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2013/06/17 - ADMIN - Agenda Packets - City Council - Regular
AGENDA JUNE 17, 2013 (Mayor Jacobs & Councilmember Spano Out) 6:00 p.m. SPECIAL STUDY SESSION – Council Chambers Discussion Items 1. 6:00 p.m. Southwest LRT Update 2. 7:00 p.m. 2012 Financial Statements – Auditors Discussion and Review 7:30 p.m. CITY COUNCIL MEETING – Council Chambers 1. Call to Order 1a. Pledge of Allegiance 1b. Roll Call 2. Presentations 2a. 2012 Financial Statements – Auditors Discussion and Review 2b. Recognition for Mike Rardin’s Years of Service 3. Approval of Minutes 3a. Study Session Meeting Minutes May 28, 2013 3b. City Council Meeting Minutes June 3, 2013 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.) 5. Boards and Commissions -- None 6. Public Hearings 6a. Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan Recommended Action: Motion to Adopt the Citywide Sidewalk, Trail, and Bikeway System Plan as presented in Exhibits A2, B1, and C2, which depict the proposed 10-year Capital Plan. 7. Requests, Petitions, and Communications from the Public -- None 8. Resolutions, Ordinances, Motions and Discussion Items 8a. Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) Recommended Action: Motion to Adopt Resolution Providing Sale of $4,165,000 General Obligation Refunding Bonds, series 2013A. 9. Communication 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 June 17, 2013 City Council Agenda CONSENT CALENDAR 4a. Adopt Resolution “Declaring that it is The City of St. Louis Park’s Policy to Utilize Complete Streets Principles in Transportation Planning and Community Design” 4b. Adopt Resolution authorizing installation of stop sign at the east termination point of Auto Club Way 4c. Adopt Resolution authorizing the special assessment for the repair of the sewer service line at 2600 Inglewood Avenue South, St. Louis Park, MN - P.I.D. 31-029-24-41-0106 4d. Adopt Resolution authorizing the special assessment for the repair of the water service line at 3208 Webster Avenue South, St. Louis Park, MN - P.I.D. 16-117-21-21-0105 4e. Adopt Resolution authorizing the special assessment for the repair of the water service line at 3224 Dakota Avenue South, St. Louis Park, MN - P.I.D. 17-117-21-14-0007 4f. Approve premises amendment to the on-sale intoxicating and Sunday sales liquor license for El Gordo Uno, Inc.; dba El Patron Mexican Cuisine located at 8140 Hwy 7 4g. Approve a temporary on-sale intoxicating liquor license for Park Nicollet Foundation – Meadowbrook Collaborative, St. Louis Park, for an event to be held on June 18, 2013, at the Warehouse Winery located at 6415 Cambridge St 4h. Adopt Resolution approving acceptance of a monetary donation from John Wiley & Sons, Inc. in the amount of $500 and from Inscape Publishing in an amount of $1,150 for the purchase and installation of a memorial bench in memory of Colin Farbotko. The bench will be installed along the walking trail of Otten Pond 4i. Adopt Resolution approving acceptance of a monetary donation from Rebekah Forrest in the amount of $25 to be used at the discretion of Westwood Hills Nature Center 4j. Adopt Resolution approving acceptance of a monetary grant from the Minnesota Recreation and Park Foundation in the amount of $800 to fund “Interactive Scavenger Hunt with GPS” at Westwood Hills Nature Center 4k. Adopt Resolution approving a Minor Amendment to the Planned Unit Development (PUD) for Costco / Home Depot, with conditions recommended by staff 4l. Approve Second Reading and Adopt Ordinance amending Appendix A of the City Code, and Chapter 36 pertaining to Mobile Medical Uses, and to approve the summary ordinance for publication 4m. Authorize the execution of an encroachment agreement for grading on City property next to 4300 Cedarwood Road 4n. Confirm the appointment of Scott Brink to the position of Interim Engineering Director effective June 29, 2013 4o. Adopt Resolution ordering the abatement of the hazardous buildings located at 7112 Minnetonka Boulevard 4p. Approve for filing Planning Commission Meeting Minutes May 15, 2013 4q. Approve for filing Vendor Claims 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: Study Session Meeting Date: June 17, 2013 Discussion Item: 1 EXECUTIVE SUMMARY TITLE: Southwest LRT Update RECOMMENDED ACTION: Staff requests that the Council provide feedback and direction regarding the freight rail relocation and co-location options identified by the SWLRT Project Office (SPO). POLICY CONSIDERATION: How to respond to the SWLRT Project Office regarding freight rail options within the context of the City’s freight rail policies and potential updating of those policies. SUMMARY: The purpose of this agenda item is to continue the discussion of the proposed freight rail routing options, the impact they will have on St. Louis Park, and potential comments to submit to the SPO. The focus of this meetings discussion will be the co-location options and the impact of those options on St. Louis Park and the appropriate mitigation needs. FINANCIAL OR BUDGET CONSIDERATION: Not applicable. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Maps and other related materials regarding the freight rail issues will be provided at the meeting. Prepared by: Kevin Locke, Community Development Director; and, Meg McMonigal, Planning and Zoning Supervisor Approved by: Tom Harmening, City Manager Meeting: Special Study Session Meeting Date: June 17, 2013 Discussion Item: 2 EXECUTIVE SUMMARY TITLE: 2012 Financial Statements – Auditors Discussion and Review RECOMMENDED ACTION: No action required. City Council is asked to provide any comments or questions it might have regarding the Comprehensive Annual Financial Report (CAFR), Communication with Those Charged with Governance, Report on Compliance and Internal Controls for the year ended December 31, 2012. POLICY CONSIDERATION: • Is the City Council comfortable with the information contained in the Comprehensive Annual Financial Report (CAFR), Communication with Those Charged with Governance, Report on Compliance and Internal Controls for the year ended December 31, 2012 to allow for effective decision making? • Would the Council desire to have any follow-up discussion on the Audit? SUMMARY: For the presentation, David J. Mol – Partner from HLB Tautges Redpath, Ltd. will discuss the information and key financial points with the City Council. The City of St. Louis Park is required to have an independent audit performed annually. The auditors work for the City Council, not the City management team. The City received a clean audit opinion, or “unqualified opinion”, which means that HLB Tautges Redpath, Ltd. believe the financial statements, as presented by city staff, fairly represents the City’s financial condition as of December 31, 2012. Staff has submitted the CAFR to the Office of the State Auditor as required and also submitted it to the Government Finance Officers Association (GFOA) to be considered for the Achievement for Excellence in Financial Reporting certificate program for which the City of St. Louis Park has been recognized for 29 consecutive years. FINANCIAL OR BUDGET CONSIDERATION: This report shows the City of St. Louis Park remains in strong financial condition. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: 1) 2012 - Comprehensive Annual Financial Report 2) 2012 – Communication for Charged with Governance 3) 2012 - Reports on Compliance and Internal Controls 4) 2012 - Audit Review 5) 2012 - St. Louis Park Financial Summary Prepared by: Brian A. Swanson, Controller Reviewed by: Nancy Deno, Deputy City Manager/HR Director Approved by: Tom Harmening, City Manager Comprehensive Annual Financial Report For the Year Ended December 31, 2012 CCiittyy ooff SStt LLoouuiiss PPaarrkk,, MMiinnnneessoottaa Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 2 - This page intentionally left blank - Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 3 CITY OF ST. LOUIS PARK, MINNESOTA COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED DECEMBER 31, 2012 Thomas Harmening – City Manager Prepared by: Accounting Division Member of the Government Finance Officers’ Association Of the United States and Canada Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 4 - This page intentionally left blank - Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 5 CITY OF ST. LOUIS PARK, MINNESOTA TABLE OF CONTENTS Page Reference No. I. INTRODUCTORY SECTION Letter of Transmittal 3 Certificate of Achievement 8 Services Chart 9 Officials of the City of St. Louis Park 10 II. FINANCIAL SECTION Independent Auditor's Report 13 Management's Discussion and Analysis 17 Basic Financial Statements: Government-Wide Financial Statements: Statement of Net Position Statement 1 33 Statement of Activities Statement 2 34 Fund Financial Statements: Balance Sheet - Governmental Funds Statement 3 36 Statement of Revenues, Expenditures and Changes in Fund Balance - Governmental Funds Statement 4 38 Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances of Governmental Funds to the Statement of Activities Statement 5 41 Statement of Net Position - Proprietary Funds Statement 6 42 Statement of Revenues, Expenses and Changes in Fund Net Position - Proprietary Funds Statement 7 44 Statement of Cash Flows - Proprietary Funds Statement 8 46 Notes to Financial Statements 51 Required Supplementary Information: Budgetary Comparison Schedule - General Fund Statement 9 90 Budgetary Comparison Schedule - Park and Recreation Fund Statement 10 94 Schedule of Funding Progress - Post Employment Benefit Plan Statement 11 95 Note to RSI 96 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 6 CITY OF ST. LOUIS PARK, MINNESOTA TABLE OF CONTENTS Page Reference No. Combining and Individual Fund Statements and Schedules: Combining Balance Sheet - Nonmajor Governmental Funds Statement 12 102 Combining Statement of Revenues, Expenditures and Changes in Fund Balance - Nonmajor Governmental Funds Statement 13 103 Special Revenue Funds: Combining Balance Sheet - Nonmajor Special Revenue Funds Statement 14 106 Combining Statement of Revenues, Expenditures and Changes in Fund Balance - Nonmajor Special Revenue Funds Statement 15 107 Capital Projects Funds: Combining Balance Sheet - Nonmajor Capital Projects Funds Statement 16 110 Combining Statement of Revenues, Expenditures and Changes in Fund Balance - Nonmajor Capital Projects Funds Statement 17 111 Debt Service Funds: Combining Balance Sheet - Major Debt Service Funds Statement 18 114 Combining Statement of Revenues, Expenditures and Changes in Fund Balance - Major Debt Service Funds Statement 19 117 Redevelopment District Funds: Combining Balance Sheet - Major Redevelopment District Funds Statement 20 123 Combining Statement of Revenues, Expenditures and Changes in Fund Balance - Major Redevelopment District Funds Statement 21 127 Internal Service Funds: Combining Statement of Net Position Statement 22 132 Combining Statement of Revenues, Expenditures and Changes in Fund Net Position Statement 23 134 Combining Statement of Cash Flows Statement 24 136 General Fund: Balance Sheet Statement 25 142 Summary Financial Report: Schedule of Revenues and Expenditures for General Operations - Governmental Funds Statement 26 143 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 7 CITY OF ST. LOUIS PARK, MINNESOTA TABLE OF CONTENTS Page Reference No. III. STATISTICAL SECTION (UNAUDITED) Financial Trends: Net Position by Component Table 1 146 Changes in Net Position Table 2 148 Governmental Activities Tax Revenues by Source Table 3 153 Fund Balances of Governmental Funds Table 4 154 Changes in Fund Balances - Governmental Funds Table 5 156 Revenue Capacity: Assessed Value/Tax Capacity Value and Estimated Market Values of all Taxable Property Table 6 158 Property Tax Rates - Direct and Overlapping Governments Table 7 160 Principal Property Taxpayers Table 8 161 Property Tax Levies and Collections Table 9 162 Debt Capacity: Ratios of Outstanding Debt By Type Table 10 163 Ratios of General Bonded Debt Outstanding Table 11 164 Direct and Overlapping Governmental Activities Debt Table 12 165 Legal Debt Margin Information Table 13 166 Pledged Revenue Bond Coverage Table 14 168 Demographic and Economic Information: Demographic Statistics Table 15 169 Principal Employers Table 16 170 Operating Information: Full-Time Equivalent Employees by Function Table 17 171 Operating Indicators by Function Table 18 172 Capital Asset Statistics by Function Table 19 173 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 8 - This page intentionally left blank - Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 9 I. INTRODUCTORY SECTION 1 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 10 - This page intentionally left blank - 2 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 11 May 9, 2013 Honorable Mayor and Members of the City Council City of St. Louis Park, Minnesota Minnesota statutes require all cities to issue an annual report on its financial position and activity prepared in accordance with generally accepted accounting principles (GAAP), and audited in accordance with generally accepted auditing standards by a firm of licensed certified public accountants, or the Office of the State Auditor. Pursuant to that requirement, we hereby issue the comprehensive annual financial report of the City of St. Louis Park for the fiscal year ended December 31, 2012. This report consists of management’s representations concerning the finances of the City of St. Louis Park. Consequently, management assumes full responsibility for the completeness and reliability of all of the information presented in this report. To provide a reasonable basis for making these representations, management of the City of St. Louis Park established a comprehensive internal control framework that is designed both to protect the government’s assets from loss, theft, or misuse and to compile sufficient reliable information for the preparation for the City of St. Louis Park’s financial statements in conformity with GAAP. Because the cost of internal controls should not outweigh their benefits, the City of St. Louis Park’s comprehensive framework of internal controls has been designed to provide reasonable rather than absolute assurance that the financial statements will be free from material misstatement. As management, we assert that, to the best of our knowledge and belief, this financial report is complete and reliable in all material respects. The City of St. Louis Park’s financial statements have been audited by HLB Tautges Redpath, Ltd., a firm of licensed certified public accountants. The goal of the independent audit was to provide reasonable assurance that the financial statements of the City of St. Louis Park for the fiscal year ended December 31, 2012, are free of any material misstatement. The independent audit involved examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements; assessing the accounting principles used and significant estimates made by management; and evaluating the overall financial statement presentation. The independent auditor concluded, based upon the audit, that there was a reasonable basis for rendering an unqualified opinion that the City of St. Louis Park’s financial statements for the fiscal year ended December 31, 2012, are fairly presented in conformity with GAAP. The independent auditor’s report is presented as the first component of the financial section of this report. Management’s Discussion and Analysis (MD&A) immediately follows the independent auditor’s report and provides a narrative introduction, overview, and analysis of the basic financial statements. This letter of transmittal is designed to complement the MD&A and should be read in conjunction with it. Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 12 Profile of the Government The City of St. Louis Park, established in 1886, is a first ring suburb located immediately west of Minneapolis. Thanks to its convenient location, St. Louis Park combines all the cultural amenities of a large metropolitan area with small town friendliness. The City of St. Louis Park currently occupies a land area of 10.8 square miles and serves a population of 45,505. The City of St. Louis Park is empowered to levy a property tax on both real and personal properties located within its boundaries. While it also is empowered by state statutes to extend its corporate limits by annexation, St. Louis Park is a completely developed community and is bordered on all sides by other incorporated communities. St. Louis Park operates under the council/manager form of government. Policy-making and legislative authority are vested in a City Council consisting of a mayor, two at-large council members, and four ward council members. The City Council is responsible, among other things, for passing ordinances, adopting the budget, appointing committees, and hiring the City Manager. The City Manager is responsible for carrying out the policies and ordinances of the council, for overseeing the day-to-day operations of the City government, and for appointing the heads of the various departments. The council is elected on a non-partisan basis. Council members serve four-year staggered terms. The City of St. Louis Park provides a full range of services, including police and fire protection; redevelopment, the construction and maintenance of highways, streets, and other infrastructure; water, sewer, storm water, and refuse services as well as recreational activities and cultural events. The annual budget serves as the foundation for the City of St. Louis Park’s financial planning and control. All departments and agencies of the City of St. Louis Park submit requests for appropriation to the City Manager in August of each year. The City Manager uses these requests as the starting point for developing a proposed budget. The City Manager then presents this proposed budget to the council for review prior to adoption of a preliminary tax levy by September 15. The council is required to hold public hearings on the proposed budget and to adopt a final budget no later than December 28. The appropriated budget is prepared by fund, (e.g. General), function (e.g., public safety), and department (e.g., police). Department directors may make transfers of appropriation within a department, but not between personnel and non-personnel categories. Transfers of appropriations between funds, however, require the approval of the City Council. Budget to actual comparisons are provided in this report for the general fund and park and recreation special revenue fund for which appropriated annual budgets have been adopted. These comparisons are presented starting on page 90 as part of the basic financial statements for the governmental funds. Factors Affecting Financial Condition The information presented in the financial statements is perhaps best understood when it is considered from the broader perspective of the specific environment within which the City of St. Louis Park operates. Local economy The City of St. Louis Park currently enjoys a durable economic environment and local indicators point to continued stability versus other communities in the Twin City Metro 4 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 13 Area. The City of St. Louis Park has a well-diversified tax base, with a sizeable full valuation that includes retail, manufacturing, and health care components, as well as diverse housing stock. Redevelopment efforts and relatively stable values on existing properties have resulted in nominal value changes of less than 10% over the past five years. This equates to superior performance versus the majority of communities in the metro area. The City, due to its location and strong commitment to housing maintenance, has experienced smaller declines in housing prices and lower rates of foreclosure than many other communities in the Twin Cities metropolitan area. The City of St. Louis Park continues to have lower unemployment than the state and national averages. Redevelopment The City of St. Louis Park is committed to evaluating, preserving, and improving the housing stock available within the community. It is important that a wide variety of housing alternatives be available within the community. Redevelopment projects over the past ten years have provided a mix of apartment, co-op, condominium, town-home, and single family units. Many of these housing developments contain a commercial component including both retail and services to support the new housing and create more livable neighborhoods. The City has used its tax increment financing authority in many of these projects in order to meet specific community and economic development objectives. Some of the larger projects include: The West End – This is a major 39-acre, mixed use redevelopment located at the southwest quadrant of I-394 and Highway 100. The first phase was constructed in 2009 and consists of a 350,000 square feet “lifestyle” shopping center. This complex features a variety of specialty restaurants (14 total), numerous stores and fashion boutiques, a 14- screen movie theater, a grocery store and 28,000 square feet of 2nd story office space. To date, approximately 85% of the rentable space has been leased. Integrated into the center are indoor and outdoor public gathering places that include public art, a community room, a police sub-station, a 5-level parking ramp and a block-long, heated, underground garage. Construction on the second phase; an upscale 5-story apartment building called The Flats at West End, has been substantially completed. It will feature 119 stylish apartment units, structured underground parking and a party deck. The market rate units will be available in the late spring or early summer of 2013. The final phase has preliminary approval and is still in the planning stages. It will include 1.1 million square feet of office space distributed between three or four office buildings. Construction on the first office building is expected to begin within the next several years. Hoigaard Village – This 10-acre project abutting Highway 100 involved the acquisition and removal of several blighted buildings, installation of new public infrastructure, a central green, as well as construction of 420 multi-family housing units and 25,000 square feet of retail space in three separate elements. To date, all the public elements have been completed and 298 of the housing units have been constructed and are currently leased. 5 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 14 During the summer of 2012, construction began on the final two elements: a five–story, 100 unit apartment building called The Adagio and 22 row homes called Medley Row. Both projects are expected to be completed by the end of 2013. e2 - (Ellipse on Excelsior II) – Given the success of the Ellipse on Excelsior, the redeveloper of that project is planning to embark on a second phase next door. It will be a stylish 5 –story apartment building with 58 upscale apartment units with structured parking. Construction on e2 began in the fall of 2012 and will likely be completed in spring 2014. Towerlight – Another 5-story mixed-use development consisting of 115 senior assisted living apartments with 10,000 square feet of commercial retail at street level upon completion. Construction on this project began in the summer of 2011 and was completed at the end of 2012. 36 Park Apartments – A 10-story, 192 unit apartment building at the southeast corner of 36th Street and Park Center Blvd. This upscale, market rate building called 36 Park is completed and is being occupied. Eliot Park – This project consists of 138 market rate apartments and 2 single family homes. This project is scheduled to move forward in 2013 and be completed by end of 2014. Redevelopment interest continues to remain strong in St. Louis Park and other proposals and inquiries are being considered for multi-family and mixed use projects. The City also sponsors a comprehensive rehabilitation loan program available to single family and multi-family homeowners. The first programs were started in the mid 1970’s and have evolved into a comprehensive set of programs to ensure the preservation and enhancement of the City’s housing stock. In addition, the City also created a Convention and Visitors Bureau (CVB) in 2011, which markets the desirability of St. Louis Park for both business and recreational opportunities. This continues to be a very strong partner with the City of St. Louis Park which has brought increased business and activities to the City. Finally, the City of St. Louis Park constructed two fire stations to replace the two existing ones. The City issued Build America Bonds in December 2010 and also utilized available cash to finance the construction. The first fire station was completed in March 2012, and the second was completed in May 2012. Both facilities are technologically advanced, can accommodate the latest firefighting apparatus and are built in accordance with the City’s newly adopted Green Building Policy. Long-term Financial Planning The City maintains a 10 year Long Range Financial Management Plan that incorporates anticipated revenues, expenditures, capital outlay, and tax impacts for all relevant funds. The plan is used in conjunction with the annual budget process and allows the City Council to evaluate the sustainability of various budget decisions prior to adoption. This plan has proven its value by playing a significant role in achieving a bond rating upgrade 6 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 15 to “AAA” from Standard & Poor’s in November, 2008 and keeping the costs of borrowing for the City of St. Louis Park at an extremely low rate. Awards The Government Finance Officers Association (GFOA) awarded a certificate of Achievement for Excellence in Financial Reporting to the City of St. Louis Park for its comprehensive annual financial report (CAFR) for the fiscal year ended December 31, 2011. This was the twenty-ninth consecutive year that the government has received this prestigious award. In order to be awarded a certificate of Achievement, the government published an easily readable and efficiently organized CAFR. The report satisfied both generally accepted accounting principles and applicable legal requirements. A Certificate of Achievement is valid for a period of one year only. We believe that our current CAFR continues to meet the Certificate of Achievement Program’s requirements. Once again, we are submitting the Comprehensive Annual Financial Report to GFOA to determine its eligibility for another certificate. Acknowledgements The preparation of this report would not have been possible without the efficient and dedicated services of the entire staff of the Accounting Department and other key City of St. Louis Park personnel. We would like to express our appreciation to all members of the organization who assisted and contributed to the preparation of the report. Credit also must be given to the Mayor and the City Council for their unfailing support for maintaining the highest standards of professionalism in the management of the City of St. Louis Park’s finances. Respectfully submitted, Thomas Harmening Brian A. Swanson City Manager Controller 7 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 16 8 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 17 SERVICES CHART Citizens City Council City Manager Boards & Commissions y Board of Zoning Appeals y Human Rights y Planning y Police Advisory y Fire Civil Service y Parks & Recreation y Telecommunications Advisory ADMINISTRATIVE SERVICES Records General Admin Human Resources Payroll Org Development Elections City Clerk Accounting Assessing COMMUNITY DEVELOPMENT Planning/Zoning Economic Development Housing INFORMATION RESOURCES Cable Television Technology Services Support Services WEB Communications & Marketing INSPECTIONS Code Enforcement Building Housing Environmental Health Facility Maintenance Service Districts Licensing PARKS & RECREATION Rec Programming Park Maintenance Environmental Nature Center Recreation Center Park Improvements Vehicle Maintenance POLICE Patrol Support Services Crime Prevention 911 Dispatch Animal Control Community Outreach & Neighborhoods PUBLIC WORKS Engineering Utility Operations Streets/Traffic Refuse/Recycling FIRE Fire Prevention Fire Suppression EMS/Rescue Emergency Preparedness Auditors Legal Charter Commission Economic Development Authority Housing Authority 9 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 18 City of St. Louis Park 1 2013 Budget OFFICIALS OF THE CITY OF ST. LOUIS PARK Council Jeff Jacobs Mayor EDA Commissioner Term Expires 1/2016 Steve Hallfin At-Large A Councilmember EDA Commissioner Term Expires 1/2016 Jake Spano At-Large B Councilmember EDA Commissioner Term Expires 1/2016 Susan Sanger Ward 1 Councilmember EDA Commissioner Term Expires 1/2014 Mayor Pro-tem Anne Mavity Ward 2 Councilmember EDA Vice President Term Expires 1/2014 Sue Santa Ward 3 Councilmember EDA President Term Expires 1/2014 Julia Ross Ward 4 Councilmember EDA Treasurer Term Expires 1/2014 Executive Staff Thomas Harmening, City Manager Nancy Deno, Deputy City Manager/HR Director Clint Pires, Chief Information Officer Kevin Locke, Community Development Director Brian Swanson, Controller Luke Stemmer, Fire Chief Brian Hoffman, Inspections Director Cindy Walsh, Parks and Recreation Director John Luse, Police Chief Michael Rardin, Public Works Director 10 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 19 II. FINANCIAL SECTION 11 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 20 - This page intentionally left blank - 12 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 21 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 22 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 23 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 24 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 25 City of St. Louis Park Management’s Discussion and Analysis As management of the City of St. Louis Park, we offer readers of the City of St. Louis Park’s financial statements this narrative overview and analysis of the financial activities of the City of St. Louis Park for the fiscal year ended December 31, 2012. We encourage readers to consider the information presented here in conjunction with additional information that we have furnished in our letter of transmittal, which starts on page 3 of this report. Financial Highlights The assets of the City of St. Louis Park exceeded its liabilities at the close of the most recent fiscal year by $193,373,736 (net position). Of this amount, $40,158,130 (unrestricted net position) may be used to meet the government’s ongoing obligations to citizens and creditors. The government’s total net position increased by $641,818. As of the close of the current fiscal year, the City of St. Louis Park’s governmental funds reported combined ending fund balances of $61,708,048. Approximately 78 percent of this amount, $47,578,019 is available for use within the City’s constraints and policies. At the end of the current fiscal year, unassigned fund balance for the General fund was $10,757,776 (45 percent) of the total subsequent year budgeted General fund expenditures. The City of St. Louis Park’s total bonded debt decreased by $950,000 (2 percent) during the current fiscal year. Principal paid during the year was $2,240,000. Overview of the Financial Statements The discussion and analysis are intended to serve as an introduction to the City of St. Louis Park’s basic financial statements. The City of St. Louis Park’s basic financial statements are comprised of three components: 1) government-wide financial statements, 2) fund financial statements, and 3) notes to the financial statements. This report also contains other supplementary information in addition to the basic financial statements. 17 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 26 City of St. Louis Park Management’s Discussion and Analysis Figure A-1 shows how the various parts of this annual report are arranged and related to one another. Figure A-1 Annual Report Format Government-wide financial statements – The government-wide financial statements are designed to provide readers with a broad overview of the City of St. Louis Park’s finances in a manner similar to a private-sector business. The statement of net position presents information on all of the City of St. Louis Park’s assets and liabilities, with the difference between the two reported as net position. Over time, increases or decreases in net position may serve as a useful indicator of whether the financial position of the City of St. Louis Park is improving or deteriorating. The statement of activities presents information showing how the government’s net position changed during the most recent fiscal year. All changes in net position are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are reported in the statement for some items that will only result in cash flows in future fiscal periods (e.g., uncollected taxes and earned but unused vacation leave). Both of the government-wide financial statements distinguish functions of the City of St. Louis Park that are principally supported by taxes and intergovernmental revenues (governmental activities) from other functions that are intended to recover all or a significant portion of their costs through user fees and charges (business-type activities). The governmental activities of the City of St. Louis Park include general government, public safety, public works, public information, culture and recreation, housing and rehabilitation, housing maintenance, social and economic development, general services, and interest on long-term debt. The business-type activities of the City of St. Louis Park include water, sanitary sewer, storm water, and solid waste operations. 18 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 27 City of St. Louis Park Management’s Discussion and Analysis The government-wide financial statements start on page 33 of this report. Fund financial statements – A fund is a grouping of related accounts that is used to maintain control over resources that have been segregated for specific activities or objectives. The City of St. Louis Park, like other state and local governments, uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. All of the funds of the City of St. Louis Park can be divided into two categories: governmental funds and proprietary funds. Governmental funds – Governmental funds are used to account for essentially the same functions reported as governmental activities in the government-wide financial statements. However, unlike the government- wide financial statements, governmental fund financial statements focus on near-term inflows and outflows of spendable resources, as well as on balances of spendable resources available at the end of the fiscal year. Such information may be useful in evaluating a government’s near-term financing requirements. Because the focus of governmental funds is narrower than that of the government-wide financial statements, it is useful to compare the information presented for governmental funds with similar information presented for governmental activities in the government-wide financial statements. By doing so, readers may better understand the long-term impact of the government’s near-term financing decisions. Both the governmental fund balance sheet and the governmental fund statement of revenues, expenditures, and changes in fund balances provide a reconciliation to facilitate this comparison between governmental funds and governmental activities. The City of St. Louis Park maintains nine individual major governmental funds. Information is presented separately in the governmental fund balance sheet and the governmental fund statement of revenues, expenditures, and changes in fund balances for the General fund, two special revenue funds, debt service, and five capital project funds, all of which are considered to be major funds. Data from the other six governmental funds are combined into a single, aggregated presentation. Individual fund data for each of these non-major governmental funds is provided in the form of combining statements elsewhere in this report. The City of St. Louis Park adopts annual appropriated budgets for its General fund and Parks and Recreation fund. Budgetary comparison statements are provided for the General fund and Parks and Recreation fund to demonstrate compliance with this budget. The basic governmental fund financial statements start on page 36 of this report. Proprietary funds – The City of St. Louis Park maintains two different types of proprietary funds. Enterprise funds are used to report the same functions presented as business-type activities in the government-wide financial statements. The City of St. Louis Park uses enterprise funds to account for its sanitary sewer, solid waste, storm water, and water operations. Proprietary funds provide the same type of information as the government-wide financial statements, only in more detail. The proprietary fund financial statements provide separate information for the sanitary sewer, solid waste, storm water, and water operations, all of which are considered to be major funds of the City of St. Louis Park. 19 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 28 City of St. Louis Park Management’s Discussion and Analysis Internal service funds – These funds are an accounting device used to accumulate and allocate costs internally among the City of St. Louis Park’s various functions. The City of St. Louis Park uses internal service funds to account for maintaining its fleet of vehicles, management information systems, replacement of City equipment, employee benefits, and compensated absences, and uninsured losses. Because all of these services predominately benefit governmental rather than business-type functions, they have been included within governmental activities in the governmental-wide financial statements. All internal service funds are combined into a single, aggregated presentation in the proprietary fund financial statements. Individual fund data for the internal service funds is provided in the form of combining statements elsewhere in this report. The basic proprietary fund financial statements starts on page 42 of this report. Notes to the financial statements – The notes provide additional information that is essential to a full understanding of the data provided in the government-wide and fund financial statements. The notes to the financial statements start on page 51 of this report. Other information – The combining statements referred to earlier, in connection with non-major governmental funds and internal service funds, are presented immediately following the required supplementary information. Combining and individual fund statements and schedules start on page 102 of this report. Other reports – Additional information related to the General fund starts on page 142 of this report. Government-wide Financial Analysis As noted earlier, net position may serve over time as a useful indicator of a government’s financial position. In the case of the City of St. Louis Park, assets exceeded liabilities by $193,373,736 at the close of the most recent fiscal year. A portion of the City of St. Louis Park’s net position (69 percent) reflects its investment in capital assets (e.g., land, buildings, machinery, and equipment); less any related debt used to acquire those assets that is still outstanding. The City of St. Louis Park uses these capital assets to provide services to citizens; consequently, these assets are not available for future spending. Although the City of St. Louis Park’s investment in its capital assets is reported net of related debt, it should be noted that the resources needed to repay this debt must be provided from other sources, since the capital assets themselves cannot be used to liquidate these liabilities. 20 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 29 City of St. Louis Park Management’s Discussion and Analysis City of St. Louis Park’s Net Position Increase Increase 2012 2011 (Decrease) 2012 2011 (Decrease) Assets Current and other assets $82,811,259 $83,905,944 ($1,094,685) $10,747,577 $9,743,769 $1,003,808 Capital assets 116,586,491 118,565,436 (1,978,945) 32,528,985 32,675,230 (146,245) Total assets 199,397,750 202,471,380 (3,073,630) 43,276,562 42,418,999 857,563 Liabilities Other liabilities 9,931,732 11,832,857 (1,901,125) 1,693,052 1,800,020 (106,968) Noncurrent liabilities 28,893,990 29,177,957 (283,967) 8,781,802 9,747,627 (965,825) Total liabilities 38,825,722 41,010,814 (2,185,092) 10,474,854 11,547,647 (1,072,793) Net position Net investment in capital assets 111,171,392 99,835,484 11,335,908 22,906,086 22,347,266 558,820 Restricted 19,138,128 17,695,996 1,442,132 - - - Unrestricted 30,262,508 43,929,086 (13,666,578) 9,895,622 8,524,086 1,371,536 Total net position $160,572,028 $161,460,566 ($888,538) $32,801,708 $30,871,352 $1,930,356 Governmental Activities Business-type Activities The balance of unrestricted net position ($40,158,130) may be used to meet the government’s ongoing obligations to citizens and creditors. Governmental activities – Governmental activities decreased the City of St. Louis Park’s net position by ($888,538). This decrease relates primarily to transfers to the enterprise funds. Business-Type activities – The net position of business-type activities increased by $1,930,356. This increase is primarily due to an increase in revenue from charges for services as a result of increased user charges. 21 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 30 City of St. Louis Park Management’s Discussion and Analysis The following table indicates the changes in net position for the City’s governmental and business-type activities: City of St. Louis Park’s Changes in Net Position Increase Increase 2012 2011 (Decrease) 2012 2011 (Decrease) Revenues Program revenues Charges for services $7,133,133 $6,982,689 $150,444 $15,905,970 $15,042,647 $863,323 Operating grants and contributions 2,360,465 2,065,312 295,153 105,976 103,166 2,810 Capital grants and contributions 6,290,076 1,878,697 4,411,379 - - - General revenues Property taxes 31,072,178 30,750,298 321,880 - - - Franchise fees 1,954,557 1,894,714 59,843 - - - State grants and contributions not restricted to specific programs 46,422 156,325 (109,903) - - - Unrestricted investment earnings 663,978 1,048,395 (384,417) 113,260 136,674 (23,414) Gain on disposal of capital assets 60,416 51,686 8,730 - - - Miscellaneous 2,183,685 2,300,478 (116,793) - - - Total revenues 51,764,910 47,128,594 4,636,316 16,125,206 15,282,487 842,719 Expenses General government 7,387,354 7,247,716 139,638 - - - Public safety 13,264,220 12,535,793 728,427 - - - Public works 11,534,481 7,513,833 4,020,648 - - - Public information 524,012 803,885 (279,873) - - - Culture and recreation 8,929,036 7,882,789 1,046,247 - - - Housing and rehabilitation 3,885,098 794,935 3,090,163 - - - Housing maintenance 116,949 79,786 37,163 - - - Social and economic development 7,810,635 6,171,527 1,639,108 - - - General services - - - - - - Interest on long-term debt 1,261,698 1,695,758 (434,060) - - - Water utility - - - 3,891,871 3,839,592 52,279 Sewer utility - - - 4,593,315 4,572,869 20,446 Solid waste utility - - - 2,562,985 2,319,099 243,886 Storm water utility - - - 1,486,644 1,373,546 113,098 Total expenses 54,713,483 44,726,022 9,987,461 12,534,815 12,105,106 429,709 Increase (decrease) in net assets before transfers (2,948,573) 2,402,572 (5,351,145) 3,590,391 3,177,381 413,010 Transfers 1,660,035 2,457,867 (797,832)(1,660,035)(2,457,867)797,832 Change in net assets (1,288,538)4,860,439 (6,148,977)1,930,356 719,514 1,210,842 Net position, January 1 161,460,566 156,600,127 4,860,439 30,871,352 30,151,838 719,514 Prior period adjustment 400,000 - 400,000 - - - Net position, January 1, as restated 161,860,566 156,600,127 5,260,439 30,871,352 30,151,838 719,514 Net position, December 31 $160,572,028 $161,460,566 ($888,538) $32,801,708 $30,871,352 $1,930,356 Governmental Activities Business-type Activities 22 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 31 City of St. Louis Park Management’s Discussion and Analysis Governmental Activities Revenues - The following chart illustrates the City’s revenue by source for its governmental activities: Revenues by Source - Governmental Activities Expenses - The following chart illustrates the City’s expenses and program revenues for its governmental activities: Expenses and Program Revenues - Governmental Activities 23 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 32 City of St. Louis Park Management’s Discussion and Analysis Business-type activities - Business-type activities net position increased in 2012. Below are the graphs showing the business-type activities revenue and expense comparisons. Revenue Sources - Business-type Activities Expense and Program Revenues - Business-type Activities 24 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 33 City of St. Louis Park Management’s Discussion and Analysis Financial Analysis of the Government’s Funds As noted earlier, the City of St. Louis Park uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. Governmental funds - The focus of the City of St. Louis Park’s governmental funds is to provide information on near-term inflows, outflows, and balances of spendable resources. Such information is useful in assessing the City of St. Louis Park’s financing requirements. In particular, unassigned fund balance may serve as a useful measure of a government’s net resources available for spending at the end of the fiscal year. As of the end of the current fiscal year, the City of St. Louis Park’s governmental funds reported combined ending fund balances of $61,708,048, a decrease of ($1,406,732) in comparison with the prior year. Committed, assigned, and unassigned fund balance, which is available for spending at the government’s discretion, has a balance of $29,883,366 at year end. The remainder of fund balance is nonspendable or restricted to indicate that it is not available for new spending because it has already been obligated 1) to pay debt service ($2,419,136), 2) to pay for capital improvements and future expenditures ($14,817,069), 3) for loans outstanding ($13,632,843), 4) for inventory and prepaids ($497,186), 5 ) for E-911 funds ($458,448) and other restrictions. General Fund – the General fund is the chief operating fund of the City of St. Louis Park. At the end of the current fiscal year, unassigned fund balance of the General fund was $10,757,776 while total fund balance reached $11,976,916. As a measure of the General fund’s liquidity, it may be useful to compare both unassigned fund balance and total fund balance to total fund expenditures. Unassigned fund balance represents 45.2 percent of the total subsequent year General fund expenditures, while total fund balance represents 50.3 percent of that same amount. The City’s General fund balance increased $538,694 during the current fiscal year. This increase is primarily due to an assignment of fund balance to help mitigate building permit revenue in future years. This assigned fund balance can be utilized when budgeted building permit revenues are less than expected, thereby enabling less conservative and more accurate budgeting. Expenditures were under budget by $782,105 due to conservative spending. Revenues exceeded budget by $873,456 due primarily to increased license and permit revenues related to more robust construction within the City. Parks and Recreation – the increase of $62,238 in fund balance is due to higher than expected rentals at the Recreation Center and a transfer in from the General Fund. Housing Rehabilitation – the decrease of ($1,206,886) in fund balance is due to a transfer, personnel costs and operational costs for administering eight different housing programs. Debt Service Fund - Fund balance in the debt service funds increased $614,437 primarily due to the retirement of debt. Fire Stations Bonds Fund – the decrease of ($2,634,349) in fund balance is due to capital expenditures for the construction of two fire stations. Permanent Improvement Revolving Fund - The decrease in fund balance of ($113,400) is due to transfers out to other funds for capital project funding. 25 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 34 City of St. Louis Park Management’s Discussion and Analysis Street Capital Projects Fund – Fund balance decreased by ($493,266). Budgeted expenditures for a major street project was the main source of the decrease. Development Fund - In 2012, the Development Fund balance increased by $1,046,239. This increase is attributable primarily to proceeds from the sale of land and interest earned on inter fund loans. Redevelopment District Fund – The Redevelopment District fund is comprised of all tax increment districts in the City. The increase in fund balance of $658,774 is due to transfers out to other funds during the year. Proprietary funds - The City of St. Louis Park’s proprietary funds provide the same type of information found in the government-wide financial statements, but in more detail. At the end of the year, unrestricted net position of the Water Utility, Sewer Utility, Storm Water Utility and Solid Waste funds amounted to $33,314,434. Total net position increased by $2,113,855. This increase was primarily a result of an increase in charges for services fees. Capital Asset and Debt Administration Capital assets The City of St. Louis Park’s investment in capital assets for its governmental and business type activities as of December 31, 2012, was $149,115,476 (net of accumulated depreciation). This investment in capital assets includes land, buildings and system improvements, machinery and equipment, park facilities, roads, highways, and bridges. The total increase in the City of St. Louis Park’s investment in capital assets for the current fiscal year was 9.7 percent. Major capital asset events during the current fiscal year included the following: Completion of two fire stations. Improvements to roadways and street lighting. Improvements to water system. Improvements to sewer system. Improvements to park infrastructure and aesthetic aspects of the parks. For the year ending December 31, 2012, the City has elected to use the modified approach as defined in GASB Statement No. 34 for infrastructure reporting for its Pavement Management Program, which includes streets. Under GASB Statement No. 34, eligible infrastructure capital assets are not required to be depreciated under the following requirements: 1) The City manages the eligible infrastructure capital assets using an asset management system with characteristics of (a) an up to-date inventory; (b) perform condition assessments and summarize the results using a measurement scale; and (c) estimate annual amount to maintain and preserve at the established condition assessment level. 2) The City documents that the eligible infrastructure capital assets are being preserved approximately at or above the established and disclosed condition assessment level. The City’s policy is to achieve an average rating of good (70) for all streets. In the fall of 2012, the City conducted a physical condition assessment of the streets. This assessment will be performed every two years. As of December 31, 2012, the City’s street system was rated at an Overall Condition Index (OCI) of 70, which matches the City’s policy level. The City’s streets are constantly deteriorating resulting from the following factors: (1) traffic using the system; (2) the sun’s ultra-violet rays drying out and breaking down the top layer of pavement; (3) utility company/private development trenching operations; (4) water 26 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 35 City of St. Louis Park Management’s Discussion and Analysis damage from natural precipitation; and (5) frost heave. The City is continuously taking actions to prolong the life of the system through short-term maintenance activities such as pothole patching, crack sealing, seal coating and overlaying. The City expended $2,157,727 on street maintenance for the year ending December 31, 2012. The physical condition assessment completed in 2012 was the first assessment that reported on the entire system. The City has estimated that the amount of annual expenditures required to maintain the City’s street system at the average OCI rating of good is approximately $1,900,000. The annual expenditures will vary from year to year, depending on the area of the City being targeted that year. The estimate for the year ending December 31, 2012 was $2,101,698, which is only slightly lower than the actual expenditures for the year. City of St. Louis Park’s Capital Assets (net of accumulated depreciation) Increase Increase 2012 2011 (Decrease) 2012 2011 (Decrease) Land $14,984,544 $14,383,395 $601,149 $174,844 $174,844 $ - Permanent easments 1,429,976 1,399,000 30,976 - - - Buildings 37,455,614 26,953,687 10,501,927 1,317,082 1,445,212 (128,130) Improvements other than buildings 11,256,050 10,544,494 711,556 4,998,578 22,337,678 (17,339,100) Machinery and equipment 3,646,417 3,529,713 116,704 (1,124,416) 6,375,697 (7,500,113) Fleet 3,330,060 3,056,561 (501,506) - 2,046,738 - Infrastructure - streets 26,011,544 - 26,011,544 - - - Infrastructure - other 18,042,657 44,518,674 (26,476,017) 27,059,357 - 27,059,357 Construction in progress 429,629 14,179,912 (13,750,283) 103,540 295,062 (191,522) Total $116,586,491 $118,565,436 ($2,753,950) $32,528,985 $32,675,231 $1,900,492 Governmental Activities Business-type Activities Additional information on the City of St. Louis Park’s capital assets can be found in Note 4 on pages 68- 69 of this report. Debt administration At the end of the current fiscal year, the City of St. Louis Park had total bonded debt outstanding of $37,930,000. Of this amount, $21,730,000 comprises debt issued for improvement and capital projects and will be repaid by ad valorem tax levies. In addition, $6,600,000 is general obligation tax increment debt which financed redevelopment projects and will be repaid from the tax increments resulting from increased tax capacity of the redevelopment properties. The remaining $9,600,000 of the City of St. Louis Park’s bonded debt represents general obligation revenue bonds to be repaid by the Water fund, Sewer fund, and Storm Water Utility fund user charges. Furthermore, the City has long-term debt of $3,757,941 for compensated absences and $1,604,719 for other post-employment benefits payable. 27 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 36 City of St. Louis Park Management’s Discussion and Analysis City of St. Louis Park’s Outstanding Debt General Obligation Bonds, Revenue Bonds, and other Debt Increase Increase 2012 2011 (Decrease) 2012 2011 (Decrease) G.O. Revenue Bonds $ - $ - $ - $9,600,000 $10,555,000 ($955,000) G.O. Tax Increment 6,600,000 6,905,000 (305,000) - - - G.O. Improvement 21,730,000 21,420,000 310,000 - - - Compensated absences 3,583,709 3,544,018 39,691 174,232 159,245 14,987 Other postemployment benefits 1,513,086 1,255,184 257,902 91,633 76,955 14,678 Total $33,426,795 $33,124,202 $302,593 $9,865,865 $10,791,200 ($925,335) Governmental Activities Business-type Activities Principal payments during 2012 totaled $2,240,000. The City of St. Louis Park maintains an “AAA” rating from Standard & Poor’s for general obligation debt. State statutes limit the amount of general obligation debt a governmental entity may issue to 3 percent of its total assessed valuation. The current debt limitation for the City of St. Louis Park is $142,800,872 which is significantly more than the City of St. Louis Park’s outstanding general obligation debt. Additional information on the City of St. Louis Park’s long-term debt can be found in Note 5 on pages 70 - 74 of this report. Economic Factors, Subsequent Year Budgets, Rates and Changes in Structure User charges have been increased to account for various utility improvements scheduled for 2013 and beyond. The overall tax levy for 2013 was increased 4.0 percent. All of these factors were considered in preparing the City of St. Louis Park’s budget for the 2013 fiscal year. Department Changes and Reorganization in 2013 Review was completed regarding service delivery in the area of operations and maintenance. Operational areas reviewed included Parks & Recreation, Public Works and Facility Maintenance. This review was completed with an emphasis on innovation, flexibility, and adaptability. As a result of analysis, staff discussions, business needs and review of future work, it was determined to reorganize the existing structure of Parks & Recreation and Public Works to two new Departments: Operations and Recreation Department and Engineering Department. This structure change would shift all maintenance operations under one director, (previously Director of Parks and Recreation). It also would move another director (previously Public Works Director) to oversee the Engineering Department allowing more concentrated work on the large infrastructure traffic and other engineering projects. This change took effect in April 2013, with transition and assistance expected from the Engineering Director to May 2014. Based on this change, the former Park and Recreation Fund will be merged with the General Fund, which is based on business model, needs and fund definitions. 28 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 37 City of St. Louis Park Management’s Discussion and Analysis Requests for Information This financial report is designed to provide our citizens, customers, and creditors with a general overview of the City of St. Louis Park’s finances and to show the City’s accountability for the resources it is entrusted. Questions concerning any of the information provided in the report, or requests for additional financial information, contact the City of St. Louis Park Accounting Department at 5005 Minnetonka Boulevard, St. Louis Park, Minnesota, 55416, 952-924-2683, or Brian Swanson – Controller at bswanson@stlouispark.org. 29 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 38 - This page intentionally left blank - 30 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 39 BASIC FINANCIAL STATEMENTS 31 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 40 - This page intentionally left blank - 32 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 41 CITY OF ST. LOUIS PARK, MINNESOTA STATEMENT OF NET POSITION Statement 1 December 31, 2012 With Comparative Totals For December 31, 2011 Governmental Business-Type Activities Activities 2012 2011 Assets: Cash and investments $62,001,370 $6,901,233 $68,902,603 $72,151,246 Accrued interest receivable 267,577 30,011 297,588 274,422 Due from other governments 653,230 2,656 655,886 627,268 Accounts receivable 649,664 2,960,998 3,610,662 3,799,318 Taxes receivable 288,183 - 288,183 518,327 Prepaid items 204,878 319,252 524,130 553,974 Inventory 427,455 66,842 494,297 387,819 Deposits receivable 81,000 700 81,700 131,700 Internal balances 512,726 (512,726) - - Special assessments receivable 9,563,473 912,013 10,475,486 7,010,045 Loans receivable 7,964,747 - 7,964,747 7,937,922 Deferred charges 196,956 66,598 263,554 257,672 Capital assets (net of accumulated depreciation): Nondepreciable 42,855,693 278,384 43,134,077 30,432,213 Depreciable 73,730,798 32,250,601 105,981,399 120,808,453 Total assets 199,397,750 43,276,562 242,674,312 244,890,379 Liabilities: Accounts payable 952,598 310,258 1,262,856 1,698,219 Salaries payable 1,055,089 52,544 1,107,633 932,420 Due to other governments 131,243 50,961 182,204 563,129 Contracts payable 1,435,031 35,434 1,470,465 3,447,652 Accrued interest payable 474,667 136,893 611,560 628,357 Deposits payable 885,580 - 885,580 754,090 Unearned revenue 628,928 - 628,928 755,222 Compensated absences payable: Due within one year 2,508,596 121,962 2,630,558 2,592,284 Due in more than one year 1,075,113 52,270 1,127,383 1,110,979 Bonds payable (net of premiums and discounts): Due within one year 1,860,000 985,000 2,845,000 2,261,504 Due in more than one year 26,305,791 8,637,899 34,943,690 36,482,466 Other postemployment benefits: Due in more than one year 1,513,086 91,633 1,604,719 1,332,139 Total liabilities 38,825,722 10,474,854 49,300,576 52,558,461 Net position: Net investment in capital assets 111,171,392 22,906,086 134,077,478 122,182,750 Restricted for: Tax increment 4,934,833 - 4,934,833 4,243,020 E-911 purposes 458,448 - 458,448 416,406 EMPG grant - - - 11,312 Debt service 3,862,611 - 3,862,611 2,792,922 Cable TV equipment 653,205 - 653,205 668,349 Police and fire purposes 4,451,662 - 4,451,662 4,949,752 Housing redevelopment 4,777,369 - 4,777,369 4,614,235 Unrestricted 30,262,508 9,895,622 40,158,130 52,453,172 Total net position $160,572,028 $32,801,708 $193,373,736 $192,331,918 Primary Government Totals The accompanying notes are an integral part of these financial statements. 33 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 42 CITY OF ST. LOUIS PARK, MINNESOTA STATEMENT OF ACTIVITIES For The Year Ended December 31, 2012 With Comparative Totals For The Year Ended December 31, 2011 Program Revenues Charges For Functions/Programs Expenses Services Primary government: Governmental activities: General government $7,387,354 $1,060,679 Public safety 13,264,220 3,344,449 Public works 11,534,481 377,538 Public information 524,012 - Culture and recreation 8,929,036 2,061,303 Housing and rehabilitation 3,885,098 8,162 Housing maintenance 116,949 - Social and economic development 7,810,635 281,002 Interest on long-term debt 1,261,698 - Total governmental activities 54,713,483 7,133,133 Business-type activities: Water 3,891,871 5,109,446 Sewer 4,593,315 5,959,931 Solid waste 2,562,985 2,858,930 Storm water 1,486,644 1,977,663 Total business-type activities 12,534,815 15,905,970 Total primary government $67,248,298 $23,039,103 The accompanying notes are an integral part of these financial statements. 34 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 43 Statement 2 Operating Capital Grants and Grants and Governmental Business-Type Contributions Contributions Activities Activities 2012 2011 $ - $50,000 ($6,276,675) $ - ($6,276,675) ($6,089,340) 652,445 3,727,794 (5,539,532) - (5,539,532) (8,842,423) 526,152 475,907 (10,154,884) - (10,154,884) (5,753,862) - - (524,012) - (524,012)(603,885) 138,928 51,870 (6,676,935) - (6,676,935) (5,518,204) - 1,719,861 (2,157,075) - (2,157,075)2,362 96,066 - (20,883) - (20,883)14,252 755,190 264,644 (6,509,799) - (6,509,799) (5,505,215) 191,684 - (1,070,014) - (1,070,014) (1,503,009) 2,360,465 6,290,076 (38,929,809)0 (38,929,809) (33,799,324) - - - 1,217,575 1,217,575 635,476 4,346 - - 1,370,962 1,370,962 1,195,397 101,630 - - 397,575 397,575 678,793 - - - 491,019 491,019 531,041 105,976 0 0 3,477,131 3,477,131 3,040,707 $2,466,441 $6,290,076 (38,929,809) 3,477,131 (35,452,678) (30,758,617) General revenues: Taxes: Property taxes 24,625,789 - 24,625,789 23,527,322 Tax increment 6,446,389 - 6,446,389 7,222,976 Franchise taxes 1,954,557 - 1,954,557 1,894,714 Grants and contributions not restricted to specific programs 46,422 - 46,422 156,325 Unrestricted investment earnings 663,978 113,260 777,238 1,185,069 Gain on disposal of capital assets 60,416 - 60,416 51,686 Miscellaneous 2,183,685 - 2,183,685 2,300,478 Transfers 1,660,035 (1,660,035) - - Total general revenues 37,641,271 (1,546,775) 36,094,496 36,338,570 Change in net position (1,288,538) 1,930,356 641,818 5,579,953 Net position - January 1, as previously stated 161,460,566 30,871,352 192,331,918 186,751,965 Prior period adjustment 400,000 - 400,000 - Net position - January 1, as restated 161,860,566 30,871,352 192,731,918 186,751,965 Net position - December 31 $160,572,028 $32,801,708 $193,373,736 $192,331,918 Totals Net (Expense) Revenue and Changes in Net Position Primary Government Program Revenues The accompanying notes are an integral part of these financial statements. 35 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 44 CITY OF ST. LOUIS PARK, MINNESOTA BALANCE SHEET GOVERNMENTAL FUNDS December 31, 2012 With Comparative Totals For December 31, 2011 General Fund Parks and Recreation Housing Rehabilitation Debt Service Funds 4040 Fire Station Bonds Assets Cash and investments $14,118,162 $889,073 $1,791,309 $2,413,012 $ - Accrued interest receivable 56,774 - 1,807 6,908 - Due from other governments 109,516 1,994 - 95,842 - Accounts receivable 14,587 138,896 - - - Taxes receivable - unremitted 96,966 - - - - Taxes receivable - delinquent 163,481 - - - - Prepaid items 56,731 13,000 - - - Inventory 13,719 413,736 - - - Deposits receivable - - - - - Due from other funds - - 39,788 - - Special assessments receivable - delinquent - - 22,050 - - Special assessments receivable - deferred - - 8,265,349 - - Interfund loan receivable - - - - - Loans receivable - current - - 230,000 35,000 - Loans receivable - noncurrent - - 2,853,048 1,710,000 - Total assets $14,629,936 $1,456,699 $13,203,351 $4,260,762 $0 Liabilities and Fund Balances Liabilities: Accounts payable $299,061 $100,351 $151,453 $ - $10,031 Salaries payable 868,048 139,733 4,291 - - Due to other governments 18,196 4,420 - - - Contracts payable 15,664 - 18,289 - 514,525 Due to other funds - - - 39,788 - Interfund loan payable - - 4,304,324 - - Deposits payable 804,928 - - 80,652 - Deferred revenue 647,123 130,698 8,283,362 1,760,974 - Total liabilities 2,653,020 375,202 12,761,719 1,881,414 524,556 Fund balance: Nonspendable 70,450 426,736 2,853,048 - - Restricted 458,448 - - 2,419,136 - Committed - - - - - Assigned 690,242 654,761 - - - Unassigned 10,757,776 - (2,411,416) (39,788) (524,556) Total fund balance 11,976,916 1,081,497 441,632 2,379,348 (524,556) Total liabilities and fund balance $14,629,936 $1,456,699 $13,203,351 $4,260,762 $0 Fund balance reported above Amounts reported for governmental activities in the statement of net assets are different because: Capital assets used in governmental activities are not financial resources, and therefore, are not reported in the funds Other long-term assets are not available to pay for current-period expenditures and, therefore, are deferred in the funds: Receivables not available soon enough to pay for the current period's expenditures Deferred charges on bonds Long-term liabilities, including bonds payable, are not due and payable in the current period and therefore are not reported in the funds: Bonds payable and unamortized bond premium Accrued interest payable Internal service funds are used by management to charge the cost of certain services to individual funds. The assets and liabilities are included in the governmental statement of net assets Net assets of governmental activities Special Revenue Funds The accompanying notes are an integral part of these financial statements. 36 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 45 Statement 3 Permanent Improvement Revolving Streets Capital Projects Development EDA Redevelopment District Other Governmental Funds 2012 2011 $2,987,290 $ - $14,445,024 $9,990,938 $11,541,414 $58,176,222 $61,714,564 18,055 - 76,316 39,975 50,326 250,161 229,962 - 445,227 - - 651 653,230 541,598 274 - 2,707 - 493,000 649,464 745,853 - - - 21,158 - 118,124 175,872 - - - 6,578 - 170,059 342,455 - - - - - 69,731 67,473 - - - - - 427,455 309,777 - - 50,000 - - 50,000 100,000 975,108 - - - - 1,014,896 283,082 9,838 - 2,851 - 6,153 40,892 53,019 1,037,022 - 39,552 - 180,658 9,522,581 6,043,874 - - 8,510,981 - - 8,510,981 5,845,010 - - 199,635 - - 464,635 297,248 - - 1,853,405 668,250 415,409 7,500,112 7,640,674 $5,027,587 $445,227 $25,180,471 $10,726,899 $12,687,611 $87,618,543 $84,390,461 $274 $26,278 $112,880 $8,529 $123,043 $831,900 $1,271,375 - - - - 14,954 1,027,026 854,586 - 54,687 12,731 23,546 559 114,139 378,536 - 754,337 - - 84,624 1,387,439 3,088,566 - 943,006 - - 32,102 1,014,896 283,082 - - - 4,206,657 - 8,510,981 5,685,766 - - - - - 885,580 754,090 1,046,010 - 41,369 31,822 197,176 12,138,534 8,959,680 1,046,284 1,778,308 166,980 4,270,554 452,458 25,910,495 21,275,681 - - 10,364,386 - 415,409 14,130,029 11,462,306 - - - 9,712,202 5,104,867 17,694,653 18,725,885 - - - - 459,160 459,160 511,610 3,981,303 - 14,649,105 - 6,297,924 26,273,335 26,657,978 - (1,333,081) - (3,255,857) (42,207) 3,150,871 5,757,001 3,981,303 (1,333,081) 25,013,491 6,456,345 12,235,153 61,708,048 63,114,780 $5,027,587 $445,227 $25,180,471 $10,726,899 $12,687,611 $87,618,543 $84,390,461 $61,708,048 $63,114,780 100,435,799 102,776,022 11,509,606 8,204,458 196,956 184,197 (28,165,791) (28,163,671) (474,667)(480,058) 15,362,077 15,824,838 $160,572,028 $161,460,566 Total Governmental Funds Capital Projects Funds The accompanying notes are an integral part of these financial statements. 37 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 46 CITY OF ST. LOUIS PARK, MINNESOTA STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE GOVERNMENTAL FUNDS For The Year Ended December 31, 2012 With Comparative Totals For The Year Ended December 31, 2011 General Fund Parks and Recreation Housing Rehabilitation Debt Service Funds 4040 Fire Station Bonds Revenues: Property taxes $16,038,098 $4,171,506 $ - $1,929,629 $ - Tax increments - - - - - Franchise taxes - - - - - License and permits 3,241,373 440 - - - Intergovernmental 1,275,278 86,726 - 191,684 - Charges for services 1,200,163 2,048,900 8,162 - - Fines and forfeits 341,356 - - - - Special assessments - - 1,719,861 - - Interest on investments 136,415 5,534 17,508 12,334 1,937 Miscellaneous 10,145 26,165 593,597 119,563 16,500 Total revenues 22,242,828 6,339,271 2,339,128 2,253,210 18,437 Expenditures: Current: General government 6,503,965 - - - - Public safety 12,266,571 - - - 213,574 Public works 3,839,734 - - - - Public information - - - - - Culture and recreation - 6,527,785 - - - Housing and rehabilitation - - 3,881,500 - - Housing maintenance - - - - - Social economic development - - - 494,871 - Capital outlay: General government - - - - - Public safety - - - - 2,801,048 Public works - - - - - Public information - - - - - Housing and rehabilitation - - 71,242 - - Culture and recreation - - - - - Social and economic development - - - - - Debt service: Principal - - - 1,285,000 - Interest and other - - 93,453 1,141,665 - Fiscal agent fees - - - 1,040 - Bond issuance costs - - 5,607 39,788 - Total expenditures 22,610,270 6,527,785 4,051,802 2,962,364 3,014,622 Revenues over (under) expenditures (367,442) (188,514) (1,712,674) (709,154) (2,996,185) Other financing sources (uses): Transfers in 2,066,136 250,752 - 1,323,754 361,836 Transfers out (1,160,000) - (859,790)(163) - Bonds issued - - 1,290,000 - - Proceeds from sale of capital assets - - 75,578 - - Total other financing sources (uses)906,136 250,752 505,788 1,323,591 361,836 Net change in fund balance 538,694 62,238 (1,206,886) 614,437 (2,634,349) Fund balance - January 1, as previously stated 11,438,222 1,019,259 1,648,518 1,764,911 2,109,793 Prior period adjustment - - - - - Fund balance - January 1, as restated 11,438,222 1,019,259 1,648,518 1,764,911 2,109,793 Fund balance - December 31 $11,976,916 $1,081,497 $441,632 $2,379,348 ($524,556) Special Revenue Funds The accompanying notes are an integral part of these financial statements. 38 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 47 Statement 4 Permanent Improvement Revolving Streets Capital Projects Development EDA Redevelopment District Other Governmental Funds 2012 2011 $ - $ - $24,208 $971,420 $1,125,000 $24,259,861 $23,336,537 - - - 6,446,389 - 6,446,389 7,222,976 - - - - 1,954,557 1,954,557 1,894,714 - - - - - 3,241,813 2,797,700 - 474,434 754,787 144 200,138 2,983,191 3,105,500 274 - 243,495 - 46,906 3,547,900 3,847,710 - - - - - 341,356 281,047 244,635 - 46,665 - 222,554 2,233,715 985,912 44,991 - 184,854 81,864 137,013 622,450 949,510 5,408 - 1,002,271 - 414,613 2,188,262 2,335,608 295,308 474,434 2,256,280 7,499,817 4,100,781 47,819,494 46,757,214 - - - - - 6,503,965 6,415,318 81,446 - - - 9,765 12,571,356 11,885,577 - 1,963,502 - - 2,031,212 7,834,448 4,437,939 - - - - 470,280 470,280 383,586 - - - - 532,325 7,060,110 6,546,054 - - - - - 3,881,500 790,918 - - - - 116,949 116,949 79,786 - - 2,091,176 4,898,691 196,438 7,681,176 6,426,013 - - - - - - 52,930 - - - - 46,909 2,847,957 9,924,856 - 192,555 - - 127,284 319,839 2,637,479 - - - - 6,690 6,690 - - - - - - 71,242 9,420 - - - - 636,800 636,800 1,548,322 - - 48,000 - - 48,000 122,002 - - - - - 1,285,000 5,420,000 - - - - - 1,235,118 1,170,549 - - - - - 1,040 1,040 - - - - - 45,395 - 81,446 2,156,057 2,139,176 4,898,691 4,174,652 52,616,865 57,851,789 213,862 (1,681,623)117,104 2,601,126 (73,871) (4,797,371) (11,094,575) - 1,188,357 204,520 500,000 500,000 6,395,355 7,086,529 (327,262) - (85,135)(2,442,352)(705,342) (5,580,044) (5,520,906) - - - - - 1,290,000 - - - 809,750 - - 885,328 - (327,262)1,188,357 929,135 (1,942,352)(205,342)2,990,639 1,565,623 (113,400)(493,266)1,046,239 658,774 (279,213) (1,806,732) (9,528,952) 4,094,703 (839,815) 23,967,252 5,797,571 12,114,366 63,114,780 72,643,732 - - - - 400,000 400,000 - 4,094,703 (839,815) 23,967,252 5,797,571 12,514,366 63,514,780 72,643,732 $3,981,303 ($1,333,081) $25,013,491 $6,456,345 $12,235,153 $61,708,048 $63,114,780 Total Governmental Funds Capital Projects Funds The accompanying notes are an integral part of these financial statements. 39 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 48 - This page intentionally left blank - 40 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 49 CITY OF ST. LOUIS PARK, MINNESOTA RECONCILIATION OF THE STATEMENT OF REVENUES,Statement 5 EXPENDITURES AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIES For The Year Ended December 31, 2012 With Comparative Amounts For The Year Ended December 31, 2011 2012 2011 Amounts reported for governmental activities in the statement of activities (Statement 2) are different because: Net changes in fund balances - total governmental funds (Statement 4)($1,806,732) ($9,528,952) Governmental funds report capital outlays as expenditures. However, in the statement of activities the cost of those assets is allocated over their estimated useful lives and reported as depreciation expense. This is the amount by which capital outlays exceeded depreciation in the current period. Depreciation expense (3,123,501) (4,772,007) Capital outlays 3,937,043 14,667,330 Disposal of capital assets (3,153,765) (112,762) The issuance of long-term debt provides current financial resources to governmental funds, while the repayment of principal of long-term debt consumes the current financial resources of governmental funds. Neither transaction, however, has any effect on net position. Also, governmental funds report the effect of issuance costs, premiums, discounts and similar items when debt is first issued, whereas these amounts are deferred and amortized in the statement of activities. Bonds issued (1,290,000) - Principal repayments on bonds 1,285,000 5,420,000 Interest on long-term debt in the statement of activities differs from the amount reported in the governmental fund because interest is recognized as an expenditure in the funds when it is due, and thus requires the use of current financial resources. In the statement of activities, however, interest expense is recognized as the interest accrues, regardless of when it is due.5,391 (110,887) Governmental funds report debt issuance premiums and discounts as an other financing source or use at the time of issuance. Premiums and discounts are reported as an unamortized asset or liability in the City-wide financial statements.15,639 (31,163) Certain revenues are recognized as soon as they are earned. Under the modified accrual basis of accounting certain revenues cannot be recognized until they are available to liquidate liabilities of the current period. Special assessments 3,483,159 (86,825) Property taxes (172,396) (147,515) Loans (5,615) 18,000 Internal service funds are used by management to charge the costs for equipment, information system, equipment replacement, employee benefits and major losses incurred by individual funds. The net revenue of certain activities of internal service funds is reported with governmental activities. (462,761) (454,780) Change in net position of governmental activities (Statement 2) ($1,288,538) $4,860,439 The accompanying notes are an integral part of these financial statements. 