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HomeMy WebLinkAbout2012/08/20 - ADMIN - Agenda Packets - City Council - Regular AGENDA AUGUST 20, 2012 7:20 p.m. ECONOMIC DEVELOPMENT AUTHORITY -- Council Chambers 1. Call to Order 2. Roll Call 3. Approval of Minutes 3a. Economic Development Authority Minutes July 16, 2012 4. Approval of Agenda 5. Reports 5a. EDA Vendor Claims 6. Old Business -- None 7. New Business 7a. Amendment to Internal Loan Fund Resolution No. 12-10 for Westwood Villa Association Housing Improvement Area (HIA) Recommended Action: Motion to Adopt Amendment to EDA Resolution No. 12-10, authorizing an internal loan from the EDA to the City to be used for housing improvements within the established Westwood Villa Association HIA (“Westwood Villa HIA”), which was established on May 7, 2012. 7b. First Amendment to the Purchase and Redevelopment Contract and Modification of the Assessment Agreement between the EDA and Ellipse II LLC (Bader Development) Recommended Action: Motion to Adopt EDA Resolution approving the First Amendment to the Purchase and Redevelopment Contract and modification of the Assessment Agreement between the EDA and Ellipse II LLC. 8. Communications 9. Adjournment 7:30 p.m. CITY COUNCIL MEETING – Council Chambers 1. Call to Order 1a. Pledge of Allegiance 1b. Roll Call 2. Presentations 2a. Playground Junior Leader Recognition 3. Approval of Minutes -- None Meeting of August 20, 2012 City Council Agenda 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 -- None 7. Requests, Petitions, and Communications from the Public -- None 8. Resolutions, Ordinances, Motions and Discussion Items 8a. Call for Sale of General Obligation Bonds for Greensboro Square Recommended Action: Motion to Adopt Resolution Providing for Sale of: • $1,290,000 Taxable G.O. Housing Improvement Area (HIA) Bonds, Series 2012A 8b. Bid Tabulation: Street Project - Beltline Boulevard Trail Crossing - Project #2012-1307 Recommended Action: Motion to designate Midwest Asphalt Corporation the lowest responsible bidder and authorize execution of a contract with the firm in the amount of $82,348.70 for Street Project - Beltline Boulevard Trail Crossing, Project No. 2012- 1307, upon receipt of a construction permit from the Hennepin County Regional Railroad Authority. 8c. Cooperative Agreement with Three Rivers Park District: Street Project - Beltline Boulevard Trail Crossing - Project No. 2012-1307 Recommended Action: Motion approving a cooperative agreement between Three Rivers Park District and the City of St. Louis Park for the Cedar Lake Regional Trail crossing improvements at Beltline Boulevard and authorizing the Mayor and City Manager to execute the Agreement. 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 August 20, 2012 City Council Agenda CONSENT CALENDAR 4a. Approve Second Reading and Adopt Ordinance amendment to Chapter 3 of City Code concerning Brewer Taproom on-sale malt liquor licensing, approve the summary ordinance for publication, and to approve Resolution amending Resolution No. 11-126 adopting annual fees for Liquor licenses for the license term through March 1, 2013 4b. Approve Second Reading and Adopt Ordinance pertaining to brewery taprooms, and approve the summary ordinance for publication also contained in the agenda materials 4c. Approve Second Reading and Adopt Ordinance pertaining to Conditional Use Permit, and approve the summary ordinance for publication also contained in the agenda materials 4d. Approve Second Reading and Adopt Ordinance pertaining to administrative penalties, and approve the summary ordinance for publication also contained in the agenda materials 4e. Adopt Resolution approving First Amendment to Development Agreement in connection with housing improvements within the Greensboro Condominium Owners Association HIA 4f. Adopt Resolution amending and restating Development Agreement in connection with housing improvements within the Westwood Villa Association HIA 4g. Adopt Resolution authorizing the special assessment for the repair of the water and sewer service lines at 7035 W. 24th Street, St. Louis Park, MN - P.I.D. 08-117-21-13-0103 4h. Adopt Resolution authorizing the special assessment for the repair of the sewer service line at 7726 Cambridge Street, St. Louis Park, MN - P.I.D. 20-117-21-22-0119 4i. Adopt Resolution authorizing the special assessment for the repair of the sewer service line at 2925 Alabama Avenue South, St. Louis Park, MN - P.I.D. 09-117-21-34-0198 4j. Adopt Resolution authorizing “No Parking” restrictions on the west side of Zarthan Avenue to a point 50 feet to the south of Minnetonka Boulevard 4k. Adopt Resolution authorizing “No Parking” restrictions on Powell Road 4l. Adopt Resolution recognizing the change in name of the final plat for “Ellipse II on Excelsior” to “Ellipse on Excelsior 2nd Addition” 4m. Approve for Filing Human Rights Commission Minutes of June 19, 2012 4n. Approve for Filing Housing Authority Minutes of July 19, 2012 4o. 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 Date: August 20, 2012 Agenda Item #: 3a UNOFFICIAL MINUTES ECONOMIC DEVELOPMENT AUTHORITY ST. LOUIS PARK, MINNESOTA JULY 16, 2012 1. Call to Order President Santa called the meeting to order at 7:20 p.m. Commissioners present: President Sue Santa, Steve Hallfin, Jeff Jacobs, Anne Mavity, Julia Ross, Susan Sanger, and Jake Spano. Commissioners absent: None. Staff present: Executive Director (Mr. Harmening), Housing Programs Coordinator (Ms. Larsen), and Recording Secretary (Ms. Hughes). 2. Roll Call 3. Approval of Minutes 3a. Economic Development Authority Minutes June 18, 2012 The minutes were approved as presented. 4. Approval of Agenda The agenda was approved as presented. 5. Reports 5a. Economic Development Authority Vendor Claims It was moved by Commissioner Jacobs, seconded by Commissioner Mavity, to accept for filing Vendor Claims for the period June 9, 2012, through July 6, 2012. The motion passed 7-0. 6. Old Business - None 7. New Business 7a. Internal Loan for Westwood Villa Association Housing Improvement Area (HIA) EDA Resolution No. 12-10 Ms. Larsen presented the staff report and explained that the City Council previously approved financing the improvements within the Westwood Villa HIA with a combination of bonds and internal funding. She stated that since the May 7, 2012, City EDA Meeting of August 20, 2012 (Item No. 3a) Page 2 Subject: EDA Meeting Minutes of July 16, 2012 Council meeting, the 45-day veto period expired on June 21, 2012, and although objections were received, it was not enough to meet the threshold to stop the HIA. She indicated total construction costs decreased approximately $575,000 from the original estimate and the average fee per homeowner was reduced from $33,000 to $24,000. She noted that lower than expected bids were received on the HVAC and elevator repair; in addition, experts have confirmed that removal of the pipe riser replacement is not a critical component, which saved $200,000. She stated the revised contingency costs have been reduced from 30% to 17% saving another $200,000. She noted the actual cost of the project will be under $1.6 million with approximately half the amount financed through the issuance of G.O. HIA bonds and the rest financed with a loan from the EDA Development Fund. She stated both the bonds and the EDA loan will be repaid with the real estate taxes of property owners located in the HIA. She added the bonds and EDA loan will have a twenty-year term with an interest rate set at 100 basis points higher than the interest rate on the bonds with a final payment schedule prepared upon issuance of the bonds in September. It was moved by Commissioner Ross, seconded by Commissioner Sanger, to approve EDA Resolution No. 12-10 Authorizing an Internal Loan for Advance of Funds in Connection with Housing Improvements within the Westwood Villa Owners Association Housing Improvement Area. The motion passed 7-0. 8. Communications - None 9. Adjournment The meeting adjourned at 7:26 p.m. ______________________________________ ______________________________________ Secretary President Meeting Date: August 20, 2012 Agenda Item #: 5a Regular Meeting Public Hearing Action Item Consent Item Resolution Ordinance Presentation Other: EDA Meeting Action Item Resolution Other: Vendor Claims Study Session Discussion Item Written Report Other: TITLE: EDA Vendor Claims RECOMMENDED ACTION: Motion to accept for filing Vendor Claims for the period July 7 through August 10, 2012. POLICY CONSIDERATION: Not applicable. BACKGROUND: The Finance Department prepares this report for council’s review. FINANCIAL OR BUDGET CONSIDERATION: None. VISION CONSIDERATION: Not applicable. Attachments: EDA Vendor Claims Prepared by: Connie Neubeck, Account Clerk 8/15/2012CITY OF ST LOUIS PARK 13:11:04R55CKSUM LOG23000VO 1Page -Council Check Summary 8/10/2012 -7/7/2012 Vendor AmountBusiness Unit Object 74,184.61AQUILA COMMONS G & A DEVELOPER TAX INCREMNT PYMTAQUILA SENIOR LLC 74,184.61 5,557.00BELTLINE LRT STATION PLANNINGBARR ENGINEERING CO 5,557.00 57,206.52WOLFE LAKE COMMERCIAL TIF G&A DEVELOPER TAX INCREMNT PYMTBELT LINE PROPERTIES INC 57,206.52 100.00HOIGAARD 2010A DEBT SERV G&A FISCAL AGENT FEESBOND TRUST SERVICES CORP 450.002008B GO TAX INCREM BONDS G&A FISCAL AGENT FEES 550.00 170,540.85CSM TIF DIST G&A DEVELOPER TAX INCREMNT PYMTCSM CORPORATION 170,540.85 215,585.57WEST END TIF DIST G&A DEVELOPER TAX INCREMNT PYMTDUKE REALTY CORP 215,585.57 20,799.64EDGEWOOD TIF DIST G & A DEVELOPER TAX INCREMNT PYMTEDGEWOOD INVESTORS LLC 20,799.64 643.50WEST END TIF DIST G&A OTHER CONTRACTUAL SERVICESEHLERS & ASSOCIATES INC 643.50ELLIPSE ON EXC TIF DIST G&A OTHER CONTRACTUAL SERVICES 487.50TRUNK HWY 7 G&A OTHER CONTRACTUAL SERVICES 487.50HSTI G&A OTHER CONTRACTUAL SERVICES 487.50VICTORIA PONDS G&A OTHER CONTRACTUAL SERVICES 633.75PARK CENTER HOUSING G&A OTHER CONTRACTUAL SERVICES 643.50CSM TIF DIST G&A OTHER CONTRACTUAL SERVICES 643.50MILL CITY G&A OTHER CONTRACTUAL SERVICES 789.75PARK COMMONS G&A OTHER CONTRACTUAL SERVICES 643.50EDGEWOOD TIF DIST G & A OTHER CONTRACTUAL SERVICES 789.75ELMWOOD VILLAGE G & A OTHER CONTRACTUAL SERVICES 341.25HOIGAARD VILLAGE OTHER CONTRACTUAL SERVICES 643.50WOLFE LAKE COMMERCIAL TIF G&A OTHER CONTRACTUAL SERVICES 643.50AQUILA COMMONS G & A OTHER CONTRACTUAL SERVICES 1,618.50HWY 7 BUSINESS CENTER G & A OTHER CONTRACTUAL SERVICES 10,140.00 94,674.53ELLIPSE ON EXC TIF DIST G&A DEVELOPER TAX INCREMNT PYMTELLIPSE ON EXCELSIOR LLC 94,674.53 EDA Meeting of August 20, 2012 (Item No. 5a) Subject: EDA Vendor Claims Page 2 8/15/2012CITY OF ST LOUIS PARK 13:11:04R55CKSUM LOG23000VO 2Page -Council Check Summary 8/10/2012 -7/7/2012 Vendor AmountBusiness Unit Object 151,999.96PARK COMMONS G&A DEVELOPER TAX INCREMNT PYMTEXCELSIOR & GRAND LLC 151,999.96 537,144.44PARK COMMONS G&A DEVELOPER TAX INCREMNT PYMTGOTTMAR LLC 537,144.44 17,110.67TRUNK HWY 7 G&A PROPERTY TAXESHENNEPIN COUNTY TREASURER 17,110.67 69,790.70HWY 7 BUSINESS CENTER G & A DEVELOPER TAX INCREMNT PYMTHIGHWAY 7 BUSINESS CENTER LLC 69,790.70 360.20DEVELOPMENT - EDA G&A AUDITING AND ACCOUNTING SERVICHLB TAUTGES REDPATH LTD 360.20 480.25DEVELOPMENT - EDA G&A OTHER CONTRACTUAL SERVICESHOISINGTON KOEGLER GROUP INC 480.25 882.00DEVELOPMENT - EDA G&A LEGAL SERVICESKENNEDY & GRAVEN 3,217.50DEVELOPMENT - EDA G&A OTHER CONTRACTUAL SERVICES 4,099.50 225.00DEVELOPMENT - EDA G&A SUBSCRIPTIONS/MEMBERSHIPSMNCAR EXCHANGE 225.00 155.00DEVELOPMENT - EDA G&A SUBSCRIPTIONS/MEMBERSHIPSMPLS/ST PAUL BUSINESS JOURNAL 155.00 124,873.18MILL CITY G&A DEVELOPER TAX INCREMNT PYMTMSP REAL ESTATE INC. 124,873.18 298.93DEVELOPMENT - EDA G&A TELEPHONENEXTEL COMMUNICATIONS 298.93 47,029.00HOIGAARD 2010A DEBT SERV G&A BOND PRINCIPALOLYMPUS VENTURES LLC 10,362.48HOIGAARD 2010A DEBT SERV G&A BOND INTEREST 57,391.48 241,917.44HSTI G&A DEVELOPER TAX INCREMNT PYMTPARK NICOLLET HEALTH SERVICES 241,917.44 1,614.30DEVELOPMENT - EDA G&A PLANNINGSEH EDA Meeting of August 20, 2012 (Item No. 5a) Subject: EDA Vendor Claims Page 3 8/15/2012CITY OF ST LOUIS PARK 13:11:04R55CKSUM LOG23000VO 3Page -Council Check Summary 8/10/2012 -7/7/2012 Vendor AmountBusiness Unit Object 1,614.30 1,470.86DEVELOPMENT - EDA G&A PLANNINGSRF CONSULTING GROUP INC 1,470.86 121,894.74CONVENTION & VISITORS BUREAU COST REIMBURSEMENT-VISIONST LOUIS PARK CONV & VISITORS 121,894.74 200.00DEVELOPMENT - EDA G&A SUBSCRIPTIONS/MEMBERSHIPSST LOUIS PARK SUNRISE ROTARY 200.00 75,799.00VICTORIA PONDS G&A DEVELOPER TAX INCREMNT PYMTSVK DEVELOPMENT INC. 75,799.00 Report Totals 2,056,064.37 EDA Meeting of August 20, 2012 (Item No. 5a) Subject: EDA Vendor Claims Page 4 Meeting Date: August 20, 2012 Agenda Item #: 7a Regular Meeting Public Hearing Action Item Consent Item Resolution Ordinance Presentation Other: EDA Meeting Action Item Resolution Other: Study Session Discussion Item Written Report Other: TITLE: Amendment to Internal Loan Fund Resolution No. 12-10 for Westwood Villa Association Housing Improvement Area (HIA) RECOMMENDED ACTION: Motion to Adopt Amendment to EDA Resolution No. 12-10, authorizing an internal loan from the EDA to the City to be used for housing improvements within the established Westwood Villa Association HIA (“Westwood Villa HIA”), which was established on May 7, 2012. POLICY CONSIDERATION: On July 16, 2012 the EDA authorized an internal loan of up to $1,100,000 for the $2,185,000 Westwood Villa HIA project. The $1,100,000 was to be funded with Development Funds and the remainder of the funds needed for the project were to come from the sale of bonds. Since the July 16th meeting the total loan amount needed for this HIA has decreased to under $1,300,000 – an amount that can be funded solely with Development Funds. Funds from a bond sale will no longer be needed for the Westwood Villa project. EDA approval of the increase of the internal Development Fund loan from $1,100,000 to up to $1,300,000 is needed for the project to proceed. BACKGROUND: Key dates and actions for the Westwood Villa HIA project: • May 7, 2012 the Council adopted Ordinance 2413-12 establishing the Westwood Villa HIA and passed Resolution No. 12-066 imposing fees. • July 1, 2012 the City entered into a Development Agreement with Westwood Villa Association in which the City agreed to make a loan of funds available to the Association to finance Housing Improvements. • July 16, 2012 the EDA approved Internal Loan Fund Resolution No.12-10 based on estimated project costs of $2,185,000. The project was to be funded with a combination of up to $1,100,000 from the EDA’s Development Fund and the remainder including capitalized interest from issuance of bonds. • August 20, 2012 the Council will consider an Amended and Restated Development Agreement with Westwood Villa Association to reflect lower project costs funded with internal Development Funds. The estimated total project cost of $2,185,000 has been reduced and the final loan amount will not exceed $130,000. • Lower Project Costs. The final construction costs based on actual bids was $575,000 lower than estimated. The lower construction costs trickles down to decreased administrative fees and financing costs as well. EDA Meeting of August 20, 2012 (Item No. 7a) Page 2 Subject: Amendment to Internal Loan Fund Resolution No. 12-10 for Westwood Villa Association HIA • Prepayment of fees by owners. Owners had the option to prepay their fee by July 20, 2012, and a significantly higher than estimated number of owners did prepay. While six owners had indicated they would prepay, fourteen actually did, for a prepayment total of $332,395. Due to the lower loan amount of $1,216,228, staff and Ehlers & Associates recommend the project be funded solely with Development Funds. The benefits are that residents would realize a further savings by not having to pay the costs of bond issuance as well as simpler administrative tracking by City Finance staff. Amendment to Internal Loan Fund Resolution: To fund the Westwood Villa loan solely from the EDA’s Development Fun, an amendment to the July 16, 2012 Internal Loan Fund Resolution No. 12-10 is needed. The sections of the resolution to be amended relate to financing the project using Development Funds of up to $1,300,000 and not issuing bonds. All other conditions remain the same: the EDA loan will be repaid to the City from the HIA fees collected with the real estate taxes of the property owners located in the Westwood Villa HIA; the EDA loan will have a twenty year term; the interest rate will be consistent with the interest rate for the Greensboro HIA project; and only the amount of funds needed to pay for project costs will be advanced. FINANCIAL OR BUDGET CONSIDERATION: The proposed method of financing the Westwood Villa HIA improvements results in the City lending the Westwood Villa Association an amount not to exceed $1,300,000, which will come from the Development Fund. The City’s Controller is involved in structuring the loan and ensuring that assessment procedures are followed. The loan and resolution documents have been prepared by EDA legal counsel. The Amended and Restated Development Agreement with the Association ensures that the loan is secured by Association Assets, defined as dues, fees, assessments and other income owing to the Association from unit owners. Owners that did not prepay the fee, will begin fee payment with their property taxes beginning in 2013 and have the option to pay-off the fee in future years. VISION CONSIDERATION: The Westwood Villa Association HIA improvements are consistent with Vision St. Louis Park and the Strategic Directions adopted by the City Council: “St. Louis Park is committed to providing a well-maintained and diverse housing stock”. The HIA tool addresses affordably valued, aging owner-occupied townhouse and condominium housing stock. The proposed improvements specifically address the focus of property maintenance to foster quality housing and community aesthetics. Attachments: Amended EDA Loan Resolution No. 12-10 Prepared by: Kathy Larsen, Housing Programs Coordinator Reviewed by: Kevin Locke, Community Development Director Approved by: Nancy Deno, Deputy City Manager/HR Director EDA Meeting of August 20, 2012 (Item No. 7a) Page 3 Subject: Amendment to Internal Loan Fund Resolution No. 12-10 for Westwood Villa Association HIA ST. LOUIS PARK ECONOMIC DEVELOPMENT AUTHORITY EDA RESOLUTION NO. 12-____ AUTHORIZING AMENDED TERMS OF INTERNAL LOAN FOR ADVANCE OF FUNDS IN CONNECTION WITH HOUSING IMPROVEMENTS WITHIN THE WESTWOOD VILLA OWNERS ASSOCIATION HOUSING IMPROVEMENT AREA BE IT RESOLVED by the St. Louis Park Economic Development Authority (the “EDA”) as follows: Section 1. Recitals. 1.01. The City of St. Louis Park ("City") is authorized under Minnesota Statutes, Sections 428A.11 to 428.21 (the "Housing Improvement Act") to establish by ordinance a housing improvement area within which housing improvements are made or constructed and the costs of the improvements are paid in whole or in part from fees imposed within the area. The City Council of the City (“Council”) adopted a Housing Improvement Area policy on July 16, 2001. 1.02. In order to facilitate Housing Improvements to property known as the "Westwood Villa Owners Association" the Council on May 7, 2012, established the Westwood Villa Association Housing Improvement Area by Ordinance No. 2413-12 (the "Enabling Ordinance") and approved a Housing Improvement Fee (the “Fee”) by Resolution 12-066. 1.03. The City has entered into a Development Agreement between the City and the Westwood Villa Association (the “Association”) dated as of July 1, 2012, as amended by an Amended and Restated Development Agreement dated as of the date hereof (the “Amended Agreement”) under which the City will make a loan of funds legally available for such purpose (the “Loan”) to the Association to finance the Housing Improvements as described in the Agreement. 1.04. The Amended Agreement contains provisions amending the terms of the Loan to the Association, and the City has requested that the EDA modify its Resolution Authorizing Terms of Internal Loan for Advance of Funds in Connection with Housing Improvements within the Westwood Villa Owners Association Housing Improvement Area, adopted on July 16, 2012 (the “Loan Resolution”), to provide for terms of the Loan consistent with the terms of the Amended Agreement. 1.05. The EDA has determined to specify the amended terms of the Loan in more detail in this resolution. Section 2. Modified Loan Terms. 2.01. The Loan will be disbursed from the EDA Development Fund to the Association to reimburse approved costs of the Housing Improvements as incurred, in the maximum amount of $1,300,000 or so much thereof as is actually disbursed (the “Loan Amount”). EDA Meeting of August 20, 2012 (Item No. 7a) Page 4 Subject: Amendment to Internal Loan Fund Resolution No. 12-10 for Westwood Villa Association HIA 2.02. The Loan Amount, together with interest accruing from January 1, 2013, shall be repaid over a 20-year term in semi-annual installments of principal and interest ("Payments") on each February 1 and August 1, commencing February 1, 2013. Interest shall accrue on the unpaid principal at a rate that is 100 basis points higher than the true interest cost of the City’s Taxable General Obligation Housing Improvement Area Bonds, Series 2012A (to be issued by the City in September 2012 to finance a portion of certain housing improvements within a separate housing improvement area within the City) (the “Bonds”). Upon issuance of the Bonds, the City Clerk shall cause to be prepared a finalized schedule of Payments, which schedule shall be attached to this Resolution as Exhibit A. 2.03. Except as modified by this Resolution, the Loan Resolution shall remain in full force and effect. Section 3. Effective Date. This resolution is effective upon execution in full of the Amended Agreement. Approved by the St. Louis Park Economic Development Authority this 20th day of August, 2012. Reviewed for Administration: Adopted by the Economic Development Authority August 20, 2012 Deputy Executive Director President Attest Secretary Meeting Date: August 20, 2012 Agenda Item #: 7b Regular Meeting Public Hearing Action Item Consent Item Resolution Ordinance Presentation Other: EDA Meeting Action Item Resolution Other: Public Hearing Study Session Discussion Item Written Report Other: TITLE: First Amendment to the Purchase and Redevelopment Contract and Modification of the Assessment Agreement between the EDA and Ellipse II LLC (Bader Development) RECOMMENDED ACTION: Motion to Adopt EDA Resolution approving the First Amendment to the Purchase and Redevelopment Contract and modification of the Assessment Agreement between the EDA and Ellipse II LLC. POLICY CONSIDERATION: Does the EDA support the proposed First Amendment to the Purchase and Redevelopment Contract and the modification of the Assessment Agreement between the EDA and Ellipse II LLC to facilitate the construction of the e2 project? SUMMARY: The purpose of this amendment is to update the legal description included in the Purchase and Redevelopment Contract and Assessment Agreement related to the e2 project site so as to reflect the transference of a narrow strip of land from the Ellipse on Excelsior property (3900 Excelsior Blvd) to the e2 property (3924 Excelsior Blvd) next door. The 11 foot wide by 190 foot long strip of land from the Ellipse property is being added to the e2 property so as to provide sufficient land area to accommodate the 58 residential units that the Redeveloper has committed to construct on the site. This revision to the legal description is consistent with approvals the City Council and EDA previously provided to the e2 PUD, plat and contracts. It is essentially a housekeeping item. PREVIOUS ACTIONS: The City Council approved the final plat for Ellipse on Excelsior 2nd Addition, the e2 Final PUD, and the Major Amendment to Ellipse on Excelsior Final PUD on January 17, 2012. The City Council also subsequently approved a Major Amendment to the e2 Final PUD on April 16, 2012. On February 6, 2012 the EDA approved the Purchase and Redevelopment Contract between the EDA and Ellipse II LLC (Bader Development and “Redeveloper”). This contract provided for the sale of the property located at 3924 Excelsior Boulevard (“Redevelopment Property”) from the EDA to the Redeveloper and pledged Available Tax Increment to reimburse certain costs incurred by the Redeveloper in connection with the development of the e2 project on the Redevelopment Property. Included within the contract was an Assessment Agreement which established a minimum market value for the Redevelopment Property upon project completion. The Redevelopment Property is adjacent to the Ellipse on Excelsior property, also owned by the Redeveloper, which is subject to a separate Contract for Private Redevelopment between the parties, dated February 2, 2009. That “Prior Contract” also included an Assessment Agreement (the “Prior Assessment Agreement”), which established a minimum market value for the Ellipse on Excelsior property. EDA Meeting of August 20, 2012 (Item No. 7b) Page 2 Subject: First Amendment to Purchase & Redevelopment Contract between the EDA & Ellipse II LLC In order to meet the City’s density requirements for the Redevelopment Property, the Redeveloper intends to allocate an 11 foot wide by 190 foot long strip of land from the Ellipse on Excelsior property (described as the Southwesterly 11.00 feet of Lot 1, Block 1, Ellipse on Excelsior, Hennepin County, Minnesota and “Allocated Property”) to the Redevelopment Property to enable the construction of the previously approved e2 project. With the added land the density of the e2 development is 75 units per acre, which is the maximum allowed with a PUD in the RC High Density Multiple Family Residential District. This land transfer technically increases the density of Ellipse on Excelsior from 59.2 units per acre to 61 units per acre, which is well within the maximum 75 units per acre allowed with a PUD in the MX Mixed Use Zoning District. Given the above, the Redeveloper has requested, and the EDA has agreed, to release the Allocated Property from the Ellipse Contract and Assessment Agreement and to subject the Allocated Property to the terms and conditions of the e2 Purchase & Redevelopment Contract and Assessment Agreement. The proposed First Amendment to the e2 Contract allows for the addition of the Allocated Property to the legal description of the Redevelopment Property and to subject the Allocated Property to the terms and conditions of the e2 Purchase & Redevelopment Contract as well as the Minimum Assessment Agreement. The Redeveloper envisions commencing the e2 project this month and completing it in a little more than a year. FINANCIAL OR BUDGET CONSIDERATION: The transference of the subject 11 foot strip of land from the Ellipse property to the e2 property will have no financial impact to the City other than it will enable the proposed $13.6 million redevelopment to proceed toward construction. VISION CONSIDERATION: This project supports the strategic direction of providing a well-maintained and diverse housing stock and being a connected and engaged community. Attachments: Resolution of Approval First Amendment to Redevelopment Contract with Ellipse II LLC Modification to Assessment Agreement Ellipse on Excelsior 2nd Addition Final Plat Prepared by: Greg Hunt, Economic Development Coordinator Reviewed by: Kevin Locke, Community Development Director Approved by: Nancy Deno, EDA Deputy Executive Director and Deputy City Manager EDA Meeting of August 20, 2012 (Item No. 7b) Page 3 Subject: First Amendment to Purchase & Redevelopment Contract between the EDA & Ellipse II LLC EDA RESOLUTION NO. 12-____ RESOLUTION APPROVING A FIRST AMENDMENT OF A PURCHASE AND REDEVELOPMENT CONTRACT AND A MODIFICATION OF ASSESSMENT AGREEMENT BETWEEN THE ST. LOUIS PARK ECONOMIC DEVELOPMENT AUTHORITY AND ELLIPSE II, LLC BE IT RESOLVED BY the Board of Commissioners ("Board") of the St. Louis Park Economic Development Authority, St. Louis Park, Minnesota (the "Authority") as follows: Recitals. 1.01. Pursuant to its authority under Minnesota Statutes, Sections 469.090 to 469.1082 and 469.174 to 469.1799, as amended, the Authority created the Ellipse on Excelsior Tax Increment Financing District within its Redevelopment Project No. 1 (the “Project”), for the purpose of facilitating the redevelopment of certain substandard property within the Project. 1.02. The Authority and Ellipse II, LLC (the “Redeveloper”) executed a certain Purchase and Redevelopment Contract, dated as of February 6, 2012 (the “Ellipse II Contract”), whereunder the Authority agreed to convey certain property described in the Ellipse II Contract (the “Redevelopment Property”) to the Redeveloper and pledged Available Tax Increment (as defined in the Ellipse II Contract) to pay or reimburse certain costs incurred by the Redeveloper in connection with the development of a market-rate rental housing facility on the Redevelopment Property (the “Minimum Improvements”). The parties further executed an Assessment Agreement dated as of April 10, 2012 in connection therewith (the “Ellipse II Assessment Agreement”), which established a minimum market value for the Redevelopment Property and Minimum Improvements. 1.03. The Redevelopment Property is adjacent to certain other property owned by the Redeveloper (the “Ellipse I Property”), which is subject to a separate Contract for Private Redevelopment between the parties, dated February 2, 2009 (the “Prior Contract”), whereunder the Redeveloper constructed a mixed-use retail and rental housing facility on the Ellipse I Property, and a separate Assessment Agreement dated February 2, 2009 (the “Prior Assessment Agreement”), which established a minimum market value for the Ellipse I Property. 1.04. In order to meet density requirements for the Redevelopment Property mandated by City of St. Louis Park ordinance, the Redeveloper intends to allocate a portion of the Ellipse I Property described as the Southwesterly 11.00 feet of Lot 1, Block 1, Ellipse on Excelsior, Hennepin County, Minnesota (the “Allocated Property”) to the Redevelopment Property for purposes of the intended construction of the Minimum Improvements. 1.05. In connection with the allocation of the Allocated Property to the Redevelopment Property, the Redeveloper has requested and the Authority has agreed to release the Allocated Property from the Prior Contract and Prior Assessment Agreement and to subject such Allocated Property to the terms and conditions of the Ellipse II Contract and Ellipse II Assessment Agreement. EDA Meeting of August 20, 2012 (Item No. 7b) Page 4 Subject: First Amendment to Purchase & Redevelopment Contract between the EDA & Ellipse II LLC 1.06. The parties have negotiated and propose to execute a First Amendment to the Ellipse II Contract (the “First Amendment”) to allow for the addition of the Allocated Property to the legal description of the Redevelopment Property and to subject such Allocated Property to the terms and conditions of the Ellipse II Contract, and a Modification of Assessment Agreement (the “Modification”) to add the Allocated property to the legal description of the Redevelopment Property subject to the minimum market value. Section 2. First Amendment and Modification Approved. 2.01. The First Amendment and Modification as presented to the Board are hereby in all respects approved, subject to modifications that do not alter the substance of the transaction and that are approved by the President and Deputy Executive Director, provided that execution of the document by such officials shall be conclusive evidence of approval. The President and Deputy Executive Director are hereby authorized to execute, on behalf of the Authority, the First Amendment and Modification. 