Decision – Kim Erickson, 3951 Quentin Avenue South Page 7 Meeting: City Council Meeting Date: February 21, 2017 Consent Agenda Item: 4i EXECUTIVE SUMMARY TITLE: St. Louis Park Vision 3.0 Purchasing Cards RECOMMENDED ACTION: Motion to authorize the issuance of purchasing cards for residents conducting community meetings to collect information as part of the St. Louis Park Vision 3.0 process. POLICY CONSIDERATION: Should the City provide residents who facilitate community meetings a purchasing card in the amount of $25 to defray expenses they incur? SUMMARY: After facilitator training on February 21 for St. Louis Park Vision 3.0, community members will be hosting community conversations about the future of St. Louis Park. The City Manager has requested that the trained facilitators be given a $25 purchasing card to defray expenses they will experience for things such as copying costs, supplies, light refreshments, etc for the meetings. The residents conducting these meetings will be given a card with instructions and any cards with a remaining balance will be returned to the city at the end of the neighborhood conversations. Since we anticipate this to be a one-time item, staff is recommending council approve this action. FINANCIAL OR BUDGET CONSIDERATION: The St. Louis Park Vision 3.0 project and related expenditures are budgeted in the Development Fund. The impact is estimated to range from $1,160 to $1,740 depending on the number of residents participating. VISION CONSIDERATION: St. Louis Park is committed to being a connected and engaged community. SUPPORTING DOCUMENTS: None Prepared by: Tim Simon, Chief Financial Officer Reviewed by: Nancy Deno, Deputy City Manager/HR Director Jacque Larson, Communications and Marketing Manager Approved by: Tom Harmening, City Manager Meeting: City Council Meeting Date: February 21, 2017 Consent Agenda Item: 4j FIRE CIVIL SERVICE COMMISSION MINUTES November 2, 2016 – 8:00 a.m. WESTWOOD ROOM – CITY HALL 1. The meeting was called to order at 8:04 a.m. by President Tift. 2. In attendance were Commissioners Stuart Williams, Bob Tift, and Bill MacMillan. Also present were Ali Timpone, HR Coordinator/Staff Liaison; Steve Koering, Fire Chief; John Wolff, Deputy Fire Chief; and Union President and Lieutenant Eva Hansen. 3. Minutes of the February 29, 2016 Fire Civil Service meeting were approved as presented. 4. Deputy Chief Wolff presented the recommended promotional process for Fire Lieutenant. One change to the process is that the simulator is now offered several times throughout the year so interested candidates can re-take the simulator to get the best score possible. Hennepin County Fire Chief’s Association administers the simulator for us. A motion was made by Commissioner MacMillan, seconded by Commissioner Williams, to approve the promotional process for the position of Fire Lieutenant. Motion carried unanimously. 5. In other business, Commissioner Williams discussed upcoming plans to ask the legislature to update the statute relating to the Fire Civil Service Commission. He would like to delete sections that make it a crime both to ask a Firefighter for a political contribution and for a Firefighter to make a political contribution, and change the section that requires meeting at City Hall on the first Monday in February each year. Chief Koering concurred and informed the group that he is getting other Police and Fire Commissions on board, and that the League of MN Cities have reviewed the proposed changes and have no objections. 6. Chief Koering provided a staffing update on the SAFER grant, which provided 2 new Firefighters in 2017. Candidates from our existing Eligibility Roster have been identified and will begin work on January 23, 2017 (Bolinger and Buckel). 7. Commissioner MacMillan informed the group that the American Legion has funded a lock box program which allows residents to purchase a box for a spare key for Firefighter use, which avoids emergency personnel from having to destroy property (breaking down front doors, windows, etc). It’s a great benefit for the community and will be subsidized for low income residents. Commissioner MacMillan also asked about publicizing the department’s donation to Tye, Texas of turnout gear. Chiefs agreed to look into this. 8. The Commission adjourned at 8:36 a.m. Respectfully submitted, Ali Timpone HR Coordinator/City Staff Liaison Meeting: City Council Meeting Date: February 21, 2017 Consent Agenda Item: 4k OFFICIAL MINUTES PLANNING COMMISSION ST. LOUIS PARK, MINNESOTA January 18, 2017 – 6:00 p.m. COUNCIL CHAMBERS MEMBERS PRESENT: Lynne Carper, Claudia Johnston-Madison, Torrey Kanne, Lisa Peilen, Richard Person, Carl Robertson, Joe Tatalovich, Ethan Rickert (youth member) MEMBERS ABSENT: None STAFF PRESENT: Jennifer Monson, Sean Walther, Phil Elkin, Jason West 1. Call to Order – Roll Call 2. Approval of Minutes of December 7, 2016 Commissioner Peilen made a motion to approve the minutes of December 7, 2016. The motion passed on a vote of 5-0. Commissioner Person arrived at 6:05 p.m. Commissioner Tatalovich arrived at 6:12 p.m. 3. Public Hearings A.Carpenter Park Stormwater and Skate Park – Conditional Use Permit Location: 5005 Minnetonka Blvd. – Carpenter Park Applicant: City of St. Louis Park Case No.: 16-46-CUP Jennifer Monson, Planner, presented the staff report. She stated that the request for a conditional use permit is for excavation of soil in order to construct an underground stormwater detention system at the southwest corner of Carpenter Park. As part of the project the Engineering Dept. is working with the Operations and Recreation Dept. to construct a skate park that is 6,000 – 9,000 square feet in area over the top of the stormwater detention vault. Ms. Monson described existing park conditions. She reviewed construction hours, construction plans and landscaping. Ms. Monson spoke about the January 11 neighborhood meeting held to discuss the stormwater retention system and the skate park. She said 21 people attended. There was general support for both projects. Some concern was expressed regarding traffic, parking congestion and the loss of green space. Ms. Monson said that staff and skate park users present at the meeting spoke about skate parks being self-regulating. They can only hold a certain amount of people at the same time so if there isn’t enough space skaters will go elsewhere. They also said most skaters do not drive to the skate board parks, so there is Page 2 City Council Meeting of February 21, 2017 (Item No. 4k) Title: Planning Commission Meeting Minutes January 18, 2017 less of a traffic concern. She noted that the Engineering Dept. stated at the meeting that there is the ability to add 8-10 parking spots along the frontage road. Ms. Monson stated that some representatives of the Friends of Bass Lake were present at the neighborhood meeting. They indicated that they wished the stormwater project was located closer to the Bass Lake Preserve. Commissioner Carper asked about the surface level at Bass Lake and the surface level of the proposed retention basin. He asked if a lift station would be necessary. Phil Elkin, Sr. Engineering Project Manager, responded that the proposed system will have a lift station. Commissioner Carper had questions about the tree mix proposed for landscaping. He asked why more significant tree choices, such as maples, were not made. Ms. Monson responded she can bring this comment to the city Environmental Coordinator who determined the tree mix. Chair Johnston-Madison opened the public hearing. Chris James, 3117 Salem Ave. S., said he supports the stormwater system improvement. He said he doesn’t like the relocation of the skate park to Carpenter Park. He said it is a very busy area with two Little League baseball parks which take up a lot of space and parking. He said in the summer parking wraps up all along the service road and up to and including Salem Ave. He said the service road is narrower than a regular city street. There are lots of pedestrians, runners and bikers on the trail and visibility can be a problem. The sidewalk ends at Salem Ave. before the trail connection. Bikers ride around the parked traffic to get to the trail. He said there must be parks with less traffic that would be a better location for a skate park. Mr. James said he noticed problems with the weir at Bass Lake and asked if that would be upgraded at the same time. Mr. Elkin said that is a separate project. He spoke about the progress being made with that project. Chair Johnston-Madison closed the public hearing. Commissioner Person spoke about the narrow service road. He asked if there were any plans to upgrade that road. Mr. Elkin responded that there are no plans and no funds for the service road, other than adding some parking spaces. He said as the pavement management plans catch up with this area staff would look at the condition of the road, the width of the road and parking. Jason West, Recreation Superintendent, noted that staff is looking at a trail connection to the skate park so the skate park won’t abut to the sidewalk as it currently does. He added that vehicle traffic to the former skate park was consistently very light. Page 3 City Council Meeting of February 21, 2017 (Item No. 4k) Title: Planning Commission Meeting Minutes January 18, 2017 Commissioner Peilen made a motion recommending approval of the Conditional Use Permit for 6,000 cubic yards of excavation to allow construction of the underground stormwater detention system and city skate park. Commissioner Robertson seconded the motion, and the motion passed on a vote of 7-0. 4. Other Business A.Election of Chair and Vice Chair Lisa Peilen made a motion to serve as Chair. Claudia Johnston-Madison seconded the motion, and the motion passed on a vote of 7-0. Lisa Peilen made a motion to nominate Carl Robertson as Vice Chair. Claudia Johnston-Madison seconded the motion, and the motion passed on a vote of 7-0. 5. Communications A.Boards and Commissions Annual Meeting – Feb. 27 Sean Walther, Planning and Zoning Supervisor, discussed the annual meeting planned for February 27, 5:30 p.m. Commissioners will be receiving formal invitations soon. B.Vision Process Mr. Walther discussed the St. Louis Park Vision process which has just commenced with a Steering Committee meeting held on January 17. He spoke about upcoming events for community participation in the process. 6. Adjournment The meeting was adjourned at 6:30 p.m. STUDY SESSION The study session began at 6:35 p.m. 1. The Elmwood Sean Walther, Planning and Zoning Supervisor, said the public hearing for plat and PUD will come before the Planning Commission on February 1. Mr. Walther stated that staff, developers and City Council have been discussing the project for months. Jennifer Monson, Planner, presented renderings of the development and discussed project details. Commissioners asked about affordable housing units, unit square footage, street connections, entrances and plans for adjacent businesses and parking lot. Page 4 City Council Meeting of February 21, 2017 (Item No. 4k) Title: Planning Commission Meeting Minutes January 18, 2017 Commissioner Johnston-Madison and Ms. Monson discussed the smaller 5-story building originally presented to the City Council. Commissioner Johnston-Madison said she isn’t in favor of the revised proposal which increases density to accommodate affordable units. Commissioner Tatalovich said he feels the opposite due to the proximity of the highway and light rail station. He said this area can go higher. He said he thinks it is a great spot for more density as the opportunities to hook up with planned changes in the area develop. Commissioners Peilen and Johnston-Madison asked if this project and the PLACE project would put too much pressure on 36th Street as a whole. Commissioner Robertson said he didn’t mind the height. He said the property is guided mixed use but it doesn’t feel mixed use, it feels residential. He said he’d like to see the entire street level walkable and commercial. Commissioner Kanne commented that the street doesn’t feel walkable. She spoke about problems at the 36th & Wooddale intersection. She said given the proximity to Hwy. 100 she doesn’t think the building is too tall. Ms. Monson discussed the traffic study which was conducted for the project. Mr. Walther added that a larger traffic study was done in the area and that study included all projected growth in this corridor based on the Comprehensive Plan. As a result of that study significant changes have been made to the PLACE proposed development in order to resolve concerns about traffic. He said the project is being looked at in a broader view. 2. PLACE Mr. Walther spoke about revised concept plans. He said a variety of heights have been discussed and explored. The developer discussed the revised concept plans, building program, and building materials. Commissioners reiterated parking and traffic concerns. They also inquired about the onsite energy generation that was expected to be produced. 3. Council Chambers Remodeling Brian Hoffman, Director of Inspections, presented a concept plan for the proposed remodeling and invited input from the Planning Commission. Commissioners offered a number of suggestions. The meeting adjourned at 9:20 p.m. Respectfully submitted, Nancy Sells Recording Secretary Meeting: City Council Meeting Date: February 21, 2017 Public Hearing Agenda Item: 6a EXECUTIVE SUMMARY TITLE: Public Hearing to Consider Allocation of 2017 Community Development Block Grant (CDBG) Funds RECOMMENDED ACTION: Mayor to open the public hearing, take testimony, and then close the hearing. Motion to Adopt Resolution approving proposed use of 2017 Urban Hennepin County Community Development Block Grant (CDBG) Program Funds and authorize execution of Subrecipient Agreement with Hennepin County and Third Party Agreements. POLICY CONSIDERATION: Does the City Council concur with the recommendations made for the allocation of $162,078 in 2017 CDBG funds? SUMMARY: Each year the city must decide how to use its annual allocation of CDBG Funds. CDBG funds are US Housing and Urban Development (HUD) funds distributed through Hennepin County. The city must submit its proposed use of the allocation to Hennepin County by February 24, 2017. Prior to submittal, the city must hold a public hearing. The hearing and official City Council action is scheduled for February 21, 2017. This year’s proposed use of CDBG funds reflects the city’s priorities to preserve existing housing and increase affordable ownership opportunities. Ninety-five percent of the allocation focuses on assisting low-income residents with emergency repairs, rehab loans, improvement projects and affordable ownership opportunities. The remaining amount is proposed for youth park programming at Meadowbrook Manor Park. FINANCIAL OR BUDGET CONSIDERATION: CDBG funds allow cities discretion (within HUD guidelines) to fund projects that meet the national low income objectives and the needs of cities. CDBG funding is expected to remain close to the fiscal year 2016 funding level; however, the federal budget has yet to be finalized. Hennepin County estimates St. Louis Park will receive $162,078 in 2017. The 2017 CDBG year runs from July 1, 2017 through June 30, 2018. Staff anticipates the proposed projects can expend the funds in a timely manner. The final funding amount may vary slightly from the estimate. Staff will keep council apprised of actual funding amounts. VISION CONSIDERATION: St. Louis Park is committed to providing a well-maintained and diverse housing stock. SUPPORTING DOCUMENTS: Discussion Proposed Program Descriptions Draft Resolution Prepared by: Marney Olson, Assistant Housing Supervisor Reviewed by: Michele Schnitker, Housing Supervisor Approved by: Tom Harmening, City Manager City Council Meeting of February 21, 2017 (Item No. 6a) Page 2 Title: Public Hearing to Consider Allocation of 2017 Community Development Block Grant (CDBG) Funds DISCUSSION BACKGROUND: The national objectives of the CDBG program are to benefit low and moderate-income persons, prevention or elimination of slum or blight and/or to meet a particular urgent community development need. From a policy perspective, the city council has typically focused CDBG funds on “sticks and bricks” improvements to the housing stock for low-income families. A small portion of funds have also been allocated to support public services for St. Louis Park Housing Authority (SLPHA) residents and park programming for low-income youth. PRESENT CONSIDERATIONS: The proposed use of CDBG funds reflects the city’s priorities to preserve