41 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 50 CITY OF ST. LOUIS PARK, MINNESOTA STATEMENT OF NET POSITION PROPRIETARY FUNDS December 31, 2012 With Comparative Amounts For December 31, 2011 2012 2011 2012 2011 Assets: Current assets: Cash and investments $270,182 $5,945 $2,381,349 $2,429,205 Accrued interest receivable 368 - 12,218 10,159 Due from other governments - - 2,656 7,460 Accounts receivable 993,254 1,145,542 1,008,118 978,380 Prepaid items 1,734 - 317,085 292,431 Deposits receivable 700 700 - - Inventories 66,842 78,042 - - Interfund loan receivable - - - 451,523 Special assessments receivable - delinquent 113,991 99,374 - - Special assessments receivable - deferred 662,714 708,015 135,308 105,750 Total current assets 2,109,785 2,037,618 3,856,734 4,274,908 Noncurrent assets: Deferred charges 44,438 49,307 1,660 1,809 Capital assets, at cost: Land 114,844 114,844 60,000 60,000 Buildings and structures 4,761,612 4,761,612 6,111 6,111 Improvements other than buildings 889,152 707,940 22,278 22,278 Infrastructure 14,575,920 14,233,810 18,901,900 18,619,083 Machinery, furniture and equipment 4,953,258 4,322,583 262,039 265,069 Fleet - - - - Construction in progress 56,361 134,397 47,179 160,665 Total capital assets, at cost 25,351,147 24,275,186 19,299,507 19,133,206 Less: accumulated depreciation (11,527,985) (10,855,462) (15,581,330) (15,465,467) Net capital assets 13,823,162 13,419,724 3,718,177 3,667,739 Total noncurrent assets 13,867,600 13,469,031 3,719,837 3,669,548 Total assets 15,977,385 15,506,649 7,576,571 7,944,456 Liabilities: Current liabilities: Accounts payable 121,790 99,022 27,393 11,353 Salaries payable 36,812 28,047 8,804 9,562 Accrued flex spending - - - - Due to other governments 3,684 39,109 1,085 7,781 Contracts payable 28,958 64,257 98 4,984 Accrued interest payable 103,629 111,414 2,729 2,858 Interfund loan payable - 891,523 - - Compensated absences payable 121,144 87,187 818 17,690 Bonds payable 605,400 587,258 15,500 15,526 Total current liabilities 1,021,417 1,907,817 56,427 69,754 Noncurrent liabilities: Compensated absences payable 16,949 37,365 28,026 7,582 Other postemployment benefits payable 66,145 55,661 14,978 12,881 Bonds payable 6,269,580 6,874,980 221,310 236,810 Total noncurrent liabilities 6,352,674 6,968,006 264,314 257,273 Total liabilities 7,374,091 8,875,823 320,741 327,027 Net position: Net investment in capital assets 6,948,182 5,957,486 3,481,367 3,667,738 Unrestricted 1,655,112 673,340 3,774,463 3,949,691 Total net position $8,603,294 $6,630,826 $7,255,830 $7,617,429 5000 Water Utility 5100 Sewer Utility Business-Type Activities Enterprise Funds The accompanying notes are an integral part of these financial statements. 42 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 51 Statement 6 Business-Type Activities Enterprise Funds Governmental Activities 2012 2011 2012 2011 Internal 2012 2011 Service Funds $2,478,356 $1,815,357 $1,771,346 $1,553,696 $6,901,233 $5,804,203 $3,825,148 9,201 7,603 8,224 7,134 30,011 24,896 17,416 - - - - 2,656 7,460 - 644,420 613,079 315,206 300,880 2,960,998 3,037,881 200 - - 433 - 319,252 292,431 135,147 - - - - 700 700 31,000 - - - - 66,842 78,042 - - 440,000 - - - 891,523 - - 13 - - 113,991 99,387 - - - - - 798,022 813,765 - 3,131,977 2,876,052 2,095,209 1,861,710 11,193,705 11,050,288 4,008,911 - - 20,500 22,359 66,598 73,475 - - - - - 174,844 174,844 818,094 - - - - 4,767,723 4,767,723 - - - 6,182,215 6,182,215 7,093,645 6,912,433 - - - 15,391,275 15,439,525 48,869,095 48,292,418 9,461,214 - - 89,099 89,099 5,304,396 4,676,751 5,993,861 - - - - - - 6,937,989 - - - - 103,540 295,062 191,922 0 0 21,662,589 21,710,839 66,313,243 65,119,231 23,403,080 - - (6,674,943) (6,123,072) (33,784,258) (32,444,001) (7,252,388) 0 0 14,987,646 15,587,767 32,528,985 32,675,230 16,150,692 0 0 15,008,146 15,610,126 32,595,583 32,748,705 16,150,692 3,131,977 2,876,052 17,103,355 17,471,836 43,789,288 43,798,993 20,159,603 156,851 154,377 4,224 19,774 310,258 284,526 120,698 - 941 6,928 9,187 52,544 47,737 1,944 - - - - - - 26,119 46,192 35,274 - 79,599 50,961 161,763 17,104 - - 6,378 19,582 35,434 88,823 47,592 - - 30,535 34,027 136,893 148,299 - - - - 159,244 - 1,050,767 - - - - 6,595 121,962 111,472 2,508,596 - - 364,100 354,616 985,000 957,400 - 203,043 190,592 412,165 682,624 1,693,052 2,850,787 2,722,053 - - 7,295 2,826 52,270 47,773 1,075,113 - - 10,510 8,413 91,633 76,955 1,513,086 - - 2,147,009 2,511,109 8,637,899 9,622,899 - 0 0 2,164,814 2,522,348 8,781,802 9,747,627 2,588,199 203,043 190,592 2,576,979 3,204,972 10,474,854 12,598,414 5,310,252 - - 12,476,537 12,722,042 22,906,086 22,347,266 16,150,692 2,928,934 2,685,460 2,049,839 1,544,822 10,408,348 8,853,313 (1,301,341) $2,928,934 $2,685,460 $14,526,376 $14,266,864 33,314,434 $31,200,579 $14,849,351 Adjustment to reflect consolidation of Internal Service fund activities (512,726) Net position of business-type activities $32,801,708 Totals 5200 Solid Waste 5300 Storm Water Utility The accompanying notes are an integral part of these financial statements. 43 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 52 CITY OF ST. LOUIS PARK, MINNESOTA STATEMENT OF REVENUES, EXPENSES AND CHANGES IN FUND NET POSITION PROPRIETARY FUNDS For The Year Ended December 31, 2012 With Comparative Totals For The Year Ended December 31, 2011 2012 2011 2012 2011 Operating revenues: Charges for services $4,608,120 $4,078,000 $5,912,757 $5,711,614 Sale of water meters - 327 - - Other 240,611 145,561 113,086 60,014 Rent 258,896 249,138 - - Total operating revenues 5,107,627 4,473,026 6,025,843 5,771,628 Operating expenses: Personal services 1,004,158 856,141 471,081 342,197 Supplies 375,106 338,313 18,649 54,698 Professional services 276,230 273,372 77,348 48,520 Insurance 40,440 39,671 51,006 51,075 Utilities 384,488 413,491 36,966 44,603 Repairs and maintenance 223,992 369,301 95,039 127,991 Depreciation 672,524 640,217 115,864 117,253 Disposal charges 49,831 67,098 3,509,764 3,576,839 Other 450,524 390,658 138,530 131,754 Total operating expenses 3,477,293 3,388,262 4,514,247 4,494,930 Operating income (loss)1,630,334 1,084,764 1,511,596 1,276,698 Nonoperating revenues (expenses): Investment income 765 4,933 52,737 57,975 Property taxes - - - - Intergovernmental revenue - - - - Miscellaneous expense (51,348) (6,427)(29,452) - Amortization of bond premiums 1,858 1,858 26 26 Net gain on disposal of assets - (33,106) - - Interest expense (303,977) (327,553)(6,575) (11,318) Issuance of debt (1,011)(904)(149)(149) Total nonoperating revenues (expenses)(353,713) (361,199)16,587 46,534 Income (loss) before transfers 1,276,621 723,565 1,528,183 1,323,232 Transfers in 1,200,000 - - - Transfers out (504,153) (854,594) (1,889,782) (780,244) Total transfers 695,847 (854,594) (1,889,782) (780,244) Change in net position 1,972,468 (131,029) (361,599) 542,988 Net position - January 1, as previously reported 6,630,826 6,761,855 7,617,429 7,074,441 Prior period adjustment - - - - Net position - January 1, as restated 6,630,826 6,761,855 7,617,429 7,074,441 Net position - December 31 $8,603,294 $6,630,826 $7,255,830 $7,617,429 5000 Water Utility 5100 Sewer Utility Business-Type Activities Enterprise Funds The accompanying notes are an integral part of these financial statements. 44 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 53 Statement 7 Governmental Business-Type Activities Enterprise Funds Activities Internal 2012 2011 2012 2011 2012 2011 Service Funds $2,742,401 $2,677,475 $1,977,445 $1,904,369 $15,240,723 $14,371,458 $760,277 - - - - - 327 - 116,529 217,251 - - 470,226 422,826 602,208 - - - - 258,896 249,138 - 2,858,930 2,894,726 1,977,445 1,904,369 15,969,845 15,043,749 1,362,485 280,244 130,019 421,041 272,871 2,176,524 1,601,228 818,131 88,684 84,517 13,931 12,978 496,370 490,506 393,169 3,053 1,633 77,995 52,343 434,626 375,868 96,678 11,138 12,473 7,263 9,458 109,847 112,677 473,976 - - 20,790 28,831 442,244 486,925 - - - 123,128 201,312 442,159 698,604 - - - 566,905 561,861 1,355,293 1,319,331 1,295,445 2,136,978 2,054,450 - - 5,696,573 5,698,387 - 42,888 35,889 152,870 125,979 784,812 684,280 416,338 2,562,985 2,318,981 1,383,923 1,265,633 11,938,448 11,467,806 3,493,737 295,945 575,745 593,522 638,736 4,031,397 3,575,943 (2,131,252) 41,909 47,099 17,849 26,667 113,260 136,674 41,528 - - - - - - 538,324 101,630 103,166 - - 101,630 103,166 - - - (659)(54) (81,459)(6,481) - - - 218 218 2,102 2,102 - - - - - - (33,106) 60,416 - - (80,074) (78,732) (390,626) (417,603) - - - (1,254)(1,010)(2,414)(2,063) - 143,539 150,265 (63,920) (52,911) (257,507) (217,311) 640,268 439,484 726,010 529,602 585,825 3,773,890 3,358,632 (1,490,984) - - - - 1,200,000 - 844,724 (196,010) (288,100) (270,090) (534,929) (2,860,035) (2,457,867) - (196,010) (288,100) (270,090) (534,929) (1,660,035) (2,457,867) 844,724 243,474 437,910 259,512 50,896 2,113,855 900,765 (646,260) 2,685,460 2,247,550 14,266,864 14,215,968 31,200,579 30,299,814 15,495,611 - - - - - - - 2,685,460 2,247,550 14,266,864 14,215,968 31,200,579 30,299,814 15,495,611 $2,928,934 $2,685,460 $14,526,376 $14,266,864 $33,314,434 $31,200,579 $14,849,351 Totals5200 Solid Waste 5300 Storm Water Utility The accompanying notes are an integral part of these financial statements. 45 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 54 CITY OF ST. LOUIS PARK, MINNESOTA STATEMENT OF CASH FLOWS PROPRIETARY FUNDS For The Year Ended December 31, 2012 With Comparative Totals For The Year Ended December 31, 2011 2012 2011 2012 2011 Cash flows from operating activities: Receipts from customers and users $5,049,988 $3,815,743 $5,858,265 $5,572,352 Receipts from interfund services provided - - - - Other receipts 240,611 145,561 113,086 60,014 Payments to suppliers (1,839,101) (1,960,068) (3,947,498) (4,059,031) Payments to employees (971,368) (885,236) (466,170) (337,553) Miscellaneous expense (51,348) (6,427) (29,452) - Net cash flows provided by (used in) operating activities 2,428,782 1,109,573 1,528,231 1,235,782 Cash flows from noncapital financing activities: Transfers in 1,200,000 - - - Transfers out (504,153) (854,594) (1,889,782) (780,244) Borrowing (payments) on interfund balances (891,523) 80,941 451,523 (60,941) Intergovernmental receipts - - - - Intergovernmental payments - - - - Net cash flows provided by (used in) noncapital financing activities (195,676) (773,653) (1,438,259) (841,185) Cash flows from capital and related financing activities: Acquisition and construction of capital assets (1,071,093) (350,814) (166,153) (108,136) Proceeds from sale of assets - - - - Transfer in of long term debt (net) - 441,000 - 252,000 Principal paid on bonds (585,400) (460,000) (15,500) - Interest paid on debt (312,773) (338,371) (6,853) (8,609) Net cash flows provided by (used in) capital and related financing activities (1,969,266) (708,185) (188,506) 135,255 Cash flows from investing activities: Investment income 397 5,949 50,678 54,813 Net increase (decrease) in cash and cash equivalents 264,237 (366,316) (47,856) 584,665 Cash and cash equivalents - January 1 5,945 372,261 2,429,205 1,844,540 Cash and cash equivalents - December 31 $270,182 $5,945 $2,381,349 $2,429,205 5000 Water Utility 5100 Sewer Utility Business-Type Activities Enterprise Funds The accompanying notes are an integral part of these financial statements. 46 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 55 Statement 8 Page 1 of 2 Governmental Activities Internal 2012 2011 2012 2011 2012 2011 Service Funds $2,711,073 $2,660,210 $1,963,119 $1,892,692 $15,582,445 $13,940,997 $ - - - - - - - 853,871 116,529 217,251 - - 470,226 422,826 602,208 (2,269,349) (2,182,908) (504,763) (345,948) (8,560,711) (8,547,955) (1,571,255) (281,185) (129,707) (423,329) (269,219) (2,142,052) (1,621,715) (522,572) - - (659) (54) (81,459) (6,481) - 277,068 564,846 1,034,368 1,277,471 5,268,449 4,187,672 (637,748) - - - - 1,200,000 - 844,724 (196,010) (288,100) (270,090) (534,929) (2,860,035) (2,457,867) - 440,000 (20,000) (159,244) (75,731) (159,244) (75,731) - 101,630 103,166 - - 101,630 103,166 538,324 - - - - - - - 345,620 (204,934) (429,334) (610,660) (1,717,649) (2,430,432) 1,383,048 - - (97,606) (481,867) (1,334,852) (940,817) (1,725,250) - - 132,383 - 132,383 - 128,943 - - - (693,000) - - - - - (354,100) (320,000) (955,000) (780,000) - - - (84,820) (106,189) (404,446) (453,169) - 0 0 (404,143) (1,601,056) (2,561,915) (2,173,986) (1,596,307) 40,311 46,773 16,759 28,296 108,145 135,831 43,676 662,999 406,685 217,650 (905,949) 1,097,030 (280,915) (807,331) 1,815,357 1,408,672 1,553,696 2,459,645 5,804,203 6,085,118 4,632,479 $2,478,356 $1,815,357 $1,771,346 $1,553,696 $6,901,233 $5,804,203 $3,825,148 5300 Storm Water Utility Totals5200 Solid Waste Business-Type Activities Enterprise Funds The accompanying notes are an integral part of these financial statements. 47 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 56 CITY OF ST. LOUIS PARK, MINNESOTA STATEMENT OF CASH FLOWS PROPRIETARY FUNDS For The Year Ended December 31, 2012 With Comparative Totals For The Year Ended December 31, 2011 2012 2011 2012 2011 Reconciliation of operating income (loss) to net cash provided (used) by operating activities: Operating income (loss)$1,630,334 $1,084,764 $1,511,596 $1,276,698 Adjustments to reconcile operating income (loss) to net cash flows from operating activities: Miscellaneous expense (51,348) (6,427) (29,452) - Depreciation 672,524 640,217 115,864 117,253 Changes in assets and liabilities: Decrease (increase) in: Accounts receivable 152,288 (382,962) (24,934) (115,795) Special assessments 30,684 (128,760) (29,558) (23,467) Prepaid items (1,734) - (24,654) 5,628 Inventory 11,200 (78,042) - - Increase (decrease) in: Accounts payable (12,657) (39,276)9,344 (1,688) Contracts payable (35,299) 49,154 (4,886) (27,491) Accrued salaries payable 8,765 (11,467)(758) 1,320 Accrued flex spending - - - - Compensated absences payable 13,541 (29,612)3,572 (1,034) Other postemployment benefits 10,484 11,984 2,097 4,358 Total adjustments 798,448 24,809 16,635 (40,916) Net cash provided by (used) operating activities $2,428,782 $1,109,573 $1,528,231 $1,235,782 Supplemental schedule of noncash capital and related financing activities Amortization of bond premiums and issuance costs $3,011 $3,011 $123 $123 Disposal of capital assets $ - $160,305 $ - $6,387 5000 Water Utility 5100 Sewer Utility Business-Type Activities Enterprise Funds The accompanying notes are an integral part of these financial statements. 48 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 57 Statement 8 Page 2 of 2 Governmental Activities Internal 2012 2011 2012 2011 2012 2011 Service Funds $295,945 $575,745 $593,522 $638,736 $4,031,397 $3,575,943 ($2,131,252) - - (659) (54) (81,459) (6,481) - - - 566,905 561,861 1,355,293 1,319,331 1,295,445 (31,341) (17,265) (14,326) (11,677) 81,687 (527,699) 93,594 13 - - - 1,139 (152,227) - - - (433) - (26,821) 5,628 58,923 - - - - 11,200 (78,042) - 13,392 6,054 (95,149) 91,636 (85,070) 56,726 (27,346) - - (13,204) (6,683) (53,389) 14,980 (222,671) (941) 312 (2,259) 17 4,807 (9,818) 1,508 - - - - - - (3,542) - - (2,126) 367 14,987 (30,279) 39,691 - - 2,097 3,268 14,678 19,610 257,902 (18,877) (10,899) 440,846 638,735 1,237,052 611,729 1,493,504 $277,068 $564,846 $1,034,368 $1,277,471 $5,268,449 $4,187,672 ($637,748) $ - $ - $1,343 $1,736 $4,477 $4,870 $ - $ - $ - $147,415 $ - $147,415 $166,692 $939,625 5200 Solid Waste 5300 Storm Water Utility Totals Business-Type Activities Enterprise Funds The accompanying notes are an integral part of these financial statements. 49 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 58 - This page intentionally left blank - 50 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 59 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 Note 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The City of St. Louis Park, Minnesota (the City) was incorporated in 1886 and operates a council-manager form of government under the “Home Rule Charter” concept according to applicable Minnesota laws and statutes. The governing body consists of a seven member City Council elected by the voters of the City. The financial statements of the City have been prepared in conformity with accounting principles generally accepted in the United States of America as applied to governmental units by the Governmental Accounting Standards Board (GASB). The following is a summary of the significant accounting policies. A. FINANCIAL REPORTING ENTITY As required by generally accepted accounting principles, the financial statements of the reporting entity include those of the City (the primary government) and its component units, entities for which the City is considered to be financially accountable. Blended component units, although legally separate entities, are in substance, part of the City’s operations and so data from these units are combined with data of the City. BLENDED COMPONENT UNITS The Economic Development Authority (EDA) is an entity legally separate from the City. However, for financial reporting purposes, the EDA is reported as if it were part of the City’s operations because the members of the City Council serve as EDA Board Members and its sole purpose is to promote development within the City’s tax increment districts. Separate financial statements are not prepared for the EDA. The following funds are maintained by the EDA: Debt Service Funds – 2004 General Obligation Tax Increment Refunding, 2008B General Obligation Tax Increment Bonds, and 2009A General Obligation Tax Increment Bond, and Hoigaard’s 2010A & B TIF Notes; Capital Project Funds – Development EDA and Redevelopment District. RELATED ORGANIZATION The Housing Authority (HA) is an entity legally separate from the City. The HA is governed by a Board of Commissioners appointed by the City Council. However, the City’s accountability for the HA does not extend beyond making the appointments. B. GOVERNMENT-WIDE AND FUND FINANCIAL STATEMENTS The government-wide financial statements (i.e., the statement of net position and the statement of changes in net position) report information on all of the activities of the primary government and its component units. For the most part, the effect of interfund activity has been removed from these statements. Governmental activities, which normally are supported by taxes and intergovernmental revenues, are reported separately from business-type activities, which rely to a significant extent on fees and charges for support. 51 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 60 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 The statement of activities demonstrates the degree to which the direct expenses of a given function or business-type activity is offset by program revenues. Direct expenses are those that are clearly identifiable with a specific function or business-type activity. Program revenues include: 1) charges to customers or applicants who purchase, use, or directly benefit from goods, services, or privileges provided by a given function or business-type activity and 2) grants and contributions that are restricted to meeting the operational or capital requirements of a particular function or business-type activity. Taxes and other items not included among program revenues are reported instead as general revenues. Separate financial statements are provided for governmental funds and proprietary funds. Major individual governmental funds and major individual enterprise funds are reported as separate columns in the fund financial statements. C. MEASUREMENT FOCUS, BASIS OF ACCOUNTING, AND FINANCIAL STATEMENT PRESENTATION The government-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting, as are the proprietary fund financial statements. Revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. Property taxes are recognized as revenues in the year for which they are levied. Grants and similar items are recognized as revenue as soon as all eligibility requirements imposed by the provider have been met. Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon as they are both measurable and available. Revenues are considered to be available when they are collectible within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the City considers all revenues, except reimbursement grants, to be available if they are collected within 60 days of the end of the current fiscal period. Reimbursement grants are considered available if they are collected within one year of the end of the current fiscal period. Expenditures generally are recorded when a liability is incurred, as under accrual accounting. However, debt service expenditures, as well as expenditures related to compensated absences and claims and judgments, are recorded only when payment is due. Property taxes, special assessments, intergovernmental revenue, franchise taxes, licenses, and interest associated with the current fiscal period are all considered to be susceptible to accrual and so have been recognized as revenues of the current fiscal period. Only the portion of special assessments receivable due within the current fiscal period is considered to be susceptible to accrual as revenue of the current period. All other revenue items are considered to be measurable and available only when cash is received by the City. 52 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 61 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 The City reports the following major governmental funds: The General Fund is the City’s primary operating fund. It accounts for all financial resources of the general government, except those required to be accounted for in another fund. The Parks and Recreation Fund accounts for the operation and maintenance of all City- owned parks through the Park Maintenance division, trees through the Forestry division, nature center through the Westwood Hills Nature Center division, and all City sponsored recreation programs through the Organized Recreation division. Financing is provided by property taxes, intergovernmental revenues, and a contribution from the St. Louis Park School District No. 283 for the jointly sponsored recreation activities, and user fees from recreation programs. The Housing Rehabilitation Fund is used to account for revenues from revenue bond fees and expenditures related to preventing deterioration of multi-unit housing. The Debt Service Fund accounts for the resources accumulated and payments made for principal and interest on long-term general obligation debt of the government. The Fire Station Bonds Fund accounts for the financing of land acquisition and construction of two new fire stations. Revenues will be provided from other City funds and property tax levies. The Permanent Improvement Revolving Fund accounts for the resources and expenditures required for the acquisition and construction of capital improvements which will provide a direct or significant indirect benefit to individual property owners. Financing of these projects is provided by shared costs with other organizations, land sales, State allotment from highway user tax collections and assessment proceeds. The Streets Capital Projects Fund accounts for street construction projects. Revenues are provided by the General Fund or by the issuance of General Obligation bonds. The Development EDA Fund accounts for transactions related to redevelopment efforts in the City; financing is provided by investment income, grants, and developer reimbursements. The Redevelopment District Fund accounts for transactions relative to acquisition and development in the City’s tax increment redevelopment districts; financing is provided by the sale of general obligation tax increment bonds along with tax increment property tax payments. 53 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 62 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 The City reports the following major enterprise funds: The Water Utility Fund accounts for the provisions of water services to residents of the City. All activities necessary to provide such services are accounted for in this fund, including administration, operations, maintenance, billing and collection. The Sewer Utility Fund accounts for the provisions of sewer services to residents of the City. All activities necessary to provide such services are accounted for in this fund, including administration, operations, maintenance, billing and collection. The Solid Waste Fund accounts for the revenue and expense related to collection, disposal, and recycling of residential solid waste. Financing is provided by charging each property owner a predetermined service fee. The Storm Water Utility Fund accounts for the revenue and expenses related to providing storm water to the residents of the City. All activities necessary to provide such services are accounted for in this fund, including administration, operations, construction, maintenance, billing and collection. Additionally, the government reports the following fund types: Internal Service Funds account for the financing of goods or services provided by one department or agency to other departments or agencies of the City, or to other governments on a cost reimbursement basis. The City’s internal service funds account for employee flex spending, uninsured loss and capital replacement. As a general rule the effect of interfund activity has been eliminated from the government-wide financial statements. Exceptions to this general rule are transactions that would be treated as revenues, expenditures or expenses if they involved external organizations, such as buying goods and services or payments in lieu of taxes, are similarly treated when they involve other funds of the City. Elimination of these charges would distort the direct costs and program revenues reported for the various functions concerned. Amounts reported as program revenues include 1) charges to customers or applicants for goods, services, or privileges provided, 2) operating grants and contributions, and 3) capital grants and contributions, including special assessments. Internally dedicated resources are reported as general revenues rather than as program revenues. Likewise, general revenues include all taxes. Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating revenues and expenses generally result from providing services and producing and delivering goods in connection with a proprietary fund’s principal ongoing operations. The principal operating revenues of the water, wastewater, storm sewer and municipal liquor enterprise funds are charges to customers for sales and services. Operating expenses for enterprise funds include the cost of sales and services, administrative expenses, and depreciation on capital assets. All revenues and expenses not meeting this definition are reported as nonoperating revenues and expenses. 54 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 63 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 D. BUDGETARY INFORMATION Budgets are legally adopted on a basis consistent with generally accepted accounting principles. Annual appropriated budgets are legally adopted for the General Fund and the Parks and Recreation special revenue fund. A budget is not presented for the Housing Rehabilitation Fund since the City does not legally require to adopt a budget for the fund. Budgeted amounts are reported as originally adopted, or as amended by the City Council. Budgeted expenditure appropriations lapse at year end. Encumbrance accounting, under which purchase orders, contracts, and other commitments for the expenditure of monies are recorded in order to reserve that portion of the appropriation, is not employed by the City because it is as present not considered necessary to assure effective budgetary control or to facilitate effective cash management. E. LEGAL COMPLIANCE - BUDGETS The City follows these procedures in establishing the budgetary data reflected in the financial statements: 1. The City Manager submits to the City Council a proposed operating budget for the fiscal year commencing the following January 1. The operating budget includes proposed expenditures and the means of financing them. 2. The City Council reviews the proposed budget and makes appropriate changes. 3. Public hearings are conducted to obtain taxpayer comments. 4. The budget is legally enacted through passage of a resolution on a departmental/divisional basis and can be expended by each department based upon detailed budget estimates for individual expenditure accounts in accordance with the provisions of section 6.05 of the City Charter. 5. After the budget resolution is approved, the City Council can increase the budget only by resolution if actual receipts exceed the estimated, or from accumulated fund balance in the amount of unexpended appropriations from the previous fiscal year. During the year 2012, the budget was not amended. 6. Formal budgetary integration is employed as a management control device during the year for the General Fund and Parks and Recreation special revenue fund. 7. Legal debt obligation indentures determine the appropriation level and debt service tax levies for the Debt Service Funds. Supplementary budgets are adopted for the Proprietary Funds to determine and calculate user charges. These debt service and budget amounts represent general obligation bond indenture provisions and net income for operation and capital maintenance and are not reflected in the financial statements. 55 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 64 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 8. A capital improvement program is reviewed annually by the City Council for the Capital Project Funds. However, appropriations for major projects are not adopted until the actual bid award of the improvement. The appropriations are not reflected in the financial statements. 9. The legal level of budgetary control is at the fund level. Expenditures may not legally exceed budgeted appropriations at the total fund level. The City Council must approve all expenditures at fund level either by resolution or through the disbursement process. 10. Monitoring of budgets is maintained at the expenditure category level (i.e., personal services, supplies, and other services and charges, and capital outlay) within each program. Management can exceed appropriations at the department level without City Council approval. Approval must be received for exceeding budgeted appropriations at the fund level. 11. The City Council may authorize transfer of budgeted amounts between City funds. F. CASH AND INVESTMENTS Cash and investment balances from all funds are pooled and invested to the extent available in authorized investments. Investment income is allocated to individual funds on the basis of average monthly cash balances. The City’s investment policy dictates that the General fund is to receive the first three percent of all interest earnings as an administrative fee. The administrative fee does not apply to the Economic Development Authority. Investments are stated at fair value, based upon quoted market prices, except for investments in 2a7-like external investment pools, which are stated at amortized cost. Investment income is accrued at the balance sheet date. For purposes of the statement of cash flows, the Proprietary Funds consider all highly liquid investments with a maturity of three months or less when purchased to be cash equivalents. All of the cash and investments allocated to the Proprietary Fund types have original maturities of 90 days or less. Therefore the entire balance in such fund types is considered cash equivalents. It is the City’s policy to invest in a manner that seeks to ensure preservation of capital in the overall portfolio. Safety of principal is the foremost objective, but liquidity and yield are also important considerations. The objective will be to mitigate credit risk by purchasing only highly rated securities with adequate collateral and interest rate risk by matching maturities to cash flow needs and holding securities to maturity. 56 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 65 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 G. ACCOUNTS RECEIVABLE Property taxes and special assessment receivables have been reported net of estimated uncollectible accounts (See Note 1 I and J). The City annually certifies delinquent water and sewer accounts to the County for collection in the following year. Because utility bills are considered liens on property, no estimated uncollectible amounts are established. Uncollectible amounts are not material for other receivables and have not been reported. H. INTERFUND RECEIVABLES AND PAYABLES Activity between funds that are representative of lending/borrowing arrangements outstanding at the end of the fiscal year are referred to as either “due to/from other funds” (i.e., the current portion of interfund loans) or “interfund loan receivable/payable” (i.e., the noncurrent portion of interfund loans). Any residual balances outstanding between the governmental activities and business-type activities are reported in the government-wide financial statements as “internal balances.” Interfund loan receivables, as reported in the fund financial statements, are offset by nonspendable fund balance in applicable governmental funds to indicate that they are not available for appropriation and are not expendable available financial resources. I. PROPERTY TAX REVENUE RECOGNITION The City Council annually adopts a tax levy and certifies it to the County in December (levy/assessment date) of each year for collection in the following year. The County is responsible for billing and collecting all property taxes for itself, the City, the local School District and other taxing authorities. Such taxes become a lien on January 1 and are recorded as receivables by the City at that date. Real property taxes are payable (by property owners) on May 15 and October 15 of each calendar year. Personal property taxes are payable by taxpayers on February 28 and June 30 of each year. These taxes are collected by the County and remitted to the City on or before July 7 and December 2 of the same year. Delinquent collections for November and December are received the following January. The City has no ability to enforce payment of property taxes by property owners. The County possesses this authority. The City recognizes property tax revenue when it becomes both measurable and available to finance expenditures of the current period. In practice, current and delinquent taxes and State credits received by the City in July, December and January are recognized as revenue for the current year. Taxes collected by the County by December 31 (remitted to the City the following January) and taxes and credits not received at year end are classified as delinquent and due from County taxes receivable. The portion of delinquent taxes not collected by the City in January is fully offset by deferred revenue because they are not available to finance current expenditures. GOVERNMENT-WIDE FINANCIAL STATEMENTS The City recognizes property tax revenue in the period for which the taxes were levied. Uncollectible property taxes are not material and have not been reported. 57 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 66 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 GOVERNMENTAL FUND FINANCIAL STATEMENTS The City’s property tax revenue includes payment from the Metropolitan Revenue Distribution (Fiscal Disparities Formula) per Minnesota Statute 473F. This statute provides a means of spreading a portion of the taxable valuation of commercial/industrial real property to various taxing authorities within the defined metropolitan area. The valuation “shared” is a portion of commercial/industrial property valuation growth since 1971. Property taxes paid to the City through this formula for 2012 and 2011 totaled $2,090,120 and $2,100,440, respectively. Receipt of property taxes from this “fiscal disparities pool” does not increase or decrease total tax revenue. J. SPECIAL ASSESSMENT REVENUE RECOGNITION Special assessments are levied against benefited properties for the cost or a portion of the cost of special assessment improvement projects in accordance with State Statutes. These assessments are collectible by the City over a term of years usually consistent with the term of the related bond issue. Collection of annual installments (including interest) is handled by the County Auditor in the same manner as property taxes. Property owners are allowed to (and often do) prepay future installments without interest or prepayment penalties. Once a special assessment roll is adopted, the amount attributed to each parcel is a lien upon that property until full payment is made or the amount is determined to be excessive by the City Council or court action. If special assessments are allowed to go delinquent, the property is subject to tax forfeit sale and the first proceeds of that sale (after costs, penalties and expenses of sale) are remitted to the City in payment of delinquent special assessments. Pursuant to State Statutes, a property shall be subject to a tax forfeit sale after three years unless it is homesteaded, agricultural or seasonal recreational land in which event the property is subject to such sale after five years. GOVERNMENT-WIDE FINANCIAL STATEMENTS The City recognizes special assessment revenue in the period that the assessment roll was adopted by the City Council. Uncollectible special assessments are not material and have not been reported. GOVERNMENTAL FUND FINANCIAL STATEMENTS Revenue from special assessments is recognized by the City when it becomes measurable and available to finance expenditures of the current fiscal period. In practice, current and delinquent special assessments received by the City are recognized as revenue for the current year. Special assessments that are collected by the County by December 31 (remitted to the City the following January) and are also recognized as revenue for the current year. All remaining delinquent, deferred and special deferred assessments receivable in governmental funding are completely offset by deferred revenues. 58 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 67 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 K. MARKET VALUE HOMESTEAD CREDIT The Market Value Homestead Credit program replaces the Homestead and Agricultural Credit Aid (HACA) program. Beginning with taxes payable in 2002, this credit is paid to the City by the State based on market value information provided by the County Auditor. The credit is recognized as revenue at the time of collection. L. INVENTORIES Inventory is valued at cost using the first-in, first out (FIFO) method. Inventory consists mainly of expendable supplies held for consumption. Inventories of the governmental funds are recorded as expenditures when consumed rather than when purchased. M. PREPAID ITEMS Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as prepaid items in both government-wide and fund financial statements. Prepaid items are reported using the consumption method and recorded as expenditures/expenses at the time of consumption. N. CAPITAL ASSETS Capital assets, which include property, plant, equipment, infrastructure assets (e.g., roads, bridges, sidewalks, and similar items), and intangible assets such as easements and computer software, are reported in the applicable governmental or business-type activities columns in the government- wide financial statements. Capital assets are defined by the City as assets with an initial, individual cost of more than $5,000 (except for easements and internally generated computer software which is $100,000 and $50,000, respectively) and an estimated useful life of three years or more. Such assets are recorded at historical cost or estimated historical cost if purchased or constructed. Donated capital assets are recorded at estimated fair market value at the date of donation. During 2012, the City elected to use the modified approach for reporting street and trail system capital assets. The costs of normal maintenance and repairs that do not add to the value of the asset or materially extend assets lives are not capitalized. Major outlays for capital assets and improvements are capitalized as projects are constructed. Interest incurred during the construction phase of capital assets of business-type activities is included as part of the capitalized value of the assets constructed. For the year ended December 31, 2012, no interest was capitalized in connection with construction in progress. 59 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 68 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 Property, plant and equipment of the primary government, as well as the component units, is depreciated using the straight line method over the following estimated useful lives: Buildings and structures 5 – 30 years Improvements other than buildings 5 – 30 years Infrastructure 5 – 100 years Machinery, furniture and equipment (including software) 3 – 30 years Fleet 3 – 25 years Temporary easements 3 – 5 years Capital assets of the water utility and sewer utility operations include the water distribution system and sewer collection system. These systems have been wholly (or substantially) financed by non- operating funds (special assessments, general taxes, federal and state grants, and other sources) and contribution to the Water and Sewer operating funds. City policy is to finance these assets by the sources indicated rather than by user charges. Accordingly, the water and sewer user rates are not established at levels sufficient to cover depreciation on these assets. The City implemented GASB 51, Accounting and Financial Reporting for Intangible Assets effective January 1, 2010, which required the City to capitalize and amortize intangible assets. Pursuant to GASB Statement No. 51, the retroactive reporting of permanent easements is not required and therefore, the City has elected not to report permanent easements acquired in years prior to 2010. The City had already accounted for computer software at historical cost and therefore retroactive reporting was not necessary. The City elects to use the modified approach as defined by GASB Statement No. 34 for infrastructure reporting of its streets. The City conducted a physical assessment in the Fall of 2012 of the condition of the streets. This condition assessment will be performed every 2 years. Each segment of City owned street was assigned a physical condition based on potential defects. A Overall Condition Index (OCI) was assigned to each segment. The index is expressed in a continuous scale from 0 to 100, where 0 is assigned to the least acceptable physical condition and 100 is assigned to those segments that have the characteristic of a new street. The following conditions were defined: Range Description 86 - 100 Excellent 71 - 85 Very good 56 - 70 Good 41 - 55 Fair 26 - 40 Poor 11 - 25 Very poor 0 - 10 Failed 60 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 69 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 The City’s policy relative to maintaining the street and trail assets is to achieve an average rating of “Good” for all segments. This acceptable rating allows minor cracking and patching of the pavement along with minor roughness that could be noticeable to the users of the system. O. COMPENSATED ABSENCES It is the City's policy to permit employees to accumulate earned but unused vacation, sick pay and flex leave benefits. No liability is recorded for unpaid accumulated sick leave, except for that portion that is payable as severance. All liabilities for vacation leave, flex leave and severance, both current and long-term, are recorded in the Employee Benefits Fund, an Internal Service Fund for governmental funds, and in the individual enterprise funds when incurred. The personnel ordinance limits the annual accumulation of benefits that can be accumulated from year-to-year. A liability for these amounts is reported in governmental funds only if they have matured, for example, as a result of employee resignations and retirements. P. LONG-TERM OBLIGATIONS In the government-wide financial statements and proprietary fund types in the fund financial statements, long-term debt and other long-term obligations are reported as liabilities in the applicable governmental activities, business-type activities, or proprietary fund type statement of net position. Bond premiums and discounts, as well as issuance costs, are deferred and amortized over the life of the bonds using the effective interest method. Bond issuance costs are reported as deferred charges and amortized over the term of the related debt using the straight-line method. In the fund financial statements, governmental fund types recognize bond premiums and discounts, as well as bond issuance costs, during the current period. The face amount of debt issued is reported as other financing sources. Premiums received on debt issuances are reported as other financing sources while discounts on debt issuances are reported as other financing uses. Issuance costs, whether or not withheld from the actual debt proceeds received, are reported as debt service expenditures. Q. FUND BALANCE CLASSIFICATIONS In the fund financial statements, governmental funds report fund balance in classifications that disclose constraints for which amounts in those funds can be spent. These classifications are as follows: Nonspendable - consists of amounts that are not in spendable form, such as prepaid items. Restricted - consists of amounts related to externally imposed constraints established by creditors, grantors or contributors; or constraints imposed by state statutory provisions. Committed - consists of internally imposed constraints. These constraints are established by Resolution of the City Council. 61 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 70 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 Assigned- consists of internally imposed constraints. These constraints reflect the specific purpose for which it is the City’s intended use. These constraints are established by the City Council and/or management. Pursuant to City Council Resolution, the City’s Controller and/or City Manager is authorized to establish assignments of fund balance. Unassigned – is the residual classification for the general fund and also reflects negative residual amounts in other funds. When both restricted and unrestricted resources are available for use, it is the City’s policy to first use restricted resources, then use unrestricted resources as they are needed. When committed, assigned or unassigned resources are available for use, it is the City’s policy to use resources in the following order; 1) committed 2) assigned and 3) unassigned. R. INTERFUND TRANSACTIONS Interfund services provided and used are accounted for as revenues, expenditures or expenses. Transactions that constitute reimbursements to a fund for expenditures/expenses initially made from it that are properly applicable to another fund, are recorded as expenditures/expenses in the reimbursing fund and as reductions of expenditures/expenses in the fund that is reimbursed. Interfund loans are reported as an interfund loan receivable or payable which offsets the movement of cash between funds. All other interfund transactions are reported as transfers. S. COMPARATIVE TOTALS AND RECLASSIFICATIONS The basic financial statements and schedules, required supplementary information, and combining and individual fund financial statements include certain prior-year summarized comparative information in total but not at the level of detail required for a presentation in conformity with generally accepted accounting principles. Accordingly, such information should be read in conjunction with the government’s financial statements for the year ended December 31, 2011, from which the summarized information was derived. In addition, certain amounts in the prior year have been reclassified to conform with the current year presentation. T. NET POSITION Net position represents the difference between assets and liabilities. Net position is displayed in three components. a) Net investment in capital assets – consists of capital assets, net of accumulated depreciation reduced by any outstanding debt attributable to acquire capital assets. b) Restricted net position – consist of net position restricted when there are limitations imposed on their use through external restrictions imposed by creditors, grantors, laws or regulations of other governments. c) Unrestricted net position – all other net position that do not meet the definition of “restricted” or “net investment in capital assets”. 62 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 71 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 U. USE OF ESTIMATES The preparation of financial statements in accordance with generally accepted accounting principles (GAAP) requires management to make estimates that affect amounts reported in the financial statements during the reporting period. Actual results could differ from such estimates. Note 2 DEPOSITS AND INVESTMENTS A. DEPOSITS In accordance with Minnesota Statutes, the City maintains deposits at those depository banks authorized by the City Council, all of which are members of the Federal Reserve System. Minnesota Statutes require that securities pledged as collateral be held in safekeeping by the City Treasurer or in a financial institution other than that furnishing the collateral. Authorized collateral includes the following: 1. United States government treasury bills, treasury notes, treasury bonds; 2. Issues of United States government agencies and instrumentalities as quoted by a recognized industry quotation service available to the government entity; 3. General obligation securities of any state or local government with taxing powers which is rated “A” or better by a national bond rating service, or revenue obligation securities of any state or local government with taxing powers which is rated “AA” or better by a national bond rating service; 4. General obligation securities of a local government with taxing powers may be pledged as collateral against funds deposited by that same local government entity; 5. Irrevocable standby letters of credit issued by Federal Home Loan Banks to a municipality accompanied by written evidence that the bank’s public debt is rated “AA” or better by Moody’s Investors Service, Inc. or Standard & Poor’s Corporation; and 6. Time deposits that are fully insured by any federal agency. Custodial Credit Risk - deposits – Custodial credit risk is the risk that in the event of a bank failure, the City’s deposits may not be returned to it. Minnesota Statutes require that insurance, surety bonds or collateral protect all City deposits. The market value of collateral pledged must equal 110% of deposits not covered by insurance or bonds. The City has no additional deposit policies addressing custodial credit risk. As of December 31, 2012, the bank balance of the City’s deposits was $2,115,062, all of which was covered by federal depository insurance or by collateral pledged and held in the City’s name. 63 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 72 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 B. INVESTMENTS Minnesota Statutes authorize the City to invest in the following: 1. Direct obligations or obligations guaranteed by the United States or its agencies, its instrumentalities, or organizations created by an act of congress, excluding mortgage-backed securities defined as high risk. 2. Shares of investment companies registered under the Federal Investment Company Act of 1940 and whose only investments are in securities described in (a) above, general obligation tax-exempt securities, or repurchase or reverse repurchase agreements. 3. State and local securities as follows: a) any security which is a general obligation of any state or local government with taxing powers which is rated “A” or better by a national bond rating service; b) any security which is a revenue obligation of any state or local government with taxing powers which is rated “AA” or better by a national bond rating service; and c) a general obligation of the Minnesota Housing Finance Agency which is a moral obligation of the State of Minnesota and is rated “A” or better by a national bond rating agency. 4. Bankers acceptance of United States banks. 5. Commercial paper issued by United States corporations or their Canadian subsidiaries, of the highest quality, and maturing in 270 days or less. 6. Repurchase or reverse repurchase agreements with banks that are members of the Federal Reserve System with capitalization exceeding $10,000,000; a primary reporting dealer in U.S. government securities to the Federal Reserve Bank of New York; certain Minnesota securities broker-dealers; or, a bank qualified as a depositor. 7. General obligation temporary bonds of the same governmental entity issued under section 429.091, subdivision 7; 469.178, subdivision 5; or 475.61, subdivision 6. 64 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 73 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 At December 31, 2012, the City had the following investments and maturities: Fair Less Investment Type Rating Value Than 1 1-5 6-10 11-15 4M fund NR $4,803,206 $4,803,206 $ - $ - $ - Money market mutual funds NR 13,664,935 13,664,935 - - - Government National Mortgage Association NR 22,149 - - - 22,149 Certificates of deposit NR 4,539,049 4,539,049 - - - Municipal bonds (1) 27,161,602 10,368,804 16,792,798 - - Federal National Mortgage Assn.AA+ 7,035,290 1,007,990 6,027,300 - - Federal Home Loan Bank notes AA+ 2,001,340 1,002,080 999,260 - - Federal Home Loan Mortgage Corp. notes AA+ 8,054,390 - 8,054,390 - - Total $67,281,961 $35,386,064 $31,873,748 $0 $22,149 Total investments $67,281,961 Deposits 1,616,658 Petty cash 3,984 Total cash and investments $68,902,603 Investment Maturities (in Years) C. INVESTMENT RISKS Custodial credit risk – investments – For investments in securities, custodial credit risk is the risk that in the event of failure of the counterparty to a transaction, the City will not be able to recover the value of its investment securities that are in the possession of an outside party. Investments in investment pools and money markets are not evidenced by securities that exist in physical or book entry form, and therefore are not subject to custodial credit risk disclosures. The City’s investment policy requires the City’s security broker/dealers to provide its audited financial statements, proof of NASD certification, proof of state registration, and certification of having read, understood and agreed to comply with the City’s investment policy. Investments in securities are held by the City’s broker-dealer of which $500,000 is insured through SIPC. Each broker-dealer has provided additional protection by providing additional insurance. This insurance is subject to aggregate limits applied to all of the broker-dealers accounts. Interest rate risk – Interest rate risk is the risk that changes in interest rates of debt investments could adversely affect the fair value of an investment. The City’s investment policy states the investment portfolio will remain sufficiently liquid to enable the City to meet all operating and capital requirements that might be reasonably anticipated. The maximum maturity of investments shall not extend beyond five years, unless related to specific cash flow needs. Credit Risk – Credit risk is the risk that an issuer or other counterparty to an investment will be unable to fulfill its obligation to the holder of the investment. State law limits investments to commercial paper to those rated in the highest quality category by at least two nationally recognized rating agencies; in any security of the State of Minnesota or any of its municipalities which is rated “A” or better by a national bond rating service for general obligation and rated “AA” or better for a revenue obligation; a general obligation of the Minnesota Housing Finance Agency to those rated “A” or better by a national bond rating agency; mutual funds or money 65 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 74 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 market funds whose investments are restricted to securities described in MS 118A.04. The City’s investment policy does not place further restrictions on investment options. The City’s external investment pool investment is with the 4M fund which is regulated by Minnesota Statutes and the Board of Directors of the League of Minnesota Cities. The 4M fund is an unrated 2a7-like pool and the fair value of the position in the pool is the same as the value of pool shares. Concentration of credit risk – Concentration of credit risk is the risk of loss that may be attributed to the magnitude of a government’s investment in a single issuer. The City’s investment policy states no more than 50% of its investment portfolio can be invested in municipal bonds or MHFA securities. Investments in a single issuer exceeding 5% of the City’s overall cash and investment portfolio are in various holdings as follows: Federal National Mortgage Assn.10.21% Federal Home Loan Mortgage Corp. notes 11.69% Note 3 RECEIVABLES A. LOANS RECEIVABLE The City has made loans to local businesses and individuals that qualify for various loan programs. The businesses and individuals pay varying installments on the loans. Depending on the loan program, some of the loans are secured by an interest in the property. Also, some of the loans are forgivable after 30 years if certain criteria are met. As of December 31, 2012, any forgiveness of loans would not occur for another 20 – 30 years. At this time, information is not available to develop an estimate for any loans which may be forgiven. Therefore, no allowance has been recorded. As loan maturity dates approach, the City will evaluate whether an allowance for forgivable loans should be recorded in the financial statements. As of December 31, 2012, the loans receivable balance was $7,964,747. 66 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 75 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 Significant receivable balances not expected to be collected within one year of December 31, 2012 are as follows: Special Interfund Loans Assessments Property Loans Receivable Receivable Taxes Receivable Total Major Funds: General Fund $ - $ - $131,200 $ - $131,200 Housing Rehabilitation Fund 2,853,048 45,901 5,300 - 2,904,249 Debt Service Fund 1,710,000 - - - 1,710,000 Permanent Improvement Revolving Fund - 16,253 - - 16,253 Development EDA Fund 1,853,405 3,001 - 7,363,481 9,219,887 Redevelopment District Fund 668,250 - - - 668,250 Water Utility Fund - 71,728 - - 71,728 Sewer Utility Fund - 1,058 - - 1,058 Solid Waste Fund - - - - - Nonmajor Governmental Funds 415,409 11,837 - - 427,246 Total $7,500,112 $149,778 $136,500 $7,363,481 $15,149,871 B. DEFERRED REVENUE Governmental funds report deferred revenue in connection with receivables for revenues that are not considered to be available to liquidate liabilities of the current period. Governmental funds also defer revenue recognition in connection with resources that have been received, but not yet earned. At the end of the current fiscal year, the various components of deferred revenue and unearned revenue reported in the governmental funds were as follows: Unavailable Unearned Delinquent property taxes receivable (General Fund)$163,481 $ - Delinquent property taxes receivable (Redevelopment District)6,578 - Special assessments not yet due (Permanent Improvement Revolving)1,046,010 - Special assessments not yet due (Housing Rehabilitation)8,283,362 - Special assessments not yet due (Development EDA)41,369 - Special assessments not yet due (Nonmajor Funds)186,420 - Bond reimbursement payments not yet due (Debt Service Fund)1,745,000 - Other miscellaneous (Redevelopment Districtrs)25,244 - Other miscellaneous (Nonmajor Funds)12,141 - Revenue not yet earned (General Fund) - 483,642 Revenue not yet earned (Parks and Recreation) - 129,313 Revenue not yet earned (Debt Service Funds) - 15,974 Total deferred/unearned revenue for governmental funds $11,509,605 $628,929 67 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 76 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 Note 4 CAPITAL ASSETS In accordance with GASB Statement No. 34, the City has reported all capital assets including infrastructure in the government-wide statement of net assets. The City has elected to use the modified approach as defined by GASB Statement No. 34 for reporting of street infrastructure. As a result, no accumulated depreciation or depreciation expense has been recorded for street infrastructure. Additional information of the modified approach is presented in the Required Supplementary Information section of this report. All other capital assets including other infrastructure systems were reported using the basic approach whereby accumulated depreciation and depreciation expense have been recorded. Modified approach adjustments represent the changes due to implementation of the modified approach for infrastructure reporting. Capital asset activity for the year ended December 31, 2012 is as follows: Modified Beginning Approach Ending Primary Government Balance Adjustments Increases Decreases Transfers Balance Governmental activities: Capital assets, not being depreciated: Land $14,383,395 $ - $1,608,400 $1,007,251 $ - $14,984,544 Infrastructure - streets - 26,011,544 - - - 26,011,544 Permanent easements 1,399,000 - 30,976 - - 1,429,976 Construction in progress 14,179,912 - 5,538,654 19,288,937 - 429,629 Total capital assets, not being depreciated 29,962,307 26,011,544 7,178,030 20,296,188 - 42,855,693 Capital assets, being depreciated: Buildings and structures 35,749,171 - 11,584,019 55,780 - 47,277,410 Improvements other than buildings 18,777,471 - 1,807,680 - - 20,585,151 Infrastructure - other 81,928,256 (51,611,837) 493,256 - 147,415 30,957,090 Machinery, furniture and equipment 7,066,424 - 735,450 362,315 - 7,439,559 Fleet 6,891,417 - 938,424 577,312 - 7,252,529 Total capital assets, being depreciated 150,412,739 (51,611,837) 15,558,829 995,407 147,415 113,511,739 Less accumulated depreciation for: Buildings and structures 8,795,484 - 1,026,312 - - 9,821,796 Improvements other than buildings 8,232,977 - 1,096,124 - - 9,329,101 Infrastructure 37,409,582 (25,600,293) 1,090,108 - 15,036 12,914,433 Machinery, furniture and equipment 3,536,711 - 615,372 358,941 - 3,793,142 Fleet 3,834,856 - 591,030 503,417 - 3,922,469 Total accumulated depreciation 61,809,610 (25,600,293) 4,418,946 862,358 15,036 39,780,941 Total capital assets being depreciated - net 88,603,129 (26,011,544) 11,139,883 133,049 132,379 73,730,798 Governmental activities capital assets - net $118,565,436 $0 $18,317,913 $20,429,237 $132,379 $116,586,491 68 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 77 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 Modified Beginning Approach Ending Primary Government Balance Adjustments Increases Decreases Transfers Balance Business-type activities: Capital assets, not being depreciated: Land $174,844 $ - $ - $ - $ - $174,844 Construction in progress 295,062 - 1,332,247 1,523,769 - 103,540 Total capital assets, not being depreciated 469,906 0 1,332,247 1,523,769 0 278,384 Capital assets, being depreciated: Buildings and structures 4,767,723 - - - - 4,767,723 Improvements other than buildings 6,912,433 - 181,212 - - 7,093,645 Infrastructure 48,292,418 - 724,092 - (147,415) 48,869,095 Machinery, furniture and equipment 4,676,751 - 627,645 - - 5,304,396 Total capital assets, being depreciated 64,649,325 0 1,532,949 0 (147,415) 66,034,859 Less accumulated depreciation for: Buildings and structures 3,322,511 - 128,130 - - 3,450,641 Improvements other than buildings 1,810,400 - 284,667 - - 2,095,067 Infrastructure 20,558,965 - 656,881 - (15,036) 21,200,810 Machinery, furniture and equipment 6,752,125 - 285,615 - - 7,037,740 Total accumulated depreciation 32,444,001 0 1,355,293 0 (15,036) 33,784,258 Total capital assets being depreciated - net 32,205,324 0 177,656 0 (132,379) 32,250,601 Business-type activities capital assets - net $32,675,230 $0 $1,509,903 $1,523,769 ($132,379) $32,528,985 Depreciation expense was charged to functions/programs of the primary government as follows: Governmental activities: General government $119,669 Public safety 358,867 Public works 1,034,431 Public information 43,120 Culture and recreation 1,437,405 Economic development 130,009 Internal service 1,295,445 Total depreciation expense - governmental activities $4,418,946 Business-type activities: Water $672,524 Sewer 115,864 Storm water 566,905 Total depreciation expense - business-type activities $1,355,293 69 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 78 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 Note 5 CITY INDEBTEDNESS The City issues general obligation bonds, to provide funds for the acquisition and construction of major capital facilities. The reporting entity’s long-term debt is segregated between the amounts to be repaid from governmental activities and amounts to be repaid from business-type activities. General obligation bonds are direct obligations and pledge the full faith and credit of the City. As of December 31, 2012, long-term debt of the City consisted of the following: Final Authorized Issue Maturity Interest And Outstanding Date Date Rates Issued 12/31/12 Governmental Activities: General Long-Term Debt: General Improvement Bonds: G.O. Improvement Bonds Series 2005A 5/25/2005 2/1/2016 3.50-3.75% $3,705,000 $1,730,000 G.O. Improvement Bonds Series 2010A 5/7/2010 2/1/2031 1.25-5.7% 3,105,000 2,995,000 G.O. Improvement Refunding Bonds Series 2010B 5/7/2010 2/1/2025 2.0-3.5% 1,845,000 945,000 G.O. Improvement Refunding Bonds Series 2010C 12/29/2010 2/1/1940 3.0-5.65% 1,770,000 1,745,000 G.O. Improvement Bonds Series 2010D (BABS)12/29/2010 2/1/2032 1.25-5.15% 13,025,000 13,025,000 G.O. Improvement Bonds Series 2012A HIA 10/17/2012 2/1/1933 0.75 - 3.90% 1,290,000 1,290,000 Total General Improvement Bonds 24,740,000 21,730,000 Tax Increment Bonds: Tax Increment Refunding Bonds Series 2004A 4/7/2004 2/1/2018 2.50-3.70% 7,490,000 1,415,000 Tax Increment Refunding Bonds Series 2008B 12/11/2008 2/1/2024 3.25-4.63% 5,490,000 5,185,000 Total Tax Increment Bonds 12,980,000 6,600,000 Compensated absences payable N/A N/A N/A N/A 3,583,709 Total governmental activities 37,720,000 31,913,709 Business-Type Activities: General Obligation Revenue Bonds: Utility Revenue Bonds Series 2007A 6/5/2007 8/1/2023 4.00% 3,665,000 2,785,000 Utility Revenue Bonds Series 2008A 12/11/2008 8/1/2020 3.25-4.25% 4,075,000 3,390,000 Utility Refunding Revenue Bonds Series 2010B 5/7/2010 2/1/2025 2.0-3.5% 4,090,000 3,425,000 Total General Obligation Revenue Bonds 11,830,000 9,600,000 Compensated absences payable N/A N/A N/A N/A 174,232 Total business-type activities 11,830,000 9,774,232 Total City $49,550,000 $41,687,941 70 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 79 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 GOVERNMENTAL ACTIVITIES Annual debt service requirements to maturity for the governmental activities long-term debt are as follows: Year Ending December 31 Principal Interest Principal Interest 2013 $1,545,000 $834,843 $315,000 $260,696 2014 1,630,000 799,888 340,000 249,628 2015 1,180,000 765,121 355,000 237,465 2016 1,215,000 730,514 370,000 224,315 2017 765,000 701,310 1,085,000 197,058 2018 785,000 677,851 1,140,000 155,025 2019 800,000 651,553 435,000 124,613 2020 825,000 622,048 460,000 105,563 2021 855,000 589,824 485,000 84,300 2022 875,000 555,618 510,000 61,913 2023 900,000 519,249 535,000 38,400 2024 935,000 478,508 570,000 13,181 2025 965,000 433,576 - - 2026 1,000,000 386,775 - - 2027 1,045,000 337,674 - - 2028 1,075,000 286,381 - - 2029 1,120,000 232,890 - - 2030 1,165,000 176,783 - - 2031 1,210,000 118,351 - - 2032 1,015,000 64,605 - - 2033 160,000 38,633 - - 2034 80,000 34,505 - - 2035 85,000 30,070 - - 2036 90,000 25,323 - - 2037 95,000 20,258 - - 2038 100,000 14,870 - - 2039 105,000 9,155 - - 2040 110,000 3,108 - - Total $21,730,000 $10,139,284 $6,600,000 $1,752,157 G.O. Tax Increment Bonds Governmental ActivitiesGovernmental Activities G.O. Improvement Bonds It is not practicable to determine the specific year for payment of long-term accrued compensated absences. 71 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 80 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 BUSINESS-TYPE ACTIVITIES Annual debt service requirements to maturity for the business-type long-term debt are as follows: Year Ending December 31 Principal Interest 2013 $985,000 $324,393 2014 1,015,000 295,980 2015 1,045,000 265,580 2016 1,080,000 233,761 2017 840,000 201,968 2018 875,000 170,855 2019 910,000 138,193 2020 950,000 103,155 2021 470,000 65,705 2022 490,000 48,486 2023 515,000 30,186 2024 210,000 10,990 2025 215,000 3,763 Total $9,600,000 $1,893,015 G.O. Revenue Bonds Governmental Activities It is not practicable to determine the specific year for payment of long-term accrued compensated absences. 72 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 81 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 CHANGE IN LONG-TERM LIABILITIES Long-term liability activity for the year ended December 31, 2012 was as follows: Beginning Ending Due Within Balance Additions Reductions Balance One Year Governmental activities: Bonds payable: G.O. improvement bonds $21,420,000 $1,290,000 $980,000 $21,730,000 $1,545,000 G.O. tax increment bonds 6,905,000 - 305,000 6,600,000 315,000 Add: Premiums on bonds 10,489 - 2,405 8,084 - Discounts on bonds (171,818) (16,125) (15,650) (172,293) - Total bonds payable 28,163,671 1,273,875 1,271,755 28,165,791 1,860,000 Compensated absences 3,544,018 2,187,915 2,148,224 3,583,709 2,508,596 Total government activity long-term debt $31,707,689 $3,461,790 $3,419,979 $31,749,500 $4,368,596 Business-type activities: Bonds payable: G.O. revenue bonds $10,555,000 $ - $955,000 $9,600,000 $985,000 Add: Premiums on bonds 25,299 - 2,400 22,899 - Total bonds payable 10,580,299 0 957,400 9,622,899 985,000 Compensated absences 159,245 121,135 106,148 174,232 121,962 Total business-type activity long-term debt $10,739,544 $121,135 $1,063,548 $9,797,131 $1,106,962 For governmental activities, compensated absences are paid out of the Employee Administrative internal service fund. 73 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 82 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 REVENUE PLEDGED Future revenue pledged for the payment of long-term debt is as follows: Percent of Debt service Remaining Principal Pledged Use of total as a % of Term of Principal and Interest Revenue Bond Issue Proceeds Type debt service net revenues Pledge and Interest paid received 2012A Taxable GO Housing Imp. Area Housing Improvement Area Fee 100% N/A 2012-2033 1,770,708 - - 2004 Tax Increment Refunding Recreation Building TIF 100% N/A 2005-2018 1,674,318 51,665 - 2008B GO Tax Increment Street Improvements TIF 100% 100% 2009-2024 6,677,838 524,106 524,106 2007A GO Utility Revenue Utility Infrastructure Projects Utility charges 100% 100% 2008-2023 3,498,400 314,200 314,200 2008A GO Utility Revenue Utility Infrastructure Projects Utility charges 100% 100% 2009-2020 4,027,750 491,150 491,150 2010A Taxable GO Housing Imp. Area Housing Improvement Area Fee 100% 98% 2011-2031 4,654,594 248,540 252,605 2010B GO Utility Infrastructure Projects Utility charges/Special Assessments 100% 100% 2011-2025 4,930,914 974,868 974,868 2010C GO Refunding - Louisiana Crt Louisiana Court Project Operating revenues of La Crt 100% 100% 2011-2040 3,271,483 109,630 109,630 Revenue Pledged Current Year Note 6 DEFINED BENEFIT PENSION PLANS - STATEWIDE A. PUBLIC EMPLOYEES RETIREMENT ASSOCIATION (PERA) PLAN DESCRIPTION All full-time and certain part-time employees of the City are covered by defined benefit plans administered by the Public Employees Retirement Association of Minnesota (PERA). PERA administers the General Employees Retirement Fund (GERF) and the Public Employees Police and Fire Fund (PEPFF) which are cost-sharing, multiple-employer retirement plans. These plans are established and administered in accordance with Minnesota Statute, Chapters 353 and 356. GERF members belong to either the Coordinated Plan or the Basic Plan. Coordinated Plan members are covered by Social Security and Basic Plan members are not. All new members must participate in the Coordinated Plan. All police officers, firefighters and peace officers who qualify for membership by statute are covered by the PEPFF. PERA provides retirement benefits as well as disability benefits to members, and benefits to survivors upon death of eligible members. Benefits are established by State Statute, and vest after three years of credited service. The defined retirement benefits are based on a member’s highest average salary for any five successive years of allowable service, age, and years of credit at termination of service. 74 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 83 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 The benefit provisions stated in the previous paragraphs of this section are current provisions and apply to active plan participants. Vested, terminated employees who are entitled to benefits but are not receiving them yet, are bound by the provisions in effect at the time they last terminated their public service. PERA issues a publicly available financial report that includes financial statements and required supplementary information for GERF and PEPFF. That report may be obtained on the internet at www.mnpera.org, by writing to PERA, 60 Empire Drive #200, St. Paul, Minnesota, 55103-2088 or by calling (651)296-7460 or 1-800-652-9026. FUNDING POLICY Minnesota Statutes Chapter 353 sets the rates for employer and employee contributions. These statutes are established and amended by the state legislature. The City makes annual contributions to the pension plans equal to the amount required by state statutes. GERF Basic Plan members and Coordinated Plan members were required to contribute 9.10% and 6.25%, respectively, of their annual covered salary in 2012. PEPFF members were required to contribute 9.6% of their annual covered salary in 2012. The City was required to contribute the following percentages of annual covered payroll in 2012: 11.78% for Basic Plan GERF members, 7.25% for Coordinated Plan GERF members, and 14.4% for PEPFF members. The City’s contributions to the General Employees Retirement Fund for the years ending December 31, 2012, 2011 and 2010 were $885,317, $857,443 and $814,291, respectively. The City’s contributions to the Public Employees Police and Fire Fund for the years ending December 31, 2012, 2011 and 2010 were $888,599, $863,791 and $839,083, respectively. The City’s contributions were equal to the contractually required contributions for each year as set by state statute. Note 7 OTHER POST-EMPLOYMENT BENEFITS In 2008, the City prospectively implemented the requirement of a new accounting pronouncement, GASB Statement No. 45, Accounting and Financial Reporting by Employers for Postemployment Benefits Other than Pensions. A. PLAN DESCRIPTION In addition to providing the pension benefits described in Note 6, the City provides post- employment health care benefits (as defined in paragraph B) for retired employees through a single-employer defined benefit plan. The City’s OPEB plan is administered by the City. The authority to provide these benefits is established in Minnesota Statutes Sections 471.61 Subd. 2a, and 299A.465. The benefits, benefit levels, employee contributions and employer contributions are governed by the City and can be amended by the City through its personnel manual and collective bargaining agreements with employee groups. The Plan is not accounted for as a trust fund, as an irrevocable trust has not been established to account for the Plan. The Plan does not issue a separate report. 75 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 84 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 B. BENEFITS PROVIDED Retirees The City is required by State Statute to allow retirees to continue participation in the City’s group health insurance plan if the individual terminates service with the City through service retirement or disability retirement. Police officers, firefighters, sergeants, and dispatchers age 50 and over with 3 years of service, or age 65 with 1 year of service may continue medical and dental coverage at their own expense. Non-union and 49ers union employees age 55 with 3 years of service, age 65 with 1 year of service, any age with 30 years of service, or those whose age plus service is at least 90 may continue medical and dental coverage at their own expense. Employees may obtain dependent coverage at retirement only if the employee was receiving dependent coverage immediately prior to retirement. The surviving spouse of an active employee may continue coverage in the group health insurance plan after the employee’s death. All health care coverage is provided through the City’s group health insurance plans. The retiree is required to pay 100% of their premium cost for the City-sponsored group health insurance plan in which they participate. The premium is a blended rate determined on the entire active and retiree population. Since the projected claims costs for retirees exceed the blended premium paid by retirees, the retirees are receiving an implicit rate subsidy (benefit). The coverage levels are the same as those afforded to active employees. Upon a retiree reaching age 65 years of age, Medicare becomes the primary insurer and the City’s plan becomes secondary. C. PARTICIPANTS As of the actuarial valuation dated January 1, 2011, participants consisted of: Retirees and beneficiaries currently purchasing health insurance through the City 28 Active employees 249 Total 277 Participating employers 1 D. FUNDING POLICY The additional cost of using a blended rate for actives and retirees is currently funded on a pay-as- you-go basis. Contribution requirements are negotiated between the City and union representatives and established by Council for nonunion groups. 