2.02. The actions of the President and Deputy Executive Director in executing any other documents necessary to give effect to the release of the Allocated Property from the Prior Contract and Prior Assessment Agreement, including without limitation execution of the Partial Release of Agreement and Partial Release of Assessment Agreement as presented to the Board, are hereby ratified and approved. Reviewed for Administration: Adopted by the Economic Development Authority August 20, 2012 Deputy Executive Director President Attest Secretary EDA Meeting of August 20, 2012 (Item No. 7b) Page 5 Subject: First Amendment to Purchase & Redevelopment Contract between the EDA & Ellipse II LLC FIRST AMENDMENT TO PURCHASE AND REDEVELOPMENT CONTRACT This First Amendment to Purchase and Redevelopment Contract (the “Amendment”) is dated as of August 20, 2012, by and between the ST. LOUIS PARK ECONOMIC DEVELOPMENT AUTHORITY, a public body corporate and politic (the “Authority”), and ELLIPSE II LLC, a Delaware limited liability company (the “Redeveloper”). RECITALS A. The Authority and the Redeveloper executed a certain Purchase and Redevelopment Contract, dated as of February 6, 2012 (the “Ellipse II Contract”), whereunder the Authority agreed to convey certain property described in the Ellipse II Contract (the “Redevelopment Property”) to the Redeveloper and pledged Available Tax Increment (as defined in the Ellipse II Contract) to pay or reimburse certain costs incurred by the Redeveloper in connection with the development of a market-rate rental housing facility on the Redevelopment Property (the “Minimum Improvements”). B. The Redevelopment Property is adjacent to certain other property owned by the Redeveloper (the “Ellipse I Property”), which is subject to a separate Contract for Private Redevelopment between the parties, dated February 2, 2009 (the “Prior Contract”), whereunder the Redeveloper constructed a mixed-use retail and rental housing facility on the Ellipse I Property. C. In order to meet density requirements for the Redevelopment Property mandated by City of St. Louis Park ordinance, the Redeveloper intends to allocate a portion of the Ellipse I Property described as the Southwesterly 11.00 feet of Lot 1, Block 1, Ellipse on Excelsior, Hennepin County, Minnesota (the “Allocated Property”) to the Redevelopment Property for purposes of the intended construction of the Minimum Improvements. D. In connection with the allocation of the Allocated Property to the Redevelopment Property, the Redeveloper has requested and the Authority has agreed to release the Allocated Property from the Prior Contract and to subject such Allocated Property to the terms and conditions of the Ellipse II Contract. E. To accomplish the addition of the Allocated Property to the Redevelopment Property, the parties have agreed to modify certain terms and conditions of the Ellipse II Contract as set forth below. EDA Meeting of August 20, 2012 (Item No. 7b) Page 6 Subject: First Amendment to Purchase & Redevelopment Contract between the EDA & Ellipse II LLC NOW, THEREFORE, in consideration of the premises and the mutual obligations of the parties hereto, each of them does hereby covenant and agree with the other as follows: 1. Amendment of Section 1.1. Section 1.1 of the Ellipse II Contract is amended to add or amend the following definitions: “Allocated Property” means the property described as the Southwesterly 11.00 feet of Lot 1, Block 1, Ellipse on Excelsior, Hennepin County, Minnesota. “Redevelopment Property” means the real property described in Schedule A to this Agreement, including the Allocated Property. 2. Amendment of Schedule A. Schedule A of the Ellipse II Contract is amended to add the description of the Allocated Property to the description of the Redevelopment Property. 3. Miscellaneous. Except as amended by this Amendment, the Ellipse II Contract shall remain in full force and effect. Upon execution, Redeveloper shall reimburse the Authority for all out-of pocket-costs incurred by the Authority in connection with negotiating, drafting and approval of this Amendment. EDA Meeting of August 20, 2012 (Item No. 7b) Page 7 Subject: First Amendment to Purchase & Redevelopment Contract between the EDA & Ellipse II LLC IN WITNESS WHEREOF, the Authority and the Redeveloper have caused this Amendment to be duly executed by their duly authorized representatives. ELLIPSE II LLC ST. LOUIS PARK ECONOMIC DEVELOPMENT AUTHORITY By _________________________ By Its ____________________ Its President By Its Deputy Executive Director STATE OF MINNESOTA ) ) SS. COUNTY OF HENNEPIN ) The foregoing instrument was acknowledged before me this ____ day of August, 2012, by Susan Santa and Nancy Deno, the President and Deputy Executive Director of the St. Louis Park Economic Development Authority, a public body corporate and politic, on behalf of the Authority. Notary Public STATE OF MINNESOTA ) ) SS. COUNTY OF HENNEPIN ) The foregoing instrument was acknowledged before me this ____ day of August, 2012, by Scott Bader, the Administrative Member of Ellipse II LLC, a Minnesota limited liability company, on behalf of the company. Notary Public THIS INSTRUMENT WAS DRAFTED BY: Kennedy & Graven, Chartered (MNI) 470 U.S. Bank Plaza Minneapolis, Minnesota 55402 EDA Meeting of August 20, 2012 (Item No. 7b) Page 8 Subject: First Amendment to Purchase & Redevelopment Contract between the EDA & Ellipse II LLC MODIFICATION TO ASSESSMENT AGREEMENT This Modification to Assessment Agreement (the “Modification”) is dated as of August 20, 2012, by and between the ST. LOUIS PARK ECONOMIC DEVELOPMENT AUTHORITY, a public body corporate and politic (the “Authority”), and ELLIPSE II LLC, a Delaware limited liability company (the “Redeveloper”). RECITALS A. The Authority and the Redeveloper executed a certain Purchase and Redevelopment Contract, dated as of February 6, 2012 (the “Ellipse II Contract”), whereunder the Authority agreed to convey certain property described in the Contract (the “Redevelopment Property”) to the Redeveloper and pledged Available Tax Increment (as defined in the Ellipse II Contract) to pay or reimburse certain costs incurred by the Redeveloper in connection with the development of a market-rate rental housing facility on the Redevelopment Property (the “Minimum Improvements”). B. In connection with the Ellipse II Contract, the Authority and Redeveloper entered into an Assessment Agreement dated as of April 10, 2012 (the “Ellipse II Assessment Agreement”), establishing a minimum market value for the Redevelopment Property. C. The Redevelopment Property is adjacent to certain other property owned by the Redeveloper (the “Ellipse I Property”), which is subject to a separate Assessment Agreement between the parties, dated February 2, 2009 (the “Prior Assessment Agreement”). D. In order to meet density requirements for the Redevelopment Property mandated by City of St. Louis Park ordinance, the Redeveloper intends to allocate a portion of the Ellipse I Property described as the Southwesterly 11.00 feet of Lot 1, Block 1, Ellipse on Excelsior, Hennepin County, Minnesota (the “Allocated Property”) to the Redevelopment Property in connection with the intended construction of the Minimum Improvements. E. In connection with the allocation of the Allocated Property to the Redevelopment Property, the Redeveloper has requested and the Authority has agreed to release the Allocated Property from the Prior Assessment Agreement and to subject such Allocated Property to the terms and conditions of the Ellipse II Assessment Agreement. F. As provided in paragraph 8 of the Ellipse II Assessment Agreement, the parties may execute, acknowledge and deliver, or cause to be executed, acknowledged and delivered, such supplements, amendments and modifications to the Ellipse II Assessment Agreement, and such further instruments as may reasonably be required for correcting any inadequate, or incorrect, or amended description of the Redevelopment Property or the Minimum Improvements or for carrying out the expressed intention of the Ellipse II Assessment Agreement. G. To amend the description of the Redevelopment Property by the addition of the Allocated Property to the Redevelopment Property, the parties have agreed to modify certain terms and conditions of the Ellipse II Contract as set forth below. EDA Meeting of August 20, 2012 (Item No. 7b) Page 9 Subject: First Amendment to Purchase & Redevelopment Contract between the EDA & Ellipse II LLC NOW, THEREFORE, in consideration of the premises and the mutual obligations of the parties hereto, each of them does hereby covenant and agree with the other as follows: 1. Amendment of Exhibit A. Exhibit A to the Ellipse II Assessment Agreement is amended to add the following to the legal description of the Redevelopment Property: The property described as the Southwesterly 11.00 feet of Lot 1, Block 1, Ellipse on Excelsior, Hennepin County, Minnesota. 2. Miscellaneous. Except as amended by this Amendment, the Ellipse II Assessment Agreement shall remain in full force and effect. Upon execution, Redeveloper shall reimburse the Authority for all out-of pocket-costs incurred by the Authority in connection with negotiating, drafting and approval of this Amendment. EDA Meeting of August 20, 2012 (Item No. 7b) Page 10 Subject: First Amendment to Purchase & Redevelopment Contract between the EDA & Ellipse II LLC IN WITNESS WHEREOF, the Authority and the Redeveloper have caused this Amendment to be duly executed by their duly authorized representatives. ELLIPSE II LLC ST. LOUIS PARK ECONOMIC DEVELOPMENT AUTHORITY By _________________________ By Its ____________________ Its President By Its Deputy Executive Director STATE OF MINNESOTA ) ) SS. COUNTY OF HENNEPIN ) The foregoing instrument was acknowledged before me this ____ day of August, 2012, by Susan Santa and Nancy Deno, the President and Deputy Executive Director of the St. Louis Park Economic Development Authority, a public body corporate and politic, on behalf of the Authority. Notary Public STATE OF MINNESOTA ) ) SS. COUNTY OF HENNEPIN ) The foregoing instrument was acknowledged before me this ____ day of August, 2012, by Scott Bader, the Administrative Member of Ellipse II LLC, a Delaware limited liability company, on behalf of the company. Notary Public THIS INSTRUMENT WAS DRAFTED BY: Kennedy & Graven, Chartered (MNI) 470 U.S. Bank Plaza Minneapolis, Minnesota 55402 EDA Meeting of August 20, 2012 (Item No. 7b) Subject: First Amendment to Purchase & Redevelopment Contract between the EDA & Ellipse II LLC Page 11 Meeting Date: August 20, 2012 Agenda Item #: 2a Regular Meeting Public Hearing Action Item Consent Item Resolution Ordinance Presentation Other: EDA Meeting Action Item Resolution Other: Study Session Discussion Item Written Report Other: TITLE: Playground Junior Leader Recognition RECOMMENDED ACTION: Mayor Jacobs is asked to recognize the Junior Leaders for their service this summer. Recreation Coordinator Lisa Abernathy will be in attendance to provide background and current information on the summer program. Summer Playground Director Katie Lee will also be in attendance to assist with the presentation. POLICY CONSIDERATION: Not applicable. BACKGROUND: There were 21 youth volunteers that completed the program this summer and collectively they have volunteered over 800 hours. Several of these volunteers have been involved for many years. The Junior Leaders Program has been part of the Parks and Recreation Department for over 19 years. Junior Leaders for the St. Louis Park Parks and Recreation Department volunteer during June and July in the Summer Playground Program. The goal of this program is to offer 7th through 9th grade youth an opportunity to maintain their relationship with the summer playground program, while gaining valuable on-the-job experience assisting full-time leaders with other youth, ages 6 to 12. The program also gives them the opportunity to be a positive role model to younger youth in their community. Job responsibilities included assisting leaders with program activities, set-up and clean-up, and initiating activities for playground participants. Junior Leaders assisted program participants in understanding games and craft projects, keeping them interested and involved in activities as well as aware of upcoming events. Junior Leaders also assisted in limited supervision of program participants to ensure their safety at the park. Junior Leaders demonstrated responsibility, positive attitudes and a willingness to spend part of their summer volunteering their time at a neighborhood park. During their time in the parks this summer, they became role models for the program participants they worked with, as well as excellent helpers for the full-time leaders. This summer there were 11 playground sites with a total of 810 kids registered. Along with playground staff, Junior Leaders play a key role in providing a positive experience for each participant. Junior Leaders were required to work a minimum of 40 hours during the Summer Playground Program. The Junior Leaders are rewarded with this special recognition evening, a letter of recommendation, and passes to The Rec Center’s ice arena. City Council Meeting of August 20, 2012 (Item No. 2a) Page 2 Subject: Playground Junior Leader Recognition FINANCIAL OR BUDGET CONSIDERATION: Not applicable. VISION CONSIDERATION: This program is consistent with St Louis Park’s commitment to being a connected and engaged community. Attachments: None Prepared by: Lisa Abernathy, Recreation Supervisor Reviewed by: Cindy S. Walsh, Director of Parks and Recreation Approved by: Nancy Deno, Deputy City Manager/HR Director Meeting Date: August 20, 2012 Agenda Item #: 4a Regular Meeting Public Hearing Action Item Consent Item Resolution Ordinance Presentation Other: EDA Meeting Action Item Resolution Other: Study Session Discussion Item Written Report Other: TITLE: Second Reading of Liquor Ordinance Amendment – Brewer Taproom Licensing RECOMMENDED ACTION: Motion to Approve Second Reading and Adopt Ordinance amendment to Chapter 3 of City Code concerning Brewer Taproom on-sale malt liquor licensing, approve the summary ordinance for publication, and to approve Resolution amending Resolution No. 11-126 adopting annual fees for Liquor licenses for the license term through March 1, 2013. POLICY CONSIDERATION: Does the Council wish to make changes to the City Code to allow brewer taproom licensing as proposed by staff and city attorney? BACKGROUND: MN Statute allows cities to issue a brewer taproom license that allows the on-sale of malt liquor produced by a brewer for consumption on the premises of the brewery location owned by the brewer. Steel Toe Brewing, 4848 35th Street, receives several requests for tours, meets the criteria, and would like to add a taproom for those people visiting its facility. To allow a licensed brewer taproom in St. Louis Park, amendments to the city code would be required. All Brewer Tap Room liquor licenses require additional approval by the Alcohol and Gambling Enforcement Division prior to becoming effective. The City Council discussed the taproom option at its May 21, 2012 and June 25, 2012 Study Sessions and directed staff to prepare amendments to the Liquor License and Zoning Ordinances to allow taprooms. The draft ordinance has been reviewed by the City Attorney, and determined to be consistent with State Law and existing City Ordinances. A public hearing was held on August 6, 2012 and council approved first reading of the ordinance amendments. A summary of the liquor ordinance amendment is as follows: Liquor License Amendment: 1. A taproom license will be issued only to brewers that produce less than 3,500 barrels of malt liquor per year. State Statute allows taprooms at brewers that produce up to 250,000 barrels annually, however State Statutes only allow growler sales at breweries that produce up to 3,500 barrels annually. Staff chose to be consistent with the treatment of growler sales and taprooms and therefore set a 3,500 annual barrel production limit for both items. As a matter of comparison, Steel Toe currently produces 500 barrels annually. The owner of Steel Toe does not anticipate the 3,500 barrel limit becoming a hindrance in the future. 2. The only alcoholic beverages sold or consumed on the premises of a taproom are the malt liquor produced by the brewer on the licensed premises. This is a requirement of State Law. 3. A brewer may have only one taproom license. This is a requirement of State Law. City Council Meeting of August 20, 2012 (Item No. 4a) Page 2 Subject: Second Reading of Liquor Ordinance Amendment – Brewer Taproom Licensing 4. Hours of operation for on-sale of malt liquor at a brewer taproom shall be within the following hours: Monday - Thursday: 3 pm to 8 pm Friday: 3 pm to 10 pm Saturday: 11 am to 10 pm Sunday: 11 am to 8 pm Federally Recognized Holidays: 11 am to 10 pm 5. A restaurant is not allowed at a brewery with a taproom license. The brewer would, however, be allowed to sell simple pre-packaged snacks (chips, peanuts, popcorn, etc.) for consumption on-site. This requirement is added to provide a distinction between a liquor license issued to restaurants and a brewery taproom. The intent of the taproom is to provide customers an opportunity to sample and enjoy the malt beverage produced by the brewery. It is not intended to provide a dining experience. If the City’s zoning regulations allows restaurants in the location of the brewery, then the brewer can choose to abandon the taproom license and apply for an intoxicating liquor license which is typically issued to restaurants, and the brewer would need to comply with all requirements of that license, including food/liquor sale ratios. Recommendation The proposed amendments to Sections 3-32 and 3-57 of the city ordinance code would allow this type of activity and assure the city is in compliance with state statute. FINANCIAL OR BUDGET CONSIDERATION: Staff is recommending a license fee of $800 for an On Sale Brewer’s Taproom License to cover costs of providing administration and enforcement. VISION CONSIDERATION: St. Louis Park is committed to promoting and integrating arts, culture and community aesthetics in all city initiatives. Attachments: Ordinance Summary Publication Resolution Prepared by: Nancy Stroth, City Clerk Approved by: Nancy Deno, Deputy City Manager/HR Director City Council Meeting of August 20, 2012 (Item No. 4a) Page 3 Subject: Second Reading of Liquor Ordinance Amendment – Brewer Taproom Licensing ORDINANCE NO. ____-12 AN ORDINANCE AMENDING CHAPTER 3 OF THE ST. LOUIS PARK CODE OF ORDINANCES CONCERNING BREWER TAPROOM LICENSING THE CITY OF ST. LOUIS PARK DOES ORDAIN: SECTION 1. Chapter 3, Article II, Division 1, Section 3-32 of the City Code is hereby amended by adding the following provisions: Sec. 3-32. Definitions. Brewer means a person who manufactures malt liquor for sale. SECTION 2. Chapter 3, Article II, Division 2, Section 3-57 of the City Code is hereby amended by adding the following provisions: Sec. 3-57. Classifications. (14) Brewer taproom license. A brewer who has a license from the Commissioner of Public Safety to brew up to 3,500 barrels of malt liquor per year may be issued a license by the City for on-sale of malt liquor subject to the following conditions: a. The malt liquor sold on sale for consumption must be produced by the brewer on the licensed premises. b. No other beverages containing alcohol may be sold or consumed on the licensed premises b. A brewer may only have one taproom license. c. Hours of operation for on-sale of malt liquor at a brewer taproom shall be within the following hours: Monday - Thursday 3:00 p.m. – 8:00 p.m. Friday 3:00 p.m. – 10:00 p.m. Saturday 11:00 a.m. – 10:00 p.m. Sunday 11:00 a.m. – 8:00 p.m. Federally Recognized Holidays 11:00 a.m. – 10:00 p.m. d. A restaurant is not allowed at a brewery with a taproom license. City Council Meeting of August 20, 2012 (Item No. 4a) Page 4 Subject: Second Reading of Liquor Ordinance Amendment – Brewer Taproom Licensing SECTION 3. This ordinance shall be deemed adopted and take effect fifteen days after its publication. ENACTED this 20th day of August, 2012, by the City Council of the City of St. Louis Park. Reviewed for Administration Adopted by the City Council August 20, 2012 City Manager Mayor Attest: Approved as to Form and Execution: City Clerk City Attorney Public Hearing/First Reading August 6, 2012 Second Reading August 20, 2012 Date of Publication August 30, 2012 Date Ordinance takes effect September 14, 2012 City Council Meeting of August 20, 2012 (Item No. 4a) Page 5 Subject: Second Reading of Liquor Ordinance Amendment – Brewer Taproom Licensing SUMMARY ORDINANCE NO. ____-12 AN ORDINANCE AMENDING CHAPTER 3 OF THE ST. LOUIS PARK CODE OF ORDINANCES CONCERNING BREWER TAPROOM LICENSING This ordinance amends the liquor licensing provisions for the City of St. Louis Park by adding a new type of liquor license classification for brewer taproom licenses. This ordinance shall take effect 15 days after publication. Adopted by the City Council August 20, 2012 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: August 30, 2012 City Council Meeting of August 20, 2012 (Item No. 4a) Page 6 Subject: Second Reading of Liquor Ordinance Amendment – Brewer Taproom Licensing RESOLUTION NO. 12-_____ RESOLUTION AMENDING RESOLUTION NO. 11-126 ADOPTING ANNUAL FEES FOR LIQUOR LICENSES FOR THE LICENSE TERM THROUGH MARCH 1, 2013 BE IT RESOLVED by the City Council of the City of St. Louis Park as follows: WHEREAS, St. Louis Park City Code Section 3-59 authorizes the City Council to establish annual fees for liquor licenses by resolution in amounts no greater that those set forth in M.S.A. Chapter 340A; and WHEREAS, the City has adopted an ordinance authorizing brewer’s to sell malt liquor beverages produced by the brewer on the licensed premises for on-sale consumption. NOW THEREFORE BE IT RESOLVED by the City Council of the City of St. Louis Park, Minnesota, that Resolution 11-126 is amended by adding the following fee: Liquor License Type: 2012 Fee On Sale Brewer’s Taproom and Sunday Liquor License $800 Reviewed for Administration: Adopted by the City Council August 20, 2012 City Manager Mayor Attest: City Clerk Meeting Date: August 20, 2012 Agenda Item #: 4b Regular Meeting Public Hearing Action Item Consent Item Resolution Ordinance Presentation Other: EDA Meeting Action Item Resolution Other: Study Session Discussion Item Written Report Other: TITLE: Zoning Ordinance Amendment for Brewery Taprooms – Second Reading RECOMMENDED ACTION: Motion to Approve Second Reading and Adopt Ordinance pertaining to brewery taprooms, and approve the summary ordinance for publication also contained in the agenda materials. POLICY CONSIDERATION: Does the City Council wish to make changes to the City Code to allow brewer taprooms? BACKGROUND: MN Statutes were recently amended to allow municipalities to issue a taproom license to a state licensed brewer. The City has been approached by Steel Toe Brewing, located at 4848 35th Street in the Beltline Industrial Park, about allowing a Brewer Taproom at its facility. Before the City can issue a taproom license, changes have to be made to the Zoning Ordinance to identify which zoning districts a taproom is allowed, and the conditions in which it can operate. The City Council approved the first reading of the proposed ordinance on August 6, 2012. A summary of the ordinance follows: Zoning Amendment: 1. Staff is proposing the following land use definitions: Taproom means a facility where on-sale of malt liquor produced by the brewer for consumption on the premises of, or adjacent to, the brewery location owned by the brewer at which the malt liquor is produced. Brewery means a facility that manufactures alcoholic and/or nonalcoholic malt liquor. This definition does not include breweries operated in conjunction with a restaurant as an accessory use. 2. Breweries are proposed to be allowed in the Business Park, Industrial Park and General Industrial Zoning Districts as permitted uses with the following conditions: Business Park and Industrial Park - the brewery shall not produce more than 3,500 barrels per year. General Industrial Park – no additional conditions. A brewery in this district can produce any amount of beverage. 3. Taprooms are proposed to be located in the Business Park and Industrial Park Zoning Districts with the following condition: Up to 25% of the gross floor area of the Brewery in a Business Park District, and up to15% in the Industrial Park Zoning District may be used for any combination of retail and a taproom. City Council Meeting of August 20, 2012 (Item No. 4b) Page 2 Subject: Zoning Ordinance Amendment for Brewery Taprooms – Second Reading FINANCIAL OR BUDGET CONSIDERATION: Not applicable. VISION CONSIDERATION: St. Louis Park is committed to creating community gathering places. Attachments: Ordinance Summary Ordinance for publication Prepared by: Gary Morrison, Assistant Zoning Administrator Reviewed by: Meg McMonigal, Planning & Zoning Administrator Kevin Locke, Community Development Director Approved by: Nancy Deno, Deputy City Manager/HR Director City Council Meeting of August 20, 2012 (Item No. 4b) Page 3 Subject: Zoning Ordinance Amendment for Brewery Taprooms – Second Reading ORDINANCE NO.____-12 AN ORDINANCE AMENDING THE ST. LOUIS PARK ORDINANCE CODE RELATING TO ZONING BY AMENDING SECTIONS 36-4 DEFINITIONS, 36-233 BP BUSINESS PARK DISTRICT, 36-243 I-P INDUSTRIAL PARK DISTRICT, AND 36-244 I-G GENERAL INDUSTRIAL DISTRICT 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. 12-18-ZA). Sec. 2. The St. Louis Park Ordinance Code, Sections 36-4, 36-233, 36-243, and 36-244 are hereby amended by adding underscored language. Section breaks are represented by ***. *** Sec. 36-4. Definitions. *** Brewery means a facility that manufactures alcoholic and nonalcoholic malt liquor. This definition does not include breweries operated in conjunction with a restaurant as an accessory use. *** Taproom means a facility where on-sale of malt liquor produced by the brewer for consumption on the premises of, or adjacent to, the brewery location owned by the brewer at which the malt liquor is produced. *** Sec. 36-233. BP business park district. *** (c) Uses permitted with conditions. A structure or land in any BP district may be used for one or more of the following uses if it has a floor area ratio (FAR) of less than 1.0 and complies with the performance standards as stated in Section 36-232 and the conditions stated below: *** 1. Brewery. The conditions are as follows: a. The brewery shall not produce more than 3,500 barrels of malt liquor per year. b. Up to 25% of the gross floor area of the Brewery may be used for any combination of retail and a taproom. *** City Council Meeting of August 20, 2012 (Item No. 4b) Page 4 Subject: Zoning Ordinance Amendment for Brewery Taprooms – Second Reading Sec. 36-243. I-P industrial park district. *** (c) Uses permitted with conditions. A structure or land in an I-P district may be used for one or more of the following uses if its use complies with the conditions stated in section 36-242 and those specified for the use permitted in this subsection: *** (11) Brewery. The conditions are as follows: a. The brewery shall not produce more than 3,500 barrels of malt liquor per year. b. Up to 15% of the gross floor area of the Brewery may be used for any combination of retail and a taproom. *** Sec. 36-244. I-G general industrial district. *** (b) Permitted uses. The following uses are permitted in an I-G district. *** (15) Brewery. Sec. 3. The contents of Planning Case File 12-18-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 July 18, 2012 First Reading August 6, 2012 Second Reading August 20, 2012 Date of Publication August 30, 2012 Date Ordinance takes effect September 14, 2012 Reviewed for Administration Adopted by the City Council August 20, 2012 City Manager Mayor Attest: Approved as to Form and Execution: City Clerk City Attorney City Council Meeting of August 20, 2012 (Item No. 4b) Page 5 Subject: Zoning Ordinance Amendment for Brewery Taprooms – Second Reading SUMMARY ORDINANCE NO.____-12 AN ORDINANCE AMENDING THE ST. LOUIS PARK ORDINANCE CODE RELATING TO ZONING BY AMENDING SECTIONS 36-4 DEFINITIONS, 36-233 BP BUSINESS PARK DISTRICT, 36-243 I-P INDUSTRIAL PARK DISTRICT, AND 36-244 I-G GENERAL INDUSTRIAL DISTRICT This ordinance identifies which zoning districts allow taprooms, and the conditions in which taprooms can operate. This ordinance shall take effect 15 days after publication. Adopted by the City Council August 20, 2012 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: August 30, 2012 Meeting Date: August 20, 2012 Agenda Item #: 4c Regular Meeting Public Hearing Action Item Consent Item Resolution Ordinance Presentation Other: EDA Meeting Action Item Resolution Other: Study Session Discussion Item Written Report Other: TITLE: Second Reading of Zoning Ordinance Amendment - Conditional Use Permits RECOMMENDED ACTION: Motion to Approve Second Reading and Adopt Ordinance pertaining to Conditional Use Permit, and approve the summary ordinance for publication also contained in the agenda materials. POLICY CONSIDERATION: Does the City Council wish to make changes to the City Code to consolidate all Conditional Use Permit regulations into one subsection of the Zoning Ordinance? BACKGROUND: The proposed Zoning Ordinance is essentially a house-keeping amendment to make the CUP and Variance requirements easier to find in our ordinance and easier to understand. There are no changes to the actual CUP or Variance standards or requirements, only a consolidation of all the CUP and Variance requirements into a single section of the ordinance. The City Council approved the First Reading on August 6, 2012. FINANCIAL OR BUDGET CONSIDERATION: Not applicable. VISION CONSIDERATION: St. Louis Park is committed to providing an efficient and helpful community service. Attachments: Ordinance Summary Ordinance for Publication Prepared by: Gary Morrison, Assistant Zoning Administrator Reviewed by: Meg McMonigal, Planning & Zoning Administrator Kevin Locke, Community Development Director Approved by: Nancy Deno, Deputy City Manager/HR Director ORDINANCE NO.____-12 AN ORDINANCE AMENDING THE ST. LOUIS PARK ORDINANCE CODE RELATING TO ZONING BY AMENDING SECTIONS 3, 33, 34, 35, 36, 37, 38, 39, 40, 41, 115, 151, 163, 164, 165, 166, 167, 223, 243, 244, 365 CONDITIONAL USE PERMIT REGULATIONS 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. 