existing housing and increase affordable ownership opportunities. This year’s proposed allocation is summarized in Table 1 below. Ninety-five percent of the allocation focuses on assisting low-income residents with emergency repairs, rehab loans, home renovations and affordable ownership opportunities. The remaining amount is proposed for youth park programming at Meadowbrook Manor Park. Historically, the city has allocated CDBG funds to non-profit affordable housing providers to assist with their building renovations. One agency is still in process of spending previously allocated CDBG funds, but we will consider allocating funds again in 2018 to a non-profit affordable housing provider. Table 1: Proposed 2017 CDBG Allocation Project Activity Proposed Ongoing Activity Allocation Low Income Single Family Emergency Repair Program $45,000 yes Low Income Single Family Home Rehab Loan $79,578 yes Affordable Housing Land Trust – Homes within Reach $30,000 yes Public Service – Youth Park Programming at Meadowbrook Park $7,500 yes Total $162,078 NEXT STEPS: February 24, 2017 is the deadline for Submission of the CDBG Application to Hennepin County City Council Meeting of February 21, 2017 (Item No. 6a) Page 3 Title: Public Hearing to Consider Allocation of 2017 Community Development Block Grant (CDBG) Funds Proposed Program Descriptions Emergency Repair Program – Single Family $45,000 This program is consistent with the council’s adopted housing goals and has proven its responsiveness to low income seniors and vulnerable residents with annual incomes of 50% or less of the median area income, or $30,350 for a single person household, and assets less than $25,000. It provides grants of up to $4,000 for emergencies such as leaking roofs, plumbing repairs, water heaters or code violations. Community Action Partners for Suburban Hennepin County (CAPSH) currently administers this program for the City. This is an ongoing CDBG activity. Low Income Single Family Deferred Loan Program - $79,578 This is the primary ongoing CDBG zero interest deferred rehab loan program targeted for homeowners with annual income of 50% or less of the median area income based on family size ($30,350 for a household of one, $42,900 for a household of 4) and assets less than $25,000. Families up to 80% of AMI would have a 3% simple interest rate. The rehab focuses on improvements to bring homes into code compliance and provide long-term maintenance free housing. The maximum loan amount is $30,000 and is forgiven after 15 years. Repayment is required if homeowners sell the property before the 15-year period expires. This program is administered by Hennepin County Housing staff. There is currently a waiting list for the low income single family deferred loan program so staff recommends an increase of approximately $10,000 to this project over 2016 funding levels. Continued funding, along with the program income realized from repayment of previous CDBG deferred loans, should make it possible to serve three to five residents depending on project scope. Affordable Housing Land Trust – Homes Within Reach - $30,000 Homes within Reach is a program of West Hennepin Housing Land Trust that purchases homes and sells them to low income homeowners. Buyers pay for the cost of the building only and lease the land for 99 years. St. Louis Park funds are leveraged with Met Council and Hennepin County HOME funds, and Homes within Reach administers this activity. Homes within Reach has purchased fourteen homes in the city that have been sold to low income families. They are under contract for a fifteenth home and have served 17 families with three resales. The current housing market has made finding affordable homes challenging in St. Louis Park for homeowners and Homes Within Reach; therefore, we are proposing an increase of $10,000 in funding for 2017. Public Service – SLP Park and Rec. Programming at Meadowbrook Manor Parks - $7,500 The Park and Recreation Department provides park programming to children at the Meadowbrook Manor Apartment Community. The $7,500 would provide an enhanced level of programming and ensure affordable registration fees. The youth park programming has been funded with CDBG funds since 2007. Meadowbrook Manor Park is CDBG eligible based on the poverty levels in this neighborhood. City Council Meeting of February 21, 2017 (Item No. 6a) Page 4 Title: Public Hearing to Consider Allocation of 2017 Community Development Block Grant (CDBG) Funds DRAFT RESOLUTION NO. 17 - ____ RESOLUTION APPROVING PROPOSED APPLICATION FOR 2017 URBAN HENNEPIN COUNTY COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) PROGRAM FUNDS AND AUTHORIZING EXECUTION OF SUBRECIPIENT AGREEMENT WITH URBAN HENNEPIN COUNTY AND ANY THIRD PARTY AGREEMENTS WHEREAS, the City of St. Louis Park, through execution of a Joint Cooperation Agreement with Hennepin County, is cooperating in the Urban Hennepin County Community Development Block Grant Program; and WHEREAS, the City of St. Louis Park has developed a proposal for the use of 2017 Urban Hennepin County Community Development Block Grant funds; and WHEREAS, the City held a public hearing on February 21, 2017 to obtain the views of citizens on housing and community development needs and priorities and the City's proposed use of $162,078 from the 2016 Urban Hennepin County Community Development Block Grant. BE IT RESOLVED, that the City Council of St. Louis Park approves the following projects for funding from the 2017 Urban Hennepin County Community Development Block Grant Program and authorizes submittal of the proposal to Urban Hennepin County/Consolidated Pool. BE IT FURTHER RESOLVED that the City Council hereby authorizes and directs the Mayor and its City Manager to execute the Subrecipient Agreement and any required Third Party Agreement on behalf of the City to implement the 2017 Community Development Block Grant Program. BE IT FURTHER RESOLVED, that should the final amount of FY2017 CDBG available to the city be different from the preliminary amount provided to the city, the City Council hereby authorizes the city manager to adjust project budget(s) to reflect an increase or decrease in funding. Reviewed for Administration: Adopted by the City Council February 21, 2017 Thomas K. Harmening, City Manager Jake Spano, Mayor Attest: Melissa Kennedy, City Clerk Project Activity Allocation Low Income Single Family Emergency Repair Program $45,000 Low Income Single Family Home Rehab Loan $79,578 Affordable Housing Land Trust – Homes within Reach $30,000 Public Service – Youth Park Programming at Meadowbrook Park $7,500 Total $162,078 Meeting: City Council Meeting Date: February 21, 2017 Action Agenda Item: 8a EXECUTIVE SUMMARY TITLE: Third Amendment to the Preliminary Development Agreement with PLACE RECOMMENDED ACTION: Motion to Adopt Resolution approving the Third Amendment to the Preliminary Development Agreement with PLACE. POLICY CONSIDERATION: Does the City Council wish to continue to pursue the PLACE redevelopment project? SUMMARY: PLACE, the EDA and the City are currently parties to a Preliminary Development Agreement in which the parties agreed to work cooperatively toward a mutually supportable transit oriented development project on the subject properties and to negotiate in good faith toward a definitive Purchase and Redevelopment Contract as well as a related planning development contract regarding the development. The Agreement terminates on February 28, 2017 unless it is extended. Given that the parties are close to entering into such agreements, PLACE has requested that the Preliminary Development Agreement be extended 6 months until August 31, 2017 so as to allow the parties adequate time to successfully complete negotiations on the contracts and present them for formal consideration. The extension is necessary to provide PLACE’s funding partners with continued assurance of its ability to secure the subject properties for the proposed development. It is the expectation of all parties to work toward the approval of a formal Purchase and Redevelopment Contract and planning development contract no later than August 31, 2017. A resolution of approval and third amendment to the Preliminary Development Agreement has been prepared by the EDA’s legal counsel and is attached for City action. Also is attached a chart showing the schedule or timeline of anticipated City Council meetings and actions regarding PLACE over the next few months. Some of the dates are likely to change. As they do we will update and distribute this schedule for the City Council FINANCIAL OR BUDGET CONSIDERATION: Under the proposed Third Amendment, PLACE remains obligated to reimburse the EDA for all out-of-pocket costs it incurs in connection with review and analysis of the proposed Development prior to the extended termination date. VISION CONSIDERATION: St. Louis Park is committed to providing a well-maintained and diverse housing stock. SUPPORTING DOCUMENTS: Resolution Third Amendment PLACE Timeline Prepared by: Greg Hunt, Economic Development Coordinator Reviewed by: Kevin Locke, CD Director Approved by: Tom Harmening, EDA Executive Director and City Manager City Council Meeting of February 21, 2017 (Item No. 8a) Page 2 Title: Third Amendment to the Preliminary Development Agreement with PLACE CITY OF ST. LOUIS PARK RESOLUTION NO. 17-____ RESOLUTION APPROVING A THIRD AMENDMENT TO THE PRELIMINARY DEVELOPMENT AGREEMENT BETWEEN THE ST. LOUIS PARK ECONOMIC DEVELOPMENT AUTHORITY, THE CITY OF ST. LOUIS PARK, AND PLACE BE IT RESOLVED BY the City Council (the “Council”) of the City of St. Louis Park, Minnesota (the “City”) as follows: Section 1. Recitals. 1.01. Pursuant to its authority under Minnesota Statutes, Sections 469.090 to 469.1082, as amended, the St. Louis Park Economic Development Authority (the “Authority”) administers its Redevelopment Project No. 1 (the “Project”), for the purpose of facilitating the redevelopment of certain substandard property within the Project. 1.02. The City and the Authority own certain property (the “Property”) within the Project, which Property has been the subject of certain preliminary negotiations with PLACE (the “Developer”) for purposes of constructing a mixed-use (multi-family residential and commercial), mixed-income development on the Property and related parking, incorporating renewable energy sources including an anaerobic digester (the “Development”). 1.03. The City, the Authority, and the Developer previously executed a Preliminary Development Agreement, dated as of May 18, 2015, as amended by a First Amendment thereto dated as of February 16, 2016 and a Second Amendment thereto dated as of June 20, 2016 (as so amended, the “Agreement”), providing for the performance of certain activities on the part of the parties in preparation for the negotiation of a definitive Purchase and Redevelopment Contract in connection with the Property. 1.04. The parties have negotiated and propose to execute a Third Amendment to the Agreement (the “Third Amendment”) in order to extend the deadline for the completion of these preliminary activities for an additional period of six months, to allow sufficient time to complete the negotiations necessary to finalize the Purchase and Redevelopment Contract. Section 2. Third Amendment Approved. 2.01. The Third Amendment as presented to the Council is hereby in all respects approved, subject to modifications that do not alter the substance of the transaction and that are approved by the Mayor and City Manager, provided that execution of the Third Amendment by such officials shall be conclusive evidence of approval. 2.02. The Mayor and City Manager are hereby authorized to execute on behalf of the City the Third Amendment and any documents referenced therein requiring execution by the City, and to carry out, on behalf of the City, its obligations thereunder. City Council Meeting of February 21, 2017 (Item No. 8a) Page 3 Title: Third Amendment to the Preliminary Development Agreement with PLACE 2.03. City staff and consultants are authorized to take any actions necessary to carry out the intent of this resolution. Reviewed for Administration: Adopted by the City Council February 21, 2017 Thomas K. Harmening, City Manager Jake Spano, Mayor Attest: Melissa Kennedy, City Clerk City Council Meeting of February 21, 2017 (Item No. 8a) Page 4 Title: Third Amendment to the Preliminary Development Agreement with PLACE THIRD AMENDMENT TO PRELIMINARY DEVELOPMENT AGREEMENT THIS THIRD AMENDMENT TO PRELIMINARY DEVELOPMENT AGREEMENT (this “Agreement”), dated _____________, 2017, by and between the St. Louis Park Economic Development Authority, a public body corporate and politic under the laws of the State of Minnesota (the “Authority”), the City of St. Louis Park, a Minnesota municipal corporation (the “City”), and PLACE, a Minnesota nonprofit corporation (the “Developer”); WITNESSETH: WHEREAS, the Authority, the City, and Developer previously entered into a Preliminary Development Agreement dated as of May 18, 2015, as amended by a First Amendment thereto dated as of February 16, 2016 and a Second Amendment thereto dated as of June 20, 2016 (as so amended, the “Agreement”), to promote the development of certain improvements (the “Minimum Improvements”) on certain property within Redevelopment Project No. 1 in the City, located at 5725, 5925 and 5815 Highway 7, 3575 Wooddale Avenue, 5814 36th Street, and 5816 36th Street (the “City and Authority Property”) and 3520 Yosemite Avenue, 3565 Wooddale Avenue and a portion of 3548 Xenwood Avenue (the “Rail Property” and together with the City and Authority Property, the “Property”); and WHEREAS, the parties desire to extend the termination date of the Agreement to allow adequate time to successfully complete negotiations toward the Contract (as defined in the Agreement) and reach mutually acceptable terms for the conveyance of the Property as required to allow construction of the Minimum Improvements. NOW THEREFORE, in consideration of the foregoing and of the mutual covenants and obligations set forth herein, the Authority, the City and the Developer hereby agree as follows: 1.During the term provided in this Third Amendment, the parties agree to continue working cooperatively toward the goals outlined in the Agreement, pursuant to its terms. 2.This Third Amendment shall terminate by its terms if the governing bodies of the Authority and City have not approved the Contract (as defined in the Agreement) by August 31, 2017. Upon such termination, the Developer remains obligated to pay any costs payable under paragraph 13 of the Agreement that were incurred by the Authority and the City prior to such date. 3.Except as amended by this Third Amendment, the Agreement shall remain in full force and effect. Upon execution, the Developer shall reimburse the Authority for all out-of pocket- costs incurred by the Authority in connection with negotiating, drafting and approval of this Third Amendment. City Council Meeting of February 21, 2017 (Item No. 8a) Page 5 Title: Third Amendment to the Preliminary Development Agreement with PLACE IN WITNESS WHEREOF, the City and Authority have caused this Agreement to be duly executed in their name and behalf and their seal to be duly affixed hereto and the Developer has caused this Agreement to be duly executed as of the date and year first above written. P LACE ST. LOUIS PARK ECONOMIC DEVELOPMENT AUTHORITY By: Its ______________________________ Its President Its Executive Director CITY OF ST. LOUIS PARK Its Mayor Its City Manager Date TIF/Dev Agr Comp Plan Amend/PUD/Plat & Variance Housing Bonds EAW 21-Feb 3rd Amendment to Preliminary Development Agr. 23-Feb Neighborhood meeting #8 by PLACE 27-Feb Recommended TIF assistance amount 3-Mar PLACE Environmental Assessment Worksheet (EAW) published in Environmental Quality Board (EQB) Monitor 6-Mar Call for the TIF District Public Hearing Call for private activity revenue bonds Public Hearing 8-Mar 13-Mar 1. Plng Commission Public Hrg 2. PLACE at Parks & Rec Advisory Commision 20-Mar Purchase Agr Aproval for Hennepin Co parcels 27-Mar 3-Apr First Reading of Approvals Private Activity Hsg Revenue Bond Hearing and approval 5-Apr End of 30 day EAW comment period 10-Apr Study Session on proposed Dev Agr Terms 17-Apr 24-Apr 1. TIF District Hrg and district establishment 2. Approve and authorize signature of Dev Agr 8-May 15-May 22-May PLACE closes on Private Activity Housing Bonds PLACE Timeline - 2/15/17 City Council Meetings and Actions Meetings and Actions by Others City Council's Record of Decision 1-May Second Reading of Approvals 15-Mar City Council Meeting of February 21, 2017 (Item No. 8a) Title: Third Amendment to the Preliminary Development Agreement with PLACE Page 6 Meeting: City Council Meeting Date: February 21, 2017 Action Agenda Item: 8b EXECUTIVE SUMMARY TITLE: First Reading of Parks and Recreation Ordinance Amendment to Allow Alcohol in the ROC RECOMMENDED ACTION: Motion to approve First Reading of an ordinance amending Chapter 20-5 of the St. Louis Park Code of Ordinances relating to prohibited acts to allow alcohol at the Recreation Outdoor Center (“ROC”); regulations for Parks and Recreation, and to set the second reading for March 6, 2017. POLICY CONSIDERATION: Does the Council support the proposed changes to the alcohol provisions relating to the Rec Center? SUMMARY: Staff is requesting an ordinance amendment to allow alcohol to be served at the ROC by a city approved alcohol vendor. Currently, the ordinance allows alcohol only in the banquet room at the Rec Center in connection with banquets, receptions or other social functions, subject to the terms of a user agreement between the host and the city. The intent is to increase the variety of use of the ROC. The ROC will be marketed as a wedding reception venue, as well as a variety of other functions, and users may want to have alcohol as part of their event. We currently have no issues or concerns with events that have a city approved alcohol vendor in the banquet room. FINANCIAL OR BUDGET CONSIDERATION: Not applicable. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Proposed Ordinance Prepared by: Stacy M. Voelker, Senior Office Assistant Jason T. West, Recreation Superintendent Reviewed by: Cynthia S. Walsh, Director of Operations and Recreation Approved by: Tom Harmening, City Manager City Council Meeting of February 21, 2017 (Item No. 8b) Page 2 Title: First Reading of Parks and Recreation Ordinance Amendment to Allow Alcohol in the ROC ORDINANCE NO. __ - 17 CITY OF ST. LOUIS PARK HENNEPIN COUNTY, MINNESOTA AN ORDINANCE AMENDING CHAPTER 20 OF THE ST. LOUIS PARK CITY CODE RELATING TO SECTION 20-5 PROHIBITED ACTS; REGULATIONS. WHEREAS, The City Council has considered the advice and recommendation of the Operations and Recreation Department staff. WHEREAS, The St. Louis Park Ordinance Code, Section 20-5 is hereby amended by adding underscored language. NOW, THEREFORE, THE CITY OF ST. LOUIS PARK DOES ORDAIN: SECTION 1. St. Louis Park City Code Chapter 20 is amended to add the following section: Sec. 20-5. Prohibited acts; regulations. (9) Liquors and beer; possession or consumption prohibited; exception. No person shall possess, display, consume or use alcoholic beverages in any city park. Alcoholic beverages may be consumed or used in the banquet room at the St. Louis Park Recreation Center and in the Recreation Outdoor Center (“ROC”) in connection with banquets, receptions or other social functions, subject to the terms of a user agreement between the host and the city. The user agreement shall be executed on a form provided by the city. It is in the sole discretion of the city to determine whether to enter into such user agreement. SECTION 2. This Ordinance shall take effect fifteen days after its publication. First Reading February 21, 2017 Second Reading March 6, 2017 Date of Publication March 16, 2017 Date Ordinance takes effect April 1, 2017 Reviewed for Administration Adopted by the City Council March 6, 2017 Thomas K. Harmening, City Manager Jake Spano, Mayor Attest: Approved as to Form and Execution: Melissa Kennedy, City Clerk Soren Mattick, City Attorney Meeting: City Council Meeting Date: February 21, 2017 Action Agenda Item: 8c EXECUTIVE SUMMARY TITLE: Residential Stormwater Cost Share Program RECOMMENDED ACTION: Approve Residential Stormwater Cost Share Program. POLICY CONSIDERATION: Does the City Council wish to promote private investment in stormwater management through a cost share program? SUMMARY: Staff from Engineering, Operations and Recreation, and Administration have been working on developing a Residential Stormwater Cost Share Program (RSCSP) that will offer financial and technical assistance to homeowners who implement projects on their property. The types of projects that would be considered for funding through the RSCSP would support one or more of the following: •Protect and restore stormwater by capturing pollutants in rainwater runoff; •Increase the watershed's ability to store water; •Preserve and restore native plant and wildlife communities; •Protect and preserve groundwater quality and quantity This program is proposed to be rolled out spring 2017 with information regarding the program being sent out using the following: the Park Perspective, direct mail to a specific watershed, emails to neighborhood groups, information on NextDoor, and other social media. The goal is to encourage residents to implement stormwater management projects on their property to reduce the volume of stormwater runoff and pollutants entering the City’s storm sewer system. In addition to the cost share opportunities, the program will have an educational component for property owners regarding the importance of stormwater management and how Best Management Practices (BMPs) can protect and improve our surface waters. FINANCIAL OR BUDGET CONSIDERATION: The proposed program will be funded using the Stormwater Utility. It is difficult to determine what the demand will be for these funds until we roll out the program. To begin with, staff recommends an annual budget of $25,000. Based on the applications received in 2017, additional funds may be requested for 2018. VISION CONSIDERATION: St. Louis Park is committed to being a leader in environmental stewardship. We will increase environmental consciousness and responsibility in all areas of city business. SUPPORTING DOCUMENTS: Discussion Prepared by: Erick Francis, Water Resource Manager Reviewed by: Debra Heiser, Engineering Director Approved by: Tom Harmening, City Manager City Council Meeting of February 21, 2017 (Item No.8c) Page 2 Title: Residential Stormwater Cost Share Program DISCUSSION BACKGROUND: The RSCSP will provide a platform for residents to better understand the importance of managing stormwater, specifically on their own properties. This program focuses on educating residents on the many ways that stormwater can be managed, and providing funds to encourage them to implement these practices on their property in an effort to protect and improve our surface waters. The RSCSP will provide access to funds that can be used by residential landowners to implement Best Management Practices (BMPs) that support one or more of the following: •Protect and restore stormwater by capturing pollutants in rainwater runoff; •Increase the watershed's ability to store water; •Preserve and restore native plant and wildlife communities; •Protect and preserve groundwater quality and quantity There is not one BMP that will work for all locations. As a result of this, the program will provide cost share to all types of BMPs and provide support to assist property owners with selection. The level of cost share will be based on the type of BMP selected. Types of BMPs that will be considered for cost share include but are not limited to: •Green Roofs •Rain gardens •Pervious pavement •Rain Barrels •Biofiltration trenches •Tree planting •Infiltration trenches The RSCSP will provide guidance on how to identify potential stormwater BMPs, how to select a designer and a builder, and will outline specific maintenance practices for each BMP. Funds may be used by private landowners for the design and construction of stormwater BMPs that will reduce stormwater runoff volumes and pollutants from their property. Residents may choose to undertake some of these specific tasks themselves, which will also be reimbursable. To start with, staff recommends that this program be made available to residential properties only. If the program is successful, it can be expanded to local business and institutions to allow for greater stormwater management awareness. Process The program starts with educating property owners on some small actions that can be taken, such as cleaning up grass clippings and other lawn debris to prevent them from getting into our water resources. The next step will be to work with property owners on identifying a BMP for implementation on their property. This will be accomplished by providing resources and access to technical assistance. The program will be administered by Engineering staff. Applications will be accepted year-round until funds are gone. Outreach will be early in the year in order to encourage as many applicants as possible to take advantage of the program during the summer months. City Council Meeting of February 21, 2017 (Item No.8c) Page 3 Title: Residential Stormwater Cost Share Program Funding percentages are based on specific criteria including location in the watershed and type of treatment proposed. Higher levels of funding are proposed for BMPs that capture hard surface and reduce runoff volume. Below is a table that shows proposed cost share percentages and maximums: This is a reimbursement grant program. The proposed program will be funded using the Stormwater Utility. Staff recommends an annual budget of $25,000 for the first year of the program. Based on the applications received in 2017, additional funds may be requested for 2018. Upon completion of installation, the city will inspect the project to ensure that it was built according to plan and functions as intended. To ensure the BMP is effective over time, it must be routinely maintained and the property owner will need to enter into a maintenance agreement with the City. The maintenance agreement will be in place for 5 years after installation and will be transferrable upon the sale of the property. Next Steps We are working with Communications group on branding and marketing. This program is proposed to be rolled out spring 2017 with an article in the Park Perspective and social media. In addition to City wide marketing, staff proposes that each year outreach will be made to a specific watershed in the City. This will be accomplished through direct mail to all residential properties in the watershed, emails to neighborhood groups, and information on NextDoor. For 2017, the subwatershed would be Bass Lake Preserve. Type of BMP Cost Share % Maximum $ Rain Barrels 50% $100 Tree Planting 50% $500 Bio-filtration w/o hard surface drainage 50% $1,500 Infiltration w/o hard surface drainage 50% $1,500 Bio- filtration with hard surface 75% $2,000 Infiltration with hard surface drainage, pervious pavement, & green roof 75% $3,000 Meeting: City Council Meeting Date: February 21, 2017 Action Agenda Item: 8d EXECUTIVE SUMMARY TITLE: Traffic Study No. 675: Authorize Parking Restrictions on the 3700 Block of Oregon Avenue South RECOMMENDED ACTION: Motion to Adopt Resolution authorizing the implementation of overnight parking restrictions and residential permit parking on the 3700 block of Oregon Avenue South. POLICY CONSIDERATION: The restriction is allowed per the City’s established regulatory authority. SUMMARY: The City has the regulatory authority to place time restrictions for on-street parking where vehicle turnover is necessary for nearby businesses. In addition, the City has a program for authorizing permit parking for areas where parking demand is high. City staff has received various complaints regarding the on-street parking conditions along the 3700 block of Oregon Avenue. Nearby businesses and residents have observed a large quantity of vehicles parked on the street for extended periods of time, occasionally violating the City’s parking ordinance. The situation was discussed at the December Traffic Committee. Since the Traffic Committee meeting, city staff from Engineering, Community Development, Police, the City Manager and City Attorney have met to discuss the matter. To address these concerns, staff is proposing to restrict on-street parking from 10pm – 6am in this area. To assist with parking needs, residences with frontage on the 3700 block of Oregon Avenue will be able to receive parking permits that will allow them to park overnight in this area. FINANCIAL OR BUDGET CONSIDERATION: The cost of installing parking restrictions will be minimal. Costs will come out of the general operating budget. Installation will consist of adding parking restriction signage on the 3700 block of Oregon Avenue. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Discussion Resolution Map & Addresses for Proposed Permit Parking Area Prepared by: Chris Iverson, Transportation Engineer Reviewed by: Deb Heiser, Engineering Director Approved by: Tom Harmening, City Manager City Council Meeting of February 21, 2017 (Item No. 8d) Page 2 Title: Traffic Study No. 675: Authorize Parking Restrictions on the 3700 Block of Oregon Avenue South DISCUSSION BACKGROUND: In early 2016, several businesses contacted city staff to discuss existing on- street parking practices along the 3700 block of Oregon Avenue. The individuals noted that many vehicles park on both sides of the street for extended periods of time. The Traffic Committee discussed the matter at the January 2016 meeting. It was determined that Police would monitor the block and ticket vehicles that were parked on the street for longer than 48 hours, violating the overtime parking ordinance. Several vehicles were ticketed during this time. Businesses contacted city staff in late 2016 with similar parking concerns. They observed that parked vehicles would alter their location within 38 hours, thus avoiding the overtime penalty. The Traffic Committee discussed the matter at the December 2016 meeting. The Committee made the following recommendations: Implement overnight parking restrictions on the 3700 block of Oregon Avenue. Allow residences to receive parking permits to park overnight on the block in order to mitigate resident concerns. In order to accomplish both of these items, install the following signage on the block: “NO PARKING, 10PM – 6AM, EXCEPT BY PERMIT” Letters were sent to affected addresses notifying about the Traffic Committee recommendations on February 3. Letters sent to residences included information about permit parking on the block. Permit parking areas are not actively patrolled by St. Louis Park police. Violations are driven by complaint. Vehicles without parking permits will be able to park between 6AM and 10PM on all days. Vehicles that properly display parking permits will be able to park at all times of the day. There are seven (7) residential addresses on the 3700 block of Oregon Avenue. Permit parking would be for the entire block, and permits would be granted to all resident addresses with street frontage on this street. A map is attached. Permit Parking Regulations Restriction No parking on the street between 10PM and 6AM unless the vehicle prominently displays a City-issued parking permit. Exceptions Emergency vehicles, government vehicles, or commercial vehicles parked at curbside while work is conducted. Permit Criteria Four (4) permits per residential address. Placement If permanently affixed – prominently displayed in the lower corner of the rear windows on the driver’s side. If temporary – prominently displayed in the lower corner of the window on the driver’s side (placement on the dash is acceptable). Motorcycles – on rear fender. Replacement Replacement upon certification of loss or need. Replacement stickers may be obtained in the Engineering Department, Second Floor of City Hall. Signage Installed and maintained by the City. Enforcement City Police Department. Violators may be ticketed for illegal parking. City Council Meeting of February 21, 2017 (Item No. 8d) Page 3 Title: Traffic Study No. 675: Authorize Parking Restrictions on the 3700 Block of Oregon Avenue South RESOLUTION NO. 17-___ RESOLUTION AUTHORIZING THE INSTALLATION OF PARKING RESTRICTIONS ON THE 3700 BLOCK OF OREGON AVENUE SOUTH TRAFFIC STUDY NO. 675 WHEREAS, the City of St. Louis Park, Minnesota has received various requests from businesses and residents to mitigate parking concerns on the 3700 block of Oregon Avenue, and; WHEREAS, the City of St. Louis Park, Minnesota has completed a full public process to inform interested parties about the proposed parking restrictions, and; WHEREAS, the City of St. Louis Park, Minnesota has provided information about permit parking to residences along the 3700 block of Oregon Avenue. NOW THEREFORE BE IT RESOLVED by the City Council of the City of St. Louis Park, Minnesota, that the Engineering Director is hereby authorized to install the following