76 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 85 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 E. ANNUAL OPEB COSTS AND NET OPEB OBLIGATION The City’s annual other post employment benefit (OPEB) cost is calculated based on the annual required contribution (ARC) of the employer, an amount actuarially determined in accordance with the parameters of GASB Statement No. 45. The ARC represents a level of funding that, if paid on an ongoing basis, is projected to cover normal cost each year and amortize any unfunded actuarial liabilities (or funding excess) over a period not to exceed 30 years. The net OPEB obligation as of December 31, 2012, was calculated as follows: Annual required contribution (ARC)$401,517 Interest on net OPEB obligation 53,286 Adjustment to ARC (77,038) Annual OPEB cost 377,765 Contributions made during the year (105,185) Increase (decrease) in net OPEB obligation 272,580 Net OPEB obligation - beginning of year 1,332,139 Net OPEB obligation - end of year $1,604,719 For governmental activities, the net OPEB obligation has been and is anticipated to be liquidated by the Employee Administrative internal service fund. The City’s annual OPEB cost, the percentage of annual OPEB cost contributed to the plan and the net OPEB obligation for the previous three years was as follows: Percentage of Fiscal Year Annual OPEB Employer Annual OPEB Cost Net OPEB Ended Cost Contributions Contributed Obligation December 31, 2010 $455,835 $113,780 25.0% $1,049,961 December 31, 2011 366,477 84,299 23.0% 1,332,139 December 31, 2012 377,765 105,185 27.8%1,604,719 77 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 86 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 F. FUNDED STATUS AND FUNDING PROGRESS The City currently has no assets that have been irrevocably deposited in a trust for future health benefits, therefore, the actuarial value of assets is zero. The funded status of the plan was as follows: Unfunded Actuarial Actuarial UAAL as a Actuarial Actuarial Accrued Accrued Funded Covered Percentage of Valuation Value of Assets Liability (AAL)* Liability (UAAL) Ratio Payroll Covered Payroll Date (a)(b)(b-a)(a/b)(c) ( (b-a) / c) January 1, 2011 $0 $3,081,141 $3,081,141 0.0%$16,962,171 18.2% *Using the Projected Unit Credit cost method. G. ACTUARIAL METHODS AND ASSUMPTIONS Actuarial valuations of an ongoing plan involve estimates of the value of reported amounts and assumptions about the probability of occurrence of events far into the future. Examples include assumptions about future employment, mortality and the health care cost trend. Amounts determined regarding the funded status of the plan and the annual required contributions (ARC) of the employer are subject to continual revision as actual results are compared with past expectations and new estimates are made about the future. The schedule of funding progress, presented as required supplementary information following the notes to financial statements, presents multi-year trend information that shows whether the actuarial value of plan assets is increasing or decreasing over time relative to the actuarial accrued liabilities for benefits. Projections of benefits for financial reporting purposes are based on the substantive plan (the plan as understood by the employer and plan members) and include the types of benefits provided at the time of each valuation and the historical pattern of sharing of benefit costs between the employer and plan members to that point. The actuarial methods and assumptions used include techniques that are designed to reduce the effect of short-term volatility in actuarial accrued liabilities and the actuarial value of assets, consistent with the long-term perspective of the calculations. In the January 1, 2011 actuarial valuation, the Projected Unit Credit cost method was used. The actuarial assumptions included a 4.0% investment rate of return (net of administrative expenses) and an initial annual health care cost trend rate of 10% reduced by 1% each year to arrive at an ultimate health care cost trend rate of 5.0%, which includes a 3% inflation assumption. The actuarial value of assets was $0. The plan’s unfunded actuarial accrued liability is being amortized using the level dollar over 30 years on an open basis. The remaining amortization period at December 31, 2012 was 25 years. 78 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 87 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 Note 8 INTERFUND RECEIVABLES, PAYABLES AND TRANSFERS The City has established interfund loans to finance infrastructure improvements, project reimbursements, housing rehabilitation loans and to provide initial financing for TIF districts. A summary at December 31, 2012 is as follows: Interfund Interfund Loan Loan Receivable Payable Major Funds: Housing Rehabilitation $ - $4,304,324 Development EDA 8,510,981 - Redevelopment District - 4,206,657 Total $8,510,981 $8,510,981 The City provides temporary advances to funds that have insufficient cash balances by means of an advance from another fund shown as due from other funds in the advancing fund, and a due to other fund in the fund with the deficit, until adequate resources are received. Amounts reported as due to/from other funds at December 31, 2012 are as follows: Due From Due To Other Funds Other Funds Major Funds: Housing Rehabilitation $39,788 $ - Debt service - 39,788 PIR 975,108 - Street Capital Projects - 943,006 Other: CDBG - 32,102 Total $1,014,896 $1,014,896 79 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 88 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 Interfund transfers at December 31, 2012 are as follows: Transfers Transfers Notes #'s In Out Notes #'s General Fund (3) (2) (5) $2,066,136 $1,160,000 (1) Parks and Recreation Fund (5) (1) 250,752 - Housing Rehabilitation Fund - 859,790 (3) (9) (4) Debt Service Fund (4) (6) 1,323,754 163 (6) Fire Station Bond Fund (1)361,836 - PIR Fund - 327,262 (5) (1) Streets Capital Projects Fund (2) 1,188,357 - EDA Fund (8)204,520 85,135 (2) (4) Redevelopment Districts Fund (9)500,000 2,442,352 (2) (3) (4) (7) (8) Nonmajor Governmental Fund (2)500,000 705,342 (3) (2) Water Fund (1) 1,200,000 504,153 (3) (7) Sewer Fund - 1,889,782 (1) (3) (7) Solid Waste Fund - 196,010 (3) (7) Storm Water Fund - 270,090 (3) (7) Internal Service Fund (1) (7) 844,724 - $8,440,079 $8,440,079 (1) To achieve fund balance policy and long term sustainability. (2) To provide funding for capital improvement projects. (3) For administrative and overhead costs of the General Fund. (4) To provide funding for debt service payments. (5) Transfer for special assessments. (6) To transfer Louisiana Court interest on reserve to debt service. (7) For funding technology replacement. (8) To reiburse development fund for TIF eligible expenses. (9) To provide funding for cash flow purposes. Interfund transfers allow the City to allocate financial resources to the funds that receive benefit from services provided by another fund or to establish or close funds. All of the City’s interfund transfers fall under these categories and are considered routine and consistent with previous practices. 80 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 89 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 Note 9 FUND BALANCE/NET POSITION A. CLASSIFICATIONS At December 31, 2012, a summary of the governmental fund balance classifications are as follows: Major Funds: General Fund: Nonspendable - prepaid items $56,731 Nonspendable - inventory 13,719 Restricted for E-911 purposes 458,448 Assigned for Inspections 550,000 Assigned for DWI enforcement 140,242 Parks and Recreation: Nonspendable - prepaid items 13,000 Nonspendable - inventory 413,736 Assigned for recreation programs 654,761 Housing Rehabilitation: Nonspendable - long-term loans receivable 2,853,048 Debt Service Funds: Restricted for debt service 2,379,348 Permanent Improvement Revolving: Assigned for capital improvements 3,981,303 Development EDA: Nonspendable - interfund loan receivable 8,510,981 Nonspendable - long-term loans receivable 1,853,405 Assigned for redevelopment efforts 14,649,105 Redevelopment District: Restricted for tax increment purposes 4,934,833 Restricted for housing redevelopment 4,777,369 Other Governmental Funds: Nonspendable - long-term loans receivable 415,409 Restricted for cable tv equipment purchases 653,205 Restricted for police and fire purchases 4,451,662 Committed for cable tv programming 459,160 Assigned for cable tv programming 418,641 Assigned for special service districts 329,243 Assigned for development of parks 3,692,176 Assigned for street rehabilitation 1,857,864 All Governmental Funds: Unassigned 3,190,659 Total fund balance $61,708,048 81 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 90 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 At December 31, 2012, the City reported $19,138,128 of restricted net position on the Statement of Net Position as follows: Restricted for: Tax increment $4,934,833 E-911 purposes 458,448 Debt service 3,862,611 Cable TV equipment 653,205 Police and fire purpsoes 4,451,662 Housing and redevelopment 4,777,369 Total $19,138,128 B. MINIMUM FUND BALANCE POLICY The City Council has formally adopted a fund balance policy for the General Fund and the Parks and Recreation Fund. The policy establishes a year end target of unassigned fund balance amount for cash flow timing needs in the range of 35-50% of the subsequent years budget expenditures. At December 31, 2012, the unassigned fund balance for the General Fund was 46% of the subsequent year’s budgeted expenditures. For the Parks and Recreation Fund, the policy establishes a year end target assigned fund balance in the range of 10-25% of the subsequent year’s budgeted expenditures. At December 31, 2012, the assigned fund balance was approximately 10% of the subsequent year’s budgeted expenditures. 82 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 91 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 Note 10 DEFICIT FUND BALANCE/NET POSITION At December 31, 2012, individual funds with deficit fund balance/net position are as follows: Amount Future Financing Source Fire Station Bonds $524,556 Future transfers Capital Project Funds: Street Capital Projects 1,333,081 Future transfers and MSA Redevelopment District: Ellipse TIF District 83,976 Future tax increment Edgewood TIF District 652 Future tax increment Elmwood Village 3,142,080 Future tax increment Hard Coat TIF District 29,149 Future tax increment Internal Service Funds: Employee Administrative 3,880,485 Future transfers Total $8,469,423 Note 11 COMMITMENTS AND CONTINGENCIES A. RISK MANAGEMENT The City is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets; errors and omissions; injuries to employees; and natural disasters. The City continues to carry commercial insurance for risks of loss, including workers compensation, property and general liability and employee health and accident insurance. There were no significant reductions in insurance from the previous year or settlements in excess of insurance coverage for any of the past three fiscal years. PROPERTY AND CASUALTY INSURANCE Property and casualty insurance coverage is provided through the League of Minnesota Cities Insurance Trust (LMCIT), a public entity risk pool currently operating as a common risk management and insurance program for Minnesota cities: general liability, excess liability property, automobile, marine, crime, employee dishonesty, boiler, general liability and open meeting law. The City pays an annual premium to the LMCIT for its insurance coverage. The LMCIT is self- sustaining through member premiums and reinsures through commercial companies for claims in excess of various amounts. The City retains risk for the deductible portions of the insurance policies. The deductible amounts are $50,000 for each occurrence and a $150,000 annual aggregate. Current State Statute (Minnesota Statute subd. 466.04) provides limits of liability for the City. These limits are that the combination of defense expense and indemnification expense shall not exceed $500,000 in the case of one claimant or $1,500,000 for any number of claims arising out of a single occurrence. 83 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 92 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 WORKERS COMPENSATION INSURANCE Up until December 1, 2003, the City was self-insured on workers compensation coverage up to maximum claim losses of $280,000. Individual claim amounts in excess of $280,000 are covered by the State of Minnesota’s Workers Compensation Reinsurance Association (WCRA) as required by law. The City carried an excess employer’s liability indemnity policy as well as an employer’s liability policy which limited the City’s exposure. The maximum retention for each accident was $626,861 under the excess liability policy and $750,000 under the employer’s liability policy. After December 1, 2003, the City is insured through the LMCIT for workers compensation. The City established the Uninsured Loss Fund to account for and finance its uninsured risk of loss related to injuries to employees. Under this program, the Uninsured Loss Fund provides coverage for maximum individual claims losses of $280,000 or $626,861 per accident. Premiums are paid into the Internal Service Fund by all other funds and are available to pay claims, claim reserves and administrative costs of the program. At December 31, 2012, the estimated liability for unpaid claims was immaterial and therefore, has not been recorded in the financial statements. B. LITIGATION The City attorney has indicated that existing and pending lawsuits, claims and other actions in which the City is a defendant are either covered by insurance; of an immaterial amount; or, in the judgment of the City attorney, remotely recoverable by plaintiffs. C. FEDERAL AND STATE FUNDS The City receives financial assistance from federal and state governmental agencies in the form of grants. The disbursement of funds received under these programs generally requires compliance with the terms and conditions specified in the grant agreements and is subject to audit by the grantor agencies. Any disallowed claims resulting from such audits could become a liability of the applicable fund. However, in the opinion of management, any such disallowed claims will not have a material effect on any of the financial statements of the individual fund types included herein or on the overall financial position of the City at December 31, 2012. D. TAX INCREMENT DISTRICTS The City’s tax increment districts are subject to review by the State of Minnesota Office of the State Auditor (OSA). Any disallowed claims or misuse of tax increments could become a liability of the applicable fund. Management has indicated that they are not aware of any instances of noncompliance which would have a material effect on the financial statements. The City has issued several tax increment pay-as-you-go revenue notes. These notes are not a general obligation of the City and are payable solely from tax increments. Accordingly, these notes are not reflected in the financial statements of the City. Details of the pay-as-you-go revenue notes are as follows: 84 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 93 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 Hoigaard Village - Tax Exempt Tax Increment Financing Revenue Bonds, Series 2010A – issued in 2010, with a principal sum of $3,495,000, and an interest rate ranging from 1.50% - 5.00% per annum. Semi-annual principal and interest payments shall be paid commencing February 1, 2011 and continuing through February 1, 2023. Payments are payable solely from available tax increment, and the City shall have no obligation to pay any unpaid balance that may remain after the final payment on February 1, 2023. At December 31, 2012 the principal amount outstanding on the bonds was $3,025,000. Hoigaard Village - Tax Increment Financing Revenue Note, Series 2010B – issued in 2010, with a principal sum of $935,000, and an interest rate ranging from 1.50 – 5.00% per annum. Semi- annual principal and interest payments shall be paid commencing February 1, 2011 and continuing through February 1, 2023. Payments are payable solely from available tax increment, and the City shall have no obligation to pay any unpaid balance that may remain after the final payment on February 1, 2023. At December 31, 2012 the principal amount outstanding on the note was $824,959. E. LOUISIANA COURT PROJECT The City of St. Louis Park has entered into an agreement with Project for Pride in Living Louisiana Court Limited Partnership to issue $4,505,000 in General Obligation Bonds – Series 2000A for the purpose of acquiring and renovating certain rental housing facilities within the City of St. Louis Park intended primarily for low and moderate income persons and their families. During 2010, the 2000A bonds were refunded by the $1,770,000 General Obligation Refunding Bonds, Series 2010C. The City of St. Louis Park will receive monthly principal and interest payments from Project for Pride in Living Louisiana Court Limited Partnership to cover all debt service obligations of the City of St. Louis Park on a semi-annual basis. In the event that the City of St. Louis Park does not receive payment from Project for Pride in Living, the City of St. Louis Park is still under obligation to make all debt service payments. At such time, the City of St. Louis Park would pursue collection of above referenced principal and interest payments per the agreement dated May 1, 2000. As of December 31, 2012, the outstanding amount on the bonds is $1,745,000. F. ECONOMIC DEVELOPMENT AUTHORITY The Economic Development Authority (EDA) entered into a development agreement in 1993 with Park Nicollet for the redevelopment of a former landfill site on Excelsior Boulevard and within the Excelsior Boulevard tax increment district. A Hazardous Substance Tax Increment financing subdistrict (HSTI) was also established at this time to pay the costs associated with the environmental remediation. The development agreement between the EDA and Park Nicollet established a payment schedule for the EDA to reimburse Park Nicollet from the HSTI tax increment for the costs of the remediation. Based upon an initial estimate of $11,050,000 in remediation costs over 30 years, the development agreement established a cap to the EDA’s share of these costs at $9,000,000. Park Nicollet is responsible for $2,050,000 and any costs exceeding the total estimate of $11,050,000. Reimbursements to Park Nicollet are limited to the increment revenue from the HSTI. 85 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 94 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 The costs associated with remediation are approximately $6,225,000. With Park Nicollet responsible for the first $1,250,000, the EDA’s liability is estimated to be $4,975,000. The development agreement stipulates EDA reimbursements to begin in 1998 and continue through 2022. G. CONSTRUCTION COMMITMENTS The City has active construction projects as of December 31, 2012. The projects include street construction in areas with newly developed housing, widening and construction of existing streets and bridges, and the construction of additional storm sewer and utility improvements. At year end the City’s commitments with contractors are as follows: Remaining Project Commitment Flood Area #25 (27th & Jersey)$47,814 Street Improvement for Excelsior Blvd 12,134 Hwy 7/Wooddale Interchange 303,434 Commercial Meter Replacement 95,198 SW Regional Trail at Beltline Blvd 12,537 Fern Hill Park Paving 10,400 Glenhurst Lift Station 14,211 2010 LED Countdown Pedestrian Indicators 16,287 Northside Park 11,570 Well Redevelopment (City Cont #121-11)25,403 Hwy 7 & Louisiana Interchange (Phase I/II)10,127 Hwy 7 & Louisiana Interchange (final design)77,425 Water distribution data collection 19,251 Assessment of storm water basins 11,536 Hwy 7/Louisiana Ave Construction 10,071 Public Art Sculpture - Wooddale Pointe 13,538 Hydrant flow testing 27,044 Traffic signal - Park Center Blvd 41,841 2012 Local Street Rehabilitation 88,317 Reilly 162,604 Lift Station #7 10,824 Lift Station #2 48,118 Fire Station #1 353,469 Fire Station #2 277,886 2011 Random Concrete Repair 26,051 2012 Random Concrete Repair 14,470 Total commitments $1,741,560 86 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 95 CITY OF ST. LOUIS PARK, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 2012 Note 12 CONDUIT DEBT OBLIGATIONS From time to time, the City has issued industrial, hospital or housing revenue bonds to provide financial assistance to private-sector entities for the acquisition and construction of industrial, commercial or housing facilities deemed to be in the public interest. The bonds are secured by the property financed and are payable solely from payments received on the underlying mortgage loans. Upon repayment of the bonds, ownership of the acquired facilities transfers to the private-sector entity served by the bond issuance. Neither the City, the State, nor any political subdivision thereof is obligated in any manner for repayment of the bonds. Accordingly, the bonds are not reported as liabilities in the accompanying financial statements. As of December 31, 2012, there were 12 revenue bonds issued. The aggregate principal amount payable as of December 31, 2012 is $457,415,300. Note 13 PRIOR PERIOD ADJUSTMENTS During 2012, the City recorded a prior period adjustment for $400,000 related to 2011 intergovernmental revenue recorded in the Park Improvement Fund. Both fund balance and net position increased as a result of this adjustment Note 14 RECENTLY ISSUED ACCOUNTING STANDARDS The Governmental Accounting Standards Boards (GASB) recently approved the following statements which were not implemented for these financial statements, but may affect the City in future years: Statement No. 61 The Financial Reporting Entity Omnibus – An Amendment of GASB No. 14 and No. 34. The provisions of this Statement are effective for financial statements for periods beginning after June 15, 2012. Statement No. 65 Items Previously Reported as Assets and Liabilities. The provisions of this Statement are effective for financial statements for periods beginning after December 15, 2012. Statement No. 66 Technical Corrections – 2012. The provisions of this Statement are effective for financial statements for periods beginning after December 15, 2012. Statement No. 67 Financial Reporting for Pension Plans – An Amendment of GASB Statement No. 25. The provisions of this Statement are effective for financial statements forfiscal periods beginning after June 15, 2013. Statement No. 68 Accounting and Financial Reporting for Pensions – An Amendment of GASB Statement No. 27. The provisions of this Statement are effective for fiscal periods beginning after June 15, 2014. Statement No. 69 Government Combinations and Disposals of Government Operations. The provisions of this Statement are effective for fiscal periods beginning after December 15, 2013. The effect these standards may have on future financial statements is not determinable at this time. 87 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 96 - This page intentionally left blank - 88 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 97 REQUIRED SUPPLEMENTARY INFORMATION 89 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 98 CITY OF ST. LOUIS PARK, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION Statement 9 BUDGETARY COMPARISON SCHEDULE - GENERAL FUND Page 1 of 4 For The Year Ended December 31, 2012 With Comparative Actual Amounts For The Year Ended December 31, 2011 Budgeted Amounts Original Final Revenues: Property taxes $15,998,292 $15,998,292 $16,038,098 $39,806 $15,372,077 Licenses and permits: Business regulatory licenses 633,570 633,570 758,527 124,957 667,876 Non-business licenses and permits 1,735,229 1,735,229 2,482,846 747,617 2,129,714 Total licenses and permits 2,368,799 2,368,799 3,241,373 872,574 2,797,590 Intergovernmental: Federal 31,500 31,500 29,198 (2,302) 22,963 State shared taxes: Highway user tax 450,000 450,000 521,527 71,527 556,134 Market value homestead credit - - 1,073 1,073 572 Insurance premium tax 545,000 545,000 522,593 (22,407) 526,223 State of Minnesota: Other 71,972 71,972 136,830 64,858 68,706 PERA 45,205 45,205 45,205 - 45,205 Police training reimbursement 20,000 20,000 16,604 (3,396) 18,936 School district - - 1,524 1,524 - Other local governments - - 724 724 4,756 Total intergovernmental 1,163,677 1,163,677 1,275,278 111,601 1,243,495 Charges for services: General government 712,458 712,458 705,707 (6,751) 726,751 Public safety 106,650 106,650 82,486 (24,164) 129,184 Public works - signals/lighting 466,246 466,246 311,970 (154,276) 236,685 Rent of City property 85,000 85,000 100,000 15,000 100,000 Total charges for services 1,370,354 1,370,354 1,200,163 (170,191) 1,192,620 Fines and forfeits: Municipal court 300,150 300,150 300,165 15 255,750 Liquor violations 8,000 8,000 26,000 18,000 - Property forfeits 5,000 5,000 15,166 10,166 24,812 Miscellaneous violations - - 25 25 485 Total fines and forfeits 313,150 313,150 341,356 28,206 281,047 Investment income 125,000 125,000 136,415 11,415 203,282 Miscellaneous 30,100 30,100 10,145 (19,955) 36,347 Total revenues 21,369,372 21,369,372 22,242,828 873,456 21,126,458 2012 Actual Amounts Variance with Final Budget - Positive (Negative) 2011 Actual Amounts 90 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 99 CITY OF ST. LOUIS PARK, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION Statement 9 BUDGETARY COMPARISON SCHEDULE - GENERAL FUND Page 2 of 4 For The Year Ended December 31, 2012 With Comparative Actual Amounts For The Year Ended December 31, 2011 Budgeted Amounts Expenditures: Original Final General government: Administration: Current: Personal services $468,641 $468,641 $450,411 $18,230 $454,531 Supplies 2,998 2,998 3,696 (698) 4,220 Other services and charges 452,200 452,200 434,574 17,626 366,414 Total administration 923,839 923,839 888,681 35,158 825,165 General services: Supplies - - 17,440 (17,440) 3,867 Other services and charges 180,000 180,000 67,833 112,167 24,490 Capital outlay - - - - 52,930 Total general services 180,000 180,000 85,273 94,727 81,287 Human resources: Current: Personal services 520,173 520,173 526,006 (5,833) 508,959 Supplies 2,000 2,000 1,404 596 2,660 Other services and charges 153,600 153,600 126,109 27,491 118,116 Total human resources 675,773 675,773 653,519 22,254 629,735 Communications, marketing and community outreach Current: Personal services 247,429 247,429 251,306 (3,877) 262,099 Materials and supplies 200 200 240 (40) 2,370 Other services and charges 106,535 106,535 78,740 27,795 76,390 Total communications, etc. 354,164 354,164 330,286 23,878 340,859 Technology and support services: Current: Personal services 561,646 561,646 530,863 30,783 521,680 Materials and supplies 29,000 29,000 37,401 (8,401) 45,710 Other services and charges 916,933 916,933 795,031 121,902 854,470 Total technology and support services 1,507,579 1,507,579 1,363,295 144,284 1,421,860 Accounting: Current: Personal services 457,199 457,199 459,969 (2,770) 465,467 Materials and supplies 3,000 3,000 3,120 (120) 2,928 Other services and charges 181,492 181,492 177,037 4,455 156,176 Total accounting 641,691 641,691 640,126 1,565 624,571 Assessing: Current: Personal services 506,395 506,395 508,538 (2,143) 495,979 Materials and supplies 1,200 1,200 504 696 1,673 Other services and charges 10,245 10,245 9,075 1,170 8,773 Total assessing 517,840 517,840 518,117 (277) 506,425 2012 Actual Amounts Variance with Final Budget - Positive (Negative) 2011 Actual Amounts 91 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 100 CITY OF ST. LOUIS PARK, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION Statement 9 BUDGETARY COMPARISON SCHEDULE - GENERAL FUND Page 3 of 4 For The Year Ended December 31, 2012 With Comparative Actual Amounts For The Year Ended December 31, 2011 Budgeted Amounts Expenditures: (continued) Original Final General government: (continued) Facilities maintenance: Current: Personal services $397,814 $397,814 $373,932 $23,882 $382,540 Materials and supplies 84,750 84,750 87,223 (2,473) 98,235 Other services and charges 600,564 600,564 511,328 89,236 475,111 Total facilities maintenance 1,083,128 1,083,128 972,483 110,645 955,886 Community development: Current: Personal services 1,059,526 1,059,526 1,040,665 18,861 1,030,830 Materials and supplies 1,700 1,700 498 1,202 381 Other services and charges 15,150 15,150 11,022 4,128 51,249 Total community development 1,076,376 1,076,376 1,052,185 24,191 1,082,460 Total general government 6,960,390 6,960,390 6,503,965 456,425 6,468,248 Public safety: Police: Current: Personal services 6,795,582 6,795,582 6,659,270 136,312 6,462,621 Materials and supplies 121,450 121,450 131,643 (10,193) 118,817 Other services and charges 356,691 356,691 314,387 42,304 361,943 Total police 7,273,723 7,273,723 7,105,300 168,423 6,943,381 Fire protection: Current: Personal services 2,930,650 2,930,650 2,868,280 62,370 2,783,186 Materials and supplies 74,560 74,560 76,577 (2,017) 70,388 Other services and charges 341,722 341,722 340,276 1,446 194,747 Capital outlay - - 6,518 (6,518) 13,641 Total fire protection 3,346,932 3,346,932 3,291,651 55,281 3,061,962 Inspection services: Current: Personal services 1,796,791 1,796,791 1,750,646 46,145 1,737,405 Materials and supplies 14,000 14,000 5,487 8,513 6,868 Other services and charges 78,549 78,549 113,487 (34,938) 73,917 Total inspection services 1,889,340 1,889,340 1,869,620 19,720 1,818,190 Total public safety 12,509,995 12,509,995 12,266,571 243,424 11,823,533 2012 Actual Amounts Variance with Final Budget - Positive (Negative) 2011 Actual Amounts 92 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 101 CITY OF ST. LOUIS PARK, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION Statement 9 BUDGETARY COMPARISON SCHEDULE - GENERAL FUND Page 4 of 4 For The Year Ended December 31, 2012 With Comparative Actual Amounts For The Year Ended December 31, 2011 Budgeted Amounts Expenditures: (continued) Original Final Public works: Administration: Current: Personal services $364,433 $364,433 $366,080 ($1,647) $792,480 Materials and supplies 5,000 5,000 6,885 (1,885) 5,152 Other services and charges 20,250 20,250 5,885 14,365 5,628 Total administration 389,683 389,683 378,850 10,833 803,260 Engineering: Current: Personal services 852,361 852,361 851,201 1,160 767,664 Materials and supplies 11,350 11,350 3,946 7,404 2,982 Other services and charges 63,726 63,726 84,269 (20,543) 45,635 Total engineering 927,437 927,437 939,416 (11,979) 816,281 Operations: Current: Personal services 1,315,987 1,315,987 1,293,372 22,615 1,244,224 Materials and supplies 476,000 476,000 472,003 3,997 481,121 Other services and charges 812,883 812,883 756,093 56,790 735,769 Total operations 2,604,870 2,604,870 2,521,468 83,402 2,461,114 Total public works 3,921,990 3,921,990 3,839,734 82,256 4,080,655 Total expenditures 23,392,375 23,392,375 22,610,270 782,105 22,372,436 Revenues over (under) expenditures (2,023,003) (2,023,003) (367,442) 1,655,561 (1,245,978) Other financing sources (uses): Transfers in 2,023,003 2,023,003 2,066,136 43,133 2,553,665 Transfers out - - (1,160,000) (1,160,000) (900,000) Total other financing sources (uses) 2,023,003 2,023,003 906,136 (1,116,867) 1,653,665 Net change in fund balance $0 $0 538,694 $538,694 407,687 Fund balance - January 1 11,438,222 11,030,535 Fund balance - December 31 $11,976,916 $11,438,222 2012 Actual Amounts Variance with Final Budget - Positive (Negative) 2011 Actual Amounts 93 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 102 CITY OF ST. LOUIS PARK, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION Statement 10 BUDGETARY COMPARISON SCHEDULE - PARKS AND RECREATION FUND For The Year Ended December 31, 2012 With Comparative Actual Amounts For The Year Ended December 31, 2011 Budgeted Amounts Original Final Revenues: Property taxes $4,171,506 $4,171,506 $4,171,506 $ - $4,000,561 Licenses and permits 6,600 6,600 440 (6,160) 110 Intergovernmental - other 68,702 68,702 86,726 18,024 208,535 Charges for services 1,074,350 1,074,350 1,080,590 6,240 1,086,054 Rental income 943,400 943,400 968,310 24,910 1,016,184 Investment income - - 5,534 5,534 3,994 Miscellaneous 33,250 33,250 26,165 (7,085) 21,948 Total revenues 6,297,808 6,297,808 6,339,271 41,463 6,337,386 Expenditures: Culture and recreation: Current: Personal services 3,608,947 3,608,947 3,602,920 6,027 3,523,757 Supplies 875,870 875,870 1,066,570 (190,700) 973,252 Other services and charges 1,842,991 1,842,991 1,858,295 (15,304) 1,842,658 Total expenditures 6,327,808 6,327,808 6,527,785 (199,977) 6,339,667 Revenues over (under) expenditures (30,000) (30,000) (188,514) (158,514) (2,281) Other financing sources: Transfers in 30,000 30,000 250,752 220,752 68,200 Net change in fund balance $0 $0 62,238 $62,238 65,919 Fund balance - January 1 1,019,259 953,340 Fund balance - December 31 $1,081,497 $1,019,259 2012 Actual Amounts Variance with Final Budget - Positive (Negative) 2011 Actual Amounts 94 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 103 CITY OF ST. LOUIS PARK, MINNESOTA REQUIRED SUPPLEMENTARY INFORMATION Statement 11 SCHEDULE OF FUNDING PROGRESS - POST EMPLOYMENT BENEFIT PLAN For The Year Ended December 31, 2012 Unfunded Actuarial Actuarial Actuarial UAAL as a Actuarial Value of Accrued Accrued Funded Covered Percentage of Valuation Assets Liability (AAL)* Liability (UAAL) Ratio Payroll Covered Payroll Date (a) (b) (b-a) (a/b) (c) ( (b-a) / c) January 1, 2009 $ - $3,260,061 $3,260,061 0.0% $16,906,064 19.3% January 1, 2011 $ - $3,081,141 $3,081,141 0.0% $16,962,171 18.2% *Using the projected unit credit actuarial pay cost method. 95 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 104 CITY OF ST. LOUIS PARK REQUIRED SUPPLEMENTARY INFORMATION BUDGETARY COMPARISON SCHEDULE NOTE TO RSI December 31, 2012 Note A LEGAL COMPLIANCE – BUDGETS The General Fund and Parks and Recreation Fund budgets are legally adopted on a basis consistent with accounting principles generally accepted in the United States of America. The legal level of budgetary control is at the department level for the major funds. During 2012, the Parks and Recreation Special Revenue Fund had expenditures of $6,527,785, which exceeded budgeted expenditures of $6,327,808 by $199,977. General Fund exceeded the final budget by $10,000 or more at the departmental level are as follows: Final Over Budget Actual Budget General Fund: Engineering $927,437 $939,416 $11,979 Note B MODIFIED APPROACH FOR CITY STREETS AND TRAILS INFRASTRUCTURE CAPITAL ASSETS In accordance with GASB Statement No. 34, the City is required to account for and report infrastructure capital assets. The City defines infrastructure as the basic physical assets including the street and trail system; water treatment and distribution system; wastewater collection system; park and recreation lands and improvement system; storm water conveyance system; and building combined with site amenities such as parking and landscape areas used by the City in the conduct of its business. Each major infrastructure can be divided into subsystems. For example, the street and trail system can be divided into pavement widths, curb type and sidewalk. City owned streets could further be classified as collector or local. Subsystem detail is not presented in these basic financial statements; however, the City maintains detailed information on these subsystems. The City elects to use the modified approach as defined in GASB Statement No. 34 for infrastructure reporting for its Pavement Management Program. Under GASB Statement No. 34, eligible infrastructure capital assets are not required to be depreciated under the following requirements: 1) The City manages the eligible infrastructure capital assets using an asset management system with characteristics of (1) an up to-date inventory; (2) perform condition assessments and summarize the results using a measurement scale; and (3) estimate annual amount to maintain and preserve at the established condition assessment level. 2) The City documents that the eligible infrastructure capital assets are being preserved approximately at or above the established and disclosed condition assessment level. The City’s policy relative to maintaining the street and trail assets is to achieve an average rating of “Good” for all segments. This acceptable rating allows minor cracking and patching of the pavement along with minor roughness that could be noticeable to the users of the system. 96 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 105 CITY OF ST. LOUIS PARK REQUIRED SUPPLEMENTARY INFORMATION BUDGETARY COMPARISON SCHEDULE NOTE TO RSI December 31, 2012 In the Fall of 2012, the City conducted a physical condition assessment of the streets. This assessment will be performed every two years. Each street segment was assigned a physical condition based on potential defects. An Overall Condition Index (OCI) was assigned to each street and expressed in a continuous scale from 0 to 100, where 0 is assigned to the least acceptable physical condition and 100 is assigned the physical characteristics of a new street. The following conditions were defined: Range Description 86 - 100 Excellent 71 - 85 Very good 56 - 70 Good 41 - 55 Fair 26 - 40 Poor 11 - 25 Very poor 0 - 10 Failed As of December 31, 2012, the City’s street and trail system was rated at an OCI index of 70 on the average with detail condition as follows: Condition % of Streets and Trails Excellent to Good 74.54% Fair 17.81% Poor to Substandard 7.65% The City’s streets are constantly deteriorating resulting from the following factors: (1) traffic using the system; (2) the sun’s ultra-violet rays drying out and breaking down the top layer of pavement; (3) utility company/private development trenching operations; (4) water damage from natural precipitation; and (5) frost heave. The City is continuously taking actions to prolong the life of the system through short-term maintenance activities such as pothole patching, crack sealing, seal coating and overlaying. The City expended $2,157,727 on street maintenance for the year ending December 31, 2012. These expenditures delayed deterioration; however, the overall condition of the system was not improved through these maintenance expenditures. The City has estimated that the amount of annual expenditures through 2022 required to maintain the City’s street system at the average OCI rating of “good” is approximately $1,900,000. Year Maintenance Estimate Actual Expenditures OCI Rating 2012 $2,101,698 $2,157,727 70% 97 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 106 - This page intentionally left blank - 98 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 107 COMBINING AND INDIVIDUAL FUND STATEMENTS AND SCHEDULES 99 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 108 NONMAJOR GOVERNMENTAL FUNDS 100 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 109 SPECIAL REVENUE FUNDS The Special Revenue Funds are used to account for the proceeds of specific revenue sources that are legally restricted to expenditures for specified purposes. CAPITAL PROJECT FUNDS The Capital Project Funds account for financial resources to be used for the acquisition or construction of major capital facilities (other than those financed by Proprietary Funds). 101 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 110 CITY OF ST. LOUIS PARK, MINNESOTA COMBINING BALANCE SHEET Statement 12 NONMAJOR GOVERNMENTAL FUNDS December 31, 2012 With Comparative Totals For December 31, 2011 Special Capital Revenue Project 2012 2011 Assets Cash and investments $1,739,373 $9,802,041 $11,541,414 $11,362,256 Accrued interest receivable 7,490 42,836 50,326 45,870 Due from other governments 651 - 651 56,471 Accounts receivable 157,517 335,483 493,000 487,161 Special assessments receivable: Delinquent 6,153 - 6,153 20,978 Deferred 178,021 2,637 180,658 197,697 Loans receivable - noncurrent 415,409 - 415,409 410,031 Total assets $2,504,614 $10,182,997 $12,687,611 $12,580,464 Liabilities and Fund Balance Liabilities: Accounts payable $29,120 $93,923 $123,043 $29,049 Salaries payable 14,954 - 14,954 14,062 Due to other governments 448 111 559 2,755 Contracts payable - 84,624 84,624 146,943 Due to other funds 32,102 - 32,102 60,057 Deferred revenue 194,539 2,637 197,176 213,232 Total liabilities 271,163 181,295 452,458 466,098 Fund balance: Nonspendable 415,409 - 415,409 410,031 Restricted 653,205 4,451,662 5,104,867 5,618,101 Committed 459,160 - 459,160 511,610 Assigned 747,884 5,550,040 6,297,924 5,598,295 Unassigned (42,207) - (42,207) (23,671) Total fund balance 2,233,451 10,001,702 12,235,153 12,114,366 Total liabilities and fund balance $2,504,614 $10,182,997 $12,687,611 $12,580,464 Nonmajor Totals Governmental Funds 102 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 111 CITY OF ST. LOUIS PARK, MINNESOTA COMBINING STATEMENT OF REVENUES, EXPENDITURES AND Statement 13 CHANGES IN FUND BALANCE NONMAJOR GOVERNMENTAL FUNDS For The Year Ended December 31, 2012 With Comparative Totals For The Year Ended December 31, 2011 Special Capital Revenue Project 2012 2011 Revenues: Taxes: Property $ - $1,125,000 $1,125,000 $1,934,000 Franchise 618,375 1,336,182 1,954,557 1,894,714 Intergovernmental: Other 103,566 96,572 200,138 138,740 Charges for services 36,543 10,363 46,906 240,753 Special assessments 221,081 1,473 222,554 200,812 Interest on investments 19,028 117,985 137,013 192,998 Miscellaneous 4,890 409,723 414,613 476,022 Total revenues 1,003,483 3,097,298 4,100,781 5,078,039 Expenditures: Current: Public safety - 9,765 9,765 14,043 Public works - 2,031,212 2,031,212 232,275 Public information 470,280 - 470,280 383,586 Culture and recreation - 532,325 532,325 206,387 Housing and maintenance 116,949 - 116,949 79,786 Social economic development 196,438 - 196,438 229,953 Capital outlay: Public safety - 46,909 46,909 - Public works - 127,284 127,284 1,088,217 Public information 6,690 - 6,690 - Culture and recreation - 636,800 636,800 1,548,322 Total expenditures 790,357 3,384,295 4,174,652 3,782,569 Revenues over (under) expenditures 213,126 (286,997)(73,871) 1,295,470 Other financing sources (uses): Transfers in - 500,000 500,000 437,010 Transfers out (209,506) (495,836) (705,342) (478,520) Total other financing sources (uses)(209,506)4,164 (205,342)(41,510) Net change in fund balance 3,620 (282,833) (279,213) 1,253,960 Fund balance - January 1, as previously stated 2,229,831 9,884,535 12,114,366 10,860,406 Prior period adjustment - 400,000 400,000 - Fund balance - January 1, as restated 2,229,831 10,284,535 12,514,366 10,860,406 Fund balance - December 31 $2,233,451 $10,001,702 $12,235,153 $12,114,366 Totals Nonmajor Governmental Funds 103 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 112 - This page intentionally left blank - 104 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 113 NONMAJOR SPECIAL REVENUE FUNDS Cable Television Fund – used to account for revenues received from franchise fees and expenditures related to regulation of the privately owned cable television company. Community Development Fund – used to account for funds received under Title I of the Housing and Community Development Act of 1974. Special Service District Funds – used to account for the operations of Special Service Districts. Revenues are received from each district’s property owners and are used to provide additional services, primarily snow removal, within each District. 105 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 114 CITY OF ST. LOUIS PARK, MINNESOTA COMBINING BALANCE SHEET Statement 14 NONMAJOR SPECIAL REVENUE FUNDS December 31, 2012 With Comparative Totals For December 31, 2011 2012 2011 Assets Cash and investments $1,383,846 $ - $355,527 $1,739,373 $1,694,257 Accrued interest receivable 6,253 - 1,237 7,490 6,917 Due from other governments - 651 - 651 56,471 Accounts receivable 157,517 - - 157,517 150,495 Special assessments receivable: Delinquent - - 6,153 6,153 20,812 Deferred - - 178,021 178,021 193,602 Loans receivable - noncurrent - 415,409 - 415,409 410,031 Total assets $1,547,616 $416,060 $540,938 $2,504,614 $2,532,585 Liabilities and Fund Balance Liabilities: Accounts payable $1,551 $ - $27,569 $29,120 $19,609 Salaries payable 14,954 - - 14,954 14,062 Due to other governments 105 - 343 448 55 Due to other funds - 32,102 - 32,102 60,057 Deferred revenue - 10,756 183,783 194,539 208,971 Total liabilities 16,610 42,858 211,695 271,163 302,754 Fund balance: Nonspendable - 415,409 - 415,409 410,031 Restricted 653,205 - - 653,205 668,349 Committed 459,160 - - 459,160 511,610 Assigned 418,641 - 329,243 747,884 663,512 Unassigned - (42,207) - (42,207) (23,671) Total fund balance 1,531,006 373,202 329,243 2,233,451 2,229,831 Total liabilities and fund balance $1,547,616 $416,060 $540,938 $2,504,614 $2,532,585 Totals Nonmajor Special Revenue Funds2600 Cable Television 2650 Community Development Special Service Districts 106 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 115 CITY OF ST. LOUIS PARK, MINNESOTA COMBINING STATEMENT OF REVENUES,Statement 15 EXPENDITURES AND CHANGES IN FUND BALANCE NONMAJOR SPECIAL REVENUE FUNDS For The Year Ended December 31, 2012 With Comparative Totals For The Year Ended December 31, 2011 2012 2011 Revenues: Franchise taxes $618,375 $ - $ - $618,375 $596,197 Intergovernmental - other - 103,566 - 103,566 94,038 Charges for services - - 36,543 36,543 215,446 Special assessments - - 221,081 221,081 200,812 Interest on investments 16,052 - 2,976 19,028 26,889 Miscellaneous 1,564 225 3,101 4,890 6,447 Total revenues 635,991 103,791 263,701 1,003,483 1,139,829 Expenditures: Current: Public information: Personal services 385,912 - - 385,912 360,283 Supplies 19,199 - - 19,199 13,194 Other services and charges 65,169 - - 65,169 10,109 Housing maintenance: Personal services - 20,883 - 20,883 5,721 Other services and charges - 96,066 - 96,066 74,065 Social and economic development: Supplies - - 33,200 33,200 20,607 Other services and charges - - 163,238 163,238 209,346 Capital outlay: Public information 6,690 - - 6,690 - Total expenditures 476,970 116,949 196,438 790,357 693,325 Revenues over (under) expenditures 159,021 (13,158) 67,263 213,126 446,504 Other financing sources (uses): Transfers out (209,506) - - (209,506) (194,520) Net change in fund balance (50,485) (13,158) 67,263 3,620 251,984 Fund balance - January 1 1,581,491 386,360 261,980 2,229,831 1,977,847 Fund balance - December 31 $1,531,006 $373,202 $329,243 $2,233,451 $2,229,831 Totals Nonmajor Special Revenue Funds2600 Cable Television 2650 Community Development Special Service Districts 107 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 116 - This page intentionally left blank - 108 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 117 NONMAJOR CAPITAL PROJECT FUNDS Park Improvement Fund – used to account for the financing of land acquisition and development for park purposes. Revenues are provided by St. Louis Park School District contribution, interest earnings, rent, sale of property and a property tax levey. Pavement Management Fund – used to account for the financing of street rehabilitation. Revenues are provided by a franchise fee and transfers from the Sanitary Sewer Utility and Water Utility Funds. Police and Fire Pensions Fund – used to account for the funds received by the Police and Fire department for pension refunds. These funds must be used for specific police and fire purposes. 109 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 118 CITY OF ST. LOUIS PARK, MINNESOTA COMBINING BALANCE SHEET Statement 16 NONMAJOR CAPITAL PROJECT FUNDS December 31, 2012 With Comparative Totals For December 31, 2011 4065 Park Improvement 4500 Pavement Management 2900 Police and Fire Pensions 2012 2011 Assets Cash and investments $3,723,183 $1,600,276 $4,478,582 $9,802,041 $9,667,999 Accrued interest receivable 14,267 7,172 21,397 42,836 38,953 Accounts receivable - 335,483 - 335,483 336,666 Special assessments - delinquent - - - - 166 Special assessments - deferred - 2,637 - 2,637 4,095 Total assets $3,737,450 $1,945,568 $4,499,979 $10,182,997 $10,047,879 Liabilities and Fund Balance Liabilities: Accounts payable $44,692 $914 $48,317 $93,923 $9,440 Due to other governments 111 - - 111 2,700 Contracts payable 471 84,153 - 84,624 146,943 Deferred revenue - 2,637 - 2,637 4,261 Total liabilities 45,274 87,704 48,317 181,295 163,344 Fund balance: Restricted - - 4,451,662 4,451,662 4,949,752 Assigned 3,692,176 1,857,864 - 5,550,040 4,934,783 Total fund balance 3,692,176 1,857,864 4,451,662 10,001,702 9,884,535 Total liabilities and fund balance $3,737,450 $1,945,568 $4,499,979 $10,182,997 $10,047,879 Totals Nonmajor Capital Project Funds 110 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 119 CITY OF ST. LOUIS PARK, MINNESOTA COMBINING STATEMENT OF REVENUES,Statement 17 EXPENDITURES AND CHANGES IN FUND BALANCE NONMAJOR CAPITAL PROJECT FUNDS For The Year Ended December 31, 2012 With Comparative Totals For The Year Ended December 31, 2011 4065 Park Improvement 4500 Pavement Management 2900 Police and Fire Pensions Revenues:2012 2011 Taxes: Property taxes $810,000 $315,000 $ - $1,125,000 $1,934,000 Franchise - 1,336,182 - 1,336,182 1,298,517 Intergovernmental: Other 96,572 - - 96,572 44,702 Charges for services 9,000 1,363 - 10,363 25,307 Special assessments - 1,473 - 1,473 - Investment income 38,391 25,174 54,420 117,985 166,109 Miscellaneous 409,721 2 - 409,723 469,575 Total revenues 1,363,684 1,679,194 54,420 3,097,298 3,938,210 Expenditures: Current: Public safety - - 9,765 9,765 14,043 Public works - 2,031,212 - 2,031,212 232,275 Culture and recreation 532,325 - - 532,325 206,387 Capital outlay: Public safety - - 46,909 46,909 - Public works - 127,284 - 127,284 1,088,217 Culture and recreation 636,800 - - 636,800 1,548,322 Total expenditures 1,169,125 2,158,496 56,674 3,384,295 3,089,244 Revenues over (under) expenditures 194,559 (479,302) (2,254) (286,997) 848,966 Other financing sources (uses): Transfers in 500,000 - - 500,000 437,010 Transfers out - - (495,836) (495,836) (284,000) Total other financing sources (uses) 500,000 0 (495,836) 4,164 153,010 Net change in fund balance 694,559 (479,302) (498,090) (282,833) 1,001,976 Fund balance - January 1, as previously state 2,597,617 2,337,166 4,949,752 9,884,535 8,882,559 Prior period adjustment 400,000 - - 400,000 - Fund balance - January 1, as restated 2,997,617 2,337,166 4,949,752 10,284,535 8,882,559 Fund balance - December 31 $3,692,176 $1,857,864 $4,451,662 $10,001,702 $9,884,535 Totals Nonmajor Capital Project Funds 111 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 120 - This page intentionally left blank - 112 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 121 MAJOR DEBT SERVICE FUNDS 3400 - 1999 General Obligation Bond 3450 - 2003 General Obligation Bond 3460 – 2010A General Obligation Bond 3465 – 2012A General Obligation HIA Bonds 3470 – 2010B General Obligation Bond 3480 – 2010D General Obligation Fire Station Bond 3600 - 2000 General Obligaiton Bond Reserve 3610 - 2000 General Obligation Bond 3615 – 2010C General Obligation Bond 3620 – 2010C General Obligation Bond Reserve Fund 3835 – 2009A General Obligation Tax Increment Refunding 3850 - 2004 General Obligation Tax Increment Refunding 3870 - 2005A General Obligation Bond 3875 – Hoigaard’s 2010 A & B TIF Notes 3890 - 2008B General Obligation Tax Increment Bond 113 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 122 CITY OF ST. LOUIS PARK, MINNESOTA COMBINING BALANCE SHEET MAJOR DEBT SERVICE FUNDS December 31, 2012 With Comparative Totals For December 31, 2011 3400 1999 General Obligation Bond 3450 2003 General Obligation Bond 3460 2010A General Obligation Bond 3465 2012A General Obligation HIA Bonds 3470 2010B General Obligation Bond Assets Cash and investments $58,581 $572,880 $86,760 $ - $43,936 Accrued interest receivable 265 2,590 - - - Due from other governments - - - - - Loans receivable - current - - - - - Loans receivable - noncurrent - - - - - Total assets $58,846 $575,470 $86,760 $0 $43,936 Liabilities and Fund Balance Liabilities: Accounts payable $ - $ - $ - $ - $ - Due to other funds - - - 39,788 - Deposits payable - - - - - Deferred revenue - - - - - Total liabilities 0 0 0 39,788 0 Fund balance: Restricted 58,846 575,470 86,760 - 43,936 Unassigned - - - (39,788) - Total fund balance 58,846 575,470 86,760 (39,788) 43,936 Total liabilities and fund balance $58,846 $575,470 $86,760 $0 $43,936 114 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 123 Statement 18 3480 2010D General Obligation Fire Station Bond 3600 2000 General Obligation Bond Reserve 3615 2010C General Obligation Bond 3620 2010C General Obligation Bond Reserve 3870 2005A General Obligation Bond 2012 2011 $749,312 $121,105 $84,928 $80,754 $614,756 $2,413,012 $1,717,602 2,010 - - - 2,043 6,908 5,201 95,842 - - - - 95,842 95,842 - - 35,000 - - 35,000 25,000 - - 1,710,000 - - 1,710,000 1,745,000 $847,164 $121,105 $1,829,928 $80,754 $616,799 $4,260,762 $3,588,645 $ - $ - $ - $ - $ - $ - $1,100 - - - - - 39,788 - - - - 80,652 - 80,652 36,660 15,974 - 1,745,000 - - 1,760,974 1,785,974 15,974 0 1,745,000 80,652 0 1,881,414 1,823,734 831,190 121,105 84,928 102 616,799 2,419,136 1,764,911 - - - - - (39,788) - 831,190 121,105 84,928 102 616,799 2,379,348 1,764,911 $847,164 $121,105 $1,829,928 $80,754 $616,799 $4,260,762 $3,588,645 Totals Debt Service Funds 115 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 124 - This page intentionally left blank - 116 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 125 CITY OF ST. LOUIS PARK, MINNESOTA COMBINING STATEMENT OF REVENUES,Statement 19 EXPENDITURES AND CHANGES IN FUND BALANCE Page 1 of 2 MAJOR DEBT SERVICE FUNDS For The Year Ended December 31, 2012 With Comparative Totals For The Year Ended December 31, 2011 3400 1999 General Obligation Bond 3450 2003 General Obligation Bond 3460 2010A General Obligation Bond 3465 2012A General Obligation HIA Bonds Revenues: Property taxes $ - $ - $ - $ - Intergovernmental - - - - Interest on investments 659 6,444 - - Miscellaneous - other - - - - Total revenues 659 6,444 0 0 Expenditures: Social economic development: Developer assistance - - - - Debt service: Principal - - 110,000 - Interest and other 21 204 138,540 - Fiscal agent fees - - 450 - Bond issuance costs - - - 39,788 Total expenditures 21 204 248,990 39,788 Revenues over (under) expenditures 638 6,240 (248,990) (39,788) Other financing sources (uses): Transfers in - - 252,605 - Transfers out - - - - Total other financing sources (uses)0 0 252,605 0 Net change in fund balance 638 6,240 3,615 (39,788) Fund balance - January 1 58,208 569,230 83,145 - Fund balance (deficit) - December 31 $58,846 $575,470 $86,760 ($39,788) 117 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 126 CITY OF ST. LOUIS PARK, MINNESOTA COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE MAJOR DEBT SERVICE FUNDS For The Year Ended December 31, 2012 With Comparative Totals For The Year Ended December 31, 2011 3470 2010B General Obligation Bond 3480 2010D General Obligation Fire Station Bond 3600 2000 General Obligation Bond Reserve 3615 2010C General Obligation Bond Revenues: Property taxes $508,095 $925,034 $ - $ - Intergovernmental - 191,684 - - Interest on investments - 2,383 163 76 Miscellaneous - other - - - 119,563 Total revenues 508,095 1,119,101 163 119,639 Expenditures: Social economic development: Developer assistance - - - - Debt service: Principal 450,000 - - 25,000 Interest and other 24,086 551,513 - 84,630 Fiscal agent fees 140 - - 450 Bond issuance costs - - - - Total expenditures 474,226 551,513 0 110,080 Revenues over (under) expenditures 33,869 567,588 163 9,559 Other financing sources (uses): Transfers in - - - 163 Transfers out - - (163) - Total other financing sources (uses)0 0 (163)163 Net change in fund balance 33,869 567,588 0 9,722 Fund balance - January 1 10,067 263,602 121,105 75,206 Fund balance (deficit) - December 31 $43,936 $831,190 $121,105 $84,928 118 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 127 Statement 19 Page 2 of 2 3620 2010C General Obligation Bond Reserve 3850 2004 General Obligation Tax Increment Refunding 3870 2005A General Obligation Bond 3875 Hoigaard's 2010 A & B TIF Notes 3890 2008B General Obligation Tax Increment Bond 2012 2011 $ - $ - $496,500 $ - $ - $1,929,629 $996,995 - - - - - 191,684 192,749 81 - 2,528 - - 12,334 21,484 - - - - - 119,563 154,881 81 0 499,028 0 0 2,253,210 1,366,109 - - - 494,871 - 494,871 382,119 - - 395,000 - 305,000 1,285,000 5,420,000 - 51,665 71,450 - 219,556 1,141,665 1,077,096 - - - - - 1,040 1,040 - - - - - 39,788 - 0 51,665 466,450 494,871 524,556 2,962,364 6,880,255 81 (51,665) 32,578 (494,871) (524,556) (709,154) (5,514,146) - 51,665 - 494,871 524,450 1,323,754 1,137,560 - - - - - (163)(154) 0 51,665 0 494,871 524,450 1,323,591 1,137,406 81 0 32,578 0 (106) 614,437 (4,376,740) 21 - 584,221 - 106 1,764,911 6,141,651 $102 $0 $616,799 $0 $0 $2,379,348 $1,764,911 Totals Debt Service Funds 119 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 128 - This page intentionally left blank - 120 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 129 MAJOR REDEVELOPMENT DISTRICT FUNDS 4780 – Duke West End TIF 4785 – Ellipse TIF DIstrict 4798 – HRA Levy 4855 – Trunk Highway 7 4865 – HSTI 4870 – Victoria Ponds 4875 – Park Center Housing 4880 – CSM TIF District 4900 – Mill City TIF District 4920 – Park Commons TIF District 4930 – Edgewood TIF District 4940 – Elmwood Village 4950 – Wolfe Lake TIF District 4965 – Aquila Commons 4980 – Highway 7 Business Center 4985 – Hard Coat TIF District 121 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 130 - This page intentionally left blank - 122 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 131 CITY OF ST. LOUIS PARK, MINNESOTA COMBINING BALANCE SHEET Statement 20 MAJOR REDEVELOPMENT DISTRICT FUNDS Page 1 of 2 December 31, 2012 With Comparative Totals For December 31, 2011 4780 Duke West End TIF 4785 Ellipse TIF District 4798 HRA Levy 4855 Trunk Highway 7 4865 HSTI Assets Cash and investments $494,770 $93,406 $4,756,983 $703,199 $1,177,460 Accrued interest receivable 2,649 124 22,550 3,333 3,482 Taxes receivable - unremitted - - 3,872 - - Taxes receivable - delinquent - - 6,578 - - Loans receivable - noncurrent - - - - - Total assets $497,419 $93,530 $4,789,983 $706,532 $1,180,942 Liabilities and Fund Balance Liabilities: Accounts payable $179 $177 $6,036 $178 $179 Due to other governments 1,548 730 - 3,621 2,174 Due to other funds - - - - - Interfund loan payable 438,853 176,599 - - - Deferred revenue - - 6,578 - - Total liabilities 440,580 177,506 12,614 3,799 2,353 Fund balance (deficit): Restricted 56,839 - 4,777,369 702,733 1,178,589 Unassigned - (83,976) - - - Total fund balance (deficit)56,839 (83,976) 4,777,369 702,733 1,178,589 Total liabilities and fund balance $497,419 $93,530 $4,789,983 $706,532 $1,180,942 123 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 132 CITY OF ST. LOUIS PARK, MINNESOTA COMBINING BALANCE SHEET MAJOR REDEVELOPMENT DISTRICT FUNDS December 31, 2012 With Comparative Totals For December 31, 2011 4870 Victoria Ponds 4875 Park Center Housing 4880 CSM TIF District 4900 Mill City TIF District 4920 Park Commons TIF District 4930 Edgewood TIF District Assets Cash and investments $445,671 $589,097 $438,543 $184,023 $502,190 $38 Accrued interest receivable 1,344 1,155 1,439 438 - - Taxes receivable - unremitted 1,973 - 1,948 - 11,716 - Taxes receivable - delinquent - - - - - - Loans receivable - noncurrent - 668,250 - - - - Total assets $448,988 $1,258,502 $441,930 $184,461 $513,906 $38 Liabilities and Fund Balance Liabilities: Accounts payable $177 $178 $178 $179 $178 $178 Due to other governments 1,394 601 1,245 819 5,062 512 Due to other funds - - - - - - Interfund loan payable - - - - - - Deferred revenue - 25,244 - - - - Total liabilities 1,571 26,023 1,423 998 5,240 690 Fund balance (deficit): Restricted 447,417 1,232,479 440,507 183,463 508,666 - Unassigned - - - - - (652) Total fund balance (deficit)447,417 1,232,479 440,507 183,463 508,666 (652) Total liabilities and fund balance $448,988 $1,258,502 $441,930 $184,461 $513,906 $38 124 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 133 Statement 20 Page 2 of 2 4940 Elmwood Village 4950 Wolfe Lake TIF District 4965 Aquila Commons 4980 Highway 7 Business Center 4985 Hard Coat TIF District 2012 2011 $418,969 $80,804 $90,471 $15,314 $ - $9,990,938 $9,082,110 3,101 185 175 - - 39,975 39,536 1,649 - - - - 21,158 42,473 - - - - - 6,578 14,550 - - - - - 668,250 655,628 $423,719 $80,989 $90,646 $15,314 $0 $10,726,899 $9,834,297 $177 $179 $178 $178 $ - $8,529 $80,057 3,566 622 994 658 - 23,546 29,602 - - - - - - 50,000 3,562,056 - - - 29,149 4,206,657 3,849,895 - - - - - 31,822 27,172 3,565,799 801 1,172 836 29,149 4,270,554 4,036,726 - 80,188 89,474 14,478 - 9,712,202 8,857,255 (3,142,080) - - - (29,149) (3,255,857) (3,059,684) (3,142,080) 80,188 89,474 14,478 (29,149) 6,456,345 5,797,571 $423,719 $80,989 $90,646 $15,314 $0 $10,726,899 $9,834,297 Totals Redevelopment District Funds 125 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 134 - This page intentionally left blank - 126 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 135 CITY OF ST. LOUIS PARK, MINNESOTA COMBINING STATEMENT OF REVENUES,Statement 21 EXPENDITURES AND CHANGES IN FUND BALANCE Page 1 of 2 MAJOR REDEVELOPMENT DISTRICT FUNDS For The Year Ended December 31, 2012 With Comparative Totals For The Year Ended December 31, 2011 4780 Duke West End TIF 4785 Ellipse TIF District 4798 HRA Levy 4855 Trunk Highway 7 4865 HSTI Revenues: Property taxes $ - $ - $971,420 $ - $ - Tax increments 777,616 199,315 - - 1,237,718 Intergovernmental - - 44 - - Interest on investments 6,263 89 52,252 8,454 1,958 Total revenues 783,879 199,404 1,023,716 8,454 1,239,676 Expenditures: Current: Social and economic development 430,612 109,015 49,873 22,784 773,313 Revenues over (under) expenditures 353,267 90,389 973,843 (14,330) 466,363 Other financing sources (uses): Transfers in - - - - - Transfers out (524,450) (176,599) (810,709) (51,665) - Total other financing sources (uses) (524,450) (176,599) (810,709) (51,665)0 Net change in fund balance (171,183) (86,210) 163,134 (65,995) 466,363 Fund balance - January 1 228,022 2,234 4,614,235 768,728 712,226 Fund balance (deficit) - December 31 $56,839 ($83,976) $4,777,369 $702,733 $1,178,589 127 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 136 CITY OF ST. LOUIS PARK, MINNESOTA COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE MAJOR REDEVELOPMENT DISTRICT FUNDS For The Year Ended December 31, 2012 With Comparative Totals For The Year Ended December 31, 2011 4870 Victoria Ponds 4875 Park Center Housing 4880 CSM TIF District 4900 Mill City TIF District 4920 Park Commons TIF District 4930 Edgewood TIF District Revenues: Property taxes $ - $ - $ - $ - $ - $ - Tax increments 471,400 108,249 373,768 263,585 1,644,665 43,789 Intergovernmental - - - - 100 - Interest on investments 2,069 224 2,866 570 - - Total revenues 473,469 108,473 376,634 264,155 1,644,765 43,789 Expenditures: Current: Social and economic development 679,285 1,833 330,241 244,450 1,625,967 65,262 Revenues over (under) expenditures (205,816) 106,640 46,393 19,705 18,798 (21,473) Other financing sources (uses): Transfers in - 500,000 - - - - Transfers out - - - - - - Total other financing sources (uses)0 500,000 0 0 0 0 Net change in fund balance (205,816) 606,640 46,393 19,705 18,798 (21,473) Fund balance - January 1 653,233 625,839 394,114 163,758 489,868 20,821 Fund balance (deficit) - December 31 $447,417 $1,232,479 $440,507 $183,463 $508,666 ($652) 128 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 137 Statement 21 Page 2 of 2 4940 Elmwood Village 4950 Wolfe Lake TIF District 4965 Aquila Commons 4980 Highway 7 Business Center 4985 Hard Coat TIF District 2012 2011 $ - $ - $ - $ - $ - $971,420 $989,016 902,424 120,753 156,178 146,929 - 6,446,389 7,222,976 - - - - - 144 197,776 6,774 215 130 - - 81,864 149,487 909,198 120,968 156,308 146,929 0 7,499,817 8,559,255 140,586 115,900 162,399 145,943 1,228 4,898,691 4,364,309 768,612 5,068 (6,091)986 (1,228) 2,601,126 4,194,946 - - - - - 500,000 - (851,008) - - - (27,921) (2,442,352) (3,326,722) (851,008)0 0 0 (27,921) (1,942,352) (3,326,722) (82,396)5,068 (6,091)986 (29,149) 658,774 868,224 (3,059,684) 75,120 95,565 13,492 - 5,797,571 4,929,347 ($3,142,080) $80,188 $89,474 $14,478 ($29,149) $6,456,345 $5,797,571 Totals Redevelopment District Funds 129 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 138 - This page intentionally left blank - 130 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 139 INTERNAL SERVICE FUNDS The City has three Internal Service Funds to account for the financing of goods or services provided by one department or agency to other departments or agencies of the City, or to other governments on a cost reimbursement basis. The City’s internal service funds account for employee flex spending, uninsured loss, equipment replacement and capital replacement. 