12-20-ZA). Sec. 2. The St. Louis Park Ordinance Code, Sections 3, 33, 34, 35, 36, 37, 38, 39, 40, 41, 115, 151, 163, 164, 165, 166, 167, 223, 243, 244, 365 are hereby amended by deleting stricken language and adding underscored language. Section breaks are represented by ***. Chapter 36 ZONING Table of Contents *** Article II. Administration and Enforcement Sec. 36-31. Interpretation; procedures. Sec. 36-32. Registration of land use. Sec. 36-33. Application and review process for Cconditional Uuse Ppermits and variances. Sec. 36-34. Variances Amendments. Sec. 36-35. Amendments Reimbursement for city costs. Sec. 36-36. Reimbursement Continuation of certain special permits. Sec. 36-37. Continuation of certain special permitsEnforcement. Sec. 36-38. EnforcementPublic hearings. Sec. 36-39. Public hearingsCompliance with the comprehensive plan. Sec. 36-40. Compliance with the Comprehensive Plan. Secs. 36-410--36-70. Reserved. *** Article V. Special Provisions *** City Council Meeting of August 20, 2012 (Item No. 4c) Subject: Second Reading of Zoning Ordinance Amendment - Conditional Use Permits Page 2 Sec. 36-365. Reserved. Standards and conditions for conditional use permits. *** ARTICLE I. IN GENERAL *** Sec. 36-3. Rules of construction. *** (d) Jurisdiction and authority. (1) This chapter is enacted under the authority granted to the city in state statutes. If those statutes are amended to restrict or enlarge the authority delegated to the city, those amendments shall be incorporated into this chapter. (2) This chapter governs the use of all land and structures in the city unless such regulation is specifically preempted by state or federal statutes or regulations. Any action by the city to extend the time limit to process a zoning application in accordance with Minn. Stat 15.99, as amended, may be taken administratively without city council approval. (3) This chapter governs the use of all land and structures in the city unless such regulation is specifically preempted by state or federal statutes or regulations. *** Sec. 36-33. Application and review process for Cconditional Uuse Ppermits (CUP) and variances. (a) Application of section provisions. This section shall apply to all conditional use permits and variances. Findings and Purpose: The city council may grant conditional use permits by resolution for uses and purposes authorized by this chapter, and may impose such additional conditions and safeguards in permits as may be necessary to protect the comprehensive plan and the general purpose and intent of this chapter. (b) General provisions.Standards and conditions. A conditional use permit shall be issued when the following findings are made: (1) Consistency with plans. It is consistent with and supportive of principles, goals, objectives, land use designations, redevelopment plans, neighborhood objectives, and implementation strategies of the comprehensive plan. (2) Nuisance. It is not detrimental to the health, safety, morals and general welfare of the community as a whole. It will not have undue adverse impacts on the use and enjoyment of properties, existing and anticipated traffic conditions, parking facilities on adjacent streets, and values of properties in close proximity to the conditional use. (3) Compliance with code. It is consistent with the regulations, intent and purpose of City Code and the zoning district in which the conditional use is located. City Council Meeting of August 20, 2012 (Item No. 4c) Subject: Second Reading of Zoning Ordinance Amendment - Conditional Use Permits Page 3 (4) Consistency with service capacity. It will not have undue adverse impacts on governmental facilities, services or improvements which are either existing or proposed. (5) Site design. It is consistent with the design and other requirements of site and landscape plans prepared by or under the direction of a professional landscape architect or civil engineer registered in the state and adopted as part of the conditions imposed on the use by the city council. (6) Consistency with utilities. It is consistent with the City’s stormwater, sanitary sewer, and water plans. (7) Conditions specific to site. It complies with all conditions imposed by the City Council and listed within the conditional use permit. (c) General Provisions: (1) Conditional Use Permit required. No building or land shall be used or occupied for a use which requires a conditional use permit until the permit has been issued. (2) Compliance to conditions required. No building or land shall be used or occupied for which a conditional use permit has been issued unless that use complies with all of the conditions of that conditional use permit. (3) Referral to planning commission. The request for a conditional use permit shall be referred to the planning commission for a public hearing and to study the effect of the proposed use on the comprehensive plan and on the character and development of the neighborhood. The planning commission shall recommend to the city council whether to grant or deny the conditional use permit request and the conditions which should be attached to the conditional use permit, if the recommendation is to approve the request. (4) Action without planning commission recommendation. If the planning commission does not transmit a recommendation to the City Council in a timely manner, then the city council may take action on the request without a recommendation of the planning commission. (5) Reimbursement. The conditional use permit shall become valid after the applicant has paid to the city all fees due according to section 36-36. (6) Building permits. Building permits shall not be issued for any property for which the city council has approved a conditional use permit until the applicant has met the conditions of the permit, paid to the city all required fees, has signed an assent form, and has filed with the city clerk any required letter of credit or other security. (7) Major Amendment. A major amendment to an existing conditional use permit is required when the proposed changes or modifications will have an effect on required parking, required yards, floor area ratios, ground floor area ratios, signage, building height, density, covenants or agreements required by the original conditional use permit, or changes in conditional use permits issued in the FW, FF or FP districts. A major amendment shall follow the same process required for an initial CUP application. (8) Minor Amendment. Any amendment to an existing conditional use permit not considered a major amendment as defined above may be approved by the City Council. The minor City Council Meeting of August 20, 2012 (Item No. 4c) Subject: Second Reading of Zoning Ordinance Amendment - Conditional Use Permits Page 4 amendment shall follow the same process as an initial CUP application, except that a public hearing and planning commission review is not required. (d) Process: (1) Application. All applications for conditional use permits shall be initiated by, or with the written consent of, the owners of the property. A complete application shall consist of: a. An application and payment of required application fee. b. A complete and accurate legal description of the property. c. A written explanation of the request addressing the development proposal and the criteria listed in section (b) above. d. A survey of the property showing all property lines, topography, structures and easements. Additional drawings showing site conditions and improvements as needed to show compliance with city regulations. e. A dimensioned plan showing landscaping, parking, lighting, and other site design elements required to show compliance with City Code. f. A dimensioned plan showing drainage, stormwater and utility plans prescribing locations for city water, sewer, fire hydrants, manholes, power, telephone, and cable lines, natural gas mains, and other service facilities prepared by a professional civil engineer registered in the state and adopted. g. A dimensioned plan showing the floor plan and elevations for all existing and proposed structures. h. A map or plat showing the lands proposed for the conditional use permit and all lands within 350 feet of the boundaries of the property and two copies of the names and addresses of the owners of the lands in the area as they appear on the records of the county auditor or other appropriate records. i. Any other materials required by the city. (21) Hearings. a. The planning commission shall conduct a public hearing for all initial conditional use permit applications and major amendments to existing conditional use permits.No conditional use permit shall be issued until a public hearing on the request has been held by the planning commission. b. No variance approval shall be adopted until a public hearing on the request has been held by the board of zoning appeals. bc. A notice of the time, place and purpose of the hearing shall be published in the official newspaper of the city at least ten days prior to the date of the hearing. City Council Meeting of August 20, 2012 (Item No. 4c) Subject: Second Reading of Zoning Ordinance Amendment - Conditional Use Permits Page 5 cd. A notice of these hearings shall also be mailed at least ten days before the date of the hearing to each owner of the affected property and owners of record of property located wholly or partly within 350 feet of the property for which the conditional use permit or variance has been requested. de. The person responsible for mailing the notice shall use the records of the county auditor's office or other appropriate records to determine the names and addresses of owners entitled to written notice. A copy of the notice and a list of the owners and addresses to which the notice was sent shall be attested to by the person giving the notice and shall be made a part of the record of the proceedings. The failure to give mailed notice to individual property owners or defects in the notice shall not invalidate the proceedings provided a bona fide attempt has been made to comply with this section. (32) Conditions and modifications. a. The city council may impose reasonable conditions oin any conditional use permit and may, at any time at its election or upon application by the property owner, modify the conditions of an existing conditional use permit as changing circumstances warrant. No modification of an existing conditional use permit may be made until a public hearing has been held by the planning commission in the manner outlined in section 36-34(b)(2) except that minor amendments shall require only notice to the holder of the permit and approval of the city council. (4) Modifications. The City Council may initiate a modification of an existing conditional use permit. The modification shall follow the same process as required for a conditional use permit. b. A minor amendment shall not be granted for proposed changes or modifications which will have an effect on required parking, required yards, floor area ratios, ground floor area ratios, signage, building height, density, covenants or agreements required by the original conditional use permit, or changes in conditional use permits issued in the FW, FF or FP districts. c. The board of zoning appeals may impose reasonable conditions in any variance approval and may, at any time at its election or upon application of the property owner, modify the conditions of a variance approval as changing circumstances warrant. No modifications of an existing variance may be made until a public hearing has been held by the board of zoning appeals in the manner outlined in subsection (b)(1)b. of this section. (53) Assent form. A No conditional use permit or variance with imposed conditions is not valid until the applicant has signed an assent form and the approved exhibits which acknowledge the terms and conditions under which the conditional use permit or variance is granted, agreeing to observe them. (64) Filing. The resolution approving a conditional use permit, variance, or modification of a conditional use permit or variance shall include the legal description of the property for which the permit or variance was issued. A certified copy of the resolution shall be filed with the appropriate filing officer at the county recorder or county registrar of titles. (5) Abandonment, revocation and cancellation of permit or variance. If the zoning administrator determines that any holder of an existing variance or conditional use permit has violated any of City Council Meeting of August 20, 2012 (Item No. 4c) Subject: Second Reading of Zoning Ordinance Amendment - Conditional Use Permits Page 6 the conditions or requirements imposed as a condition to approval of the permit or variance, or has violated any other applicable laws, ordinances, or enforceable regulation, the variance or conditional use permit granted by the city may be revoked and canceled by the following process: a. The zoning administrator shall notify the holder in writing of the violation. The notice shall be given in person or by depositing a copy of it in the United States post office or a depository designated by the United States Postal Service for the deposit of mail, addressed to the address of the applicant stated on the original application. Notice shall also be served upon the occupant of the premises for which the conditional use permit or variance was issued or, if no occupant can be found, notice shall be posted in a conspicuous place upon such premises. Service shall be effective on the date of mailing, personal service or posting. b. The notice shall state that after the expiration of ten days from the date of service, the conditional use permit or variance is terminated without further action or proceeding. (6) No construction required after one year. All variances and conditional use permits shall be revoked and canceled if one year has elapsed from the date of the adoption of the resolution granting the conditional use permit or variance and the holder of the conditional use permit or variance has failed to make actual use of the premises according to the provisions contained in the permit or variance. (7) New construction required after one year. All variances and conditional use permits shall be revoked and canceled after one year has elapsed from the date of the adoption of the resolution granting the variance or conditional use permit if a new structure or alteration or substantial repair of an existing building is required by the conditional use permit or variance and the holder has failed to complete the work within that year, unless a valid building permit authorizing such work has been issued and work is progressing in an orderly way. (8) Occurrence of certain events. If the holder of a conditional use permit or variance fails to make actual use of vacant lands or lands and structures which were existing when the permit or variance was issued and no new structure, alteration, or substantial repair to existing buildings was required; or if a new structure was required by the conditional use permit or variance and no building permit has been obtained, the conditional use permit or variance shall be revoked and canceled upon the occurrence of any of the following events: a. A change in the zoning use district for such lands is made by amendment to the ordinance from which this chapter is derived by the city council. b. Eminent domain proceedings have been initiated to take all or any part of the premises described in the conditional use permit or variance. c. The use described in the conditional use permit or variance becomes an illegal activity under the laws of the United States of America or this state. d. Title to all or part of land described in such conditional use permit or variance is forfeited to the state for nonpayment of taxes. e. The person to whom the conditional use permit or variance was issued files a written statement in which that person states that the conditional use permit or variance has been City Council Meeting of August 20, 2012 (Item No. 4c) Subject: Second Reading of Zoning Ordinance Amendment - Conditional Use Permits Page 7 abandoned. The statement shall describe the land involved or state the resolution number under which the conditional use permit or variance was granted. f. The premises for which the conditional use permit or variance was issued are used by the person to whom the permit or variance was issued in a manner inconsistent with the provisions of such conditional use permit or variance. g. The building or structure for which a variance or conditional use permit was granted is removed. (9) Abandonment of existing conditional use permits and variances. The one-year period used in this chapter to compute time to determine whether a conditional use permit or a variance has been canceled or revoked shall begin with the date of adoption of the resolution granting the conditional use permit or variance. (10) Abandonment if conditions not met or use discontinued. a. Any conditional use permit granted by the city is revoked and canceled if all conditions imposed in the conditional use permit are not satisfied within a time specified by the city council or if the approved use is discontinued for a period of more than two years. b. Any variance granted by the board of zoning appeals is revoked and canceled if all conditions imposed in the variance are not satisfied within the time specified by the board of zoning appeals or if the approved use is discontinued for a period of more than two years. c. If an extension is requested by the owner of the property on which a conditional use permit has been discontinued prior to the end of two years, the city council may consider or approve, by resolution, such requested extension if the city council finds the use to be acceptable and a satisfactory reason exists to grant an extension; however, such extension shall not be granted if it would allow the discontinued use to extend more than an additional three years beyond the original two years. (711) Extension of time. The city council may grant an one or more 90-day extensions of time beyond the termination date for any conditional use permit. The board of zoning appeals may grant an extension of time not to exceed one year for any variance. The fee to process an extension request shall be set by resolution adopted by the city council establishing such fees. At the time the extension is granted, the city council or the board of zoning appeals may waive the fee and direct the return of a part or all of it to the applicant. In considering whether to refund any of the fee charged, the city shall determine whether it has incurred additional expense in considering the request for extension. Requests for extension of time must be filed with the city manager before the termination date of the conditional use permit or variance, but such request shall not be filed more than 21 days before the termination date. (812) Denial; appeal of variance decision. a. Conditional use permits may be denied by resolution of the city council. A resolution of denial shall constitute a finding by the city council that the conditions required for approval do not exist. City Council Meeting of August 20, 2012 (Item No. 4c) Subject: Second Reading of Zoning Ordinance Amendment - Conditional Use Permits Page 8 b. Variance applications may be denied by resolution of board of zoning appeals. A resolution of denial shall constitute a finding by the board of zoning appeals that the conditions required for approval do not exist. Any owner of the affected property or an owner of property situated either wholly or partly within 350 feet of the affected property may appeal the decision of the board of zoning appeals to the city council following the procedures in subsection (d)(6) of this section. The appeal must be submitted in writing to the planning director within ten calendar days after the date of the board of zoning appeals decision. c. Any person who is denied a variance by the board of zoning appeals or whose appeal is denied by the city council may not reapply for the same variance within 24 months from the denial date unless the physical conditions of the property or land in question have changed. A change in the physical conditions would include, but is not limited to, a division or combination of the land or a taking of part of the land for public purpose. (13) Duration and enforcement. Conditional use permits and variances shall remain in effect as long as the conditions stated in the permit or variance are observed. Failure to comply with those conditions results in termination of the conditional use permit or variance. (c) Conditional use permits. The city council may grant conditional use permits for uses and purposes authorized by this chapter by resolution and may impose such additional conditions and safeguards in permits as may be necessary to protect the comprehensive plan and the general purpose and intent of this chapter. Applications for conditional use permits shall include a site plan and such other information required by the city which shall be processed in the following way: (1) Referral to planning commission. The request for a conditional use permit shall be referred to the planning commission for study of the effect of the proposed use on the comprehensive plan and on the character and development of the neighborhood. The planning commission shall recommend to the city council whether to grant or deny the conditional use permit request and, if the recommendation is to approve the request, the conditions which should be attached to the conditional use permit. (2) Issuance. In considering an application for a conditional use permit under this chapter, the city council shall consider the advice and recommendations of the planning commission and the effect of the proposed use upon the health, safety, and welfare of occupants of surrounding lands, existing and anticipated traffic conditions, parking facilities on adjacent streets, values of property in the surrounding area, and the objectives of the comprehensive plan. If it shall determine, by resolution, that the proposed use will not be detrimental to the health, safety, or general welfare of the community, will not cause serious traffic congestion or hazards, will not seriously depreciate surrounding property values, and that it is in harmony with the general purpose and intent of this chapter and the comprehensive plan, the city council may grant such permits and may impose conditions and safeguards in the permit as a condition of its approval. (3) Action without planning commission recommendation. If no recommendation is transmitted by the planning commission within 60 days after the application for conditional use permit has been referred to the commission, the city council may take action on the request without a recommendation of the planning commission. (4) Conditional use permits. No application for a conditional use permit under the provisions of this chapter shall be filed until the applicant has paid the city treasurer the application fee adopted by the city council. City Council Meeting of August 20, 2012 (Item No. 4c) Subject: Second Reading of Zoning Ordinance Amendment - Conditional Use Permits Page 9 (5) Assent forms. No conditional use permit shall become valid until the applicant has signed an assent form according to subsection (b)(3) of this section. (6) Reimbursement. No conditional use permit shall become valid until the applicant has paid to the city all fees due according to section 36-35(b). (7) Building permits. No building permit shall be issued for any property for which the city council has approved a conditional use permit until the applicant has paid to the city all required fees, has signed an assent form, and has filed with the city clerk any required letter of credit or other security. Sec. 36-34. (d)Variances. The board of zoning appeals The City may grant variances from the strict application of the provisions of the zoning ordinance in accordance with this section and state law. (a) Standards and Provisions. While reviewing a variance application, the City shall consider the strict application of the provisions of this chapter and the requirements of all applicable state law. (1) Variances are not permitted for: a. Any land use that is not allowed under the zoning ordinance for property in the zone where the affected person’s land is located. b. Floor elevations lower than the flood protection elevation in the floodplain district. (2) The City may grant variances upon consideration of the following: a.(2) The board of zoning appeals may grant a variance from the strict application of the provisions of this chapter upon consideration of the effect of the proposed variance upon the health, safety and welfare of the community. Variances shall only be permitted: ba. When The request is they are in harmony with the general purposes and intent of the ordinance and, cb. When the The request is variances are consistent with the comprehensive plan. d.(3) The Variances may be granted when the applicant for the variance establishes that there are practical difficulties in complying with the zoning ordinance. “Practical difficulties,” as used in connection with the granting of a variance, means that: 1.a. The property owner proposes to use the property for a land use permitted in the zoning district in which the land is located. A variance can be requested for dimensional items required in the zoning ordinance, including but not limited to setbacks and height limitations in a reasonable manner not permitted by the zoning ordinance; 2b. The plight of the landowner is due to circumstances unique to the property not created by the landowner; and 3c. The variance, if granted, will not alter the essential character of the locality. City Council Meeting of August 20, 2012 (Item No. 4c) Subject: Second Reading of Zoning Ordinance Amendment - Conditional Use Permits Page 10 4d. Economic considerations alone do not constitute practical difficulties. Practical difficulties include inadequate access to direct sunlight for solar energy systems. 5. Practical difficulties include inadequate access to direct sunlight for solar energy systems. (4) The City board shall consider the following criteria when evaluating a variance request: ea. There are cCircumstances unique to the property include the shape, topography, water conditions, or other physical conditions unique to the property. fb. The granting of the variance is necessary for the preservation and enjoyment of a substantial property right of the applicant. gc. The granting of the variance will not impair an adequate supply of light and air to the adjacent property, unreasonably increase the congestion in the public streets, increase the danger of fire, or endanger public safety. hd. The granting of the variance will not merely serve as a convenience to the applicant but is necessary to alleviate a practical difficulty. (35) The City board may impose conditions in the granting of variances. A condition must be directly related to and must bear a rough proportionality to the impact created by the variance. (46) Variances shall be granted for earth sheltered construction as defined in section 216C.06, subdivision 14, when in harmony with the ordinance. (57) Variances involving a floodway, flood fringe and floodplain. If the application for a variance involves property within a floodway, flood fringe and floodplain district, then a copy of all decisions granting variances shall be forwarded by mail to the Commissioner of Natural Resources within ten (10) days of such action. In determining whether the property owner is proposing to use the property in a reasonable manner, the following additional variance criteria of the Federal Emergency Management Agency must also be satisfied: a. Variances shall not be issued by a community within any designated regulatory floodway if any increase in flood levels during the base flood discharge would result. b. Variances shall only be issued by a community upon (i) a showing of good and sufficient cause, (ii) a determination that failure to grant the variance would result in exceptional hardship to the applicant, and (iii) a determination that the granting of a variance will not result in increased flood heights, additional threats to public safety, extraordinary public expense, create nuisances, cause fraud on or victimization of the public, or conflict with existing local laws or ordinances. c. Variances shall only be issued upon a determination that the variance is the minimum necessary, considering the flood hazard, to afford relief. d. No variance shall allow a lower degree of flood protection than the Regulatory Flood Protection Elevation. City Council Meeting of August 20, 2012 (Item No. 4c) Subject: Second Reading of Zoning Ordinance Amendment - Conditional Use Permits Page 11 e. Flood Insurance Notice and Record Keeping. The Zoning Administrator shall notify the applicant for a variance that: (i) The issuance of a variance to construct a structure below the base flood level will result in increased premium rates for flood insurance up to amounts as high as $25 for $100 of insurance coverage and (ii) Such construction below the 100-year or regional flood level increases risks to life and property. Such notification shall be maintained with a record of all variance actions. A community shall maintain a record of all variance actions, including justification for their issuance, and report such variances issued in its annual or biennial report submitted to the Administrator of the National Flood Insurance Program. (b8) Process. A request for a variance shall be considered by the board of zoning appeals. The board of zoning appeals shall consider the strict application of the provisions of this chapter and the requirements of all applicable state law. The city council will act as the board of zoning appeals for variance requests made in conjunction with a conditional use permit, PUD application, or subdivision. The planning commission shall hold the public hearing on the variance request, review the variance request along with the conditional use permit, PUD application, or subdivision process, and report its findings and recommendations to the city council. (1)a. Applications. All applications for variances shall be initiated by, or with the written consent of, the owners of the property. A complete application shall consist of: a1. An application and fee payment. b2. A written explanation of the request addressing the variance criteria in sections (2), (3) and (4) above. c3. A survey of the property showing all property lines, existing and proposed structures and easements. d4. A dimensioned plan showing the floor plan and elevations for all existing and proposed structures. e5. A map or plat showing the lands proposed for variance and all lands within 350 feet of the boundaries of that property and the names and addresses of the owners of the lands in the area as they appear on the records of the county auditor or other appropriate records. f6. Any other materials required by the city. (2)b. Notice. After receipt of a complete application, the city shall set a date for a public hearing before the board of zoning appeals for the any variance request within 45 days after the application for a variance is received by the city. The Zoning Administrator shall submit by mail to the Commissioner of Natural Resources a copy of the application for proposed variances(s) occurring within a floodway, flood fringe or floodplain district sufficiently in advance so that the Commissioner will receive at least ten days notice of the hearing. (3)c. Hearings. The public hearing shall be held only after the required notice has been given. The board of zoning appeals or planning commission shall hear arguments at the hearing for and against the proposed variance and it may continue that hearing from time to time if a continued hearing it is reasonably required. Final vote on the proposed variance shall be taken within 30 days after the public hearing is closed. City Council Meeting of August 20, 2012 (Item No. 4c) Subject: Second Reading of Zoning Ordinance Amendment - Conditional Use Permits Page 12 (4)d. Appeal to the city council. Any owner of affected property or any owner of property situated wholly or partly within 350 feet of the affected property may appeal the decision of the board of zoning appeals to the city council. The appeal must be in writing and must be filed with the city clerk within ten calendar days after the date of the board of zoning appeals’ decision. The required fee shall be paid to the city treasurer when the appeal request is filed. When an appeal is received by the city, the applicant will be notified of the date and time the city council will hear the appeal. No appeal will be heard until the city has notified all property owners within 350 feet of the subject property of the date scheduled for the appeal hearing. If no appeal is made within the ten-day period, the decision of the board of zoning appeals shall be final. If an appeal is taken from the decision of the board of zoning appeals, the city council shall hear the appeal within 30 days of the filing of the appeal unless that period is extended with consent of the appellant. The city council may reverse a decision of the board of zoning appeals by an affirmative vote of the majority of its full membership. The city council shall render a decision within 30 days concluding the appeal hearing. A decision of the board of zoning appeals shall not become effective until the end of the appeal period has expired. If an appeal is filed before the end of the appeal period the decision of the board of zoning appeals shall not become effective until the city council has rendered a decision on the appeal. (5) Any person who is denied a variance by the board of zoning appeals or whose appeal is denied by the city council may not reapply for the same variance within 24 months from the denial date unless the physical conditions of the property or land in question have changed. A change in the physical conditions would include, but is not limited to, a division or combination of the land or a taking of part of the land for public purpose. (e) Refund of fees. If any application for a conditional use permit, variance, zoning amendment, PUD, continued special permit, Comprehensive Plan amendment, subdivision, or vacation is withdrawn in writing by the applicant or is not processed by the city for any other reason so that a final decision is not made by the city, the applicant is entitled to a refund of the application fees paid to the city according to the following provisions: (1) 75 percent of the application fee and 100 percent of the recording fee shall be refunded if the request is withdrawn before the deadline for rescinding the public hearing publication. (2) 50 percent of the application fee and 100 percent of the recording fee shall be refunded if the request is withdrawn before the request has been considered by the planning commission or board of zoning appeals. (3) 25 percent of the application fee and 100 percent of the recording fee shall be refunded if the request is withdrawn before the request is considered by the city council. Sec. 36-354. Amendments. *** Sec. 36-365. Reimbursement for city costs. (a) Purpose. The purpose of this section is to: (a) Purpose.(1) The purpose of this section is to Pprovide a procedure to reimburse the city for its cost of review, analysis, and evaluation of development proposals, conditional use permits, City Council Meeting of August 20, 2012 (Item No. 4c) Subject: Second Reading of Zoning Ordinance Amendment - Conditional Use Permits Page 13 comprehensive plan amendments, zoning amendments, and enforcement of the ordinance from which this chapter is derived in cases where, due to the level of complexity of the application under consideration, excessive costs beyond those normally incurred by the city as a result of the administration of the ordinance from which this chapter is derived are incurred. The excess costs result from problems presented in review, analysis, and evaluation which necessitate intensive investigation and research. The intent of this section is to ensure an adequate level of review of these cases and to ensure that the adverse effects of development on the city are minimized and compliance with goals and objectives of the comprehensive plan and this chapter are obtained. (2) Provide a procedure and criteria to reimburse to applicants a portion of the fees and costs already paid to the city, but not needed to cover the costs and expenses incurred by the city in reviewing their application or request. (b) Reimbursement of city expenses. (1b) Conditions where reimbursement authorized. The city may, in its sole discretion, require reimbursement of city costs under the following conditions: a.