parking restriction signage along the 3700 block of Oregon Avenue, and issue parking permits to residential property owners: “NO PARKING 10PM – 6AM EXCEPT BY PERMIT” Reviewed for Administration: Adopted by the City Council February 21, 2017 Thomas K. Harmening, City Manager Jake Spano, Mayor Attest: Melissa Kennedy, City Clerk City Council Meeting of February 21, 2017 (Item No. 8d) Page 4 Title: Traffic Study No. 675: Authorize Parking Restrictions on the 3700 Block of Oregon Avenue South EXHIBIT 1: PROPOSED PARKING RESTRICTION AREA & PERMIT PARKING ADDRESSES “NO PARKING 10PM – 6AM, EXCEPT BY PERMIT” Proposed Permit Parking Addresses 3730 Oregon Ave S. 3736 Oregon Ave S. 3725 Oregon Ave S. 3729 Oregon Ave S. 3733 Oregon Ave S. 3737 Oregon Ave S. 7500 Lake Street Meeting: City Council Meeting Date: February 21, 2017 Action Agenda Item: 8e EXECUTIVE SUMMARY TITLE: Master License Agreement with Verizon RECOMMENDED ACTION: Motion to approve a Master Licensing Agreement with Verizon. POLICY CONSIDERATION: Should the City allow the installation by private providers of small cell antennas within the City right-of-way? SUMMARY: In 2015, the City of St. Louis Park, along with a number of other metro cities, began to see requests by several wireless carriers to attach “small cell” communication antennas on City owned infrastructure in our right- of- way. These antenna proposals were for equipment significantly smaller than what our current Zoning Code (Cities Communication Towers and Antennas Section 36-368) was intended to regulate. While the requests did not comply with current City ordinance on Communication Towers and Antennas, it was clear that these requests were for less invasive equipment that the code was intended to regulate. In response, a task force was formed by staff to establish policies and procedures for the review, approval and installation of Small Cell and Distributed Antenna Systems (DAS) within right-of-ways. The task force evaluated the technology applications and appearance with the intent to provide fair and reasonable access to providers on City-owned infrastructure located within the right of way. In doing so, staff also wanted to ensure that the proposed communication antennas and associated equipment are installed in appropriate locations, compatible with the surrounding land uses and do so in accordance with federal, state and local laws. Attached to this report is a summary of the task force work, background on small cell antennas, and a proposed administrative review process. Also attached is a proposed Master License Agreement, which will be required for each vendor proposing antennas in the City of St. Louis Park. The City Council will be asked to approve a Master Licensing Agreement for the individual wireless providers. Individual permits will be reviewed and processed administratively for each utility pole replacement. The first company to request approval of a MLA is Verizon. FINANCIAL OR BUDGET CONSIDERATION: The cost associated with installation and operation of these facilities within the right- of- way would be the responsibility of the provider. Additional details regarding cost are spelled out in the Agreement. VISION CONSIDERATION: St. Louis Park is committed to being a connected and engaged community. SUPPORTING DOCUMENTS: Discussion Local Small Cell Photographs Master Licensing Agreement Prepared by: Phillip Elkin Senior Engineering Project Manager Reviewed by: Debra Heiser, Engineering Director Approved by: Tom Harmening, City Manager Page 2 City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon DISCUSSION Update: Staff discussed this topic with the Council at the February 13, 2017 study session. The City Council asked for additional information. What follows is responses to those questions: •If the City signs a MLA with Verizon and the MN State legislature approves legislation allowing Telecommunication Companies greater flexibility in locating antennas in the right-of-way, is the MLA with Verizon still valid? The City Attorney indicated that if legislation is passed, it is most likely the case that the MLA would cease to be enforceable. While it depends on the language of a final bill, it is unlikely that the City could uphold an agreement which would give a competitive advantage to companies who did not reach a MLA before the legislation was passed. •Why can’t the antennas be located on buildings? Small cell antennas can be mounted on buildings, but buildings will restrict the distribution of the signal. Antennas mounted on a pole will send a signal out in 360 degrees, where a building mount could restrict signals to 180 degrees, having half the signal blocked by the building itself. In this particular application, Verizon is seeking to service the corridor along Park Place Boulevard. An antenna on a building would not have a full range of signal onto the street and sidewalks below. •Will signal be impacted by trees? While trees can interfere with a small cell signal, the City will not trim or allow trees to be removed to improve signal strength. In speaking with Verizon’s engineer, this was taken in to account when they were determining the best location for their antennas. Background: Telecommunications companies have begun to utilize a new technology to serve their customers in order to keep up with the increased demand for data by cellular users. These new antennas are called “small cell” and are a fraction of the size of traditional cell deployments (macro cells) which are found on the top of water towers and buildings. These new antennas are small enough to fit on utility poles, street lights, and other smaller structures provided that the structure can support the weight of the equipment. Each carrier is experiencing different coverage issues, so the proposals for small cells vary in location and installation. Similarly, a technology called a Distributed Antenna System (DAS) is also being deployed nationally by these companies. DAS is a small antenna with a radio unit and a fiber link to a local tower antenna which allows Telecommunications companies to more accurately determine the location of cell signals. This system allows these companies to comply with recent changes to Federal Communication Commission rules regarding the transmission of 911 calls to increase the accuracy of location information. Because these types of antennas need a power source, the most efficient way to get these new antennas up and in service is to utilize existing infrastructure which already has a power supply. To achieve this, wireless providers have been approaching cities and counties with request to install these facilities within the right- of- way on existing street light poles and traffic signal poles. At this time, these types of antennas are not found in the City of St. Louis Park or most metro area cities. In 2014, AT&T and Verizon were the first telecommunication companies to approach the City of St. Louis Park for installing these antennas in the right-of-way by submitting work in the right-of- way applications. While these applications went beyond the scope of a simple right-of-way permit Page 3 City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon and were not allowed with the Zoning Code 36-368, Staff recognized that the change of technology needed to be addressed with either changes to the code or further guidance on installation. On February 9, 2015, Staff first presented this issue to City Council as part of an informational report asking for direction in proceeding with the applications. The Council expressed support of the installations in the West End area, but did not support plans to install ground equipment in residential boulevards. In response, City Staff formed a task force to review the new technology and develop standards along with a streamlined review and approval (or denial) process for the installation of these antennas on light poles and traffic signals and other possible installations within the public right-of-way. After reviewing this request and conferring with other municipalities, the task force developed a plan in which each telecommunication company would enter into a Master License Agreement (MLA) with the City which outlines the terms and conditions of each antenna the provider installs in the city. Once the MLA has been approved by the council, staff would process the specific site applications. Each individual antenna proposed would have a separate application. This includes location, construction plans and details on electrical feeds and schematic drawings of the antenna and equipment. The Community Development staff determined that the current zoning ordinance can support the placement of small cell antennas on existing utility poles located in the public right-of-way provided that all equipment is on the pole. Therefore the current zoning ordinance 36-368, would not need to be amended. Small Cell Task Force The small cell task force includes representatives from the Engineering, Operations and Recreation, Community Development, and Information Resources departments. The goals of this taskforce were to develop a process for review of these requests and a master license agreement. The Review Process (Staff approval) •Pre-Application Review (DRC) •Master License Agreement •Completed Permit Application Submitted - 45 Day Clock Begins •Task Force Review – Approx. 2 weeks after application submitted •Approval - Issuance of Permit Or •Denial -Letter Sent To Applicant Informing Them of Denial & Reason •Inspection/Permit Close Out •Collect As-Built Data within 30 Days •Documentation in GIS •Add Installation to Billing Cycle for Pole Rental Highlights of the Master Licensing Agreement (Council approval) •A right-of-way license agreement between Telecommunication providers and the City. •Sets the conditions in which the City can approve or deny location of poles and/or antennas. •Allows the City to set terms of aesthetics and mounting of antennas and equipment •Requires applicant to provide engineered drawings •Outlines the responsibility of the applicant on maintenance, repair and replacement •$1,500 a year for rent per pole Page 4 City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon •$1,500 a year for electricity per pole •$1,000 application fee for each per pole •$2,500 onetime administration fee for MLA •$5,000 security deposit to ensure the removal of the equipment at the end of the antenna lifespan per pole •Set term limits (5 years) and extensions on the agreement Registered Telecommunication Provider Applications: (Verizon) Verizon is the first telecommunication companies to have submitted an acceptable plan and agree to the terms of the MLA. We will be using this MLA as a standard for future agreements. The proposed application is for three locations in the West End area along Park Place Boulevard. The applicant plans to remove 3 existing light poles, and replace them with a reinforced pole (from the same manufacturer) that maintains the look and appearance of the original structure, but includes mounting locations for small cell equipment. Working with Verizon on the design allowed the City to develop a process to respond to other requests. Non- Registered Telecommunication Provider Applications In 2014, the City also received a small cell installation request from Mobilitie, a third party service provider. The Mobilitie business plan is to install small cell and DAS equipment and then sell the signal to cellular service providers. The City Attorney advised the task force not to negotiate or include Mobilitie into a MLA until we can verify their status as an authorized public utility or telecommunication provider in Minnesota. Potential Federal and State involvement It should also be noted that there is much discussion at both the state and federal levels regarding small cell and distributed antenna systems (DAS). At the state level, a bill was introduced in the Minnesota House with the intent to remove some of the controls that cities have over our right- of- way in order to remove costs and barriers for wireless providers. At the federal level, the Federal Communications Commission’s (“FCC”) Wireless Bureau released a Public Notice seeking comment generally on local wireless facilities’ siting policies as they apply to small cell infrastructure. While this action was prompted by the petition of one provider, the implications of any decisions could apply to all providers. At play at both the state and federal levels are competing goals: First, providers wish to erect new facilities, often within public rights-of-way, that will provide increased capacity to serve users of wireless services. These services include both voice and data. Customers (including cities) also want to ensure performance of wireless services is robust. Second, competing with this goal are siting policies for the erection and maintenance of these new facilities. Among the concerns are the aesthetics, safety, and operational considerations that these new facilities may present. These facilities are not inconspicuous and providers often wish to utilize existing public infrastructure such as street lights and traffic signals. Much of the potential legislative or agency action is trying to balance streamlining an installation process for providers with the ability for local units of government to retain local decision making authority. Whether it’s in commercial or residential areas, it has been the position of local units of government that conditions for placement of these facilities should remain with the local unit of government and its siting, land use, and zoning requirements. Of course, such requirements need to be applied consistently among equal applications. Page 5 City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Small cells and DAS are not likely to go away. For many years, wireless providers have established their large cell installations on structures such as city water towers. The next frontier for current (4G) and coming (5G) wireless technologies will likely require many, many small cell installations closer to where people live and work to be successful. The League of Minnesota Cities and National League of Cities are very involved in the effort to retain local control on these issues. Local Small Cell Photographs Saint Paul small cell located at the intersection of 7th Street E and Wabasha St N Page 6 City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Saint Paul small cell located at the intersection of W 5th Street and N St. Peter Street Page 7 City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Minneapolis small cell located at the intersection of 9th Street and LaSalle 1 3414357v1 Small Cell Master License Agreement City of St. Louis Park 189966v2 MASTER LICENSE AGREEMENT This Master License Agreement (the "Agreement") made this ____ day of __________, 201 , between the CITY OF ST. LOUIS PARK, MINNESOTA, with its principal offices located at 5005 Minnetonka Boulevard, St. Louis Park, MN 55416, hereinafter designated as “LICENSOR” and VERIZON WIRELESS (VAW) LLC d/b/a VERIZON WIRELESS, with its principal offices located at One Verizon Way, Mail Stop 4AW100, Basking Ridge, New Jersey 07920 (telephone number 866-862-4404), hereinafter designated as “LICENSEE”. LICENSOR and LICENSEE are at times hereinafter collectively referred to as the "Parties" or individually as a "Party." WITNESSETH: WHEREAS, LICENSOR is the owner of certain Poles, as hereinafter described, which are located within the public right-of-way of the LICENSOR (“ROW”) and LICENSOR further holds a leasehold or other possessory interest in, certain properties and/or facilities, which are located within the City (“LICENSOR’S Property”); and WHEREAS, LICENSEE desires to install, construct, maintain and operate communications and related equipment for the purposes and uses as hereinafter set forth (the “LICENSEE’S Communication Facility”) in and/or upon certain of LICENSOR'S Poles (as hereinafter defined), ROW and/or on LICENSOR’S Property; and WHEREAS, LICENSOR and LICENSEE desire to enter into this Agreement to define the terms, covenants and conditions which govern the use of the LICENSOR’S Poles, ROW and LICENSOR’S Property with respect to particular sites at which LICENSOR may grant a license to LICENSEE to construct, install, maintain and operate the LICENSEE’S Communication Facility; and WHEREAS, LICENSOR and LICENSEE acknowledge that they may enter into a license supplement in the form attached hereto as Exhibit “A” (“Supplement”), with respect to each particular location or site which the LICENSOR grants the LICENSEE a