131 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 140 CITY OF ST. LOUIS PARK, MINNESOTA COMBINING STATEMENT OF NET POSITION INTERNAL SERVICE FUNDS December 31, 2012 With Comparative Amounts For December 31, 2011 2012 2011 Assets: Current assets: Cash and investments $1,293,492 $1,405,389 Accrued interest receivable 8,257 6,257 Due from other governments - - Accounts receivable - 14,184 Prepaid items - 79,770 Deposits receivable 31,000 31,000 Total current assets 1,332,749 1,536,600 Noncurrent assets: Capital assets, at cost: Land - - Infrastructure - - Machinery, furniture and equipment - - Fleet - - Construction in progress - - Total capital assets, at cost 0 0 Less: accumulated depreciation - - Net capital assets 00 Total assets 1,332,749 1,536,600 Liabilities: Current liabilities: Accounts payable 71,286 25,935 Salaries payable 1,944 436 Accrued flex spending 26,119 29,661 Due to other governments 17,090 7,028 Contracts payable - - Compensated absences payable 2,508,596 2,480,812 Total current liabilities 2,625,035 2,543,872 Noncurrent liabilities: Compensated absences payable 1,075,113 1,063,206 Other postemployment benefits payable 1,513,086 1,255,184 Total noncurrent liabilities 2,588,199 2,318,390 Total liabilities 5,213,234 4,862,262 Net position: Net investment in capital assets - - Unrestricted (3,880,485)(3,325,662) Total net position ($3,880,485)($3,325,662) 6100 Employee Administrative 132 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 141 Statement 22 2012 2011 2012 2011 2012 2011 $827,932 $566,298 $1,703,724 $2,660,792 $3,825,148 $4,632,479 2,653 2,443 6,506 10,864 17,416 19,564 - - - 78,210 - 78,210 200 1,400 - - 200 15,584 105,477 101,637 29,670 12,663 135,147 194,070 - - - - 31,000 31,000 936,262 671,778 1,739,900 2,762,529 4,008,911 4,970,907 - - 818,094 818,094 818,094 818,094 - - 9,461,214 9,592,102 9,461,214 9,592,102 - - 5,993,861 5,620,990 5,993,861 5,620,990 - - 6,937,989 6,576,875 6,937,989 6,576,875 - - 191,922 654 191,922 654 0 0 23,403,080 22,608,715 23,403,080 22,608,715 - - (7,252,388) (6,819,301) (7,252,388) (6,819,301) 0 0 16,150,692 15,789,414 16,150,692 15,789,414 936,262 671,778 17,890,592 18,551,943 20,159,603 20,760,321 14,626 4,274 34,786 112,109 120,698 142,318 - - - - 1,944 436 - - - - 26,119 29,661 - - 14 15,802 17,104 22,830 24,409 - 23,183 270,263 47,592 270,263 - - - - 2,508,596 2,480,812 39,035 4,274 57,983 398,174 2,722,053 2,946,320 - - - - 1,075,113 1,063,206 - - - - 1,513,086 1,255,184 0 0 0 0 2,588,199 2,318,390 39,035 4,274 57,983 398,174 5,310,252 5,264,710 - - 16,150,692 15,789,409 16,150,692 15,789,409 897,227 667,504 1,681,917 2,364,360 (1,301,341) (293,798) $897,227 $667,504 $17,832,609 $18,153,769 $14,849,351 $15,495,611 Totals6200 Uninsured Loss 6400 Capital Replacement 133 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 142 CITY OF ST. LOUIS PARK, MINNESOTA COMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN FUND NET POSITION INTERNAL SERVICE FUNDS For The Year Ended December 31, 2012 With Comparative Amounts For The Year Ended December 31, 2011 2012 2011 Operating revenues: Charges for services $ - $ - Other 205,429 274,836 Total operating revenues 205,429 274,836 Operating expenses: Personal services 797,232 981,352 Supplies - - Professional services 55,074 13,602 Insurance - - Depreciation - - Other 69,895 79,345 Total operating expenses 922,201 1,074,299 Operating income (loss) (716,772) (799,463) Nonoperating revenues (expenses): Investment income 26,925 33,671 Property taxes 100,024 - Intergovernmental revenue - 20,639 Net gain on disposal of assets - - Total nonoperating revenues (expenses) 126,949 54,310 Income (loss) before transfers (589,823) (745,153) Transfers in 35,000 850,000 Transfers out - - Total transfers 35,000 850,000 Change in net position (554,823) 104,847 Net position - January 1 (3,325,662) (3,430,509) Net position - December 31 ($3,880,485) ($3,325,662) 6100 Employee Administrative 134 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 143 Statement 23 2012 2011 2012 2011 2012 2011 $ - $ - $760,277 $626,983 $760,277 $626,983 371,400 117,436 25,379 25,833 602,208 418,105 371,400 117,436 785,656 652,816 1,362,485 1,045,088 20,899 13,166 - - 818,131 994,518 - - 393,169 240,126 393,169 240,126 - - 41,604 53 96,678 13,655 473,976 127,194 - - 473,976 127,194 - - 1,295,445 1,189,486 1,295,445 1,189,486 52,822 2,111 293,621 514,648 416,338 596,104 547,697 142,471 2,023,839 1,944,313 3,493,737 3,161,083 (176,297)(25,035) (1,238,183) (1,291,497) (2,131,252) (2,115,995) 6,020 10,494 8,583 54,720 41,528 98,885 - - 438,300 338,300 538,324 338,300 - - - 78,210 - 98,849 - - 60,416 51,686 60,416 51,686 6,020 10,494 507,299 522,916 640,268 587,720 (170,277)(14,541)(730,884) (768,581) (1,490,984) (1,528,275) 400,000 - 409,724 100,000 844,724 950,000 - - - (57,756) - (57,756) 400,000 0 409,724 42,244 844,724 892,244 229,723 (14,541)(321,160) (726,337)(646,260) (636,031) 667,504 682,045 18,153,769 18,880,106 15,495,611 16,131,642 $897,227 $667,504 $17,832,609 $18,153,769 $14,849,351 $15,495,611 Totals6200 Uninsured Loss 6400 Capital Replacement 135 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 144 CITY OF ST. LOUIS PARK, MINNESOTA COMBINING STATEMENT OF CASH FLOWS INTERNAL SERVICE FUNDS For The Year Ended December 31, 2012 With Comparative Amounts For The Year Ended December 31, 2011 2012 2011 Cash flows from operating activities: Receipts from interfund services provided $14,184 $99,974 Other receipts 205,429 274,836 Payments to suppliers 10,214 (99,305) Payments to employees (501,673)(584,212) Net cash flows provided by (used in) operating activities (271,846)(308,707) Cash flows from noncapital financing activities: Transfers in 35,000 850,000 Transfers out - - Intergovernmental receipts 100,024 20,639 Net cash flows provided by (used in) noncapital financing activities 135,024 870,639 Cash flows from capital and related financing activities: Acquisition and construction of capital assets - - Proceeds from sale of assets - - Net cash flows provided by (used in) capital and related financing activities 0 0 Cash flows from investing activities: Investment income 24,925 31,520 Net increase (decrease) in cash and cash equivalents (111,897)593,452 Cash and cash equivalents - January 1 1,405,389 811,937 Cash and cash equivalents - December 31 $1,293,492 $1,405,389 6100 Employee Administrative 136 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 145 Statement 24 Page 1 of 2 2012 2011 2012 2011 2012 2011 $1,200 ($1,400) $838,487 $583,273 $853,871 $681,847 371,400 117,436 25,379 25,833 602,208 418,105 (495,877) (138,980)(1,085,592) (659,620)(1,571,255) (897,905) (20,899) (13,166) - - (522,572) (597,378) (144,176) (36,110)(221,726) (50,514)(637,748) (395,331) 400,000 - 409,724 100,000 844,724 950,000 - - - (57,756) - (57,756) - - 438,300 416,510 538,324 437,149 400,000 0 848,024 458,754 1,383,048 1,329,393 - - (1,725,250) (1,731,815)(1,725,250) (1,731,815) - - 128,943 55,582 128,943 55,582 0 0 (1,596,307) (1,676,233)(1,596,307) (1,676,233) 5,810 10,277 12,941 44,311 43,676 86,108 261,634 (25,833)(957,068) (1,223,682)(807,331) (656,063) 566,298 592,131 2,660,792 3,884,474 4,632,479 5,288,542 $827,932 $566,298 $1,703,724 $2,660,792 $3,825,148 $4,632,479 Totals6200 Uninsured Loss 6400 Capital Replacement 137 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 146 CITY OF ST. LOUIS PARK, MINNESOTA COMBINING STATEMENT OF CASH FLOWS INTERNAL SERVICE FUNDS For The Year Ended December 31, 2012 With Comparative Amounts For The Year Ended December 31, 2011 2012 2011 Reconciliation of operating income (loss) to net cash provided (used) by operating activities: Operating income (loss)($716,772)($799,463) Adjustments to reconcile operating income (loss) to net cash flows from operating activities: Depreciation - - Changes in assets and liabilities: Decrease (increase) in: Accounts receivable 14,184 99,974 Prepaid items 79,770 (3,965) Increase (decrease) in: Accounts payable 55,413 (2,393) Contracts payable - - Accrued salaries payable 1,508 (11,353) Accrued flex spending (3,542)1,599 Compensated absences payable 39,691 144,326 Other postemployment benefits 257,902 262,568 Total adjustments 444,926 490,756 Net cash provided by (used in) operating activities ($271,846)($308,707) Supplemental schedule of noncash capital and related financing activities Capital assets purchased on account $ - $ - Disposal of capital assets $ - $ - 6100 Employee Administrative 138 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 147 Statement 24 Page 2 of 2 2012 2011 2012 2011 2012 2011 ($176,297) ($25,035)($1,238,183) ($1,291,497)($2,131,252) ($2,115,995) - - 1,295,445 1,189,486 1,295,445 1,189,486 1,200 (1,400)78,210 (43,710)93,594 54,864 (3,840)(7,359)(17,007)(1,463)58,923 (12,787) 10,352 (2,316)(93,111)78,323 (27,346)73,614 24,409 - (247,080)18,347 (222,671)18,347 - - - - 1,508 (11,353) - - - - (3,542)1,599 - - - - 39,691 144,326 - - - - 257,902 262,568 32,121 (11,075)1,016,457 1,240,983 1,493,504 1,720,664 ($144,176) ($36,110)($221,726) ($50,514)($637,748) ($395,331) $ - $ - $ - $270,263 $ - $270,263 $ - $ - $939,625 $661,218 $939,625 $661,218 Totals6200 Uninsured Loss 6400 Capital Replacement 139 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 148 - This page intentionally left blank - 140 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 149 GENERAL FUND The General Fund accounts for all financial resources except those required to be accounted for in another fund. 141 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 150 CITY OF ST. LOUIS PARK, MINNESOTA BALANCE SHEET Statement 25 GENERAL FUND December 31, 2012 With Comparative Totals For December 31, 2011 2012 2011 Assets Cash and investments $14,118,162 $13,982,347 Accrued interest receivable 56,774 52,270 Due from other governments 109,516 142,534 Accounts receivable 14,587 27,752 Taxes receivable - unremitted 96,966 133,399 Taxes receivable - delinquent 163,481 327,905 Prepaid items 56,731 57,473 Inventory 13,719 13,719 Total assets $14,629,936 $14,737,399 Liabilities and Fund Balance Liabilities: Accounts payable $299,061 $764,009 Salaries payable 868,048 712,022 Due to other governments 18,196 28,927 Contracts payable 15,664 56,742 Deposits payable 804,928 717,430 Deferred revenue 647,123 1,020,047 Total liabilities 2,653,020 3,299,177 Fund balance: Nonspendable 70,450 71,192 Restricted 458,448 427,718 Assigned 690,242 139,483 Unassigned 10,757,776 10,799,829 Total fund balance 11,976,916 11,438,222 Total liabilities and fund balance $14,629,936 $14,737,399 142 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 151 CITY OF ST. LOUIS PARK, MINNESOTA SUMMARY FINANCIAL REPORT Statement 26 SCHEDULE OF REVENUES AND EXPENDITURES FOR GENERAL OPERATIONS GOVERNMENTAL FUNDS For The Year Ended December 31, 2012 2012 2011 Percent Increase (Decrease) Revenues: Property taxes $24,259,861 $23,336,537 4.0% Tax increments 6,446,389 7,222,976 (10.8%) Franchise taxes 1,954,557 1,894,714 3.2% License and permits 3,241,813 2,797,700 15.9% Intergovernmental 2,983,191 3,105,500 (3.9%) Charges for services 3,547,900 3,847,710 (7.8%) Fines and forfeits 341,356 281,047 21.5% Special assessments 2,233,715 985,912 126.6% Interest on investments 622,450 949,510 (34.4%) Miscellaneous 2,188,262 2,335,608 (6.3%) Total revenues 47,819,494 46,757,214 2.3% Per capita 1,051 1,033 Expenditures: Current: General government 6,503,965 6,415,318 1.4% Public safety 12,564,838 11,885,577 5.7% Public works 7,834,448 4,437,939 76.5% Public information 470,280 383,586 22.6% Culture and recreation 7,060,110 6,546,054 7.9% Housing and rehabilitation 3,881,500 790,918 390.8% Housing maintenance 116,949 79,786 46.6% Social economic development 7,681,176 6,426,013 19.5% Capital outlay: General government - 52,930 0.0% Public safety 2,854,475 9,924,856 (71.2%) Public works 319,839 2,637,479 (87.9%) Public information 6,690 - 0.0% Housing and rehabilitation 71,242 9,420 0.0% Culture and recreation 636,800 1,548,322 (58.9%) Social and economic development 48,000 122,002 (60.7%) Debt service: Principal 1,285,000 5,420,000 (76.3%) Interest 1,235,118 1,170,549 5.5% Bond issuance costs 45,395 - 0.0% Fiscal agent fees 1,040 1,040 0.0% Total expenditures 52,616,865 57,851,789 (9.0%) Per capita 1,156 1,278 Total bonds payable 21,730,000 28,325,000 (23.3%) Per capita 478 626 General Fund balance 11,976,916 11,438,222 4.7% Per capita 263 253 The purpose of this report is to provide a summary of financial information concerning the City of St. Louis Park to interested citizens. The complete financial statements may be examined at City Hall, 5005 Minnetonka Blvd, St. Louis Park, Minnesota 55416-2216. Questions about this report should be directed to Brian Swanson, Controller at (952) 924-2500. Total Governmental Funds 143 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 152 - This page intentionally left blank - 144 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 153 III. STATISTICAL SECTION (UNAUDITED) 145 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 154 CITY OF ST. LOUIS PARK, MINNESOTA STATISTICAL SECTION (UNAUDITED) NET POSITION BY COMPONENT LAST TEN FISCAL YEARS 2003 2004 2005 2006 Governmental activities Net investment in capital assets $30,320,448 $38,042,067 $47,555,983 $56,843,474 Restricted 4,118,859 3,928,407 10,841,736 9,340,767 Unrestricted 66,744,367 65,641,642 59,482,664 60,462,334 Total governmental activities net position $101,183,674 $107,612,116 $117,880,383 $126,646,575 Business-type activities Net investment in capital assets $22,858,489 $23,516,232 $25,769,652 $25,629,760 Unrestricted 14,045,023 11,741,791 9,119,032 7,514,603 Total business-type activities net position $36,903,512 $35,258,023 $34,888,684 $33,144,363 Total primary government Net investment in capital assets $53,178,937 $61,558,299 $73,325,635 $82,473,234 Restricted 4,118,859 3,928,407 10,841,736 9,340,767 Unrestricted 80,789,390 77,383,433 68,601,696 67,976,937 Total primary government $138,087,186 $142,870,139 $152,769,067 $159,790,938 Fiscal Year 146 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 155 Table 1 2007 2008 2009 2010 2011 2012 $74,883,912 $76,600,774 $89,252,994 $94,326,512 $99,835,484 $111,171,392 13,098,282 - 20,075,976 21,692,426 17,695,996 19,138,128 46,155,656 65,908,328 40,508,755 40,581,189 43,929,086 30,262,508 $134,137,850 $142,509,102 $149,837,725 $156,600,127 $161,460,566 $160,572,028 $25,644,428 $27,559,942 $23,977,469 $21,717,923 $22,347,266 $22,906,086 7,499,935 6,414,768 6,903,776 8,433,915 8,524,086 9,895,622 $33,144,363 $33,974,710 $30,881,245 $30,151,838 $30,871,352 $32,801,708 $100,528,340 $104,160,716 $113,230,463 $116,044,435 $122,182,750 $134,077,478 13,098,282 - 20,075,976 21,692,426 17,695,996 19,138,128 53,655,591 72,323,096 47,412,531 49,015,104 52,453,172 40,158,130 $167,282,213 $176,483,812 $180,718,970 $186,751,965 $192,331,918 $193,373,736 Fiscal Year 147 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 156 CITY OF ST. LOUIS PARK, MINNESOTA STATISTICAL SECTION (UNAUDITED) CHANGES IN NET POSITION LAST TEN FISCAL YEARS (accrual basis of accounting) 2003 2004 2005 2006 Expenses Governmental activities General government $7,777,663 $6,580,494 $6,802,845 $7,155,916 Public safety 9,695,943 9,765,605 10,262,906 11,695,841 Public works 8,472,450 4,805,735 5,520,192 6,895,260 Public information 235,749 255,237 262,962 231,124 Culture and recreation 4,724,014 5,477,788 6,262,800 6,399,633 Housing and rehabilitation 327,960 285,019 397,834 728,433 Housing maintenance 127,941 229,861 161,558 373,393 Social and economic development 2,957,607 1,105,501 3,888,897 9,784,543 General services 7,976 1,596 7,626 22,484 Interest on long-term debt 1,725,302 1,784,022 1,478,427 1,345,023 Total governmental activities expenses 36,052,605 30,290,858 35,046,047 44,631,650 Business-type activities Water 2,267,570 2,655,285 2,607,123 2,845,614 Sewer 4,173,457 3,986,920 3,904,543 4,268,952 Solid waste - - - - Refuse 2,535,119 1,996,615 2,019,204 2,029,302 Storm water 715,309 752,331 793,977 1,032,410 Wireless - - - 402,683 Total business-type activities expenses 9,691,455 9,391,151 9,324,847 10,578,961 Total expenses $45,744,060 $39,682,009 $44,370,894 $55,210,611 Program revenues Governmental activities Charges for services General government $695,405 $645,050 $639,679 $936,199 Public safety 2,247,213 2,739,097 3,488,259 3,049,369 Public works - - - 432,932 Public information - - - - Culture and recreation 1,621,911 2,223,977 2,317,222 1,886,153 Housing and rehabilitation - - - 456,088 Housing maintenance 572,291 1,189,257 1,378,015 - Social and economic development - - - 32,456 Interest on long-term debt - - - - Operating grants and contributions 4,569,505 2,499,857 1,283,407 7,703,241 Capital grants and contributions 850,114 696,152 2,412,375 6,290,881 Total governmental activities program revenue 10,556,439 9,993,390 11,518,957 20,787,319 Business-type activities Charges for services Water 3,165,974 2,567,638 2,363,709 2,968,926 Sewer 3,815,599 4,263,433 4,367,868 4,584,802 Solid waste - - - - Refuse 1,740,323 2,021,725 1,857,808 2,124,203 Storm water 631,332 802,856 914,701 1,169,915 Wireless - - - 41,057 Operating grants and contributions 95,606 - 119,165 263,181 Capital grants and contributions 220,244 - 1,236,740 209,277 Total business-type activities program revenue 9,669,078 9,655,652 10,859,991 11,361,361 Total program revenues $20,225,517 $19,649,042 $22,378,948 $32,148,680 Fiscal Year 148 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 157 Table 2 Page 1 of 2 2007 2008 2009 2010 2011 2012 $8,251,341 $8,216,816 $8,167,355 $7,192,652 $7,247,716 $7,387,354 10,721,803 11,867,403 12,138,185 12,256,272 12,535,793 13,264,220 5,979,789 6,904,217 6,915,541 19,446,758 7,513,833 11,534,481 404,074 425,829 457,872 435,050 803,885 524,012 6,916,001 7,352,406 7,456,215 7,792,614 7,882,789 8,929,036 1,079,211 1,615,010 1,544,175 4,150,595 794,935 3,885,098 121,118 199,757 128,099 241,345 79,786 116,949 5,910,149 5,494,634 6,321,623 4,861,518 6,171,527 7,810,635 6,830 2,653 7,662 - - - 1,301,266 1,329,767 1,543,879 1,453,555 1,695,758 1,261,698 40,691,582 43,408,492 44,680,606 57,830,359 44,726,022 54,713,483 3,285,107 3,391,992 4,089,837 3,904,801 3,839,592 3,891,871 4,199,659 4,485,386 4,228,680 4,193,191 4,572,869 4,593,315 - - - 2,116,949 2,319,099 2,562,985 2,019,595 2,135,677 2,125,540 - - - 1,088,170 1,172,199 1,287,202 1,325,803 1,373,546 1,486,644 1,151,751 315,664 151,708 - - - 11,744,282 11,500,918 11,882,967 11,540,744 12,105,106 12,534,815 $52,435,864 $54,909,410 $56,563,573 $69,371,103 $56,831,128 $67,248,298 $978,058 $955,811 $888,246 $1,065,209 $1,059,527 $1,060,679 2,977,475 4,282,699 2,958,383 2,898,634 2,917,525 3,344,449 1,483,824 380,452 2,292,287 601,890 315,163 377,538 - - - - 200,000 - 2,409,625 2,121,505 2,083,015 1,959,556 2,111,348 2,061,303 527,536 507,163 562,930 8,833 62,191 8,162 - - - - - - 202,110 173,960 184,236 588,757 316,935 281,002 - - 318,134 - - - 3,908,485 3,581,092 2,664,563 1,735,926 2,065,312 2,360,465 2,113,560 2,822,683 2,131,755 14,908,522 1,878,697 6,290,076 14,600,673 14,825,365 14,083,549 23,767,327 10,926,698 15,783,674 3,461,301 3,584,384 4,294,962 4,148,394 4,475,068 5,109,446 4,820,732 4,506,339 5,153,171 5,277,473 5,768,266 5,959,931 - - - 2,719,376 2,894,726 2,858,930 2,395,469 2,348,133 2,458,555 - - - 1,473,746 1,529,180 1,699,557 1,829,792 1,904,587 1,977,663 68,959 51,322 16,140 - - - 208,814 966,053 167,604 103,342 103,166 105,976 - 1,040,384 - 2,890 - - 12,429,021 14,025,795 13,789,989 14,081,267 15,145,813 16,011,946 $27,029,694 $28,851,160 $27,873,538 $37,848,594 $26,072,511 $31,795,620 Fiscal Year 149 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 158 CITY OF ST. LOUIS PARK, MINNESOTA STATISTICAL SECTION (UNAUDITED) CHANGES IN NET POSITION LAST TEN FISCAL YEARS (accrual basis of accounting) 2003 2004 2005 2006 Net (expenses) revenues Governmental activities ($25,496,166) ($20,297,468) ($23,527,090) ($23,844,331) Business-type activities (22,377) 264,501 1,535,144 755,400 Total primary government ($25,518,543) ($20,032,967) ($21,991,946) ($23,088,931) General Revenues and Other Changes in Net Position Governmental activities: Taxes: Property taxes $17,959,983 $20,259,269 $21,965,197 $23,538,989 Tax increment Franchise taxes 274,072 1,283,654 1,431,779 1,358,902 State grants and contributions not restricted to specific programs 1,634,552 1,701,769 1,520,187 932,634 Unrestricted investment earnings 1,308,108 942,743 1,484,873 2,881,818 Gain on sale of capital assets 68,299 101,593 182,373 128,344 Miscellaneous 224,142 470,409 672,032 474,054 Transfers 1,036,995 1,966,473 2,095,521 1,923,760 Total governmental activities expenses 22,506,151 26,725,910 29,351,962 31,238,501 Business-type activities: Unrestricted investment earnings 176,493 167,840 184,950 254,966 Miscellaneous 309 (111,357) 3,949 13,702 Gain on sale of capital assets 44 - 2,139 - Transfers (1,036,995) (1,966,473) (2,095,521) (1,923,760) Total business-type activities expenses (860,149) (1,909,990) (1,904,483) (1,655,092) Total primary government $21,646,002 $24,815,920 $27,447,479 $29,583,409 Change in net position: Governmental activities ($2,990,015) $6,428,442 $5,824,872 $7,394,170 Business-type activities (882,526) (1,645,489) (369,339) (899,692) Prior period adjustment - - - (474,033) Total primary government ($3,872,541) $4,782,953 $5,455,533 $6,020,445 Fiscal Year 150 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 159 Table 2 Page 2 of 2 2007 2008 2009 2010 2011 2012 ($26,090,909) ($28,583,127) ($30,597,057) ($34,063,032) ($33,799,324) ($38,929,809) 684,739 2,524,877 1,907,022 2,540,523 3,040,707 3,477,131 ($25,406,170) ($26,058,250) ($28,690,035) ($31,522,509) ($30,758,617) ($35,452,678) $26,163,519 $28,523,119 $29,512,631 $29,642,090 $23,527,322 $24,625,789 7,222,976 6,446,389 1,440,034 1,507,994 1,503,075 1,497,178 1,894,714 1,954,557 825,327 519,850 153,108 151,624 156,325 46,422 4,139,689 2,133,858 1,452,176 629,094 1,048,395 663,978 378,075 1,842,601 91,149 34,453 51,686 60,416 341,335 470,230 11,229 950,231 2,300,478 2,183,685 1,996,291 1,956,727 5,202,312 3,358,921 2,457,867 1,660,035 35,284,270 36,954,379 37,925,680 36,263,591 38,659,763 37,641,271 466,923 243,724 201,825 88,991 136,674 113,260 - 18,473 - - - - - - - - - - (1,996,291) (1,956,727) (5,202,312) (3,358,921) (2,457,867) (1,660,035) (1,529,368) (1,694,530) (5,000,487) (3,269,930) (2,321,193) (1,546,775) $33,754,902 $35,259,849 $32,925,193 $32,993,661 $36,338,570 $36,094,496 $9,193,361 $8,371,252 $7,328,623 $2,200,559 $4,860,439 ($1,288,538) (844,629)830,347 (3,093,465)(729,407)719,514 1,930,356 143,969 - - - - 400,000 $8,492,701 $9,201,599 $4,235,158 $1,471,152 $5,579,953 $1,041,818 Fiscal Year 151 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 160 - This page intentionally left blank - 152 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 161 CITY OF ST. LOUIS PARK, MINNESOTA STATISTICAL SECTION (UNAUDITED)Table 3 GOVERNMENTAL ACTIVITIES TAX REVENUES BY SOURCE LAST TEN FISCAL YEARS Fiscal Property Franchise Year Tax Tax Total 2003 $17,959,983 $274,072 $18,234,055 2004 20,259,269 1,283,654 21,542,923 2005 21,965,197 1,431,779 23,396,976 2006 23,538,989 1,358,902 24,897,891 2007 26,163,519 1,440,034 27,603,553 2008 28,523,119 1,507,993 30,031,112 2009 28,523,119 1,503,075 30,026,194 2010 29,316,753 1,497,178 30,813,931 2011 30,853,927 1,894,714 32,748,641 2012 31,220,365 1,954,557 33,174,922 153 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 162 CITY OF ST. LOUIS PARK, MINNESOTA STATISTICAL SECTION (UNAUDITED) FUND BALANCES OF GOVERNMENTAL FUNDS LAST TEN FISCAL YEARS (modified accrual basis of accounting) 2003 2004 2005 2006 General fund Reserved $34,889 $42,267 $118,002 $104,774 Unreserved 6,799,827 8,153,025 8,622,091 9,847,341 Nonspendable - - - - Restricted - - - - Assigned - - - - Unassigned - - - - Total General fund $6,834,716 $8,195,292 $8,740,093 $9,952,115 All other governmental funds Reserved $8,910,066 $9,548,264 $19,338,220 $9,276,305 Unreserved, reported in: Special revenue funds 9,314,599 8,333,265 7,707,696 10,012,784 Capital projects funds 33,405,404 33,435,630 30,396,836 38,126,004 Other funds 6,161,280 5,430,918 2,257,068 - Nonspendable - - - - Restricted - - - - Committed - - - - Assigned - - - - Unassigned - - - - Total all other governmental funds $57,791,349 $56,748,077 $59,699,820 $57,415,093 Note: The City implemented GASB Statement No. 54 for the fiscal year ended December 31, 2010, resulting in significant reclassification of the components of fund balance. Fiscal Year 154 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 163 Table 4 2007 2008 2009 2010 2011 2012 $13,719 $29,368 $572,206 $ - $ - $ - 10,100,187 11,697,232 7,326,638 - - - - - - 80,664 71,192 70,450 - - - 425,967 427,718 458,448 - - - 124,503 139,483 690,242 - - - 10,399,401 10,799,829 10,757,776 $10,113,906 $11,726,600 $7,898,844 $11,030,535 $11,438,222 $11,976,916 $10,229,125 $10,610,175 $7,540,696 $ - $ - $ - 9,450,210 7,134,284 7,568,944 - - - 38,889,030 43,134,211 40,680,331 - - - - - - - - - - - - 11,570,382 11,391,114 14,059,579 - - - 32,296,848 18,298,167 17,196,417 - - - 466,792 511,610 459,160 - - - 25,151,409 26,518,495 25,583,093 - - - (7,872,234) (5,042,828) (7,567,117) $58,568,365 $60,878,670 $55,789,971 $61,613,197 $51,676,558 $49,731,132 Fiscal Year 155 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 164 CITY OF ST. LOUIS PARK, MINNESOTA STATISTICAL SECTION (UNAUDITED) CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS LAST TEN FISCAL YEARS (modified accrual basis of accounting) 2003 2004 2005 2006 Revenues Taxes $17,963,805 $20,146,562 $21,909,256 $19,416,738 Tax increments - - - 5,390,257 Franchise taxes Licenses and permits 2,027,353 2,569,868 2,932,988 2,934,270 Intergovernmental 5,495,380 3,608,768 5,410,252 12,943,457 Charges for services 2,072,126 4,935,172 4,197,987 2,394,509 Fines and forfeits 294,408 251,256 286,003 322,558 Special assessments 553,086 920,680 827,361 843,030 Investment earnings 1,189,713 854,636 1,323,843 2,717,490 Miscellaneous 2,277,480 2,431,999 2,397,275 2,648,354 Total revenues 31,873,351 35,718,941 39,284,965 49,610,663 Expenditures General government 5,267,243 5,298,509 5,662,931 5,985,314 Public safety 9,486,448 9,628,174 11,221,408 11,060,618 Public works 3,750,500 4,000,282 3,772,650 4,934,433 Public information 229,675 249,388 259,461 227,106 Culture and recreation 4,487,543 4,786,730 5,271,726 6,095,959 Housing and rehabilitation 327,960 285,019 397,834 739,391 Housing maintenance 127,941 229,861 161,558 373,393 Social and economic development 899,677 791,110 1,405,434 9,124,251 General services 7,976 1,596 7,626 22,484 Debt service: Principal 2,990,000 3,155,000 3,680,000 6,360,000 Interest 1,715,827 1,693,689 1,626,517 1,450,460 Other charges 33,076 - 59,589 - Capital outlay 8,333,251 7,382,608 11,206,131 4,567,251 Total expenditures 37,657,117 37,501,966 44,732,865 50,940,660 Excess (deficiency) of revenues over (under) expenditures (5,783,766) (1,783,025) (5,447,900) (1,329,997) Other financing sources (uses) Transfers in 5,778,074 10,608,768 9,650,253 6,432,713 Transfers out (5,507,496) (8,757,973) (8,716,751) (5,480,804) Principal paid on refunded bonds - (7,295,000) - - Refunding bonds issued - - 2,370,000 - Bonds issued 4,145,000 7,490,000 3,705,000 - Premium on bonds issued - - 151,602 - Discount on bonds issued - (77,962) (5,746) - Redemption of refunded bonds - - - - Payments to refunded bond escrow agent - - - - Costs paid to refunded bond escrow agent - - - - Gain (loss) on sale of capital assets - 132,496 1,566,691 (220,584) Total other financing sources (uses) 4,415,578 2,100,329 8,721,049 731,325 Net change in fund balances ($1,368,188) $317,304 $3,273,149 ($598,672) Debt service as a percentage of noncapital expenditures 16.05% 16.10% 15.83% 16.84% Fiscal Year 156 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 165 Table 5 2007 2008 2009 2010 2011 2012 $20,951,991 $21,563,302 $21,700,329 $22,667,190 $23,336,537 $24,259,861 6,597,092 8,371,424 7,846,204 6,649,563 7,222,976 6,446,389 1,503,075 1,497,178 1,894,714 1,954,557 2,946,749 4,072,753 2,786,032 2,359,716 2,797,700 3,241,813 3,737,619 2,424,119 3,867,795 11,879,601 3,105,500 2,983,191 276,693 324,512 4,228,179 4,051,971 3,897,710 3,547,900 4,482,834 3,894,839 332,694 401,610 281,047 341,356 840,965 703,484 800,054 1,550,110 985,912 2,233,715 3,851,542 1,990,854 1,358,170 612,098 949,510 622,450 3,038,836 3,591,212 2,615,062 3,050,231 2,285,608 2,188,262 46,724,321 46,936,499 47,037,594 54,719,268 46,757,214 47,819,494 6,642,231 6,642,295 6,472,022 6,219,751 6,415,318 6,503,965 10,851,256 11,744,656 11,949,612 11,771,246 11,885,577 12,564,838 4,089,223 4,671,631 4,637,289 15,624,494 4,437,939 7,834,448 393,863 415,609 445,146 387,459 383,586 470,280 7,274,375 6,213,945 6,027,059 6,234,938 6,546,054 7,060,110 688,062 1,621,099 1,550,264 4,144,378 790,918 3,881,500 121,118 199,757 128,099 241,170 79,786 116,949 5,822,842 5,162,698 6,241,123 4,720,638 6,426,013 7,681,176 6,830 2,653 7,662 - - - 4,065,000 4,485,000 4,709,000 2,170,000 5,420,000 1,285,000 1,304,565 1,365,484 1,322,477 1,170,286 1,170,549 1,235,118 - - - 453,288 1,040 46,435 5,804,342 9,998,748 10,314,002 6,306,083 14,295,009 3,937,046 47,063,707 52,523,575 53,803,755 59,443,731 57,851,789 52,616,865 (339,386) (5,587,076) (6,766,161) (4,724,463) (11,094,575) (4,797,371) 8,383,989 11,129,934 9,939,299 11,809,353 7,086,529 6,395,355 (7,008,202) (9,233,136) (10,579,081) (14,974,391) (5,520,906) (5,580,044) - - - - - - - - - 3,615,000 - 1,290,000 - 5,490,000 2,000,000 16,130,000 - - - - 10,202 2,792 - - - - - - - - - - - (1,825,000) - - - - (6,045,000) 4,430,000 - - - - (199,425) (4,164,000) - - 278,662 2,123,277 - 27,412 - 885,328 1,654,449 9,510,075 (4,874,005) 15,051,166 1,565,623 2,990,639 $1,315,063 $3,922,999 ($11,640,166) $10,326,703 ($9,528,952) ($1,806,732) 13.01% 13.76% 13.87% 6.29% 12.86% 5.27% Fiscal Year 157 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 166 CITY OF ST. LOUIS PARK, MINNESOTA STATISTICAL SECTION (UNAUDITED) ASSESSED VALUE/TAX CAPACITY VALUE AND ESTIMATED MARKET VALUE OF ALL TAXABLE PROPERTY LAST TEN FISCAL YEARS 2003 2004 2005 2006 Population 44,302 44,896 44,511 44,422 Real Property Total assessed/tax capacity value $46,957,116 $51,772,756 $56,737,869 $62,912,413 Less tax increment districts -(4,313,399) (4,665,583) (5,211,867) (6,335,246) Area-wide allocation (net)(1,349,096) (703,750) (1,153,662) (1,186,353) Net assessed/tax capacity value $42,643,717 $47,107,173 $50,372,340 $55,390,814 Estimated market value $4,121,540,000 $4,828,585,300 $4,841,195,800 $5,232,595,500 Personal Property Assessed/tax capacity value $436,947 $456,914 $464,571 $489,063 Estimated market value $22,114,100 $23,123,200 $23,527,400 $24,807,500 Total Real and Personal Property Assessed/tax capacity value $41,731,568 $46,860,340 $50,836,911 $55,879,877 Estimated market value $4,143,654,100 $4,851,708,500 $4,864,723,200 $5,257,403,000 Tax Capacity Rate 36.0% 36.0% 35.2% 34.3% Fiscal Year 158 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 167 Table 6 2007 2008 2009 2010 2011 2012 43,145 47,198 47,221 45,250 44,665 45,505 $68,025,921 $68,006,453 $69,704,858 $68,386,268 $65,611,006 $62,602,680 (7,644,566)(7,639,464) (8,276,993) (6,976,791) (6,379,980) (5,426,995) (1,498,263)(1,498,263) (1,635,724) (1,231,482) (2,775,483) (3,220,881) $58,883,092 $58,868,726 $59,792,141 $60,177,995 $56,455,543 $53,954,804 $5,553,715,600 $5,552,520,000 $5,633,028,200 $5,550,563,700 $5,302,557,500 $5,226,900,300 $458,627 $458,627 $434,825 $428,760 $478,864 $490,122 $23,263,700 $23,263,700 $22,006,100 $21,712,100 $24,363,800 $24,962,100 $59,341,719 $59,327,353 $60,226,966 $60,606,755 $56,934,407 $54,444,926 $5,576,979,300 $5,575,783,700 $5,655,034,300 $5,572,275,800 $5,326,921,300 $5,251,862,400 34.1% 35.6% 36.9% 37.7% 41.7% 43.9% Fiscal Year 159 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 168 STATISTICAL SECTION (UNAUDITED)Table 7 2005 2006 2007 2008 2009 2010 2011 2012 Operating Rate 35.571 34.164 32.344 32.504 34.402 34.869 39.689 40.303 Debt Service Rate 1.810 2.180 2.394 2.255 2.265 2.247 1.77 3.563 Total City of St. Louis Park 37.381 36.344 34.738 34.759 36.667 37.116 41.459 43.866 County Operating Rate 44.172 41.016 39.11 38.571 40.413 42.640 45.840 48.231 School District Operating Rate 9.481 8.665 11.704 8.691 9.08 9.295 12.917 13.324 Debt Service Rate 13.281 11.912 11.781 10.889 11.257 11.803 13.539 15.946 Other Taxing Districts St. Louis Park HRA Levy 1.298 1.259 1.336 1.344 1.759 1.718 1.817 1.806 Metro Mosquito Control 0.564 0.509 0.499 0.486 0.489 0.461 0.525 0.537 Metro Council 1.132 0.873 0.877 0.812 0.817 0.793 0.885 0.94 Metro Transit Debt 1.608 1.542 1.295 1.264 1.273 1.366 1.539 1.607 Hennepin County HRA - - - - - 0.241 0.397 0.403 Hennepin Parks 2.667 2.830 3.068 3.137 3.334 3.499 3.765 3.943 Park Museum 0.775 0.685 0.700 0.719 0.771 0.778 0.815 0.799 HC Regional Railroad Authority 0.636 0.559 0.871 0.979 0.470 1.000 1.246 1.294 Referendum Market Value Based Rate - - - - - 0.152 0.148 0.000 Watershed 1.276 1.072 1.121 1.404 1.489 1.511 1.606 1.705 Total 114.271 107.266 107.100 103.055 107.819 112.373 126.498 134.401 Note: Fiscal Year 2005 was the first year of implementing GASB Statement No. 44. City of St. Louis Park Overlapping Rates CITY OF ST. LOUIS PARK, MINNESOTA PROPERTY TAX RATES - DIRECT AND OVERLAPING GOVERNMENTS LAST EIGHT FISCAL YEARS Year 160 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 169 CITY OF ST. LOUIS PARK, MINNESOTA STATISTICAL SECTION (UNAUDITED)Table 8 PRINCIPAL PROPERTY TAXPAYERS CURRENT YEAR AND NINE YEARS AGO Percentage Percentage of Total of Total Taxable Taxable Taxable Taxable Assessed Assessed Assessed Assessed Value Rank Value Value Rank Value G & I VII 1600 & Moneygram LLC $63,900,000 1 1.22% $ - 0.00% Duke-Weeks Realty (formerly MEPC American Prope 61,623,300 2 1.17% 68,891,200 1 1.66% Interchange Investors (formerly WHIOP Real Estate L 38,500,000 3 0.73% 53,900,000 3 1.30% PNMC Holdings 36,208,300 4 0.69% - 0.00% Park Glen 24,070,000 5 0.46% - 0.00% Camerata LLC 23,725,600 6 0.45% - 0.00% Excelsior & Grand 21,200,000 7 0.40% - 0.00% Parkdale Property LLC 20,910,000 8 0.40% - 0.00% VIF II/Park Place East LLC 20,872,000 9 0.40% - 0.00% VIF II/Park Place West LLC 17,743,000 10 0.34% - 0.00% General Growth/Knollwood Co.16,425,000 0.31% 21,136,000 9 0.51% Healthpartners - 0.00% 66,074,100 2 1.59% Parkdale Associates - 0.00% 46,170,000 4 1.11% Park Place OPCO LLC - 0.00% 36,100,000 5 0.87% WTC No 459 Corp - 0.00% 23,150,000 6 0.56% Excelsior Grand - 0.00% 22,500,000 7 0.54% Park Blvd. Housing Partnership - 0.00% 21,320,000 8 0.51% Meadowbrook Manor, Inc. - 0.00% 18,290,000 10 0.44% Total $345,177,200 6.57% $377,531,300 9.11% Total taxable assessed value $5,251,862,400 $4,143,654,100 Taxpayer 2012 2003 161 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 170 CITY OF ST. LOUIS PARK, MINNESOTA STATISTICAL SECTION (UNAUDITED)Table 9 PROPERTY TAX LEVIES AND COLLECTIONS LAST TEN FISCAL YEARS Fiscal Year Total Tax Ended Levy for Percentage Percentage December 31 Fiscal Year Amount of Levy Amount of Levy 2003 $15,035,814 $14,601,996 97.11% $15,035,814 100.00% 2004 16,866,840 16,633,041 98.61% 16,299,691 100.00% 2005 17,901,681 17,644,699 98.56% 17,880,791 100.00% 2006 19,156,317 18,838,892 98.34% 18,358,133 100.00% 2007 20,221,086 19,965,208 98.73% 19,532,175 100.00% 2008 21,100,651 20,693,403 98.07% 20,621,209 100.00% 2009 22,204,522 21,796,296 98.16% 22,017,344 100.00% 2010 22,841,195 22,465,478 98.36% 22,465,478 100.00% 2011 23,724,816 23,368,028 98.50% 23,368,028 99.94% 2012 24,746,325 24,435,571 98.74% 24,435,571 98.74% Collected Within the Fiscal Year of the Levy Total Collections to Date 162 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 171 CITY OF ST. LOUIS PARK, MINNESOTA STATISTICAL SECTION (UNAUDITED)Table 10 RATIOS OF OUTSTANDING DEBT BY TYPE LAST EIGHT FISCAL YEARS General Total Percentage Fiscal Obligation Tax Increment Capital Revenue Notes Primary of Personal Per Year Bonds Bonds Leases Bonds Payable Government Income (1) Capita (1) 2005 $13,335,000 $22,795,000 $15,000 $2,550,000 $29,082 $38,724,082 2.60% 871.73$ 2006 12,645,000 17,125,000 7,500 2,365,000 1,791 32,144,291 2.10% 710.91 2007 11,805,000 13,900,000 - 5,835,000 - 31,540,000 1.96% 668.25 2008 10,715,000 15,995,000 - 9,570,000 - 36,280,000 2.25% 768.68 2009 9,590,000 8,405,000 - 9,185,000 - 27,180,000 1.54% 575.59 2010 26,335,000 7,410,000 - 11,335,000 - 45,080,000 2.71% 996.24 2011 21,420,000 6,905,000 26,220 10,555,000 - 38,906,220 2.32% 854.99 2012 21,730,000 6,600,000 - 9,600,000 - 37,930,000 2.17% 833.53 Note: Details regarding the City's outstanding debt can be found in the notes to the financial statements. Fiscal Year 2005 was the first year of implementing GASB Statement No. 44. (1) See the Schedule of Demographic Statistics on page 169 for personal income and population data. Governmental Activities Business Type Activities 163 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 172 CITY OF ST. LOUIS PARK, MINNESOTA STATISTICAL SECTION (UNAUDITED)Table 11 RATIOS OF GENERAL BONDED DEBT OUTSTANDING LAST EIGHT FISCAL YEARS Percentage of Less: Amounts Estimated General Available Actual Taxable Fiscal Obligation in Debt Value of Per Year Bonds Service Funds Total Property (1) Capita (2) 2005 $13,335,000 $1,200,313 $12,134,687 0.25% $272.62 2006 12,645,000 1,383,783 11,261,217 0.21% 245.43 2007 11,805,000 1,715,646 10,089,354 0.18% 223.14 2008 10,715,000 1,798,636 8,916,364 0.16% 188.91 2009 9,590,000 1,378,737 8,211,263 0.15% 173.89 2010 26,335,000 2,765,611 23,569,389 0.42% 520.87 2011 21,420,000 2,792,922 18,627,078 0.35% 417.04 2012 21,730,000 3,862,613 17,867,387 0.34% 392.65 Note: Fiscal Year 2005 was the first year of implementing GASB Statement No. 44. (1) See the Schedule of Assessed Value/Tax Capacity Value and Estimated Market Value on page 158 for property value data. (2) Population data can be found in the Schedule of Demographic Statistics on page 169. 164 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 173 CITY OF ST. LOUIS PARK, MINNESOTA STATISTICAL SECTION (UNAUDITED)Table 12 DIRECT AND OVERLAPPING GOVERNMENTAL ACTIVITIES DEBT AS OF DECEMBER 31, 2012 Share of Debt Percentage Overlapping Outstanding (1) Applicable (2) Debt Overlapping Debt: Hennepin County $671,462,127 3.93% $26,388,462 St. Louis Park Independent School District 50,057,386 99.57% 49,842,139 Hopkins Independent School District 148,613,052 3.23% 4,800,202 Edina Independent School District 61,869,760 0.07% 43,309 Hennepin County Suburban Park District 72,840,200 5.32% 3,875,099 Hennepin Regional RR Authority 38,757,999 3.93% 1,523,189 Metropolitan Council 193,377,711 1.79% 3,461,461 Subtotal of Overlapping Debt: 1,236,978,235 89,933,860 Direct Debt: City of St. Louis Park 28,330,000 100.00% 28,330,000 Total of Direct and Overlapping Debt: $1,265,308,235 $118,263,860 Source: Hennepin County, Minnesota Note: Overlapping governments are those that coincide, at least in part, with the geographic boundaries of the City of St. Louis Park. This schedule estimates the portion of the outstanding debt of those overlapping governments that is borne by the residents and businesses of the City of St. Louis Park. This process recognizes that, when considering the City's ability to issue and repay long-term debt, the entire burden borne by the residents and businesses should be taken into account. However, this does not imply that every taxpayer is a resident, and therefore responsible for repaying the debt of each overlapping government. (1) Net debt which excludes revenue and special assessment bonds (2) The percentage applicable to the City of St. Louis Park was determined by dividing the portion of tax capacity within the City by the total tax capacity of the of the taxing jurisdiction. Governmental Unit 165 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 174 CITY OF ST. LOUIS PARK, MINNESOTA STATISTICAL SECTION (UNAUDITED) LEGAL DEBT MARGIN INFORMATION LAST SEVEN FISCAL YEARS 2006 2007 Debt Limit $105,148,060 $111,539,586 Total Net Debt Applicable to Limit 3,497,669 3,127,988 Legal Debt Margin $101,650,391 $108,411,598 Total Net Debt Applicable to the Limit as a percentage of Debt Limit 3.33% 2.80% Legal Debt Margin Calculation for Fiscal Year Estimated Taxable Market Value $5,257,403,000 $5,576,979,300 Debt Limit (3% of taxable market value) $105,148,060 $111,539,586 Debt applicable to limit: Total Bonded Debt 32,135,000 31,540,000 Less: Amount Set Aside for Repayment of G.O. Bonds (207,331) (452,012) G.O. Revenue Bonds (2,365,000) (5,835,000) G.O. Improvement Bonds (8,940,000) (8,225,000) G.O. Tax Increment Bonds (17,125,000) (13,900,000) Total Net Debt Applicable to Limit: 3,497,669 3,127,988 Legal Debt Margin: $101,650,391 $108,411,598 Note A: Under State of Minnesota law, the City of St. Louis Park's outstanding general obligation debt should not exceed 3 percent of the market value of the taxable property. By law, the general obligation debt subject to the limitation may be offset by amounts set aside for the extinguishment of those obligations. Note B: Fiscal Year 2005 was the first year of implementing GASB Statement No. 44. Fiscal Year 166 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 175 Table 13 2008 2009 2010 2011 2012 $167,273,511 $159,807,639 $167,168,274 $159,807,639 $157,555,872 2,747,414 2,880,000 15,535,000 15,150,000 14,755,000 $164,526,097 $156,927,639 $151,633,274 $144,657,639 $142,800,872 1.64% 1.80% 9.29% 9.48% 9.36% $5,575,783,700 $5,326,921,300 $5,572,275,800 $5,326,921,300 $5,251,862,400 $167,273,511 $159,807,639 $167,168,274 $159,807,639 $157,555,872 36,280,000 27,180,000 45,079,924 38,880,000 37,930,000 (487,586) (9,570,000) (9,185,000) (11,334,924) (10,555,000) (9,600,000) (7,480,000) (6,710,000) (10,800,000) (6,270,000) (6,975,000) (15,995,000) (8,405,000) (7,410,000) (6,905,000) (6,600,000) 2,747,414 2,880,000 15,535,000 15,150,000 14,755,000 $164,526,097 $156,927,639 $151,633,274 $144,657,639 $142,800,872 Fiscal Year 167 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 176 CITY OF ST. LOUIS PARK, MINNESOTA STATISTICAL SECTION (UNAUDITED)Table 14 PLEDGED REVENUE BOND COVERAGE LAST SEVEN FISCAL YEARS Utility Less: Net Fiscal Charges Operating Available Year and Other Expenses Revenue Principal Interest Coverage 2006 $1,189,239 ($904,916) $284,323 $185,000 $111,595 0.96% 2007 5,025,203 (4,115,066) 910,137 195,000 103,898 3.04% 2008 5,200,332 (4,300,290) 900,042 340,000 264,902 1.49% 2009 5,985,714 (4,982,093) 1,003,621 385,000 374,208 1.32% 2010 5,981,074 (3,851,018) 2,130,056 400,000 327,325 2.93% 2011 12,186,180 (8,269,813) 3,916,367 525,000 363,435 4.41% 2012 13,079,123 (8,387,329) 4,691,794 1,405,000 375,218 2.64% Note: Details regarding the government's outstanding debt can be found in the notes to the financial statements. Fiscal Year 2005 was the first year of implementing GASB Statement No. 44. Water, Sewer, and Storm Water charges and other includes investment earnings. Operating expenses do not include interest, depreciation or transfers out. Debt Service 168 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 177 CITY OF ST. LOUIS PARK, MINNESOTA STATISTICAL SECTION (UNAUDITED)Table 15 DEMOGRAPHIC STATISTICS LAST TEN FISCAL YEARS Personal Income (amounts expressed Per Capita Median School Unemployment Year Population (1) in thousands) Income (1) Age (1) Enrollment (2) Rate (3) 2003 44,302 $1,361,585 $30,734 37.1 4,231 4.0% 2004 44,896 1,421,229 31,656 37.1 4,261 4.1% 2005 44,511 1,451,311 32,606 37.5 4,251 3.4% 2006 44,422 1,491,876 33,584 37.7 4,098 3.1% 2007 45,216 1,527,170 33,775 38.3 4,175 3.7% 2008 47,198 1,613,039 34,176 35.8 4,258 5.6% 2009 47,221 1,761,674 37,307 35.7 4,447 5.9% 2010 45,250 1,660,539 36,697 35.5 4,347 3.9% 2011 44,665 1,680,297 37,620 35.4 4,365 4.4% 2012 45,505 1,744,525 38,337 35.4 4,472 4.6% Source: (1) Federal Census Bureau data (2) St. Louis Park School District (3) Minnesota Department of Employment and Economic Development 169 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 178 CITY OF ST. LOUIS PARK, MINNESOTA STATISTICAL SECTION (UNAUDITED)Table 16 PRINCIPAL EMPLOYERS CURRENT YEAR AND NINE YEARS AGO Employees Rank Employees Rank Park Nicollet Health Services and Methodist Hospital 5,799 1 21.5 % 7,000 1 24.5 % St. Louis Park Public Schools 671 2 2.5 759 4 2.7 Japs-Olson Company 600 3 2.2 700 5 2.5 MoneyGram International (formerly Travelers Express)554 4 2.1 400 8 1.4 Sholom Home West 552 5 2.0 240 11 0.8 Super Target 435 6 1.6 - - St. Louis Park, City of 429 7 1.6 500 6 1.8 Golden Living Center 277 8 1.0 - - Epicor Software Corporation 275 9 1.0 - - Lifetime Fitness 250 10 0.9 - - Allied Interstate - - 1,200 3 4.2 Knollwood Mall - - 1,780 2 6.2 Miracle Mile Shopping Center - - 350 9 1.2 Nordic Ware ind Operations - - 250 10 0.9 Nestle Nutrition (formerly Novartis Nutrition) - - 487 7 1.7 Total 9,842 36.5 % 13,666 47.9 % Total City employment 26,982 28,525 2012 2003 Employer Employment Percentage of Total City Percentage of Total City Employment 170 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 179 CITY OF ST. LOUIS PARK, MINNESOTA STATISTICAL SECTION (UNAUDITED)Table 17 FULL-TIME EQUIVALENT EMPLOYEES BY FUNCTION LAST EIGHT FISCAL YEARS 2005 2006 2007 2008 2009 2010 2011 2012 Function General government 115.0 119.1 123.0 122.5 114.5 105.5 95.4 90.3 Public safety Police Officers 51.0 51.0 51.0 51.0 51.0 51.0 51.0 52.0 Civilians 18.5 19.5 19.5 18.5 17.0 20.0 23.0 30.0 Fire Firefighters and officers 25.0 25.0 25.0 25.0 25.0 25.0 24.0 24.0 Public Works 33.0 32.7 32.0 32.0 32.0 32.0 32.0 33.0 Water 7.8 7.8 10.3 11.4 11.4 9.9 11.2 11.2 Sewer 6.7 5.7 3.7 2.7 2.7 3.6 4.9 4.9 Refuse 0.7 0.7 0.7 1.8 1.8 1.8 3.3 3.3 Storm Water 2.0 2.0 2.6 2.6 2.6 3.3 4.9 4.8 Total Employees 259.7 263.5 267.8 267.5 258.0 252.0 249.7 253.5 Note: Fiscal Year 2005 was the first year implementing GASB Statement No. 44. Fiscal Year 171 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 180 CITY OF ST. LOUIS PARK, MINNESOTA STATISTICAL SECTION (UNAUDITED)Table 18 OPERATING INDICATORS BY FUNCTION LAST EIGHT FISCAL YEARS 2005 2006 2007 2008 2009 2010 2011 2012 Police Medical calls 2,660 2,876 2,881 3,153 3,110 3,188 3,101 3,152 Traffic stops 1,959 2,510 1,981 2,724 2,462 4,236 5,362 7,146 Other 23,508 25,394 24,996 24,412 22,562 21,355 21,742 24,354 Fire Inspections/medical/all other calls 3,970 4,109 4,141 4,357 4,429 3,893 3,078 3,117 Fire calls - residential 38 67 45 52 82 50 69 66 Fire calls - structural 11 16 16 9 14 57 84 76 Fire calls - other 60 58 71 46 68 37 53 64 Cable TV Hours of new programming 121 124 94 294 250 456 535 Inspections Permits 8,092 8,527 8,616 13,687 8,895 8,397 9,220 9,091 Inspections 18,316 18,916 17,797 24,022 27,332 20,204 22,818 23,667 Culture and recreation Aquatic park attendance 88,491 75,380 80,347 76,218 67,617 69,825 67,422 70,270 Hours of ice time 6,546 6,508 6,574 6,787 6,354 6,493 4,687 5,444 Water Gallons of water production (billions)2.0 2.2 2.3 2.4 2.4 2.1 2.1 2.4 Average watermain breaks per year 30 30 30 30 30 30 30 30 Public Works Snowplowing hours 1,236 1,165 1,556 1,672 2,454 3,216 2,543 1,173 Note: Fiscal Year 2005 was the first year implementing GASB Statement No. 44. Fiscal Year 172 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 181 CITY OF ST. LOUIS PARK, MINNESOTA STATISTICAL SECTION (UNAUDITED)Table 19 CAPITAL ASSET STATISTICS BY FUNCTION LAST EIGHT FISCAL YEARS 2005 2006 2007 2008 2009 2010 2011 2012 Function Public safety Police Stations 11111111 Patrol units 22 25 26 26 26 26 26 28 Fire Stations 22222222 Vehicles 10 13 13 13 13 13 13 14 Fire hydrants 1,699 1,699 1,699 1,699 1,699 1,699 1,699 1,699 Culture and recreation Parks 51 51 51 53 53 53 57 57 Trails 10 10 10 10 10 10 10 10 Streets Lane miles of streets 290 290 290 290 310 311 311 311 Miles of streets 117 117 117 117 155 156 155 155 Water Wells 11 11 11 11 11 11 11 11 Water treatment plants 66666666 Miles of watermain 148 148 148 148 148 149 160 160 Sanitary Sewer Lift stations 23 23 23 23 23 23 23 23 Miles of sewermain 138 138 138 138 138 139 147 147 Storm Sewer Lift stations 10 10 10 10 10 10 10 10 Ponds and lakes 26 26 26 26 26 52 52 52 Catch basins 2,943 2,943 2,943 2,943 3,154 3,731 3,731 3731 Note: Fiscal Year 2005 was the first year implementing GASB Statement No. 44. Fiscal Year 173 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 182 - This page intentionally left blank - 174 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 183 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 184 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 185 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 186 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 187 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 188 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 189 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 190 Copyright ©2012 HLB Tautges Redpath, Ltd. Click to edit Master title style City of St. Louis Park, Minnesota 2012 Audit Review June 17, 2013 David J. Mol, CPA Copyright ©2013 HLB Tautges Redpath, Ltd. 1881055 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 191 Copyright ©2012 HLB Tautges Redpath, Ltd. •Opinion on the Fair Presentation of the Financial Statements •Report on Internal Controls •Report on Compliance with Minnesota legal Compliance Audit Guide for Political Subdivisions •Communication to Those Charged with Governance 2 Reports Issued by Auditor Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 192 Copyright ©2012 HLB Tautges Redpath, Ltd. •What did we do? –Audited the financial statements, which are the responsibility of management. •How did we do it? –Audit standards •GAAS (AICPA) •GAGAS (GAO) –Plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. •What is the result? –The financial statements present fairly, in all material respects, the financial position of the City in accordance with accounting standards. In other words, a “clean opinion”. 3 Opinion on Financial Statements Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 193 Copyright ©2012 HLB Tautges Redpath, Ltd. 4 GFOA Award for Excellence in Financial Reporting Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 194 Copyright ©2012 HLB Tautges Redpath, Ltd. •What did we do? –We gained an understanding of internal controls in place and their effectiveness in order to design our audit procedures for expressing an opinion on the financial statements. •How did we do it? –Obtain understanding of controls on each major class of transaction and account balance. –Perform tests of controls to determine adherence to controls in place and effectiveness. •What is the result? –One items noted •Audit adjustment related to revenue recognition and capital assets 5 Report on Internal Controls Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 195 Copyright ©2012 HLB Tautges Redpath, Ltd. •What did we do? –Followed the audit guide published by the Office of the State Auditor. The guide consists of seven sections: •Depositories of public funds and investments •Conflicts of interest •Public Indebtedness •Contracting bid laws •Claims and disbursements •Miscellaneous provisions •Tax increment •How did we do it? –Select sample of transactions to test for compliance with statutory provisions. •What is the result? –No findings of noncompliance. 6 Report on Compliance with Minnesota Legal Compliance Audit Guide Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 196 Copyright ©2012 HLB Tautges Redpath, Ltd. •Accounting policies used and/or changed by the City. –Capital assets accounting – Modified Approach •Accounting estimates in the financial statements. –OPEB obligation ($1.6M) •Financial statement adjustments identified during the audit. –Two immaterial adjustments not made •Understatement of Property tax receivable •Current year capitalization of prior years expenses –One material corrected adjustment •Intergovernmental revenue recognition •No disagreements with management. •No difficulties encountered in performing the audit. 7 Communication to Those Charged With Governance Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 197 Copyright ©2012 HLB Tautges Redpath, Ltd. 8 2012 Financial Summary •See separate handout a b c d e f g h Revenue Expenditures Interfund Increase in Fund Balance/Cash and Other and Other Transfers Fund Balance/Net Assets Balance Fund Type Sources Uses (Net)Net Assets 12/31/12 12/31/12 1 General $22,243,000 $22,610,000 $906,000 $539,000 $11,977,000 $14,118,000 2 Special Revenue 11,048,000 11,370,000 (818,000) (1,140,000) 3,756,000 4,419,000 3 Debt Service 2,253,000 2,963,000 1,325,000 615,000 2,379,000 2,414,000 4 Capital Project 14,450,000 15,672,000 (598,000) (1,820,000) 43,595,000 37,225,000 5 Enterprise 16,184,000 12,410,000 (1,660,000) 2,114,000 33,314,000 6,901,000 6 Internal Service 2,002,000 3,494,000 845,000 (647,000) 14,850,000 3,825,000 7 Total $68,180,000 $68,519,000 $0 ($339,000) $109,871,000 $68,902,000 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 198 Copyright ©2012 HLB Tautges Redpath, Ltd. 9 2012 Revenue Sources – All Funds Property Taxes Tax Increment Franchise Tax Licenses and Permits Intergovernmental Charges for Services Fines and Forfeits Special Assessments Investment income Miscellaneous Bond Proceeds Property taxes 36% Charges for services 31% TIF 9% Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 199 Copyright ©2012 HLB Tautges Redpath, Ltd. 10 2012 Expenditures – All Funds Wages and benefits Capital outlay Depreciation Debt service Disposal charges HIA Street Rehab Redevelopment All other Wages and Benefits 37% All Other 22% Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 200 Copyright ©2012 HLB Tautges Redpath, Ltd. 11 Constraints on Fund Balance (External)(Internal) (Internal) Fund Nonspendable Res tricted Committed Assigned Unassigned Total General fund 70,450 458,448 - 690,242 10,757,776 11,976,916 Parks and Recreation 426,736 - - 654,761 - 1,081,497 Housing Rehab 2,853,048 - - - (2,411,416) 441,632 Debt service funds - 2,379,348 - - - 2,379,348 PIR - - - 3,981,303 - 3,981,303 Street capital projects - - - - (1,333,081) (1,333,081) Development EDA 10,364,386 - - 14,649,105 - 25,013,491 Redevelopment District - 9,712,202 - - (3,255,857) 6,456,345 Cable Television - 653,205 459,160 418,641 - 1,531,006 Community Development 415,409 - - - (42,207) 373,202 Special Service Districts - - - 329,243 - 329,243 Fire Station Bonds - - - - (524,556) (524,556) Park Improvement - - - 3,692,176 - 3,692,176 Pavement Mgmt - - - 1,857,864 - 1,857,864 Police and Fire Pensions - 4,451,662 - - - 4,451,662 Total 14,130,029 17,654,865 459,160 26,273,335 3,190,659 61,708,048 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 201 Copyright ©2012 HLB Tautges Redpath, Ltd. 12 General Fund Working Capital Needs $- $2,000,000 $4,000,000 $6,000,000 $8,000,000 $10,000,000 $12,000,000 $14,000,000 $16,000,000 General Fund Monthly Cash Balances Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 202 Copyright ©2012 HLB Tautges Redpath, Ltd. 13 History of General Fund Balance Targeted fund balance is 35% - 50% of subsequent years budgeted expenditures. The Unassigned fund balance at December 31, 2012 was 45% of subsequent years budgeted expenditures. $ - $2,000,000 $4,000,000 $6,000,000 $8,000,000 $10,000,000 $12,000,000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 History of General Fund Balance Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 203 Copyright ©2012 HLB Tautges Redpath, Ltd. 14 Debt Service Funds Fund Debt Balance at Payable at Source of Bond Issue 12/31/12 12/31/12 Repayment Tax Increment Bonds: Tax Increment Refunding Bonds, Series 2004A $ - $1,415,000 Tax increment (Trunk Highway 7) Tax Increment Bonds , Series 2008B - 5,185,000 Tax increment (West End) General Obligation Bonds: G.O. Bonds, Series 2000A (Acq. and renov. of multi-family housing developmen 121,000 - Paid off in 2011 ($3,770,000) G.O. Bonds, Series 1999A 59,000 - Paid off in 2011 ($310,000) G.O. Bonds, Series 2005A (Aquatic Park Expansion)617,000 1,730,000 Property taxes (approx. $500K annually) G.O. Bonds, Series 2010A (Sunset Ridge)87,000 2,995,000 Housing Improvement Fee G.O. Refunding Bonds, Series 2010B (Refunded the 2003 bonds)619,000 945,000 Property taxes (approx. $500K annually) G.O. Refunding Bonds, Series 2010C ( Refunds 2000A Louisiana Court Project)85,000 1,745,000 Loan payments from Developer G.O. Bonds, Series 2010D (Fire Station)831,000 13,025,000 Property taxes and federal rebate G.O. Bonds, Series 2012A (HIA)(40,000) 1,290,000 Housing Improvement Fee Total $2,379,000 $28,330,000 Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 204 Copyright ©2012 HLB Tautges Redpath, Ltd. 15 Water Utility $0 $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 $7,000,000 $8,000,000 $9,000,000 $10,000,000 2007 2008 2009 2010 2011 2012 Transfer Out Depreciation Interest All Other Expenses Personal Services Operating Revenue Water Operating Revenue & Expense $3.9M transferred to CRF for MSC Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 205 Copyright ©2012 HLB Tautges Redpath, Ltd. 16 Sewer Utility $0 $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 $7,000,000 2007 2008 2009 2010 2011 2012 Transfer Out Depreciation Personal Services All Other Expenses MCES Operating Revenue Sewer Operating Revenue & $1,200,000 transferred to Water Utility Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 206 Copyright ©2012 HLB Tautges Redpath, Ltd. 17 Solid Waste $0 $500,000 $1,000,000 $1,500,000 $2,000,000 $2,500,000 $3,000,000 $3,500,000 $4,000,000 2007 2008 2009 2010 2011 2012 Transfer Out Operating Expenditures Solid Waste $1M transferred to CRF for MSC Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 207 Copyright ©2012 HLB Tautges Redpath, Ltd. 18 Tax Levy and Tax Rates 2005 2006 2007 2008 2009 2010 2011 2012 2013 Tax Rate 37.381 36.344 34.738 34.759 36.667 37.116 41.459 45.672 46.552 Tax levy $17.902 $18.374 $19.478 $20.620 $21.815 $22.465 $23.363 $23.763 $24.713 0 5 10 15 20 25 30 35 40 45 50 History of Tax levy and Tax Rates Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 208 Copyright ©2012 HLB Tautges Redpath, Ltd. 19 Other Financial Items •St. Louis Park is a net contributor to the fiscal disparities pool. –Tax capacity contributed to the pool $7,992,532 –Tax capacity distributed from the pool $5,051,854 –Net contribution $2,940,678 –Net contribution is 4.7% of city’s tax capacity Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and Review Page 209 City of St. Louis Park, MinnesotaSummary Financial ActivityFor the Year Ended December 31, 2012ab cdefghijRevenue Expenditures Interfund Increase in Fund Balance/ CashCAFR and Other and Other Transfers Fund Balance/ Net Assets BalanceFund page Sources Uses (Net) Net Assets 12/31/12 12/31/12 Comments1General36 $22,243,000 $22,610,000 $906,000 $539,000 $11,977,000 $14,118,000$1.16M transferred to Various Funds2Special Revenue:3 Parks and Recreation 36 6,339,000 6,528,000 251,000 62,000 1,081,000 889,0004 Housing Rehabilitation 36 3,705,000 4,052,000 (860,000) (1,207,000) 442,000 1,791,000 $500K transferred to Park Center TIF; $253K transferred to 2010A Bonds5 Cable Television 103 636,000 477,000 (209,000) (50,000) 1,531,000 1,384,000 $209K transferred to General Fund6 Community Development 103 104,000 117,000 - (13,000) 373,000 - $415K in Loans receivable at 12/31/127 Special Service Districts 103 264,000 196,000 - 68,000 329,000 355,0008Debt Service:2012A G.O. HIA Bond - 40,000 - (40,000) (40,000) - 9 Hoigaard' 2010 A & B TIF 115 - 495,000 495,000 - - - $495K transferred from Elmwood TIF10 2010A G.O. Bond113 - 249,000 253,0004,00087,00087,000 $253K transferred from Housing Rehabilitation fund11 2010B G.O. Bond113508,000 474,000 - 34,00044,00044,00012 2010C G.O. Bond114120,000 110,000 - 10,00085,00085,00013 2010D G.O. Fire Station Bond113 1,119,000 552,000 - 567,000 831,000 749,00014 2010 G. O. Bond Reserve114 - - - - - 81,00015 2008B G. O. Tax Increment Bond115 - 525,000 525,000 - - - $525K transferred from West End TIF16 2005A G. O. Bond115499,000 466,000 - 33,000 617,000 615,00017 2004 G. O. Tax Increment Refunding (EDA) 115 - 52,00052,000 - - - Received transfer from Trunk Highway 7 TIF fund18 2003 G. O. Bond1136,000 - - 6,000 575,000 573,000 Bonds have been paid-off19 2000 G. O. Bond Reserve114 - - - - 121,000 121,000 Bonds have been paid-off20 1999 G. O. Bond1131,000 - - 1,00059,00059,000 Bonds paid-off in 201121Capital Project:22 Permanent Improvement Revolving37295,00081,000 (327,000) (113,000) 3,981,000 2,987,000 $300K transferred to Equipment Replacement Fund23 Streets Capital Projects37474,000 2,156,000 1,188,000 (494,000) (1,333,000) - Received transfer from HRA Levy Fund and Elmwood TIF Fund24 Development EDA37 3,066,000 2,139,000 119,000 1,046,000 25,013,000 14,445,0002012 activity includes $650K of revenue and expenditure related to CVB tax25 Police and Fire Pension10754,00056,000 (496,000) (498,000) 4,452,000 4,478,000 $134K transferred to General Fund; $362K transferred to Fire Station project Fund26 Fire Station Bonds3618,000 3,015,000 362,000 (2,635,000) (525,000) - Bonds issued on 12/29/10, proceeds expended in 2011 and 201227 Park Improvement107 1,364,000 1,169,000 500,000 695,000 3,692,000 3,723,000 $500K transferred from General Fund28 Pavement Management105 1,679,000 2,158,000 - (479,000) 1,858,000 1,600,000 Franchise fee revenue of $1.336M29 Redevelopment District (EDA)30 Duke West End TIF 123 784,000 431,000 (525,000) (172,000) 57,000 495,000 Has $420K interfund loan payable to Development EDA31 Ellipse TIF District 123 200,000 109,000 (177,000) (86,000) (84,000) 94,00032 HRA Levy 123 1,024,000 50,000 (811,000) 163,000 4,777,000 4,757,000 $811K transferred to Streets Capital Projects for Hwy 7 & Louis project33 Trunk Highway 71238,00023,000 (52,000) (67,000) 703,000 703,000 Transfers made to 2004A Debt service fund34 HSTI123 1,240,000 773,000 - 467,000 1,179,000 1,178,000 Expenditures include reimbursement to Park Nicollet for remediation costs35 Victoria Ponds124473,000 679,000 - (206,000) 447,000 446,00036 Park Center Housing124108,0002,000 500,000 606,000 1,233,000 589,000 $500K transferred from Housing Rehab Fund37 CSM TIF District124377,000 330,000 - 47,000 441,000 439,00038 Mill City TIF District124264,000 245,000 - 19,000 183,000 183,00039 Park Commons TIF District124 1,645,000 1,626,000 - 19,000 509,000 502,00040 Edgewood TIF District12544,00065,000 - (21,000)(1,000) - 41 Elmwood Village125909,000 140,000 (851,000) (82,000) (3,142,000) 419,000 This fund has an interfund loan payable to Development EDA in the amount of $3.5M42 Wolfe Lake TIF District125121,000 116,000 - 5,00080,00081,00043Aquila Commons125156,000 162,000 - (6,000) 89,00091,00044 Highway 7 Business Center125147,000 146,000 - 1,00015,00015,00045 Hard Coat TIF125 - 1,000 (28,000) (29,000) (29,000) - 46Enterprise:47 Water Utility42 5,108,000 3,831,000 696,000 1,973,000 8,603,000 270,00048 Sewer Utility42 6,079,000 4,550,000 (1,890,000) (361,000) 7,256,000 2,381,000 $1.2M transferred to Water Utility49 Solid Waste43 3,002,000 2,563,000 (196,000) 243,000 2,929,000 2,479,00050 Storm Water Utility43 1,995,000 1,466,000 (270,000) 259,000 14,526,000 1,771,00051Internal Service:52 Employee Administrative131332,000 922,00035,000 (555,000) (3,880,000) 1,293,00053 Uninsured Loss131377,000 548,000 400,000 229,000 897,000 828,00054 Equipment Replacement131 1,293,000 2,024,000 410,000 (321,000) 17,833,000 1,704,000 Total$68,180,000 $68,519,000$0 ($339,000) $109,871,000 $68,902,000Special Study Session Meeting of June 17, 2013 (Item No. 2) Title: 2012 Financial Statements – Auditors Discussion and ReviewPage 210 Meeting: City Council Meeting Date: June 17, 2013 Action Agenda Item: 2a EXECUTIVE SUMMARY TITLE: 2012 Financial Statements – Auditors Discussion and Review RECOMMENDED ACTION: No action required. City Council is asked to provide any comments or questions it might have regarding the Comprehensive Annual Financial Report (CAFR), Communication with Those Charged with Governance, Report on Compliance and Internal Controls for the year ended December 31, 2012. POLICY CONSIDERATION: • Is the City Council comfortable with the information contained in the Comprehensive Annual Financial Report (CAFR), Communication with Those Charged with Governance, Report on Compliance and Internal Controls for the year ended December 31, 2012 to allow for effective decision making? • Would the Council desire to have any follow-up discussion on the Audit? SUMMARY: The City of St. Louis Park is required to have an independent audit performed annually. The auditors work for the City Council, not the City management team. For the presentation, David J. Mol – Partner from HLB Tautges Redpath, Ltd. will discuss the information and key financial points with the City Council. The City received a clean audit opinion, or “unqualified opinion”, which means that HLB Tautges Redpath, Ltd. believe the financial statements, as presented by city staff, fairly represents the City’s financial condition as of December 31, 2012. Staff has submitted the CAFR to the Office of the State Auditor as required and also submitted it to the Government Finance Officers Association (GFOA) to be considered for the Achievement for Excellence in Financial Reporting certificate program for which the City of St. Louis Park has been recognized for 29 consecutive years. FINANCIAL OR BUDGET CONSIDERATION: This report shows the City of St. Louis Park remains in strong financial condition. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: 1) 2012 - Comprehensive Annual Financial Report* 2) 2012 – Communication for Charged with Governance* 3) 2012 - Reports on Compliance and Internal Controls* 4) 2012 - Audit Review* 5) 2012 - St. Louis Park Financial Summary* (* See Special Study Session Report for Attachments.) Prepared by: Brian A. Swanson, Controller Reviewed by: Nancy Deno, Deputy City Manager/HR Director Approved by: Tom Harmening, City Manager Meeting: City Council Meeting Date: June 17, 2013 Consent Agenda Item: 2b EXECUTIVE SUMMARY TITLE: Recognition for Mike Rardin’s Years of Service RECOMMENDED ACTION: Read certificate and recognize Engineering Director Mike Rardin for his 18 years of service to the City of St. Louis Park. POLICY CONSIDERATION: None at this time. SUMMARY: City Policy states that employees who retire or resign in good standing with over 10 years of service will be presented with a framed certificate from the Mayor, City Manager, and City Council. Mike Rardin has retired after more than 18 years of service to the City’s Engineering Department. Mike will be in attendance at this meeting. The Mayor is asked to read the certificate and present it to him in recognition of his years of service. FINANCIAL OR BUDGET CONSIDERATION: Funds are budgeted for this change. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: None Prepared by: Ali Fosse, HR Coordinator Reviewed by: Nancy Deno, Deputy City Manager/HR Director Approved by: Tom Harmening, City Manager Meeting: City Council Meeting Date: June 17, 2013 Minutes: 3a UNOFFICIAL MINUTES CITY COUNCIL STUDY SESSION ST. LOUIS PARK, MINNESOTA MAY 28, 2013 The meeting convened at 6:30 p.m. Councilmembers present: Mayor Jeff Jacobs, Steve Hallfin, Anne Mavity, Julia Ross, Sue Santa, and Jake Spano. Councilmembers absent: Susan Sanger. Staff present: City Manager (Mr. Harmening), Director of Engineering (Mr. Rardin), City Engineer (Mr. Brink), Director of Community Development (Mr. Locke), Planning/Zoning Supervisor (Ms. McMonigal), Senior Planner (Mr. Walther), Communications Coordinator (Mr. Zwilling), and Recording Secretary (Ms. Hughes). Guests: Mark Fuhrmann, Jim Alexander, and Sophia Ginis (Metropolitan Council Southwest Project Office). 1. Future Study Session Agenda Planning – June 10, 2013 Mr. Harmening presented the staff report and proposed study session agenda for June 10, 2013, and advised that the agenda item related to concept plans for a multiple family residential redevelopment at the West End has been removed from the agenda for the time being. 2. Southwest Light Rail Transit Update Mr. Locke presented the staff report and introduced Mr. Mark Fuhrmann and Mr. Jim Alexander from the Metropolitan Council Southwest Project Office (SPO). Mr. Fuhrmann thanked Council for the opportunity to present an update regarding SWLRT and corresponding freight rail routing questions. He presented the SWLRT development timeline noting that the project development and design process will take place through 2013 with municipal consent occurring the latter part of 2013. He advised that 30% of the design process would be finished in the first quarter of 2014 followed by final engineering. He indicated that Met Council recently hired CH2M Hill as the Final Environmental Impact Statement (FEIS) consultant and stated they had done the FEIS for the Denver LRT project, too. He extended thanks on behalf of the SPO for all of the time and energy invested by City staff and for their assistance in identifying concerns to be addressed through the design process. He explained that Freight Rail Technical Issue #21 related to freight rail co-location or relocation was required by the FTA as a condition to enter Preliminary Engineering and is part of the Met Council’s due diligence and responsibility as project sponsor. Mr. Alexander stated the SPO has been working with City and County staff, Three Rivers Park District, the Minneapolis Park Board, as well as CP, TC&W, and BNSF railroads on Technical Issue #21 and presented a chart depicting existing train volumes on the TC&W/Bass Lake and Kenilworth Corridor, CP/MN&S, and BNSF/Wayzata Subdivision. He pointed out the train volumes have been updated with current values provided by the railroads. He advised that the City Council Meeting of June 17, 2013 (Item No. 3a) Page 2 Title: Study Session Meeting Minutes of May 28, 2013 SPO has been reviewing plats from the County and doing some surveying showing available right-of-way in the Kenilworth Corridor with Section A right-of-way at 139’, Section B right-of- way at its narrowest by the West Lake Street bridge at 49’, and Section C right-of-way at 42’, adding that BNSF has indicated a willingness to sell some land in this area that would provide a total of 98’ of right-of-way in this area. He stated that Section D also has a right-of-way of 98’ at its tightest point north of 21st Street. He explained that the SPO has developed six different design options for freight rail co-location and then presented several diagrams depicting all modes accommodated at-grade. He pointed out the 25’ clearance from center line of the freight rail tracks to the edge of the rights of way (ROW) is based on a standard of the American Railway Engineering & Maintenance Association (AREMA) that suggests at least 25’ from the track centerline to the nearest obstruction. He indicated they presented this to the railroad and are awaiting input from CP and TC&W about an acceptable dimension.He stated that a crash wall is typically required with a separation of anything less than 25’. He explained that Section A has 139’ of available right-of-way and would require 149.6’ of right-of-way if light rail, freight rail and the trail were included in this area because it also needed to accommodate the West Lake Station platform. He explained that Section B north of the Lake Street bridge would have an encroachment of 45’ into the adjacent property to expand the right-of-way to the 94’ required to accommodate the freight rail, light rail and regional trail at grade. He explained that Section C has 42’ of available right-of-way coupled with the BNSF property of 56’ for a total of 98’ of available right-of-way. He explained that Section D north of 21st Street would encroach onto a residence north of 21st Street and added the spacing in this area would need to accommodate the Burnham Bridge south of this area. He advised that other design options for co-location considered by the SPO include designs for a shallow tunnel and deep twin bored tunnels for light rail, elevated light rail, relocation of the trail, and elevation of the trail. He discussed options for the trail relocation route and trail elevation options. He also discussed options for elevated light rail and presented diagrams depicting 9’ of clearance between freight rail and the piers holding the elevated trail. He discussed the option of having light rail in a shallow tunnel and stated this option presents challenges from a constructability standpoint and would require special maneuvers to relocate freight rail during construction. He then discussed an option of having light rail in deep twin bored tunnels and stated the SPO believes this is workable even with freight rail operating in the area during construction by realignment of the Cedar Lake trail through this area. He then reviewed a modified MN&S connection and explained that TC&W had a lot of comments in the DEIS process indicating they took issue with the horizontal and vertical curves in the DEIS plan for re-locating freight rail to the MN&S. The SPO has come up with a design that flattens out those curves but the railroad has stated this is still not acceptable because of the reverse curves; as a result, the SPO created the Brunswick West and Brunswick Central options. He stated these designs were shared with the railroad and the railroad indicated they feel they can work with this design concept. He indicated the alignment under all the relocation scenarios assumes the switching wye would be replaced by a southerly connection. He presented the property impacts for the Brunswick West alignment. This option would link up the Walker Street on the north side of Highway 7 with a new north frontage road. The Brunswick West option would cross Hwy 7 with a bridge structure over both south and north Hwy 7 frontage roads and proceed up through the high school football field resulting in creation of a new right-of-way of approximately 99’ wide shown in Section A. He discussed property impacts for the Brunswick Central alignment and stated this scenario would lower Highway 7 approximately 4.5’, and as this alignment progresses east there would be encroachment on land used by the Spanish Immersion School. He stated that Section A in the Brunswick Central alignment suggests an 86’ right-of-way is required and would relocate Library Lane, Section B of this alignment shows freight rail located 12’ above the ground surface with 66’ of right-of-way created for freight rail, Section C of this alignment depicts freight rail City Council Meeting of June 17, 2013 (Item No. 3a) Page 3 Title: Study Session Meeting Minutes of May 28, 2013 20’ above the existing grade with 66’ of right-of-way to accommodate freight rail, and Section D of this alignment depicts freight rail 19’ above the existing grade with a 52’ proposed right-of- way. He indicated Section E of this alignment would be 13’ above the existing top of the rail and would be 22’ above ground. He discussed the MN&S proposed to be realigned north of Minnetonka Boulevard and stated this suggested design is similar to the DEIS design. It would require that four properties be acquired to account for the 28th St. road way being raised and for an at-grade crossing of the MN&S tracks. He showed the proposed freight rail tracks in both the Brunswick West and Central options and stated there would be an approximate 10,000’ siding running along the BNSF subdivision for both options. He stated the Brunswick alignment would have to raise the grade 6’ in Section F in order to accommodate freight rail and added the railroads have accepted the Brunswick West and Central alignments as laid out. He indicated the Brunswick alignment in Section G would raise the grade approximately 5’ to accommodate new track and Section H of this alignment would need to move to the east and would be 15’ above the overall existing grade. Mr. Fuhrmann reviewed next steps and advised that public open houses are scheduled on Thursday, June 13th, at 8:00 a.m. and 4:30 p.m. at Benilde St. Margaret. He indicated that the SPO will continue to work on refined design options and cost impacts over the next month and will plan another round of presentations in July as well as formal advisory committee meetings in late July and early August culminating in a recommendation to Met Council in late August of a recommended decision on freight rail. Councilmember Santa requested further information regarding the updated figures for existing train volumes and asked if another refinement of these figures could be expected. Mr. Fuhrmann replied this information reflects what the railroads are currently experiencing and stated that train volumes ebb and flow with the economy, adding it could be more or less in the future but neither the Met Council nor the City has any control over this. Councilmember Ross noted that BNSF has 91 average weekly trains with 80-125 cars per train and expressed concern regarding the number of trains and the potential for adding more trains. She urged the SPO to include full mitigation in its cost comparisons for homes and businesses as well as the School District that would be impacted by a reroute. She requested further information regarding the deep bored tunnels and asked if this type of tunnel would be safe for operating a train on top of the tunnel. She also requested further information regarding the elevated trails and expressed concern about emergency vehicles being able to reach someone who was injured on an elevated trail. Mr. Fuhrmann replied that a deep bored tunnel would be safe for operating a train on top of the tunnel and stated there would be approximately 50’ between the freight and light rail trains. He advised that the Sabo pedestrian and regional bike trail was designed to accommodate emergency medical vehicles and an elevated trail would likely have this type of bridge. Councilmember Mavity asked if the SPO has determined the number of properties that will be taken in each scenario. Mr. Fuhrmann replied there are 62 or 63 properties that would be acquired. He stated the SPO has identified 42 property acquisitions for the Brunswick West option and 30 property acquisitions for the Brunswick Central option. He noted that these are the identified acquisitions based on the level of design today and these figures can fluctuate as the design is refined. City Council Meeting of June 17, 2013 (Item No. 3a) Page 4 Title: Study Session Meeting Minutes of May 28, 2013 Councilmember Mavity noted the design does not include widening of the corridor as previously discussed on the entire MN&S corridor north of Minnetonka Boulevard, adding if freight was relocated, the entire right-of-way would need to be widened and would require additional property acquisitions. Mr. Locke stated the City’s position has been that the right-of-way north of Minnetonka Boulevard needs to be wider in order to provide a buffer between residents and the rail track itself and indicated the SPO designs reflect minimum right-of-way needed to fit the freight tracks with the 25’ separation between the centerline of the train track and private property. Councilmember Mavity stated the SPO will have cost estimates available for review by Council in approximately six weeks and felt this was a short amount of time to have the kind of cost information Council would need to evaluate this. She indicated the City has been clear in its DEIS comments about widening the right-of-way and many other factors the City feels are necessary in either option and urged the SPO to include consideration of all the minimum requirements to make this work for the community in either scenario. Mr. Fuhrmann stated the SPO benefits from the St. Louis Park and Minneapolis resolutions identifying its required mitigations and indicated the SPO is not able to deliver a final mitigation design but would identify the mitigation concepts previously identified by the City and present some cost estimates to the City. Councilmember Mavity asked what decision factors the SPO is using to decide on the best route. Mr. Fuhrmann stated the SPO developed, and Met Council approved, thirteen guiding principles with input and comment from all city and county stakeholders that are being used to evaluate these major scoping decisions. Councilmember Hallfin asked if TC&W and/or CP have indicated which Brunswick option they prefer. Mr. Alexander replied that TC&W and CP have indicated the co-locate design represents what TC&W runs on today and that the Brunswick West and Brunswick Central are acceptable designs to the railroads. Councilmember Hallfin requested information about the amount of design changes that can be anticipated as the project moves through the municipal consent process. Mr. Fuhrmann explained that once municipal consent is granted there will be a number of refinements made and if significant changes are made in the design, municipal consent must be requested again to reflect that significant change in the final design. Councilmember Spano felt it was important to address not only the quantity of properties being taken but also to talk about the types of properties, e.g., one design shows impacts through the football field which impacts hundreds of people throughout the community. He stated he wanted to make sure Council is on record as stating that the number of properties being acquired is important but so too are the types of properties impacted. He asked about the impacts on properties taken through the Kenilworth corridor with either a shallow or deep bore tunnel. City Council Meeting of June 17, 2013 (Item No. 3a) Page 5 Title: Study Session Meeting Minutes of May 28, 2013 Mr. Fuhrmann stated the number of properties identified for acquisition in a co-location option does not change that much with a deep or shallow tunnel or at grade. He stated they will need to provide for continued operation of freight rail that will require taking some of the properties to allow for the construction phase and to allow freight rail to continue during construction. Councilmember Spano asked if the trail could be used temporarily during construction. Mr. Fuhrmann replied they have not assumed the trail can be used temporarily during construction and their working assumption has been that they would have to acquire properties during construction of the tunnel options. Councilmember Spano stated that even though the Brunswick options have not been thoroughly discussed, he was eager to explore that as an option. Councilmember Santa stated the relocation options for Brunswick West and Brunswick Central include a lot of tearing up of roads that impacts everyone in a particular neighborhood and this represents another cost that needs to be factored into the cost estimates. Mr. Fuhrmann stated the road improvements were not included in the property acquisition numbers. Councilmember Ross stated these costs cannot be ignored and should be included as mitigation. Mr. Fuhrmann indicated this would be a mitigation action that will be a project cost responsibility borne by the project and not by the City. Councilmember Ross asked about the Bottineau line and the potential impact for BNSF and stated she was concerned about trains idling or parking and any potential negative impact to the trains in St. Louis Park. Mr. Fuhrmann stated he is also working on the Bottineau line and indicated there would be minimal impact of the Bottineau light rail running parallel with the BNSF trackage, adding the Preliminary Engineering analysis shows there would be no impacts requiring a shifting of the BNSF trains to other corridors. Councilmember Mavity stated the Wooddale and 36th Street area is arguably one of the most congested intersections in the City and expressed concern about this area especially when light rail is added and felt the cost estimates and engineering should reflect what it will take to address the traffic in these areas. Mr. Harmening stated that Council will have a discussion on June 10th about what the City’s process for evaluating freight rail options will be, and the discussion will include the City’s public process. He asked what SPO is looking for from the City in terms of input prior to making its recommendation to the Met Council. Mr. Fuhrmann stated the SPO greatly values the input and engagement from the City Council and City staff. He indicated the questions and comments received will be helpful in providing guidance to the SPO in further evaluating the design options. He requested that the City provide the SPO with the list of questions generated at the June 10th Council meeting and also requested that the City provide the SPO with Council’s preferences regarding the freight rail question. City Council Meeting of June 17, 2013 (Item No. 3a) Page 6 Title: Study Session Meeting Minutes of May 28, 2013 Councilmember Hallfin asked if the FEIS process is similar to the DEIS process. Mr. Fuhrmann explained that the SPO is required to evaluate and respond to all the comments received during the DEIS process and the FEIS document is expected to be completed and published in fall 2014. He advised the SPO will want to have some community engagement and outreach as part of the FEIS before the document is ultimately published in the Federal Register. He added that when the FTA is comfortable that the SPO has responded to all the comments submitted on the DEIS, the SPO will work with the EPA to publish the FEIS document. Mayor Jacobs thanked Mr. Fuhrmann and Mr. Alexander for the update and recessed the study session at 8:08 p.m. 3. Pedestrian and Bicycle System Implementation Plan Update Mr. Harmening presented the staff report and provided a brief history of the pedestrian and bicycle system implementation plan, noting this is the second generation of the City’s sidewalk and trail system planning, with the first plan done in the late 1990s that resulted in significant trail, sidewalk, and bridge improvements. He advised that these efforts were the result of the City’s visioning process undertaken first in 1995 where the community made a strong statement that residents wanted more sidewalks and trails from a walkability perspective and the City heard the same thing in 2005 during the second visioning process. He recited the purpose and several of the goals and objectives of this long range plan. He stated after the goals were established, staff had conversations with Council that resulted in a preliminary system plan that was presented to the community last fall and was called “Connect the Park.” He stated the City started to contact potentially impacted property owners along the system through direct mailings and the City received a lot of comments that are included in Council’s packet. He indicated the City also received some comments after the packet was delivered to Council, including a study done by residents on 40th Street, that will be included as part of the official record. Mr. Brink distributed a petition from residents on Westmoreland Lane who are opposed to a sidewalk and also distributed copies of several emails received regarding support for sidewalks on 39th and 40th. Councilmember Spano expressed general support of the plan and stated increased connectivity was important to residents based on the community input received and staff put a lot of effort into outlining a plan that achieves these goals. Councilmember Hallfin asked if the sidewalk on 41st Street would be done this year. Mr. Brink advised the City will be doing survey work and after the plan is put together, the City will begin the public process, adding he was skeptical this sidewalk could be done in 2013 because of timing, and the City has other projects already scheduled this year. Councilmember Hallfin acknowledged several resident concerns regarding the potential impact on their trees and stated there is a way to engineer the sidewalks to go around the trees and keep them healthy, adding the City took this into consideration when it built sidewalks in the past to minimize impacts to landscaping and trees. Councilmember Mavity stated that she respected that Council’s initial inclination was to prepare a plan and take it to the neighborhoods but felt the plan lacked sufficient detail. She indicated City Council Meeting of June 17, 2013 (Item No. 3a) Page 7 Title: Study Session Meeting Minutes of May 28, 2013 she would not vote for a plan that would take all the trees and felt that staff was asking Council to vote on a plan where the impact is not yet known. Mr. Harmening advised that if Council adopted the proposed system plan, it would be adopting a big picture plan and reminded Council that plans change all the time and if Council found something in the plan during the next phase that would not work for a neighborhood, then the plan would be changed. Councilmember Mavity requested information regarding the matrix or analysis used for each of the sidewalk segments. She indicated there are blocks with one or two houses with a sidewalk and it does not appear these gaps are addressed in the final plan. She stated residents have partnered with the City to plant trees and it was her understanding that Council asked staff to make sure that residents are coordinating their tree planting with the City but she has seen locations where trees have been marked for planting in a location where a sidewalk might be installed. She requested information about landscaping and other investments residents have made in their property and asked if the City would be replacing these items for residents in locations where a sidewalk is installed. Mr. Walther advised this plan was driven from the City’s Vision process with the goal of creating a system with a quarter-mile sidewalk grid and a half-mile bicycle grid. He stated the City then worked with its consultant and the citizen advisory committee to determine how the grids would work given the City’s existing sidewalks and streets; in addition, the process identified a significant gap in north-south connections in the community. Mr. Brink stated the City is working closely with the City Forester and has contacted residents who had questions regarding their trees and to make sure people do not plant trees where a sidewalk is being proposed. He noted that underground sprinklers and landscaping placed in the right-of-way are permitted uses but residents do so at their own risk. Mr. Rardin stated the proposed plan should not be aimed at the specific project level but should focus on whether Council feels these are the routes the City needs to move people around the community, adding the City will work with residents on potential impacts as projects commence to make sure there is the least amount of impact on landscaping and trees, etc. Councilmember Ross indicated this is a ten-year plan and some residents might not be living in the same place when a sidewalk project is started in their neighborhood. She suggested implementing a system for notifying people when they move into the City that their street is slated for sidewalk construction. She stated she did not see Westmoreland as a priority given the pushback from residents. She noted the City is not proposing a sidewalk on the west side of Virginia and stated she and Councilmember Santa earlier agreed that going under the railroad bridge in this area is a significant safety concern and requested that the City fix the sidewalk in that area on the east side. She added she has also expressed concern about the area along Louisiana Avenue and Cedar Lake Road because people have to stand in the street in the winter waiting for the bus because there is no sidewalk on the east side. Councilmember Santa stated she talked to a resident who won an Evergreen Award about their landscaping in the right-of-way and the resident said she knows she planted in the right-of-way and that she did so at her own risk. She indicated residents previously had the same concerns about their trees and landscaping during the earlier iteration of this plan and reminded Council that the City worked hard with residents to preserve trees wherever possible and those trees are City Council Meeting of June 17, 2013 (Item No. 3a) Page 8 Title: Study Session Meeting Minutes of May 28, 2013 thriving today. She stated the proposed plan presented by staff and the final result will be very different in many cases because the plan will be fine-tuned and residents will be significantly involved in the process as before. She expressed support for the overall plan and added staff has instructions from Council to work with residents to find optimum solutions to every segment of sidewalk in this process. Mayor Jacobs expressed support for sidewalks throughout the City but felt that if residents do not want a sidewalk on their street, then they can choose not to have a sidewalk and the City should not force sidewalks on them. Councilmember Spano stated that residents have indicated they want greater connectivity in the community and Council gave direction to staff to move forward with a plan that achieved those goals. He acknowledged there are legitimate concerns but felt it was a process that Council needed to work through and felt the plan was worth pursuing. Councilmember Hallfin asked if any of the sidewalk segments should be pulled off the plan tonight, e.g., Westmoreland. Councilmember Ross indicated she was not comfortable doing that tonight. Mr. Rardin suggested that Council go through the public hearing process first and then make changes to the plan including removing sidewalks from the list. It was the consensus of the City Council to schedule a public hearing for June 17, 2013. Communications/Meeting Check-In (Verbal) None. The meeting adjourned at 9:32 p.m. Written Reports provided and documented for recording purposes only: 4. Complete Streets Policy/Resolution 5. April 2013 Financial Report ______________________________________ ______________________________________ Nancy Stroth, City Clerk Jeff Jacobs, Mayor Meeting: City Council Meeting Date: June 17, 2013 Minutes: 3b UNOFFICIAL MINUTES CITY COUNCIL MEETING ST. LOUIS PARK, MINNESOTA JUNE 3, 2013 1. Call to Order Mayor Pro Tem Sanger called the meeting to order at 7:30 p.m. Councilmembers present: Mayor Pro Tem Susan Sanger, Steve Hallfin, Anne Mavity, Julia Ross, Sue Santa, and Jake Spano. Councilmembers absent: Mayor Jeff Jacobs. Staff present: City Manager (Mr. Harmening), Planning/Zoning Supervisor (Ms. McMonigal), Assistant Zoning Administrator (Mr. Morrison), and Recording Secretary (Ms. Hughes). 