(1) When the city manager finds multiple planning commission and city council meetings are required to review a particular item and additional staff time is expended on that item subsequent to the initial meeting. b.(2) When the city manager finds it necessary to retain consultants and experts to review requests and advise its staff of specific impacts of a proposal, including but not limited to impacts on traffic, utilities, drainage, and aesthetic or environmental characteristics of the community. c.(3) When it is necessary for the city attorney to review a proposal. d.(4) When the city manager finds that other extraordinary costs are incurred by the city as a result of the administration of this chapter. (2c) Procedure. a.(1) The city shall notify the applicant that the city will incur additional costs at the earliest possible time and, if possible, provide the applicant with an estimate of the expected additional cost. b.(2) The applicant shall pay the estimated additional cost to the city by certified check or bank money order. If the amount paid to the city initially is insufficient to cover all city costs, the additional amount shall be billed to the applicant. Any money which has not been used to pay additional costs after the applicant's request has been processed shall be refunded to the applicant. c.(3) No certificate of occupancy for any project subject to this section shall be issued until all money owing to the city has been received. d.(4) All costs billed under this section shall be based on the actual cost to the city of staff time, overhead, material costs, and actual billings from consultants, experts and attorneys. City Council Meeting of August 20, 2012 (Item No. 4c) Subject: Second Reading of Zoning Ordinance Amendment - Conditional Use Permits Page 14 (c) Refund of fees. If any application for a conditional use permit, variance, zoning amendment, PUD, continued special permit, Comprehensive Plan amendment, subdivision, or vacation is withdrawn in writing by the applicant or is not processed by the city for any other reason so that a final decision is not made by the city, the applicant is entitled to a refund of the application fees paid to the city according to the following provisions: (1) 75 percent of the application fee and 100 percent of the recording fee shall be refunded if the request is withdrawn before the deadline for rescinding the public hearing publication. (2) 50 percent of the application fee and 100 percent of the recording fee shall be refunded if the request is withdrawn before the request has been considered by the planning commission or board of zoning appeals. (3) 25 percent of the application fee and 100 percent of the recording fee shall be refunded if the request is withdrawn before the request is considered by the city council. (4) Any portion of additional fees paid to reimburse costs incurred by the city that exceeds the costs already or expected to be incurred by the city. Sec. 36-376. Continuation of certain special permits. *** Sec. 36-387. Enforcement. (a) Compliance with regulations. *** (1) Compliance required. All persons, firms, corporations, and voluntary associations shall comply with the regulations and conditions contained in this chapter. Any person, firm, corporation, or voluntary association who fails to comply with any of the provisions of this chapter, or builds or alters a building in violation of violates any detailed statement, condition, or plan imposed in the manner permitted by this chapter, shall be guilty of a misdemeanor. a. The city may enforce any provision of this chapter by issuing a citation, or by mandamus, injunction, or any other appropriate remedy in any court of competent jurisdiction and may require reimbursement of all legal fees required for the enforcement of any provision of this chapter from persons found guilty of a violation. b. The city, at its sole discretion, may enter into mediation regarding issues in the enforcement of this chapter, provided that mediation shall not be pursued where the issue involves a specific dimensional or performance requirement. Mediation may be pursued when the issue involves an interpretation of the application of chapter requirements. Mediation shall not be substituted for a variance proceeding and the city shall not agree to be bound by the mediation process when the result would be an action inconsistent with the intent of this chapter. c. Each day that a violation occurs shall be considered a separate violation. (2) Approved land uses. Land shall be used only for the purpose permitted in the district in which the land is located. City Council Meeting of August 20, 2012 (Item No. 4c) Subject: Second Reading of Zoning Ordinance Amendment - Conditional Use Permits Page 15 (3) No building shall be erected, converted, enlarged, reconstructed, moved, structurally altered, or used for a use unless it is a use permitted in the district in which the building is located. (34) Height limits. No building shall be erected, converted, enlarged, reconstructed, nor structurally altered to be higher than the height limit established for the district in which the building is located. (45) Area regulations. No building shall be erected, converted, enlarged, reconstructed, nor structurally altered unless it conforms to the area regulations of the use district in which the building is located. A lot shall not be divided nor shall any structure be erected or altered to reduce the floor area ratio below that required by this chapter for the district in which the lot is located. (56) Parking and loading facilities. No building shall be erected or structurally altered unless the site on which it is located provides the off-street parking and loading facilities required by this chapter. (67) Encroachments. The yards, parking spaces, designed outdoor recreation area, and open lot area required by this chapter for buildings existing at the time of adoption of the ordinance from which this chapter is derived or for any building erected after its adoption, shall not be encroached upon or considered as part of the yard, parking space, designed outdoor recreation area, or open lot area required for any other building unless joint use of parking or a combination of yards or designed outdoor recreation area or open lot area is specifically authorized by this chapter. No lot shall be divided nor shall any structure be erected or altered to reduce the floor area ratio below that required by this chapter for the district in which the lot is located. (78) Building and lot limitations. Every building erected or structurally altered after the effective date of the ordinance from which this chapter is derived shall be located on a lot as defined in section 36-4 and in no case shall there be more than one principal building on one lot, except as authorized by this chapter. (9) No building or land shall be used or occupied until a certificate of occupancy has been issued authorizing its use. (10) No building or land shall be used or occupied for a use which requires a conditional use permit until the conditional use permit has been issued. (11) No building or land shall be used or occupied for which a conditional use permit has been issued unless that use complies with all of the conditions of that conditional use permit. (9) Abandonment, revocation and cancellation of permit or variance. If the zoning administrator determines that any holder of an existing variance or conditional use permit has violated any of the conditions or requirements imposed as a condition to approval of the permit or variance, or has violated any other applicable laws, ordinances, or enforceable regulation, the variance or conditional use permit granted by the city may be revoked and canceled by the following process: a. The zoning administrator shall notify the holder in writing of the violation. The notice shall be given in person or by United States Postal Service addressed to the address of the City Council Meeting of August 20, 2012 (Item No. 4c) Subject: Second Reading of Zoning Ordinance Amendment - Conditional Use Permits Page 16 applicant stated on the original application. Notice shall also be served upon the occupant of the premises for which the conditional use permit or variance was issued or, if no occupant can be found, notice shall be posted in a conspicuous place upon such premises. Notice shall be effective on the date of mailing, personal service or posting. b. The notice shall state that after the expiration of ten days from the date of the notice, the conditional use permit or variance is terminated without further action or proceeding. (10) New construction required within two years. All variances and conditional use permits shall be revoked and canceled after one year has elapsed from the date of the adoption of the resolution granting the variance or conditional use permit if a new structure or alteration or substantial repair of an existing building is required by the conditional use permit or variance and the holder has failed to complete the work within that year, unless a valid building permit authorizing such work has been issued and work is progressing in an orderly way. (11) Occurrence of certain events. If the holder of a conditional use permit or variance fails to make actual use of vacant lands or lands and structures which were existing when the permit or variance was issued and no new structure, alteration, or substantial repair to existing buildings was required; or if a new structure was required by the conditional use permit or variance and no building permit has been obtained, the conditional use permit or variance shall be revoked and canceled upon the occurrence of any of the following events: a. A change in the zoning use district for such lands is made by amendment to the ordinance from which this chapter is derived by the city council. b. Eminent domain proceedings have been initiated to take all or any part of the premises described in the conditional use permit or variance. c. The use described in the conditional use permit or variance becomes an illegal activity under the laws of the United States of America or this state. d. Title to all or part of land described in such conditional use permit or variance is forfeited to the state for nonpayment of taxes. e. The person to whom the conditional use permit or variance was issued files a written statement in which that person states that the conditional use permit or variance has been abandoned. The statement shall describe the land involved or state the resolution number under which the conditional use permit or variance was granted. f. The premises for which the conditional use permit or variance was issued are used by the person to whom the permit or variance was issued in a manner inconsistent with the provisions of such conditional use permit or variance. g. The building or structure for which a variance or conditional use permit was granted is removed. (12) Abandonment if conditions not met or use discontinued. a. Any conditional use permit granted by the city is revoked and canceled if all conditions imposed in the conditional use permit are not satisfied within a time specified by the city council or if the approved use is discontinued for a period of more than two years. City Council Meeting of August 20, 2012 (Item No. 4c) Subject: Second Reading of Zoning Ordinance Amendment - Conditional Use Permits Page 17 b. Any variance granted by the board of zoning appeals is revoked and canceled if all conditions imposed in the variance are not satisfied within the time specified by the board of zoning appeals or if the approved use is discontinued for a period of more than two years. c. If an extension is requested by the owner of the property on which a conditional use permit has been discontinued prior to the end of two years, the city council may consider or approve, by resolution, such requested extension if the city council finds the use to be acceptable and a satisfactory reason exists to grant an extension; however, such extension shall not be granted if it would allow the discontinued use to extend more than an additional three years beyond the original two years. (132) Plan change not required. In the event the City adopts an amendment to this Chapter that results in a building, land use or conditional use permit becoming non-conforming prior to the commencement of construction of the building, then changes to the plan will not be required if construction begins within 90 days after the effective date of the ordinance amending this chapter. If, however, building construction is voluntarily discontinued by the permit holder for a period of 90 days, then any further construction shall conform to the provisions of the amendment. If a building permit has been granted or if plans were on file with the director of inspectional services before the effective date of the ordinance from which this chapter is derived or any amendment adopted after that effective date or if a conditional use permit has been approved, the provision of this chapter or any later amendment shall not require a change in the plans, or in the size or use of the land if the construction described in the permit or those plans is started within 90 days of the effective date of the ordinance from which this chapter is derived or later amendment. If, however, building construction is voluntarily discontinued before completion of construction of the structure described in the permit or the plans by the permit holder for a period of 90 days, any further construction shall conform to the provisions of this chapter or the later amendment. (143) Uses superseding ordinance. A use which violates the provisions of the ordinance which this chapter supersedes shall not be validated by the adoption of the ordinance from which this chapter is derived unless it is permitted by this chapter's provisions, nor shall this chapter extend any temporary use beyond the expiration date of a temporary permit granted prior to the effective date of the ordinance from which this chapter is derived. *** Sec. 36-398. Public hearings. *** Sec. 36-4039. Compliance with the comprehensive plan. *** Secs. 36-410--36-70. Reserved. *** City Council Meeting of August 20, 2012 (Item No. 4c) Subject: Second Reading of Zoning Ordinance Amendment - Conditional Use Permits Page 18 Sec. 36-115. Land use by zoning district. *** (d) Land uses permitted as a conditional use. Land uses listed as "permitted as a conditional use" are permitted subject to all the requirements applicable to uses permitted by right plus all general conditional use and any additional requirements applicable to that particular land use contained in divisions 3 through 6 of this article and those general conditions contained under section 36-3365(b). Each conditional use application shall be considered a unique situation and shall not be construed as precedents for similar requests. Further conditions may be imposed on any conditional use by the planning commission or city council in response to special conditions of the use or site. *** Sec. 36-151. POS park and open space district. *** (d) Uses permitted by conditional use permit. No structure or land in any POS district shall be used for the following uses except by conditional use permit. These uses shall comply with the requirements of all general conditions provided in section 36-3365 and with the specific conditions imposed in this subsection. *** Sec. 36-163. R-1 single-family residence district. *** (d) Uses permitted by conditional use permit. No structure or land in any R-1 district shall be used for the following uses except by conditional use permit. These uses shall comply with the requirements of all the general conditions provided in section 36-3365 and with the specific conditions imposed in this subsection. *** Sec. 36-164. R-2 single-family residence district. *** (d) Uses permitted by conditional use permit. No structure or land in any R-2 district shall be used for the following uses except by conditional use permit. These uses shall comply with the requirements of all the general conditions provided in section 36-3365(b) regarding conditional use permits, and with the specific conditions imposed in this subsection and such other conditions as may be imposed by the city council under section 36-34(b). *** Sec. 36-165. R-3 two-family residence district. *** City Council Meeting of August 20, 2012 (Item No. 4c) Subject: Second Reading of Zoning Ordinance Amendment - Conditional Use Permits Page 19 (d) Uses permitted by conditional use permit. No structure or land in any R-3 district shall be used for the following uses except by conditional use permit. These uses shall comply with the residential restrictions and performance standards of section 36-162, all the general conditions provided in section 36-3365 regarding conditional use permits, and the specific conditions imposed in this subsection (d) and such other conditions as may be imposed by the city council under subsection (b) of section 36-34. *** Sec. 36-166. R-4 multiple-family residence district. *** (d) Uses permitted by conditional use permit. No structure or land in any R-4 district shall be used for the following uses except by conditional use permit. These uses shall comply with the requirements of all the general conditions provided in section 36-3365 regarding conditional use permits, and with the specific conditions imposed in this subsection (d). *** Sec. 36-167. R-C high-density multiple-family residence district. *** (d) Uses permitted by conditional use permit. No structure or land in any R-C district shall be used for the following uses except by conditional use permit. These uses shall comply with the residential restrictions and performance standards of section 36-162, the general conditions of section 36-3367 regarding conditional use permits, and with the specific conditions imposed in this subsection as follows: *** Sec. 36-223. O office district. *** (d) Uses permitted by conditional use permit. No structure or land in an O district shall be used for the following uses except by conditional use permit. These uses shall comply with the office restrictions and performance standards of section 36-222 and all those general conditions provided in section 36-3367 regarding conditional use permits, and with the specific conditions imposed in this subsection (d). *** Sec. 36-243. I-P industrial park district. *** (d) Uses permitted by conditional use permit. No structure or land in an I-P district shall be used for the following uses except by conditional use permit. These uses shall comply with the industrial restrictions and performance standards of section 36-242 and all of the general conditions provided in section 36-3367 regarding conditional use permits, and with the specific conditions imposed in this subsection (d). *** Sec. 36-244. I-G general industrial district. *** City Council Meeting of August 20, 2012 (Item No. 4c) Subject: Second Reading of Zoning Ordinance Amendment - Conditional Use Permits Page 20 (d) Uses permitted by conditional use permit. No structure or land in an I-G district shall be used for the following uses except by conditional use permit. Those uses shall comply with the requirements of all the general conditions provided in section 36-242 and section 36-3365 regarding conditional use permits, and with the specific conditions imposed in this subsection (d). *** Sec. 36-365. Standards and conditions for conditional use permits. (a) Conditional uses. The conditional uses shall be consistent with the comprehensive plan, regulations, purposes and procedures of this chapter. The city council shall approve all conditional use permits which are issued and may attach such conditions to any permit as shall be determined to be necessary or convenient to better accomplish the intent of the comprehensive plan and this chapter and to minimize the impact of the use on adjacent properties. The city council may consider the provisions relating to the use of the land of any redevelopment plan or development district program approved pursuant to state law, as amended from time to time, and may incorporate such provisions in a conditional use permit when deemed necessary. Conditional uses shall be consistent with the general conditions listed in subsection (b) of this section. Other more specific conditions for any use requiring a conditional use permit may be included in this article which regulates use districts or may be imposed by the city as a part of the conditional use permit if the topography or other characteristics of the land or the character of the use or manner of operation of the use shall require them. (b) General conditions. No conditional use permit shall be issued unless the following findings are made: (1) It is consistent with and supportive of principles, goals, objectives, land use designations, redevelopment plans, neighborhood objectives, and implementation strategies of the comprehensive plan. (2) It is not detrimental to the health, safety, morals and general welfare of the community as a whole. (3) It is consistent with the intent and purpose of this chapter and the zoning district in which the conditional use is located. (4) It will not have undue adverse impacts on governmental facilities, services or improvements which are either existing or proposed. (5) It will not have undue adverse impacts on the use and enjoyment of properties in close proximity to the conditional use. (6) It is subject to the design and other requirements of site and landscape plans prepared by or under the direction of a professional landscape architect or civil engineer registered in the state and adopted as part of the conditions imposed on the use by the city council. These plans shall be presented to the community development director with the application for the conditional use permit. The community development director shall prepare a report for the city council reviewing the adequacy and feasibility of such plans. (7) It is subject to drainage and utility plans prescribing locations for city water, sewer, fire hydrants, manholes, power, telephone, and cable lines, natural gas mains, and other service facilities prepared by a professional civil engineer registered in the state and adopted as part of City Council Meeting of August 20, 2012 (Item No. 4c) Subject: Second Reading of Zoning Ordinance Amendment - Conditional Use Permits Page 21 the conditions imposed on the use by the city council. These plans shall be presented to the director of public works with the application for the conditional use permit. The director of public works shall prepare a report for the city council reviewing the adequacy and feasibility of such plans. (8) It is subject to the imposition of additional conditions as part of the conditional use permit when, in the opinion of the city council, such additional conditions are necessary to protect the general welfare, public safety and neighborhood character. Such additional conditions may be imposed in those situations where the other dimensional standards, performance standards, conditions or requirements in this chapter are insufficient to achieve the objectives contained in section 36-1. In these circumstances, the city council may impose restrictions and conditions on the conditional use permit which are more stringent than those set forth in this section and which are consistent with the general conditions listed in this subsection (b). Sec. 3. The contents of Planning Case File 12-20-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 July 18, 2012 First Reading August 6, 2012 Second Reading August 20, 2012 Date of Publication August 30, 2012 Date Ordinance takes effect September 14, 2012 Adopted by the City Council August 20, 2012 Reviewed for Administration City Manager Mayor Attest: Approved as to Form and Execution: City Clerk City Attorney City Council Meeting of August 20, 2012 (Item No. 4c) Subject: Second Reading of Zoning Ordinance Amendment - Conditional Use Permits Page 22 SUMMARY ORDINANCE NO. ____-12 AN ORDINANCE CONSOLIDATING CONDITIONAL USE PERMIT REGULATIONS IN ZONING ORDINANCE Sections 3, 33, 34, 35, 36, 37, 38, 39, 40, 41, 115, 151, 163, 164, 165, 166, 167, 223, 243, 244, 365 This ordinance states that all Conditional Use Permit and Variance requirements will be consolidated into a single section of the Zoning Ordinance. This ordinance shall take effect 15 days after publication. Adopted by the City Council August 20, 2012 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: August 30, 2012 City Council Meeting of August 20, 2012 (Item No. 4c) Subject: Second Reading of Zoning Ordinance Amendment - Conditional Use Permits Page 23 Meeting Date: August 20, 2012 Agenda Item #: 4d Regular Meeting Public Hearing Action Item Consent Item Resolution Ordinance Presentation Other: EDA Meeting Action Item Resolution Other: Study Session Discussion Item Written Report Other: TITLE: City Code Amendment Pertaining to Administrative Penalties – Second Reading RECOMMENDED ACTION: Motion to Approve Second Reading and Adopt Ordinance pertaining to administrative penalties, and approve the summary ordinance for publication also contained in the agenda materials. POLICY CONSIDERATION: Does the Council wish to make this change to the City Code to allow for a simpler and more direct code enforcement procedure? BACKGROUND: The proposed administrative penalty system includes a process for issuing citations, conducting hearings for citations that are appealed, and for assessing unpaid fines. The Council approved the first reading on August 6, 2012, and scheduled the second reading for the August 20, 2012 City Council meeting. NEXT STEPS: 1. August 30, 2012 – Ordinance will be published. 2. September 14, 2012 – Ordinance becomes effective. 3. September, 2012 – Finalize forms and process, train staff on process, and advertise for Hearing Officers. 4. October, 2012 – Appoint Hearing Officers. FINANCIAL OR BUDGET CONSIDERATION: It is the intent of the Administrative Penalty process to respectfully resolve code violations in a manner that reduces staff time and ensures all fines are paid. VISION CONSIDERATION: Effective code enforcement tools are important for maintaining strong neighborhoods. Attachments: Ordinance Summary Ordinance for Publication Prepared by: Gary Morrison, Assistant Zoning Administrator Reviewed by: Meg McMonigal, Planning & Zoning Supervisor Kevin Locke, Community Development Director Approved by: Nancy Deno, Deputy City Manager/HR Director City Council Meeting of August 20, 2012 (Item No. 4d) Page 2 Subject: City Code Amendment Pertaining to Administrative Penalties – Second Reading ORDINANCE NO. ____-12 CITY OF ST. LOUIS PARK HENNEPIN COUNTY, MINNESOTA AN ORDINANCE RELATING TO ADMINISTRATIVE PENALTIES AMENDING SECTION 1-14 AND APPENDIX A OF THE ST. LOUIS PARK CITY CODE THE CITY OF ST. LOUIS PARK DOES ORDAIN: SECTION 1. Section 1-14 and Appendix A of the City Code are hereby amended as follows: Sec. 1-14. Civil Penalties. (a) Purpose. (1) Administrative offense procedures established pursuant to this section are intended to provide the public and the city with an informal, cost effective and expeditious alternative to traditional criminal charges for violations of certain ordinance provisions. (2) The procedures are intended to be voluntary on the part of those who have been charged with administrative offenses. At any time prior to the payment of the administrative penalty as is provided for hereafter, the individual may withdraw from participation in the procedures in which event the city may bring criminal charges in accordance with law. Likewise, the city, in its discretion, may choose not to initiate an administrative offense and may bring criminal charges in the first instance. (3) In the event a party participates in the administrative offense procedures but does not pay the monetary penalty which may be imposed, the city will seek to collect the costs of the administrative offense procedures as part of a subsequent criminal sentence in the event the party is charged and is adjudicated guilty of the criminal violation. (b) Administrative offense defined. An administrative offense is a violation of a provision of this Code and is subject to the administrative penalties set forth in the schedule of offenses and penalties referred to in subsection (h), hereafter. (c) Notice. Any person employed by the city, authorized in writing by the city manager, shall, upon determining that there has been a violation, notify the violator, or in the case of a vehicular violation, attach to the vehicle a notice of the violation. Said notice shall set forth the nature, date and time of violation, the name of the official issuing the notice and the amount of the scheduled penalty. (d) Payment. Once such notice is given, the alleged violator may, within seven days of the time of issuance of the notice, pay the amount set forth on the schedule of penalties for the City Council Meeting of August 20, 2012 (Item No. 4d) Page 3 Subject: City Code Amendment Pertaining to Administrative Penalties – Second Reading violation. The penalty may be paid in person or by mail, and payment shall be deemed to be an admission of the violation. (e) Appeal. Any person who is required by the city to pay an administrative penalty may make a written appeal of the penalty to the city manager, or designee, within seven days of notice by the city of the penalty. The city manager, or designee, will have authority to reduce the fine or determine whether the appellant is to be charged with a penalty. (f) Failure to pay. In the event a party charged with an administrative offense fails to pay the penalty, a misdemeanor or petty misdemeanor charge may be brought against the alleged violator in accordance with applicable statutes. (g) Disposition of penalties. All penalties collected pursuant to this section shall be paid to the city and may be deposited in the city's general fund. (h) Offenses and penalties. Offenses which may be charged as administrative offenses and the penalties for such offenses may be established by resolution of the city council from time to time and listed in appendix A to this Code. (i) Subsequent offenses. In the event a party is charged with a subsequent administrative offense within a 12-month period of paying a penalty for the same or substantially similar offense, the subsequent administrative penalty shall be increased by $10.00 above the previous administrative penalty. *** (a) Purpose. The city council finds that there is a need for alternative methods of enforcing the city code. While criminal fines and penalties have been the most frequent enforcement mechanism, there are certain negative consequences for both the city and the accused. The delay inherent in that system does not ensure prompt resolution. The higher burden of proof and the potential of incarceration do not appear appropriate for most Code violations; and the criminal process does not always regard city code violations as being important. Accordingly, the city council finds that the use of administrative citations and the imposition of civil penalties is a legitimate and necessary alternative method of enforcement. This method of enforcement is in addition to any other legal remedy that may be pursued for city code violations. (b) Alternative methods of enforcement. (1) The administrative hearing process provided for in this Article shall be in addition to any other legal or equitable remedy available to the city for city code violations. (2) The city may initiate a civil enforcement action to obtain code compliance before, during or after an administrative enforcement proceedings. (3) If the final adjudication in the administrative penalty procedure is a finding of no violation, then the city may not prosecute a criminal violation in district court based on the same set of facts. This does not preclude the city from pursuing an administrative penalty or a criminal conviction for a violation of the same provision of the City Code based on a different set of facts. A different date of violation will constitute a different set of facts and a