license to install LICENSEE’S Communication Facility for the uses granted herein. NOW, THEREFORE, in consideration of the mutual covenants contained herein, the adequacy and sufficiency of which is hereby acknowledged, the parties hereto, for themselves, their successors and assigns, do hereby covenant and agree as follows: I. LICENSEE'S USE OF PREMISES a. Permitted Uses. Subject to the terms, covenants and conditions of this Agreement, LICENSEE’S Communication Facility may be used solely for the following purposes: (i) the transmission and reception of wireless communication signals, and uses incidental thereto. including, but not limited to, wireless and internet services (“LICENSEE’S Wireless Services”); and (ii) for the purpose of installing, repairing, maintaining, removing and operating LICENSEE’S Communication Facility in accordance with this Agreement and in City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Page 8 2 3414357v1 Small Cell Master License Agreement City of St. Louis Park 189966v2 accordance with the transmission and reception of wireless communication signals authorized for use by LICENSEE by the Federal Communications Commission (“FCC”) (“Permitted Uses”). The use of the LICENSOR’S Poles, ROW and/or LICENSOR’S Property by the LICENSEE is non-exclusive, and LICENSOR reserves the right to allow LICENSOR’S Poles, ROW and LICENSOR’S Property to be used by others, provided they do not interfere with LICENSEE’S use of LICENSEE’S Communication Facility. LICENSEE shall construct, install, maintain, repair, operate and use each Premises (as hereinafter defined) only in accordance with the terms, covenants and conditions of this Agreement, good engineering practices and in compliance with all applicable Federal Communications Commission (“FCC”), and other federal, state and local ordinances, statutes, laws and regulations. b. Before LICENSEE shall use any of LICENSOR'S Poles, conduits, conductor pull boxes, appurtenances and related equipment, ROW and/or LICENSOR’S Property under this Agreement, the same shall be more fully described in each Supplement to be executed by the Parties, and shall hereinafter be referred to as the "Premises", LICENSEE shall submit an application in the form attached hereto as Exhibit “B” (the “Application”) along with a proposed Supplement for each proposed Premises, and shall comply with all the terms, covenants and conditions of this Agreement. c. LICENSEE shall have the non-exclusive right, at its sole cost and expense, to use each Premises, as identified in each individual Supplement, for the purpose of constructing, installing, maintaining, repairing and operating LICENSEE’S Communications Facility consistent with the terms of this Agreement. d. If, in the judgment of LICENSOR, LICENSEE'S proposed use of the LICENSOR’S Poles, ROW, or LICENSOR’S Property, is inconsistent with the LICENSOR’S uses thereof and does not comply with the terms, covenants or conditions of this Agreement, or any of the LICENSOR’S ordinances, rules, regulations, the LICENSOR, in its sole discretion, shall have the right to deny the Application of the LICENSEE. LICENSOR shall within forty- five (45) days after the receipt of a fully completed and executed Application and a Supplement by LICENSEE, notify LICENSEE in writing whether the Application is approved or denied. If LICENSOR does not notify LICENSEE within the forty-five (45) days from the date that the Application was submitted, the Application shall be deemed denied. e. With each Application and Supplement, LICENSEE shall furnish LICENSOR detailed Construction Plans and Specifications for each individual Premises (“Plans”), together with necessary maps, indicating specifically the Poles, ROW and/or LICENSOR’S Property, LICENSEE proposes be used for LICENSEE’S Communication Facility on each Pole, equipment necessary for LICENSEE'S use, including any existing poles to be replaced (“Replacement Pole”), or any additional Pole LICENSEE proposes to install (“New Pole”), and any new installations for utility transmission conduit, pull boxes, and appurtenances. In addition, LICENSEE shall provide LICENSOR with a propagation study evidencing that LICENSEE needs to use the proposed Pole, Poles and/or Premises as a result of LICENSEE not having the current coverage and/or capacity from any current LICENSEE’S Wireless Services (“Propagation Study”). LICENSOR may waive the propagation study. Upon execution of a City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Page 9 3 3414357v1 Small Cell Master License Agreement City of St. Louis Park 189966v2 Supplement by LICENSOR, for each Premises, LICENSEE shall have the right to use the Premises for LICENSEE’S Communication Facility and may proceed to install the same, according to the terms of the applicable Application, Supplement, Plans and this Agreement. LICENSEE and its contractors and employees shall perform all LICENSOR’S work at its own expense and in such manner as to not interfere with LICENSOR'S use of any Pole, ROW on the applicable Premises or LICENSOR’S Property. f. All Poles used by LICENSEE under this Agreement, including any Replacement Pole or New Pole installed by LICENSEE, shall remain and/or become the property of LICENSOR, and any cost and/or expense incurred by the LICENSEE for changes to existing Poles, conduits, conductor pull boxes, facilities, and appurtenances or related equipment, or installation of any Replacement Poles or New Poles, conduits, conductor pull boxes, facilities, or appurtenances or related equipment, under this Agreement shall not entitle LICENSEE to ownership of said Poles, conduits, conductor pull boxes or facilities or appurtenances or related equipment. LICENSEE shall upon the completion of the installation of a Replacement Pole or a New Pole deliver to LICENSOR a bill of sale for the applicable Replacement Pole or New Pole in the form attached hereto as Exhibit “D” (“Bill of Sale”). g. LICENSOR reserves the right, in its sole discretion, to exclude any of LICENSOR'S Poles, towers, conduits, conductor pull boxes, appurtenances, ROW and/or LICENSOR’S Property from use by LICENSEE. II. PREMISES Pursuant to all of the terms, covenants and conditions of this Agreement, the applicable Application and Supplement executed by LICENSOR, LICENSOR agrees to license to LICENSEE the applicable Premises, for the Permitted Use and the construction, installation, repair, operation and maintenance of the applicable LICENSEE’S Communication Facility, together with the non-exclusive right of ingress and egress over the applicable ROW or LICENSOR’S Property, and seven (7) days a week, twenty four (24) hours a day to and from the Premises. LICENSOR'S light poles, traffic control poles, and other poles, including any Replacement Pole or New Pole and/or towers in which LICENSOR grants LICENSEE the right to use for LICENSEE’S Communication Facility are hereinafter referred to individually as "Pole" or jointly as "Poles". LICENSOR'S ROW and LICENSOR’S Property are herein sometimes referred to jointly as the "Property". The primary use and purpose of the Poles and LICENSOR’S Property, inclusive of the Premises, is to provide for traffic control, street lighting and the health, safety and welfare of the citizens of the LICENSOR and the general public. LICENSOR'S operations and use of the Poles City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Page 10 4 3414357v1 Small Cell Master License Agreement City of St. Louis Park 189966v2 and LICENSOR’S Property for LICENSOR’S Communication System take priority over LICENSEE'S use thereof. LICENSEE agrees that the following priorities of use, in descending order, shall apply in the event of interference with the LICENSOR’S Communication System for emergency public safety needs, Premises repair or reconditioning, or other conflict while this Agreement is in effect, and LICENSEE'S use shall be subordinate accordingly: (1) LICENSOR’S use; (2) Public safety agencies, including law enforcement, fire, and ambulance services that are not related to LICENSOR; (3) Other governmental agencies where use is not related to public safety; (4) Pre-existing licensees (if any); (5) LICENSEE’S Permitted Use. In the event there poses an immediate threat of substantial harm or damage to the health, safety and welfare of the public and/or Property/Premises, as solely determined by LICENSOR ("Public Threat"), the LICENSOR may take any and all actions the LICENSOR determines are required to address such Public Threat provided that promptly after such actions that affect the Premises, and in no event later than seventy-two (72) hours after such actions, LICENSOR gives written notice to LICENSEE of LICENSOR'S emergency actions. If LICENSOR determines that the conditions of a Public Threat would be benefited by cessation of LICENSEE'S operations of the applicable LICENSEE’S Communication Facility, LICENSEE shall immediately cease its operations on the Premises upon notice from LICENSOR, and the Term (as herein defined) of the applicable Supplement shall terminate. In the event there are not sufficient electric and telephone, cable or fiber utility sources located at the Premises or on the Property, LICENSEE may request approval from the LICENSOR, by submitting to LICENSOR a written plan for installation, to install such utilities on, over and/or under the ROW and/or Property, to a Pole and/or the Premises as necessary for LICENSEE to operate its Approved Use (“Utility Plan”). All electric, telephone, cable, fiber or other utility necessary for the operation of LICENSEE’S Communication Facility, hereinafter referred to jointly as “Utilities” shall be installed underground by use of direction boring or within the applicable Pole. LICENSOR shall, in its sole discretion, notify LICENSEE that it approves, denies or requires that the Utility Plan be modified within thirty (30) business days of receipt of the Utility Plan, and in the case of any denial or modification of the Utility Plan, LICENSOR shall state the reasons therefor. LICENSEE must, at the time of Application and at any future time as requested by LICENSOR, obtain and submit to LICENSOR a structural engineering study carried out by a qualified structural engineer, showing that the Pole or Poles are able to support the LICENSEE’S Communication Facility (“Structural Study”). Said Structural Study must be signed by an engineer licensed in Minnesota per State Rule 1800.4200 and Minnesota Statute 326. If the Structural Study finds that any Pole or structure is inadequate to support the proposed loads of City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Page 11 5 3414357v1 Small Cell Master License Agreement City of St. Louis Park 189966v2 LICENSEE’S Communication Facility, LICENSEE shall not install the LICENSEE’S Communication Facility and the Application shall be denied. III. INSTALLATION OF LICENSEE’S COMMUNICATION FACILITY a. Plans LICENSEE shall provide LICENSOR with two (2) sets of the Plans consisting of the following: For the initial installation of the applicable LICENSEE’S Communication Facility and for any and all subsequent revisions and/or modifications thereof, or additions thereto; Line or CAD drawings showing the location and materials of the planned installations of the applicable LICENSEE’S Communication Facility and an Engineer's Estimate of all materials and construction methods; Diagrams, Shop Drawings and Pictures of the applicable LICENSEE’S Communication Facility; A complete and detailed inventory of all of LICENSEE’S antennas, cable and other equipment and personal property of LICENSEE’S Communication Facility to be installed on the Premises; All Plans shall be easily readable and subject to the written approval by LICENSOR prior to installation of the applicable LICENSEE’S Communication Facility, which approval shall not be withheld, conditioned or delayed without cause. LICENSOR shall have forty-five (45) business days to review and comment on the Plans. Should the Plans need to be revised based on the comments provided by LICENSOR and/or LICENSOR’S structural engineer, no construction of the applicable LICENSEE’S Communication Facility shall commence until final approval has been granted by LICENSOR. The Plans shall have affixed to them the signature of LICENSEE'S engineer who shall be duly licensed in the State of Minnesota per Minnesota Rule 1800.4200 and Minnesota State Statute 326. b. Construction Scheduling At least ten (10) business days prior to LICENSEE'S construction mobilization for installation of LICENSEE’S Communication Facility for the applicable Premises, LICENSEE shall conduct a meeting with LICENSOR and all applicable contractors on the Premises or other location as agreed upon and at a minimum the meeting shall be attended by a representative of LICENSOR and LICENSEE’S contractors and all of the parties involved in the installation of LICENSEE’S Communication Facility. c. Construction Inspection City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Page 12 6 3414357v1 Small Cell Master License Agreement City of St. Louis Park 189966v2 All construction activity shall be subject to inspection and approval by LICENSOR and/or LICENSEE’S engineers. Inspection may be performed at any time during the course of the construction activity reasonably determined by LICENSOR, at LICENSEE'S expense. Construction work performed without approval of LICENSOR will not be accepted and shall be removed or uninstalled at LICENSEE'S sole expense. LICENSEE shall be solely responsible for all costs associated with said inspection and approval of the installation of LICENSEE’S Communication Facility by LICENSOR and/or its engineers. d. Exposed LICENSEE’S Communication Facility All of LICENSEE’S Communication Facility equipment that is to be affixed to a Pole which has exterior exposure shall be as close to the color of the Pole as is commercially available to the LICENSEE. For exposed cables, wires or appurtenances, LICENSOR reserves the right to require LICENSEE to provide cables, wires or appurtenances in manufactured colors which are commercially available, in lieu of painting. e. Damage by LICENSEE of Pole and/or Property Any damage to a Pole on the Premises or the Property, or any other of LICENSOR'S structures or equipment caused by LICENSEE in any manner shall be repaired or replaced at LICENSEE'S sole cost and expense and to LICENSOR'S satisfaction within thirty (30) days of written notice by LICENSOR to LICENSEE setting forth the required repairs. f. As-Built Drawings Within thirty (30) days after LICENSEE activates the LICENSEE’S Communication Facility, LICENSEE shall provide LICENSOR with an “As-Built” drawing in electronic file format compatible with LICENSOR'S record file system consisting of “As-Built” drawings of the LICENSEE’S Communication Facility installed at the applicable Premises or Property, which shall show the actual location of all LICENSEE’S Communication Facility equipment. Said drawings shall be accompanied by a complete and detailed site survey of the Property and an inventory of all LICENSEE’S Communication Facility equipment. g. Permits for Installation LICENSEE is required to obtain from LICENSOR, or any other applicable governing agency, any and all permits required for a complete installation of LICENSEE’S Communication Facility or any utilities necessary for the operation of LICENSEE’S Communication Facility, at LICENSEE’S sole cost and expense. Said permits shall include, but not be limited to: Obstruction/Excavation, Meter Hooding, Storm Water, etc. Applicable fees for any permits shall be borne by LICENSEE and LICENSEE shall be bound by the requirements of said permits. City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Page 13 7 3414357v1 Small Cell Master License Agreement City of St. Louis Park 189966v2 h. Alterations or Modifications. LICENSEE may not add, change, modify or alter any of LICENSEE’S Communication Facilities from that set forth and/or shown on the applicable Plan or as then currently constructed, without the prior written approval of the LICENSOR, which approval shall not be unreasonably withheld, conditioned or delayed. LICENSEE agrees to reimburse LICENSOR for all reasonable costs incurred by the LICENSOR in connection with any alteration, modification, or addition to, LICENSEE’S Communication Facility pursuant to this paragraph, including but not limited to plan review, structural review, site meetings, inspection time, and as-built updating because of LICENSEE’S changes, and attorney’s fees for drafting and and/or reviewing documents. IV. MAINTENANCE, REPAIR OF POLES, PROPERTY