1a. Pledge of Allegiance 1b. Roll Call 2. Presentations - None 3. Approval of Minutes 3a. Study Session Meeting Minutes May 13, 2013 The minutes were approved as presented. 3b. Special Study Session Meeting Minutes May 20, 2013 The minutes were approved as presented. 3c. City Council Meeting Minutes May 20, 2013 The minutes were approved as presented. 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. 4a. Adopt Resolution No. 13-084 designating Magney Construction, Inc., the lowest responsible bidder and authorize execution of a contract with the firm in the amount of $174,650.00 for Storm Water Project – Lift Station #6 (Phase 2) – Project No. 2007-2400. City Council Meeting of June 17, 2013 (Item No. 3b) Page 2 Title: City Council Meeting Minutes of June 3, 2013 4b. Adopt Resolution No. 13-085 authorizing installation of permit parking restrictions on Eliot View Road between Edgewood Avenue and Hampshire Avenue Area and to include Florida Avenue cul-de-sac. 4c. Adopt Resolution No. 13-086 accepting work and authorizing final payment in the amount of $98,724.35 for the 2012 Local Street Rehabilitation Project (Area 8) – Project Nos. 2011-1000 & 2012-1400, with Midwest Asphalt Corporation, City Contract No. 59-12. 4d. Confirm the appointment of Mark Windschitl to the position of Interim Fire Chief, effective May 31, 2013, at 4:30 p.m. 4e. Approve for filing Planning Commission Meeting Minutes April 17, 2013. 4f. Approve for filing BOZA Meeting Minutes April 25, 2013. 4g. Approve for filing Vendor Claims. It was moved by Councilmember Spano, seconded by Councilmember Santa, to approve the Agenda and items listed on the Consent Calendar; and to waive reading of all resolutions and ordinances. The motion passed 6-0 (Mayor Jacobs absent). 5. Boards and Commissions 5a. Appointment of Citizen Representatives to the Environment & Sustainability Commission: Sustainable SLP Councilmember Mavity expressed the City Council’s thanks to everyone who applied for the Environment & Sustainability Commission and stated there were more candidates than positions available so not all candidates could be appointed at this time. She indicated Council is grateful to the task force that helped establish the Commission and added the Commission will be forming work groups that will allow involvement by others in the community. It was moved by Councilmember Mavity, seconded by Councilmember Hallfin, to appoint the following members to the Environment & Sustainability Commission: Regular Members: Chris Anderson, Mark Eilers, Rachel Harris, Tom Hillstrom, Mary Karius, Cindy Larson O’Neil, Renee McGarvey, and Judy Voigt; Business Members: Tim Brausen and Terry Gips; Residential Tenant Member: Whitney Thesing; Youth Members: Caitlin Glennon and Alex Sundvall. The motion passed 6-0 (Mayor Jacobs absent). 6. Public Hearings - None 7. Requests, Petitions, and Communications from the Public – None 8. Resolutions, Ordinances, Motions and Discussion Items 8a. First Reading of Zoning Ordinance Amendment pertaining to Mobile Medical Uses. City Council Meeting of June 17, 2013 (Item No. 3b) Page 3 Title: City Council Meeting Minutes of June 3, 2013 Mr. Morrison presented the staff report and explained this Zoning Ordinance amendment is intended to allow mobile medical uses in a manner similar to the City’s Ordinance related to mobile food vehicles adopted last year. He advised the proposed Ordinance creates definitions for “mobile use,” “mobile use-food,” and “mobile use-medical” and contains conditions applicable to all uses as well as conditions specific to mobile use- food and mobile use-medical. He stated the proposed Ordinance requires all mobile uses to be located on non-residential property with property owner permission required; in addition, all required licenses and permits must be obtained and lighting, signage, and trash performance standards are required. He indicated that mobile medical uses are limited to vaccinations, diagnostics, and bloodmobiles and the City proposes to adopt a $50 fee for the mobile use permit to cover the City’s administrative expenses. He added the proposed Ordinance would take effect on July 13th. Councilmember Santa requested clarification regarding whether the permit is for a particular use or for a specific vehicle, e.g., if the bloodmobile has three bloodmobiles, she questioned whether that means every time they bring a different bloodmobile they would be required to get a new permit or whether one permit covers all bloodmobiles. Mr. Morrison replied the permit is written for the site and stated if the use is related to a food use or medical use the City would review the site plan provided and approve the use for that particular location. Councilmember Santa requested confirmation that when a bloodmobile comes to the City, it would be required to get a permit only once for the site and the permit would be good for a year. Mr. Morrison replied in the affirmative and added the permit is issued to the operator of the vehicle after securing permission from the property owner. Councilmember Santa requested that the Zoning Ordinance be clarified prior to second reading to make sure there are no misunderstandings in the future. Councilmember Ross asked if the $50 fee was sufficient to cover the City’s cost to check the licenses and perform necessary inspections to make sure the machines being used are safe to operate. She also requested confirmation that mobile medical uses can only provide vaccinations and diagnostics and cannot provide treatment or surgery. Mr. Morrison replied the Ordinance requires that a current license be submitted with the application. He also confirmed that mobile medical uses can only provide vaccinations and diagnostics and cannot provide treatment or surgery. It was moved by Councilmember Ross, seconded by Councilmember Mavity, to approve First Reading of Ordinance Amending the St. Louis Park Ordinance Code Relating to Zoning by Amending Section 36-82(b)(10), Section 36-142(g) and Appendix A-Fee Schedule and to set Second Reading for June 17, 2013. The motion passed 6-0 (Mayor Jacobs absent). 9. Communications City Council Meeting of June 17, 2013 (Item No. 3b) Page 4 Title: City Council Meeting Minutes of June 3, 2013 Mayor Pro Tem Sanger announced that the Fire Department will be hosting an open house on Tuesday, June 11th, from 5:00-8:00 p.m. at Fire Station #1. She also reminded residents that Parktacular begins next week with the annual parade on Saturday, June 15th, at 12:00 noon. She stated the community recently suffered a terrible tragedy at Peter Hobart and the community has pulled together and is currently conducting an online auction to benefit the families of the victims and the auction site is www.32auctions.com. Councilmember Santa stated that the first floor at City Hall is currently being remodeled and visitors must park in the east parking lot and enter City Hall on second or third floor. She indicated that a lot of signs have been posted directing visitors where to park and enter the building. She announced that the Aquatic Park opens on June 7th and the City’s spring cleanup day is June 8th from 8:00 a.m. to 1:00 p.m. at the Municipal Service Center, 7305 Oxford Street; in addition, Hennepin County will be sponsoring a hazardous waste collection event at the Junior High School on June 13-15 from 9:00 a.m.-4:00 p.m. Councilmember Spano stated he has been impressed by the community’s support offered to the families affected by the tragedy at Lilydale Park. He extended the City Council’s thanks to Mr. Harmening and the Police and Fire Departments for helping the families and also extended thanks to the St. Paul Police and Fire Departments and the rescue teams, as well as to Governor Dayton. Councilmember Hallfin stated the tragedy at Lilydale Park affects everyone in St. Louis Park and felt the community has come together during this horrific tragedy. He announced that the last day of school is Monday, June 10, and the City is hosting an event at the Rec Center at 3:00 p.m. with $1 admission for all students and $1 hotdogs and $.50 pop. Councilmember Mavity announced the St. Louis Park Community Foundation is holding its annual fundraiser on Friday, June 14, at 5:30 p.m. at the West End Theater and stated the beer provider this year is Steel Toe Brewery. She added the Parktacular street dance will be held immediately afterwards. 10. Adjournment The meeting adjourned at 7:53 p.m. ______________________________________ ______________________________________ Nancy Stroth, City Clerk Susan Sanger, Mayor Pro Tem Meeting: City Council Meeting Date: June 17, 2013 Consent Agenda Item: 4a EXECUTIVE SUMMARY TITLE: Complete Streets Resolution/Policy RECOMMENDED ACTION: Motion to Adopt Resolution “Declaring that it is The City of St. Louis Park’s Policy to Utilize Complete Streets Principles in Transportation Planning and Community Design”. POLICY CONSIDERATION: Does Council wish to formally support the principles of Complete Streets? SUMMARY: The City’s Engineering, Public Works and Community Development departments currently embrace and implement many of the principles of Complete Streets in our Capital Improvement Program, planning studies, maintenance activities and roadway construction whenever feasible. The adoption of a Complete Streets resolution will recognize the city of St. Louis Park’s ongoing support and intent to utilize complete street principles in transportation planning and community design. FINANCIAL OR BUDGET CONSIDERATION: None at this time. VISION CONSIDERATION: St. Louis Park is committed to being a connected and engaged community. SUPPORTING DOCUMENTS: Discussion Complete Streets Resolution Resolution No. 10-027 Prepared by: Jack Sullivan, Engineering Project Manager Reviewed by: Michael P. Rardin, Director of Engineering Approved by: Tom Harmening, City Manager City Council Meeting of June 17, 2013 (Item No.4a) Page 2 Title: Complete Streets Resolution/Policy DISCUSSION BACKGROUND: This item was first presented as a written report at the May 28th Council Study Session. The term Complete Street as defined by Minnesota Statute 174.75 is “the planning, scoping, design, implementation, operation, and maintenance of roads in order to reasonably address the safety and accessibility needs of users of all ages and abilities. Complete streets considers the needs of motorists, pedestrians, transit users and vehicles, bicyclists, and commercial and emergency vehicles moving along and across roads, intersections, and crossings in a manner that is sensitive to the local context and recognizes that the needs vary in urban, suburban, and rural settings.” In 2010 the Council adopted Resolution No. 10-027, attached, encouraging the Minnesota Legislature to authorize the development of a statewide Complete Streets program. The concept of Complete Streets has been embraced by State, County and local governments across the Country. This philosophy is commonly used to describe the ways in which a community should advocate for a more comprehensive and balanced view of transportation as a community redevelops. The Minnesota Department of Transportation, Hennepin County, and many local agencies including Eagan, Edina, Falcon Heights, Independence, New Hope, Northfield, North St. Paul, Red Wing, St. Cloud and St. Paul have language expressing their commitment to Complete Streets in the form of Resolutions or Policies. Other communities, such as Bloomington have chosen to address Complete Streets as part of their City’s Alternative Transportation Plan. The City of St. Louis Park has incorporated many of the principles of Complete Streets into the Transportation Chapter of the Comprehensive Plan, and the evolving Pedestrian and Bicycle System Implementation Plan and Policy. PRESENT CONSIDERATIONS: The implementation of a Complete Streets approach has many benefits for the community including: • Improve the safety of all users on roadways • Create transportation networks that support more walking and biking that encourage more physical activity and improving public health • Create equity in access and transportation options for individuals not able to operate a vehicle. • Create affordable transportation options including walking, bicycling and mass transit. • An economic development catalyst. Complete streets can attract people and encourage business. • Positive impacts to the environment by creating transportation options other than the single occupant vehicle. • Improve the quality of life by creating walkable neighborhoods. NEXT STEPS: The adoption of a Complete Streets resolution will recognize the city of St. Louis Park’s ongoing support and intent to utilize complete street principles in transportation planning and community design. City Council Meeting of June 17, 2013 (Item No.4a) Page 3 Title: Complete Streets Resolution/Policy RESOLUTION NO. 13-____ RESOLUTION DECLARING THAT IT IS THE CITY OF ST. LOUIS PARK’S POLICY TO UTILIZE COMPLETE STREET PRINCIPLES IN TRANSPORTATION PLANNING AND COMMUNITY DESIGN WHEREAS, Complete Streets consist of the planning, scoping, design, construction, operation, and maintenance of roads in order to reasonably address the safety and accessibility needs of users of all ages and abilities. Complete streets considers the needs of motorists, pedestrians, transit users and vehicles, bicyclists, and commercial and emergency vehicles moving along and across roads, intersections, and crossings in a manner that is sensitive to the local context and recognizes that needs may vary throughout the community; and WHEREAS, in 2010 the City of St. Louis Park adopted resolution 10-027 to encourage the Minnesota Legislature, with input and guidance from the Minnesota Department of Transportation, to authorize development of a statewide Complete Streets Program, which would provide for the development of a balanced transportation system, through appropriate planning, that integrates multiple transportation modes, where appropriate, for transportation users of all types, ages and abilities; and WHEREAS, the City of St. Louis Park supports Hennepin County’s adoption of a Compete Streets resolution and policy and its efforts to implement the polices; and WHEREAS, the City of St. Louis Park has consistently followed Complete Street principles in its planning and community design, and has demonstrated said commitment by adopting a transportation goal within the City’s Comprehensive Plan to provide well-designed and well-maintained community streets that balance the needs of all users, residents, businesses and property owners; and WHEREAS, Complete Streets is consistent with the Council supported principles of Active Living Hennepin County, to promote the integration of physical activity into the daily lives of St. Louis Park residents; and WHEREAS, Complete Streets are designed, constructed and maintained to assure safety and accessibility for all the users of our roads, trails and transit systems, including pedestrians, bicyclists, transit riders, motorists, commercial and emergency vehicles and for people of all ages and of all abilities; and WHEREAS, Complete Streets provide safe travel choices that encourage non-motorized transportation options, increase the overall capacity of the transportation network as well as decrease consumer transportation costs; and WHEREAS, Complete Streets will help St. Louis Park reduce greenhouse gas emissions as more people choose an alternative to the single occupant vehicle, thereby improving air quality and alleviating public health concerns; and WHEREAS, Complete Streets support economic growth and community stability by providing accessible and efficient connections between home, school, work, recreation and retail destinations by improving the pedestrian and vehicular environments throughout communities; and City Council Meeting of June 17, 2013 (Item No.4a) Page 4 Title: Complete Streets Resolution/Policy WHEREAS, Complete Streets enhance safe walking and bicycling options for school- age children, in recognition of the objectives of the national Safe Routes to School program, the Centers for Disease Control and Prevention’s Physical Activity Guidelines and the City’s Pedestrian and Bicycle System Implementation Plan and Policy; and WHEREAS, Complete Streets improve the quality of life within our community; and WHEREAS, Complete Streets may influence or help reduce crashes and injuries and their costs; NOW THEREFORE BE IT RESOLVED, that in order to develop and maintain a safe, efficient, balanced and environmentally sound City transportation system for people of all ages and abilities, transportation and development projects shall incorporate a Complete Streets philosophy that expands transportation choices; and therefore BE IT FURTHER RESOLVED by the City Council of the City of St. Louis Park, Minnesota, that it is the City of St. Louis Park’s policy to utilize complete streets principles and to work with MnDOT, Hennepin County, and appropriate agencies so that Complete Street elements are evaluated where possible for City transportation projects by providing appropriate accommodations for pedestrians, bicyclists, motorists, transit riders, and disabled persons through the ongoing creation of a multi-model transportation system. Reviewed for Administration: Adopted by the City Council June 17, 2013 City Manager Mayor Attest: City Clerk City Council Meeting of June 17, 2013 (Item No.4a) Page 5 Title: Complete Streets Resolution/Policy Meeting: City Council Meeting Date: June 17, 2013 Consent Agenda Item: 4b EXECUTIVE SUMMARY TITLE: Traffic Study No. 639: Authorize Stop Sign Installation on Auto Club Way RECOMMENDED ACTION: Motion to Adopt Resolution authorizing installation of stop sign at the east termination point of Auto Club Way. POLICY CONSIDERATION: The restriction is allowed per the City’s established regulatory authority. SUMMARY: The City has received a request from Park Nicollet Clinic to install a stop sign at the east termination of Auto Club Way. At this location, Auto Club Way terminates as a City street at a “T” intersection with private driveways serving Park Nicollet and surrounding parking facilities (attached map). This location also serves very high pedestrian volumes. In the interest of overall safety, Park Nicollet Clinic has requested that a stop sign be placed at this location. Staff has field reviewed the site, and the staff traffic issues group along with Public Safety have also reviewed this request. Staff recommends installation of the stop sign as requested by Park Nicollet Clinic. FINANCIAL OR BUDGET CONSIDERATION: The cost of enacting these controls is minimal and will come out of the general operating budget. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Resolution Map Prepared by: Scott A. Brink, City Engineer Reviewed by: Michael P. Rardin, Director of Engineering Approved by: Tom Harmening, City Manager City Council Meeting of June 17, 2013 (Item No. 4b) Page 2 Title: Traffic Study No. 639: Authorize Stop Sign Installation on Auto Club Way RESOLUTION NO. 13-____ RESOLUTION AUTHORIZING INSTALLATION OF STOP SIGN AT THE EAST TERMINATION OF AUTO CLUB WAY TRAFFIC STUDY NO. 639 BE IT RESOLVED by the City Council of the City of St. Louis Park, Minnesota that it is in the best interest of the City to install a stop sign at the east end of Auto Club Way. NOW THEREFORE BE IT RESOLVED by the City Council of the City of St. Louis Park, Minnesota, that the Director of Engineering is hereby authorized to install the following controls: 1. A stop sign shall be installed at the eastern termination point of Auto Club Way for eastbound traffic. Reviewed for Administration: Adopted by the City Council June 17, 2013 City Manager Mayor Attest: City Clerk City Council Meeting of June 17, 2013 (Item No. 4b) Page 3 Title: Traffic Study No. 639: Authorize Stop Sign Installation on Auto Club Way TRAFFIC STUDY NO. 639 STOP SIGN AT EAST TERMINATION OF AUTO CLUB WAY Meeting: City Council Meeting Date: June 17, 2013 Consent Agenda Item: 4c EXECUTIVE SUMMARY TITLE: Special Assessment – Sewer Service Line Repair at 2600 Inglewood Avenue South RECOMMENDED ACTION: Motion to Adopt Resolution authorizing the special assessment for the repair of the sewer service line at 2600 Inglewood Avenue South, St. Louis Park, MN - P.I.D. 31-029-24-41-0106. POLICY CONSIDERATION: The proposed action is consistent with policy previously established by the City Council. SUMMARY: Scott and Valerie Dorman, owners of the single family residence at 2600 Inglewood Avenue South, have requested the City to authorize the repair of the sewer service line for their home and assess the cost against the property in accordance with the City’s special assessment policy. The City requires the repair of service lines to promote the general public health, safety and welfare within the community. The special assessment policy for the repair or replacement of water or sewer service lines for existing homes was adopted by the City Council in 1996. This program was put into place because sometimes property owners face financial hardships when emergency repairs like this are unexpectedly required. Plans and permits for this service line repair work were completed, submitted, and approved by City staff. The property owners hired a contractor and repaired the sewer service line in compliance with current codes and regulations. Based on the completed work, this repair qualifies for the City’s special assessment program. The property owners have petitioned the City to authorize the sewer service line repair and special assess the cost of the repair. The total eligible cost of the repair has been determined to be $1,995.00. FINANCIAL OR BUDGET CONSIDERATION: The City has funds in place to finance the cost of this special assessment. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Resolution Prepared by: Scott Anderson, Utility Superintendent Reviewed by: Mike Rardin, Director of Engineering Brian Swanson, Controller Approved by: Tom Harmening, City Manager City Council Meeting of June 17, 2013 (Item No. 4c) Page 2 Title: Special Assessment – Sewer Service Line Repair at 2600 Inglewood Avenue South RESOLUTION NO. 13-____ RESOLUTION AUTHORIZING THE SPECIAL ASSESSMENT FOR THE REPAIR OF THE SEWER SERVICE LINE AT 2600 INGLEWOOD AVENUE SOUTH, ST. LOUIS PARK, MN P.I.D. 31-029-24-41-0106 WHEREAS, the Property Owners at 2600 Inglewood Avenue South have petitioned the City of St. Louis Park to authorize a special assessment for the repair of the sewer service line for the single family residence located at 2600 Inglewood Avenue South, and WHEREAS, the Property Owners have agreed to waive the right to a public hearing, right of notice and right of appeal pursuant to Minnesota Statute, Chapter 429; and WHEREAS, the City Council of the City of St. Louis Park has received a report from the Utility Superintendent related to the repair of the sewer service line. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of St. Louis Park, Minnesota, that: 1. The petition from the Property Owners requesting the approval and special assessment for the sewer service line repair is hereby accepted. 2. The sewer service line repair that was done in conformance with the plans and specifications approved by the Operations and Recreation Department and Department of Inspections is hereby accepted. 3. The total cost for the repair of the sewer service line is accepted at $1,995.00. 4. The Property Owners have agreed to waive the right to a public hearing, notice and appeal from the special assessment; whether provided by Minnesota Statutes, Chapter 429, or by other statutes, or by ordinance, City Charter, the constitution, or common law. 5. The Property Owners have agreed to pay the City for the total cost of the above improvements through a special assessment over a ten (10) year period at the interest rate of 5.85 %. 6. The Property Owners have executed an agreement with the City and all other documents necessary to implement the repair of the sewer service line and the special assessment of all costs associated therewith. Reviewed for Administration: Adopted by the City Council June 17, 2013 City Manager Mayor Attest: City Clerk Meeting: City Council Meeting Date: June 17, 2013 Consent Agenda Item: 4d EXECUTIVE SUMMARY TITLE: Special Assessment – Water Service Line Repair at 3208 Webster Avenue South RECOMMENDED ACTION: Motion to Adopt Resolution authorizing the special assessment for the repair of the water service line at 3208 Webster Avenue South, St. Louis Park, MN - P.I.D. 16-117-21-21-0105. POLICY CONSIDERATION: The proposed action is consistent with policy previously established by the City Council. SUMMARY: Andrew Monson, owner of the single family residence at 3208 Webster Avenue South, has requested the City to authorize the repair of the water service line for his home and assess the cost against the property in accordance with the City’s special assessment policy. The City requires the repair of service lines to promote the general public health, safety and welfare within the community. The special assessment policy for the repair or replacement of water or sewer service lines for existing homes was adopted by the City Council in 1996. This program was put into place because sometimes property owners face financial hardships when emergency repairs like this are unexpectedly required. Plans and permits for this service line repair work were completed, submitted, and approved by City staff. The property owner hired a contractor and repaired the water service line in compliance with current codes and regulations. Based on the completed work, this repair qualifies for the City’s special assessment program. The property owner has petitioned the City to authorize the water service line repair and special assess the cost of the repair. The total eligible cost of the repair has been determined to be $5,000.00. FINANCIAL OR BUDGET CONSIDERATION: The City has funds in place to finance the cost of this special assessment. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Resolution Prepared by: Scott Anderson, Utility Superintendent Reviewed by: Mike Rardin, Director of Engineering Brian Swanson, Controller Approved by: Tom Harmening, City Manager City Council Meeting of June 17, 2013 (Item No. 4d) Page 2 Title: Special Assessment – Water Service Line Repair at 3208 Webster Avenue South RESOLUTION NO. 13-____ RESOLUTION AUTHORIZING THE SPECIAL ASSESSMENT FOR THE REPAIR OF THE WATER SERVICE LINE AT 3208 WEBSTER AVENUE SOUTH, ST. LOUIS PARK, MN P.I.D. 16-117-21-21-0105 WHEREAS, the Property Owner at 3208 Webster Avenue South, has petitioned the City of St. Louis Park to authorize a special assessment for the repair of the water service line for the single family residence located at 3208 Webster Avenue South, and WHEREAS, the Property Owner has agreed to waive the right to a public hearing, right of notice and right of appeal pursuant to Minnesota Statute, Chapter 429; and WHEREAS, the City Council of the City of St. Louis Park has received a report from the Utility Superintendent related to the repair of the water service line. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of St. Louis Park, Minnesota, that: 1. The petition from the Property Owner requesting the approval and special assessment for the water service line repair is hereby accepted. 2. The water service line repair that was done in conformance with the plans and specifications approved by the Operations and Recreation Department and Department of Inspections is hereby accepted. 3. The total cost for the repair of the water service line is accepted at $5,000.00. 4. The Property Owner has agreed to waive the right to a public hearing, notice and appeal from the special assessment; whether provided by Minnesota Statutes, Chapter 429, or by other statutes, or by ordinance, City Charter, the constitution, or common law. 5. The Property Owner has agreed to pay the City for the total cost of the above improvements through a special assessment over a ten (10) year period at the interest rate of 5.85 %. 6. The Property Owner has executed an agreement with the City and all other documents necessary to implement the repair of the water service line and the special assessment of all costs associated therewith. Reviewed for Administration: Adopted by the City Council June 17, 2013 City Manager Mayor Attest: City Clerk Meeting: City Council Meeting Date: June 17, 2013 Consent Agenda Item: 4e EXECUTIVE SUMMARY TITLE: Special Assessment – Water Service Line Repair at 3224 Dakota Avenue South RECOMMENDED ACTION: Motion to Adopt Resolution authorizing the special assessment for the repair of the water service line at 3224 Dakota Avenue South, St. Louis Park, MN - P.I.D. 17-117-21-14-0007. POLICY CONSIDERATION: The proposed action is consistent with policy previously established by the City Council. SUMMARY: Betty Rall, owner of the single family residence at 3224 Dakota Avenue South, has requested the City to authorize the repair of the water service line for her home and assess the cost against the property in accordance with the City’s special assessment policy. The City requires the repair of service lines to promote the general public health, safety and welfare within the community. The special assessment policy for the repair or replacement of water or sewer service lines for existing homes was adopted by the City Council in 1996. This program was put into place because sometimes property owners face financial hardships when emergency repairs like this are unexpectedly required. Plans and permits for this service line repair work were completed, submitted, and approved by City staff. The property owner hired a contractor and repaired the water service line in compliance with current codes and regulations. Based on the completed work, this repair qualifies for the City’s special assessment program. The property owner has petitioned the City to authorize the water service line repair and special assess the cost of the repair. The total eligible cost of the repair has been determined to be $1,366.73. FINANCIAL OR BUDGET CONSIDERATION: The City has funds in place to finance the cost of this special assessment. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Resolution Prepared by: Scott Anderson, Utility Superintendent Reviewed by: Mike Rardin, Director of Engineering Brian Swanson, Controller Approved by: Tom Harmening, City Manager City Council Meeting of June 17, 2013 (Item No. 4e) Page 2 Title: Special Assessment – Water Service Line Repair at 3224 Dakota Avenue South RESOLUTION NO. 13-____ RESOLUTION AUTHORIZING THE SPECIAL ASSESSMENT FOR THE REPAIR OF THE WATER SERVICE LINE AT 3224 DAKOTA AVENUE SOUTH, ST. LOUIS PARK, MN P.I.D. 17-117-21-14-0007 WHEREAS, the Property Owner at 3224 Dakota Avenue South has petitioned the City of St. Louis Park to authorize a special assessment for the repair of the water service line for the single family residence located at 3224 Dakota Avenue South, and WHEREAS, the Property Owner has agreed to waive the right to a public hearing, right of notice and right of appeal pursuant to Minnesota Statute, Chapter 429; and WHEREAS, the City Council of the City of St. Louis Park has received a report from the Utility Superintendent related to the repair of the water service line. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of St. Louis Park, Minnesota, that: 1. The petition from the Property Owner requesting the approval and special assessment for the water service line repair is hereby accepted. 2. The water service line repair that was done in conformance with the plans and specifications approved by the Operations and Recreation Department and Department of Inspections is hereby accepted. 3. The total cost for the repair of the water service line is accepted at $1,366.73. 4. The Property Owner has agreed to waive the right to a public hearing, notice and appeal from the special assessment; whether provided by Minnesota Statutes, Chapter 429, or by other statutes, or by ordinance, City Charter, the constitution, or common law. 5. The Property Owner has agreed to pay the City for the total cost of the above improvements through a special assessment over a ten (10) year period at the interest rate of 5.85 %. 6. The Property Owner has executed an agreement with the City and all other documents necessary to implement the repair of the water service line and the special assessment of all costs associated therewith. Reviewed for Administration: Adopted by the City Council June 17, 2013 City Manager Mayor Attest: City Clerk Meeting: City Council Meeting Date: June 17, 2013 Consent Agenda Item: 4f EXECUTIVE SUMMARY TITLE: Amendment to Liquor Licensed Premises for El Patron Mexican Cuisine Restaurant RECOMMENDED ACTION: Motion to approve premises amendment to the on-sale intoxicating and Sunday sales liquor license for El Gordo Uno, Inc.; dba El Patron Mexican Cuisine located at 8140 Hwy 7. POLICY CONSIDERATION: Does the Council wish to approve the premises patio amendment for the liquor license at El Patron Mexican Cuisine restaurant? SUMMARY: El Patron Mexican Cuisine, located at 8140 Hwy. 7, has made an application to the City of St. Louis Park for an amendment to expand their current on-sale intoxicating liquor license premises by adding a small patio area. The final licensed premises would consist of approximately 1,638 square feet of existing interior space with seating for 68 persons, combined with an additional exterior patio space located on the sidewalk in front of the restaurant with seating for 8. Mr. Jose Vazquez is the on-site manager for El Patron Mexican Cuisine. City Ordinance Section 3-68 (a) states that each liquor license shall be issued only for the exact rooms and square footage described in the application. A license is valid only in the compact and contiguous building or structure situated on the premises described in the license. City Ordinance Section 3-106 states that proposed enlargement or substantial alteration which changes the character of the licensed establishment or extension of a premise previously licensed shall not be allowed unless the City Council approves an amendment to the liquor license. If Council approves the premises amendment to El Patron Mexican Cuisine’s liquor license, no liquor will actually be served in the amended premises new area until all required compliance is met with City Inspections Department, including possible fees that may be due for additional sewer availability charges (SAC) yet to be determined by the Metropolitan Council. FINANCIAL OR BUDGET CONSIDERATION: Not applicable. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: None Prepared by: Kay Midura, Assistant – City Clerk’s Office Reviewed by: Nancy Stroth, City Clerk Approved by: Tom Harmening , City Manager Meeting: City Council Meeting Date: June 17, 2013 Consent Agenda Item: 4g EXECUTIVE SUMMARY TITLE: Temporary On-Sale Intoxicating Liquor License for Park Nicollet Foundation – Meadowbrook Collaborative RECOMMENDED ACTION: Motion to approve a temporary on-sale intoxicating liquor license for Park Nicollet Foundation – Meadowbrook Collaborative, St. Louis Park, for an event to be held on June 18, 2013, at the Warehouse Winery located at 6415 Cambridge St. POLICY CONSIDERATION: Does Council wish to approve a temporary on-sale intoxicating liquor license for the Park Nicollet Foundation-Meadowbrook Collaborative for their fundraising event to be held on June 18, 2013? SUMMARY: The Park Nicollet Foundation has made an application for a temporary on-sale intoxicating liquor license for their upcoming fundraiser to be held on June 18, 2013, at the Warehouse Winery during the hours of 5:00-7:00 p.m. The Meadowbrook Collaborative “creates networks of caring partners to ensure [Meadowbrook] families have a safe place to live, access to healthcare, effective education and opportunities to give back.” The event is to celebrate Meadowbrook Collaborative’s 20th Anniversary and to raise funds to continue serving Meadowbrook families and children. City Ordinance 3-57(8) states that temporary liquor licenses may be issued to clubs, charitable, religious or other nonprofit organizations in existence for at least three years. A temporary liquor license approved by the City Council is not valid until it is approved by the Commissioner of Public Safety. The Police Department has completed the background investigation on the main principals and has found no reason to deny the temporary license. The applicant has met all requirements for issuance of the license, and staff is recommending approval. FINANCIAL OR BUDGET CONSIDERATION: The fee for a temporary liquor license is $100.00 per day of the event. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: None Prepared by: Kay Midura, Assistant – City Clerk’s Office Reviewed by: Nancy Stroth, City Clerk Approved by: Tom Harmening , City Manager Meeting: City Council Meeting Date: June 17, 2013 Consent Agenda Item: 4h EXECUTIVE SUMMARY TITLE: Acceptance of Donation for Purchase of Memorial Bench in Memory of Colin Farbotko ($1,650) RECOMMENDED ACTION: Motion to Adopt Resolution approving acceptance of a monetary donation from John Wiley & Sons, Inc. in the amount of $500 and from Inscape Publishing in an amount of $1,150 for the purchase and installation of a memorial bench in memory of Colin Farbotko. The bench will be installed along the walking trail of Otten Pond. POLICY CONSIDERATION: Does the City Council wish to accept the gift with restrictions on its use? SUMMARY: State statute requires City Council’s acceptance of donations. This requirement is necessary in order to make sure the City Council has knowledge of any restrictions placed on the use of each donation prior to it being expended. John Wiley & Sons, Inc. and Inscape Publishing are graciously donating an amount of $1,650 to honor Colin Farbotko (Marney Olson’s husband). The donation is given with the restriction that it be used to purchase and install a bench along the walking trail of Otten Pond. FINANCIAL OR BUDGET CONSIDERATION: This donation will be used to purchase and install a memorial bench along the walking trail of Otten Pond. VISION CONSIDERATION: St. Louis Park is committed to being a connected and engaged community. SUPPORTING DOCUMENTS: Resolution Prepared by: Stacy M. Voelker, Administrative Secretary Rick Beane, Park Superintendent Reviewed by: Cindy Walsh, Director of Parks & Recreation Approved by: Tom Harmening, City Manager City Council Meeting of June 17, 2013 (Item No. 4h) Page 2 Title: Acceptance of Donation for Purchase of Memorial Bench in Memory of Colin Farbotko ($1,650) RESOLUTION NO. 13-____ RESOLUTION APPROVING ACCEPTANCE OF DONATION IN MEMORY OF COLIN FARBOTKO IN THE AMOUNT OF $1,650 FOR THE PURCHASE AND INSTALLATION OF A MEMORIAL BENCH ALONG THE WALKING TRAIL OF OTTEN POND WHEREAS, The City of St. Louis Park is required by State statute to authorize acceptance of any donations; and WHEREAS, the City Council must also ratify any restrictions placed on the donation by the donor; and WHEREAS, John Wiley & Sons, Inc. and Inscape Publishing desire to purchase a memorial bench for Colin Farbotko to be installed along the walking trail of Otten Pond with a donation of $1,650; and NOW THEREFORE BE IT RESOLVED, by the City Council of the City of St. Louis Park that the gift is hereby accepted with thanks to John Wiley & Sons, Inc. and Inscape Publishing with the understanding that it must be used to purchase and install a memorial bench for Colin Farbotko along the walking trail of Otten Pond. Reviewed for Administration Adopted by the City Council June 17, 2013 City Manager Mayor Attest: City Clerk Meeting: City Council Meeting Date: June 17, 2013 Consent Agenda Item: 4i EXECUTIVE SUMMARY TITLE: Accept Monetary Donation from Rebekah Forrest to Westwood Hills Nature Center ($25) RECOMMENDED ACTION: Motion to Adopt Resolution approving acceptance of a monetary donation from Rebekah Forrest in the amount of $25 to be used at the discretion of Westwood Hills Nature Center. POLICY CONSIDERATION: Does the City Council wish to accept the gift with restrictions on its use? SUMMARY: State statute requires City Council’s acceptance of donations. This requirement is necessary in order to make sure the City Council has knowledge of any restrictions placed on the use of each donation prior to it being expended. Rebekah Forrest graciously donated $25 to Westwood Hills Nature Center. This donation is given with restrictions that it be used at the discretion of Westwood Hills Nature Center. FINANCIAL OR BUDGET CONSIDERATION: This donation will be used at the discretion of Westwood Hills Nature Center for programming needs. VISION CONSIDERATION: St. Louis Park is committed to being a connected and engaged community. SUPPORTING DOCUMENTS: Resolution Prepared by: Stacy M. Voelker, Administrative Secretary Mark Oestreich, Westwood Hills Nature Center Manager Reviewed by: Cindy Walsh, Director of Operations & Recreation Approved by: Tom Harmening, City Manager City Council Meeting of June 17, 2013 (Item No. 4i) Page 2 Title: Accept Monetary Donation from Rebekah Forrest to Westwood Hills Nature Center ($25) RESOLUTION NO. 13-____ RESOLUTION APPROVING ACCEPTANCE OF DONATION IN THE AMOUNT OF $25 TO BE USED AT THE DISCRETION OF WESTWOOD HILLS NATURE FOR PROGRAMMING NEEDS WHEREAS, The City of St. Louis Park is required by State statute to authorize acceptance of any donations; and WHEREAS, the City Council must also ratify any restrictions placed on the donation by the donor; and WHEREAS, Rebekah Forrest donated $25.00 to Westwood Hills Nature Center; and NOW THEREFORE BE IT RESOLVED, by the City Council of the City of St. Louis Park that the gift is hereby accepted with thanks to Rebekah Forrest with the understanding that it must be used at the discretion of Westwood Hills Nature Center for programming needs. Reviewed for Administration Adopted by the City Council June 17, 2013 City Manager Mayor Attest: City Clerk Meeting: City Council Meeting Date: June 17, 2013 Consent Agenda Item: 4j EXECUTIVE SUMMARY TITLE: Acceptance of Monetary Grant to the Westwood Hills Nature Center RECOMMENDED ACTION: Motion to Adopt Resolution approving acceptance of a monetary grant from the Minnesota Recreation and Park Foundation in the amount of $800 to fund “Interactive Scavenger Hunt with GPS” at Westwood Hills Nature Center. POLICY CONSIDERATION: Does the City Council wish to accept the grant with restrictions on its use? SUMMARY: State statute requires City Council’s acceptance of donations. This requirement is necessary in order to make sure the City Council has knowledge of any restrictions placed on the use of each donation prior to it being expended. Westwood Hills Nature Center has been awarded a New Initiative Grant from the Minnesota Recreation and Park Foundation in the amount of $800 to be used for an “Interactive Scavenger Hunt with GPS” at Westwood Hills Nature Center. The grant is given with the restriction that it be used for an “Interactive Scavenger Hunt with GPS” program at Westwood Hills Nature Center. FINANCIAL OR BUDGET CONSIDERATION: This grant will be used for an “Interactive Scavenger Hunt with GPS” at Westwood Hills Nature Center. VISION CONSIDERATION: St. Louis Park is committed to being a connected and engaged community. SUPPORTING DOCUMENTS: Resolution Prepared by: Stacy M. Voelker, Administrative Secretary Mark Oestreich, Manager of Westwood Hills Nature Center Reviewed by: Cindy Walsh, Director of Parks & Recreation Approved by: Tom Harmening, City Manager City Council Meeting of June 17, 2013 (Item No. 4j) Page 2 Title: Acceptance of Monetary Grant to the Westwood Hills Nature Center RESOLUTION NO. 13-____ RESOLUTION APPROVING ACCEPTANCE OF GRANT IN THE AMOUNT OF $800 TO BE USED FOR AN INTERACTIVE SCAVENTER HUNT WITH GPS AT WESTWOOD HILLS NATURE CENTER WHEREAS, The City of St. Louis Park is required by State statute to authorize acceptance of any donations; and WHEREAS, the City Council must also ratify any restrictions placed on the grant by the donor; and WHEREAS, Minnesota Recreation and Park Foundation awarded $800 to Westwood Hills Nature Center for their “Interactive Scavenger Hunt with GPS” program; and NOW THEREFORE BE IT RESOLVED, by the City Council of the City of St. Louis Park that the grant is hereby accepted with thanks to Minnesota Recreation and Park Foundation with the understanding that it must be used at Westwood Hills Nature Center for an Interactive Scavenger Hunt with GPS. Reviewed for Administration Adopted by the City Council June 17, 2013 City Manager Mayor Attest: City Clerk Meeting: City Council Meeting Date: June 17, 2013 Consent Agenda Item: 4k EXECUTIVE SUMMARY TITLE: Minor Amendment to PUD – 1625 Zarthan Ave S & 5800 Cedar Lake Rd (Costco & Home Depot) RECOMMENDED ACTION: Motion to Adopt Resolution approving a Minor Amendment to the Planned Unit Development (PUD) for Costco / Home Depot, with conditions recommended by staff. POLICY CONSIDERATION: Is the proposed Minor Amendment consistent with the zoning ordinance and the Comprehensive Plan? SUMMARY: A Minor Amendment to the PUD is requested to transfer land and parking spaces from the Home Depot lot to the Costco lot at 5800 Cedar Lake Road and 1625 Zarthan Ave S. The subject lots are part of the PUD known as Park Place Plaza located on Cedar Lake Road between Zarthan Ave S and Park Place Blvd that contains Costco, Home Depot, OfficeMax, and other commercial uses. The properties are zoned C-2 General Commercial and are guided in the Comprehensive Plan as Commercial. If approved, a portion of the Home Depot parking lot will be reconfigured and oriented towards the Costco building. Costco will gain 87 parking spaces while Home Depot will lose 90 parking spaces. A shared parking agreement will be implemented to ensure that Home Depot can meet the City’s minimum parking requirements. Under separate administrative approval, the lot line will be replatted to reflect the new configuration. FINANCIAL OR BUDGET CONSIDERATION: Not applicable. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Discussion Location Map Draft Resolution Development Plans Prepared by: Jason Zimmerman, Community Development Intern Reviewed by: Sean Walther, Senior Planner Michelle Schnitker, Housing Supervisor Approved by: Tom Harmening, City Manager City Council Meeting of June 17, 2013 (Item No. 4k) Page 2 Title: Minor Amendment to PUD – 1625 Zarthan Ave S & 5800 Cedar Lake Rd (Costco & Home Depot) DISCUSSION BACKGROUND: The subject properties are located in the Park Place Plaza PUD which is bounded by Cedar Lake Road on the south, Zarthan Ave S on the west, Park Place Blvd on the east, and 16th Street on the north. They are a part of the Blackstone Neighborhood. The PUD was originally approved in 1989 and was amended most recently in 2005. EXISTING CONDITIONS: Costco reports their parking lot is often at capacity, while the Home Depot lot generally has an excess of parking. A 2012 aerial photo shows the existing conditions. Figure 1: Costco parking in the upper left; Home Depot parking in the lower right. PUD Analysis: 1. Shared Parking. The two lots in question (Costco and Home Depot) currently meet the number of parking spaces required for each. Under the proposed reconfiguration, the total number of spaces would still meet the minimum number required, but they would be allocated to give Costco an excess of 59 spaces and leave Home Depot with a deficit of 59 spaces. A shared parking agreement will give Home Depot access to 59 spaces in the Costco lot. City Council Meeting of June 17, 2013 (Item No. 4k) Page 3 Title: Minor Amendment to PUD – 1625 Zarthan Ave S & 5800 Cedar Lake Rd (Costco & Home Depot) Zoning Analysis: 1. Parking. Based on the existing building sizes, Costco requires a minimum of 564 parking spaces while Home Depot requires a minimum of 447 parking spaces for a total of 1,011 spaces. After the reconfiguration, a total of 1,011 parking spaces would remain but they would be allocated 623 spaces to Costco and 388 spaces to Home Depot. The shared parking agreement would ensure that Home Depot would have access to 59 spaces in the Costco lot if needed, in order for Home Depot to meet the minimum code requirements. 2. Pedestrian access. Currently, a private sidewalk follows the lot line and allows pedestrians to travel from the edge of the PUD through the shopping center and around to the central green space. Reconfiguring the parking areas and replatting the lots will require the pedestrian connection to be relocated. Under the proposed configuration, a new sidewalk with landscaping will be constructed that follows the new lot line and maintains access through the PUD. 3. Landscaping. A number of parking islands will be relocated or installed as part of the project. New landscaping that meets current standards will be installed in the affected islands as well as along the pedestrian connection. LOCATION MAP City Council Meeting of June 17, 2013 (Item No. 4k) Page 4 Title: Minor Amendment to PUD – 1625 Zarthan Ave S & 5800 Cedar Lake Rd (Costco & Home Depot) RESOLUTION NO. 13-____ Amends and Restates Resolutions 96-89, 96-158, 97-3, 97-39, 98-23, 00-037, 00-133, 01-080, 02-072, 05-036 A RESOLUTION AMENDING RESOLUTION NO. 05-036 APPROVED ON MARCH 7, 2005, AMENDING A FINAL PLANNED UNIT DEVELOPMENT (PUD) UNDER SECTION 14:6-7 OF THE ST. LOUIS PARK ORDINANCE CODE RELATING TO ZONING FOR PROPERTY ZONED C-2, GENERAL COMMERCIAL DISTRICT, LOCATED AT 5600, 5640, 5680, 5700, 5800 and 5900 CEDAR LAKE ROAD; AND 1620, 1650, 1690 AND 1700 PARK PLACE BOULEVARD; AND 5601, 5699 AND 5799 WEST 16TH STREET AND1625 ZARTHAN AVENUE (TOTAL SITE FORMERLY KNOWN AS 1625 ZARTHAN AVENUE) PARK PLACE PLAZA WHEREAS, the St. Louis Park City Zoning Ordinance permits shopping centers in excess of 200,000 square feet by Planned Unit Development (PUD) under certain conditions in the C-2 Commercial Zoning District, and WHEREAS, the City Council adopted Resolution No. 96-38 approving the Preliminary PUD on March 18, 1996, and WHEREAS, the City staff were informed on April 12, 1996 that certain environmental remediation would be necessary and such remediation would affect the timing process of demolition of the existing building and resulted in the need to amend the conditions of preliminary approval, and WHEREAS, the City Council adopted Resolution No. 96-71 rescinding Resolution No. 96-38 and approving the Preliminary PUD subject to certain revised conditions on May 6, 1996, and WHEREAS, a complete application for a Final Planned Unit Development (PUD) was received on April 26, 1996, and WHEREAS, the Planning Commission reviewed the Final PUD application at the meeting of May 1, 1996, and WHEREAS, the Planning Commission recommended approval of the Final PUD subject to 17 conditions of approval on a 3-1 vote with three members present voting in the affirmative and one member voting against, and WHEREAS, the City Council received an overview from City staff and the City Attorney of the necessary agreements related to the PUD at its May 13, 1996 Study Session, and WHEREAS, the applicant and current and prospective property owners have entered into a development agreement, supplemental development agreements, sidewalk easements agreement, reciprocal easement and operation agreement, and a reversion agreement, which City Council Meeting of June 17, 2013 (Item No. 4k) Page 5 Title: Minor Amendment to PUD – 1625 Zarthan Ave S & 5800 Cedar Lake Rd (Costco & Home Depot) agreement nullifies and voids without any further action required on the part of the City Council the preliminary and final approval if certain conditions are not met, and WHEREAS, on March 3, 1997 Franchise Associates, Inc. (current owner of 1690 Park Place Boulevard) and Ryan Construction Company of Minnesota, Inc. as developer and with the consent of Honeywell, Inc. (fee owner of 1625 Zarthan Avenue) submitted an application for a minor amendment to the approved Final PUD to allow the use of neon on the building at 1690 Park Place Boulevard and to revise the Landscape Plan for 1625 Zarthan Avenue and 5600, 5640 and 5680 Cedar Lake Road, and WHEREAS, certain amendments to the approved Final PUD have been approved by the City Council on 10/22/96 (Res. 96-158) and 1/6/97 (Res 97-3), and 3/17/97 (Res 97-39), and WHEREAS, on December 11, 1997 Office Max (current owner of 5600 Cedar Lake Road) and Ryan Construction Company of Minnesota, Inc. as developer and with the consent of Honeywell, Inc. (fee owner of 1625 Zarthan Avenue) submitted an application for a minor amendment to the approved Final PUD to allow the placement of a new 12.8 s.f. flat wall identification sign on the east face of the building at 5600 Cedar Lake Road. WHEREAS, on February 22, 2000 Costco Wholesale and Ryan Companies US, Inc as developer with the consent of Honeywell, Inc. submitted an application for a major amendment to the approved Final PUD to allow the construction of a 139,444 square foot wholesale, retail and tire service facility at 5801 West 16th Street. WHEREAS, on October 23, 2000 Costco Wholesale and Ryan Companies US, Inc. as developer with the consent of Honeywell, Inc. submitted a minor amendment to the approved Final PUD to allow changes to the traffic improvements at 16th Street and the main access into the site. WHEREAS, the City Council adopted Resolution No. 01-133 on November 6, 2000 approving a minor amendment to the approved Final PUD to allow changes to the traffic improvements at 16th Street and the main access into the site, and WHEREAS, on April 16, 2001, Costco Wholesale filed an application seeking a major amendment to the approved Planned Unit Development for Park Place Plaza to construct a fueling facility on Lot 9, and WHEREAS, on June 20, 2001, the Planning Commission held a public hearing, received testimony from the public, reviewed the application, and on a vote of 4-0 moved that the Planning Commission deny the proposed major amendment to the PUD, and WHEREAS, on July 16, 2001, the City Council considered the request for a major amendment, and on a vote of 7-0 moved to continue to the request, and WHEREAS, the City Council adopted Resolution No. 01-080 on August 20, 2001 approving a major amendment to the approved Planned Unit Development for Park Place Plaza to construct a fueling facility on Lot 9, and City Council Meeting of June 17, 2013 (Item No. 4k) Page 6 Title: Minor Amendment to PUD – 1625 Zarthan Ave S & 5800 Cedar Lake Rd (Costco & Home Depot) WHEREAS, on June 7, 2002, Costco Wholesale filed an application seeking a minor amendment to the approved Planned Unit Development for Park Place Plaza to construct a wholesale liquor addition on Lot 1, and WHEREAS, on December 2, 2004, Home Depot USA, Inc. filed an application seeking a minor amendment to the approved Planned Unit Development for Park Place Plaza to construct an addition of 5,764 square feet to the existing garden center on Lot 2, Block 1, Park Place Plaza, and WHEREAS, on May 9, 2013, Costco Wholesale filed an application seeking a minor amendment to the approved Planned Unit Development for Park Place Plaza to transfer land and parking spaces from Home Depot USA, Inc. (Lot 2, Block 1, Park Place Plaza) to Costco Wholesale (Lot 1, Block 1, Park Place Plaza). NOW THEREFORE BE IT RESOLVED BY the City Council of the City of St. Louis Park: A. Recitals The recitals set forth above are incorporated herein and made part of this resolution. B. Findings 1. Ryan Construction Company of Minnesota, Inc., as developer with the consent of the property owner Honeywell, Inc., has made application to the City Council for approval of a Final Planned Unit Development (“Final PUD”) within the C-2 General Commercial Zoning District under Section 14:6-7 of the St. Louis Park Ordinance for property formerly known as 1625 Zarthan Avenue for the legal description as follows, to-wit: Lots 1-9 and Outlots A, B and C; Block 1, Park Place Plaza (Torrens) 2. The City Council has considered the advice and recommendation of the Planning Commission (Case No. 95-51-PUD) and the effect of the proposed Final PUD and amendments thereto on the health, safety and welfare of the occupants of the surrounding lands, existing and anticipated traffic conditions, the effect on values of properties in the surrounding area, the effect of the use on the Comprehensive Plan, with specific consideration given to the Plan By Neighborhood Section of the Comprehensive Plan, and compliance with the provisions of the Zoning Ordinance. 3. The City Council has determined that approval of a Final PUD and the proposed amendments thereto will not be detrimental to the health, safety, or general welfare of the community nor with certain contemplated traffic improvements will it cause serious traffic congestion nor hazards, nor will it seriously depreciate surrounding property values. The Council has also determined that the proposed Final PUD and amendments thereto are in harmony with the general provisions, purpose and intent of the City’s Zoning Ordinance and its Comprehensive Plan and that the requested modifications comply with the requirements of Section 14:6-7.2(E). 4. The contents of Planning Case Files 95-51-PUD, 02-38-PUD, and 04-70-PUD are hereby entered into and made part of the public hearing record and the record of decision for this case. City Council Meeting of June 17, 2013 (Item No. 4k) Page 7 Title: Minor Amendment to PUD – 1625 Zarthan Ave S & 5800 Cedar Lake Rd (Costco & Home Depot) C. Conditions and Approval A Final PUD at the location described in paragraph 1 of the above findings is approved based on the recitals and the findings set forth above, the Approved Final Plans, and subject to the following conditions: 1. Issuance of demolition and erosion control permits shall be subject to the following conditions as required in the Environmental Assessment Worksheet (EAW) Resolution and subsequently modified on March 18, 1996 and May 6, 1996 as follows: a. Demolition, hauling and construction activities shall be limited to the hours between 7:00 a.m. and 4:00 p.m. on weekdays and 9:00 a.m. and 4:00 p.m. on weekends and holidays. b. Trucks and construction equipment shall be prohibited from using Zarthan Avenue between Cedar Lake Road and 16th Street and shall enter and exit the site from 16th Street and Park Place Boulevard only. c. During demolition of the existing building, the western wall of the building shall be left intact as a sound barrier for as long as practicable. d. Use of explosives shall be prohibited. e. All demolition and construction equipment shall utilize state of the art muffler systems. f. On-site crushing and recycling operations shall be located as far from existing residential land uses as practicable. 2. Approval of the Preliminary and Final Planned Unit Development and Plat shall be subject to the following conditions as required in the EAW Resolution and subsequently modified on March 18, 1996 and by this resolution as follows: a. Installation of all roadway improvements associated with anticipated traffic from the proposed use and dedication of public right-of-way to accommodate public infrastructure. b. Adjustments to existing traffic lights, street lights and other utilities. c. Installation of sidewalks along the length of Cedar Lake Road, Park Place Boulevard, 16th Street, and Zarthan Avenue adjacent to the project and connecting to public plaza areas within the site. d. Dedication of drainage and utility easements to a depth of 10 feet back from planned right-of-way and execution of a sidewalks easement agreement. Such sidewalk easements shall extend 1 foot beyond required perimeter sidewalks. e. Installation of on-site directional signs to I-394 and Highway 100 to prevent unnecessary traffic in residential neighborhoods. f. Delivery and garbage service trucks shall be prohibited from using Zarthan Avenue between Cedar Lake Road and 16th Street and shall be limited to servicing the uses between the hours of 7:00 a.m. and 10:00 p.m. on weekdays and 9:00 a.m. and 10:00 p.m. on weekends and holidays. Unoccupied delivery and garbage trucks shall be prohibited from idling on site during nighttime hours as defined by Section 11-507(3)(a). City Council Meeting of June 17, 2013 (Item No. 4k) Page 8 Title: Minor Amendment to PUD – 1625 Zarthan Ave S & 5800 Cedar Lake Rd (Costco & Home Depot) g. Overnight parking of vehicles, semi-trailers, refrigeration units and the like shall be prohibited unless parked wholly within any of the enclosed loading dock bays. h. Openings of rooftop fans and air circulation equipment shall be required to face away from residential neighborhoods and all exhaust openings except bathroom fans shall be prohibited on exterior walls facing residential neighborhoods. In the event bathroom fan exhausts exceed the maximum nighttime allowable noise limits, operation of these fans shall be terminated until compliance with the City of St. Louis Park Noise Ordinance is achieved. i. Compliance with ordinance provisions relating to exterior lighting and prevention of unnecessary nighttime site lighting. j. Compliance with all applicable City ordinance provisions shall be required unless modifications are specifically authorized by this Final Planned Unit Development approval or by more stringent requirements of the development agreement or supplemental development agreements. 3. The following modifications to ordinance requirements are authorized as part of this Final PUD approval: a. Bufferyards are not required between drive through facilities and adjacent properties that are part of the Final PUD. b. The temporary hoop structures associated with Home Depot’s “Garden Center” outdoor sales area are not required to be architecturally integrated with the principal building (utilize same building materials) provided masonry walls surrounding the outdoor sales area are provided as shown on the Approved Final Plans. c. A Bufferyard “D” may be substituted for the required Bufferyard “F” between the truck circulation and loading areas for the Retail/Service/Restaurant building on Lot 5 and Park Place Boulevard. d. Buildings are not required to utilize at least 60% brick or other natural stone on each building face but are approved with percentages of brick and other materials as shown on the Approved Final Plans. e. Buildings on Lots 2 and 3 may have more than 5% bright, pure accent colors on each facade and are approved with the percentages of accent colors shown on colored elevations “stamped” as received by the City on March 15, 1996 and on April 19, 1996 (Exhibits B2 and B3 of the Approved Final Plans). f. The area of all wall signs may exceed 7% of the building wall area but may not exceed the wall sign area shown on the Approved Final Plans. Exhibit A7 of the Approved Final Plans shall be revised to reduce cumulative wall signage by at least 37 square feet in accordance with the Preliminary PUD approval. g. Individual wall signs may exceed 150 square feet but may not exceed the individual wall sign areas shown on the Approved Final Plans. h. Two free standing “off-premise signs”, advertising uses on properties within the PUD only, are allowed as shown on the Approved Final Plans. Such signs are denoted on the Approved Final Plans as “Center Pylon Signs” and also as “Monument Signs”. Such signs may also be referenced as “Project Identification Signs” or “Tenant Identification Signs”. City Council Meeting of June 17, 2013 (Item No. 4k) Page 9 Title: Minor Amendment to PUD – 1625 Zarthan Ave S & 5800 Cedar Lake Rd (Costco & Home Depot) i. The maximum size of the “Center Pylon Sign” faces may exceed 300 square feet and may be 320 square feet each as shown on the Approved Final Plans. j. The maximum total sign area of the “Center Pylon Signs” may exceed 400 square feet and may be 1,280 square feet as shown on the Approved Final Plans. k. One Monument Sign measuring no more than 4 feet 4 inches in height and 16 feet in width and identifying only the name of the Shopping Center may be placed in Outlot A as shown on the Approved Final Plans. Such sign shall include seating on one side, shall be faced primarily with brick, and shall not be counted toward the total approved sign areas. l. Exterior lighting spillover may exceed 1.0 footcandle at property lines that abut other properties within the Final PUD but may not exceed ordinance restrictions at property lines that abut properties that are not within the PUD. m. The Bufferyard “D”s separating the in-vehicle sales and service uses (drive- throughs) on Lots 4,5,6,7 and 8 of the Plat from 16th Street and Park Place Boulevard are not required to include a minimum of 95 plant units per 100 linear feet and may include a total of 225 fewer plant units than required as shown on the Approved Final Plans. n. Certain canopy trees may be installed at sizes less than 2-1/2” caliper as shown on the Approved Final Plans and such trees shall be given full plant unit credits. o. Certain evergreen trees may be installed at sizes less than 6 feet (height) as shown on the Approved Final Plans and such trees shall be given full plant unit credits. 4. The site shall be developed, used and maintained in accordance with the Approved Final Plans, which are incorporated herein as Exhibits P1, P2, S1, S2, C1, C2, C3, L1, L2, L3, L4, L5, A1, A2, A3, A4, A5, A6, A7 as revised by condition 3f of this resolution, A8, A9, F1, F2, F3, F4, F5, F6 (“Park Place Plaza” Monument Sign Detail), B1, B2 and B3, and the following conditions: a. MPCA approval of the remediation plan relating to environmental contamination on the site and conformance with the conditions of the approved remediation plan. b. Final PUD approval is contingent upon the developer and current/prospective property owners, including Home Depot, signing the required agreements and conforming with all provisions of the executed special assessment agreements for construction of required off-site improvements, executed development agreement and executed supplemental development agreements that cover all on-site improvements within the PUD in accordance with Section 14:6-7.5(F), executed sidewalk easements agreement, executed reciprocal easements and operation agreement, and the executed reversion agreement. Wherever there is a conflict between the requirements of any of said documents, City Code, and/or this resolution, the more stringent requirements shall apply. c. The type and colors of all exterior building materials (including building facades, canopies, screen walls, fences, trash enclosures, and permanent exterior signage) throughout the Final PUD must match those adopted as part of the Approved Final Plans, and no exterior building materials other than doors may be surface painted (this requirement does not prohibit the use of standing seam metal with a baked enamel finish, as approved). Said doors shall be painted to match the City Council Meeting of June 17, 2013 (Item No. 4k) Page 10 Title: Minor Amendment to PUD – 1625 Zarthan Ave S & 5800 Cedar Lake Rd (Costco & Home Depot) approved brick or rock face block color. All exterior building materials must be maintained in an aesthetic manner as determined in the sole discretion of the City. d. Wherever brick is denoted on the Approved Final Plans, a full 4” thick face brick must be applied in a masonry technique except that an alternative brick application, face brick cast in structural panels, is specifically approved for the Home Depot building on Lot 2. The alternative brick application for Lot 2 must match the color, texture and visual aesthetics of the brick used throughout the remainder of the PUD. e. Permanent exterior signage is limited to that shown on the Approved Final Plans. Additional window signage, temporary banners and the like are restricted in accordance with the terms of the “Maintenance and Operational Restrictions” Exhibit of the development agreement and supplemental development agreements. f. All light poles must be included within curbed areas. g. All rooftop equipment must be screened from ground level view using parapet walls and all rooftop equipment must be painted to match the color of the rooftop to ensure that it is minimally visible from nearby office towers. h. Prior to issuance of any building permits, the developer must reimburse the City for all costs incurred by the City in connection with processing the applicant’s PUD, and preparation and implementation of the development agreements and associated agreements. i. In lieu of meeting certain bufferyard requirements as waived in Paragraph 3l above, the developer shall donate 225 plant units to the City in the form of twenty 2-1/2” canopy trees by June 1, 1997 for use on nearby lands to provide screening of the project. j. The subsequent phase of the PUD is approved in concept only as including 110,000 square feet of gross retail building area, 495 parking spaces and 55 proof of parking spaces on Lot 1. The details of the subsequent phase shall be reviewed as a minor amendment to the approved Final PUD, unless additional off-site impacts or modifications to Code or PUD requirements are anticipated, in which case, the details of the subsequent phase shall be reviewed as a major amendment. In either case, the City Council reserves the right to hold a public hearing regarding the subsequent phase. The subsequent phase shall require amendment to the development agreement and/or supplemental development agreement for Lot 1. k. No administrative subdivision of any property within the PUD shall be granted due to the interrelatedness of the PUD, plat, and Approved Final Plans. l. The developer and/or property owner shall dedicate, at no expense to the City, any right-of-way which may be necessary and required in the future to facilitate improvements at the intersection of 16th Street and Zarthan Avenue and/or to provide access from Cedar Lake Road into the PUD. Developer and/or property owner shall be responsible for the costs associated with these potential future improvements based upon the benefit to the project and/or the demands the project has placed on the roadway system. Any such improvements would require a major amendment to the Approved Final Plans for the PUD City Council Meeting of June 17, 2013 (Item No. 4k) Page 11 Title: Minor Amendment to PUD – 1625 Zarthan Ave S & 5800 Cedar Lake Rd (Costco & Home Depot) m. The developer and/or owner shall obtain all necessary permits to complete any further required environmental remediation of the site and undertake said remediation pursuant to local, state and federal regulations, as applicable. n. The developer shall receive all other necessary permits and approvals from the City including, but not limited to sanitary sewer, water tapping permit, demolition permit, building permits, and erosion control permit. o. The developer shall obtain approval by the Minnehaha Creek Watershed District as well as any other approvals required by state and federal agencies, including the required Indirect Source Permit, and the developer shall comply with all conditions of said approvals and permits. p. The Final Plat shall be submitted to the County for recording prior to initiating any site work relating to construction of the PUD project; evidence of filing of the final plat or other assurances pertaining to required easements shall be presented to the City prior to issuance of any permits other than demolition and associated temporary noise permits. q. The Preliminary and Final Plat are inherent components of the Preliminary and Final PUD approvals and are subject to the conditions of Preliminary and Final PUD approval and the Approved Final Plans. Access to the platted properties shall be limited to the means provided in the Approved Final Plans. r. No certificate of occupancy for any building in the PUD shall be issued until all the circulation drives and internal sidewalks throughout the PUD and all the improvements, other than landscaping and wear coat of asphalt, for that building’s lot, have been installed and accepted by the City. All landscaping on the lot shall be completed within one (1) year from the date the certificate of occupancy is issued. s. The general public shall have the right to utilize the internal sidewalks for pedestrian access, including walking bicycles, through the PUD property and for access to the outdoor seating plaza, which shall remain available to the general public in perpetuity for passive recreational use that is not disruptive to the operation of the shopping center. No provision of the reciprocal easement and operations agreement shall be interpreted as overriding this requirement. t. The Approved Final Plan Exhibits may be revised to include a 4,450 square feet Arby’s restaurant on Lot 4 in accordance with the plans reviewed by the Planning Commission on May 1, 1996, and further revised as follows: to clarify building materials; to ensure that building materials match materials used throughout the remainder of the development; and to reduce the width of the metal door on the rear elevation to a maximum of 8 feet. u. The obligations and conditions herein imposed on the developer by this Final PUD shall also apply to any property owner, successor or assign. v. The City may enforce any provision of this resolution in the same manner as provided for a violation of the City’s Zoning Ordinance and/or as provided in the development agreement or supplemental development agreements. 