separate offense. City Council Meeting of August 20, 2012 (Item No. 4d) Page 4 Subject: City Code Amendment Pertaining to Administrative Penalties – Second Reading (c) General provisions. (1) A violation of a provision of the city code or a violation of the terms and conditions of a city approval, including permits and licenses, required and granted under this code is an administrative offense that may be subject to an administrative citation and civil penalties. Each day a violation exists constitutes a separate offense. (2) An offense may be subject to a civil penalty not exceeding $2000.00 per separate offense. (3) The city council will adopt by ordinance a schedule of fines for offenses initiated by administrative citation. The city council is not bound by the schedule when a matter is appealed to it for administrative review. (4) The city council may adopt a schedule of fees to be paid to administrative hearing officers for his or her services. (d) Administrative citation. (1) A person authorized to enforce provisions of the city code may issue an administrative citation upon belief that a code violation has occurred. The citation must be issued in person or by first class mail to the person responsible for the violation. The citation must state the date, time, and nature of the offense, the identity of the person issuing the citation, the amount of the scheduled fine, and the manner for paying the fine or appealing the citation. If the city seeks to impose more than one fine for a continuing violation, a separate citation shall be issued for each violation date. (2) The person responsible for the violation must either pay the scheduled fine or request a hearing within ten calendar days after issuance of the citation. Payment of the fine constitutes admission of the violation. A late payment fee of 10% of the scheduled fine amount will be imposed in accordance with section 1-14(h). (e) Administrative hearing. (1) The city council will periodically approve a list of attorneys licensed to practice law in the State of Minnesota, from which the city manager will randomly select a hearing officer to hear and determine a matter for which a hearing is requested. The accused will have the right to request no later than five calendar days before the date of the hearing that the assigned hearing officer be removed from the case. One request for each case will be granted automatically by the city manager. A subsequent request must be directed to the assigned hearing officer who will decide whether he or she cannot fairly and objectively review the case. The city enforcement officer may remove a hearing officer only by requesting that the assigned hearing officer find that he or she cannot fairly and objectively review the case. If such a finding is made, the officer shall remove himself or herself from the case, and the city manager will assign another hearing officer. The hearing officer must not be a city employee. The city manager must establish a procedure for evaluating the competency of the hearing officers, including comments from accused violators and city staff. These reports must be provided to the city council. (2) Upon the hearing officer's own initiative or upon written request of a party demonstrating the need, the officer may issue a subpoena for the attendance of a witness or the production of books, papers, records or other documents that are material to the matter being heard. The party requesting the subpoena is responsible for serving the subpoena and for paying the fees and expenses of a witness in accordance with the City Council Meeting of August 20, 2012 (Item No. 4d) Page 5 Subject: City Code Amendment Pertaining to Administrative Penalties – Second Reading same rules governing civil lawsuits in state court. A person served with a subpoena may file an objection with the hearing officer promptly but no later than the time specified in the subpoena for compliance. The hearing officer may cancel or modify the subpoena if it is unreasonable or oppressive. A person who, without just cause, fails or refuses to attend and testify or to produce the required documents in obedience to a subpoena is guilty of a misdemeanor. Alternatively, the party requesting the subpoena may seek an order from district court directing compliance. (3) Notice of the hearing must be served in person or by mail on the person responsible for the violation at least 10 calendar days in advance, unless a shorter time is accepted by all parties. At the hearing, the parties will have the opportunity to present testimony and question any witnesses, but strict rules of evidence will not apply. The hearing officer must tape record the hearing and receive testimony and exhibits. The officer must receive and give weight to evidence, including hearsay evidence, which possesses probative value commonly accepted by reasonable and prudent people in the conduct of their affairs. (4) The hearing officer has the authority to determine that a violation occurred, to dismiss a citation, to impose or modify (increase or decrease) the scheduled fine, and to modify, stay, or waive a scheduled fine either unconditionally or upon compliance with appropriate conditions. When imposing a penalty for a violation, the hearing officer may consider any or all of the following factors: a. The duration of the violation; b. The frequency or reoccurrence of the violation; c. The seriousness of the violation; d. The history of the violation; e. The violator's conduct after issuance of the notice of hearing; f. The good faith effort by the violator to comply; g. The economic impact of the penalty on the violator; h. The impact of the violation upon the community; and i. Any other factors appropriate to a just result. (5) The hearing officer's decision and supporting reasons must be in writing. (6) Except for matters subject to administrative review under subsection (f) Appeal to City Council, the decision of the hearing officer is final without any further right of administrative appeal. (7) The failure to attend the hearing constitutes a waiver of the violator's rights to an administrative hearing and an admission of the violation. A hearing officer may waive this result upon good cause shown. Examples of “good cause” are: death or incapacitating illness of the accused; a court order requiring the accused to appear for another hearing at the same time; and lack of proper service of the citation or notice of the hearing. “Good cause” does not include: forgetfulness and intentional delay. (f) Appeal to City Council. City Council Meeting of August 20, 2012 (Item No. 4d) Page 6 Subject: City Code Amendment Pertaining to Administrative Penalties – Second Reading (1) The hearing officer's decision in any of the following matters may be appealed by a party to the city council for administrative review by submitting a request in writing to the city clerk within 10 calendar days after the hearing officer's decision: a. An alleged failure to obtain a permit, license, or other approval typically granted by the city council as required by an ordinance; b. An alleged violation of a permit, license, other approval, of the conditions attached to the permit, license, or approval, that was granted by the city council; and (2) The appeal will be heard by the city council after notice served in person or by registered mail at least 10 calendar days in advance. The parties to the hearing will have an opportunity to present oral or written arguments regarding the hearing officer's decision. (3) The city council must consider the record, the hearing officer's decision, and any additional arguments before making a determination. The council is not bound by the hearing officer's decision, but may adopt all or part of the officer's decision. The council's decision must be in writing. (4) If the council makes a finding of a violation, it may impose a civil penalty not exceeding $2,000.00 per violation, and may consider any or all of the factors contained in section 1-14(e)4. The council may also modify, stay, or waive a fine unconditionally or based on reasonable and appropriate conditions. (5) In addition to imposing a civil penalty, the council may suspend or revoke a city-issued license, permit, or other approval associated with the violation, if the procedure in the city code for suspension or revocation has been followed. (g) Judicial review. An aggrieved party may obtain judicial review of the decision of the hearing officer or the city council in accordance with state law. (h) Recovery of civil penalties. (1) If a civil penalty is not paid within the time specified, it constitutes: a. A personal obligation of the violator; b. An obligation of a business or person(s) that is conducting an activity licensed by the City if the violation relates to the maintenance of the property or to an activity, use or delivery of services associated with the business or activity; and c. A lien upon the real property upon which the violation occurred if the violation relates to the maintenance of the property or to an activity, use or delivery of City services associated with the property. (2) A lien may be assessed against the property and collected in the same manner as taxes. The lien may include the administrative and legal costs incurred by the city in connection with collecting the unpaid administrative penalty. Prior to assessing the lien against the property, the city must attempt to obtain voluntary payment of the administrative penalty and provide the property owner listed on the tax record with notice and an opportunity to be heard. (3) A personal obligation may be collected by any appropriate legal means. (4) A late payment fee of 10% of the fine will be assessed for each 30-day period, or part thereof, that the fine remains unpaid after the due date. (5) During the time that a civil penalty remains unpaid, no city approval will be granted for a license, permit, or other city approval sought by the violator or for property under the violator’s ownership or control. City Council Meeting of August 20, 2012 (Item No. 4d) Page 7 Subject: City Code Amendment Pertaining to Administrative Penalties – Second Reading (6) Failure to pay a fine is grounds for suspending, revoking, denying, or not renewing a license or permit associated with the violation. (i) Applicable laws. Where differences occur between provisions of this chapter and other applicable code sections, this chapter applies. *** APPENDIX A – 2012 FEE SCHEDULE CITY CLERK'S OFFICE Administrative Penalties First Violation $25 Each Subsequent in Same Calendar Year add $10 to previous fine Chapter 4 – Animal regulations $50 Chapter 6 – Buildings & Building Regulations ---- Chapter 6, Article V – Property Maintenance Code $100 Chapter 8 – Businesses and Business Licenses $100 Chapter 12 – Environment $50 Chapter 12, Section 1 – Environment & Public Health Regulations Adopted by Reference $100 Chapter 12, Section 157 – Illicit Discharge and Connection $100 Chapter 12, Section 159 – Wetland Protection $100 Chapter 14 – Fire and Fire Prevention $50 Chapter 14, Section 75 - Open burning without permit $100 Chapter 20 – Parks and Recreation $50 Chapter 22 - Solid Waste Management $50 Chapter 22, Section 35b – Contagious Disease Refuse $200 Chapter 24 - Streets, sidewalks & Public Places $50 Chapter 24, Section 24 -43 – Household Trash & Recycling Containers blocking public way $25 Chapter 24, Section 50 - Public Property: Defacing or injuring $150 Chapter 24, Section 51 - Sweeping leaves into street prohibited $100 Chapter 24, Section 151 - Work in public right-of-way without a permit $100 Chapter 26 – Subdivision $100 Violation of a condition associated with a Subdivision approval. $750 Chapter 32 – Utilities $50 Chapter 36 – Zoning $50 City Council Meeting of August 20, 2012 (Item No. 4d) Page 8 Subject: City Code Amendment Pertaining to Administrative Penalties – Second Reading Chapter 36, Section 37 – Conducting a Land Use not permitted in the zoning district $100 Violation of a condition associated with a Conditional Use Permit, Planned Unit Development, or Special Permit approval $750 Repeat Violations within 24 Months. Double the amount of the fine imposed for the previous violation, up to a maximum of $2,000. For example, if there were four occurrences of a violation that carried a $50 fine, the fine for the fourth occurrence would be $400 (first: $50; second: $100; third: $200; fourth: $400). Fines in addition to abatement and licensing inspections. Fines listed above may be in addition to fees associated with abatement and licensing inspections. SECTION 2. This ordinance shall take effect fifteen days after its publication. First Reading August 6, 2012 Second Reading August 20, 2012 Date of Publication August 30, 2012 Date Ordinance takes effect September 14, 2012 Reviewed for Administration: Adopted by the City Council August 20, 2012 City Manager Mayor Attest: Approved as to Form and Execution: City Clerk City Attorney City Council Meeting of August 20, 2012 (Item No. 4d) Page 9 Subject: City Code Amendment Pertaining to Administrative Penalties – Second Reading SUMMARY ORDINANCE NO. ____-12 AN ORDINANCE APPROVING AMENDMENT TO ADMINISTRATIVE PENALTIES REGULATIONS Section 1-14 and Appendix A St. Louis Park City Code This ordinance approves amendment to City Code to establish parameters and procedures for implementing Administrative Penalty program. This ordinance shall take effect 15 days after publication. Adopted by the City Council August 20, 2012 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: August 30, 2012 Meeting Date: August 20, 2012 Agenda Item: 4e Regular Meeting Public Hearing Action Item Consent Item Resolution Ordinance Presentation Special Meeting Other: EDA Meeting Action Item Resolution Other: Study Session Discussion Item Written Report Special Session Other: TITLE: Approve First Amendment to Development Agreement for Greensboro Condominium Improvement Area (HIA) RECOMMENDED ACTION: Motion to Adopt Resolution approving First Amendment to Development Agreement in connection with housing improvements within the Greensboro Condominium Owners Association HIA. POLICY CONSIDERATION: The Resolution approves an amendment to modify terms of the Development Agreement to reflect final project costs lower than originally estimated. BACKGROUND: Key dates and actions for the Greensboro Condominium HIA project: • December 5, 2011 the Council adopted Ordinance 2406-11 establishing the Greensboro Condominium HIA and passed Resolution No. 11-134 imposing fees. • April 12, 2012 the City entered into a Development Agreement with Greensboro Condominium Owners Association in which the City agreed to make a loan of funds available to the Association to finance Housing Improvements. • May 7, 2012 the EDA approved Internal Loan Fund Resolution No.12-07. • August 20, 2012 the Council will consider Call for Sale of General Obligation Bonds for Greensboro HIA. The Development Agreement was based on the total project costs estimated to be $3,835,000. Due to lower construction and administrative costs the loan amount will not exceed $3,500,000. Kennedy & Graven, EDA counsel, drafted the first amendment to modify terms reflecting the lower costs. FINANCIAL OR BUDGET CONSIDERATION: The city will be selling bonds to assist with the financing of the Greensboro HIA loan. Council will be considering the call for sale of General Obligation Bonds for the Greensboro HIA at the August 20, 2012 meeting. VISION CONSIDERATION: The Greensboro Condominium HIA improvements are consistent with Vision St. Louis Park and the Strategic Directions adopted by the City Council: “St. Louis Park is committed to providing a well-maintained and diverse housing stock”. The HIA tool addresses affordably valued, aging owner-occupied townhouse and condominium housing stock. The proposed improvements specifically address the focus of property maintenance to foster quality housing and community aesthetics. City Council Meeting of August 20, 2012 (Item 4e) Page 2 Title: Approve First Amendment to Development Agreement for Greensboro Condo HIA Attachments: Resolution First Amendment to Development Agreement Prepared by: Kathy Larsen, Housing Programs Coordinator Reviewed by: Kevin Locke, Community Development Director Brian Swanson, Controller Approved by: Nancy Deno, Deputy City Manager/HR Director City Council Meeting of August 20, 2012 (Item 4e) Page 3 Title: Approve First Amendment to Development Agreement for Greensboro Condo HIA CITY OF ST. LOUIS PARK RESOLUTION NO. 12-____ APPROVING A FIRST AMENDMENT TO DEVELOPMENT AGREEMENT IN CONNECTION WITH HOUSING IMPROVEMENTS WITHIN THE GREENSBORO CONDOMINIUM OWNERS ASSOCIATION HOUSING IMPROVEMENT AREA BE IT RESOLVED by the City Council (“Council”) of the City of St. Louis Park (the “City”) as follows: Section 1. Recitals. 1.01. The City is authorized under Minnesota Statutes, Sections 428A.11 to 428.21 (the "Housing Improvement Act") to establish by ordinance a housing improvement area within which housing improvements are made or constructed and the costs of the improvements are paid in whole or in part from fees imposed within the area. The Council adopted a Housing Improvement Area policy on July 16, 2001. 1.02. In order to facilitate Housing Improvements to property known as the "Greensboro Condominium Owners Association" the Council on December 5, 2011, established the Greensboro Condominium Owners Association Housing Improvement Area by Ordinance No. 2406-11 (the "Enabling Ordinance") and approved a Housing Improvement Fee (the “Fee”) by Resolution 11-134. 1.03. Pursuant to the Enabling Ordinance, the City entered into a Development Agreement (the “Agreement”) between the City and the Greensboro Condominium Owners Association (the “Association”), dated as of April 12, 2012, under which the City agreed to make a loan of funds legally available for such purpose (the “Loan”) to the Association to finance the Housing Improvements as described in the Agreement. The Agreement provides that the Loan will be funded both from the proceeds of an internal loan from the EDA Development Fund (the “Internal Loan”), as provided in the Internal Loan Resolution adopted by the EDA on May 7, 2012, and from the proceeds of the City’s taxable general obligation housing improvement area bonds, to be issued in September of 2012. 1.04. .The City and the Association have agreed that it is necessary to modify certain terms of the Agreement to reflect the final terms of the Internal Loan and final project costs related to the Housing Improvements, and have proposed to enter into a First Amendment to Development Agreement (the “First Amendment”) in the form presented to the Council. Section 2. First Amendment approved. 2.01. The First Amendment as presented to the Council is hereby in all respects approved, subject to modifications that do not alter the substance of the transaction and that are City Council Meeting of August 20, 2012 (Item 4e) Page 4 Title: Approve First Amendment to Development Agreement for Greensboro Condo HIA approved by the Mayor and Deputy City Manager, provided that execution of the document by such officials shall be conclusive evidence of approval. The Mayor and Deputy City Manager are hereby authorized to execute, on behalf of the City, the First Amendment. Reviewed for Administration: Adopted by the City Council August 20, 2012 Deputy City Manager Mayor Attest City Clerk City Council Meeting of August 20, 2012 (Item 4e) Page 5 Title: Approve First Amendment to Development Agreement for Greensboro Condo HIA FIRST AMENDMENT TO DEVELOPMENT AGREEMENT This agreement is made as of __________, 2012, by and between the CITY OF ST. LOUIS PARK, a Minnesota municipal corporation (the “City”) and GREENSBORO CONDOMINIUM OWNERS ASSOCIATION, a Minnesota nonprofit corporation (the “Association”). WHEREAS, the City and the Association entered into that certain Development Agreement dated as of April 12, 2012 (the “Contract”) providing, among other things, for the construction by the Association of certain improvements (the “Housing Improvements”) on property within a housing improvement area (the “Housing Improvement Area”) duly established under Minnesota Statutes, Sections 428A.11 through 428A.21 (the “Act”) and legally described within the Contract (the “Property”); and the financing of the Housing Improvements by the City through an Internal Loan and the issuance of Bonds (as such terms are defined in the Contract); and WHEREAS, the parties have determined to amend certain provisions of the Contract to reflect the final terms of the Internal Loan and final project costs related to the Housing Improvements. NOW, THEREFORE, in consideration of the premises and the mutual obligations of the parties hereto, each of them does hereby covenant and agree with the other as follows: 1. Amendment to Section 3.1 of the Contract. Section 3.1 of the Contract is amended as follows: Section 3.1. Financing. In order to provide funds to defray the costs of the Housing Improvements, the City will (i) make an Internal Loan from funds legally available for such purposes, in the maximum principal amount of $2,525,000 (“Loan Amount”), and (ii) issue Bonds in the maximum principal amount described in Section 3.3 (the "Bond Amount"). The parties agree and understand that the Bonds and the Internal Loan will be repaid from Fee Revenues. The terms of the Internal Loan and of the Bonds shall be as specified in this Article. 2. Amendment to Section 3.2 to the Contract. Section 3.2 of the Contract is amended as follows: Section 3.2. Terms of Internal Loan. (a) As of the date of this Agreement, the source of funds for the Internal Loan is the development fund administered and controlled by the Authority. The Authority has agreed to make such funds available to the City for purposes of making the Internal Loan, all pursuant to the Internal Loan Resolution approved by the Authority on May 7, 2012. The Internal Loan Resolution establishes a Project Fund; specifies that interest shall accrue on the Loan Amount at a fixed annual interest rate that is 100 basis points higher than the true interest cost of the Bonds, with interest accrual beginning January 1, 2013; and specifies payment dates and other terms consistent with the terms of the Fee Resolution and this Agreement. (b) The Loan Amount has been constructively deposited in the Project Fund as of the effective date of the Internal Loan Resolution. Internal Loan monies in the Project Fund shall be advanced to the Association as Housing Improvement costs are incurred, as provided in Sections 3.7 and 3.8, or to pay administrative costs, legal fees, financial advisor fees, rebates of prepaid Fee Revenues and soft costs (collectively, “Administrative Costs”). City Council Meeting of August 20, 2012 (Item 4e) Page 6 Title: Approve First Amendment to Development Agreement for Greensboro Condo HIA Internal Loan moneys in the Project Fund shall be subject to withdrawal only for the purposes of paying the costs of Housing Improvements (including the Administrative Costs described above) or subject to any applicable provision of law, for payments theretofore made by the Association for such costs. None of the funds in the Project Fund shall be used for any purposes other than payment or reimbursement of such costs, except as otherwise provided in Sections 3.3 and 3.6 hereof. Administrative Costs in the amount not to exceed $450,000 may be disbursed from the Project Fund at any time after the effective date of the Internal Loan Resolution. (c) Fee Revenues will be applied as repayment of the Internal Loan in accordance with the terms of the Internal Loan Resolution, and will be credited by the City to the Authority fund from which the Internal Loan was derived. (d) The City and Association agree, and the Internal Loan Resolution provides, that interest earnings on funds in the Project Fund and any other revenue fund established under the Internal Loan Resolution shall be credited to the Authority fund that was the source of the Internal Loan. 3. Amendment to Section 3.3(a) of the Contract. Section 3.3(a) of the Contract is amended as follows: Section 3.3. Terms of Bonds. (a) The City shall issue the Bonds in the maximum principal amount that is supported by the Fee Revenues and that will, in conjunction with the Loan Amount and all Fee Revenues prepaid by owners of Housing Units prior to issuance of the Bonds in accordance with the Fee Resolution, produce total funds in the maximum amount of $3,500,000. At closing on issuance of the Bonds, proceeds (net of capitalized interest and costs of issuance) together with prepaid Fee Revenues and proceeds of the Internal Loan as described in Section 3.2 hereof, shall be deposited by the City into the Project Fund for disbursement to the Association in accordance with the terms of this Agreement. Bond proceeds in the Project Fund shall be subject to withdrawal from time to time only for the purposes of paying the costs of Housing Improvements, or subject to any applicable provision of law, for payments theretofore made by the Association for such costs. None of the Bond proceeds in the Project Fund shall be used for any purposes other than payment or reimbursement of such costs of Housing Improvements, except as otherwise provided in the Bond Resolution and Section 3.6 hereof. The City will issue the Bonds by October 31, 2012, subject to Unavoidable Delays and the City's ability to issue the Bonds under existing laws and market conditions. 4. Miscellaneous. Except as amended by this Amendment, the Contract shall remain in full force and effect. Upon execution, the Association shall reimburse the City for all out-of pocket- costs incurred by the City in connection with negotiating, drafting and approval of this Amendment. City Council Meeting of August 20, 2012 (Item 4e) Page 7 Title: Approve First Amendment to Development Agreement for Greensboro Condo HIA IN WITNESS WHEREOF, the City and Association have caused this Agreement to be duly executed by their duly authorized representatives as of the date first above written. CITY OF ST. LOUIS PARK, MINNESOTA By Its Mayor By Its Deputy City Manager STATE OF MINNESOTA ) ) SS. COUNTY OF HENNEPIN ) The foregoing instrument was acknowledged before me this ____ day of August, 2012 by Jeff Jacobs and Nancy Deno, the Mayor and Deputy City Manager of the City of St. Louis Park, on behalf of the City. Notary Public City signature page to First Amendment to Development Agreement City Council Meeting of August 20, 2012 (Item 4e) Page 8 Title: Approve First Amendment to Development Agreement for Greensboro Condo HIA GREENSBORO CONDOMINIUM OWNERS ASSOCIATION By Its _______________________ STATE OF MINNESOTA ) ) SS. COUNTY OF HENNEPIN ) The foregoing instrument was acknowledged before me this _____ day of August, 2012, by ____________________, the ___________________________ of Greensboro Condominium Owners Association, on behalf of the company. ___________________________________________ Notary Public THIS DOCUMENT DRAFTED BY: Kennedy & Graven, Chartered (MNI) 470 US Bank Plaza 200 South Sixth Street Minneapolis, MN 55402 (612) 337-9300 Association signature page to First Amendment to Development Agreement Meeting Date: August 20, 2012 Agenda Item #: 4f Regular Meeting Public Hearing Action Item Consent Item Resolution Ordinance Presentation Special Meeting Other: EDA Meeting Action Item Resolution Other: Study Session Discussion Item Written Report Special Session Other: TITLE: Approve Amended and Restated Development Agreement for Westwood Villa Housing Improvement Area (HIA) RECOMMENDED ACTION: Motion to Adopt Resolution amending and restating Development Agreement in connection with housing improvements within the Westwood Villa Association HIA. POLICY CONSIDERATION: The Resolution approves an amended and restated Development Agreement based on funding the Westwood Villa HIA from the Development Fund, rather than a combination of internal Development funds and bond proceeds. BACKGROUND: Key dates and actions for the Westwood Villa HIA project: • May 7, 2012 the Council adopted Ordinance 2413-12 establishing the Westwood Villa HIA and passed Resolution No. 12-066 imposing fees. • July 1, 2012 the City entered into a Development Agreement with Westwood Villa Association in which the City agreed to make a loan of funds available to the Association to finance Housing Improvements. • July 16, 2012 the EDA approved Internal Loan Fund Resolution No.12-10 • August 20, 2012 the EDA will consider an amendment to Internal Loan Fund Resolution No. 12-10 to fund the project solely from Development Funds. The Development Agreement was based on the city issuing bonds along with authorizing internal financing to cover the estimated Westwood Villa project costs of $2,185,000. The loan amount actually required is just over $1,200,000. Due to lower costs to construct the improvements and higher levels of fee prepayments than anticipated the entire loan may be funded from the Development Fund and it is not necessary to issue bonds to finance the Westwood Villa housing improvements. Kennedy & Graven, EDA counsel, drafted the amended agreement which removes all language relating to bond financing. Aside from changes related to the project costs and financing, the Development Agreement remains as previously agreed upon. FINANCIAL OR BUDGET CONSIDERATION: The executed Development Agreement with the Association ensures that the loan is secured by Association Assets, defined as dues, fees, assessments and other income owing to the Association from unit owners. Owners that did not prepay the fee, will begin fee payment with their property taxes beginning in 2013 and have the option to pay-off the fee in future years. City Council Meeting of August 20, 2012 (Item No. 4f) Page 2 Title: Approve Amended and Restated Development Agreement for Westwood Villa HIA VISION CONSIDERATION: The Westwood Villa Association HIA improvements are consistent with Vision St. Louis Park and the Strategic Directions adopted by the City Council: “St. Louis Park is committed to providing a well-maintained and diverse housing stock”. The HIA tool addresses affordably valued, aging owner-occupied townhouse and condominium housing stock. The proposed improvements specifically address the focus of property maintenance to foster quality housing and community aesthetics. Attachments: Resolution approving an amended and restated Development Agreement Red Line Development Agreement Prepared by: Kathy Larsen, Housing Programs Coordinator Reviewed by: Kevin Locke, Community Development Director Brian Swanson, Controller Approved by: Nancy Deno, Deputy City Manager/HR Director City Council Meeting of August 20, 2012 (Item No. 4f) Page 3 Title: Approve Amended and Restated Development Agreement for Westwood Villa HIA CITY OF ST. LOUIS PARK RESOLUTION NO. 12-____ APPROVING AN AMENDED AND RESTATED DEVELOPMENT AGREEMENT IN CONNECTION WITH HOUSING IMPROVEMENTS WITHIN THE WESTWOOD VILLA ASSOCIATION HOUSING IMPROVEMENT AREA BE IT RESOLVED by the City Council (“Council”) of the City of St. Louis Park (the “City”) as follows: Section 1. Recitals. 1.01. The City is authorized under Minnesota Statutes, Sections 428A.11 to 428.21 (the "Housing Improvement Act") to establish by ordinance a housing improvement area within which housing improvements are made or constructed and the costs of the improvements are paid in whole or in part from fees imposed within the area. The Council adopted a Housing Improvement Area policy on July 16, 2001. 1.02. In order to facilitate Housing Improvements to property known as the "Westwood Villa Association" the Council on May 7, 2012, established the Westwood Villa Association Housing Improvement Area by Ordinance No. 2413-12 (the "Enabling Ordinance") and approved a Housing Improvement Fee (the “Fee”) by Resolution 12-066. 1.03. Pursuant to the Enabling Ordinance, the City entered into a Development Agreement (the “Agreement”) between the City and the Westwood Villa Association (the “Association”), dated as of July 1, 2012, under which the City agreed to make a loan of funds legally available for such purpose (the “Loan”) to the Association to finance the Housing Improvements as described in the Agreement. The Agreement provides that the Loan will be funded both from the proceeds of an internal loan from the EDA Development Fund (the “Internal Loan”), as provided in the Internal Loan Resolution adopted by the EDA on July 16, 2012, and from the proceeds of the City’s taxable general obligation housing improvement area bonds, to be issued in September of 2012. 1.04. Due to lower costs to construct the Housing Improvements and higher levels of prepayment of the Fee than anticipated, the City has determined that the entire Loan may be funded from the proceeds of the Internal Loan, and that it is not necessary to issue bonds to finance the Westwood Villa Housing Improvements. 