AND LICENSEE’S COMMUNICATION FACILITY (a) Poles and Property LICENSOR reserves the right to take any and all action LICENSOR deems necessary, in its sole discretion, to repair, maintain, alter, or improve the Poles and/or the Property. (b) Structure Reconditioning and Repair (1) From time to time, LICENSOR paints, reconditions, or otherwise improves or repairs the Poles and Property or structures or improvements thereon ("Reconditioning Work"). LICENSEE shall cooperate with LICENSOR to allow LICENSOR to carry out the Reconditioning Work in a manner that minimizes any interference with LICENSOR'S Reconditioning Work. (2) Except in cases of emergency, prior to commencing Reconditioning Work, LICENSOR shall provide LICENSEE with not less than thirty (30) days prior written notice of the Reconditioning Work, LICENSOR intends to perform. Upon receiving such notice, it shall be the sole responsibility of LICENSEE to take adequate measures to cover or otherwise protect the applicable LICENSEE’S Communication Facility from the consequences of such activities, including but not limited to paint, splatter and/or debris fallout. LICENSOR reserves the right to require LICENSEE to remove all LICENSEE’S Communication Facility during LICENSOR’S Reconditioning Work. (3) During LICENSOR'S Reconditioning Work, and with written approval of LICENSOR in LICENSOR’S sole discretion, LICENSEE may maintain a mobile site on the Premises or on any land owned or controlled by LICENSOR in the immediate area of the Premises. If the Premises will not accommodate mobile equipment, it shall be LICENSEE'S responsibility to locate auxiliary sites for LICENSEE’S Communication Facility during the Reconditioning Work. City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Page 14 8 3414357v1 Small Cell Master License Agreement City of St. Louis Park 189966v2 (4) LICENSEE may request a modification of LICENSOR'S procedures for carrying out Reconditioning Work in order to reduce the interference with LICENSEE'S permitted use of a Pole or the Premises. If LICENSOR agrees to the modification, LICENSEE shall be responsible for all incremental cost and expense related to the modification of LICENSOR’S procedures for the Reconditioning Work. (c) Premises LICENSEE shall, at its own cost and expense, maintain LICENSEE’S Communication Facility in good repair, normal wear and tear excepted and in a safe condition, and in compliance with all applicable fire, health, building, and other life safety codes. LICENSEE shall obtain from LICENSOR any and all permits required for the purposes of maintaining the LICENSEE’S Communication Facility and pay all applicable fees for any permits required by LICENSOR. V. CONDITION OF PREMISES Where the Premises and/or Property includes one or more Poles licensed by LICENSOR under this Agreement, LICENSOR agrees to keep and maintain the Poles in good repair and condition as LICENSOR deems to be necessary for their primary use and in the ordinary course of business of LICENSOR. LICENSOR makes no warranty or guarantee as to the condition of any Pole or Premises with regard to LICENSEE'S intended use of the same. VI. TERM, RENT AND FEES a. Term. This Agreement shall be for an initial term of ten (10) years (“Initial Term”) commencing upon the execution hereof by both Parties. Each Supplement shall be effective as of the date of execution of the applicable Supplement by both Parties (the "Effective Date"). The initial term of each Supplement shall be for five (5) years, and shall commence on the first day of the month following the day that the applicable Supplement is signed by both Parties (the "Commencement Date") and shall terminate on the termination of the Initial Term or any applicable Renewal Term. On the Commencement Date of each Supplement, payment of the applicable Rent shall commence and be due at the annual Base Rent as set forth in this Agreement and shall be paid as hereinafter set forth. LICENSOR and LICENSEE acknowledge and agree that the payment of the initial Base Rent and any electrical service reimbursement payment, discussed below, for each Supplement shall be made by LICENSEE within sixty (60) days of the applicable Commencement Date. b. Rent. To reimburse LICENSOR for its costs related to the mangement of the Premises, inclusive of Property management and LICENSEE’S use of a Pole and the Premises, LICENSEE shall pay to LICENSOR as and for rent ("Base Rent"), One Thousand Five Hundred and No/100 Dollars ($1,500.00) per year for each Pole described in a Supplement upon which LICENSEE has been granted approved for a LICENSEE’S Communication Facility. If practical, as determined by LICENSEE in its sole discretion, and if permitted by the local utility company servicing the Premises, LICENSEE shall furnish and install an electrical City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Page 15 9 3414357v1 Small Cell Master License Agreement City of St. Louis Park 189966v2 meter for the measurement of electrical power used by LICENSEE's installation. If an electrical meter is not installed, LICENSOR shall be paid $1,500.00 per year for electrical service. Each Supplement shall list whether an electrical meter will be installed or whether LICENSOR shall be paid for electrical service. The first year’s Base Rent and any electrical service reimbursement payment due on all Supplements with a Commencement Date, other than January 1st, shall be prorated to the end of the year in which the Commencement Date occurs. For example, for all Supplements executed by LICENSOR and LICENSEE, the first year's Base Rent shall be pro-rated to the end of 2016 based on the actual Commencement Date for year 2016 and the remaining days in 2016. Similarly, for all Supplements that expire or otherwise terminate on a date other than December 31 of any year, the Base Rent shall be prorated from the beginning of the year to the end of the month in which the Supplement expires or otherwise terminates. Subsequent to the initial payment of pro-rated Base Rent in the year of the Commencement Date, the Base Rent due hereunder for all subsequent years shall be paid on or before January 1st of each succeeding year. LICENSEE shall pay LICENSOR, in addition to the Base Rent, the following if not already paid by LICENSEE: all building and permit fees. LESSEE further agrees to pay LESSOR an application fee in the sum of $1,000.00 at the time it applies for each Supplement, which shall be non-refundable. The parties acknowledge and agree this application fee shall be paid whether or not LICENSOR grants the LICENSEE the permit for the applicable LICENSEE’S Communication Facility. In addition, LICENSEE shall pay to LICENSOR a one-time, lump-sum administrative fee of Two Thousand Five Hundred Dollars ($2,500.00), which shall be paid within sixty (60) days after the execution of this Agreement by both Parties. Upon agreement of the Parties, LICENSEE may pay the Base Rent by electronic funds transfer and in such event, LICENSOR agrees to provide to LICENSEE the LICENSOR’S bank routing information for such purpose upon request of LICENSEE. VII. EXTENSIONS This Agreement shall be reviewed at the end of the Initial Term by LICENSOR and LICENSEE and this Agreement may be extended three (3) additional five (5) year terms (each a “Renewal Term”) by mutual agreement of LICENSOR and LICENSEE. Any extensions shall be memorialized in writing signed by both Parties. Absent an extension in writing this Agreement shall terminate at the end of the Initial Term or any subsequent Renewal Term. Each Supplement shall automatically be extended for one (1) additional five (5) year term, or until the expiration or termination of this Agreement, whichever is earlier, unless LICENSEE terminates it at the end of the Initial Term or any Renewal Term by giving LICENSOR written notice of the intent to terminate at least three (3) months prior to the end of the then current term. The Initial Term and all Renewal Terms under a Supplement shall be collectively referred to herein as the "Term." Notwithstanding anything herein, after the City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Page 16 10 3414357v1 Small Cell Master License Agreement City of St. Louis Park 189966v2 expiration of this Agreement, its terms and conditions shall survive and govern with respect to any remaining Supplements in effect until their expiration or termination. VIII. USE; GOVERNMENTAL APPROVALS LICENSEE shall use the Poles and Premises only for the Permitted Use. It is understood and agreed that LICENSEE'S license to use the Premises is contingent upon its obtaining and maintaining all of the certificates, permits and other approvals (collectively the "Governmental Approvals") that may be required by any Federal, State or other governmental authorities as well as a satisfactory structural analysis, as stated in this Agreement. LICENSOR shall cooperate with LICENSEE in its effort to obtain such approvals. In the event that (i) any application for such Governmental Approvals should be finally rejected; (ii) any Governmental Approval issued to LICENSEE is canceled, expires, lapses, or is otherwise withdrawn or terminated; or (iii) LICENSEE determines that such Governmental Approvals may not be obtained in a timely manner, LICENSEE shall have the right to terminate the applicable Supplement. Notice of LICENSEE'S exercise of its right to terminate shall be given to LICENSOR in accordance with the notice provisions set forth herein and shall be effective upon the later of: (a) the receipt of such notice as set forth in NOTICE section of this Agreement; (b) upon such later date as designated by LICENSEE; or (c) upon LICENSEE'S removal of the LICENSEE’S Communication Facility as required under the terms and conditions of this Agreement. All Base Rent paid to said termination date shall be retained by LICENSOR. Upon such termination, the applicable Supplement shall be of no further force or effect except to the extent of the representations, warranties and indemnities made by each Party to the other thereunder. Otherwise, the LICENSEE shall have no further obligations for the payment of Base Rent to LICENSOR for the terminated Supplement. IX. INDEMNIFICATION LICENSEE shall indemnify and hold LICENSOR harmless against any claim of liability or loss from personal injury or property damage resulting from or arising out of the use of the Poles, Property and/or the Premises by LICENSEE, its employees, contractors or agents, except to the extent such claims or damages may be due to or caused solely by the negligence or willful misconduct of LICENSOR, or its employees, contractors or agents. X. INSURANCE a. The Parties hereby waive and release any and all rights of action for negligence against the other which may hereafter arise on account of damage to the Poles, Premises or Property, resulting from any fire, or other casualty of the kind covered by standard fire insurance policies with extended coverage, regardless of whether or not, or in what amounts, such insurance is now or hereafter carried by the Parties, or either of them. These waivers and release shall apply between the Parties and they shall also apply to any claims under or through either Party as a result of any asserted right of subrogation. All such policies of insurance obtained by either Party concerning the Premises or the Property shall waive the insurer's right of subrogation against the other Party. City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Page 17 11 3414357v1 Small Cell Master License Agreement City of St. Louis Park 189966v2 b. LICENSEE agrees that at its own cost and expense, it will maintain commercial general liability insurance with limits of $4,000,000 per occurrence for bodily injury (including death) and $4,000,000 general aggregate. LICENSEE will provide Certificates of Insurance evidencing the coverage required and including LICENSOR as an additional insured as its interest may appear under this Agreement. The insurance policies shall be issued by a company (rated A:VII or better by Best Insurance Guide) licensed, authorized or permitted to do business in the State of Minnesota. The policies shall be primary and noncontributory. c. LICENSEE shall maintain worker's compensation insurance in compliance with the statutory requirements of the State of Minnesota and Employer's Liability with a limit of $1,000,000 each accident/disease/policy limit and shall provide for waiver or subrogation by the insurance company. XI.LIMITATION OF LIABILITY LICENSOR shall be not be liable to the LICENSEE, or any of its respective agents, representatives, employees for any lost revenue, lost profits, loss of technology, rights or services, incidental, punitive, indirect, special or consequential damages, loss of data, or interruption or loss of use of service, even if advised of the possibility of such damages, whether under theory of contract, tort (including negligence), strict liability or otherwise. XII. ANNUAL TERMINATION Notwithstanding anything to the contrary contained herein, provided LICENSEE is not in default hereunder beyond any applicable notice and cure periods, LICENSEE shall have the right to terminate each Supplement upon the annual anniversary of the Commencement Date of said Supplement provided that LICENSEE gives LICENSOR three (3) months prior written notice. XIII. INTERFERENCE LICENSEE shall implement all measures at the transmission site required by FCC regulations, including but not limited to posting signs and markings. LICENSOR shall cooperate with and permit LICENSEE to implement all reasonable measures in order for LICENSEE to fulfill its FCC obligations. LICENSOR agrees that in the event any future party causes an applicable Premises to exceed FCC Radio Frequency radiation limits, as measured on the Premises, LICENSOR shall hold such future party liable for all such later-arising non- compliance. LICENSEE agrees to install LICENSEE’S Communication Facility, in compliance with all FCC rules and regulations, and good engineering practices and according to the Plans, Application, applicable Supplement and this Agreement. LICENSEE further agrees that the LICENSEE’S use of the LICENSEE’S Communication Facility will not cause radio frequency interference to LICENSOR’S Communication Systems, provided such systems are lawfully installed and properly operated. City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Page 18 12 3414357v1 Small Cell Master License Agreement City of St. Louis Park 189966v2 In the event of interference with LICENSOR’S Communication Systems, LICENSEE shall, within twenty-four (24) hours after LICENSEE’S receipt of notice of such interference from LICENSOR, as provided in this Section, eliminate the interference or cease using LICENSEE’S interfering equipment, except for short tests necessary for the elimination of the interference, until the interference is cured to the reasonable satisfaction of the LICENSOR. If LICENSEE, in the event of interference with LICENSOR’S Communication Systems, fails to correct the interference within twenty-four (24) hours or cease using the interfering equipment within said time, except for testing purposes, or demonstrate that the LICENSEE’S Communication Facility is not the cause of the interference, LICENSEE shall cease operation of its Communication Facility. It is further agreed that LICENSOR does not guarantee to LICENSEE non-interference to the operation of LICENSEE’S Communication Facility by LICENSOR’S Communication Systems or other current users of the Premise or the Property (if any). LICENSOR will use its best efforts to notify other users of the Premises or Property of the interference, and to coordinate elimination of interference among the LICENSEE and other users of the Premises or Property. The parties agree that such reasonable evidence of interference that is likely caused by LICENSEE’S use or operation of LICENSEE’S Communication Facility warrants an emergency response and the Notices provision in this Agreement shall not apply. Rather, LICENSOR shall provide LICENSEE reasonable evidence that the interference is likely caused by the LICENSEE’S use or operation of LICENSEE’S Communication Facility verbally by telephone to LESSEE’S Network Operations Center at (800) 224-6620. Upon LICENSOR providing LICENSEE notice of reasonable evidence that any interference is likely caused by LICENSEE’S use or operation of LICENSEE’S Communication Facility, LICENSEE shall send a qualified technician or representative to the Premises within eight (8) hours from the time that the notice of reasonable evidence is provided by