5. The Final PUD shall be amended on October 22, 1996 to incorporate all of the preceding conditions and add the following condition: City Council Meeting of June 17, 2013 (Item No. 4k) Page 12 Title: Minor Amendment to PUD – 1625 Zarthan Ave S & 5800 Cedar Lake Rd (Costco & Home Depot) a. The height of the future Retail 1 tenant space at 5680 Cedar Lake Road may be reduced from 30’8” to not less than 20’0”. 6. The Final PUD shall be amended on January 6, 1997 to incorporate all of the preceding conditions and add the following condition: a. The rear door configuration in the tenant space on the south end of the 1650 Park Place Boulevard building (Bruegger’s Bagels) is revised in accordance with Exhibit A5.1 - Exterior Elevations dated 12-23-96 7. The Final PUD shall be amended on March 17, 1997 to incorporate all of the preceding conditions and add the following conditions: a. The building at 1690 Park Place Boulevard (Arby’s) may utilize neon lighting in accordance with Exhibits A4.1, A4.2 and A4.3, Arby’s Exterior Elevations provided said exhibit and assent form are signed by Franchise Associates, Inc. b. The Landscape Plan may be revised in accordance with Exhibit L.1, Landscape Plan revised 2/28/97 and stamped received 3/3/97 provided the following conditions are met. i) A revised Grading Plan that accurately reflects the proposed retention of existing berms shall be submitted and approved by the City Engineer and Zoning Administrator. The Zoning Administrator shall ensure that the plan meets requirements relating to minimum berm heights adjacent to truck circulation areas. ii) Prior to implementing the changes, Ryan Construction Company, Inc. and the current fee owner of 1625 Zarthan Avenue must sign the Assent form and revised exhibits. 8. The Final PUD shall be amended on January 5, 1998 to incorporate all of the preceding conditions and add the following conditions: a. An Office-Max sign may be installed on the east facade of the building located at 5600 Cedar Lake Road (Office-Max) in the location shown on the Exhibit A3.1 Elevation. b. Prior to issuance of a sign permit, Ryan Construction Company, Inc. and Office Max must sign the Assent Form and revised exhibit. 9. The Final PUD shall be amended on April 3, 2000 to incorporate all of the preceding conditions, find no need for a new EAW, and add the following conditions: a. The Costco site (Lots 1 and 8) shall be developed, used and maintained in accordance with the official exhibits, which shall be amended to address the following conditions: (Amended on July 15, 2002 by Condition 12.a.) i) The plans shall be amended as determined necessary by the Director of Public Works to show dedication of right-of-way near 16th/Zarthan as anticipated in the original development agreement sketch. Landscape plans shall be amended as necessary and approved by the Zoning Administrator to accommodate future improvements to this intersection while preserving existing berming/screening to the extent feasible. City Council Meeting of June 17, 2013 (Item No. 4k) Page 13 Title: Minor Amendment to PUD – 1625 Zarthan Ave S & 5800 Cedar Lake Rd (Costco & Home Depot) ii) The plans shall be amended to include proof of parking in excess of minimum requirements as approved by the Zoning Administrator. If excess proof of parking is shown, details of the proposed curb cuts and effects on existing landscaping shall be submitted and approved by the Zoning Administrator. iii) Elevation drawings shall be amended to show screen wall heights of 12 feet as measured from the main service drive elevation unless evidence is approved by the Zoning Administrator that the proposed heights will adequately screen service vehicles. iv) Elevation drawings and sign details shall be amended to comply with ordinance requirements unless a variance for proposed signage has been approved. b. Prior to beginning any site work, the following conditions shall be met: i) A copy of the required Watershed District permit shall be submitted to the City. ii) An erosion and sediment control plan shall be submitted and approved by Public Works. iii) A letter from the MPCA shall confirm no need for a new ISP based upon the final traffic study by SRF. iv) The official exhibits and assent form shall be signed by the applicant, owner, and City. c. Costco shall adhere to the restrictions on construction times and routes as included in the final PUD approval for Park Place Plaza except that additional restrictions may be imposed as necessary to prevent conflicts with customers during peak restaurant times. d. Costco shall adhere to restrictions on temporary signage as included in the Final PUD approval for Park Place Plaza. e. Prior to issuance of a building permit, which may impose additional restrictions, the following conditions shall be met: i) The development agreement shall be amended and executed and shall address, at a minimum, land dedication, design, construction, financial sureties for on- and off-site improvements, and maintenance. ii) A revised light distribution plan, landscape irrigation plan, and all building material samples and colors shall be submitted and approved by the Zoning Administrator. f. Prior to issuance of an Occupancy Permit, the following conditions shall be met: i) The required traffic improvements at 16th Street and the main access drive, including installation of a traffic signal paid for by the applicant, shall be complete and operational; the applicant shall also pay its share of a traffic signal at 16th and Zarthan, which may be installed at a later date. ii) The entire PUD site shall be found to be in compliance with the conditions of final PUD approval, or a Letter of Credit shall be submitted in the amount of 125% of the cost of any outstanding improvements, including but not limited to completion of improvements near the intersection of City Council Meeting of June 17, 2013 (Item No. 4k) Page 14 Title: Minor Amendment to PUD – 1625 Zarthan Ave S & 5800 Cedar Lake Rd (Costco & Home Depot) Park Place Boulevard and 16th Street, public transit improvements on 16th Street as approved by Metro Transit, and all conditions of the final PUD resolution and executed development agreement. g. Costco shall adhere to restrictions on delivery and garbage service hours and routes as included in the final PUD approval for Park Place Plaza except that additional restrictions on garbage service may be imposed on Costco as necessary to prevent conflicts with customers during peak restaurant hours. h. All sidewalks throughout the PUD site shall be maintained in a clear, walkable condition at all times during which one or more buildings within the PUD are open to the public. 10. The Final PUD shall be amended on November 6, 2000 to incorporate all of the preceding conditions and add the following condition: a. Temporary Certificate of Occupancy may be issued prior to the signal at 16th and the main access drive being operational provided Costco installs a stop sign at the exit to 16th Street and employs off-duty police officers to direct traffic from the date of opening until such time as the traffic signal is operational or the City agrees it is no longer necessary. 11. The final PUD shall be amended on August 20, 2001 to incorporate all of the preceding conditions and add the following conditions: a. The Costco fueling facility site (Lot 9) shall be developed, used and maintained in accordance with the official exhibits which shall be amended to address condition 11.f.iv. Previously approved official exhibits for Lots 1, 2 and 8 shall be amended to include traffic improvements noted in condition 11.g. b. Costco shall adhere to the Fire Department’s requirements for the fueling facility including: i) An employee must be available on-site while the fueling station is open. ii) A key-actuated manual reset switch shall be installed inside the attendant building. iii) A fire department access key box shall be installed on the exterior of the attendant building. iv) Instructions shall be provided in English and Spanish. v) Spill control equipment and supplies to contain and dispose of a 30-gallon (150% of customer limit) fuel spill. Include storm drain covers, absorbent materials, containers and tools. Protective clothing and equipment to be provided for trained attendants. vi) Dispensing nozzles shall be UL 842 listed. vii) One 40-B:C fire extinguisher shall be located outside the attendant building with a cabinet tamper switch to automatically activate emergency shut-off controls. c. Prior to beginning any site work, the following conditions shall be met: City Council Meeting of June 17, 2013 (Item No. 4k) Page 15 Title: Minor Amendment to PUD – 1625 Zarthan Ave S & 5800 Cedar Lake Rd (Costco & Home Depot) i) A copy of the required Watershed District permit or letter from the Watershed District indicating no need for a permit shall be submitted to the City. ii) An erosion and sediment control plan shall be submitted and approved by Public Works. iii) The MPCA shall confirm that an ISP amendment is not necessary. d. Costco shall adhere to the restrictions on construction times and routes as included in the final PUD approval for Park Place Plaza except that additional restrictions may be imposed as necessary to prevent conflicts with customers during peak restaurant times. e. Costco shall adhere to restrictions on temporary signage as included in the Final PUD approval for Park Place Plaza. f. Prior to issuance of a building permit, which may impose additional restrictions, the following conditions shall be met: i) The development agreement shall be amended and executed and shall address, at a minimum, design, construction, financial sureties for on-site improvements, including a letter of credit for 125% of the required internal traffic improvements, and maintenance. ii) A dimensional signage plan, landscape irrigation plan, and all building material samples and colors shall be submitted and approved by the Zoning Administrator. iii) All lights shall be completely recessed in the canopy. iv) Revised site and landscaping plans shall be submitted to and approved by the Zoning Supervisor showing the curb locations around the gasoline storage tanks and the reduced landscaping island. g. Prior to issuance of a permanent Occupancy Permit for the Costco warehouse facility or temporary Occupancy permit for the fueling facility, the entire PUD site shall be found to be in compliance with the conditions of final PUD approval, the applicant shall implement traffic improvements recommended by SRF for the internal Costco warehouse intersection and eliminate three internal access points to Home Depot as shown on TD & A Layout 3, and shall change the sign at the 16th Street customer entrance to direct service vehicles to the 16th Street service drive. h. Service trucks shall use the service entrance on 16th Street and shall be prohibited from using Zarthan Avenue between Cedar Lake Road and 16th Street and shall be limited to servicing the fueling facility between the hours of 7:00 a.m. and 10:00 p.m. on weekdays and 9:00 a.m. and 10:00 p.m. on weekends and holidays and as recommended by the traffic study. i. Violation of any condition of PUD approval, including these amendments, shall result in a fine of $750 per day. 12. The final PUD shall be amended (Case No. 02-38-PUD) on July 15, 2002 to incorporate all of the preceding conditions and add the following conditions: City Council Meeting of June 17, 2013 (Item No. 4k) Page 16 Title: Minor Amendment to PUD – 1625 Zarthan Ave S & 5800 Cedar Lake Rd (Costco & Home Depot) a. The Costco warehouse building site (Lot 1) shall be developed, used and maintained in accordance with the official exhibits, which shall be amended as approved by the Zoning Administrator to provide an accessible sidewalk and convenient stair location. (Amends Condition 9.a.). b. Prior to issuance of a building permit, which may impose additional conditions, the following conditions shall be met: i) The official exhibits and assent form shall be signed by the applicant/owners. ii) The development agreement shall be amended if necessary, as determined by the City Attorney. iii) An additional letter of credit shall be submitted for 125% of the cost of the site improvements. iv) Building material samples and colors shall be submitted and approved by the Zoning Administrator. c. Costco shall adhere to the restrictions on construction times and routes as included in the final PUD approval for Park Place Plaza except that additional restrictions may be imposed as necessary to prevent conflicts with customers during peak restaurant times. d. Prior to issuance of an occupancy permit for the liquor store addition, the applicant shall submit an electronic file and print and reproducible copy of the plat and as-built drawings for the PUD site. In the event that any signal arms are found to be on private property, appropriate easements shall be recorded against the private property. e. Violation of any condition of PUD approval, including these amendments, shall result in a fine of $750 per day. 13. The final PUD shall be amended (Case No. 04-70-PUD) on March 7, 2005 to incorporate all of the preceding conditions and add the following conditions: a. The Home Depot garden center 5,764 square foot addition shall be developed, used and maintained in accordance with the official exhibits. b. The following traffic improvements are shown on official exhibits and implemented: i. The 3-way stop intersection on the main drive aisle at the entrance of Costco is changed to a 4-way stop intersection. All stop signs at this intersection are changed to standard sized signs. ii. A new right-turn lane from the main drive aisle into Costco is constructed, and a new right turn lane (directing traffic north) is also constructed. iii. Stop signs at the eastern 4-way stop of the main drive aisle are changed to standard sized sign for better driver recognition. c. Landscaping shall be installed according to the submitted landscape plan, with additional tall grass plantings along the banks of storm pond #1. All materials must be approved by the City’s Environmental Coordinator. d. Bike racks in the area must be moved and/or replaced in another location on the Home Depot site. City Council Meeting of June 17, 2013 (Item No. 4k) Page 17 Title: Minor Amendment to PUD – 1625 Zarthan Ave S & 5800 Cedar Lake Rd (Costco & Home Depot) e. No outdoor storage is allowed; outdoor merchandise is allowed on sidewalk areas only, in accordance with the City’s Zoning Ordinance. f. Home Depot must repair or replace the sidewalk if damage occurs during construction of the garden center addition. g. All requirements of the City Engineer must be met. h. Prior to issuance of a building permit, which may impose additional conditions, the following conditions shall be met: i) The official exhibits and assent form shall be signed by the applicant/owners. ii) The development agreement shall be amended if necessary, as determined by the City Attorney. iii) An additional letter of credit shall be submitted for 125% of the cost of the site improvements. 14. The final PUD shall be amended (Case No. 13-21-PUD) on June 17, 2013, to incorporate all of the preceding conditions and add the following conditions: a. Prior to the beginning of work, the following conditions shall be met: i) The official exhibits and assent form shall be signed by the applicant/owners. iii) The development agreement shall be amended if necessary, as determined by the City Attorney. iv) An additional letter of credit shall be submitted for 125% of the cost of the site improvements. v) An agreement assigning responsibility for maintenance of the sidewalk, including snow removal, to Costco shall be submitted to the City for review and approval by the City Attorney. vi) An agreement that guarantees parking access for Lot 2, Block 1, Park Place Plaza (Home Depot) to 59 parking spaces on Lot 1, Block 1, Park Place Plaza (Costco) shall be submitted to the City for review and approval by the City Attorney. The agreement shall be recorded with Hennepin County and proof of the recording submitted to the City. b. The Costco Warehouse and Home Depot parking lots shall be developed, used and maintained in accordance with the official exhibits. Reviewed for Administration: Adopted by the City Council June 17, 2013 City Manager Mayor Attest: City Clerk City Council Meeting of June 17, 2013 (Item No. 4k) Title: Minor Amendment to PUD – 1625 Zarthan Ave S & 5800 Cedar Lake Rd (Costco & Home Depot)Page 18 121420182561326TITLESHEETPROJECTSHEET INDEXLANDFORMcLandform and Site to Finish are service marks of Landform Professional Services, LLC.PROJECT NO.FILE NAMEIF THE SIGNATURE, SEAL OR FOUR LINES DIRECTLY ABOVE ARE NOTVISIBLE, THIS SHEET HAS BEEN REPRODUCED BEYOND INTENDEDREADABILITY AND IS NO LONGER A VALID DOCUMENT. PLEASE CONTACTTHE ENGINEER TO REQUEST ADDITIONAL DOCUMENTS.BYDATEDATEREVISIONREVIEWCONTACT ENGINEER FOR ANY PRIOR HISTORYREVISION HISTORYPROJECT MANAGER REVIEWCERTIFICATIONDEVELOPERMUNICIPALITY : S. SABRASKI : 06/03/2013JUNE 3, 2013CWC130062013ST. LOUIS PARK, MNCOSTCO WHOLESALE999 LAKE DRIVEISSAQUAH, WA 98027CIVIL TITLE SHEETEXISTING CONDITIONSDEMOLITIONOVERALL SITE PLANSITE PLANGRADING, PAVING, DRAINAGE, & EROSION CONTROLUTILITIESPRELIMINARY PLATCIVIL CONSTRUCTION DETAILSLANDSCAPE PLANC0.1C1.1C1.2C2.0C2.1C3.1C4.1C5.1C7.1L2.1St. Louis ParkM I N N E S O T AC201CWC06.DWGSITE PLANC2.1NORTH03060SITE PLAN NOTESPARKING SUMMARYAREA SUMMARYZONING AND SETBACKSCity Council Meeting of June 17, 2013 (Item No. 4k) Title: Minor Amendment to PUD – 1625 Zarthan Ave S & 5800 Cedar Lake Rd (Costco & Home Depot)Page 19 TITLESHEETPROJECTSHEET INDEXLANDFORMcLandform and Site to Finish are service marks of Landform Professional Services, LLC.PROJECT NO.FILE NAMEIF THE SIGNATURE, SEAL OR FOUR LINES DIRECTLY ABOVE ARE NOTVISIBLE, THIS SHEET HAS BEEN REPRODUCED BEYOND INTENDEDREADABILITY AND IS NO LONGER A VALID DOCUMENT. PLEASE CONTACTTHE ENGINEER TO REQUEST ADDITIONAL DOCUMENTS.BYDATEDATEREVISIONREVIEWCONTACT ENGINEER FOR ANY PRIOR HISTORYREVISION HISTORYPROJECT MANAGER REVIEWCERTIFICATIONDEVELOPERMUNICIPALITY : S. SABRASKI : 06/03/2013JUNE 3, 2013CWC130062013ST. LOUIS PARK, MNCOSTCO WHOLESALE999 LAKE DRIVEISSAQUAH, WA 98027CIVIL TITLE SHEETEXISTING CONDITIONSDEMOLITIONOVERALL SITE PLANSITE PLANGRADING, PAVING, DRAINAGE, & EROSION CONTROLUTILITIESPRELIMINARY PLATCIVIL CONSTRUCTION DETAILSLANDSCAPE PLANC0.1C1.1C1.2C2.0C2.1C3.1C4.1C5.1C7.1L2.1St. Louis ParkM I N N E S O T AC401CWC06.DWGUTILITIESC4.1NORTH03060UTILITY NOTESCity Council Meeting of June 17, 2013 (Item No. 4k) Title: Minor Amendment to PUD – 1625 Zarthan Ave S & 5800 Cedar Lake Rd (Costco & Home Depot)Page 20 NAMECOUNT KEYCOMMON NAMESCIENTIFIC NAMEMATURE SIZE PLANTING SIZE ROOT COND.TITLESHEETPROJECTSHEET INDEXLANDFORMcLandform and Site to Finish are service marks of Landform Professional Services, LLC.PROJECT NO.FILE NAMEIF THE SIGNATURE, SEAL OR FOUR LINES DIRECTLY ABOVE ARE NOTVISIBLE, THIS SHEET HAS BEEN REPRODUCED BEYOND INTENDEDREADABILITY AND IS NO LONGER A VALID DOCUMENT. PLEASE CONTACTTHE ENGINEER TO REQUEST ADDITIONAL DOCUMENTS.BYDATEDATEREVISIONREVIEWCONTACT ENGINEER FOR ANY PRIOR HISTORYREVISION HISTORYPROJECT MANAGER REVIEWCERTIFICATIONDEVELOPERMUNICIPALITY : S. SABRASKI : 06/03/2013JUNE 3, 2013CWC130062013ST. LOUIS PARK, MNCOSTCO WHOLESALE999 LAKE DRIVEISSAQUAH, WA 98027CIVIL TITLE SHEETEXISTING CONDITIONSDEMOLITIONOVERALL SITE PLANSITE PLANGRADING, PAVING, DRAINAGE, & EROSION CONTROLUTILITIESPRELIMINARY PLATCIVIL CONSTRUCTION DETAILSLANDSCAPE PLANC0.1C1.1C1.2C2.0C2.1C3.1C4.1C5.1C7.1L2.1St. Louis ParkM I N N E S O T AL201CWC06.DWGLANDSCAPE PLANL2.1NORTH02040LANDSCAPE NOTESLANDSCAPE REQUIREMENTSPLANTING SCHEDULEDECIDUOUS TREE PLANTINGNO SCALE1SHRUB PLANTINGNO SCALE3TYPICAL CONIFEROUSTREE PLANTING2City Council Meeting of June 17, 2013 (Item No. 4k) Title: Minor Amendment to PUD – 1625 Zarthan Ave S & 5800 Cedar Lake Rd (Costco & Home Depot)Page 21 Meeting: City Council Meeting Date: June 17, 2013 Consent Agenda Item: 4l EXECUTIVE SUMMARY TITLE: Second Reading of Zoning Ordinance Amendment Pertaining to Mobile Medical Uses RECOMMENDED ACTION: Motion to Approve Second Reading and Adopt Ordinance amending Appendix A of the City Code, and Chapter 36 pertaining to Mobile Medical Uses, and to approve the summary ordinance for publication. POLICY CONSIDERATION: Does the City Council wish to amend the City Code to allow Mobile Medical Uses as a temporary use? SUMMARY: Staff is requesting an amendment to the Zoning Ordinance to: 1. Create definitions for: “Mobile Use”, “Mobile Use-Food” and “Mobile Use-Medical”. 2. Amend Section 36-82(b)(10)-Mobile Food Vehicle to convert it to a “Mobile Uses” section that regulates both Mobile Use-Food and Mobile Use-Medical. 3. Amend Appendix A-Fee Schedule, to create a $50 fee for Mobile Uses permits. Council Review: The first reading was conducted on June 3, 2013. The Council requested clarification that the permit issued by the City authorizes the mobile use to operate at the premises indicated by the permit for a calendar year. The following underlined language was added to the “permit required” condition to make this clarification: a. A zoning permit is required to operate a mobile use vehicle. A separate permit shall be required for each location the mobile use operates, and permits shall be valid for one calendar year. FINANCIAL OR BUDGET CONSIDERATION: None VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Ordinance Summary Ordinance Prepared by: Gary Morrison, Assistant Zoning Administrator Reviewed by: Sean Walther, Senior Planner Michele Schnitker, Housing Supervisor Approved by: Tom Harmening, City Manager City Council Meeting of June 17, 2013 (Item No. 4l) Page 2 Title: Second Reading of Zoning Ordinance Amendment Pertaining to Mobile Medical Uses ORDINANCE NO.____-13 AN ORDINANCE AMENDING THE ST. LOUIS PARK ORDINANCE CODE RELATING TO ZONING BY AMENDING SECTION 36-82(b)(10), SECTION 36-142(g) AND APPENDIX A-FEE SCHEDULE THE CITY OF ST. LOUIS PARK DOES ORDAIN: Findings Sec. 1. The City Council has considered the advice and recommendation of the Planning Commission (Case No. 13-17-ZA). Sec. 2. The St. Louis Park Ordinance Code, Sections 36-82(b)(10), 36-142(g) and Appendix A are hereby amended by deleting stricken language and adding underscored language. Section breaks are represented by ***. Section 36-82 Temporary uses. *** (b) Authorized temporary Uses. A structure or land in any use district may be used for one or more of the following temporary uses if the use complies with the conditions stated in this chapter: *** (10) Mobile UseFood Vehicle. Mobile Uses food vehicles (vehicle) are permitted with the following conditions: a. A zoning permit is required to operate a mobile use vehicle. A separate permit shall be required for each location the mobile use operates, and permits shall be valid for one calendar year. The applications shall include: 1) A completed application form. 2) A site plan showing where on the property the vehicle shall be located. 3) The dates the vehicle shall be on the property. 4) A copy of a letter from the property owner authorizing the vehicle to locate on the property. 5) A copy of applicable licenses and permits to operate and provide the service. 6) Required fee. b. Only Mobile Use-Food and Mobile Use-Medical are permitted. ac. The vehicle is not permitted on property that is zoned residential and used as a residential dwelling. bd. The vehicle shall have all permits and licenses required by the State and Hennepin County to operate. A current copy of the permits and licenses shall be kept at the vehicle and immediately made available upon request. The operator shall comply in all respects with all requirements of state and county law. e. A building permit is required for a trailer if the customer enters the trailer during the conduct of the business. cf. The vehicle may be parked in a public right-of-way if the right-of-way is closed as authorized by the City. City Council Meeting of June 17, 2013 (Item No. 4l) Page 3 Title: Second Reading of Zoning Ordinance Amendment Pertaining to Mobile Medical Uses dg. The vehicle operator shall have written permission from the property owner to operate on their property. The written permission shall be kept with the vehicle, and made immediately available to the City upon request. e. Only food and non-alcoholic beverages shall be sold. fh. The vehicle operator shall comply with the following site standards: 1) The vehicle shall be parked on a paved surface, unless it is located on a public park as approved by the City. 2) The vehicle shall be located at least 30 feet away from an entrance to a public road. 3) The vehicle shall not disrupt traffic and parking. 4) The vehicle shall not have a drive-thru. 5) There shall be at least six feet of safe pedestrian passage around the vehicle. gi. Hours of operation shall be limited to the hours between 7:00 a.m. and 10 pm. hj. Lighting shall be limited to: 1) Vehicular lighting that is required by law. 2) Lights necessary to illuminate the inside of an enclosed vehicle, service deck of a cart, and the point of sale area of the vehicle. The lighting shall not extend above the vehicle, shall be downcast, and shielded in such a way to illuminate the vehicle, and a point of sale area only. The lighting shall not directly illuminate an area more than 10 feet away from the vehicle. ik. Noise generated by the vehicle and the use shall not become a nuisance. The operation of the vehicle shall adhere to the following: 1) No vehicle shall use or maintain any outside sound amplifying equipment, televisions or similar visual entertainment devices, or noisemakers, such as bells, horns, or whistles. 2) Power generators shall not exceed 70 decibels measured 10 feet away from the source. jl. Signage shall be limited to the following: 1) Text and images permanently applied to the vehicle as a decal or painted image and text. 2) Signs that are attached to the vehicle. The signs shall not extend above the roof of the vehicle, or extend more than five inches beyond any side of the vehicle. These signs can be unlit or internally lit. 3) Text and images permanently applied to awnings that are attached to the vehicle, do not extend above the height of the roof of the vehicle, and are at least six feet from the ground to the bottom of the awning. 4) Text and images permanently applied to umbrellas that are attached to a food cart. The umbrella shall be less than nine feet in height, and maintain a clearance of at least six feet from the ground to the bottom of the umbrella. 5) One Pedestrian sign as defined in Section 36-362. The Pedestrian sign must be located within five feet of the vehicle. km. Trash, litter, recycling and refuse shall be handled in the following manner: 1) All waste liquids, garbage, litter and refuse shall be kept in leak proof, nonabsorbent containers which shall be kept covered with tight-fitting lids and properly disposed of at the establishment the vehicle operates from. Public trash cans shall not be used to dispose of waste generated by the operation. Excepted from this is the occasional use by customers. 2) No waste liquids, garbage, litter or refuse shall be dumped or drained into sidewalks, streets, gutters, drains, or any other place except the licensed food establishment. City Council Meeting of June 17, 2013 (Item No. 4l) Page 4 Title: Second Reading of Zoning Ordinance Amendment Pertaining to Mobile Medical Uses 3) The operatorvendor shall provide a garbage receptacle with a tight fitting lid. The receptacle shall be easily accessible for customer use, and located within five feet of the vehicle. 4) The operator shall be responsible for all litter and garbage left by customers. ln. Overnight parking of the vehicle is not permitted, except that a vehicle under a long term contract to operate on a premises may be kept overnight on the same premises with the following conditions: 1) The vehicle is open for business at least six hours and five days per week for every week it is kept on site. The business hours must be posted on the outside of the vehicle at all times. 2) The vehicle is kept along the front wall of the building, near the customer entrance of the building. 3) The vehicle is kept within 10 feet of the principal building wall. 4) There is a minimum of six feet of pedestrian walkway between the vehicle and the edge of the sidewalk or marked pedestrian walkway. 5) Vehicles located on public property are exempt from these requirements pertaining to overnight parking. o. Mobile Use-Food shall also comply with the following conditions: 1) Only food and non-alcoholic beverages shall be sold. 2) The vehicle shall not have a drive-thru. 3) Vehicles stored overnight on private property shall be kept within 10 feet of the principal building wall, near the customer entrance of the building. 4) All transactions, services and preparation must occur inside the vehicle. p. Mobile Use-Medical shall also comply with the following conditions: 1) The caregivers shall have all permits and licenses required by the State and County to operate. A current copy of the permits and licenses shall be kept at the vehicle and immediately made available upon request. The operator shall comply in all respects with all requirements of state and county law. 2) The vehicle shall be used to provide a non-surgical medical service only. 3) Hazardous waste shall be contained and disposed of in a manner required by law. 4) Overnight boarding of pets is not permitted. 5) The sale of animals is not permitted. 6) Animals shall be kept inside the vehicle when receiving treatment and when under the supervision of the caregiver. *** Section 36-142(g) – Temporary Uses. The following are typical of the temporary uses referred to in this chapter: (1) Building construction structure means a structure used by a contractor or leasing agent as an office or for storage purposes for a construction project for which a building permit has been secured and is in effect. This use includes construction trailers, sales and leasing. (2) On-site equipment storage means any structure or outdoor storage area designed for the on- site storage of construction equipment and materials for an active construction project. (3) Temporary structure means a building other than a construction structure used for a period not exceeding six months. City Council Meeting of June 17, 2013 (Item No. 4l) Page 5 Title: Second Reading of Zoning Ordinance Amendment Pertaining to Mobile Medical Uses (4) Carnival and festivals means Carnivals, festivals, community art fairs, and other activities that include uses such as entertainment, amusement rides, and/or the sale of food and merchandise. This use shall not include sales or promotional events offered by businesses with the intent of selling product or services identical or similar to those typically sold or conducted on the lot. (5) Outdoor sales, temporary, means the display and sale of merchandise other than agricultural commodities outside of an enclosed building where it is offered in conjunction with an established use that legally sells the same or similar merchandise within a building on the same site. Characteristics include the use of tents, trailers, or other temporary structures. (6) Agricultural commodities sales means the temporary display and sale of Christmas trees and other greens which are associated with Christmas, flowers and produce. (7) Pollution abatement equipment means equipment and structures that are erected or installed on a property for the purpose of eliminating or abating ground or water pollution. (1) Agricultural commodities sales means the temporary display and sale of Christmas trees and other greens which are associated with Christmas, flowers and produce. (2) Building construction structure means a structure used by a contractor or leasing agent as an office or for storage purposes for a construction project for which a building permit has been secured and is in effect. This use includes construction trailers, sales and leasing. (3) Carnival and festivals means Carnivals, festivals, community art fairs, and other activities that include uses such as entertainment, amusement rides, and/or the sale of food and merchandise. This use shall not include sales or promotional events offered by businesses with the intent of selling product or services identical or similar to those typically sold or conducted on the lot. (4) Mobile Use means a commercial activity conducted as a temporary use within a vehicle. (5) Mobile Use-Food means a vehicle or cart used to prepare and serve food and/or beverages in individual portions in a ready-to-consume state. Mobile Use-Food does not include the sale of groceries or vegetables and fruits not prepared for immediate consumption at the vehicle. (6) Mobile Use-Medical means a vehicle used for the following: blood mobiles, immunization, medical evaluation, imaging, diagnostic or testing procedure. Mobile Use- Medical also includes pet care when limited to immunizations and exams. Mobile Use – Medical does not include massage or any type of treatment or surgery. (7) On-site equipment storage means any structure or outdoor storage area designed for the on- site storage of construction equipment and materials for an active construction project. (8) Outdoor sales, temporary, means the display and sale of merchandise other than agricultural commodities outside of an enclosed building where it is offered in conjunction with an established use that legally sells the same or similar merchandise within a building City Council Meeting of June 17, 2013 (Item No. 4l) Page 6 Title: Second Reading of Zoning Ordinance Amendment Pertaining to Mobile Medical Uses on the same site. Characteristics include the use of tents, trailers, or other temporary structures. (9) Pollution abatement equipment means equipment and structures that are erected or installed on a property for the purpose of eliminating or abating ground or water pollution. (10) Temporary structure means a building other than a construction structure used for a period not exceeding six months. *** APPENDIX A – 2013 FEE SCHEDULE *** COMMUNITY DEVELOPMENT DEPARTMENT *** Temporary Use Carnival & Festival over 14 days $1,000 Mobile Use $50 Sec. 3. The contents of Planning Case File 13-17-ZA are hereby entered into and made part of the public hearing record and the record of decision for this case. Sec. 4. This Ordinance shall take effect fifteen days after its publication. Public Hearing April 17, 2013 First Reading June 3, 2013 Second Reading June 17, 2013 Date of Publication June 27, 2013 Date Ordinance takes effect July 13, 2013 Adopted by the City Council Reviewed for Administration City Manager Mayor Attest: Approved as to Form and Execution: City Clerk City Attorney City Council Meeting of June 17, 2013 (Item No. 4l) Page 7 Title: Second Reading of Zoning Ordinance Amendment Pertaining to Mobile Medical Uses SUMMARY ORDINANCE NO._____-13 AN ORDINANCE RELATING TO MOBILE MEDICAL USES This ordinance states that amendments will be made to Chapter 36 regarding mobile medical uses and Appendix A – Fee Schedule. This ordinance shall take effect 15 days after publication. Adopted by the City Council June 17, 2013 Jeffrey W. Jacobs /s/ Mayor A copy of the full text of this ordinance is available for inspection with the City Clerk. Published in St. Louis Park Sailor: June 27, 2013 Meeting: City Council Meeting Date: June 17, 2013 Consent Agenda Item: 4m EXECUTIVE SUMMARY TITLE: Authorize Encroachment Agreement at 4300 Cedarwood Road RECOMMENDED ACTION: Motion to authorize the execution of an encroachment agreement for grading on City property next to 4300 Cedarwood Road. POLICY CONSIDERATION: Does the City Council wish to authorize an encroachment agreement as noted in this staff report? The proposed action is consistent with City policy. SUMMARY: Mr. Peter Dankwerth owns property at 4300 Cedarwood Road and he would like to perform landscape work that will encroach into the public right of way. The landscape work will include a short stone wall (3 feet in height). The City’s Land Use Policy allows this type of private use of public land with an encroachment agreement. This encroachment agreement, drafted by the City Attorney, releases the City from any liability and allows the City to terminate the agreement at any time with 90 days’ notice. The agreement will be recorded against the property and run with the land. All costs of construction, future maintenance, relocation or removal are to be borne by the property owner. Approval of the encroachment agreement will be subject to verification that there is no interference with private or public utilities. Staff has reviewed the application and site plan and finds that there is no conflicting use or negative impact to the City property in the present or future. The public right of way is very wide at this location, and the landscaping work (including the wall) will be a significant distance from the street. FINANCIAL OR BUDGET CONSIDERATION: The cost of recording this encroachment agreement with Hennepin County will be covered by the permit fee. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Attached Exhibit Prepared by: Scott A. Brink, City Engineer Reviewed by: Michael P. Rardin, Director of Engineering Approved by: Tom Harmening, City Manager City Council Meeting of June 17, 2013 (Item No. 4m) Page 2 Title: Authorize Encroachment Agreement at 4300 Cedarwood Road Meeting: City Council Meeting Date: June 17, 2013 Consent Agenda Item: 4n EXECUTIVE SUMMARY TITLE: Confirm Appointment of Scott Brink to the Position of Interim Engineering Director RECOMMENDED ACTION: Confirm the appointment of Scott Brink to the position of Interim Engineering Director effective June 29, 2013. POLICY CONSIDERATION: None at this time. SUMMARY: With the retirement of Mike Rardin, a vacancy has been created in the position of Engineering Director. The City Manager and Human Resources are working together on a recruitment process to fill this vacancy. In the time between Mike Rardin’s retirement and the appointment of a new Director, the City Manager has determined that City Engineer Scott Brink will be appointed as Interim Engineering Director to manage department activities and provide leadership. Scott Brink has worked for the city since 2005 and has extensive engineering experience. He has the trust and respect of the City Manager and other staff. He will bring many talents and abilities to this role. While City Charter does not technically require Council consent for interim appointments, the City Manager is seeking Council confirmation of Scott Brink’s appointment to the position of Interim Engineering Director and with the acceptance of this consent item, confirmation will be approved. FINANCIAL OR BUDGET CONSIDERATION: Funds are budgeted for this change. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: None Prepared by: Ali Fosse, HR Coordinator Reviewed by: Nancy Deno, Deputy City Manager/HR Director Approved by: Tom Harmening, City Manager Meeting: City Council Meeting Date: June 17, 2013 Consent Agenda Item: 4o EXECUTIVE SUMMARY TITLE: Abatement of Hazardous Buildings – 7112 Minnetonka Boulevard RECOMMENDED ACTION: Motion to Adopt Resolution ordering the abatement of the hazardous buildings located at 7112 Minnetonka Boulevard. POLICY CONSIDERATION: Does Council concur with staff’s recommendation of declaring the structures as hazardous buildings and authorize the abatement process to protect the public health and safety? SUMMARY: Chief Building Official John Tilton posted the buildings as unsafe for occupancy and provided notice to the owner. There have been numerous attempts to work with owner Carl Eide to bring the property into compliance as summarized in Attachment A. Evidence of structural failing conditions led to the City receiving an Administrative Search Warrant to perform an inspection of the property and all structures on January 14, 2013. Attachment B is the Violation Notice prepared on January 31, 2013 identifying conditions requiring corrections. A Final Violation Notice was provided to Mr. Eide on May 1, 2013. In order to verify the current status of the buildings, a second Administrative Search Warrant to perform inspections of the house and detached garage was completed on May 29, 2013. Based on the Building Official’s determination, the existing house and detached garage are in a hazardous condition and uninhabitable due to deteriorating and unsafe conditions. The condition of the buildings must be corrected so that the buildings meet applicable building and City codes. Attached is a Resolution directing the City Attorney to notify and serve all parties with an interest in the property with the Demolition Order. The City’s goal is to have the owner abate the hazardous conditions and bring the property into compliance. FINANCIAL OR BUDGET CONSIDERATION: If the Court approves the summary of enforcement, the City will hire a contractor to abate the conditions to bring the property into compliance and assess the cost against the property. Expected costs are estimated to be $15,000 to $20,000 if demolition by the City is required. The City will also seek, if possible, recovery of legal fees related to the actions. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Attachment A-Summary of Actions Attachment B-Violation Notice Attachment C- Final Violation Notice Resolution Demolition Order Prepared by: Brian Hoffman, Director of Inspections Approved by: Tom Harmening, City Manager City Council Meeting of June 17, 2013 (Item No. 4o) Title: Abatement of Hazardous Building – 7112 Minnetonka Boulevard Page 2 Summary of Actions To date the following actions have been taken by the City in an attempt to resolve this matter with Mr. Carl H. Eide, owner of the property at 7112 Minnetonka Blvd: • January 14, 2013 – An Administrative Warrant was served and the property, house and detached garage were inspected and found to be in violation of City of St. Louis Park Ordinances, and Minnesota State Building Code requirements. • January 31, 2013 – A Violation Notice specifying the violations discovered during the January 14, 2013 inspections was prepared and sent to the property owner, Carl H. Eide. Mr. Eide was given until March 8, 2013 to restore the house and detached garage to code compliance. • February 21, 2013 – Building Official Tilton received a voicemail message from Carl Eide requesting a time extension for restoring the house and detached garage to code compliance. No enforcement actions were taken on March 8, 2013 when deadline for compliance expired. • April 4, 2013 – Building Official Tilton left a voicemail message for Mr. Eide asking that he call and schedule an inspection in order to verify any progress that had been made in restoring the house and detached garage to code compliance. Mr. Eide did not respond. • April 26, 2013 – Building Official Tilton left another voicemail message for Mr. Eide asking that he call and schedule an inspection in order to verify any progress had been made in restoring the house and detached garage to code compliance. Mr. Eide did not respond. • April 30, 2013 – Property Maintenance Inspector Camilon and Building Official Tilton went to 7112 Minnetonka Blvd in an attempt to contact Mr. Eide in person. Since no one answered the door a “Sorry we missed you” door hanger was left for Mr. Eide. A note on the door hanger asked that Mr. Eide contact Building Official Tilton so a meeting could be set up to verify the current status of the violations contained in the January 31, 2013 Violation Notice. Mr. Eide did not respond. • May 1, 2013 – A Final Violation Notice was issued with a May 10, 2013 deadline for compliance. Mr. Eide did not respond. • May 29, 2013 – A second Administrative Warrant was served and the house and detached garage were re-inspected. During this inspection a strong odor of natural gas was discovered in the kitchen. Center Pointe Energy responded and subsequently “Red Tagged” the gas stove. They also locked the gas meter in the off position. Only a few minor repairs had been made and it was determined that based on the remaining code violations the house and detached garage buildings qualified as Unsafe Buildings under Section 1300.0180 of the Minnesota State Building Code. Notices were posted on the doors to the house and detached garage stating these buildings could not be occupied. • June 4, 2013 – An Unsafe Building Notice was sent to Mr. Eide. In that Notice he was informed that he house and detached garage had been declared Unsafe Buildings and that the Certificate of Occupancy for these buildings had been revoked. • June 5, 2013 – A request was sent to the City Attorney requesting that a City Council Resolution be drafted declaring the house and detached garage located at 7112 Minnetonka Blvd be declared Hazardous Buildings. City Council Meeting of June 17, 2013 (Item No. 4o) Title: Abatement of Hazardous Building – 7112 Minnetonka Boulevard Page 3 City Council Meeting of June 17, 2013 (Item No. 4o) Title: Abatement of Hazardous Building – 7112 Minnetonka Boulevard Page 4 City Council Meeting of June 17, 2013 (Item No. 4o) Title: Abatement of Hazardous Building – 7112 Minnetonka Boulevard Page 5 City Council Meeting of June 17, 2013 (Item No. 4o) Title: Abatement of Hazardous Building – 7112 Minnetonka Boulevard Page 6 City Council Meeting of June 17, 2013 (Item No. 4o) Title: Abatement of Hazardous Building – 7112 Minnetonka Boulevard Page 7 City Council Meeting of June 17, 2013 (Item No. 4o) Title: Abatement of Hazardous Building – 7112 Minnetonka Boulevard Page 8 City Council Meeting of June 17, 2013 (Item No. 4o) Title: Abatement of Hazardous Building – 7112 Minnetonka Boulevard Page 9 City Council Meeting of June 17, 2013 (Item No. 4o) Title: Abatement of Hazardous Building – 7112 Minnetonka Boulevard Page 10 RESOLUTION NO.13-____ RESOLUTION ORDERING ABATEMENT OF HAZARDOUS BUILDING WHEREAS, the Chief Building Official of the City of St. Louis Park has attempted without success to have the owner of certain property remedy the hazardous condition of the house and detached garage situated on property at 7112 Minnetonka Boulevard, St. Louis Park, Minnesota; and WHEREAS, the City Council has determined that the buildings on the property constitute a hazardous building and is a health, safety and fire hazard within the meaning of Minnesota Statutes § 463.15, Subd. 3, and NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of St. Louis Park, Minnesota: 1. Pursuant to Minnesota Statutes § 463.16 et seq., the City hereby adopts and approves the Demolition Order for Removal of Hazardous Building attached hereto as Exhibit “A”. 2. The City of St. Louis Park finds that the condition of the property located at 7112 Minnetonka Boulevard, St. Louis Park, Minnesota, is a health, safety and fire hazard and contains a hazardous building within the meaning of Minn. Stat. § 463.15, Subd. 3. 3. The City’s legal counsel, Campbell Knutson, P.A., 317 Eagandale Office Center, 1380 Corporate Center Curve, Eagan, Minnesota 55121, is directed to serve the Demolition Order and to proceed with enforcement in accordance with Minnesota Statutes § 463.15 et seq. ADOPTED this _______ day of _____________, 2013, by the City Council of the City of St. Louis Park, Minnesota. Reviewed for Administration Adopted by the City Council June 17, 2013 ___________________________________ City Manager Mayor Attest: ______________________________ City Clerk City Council Meeting of June 17, 2013 (Item No. 4o) Title: Abatement of Hazardous Building – 7112 Minnetonka Boulevard Page 11 STATE OF MINNESOTA DISTRICT COURT COUNTY OF HENNEPIN FOURTH JUDICIAL DISTRICT CASE TYPE: Other Civil _____________________________________________ Court File No. ______________ IN RE: The Matter of a Hazardous Building DEMOLITION ORDER Located at 7112 Minnetonka Boulevard, FOR REMOVAL OF City of St. Louis Park, Hennepin County, Minnesota HAZARDOUS BUILDINGS _____________________________________________ TO: Owners and lienholders of the above real estate: Carl H. Eide, 7112 Minnetonka Boulevard, St. Louis Park, Minnesota 55426; Wells Fargo Bank, N.A., c/o Corporation Service Company, 380 Jackson Street, #700, St. Paul, Minnesota 55101; Secretary of Housing and Urban Development, c/o U.S. Attorney’s Office; 600 U.S. Courthouse, 300 South Fourth Street, Minneapolis, Minnesota 55415 (with copy to Secretary of Housing and Urban Development, Minneapolis Field Office, International Center, 920 Second Avenue South, Suite 1300, Minneapolis, Minnesota 55402-4012); Discover Bank, 502 East Market Street, Greenwood, Delaware 19950. PLEASE BE ADVISED that pursuant to order of the St. Louis Park City Council and by authority of Minnesota Statutes § 463.15 et seq., you have twenty (20) days from the date of service of this Order upon you, to remedy the health and safety hazards and the hazardous condition of the buildings situated on property at 7112 Minnetonka Boulevard, City of St. Louis Park, County of Hennepin, State of Minnesota, and legally described as follows: Lots 14 and 15, and all of Lot 13 except the Easterly 33 feet thereof, Block 25, West Minneapolis Junction Revised Addition, Hennepin County, Minnesota The Chief Building Official for the City of St. Louis Park has inspected the above referenced property. The inspections revealed that the house and detached garage as presently situated on the property constitutes a health, safety, and fire hazard to the residents of the City of St. Louis Park. All personal property and fixtures shall be removed from the buildings within twenty (20) days from the date of service of this Order. City Council Meeting of June 17, 2013 (Item No. 4o) Title: Abatement of Hazardous Building – 7112 Minnetonka Boulevard Page 12 If you fail to remedy the situation the City will seek permission from the District Court for the City to do so. The City will move the District Court for summary enforcement of this Order pursuant to Minnesota Statutes §463.19 unless you remedy the situation within said twenty (20) day period or unless an answer is filed within twenty (20) days of service of this Order upon you. Upon enforcement of the Order by the City, all costs expended by the City will be assessed against the real property and collected as other taxes as provided in Minnesota Statutes § 463.21. Dated: June _____, 2013 CAMPBELL KNUTSON Professional Association By: ________________________________ Soren M. Mattick, #27785X City Attorney 317 Eagandale Office Center 1380 Corporate Center Curve Eagan, Minnesota 55121 Telephone: (651) 452-5000 ACKNOWLEDGMENT The City of St. Louis Park, by and through its undersigned attorney, acknowledges that costs, disbursements, and reasonable attorney and witness fees may be awarded to the opposing party or parties pursuant to Minnesota Statutes § 549.21, Subd. 2. Dated: June _____, 2013. __________________________________ Soren M. Mattick, #27785X City Council Meeting of June 17, 2013 (Item No. 4o) Title: Abatement of Hazardous Building – 7112 Minnetonka Boulevard Page 13 Meeting: City Council Meeting Date: June 17, 2013 Consent Agenda Item: 4p OFFICIAL MINUTES PLANNING COMMISSION ST. LOUIS PARK, MINNESOTA MAY 15, 2013 – 6:00 p.m. COUNCIL CHAMBERS MEMBERS PRESENT: Lynne Carper, Claudia Johnston-Madison, Dennis Morris, Richard Person MEMBERS ABSENT: Robert Kramer, Carl Robertson, Larry Shapiro STAFF PRESENT: Meg McMonigal, Gary Morrison 1. Call to Order – Roll Call 2. Approval of Minutes of April 17, 2013 Commissioner Person moved approval of the minutes of April 17, 2013. Commissioner Carper seconded the motion, and the motion passed on a vote of 4-0. 3. Public Hearings A. Zoning Ordinance Amendment for Mobile Medical Uses Applicant: City of St. Louis Park Case No.: 13-17-ZA (Continued from April 17, 2013) Gary Morrison, Assistant Zoning Administrator, presented the staff report. He stated that the proposed ordinance would add a condition that specifically states that only Mobile Uses-Food and Mobile Uses-Medical are permitted. It would also require a zoning permit. Other mobile uses could be added, if necessary, in the future. He said that pet grooming was removed from the Mobile Use-Medical definition as recommended at the Planning Commission study session on May 1, 2013. Commissioner Carper noted that pet grooming was referenced in Section 36-82(b)(10)(p) of the draft ordinance. Mr. Morrison responded that it will be removed. Vice Chair Morris reopened the public hearing. As there was no one present wishing to speak the hearing was closed. Commissioner Person made a motion to recommend approval of the amendment to the Zoning Ordinance pertaining to mobile medical uses. Commissioner Carper seconded the motion, and the motion passed on a vote of 4-0. 4. Other Business City Council Meeting of June 17, 2013 (Item No. 4p) Page 2 Title: Planning Commission Meeting Minutes May 15, 2013 5. Communications 6. Adjournment The meeting was adjourned at 6:10 p.m. STUDY SESSION 1. Knollwood Mall Reconfiguration (added at meeting) Jim Tiggelaar, engineer, and Peter Coyle, attorney, were there representing Rouse, the owners. The architect is K.A. Architects out of Ohio. Gary Morrison, Assistant Zoning Administrator, explained the proposed revisions to the site: • access points and drive aisles • removing buildings and adding parking • changing area in the middle of the site. Commissioner Morris asked if the interior mall portion would be removed. He was told yes. Commissioner Carper asked about getting through the parking area. Is there a greater circulation plan? Commissioner Morris spoke about the rear parking lot, pedestrian access in rear. Commissioners also discussed: • options for stormwater • adding landscape • maintenance vehicles/deliveries for out building Commissioner Carper asked about public art. It was noted there is a small space at the corner in the center of the site. Commissioner Carper asked about using rain gardens. Commissioner Morris asked if the whole site is impacted. Commissioner Johnston-Madison asked about lighting. Commissioner Person asked for more bike racks to meet the bicycle parking requirement. Commissioner Carper asked about exterior materials. He was told it will be Class I on all sides. City Council Meeting of June 17, 2013 (Item No. 4p) Page 3 Title: Planning Commission Meeting Minutes May 15, 2013 Commissioner Person asked about the basement. He was told it would be largely filled in. Commissioner Johnston-Madison asked about the color scheme and branding. A PUD amendment will be required. A hearing is expected in July. Commissioner Johnston-Madison asked if a neighborhood meeting would be held. Commissioner Morris requested a study session prior to the hearing. 2. C1 and C2 Parking Study Staff noted they were working on revision to parking regulations. The use named “parking business” would likely be removed, and some additional clarification on parking uses will be made. Staff will also review how parking uses are approved in each district. 3. PUD Ordinance Staff noted they are revising the PUD ordinance with Tom Scott’s help. It will become an ordinance versus an overlay. Some modifications may also change. It will be brought back to a Planning Commission study session. 4. Business Park Zoning Update Ms. McMonigal informed the Commissioners that staff is contacting property owners again on Business Park rezoning. It will likely be before City Council in July. The study session adjourned at 7:35 p.m. Submitted by, Nancy Sells, Adm. Secretary Meeting: City Council Meeting Date: June 17, 2013 Consent Agenda Item: 4q EXECUTIVE SUMMARY TITLE: Vendor Claims RECOMMENDED ACTION: Motion to accept for filing Vendor Claims for the period May 25, 2013 through June 7, 2013. POLICY CONSIDERATION: Not applicable. SUMMARY: The Finance Department prepares this report on a monthly basis for Council’s review. FINANCIAL OR BUDGET CONSIDERATION: Not applicable. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Vendor Claims Prepared by: Connie Neubeck, Account Clerk 6/12/2013CITY OF ST LOUIS PARK 6:25:14R55CKSUM LOG23000VO 1Page -Council Check Summary 6/7/2013 -5/25/2013 Vendor AmountBusiness Unit Object 490.68DAMAGE REPAIR OTHER IMPROVEMENT SUPPLIES3D SPECIALTIES INC 490.68 500.00SPECIAL EVENTS OTHER CONTRACTUAL SERVICES3RD LAIR SKATEPARK 500.00 1,880.00WATER UTILITY G&A OTHER CONTRACTUAL SERVICESACZ LABORATORIES INC 1,880.00 51.38WATER UTILITY G&A GENERAL CUSTOMERSAFFINITY PLUS FCU 51.38 98.90OPERATIONSOPERATIONAL SUPPLIESAIRGAS NORTH CENTRAL 98.90 225.00MOVE-UP PROGRAM OTHER CONTRACTUAL SERVICESALBERTSSON HANSEN ARCHITECTURE 225.00 740.00EQUIP/VEHICLE REPLACEMENT POSTAGEALL TRAFFIC SOLUTIONS 20,320.00EQUIP/VEHICLE REPLACEMENT MACHINERY & AUTO EQUIPMENT 21,060.00 76.93BLDG/GROUNDS OPS & MAINT BLDG/STRUCTURE SUPPLIESAMERICAN PRESSURE INC 76.93 465.08PARK AND RECREATION BALANCE SH INVENTORYAMERICAN TIRE DISTRIBUTORS 465.08 501.00OPERATIONSRADIO COMMUNICATIONSANCOM TECHNICAL CENTER 501.00 106.69WATER UTILITY G&A GENERAL CUSTOMERSANDERSON, JENNY 106.69 758.17GENERAL CUSTODIAL DUTIES OTHER CONTRACTUAL SERVICESARAMARK UNIFORM CORP ACCTS 758.17 152.50GENERAL BUILDING MAINTENANCE BUILDING MTCE SERVICEATIR ELECTRIC CORPORATION 152.50 1,409.17BEAUTIFICATION / FLOWERS OTHER IMPROVEMENT SUPPLIESBACHMANS 1,409.17 City Council Meeting of June 17, 2013 (Item No. 4q) Title: Vendor Claims Page 2 6/12/2013CITY OF ST LOUIS PARK 6:25:14R55CKSUM LOG23000VO 2Page -Council Check Summary 6/7/2013 -5/25/2013 Vendor AmountBusiness Unit Object 117.99WATER UTILITY G&A GENERAL SUPPLIESBATTERIES PLUS 117.99 126.54ARENA MAINTENANCE GENERAL SUPPLIESBECKER ARENA PRODUCTS 35,886.54PARK IMPROVE CAPITAL PROJECT OTHER CONTRACTUAL SERVICES 36,013.08 994.23WATER UTILITY BALANCE SHEET DUE TO OTHER GOVTSBENILDE-ST MARGARET'S SCHOOL 994.23 5,780.00REILLY BUDGET EQUIPMENT MTCE SERVICEBERGERSON CASWELL INC 5,780.00 10,000.00ESCROWSPMC ESCROWBERTOMEU, ALBERTO 10,000.00 5,000.00ESCROWSDEMO / BROOKSIDE TRAFFICBOLLIG AND SONS 5,000.00 586.09GENERAL REPAIR EQUIPMENT MTCE SERVICEBORGEN RADIATOR 586.09 30.46POLICE G & A BLDG/STRUCTURE SUPPLIESBUDGET SIGN & GRAPHICS 30.46 165.00SPLASH PAD MAINT - Oak Hill Pk GENERAL SUPPLIESBUZZ TOOL & DIE CO 165.00 6,788.27ADMINISTRATION G & A LEGAL SERVICESCAMPBELL KNUTSON PROF ASSOC 64.00CABLE TV G & A LEGAL SERVICES 32.00EXCESS PUBLIC LAND LEGAL SERVICES 1,936.00STREET CAPITAL PROJ G & A LEGAL SERVICES 160.00REILLY G & A LEGAL SERVICES 2,768.00SOLID WASTE G&A LEGAL SERVICES 11,748.27 327.03IT G & A EQUIPMENT MTCE SERVICECARTRIDGE CARE 327.03 4,797.39DISCOUNT LOAN PROGRAM OTHER CONTRACTUAL SERVICESCENTER ENERGY & ENVIRONMENT 1,700.00MOVE-UP PROGRAM OTHER CONTRACTUAL SERVICES City Council Meeting of June 17, 2013 (Item No. 4q) Title: Vendor Claims Page 3 6/12/2013CITY OF ST LOUIS PARK 6:25:14R55CKSUM LOG23000VO 3Page -Council Check Summary 6/7/2013 -5/25/2013 Vendor AmountBusiness Unit Object 25,000.00TRANSFORMATION LOAN OTHER CONTRACTUAL SERVICES 31,497.39 4,450.00PARK IMPROVE CAPITAL PROJECT OTHER CONTRACTUAL SERVICESCENTURY FENCE COMPANY 6,000.00PARK IMPROVE CAPITAL PROJECT IMPROVEMENTS OTHER THAN BUILDI 10,450.00 9.22WATER UTILITY G&A GENERAL CUSTOMERSCHEIN, DAVID 9.22 109.00ORGANIZED REC G & A OPERATIONAL SUPPLIESCHUX SCREEN PRINTING 260.00PARK MAINTENANCE G & A GENERAL SUPPLIES 260.00AQUATIC PARK BUDGET OPERATIONAL SUPPLIES 658.50WATER UTILITY G&A OPERATIONAL SUPPLIES 1,287.50 121.58FACILITIES MCTE G & A GENERAL SUPPLIESCINTAS CORPORATION 234.90FACILITIES MCTE G & A OPERATIONAL SUPPLIES 349.92VEHICLE MAINTENANCE G&A OPERATIONAL SUPPLIES 706.40 95.38-GENERAL FUND BALANCE SHEET DUE TO OTHER GOVTSCITIZENS INDEPENDENT BANK 1,516.32ADMINISTRATION G & A SEMINARS/CONFERENCES/PRESENTAT 93.56ADMINISTRATION G & A MEETING EXPENSE 60.76HUMAN RESOURCES OFFICE SUPPLIES 4.49HUMAN RESOURCES ORGANIZATIONAL DEVELOPMENT 400.00HUMAN RESOURCES RECOGNITION 149.00HUMAN RESOURCES TRAINING 134.54HUMAN RESOURCES MEETING EXPENSE 67.82IT G & A GENERAL SUPPLIES 11.66IT G & A POSTAGE 46.00POSTAL SERVICES POSTAGE 139.90RESEARCH & DEVELOPMENT TRAINING 304.48ASSESSING G & A OFFICE SUPPLIES 160.00ASSESSING G & A SEMINARS/CONFERENCES/PRESENTAT 751.00FINANCE G & A SEMINARS/CONFERENCES/PRESENTAT 2,318.64COMM DEV PLANNING G & A TRAINING 64.13GENERAL INFORMATION OFFICE SUPPLIES 839.03FACILITIES MCTE G & A OTHER 15.65GENERAL BUILDING MAINTENANCE BLDG/STRUCTURE SUPPLIES 281.35POLICE G & A OPERATIONAL SUPPLIES 67.51POLICE G & A COMPUTER SUPPLIES City Council Meeting of June 17, 2013 (Item No. 4q) Title: Vendor Claims Page 4 6/12/2013CITY OF ST LOUIS PARK 6:25:14R55CKSUM LOG23000VO 4Page -Council Check Summary 6/7/2013 -5/25/2013 Vendor AmountBusiness Unit Object 4.26POLICE G & A BLDG/STRUCTURE SUPPLIES 82.90POLICE G & A POSTAGE 1,528.49POLICE G & A TRAINING 515.20POLICE G & A MEETING EXPENSE 92.35DARE PROGRAM OPERATIONAL SUPPLIES 1,477.50PATROLOPERATIONAL SUPPLIES 61.08ERUOPERATIONAL SUPPLIES 88.10OPERATIONSOFFICE SUPPLIES 279.83OPERATIONSGENERAL SUPPLIES 250.97OPERATIONSFIRE PREVENTION SUPPLIES 1,505.51OPERATIONSOPERATIONAL SUPPLIES 80.00OPERATIONSTRAINING 250.00PUBLIC WORKS G & A SEMINARS/CONFERENCES/PRESENTAT 1,102.89PUBLIC WORKS G & A MEETING EXPENSE 67.25ENGINEERING G & A GENERAL SUPPLIES 675.00ENGINEERING G & A SEMINARS/CONFERENCES/PRESENTAT 1,253.58ENGINEERING G & A MEETING EXPENSE 225.00TRAININGSEMINARS/CONFERENCES/PRESENTAT 375.82TRAININGMEETING EXPENSE 128.14PARK AND RECREATION BALANCE SH INVENTORY 107.73-PARK AND RECREATION BALANCE SH DUE TO OTHER GOVTS 26.81ORGANIZED REC G & A OFFICE SUPPLIES 18.56ORGANIZED REC G & A TRAINING 739.12SUMMER PLAYGROUNDS PRINTING & PUBLISHING 27.60YOUTH PROGRAMS POSTAGE 158.48PARK MAINTENANCE G & A GENERAL SUPPLIES 16.07ENVIRONMENTAL G & A OFFICE SUPPLIES 47.92ENVIRONMENTAL G & A GENERAL SUPPLIES 246.58WESTWOOD G & A GENERAL SUPPLIES 30.78WESTWOOD G & A OFFICE EQUIPMENT 31.30REC CENTER BUILDING GENERAL SUPPLIES 225.00ARENA MAINTENANCE SUBSCRIPTIONS/MEMBERSHIPS 10.00ARENA MAINTENANCE MILEAGE-PERSONAL CAR 236.12AQUATIC PARK BUDGET GENERAL SUPPLIES 775.08CONCESSIONSCONCESSION SUPPLIES 450.96SEASON PASSES GENERAL SUPPLIES 13.94VEHICLE MAINTENANCE G&A OFFICE SUPPLIES 207.58VEHICLE MAINTENANCE G&A GENERAL SUPPLIES 287.85VEHICLE MAINTENANCE G&A SMALL TOOLS 129.00VEHICLE MAINTENANCE G&A TRAINING 3.13-CABLE TV BALANCE SHEET DUE TO OTHER GOVTS 437.47CABLE TV G & A OFFICE EQUIPMENT City Council Meeting of June 17, 2013 (Item No. 4q) Title: Vendor Claims Page 5 6/12/2013CITY OF ST LOUIS PARK 6:25:14R55CKSUM LOG23000VO 5Page -Council Check Summary 6/7/2013 -5/25/2013 Vendor AmountBusiness Unit Object .92CABLE TV G & A BANK CHARGES/CREDIT CD FEES 105.44TV PRODUCTION GENERAL SUPPLIES 300.00MOVE-UP PROGRAM OTHER CONTRACTUAL SERVICES 2,138.73GO BONDS-FIRE STATIONS G&A OTHER PARK IMPROVE CAPITAL PROJECT IMPROVEMENTS OTHER THAN BUILDI 35.93-WATER UTILITY BALANCE SHEET DUE TO OTHER GOVTS 558.57WATER UTILITY G&A OPERATIONAL SUPPLIES 42.87TECHNOLOGY REPLACEMENT OFFICE EQUIPMENT 662.65TECHNOLOGY REPLACEMENT POLICE EQUIPMENT 25,152.94 4.52BUILDING MAINTENANCE EQUIPMENT MTCE SERVICECOMCAST 88.87WATER UTILITY G&A OTHER CONTRACTUAL SERVICES 93.39 417.37PATCHING-PERMANENT OTHER IMPROVEMENT SUPPLIESCOMMERCIAL ASPHALT COMPANY 1,527.53GROUNDS MAINTENANCE BUILDING MTCE SERVICE 1,944.90 40.79STREET CAPITAL PROJ G & A IMPROVEMENTS OTHER THAN BUILDICOMMISSIONER OF TRANSPORTATION 40.79 101.62WATER UTILITY G&A GENERAL CUSTOMERSCONSERVICE REO UTILITIES 101.62 184.97OPERATIONSFIRE PREVENTION SUPPLIESCOSTCO 184.97 133.30NEIGHBORHOOD ASSOCIATION GRANT OTHER CONTRACTUAL SERVICESCOX, COLIN 133.30 140.50SUPPORT SERVICES G&A OFFICE SUPPLIESCROWN MARKING INC 140.50 50.00FACILITY ROOM RENTAL RENT REVENUECUB 50.00 152.73POLICE G & A SUBSISTENCE SUPPLIESCUB FOODS 152.73 4,724.11GENERAL REPAIR EQUIPMENT MTCE SERVICECUMMINS NPOWER LLC 4,724.11 City Council Meeting of June 17, 2013 (Item No. 4q) Title: Vendor Claims Page 6 6/12/2013CITY OF ST LOUIS PARK 6:25:14R55CKSUM LOG23000VO 6Page -Council Check Summary 6/7/2013 -5/25/2013 Vendor AmountBusiness Unit Object 600.00OPERATIONSTRAININGDAKOTA CO TECH COLLEGE 600.00 2,398.28WATER UTILITY G&A OTHER IMPROVEMENT SUPPLIESDAKOTA SUPPLY GROUP 2,398.28 15,840.20PARK AND RECREATION BALANCE SH INVENTORYDALCO ENTERPRISES INC 15,840.20 1,814.00PARK IMPROVE CAPITAL PROJECT BUILDINGS & STRUCTURESDAVE'S FLOOR SANDING & INSTALL 1,814.00 400.00EXCESS PUBLIC LAND OTHER CONTRACTUAL SERVICESDAY GROUP LLC 400.00 510.21GENERAL REPAIR EQUIPMENT MTCE SERVICEDELEGARD TOOL CO 510.21 917.55ARENA MAINTENANCE EQUIPMENT MTCE SERVICEDJ ELECTRIC SERVICES INC 917.55 105.00ERUTRAININGEDEN PRAIRIE POLICE DEPT 105.00 1,066.25SYSTEM REPAIR OTHER CONTRACTUAL SERVICESEGAN COMPANIES INC 1,066.25 6,868.75ESCROWSEHLERS & ASSOCIATES INC 310.002010B GO REF (03) DEBT SER G&A OTHER CONTRACTUAL SERVICES 289.002010B UTIL REV BONDS OTHER CONTRACTUAL SERVICES 42.002010B UTIL REV BONDS OTHER CONTRACTUAL SERVICES 94.002010B UTIL REV BONDS OTHER CONTRACTUAL SERVICES 265.00REV BONDS 2001B / 2010B REF OTHER CONTRACTUAL SERVICES 7,868.75 1,506.24OPERATIONSEMERGENCY PREPAREDNESSEMBEDDED SYSTEMS INC 1,506.24 46.11WATER UTILITY G&A GENERAL CUSTOMERSENGER, DUANE 46.11 City Council Meeting of June 17, 2013 (Item No. 4q) Title: Vendor Claims Page 7 6/12/2013CITY OF ST LOUIS PARK 6:25:14R55CKSUM LOG23000VO 7Page -Council Check Summary 6/7/2013 -5/25/2013 Vendor AmountBusiness Unit Object 355.89PARK AND RECREATION BALANCE SH INVENTORYENVIRONMENTAL EQUIPMENT & SERV 355.89 600.00RIGHT-OF-WAY IMPROVEMENTS OTHER THAN BUILDIEVERGREEN LAND SERVICES CO 600.00 621.07PARK AND RECREATION BALANCE SH INVENTORYFACTORY MOTOR PARTS CO 26.72VEHICLE MAINTENANCE G&A GENERAL SUPPLIES 647.79 642.80WATER UTILITY G&A OTHER IMPROVEMENT SERVICEFERGUSON WATERWORKS 642.80 6.44POLICE G & A BLDG/STRUCTURE SUPPLIESFLOYD TOTAL SECURITY 90.84AQUATIC PARK BUDGET GENERAL SUPPLIES 97.28 6.18-PARK AND RECREATION BALANCE SH DUE TO OTHER GOVTSFORESTRY SUPPLIERS INC 96.13TREE MAINTENANCE SMALL TOOLS 181.53-PARK IMPROVE BALANCE SHEET DUE TO OTHER GOVTS 2,821.96REFORESTATION FUND TREE REPLACEMENT 2,730.38 390.00PE DESIGN IMPROVEMENTS OTHER THAN BUILDIFOTH INFRASTRUCTURE & ENVIRONM 390.00 100.76WATER UTILITY G&A GENERAL CUSTOMERSFRANSON, KIMBERLY 100.76 10,680.05ARENA MAINTENANCE EQUIPMENT MTCE SERVICEGARTNER REFRIG & MFG INC 10,680.05 2,113.07GENERAL BUILDING MAINTENANCE OTHERGENEREUX FINE WOOD PRODUCTS 2,113.07 9.21WATER UTILITY G&A GENERAL CUSTOMERSGMHC 9.21 848.00EMPLOYEE FLEX SPEND G&A TUITIONGRAHAM, NATHAN 848.00 3,000.00ESCROWSDEMO / BROOKSIDE TRAFFICGUMZ, CRAIG City Council Meeting of June 17, 2013 (Item No. 4q) Title: Vendor Claims Page 8 6/12/2013CITY OF ST LOUIS PARK 6:25:14R55CKSUM LOG23000VO 8Page -Council Check Summary 6/7/2013 -5/25/2013 Vendor AmountBusiness Unit Object 3,000.00 11.42SEWER UTILITY G&A BLDG/STRUCTURE SUPPLIESHALLOCK COMPANY INC 11.42 9,530.83PARK IMPROVE CAPITAL PROJECT OTHER CONTRACTUAL SERVICESHAMMEL GREEN & ABRAHAMSON INC 9,530.83 42.00OPERATIONSFIRE PREVENTION SUPPLIESHANSON ASSOC, R.D. 42.00 33.25WESTWOOD G & A GENERAL SUPPLIESHASLERUD, CARRIE 33.25 403.35AQUATIC PARK BUDGET EQUIPMENT MTCE SERVICEHAWKINS INC 11,142.57WATER UTILITY G&A OPERATIONAL SUPPLIES 11,545.92 1,086.92PARK GROUNDS MAINTENANCE OTHER IMPROVEMENT SUPPLIESHCI CHEMTEC INC 1,086.92 143.64PARK MAINTENANCE G & A OPERATIONAL SUPPLIESHEDBERG AGGREGATES 609.58PARK GROUNDS MAINTENANCE GENERAL SUPPLIES 277.52PARK IMPROVE CAPITAL PROJECT IMPROVEMENTS OTHER THAN BUILDI 1,030.74 250.00SOFTBALLOTHER CONTRACTUAL SERVICESHENDERSON, TRACY 250.00 87.50ASSESSING G & A SUBSCRIPTIONS/MEMBERSHIPSHENNEPIN COUNTY TAXPAYER SERVI 87.50 4,668.80POLICE G & A SUBSISTENCE SERVICEHENNEPIN COUNTY TREASURER 4,668.80 2,699.89WATER UTILITY G&A OTHER IMPROVEMENT SERVICEHIGHVIEW PLUMBING INC 2,699.89 2,500.00ESCROWSDEMO / BROOKSIDE TRAFFICHO, JENNIFER 2,500.00 216.42WATER UTILITY G&A GENERAL CUSTOMERSHOBAN, JOHN City Council Meeting of June 17, 2013 (Item No. 4q) Title: Vendor Claims Page 9 6/12/2013CITY OF ST LOUIS PARK 6:25:14R55CKSUM LOG23000VO 9Page -Council Check Summary 6/7/2013 -5/25/2013 Vendor AmountBusiness Unit Object 216.42 12.76GRAFFITI CONTROL OTHER IMPROVEMENT SUPPLIESHOME DEPOT CREDIT SERVICES 42.72SYSTEM REPAIR SMALL TOOLS 68.14SYSTEM REPAIR OTHER IMPROVEMENT SUPPLIES 78.19PARK MAINTENANCE G & A LANDSCAPING MATERIALS 61.83IRRIGATION MAINTENANCE GENERAL SUPPLIES 106.62TREE MAINTENANCE GENERAL SUPPLIES 130.46BEAUTIFICATION / FLOWERS OTHER IMPROVEMENT SUPPLIES 561.94BEAUTIFICATION / FLOWERS LANDSCAPING MATERIALS 178.20PARK IMPROVE CAPITAL PROJECT BUILDINGS & STRUCTURES 1,240.86 1,838.74UNINSURED LOSS G&A UNINSURED LOSSHOPKINS AUTO BODY INC 1,838.74 97.71ASSESSING G & A TRAVEL/MEETINGSHOPPE, MARK 97.71 200.00SOFTBALLOTHER CONTRACTUAL SERVICESHORDYK, EVAN 200.00 204.00SOFTBALLOTHER CONTRACTUAL SERVICESHOWES, JEFFREY 204.00 30.00SOFTBALLOTHER CONTRACTUAL SERVICESHOWES, JENNIFER 30.00 158.50SOFTBALLOTHER CONTRACTUAL SERVICESHOWES, KRISTINE 158.50 380.74SPEC ASSMT CONSTRUCTION OTHER CONTRACTUAL SERVICESHUBER UNIVERSAL SERVICES LLC 380.74 1,021.00HUMAN RESOURCES RECRUITMENTI/O SOLUTIONS INC 1,021.00 457.01PARK EQUIPMENT MAINTENANCE GENERAL SUPPLIESINDELCO 457.01 288.56PARK GROUNDS MAINTENANCE BLDG/STRUCTURE SUPPLIESINDEPENDENT BLACK DIRT CO 288.56 City Council Meeting of June 17, 2013 (Item No. 4q) Title: Vendor Claims Page 10 6/12/2013CITY OF ST LOUIS PARK 6:25:14R55CKSUM LOG23000VO 10Page -Council Check Summary 6/7/2013 -5/25/2013 Vendor AmountBusiness Unit Object 2,501.47IT G & A TELEPHONEINTEGRA TELECOM 2,501.47 35.98PARK AND RECREATION BALANCE SH INVENTORYI-STATE TRUCK CENTER 35.98 25,000.00ESCROWSPMC ESCROWJ2C LLC 25,000.00 1,739.96EMPLOYEE FLEX SPEND G&A TUITIONJASMER, JERRY 1,739.96 42.67OPERATIONSOPERATIONAL SUPPLIESJEFFERSON FIRE & SAFETY INC 42.67 142.94PARK MAINTENANCE G & A GENERAL SUPPLIESJERRY'S HARDWARE 12.61IRRIGATION MAINTENANCE GENERAL SUPPLIES 155.55 65.43IRRIGATION MAINTENANCE GENERAL SUPPLIESJOHN DEERE LANDSCAPES/LESCO 65.43 83.90MIXING SAND AND SALT OTHER IMPROVEMENT SUPPLIESJRK SEED & SURG SUPPLY 83.90 528.46EMPLOYEE FLEXIBLE SPENDING B/S WAGE GARNISHMENTSKELLER, JASMINE Z 528.46 2,318.00ESCROWSKENNEDY & GRAVEN 2,318.00 500.00NEIGHBORHOOD ASSOCIATION GRANT OTHER CONTRACTUAL SERVICESKILMER POND HOMEOWNERS ASSOCIA 500.00 50,000.00ESCROWSDEMO / BROOKSIDE TRAFFICKNUTSON CONSTRUCTION SERVICES 50,000.00 1,314.91UNINSURED LOSS G&A UNINSURED LOSSKRECH, O'BRIEN, MUELLER & WASS 1,314.91 393.17BLDG/GROUNDS OPS & MAINT BLDG/STRUCTURE SUPPLIESKRUGE-AIR INC City Council Meeting of June 17, 2013 (Item No. 4q) Title: Vendor Claims Page 11 6/12/2013CITY OF ST LOUIS PARK 6:25:14R55CKSUM LOG23000VO 11Page -Council Check Summary 6/7/2013 -5/25/2013 Vendor AmountBusiness Unit Object 393.17 101.97POLICE G & A POLICE EQUIPMENTKUSTOM SIGNALS INC 101.97 1,200.00PERFORMING ARTS OTHER CONTRACTUAL SERVICESKYLE, BENJAMIN 1,200.00 100.83GENERAL REPAIR GENERAL SUPPLIESLAWSON PRODUCTS INC 100.83 1,500.00ESCROWSDEMO / BROOKSIDE TRAFFICLENNARTSON, ADAM & JESSICA 1,500.00 650.00AQUATIC PARK BUDGET GENERAL SUPPLIESLIFE FLOOR 650.00 109.42FACILITIES MCTE G & A GENERAL SUPPLIESLIGHTING HOUSE USA INC 109.42 83.06DARE PROGRAM OPERATIONAL SUPPLIESLINCOLN, ERIC 83.06 465.01PARK AND RECREATION BALANCE SH INVENTORYLITTLE FALLS MACHINE INC 465.01 129.95PARK MAINTENANCE G & A GENERAL SUPPLIESLOEFFLER SHOES 129.95 41,094.06IT G & A COMPUTER SERVICESLOGIS 16,812.01TECHNOLOGY REPLACEMENT OFFICE EQUIPMENT 57,906.07 375.61BLDG/GROUNDS OPS & MAINT BLDG/STRUCTURE SUPPLIESLOWELL'S REFINISH MASTERS 375.61 2,115.28PARK AND RECREATION BALANCE SH INVENTORYLUBRICATION TECHNOLOGIES INC 2,115.28 101.72VEHICLE MAINTENANCE G&A GENERAL SUPPLIESMACHINE TOOL SUPPLY 101.72 City Council Meeting of June 17, 2013 (Item No. 4q) Title: Vendor Claims Page 12 6/12/2013CITY OF ST LOUIS PARK 6:25:14R55CKSUM LOG23000VO 12Page -Council Check Summary 6/7/2013 -5/25/2013 Vendor AmountBusiness Unit Object 2,462.40HUMAN RESOURCES GENERAL PROFESSIONAL SERVICESMADDEN GALANTER HANSEN LLP 2,462.40 133.60ATHLETIC CAMPS OTHER CONTRACTUAL SERVICESMALONE, DANIEL 133.60 103.96GRAFFITI CONTROL OTHER IMPROVEMENT SUPPLIESMENARDS 24.11SYSTEM REPAIR OTHER IMPROVEMENT SUPPLIES 151.67SPLASH PAD MAINT - Oak Hill Pk GENERAL SUPPLIES 84.24WESTWOOD G & A GENERAL SUPPLIES 181.72PARK IMPROVE CAPITAL PROJECT IMPROVEMENTS OTHER THAN BUILDI 11.63WATER UTILITY G&A EQUIPMENT MTCE SERVICE 557.33 2,275.00WATER UTILITY G&A CLEANING/WASTE REMOVAL SERVICEMETROPOLITAN COUNCIL 1,150.00REILLY BUDGET CLEANING/WASTE REMOVAL SERVICE 3,425.00 14,392.77TECHNOLOGY REPLACEMENT IMPROVEMENTS OTHER THAN BUILDIMICHELS COMMUNICATIONS 14,392.77 148.00PUBLIC WORKS G & A OPERATIONAL SUPPLIESMICRO CENTER 148.00 7,475.91TECHNOLOGY REPLACEMENT OFFICE FURNITURE & EQUIPMENTMID AMERICA BUSINESS SYSTEMS 7,475.91 79,469.95PAVEMENT MANAGEMENT B/S RETAINED PERCENTAGEMIDWEST ASPHALT CORP 19,254.40CONSTRUCTION PAYMENTS IMPROVEMENTS OTHER THAN BUILDI 156.16STORM WATER UTILITY G&A OTHER IMPROVEMENT SERVICE 98,880.51 1,900.50WATER UTILITY G&A OTHER CONTRACTUAL SERVICESMIDWEST TESTING LLC 1,900.50 114.00ASSESSING G & A SUBSCRIPTIONS/MEMBERSHIPSMINNEAPOLIS AREA ASSOC REALTOR 114.00 20,481.00WATER UTILITY G&A OTHER CONTRACTUAL SERVICESMINNESOTA DEPT HEALTH 20,481.00 45.00PARK MAINTENANCE G & A LICENSESMINNESOTA DEPT LABOR & INDUSTR City Council Meeting of June 17, 2013 (Item No. 4q) Title: Vendor Claims Page 13 6/12/2013CITY OF ST LOUIS PARK 6:25:14R55CKSUM LOG23000VO 13Page -Council Check Summary 6/7/2013 -5/25/2013 Vendor AmountBusiness Unit Object 45.00 107.38POLICE G & A GENERAL SUPPLIESMINNESOTA TROPHIES & GIFTS 107.38 1,328.42SUPPORT SERVICES G&A OFFICE SUPPLIESMINUTEMAN PRESS 1,328.42 1,418.30PARK GROUNDS MAINTENANCE OTHER CONTRACTUAL SERVICESMOTZKO PLUMBING & HEATING CO, 1,418.30 250.00GO BONDS-FIRE STATIONS G&A BUILDINGS & STRUCTURESMPCA 250.00 1,617.90PARK AND RECREATION BALANCE SH INVENTORYMTI DISTRIBUTING CO 1,617.90 12.46WATER UTILITY G&A GENERAL CUSTOMERSMURRAY, AMY 12.46 240.00REILLY BUDGET OTHER CONTRACTUAL SERVICESMVTL LABORATORIES 240.00 1,288.33REC CENTER BUILDING BLDG/STRUCTURE SUPPLIESNALCO COMPANY 1,288.33 2,193.74PARK AND RECREATION BALANCE SH INVENTORYNAPA (GENUINE PARTS CO) 426.24GENERAL REPAIR GENERAL SUPPLIES 2,619.98 225.00MOVE-UP PROGRAM OTHER CONTRACTUAL SERVICESNESSET ARCHITECTURE INC 225.00 799.90PARK MAINTENANCE G & A GENERAL SUPPLIESNOKOMIS SHOE SHOP 799.90 500.00POLICE G & A OTHER CONTRACTUAL SERVICESOAK KNOLL ANIMAL HOSPITAL 500.00 3,500.00ESCROWSDEMO / BROOKSIDE TRAFFICOAKWOODS PARTNERS 3,500.00 