1.05. .The City and the Association have agreed that it is necessary to amend and restate the Development Agreement to reflect the City’s determination not to issue bonds to finance the Housing Improvements, and have proposed to enter into an Amended and Restated Development Agreement (the “Amended Agreement”) in the form presented to the Council. City Council Meeting of August 20, 2012 (Item No. 4f) Page 4 Title: Approve Amended and Restated Development Agreement for Westwood Villa HIA Section 2. Amended Agreement approved. 2.01. The Amended Agreement as presented to the Council is hereby in all respects approved, subject to modifications that do not alter the substance of the transaction and that are approved by the Mayor and Deputy City Manager, provided that execution of the document by such officials shall be conclusive evidence of approval. The Mayor and Deputy City Manager are hereby authorized to execute, on behalf of the City, the Amended Agreement. Reviewed for Administration: Adopted by the City Council August 20, 2012 Deputy City Manager Mayor Attest City Clerk 406344409254v42 MNI SA140-108 EXECUTION COPYDraft for Council Approval AMENDED AND RESTATED DEVELOPMENT AGREEMENT Between CITY OF ST. LOUIS PARK, MINNESOTA and WESTWOOD VILLA ASSOCIATION, INC. Dated as of July 1,August 20, 2012 This document was drafted by: KENNEDY & GRAVEN, Chartered 470 US Bank Plaza Minneapolis, Minnesota 55402 Telephone: (612) 337-9300 City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 5 i 406344409254v42 MNI SA140-108 TABLE OF CONTENTS Page PREAMBLE ........................................................................................................................................ 1 ARTICLE I Definitions Section 1.1. Definitions ...................................................................................................... 2 ARTICLE II Representations and Warranties Section 2.1. Representations by the City .......................................................................... 6 Section 2.2. Representations and Warranties by the Association...................................... 6 ARTICLE III Financing; Disbursement of Proceeds Section 3.1. FinancingInternal Loan .................................................................................. 8 Section 3.2. Terms of Internal Loan .................................................................................. 8 Section 3.3. Terms of Bonds ........................................................................... 9Section 3.4. Deposit Section 3.5.3.4. Application of Project Fund Balance ............................................................. 9 Section 3.6.3.5. Application of Fee Revenues or Fund Balance ............................................. 9 Section 3.7.3.6. Conditions Precedent to Initial Disbursement ................................................. 9 Section 3.8.3.7. Further Conditions Precedent to All Disbursements ..................................... 10 Section 3.9.3.8. Requests for Disbursement ............................................................................ 11 Section 3.10.3.9. Conditions Precedent to the Final Disbursement .......................................... 12 Section 3.11.3.10. Waiver ............................................................................................................ 12 ARTICLE IV Construction of Housing Improvements Section 4.1. Construction of Housing Improvements ....................................................... 13 Section 4.2. Construction Plans ........................................................................................ 13 Section 4.3. Commencement and Completion of Construction ....................................... 14 Section 4.4. Certificate of Completion.............................................................................. 14 ARTICLE V Insurance Section 5.1. Insurance ....................................................................................................... 15 City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 6 ii 406344409254v42 MNI SA140-108 ARTICLE VI Special Covenants Section 6.1. No Warranty of Condition or Suitability, Indemnification .......................... 17 Section 6.2. Financial Statements ..................................................................................... 17 Section 6.3. Financial Plan; Annual Reports ..................................................................... 18 Section 6.4. Records and Inspection .................................................................................. 18 Section 6.5. Maintenance of Property; Replacement Reserve Fund ................................. 18 Section 6.6. Covenant to Maintain Net Revenues Available for Debt Service ................. 18 Section 6.7. Assignment of Association Assets ................................................................ 19 Section 6.8. Association to Maintain its Existence; Conditions Under Which Exceptions Permitted ......................................................................... 20 Section 6.9. Prohibition Against Assignment of Agreement ............................................ 20 Section 6.10. Notice of Fee Upon Transfer of Housing Units ............................................ 20 Section 6.11. Experienced Property Manager ..................................................................... 20 ARTICLE VII Events of Default Section 7.1. Events of Default Defined ............................................................................ 22 Section 7.2. Remedies on Default ..................................................................................... 22 Section 7.3. No Remedy Exclusive .................................................................................. 22 Section 7.4. No Additional Waiver Implied by One Waiver ............................................ 22 ARTICLE VIII Additional Provisions Section 8.1. Conflict of Interests; City Representatives Not Individually Liable ........................................................................................ 23 Section 8.2. Equal Employment Opportunity ................................................................... 23 Section 8.3. Provisions Not Merged With Deed............................................................... 23 Section 8.4. Titles of Articles and Sections ...................................................................... 23 Section 8.5. Notices and Demands ................................................................................... 23 Section 8.6. Counterparts .................................................................................................. 23 Section 8.7. Recording ...................................................................................................... 23 Section 8.8. Binding Effect ................................................................................................ 24 Section 8.9. Amendment .................................................................................................... 24 TESTIMONIUM .............................................................................................................................. S-1 SIGNATURES ................................................................................................................................. S-1 SCHEDULE A Description of Property SCHEDULE B Housing Improvements SCHEDULE C Disbursement Requisition of Authorized Corporation Representative SCHEDULE D Reserve Study Funding Plan Summary City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 7 1 406344409254v42 MNI SA140-108 AMENDED AND RESTATED DEVELOPMENT AGREEMENT THIS AGREEMENT, made on or as of the 1st20th day of JulyAugust, 2012, by and between the CITY OF ST. LOUIS PARK, a Minnesota municipal corporation (the "City") and WESTWOOD VILLA ASSOCIATION INC., a Minnesota nonprofit corporation (the "Association"). WITNESSETH: WHEREAS, the City is authorized under Minnesota Statutes, Chapter 428A, Sections 11 to 21 (the "Act") to establish by ordinance a housing improvement area within which housing improvements are made or constructed and the costs of the improvements are paid in whole or in part from fees imposed within the area; and WHEREAS, by Ordinance No. 2413-12 adopted May 7, 2012 (the "Enabling Ordinance"), the Council established Westwood Villa Association Housing Improvement Area in order to facilitate certain improvements to property known as the Westwood Villa Association, which property is legally described in Schedule A hereto and is hereafter referred to as the "Property;" and WHEREAS, by Resolution No. 12-066 adopted May 7, 2012 (the "Fee Resolution") the City Council imposed a housing improvement fee on Housing Units (as hereinafter defined) in the Westwood Villa Association Housing Improvement Area in order to finance certain housing improvements in that area (the “Housing Improvements”); and WHEREAS, the Act authorizes the City to issue bonds (the “Bonds”) in the amount necessary to defray all or a portion of the expense to be incurred in making the Housing Improvements, which Bonds are payable primarily from the proceeds of the fee imposed under the Fee Resolution and may be further secured by the pledge of the City’s full faith, credit, and taxing powerCity and Association previously entered into a Development Agreement dated as of July 1, 2012 (the “Prior Agreement”), whereunder the City agreed to issue bonds and to make an internal loan to provide sufficient funds to finance the Housing Improvements in the Westwood Villa Association Housing Improvement Area; and WHEREAS, the Act further authorizes the City to make an internal loan (the “Internal Loan”) in the amount necessary to defray all or a portion of the expense to be incurred in making the Housing Improvements, which Internal Loan is payable primarily from the proceeds of the fee imposed under the Fee Resolution; andas a result of lower Housing Improvement costs and greater housing improvement fee prepayments than anticipated, the parties have determined that the issuance of bonds is not necessary and that the proceeds of the Internal Loan (as hereafter defined) shall be the sole source of financing for the Housing Improvements; and WHEREAS, prior to adoption of the Fee Resolution by the City Council, the Association submitted to the City a financial plan in accordance with the Act that provides for the Association to finance maintenance and operation of the common elements in the Association and a long-range plan to conduct and finance capital improvements therein; andthe parties have agreed to amend and restate the Prior Agreement in its entirety to memorialize the changed terms of financing; and City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 8 2 406344409254v42 MNI SA140-108 WHEREAS, the City believes that development of the improvements to the Property pursuant to this Agreement, and fulfillment generally of this Agreement, are in the vital and best interests of the City and health, safety, morals and welfare of its residents, and in accord with the public purposes and provisions of the applicable State and local laws and requirements under which the Westwood Villa Association Housing Improvement Area has been undertaken. NOW, THEREFORE, in consideration of the mutual obligations of the parties hereto, each of them does hereby covenant and agree with the other as follows: City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 9 3 406344409254v42 MNI SA140-108 ARTICLE I Definitions Section 1.1. Definitions. In this Agreement, unless a different meaning clearly appears from the context: "Act" means Minnesota Statutes, Chapter 428A, Sections 11 to 21. “Administrative Costs” has the meaning described in Section 3.2(b) hereof. “Amended Internal Loan Resolution” means the resolution approved by the Authority on August 20, 2012, amending the terms of the Internal Loan. "Annual Debt Service" means the amount of principal and interest payable on the Bonds and Internal Loan on any August 1 and the next succeeding February 1. "Association" means Westwood Villa Association, Inc., or its permitted successors and assigns. "Association's Authorized Representative" means the Association President, Vice President, or Treasurer or any successor designated by written notice from the Association to the City. "Agreement" means this Agreement, as the same may be from time to time modified, amended, or supplemented. “Authority” means the St. Louis Park Economic Development Authority. "Bonds" means the general obligation bonds or obligations issued by the City under Section 3.3 hereof to finance a portion of the Housing Improvements pursuant to the Act, and any bonds or obligations issued to refund any Bonds. "Bond Fund” means the debt service fund for the Bonds to be established under the Bond Resolution. "Bond Resolution" means the resolution to be approved by the Council awarding the sale and establishing the terms of the Bonds. "City" means the City of St. Louis Park, Minnesota. "City’s Authorized Representative” means the Director of Community Development or a person designated in writing by said Director. “City Building Official” means the City’s chief building inspector. "Certificate of Completion" means the certification provided to the Association, pursuant to Section 4.4 of this Agreement. "Completion Date" means the date of actual completion of the Housing Improvements as certified by the City Building Official pursuant to Section 4.4 hereof. City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 10 4 406344409254v42 MNI SA140-108 “Construction Contract” means the construction contract between the Association and the Contractor. "Construction Plans" means the plans, specifications, drawings and related documents on the construction work to be performed by the Association on the Property which shall be as detailed as the City may reasonably request to allow it to ascertain the nature and quality of the proposed construction work. "Contractor" means any person, including subcontractors, who shall be engaged to work on, or to furnish materials and supplies for the Housing Improvements. "Council" means the City Council of the City. "County" means the County of Hennepin, Minnesota. "Draw Request" means the form, substantially in the form of Schedule C attached hereto, which is submitted to the City when a disbursement is requested and which is referred to in Section 3.93.8 hereof. "Enabling Ordinance" means Ordinance No. 2413-12 adopted by the Council on May 7, 2012, which establishes the Housing Improvement Area. "Event of Default" means an action by the Association listed in Article VII of this Agreement. "Fee" means the housing improvement fee imposed on all Housing Units in the Housing Improvement Area pursuant to the Fee Resolution. "Fee Resolution" means Resolution No. 12-066, adopted by the Council on May 7, 2012, which imposes the Fee. "Fee Revenues" means all proceeds of the Fee payable to the City. "Financial Advisor" means Ehlers & Associates, Inc. or any successor Independent financial advisory firm retained by the City. "Financial Plan" means the Full Reserve Study for Westwood Villa dated October 2007 and updated July 2012, submitted to the City, as amended annually pursuant to Section 6.3 hereof. "Fiscal Year" means any year commencing January 1 and ending December 31. "Housing Improvement Area" means the real property located within the Westwood Villa Association Housing Improvement Area. "Housing Improvements" has the meaning provided in the Enabling Ordinance and set forth in Schedule B hereof. City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 11 5 406344409254v42 MNI SA140-108 "Housing Unit" means an Apartment as described in Minnesota Statutes, Chapter 515, or an Apartment as described in the Declaration Establishing Westwood Villa Condominium, Apartment Ownership No. 83. "Independent", when used with reference to an attorney, engineer, architect, certified public accountant, or other professional person, means a person who (i) is in fact independent, (ii) does not have any material financial interest in the Association or the transaction to which his or her certificate or opinion relates (other than the payment to be received for professional services rendered), and (iii) is not connected with the City or the Association as an officer, director or employee. "Inspecting Architect" means a professional representative hired by the Association for services in conjunction with enforcement of this Agreement. “Internal Loan” means the proceeds of the internal loan made by the City from funds provided by the Authority in connection with the Housing Improvement Area, as described in Section 3.2 hereof. “Internal Loan Fund” means the fund to be established for the Internal Loan. “Internal Loan Resolution” means the resolution to be approved by the Authority, on July 16, 2012, authorizing and establishing the terms of the Internal Loan. "Management Consultant" means a person or entity, experienced in the study and management of condominium housing and having a favorable reputation throughout the United States or the State of Minnesota for skill and experience in such work and, unless otherwise specified herein, retained or employed by the Association and acceptable to the City whose acceptance shall not be unreasonably withheld. "Maturity Date" means the date the Bonds and Internal Loan havehas been fully paid, defeased or redeemed in accordance with theirits terms. "Net Revenues Available for Debt Service" means, as of the date of calculation, the balance in the Bond Fund, the Internal Loan Fund, and any other fund into which Fee Revenues have been deposited as of the date of calculation, less the amount of fees, as estimated by the City's Financial Advisor, that are anticipated to be payable by the City in connection with the Bonds on or before the next Payment Date to the City's Financial Advisor, the registrar for the Bonds, and the paying agent for the Bonds. "Payment Date" means any date on which the principal, and interest and redemption premium, if any, isare due and payable on the Bonds and Internal Loan. "Project Fund" means the Project Fund to be created by the Bond Resolution and Internal Loan Resolution. "Property" means the real property described in Schedule A of this Agreement. “Property Manager” means Multiventures Properties Inc., or another entity approved and designated by the City. City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 12 6 406344409254v42 MNI SA140-108 "Replacement Reserve Fund" means the reserve fund to be maintained by the Association in accordance with Section 6.5 hereof. "State" means the State of Minnesota. "Unavoidable Delays" means delays beyond the reasonable control of the party seeking to be excused as a result thereof which are the direct result of strikes, other labor troubles, fire or other casualty to the Housing Improvements, litigation commenced by third parties which, by injunction or other similar judicial action, directly results in delays, or acts of any federal, state or local governmental unit (other than the City in exercising its rights under this Agreement) which directly result in delays. Unavoidable Delays shall not include delays in the Association's obtaining of permits or governmental approvals necessary to enable construction of the Housing Improvements by the dates such construction is required under Section 4.3 of this Agreement, unless such approvals are within the sole control of the City. City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 13 7 406344409254v42 MNI SA140-108 ARTICLE II Representations and Warranties Section 2.1. Representations by the City. The City makes the following representations as the basis for the undertakings on its part herein contained: (a) The City is a municipal corporation under the laws of the State and has the power to enter into this Agreement and carry out its obligations hereunder. (b) The undertakings of the Housing Improvements are authorized by the Act. (c) On April 16, 2012 after receipt of petitions by owners of at least 50% percent of the Housing Units in the Housing Improvement Area and due publication and mailing of notice of hearing, the Council held a public hearing on the adoption of the Enabling Ordinance and on the adoption of the Fee Resolution and approved first readings thereof. (d) On May 7, 2012, after a second reading of the Enabling Ordinance and Fee Resolution, the Council adopted the Fee Resolution and the Enabling Ordinance. (e) The periods for veto of both the Enabling Ordinance and the Fee Resolution have expired without objection by owners of at least 45 percent of the Housing Units in the Housing Improvement Area, all in accordance with the Act. (f) To finance costs of the Housing Improvements, the City proposes to issue the Bonds and to make the Internal Loan, and to disburse the proceeds thereof to the Association pursuant to this Agreement. The City will issue the Bonds and make the Internal Loan in the aggregate principal amount as described in Article III hereof. The Bonds shall be in the form and shall be subject to the terms and provisions set forth in this Agreement and the Bond Resolution, and the Internal Loan shall be in the form and shall be subject to the terms and provisions set forth in this Agreement and the Internal Loan Resolution. (f) There is no litigation pending or, to the best of its knowledge, threatened against the City relating to the Housing Improvements or to issuance of the Bonds, making the Internal Loan or questioning the powers or authority of the City under the Act, or questioning the corporate existence or boundaries of the City or the title of any of the present officers of the City to their respective offices. (g) The execution, delivery and performance of this Agreement do not violate any agreement or any court order or judgment in any litigation to which the City is a party or by which it is bound. Section 2.2. Representations and Warranties by the Association. The Association represents and warrants that: (a) The Association is a nonprofit corporation, duly organized and in good standing under the laws of the State of Minnesota, is not in violation of any provisions of its articles of incorporation, bylaws or the laws of the State, is duly authorized to transact business within the City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 14 8 406344409254v42 MNI SA140-108 State, has power to enter into this Agreement and has duly authorized the execution, delivery and performance of this Agreement by proper action of its board of directors. (b) The Association will construct, operate and maintain the Housing Improvements in accordance with the terms of this Agreement, the Financial Plan, and all local, State and federal laws and regulations (including, but not limited to, environmental, zoning, building code and public health laws and regulations, the City stormwater management plan and watershed district requirements). (c) The Association has received no notice or communication from any local, state or federal official that the activities of the Association or the City in the Housing Improvement Area may be or will be in violation of any environmental law or regulation (other than those notices or communications of which the City is aware). The Association is aware of no facts the existence of which would cause it to be in violation of or give any person a valid claim under any local, State or federal environmental law, regulation or review procedure. The City and the Association understand and agree that the Housing Improvements, as defined in Schedule B attached hereto, are intended to improve certain physical conditions within the Association, and that the Association makes no Representations and Warranties pursuant to this Section 2.2(c) regarding any conditions within the Association or which may be discovered within the Association, and which the Housing Improvements are intended to cure. (d) The Association will construct the Housing Improvements in accordance with all local, state or federal energy-conservation laws or regulations. (e) The Association will obtain, in a timely manner, all required permits, licenses and approvals, and will meet, in a timely manner, all requirements of all applicable local, state and federal laws and regulations which must be obtained or met before the Housing Improvements may be lawfully constructed. (f) Neither the execution and delivery of this Agreement, the consummation of the transactions contemplated hereby, nor the fulfillment of or compliance with the terms and conditions of this Agreement is prevented, limited by or conflicts with or results in a breach of, the terms, conditions or provisions of any corporate restriction or any evidences of indebtedness, agreement or instrument of whatever nature to which the Association is now a party or by which it is bound, or constitutes a default under any of the foregoing. (g) Whenever any Event of Default occurs and if the City shall employ attorneys, financial advisors or other consultants, or incur other expenses for the collection of payments due or to become due or for the enforcement of performance or observance of any obligation or agreement on the part of the Association under this Agreement, the Association agrees that it shall, within ten days of written demand by the City pay to the City the reasonable fees of such attorneys, financial advisors or consultants, and such other expenses so incurred by the City. City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 15 9 406344409254v42 MNI SA140-108 ARTICLE III Financing; Disbursement of Proceeds Section 3.1. Financing. In order to provide funds to defray the costs of the Housing Improvements, the City will (i) make an Internal Loan from funds legally available for such purposes, in the maximum principal amount of $1,100,000 1,300,000 (“Loan Amount”), and (ii) issue Bonds in the maximum principal amount described in Section 3.3 (the "Bond Amount"). The parties agree and understand that the Bonds and the Internal Loan will be repaid from Fee Revenues. The terms of the Internal Loan and of the Bonds shall be as specified in this Article. Section 3.2. Terms of Internal Loan. (a) As of the date of this Agreement, the source of funds for the Internal Loan is the development fund administered and controlled by the Authority. The Authority has agreed to make such funds available to the City for purposes of making the Internal Loan, all pursuant to the Internal Loan Resolution to be approved by the Authority on or before issuance of the Bonds. TheJuly 16, 2012, as amended by the Amended Internal Loan Resolution approved by the Authority on August 20, 2012. The Amended Internal Loan Resolution will establish a Project Fund; specify that interest accrues on the Loan Amount at a fixed annual interest rate that is 100 basis points higher thanabove the true interest cost on the Bonds,of the City’s General Obligation Taxable Housing Improvement Bonds, Series 2012A (to be sold in September 2012 to finance certain housing improvements within a separate housing improvement area in the City) with interest accrual beginning January 1, 2013; and specify payment dates and other terms consistent with the terms of the Fee Resolution and this Agreement. (b) The Loan Amount will be deposited in the Project Fund on the effective date of the Amended Internal Loan Resolution, to be applied as follows: (i) Not to exceed $200,000,150,000, to pay costs of administering the Internal Loan and Bonds, legal fees, financial advisor fees, rebates of prepaid Fee Revenues and soft costs (collectively, “Administrative Costs”); and (i) The remaining amount for disbursement to pay Housing Improvement costs. Internal Loan moneys in the Project Fund shall be subject to withdrawal only for the purposes of paying the costs of Housing Improvements (including the Administrative Costs described above) or subject to any applicable provision of law, for payments theretofore made by the Association for such costs. None of the funds in the Project Fund shall be used for any purposes other than payment or reimbursement of such costs, except as otherwise provided in Sections 3.3 and 3.6Section 3.5 hereof. Administrative Costs may be disbursed from the Project Fund at any time after the effective date of the Internal Loan Resolution. (c) Fee Revenues will be applied as repayment of the Internal Loan in accordance with the terms of the Amended Internal Loan Resolution, and will be credited by the City to the Authority fund from which the Internal Loan was derived. (d) The City and Association agree, and the Internal Loan Resolution shall provide, that interest earnings on funds in the Project Fund and any other revenue fund established under the City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 16 10 406344409254v42 MNI SA140-108 Internal Loan Resolution shall be credited to the Authority fund that was the source of the Internal Loan. Section 3.3. Terms of Bonds. (a) The City shall issue the Bonds in the maximum principal amount that is supported by the Fee Revenues and that will, in conjunction with the Loan Amount and all Fee Revenues prepaid by owners of Housing Units prior to issuance of the Bonds in accordance with the Fee Resolution, produce total funds in the maximum amount of $2,185,000. At closing on issuance of the Bonds, proceeds (net of capitalized interest and costs of issuance) together with prepaid Fee Revenues and proceeds of the Internal Loan as described in Section 3.2 hereof, shall be deposited by the City into the Project Fund for disbursement to the Association in accordance with the terms of this Agreement. Bond proceeds in the Project Fund shall be subject to withdrawal from time to time only for the purposes of paying the costs of Housing Improvements, or subject to any applicable provision of law, for payments theretofore made by the Association for such costs. None of the Bond proceeds in the Project Fund shall be used for any purposes other than payment or reimbursement of such costs of Housing Improvements, except as otherwise provided in the Bond Resolution and Section 3.6 hereof. The City will issue the Bonds by October 2012, subject to Unavoidable Delays and the City's ability to issue the Bonds under existing laws and market conditions. (b) Under the Bond Resolution, the City will deposit into the Bond Fund capitalized interest through February 1, 2013, together with Fee Revenues in the amount necessary to pay when due the principal, interest and redemption premium, if any, on the Bonds. All Fee Revenues in excess of the amount necessary to pay when due the principal, interest and redemption premium, if any, on the Bonds and the principal of and interest on the Internal Loan will be deposited into a separate revenue account to be established under the Bond Resolution and maintained by the City until the Maturity Date of the Bonds (the “Surplus Fund”). Subject to the prior pledge of Fee Revenues to payment of principal and interest on the Bonds and Internal Loan, the City may at its sole discretion apply funds in such Surplus Fund: (i) to pay registrar and paying agent fees, if any, in connection with the Bonds; (ii) to pay other administrative costs in connection with the Bonds or the Housing Improvement Area, to the extent not paid from proceeds of the Internal Loan; (iii) to pay costs in connection with enforcement by the City of the Association's obligations under this Agreement (provided that any such payment is subject to reimbursement by the Association pursuant to Section 2.2(g) hereof, and nothing in this Section 3.3(b) shall be construed to require the City to pay costs of enforcement in the first instance as provided herein); and (iv) in accordance with Section 3.6 hereof. (c) The City and Association agree, and the Bond Resolution shall so provide, that interest earnings on funds in the Project Fund, the Bond Fund, and any other revenue fund established under the Bond Resolution, shall be deposited in and credited to the respective fund from which the interest was derived.Section 3.4. Deposit of Funds by Association. If the City shall at any time in good faith determine that the amount of funds then on deposit in the Project Fund, combined, together with expected earnings thereon, is less than the amount required to pay all costs and expenses of any kind which reasonably may be anticipated in connection with the completion of the Housing Improvements and shall thereupon send written notice thereof to the Association specifying the additional amount required to be deposited by the Association to provide sufficient funds to complete the Housing Improvements, the Association agrees that it will, within ten (10) calendar days of receipt of any such notice, deposit with