LICENSOR. The required eight (8) hour emergency response time under these circumstances is applicable 24 hours a day, 7 days a week. The qualified technician or representative shall be capable of assessing the situation and eliciting the necessary response, including any repairs, alterations or modifications to LICENSEE’S Communication Facility. XIV. REMOVAL AT END OF TERM LICENSEE shall, prior to the expiration of the applicable Term, or within ninety (90) days after any earlier termination of a Supplement, remove LICENSEE’S Communication Facility, conduits, fixtures and all personal property and restore the applicable Pole and Premises to its original condition, reasonable wear and tear excepted. LICENSOR agrees and acknowledges that all of LICENSEE’S Communication Facility, conduits, fixtures and personal property of LICENSEE shall remain the personal property of LICENSEE and LICENSEE shall have the right to remove the same at any time during the Term. All Poles, conduit and pole boxes are and shall remain property of LICENSOR. If LICENSEE fails to remove LICENSEE’S Communication Facility from the applicable Premises, LICENSEE shall pay rent at twice the then existing monthly rate or the existing monthly pro-rata basis if based upon a longer payment City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Page 19 13 3414357v1 Small Cell Master License Agreement City of St. Louis Park 189966v2 term, until such time as the removal of LICENSEE’S Communication Facility, fixtures and all other personal property are completed. Within sixty (60) days of the full execution of this Agreement, LICENSEE shall at its cost and expense, deliver to LICENSOR a cash security deposit ("Security Deposit") in favor of LICENSOR in the amount of Five Thousand and No/100 Dollars ($5,000.00) to secure LICENSEE'S obligation to remove the LICENSEE’S Communication Facilities according to the terms and conditions of this Agreement. In the event LICENSEE fails to remove the LICENSEE’S Communication Facilities and restore the Property, reasonable wear and tear and casualty damage excepted, LICENSOR may do so and LICENSEE shall reimburse LICENSOR for all costs incurred by LICENSOR in removing the LICENSEE’S Communication Facility and restoring the Property. LICENSOR may draw upon the Security Deposit in an amount that will reimburse LICENSOR for its actual costs to remove any of LICENSEE’S Communication Facilities and any amount remaining of the Security Deposit after the removal of LICENSEE’S Communication Facility by the LICENSOR will be refunded to LICENSEE. If the Security Deposit is insufficient to cover LICENSOR'S cost of removing any of LICENSEE’S Communication Facilities, LICENSEE shall pay to LICENSOR the deficiency within thirty (30) days of written notice of the amount of the deficiency. XV. NO REPRESENTATION OR WARRANTY – CONDITIONAL GRANT LICENSOR makes no representation or warranty regarding the condition of its title to the Property or its right to grant to LICENSEE use or occupation thereof under this Agreement. The license granted herein is “as is” and “where is.” LICENSEE is entering into this Agreement and LICENSEE'S use of a Pole, Premises or a Property is subject to LICENSEE'S own investigation and acceptance. LICENSEE'S rights granted pursuant to this Agreement are subject and subordinate to all limitations, restrictions, and encumbrances relating to LICENSOR'S interest in the Property that may affect or limit LICENSOR'S right to grant those rights to LICENSEE. XVI. ASSIGNMENT This Agreement and each Supplement under it may be sold, assigned or transferred by the LICENSEE without any approval or consent of the LICENSOR to the LICENSEE'S principal, affiliates, subsidiaries of its principal or to any entity which acquires all or substantially all of LICENSEE'S assets in the market defined by the FCC in which the Property is located by reason of a merger, acquisition or other business reorganization. As to all other parties, this Agreement and each Supplement may not be sold, assigned or transferred without the express written consent of LICENSOR. LICENSEE shall provide written notice of all sales, assignments or transfers within 60 days thereof. No change of stock ownership, partnership interest, or, control of LICENSEE shall constitute an assignment hereunder. In the event of any sale, assignment or transfer, LICENSEE shall not be relieved of any of its obligations under this Agreement or any of the Supplements whose term has not expired or otherwise terminated at the time of such sale, assignment or transfer. City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Page 20 14 3414357v1 Small Cell Master License Agreement City of St. Louis Park 189966v2 XVII. NOTICES All notices hereunder must be in writing and shall be deemed validly given if sent by certified mail, return receipt requested or by commercial courier, provided the courier's regular business is delivery service and provided further that it guarantees delivery to the addressee by the end of the next business day following the courier's receipt from the sender, addressed as follows (or any other address that the Party to be notified may have designated to the sender by like notice): LICENSOR: City of St. Louis Park Attn: Facility Manager 5005 Minnetonka Boulevard St. Louis Park, MN 55416 LICENSEE: Verizon Wireless (VAW) LLC d/b/a Verizon Wireless 180 Washington Valley Road Bedminster, New Jersey 07921 Attention: Network Real Estate Notice shall be effective upon actual receipt or refusal as shown on the receipt obtained pursuant to the foregoing. XVIII. DEFAULT In the event there is a breach by a Party with respect to any of the provisions of this Agreement or any Supplement or its obligations hereunder, the non-breaching Party shall give the breaching Party written notice of such breach. After receipt of such written notice, the breaching Party shall have thirty (30) days in which to cure any breach, provided the breaching Party shall have such extended period as may be required beyond the thirty (30) days if the breaching Party commences the cure within the thirty (30) day period and thereafter continuously and diligently pursues the cure to completion. A Party's failure to cure a breach within the time period set forth herein shall constitute a "Default". XIX. REMEDIES In the event of a Default by either Party, without limiting the non-defaulting Party in the exercise of any right or remedy which the non-defaulting Party may have by reason of such Default, the non-defaulting Party may terminate this Agreement and/or the applicable Supplement and/or may pursue any remedy now or hereafter available to the non-defaulting Party under the Laws or judicial decisions of the State of Minnesota. Further, upon a Default, LICENSOR may at its option (but without obligation to do so), perform LICENSEE'S duty or obligation on LICENSEE'S behalf, including but not limited to the obtaining of reasonably required insurance policies. The costs and expenses of any such performance by LICENSOR shall be due and payable by LICENSEE upon invoice therefor. City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Page 21 15 3414357v1 Small Cell Master License Agreement City of St. Louis Park 189966v2 XX. CASUALTY In the event of damage by fire or other casualty to the Pole or Premises that cannot reasonably be expected to be repaired within forty-five (45) days following same or which LICENSOR elects not to repair, or if the Pole or Property is damaged by fire or other casualty so that such damage may reasonably be expected to disrupt LICENSEE'S operations at the Premises for more than forty-five (45) days, then LICENSEE may, at any time following such fire or other casualty, provided LICENSOR has not completed the restoration required to permit LICENSEE to resume its operation at the Premises, terminate the Supplement upon fifteen (15) days prior written notice to LICENSOR. Any such notice of termination shall cause the Supplement to expire with the same force and effect as though the date set forth in such notice were the date originally set as the expiration date of the Supplement. The rent shall abate during the period of repair following such fire or other casualty in proportion to the degree to which LICENSEE'S use of the Premises is impaired. XXII. APPLICABLE LAWS, RULES AND REGULATIONS LICENSEE shall, at LICENSEE'S sole cost and expense, comply with (a) all ordinances, rules, laws and statutes of all applicable governmental agencies including, but not limited to, the LICENSOR’S, to the extent that they relate to LICENSEE'S use of a Pole and/or Premises; and (b) all building codes due to the installation of LICENSEE’S Communication Facility being made by LICENSEE to a Pole and/or Premises. XXII. CONDEMNATION If the whole or any part of the Property shall be taken by any public authority under the power of eminent domain, or is sold to any entity having the power of eminent domain under threat of condemnation, then the term of this Agreement or the applicable Supplements shall cease as of the date of the granting of the petition or the date of the closing. All rentals paid to said termination date shall be retained by LICENSOR. Any award, compensation, or damages, shall be paid to and be the sole property of LICENSOR, but nothing herein shall preclude LICENSEE from claiming against the condemning authority with respect to moving expenses and loss of personal property, and receiving an award therefor. XXIII. DATA PRACTICES This Agreement and the Supplements are subject to the Minnesota Government Data Practice Act, Minnesota Statutes Chapter 13 (Data Practices Act). All government data, as defined in the Data Practices Act Section 13.02, Subd 7, which is created, collected, received, stored, used, maintained, or disseminated by LICENSEE in performing any of the functions of the LICENSOR during performance of this Agreement or a Supplement is subject to the requirements of the Data Practice Act and LICENSEE shall comply with those requirements as if it were a government entity. City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Page 22 16 3414357v1 Small Cell Master License Agreement City of St. Louis Park 189966v2 XXIV. MISCELLANEOUS a. Approval of Supplement. Each Supplement to this Agreement shall be executed by the Mayor and the City Manager after the LICENSEE has complied with all of the terms, covenants and conditions of this Agreement and the applicable Application has been approved. b. Authority. Each of the Parties hereto warrants to the other that the person or persons executing this Agreement on behalf of that Party has the full right, power and authority to enter into and execute this Agreement on that Party’s behalf and that no consent from any other person or entity is necessary as a condition precedent to the legal effect of this Agreement. c. Complete Agreement; Amendments. This Agreement supersedes all prior discussions and negotiations and contains all agreements and understandings between the LICENSOR and the LICENSEE. This Agreement may only be amended in writing signed by all Parties. All Exhibits are incorporated into this Agreement by reference. d. Binding Effect. The terms and conditions of this Agreement shall run with the Premises and Property, inure to the benefit of and be binding on the respective Parties and their respective successors and permitted assignees. e. Enforcement and Attorneys’ Fees. The prevailing Party in any action or proceeding in court to enforce the terms of this Agreement including any appeals shall be entitled to receive its reasonable attorney’s fees and other reasonable costs and expenses from the non-prevailing party. f. Governing Law. This Agreement shall be construed in accordance with the laws of the State of Minnesota. g. Severability. If any term of this Agreement is found to be void or invalid, such invalidity shall not affect the remaining terms of this Agreement, which shall continue in full force and effect. h. Estoppel Information. Each Party shall from time to time, within sixty (60) days after written request from the other Party, execute, acknowledge and deliver an estoppel certificate indicating that this Agreement and any amendments thereto are in full force and effect, setting out the current monthly rental amount, date rent is paid through, expiration date of the then current term, and acknowledging that there are not, to such Party’s knowledge, any uncured defaults, or specifying such defaults, if any, are claimed. i. Brokers. If either Party is represented by a real estate broker in this transaction, that Party shall be fully responsible for any fee due such broker in this transaction, and shall hold the other Party harmless from any claims for commission by such broker. j. No Waiver. No provision of this Agreement will be deemed waived by either Party unless expressly waived in writing by the waiving Party. No waiver shall be implied by delay or any other act or omission of either Party. No waiver by either Party of any provisions of City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Page 23 17 3414357v1 Small Cell Master License Agreement City of St. Louis Park 189966v2 this Agreement shall be deemed a waiver of such provision with respect to any subsequent matter relating to such provision. k. Recitals. The Recitals set forth above in this Agreement are hereby incorporated in this Agreement as though they were set forth in the body hereof. [Remainder of Page Intentionally Blank-Signatures on Following Page] City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Page 24 18 3414357v1 Small Cell Master License Agreement City of St. Louis Park 189966v2 IN WITNESS WHEREOF, the Parties hereto have set their hands and affixed their respective seals the day and year first above written. LICENSOR: City of St. Louis Park, Minnesota By: Jake Spano Title: Mayor Date: AND By: Tom Harmening Title: City Manager Date: LICENSEE: Verizon Wireless (VAW) LLC d/b/a Verizon Wireless By: Name:_______________________ Title: _______________________ Date: City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Page 25 19 3414357v1 Small Cell Master License Agreement City of St. Louis Park 189966v2 EXHIBIT "A" LICENSE SUPPLEMENT 1.This Supplement ("this Supplement") is made this ____ day of _______, 2016 between the City of St. Louis Park, Minnesota, with its principal offices located at 5005 Minnetonka Boulevard, St. Louis Park, Minnesota 55416 ("LICENSOR"), and Verizon Wireless (VAW) LLC, d/b/a Verizon Wireless, whose principal place of business is One Verizon Way, Mail Stop 4AW100, Basking Ridge, New Jersey 07920 ("LICENSEE"). 2.Master License Agreement. This Supplement is a Supplement as referenced in that certain Master License Agreement between LICENSOR and LICENSEE, dated the _____ day of ____________, 2016, (the "Agreement"). The LICENSOR and LICENSEE agreed that all of the terms, covenants and conditions of the Agreement are incorporated herein by reference and made a part hereof without the necessity of repeating or attaching the Agreement and are in full force and effect except as they may be modified by this Supplement. In the event of a conflict, contradiction, modification or inconsistency between any term of the Agreement and this Supplement, the terms of this Supplement shall govern. Capitalized terms used in this Supplement shall have the same meaning described for them in the Agreement unless otherwise indicated herein. 3.Premises. The Property owned by LICENSOR is located at ________________ ______________________, St. Louis Park, Minnesota 55416 the Premises licensed by the LICENSOR to the LICENSEE hereunder is described on Exhibit "1" attached hereto and made a part hereof. 4.Term. The Commencement Date and the Term of this Supplement shall be as set forth in the Agreement. 5. Consideration. The annual Base Rent for this Supplement shall be One Thousand Five Hundred and No/100 Dollars ($1,500.00) and shall be payable as set forth in the Agreement. [Insert one of the following. "LICENSEE shall furnish and install an electrical meter for the measurement of electrical power used by LICENSEE's installation." Or, if an electrical meter is not installed: "LICENSOR shall be paid $1,500.00 per year for electrical service."] 