City Council Meeting of June 17, 2013 (Item No. 4q) Title: Vendor Claims Page 14 6/12/2013CITY OF ST LOUIS PARK 6:25:14R55CKSUM LOG23000VO 14Page -Council Check Summary 6/7/2013 -5/25/2013 Vendor AmountBusiness Unit Object 5.34OPERATIONSOFFICE SUPPLIESOFFICE DEPOT 227.33INSPECTIONS G & A GENERAL SUPPLIES 361.16PUBLIC WORKS G & A OFFICE SUPPLIES 90.16ORGANIZED REC G & A OFFICE SUPPLIES 683.99 1,651.50INSPECTIONS G & A GENERAL PROFESSIONAL SERVICESOFFICE TEAM 1,651.50 1,182.83PORTABLE TOILETS/FIELD MAINT OTHER CONTRACTUAL SERVICESON SITE SANITATION 1,182.83 63.65PARK AND RECREATION BALANCE SH INVENTORYO'REILLY AUTO PARTS 63.65 500.00SPECIAL PROGRAMS OTHER CONTRACTUAL SERVICESPARKTACULAR 500.00 250.00GREEN REMODELING PROGRAM OTHER CONTRACTUAL SERVICESPHILLIPS, KATHLEEN 250.00 1,820.24PARK AND RECREATION BALANCE SH INVENTORYPOMP'S TIRE SERVICE INC 1,820.24 200.00SUPPORT SERVICES G&A POSTAGEPOSTMASTER 200.00 22.52WATER UTILITY G&A EQUIPMENT MTCE SERVICEPOWER/MATION DIVISION 22.52 950.00INVASIVE PLANT MGMT/RESTORATIO OTHER CONTRACTUAL SERVICESPRAIRIE RESTORATIONS INC 700.00STORM WATER UTILITY G&A OTHER IMPROVEMENT SERVICE 1,650.00 9.39WATER UTILITY G&A GENERAL CUSTOMERSPROVEN SOLUTIONS 9.39 1,897.57VEHICLE MAINTENANCE G&A GENERAL SUPPLIESPUMP & METER SERVICE 748.13PREVENTATIVE MAINTENANCE GENERAL SUPPLIES 198.78BLDG/GROUNDS OPS & MAINT BLDG/STRUCTURE SUPPLIES 2,844.48 City Council Meeting of June 17, 2013 (Item No. 4q) Title: Vendor Claims Page 15 6/12/2013CITY OF ST LOUIS PARK 6:25:14R55CKSUM LOG23000VO 15Page -Council Check Summary 6/7/2013 -5/25/2013 Vendor AmountBusiness Unit Object 29,654.94WATER UTILITY G&A OTHER IMPROVEMENT SERVICEQ3 CONTRACTING 29,654.94 25.65VEHICLE MAINTENANCE G&A POSTAGEQUICKSILVER EXPRESS COURIER 25.65 1,975.00PARK EQUIPMENT MAINTENANCE OTHER CONTRACTUAL SERVICESQUIRING EXCAVATING LLC 1,975.00 200.00WATER UTILITY G&A GENERAL CUSTOMERSRASMUSSON, PAUL 200.00 710.19AQUATIC PARK BUDGET GENERAL SUPPLIESRECREATION SUPPLY CO 133.91AQUATIC PARK MAINTENANCE GENERAL SUPPLIES 844.10 36.47POLICE G & A OFFICE SUPPLIESREGENCY OFFICE PRODUCTS LLC 36.47 317.42PARK GROUNDS MAINTENANCE OTHER IMPROVEMENT SUPPLIESREINDERS INC 317.42 1,501.66EMPLOYEE FLEX SPEND G&A TUITIONREUVERS, TERRY 1,501.66 3,134.60IT G & A EQUIPMENT MTCE SERVICERICOH USA INC 3,134.60 101.50PARK AND RECREATION BALANCE SH INVENTORYRIGID HITCH INC 101.50 143.41WATER UTILITY G&A GENERAL CUSTOMERSROBERTSON, JEFF 143.41 105.00PARK AND RECREATION BALANCE SH INVENTORYROSENBAUER SOUTH DAKOTA LLC 105.00 1,648.81EMPLOYEE FLEX SPEND G&A TUITIONRUD, JOSEPH 1,648.81 184.09VEHICLE MAINTENANCE G&A EQUIPMENT MTCE SERVICESAFELITE FULFILLMENT INC 184.09 City Council Meeting of June 17, 2013 (Item No. 4q) Title: Vendor Claims Page 16 6/12/2013CITY OF ST LOUIS PARK 6:25:14R55CKSUM LOG23000VO 16Page -Council Check Summary 6/7/2013 -5/25/2013 Vendor AmountBusiness Unit Object 16.21PARK EQUIPMENT MAINTENANCE GENERAL SUPPLIESSCHERER BROS. LUMBER CO. 16.21 874.13EMPLOYEE FLEX SPEND G&A TUITIONSCHLEGEL, EVA 874.13 150.18WATER UTILITY G&A GENERAL CUSTOMERSSCHNEIDER, THERESA 150.18 3,522.22SEWER UTILITY G&A GENERAL PROFESSIONAL SERVICESSEH 3,522.22 104.82-GENERAL FUND BALANCE SHEET DUE TO OTHER GOVTSSENSUS METERING SYSTEMS 1,629.42IT G & A EQUIPMENT MTCE SERVICE 1,524.60 1,992.60EMPLOYEE FLEX SPEND G&A TUITIONSEVERSON, NATE 1,992.60 22.00GO BONDS-FIRE STATIONS G&A BUILDINGS & STRUCTURESSIGN PRODUCERS INC 22.00 354.53VEHICLE MAINTENANCE G&A SMALL TOOLSSNAP-ON INDUSTRIAL 354.53 509.19PARK BUILDING MAINTENANCE OTHER CONTRACTUAL SERVICESSNYDER ELECTRIC 372.00PARK EQUIPMENT MAINTENANCE OTHER CONTRACTUAL SERVICES 881.19 1,399.92IT G & A DATACOMMUNICATIONSSPRINT 1,399.92 174.72PARK BUILDING MAINTENANCE BLDG/STRUCTURE SUPPLIESSPS COMPANIES INC 174.72 4,226.50GO BONDS-FIRE STATIONS BAL S RETAINED PERCENTAGEST PAUL LINOLEUM & CARPET CO 4,226.50 2,347.40PATCHING-PERMANENT OTHER IMPROVEMENT SUPPLIESST PAUL, CITY OF 2,347.40 City Council Meeting of June 17, 2013 (Item No. 4q) Title: Vendor Claims Page 17 6/12/2013CITY OF ST LOUIS PARK 6:25:14R55CKSUM LOG23000VO 17Page -Council Check Summary 6/7/2013 -5/25/2013 Vendor AmountBusiness Unit Object 809.44-GO BONDS-FIRE STATIONS BAL S RETAINED PERCENTAGESTEENBERG-WATRUD CONSTRUCTION 16,188.82GO BONDS-FIRE STATIONS G&A BUILDINGS & STRUCTURES 15,379.38 619.55PARK AND RECREATION BALANCE SH INVENTORYSTONEBROOKE EQUIPMENT INC 619.55 1,984.37PARK AND RECREATION BALANCE SH INVENTORYSUBURBAN TIRE WHOLESALE 1,984.37 250.96ENGINEERING G & A MEETING EXPENSESULLIVAN, JACK 250.96 214.34ADMINISTRATION G & A LEGAL NOTICESSUN NEWSPAPERS 214.34 79.13-PARK AND RECREATION BALANCE SH DUE TO OTHER GOVTSTAHO SPORTSWEAR 547.65SUMMER PLAYGROUNDS OPERATIONAL SUPPLIES 252.06JR LEADERS OPERATIONAL SUPPLIES 802.99PLAYGROUNDSOPERATIONAL SUPPLIES 2,588.11YOUTH PROGRAMS OPERATIONAL SUPPLIES 527.69LIFEGUARDINGOPERATIONAL SUPPLIES 223.43POOL MONITORS OPERATIONAL SUPPLIES 232.09CONCESSIONSOPERATIONAL SUPPLIES 5,094.89 28.98NEIGHBORHOOD OUTREACH OPERATIONAL SUPPLIESTARGET BANK 28.98 54.32PARK AND RECREATION BALANCE SH INVENTORYTERMINAL SUPPLY CO 54.32 104.06BUILDING MAINTENANCE BUILDING MTCE SERVICETERMINIX INT 104.06 3,008.39EMPLOYEE FLEX SPEND G&A LONG TERM DISABILITYTHE HARTFORD - PRIORITY ACCOUN 3,008.39 382.50SOFTBALLOTHER CONTRACTUAL SERVICESTHOMPSON, JAMES 382.50 770.40ADMINISTRATION G & A OTHER CONTRACTUAL SERVICESTIMESAVER OFF SITE SECRETARIAL City Council Meeting of June 17, 2013 (Item No. 4q) Title: Vendor Claims Page 18 6/12/2013CITY OF ST LOUIS PARK 6:25:14R55CKSUM LOG23000VO 18Page -Council Check Summary 6/7/2013 -5/25/2013 Vendor AmountBusiness Unit Object 770.40 1,439.19TREE MAINTENANCE GENERAL SUPPLIESTITAN MACHINERY 1,439.19 780.00SUBDIVISIONSZONING/SUBDIVISIONTJ DESIGN STRATEGIES LTD 780.00 209.18GENERAL REPAIR EQUIPMENT MTCE SERVICETRANSMISSION SHOP INC 209.18 127.50SOFTBALLOTHER CONTRACTUAL SERVICESTRAUTMANN, JOHN 127.50 247.83PARK AND RECREATION BALANCE SH INVENTORYTRI STATE BOBCAT 247.83 653.12SSD 1 G&A OTHERTWIN CITIES SIGN INSTALLATIONS 510.63SSD 2 G&A OTHER 415.63SSD 3 G&A OTHER 320.62SSD #4 G&A OTHER 1,900.00 695.98GENERAL BUILDING MAINTENANCE BUILDING MTCE SERVICETWIN CITY GARAGE DOOR CO 695.98 1,279.88SNOW PLOWING OTHER CONTRACTUAL SERVICESTWIN CITY OUTDOOR SERVICES INC 5,950.00SSD 1 G&A OTHER CONTRACTUAL SERVICES 2,125.00SSD 3 G&A OTHER CONTRACTUAL SERVICES 9,354.88 290.20COP SHOP REPAIRSUHL CO INC 6,857.00TECHNOLOGY REPLACEMENT OFFICE FURNITURE & EQUIPMENT 7,147.20 150.00EMPLOYEE FLEXIBLE SPENDING B/S WAGE GARNISHMENTSUNITED STATES TREASURY 150.00 234.00EMPLOYEE FLEXIBLE SPENDING B/S UNITED WAYUNITED WAY OF MINNEAPOLIS AREA 234.00 5,007.60WATER UTILITY G&A OTHER IMPROVEMENT SERVICEVALLEY-RICH CO INC City Council Meeting of June 17, 2013 (Item No. 4q) Title: Vendor Claims Page 19 6/12/2013CITY OF ST LOUIS PARK 6:25:14R55CKSUM LOG23000VO 19Page -Council Check Summary 6/7/2013 -5/25/2013 Vendor AmountBusiness Unit Object 5,007.60 100.00HUMAN RESOURCES RECRUITMENTVERIFIED CREDENTIALS 100.00 74.08COMMUNICATIONS/GV REIMBURSEABL TELEPHONEVERIZON WIRELESS 50.48SEWER UTILITY G&A OTHER IMPROVEMENT SERVICE 1,897.63CELLPHONES, IPADS, ETC.OFFICE EQUIPMENT 2,022.19 627.61ROUTINE MAINTENANCE OPERATIONAL SUPPLIESVIKING INDUSTRIAL CTR 627.61 21.92WATER UTILITY G&A GENERAL CUSTOMERSWALSH, MARK 21.92 1,291.84WATER UTILITY G&A OTHER IMPROVEMENT SERVICEWATER CONSERVATION SERVICE INC 1,291.84 562.85WATER UTILITY G&A EQUIPMENT MTCE SERVICEWEBER ELECTRIC 562.85 51,097.70WESTWOOD VILLAS HIA OTHER CONTRACTUAL SERVICESWESTWOOD VILLA ASSN 51,097.70 1,292.32VEHICLE MAINTENANCE G&A TRAININGWOODBURY, CITY OF 1,292.32 764.16PARK IMPROVE CAPITAL PROJECT IMPROVEMENTS OTHER THAN BUILDIWRAP CITY GRAPHICS 764.16 17,560.81ENTERPRISE G & A ELECTRIC SERVICEXCEL ENERGY 1,597.19PARK IMPROVE CAPITAL PROJECT OTHER CONTRACTUAL SERVICES 355.23STORM WATER UTILITY G&A ELECTRIC SERVICE 19,513.23 285.00LIFEGUARDINGOTHER CONTRACTUAL SERVICESYAEGER, JOE 285.00 618.40PATCHING-PERMANENT SMALL TOOLSZACKS INC 618.40 City Council Meeting of June 17, 2013 (Item No. 4q) Title: Vendor Claims Page 20 6/12/2013CITY OF ST LOUIS PARK 6:25:14R55CKSUM LOG23000VO 20Page -Council Check Summary 6/7/2013 -5/25/2013 Vendor AmountBusiness Unit Object 244.70PARK MAINTENANCE G & A GENERAL SUPPLIESZIP PRINTING 244.70WATER UTILITY G&A GENERAL SUPPLIES 489.40 1,510.40EMPLOYEE FLEX SPEND G&A TUITIONZWILLING, JAMES 1,510.40 Report Totals 787,178.12 City Council Meeting of June 17, 2013 (Item No. 4q) Title: Vendor Claims Page 21 Meeting: City Council Meeting Date: June 17, 2013 Public Hearing Agenda Item: 6a EXECUTIVE SUMMARY TITLE: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan RECOMMENDED ACTION: Motion to Adopt the Citywide Sidewalk, Trail, and Bikeway System Plan as presented in Exhibits A2, B1, and C2, which depict the proposed 10-year Capital Plan. POLICY CONSIDERATION: Does Council have any further revisions to the proposed plan, and does Council wish to direct staff to proceed with implementation of the plan and CIP as presented. BACKGROUND: At the May 28, 2013 Study Session, the City Council discussed the proposed sidewalk and trail plan – a plan to construct additional sidewalks, trails, and bikeways over a 10- year period starting this year. This discussion followed a second round of public input over the past couple of months, preceded by Council discussions on March 11, 2013, January 28, 2013, and an extensive public input process over the latter part of 2012. Prior to 2012, the proposed plan was developed through a community-wide participation process over several years as part of the Vision St. Louis Park initiative. After discussing the plan further on May 28, Council directed staff to schedule a public hearing to consider adoption of the Citywide capital plan. FINANCIAL OR BUDGET CONSIDERATION: If Council decides to adopt the system of community sidewalks and trails via the capital program as proposed, a source of capital ($17 - $24 million dollar range – spread over ten years) and maintenance funds ($34,000 annually in present day costs) will be needed. As previously discussed, the recommended source for the capital costs would be the issuance of GO Bonds. The likely source for the additional maintenance costs would be the General Fund. Staff previously provided a preliminary plan for debt service levy (bonding) over a multi-year period to cover the proposed 10-year program, and this information is provided in the discussion portion of this report. VISION CONSIDERATION: St. Louis Park is committed to being a connected and engaged community. SUPPORTING DOCUMENTS: Discussion Proposed Property Taxes or Fees for Capital Projects Estimated Increased Taxes or Utility Rates Exhibits A, A2, B, B1, C, C2, D, and E Exhibits 1, 2, 3, 4, 6, 7, 8, and 9 Exhibit - Bike Lane Analysis Star Tribune Article – 06.08.13 Prepared by: Scott Brink, City Engineer Reviewed by: Michael P. Rardin, Engineering Director Approved by: Tom Harmening, City Manager City Council Meeting of June 17, 2013 (Item No. 6a) Page 2 Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan DISCUSSION Background and History As part of the “Vision St. Louis Park” initiative that began several years ago, one of the resulting strategic directions identified by the Community and the City Council was “St. Louis Park is committed to being a connected and engaged community.” Included as a priority of that directive was a focus on developing an expanded and organized network of sidewalks and trails. As a result, an extensive public process was engaged through the Active Living, Sidewalks and Trail Plan which recommended an approach to developing citywide pedestrian and bicycling systems, addressing trails, sidewalks, key crossings and prioritizing their importance. The plan suggested a strategy for implementation, how existing areas of concern might be improved, and where new walks and trails should be installed. In brief, the plan was developed with the following key elements in mind: Purpose - "To develop a comprehensive, city-wide system of trails and sidewalks that provides local and regional connectivity, improves safety and accessibility, and enhances overall community livability." Goals and Objectives - • Develop an interconnected network of pedestrian and bicycle routes throughout the city and linked to transit systems, providing options to automobile dependence. establish a citywide grid-system of sidewalks every ¼-mile establish a citywide grid-system of bicycle facilities every ½-mile close gaps in neighborhoods’ existing sidewalk networks • Anticipate increases in the use of mass transit, including the possibility of a much improved multi-modal system comprising buses, light rail, heavy commuter rail, local circulators, etc. • Establish safe crossings of highways, arterial roads and rail corridors using innovative strategies, improved traffic control systems, grade separations, etc. • Develop safe links to schools, commercial hubs, employment centers, institutions and transit facilities. • Develop recreational pathways that link neighborhoods to parks and natural areas, providing opportunities to improve the health and well-being of community residents and workers. • Make connections to regional and recreational trails to link St. Louis Park to larger metropolitan open space systems and destinations. • Provide safe and easily accessible routes for residents and workers in the community, including children, seniors and the disabled. • Create a cohesive, well-designed system that includes a coordinated approach for signs and orientation, standard designs for street crossings and additional "user-friendly" amenities such as rest areas, information kiosks and upgraded landscaping. • Incorporate strategies for funding, maintenance and snow removal into the overall plan. • Develop a Capital Improvement Plan based on priorities, needs and available resources. City Council Meeting of June 17, 2013 (Item No. 6a) Page 3 Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan The goals and objectives of the plan are more graphically illustrated as follows: City Council Meeting of June 17, 2013 (Item No. 6a) Page 4 Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan City Council Meeting of June 17, 2013 (Item No. 6a) Page 5 Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan Both the system plan and the set of general criteria for prioritizing the pedestrian and bike improvements was generated through community input from Citizen Advisory Committee, Community Meetings, 205 online survey responses, and meetings with the Planning Commission, Parks and Recreation Advisory Commission, and City Council. In addition, general support for the goals was vetted through the subsequent Plan-By-Neighborhood process, Community Survey, and Community Recreation Survey. Plan development and prioritization was also tied directly to public health, safety and well-being. The system plan and goals were adopted into the Comprehensive Plan in 2009. The logic behind prioritization and plan implementation was also based on the following objectives: • Focus on key destinations: segments that serve multiple community gathering centers in the community (schools, parks, transit stops, commercial nodes) rated higher. • Focus on Transportation: routes that provide north-south connections through the community, into adjacent communities, and to key transit stops rated higher. • Focus on Bicycling and Walking: the ultimate goal was to provide a quarter-mile “city” grid of sidewalks and half-mile grid of bike routes. Improvements that fill gaps in the city pedestrian and bicycle networks, improve safety at certain intersections, and provide crossings (bridges or tunnels) of major railroad and highway barriers rated higher. As part of the plan development by the Citizen Advisory Committee, specific sidewalk locations such as which side of the street were driven and chosen by a variety of factors unique to each particular area. These factors included access to specific destinations as listed above, continuation of segments already in place and/or closing of gaps in the system, school bus routes, and other input of the Committee members. As previously stated, the system plan and goals were adopted into the Comprehensive Plan in 2009. The pedestrian and bicycle system plans as adopted and included in the Comprehensive Plan are shown on the next two pages as follows: City Council Meeting of June 17, 2013 (Item No. 6a) Page 6 Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan City Council Meeting of June 17, 2013 (Item No. 6a) Page 7 Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan City Council Meeting of June 17, 2013 (Item No. 6a) Page 8 Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan Plan Implementation At the June 6, 2011 Study Session, Council discussed implementing the pedestrian and bicycle system plan. The results of Vision St. Louis Park and community surveys showed strong support for expanding the City’s system of sidewalk and trails. In addition, Council also discussed the current system of community and neighborhood sidewalks. As a result of the discussion Council requested staff to: 1. Prepare a capital improvement program (CIP) utilizing a proactive, high priority approach to implement the recently developed pedestrian and bicycle improvement plan along with resources needed to implement this improvement program. 2. Provide information used in the past to identify the community vs. neighborhood sidewalk systems. 3. Provide information related to taking over maintenance responsibility of the neighborhood and costs related to expansion of the community sidewalk system. As a result, staff prepared a detailed draft CIP utilizing the above priority objectives to build all trails, community sidewalks, on-street bikeways, and bridges identified in the Active Living, Sidewalks and Trail Plan within 10 years. In addition to the prioritization criteria as developed through the previous work by the Citizen Advisory Committee, staff also looked at the scheduling of proposed projects “strategically” with other public works projects identified in the long-term Capital Improvement Program. For example, if a specific street reconstruction, utility, or other project is earmarked for work in say 2018, it may make sense to construct a proposed sidewalk or bikeway improvement concurrently in the same year. In this way, the City may be able to streamline processes, reduce costs, and limit inconveniences related to construction impacts. As part of the C.I.P. review process, a policy consideration for “Bikeways” was also discussed. The installation of “Bike Lanes” requires dedicated pavement space (striped bike lanes) which could result in the elimination or restriction (possibly one side) of parking on some streets. “Bike Ways” could also have the same result depending upon the type of “Bike Way” created or used by the city. Depending upon the type of on road bike facility used, there could be parking restriction impacts or none at all. Thus where eliminating on-street parking is not appropriate, implementation of biking facilities may be limited. Since it does not appear that separate biking facilities (designated bike lanes) can be provided in all areas, the implementation of “Bike Ways” in some locations will probably need to utilize some type of shared lane strategy that may include signs and / or pavement markings. A preliminary analysis identifying possible parking problems in conjunction with designated bike lanes is attached (Exhibit - Bike Lane Analysis). Recent Activities At the June 11, 2012 Study Session staff presented a final proposed Pedestrian and Bicycle Plan and a ten year prioritized Capital Improvement Program (CIP). Council provided input on the prioritization of the projects in the CIP as well as discussed possible parking restrictions associated with utilization of bike lanes. Council requested staff to provide an evaluation of the proposed bike lanes and parking restriction implications, and also requested staff to prepare a financial and communications plan for consideration at a future Study Session. Staff returned to Council on July 16, 2012 with a revised Pedestrian and Bicycle Plan and a ten year prioritized Capital Improvement Program (CIP). In addition, staff evaluated bike lane parking restriction impacts and developed and presented a financial and communications plan for City Council Meeting of June 17, 2013 (Item No. 6a) Page 9 Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan the proposed Pedestrian and Bicycle Plan. Copies of the revised CIP were provided and a summary of financial options were provided. Among the options presented, General Obligation (GO) bonds were recommended by staff as the best option for financing the improvements. A Communications Plan was also provided to Council. The intent of the plan was to utilize a broader citywide message to begin the communication effort, and then follow with more distinct communications aimed at specific project improvements so that every property owner could assess the entire plan as well as consider personal impacts and concerns. Staff then initiated the communication process by launching a website titled “Connect the Park” (http://www.stlouispark.org/connect-the-park.html). This site provides comprehensive information, including a general description of the purposes and goals of the program, maps of proposed projects and schedule, estimated costs, FAQ’s, notifications of upcoming informational meetings, and more. Similar information (including a link to the website) was also published in in the Park Perspective. Subsequently, an initial “kick-off” public informational meeting was held on Tuesday, October 9 to provide a general overview of the proposed city-wide program and 10-year capital plan. In addition to the website and other media outlets, all residents and property owners were notified of the meeting by mass mailing of a specially prepared “Connect the Park” brochure. The City- wide kick-off meeting was then followed by area (ward) specific informational meetings in October and November of 2012. The intent of the ward meetings was to present specific projects to residents in more detail and encourage and receive additional comments and feedback. After completion of the Ward meetings, notices were mailed to properties along both sides of streets where specific sidewalk segments were proposed. Staff felt this additional mailing was necessary to ensure all residents adjacent to sidewalk installations were informed and provided an opportunity for input. As a result, a significant amount of additional input was received during late November and early December toward specific proposed sidewalk projects. Staff provided an update to Council at the Study Session held on January 14, 2013. The report presented an extensive description of the public process, general summaries and observations based on input received, and a compendium of the many comments received. Based on the direction provided by Council on January 14, staff returned to Council on January 28 with recommendations for revising and adjusting the plan. As directed by Council, staff updated the proposed plan accordingly (changes shown immediately below and updated maps shown in Exhibits A and A2). Upon further input and concurrence from Council, staff then proceeded with a final public input effort to receive final comments prior to formal plan adoption. Council Requested Changes Change Project Description Const Yr Total delete Sidewalk 33rd St (Texas Ave to Rhode Island Ave) - south side 2013 $30,000 delete Sidewalk - 31st St (Dakota Ave to Colorado Ave) - south side 2013 $22,000 delete Sidewalk - Pennsylvania Ave (Franklin Ave to 16th St) - east side 2016 $55,000 retain Sidewalk - Pennsylvania Ave (Cedar Lake Road to Franklin Ave) - east side 2016 $90,000 City Council Meeting of June 17, 2013 (Item No. 6a) Page 10 Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan delete Sidewalk - 33rd St (Aquila Ave to Virginia Ave) - south side 2017 $75,000 delete Sidewalk - Texas Ave (Franklin Ave to Wayzata Blvd) - west side 2018 $110,000 retain Sidewalk - Texas Ave (Cedar Lake Rd to Franklin Ave) - west side 2018 $110,000 delete Sidewalk - 31st St (Texas Ave to Dakota Ave) - south side 2021 $225,000 delete Sidewalk – Pennsylvania (31st St to Oak Hill Park) - west side 2021 $225,000 delete Sidewalk - 25th St (26th St to Sumter Ave) - north side 2023 $13,000 delete Sidewalk - 26th St (Virginia Ave to 25th St) - north side 2023 $14,000 advance Sidewalk - 41st St (Hwy 100 to Wooddale Ave) - south side 2014 to 2013 $22,000 advance Sidewalk - 36th St (Aquila Ave to Wyoming Ave) - south side 2015 to 2014 $55,000 advance Sidewalk - Joppa Ave (Minnetonka Blvd to 1/3 block n of Sunset Ave) - west side 2020 to 2014 $31,000 Total Deleted $769,000 The following summarizes the revised CIP being proposed at this time (costs follow in the next section of this report): Project Sidewalks Bikeways Bikelanes Trails Bridges Number Year Length - ft Length - ft Length - ft Length - ft Number SWT - 2013 2013 6,328 23,969 16,986 4,316 0 SWT - 2014 2014 1,396 24,974 0 1,830 1 SWT - 2015 2015 1,328 15,090 7,823 8,426 3 SWT - 2016 2016 3,753 2,972 5,019 0 0 SWT - 2017 2017 7,935 4,185 16,321 0 0 SWT - 2018 2018 2,967 9,678 0 0 1 SWT - 2019 2019 6,975 0 0 0 0 SWT - 2020 2020 2,701 12,362 3,107 2,000 0 SWT - 2021 2021 1,031 12,346 0 0 0 SWT - 2022 2022 10,519 7,004 0 0 0 SWT - 2023 2023 10,619 0 0 0 0 Totals (ft) 55,552 112,580 49,256 16,572 5 Totals (miles) 10.5 21.3 9.3 3.1 The plan was discussed again most recently by Council at a Study Session on May 28, 2013. Leading up to May 28, Staff completed a final public input process over the previous couple of months, similar to the process conducted in late 2012. Similar to the comments previously received, many of the comments addressed specific sidewalk segments located in residential areas. Comments continued to be mixed with many residents being opposed to walks that would be constructed adjacent to their respective properties. For sidewalks proposed in non-residential areas, very few comments were received. The Bikeway and Trail portion of the plan continued to receive very few comments, but of those received to date, they have been positive. Any parking related issues unique to each particular bikeway segment will be addressed through the public input process as specific bikeway projects are implemented each year under the program. City Council Meeting of June 17, 2013 (Item No. 6a) Page 11 Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan At the conclusion of the discussion on May 28, Council elected to schedule a Public Hearing to consider adopting the system-wide capital plan. Staff has attached a recent Star Tribune Article dated June 8, 2013 which describes sidewalk and trail planning efforts in St. Louis Park and surrounding communities. Finally, staff has updated and attached various exhibits (1, 2, 3, 4, 6, 7, 8, and 9) which were developed for Council during this past year to allow for consideration of this proposed plan. Next Steps: 1. In order to order to allow for the next stage of public process, engineering design and construction of projects, at some point the Council will need to approve the Citywide 10- year capital plan. Staff will then begin survey and design work for projects scheduled for 2013 and 2014. Much of the discussion and public input to date has focused on questions and concerns regarding specific property impacts related to proposed sidewalk construction, including impacts to trees, driveways, landscaping and other features. Unfortunately, many of the details and answers to these questions cannot be provided until topographical survey and engineering design work can get underway. In all of the proposed project areas, continued public participation and public process will be engaged as engineering plans are developed and before any actual construction is authorized by the City Council. This same process will follow for all proposed improvements, including sidewalks, trails, and on-road bikeways where on-street parking needs will need to be considered and addressed. As part of the design of sidewalks, the Engineering Department will make every effort to minimize impacts to adjacent properties as much as possible, including efforts to find the most optimum location for a sidewalk. However, it is inevitable that for many of the proposed projects, there will be some impacts, including loss of trees and/or landscaping, driveway adjustments, and possibly other impacts. Maintenance and overall public safety must also be considered and balanced against potential impacts. Following are examples from past sidewalk projects to illustrate how existing features can be considered and adapted into the design and construction of sidewalks. City Council Meeting of June 17, 2013 (Item No. 6a) Page 12 Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan SIDEWALK CONSTRUCTION ILLUSTRATION EXAMPLES City Council Meeting of June 17, 2013 (Item No. 6a) Page 13 Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan City Council Meeting of June 17, 2013 (Item No. 6a) Page 14 Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan City Council Meeting of June 17, 2013 (Item No. 6a) Page 15 Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan FINANCIAL AND BUDGET CONSIDERATION: Based on the changes described above, Public Works staff has revised the earlier proposed CIP summary, reduced by $769,000, as follows: Year Annual Cost Sidewalks Bikeways Bikelanes Trails Bridges 2013 $662,200 $298,000 $48,000 $103,200 $213,000 $0 2014 $301,000 $77,000 $44,000 $0 $80,000 $100,000 2015 $6,460,900 $58,000 $30,400 $103,000 $369,500 $5,900,000 2016 $209,000 $161,000 $5,000 $43,000 $0 $0 2017 $494,000 $347,000 $7,000 $140,000 $0 $0 2018 $2,145,000 $130,000 $15,000 $0 $0 $2,000,000 2019 $306,000 $306,000 $0 $0 $0 $0 2020 $247,000 $122,000 $19,000 $28,000 $78,000 $0 2021 $93,500 $73,500 $20,000 $0 $0 $0 2022 $467,000 $455,000 $12,000 $0 $0 $0 2023 $459,000 $459,000 $0 $0 $0 $0 Totals $11,844,600 $2,486,500 $200,400 $417,200 $740,500 $8,000,000 Please note – the costs in this summary do not account for inflation, engineering, contingencies, right-of-way acquisition or other unknown project costs. Staff feels these factors will significantly add to the costs shown above and currently project the total cost to build the proposed improvements to be in the $17 - $24 million dollar range. Finance Department Analysis This project is currently estimated at $17 - $24 million, which is only for construction costs. This estimate does not include operational impacts for costs such as staffing, maintenance, plowing, etc. Currently, this project is proposed to be funded through the issuance of General Obligation Tax Exempt Bonds issued in 2014, 2019 and 2024 for approximately $5.7 - $8.0 million each year depending on final bids, and financed over 15 years. This proposed structure would be modified once a firm plan and timeline is in place. Based on current interest rates and building in a contingency for the possibility of interest rates increasing, debt service would vary from approximately $500,000 - $2,100,000 per year for 25 years, with years 11- 15 requiring debt service obligations on all three bond issues. This would require an approximate property tax levy increase of 6.2% - 8.6% spread over 11 years based on the 2013 Final Property Tax Levy. The proposed increase would equate to a property tax increase for a median valued ($220,100) residential homesteaded property of approximately $57 - $79, or 5.9% - 8.2% within that same eleven year period based on 2013 information. Depending on the year, one, two or all three of the bond issues would then remain on the tax rolls for a total of 25 years until the bonds are paid off. Looking at the impact to that same property over the 25 years the bonds are outstanding, it is approximately $852 - $1,192. An overview of this project and two other significant capital projects (Community Center and Stormwater Improvements), and their overall cumulative impacts to taxes and utility rates is attached (attachments - PROPOSED PROPERTY TAXES OR FEES FOR CAPITAL PROJECTS and ESTIMATED INCREASED TAXES OR UTILITY RATES). Please note that this overview does not include any other increases in the property tax levy or utility rates to accommodate normal/routine business needs. City Council Meeting of June 17, 2013 (Item No. 6a) Page 16 Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan PROPOSED PROPERTY TAXES OR FEES FOR CAPITAL PROJECTS OVERVIEW: The information discussed below relates to the proposed increases in property taxes or Storm Water Utility fees over a specific period of time based on the projects. With the many variables in each project including cost, timing of construction, financing mechanisms available, etc., the proposed impacts will be subject to a fair amount of volatility as these variables become more clear or constant in the future. These analyses only discuss the costs for completing the projects, not any ongoing costs such as staffing, maintenance, plowing, utilities, etc., based on the type of project. Also, these estimates only focus on the cost of each project, not everything else the City Council considers each year during the normal budget process as it relates to the Property Tax Levy, Utility Rates and all the costs associated with normal/ongoing City operations. FINANCIAL CONSIDERATIONS: Community Center - This project is currently estimated at $20 - $25 million, which is only for construction costs. This estimate does not include operational impacts once the facility is in use for costs such as staffing, maintenance, utilities, etc. Currently, this project is proposed to be funded through the issuance of General Obligation Tax Exempt Bonds issued in 2014 and 2015 for approximately $10.0 - $12.5 million each year depending on final bids, and financed over 20 years. Based on current interest rates, and building in a contingency for the possibility of interest rates increasing, debt service would be approximately $1.4 - $1.8 million per year for 20 years. This would require an approximate property tax levy increase of 5.8% - 7.4% spread over two years based on the 2013 Final Property Tax Levy. The proposed increase would equate to a property tax increase for a median valued ($220,100) residential homesteaded property of approximately $53 - $68, or 5.5% - 7.0% within that same two year period based on 2013 information. This would then remain on the tax rolls for the next 18 years until the bonds are paid off. Looking at the total impact to that same property over the 20 years the bonds are outstanding, it is estimate to be approximately $1,060 - $1,360. Sidewalks and Trails - This project is currently estimated at $17 - $24 million, which is only for construction costs. This estimate does not include operational impacts for costs such as staffing, maintenance, plowing, etc. Currently, this project is proposed to be funded through the issuance of General Obligation Tax Exempt Bonds issued in 2014, 2019 and 2024 for approximately $5.7 - $8.0 million each year depending on final bids, and financed over 15 years. This proposed structure would be modified once a firm plan and timeline is in place. Based on current interest rates, and building in a contingency for the possibility of interest rates increasing, debt service would vary between approximately $500,000 - $2,100,000 per year for 25 years, with years 11- 15 requiring debt service obligations on all three bond issues. This would require an approximate property tax levy increase of 6.2% - 8.6% spread over 11 years based on the 2013 Final Property Tax Levy. The proposed increase would equate to a property tax increase for a median valued ($220,100) residential homesteaded property of approximately $57 - $79, or 5.9% - 8.2% within that same eleven year period based on 2013 information. Depending on the year, one, two or all three of the bond issues would then remain on the tax rolls for a total of 25 years until the bonds are paid off. Looking at the impact to that same property over the 25 years the bonds are outstanding, it is estimate to be approximately $852 - $1,192. City Council Meeting of June 17, 2013 (Item No. 6a) Page 17 Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan Storm Water Capital Projects - These projects are currently estimated at $11 million, which is only for construction costs, and does not include operational impacts. Currently, these projects are proposed to be funded through the issuance of Tax Exempt Utility Revenue Bonds issued in 2014 for approximately $7.5 million, 2019 for approximately $2.0 million, both financed until 2029, along with cash available in the fund for the remaining balance. In order to generate the necessary revenues for obligations within the Storm Water Fund, rates need to be increased significantly in the next five years. Based on proposed expenses in the fund, rates will need to increase from $16.00 per quarter in 2013 to $24.83 per quarter in 2018. This is an increase of $8.83 per quarter, $35.32 per year, or 55.2%. On an annual basis, rates will need to increase by an average of approximately $7.06 per year over the next five years, and then are proposed to remain essentially flat after that. The significant increases are required due to the large projects proposed in the early years of this plan. The proposed increases would equate to a Storm Water Utility fee increase for a residential property of approximately $389 over the proposed 15 year financing term. What is the Average Cumulative Proposed Impact to a Residential Homesteaded Property? Based on all the variables, such as date of a bond issue, staggered issuances for projects, phased in fee increases for Storm Water, valuation of a property, fiscal disparities, taxable market value of the City, etc., it would be more beneficial to look at the impact over a period of time, versus a snapshot, such as one year to another. With that considered, using 2013 figures for tax calculations, and fees as proposed, the cumulative effect of constructing all the capital projects discussed above would result in an impact in taxes and utility fees averaging approximately $100.00 - $160.00 per year over the proposed financing terms of projects. This range considers the low and high cost of the proposed projects and estimating bonds for these projects that are added or drop off for the sidewalk and trails program. Again, this estimate does not include other increases the City might need to make to the property tax levy and utility rates to continue normal/ongoing operations. City Council Meeting of June 17, 2013 (Item No. 6a) Page 18 Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan ESTIMATED INCREASED TAXES OR UTILITY RATES NOTE: These estimates are only for construction costs and DO NOT include costs for operational impacts. ESTIMATED LOW HIGH LOW HIGH NO. OF YRS.AVG. INC.END OF PROJECT PROJECT COST COST COST %%INCREASE^PER YEAR FINANCING# Community Center*$20,000,000 - $25,000,000 53$ 68$ 5.5% 7.0% 2 $26.50 - $34.00 2035 Sidewalks and Trails**$17,000,000 - $24,000,000 57$ 79$ 5.9% 8.2% 11 $5.18 - $7.18 2039 Storm Water Capital***$11,000,000 n/a 35$ n/a 55.0% 5 $7.00 2029 * 2 stage issuance - $10-12.5M in 2014 and $10-12.5M in 2015 of Debt for a $20-25M project financed over 20 years for each issue, with Debt Service starting one year after issuance. ** 3 stage issuance - $5.67-8.00M every 5 years for a $17-24M total project financed over 15 years for each issuance. *** Financed by issuing $7.5M in debt in 2014 over 15 years, $2M in 2019 and available cash in the fund. ^ Due to different financing terms, this is the number of years until the full cost will be realized on property taxes or utility rates. # This is last year of the impact to property owners for each project when the proposed financing terms will end. ESTIMATED INCREASED TAXES OR UTILITY RATES 34TH ST LAKE S T 27TH ST WALKE R ST ALABAMA AVETEXAS AVE44 TH S TFLORIDA AVEOXFOR D S T GEORGIA AVEYOSEMITE AVE41ST STIDAHO AVERH ODE ISL AND AVEJERSEY AVEWOODDALE AVE37TH ST LOUISIANA AVEBNSF RR EXCELSI O R B L V D LI B R A R Y L N 3 5 T H S T 38TH STKENTUCKY AVE39TH ST CEDAR LAKE R D VERNON AVEKIPLING AVEWAYZATA B L V D 2 8 T H S T F O R D R D INGLEWOOD AVESHELARD PKWY 25 1/2 ST GORHAM AVEPARK G L E N R D BRUNSWICK AVEBELT LINE BLVDMINN ETON KA BLVD EXCELSIOR B L V D 31ST ST BROWNDALE AVE16TH ST HUNTINGTON AVEZARTHAN AVEC LUB RD 3 6TH S T 2 3 R D S T 26TH ST 3 6 1/2 STMARYLAND AVEMOR NING SIDE RDZINRAN AVETOLEDO AVEMELROSE AVE32ND ST UTICA AVENORTH S T 42ND ST DOUGLAS AVE GLENHURST AVE24TH ST HAMILT ON ST XENWOOD AVEWEBSTER AVENEVADA AVEF R A N K LIN AV E P OWELL R D VIRGINIA CIR 22ND ST 29TH ST 40TH STDAKOTA AVESALEM AVELYNN AVE25TH S T BASSWOO D RD18TH STOTTAWA AVE14TH ST FRANCE AVECAMBRIDGE STQUEBEC AVERALEIGH AVEUTAH AVESUMTER AVEAQUILA AVECOLORADO AVEPENNSYLVA NIA AVEEDGEWOOD AVERIDGE DR MONTEREY AVEHAMPSHIRE AVE33RD STOREGON AVES UNS ET BLVDCP RRPA R K C E N TER BLVDUTICA AVE35TH ST 18TH ST AQUI L A A V E WEBSTER AVEUTICA AVE32ND ST XENWOOD AVEYOSEMITE AVE31ST STBRUNSWICK AVEIDAHO AVEQUEBEC AVECP RR CP RR CP RRKENTUCKY AVEGEORGIA AVE29TH ST 3 7 T H S T 27TH ST 2 2N D S T QUENTIN AVEWAYZATA BLVD JOPPA AVE37TH ST 36TH ST TEXAS AVE34TH STFLAG A VE JERSEY AVEALABAMA AVE2 3 R D S TQUENT I N AVEFLAG AVEFORD RDLAKE ST34TH ST OXFORD ST OTTAWA AVEWO O D D A L E A V E 33RD ST 28TH ST 16TH ST 36TH ST HUNTINGTON AVE35TH ST JOPPA AVE26TH ST 27TH ST ALABA MA AVEEDGEWOOD AVE28TH ST CEDAR L A K E R D 31ST ST 25TH ST 3 9 T H S T 26TH ST 16TH S T 1ST ST2ND STPARK PLACE BLVDZARTHAN AVEZARTHAN AVETOLEDO AVE 32ND ST 42ND ST 42ND STAQUILA LNGLENHURST AVEBROOK AVEXENWOOD AVEEDGEB R O O K D R FOREST RD NEVADA AVE40TH L N ELIOT VI E W R D 43 1/2 ST MACKEY AVE40TH S T DAKOTA AVEDAKOTA AVESALEM AVELYNN AVELYNN AVE18TH ST MO N T E R E Y D R V A L L A C H E R A V EWESTWOOD HILLS D R WESTWOODHILLSDR30 1/2 ST 34 1/2 ST 14TH ST BOONE AVEBOONE AVE BOONEAVEWEST M ORELAND LNUTAH DRQUE B E C A V E Q UEBEC AVERALEIGH AVERALEIGH AVEX YLON AVEXYLON AVEXYLON AVEXYLON AVEGAMBLE DR 22ND LN B R O W N L O W A V E 35 TH STJORDAN AVEDART AVEUTAH AVEUTAH AVEUTAH AVESUMTER AVEBURD PL STA NLE N RD CA V E L L AVECAVELL AVECAVELL AVEPARKLANDS RDCOLORADO AVECOLORADO AVECEDAR LAKE AVEKILMER AVEKILMER AVEPARK C OM M O N S D R 32 1/2 ST CEDARWOOD R D C ED ARWO O D R D MEADOWBROOK RDPARKER RD BLACKSTONE AVEBLACKSTONE AVEBLACKSTONE AVE13TH LN 13TH LN TAFT AVEWYOMING AVEWYOMING AVEEDGEWOOD AVEEDGEWOOD AVE13 1/2 ST M O NIT O R S T FORD LN RANDAL L A V E INDEPENDENCE A VEINDEPENDENCE AVEINDEPEND ENCE AVEINDEPENDENCE AVEPA RKWOODS R D MONTEREY AVEHAMPSHIRE AVEHAMPSHIRE AVE3 3 R D S T 33RD ST 33RD ST NATCHEZ AVENATCHEZ AVENATCHEZ AVEW O L F E PKW Y24TH ST W OREGON AVEOREGON AVEOREGON AVEREPUBLIC AVEVIRGINIA A V E VIRGINIA AVEVIRGINIA AV E VIRGINIA AVEPRINCETON AVEPRINCETON AVEWESTSIDE DR DECATUR LNYUKON AVEY U KON AVEGETTYSBURGAVEGETTYSBURG AVECAVELL LN H ILLSBORO AVEH I L LSBORO AVEHILLSBORO AVEHILL SBORO AVEPARKDALE D RLANCASTERAVE PHILLIPS PKWYGLENHURST RDC E D AR LAKE RDHILL LN DECATURAVEDECATUR AVEM EADOWBROO K B L VDMEADO WBROOK B L V D GLEN PL HIG HWOOD RD MINNEHAHA C I R NEXCELSIORWAYWOODLAND DRBROOKVIEWDR F O R E S T L N LOUISIANA CTLNFAIRWAYLN ENSIGNAVETE X A TONKA AVEWILLOW LNWILLOWLNPRKR24THLN WESTWOOD HILLS CRV AQUILA CIRBOONECT WESTRIDGE LNMINNEHAHA CT TEXAS CIR OAK LEAF CT FORD CIR OTTAWA AVE28TH STAQUILA AVE 31ST ST YOSEMI TE AVEAQUILA AVEFLAG AVE31ST ST C ED A R L AK E RD 24TH S T 31ST ST 22NDST COLORADO AVEBARRY ST ZARTHAN AVE16TH ST ALABAMA AVE14TH ST FLAG AVE16TH ST 1 6 T H ST 26TH ST SALEM AVEQUEBEC AVEPENNSYL VANIA AVEZINR AN AVEGLENHURST AVETOLEDO AVE18TH ST 2 3 R D ST 31ST ST SALEM AVELYNN AVEPENNSYLVANIAAVECOLORADO AVE23 RD ST 24TH ST HUNTINGTON AVE18TH ST 27TH STDAKOTA AVE25TH ST VERNON AVE41ST ST 29TH STMARYLAND AVE28TH ST 25TH ST 18 T H S T 26TH ST ID A H ONEVADA AVE24THST 23RD ST RALE IGH AVE 37TH ST 22ND ST 31ST ST 18TH KIPLING AVEPENNSYLVANIA AVESUMTER AVE23RD ST FR A N K L IN A V E WEBSTER AVEWEBSTERAVEFLORIDA AVE28TH ST OTTAWA AVEOTTAWA AVE14TH ST RHODE ISLAND AVE16TH ST 22ND ST BRUNSWICK AVE16TH ST DIVISION ST YOSEMITE AVEJOPPA AVEDAKOTAAVE39TH ST INGLEWOOD AVEFRANKLIN AVE 41ST ST 29TH STWEST END BLVDDUKE DR16TH ST UTICA AVECOBBLECREST CTCOOLIDGE AVEBROWNDALE AVELOUISIANA CIRLOUISIANA AVECAMBRIDGE STGETTYSBURG AVE3 5 T H S T MINNEHAHA CIR N FLAG AVE WAYZATA BLVD WAYZATA BLVD Exhibit A Proposed Future Sidewalk System 5-8-2013tw Legend Community Sidewalks City Maintained 46.2 miles/243,901 feet Community Sidewalks SSD Maintained 2.1 Miles/11,018 feet Neighborhood Sidewalks Resident Maintained 59 miles/311,584 feet Neighborhood Sidewalks Developer Maintained 2.15 miles/ 11,342 feet .(Sidewalk Systems 2023) City Council Meeting of June 17, 2013 (Item No. 6a) Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan Page 19 34TH ST LAKE S T 27TH ST WALKE R ST ALABAMA AVETEXAS AVE44 TH STFLORIDA AVEOXFOR D S T GEORGIA AVEYOSEMITE AVE41ST STIDAHO AVERH ODE ISL AND AVEJERSEY AVEWOODDALEAVE37TH ST LOUISIANAAVEBNSF RR EXCELSI O R B L V D LI B R A R Y L N 3 5 T H S T 38TH STKENTUCKYAVE 39TH ST CEDARLAKE R D VERNON AVEKIPLINGAVEWAYZATA B L V D 2 8 T H S T F O R D R D INGLEWOOD AVESHELARD PKWY 25 1/2 ST GORHAMAVEPARK G L E N R D BRUNSWICK AVEBELTLINEBLVDMINN ETON KA BLVD EXCELSIOR BL V D 31ST ST BROWNDALE AVE 16TH ST HUNTINGTON AVEZARTHAN AVEC LUB RD 36 TH S T 2 3 R D S T 26TH ST 3 61/2STMARYLAND AVEMOR NINGSIDE RDZINRAN AVETOLEDO AVEMELROSEAVE32ND ST UTICAAVENORTH S T 42ND ST DOUGLAS AVE GLENHURSTAVE24TH ST HAMILT ON ST XENWOOD AVEWEBSTER AVENEVADA AVEF R A N K LINAV E POW ELL RD VIRGINIA CIR 22ND ST 29TH ST 40TH STDAKOTA AVESALEM AVELYNN AVE25TH S T BASSWOOD RD18THSTOTTAWA AVE14TH ST FRANCE AVECAMBRIDGE STQUEBEC AVERALEIGHAVEUTAH AVESUMTER AVEAQUILAAVECOLORADO AVEPENNSYLVA NIA AVEEDGEWOOD AVERIDGEDR MONTEREY AVEHAMPSHIRE AVE33RD STOREGON AVESUNS ET BLVDCPRR PA RK CE N TERBLVDUTICA AVE35TH ST 18TH ST AQUI L A A V E WEBSTER AVEUTICA AVE32ND ST XENWOOD AVEYOSEMITE AVE31ST STBRUNSWICK AVEIDAHO AVEQUEBEC AVECP RR CP RRCP RRKENTUCKY AVEGEORGIA AVE29TH ST 3 7 T H S T 27TH ST 2 2N D S T QUENTIN AVEWAYZATA BLVD JOPPA AVE37TH ST 36TH ST TEXASAVE34TH STFLAGA VE JERSEY AVEALABAMAAVE2 3 R D S TQUENTI NAVEFLAG AVEFORD RDLAKE ST34TH ST OXFORD ST OTTAWA AVEWO O D D A L E A V E 33RD ST 28TH ST 16TH ST 36TH ST HUNTINGTON AVE35TH ST JOPPA AVE26TH ST 27TH ST ALABA MA AVEEDGEWOOD AVE28TH ST CEDAR L A K E R D 31ST ST 25TH ST 3 9 T H S T 26TH ST 16TH S T 1ST ST2ND STPARKPLACEBLVDZARTHANAVEZARTHAN AVETOLEDOAVE 32ND ST 42ND ST 42ND STAQUILALN GLENHURST AVEBROOK AVEXENWOOD AVEEDGEB R O O K D R FORESTRD NEVADA AVE40TH L N ELIOT VI E W R D 43 1/2 ST MACKEY AVE40TH S T DAKOTA AVEDAKOTA AVESALEM AVELYNN AVELYNN AVE18TH ST MO N T E R E Y D R V A L L A C H E R A V EWESTWOODHILLSDRWESTWOODHILLSDR30 1/2 ST 34 1/2 ST 14TH ST BOONEAVEBOONEAVE BOONEAVEWEST M ORELANDLNUTAHDRQUE B E C A V E Q UEBECAVERALEIGH AVERALEIGH AVEX YLONAVEXYLON AVEXYLON AVEXYLON AVEGAMBLE DR 22ND LN B R O W N L O W A V E 35 TH STJORDAN AVEDART AVEUTAH AVEUTAHAVEUTAHAVESUMTERAVEBURD PL STANL EN RD CA V E L L AVECAVELL AVECAVELL AVEPARKLANDSRDCOLORADO AVECOLORADO AVECEDAR LAKE AVEKILMER AVEKILMERAVEPARK COM M O N S D R 32 1/2 ST CEDARWOOD RD C ED ARWO O D R D MEADOWBROOK RDPARKERRD BLACKSTONE AVEBLACKSTONE AVEBLACKSTONE AVE13TH LN 13TH LN TAFT AVEWYOMING AVEWYOMINGAVEEDGEWOODAVEEDGEWOOD AVE13 1/2 ST M O NIT O R S T FORD LN RANDAL L A V E INDEPENDENCEA VEINDEPENDENCEAVEINDEPENDENCEAVEINDEPENDENCE AVEPA RKWOODSR D MONTEREY AVEHAMPSHIRE AVEHAMPSHIRE AVE3 3 R D S T 33RD ST 33RD ST NATCHEZ AVENATCHEZAVENATCHEZ AVEW O L F E PKW Y24TH ST W OREGON AVEOREGON AVEOREGON AVEREPUBLIC AVEVIRGINIAA V E VIRGINIA AVEVIRGINIAAV E VIRGINIA AVEPRINCETON AVEPRINCETON AVEWESTSIDE DR DECATURLNYUKON AVEY U KONAVEGETTYSBURGAVEGETTYSBURG AVECAVELL LN H ILLSBOROAVEH I L LSBOROAVEHILLSBORO AVEHILLSBOROAVEPARKDALE D RLANCASTERAVE PHILLIPS PKWYGLENHURSTRDC E D ARLAKERDHILLLN DECATURAVEDECATUR AVEM EADOWBROO K B L VDMEADO WBROOKB L V D GLEN PL HIGHWOODRD MINNEHAHA C I RNEXCELSIORWAYWOODLAND DRBROOKVIEWDR F O R E S T L N LOUISIANA CTLNFAIRWAYLN ENSIGNAVETE X A TONKAAVEWILLOW LNWILLOWLNPRKR24THLN WESTWOODHILLSCRV AQUILACIRBOONECT WESTRIDGE LNMINNEHAHA CT TEXAS CIR OAK LEAF CT FORD CIR OTTAWA AVE28TH STAQUILAAVE 31ST ST YOSEMI TE AVEAQUILAAVEFLAG AVE31ST ST C ED AR LAK E RD 24TH S T 31ST ST 22NDST COLORADOAVEBARRY ST ZARTHAN AVE16TH ST ALABAMA AVE14T H S T FLAG AVE16TH ST 1 6 TH ST 26TH ST SALEM AVEQUEBEC AVEPENNSYL VANIA AVEZINR AN AVEGLENHURST AVETOLEDOAVE18TH ST 2 3 R D ST 31STST SALEMAVELYNN AVEPENNSYLVANIAAVECOLORADO AVE23 RD ST 24TH ST HUNTINGTON AVE18TH ST 27TH STDAKOTA AVE25TH ST VERNON AVE41ST ST 29TH STMARYLAND AVE28TH ST 25TH ST 18 T H S T 26TH ST ID A H ONEVADA AVE24THST 23RD ST RALE IGH AVE 37TH ST 22ND ST 31ST ST 18TH KIPLING AVEPENNSYLVANIA AVESUMTER AVE23RD ST FRA N K L I N AV E WEBSTER AVEWEBSTERAVEFLORIDA AVE28TH ST OTTAWA AVEOTTAWA AVE14TH ST RHODE ISLAND AVE16TH ST 22 ND ST BRUNSWICK AVE16TH ST DIVISION ST YOSEMITE AVEJOPPA AVEDAKOTAAVE39TH ST INGLEWOOD AVEFRANKLIN AVE 41ST ST 29TH STWEST END BLVDDUKE DR16TH ST UTICA AVECOBBLECREST CTCOOLIDGE AVEBROWNDALE AVELOUISIANA CIRLOUISIANAAVECAMBRIDGE STGETTYSBURGAVE 3 5 T H S T MINNEHAHA CIR N FLAG AVE WAYZATA BLVD WAYZATA BLVD Exhibit A2 Sidewalk CIP 5-23-2013tw Legend 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 .By Year City Council Meeting of June 17, 2013 (Item No. 6a) Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan Page 20 34TH ST LAKE S T 27TH ST WALKE R ST ALABAMA AVETEXAS AVE44 TH S TFLORIDA AVEOXFOR D S T GEORGIA AVEYOSEMITE AVE41ST STIDAHO AVERH ODE ISL AND AVEJERSEY AVEWOODDALE AVE37TH ST LOUISIANA AVEBNSF RR EXCEL SI O R B L V D LI B R A R Y L N 3 5 T H S T 38TH STKENTUCKY AVE39TH ST CEDAR LAKE R D VERNON AVEKIPLING AVEWAYZATA B L V D 2 8 T H S T F O R D R D INGLEWOOD AVESH ELAR D PKWY 25 1/2 ST GORHAM AVEPARK G L E N R D BRUNSWICK AVEBELT LINE BLVDMINN ETON KA BLVD EXCELSIOR B L V D 31ST ST BROWNDALE AVE16TH ST HUNTINGTON AVEZARTHAN AVEC LUB RD 36 TH S T 2 3 R D S T 26TH ST 3 6 1/2 STMARYLAND AVEMOR NINGSIDE R DZINRAN AVETOLEDO AVEMELROSE AVE32ND ST UTICA AVENORTH S T 42ND ST D OU GLAS AVE GLENHURST AVE24TH ST HAMILT ON ST XENWOOD AVEWEBSTER AVENEVADA AVEF R A N K LIN AV E POWELL RD VIRGINIA CIR 22ND ST 29TH ST 40TH STDAKOTA AVESALEM AVELYNN AVE25TH S T BASSWOO D RD18TH STOTTAWA AVE14TH ST FRANCE AVECAMBRIDGE STQUEBEC AVERALEIGH AVEUTAH AVESUMTER AVEAQUILA AVECOLORADO AVEPENNSYLVA NIA AVEEDGEWOOD AVERIDGE DR MONTEREY AVEHAMPSHIRE AVE33RD STOREGON AVES UNS ET BLVDCP RRPA RK C E N TER BLVDUTICA AVE35TH ST 18TH ST AQUI L A A V E WEBSTER AVEUTICA AVE32ND ST XENWOOD AVEYOSEMITE AVE31ST STBRUNSWICK AVEIDAHO AVEQUEBEC AVECP RR CP RR CP RRKENTUCKY AVEGEORGIA AVE29TH ST 3 7 T H S T 27TH ST 2 2N D S T QUENTIN AVEWAYZATA BLVD JOPPA AVE37TH ST 36TH ST TEXAS AVE34TH STFLAG A VE JERSEY AVEALABAMA AVE2 3 R D S TQUENT I N AVEFLAG AVEFORD RDLAKE ST34TH ST OXFORD ST OTTAWA AVEWO O D D A L E A V E 33RD ST 28TH ST 16TH ST 36TH ST HUNTINGTON AVE35TH ST JOPPA AVE26TH ST 27TH ST ALABA MA AVEEDGEWOOD AVE28TH ST CEDAR L A K E R D 31ST ST 25TH ST 3 9 T H S T 26TH ST 16T H S T 1ST ST2ND STPARK PLACE BLVDZARTHAN AVEZARTHAN AVETOLEDO AVE 32ND ST 42ND ST 42ND STAQUILA LNGLENHURST AVEBROOK AVEXENWOOD AVEEDGEB R O O K D R FOREST RD NEVADA AVE40TH L N ELIOT VI E W R D 43 1/2 ST MACKEY AVE40TH S T DAKOTA AVEDAKOTA AVESALEM AVELYNN AVELYNN AVE18TH ST MO N T E R E Y D R V A L L A C H E R A V EWESTWOOD HILLS D R WESTWOODHILLSDR30 1/2 ST 34 1/2 ST 14TH ST BOONE AVEBOONE AVE BOONEAVEWEST M ORELAND LNUTAH DRQUE B E C A V E Q UEBEC AVERALEIGH AVERALEIGH AVEX YLON AVEXYLON AVEXYLON AVEXYLON AVEGAMBLE DR 22ND LN B R O W N L O W A V E 35 TH STJORDAN AVEDART AVEUTAH AVEUTAH AVEUTAH AVESUMTER AVEBURD PL STANL EN R D CA V E L L AVECAVELL AVECAVELL AVEPARKLANDS RDCOLORADO AVECOLORADO AVECEDAR LAKE AVEKILMER AVEKILMER AVEPAR K COM M O N S D R 32 1/2 ST CEDARW OOD RD C ED ARWO O D R D MEADOWBROOK RDPARKER RD BLACKSTONE AVEBLACKSTONE AVEBLACKSTONE AVE13TH LN 13TH LN TAFT AVEWYOMING AVEWYOMING AVEEDGEWOOD AVEEDGEWOOD AVE13 1/2 ST M O NIT O R S T FORD LN RANDAL L A V E INDEPENDENCE A VEINDEPENDENCE AVEINDEPEND ENCE AVEINDEPENDENCE AVEPA RKWOODS R D MONTEREY AVEHAMPSHIRE AVEHAMPSHIRE AVE3 3 R D S T 33RD ST 33RD ST NATCHEZ AVENATCHEZ AVENATCHEZ AVEW O L F E PKW Y24TH ST W OREGON AVEOREGON AVEOREGON AVEREPUBLIC AVEVIRGINIA A V E VIRGINIA AVEVIRGINIA AV E VIRGINIA AVEPRINCETON AVEPRINCETON AVEWESTSIDE DR DECATUR LNYUKON AVEY U KON AVEGETTYSBURGAVEGETTYSBURG AVECAVELL LN H ILLSBORO AVEH I L LSBORO AVEHILLSBORO AVEHILL SBORO AVEPARKDALE D RLANCASTERAVE PHILLIPS PKWYGLENHURST RDC E D AR LAKE RDHILL LN DECATURAVEDECATUR AVEM EADOWBROO K B L VDMEADO WBROOK B L V D GLEN PL HIG HWOOD RD MINNEH AHA C I R NEXCELSIORWAYWOODLAND DRBROOKVIEWDR F O R E S T L N LOUISIANA CTLNFAIRWAYLN ENSIGNAVETE X A TONKA AVEWILLOW LNWILLOWLNPRKR24THLN WESTWOOD HILLS CRV AQUILA CIRBOONECT WESTRIDGE LNMINNEHAHA CT TEXAS CIR OAK LEAF CT FORD CIR OTTAWA AVE28TH STAQUILA AVE 31ST ST YOSEMI TE AVEAQUILA AVEFLAG AVE31ST ST C E D AR L AK E RD 24TH S T 31ST ST 22NDST COLORADO AVEBARRY ST ZARTHAN AVE16TH ST ALABAMA AVE14 TH ST FLAG AVE16TH ST 1 6 TH ST 26TH ST SALEM AVEQUEBEC AVEPENNSYL VANIA AVEZINR AN AVEGLENHURST AVETOLEDO AVE18TH ST 2 3 R D ST 31ST ST SALEM AVELYNN AVEPENNSYLVANIAAVECOLORADO AVE2 3RD ST 24TH ST HUNTINGTON AVE18TH ST 27TH STDAKOTA AVE25TH ST VERNON AVE41ST ST 29TH STMARYLAND AVE28TH ST 25TH ST 1 8 T H S T 26TH ST ID A H ONEVADA AVE24THST 23RD ST RALE IGH AVE 37TH ST 22ND ST 31ST ST 18TH KIPLING AVEPENNSYLVANIA AVESUMTER AVE23RD ST FRA N K L IN AV E WEBSTER AVEWEBSTERAVEFLORIDA AVE28TH ST OTTAWA AVEOTTAWA AVE14TH ST RHODE ISLAND AVE16TH ST 2 2N D S T BRUNSWICK AVE16T H ST DIVISION ST YOSEMITE AVEJOPPA AVEDAKOTAAVE39TH ST INGLEWOOD AVEFRANKLIN AVE 41ST ST 29TH STWEST END BLVDDUKE DR16TH ST UTICA AVECOBBLECREST CTCOOLIDGE AVEBROWNDALE AVELOUISIANA CIRLOUISIANA AVECAMBRIDGE STGETTYSBURG AVE3 5 T H S T MINNEHAHA CIR N FLAG AVE WAYZATA BLVD WAYZATA BLVD Exhibit B Proposed Future Trail System 5-7-2013tw Legend Existing Trails Future Trails Future Bridges . City Council Meeting of June 17, 2013 (Item No. 6a) Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan Page 21 34TH ST LAKE S T 27TH ST WALKE R ST ALABAMA AVETEXAS AVE44 TH S TFLORIDA AVEOXFOR D S T GEORGIA AVEYOSEMITE AVE41ST STIDAHO AVERH ODE ISL AND AVEJERSEY AVEWOODDALE AVE37TH ST LOUISIANA AVEBNSF RR EXCEL SI O R B L V D LI B R A R Y L N 3 5 T H S T 38TH STKENTUCKY AVE39TH ST CEDAR LAKE R D VERNON AVEKIPLING AVEWAYZATA B L V D 2 8 T H S T F O R D R D INGLEWOOD AVESHELARD PKWY 25 1/2 ST GORHAM AVEPARK G L E N R D BRUNSWICK AVEBELT LINE BLVDMINN ETON KA BLVD EXCELSIOR B L V D 31ST ST BROWNDALE AVE16TH ST HUNTINGTON AVEZARTHAN AVEC LUB RD 36 TH S T 2 3 R D S T 26TH ST 3 6 1/2 STMARYLAND AVEMOR NING SIDE RDZINRAN AVETOLEDO AVEMELROSE AVE32ND ST UTICA AVENORTH S T 42ND ST DOUGLAS AVE GLENHURST AVE24TH ST HAMILT ON ST XENWOOD AVEWEBSTER AVENEVADA AVEF R A N K LIN AV E POWELL RD VIRGINIA CIR 22ND ST 29TH ST 40TH STDAKOTA AVESALEM AVELYNN AVE25TH S T BASSWOO D RD18TH STOTTAWA AVE14TH ST FRANCE AVECAMBRIDGE STQUEBEC AVERALEIGH AVEUTAH AVESUMTER AVEAQUILA AVECOLORADO AVEPENNSYLVA NIA AVEEDGEWOOD AVERIDGE DR MONTEREY AVEHAMPSHIRE AVE33RD STOREGON AVESUN S ET BLVDCP RRPA R K C E N TER BLVDUTICA AVE35TH ST 18TH ST AQUI L A A V E WEBSTER AVEUTICA AVE32ND ST XENWOOD AVEYOSEMITE AVE31ST STBRUNSWICK AVEIDAHO AVEQUEBEC AVECP RR CP RR CP RRKENTUCKY AVEGEORGIA AVE29TH ST 3 7 T H S T 27TH ST 2 2N D S T QUENTIN AVEWAYZATA BLVD JOPPA AVE37TH ST 36TH ST TEXAS AVE34TH STFLAG A VE JERSEY AVEALABAMA AVE2 3 R D S TQUENT I N AVEFLA G AVEFORD RDLAKE ST34TH ST OXFORD ST OTTAWA AVEWO O D D A L E A V E 33RD ST 28TH ST 16TH ST 36TH ST HUNTINGTON AVE35TH ST JOPPA AVE26TH ST 27TH ST ALABA MA AVEEDGEWOOD AVE28TH ST CEDAR L A K E R D 31ST ST 25TH ST 3 9 T H S T 26TH ST 16TH S T 1ST ST2ND STPARK PLACE BLVDZARTHAN AVEZARTHAN AVETOLEDO AVE 32ND ST 42ND ST 42ND STAQUILA LNGLENHURST AVEBROOK AVEXENWOOD AVEEDGEB R O O K D R FOREST RD NEVADA AVE40TH L N ELIOT VI E W R D 43 1/2 ST MACKEY AVE40TH S T DAKOTA AVEDAKOTA AVESALEM AVELYNN AVELYNN AVE18TH ST MO N T E R E Y D R V A L L A C H E R A V EWESTWOOD HILLS D R WESTWOODHILLSDR30 1/2 ST 34 1/2 ST 14TH ST BOONE AVEBOONE AVE BOONEAVEWEST M ORELAND LNUTAH DRQUE B E C A V E Q UEBEC AVERALEIGH AVERALEIGH AVEX YLON AVEXYLON AVEXYLON AVEXYLON AVEGAMBLE DR 22ND LN B R O W N L O W A V E 35 TH STJORDAN AVEDART AVEUTAH AVEUTAH AVEUTAH AVESUMTER AVEBURD PL STAN LEN RD CA V E L L AVECAVELL AVECAVELL AVEPARKLANDS RDCOLORADO AVECOLORADO AVECEDAR LAKE AVEKILMER AVEKILMER AVEPARK COM M O N S D R 32 1/2 ST CEDARWOOD RD C ED ARWO O D R D MEADOWBROOK RDPARKER RD BLACKSTONE AVEBLACKSTONE AVEBLACKSTONE AVE13TH LN 13TH LN TAFT AVEWYOMING AVEWYOMING AVEEDGEWOOD AVEEDGEWOOD AVE13 1/2 ST M O NIT O R S T FORD LN RANDAL L A V E INDEPENDENCE A VEINDEPENDENCE AVEINDEPEND ENCE AVEINDEPENDENCE AVEPA RKWOODS R D MONTEREY AVEHAMPSHIRE AVEHAMPSHIRE AVE3 3 R D S T 33RD ST 33RD ST NATCHEZ AVENATCHEZ AVENATCHEZ AVEW O L F E PKW Y24TH ST W OREGON AVEOREGON AVEOREGON AVEREPUBLIC AVEVIRGINIA A V E VIRGINIA AVEVIRGINIA AV E VIRGINIA AVEPRINCETON AVEPRINCETON AVEWESTSIDE DR DECATUR LNYUKON AVEY U KON AVEGETTYSBURGAVEGETTYSBURG AVECAVELL LN H ILLSBORO AVEH I L LSBORO AVEHILLSBORO AVEHILL SBORO AVEPARKDALE D RLANCASTERAVE PHILLIPS PKWYGLENHURST RDC E D AR LAKE RDHILL LN DECATURAVEDECATUR AVEMEADOWBRO O K B L VDMEADO WBROOK B L V D GLEN PL HIG HWOOD RD MINNEHAHA C I REXCELSIORWAYWOODLAND DRBROOKVIEWDR F O R E S T LN LOUISIANA CTLNFAIRWAYLN ENSIGNAVETE X A TONKA AVEWILLOW LNWILLOWLNPRKR24THLN WESTWOOD HILLS CRV AQUILA CIRBOONECT WESTRIDGE LNMINNEHAHA CT TEXAS CIR OAK LEAF CT FORD CIR OTTAWA AVE28TH STAQUILA AVE 31ST ST YOSEMI TE AVEAQUILA AVEFLAG AVE31ST ST C E D AR LA KE RD 24TH S T 31ST ST 22NDST COLORADO AVE25 1/2 ST ZARTHAN AVE16TH ST ALABAMA AVE14T H S T FLAG AVE16TH ST 1 6 TH ST 26TH ST SALEM AVEQUEBEC AVEPENNSYL VANIA AVEZINR AN AVEGLENHURST AVETOLEDO AVE18TH ST 2 3 R D ST 31ST ST SALEM AVELYNN AVEPENNSYLVANIAAVECOLORADO AVE2 3RD ST 24TH ST HUNTINGTON AVE18TH ST 27TH STDAKOTA AVE25TH ST VERNON AVE41ST ST 29TH STMARYLAND AVE28TH ST 25TH ST 1 8 T H S T 26TH ST ID A H ONEVADA AVE24THST 23RD ST RALE IGH AVE 37TH ST 22ND ST 31ST ST 18TH KIPLING AVEPENNSYLVANIA AVESUMTER AVE23RD ST FRA N K L I N A V E WEBSTER AVEWEBSTERAVEFLORIDA AVE28TH ST OTTAWA AVEOTTAWA AVE14TH ST RHODE ISLAND AVE16TH ST 22 ND ST BRUNSWICK AVE16TH ST OXFORD ST YOSEMITE AVEJOPPA AVEDAKOTAAVE39TH ST INGLEWOOD AVEFRANKLIN AVE 41ST ST 29TH STWEST END BLVDDUKE DR16TH ST UTICA AVEExhibit B1 Trail CIP 6-20-2012tw . Legend Future Bridges Future Trails 2013 2014 2015 2020 Existing Trails By Year City Council Meeting of June 17, 2013 (Item No. 6a) Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan Page 22 34TH ST LAKE S T 27TH ST WALKE R ST ALABAMA AVETEXAS AVE44 TH STFLORIDA AVEOXFOR D S T GEORGIA AVEYOSEMITE AVE41ST STIDAHO AVERH ODE ISL AND AVEJERSEY AVEWOODDALE AVE37TH ST LOUISIANA AVEBNSF RR EXCELSI O R B L V D LI B R A R Y L N 3 5 T H S T 38TH STKENTUCKY AVE39TH ST CEDAR LAKE R D VERNON AVEKIPLING AVEWAYZATA B L V D 2 8 T H S T F O R D R D INGLEWOOD AVESHELARD PKWY 25 1/2 ST GORHAM AVEPARK GL E N R D BRUNSWICK AVEBELT LINE BLVDMINN ETON KA BLVD EXCELSIOR BL V D 31ST ST BROWNDALE AVE16TH ST HUNTINGTON AVEZARTHAN AVEC LUB RD 36TH S T 23 R D S T 26TH ST 3 6 1/2 STMARYLAND AVEMOR NINGSIDE RDZINRAN AVETOLEDO AVEMELROSE AVE32ND ST UTICA AVENORTH S T 42ND ST DOUGLAS AVE GLENHURST AVE24TH ST HAMILT ON ST XENWOOD AVEWEBSTER AVENEVADA AVEF R A N K LIN AV E POWELL RD VIRGINIA CIR 22ND ST 29TH ST 40TH STDAKOTA AVESALEM AVELYNN AVE25TH S T BASSWOO D RD18TH STOTTAWA AVE14TH ST FRANCE AVECAMBRIDGE STQUEBEC AVERALEIGH AVEUTAH AVESUMTER AVEAQUILA AVECOLORADO AVEPENNSYLVA NIA AVEEDGEWOOD AVERIDGE DR MONTEREY AVEHAMPSHIRE AVE33RD STOREGON AVESUNS ET BLVDCP RRPAR K C E N TER BLVDUTICA AVE35TH ST 18TH ST AQUI L A A VE WEBSTER AVEUTICA AVE32ND ST XENWOOD AVEYOSEMITE AVE31ST STBRUNSWICK AVEIDAHO AVEQUEBEC AVECP RR C P RRCP RRKENTUCKY AVEGEORGIA AVE29TH ST 3 7 TH S T 27TH ST 2 2N D S T QUENTIN AVEWAYZATA BLVD JOPPA AVE37TH ST 36TH ST TEXAS AVE34TH STFLAG A VE JERSEY AVEALABAMA AVE2 3 R D S TQUENT I N AVEFLAG AVEFORD RDLAKE ST34TH ST OXFORD ST OTTAWA AVEWO O D D A L E A V E 33RD ST 28TH ST 16TH ST 36TH ST HUNTINGTON AVE35TH ST JOPPA AVE26TH ST 27TH ST ALABA MA AVEEDGEWOOD AVE28TH ST CEDAR L A K E R D 31ST ST 25TH ST 3 9 T H S T 26TH ST 16TH S T 1ST ST2ND STPARK PLACE BLVDZARTHAN AVEZARTHAN AVETOLEDO AVE 32ND ST 42ND ST 42ND STAQUILA LNGLENHURST AVEBROOK AVEXENWOOD AVEEDGEB R O O K D R FOREST RD NEVADA AVE40TH LN ELIOT VI E W R D 43 1/2 ST MACKEY AVE40TH S T DAKOTA AVEDAKOTA AVESALEM AVELYNN AVELYNN AVE18TH ST MO N T E R E Y D R V A L L A C H E R A V EWESTWOOD HILLS D R WESTWOODHILLSDR30 1/2 ST 34 1/2 ST 14TH ST BOONE AVEBOONE AVE BOONEAVEWEST M ORELAND LNUTAH DRQUE B E C A V E Q UEBEC AVERALEIGH AVERALEIGH AVEX YLON AVEXYLON AVEXYLON AVEXYLON AVEGAMBLE DR 22ND LN B R O W N L O W A V E 35 TH STJORDAN AVEDART AVEUTAH AVEUTAH AVEUTAH AVESUMTER AVEBURD PL STANLE N RD CA V E L L AVECAVELL AVECAVELL AVEPARKLANDS RDCOLORADO AVECOLORADO AVECEDAR LAKE AVEKILMER AVEKILMER AVEPARK COM M O N S D R 32 1/2 ST CEDARWOOD RD C ED ARWO O D R D MEADOWBROOK RDPARKER RD BLACKSTONE AVEBLACKSTONE AVEBLACKSTONE AVE13TH LN 13TH LN TAFT AVEWYOMING AVEWYOMING AVEEDGEWOOD AVEEDGEWOOD AVE13 1/2 ST M O NIT O R S T FORD LN RANDALL A V E INDEPENDENCE A VEINDEPENDENCE AVEINDEPEND ENCE AVEINDEPENDENCE AVEPA RKWOODS R D MONTEREY AVEHAMPSHIRE AVEHAMPSHIRE AVE33 R D S T 33RD ST 33RD ST NATCHEZ AVENATCHEZ AVENATCHEZ AVEW O L F E PKW Y24TH ST W OREGON AVEOREGON AVEOREGON AVEREPUBLIC AVEVIRGINIA A V E VIRGINIA AVEVIRGINIA AV E VIRGINIA AVEPRINCETON AVEPRINCETON AVEWESTSIDE DR DECATUR LNYUKON AVEY U KON AVEGETTYSBURGAVEGETTYSBURG AVECAVELL LN H ILLSBORO AVEH I L LSBORO AVEHILLSBORO AVEHILL SBORO AVEPARKDALE DRLANCASTERAVE PHILLIPS PKWYGLENHURST RDC E D AR LAKE RDHILL LN DECATURAVEDECATUR AVEMEADOWBROO K B L VDMEADO WBROOK B L V D GLEN PL HIGHWOOD RD MINNEHAHA C I R NEXCELSIORWAYWOODLAND DRBROOKVIEWDR F O R E S T L N LOUISIANA CTLNFAIRWAYLN ENSIGNAVETE X A TONKA AVEWILLOW LNWILLOWLNPRKR24THLN WESTWOOD HILLS CRV AQUILA CIRBOONECT WESTRIDGE LNMINNEHAHACT TEXAS CIR OAK LEAF CT FORD CIR OTTAWA AVE28TH STAQUILA AVE 31ST ST YOSEMI TE AVEAQUILA AVEFLAG AVE31ST ST CED AR LAKE RD 24TH S T 31ST ST 22NDST COLORADO AVEBARRY ST ZARTHAN AVE16TH ST ALABAMA AVE14TH ST FLAG AVE16TH ST 1 6 TH ST 26TH ST SALEM AVEQUEBEC AVEPENNSYL VANIA AVEZINR AN AVEGLENHURST AVETOLEDO AVE18TH ST 2 3 R D ST 31ST ST SALEM AVELYNN AVEPENNSYLVANIAAVECOLORADO AVE2 3RD ST 24TH ST HUNTINGTON AVE18TH ST 27TH STDAKOTA AVE25TH ST VERNON AVE41ST ST 29TH STMARYLAND AVE28TH ST 25TH ST 18 T H S T 26TH ST ID A H ONEVADA AVE24THST 23RD ST RALE IGH AVE 37TH ST 22ND ST 31ST ST 18TH KIPLING AVEPENNSYLVANIA AVESUMTER AVE23RD ST FRA NK L I N A V E WEBSTER AVEWEBSTERAVEFLORIDA AVE28TH ST OTTAWA AVEOTTAWA AVE14TH ST RHODE ISLAND AVE16TH ST 22ND ST BRUNSWICK AVE16TH ST DIVISION ST YOSEMITE AVEJOPPA AVEDAKOTAAVE39TH ST INGLEWOOD AVEFRANKLIN AVE 41ST ST 29TH STWEST END BLVDDUKE DR16TH ST UTICA AVECOBBLECREST CTCOOLIDGE AVEBROWNDALE AVELOUISIANA CIRLOUISIANA AVECAMBRIDGE STGETTYSBURG AVE3 5 T H S T MINNEHAHA CIR N FLAG AVE WAYZATA BLVD WAYZATA BLVD Exhibit C Proposed Future Bikeway System . 5-7-2013tw Legend Future Bikeways Existing Bikeways Continuation in adjacent City City Council Meeting of June 17, 2013 (Item No. 6a) Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan Page 23 34TH ST LAKE S T 27TH ST WALKE R ST ALABAMA AVETEXAS AVE44 TH STFLORIDA AVEOXFOR D S T GEORGIA AVEYOSEMITE AVE41ST STIDAHO AVERH ODE ISL AND AVEJERSEY AVEWOODDALE AVE37TH ST LOUISIANA AVEBNSF RR EXCELSI O R B L V D LI B R A R Y L N 3 5 T H S T 38TH STKENTUCKY AVE39TH ST CEDAR LAKE R D VERNON AVEKIPLING AVEWAYZATA B L V D 2 8 T H S T F O R D R D INGLEWOOD AVESHELARD PKWY 25 1/2 ST GORHAM AVEPARK G L E N R D BRUNSWICK AVEBELT LINE BLVDMINN ETON KA BLVD EXCELSIOR BL V D 31ST ST BROWNDALE AVE16TH ST HUNTINGTON AVEZARTHAN AVEC LUB RD 3 6TH S T 23 R D S T 26TH ST 3 6 1/2 STMARYLAND AVEMOR NING SIDE RDZINRAN AVETOLEDO AVEMELROSE AVE32ND ST UTICA AVENORTH S T 42ND ST DOUGLAS AVE GLENHURST AVE24TH ST HAMILT ON ST XENWOOD AVEWEBSTER AVENEVADA AVEF R A N K LIN AV E P OWELL RD VIRGINIA CIR 22ND ST 29TH ST 40TH STDAKOTA AVESALEM AVELYNN AVE25TH S T BASSWOOD RD18TH STOTTAWA AVE14TH ST FRANCE AVECAMBRIDGE STQUEBEC AVERALEIGH AVEUTAH AVESUMTER AVEAQUILA AVECOLORADO AVEPENNSYLVA NIA AVEEDGEWOOD AVERIDGE DR MONTEREY AVEHAMPSHIRE AVE33RD STOREGON AVESUNS ET BLVDCP RRPAR K C E N TER BLVDUTICA AVE35TH ST 18TH ST AQUI L A A V E WEBSTER AVEUTICA AVE32ND ST XENWOOD AVEYOSEMITE AVE31ST STBRUNSWICK AVEIDAHO AVEQUEBEC AVECP RR CP RR CP RRKENTUCKY AVEGEORGIA AVE29TH ST 3 7 T H S T 27TH ST 2 2N D S T QUENTIN AVEWAYZATA BLVD JOPPA AVE37TH ST 36TH ST TEXAS AVE34TH STFLAG A VE JERSEY AVEALABAMA AVE2 3 R D S TQUENT I N AVEFLA G AVEFORD RDLAKE ST34TH ST OXFORD ST OTTAWA AVEWO O D D A L E A V E 33RD ST 28TH ST 16TH ST 36TH ST HUNTINGTON AVE35TH ST JOPPA AVE26TH ST 27TH ST ALABA MA AVEEDGEWOOD AVE28TH ST CEDAR L A K E R D 31ST ST 25TH ST 3 9 T H S T 26TH ST 16TH S T 1ST ST2ND STPARK PLACE BLVDZARTHAN AVEZARTHAN AVETOLEDO AVE 32ND ST 42ND ST 42ND STAQUILA LNGLENHURST AVEBROOK AVEXENWOOD AVEEDGEB R O O K D R FOREST RD NEVADA AVE40TH L N ELIOT VI E W R D 43 1/2 ST MACKEY AVE40TH S T DAKOTA AVEDAKOTA AVESALEM AVELYNN AVELYNN AVE18TH ST MO N T E R E Y D R V A L L A C H E R A V EWESTWOOD HILLS D R WESTWOODHILLSDR30 1/2 ST 34 1/2 ST 14TH ST BOONE AVEBOONE AVE BOONEAVEWEST M ORELAND LNUTAH DRQUE B E C A V E Q UEBEC AVERALEIGH AVERALEIGH AVEX YLON AVEXYLON AVEXYLON AVEXYLON AVEGAMBLE DR 22ND LN B R O W N L O W A V E 35 TH STJORDAN AVEDART AVEUTAH AVEUTAH AVEUTAH AVESUMTER AVEBURD PL STANLE N RD CA V E L L AVECAVELL AVECAVELL AVEPARKLANDS RDCOLORADO AVECOLORADO AVECEDAR LAKE AVEKILMER AVEKILMER AVEPARK COM M O N S D R 32 1/2 ST CEDARWOOD RD C ED ARWO O D R D MEADOWBROOK RDPARKER RD BLACKSTONE AVEBLACKSTONE AVEBLACKSTONE AVE13TH LN 13TH LN TAFT AVEWYOMING AVEWYOMING AVEEDGEWOOD AVEEDGEWOOD AVE13 1/2 ST M O NIT O R S T FORD LN RANDALL A V E INDEPENDENCE A VEINDEPENDENCE AVEINDEPEND ENCE AVEINDEPENDENCE AVEPA RKWOODS R D MONTEREY AVEHAMPSHIRE AVEHAMPSHIRE AVE3 3 R D S T 33RD ST 33RD ST NATCHEZ AVENATCHEZ AVENATCHEZ AVEW O L F E PKW Y24TH ST W OREGON AVEOREGON AVEOREGON AVEREPUBLIC AVEVIRGINIA A V E VIRGINIA AVEVIRGINIA AV E VIRGINIA AVEPRINCETON AVEPRINCETON AVEWESTSIDE DR DECATUR LNYUKON AVEY U KON AVEGETTYSBURGAVEGETTYSBURG AVECAVELL LN H ILLSBORO AVEH I L LSBORO AVEHILLSBORO AVEHILL SBORO AVEPARKDALE D RLANCASTERAVE PHILLIPS PKWYGLENHURST RDC E D AR LAKE RDHILL LN DECATURAVEDECATUR AVEMEADOWBROO K B L VDMEADO WBROOK B L V D GLEN PL HIG HWOOD RD MINNEHAHA C I REXCELSIORWAYWOODLAND DRBROOKVIEWDR F O R E S T L N LOUISIANA CTLNFAIRWAYLN ENSIGNAVETE X A TONKA AVEWILLOW LNWILLOWLNPRKR24THLN WESTWOOD HILLS CRV AQUILA CIRBOONECT WESTRIDGE LNMINNEHAHA CT TEXAS CIR OAK LEAF CT FORD CIR OTTAWA AVE28TH STAQUILA AVE 31ST ST YOSEMI TE AVEAQUILA AVEFLAG AVE31ST ST C ED AR LAK E RD 24TH S T 31ST ST 22NDST COLORADO AVE25 1/2 ST ZARTHAN AVE16TH ST ALABAMA AVE14TH ST FLAG AVE16TH ST 1 6 T H ST 26TH ST SALEM AVEQUEBEC AVEPENNSYL VANIA AVEZINR AN AVEGLENHURST AVETOLEDO AVE18TH ST 2 3 R D ST 31ST ST SALEM AVELYNN AVEPENNSYLVANIAAVECOLORADO AVE23RD ST 24TH ST HUNTINGTON AVE18TH ST 27TH STDAKOTA AVE25TH ST VERNON AVE41ST ST 29TH STMARYLAND AVE28TH ST 25TH ST 1 8 T H S T 26TH ST ID A H ONEVADA AVE24THST 23RD ST RALE IGH AVE 37TH ST 22ND ST 31ST ST 18TH KIPLING AVEPENNSYLVANIA AVESUMTER AVE23RD ST FRA NK L IN A V E WEBSTER AVEWEBSTERAVEFLORIDA AVE28TH ST OTTAWA AVEOTTAWA AVE14TH ST RHODE ISLAND AVE16TH ST 22 ND ST BRUNSWICK AVE16TH ST OXFORD ST YOSEMITE AVEJOPPA AVEDAKOTAAVE39TH ST INGLEWOOD AVEFRANKLIN AVE 41ST ST 29TH STWEST END BLVDDUKE DR16TH ST UTICA AVEExhibit C2 Bikeway CIP . 6-26-2012tw Legend 2013 2014 2015 2016 2017 2018 2020 2021 2022 Existing Bikeways Continuation in adjacent City By Year City Council Meeting of June 17, 2013 (Item No. 6a) Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan Page 24 34TH ST LAKE S T 27TH ST WALKE R ST ALABAMA AVETEXAS AVE44 TH S TFLORIDA AVEOXFOR D S T GEORGIA AVEYOSEMITE AVE41ST STIDAHO AVERH ODE ISL AND AVEJERSEY AVEWOODDALE AVE37TH ST LOUISIANA AVEBNSF RR EXCEL SI O R B L V D LI B R A R Y L N 3 5 T H S T 38TH STKENTUCKY AVE39TH ST CEDAR LAKE R D VERNON AVEKIPLING AVEWAYZA T A B L V D 2 8 T H S T F O R D R D INGLEWOOD AVES HELARD PKWY 25 1/2 ST GORHAM AVEPARK G L E N R D BRUNSWICK AVEBELT LINE BLVDMINN ETON KA BLVD EXCELSIOR B L V D 31ST ST BROWNDALE AVE16TH ST HUNTINGTON AVEZARTHAN AVEC LUB RD 36T H S T 2 3 R D S T 26TH ST 3 6 1/2 STMARYLAND AVEMOR NING S I D E R DZINRAN AVETOLEDO AVEMELROSE AVE32ND ST UTICA AVENORTH S T 42ND ST DOUGLAS AVE GLENHURST AVE24TH ST HAMILT ON ST XENWOOD AVEWEBSTER AVENEVADA AVEF R A N KLIN AV E P OWELL RD VIRGINIA CIR 22ND ST 2 9 TH S T 40TH STDAKOTA AVESALEM AVELYNN AVE25TH S T BASSW O O D RD18TH STOTTAWA AVE14TH ST FRANCE AVECAMBRIDGE STQUEBEC AVERALEIGH AVEUTAH AVESUMTER AVEAQUILA AVECOLORADO AVEPENNSYLVA NIA AVEEDGEWOOD AVERIDGE DR MONTEREY AVEHAMPSHIRE AVE33RD STOREGON AVES U N S ET BLVDCP RRPA R K C E N TER BLVDUTICA AVE35TH ST 18TH ST AQUI LA A V E WEBSTER AVEUTICA AVE32ND ST XENWOOD AVEYOSEMITE AVE31ST STBRUNSWICK AVEIDAHO AVEQUEBEC AVECP RR CP RRCP RRKENTUCKY AVEGEORGIA AVE29TH ST 3 7 T H S T 27TH ST 2 2N D S T QUENTIN AVEWAYZATA BLVD JOPPA AVE37TH ST 36TH ST TEXAS AVE34TH STFLAG A V E JERSEY AVEALABAMA AVE2 3 R D S TQUENT I N AVEFLA G AVEFORD RDLAKE ST34TH ST OXFORD ST OTTAWA AVEWO O D DA L E A V E 33RD ST 28TH ST 16TH ST 36TH ST HUNTINGTON AVE35TH ST JOPPA AVE26TH ST 27TH ST ALABA MA AVEEDGEWOOD AVE28TH ST CEDAR L A K E R D 31ST ST 25TH ST 3 9 T H S T 26TH ST 16T H S T 1ST ST2ND STPARK PLACE BLVDZARTHAN AVEZARTHAN AVETOLEDO AVE 32ND ST 42ND ST 42ND STAQUILA LNGLENHURST AVEBROOK AVEXENWOOD AVEEDGEB R O O K D R FOREST RD NEVADA AVE40TH L N ELIOT VI E W R D 43 1/2 ST MACKEY AVE40TH S T DAKOTA AVEDAKOTA AVESALEM AVELYNN AVELYNN AVE18TH ST MO N T E R E Y D R V A L L A C H E R A V EWESTWOOD HILLS D R WESTWOODHILLSDR30 1/2 ST 34 1/2 ST 14TH ST BOONE AVEBOONE AVE BOONEAVEWE S T M ORELAND LNUTAH DRQUE B EC AVEQ UEBEC AVERALEIGH AVERALEIGH AVEX YLON AVEXYLON AVEXYLON AVEXYLON AVEGAMBLE DR 22ND LN B R O W N L O W A V E 35 TH STJORDAN AVEDART AVEUTAH AVEUTAH AVEUTAH AVESUMTER AVEBURD PL S T ANLEN RD CA V E L L AVECAVELL AVECAVELL AVEPARKLANDS RDCOLORADO AVECOLORADO AVECEDAR LAKE AVEKILMER AVEKILMER AVEPA RK C O M M O N S D R 32 1/2 ST CEDARWOOD RD C ED ARWO O D R D MEADOWBROOK RDPARKE R RD BLACKSTONE AVEBLACKSTONE AVEBLACKSTONE AVE13TH LN 13TH LN TAFT AVEWYOMING AVEWYOMING AVEEDGEWOOD AVEEDGEWOOD AVE13 1/2 ST M O NIT O R S T FORD LN RANDAL L A V E INDEPENDENCE AVEINDEPENDENCE AVEINDEPEND ENCE AVEINDEPENDENCE AVEPA RKWOODS R D MONTEREY AVEHAMPSHIRE AVEHAMPSHIRE AVE3 3 R D S T 33RD ST 33RD ST NATCHEZ AVENATCHEZ AVENATCHEZ AVEW O L F E PKW Y24TH ST W OREGON AVEOREGON AVEOREGON AVEREPUBLIC AVEVIRGINIA AVEVIRGINIA AVEVIRGINIA AV E VIRGINIA AVEPRINCETON AVEPRINCETON AVEWESTSIDE DR DECATUR LNYUKON AVEY U KON AVEGETTYSBURGAVEGETTYSBURG AVECAVELL LN H ILLSBORO AVEHI L LSBORO AVEHILLSBORO AVEHILL SBORO AVEPARKDALE D RLANCASTERAVE PHILLIPS PKWYGLENHURST RDCE D A R LAKE RDHILL LN DECATURAVEDECATUR AVEM EADOWBRO O K BLVDMEADO WBROOK BL V D GLEN PL HIG H WOOD RD MINNEHAHA C I R NEXCELSIORWAYWOODLAND DRBROOKVIEWDR F O R E S T 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AVE 41ST ST 29TH STWEST END BLVDDUKE DR16TH STUTICA AVECOBBLECREST CTCOOLIDGE AVEBROWNDALE AVELOUISIANA CIRLOUISIANA AVECAMBRIDGE STGETTYSBURG AVE3 5 T H S T MINNEHAHA CIR N FLAG AVE WAYZATA BLVD WAYZATA BLVD Exhibit D Proposed Future "Pedestrian" System 5-7-2013tw Legend Future Bridges Trails Sidewalks .(Sidewalks and Trails) City Council Meeting of June 17, 2013 (Item No. 6a) Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan Page 25 34TH ST LAKE S T 27TH ST WALKE R ST ALABAMA AVETEXAS AVE44 TH S TFLORIDA AVEOXFOR D S T GEORGIA AVEYOSEMITE AVE41ST STIDAHO AVERH ODE ISL AND AVEJERSEY AVEWOODDALE AVE37TH ST LOUISIANA AVEBNSF RR EXCEL SI O R B L V D LI B R A R Y L N 3 5 T H S T 38TH STKENTUCKY AVE39TH ST CEDAR LAKE R D VERNON AVEKIPLING AVEWAYZAT A B L V D 2 8 T H S T F O R D R D INGLEWOOD AVES HELARD PK WY 25 1/2 ST GORHAM AVEPARK G L E N R D BRUNSWICK AVEBELT LINE BLVDMINN ETON KA BLVD EXCELSIOR B L V D 31ST ST BROWNDALE AVE16TH ST HUNTINGTON AVEZARTHAN AVEC LUB RD 36TH S T 2 3 R D S T 26TH ST 3 6 1/2 STMARYLAND AVEMOR NING S I D E R DZINRAN AVETOLEDO AVEMELROSE AVE32ND ST UTICA AVENORTH S T 42ND ST DOUGLAS AVE GLENHURST AVE24TH ST HAMILT ON ST XENWOOD AVEWEBSTER AVENEVADA AVEF R A N KLIN AV E P OWELL RD VIRGINIA CIR 22ND ST 2 9 T H S T 40TH STDAKOTA AVESALEM AVELYNN AVE25TH S T BASSW O O D RD18TH STOTTAWA AVE14TH ST FRANCE AVECAMBRIDGE STQUEBEC AVERALEIGH AVEUTAH AVESUMTER AVEAQUILA AVECOLORADO AVEPENNSYLVA NIA AVEEDGEWOOD AVERIDGE DR MONTEREY AVEHAMPSHIRE AVE33RD STOREGON AVES U N S ET BL VDCP RRPA R K C E N TER BLVDUTICA AVE35TH ST 18TH ST AQUI LA A V E WEBSTER AVEUTICA AVE32ND ST XENWOOD AVEYOSEMITE AVE31ST STBRUNSWICK AVEIDAHO AVEQUEBEC AVECP RR CP RRCP RRKENTUCKY AVEGEORGIA AVE29TH ST 3 7 T H S T 27TH ST 2 2N D S T QUENTIN AVEWAYZATA BLVD JOPPA AVE37TH ST 36TH ST TEXAS AVE34TH STFLAG A V E JERSEY AVEALABAMA AVE2 3 R D S TQUENT I N AVEFLA G AVEFORD RDLAKE ST34TH ST OXFORD ST OTTAWA AVEWO O D DA L E A V E 33RD ST 28TH ST 16TH ST 36TH ST HUNTINGTON AVE35TH ST JOPPA AVE26TH ST 27TH ST ALABA MA AVEEDGEWOOD AVE28TH ST CEDAR L A K E R D 31ST ST 25TH ST 3 9 T H S T 26TH ST 16T H S T 1ST ST2ND STPARK PLACE BLVDZARTHAN AVEZARTHAN AVETOLEDO AVE 32ND ST 42ND ST 42ND STAQUILA LNGLENHURST AVEBROOK AVEXENWOOD AVEEDGEB R O O K D R FOREST RD NEVADA AVE40TH L N ELIOT VI E W R D 43 1/2 ST MACKEY AVE40TH S T DAKOTA AVEDAKOTA AVESALEM AVELYNN AVELYNN AVE18TH ST MO N T E R E Y D R V A L L A C H E R A V EWESTWOOD HILLS D R WESTWOODHILLSDR30 1/2 ST 34 1/2 ST 14TH ST BOONE AVEBOONE AVE BOONEAVEWE S T M ORELAND LNUTAH DRQUE B EC AVEQ UEBEC AVERALEIGH AVERALEIGH AVEX YLON AVEXYLON AVEXYLON AVEXYLON AVEGAMBLE DR 22ND LN B R O W N L O W A V E 35 TH STJORDAN AVEDART AVEUTAH AVEUTAH AVEUTAH AVESUMTER AVEBURD PL S T ANLEN R D CA V E L L AVECAVELL AVECAVELL AVEPARKLANDS RDCOLORADO AVECOLORADO AVECEDAR LAKE AVEKILMER AVEKILMER AVEPA RK C O M M O N S D R 32 1/2 ST CEDARWOOD RD C ED A RWO O D R D MEADOWBROOK RDPARKE R RD BLACKSTONE AVEBLACKSTONE AVEBLACKSTONE AVE13TH LN 13TH LN TAFT AVEWYOMING AVEWYOMING AVEEDGEWOOD AVEEDGEWOOD AVE13 1/2 ST M O NIT O R S T FORD LN RANDAL L A V E INDEPENDENCE AVEINDEPENDENCE AVEINDEPEND ENCE AVEINDEPENDENCE AVEPA RKWOODS R D MONTEREY AVEHAMPSHIRE AVEHAMPSHIRE AVE3 3 R D S T 33RD ST 33RD ST NATCHEZ AVENATCHEZ AVENATCHEZ AVEW O L F E PKW Y24TH ST W OREGON AVEOREGON AVEOREGON AVEREPUBLIC AVEVIRGINIA AVEVIRGINIA AVEVIRGINIA AV E VIRGINIA AVEPRINCETON AVEPRINCETON AVEWESTSIDE DR DECATUR LNYUKON AVEY U KON AVEGETTYSBURGAVEGETTYSBURG AVECAVELL LN H ILLSBORO AVEHI L LSBORO AVEHILLSBORO AVEHILL SBORO AVEPARKDALE D RLANCASTERAVE PHILLIPS PKWYGLENHURST RDCE D A R LAKE RDHILL LN DECATURAVEDECATUR AVEM EADOWBRO O K B LVDMEADO WBROOK BL V D GLEN PL HI G H WOOD RD MINNEHAHA C I R NEXCELSIORWAYWOODLAND DRBROOKVIEWDR F O R E S T L N LOUISIANA CTLNFAIRWAYLN ENSIGNAVETE X A TONKA AVEWILLOW LNWILLOWLNPRKR24TH LN WESTWOOD HILLS CRV AQUILA CIRBOONECT WESTRIDGE LNMINNEHAHA CT TEXAS CIR OAK LEAF CT FORD CIR OTTAWA AVE28TH S TAQUILA A VE 31ST ST YOSEMI TE AVEAQUILA AVEFLAG AVE31ST ST C E D A R LAKE RD 24TH ST 31ST ST 22ND ST COLORADO AVEBARRY ST ZARTHAN AVE16TH ST ALABAMA AVE14T H S T FLAG AVE16TH ST 1 6 T H ST 26TH ST SALEM AVEQUEBEC AVEPENNSYL VANIA AVEZINR AN AVEGLENHURST AVETOLEDO AVE18TH ST 2 3 R D ST 31ST ST SALEM AVELYNN AVEPENNSYLVANIAAVECOLORADO AVE23RD ST 24TH ST HUNTINGTON AVE18TH ST 27TH STDAKOTA AVE25TH ST VERNON AVE41ST ST 29TH STMARYLAND AVE28TH ST 25TH ST 1 8 T H S T 26TH ST ID A H ONEVADA AVE24TH ST 23RD ST RALEIGH AVE 37TH ST 22ND ST 31ST ST 18TH KIPLING AVEPENNSYLVANIA AVESUMTER AVE23RD ST FR A N K L IN A V E WEBSTER AVEWEBSTERAVEFLORIDA AVE28TH ST OTTAWA AVEOTTAWA AVE14TH ST RHODE ISLAND AVE16TH ST 2 2ND ST BRUNSWICK AVE16TH ST DIVISION ST YOSEMITE AVEJOPPA AVEDAKOTAAVE39TH ST INGLEWOOD AVEFRANKLIN AVE 41ST ST 29TH STWEST END BLVDDUKE DR16TH STUTICA AVECOBBLECREST CTCOOLIDGE AVEBROWNDALE AVELOUISIANA CIRLOUISIANA AVECAMBRIDGE STGETTYSBURG AVE3 5 T H S T MINNEHAHA CIR N FLAG AVE WAYZATA BLVD WAYZATA BLVD Exhibit E Proposed Future "Biking" System . 