the City the amount of funds specified in City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 17 11 406344409254v42 MNI SA140-108 the notice and shall authorize the City to disburse such funds prior to disbursement of any additional proceeds of the Bonds or Internal Loan. Section 3.5.3.4. Application of Project Fund Balance. Any amounts remaining in the Project Fund upon completion of the Housing Improvements shall be applied in accordance with Section 3.63.5 hereof. Section 3.6.3.5. Application of Fee Revenues or Fund Balance. In the event that, (a) any balance remains in the Project Fund upon the final disbursement therefrom for costs of the Housing Improvements; (b) there is any balance in the Surplus Fund described in Section 3.3(b), or (cor (b) at any time before the Maturity Date the City has available to it Fee Revenues (excluding the proceeds of any refunding Bonds), together with amounts on hand in any funds or accounts under the Bond Resolution, in the amount sufficient to redeem or defease the Bonds or Internal Loan in advance of theirits maturity, as determined by the City's Financial Advisor, the City may, in its sole discretion: (a) apply such excess Fee Revenues or fund balance to redeem or defease all or any portion of the Bonds or Internal Loan; or (b) by resolution of the Council, disburse all or any portion of such excess Fee Revenues or Project Fund balance, as the case may be, to the Association for deposit into the replacement fund maintained by the Association (the "Replacement Reserve Fund"). The Association shall establish and maintain a separate subaccount in the Replacement Reserve Fund (the "Excess Revenue Subaccount") in which excess Fee Revenues or any fund balance deposited hereunder, together with interest earnings thereon, shall be maintained. Amounts in the Excess Revenue Subaccount of the Replacement Reserve Fund shall be expended only for Housing Improvements (as defined in the Enabling Ordinance) that are selected by the Association; provided that before making any disbursement of funds from the Excess Revenue Subaccount, the Association shall submit written plans and cost estimates for such Housing Improvements to the City’s Authorized Representative, which plans shall be deemed approved unless rejected in writing by the City’s Authorized Representative within 30 days after receipt thereof; or (c) any combination of paragraphs (a) and (b) above. Any balance remaining after the Maturity Date in the BondInternal Loan Fund or any other fund into which Fee Revenues have been deposited shall be transferred by the City to the Association for deposit into the Excess Revenue Subaccount of the Replacement Reserve Fund. Expenditures from the Excess Revenue Subaccount shall be subject to the conditions described in clause (b) above. All covenants and obligations of the Association under this Section shall survive the Maturity Date. Section 3.7.3.6. Conditions Precedent to Initial Disbursement. The obligation of the City to make the initial Disbursement hereunder shall be subject to the condition precedent that the Association shall be in compliance with the conditions contained in Section 3.83.7 hereof and the further condition precedent that the City shall have received, on or before the date of such initial disbursement hereunder, the following: City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 18 12 406344409254v42 MNI SA140-108 (a) A copy of the Construction Plans, approved by the City Building Official in accordance with Section 4.2 hereof and in detail sufficient to enable the Association to authorize commencement of construction of the Housing Improvements, certified by the City Building Official and the Association; (b) Copies of the Construction Contracts, and such subcontracts as may be reasonably requested from time to time by the City; (c) A sworn construction statement duly executed by the Contractors for the Housing Improvements showing estimates of all anticipated Contractors' contract or subcontracts for specific portions of the work on the Housing Improvements and the amounts anticipated to become due each such Contractor, including all costs and expenses of any kind incurred and to be incurred in construction of the Housing Improvements; (d) A total project cost statement, incorporating estimates of the construction costs as shown on the sworn construction statement described in paragraph (c) above and setting forth all other costs and expenses of any kind anticipated to be incurred in completion of the Housing Improvements and sworn to by the Association to be a true, complete and accurate account of all costs actually incurred and a reasonably accurate estimate of all costs to be incurred in the future; (e) Copies of any licenses and permits which the City’s Authorized Representative certifies as necessary and sufficient to construct the Housing Improvements, including all foundation and grading permits and building permits from time to time necessary for such construction. Section 3.8.3.7. Further Conditions Precedent to All Disbursements. The obligation of the City to make the initial Disbursement hereunder and each subsequent Disbursement hereunder shall be subject to the condition precedent that the Association shall be in compliance with all conditions set forth in Section 3.73.6 hereof, and the further condition precedent that on the date of such disbursement: (a) The City has received a written statement from the Association's Authorized Representative certifying with respect to each payment: (i) that none of the items for which the payment is proposed to be made has formed the basis for any payment theretofore made from the Project Fund; (ii) that each item for which the payment is proposed to be made is or was necessary in connection with the Housing Improvements; (iii) that following such proposed payment sufficient moneys will remain on deposit in the Project Fund to provide for payment in full of all remaining costs estimated to be incurred in order to complete the Housing Improvements, and (iv) that the current balance in the Replacement Reserve Fund meets the requirements in Section 6.5. In the case of any contract providing for the retention of a portion of the contract price, there shall be paid from the Project Fund only the net amount remaining after deduction of any such portion. (b) No Event of Default under this Agreement or event which would constitute such an Event of Default but for the requirement that notice be given or that a period of grace or time elapse, shall have occurred and be continuing. (c) No determination shall have been made by the City’s Authorized Representative that the amount of undisbursed moneys, together with expected earnings thereon and any amount of City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 19 13 406344409254v42 MNI SA140-108 other funds deposited in the Project Fund by the Association or to be deposited under SectionsSection 3.2 and 3.3 hereof, are insufficient to pay expenses of any kind which reasonably may be anticipated in connection with the completion of the Housing Improvements; or if such a determination has been made and notice thereof sent to the Association, the Association has deposited the necessary funds with the City in accordance with Section 3.43.3 hereof. (d) The disbursement requirements set forth in Section 3.93.8 hereof have been satisfied. (e) If requested by the City’s Authorized Representative, the City shall be furnished with a statement of the Association and of any Contractor, in form and substance satisfactory to the City’s Authorized Representative setting forth the names, addresses and amounts due or to become due as well as the amounts previously paid to every Contractor, subcontractor, person, firm or corporation furnishing materials or performing labor entering into the construction of any part of the Housing Improvements. (f) No license or permit necessary for the construction of the Housing Improvements shall have been revoked or the issuance thereof subjected to challenge before any court or other governmental authority having or asserting jurisdiction thereover. Section 3.9.3.8. Requests for Disbursement. (a) Whenever the Association desires a disbursement to be made, which shall be no more often than weekly, the Association shall submit to the City a Draw Request in substantially the form attached as Exhibit C hereto, duly executed on behalf of the Association, setting forth the information requested therein. Each Draw Request shall be limited to amounts equal to (i) the total of such costs actually incurred and owing (or previously paid) by the Association to the date of such Draw Request for work performed on and materials used in the Housing Improvements, plus (ii) the cost of materials and equipment not incorporated in the Property, but delivered to and suitably stored at the Property; less, (iii) (a) a minimum of five percent, and (b) at all times less prior disbursements. Notwithstanding anything herein to the contrary, no disbursements for materials stored at the Property will be authorized unless the Association shall provide adequate security for such storage. Each Draw Request shall constitute a representation and warranty by the Association that all representations and warranties set forth in this Agreement are true and correct as of the date of such Draw Request. (b) At the time of submission of each Draw Request, the Association shall submit the following to the City’s Authorized Representative: (i) A written lien waiver from each Contractor for work done and materials supplied by it which were paid for pursuant to the next preceding Draw Request. (ii) Such other supporting evidence as may be requested by the City to substantiate all payments which are to be made out of the relevant Draw Request and/or to substantiate all payments then made with respect to the Housing Improvements. (c) If on the date a disbursement is desired, the Association has performed all of its agreements and complied with all requirements theretofore to be performed or complied with hereunder, including satisfaction of all applicable conditions precedent contained in Article III hereof, upon approval by the Council the City’s Authorized Representative shall make a City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 20 14 406344409254v42 MNI SA140-108 disbursement to the Association in the amount of the requested disbursement, or such lesser amount as shall be approved. Section 3.10.3.9. Conditions Precedent to the Final Disbursement. The making of the final disbursement by the City from the Project Fund shall be subject to the condition precedent that the Association shall be in compliance with all conditions set forth in Sections 3.73.6 through 3.93.8 hereof and, further, that the following conditions shall have been satisfied prior to the Completion Date: (a) The Housing Improvements have been substantially completed in accordance with the Construction Plans and Article IV hereof, and the City shall have received a certificate of completion from the Association’s Authorized Representative and the City Building Official, certifying that to the best of their knowledge (i) work on the Housing Improvements has been completed in accordance with the Construction Plans and all other labor, services, materials and supplies used in such work have been paid for; (ii) the completed Housing Improvements conform with all applicable building laws and regulations of the governmental authorities having jurisdiction over the Housing Improvements; and (iii) lien waivers submitted to the City under Section 3.73.6(b) cover all labor, services materials and supplies in connection with the Housing Improvements. (b) The City’s Authorized Representative shall have received satisfactory evidence that all work requiring inspection by municipal or other governmental authorities having jurisdiction has been duly inspected and approved by such authorities and by the bureau, corporation or office having jurisdiction, and that all requisite certificates of occupancy and other approvals have been issued. (c) The City’s Authorized Representative shall have received a lien waiver from each Contractor for all work done and for all materials furnished by it for the Housing Improvements. Section 3.11.3.10. Waiver. The City’s Authorized Representative may, in his or her sole discretion, without notice to or consent from any other party, waive any or all conditions for disbursement set forth in this Article. However, the making of any disbursement prior to fulfillment of any condition therefor shall not be construed as a waiver of such condition, and the City’s Authorized Representative shall have the right to require fulfillment of any and all such conditions prior to authorizing any subsequent disbursement. City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 21 15 406344409254v42 MNI SA140-108 ARTICLE IV Construction of Housing Improvements Section 4.1. Construction of Housing Improvements. The Association agrees that it will construct the Housing Improvements on the Property in accordance with the approved Construction Plans and at all times prior to the Maturity Date will operate and maintain, preserve and keep the Housing Improvements or cause the Housing Improvements to be maintained, preserved and kept with the appurtenances and every part and parcel thereof, in good repair and condition, all in accordance with Article VI hereof. Section 4.2. Construction Plans. (a) Before the City makes any disbursements of the proceeds of the BondsInternal Loan, the Association shall submit the Construction Plans to the City Building Official, who shall review such plans on behalf of the City. The Construction Plans shall provide for the construction of the Housing Improvements and shall be in conformity with this Agreement, and all applicable State and local laws and regulations. The City Building Official will approve the Construction Plans in writing if: (i) the Construction Plans conform to the terms and conditions of this Agreement; (ii) the Construction Plans conform to all applicable federal, state and local laws, ordinances, rules and regulations; (iii) the Construction Plans are adequate to provide for construction of the Housing Improvements; and (iv) no Event of Default has occurred. No approval by the City Building Official shall relieve the Association of the obligation to comply with the terms of this Agreement, applicable federal, state and local laws, ordinances, rules and regulations, or to construct the Housing Improvements in accordance therewith. No approval by the City Building Official shall constitute a waiver of an Event of Default. If approval of the Construction Plans is requested by the Association in writing at the time of submission, such Construction Plans shall be deemed approved unless rejected in writing by the City Building Official, in whole or in part. Such rejections shall set forth in detail the reasons therefore, and shall be made within 30 days after the date of their receipt by the City Building Official. If the City Building Official rejects any Construction Plans in whole or in part, the Association shall submit new or corrected Construction Plans within 30 days after written notification to the Association of the rejection. The provisions of this Section relating to approval, rejection and resubmission of corrected Construction Plans shall continue to apply until the Construction Plans have been approved by the City Building Official. The City Building Official’s approval shall not be unreasonably withheld. Said approval shall constitute a conclusive determination that the Construction Plans (and the Housing Improvements, constructed in accordance with said plans) comply to the City Building Official’s satisfaction with the provisions of this Agreement relating thereto. (b) If the Association desires to make any material change in the Construction Plans after their approval by the City Building Official, the Association shall submit the proposed change to the City Building Official for approval. For the purposes of this Section, a "material change" means any change that (i) increases or decreases the total cost of the Housing Improvements by more than $25,000 or (ii) involves any change in construction materials or design that reasonably requires review for compliance with state and local laws and regulations. If the Construction Plans, as modified by the proposed change, conform to the requirements of this Section 4.2 of this Agreement with respect to such previously approved Construction Plans, the City Building Official shall approve the proposed change and notify the Association in writing of its approval. Such change in the Construction Plans shall, in any event, be deemed approved by the City Building Official unless rejected, in whole or in part, by written notice by the City Building Official to the City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 22 16 406344409254v42 MNI SA140-108 Association, setting forth in detail the reasons therefor. Such rejection shall be made within ten (10) days after receipt of the notice of such change. The City Building Official’s approval of any such change in the Construction Plans will not be unreasonably withheld. Section 4.3. Commencement and Completion of Construction. Subject to Unavoidable Delays, the Association shall complete the construction of the Housing Improvements by September 31, 2013. All work with respect to the Housing Improvements to be constructed or provided by the Association on the Property shall be in conformity with the Construction Plans as submitted by the Association and approved by the City. The Association agrees for itself, its successors and assigns, and every successor in interest to the Property, or any part thereof, that the Association, and such successors and assigns, shall promptly begin and diligently prosecute to completion the construction of the Housing Improvements thereon, and that such construction shall in any event be commenced and completed within the period specified in this Section 4.3 of this Agreement. Until construction of the Housing Improvements has been completed, the Association shall make reports, in such commercially reasonable detail and at such times as may reasonably be requested by the City as to the actual progress of the Association with respect to such construction. Section 4.4. Certificate of Completion. (a) Promptly after substantial completion of the Housing Improvements in accordance with those provisions of the Agreement relating solely to the obligations of the Association to construct the Housing Improvements (including the dates for beginning and completion thereof), the City will furnish the Association with an appropriate instrument so certifying. Such certification by the City shall be a conclusive determination of satisfaction and termination of the agreements and covenants in the Agreement with respect to the obligations of the Association, and its successors and assigns, to construct the Housing Improvements and the dates for the beginning and completion thereof. Such certification and such determination shall not constitute evidence of compliance with or satisfaction of any obligation of the Association under Article VI hereof. (b) The certificate provided for in this Section 4.4 of this Agreement shall be in such form as will enable it to be recorded in the proper office for the recordation of deeds and other instruments pertaining to the Property. If the City shall refuse or fail to provide any certification in accordance with the provisions of this Section 4.4 of this Agreement, the City shall, within thirty (30) days after written request by the Association, provide the Association with a written statement, indicating in adequate detail in what respects the Association has failed to complete the Housing Improvements in accordance with the provisions of the Agreement, or is otherwise in default, and what measures or acts it will be necessary, in the opinion of the City, for the Association to take or perform in order to obtain such certification. (c) The construction of the Housing Improvements shall be deemed to be substantially completed as determined by the City Building Official, who may execute the certificate of completion on behalf of the City. City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 23 17 406344409254v42 MNI SA140-108 ARTICLE V Insurance Section 5.1. Insurance. (a) The Association will provide and maintain or cause to be provided and maintained at all times during the process of constructing the Housing Improvements an All Risk Broad Form Basis Insurance Policy and, from time to time during that period, at the request of the City, furnish the City with proof of payment of premiums on policies covering the following: (i) In lieu of a Builder’s Risk Policy, a Contractors’ Installation Floater Policy which includes an endorsement covering construction of the Housing Improvements up to $500,000 at any one time during construction, based on the provided work schedule that no more than $250,000 of materials will be on site at any given time. The Policy will name the City and Association as additional insured. The interest of the City shall be protected in accordance with a clause in form and content satisfactory to the City; (ii) During construction of the Housing Improvements the Association shall maintain, or cause to be maintained, at its cost and expense, insurance against loss and/or damage to the Property and the Housing Improvements under a policy or policies covering such risks as are ordinarily insured against by similar condominium associations and that names the City as an additional insured. The interest of the City shall be protected in accordance with a clause in form and content satisfactory to the City; (iii) Comprehensive general liability insurance (including operations, contingent liability, operations of subcontractors, completed operations and contractual liability insurance) together with an Owner's Contractor's Policy with limits against bodily injury and property damage of not less than $1,000,000 for each occurrence (to accomplish the above- required limits, an umbrella excess liability policy may be used) and that names the City as an additional insured; and (iv) Workers' compensation insurance provided by all Contractors. (b) Upon completion of construction of the Housing Improvements and prior to the Maturity Date, the Association shall maintain, or cause to be maintained, at its cost and expense, at the request of the City but no more often than annually shall furnish proof of the payment of premiums on, insurance as follows: (i) Insurance against loss and/or damage to the Property and the Housing Improvements under a policy or policies covering such risks as are ordinarily insured against by similar condominium associations, and that names the City as an additional insured. (ii) Comprehensive general public liability insurance, including personal injury liability (with employee exclusion deleted), against liability for injuries to persons and/or property, in the amount for each occurrence and for each year of $1,000,000, and shall be endorsed to show the City as additional insured. City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 24 18 406344409254v42 MNI SA140-108 (iii) Such other insurance, including workers' compensation insurance respecting all employees of the Association, in such amount as is customarily carried by like organizations engaged in like activities of comparable size and liability exposure; provided that the Association may be self-insured with respect to all or any part of its liability for workers' compensation. (c) All insurance required in Article V of this Agreement shall be taken out and maintained in responsible insurance companies selected by the Association which are authorized under the laws of the State to assume the risks covered thereby. Upon request, the Association will deposit annually with the City policies evidencing all such insurance, or a certificate or certificates or binders of the respective insurers stating that such insurance is in force and effect. Unless otherwise provided in this Article V of this Agreement each policy shall contain a provision that the insurer shall not cancel nor modify it in such a way as to reduce the coverage provided below the amounts required herein without giving written notice to the Association and the City at least thirty (30) days before the cancellation or modification becomes effective. In lieu of separate policies, the Association may maintain a single policy, blanket or umbrella policies, or a combination thereof, having the coverage required herein, in which event the Association shall deposit with the City a certificate or certificates of the respective insurers as to the amount of coverage in force upon the Housing Improvements. (d) The Association agrees to notify the City immediately in the case of damage exceeding $100,000 in amount to, or destruction of, the Property, the Housing Improvements or any portion thereof resulting from fire or other casualty. In such event the Association will forthwith repair, reconstruct and restore the Housing Improvements to substantially the same or an improved condition or value as it existed prior to the event causing such damage and, to the extent necessary to accomplish such repair, reconstruction and restoration, the Association will apply the Net Proceeds of any insurance relating to such damage received by the Association to the payment or reimbursement of the costs thereof. The Association shall complete the repair, reconstruction and restoration of the Housing Improvements and the Property, whether or not the Net Proceeds of insurance received by the Association for such purposes are sufficient to pay for the same. Any Net Proceeds remaining after completion of such repairs, construction and restoration shall be the property of the Association. (e) The Association and the City agree that all of the insurance provisions set forth in this Article V shall terminate upon the earlier of the Maturity Date or termination of this Agreement. City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 25 19 406344409254v42 MNI SA140-108 ARTICLE VI Special Covenants Section 6.1. No Warranty of Condition or Suitability, Indemnification. (a) The City does not make any warranty, either express or implied, as to the design or capacity of the Housing Improvements, as to the suitability for operation of the Housing Improvements or that they will be suitable for the Association's purposes or needs. The Association releases the City from, agrees that the City shall not be liable for, and agrees to hold the City, its Council and its respective officers and employees, harmless against, any claim, cause of action, suit or liability for any loss or damage to property or any injury to or death of any person that may be occasioned by any cause whatsoever pertaining to the Housing Improvements or the Property or the use thereof, except for those that arise from the actions of the City. (b) The Association further agrees to indemnify and hold harmless the City, its officers and employees against any and all losses, claims, damages or liability to which the City, its officers and employees may become subject under any law arising out of any act, omission, representation or misrepresentation of the Association in connection with the Bonds and Internal Loan and the carrying out of the transactions contemplated by this Agreement, and to reimburse the City, its officers and employees for any out-of-pocket legal and other expenses (including reasonable counsel fees) incurred by the City, its officers and employees, in connection with investigating any such losses, claims, damages or liabilities or in connection with defending any actions relating thereto. The City agrees, at the request and expense of the Association, to cooperate in the making of any investigation in defense of any such claim and promptly to assert any or all of the rights and privileges and defenses which may be available to the City. The provisions of this Section shall survive the payment and redemption of the Bonds and Internal Loan. (c) All covenants, stipulations, promises, agreements and obligations of the City contained herein shall be deemed to be the covenants, stipulations, promises, agreements and obligations of the City and not of any governing body member, officer, agent, servant or employee of the City in the individual capacity thereof. Section 6.2. Financial Statements. The Association agrees to furnish to the City, by no later than 120 days after the end of each Fiscal Year until the later of the Maturity Date or the date all excess Fee Revenues and Project Fund balance, if any, have been expended in accordance with Section 3.63.5 hereof, a copy of the annual audited financial statements of the Association for the preceding Fiscal Year, including a balance sheet and operating statements, audited by an Independent certified public accountant. Such financial statements shall be accompanied by a separate written statement from such Independent certified public accountant preparing such report that such Independent accountant has obtained no knowledge of any default by the Association in the fulfillment of any of the terms, covenants, provisions or conditions of this Agreement or if such accountant shall have obtained knowledge of any such default the accountant shall disclose in such statement the default and the nature thereof, but such accountant shall not be liable directly or indirectly to any party for failure to obtain knowledge of any default. The Association and the City agree and understand that compliance with this Section constitutes compliance with Section 7.01 of the Enabling Ordinance. City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 26 20 406344409254v42 MNI SA140-108 Section 6.3. Financial Plan; Annual Reports. The Association agrees to furnish to the City, by no later than 120 days after the end of Fiscal Years described below: (a) 2013 and every year thereafter until the later of the Maturity Date or the Date all excess Fee Revenues and Project Fund balance, if any, have been expended in accordance with Section 3.63.5 hereof, an updated Financial Plan for the Property prepared by a Management Consultant or another property management professional acceptable to the City, in substantially the form of the Financial Plan and providing plans for capital improvements to the Property through the Maturity Date; (b) in 2013 and every other year thereafter until the date all excess Fee Revenues and Project Fund balance, if any, have been expended in accordance with Section 3.63.5 hereof, a written report by an Independent engineer or another property management professional acceptable to the City, describing the physical condition of the Property and the Housing Improvements as of the end of the preceding Fiscal Year, with detail sufficient to enable the City to evaluate adequacy of compliance with the Association's obligations under this Agreement. Section 6.4. Records and Inspection. The Association shall maintain (i) copies of federal, state, municipal and other licenses and permits obtained by the Association relating to the operation of the Property and the Housing Improvements, (ii) financial books and records reflecting the operations of the Property and the Housing Improvements, and (iii) all other documents, instruments, reports and records required by any provision of this Agreement or the Financial Plan or by law relating to the Property or the affairs of the Association. The City shall have the right to inspect all such materials, except any materials made private or confidential by federal or state law or regulation, and the Property at all reasonable times and to make such copies and extracts as it may desire. At the request of the City the Association shall furnish to the City, at the Association's expense, a copy of any such materials which are required by the City in the performance of its duties under this Agreement, the Enabling Ordinance, the Fee Resolution or the Act. Section 6.5. Maintenance of Property; Replacement Reserve Fund. (a) The Association agrees that so long as the Bonds areInternal Loan is outstanding, the Association will keep or cause to be kept the Property and the Housing Improvements in good repair and good operating condition at its own cost. (b) The Association shall maintain at all times prior to the Maturity Date a “Replacement Reserve Fund,” the moneys in which shall be available to pay the costs of maintenance and repair of the Property and to make any other payment that may be required under this Agreement, including without limitation any payment to the City under Section 6.6 hereof. By the date of the first disbursement from the Project Fund under