6. Site Specific Terms. (Include any site-specific terms) Any Replacement Pole and/or New Pole installed by LICENSEE pursuant to the Plans at the location shown on Exhibit 1 attached hereto upon completion of the installation of the Pole shall be conveyed to LICENSOR without consideration to or from LICENSOR pursuant to a Bill of Sale. LICENSOR will thereafter be responsible for the Pole as provided in the Agreement. LICENSEE shall at LICENSEE’S sole cost and expense, remove, dispose and/or discard any Pole that LICENSEE removed and installed a Replacement Pole in place thereof. City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Page 26 20 3414357v1 Small Cell Master License Agreement City of St. Louis Park 189966v2 IN WITNESS WHEREOF, the Parties hereto have set their hands and affixed their respective seal the day and year first above written. LICENSOR: City of St. Louis Park By: [EXHIBIT ONLY - NOT FOR EXECUTION] Jake Spano Title: Mayor Date:________________________________ AND By: [EXHIBIT ONLY - NOT FOR EXECUTION] Tom Harmening Title: City Manager Date: LICENSEE: Verizon Wireless (VAW) LLC d/b/a Verizon Wireless By: [EXHIBIT ONLY - NOT FOR EXECUTION] Name: ______________________ Title: Date: City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Page 27 21 3414357v1 Small Cell Master License Agreement City of St. Louis Park 189966v2 EXHIBIT 1 Premises (Include Map, Pole Diagram, Plans and Table Listing All Pole Locations) City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Page 28 EXHIBIT “B” LICENSE SUPPLEMENT APPLICATION FOR CITY REVIEW UNDER AGREEMENT BETWEEN CITY AND VERIZON DATED THE _____ DAY OF __________, 2016 (“AGREEMENT”) 1. Attach one (1) set of detailed construction plans and specifications (“Plans”) and one (1) completed engineering grade plan sheets for each site (“Grade Plans”) signed by a Minnesota Licensed Engineer and one electronic copy of each. 2. Attach the application fee of $0.00; checks payable to the City. 3. Attach copy of permission from a Pole owner if any Pole is owned by an agency or party other than the City. 4. If Plans and Grading Plans are approved by City, one (1) set of each with City comments will be returned (emailed) to the Applicant. 5. Submit a check in the amount of $0.00, to be held in escrow by the City, to be used by the City to pay all Administrative Fees incurred by the City under the terms of the Agreement, the balance, if any, to be returned upon construction completion and delivery of completed as-builts in AutoCAD format to the City. The following items must be checked and on file prior to Application being considered complete for review. Master License Agreement (if applicable)Performance Bond Applicants Name:__________________________ Phone Number:______________ Fax Number:______________ Email Address:________________________ Company Name:___________________________ Phone Number:______________ Fax Number:_______________ Billing Address:________________________________________ City:_______________ State:____ Zip:_________ Company Job/ID Number:___________________________________________ LOCATION:______________________________________________________________________________________ DESCRIPTION OF WORK:__________________________________________________________________________ ________________________________________________________________________________________________ ________________________________________________________________________________________________ STRUCTURAL REPORT:_________________________ CONSTRUCTION SCHEDULE: Start Date:___________ Number of Construction Days During Schedule:____________ Completion Date:_____________ By signing this application, I (the applicant/company) hereby acknowledge that I must adhere to all provisions of the City Ordinance Sec. _______ and any other applicable ordinances. The applicant shall also comply with the regulations of all other governmental agencies for the protection of the public. APPLICANT’S SIGNATURE:____________________________________________ DATE:_____________________ For Office Use: Plan Meeting Date:_____________ Agenda Item Number:_____________ Approved Plan Number:_____________ Application Received:_____________ Decision Deadline:_____________ Date Stamp: City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Page 29 EXHIBIT “C” REQUIREMENTS FOR SMALL CELL WIRELESS TELECOMMUNICATION FACILITIES POLE ATTACHMENTS/EXTENSIONS 1. . All communications equipment shall be installed in accordance with applicable laws and LICENSEE shall comply with all laws, ordinances, rules and regulations adopted by LICENSOR. Within the public rights‐of‐way, the location of the communications equipment shall be subject to the reasonable and proper regulation, direction and control of the LICENSOR, or the official to whom such duties have been delegated by LICENSOR. LICENSEE and its contractors shall give LICENSOR reasonable notice of the dates, location, and nature of all work to be performed on its communications equipment within the public rights‐of‐way. Following completion of work in the public rights‐of‐way, LICENSEE shall repair any affected public rights‐of‐way as soon as possible, but no later than the time frame established by the permit issued by the LICENSOR. No street, alley, highway, or public place shall be encumbered for a longer period than shall be necessary to execute the work authorized by the applicable Supplement and this Agreement. 2. A completed as-built, in an AutoCAD or comparable format, must be submitted to the City at the completion of the project. City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Page 30 EXHIBIT “D“ BILL OF SALE FOR VALUABLE CONSIDERATION, Verizon Wireless (VAW) LLC d/b/a Verizon Wireless (“Seller”) sells and conveys to the City of St. Louis Park, Minnesota (“Buyer”), the following personal property: one (1) pole except any of Seller’s communications equipment affixed thereto (the “Personal Property”) located in the public right-of-way of ___________________________ in the City of St. Louis Park, State of Minnesota as described in License Supplement ______ between the Buyer and Seller dated the _____ day of ___________, 2016. SELLER MAKES NO WARRANTY, EXPRESS OR IMPLIED, AS TO THE PERSONAL PROPERTY’S MERCHANT ABILITY OR FITNESS FOR ANY PARTICULAR PURPOSE. BY ITS ACCEPTANCE OF THIS BILL OF SALE, BUYER ACKNOWLEDGES THAT IT HAS FULLY INSPECTED THE PERSONAL PROPERTY AND BUYER ACCEPTS THE SAME. This Bill of Sale merely conveys to Buyer all right, title and interest, if any, of Seller in the Personal Property, but this shall not convey any of the communications equipment or appurtenances of Seller that are installed, attached, mounted or otherwise connected to the Personal Property. This Bill of Sale contains the entire agreement and representations of the parties related to the sale of the Personal Property, may not be altered except by a written instrument signed by both parties, and shall be construed in accordance with the laws of the State of Minnesota. SELLER: Verizon Wireless (VAW) LLC d/b/a Verizon Wireless By:__________________________________ Name:______________________ Title:_______________________ Date:_______________________ City Council Meeting of February 21, 2017 (Item No. 8e) Title: Master License Agreement with Verizon Page 31 Meeting: City Council Meeting Date: February 21, 2017 Action Agenda Item: 8f EXECUTIVE SUMMARY TITLE: Resolution Approving Annual City Manager Evaluation RECOMMENDED ACTION: Motion to Adopt Resolution for formal acceptance of the final City Manager annual evaluation. POLICY CONSIDERATION: Is the summary of the evaluation consistent with the Councils understanding at the conclusion of the evaluation process? BACKGROUND: On Monday, February 6, 2017, the Council met in a Closed Executive Session to discuss the annual City Manager evaluation. The Mayor will provide a summary of the evaluation results during the Council meeting. FINANCIAL OR BUDGET CONSIDERATION: Not applicable. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Resolution Prepared by: Ali Timpone, HR Coordinator Reviewed by: Nancy Deno, Deputy City Manager/HR Director Approved by: Tom Harmening, City Manager Page 2 City Council Meeting of February 21, 2017 (Item No. 8f) Title: Resolution Approving Annual City Manager Evaluation RESOLUTION NO. 17-___ RESOLUTION ACCEPTING THE ANNUAL CITY MANAGER EVALUATION WHEREAS, the City Council provides an opportunity to hold an annual evaluation of the City Manager; and WHEREAS, on February 6, 2017, a Closed Executive Session of the Council was held to discuss the evaluation; NOW THEREFORE BE IT RESOLVED that the City Council of the City of St. Louis Park hereby accepts the annual evaluation of the City Manager. Reviewed for Administration: Adopted by the City Council February 21, 2017 Thomas K. Harmening, City Manager Jake Spano, Mayor Attest: Melissa Kennedy, City Clerk Meeting: City Council Meeting Date: February 21, 2017 Action Agenda Item: 8g EXECUTIVE SUMMARY TITLE: Resolution Approving 2017 City Manager Compensation RECOMMENDED ACTION: Motion to Adopt Resolution to approve the 2017 compensation for the City Manager. POLICY CONSIDERATION: Does Council wish to approve the City Manager’s 2017 compensation as recommended? BACKGROUND: On Monday, February 6, 2017, the Council met in a study session to discuss the City Manager’s compensation as it relates to the state salary cap and the City’s pay philosophy. This resolution will apply the City Manager’s compensation increase as discussed during the study session, retroactive to January 1, 2017. FINANCIAL OR BUDGET CONSIDERATION: The recommended increase has been included in the 2017 budget. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Discussion Resolution Prepared by: Ali Timpone, HR Coordinator Reviewed by: Nancy Deno, Deputy City Manager/HR Director Approved by: Tom Harmening, City Manager Page 2 City Council Meeting of February 21, 2017 (Item No. 8g) Title: Resolution Approving 2017 City Manager Compensation DISCUSSION BACKGROUND: The position of City Manager has a market evaluation conducted by the consultant each year. As Council is aware, the City underwent a comprehensive study of positions in 2016 and revised the City’s pay philosophy so that our pay is set to the 85th percentile of our market effective 1/1/17. This report details the City Manager’s pay and how it relates to our new compensation plan. What is the City Manager’s current (2016) compensation? •2016 salary range for the City Manager was set at $159,406 - $187,537. •Salary cap in 2016 was $165,334. •2016 annual salary for City Manager is $165,334 and additional PTO of 279.33 hours (at $79.488/hr. = $22,203) for a total of $187,537, not including car allowance. Salary Cap Waiver Information In 2002, the City filed for a waiver of the salary cap for the City Manager. We were granted a slightly higher pay range at that time. Due to formula changes in the salary cap in the past, the City only used the waiver for several years. In mid-2016, we were informed that the salary cap waiver previously obtained in 2002 continues to apply to St. Louis Park. This information was confirmed by our City attorney in conversation with MN Management and Budget. We had assumed that the cap for the City of St. Louis Park was $165,334 for 2016 but in obtaining information from the state, we were informed it was actually set at $170,626 (the same level as City of Edina for 2016). Since this information was obtained mid-year 2016 and we use PTO, it was determined that we would provide this information to Council for the 2017 recommendation. How does the state salary cap work? State law limits the amount of compensation political subdivisions may pay employees. Under current law, the maximum pay is 110% of the governor’s salary. Adjustments are made annually based on the Consumer Price Index. Effective January 1, 2017, the salary cap limit is $167,978. Salary cap and St. Louis Park 2017: The City of St. Louis Park requested and received a waiver from the salary cap in 2002, allowing us to pay in excess of the cap up to a new limit; and with the information above, the 2017 City of St. Louis Park cap with waiver is $173,356. Items that are excluded from compensation and not subject to the cap are employee benefits that are also provided to all other full-time employees, vacation/sick leave allowances, health/dental/disability/life insurance, pension benefits, dues paid to civic or professional organizations, reimbursement for expenses, and relocation expenses during initial year of employment. What market do we use for comparison of the City Manager’s compensation? For regular City employees, our compensation plan defines our market as metropolitan suburbs in Minnesota with populations between 25,000 and 90,000. Since Minnesota has a salary cap, the data from our traditional market used for other full-time employees is artificially compressed for the City Manager position. Page 3 City Council Meeting of February 21, 2017 (Item No. 8g) Title: Resolution Approving 2017 City Manager Compensation Due to the salary compression in Minnesota, Council historically uses data from market pay of comparable cities in the Midwest for this comparison. Our consultant gathers information from International City and County Management Association (ICMA) comparable cities in Minnesota, Michigan, Iowa, Wisconsin, Kansas, Ohio, Missouri, and Illinois to make a recommendation for market pay. What is the consultant’s recommendation for the 2017 City Manager pay range? Using the data as described above, and the City’s new compensation philosophy of max pay at the 85th percentile of the market, our consultant has recommended the 2017 pay range of $169,794 - $212,243. What is the recommendation for the City Manager’s compensation for 2017? The City Manager’s current total compensation is $187,537 (including some salary included in the salary cap, and other PTO time). Because this is not at the maximum of the new 2017 pay range, it is recommended that the City Manager receive the same increase as other non-organized employees who are not at the maximum of their range, which is double the standard increase. The 2017 standard increase was approved as 2.75%. Therefore, the City Manager is eligible for a 5.5% increase in total compensation for 2017, or $197,852. Of this, $173,356 is salary subject to the state salary cap. 2017 CITY MANAGER COMPENSATION RECOMMENDATION Effective January 1, 2017, set compensation at $197,852 and to insure compliance with the salary cap, the following conditions apply: •Annual salary of $173,356 annually ($83.344 hourly) for the City Manager, not including car allowance, in accordance with the salary cap. •Car allowance of $600 per month will be subject to the PTO program. •In addition, Council approves 293.91 hours of PTO for the City Manager in 2017 (293.91 X $83.344 = $24,496). What is the PTO program? The PTO program was approved by Council and part of the City’s Personnel Manual. Section 9.13 Paid Time Off (PTO) Program states: Effective 01/01/02, exempt employees, including the City Manager, who reach the salary limit requirements of M.S. 43A.17, Subd. 9, shall receive equivalent hours above the limit in paid leave (PTO). Amount of PTO is determined by the City Council. PTO is typically accrued on a per pay period basis, although the Council may issue PTO as a lump sum amount. PTO may be used as earned, maintained in a PTO bank or cashed out upon separation of employment. PTO is separate and not part of the flex leave program (Resolution 02- 127). Each July 31, all hours in the PTO balance must transfer to a Health Care Savings Plan account established for the employee in accordance with plan requirements (Resolution 05-104). Funds in the Health Care Savings Plan can only be used for reimbursement of eligible medical expenses after separation of employment. Page 4 City Council Meeting of February 21, 2017 (Item No. 8g) Title: Resolution Approving 2017 City Manager Compensation RESOLUTION NO. 17-___ RESOLUTION ACCEPTING THE 2017 CITY MANAGER COMPENSATION WHEREAS, the City Council wishes to compensate the City Manager in accordance with state statute and City policy; and WHEREAS, on February 6, 2017, a Closed Executive Session of the Council was held to discuss the City Manager’s performance evaluation; and WHEREAS, on February 21, 2017, Council enthusiastically approved the City Manager’s performance evaluation; NOW THEREFORE BE IT RESOLVED that the City Council of the City of St. Louis Park hereby confirms an annual salary of $173,356 for the City Manager, not including car allowance, in accordance with the salary cap. Car allowance of $600 per month will be subject to the PTO program. In addition, Council approves 293.91 hours of PTO for the City Manager in 2017. Reviewed for Administration: Adopted by the City Council February 21, 2017 Thomas K. Harmening, City Manager Jake Spano, Mayor Attest: Melissa Kennedy, City Clerk