5-7-2013tw Legend Bikeways Trails Future Bridges Continuation in adjacent City (Trails and Bikeways) City Council Meeting of June 17, 2013 (Item No. 6a) Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan Page 26 August 1, 2012 Exhibit 1 Definition of Walks Sidewalks, Bikeways, and Trails Community Sidewalks - are intended to link activity nodes in the City and to provide logical routes through town; they are intended to benefit the larger community and are generally used more intensely by more pedestrians than neighborhood sidewalks. They generally create a network to major points of interest such as transit, schools, shopping areas, parks and other key community destinations in an attempt to make important connections within the City and to neighboring cities’ systems. Most of these walks are located along collector and arterial roadways carrying many thousands of vehicles per day. The planned system attempts to provide pedestrian facilities (sidewalks and/or trails) at roughly ¼-mile intervals across the community. Community walks link residents to: • Activity nodes (generally viewed as community or area destinations, e.g., the Library, schools, retail areas, major parks, etc. • Transit nodes • Regional trails Neighborhood Sidewalks – these walks generally occur in the established older neighborhoods within the City and are described as being more of localized interest and use. They provide accessibility for pedestrians within their immediate area to transit, schools, parks, commercial areas, and “Community” walks. They also serve as a safe place for smaller children to play near their home as well as to serve as informal places for neighbors to meet. Neighborhood walks link residents to: • Community walks or trails (e.g., Minnetonka Boulevard or W. 26th Street) • Their neighbors • Close or immediate destinations City Council Meeting of June 17, 2013 (Item No. 6a) Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan Page 27 August 1, 2012 Exhibit 2 Purpose and Goals Sidewalks, Bikeways, and Trails Purpose - "To develop a comprehensive, city-wide system of trails and sidewalks that provides local and regional connectivity, improves safety and accessibility, and enhances overall community livability." Goals and Objectives - The following goals and objectives were developed for this planning effort: • Develop an interconnected network of pedestrian and bicycle routes throughout the city and linked to transit systems, providing options to automobile dependence. § establish a citywide grid-system of sidewalks approximately every ¼-mile § establish a citywide grid-system of bicycle facilities approximately every ½-mile § close gaps in neighborhoods’ existing sidewalk networks • Anticipate increases in the use of mass transit, including the possibility of a much improved multi-modal system comprising buses, light rail, heavy commuter rail, local circulators, etc. • Establish safe crossings of highways, arterial roads and rail corridors using innovative traffic calming strategies, improved traffic control systems, grade separations, etc. • Develop safe links to schools, commercial hubs, employment centers, institutions and transit facilities. • Develop recreational pathways that link neighborhoods to parks and natural areas, providing opportunities to improve the health and well-being of community residents and workers. • Make connections to regional and recreational trails to link St. Louis Park to larger metropolitan open space systems and destinations. • Provide safe and easily accessible routes for residents and workers in the community, including children, seniors and the disabled. • Provide for walks along high traffic pedestrian and street use areas. • Create a cohesive, well-designed system that includes a coordinated approach for signs and orientation, standard designs for street crossings and additional "user-friendly" amenities such as rest areas, information kiosks and upgraded landscaping. • Incorporate strategies for funding, maintenance and snow removal into the overall plan. • Develop a Capital Improvement Plan based on priorities, needs and available resources. City Council Meeting of June 17, 2013 (Item No. 6a) Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan Page 28 August 1, 2012 Exhibit 3 Project (or element) Prioritization Sidewalks, Bikeways, and Trails General - In general the system plan provides sidewalks approximately every ¼-mile and bikeways every ½-mile in order to improve pedestrian and bicycle connectivity throughout the community. Both the system plan and the set of general criteria for prioritizing the pedestrian and bike improvements was generated through community input from a Citizen Advisory Committee, Community Meeting, 205 online survey responses, and meetings with Planning Commission, Parks and Recreation Advisory Commission, and City Council. In addition, general support for the goals has been vetted through the subsequent Plan-By-Neighborhood process, Community Survey, and Community Recreation Survey. Plan development and prioritization was tied directly to public health, safety and well-being. The system plan and goals were adopted in the Comprehensive Plan in 2009. Rating Factors or Criteria - The logic behind prioritization and plan implementation is based on the following objectives: • Focus on key destinations: segments that serve multiple community gathering centers in the community (schools, parks, transit stops, commercial nodes) rate higher. • Focus on Transportation: routes that provide north-south connections through the community, into adjacent communities, and to key transit stops rate higher. • Focus on Bicycling and Walking: the ultimate goal is to provide a quarter-mile “city” grid of sidewalks and half-mile grid of bike routes. Improvements that fill gaps in the city pedestrian and bicycle networks, improve safety at certain intersections, and provide crossings (bridges or tunnels) of major railroad and highway barriers rate higher. City Council Meeting of June 17, 2013 (Item No. 6a) Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan Page 29 June 17, 2013 Exhibit 4 Sidewalks, Bikeways, and Trails CIP Summary Information Construction Year Annual Construction Cost Sidewalk Costs Bikeway Costs Bike Lane Costs Trail Costs Bridge Costs 2013 $662,200 $298,000 $45,000 $103,200 $213,000 $0 2014 $301,000 $77,000 $44,000 $0 $80,000 $100,000 2015 $6,460,900 $58,000 $26,400 $103,000 $369,500 $5,900,000 2016 $209,000 $161,000 $13,000 $43,000 $0 $0 2017 $494,000 $347,000 $7,000 $140,000 $0 $0 2018 $2,145,000 $130,000 $15,000 $0 $0 $2,000,000 2019 $306,000 $306,000 $0 $0 $0 $0 2020 $247,000 $122,000 $22,000 $28,000 $78,000 $0 2021 $93,500 $73,500 $20,000 $0 $0 $0 2022 $467,000 $455,000 $12,000 $0 $0 $0 2023 $459,000 $459,000 $0 $0 $0 $0 Totals $11,844,600 $2,486,500 $204,400 $417,200 $740,500 $8,000,000 Element Community Sidewalks Neighborhood Sidewalks Bikeways Bike Lanes Trails Bridges Length (ft.) or # 43,075 12,477 112,580 49,256 16,572 5 Cost of Neighborhood Sidewalks $ 577,500 Cost of Community Sidewalks $1,909,000 Total Sidewalk Construction Costs $2,486,500 Notes: 1. Costs above do not account for inflation, engineering, contingencies, right-of-way acquisition and other unknown project costs. Public Works feels these factors will significantly add to the cost shown and project the total cost to build the improvements proposed in the $17 - $24 million dollar range. City Council Meeting of June 17, 2013 (Item No. 6a) Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan Page 30 June 17, 2013 Exhibit 6 Pros and Cons Sidewalks, Bikeways, and Trails Pros Cons 1. Increased pedestrian safety 1. Additional snow removal 2. Improved access to transit/commuting 2. Additional cost (capital & maintenance) 3. Increased recreational opportunities 3. Reduced yard size 4. Decreased need for autos/vehicles 4. Removal of trees 5. Provides links to Community facilities/amenities 5. Relocation of walls/fences 6. Provides links to neighboring Communities 6. Reduced aesthetics 7. Provides links to Regional Trail System 7. Shortened driveways/parking 8. Provides for traffic calming 8. Driveway/trail conflicts - decreased safety 9. Provides for public spaces 9. Retaining walls - decreased safety 10. Provides opportunities for Community building 10. Reduced on street parking 11. Improves access for the disabled/disadvantaged 11. Ad verse impact to area culture 12. Improved aesthetics 12. Loss of personal privacy 13. Reduced street widths/snow removal 14. Provides for more effective snow removal 15. Reduced negative environmental impacts 16. Provides for increased Community connections City Council Meeting of June 17, 2013 (Item No. 6a) Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan Page 31 August 1, 2012 Exhibit 7 Benefits, Costs, and Considerations Sidewalks, Bikeways, and Trails Sidewalk/Trails System Acceptability: Staff feels the following three factors must be balanced or satisfied with respect to the criteria listed below for a system(s) or a system(s) segment to generally be deemed acceptable: Need Value I Benefit Cost Sidewalk/Trails System Criteria: Staff generated the following list of possible criteria (in no particular order) to be considered in developing the city sidewalk, bikeway, and trail systems as well as the specific projects associated with those systems: Community Need Recreation Linkages/Connections Transit Access Livability Safety Standards/Guidelines Environmental Impacts Trees Surface Water Noise Air Quality Parking Impacts Right-of-Way Usage/Acquisition Traffic Impacts Personal Property Impacts Trees Fences Walls Yard Size Liability City Council Meeting of June 17, 2013 (Item No. 6a) Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan Page 32 August 1, 2012 Exhibit 8 Guiding Principles Sidewalks, Bikeways, and Trails Design & Construction: 1. Current Designs: • Sidewalk - 6' concrete with 7' grass boulevard • Trail - 10' bituminous with 7' grass boulevard 2. Design Options (when necessary): • Narrow grass boulevard up to nothing (eliminate) • Narrow sidewalks up to 5' in width • Narrow trails up to 8' in width 3. Minimize parking restrictions associated with Bikeway designations 4. Facilities to be ADA accessible. 5. Narrow existing streets to accepted standards • Restrict or eliminate parking (when necessary). 6. Curve sidewalks/trails to avoid tree removals. 7. Forester determines tree viability (remove or trim). 8. Leave trees, walks, fences, etc. wherever possible. 9. Relocate or bury utilities in lieu of moving walk or trail. 10. Avoid right of way acquisition whenever possible. 11. Improvements should not decrease public safety. 12. Retaining wall need and ownership to be determined per existing Council policy. 13. Design and construct facilities as adopted by Council unless Council directs otherwise. Maintenance: 1. Facilities to be maintained to Ordinance requirements or better. 2. All sidewalk and trail repairs are City responsibility and at City cost. 3. Community sidewalk and trail snow removal will be by the City at city cost. 4. Neighborhood sidewalk snow removal will be by residents at resident cost. City Council Meeting of June 17, 2013 (Item No. 6a) Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan Page 33 June 17, 2013 Exhibit 9 Resident Issues and Concerns Sidewalks, Bikeways, and Trails Resident expressed issues, concerns, and suggestions related to proposed Sidewalks, Bikeways, and Trails: 1. Sidewalk maintenance (snow removal) 2. Adverse property impacts: • reduced yard size • removal of trees • alterations to sprinkler systems, walls, and fences • reduced aesthetics • reduced property values 3. Cost - too costly, do not raise taxes 4. Closeness of walks or trails to homes/buildings 5. Driveways will become too short to park cars 6. Necessity - there is no need for walks or trails - walk in the street 7. Adverse impacts to the character or culture of a neighborhood 8. Put walks/trails at the curbline 9. Put walks on just one side of a street 10. Do "on street walks / trails" 11. Narrow up streets 12. Street parking restrictions in some areas 13. Some sidewalks should be removed from the proposal 14. Some sidewalks should be added to the Proposal 15. Locate walks/trails elsewhere - where more appropriate 16. Let neighborhoods decide what is best in their respective area 17. Do less, this is too much City Council Meeting of June 17, 2013 (Item No. 6a) Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan Page 34 Bike Lane Analysis June 17, 2013 Project Number Length (ft) Location (on or along) Begin End Const Yr Restrict Parking Controversial 20100005 5069 France Ave N City Limits Minnetonka Blvd 2013 Yes No Bike lane 4000 Texas Ave Wayzata Blvd Cedar Lake Road 2013 Yes Yes Bike Lane 1858 Monterey Dr 36th St Excelsior Blvd 2013 Currently Restricted No Bike Lane 6059 Texas Ave 28th St Hwy 7 2013 Yes Yes Bike Lane 3711 36th St Monterey Dr Alabama Ave 2015 Currently Restricted No Bike Lane 2886 Beltline Blvd CSAH 25 36th St 2015 Currently Restricted No Bike Lane 1226 Ottawa Ave CSAH 25 Minnetonka Blvd 2015 Yes Yes Bike Lane 4069 Shelard Parkway Betty Crocker Dr Wayzata Blvd 2015 Currently Restricted No Bike Lane 1252 Wayzata Blvd Ford Road 14th St 2015 Yes No Bike Lane 4159 Louisiana Ave Wayzata Blvd Cedar Lake Road 2017 Currently Restricted No Bike Lane 5032 Louisiana Ave Cedar Lake Road 32nd St 2017 Yes Yes Bike Lane 7130 Louisiana Ave 32nd St Excelsior Blvd 2017 Currently Restricted No Bike Lane 1687 Zarthan Ave Cedar Lake Road Wayzata Blvd 2020 Yes Yes Bike Lane 1420 Quentin Ave Douglas Ave Cedar Lake Road 2020 Yes No City Council Meeting of June 17, 2013 (Item No. 6a) Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan Page 35 City Council Meeting of June 17, 2013 (Item No. 6a) Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan Page 36 City Council Meeting of June 17, 2013 (Item No. 6a) Title: Public Hearing: Citywide Sidewalk, Trail, and Bikeway System Plan Page 37 Meeting: City Council Meeting Date: June 17, 2013 Action Agenda Item: 8a EXECUTIVE SUMMARY TITLE: Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) RECOMMENDED ACTION: Motion to Adopt Resolution Providing Sale of $4,165,000 General Obligation Refunding Bonds, series 2013A. POLICY CONSIDERATION: • Does the City Council desire to refund the 2007A Utility Revenue Bonds? • Does the City Council desire to refund the 2008A Utility Revenue Bonds? SUMMARY: On May 20, 2013 the City Council approved a resolution providing for the sale of $4,165,000 G.O. Refunding Bonds, Series 2013A. The Bonds provide for the refunding of the 2007A and 2008A Utility Revenue Bonds to take advantage of lower interest rates. These Bonds were issued for the MSC construction. There is $2,240,000 remaining on the 2007A Bonds. By refunding these bonds it is estimated that the City would save approximately $160,000 in interest payments over the remaining life of the Bonds, which will be paid off in 2023. There is $1,925,000 remaining on the 2008A Bonds. By refunding these bonds it is estimated that the City would save approximately $60,000 in interest payments over the remaining life of the Bonds, which will be paid off in 2020. Proposals will be received on June 17, 2013. Results will be presented at the Council meeting that evening. The resolution awarding the sale of the bonds with the sale results and presented at the Council meeting. A representative from Ehlers & Associates will be in attendance. The closing date for the bonds is scheduled for July 10, 2013. Next Steps: July 10th - Proposed closing date of Bonds – No Council action required FINANCIAL OR BUDGET CONSIDERATION: By taking advantage of lower interest rates, it is estimated that the City would save approximately $220,000 in interest costs over the remaining life of the two Bonds. VISION CONSIDERATION: Not applicable. SUPPORTING DOCUMENTS: Extract of Minutes Resolution Awarding the Sale of the 2013A Bonds Prepared by: Steven Heintz, Finance Supervisor Reviewed by: Brian Swanson, Controller Nancy Deno, Deputy City Manager/HR Director Approved by: Tom Harmening, City Manager City Council Meeting of June 17, 2013 (Item No. 8a) Page 2 Title: Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) Extract of Minutes of Meeting of the City Council of the City of St. Louis Park, Hennepin County, Minnesota Pursuant to due call and notice thereof, a regular meeting of the City Council of the City of St. Louis Park, Minnesota, was duly held in the City Hall in said City on Monday, June 17, 2013, commencing at 7:00 P.M. The following members were present: and the following were absent: * * * * * * * * * The Mayor announced that the next order of business was consideration of the proposals which had been received for the purchase of the City’s General Obligation Refunding Bonds, Series 2013A, to be issued in the original aggregate principal amount of $________. The City’s financial advisor presented a tabulation of the proposals which had been received in the manner specified in the Terms of Proposal for the Bonds. The proposals were as set forth in EXHIBIT A attached. After due consideration of the proposals, Member __________ introduced the following written resolution, the reading of which was dispensed with by unanimous consent, and moved its adoption: City Council Meeting of June 17, 2013 (Item No. 8a) Page 3 Title: Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) RESOLUTION NO. 13-____ A RESOLUTION AWARDING THE SALE OF GENERAL OBLIGATION REFUNDING BONDS, SERIES 2013A, IN THE ORIGINAL AGGREGATE PRINCIPAL AMOUNT OF $________; FIXING THEIR FORM AND SPECIFICATIONS; DIRECTING THEIR EXECUTION AND DELIVERY; PROVIDING FOR THEIR PAYMENT; PROVIDING FOR THE ESCROWING AND INVESTMENT OF THE PROCEEDS THEREOF; AND PROVIDING FOR THE REDEMPTION OF BONDS REFUNDED THEREBY BE IT RESOLVED By the City Council of the City of St. Louis Park, Hennepin County, Minnesota (the “City”) as follows: Section 1. Findings; Sale of Bonds. 1. Background. It is hereby determined that: (a) Pursuant to Minnesota Statutes, Chapters 444 and 475, as amended (collectively, the “Act”), the City issued the following obligations (together, the “Refunded Bonds”): (i) General Obligation Utility Revenue Bonds, Series 2007A (the “Series 2007A Bonds”), dated June 5, 2007, in the original aggregate principal amount of $3,665,000, the proceeds of which were used to finance the construction of various improvements to the City’s water and storm water systems (the “2007 Project”); and (ii) General Obligation Utility Revenue Bonds, Series 2008A (the “Series 2008A Bonds”), dated December 11, 2008, in the original aggregate principal amount of $4,075,000, the proceeds of which were used to finance the construction of various improvements to the City’s water and sewer systems and improvements to the municipal service center building for the operation and maintenance of the water and sewer systems (the “2008 Project”). (b) The City is authorized by Minnesota Statutes, Section 475.67, subdivision 13, to issue and sell its general obligation bonds to refund outstanding bonds when determined by the City Council to be necessary and desirable. (c) The City Council finds it necessary and expedient to the sound financial management of the affairs of the City that the City issue its General Obligation Refunding Bonds, Series 2013A (the “Bonds”), in the original aggregate principal amount of $________, to (i) refund in advance of maturity and at their redemption date the 2016 through 2023 maturities of the Series 2007A Bonds, currently outstanding in the aggregate principal amount of $2,785,000, of which $2,145,000 will be called for redemption on August 1, 2015; and (ii) refund in advance of maturity and at their redemption date the 2017 through 2020 maturities of the Series 2008A Bonds, currently outstanding in the aggregate principal amount of $3,390,000, of which $1,840,000 will be called for redemption on August 1, 2016. (d) The City is authorized by Minnesota Statutes, Section 475.60, subdivision 2(9) to negotiate the sale of the Bonds, it being determined that the City has retained an independent financial advisor in connection with such sale. The actions of the City staff and financial advisors in negotiating the sale of the Bonds are ratified and confirmed in all aspects. City Council Meeting of June 17, 2013 (Item No. 8a) Page 4 Title: Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) 1.02. Award to the Purchaser and Interest Rates. The proposal of ________________ (the “Purchaser”) to purchase the Bonds of the City is determined to be a reasonable offer and is accepted, the proposal being to purchase the Bonds price of $____________ (par amount of $________, [plus original issue premium of $___________,] [less original issue discount of $_________,] less underwriter’s discount of $_______), plus accrued interest to date of delivery, if any, for Bonds bearing interest as follows: Year Interest Rate Year Interest Rate 2016 % 2020 % 2017 2021 2018 2022 2019 2023 True interest cost: ___________% 1.03. Purchase Contract. The sum of $_________, being the amount proposed by the Purchaser in excess of $__________, shall be credited to the accounts within the Debt Service Fund hereinafter created or the Escrow Fund hereinafter created as determined by the City Controller in consultation with the City’s financial advisor. The City Controller is directed to deposit the good faith check of the Purchaser, pending completion of the sale of the Bonds, and to return the good faith checks of the unsuccessful proposers forthwith. The Acting Mayor and City Manager are directed to execute a contract with the Purchaser on behalf of the City. 1.04. Terms and Principal Amount of Bonds. The City will forthwith issue and sell the Bonds pursuant to the Act, specifically Section 475.67, subdivision 13, in the original aggregate principal amount of $________, originally dated July 10, 2013, in the denomination of $5,000 each or any integral multiple thereof, numbered No. R-1, upward, bearing interest as above set forth, and maturing serially on August 1 in the years and amounts as follows: Year Amount Year Amount 2016 $ 2020 $ 2017 2021 2018 2022 2019 2023 (a) $_________ in principal amount of the Bonds (the “Series 2007A Refunding Bonds”) maturing in the amounts and on the dates set forth below are being used to refund in advance of maturity the 2016 through 2023 maturities of the Series 2007A Bonds on August 1, 2015 (the “Series 2007A Bonds Redemption Date”): Year Amount Year Amount 2016 $ 2020 $ 2017 2021 2018 2022 2019 2023 (b) The remainder of the Bonds in the principal amount of $_________ (the “Series 2008A Refunding Bonds”) maturing in the amounts and on the dates set forth below are being used to refund in advance of maturity the outstanding 2017 through 2020 maturities of the Series 2008A Bonds on August 1, 2016 (the “Series 2008A Bonds Redemption Date”): City Council Meeting of June 17, 2013 (Item No. 8a) Page 5 Title: Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) Year Amount Year Amount 2017 $ 2019 $ 2018 2020 1.05. Optional Redemption. The City may elect on August 1, 2020, and on any day thereafter to prepay Bonds due on or after August 1, 2021. Redemption may be in whole or in part and if in part, at the option of the City and in such manner as the City will determine. If less than all Bonds of a maturity are called for redemption, the City will notify DTC (as defined in Section 8 hereof) of the particular amount of such maturity to be prepaid. DTC will determine by lot the amount of each participant’s interest in such maturity to be redeemed and each participant will then select by lot the beneficial ownership interests in such maturity to be redeemed. Prepayments will be at a price of par plus accrued interest. [1.06. Mandatory Redemption; Term Bonds. To be completed if Term Bonds are requested by the Purchaser.] Section 2. Registration and Payment. 2.01. Registered Form. The Bonds will be issued only in fully registered form. The interest thereon and, upon surrender of each Bond, the principal amount thereof, is payable by check or draft issued by the Registrar described herein. 2.02. Dates; Interest Payment Dates. Each Bond will be dated as of the last interest payment date preceding the date of authentication to which interest on the Bond has been paid or made available for payment, unless (i) the date of authentication is an interest payment date to which interest has been paid or made available for payment, in which case the Bond will be dated as of the date of authentication, or (ii) the date of authentication is prior to the first interest payment date, in which case the Bond will be dated as of the date of original issue. The interest on the Bonds is payable on February 1 and August 1 of each year, commencing August 1, 2013, to the registered owners of record as of the close of business on the fifteenth day of the immediately preceding month, whether or not that day is a business day. 2.03. Registration. The City will appoint a bond registrar, transfer agent, authenticating agent and paying agent (the “Registrar”). The effect of registration and the rights and duties of the City and the Registrar with respect thereto are as follows: (a) Register. The Registrar must keep at its principal corporate trust office a bond register in which the Registrar provides for the registration of ownership of Bonds and the registration of transfers and exchanges of Bonds entitled to be registered, transferred or exchanged. (b) Transfer of Bonds. Upon surrender for transfer of a Bond duly endorsed by the registered owner thereof or accompanied by a written instrument of transfer, in form satisfactory to the Registrar, duly executed by the registered owner thereof or by an attorney duly authorized by the registered owner in writing, the Registrar will authenticate and deliver, in the name of the designated transferee or transferees, one or more new Bonds of a like aggregate principal amount and maturity, as requested by the transferor. The Registrar may, however, close the books for registration of any transfer after the fifteenth day of the month preceding each interest payment date and until that interest payment date. (c) Exchange of Bonds. When Bonds are surrendered by the registered owner for exchange the Registrar will authenticate and deliver one or more new Bonds of a like aggregate principal amount and maturity as requested by the registered owner or the owner’s attorney in writing. City Council Meeting of June 17, 2013 (Item No. 8a) Page 6 Title: Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) (d) Cancellation. Bonds surrendered upon transfer or exchange will be promptly cancelled by the Registrar and thereafter disposed of as directed by the City. (e) Improper or Unauthorized Transfer. When a Bond is presented to the Registrar for transfer, the Registrar may refuse to transfer the Bond until the Registrar is satisfied that the endorsement on the Bond or separate instrument of transfer is valid and genuine and that the requested transfer is legally authorized. The Registrar will incur no liability for the refusal, in good faith, to make transfers which it, in its judgment, deems improper or unauthorized. (f) Persons Deemed Owners. The City and the Registrar may treat the person in whose name a Bond is registered in the bond register as the absolute owner of the Bond, whether the Bond is overdue or not, for the purpose of receiving payment of, or on account of, the principal of and interest on the Bond and for all other purposes, and payments so made to a registered owner or upon the owner’s order will be valid and effectual to satisfy and discharge the liability upon the Bond to the extent of the sum or sums so paid. (g) Taxes, Fees and Charges. The Registrar may impose a charge upon the owner thereof for a transfer or exchange of Bonds sufficient to reimburse the Registrar for any tax, fee or other governmental charge required to be paid with respect to the transfer or exchange. (h) Mutilated, Lost, Stolen or Destroyed Bonds. If a Bond becomes mutilated or is destroyed, stolen or lost, the Registrar will deliver a new Bond of like amount, number, maturity date and tenor in exchange and substitution for and upon cancellation of the mutilated Bond or in lieu of and in substitution for any Bond destroyed, stolen or lost, upon the payment of the reasonable expenses and charges of the Registrar in connection therewith; and, in the case of a Bond destroyed, stolen or lost, upon filing with the Registrar of evidence satisfactory to it that the Bond was destroyed, stolen or lost, and of the ownership thereof, and upon furnishing to the Registrar an appropriate bond or indemnity in form, substance and amount satisfactory to it and as provided by law, in which both the City and the Registrar must be named as obligees. Bonds so surrendered to the Registrar will be cancelled by the Registrar and evidence of such cancellation must be given to the City. If the mutilated, destroyed, stolen or lost Bond has already matured or been called for redemption in accordance with its terms it is not necessary to issue a new Bond prior to payment. (i) Redemption. In the event any of the Bonds are called for redemption, notice thereof identifying the Bonds to be redeemed will be given by the Registrar by mailing a copy of the redemption notice by first class mail (postage prepaid) to the registered owner of each Bond to be redeemed at the address shown on the registration books kept by the Registrar and by publishing the notice if required by law. Failure to give notice by publication or by mail to any registered owner, or any defect therein, will not affect the validity of any proceeding for the redemption of Bonds. Bonds so called for redemption will cease to bear interest after the specified redemption date, provided that the funds for the redemption are on deposit with the place of payment at that time. 2.04. Appointment of Initial Registrar. The City appoints Bond Trust Services Corporation, Roseville, Minnesota, as the initial Registrar. The Mayor and the City Manager are authorized to execute and deliver, on behalf of the City, a contract with the Registrar. Upon merger or consolidation of the Registrar with another corporation, if the resulting corporation is a bank or trust company authorized by law to conduct such business, the resulting corporation is authorized to act as successor Registrar. The City agrees to pay the reasonable and customary charges of the Registrar for the services performed. The City reserves the right to remove the Registrar upon 30 days’ notice and upon the appointment of a successor Registrar, in which event the predecessor Registrar must deliver all cash and Bonds in its possession to the successor Registrar and must deliver the bond register to the successor Registrar. On or before each principal or interest due date, without further order of this Council, the City Manager must transmit to the Registrar moneys sufficient for the payment of all principal and interest then due. City Council Meeting of June 17, 2013 (Item No. 8a) Page 7 Title: Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) 2.05. Execution, Authentication and Delivery. The Bonds will be prepared under the direction of the City Manager and executed on behalf of the City by the signatures of the Mayor and the City Manager, provided that those signatures may be printed, engraved or lithographed facsimiles of the originals. If an officer whose signature or a facsimile of whose signature appears on the Bonds ceases to be such officer before the delivery of a Bond, that signature or facsimile will nevertheless be valid and sufficient for all purposes, the same as if the officer had remained in office until delivery. Notwithstanding such execution, a Bond will not be valid or obligatory for any purpose or entitled to any security or benefit under this resolution unless and until a certificate of authentication on the Bond has been duly executed by the manual signature of an authorized representative of the Registrar. Certificates of authentication on different Bonds need not be signed by the same representative. The executed certificate of authentication on a Bond is conclusive evidence that it has been authenticated and delivered under this resolution. When the Bonds have been so prepared, executed and authenticated, the City Manager will deliver the same to the Purchaser upon payment of the purchase price in accordance with the contract of sale heretofore made and executed, and the Purchaser is not obligated to see to the application of the purchase price. 2.06. Temporary Bonds. The City may elect to deliver in lieu of printed definitive Bonds one or more typewritten temporary Bonds in substantially the form set forth in EXHIBIT B attached hereto, with such changes as may be necessary to reflect more than one maturity in a single temporary bond. Upon the execution and delivery of definitive Bonds the temporary Bonds will be exchanged therefor and cancelled. Section 3. Form of Bond. 3.01. Execution of the Bonds. The Bonds will be printed or typewritten in substantially the form attached hereto as EXHIBIT B. 3.02. Approving Legal Opinion. The City Manager is authorized and directed to obtain a copy of the proposed approving legal opinion of Kennedy & Graven, Chartered, Minneapolis, Minnesota, which is to be complete except as to dating thereof and cause the opinion to be printed on or accompany each Bond. Section 4. Bonds; Security; Covenants; Escrow. 4.01. Debt Service Fund. For the convenience and proper administration of the moneys to be borrowed and repaid on the Bonds, and to provide adequate and specific security for the Purchaser and holders from time to time of the Bonds, there is hereby created a special fund to be designated the General Obligation Refunding Bonds, Series 2013A Debt Service Fund (the “Debt Service Fund”) to be administered and maintained by the City Controller as a bookkeeping account separate and apart from all other funds maintained in the official financial records of the City. The Debt Service Fund will be maintained in the manner herein specified until all of the Refunded Bonds have been paid and until all of the Bonds and the interest thereon have been fully paid. The City will maintain the following accounts in the Debt Service Fund: the “2007 Project Account” and the “2008 Project Account.” (a) 2007 Project Account. The City will continue to operate and maintain its Water Fund and Storm Water Fund to which will be credited all gross revenues of the City’s water and storm water systems, respectively, and out of which will be paid all normal and reasonable expenses of the current operations of the water system and storm water system. Any balances therein will be deemed net revenues and will be transferred from time to time to the 2007 Project Account of the Debt Service Fund as set forth herein. To the 2007 Project Account there is hereby pledged and irrevocably appropriated and there will be credited: (i) a pro rata portion of any balance remitted to the City upon the termination of the Escrow Agreement (as defined herein); (ii) net revenues of the Water System and Storm Water System and not otherwise pledged and applied to the payment of other obligations of the City, in an amount, together with other funds which may herein or hereafter form time to time be irrevocably appropriated to the account sufficient to meet the requirements of Section 475.61 of the Act for the payment of the principal of and interest on the Series 2007A Refunding Bonds; (iii) a pro rata portion of any amount over the minimum purchase price paid by the Purchaser, to the extent designated for deposit in the 2007 Project Account in accordance with City Council Meeting of June 17, 2013 (Item No. 8a) Page 8 Title: Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) Section 1.03 hereof; (iv) all investment earnings on funds in the 2007 Project Account; and (v) any and all other moneys which are properly available and are appropriated by the City Council to the 2007 Project Account. The amount of any surplus remaining in the 2007 Project Account when the Series 2007A Refunding Bonds and interest thereon are paid will be used as provided in Section 475.61, subdivision 4 of the Act. There will always be retained in the 2007 Project Account a sufficient amount to pay principal of and interest on all the Series 2007A Refunding Bonds, and the City Controller must report any current or anticipated deficiency in the 2007 Project Account to the City Council. (b) 2008 Project Account. The City will continue to operate and maintain its Water Fund and Sewer Fund to which will be credited all gross revenues of the City’s water and sewer systems, respectively, and out of which will be paid all normal and reasonable expenses of the current operations of the water system and sewer system. Any balances therein will be deemed net revenues and will be transferred from time to time to the 2008 Project Account of the Debt Service Fund as set forth herein. To the 2008 Project Account there is hereby pledged and irrevocably appropriated and there will be credited: (i) a pro rata portion of any balance remitted to the City upon the termination of the Escrow Agreement; (ii) net revenues of the Water System and Sewer System and not otherwise pledged and applied to the payment of other obligations of the City, in an amount, together with other funds which may herein or hereafter form time to time be irrevocably appropriated to the account sufficient to meet the requirements of Section 475.61 of the Act for the payment of the principal of and interest on the Series 2008A Refunding Bonds; (iii) a pro rata portion of any amount over the minimum purchase price paid by the Purchaser, to the extent designated for deposit in the 2008 Project Account in accordance with Section 1.03 hereof; (iv) all investment earnings on funds in the 2008 Project Account; and (v) any and all other moneys which are properly available and are appropriated by the City Council to the 2008 Project Account. The amount of any surplus remaining in the 2008 Project Account when the Series 2008A Refunding Bonds and interest thereon are paid will be used as provided in Section 475.61, subdivision 4 of the Act. There will always be retained in the 2008 Project Account a sufficient amount to pay principal of and interest on all the Series 2008A Refunding Bonds, and the City Controller must report any current or anticipated deficiency in the 2008 Project Account to the City Council. 4.02. Escrow Fund. A portion of the proceeds of the Bonds in the amount of $__________ will be deposited in a separate fund (the “Escrow Fund”) maintained by U.S. Bank National Association, Saint Paul, Minnesota, acting as escrow agent (the “Escrow Agent”). Such funds will be received by the Escrow Agent and applied to fund the Escrow Fund or to pay costs of issuing the Bonds. Proceeds of the Bonds not used to pay costs of issuance on the Bonds are hereby irrevocably pledged and appropriated to the Escrow Fund, together with all investment earnings thereon. The monies in the Escrow Fund will be invested in securities maturing or callable at the option of the holder on such dates and bearing interest at such rates as will be required to provide sufficient funds, together with any cash or other funds retained in the Escrow Fund to (i) pay when due the interest to accrue on the Series 2007A Refunding Bonds to and including the Series 2007A Bonds Redemption Date; (ii) pay on the Series 2007A Bonds Redemption Date the principal amount of the Series 2007A Bonds then outstanding; (iii) pay when due the interest to accrue on the Series 2008A Refunding Bonds to and including the Series 2008A Bonds Redemption Date; and (iv) pay on the Series 2008A Bonds Redemption Date the principal amount of the Series 2008A Bonds then outstanding. Other than the monies in the Escrow Fund to be used to pay costs of issuance of the Bonds, the monies in the Escrow Fund will be irrevocably appropriated to the payment of the interest on the Bonds and the payment of the principal of the Refunded Bonds until the proceeds of the Bonds therein are applied to prepayment of the Refunded Bonds. The moneys in the Escrow Fund will be used solely for the purposes herein set forth and for no other purpose, except that any surplus in the Escrow Fund may be remitted to the City, all in accordance with the Escrow Agreement by and between the City and the Escrow Agent. Any moneys remitted to the City upon termination of the Escrow Agreement will be deposited in the Debt Service Fund. 4.03. Prior Debt Service Accounts. The debt service account heretofore established for the Series 2007A Bonds pursuant to the resolution authorizing the issuance and sale of the Series 2007A Bonds City Council Meeting of June 17, 2013 (Item No. 8a) Page 9 Title: Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) (the “Series 2007A Bonds Resolution”) shall be terminated on August 1, 2015, following the redemption of the Series 2007A Bonds, and all monies therein are hereby transferred to the 2007 Project Account of the Debt Service Fund herein created. The debt service account heretofore established for the Series 2008A Bonds pursuant to the resolution authorizing the issuance and sale of the Series 2008A Bonds (the “Series 2008A Bonds Resolution,” and together with the Series 2007A Bonds Resolution, the “Prior Resolutions”) shall be terminated on August 1, 2016, following the redemption of the Series 2008A Bonds, and all monies therein are hereby transferred to the 2008 Project Account of the Debt Service Fund herein created. 4.04. Prior Resolution Pledges. The pledges and covenants of the City made by the Prior Resolutions relating to the ownership, protection of and other particulars governing the operation and financial management of the water, storm water, and sewer systems of the City and the 2007 Project and 2008 Project are restated and confirmed in all respects. The provisions of the Prior Resolutions are hereby supplemented to the extent necessary to give full effect to the provisions hereof. 4.05. General Obligation Pledge. For the prompt and full payment of the principal of and interest on the Bonds, as the same respectively become due, the full faith, credit and taxing powers of the City will be and are hereby irrevocably pledged. If the balance in the Escrow Fund or Debt Service Fund is ever insufficient to pay all principal and interest then due on the Bonds and any other bonds payable therefrom, the deficiency will be promptly paid out of monies in the general fund of the City which are available for such purpose, and such general fund may be reimbursed with or without interest from the Escrow Fund or Debt Service Fund when a sufficient balance is available therein. 4.06. Debt Coverage. It is hereby determined that the estimated collection of net revenues of the water, storm water, and sewer systems for the payment of principal of and interest on the Bonds will produce at least five percent in excess of the amount needed to meet, when due, the principal and interest payments on the Series 2007A Refunding Bonds maturing after the Series 2007A Bonds Redemption Date and the principal and interest payments on the Series 2008A Refunding Bonds maturing after the Series 2008A Bonds Redemption Date; therefore, no tax levy is needed at this time. 4.07. Filing of Resolution. The City Manager is authorized and directed to file a certified copy of this resolution with the Taxpayer Services Division Manager of Hennepin County, Minnesota, and to obtain the certificate required by Section 475.63 of the Act. Section 5. Refunding; Findings; Redemption of Refunded Bonds. 5.01. Purpose of Refunding. The Refunded Bonds consist of the City’s Series 2007A Bonds and Series 2008A Bonds. The 2016 through 2023 maturities of the Series 2007A Bonds will be called for redemption on August 1, 2015, in the principal amount of $2,145,000. The 2017 through 2020 maturities of the Series 2008A Bonds will be called for redemption on August 1, 2016, in the principal amount of $1,840,000. It is hereby found and determined that based upon information presently available from the City’s financial advisor, the issuance of the Bonds, a portion of which will be used to redeem and prepay the Refunded Bonds, is consistent with covenants made with the holders of the Refunded Bonds. 5.02. Findings. It is hereby found and determined that based upon information presently available from the City’s financial advisors, the issuance of the Bonds will result in a reduction of debt service cost to the City on the Refunded Bonds, such that the present value of such debt service or interest cost savings (the “Reduction”) is at least 3.00% of the debt service on the Refunded Bonds. The Reduction, after the inclusion of all authorized expenses of refunding in the computation of the effective interest rate on the Bonds, is adequate to authorize the issuance of the Bonds as provided by Section 475.67, subdivisions 12 and 13 of the Act. 5.03. Securities to Fund Escrow Fund. Securities purchased, if any, from the moneys in the Escrow Fund will be limited to securities specified in Section 475.67, subdivision 8 of the Act. Ehlers & Associates, Inc., and/or U.S. Bank National Association, as agent for the City, is hereby authorized and City Council Meeting of June 17, 2013 (Item No. 8a) Page 10 Title: Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) directed to purchase for and on behalf of the City and in its name, appropriate securities to fund the Escrow Fund. Upon the issuance and delivery of the Bonds, the securities so purchased will be deposited with the Escrow Agent and held pursuant to the terms of the Escrow Agreement (as defined herein) and this resolution. 5.04. Notices of Call for Redemption. The Series 2007A Bonds maturing on August 1, 2016, and thereafter will be redeemed and prepaid on the Series 2007A Bonds Redemption Date in accordance with their terms and in accordance with the terms and conditions set forth in the form of Notice of Call for Redemption attached hereto as EXHIBIT C-1, which terms and conditions are hereby approved and incorporated by reference. The Series 2008A Bonds maturing on August 1, 2017, and thereafter will be redeemed and prepaid on the Series 2008A Bonds Redemption Date in accordance with their terms and in accordance with the terms and conditions set forth in the form of Notice of Call for Redemption attached hereto as EXHIBIT C-2, which terms and conditions are hereby approved and incorporated herein by reference. The registrars for the Refunded Bonds are authorized and directed to send a copy of the respective Notice of Call for Redemption to each registered holder of the Refunded Bonds. 5.05. Escrow Agreement. On or prior to the delivery of the Bonds, the Mayor and the City Manager are hereby authorized and directed to execute on behalf of the City an escrow agreement (the “Escrow Agreement”) with the Escrow Agent in substantially the form now on file with the City Manager. All essential terms and conditions of the Escrow Agreement, including payment by the City of reasonable charges for the services of the Escrow Agent, are hereby approved and adopted and made a part of this resolution, and the City covenants that it will promptly enforce all provisions thereof in the event of default thereunder by the Escrow Agent. Section 6. Authentication of Transcript. 6.01. City Proceedings and Records. The officers of the City are authorized and directed to prepare and furnish to the Purchaser and to the attorneys approving the Bonds, certified copies of proceedings and records of the City relating to the Bonds and to the financial condition and affairs of the City, and such other certificates, affidavits and transcripts as may be required to show the facts within their knowledge or as shown by the books and records in their custody and under their control, relating to the validity and marketability of the Bonds, and such instruments, including any heretofore furnished, may be deemed representations of the City as to the facts stated therein. 6.02. Certification as to Official Statement. The Mayor and City Manager are hereby authorized and directed to certify that they have examined the Official Statement prepared and circulated in connection with the issuance and sale of the Bonds and that to the best of their knowledge and belief the Official Statement is a complete and accurate representation of the facts and representations made therein as of the date of the Official Statement. 6.03. Other Certificates. The Mayor, City Manager, and City Controller are hereby authorized and directed to furnish to the Purchaser at the closing such certificates as are required as a condition of sale. Unless litigation shall have been commenced and be pending questioning the Bonds or the organization of the City or incumbency of its officers, at the closing the Mayor, City Manager, and City Controller shall also execute and deliver to the Purchaser a suitable certificate as to absence of material litigation, and the City Controller shall also execute and deliver a certificate as to payment for and delivery of the Bonds. 6.04. Payment of Costs of Issuance. Costs of issuance of the Bonds will be paid by the Escrow Agent pursuant to the Escrow Agreement. Section 7. Tax Covenants. 7.01. Tax-Exempt Bonds. The City covenants and agrees with the holders from time to time of the Bonds that it will not take or permit to be taken by any of its officers, employees or agents any action City Council Meeting of June 17, 2013 (Item No. 8a) Page 11 Title: Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) which would cause the interest on the Bonds to become subject to taxation under the Internal Revenue Code of 1986, as amended (the “Code”), and the Treasury Regulations promulgated thereunder, in effect at the time of such actions, and that it will take or cause its officers, employees or agents to take, all affirmative action within its power that may be necessary to ensure that such interest will not become subject to taxation under the Code and applicable Treasury Regulations, as presently existing or as hereafter amended and made applicable to the Bonds. 7.02. Rebate. The City will comply with requirements necessary under the Code to establish and maintain the exclusion from gross income of the interest on the Bonds under Section 103 of the Code, including without limitation requirements relating to temporary periods for investments, limitations on amounts invested at a yield greater than the yield on the Bonds, and the rebate of excess investment earnings to the United States. For purposes of qualifying for the small issuer exception to the federal arbitrage rebate requirements with respect to the Series 2007A Refunding Bonds, the City finds, determines and declares that the aggregate face amount of all tax-exempt bonds (other than private activity bonds) issued by the City (and all subordinate entities of the City) during the calendar year in which the Bonds are issued and outstanding at one time is not reasonably expected to exceed $5,000,000, all within the meaning of Section 148(f)(4)(D) of the Code. Furthermore: (a) each of the Series 2007A Bonds was issued as part of an issue which was treated as meeting the rebate requirements by reason of the exception for governmental units issuing $5,000,000 or less of bonds; (b) the average maturity of the Series 2007A Refunding Bonds does not exceed the remaining average maturity of the Series 2007A Bonds; and (c) no maturity of the Series 2007A Refunding Bonds has a maturity date which is later than the date which is 30 years after the date the Series 2007A Bonds were issued. 7.03. Not Private Activity Bonds. The City further covenants not to use the proceeds of the Bonds or to cause or permit them or any of them to be used, in such a manner as to cause the Bonds to be “private activity bonds” within the meaning of Sections 103 and 141 through 150 of the Code. 7.04. Qualified Tax-Exempt Obligations. In order to qualify the Bonds as “qualified tax-exempt obligations” within the meaning of Section 265(b)(3) of the Code, the City makes the following factual statements and representations: (a) the Bonds are not “private activity bonds” as defined in Section 141 of the Code; (b) the City hereby designates the Bonds as “qualified tax-exempt obligations” for purposes of Section 265(b)(3) of the Code; (c) the reasonably anticipated amount of tax-exempt obligations (other than private activity bonds which are not qualified 501(c)(3) bonds) which will be issued by the City (and all subordinate entities of the City) during calendar year 2013 will not exceed $10,000,000; and (d) not more than $10,000,000 of obligations issued by the City during calendar year 2013 have been designated for purposes of Section 265(b)(3) of the Code. 7.05. Procedural Requirements. The City will use its best efforts to comply with any federal procedural requirements which may apply in order to effectuate the designations made by this section. Section 8. Book-Entry System; Limited Obligation of City. City Council Meeting of June 17, 2013 (Item No. 8a) Page 12 Title: Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) 8.01. The Depository Trust Company. The Bonds will be initially issued in the form of a separate single typewritten or printed fully registered Bond for each of the maturities set forth in Section 1.04 hereof. Upon initial issuance, the ownership of each such Bond will be registered in the registration books kept by the Registrar in the name of Cede & Co., as nominee for The Depository Trust Company, New York, New York, and its successors and assigns (“DTC”). Except as provided in this section, all of the outstanding Bonds will be registered in the registration books kept by the Registrar in the name of Cede & Co., as nominee of DTC. 8.02. Participants. With respect to Bonds registered in the registration books kept by the Registrar in the name of Cede & Co., as nominee of DTC, the City, the Registrar and the Paying Agent will have no responsibility or obligation to any broker dealers, banks and other financial institutions from time to time for which DTC holds Bonds as securities depository (the “Participants”) or to any other person on behalf of which a Participant holds an interest in the Bonds, including but not limited to any responsibility or obligation with respect to (i) the accuracy of the records of DTC, Cede & Co. or any Participant with respect to any ownership interest in the Bonds, (ii) the delivery to any Participant or any other person (other than a registered owner of Bonds, as shown by the registration books kept by the Registrar), of any notice with respect to the Bonds, including any notice of redemption, or (iii) the payment to any Participant or any other person, other than a registered owner of Bonds, of any amount with respect to principal of, premium, if any, or interest on the Bonds. The City, the Registrar and the Paying Agent may treat and consider the person in whose name each Bond is registered in the registration books kept by the Registrar as the holder and absolute owner of such Bond for the purpose of payment of principal, premium and interest with respect to such Bond, for the purpose of registering transfers with respect to such Bonds, and for all other purposes. The Paying Agent will pay all principal of, premium, if any, and interest on the Bonds only to or on the order of the respective registered owners, as shown in the registration books kept by the Registrar, and all such payments will be valid and effectual to fully satisfy and discharge the City’s obligations with respect to payment of principal of, premium, if any, or interest on the Bonds to the extent of the sum or sums so paid. No person other than a registered owner of Bonds, as shown in the registration books kept by the Registrar, will receive a certificated Bond evidencing the obligation of this resolution. Upon delivery by DTC to the City Manager of a written notice to the effect that DTC has determined to substitute a new nominee in place of Cede & Co., the words “Cede & Co.” will refer to such new nominee of DTC; and upon receipt of such a notice, the City Manager will promptly deliver a copy of the same to the Registrar and Paying Agent. 8.03. Representation Letter. The City has heretofore executed and delivered to DTC a Blanket Issuer Letter of Representations (the “Representation Letter”) which shall govern payment of principal of, premium, if any, and interest on the Bonds and notices with respect to the Bonds. Any Paying Agent or Registrar subsequently appointed by the City with respect to the Bonds will agree to take all action necessary for all representations of the City in the Representation Letter with respect to the Registrar and Paying Agent, respectively, to be complied with at all times. 8.04. Transfers Outside Book-Entry System. In the event the City, by resolution of the City Council, determines that it is in the best interests of the persons having beneficial interests in the Bonds that they be able to obtain Bond certificates, the City will notify DTC, whereupon DTC will notify the Participants, of the availability through DTC of Bond certificates. In such event the City will issue, transfer and exchange Bond certificates as requested by DTC and any other registered owners in accordance with the provisions of this Resolution. DTC may determine to discontinue providing its services with respect to the Bonds at any time by giving notice to the City and discharging its responsibilities with respect thereto under applicable law. In such event, if no successor securities depository is appointed, the City will issue and the Registrar will authenticate Bond certificates in accordance with this resolution and the provisions hereof will apply to the transfer, exchange and method of payment thereof. 8.05. Payments to Cede & Co. Notwithstanding any other provision of this Resolution to the contrary, so long as a Bond is registered in the name of Cede & Co., as nominee of DTC, payments with respect to principal of, premium, if any, and interest on the Bond and notices with respect to the Bond will be made and given, respectively in the manner provided in DTC’s Operational Arrangements, as set forth in the Representation Letter. City Council Meeting of June 17, 2013 (Item No. 8a) Page 13 Title: Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) Section 9. Continuing Disclosure. 9.01. Execution of Continuing Disclosure Certificate. “Continuing Disclosure Certificate” means that certain Continuing Disclosure Certificate executed by the Mayor and City Manager and dated the date of issuance and delivery of the Bonds, as originally executed and as it may be amended from time to time in accordance with the terms thereof. 9.02. City Compliance with Provisions of Continuing Disclosure Certificate. The City hereby covenants and agrees that it will comply with and carry out all of the provisions of the Continuing Disclosure Certificate. Notwithstanding any other provision of this resolution, failure of the City to comply with the Continuing Disclosure Certificate is not to be considered an event of default with respect to the Bonds; however, any Bondholder may take such actions as may be necessary and appropriate, including seeking mandate or specific performance by court order, to cause the City to comply with its obligations under this section. Section 10. Defeasance. When all Bonds and all interest thereon have been discharged as provided in this section, all pledges, covenants and other rights granted by this resolution to the holders of the Bonds will cease, except that the pledge of the full faith and credit of the City for the prompt and full payment of the principal of and interest on the Bonds will remain in full force and effect. The City may discharge all Bonds which are due on any date by depositing with the Registrar on or before that date a sum sufficient for the payment thereof in full. If any Bond should not be paid when due, it may nevertheless be discharged by depositing with the Registrar a sum sufficient for the payment thereof in full with interest accrued to the date of such deposit. (The remainder of this page is intentionally left blank.) City Council Meeting of June 17, 2013 (Item No. 8a) Page 14 Title: Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) The motion for the adoption of the foregoing resolution was duly seconded by Member _________, and upon vote being taken thereon, the following voted in favor thereof: and the following voted against the same: whereupon said resolution was declared duly passed and adopted City Council Meeting of June 17, 2013 (Item No. 8a) Page 15 Title: Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) EXHIBIT A PROPOSALS City Council Meeting of June 17, 2013 (Item No. 8a) Page 16 Title: Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) EXHIBIT B FORM OF BOND No. R-____ UNITED STATES OF AMERICA $__________ STATE OF MINNESOTA COUNTY OF HENNEPIN CITY OF ST. LOUIS PARK GENERAL OBLIGATION REFUNDING BOND SERIES 2013A Rate Maturity Date of Original Issue CUSIP ___% August 1, 20__ July 10, 2013 Registered Owner: Cede & Co. The City of St. Louis Park, Minnesota, a duly organized and existing municipal corporation in Hennepin County, Minnesota (the “City”), acknowledges itself to be indebted and for value received promises to pay to the Registered Owner specified above or registered assigns, the principal sum of $__________ on the maturity date specified above, with interest thereon from the date hereof at the annual rate specified above, payable February 1 and August 1 in each year, commencing February 1, 2014, to the person in whose name this Bond is registered at the close of business on the fifteenth day (whether or not a business day) of the immediately preceding month. The interest hereon and, upon presentation and surrender hereof, the principal hereof are payable in lawful money of the United States of America by check or draft by Bond Trust Services Corporation, Roseville, Minnesota, as Registrar, Paying Agent, Transfer Agent and Authenticating Agent, or its designated successor under the Resolution described herein. For the prompt and full payment of such principal and interest as the same respectively become due, the full faith and credit and taxing powers of the City have been and are hereby irrevocably pledged. The City may elect on August 1, 2020, and on any day thereafter to prepay Bonds due on or after August 1, 2021. Redemption may be in whole or in part and if in part, at the option of the City and in such manner as the City will determine. If less than all Bonds of a maturity are called for redemption, the City will notify The Depository Trust Company (“DTC”) of the particular amount of such maturity to be prepaid. DTC will determine by lot the amount of each participant’s interest in such maturity to be redeemed and each participant will then select by lot the beneficial ownership interests in such maturity to be redeemed. Prepayments will be at a price of par plus accrued interest. This Bond is one of an issue in the aggregate principal amount of $________ all of like original issue date and tenor, except as to number, amount, maturity date, interest rate, and redemption privilege, all issued pursuant to a resolution adopted by the City Council on June 17, 2013 (the “Resolution”), for the purpose of providing money to refund in advance of maturity and on the Series 2007A Bonds Redemption Date (August 1, 2015) and the Series 2008A Bonds Redemption Date (August 1, 2016), all as defined in the Resolution, a portion of certain general obligation bonds of the City, pursuant to and in full conformity with the home rule charter of the City and the Constitution and laws of the State of Minnesota, including Minnesota Statutes, Chapters 444 and 475, as amended, specifically Section 475.67, subdivision 13. A portion of the interest hereon is payable until the Series 2007A Bonds Redemption Date and the Series 2008A Bonds Redemption Date primarily out of an escrow fund held by an escrow agent. Thereafter, the principal hereof and the interest hereon are payable from net revenues of the water, storm water, and sewer systems of the City, as set City Council Meeting of June 17, 2013 (Item No. 8a) Page 17 Title: Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) forth in the Resolution to which reference is made for a full statement of rights and powers thereby conferred. The full faith and credit of the City are irrevocably pledged for payment of this Bond and the City Council has obligated itself to levy ad valorem taxes on all taxable property in the City in the event of any deficiency in net revenues pledged, which taxes may be levied without limitation as to rate or amount. The Bonds of this series are issued only as fully registered Bonds in denominations of $5,000 or any integral multiple thereof of single maturities. The City Council has designated the issue of Bonds of which this Bond forms a part as “qualified tax-exempt obligations” within the meaning of Section 265(b)(3) of the Internal Revenue Code of 1986, as amended (the “Code”) relating to disallowance of interest expense for financial institutions and within the $10 million limit allowed by the Code for the calendar year of issue. IT IS HEREBY CERTIFIED AND RECITED That in and by the Resolution, the City has covenanted and agreed that it will continue to own and operate the water, storm water, and sewer plants and systems free from competition by other like municipal utilities; that adequate insurance on said plants and systems and suitable fidelity bonds on employees will be carried; that proper and adequate books of account will be kept showing all receipts and disbursements relating to the Water Fund, Storm Water Fund, and Sewer Fund into which it will pay all of the respective gross revenues from the water, storm water, and sewer plants and systems; that it will also create and maintain accounts within a General Obligation Refunding Bonds, Series 2013A Debt Service Fund, into which it will pay, out of the net revenues from the water, storm water, and sewer systems a sum sufficient to pay principal hereof and interest thereon when due; and that it will provide, by ad valorem tax levies, for any deficiency in required net revenues of the water, storm water, and sewer systems of the City. As provided in the Resolution and subject to certain limitations set forth therein, this Bond is transferable upon the books of the City at the principal office of the Registrar, by the registered owner hereof in person or by the owner’s attorney duly authorized in writing, upon surrender hereof together with a written instrument of transfer satisfactory to the Registrar, duly executed by the registered owner or the owner’s attorney; and may also be surrendered in exchange for Bonds of other authorized denominations. Upon such transfer or exchange the City will cause a new Bond or Bonds to be issued in the name of the transferee or registered owner, of the same aggregate principal amount, bearing interest at the same rate and maturing on the same date, subject to reimbursement for any tax, fee or governmental charge required to be paid with respect to such transfer or exchange. The City and the Registrar may deem and treat the person in whose name this Bond is registered as the absolute owner hereof, whether this Bond is overdue or not, for the purpose of receiving payment and for all other purposes, and neither the City nor the Registrar will be affected by any notice to the contrary. IT IS HEREBY CERTIFIED, RECITED, COVENANTED AND AGREED that all acts, conditions and things required by the home rule charter of the City and the Constitution and laws of the State of Minnesota to be done, to exist, to happen and to be performed preliminary to and in the issuance of this Bond in order to make it a valid and binding general obligation of the City in accordance with its terms, have been done, do exist, have happened and have been performed as so required, and that the issuance of this Bond does not cause the indebtedness of the City to exceed any constitutional, charter, or statutory limitation of indebtedness. City Council Meeting of June 17, 2013 (Item No. 8a) Page 18 Title: Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) This Bond is not valid or obligatory for any purpose or entitled to any security or benefit under the Resolution until the Certificate of Authentication hereon has been executed by the Registrar by manual signature of one of its authorized representatives. IN WITNESS WHEREOF, the City of St. Louis Park, Hennepin County, Minnesota, by its City Council, has caused this Bond to be executed on its behalf by the facsimile or manual signatures of the Mayor and City Manager and has caused this Bond to be dated as of the date set forth below. Dated: July 10, 2013 CITY OF ST. LOUIS PARK, MINNESOTA Mayor City Manager ______________________________________ CERTIFICATE OF AUTHENTICATION This is one of the Bonds delivered pursuant to the Resolution mentioned within. BOND TRUST SERVICES CORPORATION By Its Authorized Officer ______________________________________ ABBREVIATIONS The following abbreviations, when used in the inscription on the face of this Bond, will be construed as though they were written out in full according to applicable laws or regulations: TEN COM -- as tenants in common UNIF GIFT MIN ACT _________ Custodian _________ (Cust) (Minor) TEN ENT -- as tenants by entireties under Uniform Gifts or Transfers to Minors Act, State of _______________ JT TEN -- as joint tenants with right of survivorship and not as tenants in common Additional abbreviations may also be used though not in the above list. ______________________________________ City Council Meeting of June 17, 2013 (Item No. 8a) Page 19 Title: Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) ASSIGNMENT For value received, the undersigned hereby sells, assigns and transfers unto ________________________________________ the within Bond and all rights thereunder, and does hereby irrevocably constitute and appoint _______________ attorney to transfer the said Bond on the books kept for registration of the within Bond, with full power of substitution in the premises. Dated: Notice: The assignor’s signature to this assignment must correspond with the name as it appears upon the face of the within Bond in every particular, without alteration or any change whatever. Signature Guaranteed: NOTICE: Signature(s) must be guaranteed by a financial institution that is a member of the Securities Transfer Agent Medallion Program (“STAMP”), the Stock Exchange Medallion Program (“SEMP”), the New York Stock Exchange, Inc. Medallion Signatures Program (“MSP”) or other such “signature guarantee program” as may be determined by the Registrar in addition to, or in substitution for, STAMP, SEMP or MSP, all in accordance with the Securities Exchange Act of 1934, as amended. The Registrar will not effect transfer of this Bond unless the information concerning the assignee requested below is provided. Name and Address: (Include information for all joint owners if this Bond is held by joint account.) Please insert social security or other identifying number of assignee ______________________________________ City Council Meeting of June 17, 2013 (Item No. 8a) Page 20 Title: Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) PROVISIONS AS TO REGISTRATION The ownership of the principal of and interest on the within Bond has been registered on the books of the Registrar in the name of the person last noted below. Date of Registration Registered Owner Signature of Officer of Registrar Cede & Co. Federal ID #13-2555119 City Council Meeting of June 17, 2013 (Item No. 8a) Page 21 Title: Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) EXHIBIT C-1 NOTICE OF CALL FOR REDEMPTION FOR THE SERIES 2007A BONDS $3,665,000 CITY OF ST. LOUIS PARK, MINNESOTA GENERAL OBLIGATION UTILITY REVENUE BONDS SERIES 2007A NOTICE IS HEREBY GIVEN that, by order of the City Council of the City of St. Louis Park, Hennepin County, Minnesota (the “City”), there have been called for redemption and prepayment on August 1, 2015 all outstanding bonds of the City designated as General Obligation Utility Revenue Bonds, Series 2007A, dated June 5, 2007, having stated maturity dates of August 1 in the years 2016 through 2023, both inclusive, totaling $2,145,000 in principal amount, and with the following CUSIP numbers: Year of Maturity Amount CUSIP Number 2016 $235,000 791740 UJ0 2017 240,000 791740 UK7 2018 250,000 791740 UL5 2019 260,000 791740 UM3 2020 275,000 791740 UN1 2021 280,000 791740 UP6 2022 295,000 791740 UQ4 2023 310,000 791740 UR2 The bonds are being called at a price of par plus accrued interest to August 1, 2015, on which date all interest on said bonds will cease to accrue. Holders of the bonds hereby called for redemption are requested to present their bonds for payment at the main office of Bond Trust Services Corporation, 3060 Centre Pointe Drive, Roseville, Minnesota 55113, on or before August 1, 2015. Important Notice: In compliance with the Economic Growth and Tax Relief Reconciliation Act of 2003, the City is required to withhold a specified percentage of the principal amount of the redemption price payable to the holder of any Bonds subject to redemption and prepayment on the Redemption Date, unless the City is provided with the Social Security Number or Federal Employer Identification Number of the holder, properly certified. Submission of a fully executed Request for Taxpayer Identification Number and Certification, Form W-9, will satisfy the requirements of this paragraph. Dated: ________________. BY ORDER OF THE CITY COUNCIL By City Clerk City of St. Louis Park, Minnesota City Council Meeting of June 17, 2013 (Item No. 8a) Page 22 Title: Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) EXHIBIT C-2 NOTICE OF CALL FOR REDEMPTION FOR THE SERIES 2008A BONDS $4,075,000 CITY OF ST. LOUIS PARK, MINNESOTA GENERAL OBLIGATION UTILITY REVENUE BONDS SERIES 2008A NOTICE IS HEREBY GIVEN that, by order of the City Council of the City of St. Louis Park, Hennepin County, Minnesota (the “City”), there have been called for redemption and prepayment on August 1, 2016 all outstanding bonds of the City designated as General Obligation Utility Revenue Bonds, Series 2008A, dated December 11, 2008, having stated maturity dates of August 1 in the years 2017 through 2020, both inclusive, totaling $1,840,000 in principal amount, and with the following CUSIP numbers: Year of Maturity Amount CUSIP Number 2017 $430,000 791740 UY7 2018 450,000 791740 UZ4 2019 470,000 791740 VA8 2020 490,000 791740 VB6 The bonds are being called at a price of par plus accrued interest to August 1, 2016, on which date all interest on said bonds will cease to accrue. Holders of the bonds hereby called for redemption are requested to present their bonds for payment at the main office of Bond Trust Services Corporation, 3060 Centre Pointe Drive, Roseville, Minnesota 55113, on or before August 1, 2016. Important Notice: In compliance with the Economic Growth and Tax Relief Reconciliation Act of 2003, the City is required to withhold a specified percentage of the principal amount of the redemption price payable to the holder of any Bonds subject to redemption and prepayment on the Redemption Date, unless the City is provided with the Social Security Number or Federal Employer Identification Number of the holder, properly certified. Submission of a fully executed Request for Taxpayer Identification Number and Certification, Form W-9, will satisfy the requirements of this paragraph. Dated: ________________. BY ORDER OF THE CITY COUNCIL By City Clerk City of St. Louis Park, Minnesota City Council Meeting of June 17, 2013 (Item No. 8a) Page 23 Title: Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) STATE OF MINNESOTA ) ) COUNTY OF HENNEPIN ) SS. ) CITY OF ST. LOUIS PARK ) I, the undersigned, being the duly qualified and acting City Clerk of the City of St. Louis Park, Minnesota (the “City”), do hereby certify that I have carefully compared the attached and foregoing extract of minutes of a regular meeting of the City Council of the City held on June 17, 2013, with the original minutes on file in my office and the extract is a full, true and correct copy of the minutes insofar as they relate to the issuance and sale of the City’s General Obligation Refunding Bonds, Series 2013A, in the original aggregate principal amount of $________. WITNESS My hand officially as such City Clerk and the corporate seal of the City this ____ day of _____________, 2013. City Clerk City of St. Louis Park, Minnesota (SEAL) City Council Meeting of June 17, 2013 (Item No. 8a) Page 24 Title: Awarding Sale of 2013A Bonds (Refunding of 2007A & 2008A) STATE OF MINNESOTA COUNTY OF HENNEPIN CERTIFICATE OF TAXPAYER SERVICES DIVISION MANAGER AS TO REGISTRATION WHERE NO AD VALOREM TAX LEVY I, the undersigned Taxpayer Services Division Manager of Hennepin County, Minnesota, hereby certify that a copy of a resolution adopted by the City Council of the City of St. Louis Park, Minnesota (the “City”), on June 17, 2013, relating to the City’s General Obligation Refunding Bonds, Series 2013A, issued in the amount of $________, dated July 10, 2013, has been filed in my office and said obligations have been registered on the register of obligations in my office. WITNESS My hand and official seal this _____ day of ______________, 2013. Taxpayer Services Division Manager Hennepin County, Minnesota (SEAL)