Section 3.2, in 2012, the balance in the Replacement Reserve Fund shall be at least $30,000. By December 31 of each year thereafter through 2022, the balance in the Replacement Reserve fund shall increase in accordance with the Funding Plan Summary of the Reserve Study Funding Plan being updated July 2012 (Schedule D). The Association shall provide documentation showing compliance with these requirements at the time that the Financial Plan and Annual Reports are furnished to the City as described in Section 6.3. Section 6.6. Covenant to Maintain Net Revenues Available for Debt Service. (a) In the event that, 10 business days before any Payment Date, the Net Revenues Available For Debt Service are less than 105 percent of the total principal and interest due on the Bonds and Internal City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 27 21 406344409254v42 MNI SA140-108 Loan on such Payment Date, the City will provide written notice to the Association of such fact and the amount of the deficiency. Within 10 days after receipt of such notice of deficiency in Net Revenues Available for Debt Service, the Association shall be liable for and shall pay the City such deficiency. Failure on the part of the City to provide the notice of the deficiency at the time specified herein shall not relieve the Association of its obligation to make the required payment 10 days after the actual notice of the deficiency is provided by the City to the Association. Failure on the part of the Association to make the required payment under this Section within 10 days after receipt of notice thereof shall entitle the City to exercise its remedies under this Agreement, notwithstanding any cure period provided in Article VII hereof. (b) In the event that the Association makes any payment to the City under Section 6.6(a) and, 10 business days before any Payment Date thereafter the City determines that Net Revenues Available for Debt Service, excluding the amount of all prior payments by the Association under Section 6.6(a), are at least 105 percent ofexceed the total principal and interest due on the Bonds and Internal Loan on such Payment Date, the City shall promptly return to the Association the amount of the prior payment, without interest thereon. Nothing in this Section 6.6(b) shall be construed to relieve the obligation of the Association to make any payment required under Section 6.6(a) hereof. Section 6.7. Assignment of Association Assets. (a) As security for the Association's obligations under Section 6.6 hereof, the Association does hereby bargain, sell, assign and set over unto the City, all the fees and assessments and other income of any type owing to the Association from owners of Housing Units in the Property, together with all cash, investments and securities of any type held by the Association now or hereafter in any operating or reserve accounts (the "Accounts"). The fees, assessments, and Accounts are referred to collectively as the "Association Assets". This assignment shall constitute a perfected, absolute and present assignment, provided that the Association may, so long as no Event of Default with respect to Section 6.6 hereof occurs, collect, retain, and make appropriate payment from, of all Association Assets. The provisions of this Section 6.7 are intended to be a mere license in favor of the Association and a mere deferral of the City's exercise of its perfected, absolute and present rights hereunder, and shall not be construed to be a future assignment thereof. (b) The Association hereby covenants and warrants to the City that the Association has not executed any prior assignments of any Association Assets, nor has it performed any act or executed any other instrument that might prevent the Association from operating under any of the terms and conditions of this assignment or that would limit the Association in such operation. (c) The Association hereby agrees that, so long as the Association's obligations under Section 6.6 hereof remain outstanding the Association will not, without the written consent of the City, make any other assignment, pledge or other disposition of any of the Association Assets, or consent in any assignment of same; and any such acts, if done without the written consent of the City, shall be null and void. (d) Upon the occurrence of an Event of Default with respect to Section 6.6 hereof, the City shall have the right to withdraw funds from, and liquidate any securities in any Accounts, and collect the fees and assessments from the owners of Housing Units, and apply the same for deposit in the BondInternal Loan Fund. This assignment shall be binding upon the owners of Housing City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 28 22 406344409254v42 MNI SA140-108 Units in the Property from the date of filing by the City in the office or offices where this Agreement is filed that an Event of Default under Section 6.6 hereof has occurred and is continuing and service of a copy of the notice upon the owners of the Housing Units. The expenses, including any attorney's fees, and financial consultant’s fees reasonably incurred pursuant to the powers herein contained shall be deemed to be immediately due and payable by the Association to the City and shall be secured hereby. The City shall not be liable to account to the Association for any action taken pursuant hereto other than to account for any Association Assets actually received by the City. (e) The City shall not be obligated to perform or discharge, nor does it undertake to perform or discharge, any obligation, duty or liability under any agreement between the Association and owners of Housing Units in the Property, and the Association hereby agrees to defend and indemnify the City and hold it harmless for any and all liability, loss or damage which it may or might incur under or by reason of this assignment and from any and all claims and demands whatsoever which may be asserted against it by reason of any alleged obligation or undertaking on its part to perform or discharge any of the terms or covenants contained in any agreement by and among the Association and the owners of Housing Units in the Property, except such claims and demands that arise out of the negligence or willful misconduct of the City, its officers, employees and agents. Should the City incur any such liability, loss or damage under or by reason of this assignment, or in the defense against any such claims or demands arising out of this assignment, the amount thereof, including costs, expenses and reasonable attorneys' fees, together with interest thereon at the higher of the rate of interest on the Bonds or Internal Loan, shall be secured hereby, and the Association shall reimburse the City therefore immediately upon demand. Section 6.8. Association to Maintain its Existence; Conditions Under Which Exceptions Permitted. The Association agrees that, so long as the Bonds and Internal Loan areis outstanding, it will maintain its existence as a nonprofit corporation under the laws of Minnesota; will not dissolve or otherwise dispose of all or substantially all of its assets; and will not consolidate with or merge into another corporation or permit one or more other corporations to consolidate with or merge into it. Section 6.9. Prohibition Against Assignment of Agreement. The Association represents and agrees that prior to the Maturity Date the Association has not made or created and will not make or create or suffer to be made or created any total or partial sale, assignment, conveyance, or any trust or power, or transfer in any other mode or form of or with respect to the Association's rights, interests or obligations under this Agreement or any part thereof, or any contract or agreement to do any of the same, without the prior written approval of the City. Section 6.10. Notice of Fee Upon Transfer of Housing Units. The Association agrees that it will use its best efforts to ensure that owners of each Housing Unit upon which a Fee is imposed under the Fee Resolution provide notice of the Fee to prospective buyers or transferees upon any sale or transfer of the Housing Unit. Such efforts by the Association shall include, but are not limited to ensuring that Housing Unit owners include a description of the Fee in each disclosure certificate provided to the purchaser as required under Minnesota Statutes, Section 515A.4-107 or any successor statute. Section 6.11. Experienced Property Manager. So long as the Bonds and Internal Loan areis outstanding, the Association agrees to maintain “experienced professional property City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 29 23 406344409254v42 MNI SA140-108 management” for the Property. For purposes of this subsection, “experienced professional management” shall mean Multiventures Properties Inc., or another property manager acceptable to the City who meets the following criteria: (i) has demonstrated knowledge of accounting, financial reporting, budgeting and related issues; and (ii) does not have an ownership interest in any Housing Unit and is not the spouse, child, parent or sibling of anyone who has an ownership interest. City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 30 24 406344409254v42 MNI SA140-108 ARTICLE VII Events of Default Section 7.1. Events of Default Defined. The following shall be "Events of Default" under this Agreement and the term "Event of Default" shall mean, whenever it is used in this Agreement (unless the context otherwise provides), any failure by any party to observe or perform any covenant, condition, obligation or agreement on its part to be observed or performed hereunder. Section 7.2. Remedies on Default. Whenever any Event of Default referred to in Section 7.1 of this Agreement occurs, the non-defaulting party may exercise its rights under this Section 7.2 after providing thirty days written notice to the defaulting party of the Event of Default, but only if the Event of Default has not been cured within said thirty days or, if the Event of Default is by its nature incurable within thirty days, the defaulting party does not provide assurances reasonably satisfactory to the non-defaulting party that the Event of Default will be cured and will be cured as soon as reasonably possible: (a) Suspend its performance under the Agreement until it receives assurances that the defaulting party will cure its default and continue its performance under the Agreement. (b) Take whatever action, including legal, equitable or administrative action, which may appear necessary or desirable to collect any payments due under this Agreement, or to enforce performance and observance of any obligation, agreement, or covenant under this Agreement. Section 7.3. No Remedy Exclusive. No remedy herein conferred upon or reserved to the City or Association is intended to be exclusive of any other available remedy or remedies, but each and every such remedy shall be cumulative and shall be in addition to every other remedy given under this Agreement or now or hereafter existing at law or in equity or by statute. No delay or omission to exercise any right or power accruing upon any default shall impair any such right or power or shall be construed to be a waiver thereof, but any such right and power may be exercised from time to time and as often as may be deemed expedient. In order to entitle the City to exercise any remedy reserved to it, it shall not be necessary to give notice, other than such notice as may be required in this Article VII. Section 7.4. No Additional Waiver Implied by One Waiver. In the event any agreement contained in this Agreement should be breached by either party and thereafter waived by the other party, such waiver shall be limited to the particular breach so waived and shall not be deemed to waive any other concurrent, previous or subsequent breach hereunder. City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 31 25 406344409254v42 MNI SA140-108 ARTICLE VIII Additional Provisions Section 8.1. Conflict of Interests; City Representatives Not Individually Liable. The City and the Association, to the best of their respective knowledge, represent and agree that no member, official, or employee of the City shall have any personal interest, direct or indirect, in the Agreement, nor shall any such member, official, or employee participate in any decision relating to the Agreement which affects his personal interests or the interests of any corporation, partnership, or association in which he is, directly or indirectly, interested. No member, official, or employee of the City shall be personally liable to the Association, or any successor in interest, in the event of any default or breach by the City or for any amount which may become due to the Association or successor or on any obligations under the terms of the Agreement. Section 8.2. Equal Employment Opportunity. The Association, for itself and its successors and assigns, agrees that during the construction of the Housing Improvements provided for in the Agreement it will comply with all applicable federal, state and local equal employment and non- discrimination laws and regulations. Section 8.3. Provisions Not Merged With Deed. None of the provisions of this Agreement are intended to or shall be merged by reason of any deed transferring any interest in the Property and any such deed shall not be deemed to affect or impair the provisions and covenants of this Agreement. Section 8.4. Titles of Articles and Sections. Any titles of the several parts, Articles, and Sections of the Agreement are inserted for convenience of reference only and shall be disregarded in construing or interpreting any of its provisions. Section 8.5. Notices and Demands. Except as otherwise expressly provided in this Agreement, a notice, demand, or other communication under the Agreement by either party to the other shall be sufficiently given or delivered if it is dispatched by registered or certified mail, postage prepaid, return receipt requested, or delivered personally; and (a) in the case of the Association, is addressed to or delivered personally to Multiventures Properties Inc., 7400 Metro Boulevard, Suite 380, Edina MN 55439. (b) in the case of the City, is addressed to or delivered personally to the City at 5005 Minnetonka Boulevard, St. Louis Park, Minnesota 55416-2216, Attention: Kevin Locke or at such other address with respect to either such party as that party may, from time to time, designate in writing and forward to the other as provided in this Section. Section 8.6. Counterparts. This Agreement may be executed in any number of counterparts, each of which shall constitute one and the same instrument. Section 8.7. Recording. Either party may record this Agreement and any amendments thereto with the Hennepin County Recorder or Registrar of Titles. The Association shall pay all costs for recording. City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 32 26 406344409254v42 MNI SA140-108 Section 8.8 Binding Effect. This Agreement shall inure to the benefit of and shall be binding upon the City and the Association and their respective successors, heirs and assigns. Section 8.9. Amendment. This Agreement may be amended only by written agreement of the parties hereto. City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 33 S-1 406344409254v42 MNI SA140-108 IN WITNESS WHEREOF, the City has caused this Agreement to be duly executed in its name and behalf and its seal to be hereunto duly affixed and the Association has caused this Agreement to be duly executed in its name and behalf on or as of the date first above written. CITY OF ST. LOUIS PARK, MINNESOTA By Its Mayor By Its Deputy City Manager STATE OF MINNESOTA ) ) SS. COUNTY OF HENNEPIN ) The foregoing instrument was acknowledged before me this ____ day of JulyAugust, 2012, by _______________ and _______________________, the Mayor and Deputy City Manager, respectively, of the City of St. Louis Park, Minnesota, a municipal corporation, on behalf of the City. ____________________________________ Notary Public City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 34 S-2 406344409254v42 MNI SA140-108 WESTWOOD VILLA ASSOCIATION By Its President STATE OF MINNESOTA ) ) SS. COUNTY OF __________ ) The foregoing instrument was acknowledged before me this ________ day of JulyAugust, 2012, by , the President of WESTWOOD VILLA ASSOCIATION, a Minnesota nonprofit corporation, on behalf of the corporation. Notary Public City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 35 A-1 406344409254v42 MNI SA140-108 SCHEDULE A PROPERTY Legal Description – Westwood Villa Owners Association All that part of Lot 6, Home Addition to St. Louis Park, lyi ng north erly of a line drawn from a point in the East line of said Lot 6, distant 240 feet North o f th e S outheast corner thereof, to a point in the West line of said Lot 6, distant 277.9 feet North of the S outhwest corner thereof, according to the plat th ereof on file and of record in the office o f the Register of Deeds in and for Hennepin C ounty, Minnesota. City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 36 B-1 406344409254v42 MNI SA140-108 SCHEDULE B HOUSING IMPROVEMENTS Housing Improvements: The ordinance specifies the "Housing Improvements" that will be constructed in WESTWOOD VILLA ASSOCIATION Housing Improvement Area and financed with the Housing Improvement Fee. Those improvements are defined as follows: Building Exterior: • Replace flat roof, replace mansard roof and replace decks. • Replace the chiller system including removal, purchase and replacement of the roof mounted chiller, the evaporator tube bundle in the boiler room, the two roof mounted cooling air units, the hydronic piping insulation and valve replacement in the garage. • Garage repair: mold removal on the garage pipes and replace the pipe risers from the garage to the fan coils in each unit. Repair garage floor. • Replace Bathroom Vents on the roof Interior: • Replace elevator hydraulic jack and bring elevator to state code. • Fill in spa, remove piping and electrical wiring City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 37 SCHEDULE C DISBURSEMENT REQUISITION OF ASSOCIATION'S AUTHORIZED REPRESENTATIVE TO: CITY OF ST. LOUIS PARK _________________________ _________________________ DISBURSEMENT DIRECTION The undersigned Authorized Representative of WESTWOOD VILLA ASSOCIATION, a Minnesota nonprofit corporation (the "Association"), hereby authorizes and requests you to disburse from the Project Fund held by you pursuant to the Development Agreement between the CITY OF ST. LOUIS PARK, Minnesota and WESTWOOD VILLA OWNERS ASSOCIATION, dated as of July 1, 2012 (the "Agreement"), the following amount to the following person and for the following proper Housing Improvements cost and purpose: 1. Amount: 2. Payee: 3. Purpose: all as defined and provided in said Agreement. The undersigned further certifies that (i) none of the items for which payment is proposed to be made has formed the basis for any payment theretofore made from the Project Fund, and (ii) each item for which the payment is proposed to be made is or was necessary in connection with the Housing Improvements, and (iii) the amount of funds to remain on deposit in the Project Fund following this disbursement is currently estimated to be sufficient to pay all future costs of Housing Improvements. Dated: ____________________ ____________________________________ Association's Authorized Representative City Council Meeting of August 20, 2012 (Item No. 4f) Subject: Approve Amended and Restated Development Agreement for Westwood Villa HIA Page 38 Meeting Date: August 20, 2012 Agenda Item #: 4g Regular Meeting Public Hearing Action Item Consent Item Resolution Ordinance Presentation Other: EDA Meeting Action Item Resolution Other: Study Session Discussion Item Written Report Other: TITLE: Special Assessment - Water and Sewer Service Line Repairs at 7035 West 24th Street RECOMMENDED ACTION: Motion to Adopt Resolution authorizing the special assessment for the repair of the water and sewer service lines at 7035 W. 24th Street, St. Louis Park, MN - P.I.D. 08-117-21-13-0103. POLICY CONSIDERATION: The proposed action is consistent with policy previously established by the City Council. BACKGROUND: Eric Hitchings, owner of the single family residence at 7035 W. 24th Street, has requested the City to authorize the repair of the water and sewer service lines for his home and assess the cost against the property in accordance with the City’s special assessment policy. Analysis: 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 the water and sewer service line repair work were completed, submitted, and approved by City staff. The property owner hired a contractor and repaired the water and sewer service lines 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 and sewer service line repairs and special assess the cost of those repairs. The total eligible cost of the repairs has been determined to be $6,000.00. FINANCIAL OR BUDGET CONSIDERATION: The City has funds in place to finance the cost of this special assessment. VISION CONSIDERATION: Not applicable. Attachments: Resolution Prepared by: Scott Anderson, Utility Superintendent Through: Mike Rardin, Public Works Director Brian Swanson, Controller Approved by: Nancy Deno, Deputy City Manager/HR Director City Council Meeting of August 20, 2012 (Item No. 4g) Page 2 Subject: Special Assessment – Water and Sewer Service Line Repair at 7035 West 24th Street RESOLUTION NO. 12-____ RESOLUTION AUTHORIZING THE SPECIAL ASSESSMENT FOR THE REPAIR OF THE WATER AND SEWER SERVICE LINES AT 7035 W. 24TH STREET, ST. LOUIS PARK, MN P.I.D. 08-117-21-13-0103 WHEREAS, the Property Owner at 7035 W. 24th Street has petitioned the City of St. Louis Park to authorize a special assessment for the repair of the water and sewer service lines for the single family residence located at 7035 W. 24th Street; 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 and sewer service lines. 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 and sewer service line repairs is hereby accepted. 2. The water and sewer service line repairs that were done in conformance with the plans and specifications approved by the Public Works Department and Department of Inspections are hereby accepted. 3. The total cost for the repair of the water and sewer service lines is accepted at $6,000.00. 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 and sewer service lines and the special assessment of all costs associated therewith. Reviewed for Administration: Adopted by the City Council August 20, 2012 City Manager Mayor Attest: City Clerk Meeting Date: August 20, 2012 Agenda Item #: 4h Regular Meeting Public Hearing Action Item Consent Item Resolution Ordinance Presentation Other: EDA Meeting Action Item Resolution Other: Study Session Discussion Item Written Report Other: TITLE: Special Assessment - Sewer Service Line Repair at 7726 Cambridge Street RECOMMENDED ACTION: Motion to Adopt Resolution authorizing the special assessment for the repair of the sewer service line at 7726 Cambridge Street, St. Louis Park, MN - P.I.D. 20-117-21-22-0119. POLICY CONSIDERATION: The proposed action is consistent with policy previously established by the City Council. BACKGROUND: Paul Peterson, owner of the single family residence at 7726 Cambridge Street, has requested the City to authorize the repair of the sewer service line for his home and assess the cost against the property in accordance with the City’s special assessment policy. Analysis: 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 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 owner has 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 $3,795.00. FINANCIAL OR BUDGET CONSIDERATION: The City has funds in place to finance the cost of this special assessment. VISION CONSIDERATION: Not applicable. Attachments: Resolution Prepared by: Scott Anderson, Utility Superintendent Through: Mike Rardin, Public Works Director Brian Swanson, Controller Approved by: Nancy Deno, Deputy City Manager/HR Director City Council Meeting of August 20, 2012 (Item No. 4 h) Page 2 Subject: Special Assessment – Sewer Service Line Repair at 7726 Cambridge Street RESOLUTION NO. 12-____ RESOLUTION AUTHORIZING THE SPECIAL ASSESSMENT FOR THE REPAIR OF THE SEWER SERVICE LINE AT 7726 CAMBRIDGE STREET, ST. LOUIS PARK, MN P.I.D. 20-117-21-22-0119 WHEREAS, the Property Owner at 7726 Cambridge Street has 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 7726 Cambridge Street; 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 sewer service line. NOW, THEREFORE, BE IT RESOLVED by the Ci ty 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 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 Public Works Department and Department of Inspections is hereby accepted. 3. The total cost for the repair of the sewer service line is accepted at $3,795.00. 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 sewer service line and the special assessment of all costs associated therewith. Reviewed for Administration: Adopted by the City Council August 20, 2012 City Manager Mayor Attest: City Clerk Meeting Date: August 20, 2012 Agenda Item #: 4i Regular Meeting Public Hearing Action Item Consent Item Resolution Ordinance Presentation Other: EDA Meeting Action Item Resolution Other: Study Session Discussion Item Written Report Other: TITLE: Special Assessment - Sewer Service Line Repair at 2925 Alabama Avenue South RECOMMENDED ACTION: Motion to Adopt Resolution authorizing the special assessment for the repair of the sewer service line at 2925 Alabama Avenue South, St. Louis Park, MN - P.I.D. 09-117-21-34-0198. POLICY CONSIDERATION: The proposed action is consistent with policy previously established by the City Council. BACKGROUND: Jerome Johnson, owner of the single family residence at 2925 Alabama Avenue South has requested the City to authorize the repair of the sewer service line for his home and assess the cost against the property in accordance with the City’s special assessment policy. Analysis: 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 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 owner has 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 $4,995.00. FINANCIAL OR BUDGET CONSIDERATION: The City has funds in place to finance the cost of this special assessment. VISION CONSIDERATION: Not applicable. Attachments: Resolution Prepared by: Scott Anderson, Utility Superintendent Through: Mike Rardin, Public Works Director Brian Swanson, Controller Approved by: Nancy Deno, Deputy City Manager/HR Director City Council Meeting of August 20, 2012 (Item No. 4i) Page 2 Subject: Special Assessment - Sewer Service Line Repair at 2925 Alabama Avenue South RESOLUTION NO. 12-____ RESOLUTION AUTHORIZING THE SPECIAL ASSESSMENT FOR THE REPAIR OF THE SEWER SERVICE LINE AT 2925 ALABAMA AVENUE SOUTH, ST. LOUIS PARK, MN P.I.D. 09-117-21-34-0198 WHEREAS, the Property Owner at 2925 Alabama Avenue South has 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 2925 Alabama 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 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 Owner 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 Public Works Department and Department of Inspections is hereby accepted. 3. The total cost for the repair of the sewer service line is accepted at $4,995.00. 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 sewer service line and the special assessment of all costs associated therewith. Reviewed for Administration: Adopted by the City Council August 20, 2012 City Manager Mayor Attest: City Clerk Meeting Date: August 20, 2012 Agenda Item #: 4j Regular Meeting Public Hearing Action Item Consent Item Resolution Ordinance Presentation Other: EDA Meeting Action Item Resolution Other: Study Session Discussion Item Written Report Other: TITLE: Traffic Study Number 635: Authorize Installation of Parking Restrictions on the 3000 block of Zarthan Avenue South RECOMMENDED COUNCIL ACTION: Motion to Adopt Resolution authorizing “No Parking” restrictions on the west side of Zarthan Avenue to a point 50 feet to the south of Minnetonka Boulevard. POLICY CONSIDERATION: Does the City Council wish to authorize the installation of the parking restrictions as noted in this staff report? The proposed action is consistent with City policy. BACKGROUND: The City has received a request to install a “No Parking” area on the west side of Zarthan Avenue, south of Minnetonka Boulevard (see attached map). The request was made because of observations that when vehicles are parked on Zarthan Avenue, it can be difficult for vehicles to pass one another on Zarthan Avenue. This becomes a problem when vehicles are entering or exiting Minnetonka Boulevard. This “No Parking” area would provide additional space for vehicles to pass one another. City staff has contacted the residents adjacent to the proposed “No Parking” area and there were no objections to this change. City staff finds this request reasonable and is therefore recommending Council approve the attached resolution authorizing the installation of “No Parking” restrictions on the west side of Zarthan Avenue from Minnetonka Boulevard to a point 50 feet to the south. FINANCIAL OR BUDGET CONSIDERATION: The cost of enacting these controls is minimal and will come out of the general operating budget. VISION CONSIDERATION: None. Attachments: Resolution Map Prepared by: Laura Adler, Engineering Program Coordinator Reviewed by: Scott A. Brink, City Engineer Michael Rardin, Director of Public Works Approved by: Nancy Deno, Deputy City Manager/HR Director City Council Meeting of August 20, 2012 (Item No. 4j) Page 2 Subject: TS # 635: Authorize Installation of Parking Restrictions on the 3000 Block of Zarthan Ave. RESOLUTION NO. 12-____ RESOLUTION AUTHORIZING INSTALLATION OF “NO PARKING” RESTRICTIONS ON THE WEST SIDE OF ZARTHAN AVENUE FROM MINNETONKA BOIULEVARD TO A POINT 50 FEET TO THE SOUTH TRAFFIC STUDY NO. 635 WHEREAS, the City of St. Louis Park, Minnesota has been requested, has studied, and has determined that the following traffic controls meet the requirements of the City’s policy for installation of parking restrictions. NOW THEREFORE BE IT RESOLVED by the City Council of the City of St. Louis Park, Minnesota, that the Director of Public Works is hereby authorized to install the following controls: 1. No parking along the west side of Zarthan Avenue from Minnetonka Boulevard to a point 50 feet south. Reviewed for Administration: Adopted by the City Council August 20, 2012 City Manager Mayor Attest: City Clerk City Council Meeting of August 20, 2012 (Item No. 4j) Page 3 Subject: TS # 635: Authorize Installation of Parking Restrictions on the 3000 Block of Zarthan Ave. TRAFFIC STUDY NO. 635 Proposed Parking Restrictions on Zarthan Avenue, south of Minnetonka Boulevard Proposed “No Parking” Restrictions Meeting Date: August 20, 2012 Agenda Item #: 4k Regular Meeting Public Hearing Action Item Consent Item Resolution Ordinance Presentation Other: EDA Meeting Action Item Resolution Other: Study Session Discussion Item Written Report Other: TITLE: Traffic Study Number 636: Authorize Installation of Parking Restrictions on Powell Road RECOMMENDED COUNCIL ACTION: Motion to Adopt Resolution authorizing “No Parking” restrictions on Powell Road. POLICY CONSIDERATION: Does the City Council wish to authorize the installation of the parking restrictions as noted in this staff report? The proposed action is consistent with City policy. BACKGROUND: The City has received a request to limit parking along both sides of Powell Road from Meadowbrook Road to the City boundary (see attached map). Semi-truck parking on both sides of the street makes it difficult for vehicles to get through. Engineering staff has worked with the Police Department staff who have noted that the semi-trucks parking in this area are not associated with any of the businesses in the area; these are private haulers that are using the City streets as parking space, frequently staying in one place for over 48 hours. Installing “No Parking” restrictions in this area would prevent this type of parking, as well as match existing parking restrictions adjacent to the area in Hopkins. City staff has contacted the property owners adjacent to the proposed “No Parking” area and there were no objections to this change. City staff finds this request reasonable and is therefore recommending Council approve the attached resolution authorizing the installation of “No Parking” restrictions on both sides of Powell Road from Meadowbrook Road to the City boundary. FINANCIAL OR BUDGET CONSIDERATION: The cost of enacting these controls is minimal and will come out of the general operating budget. VISION CONSIDERATION: None. Attachments: Resolution Map Prepared by: Laura Adler, Engineering Program Coordinator Reviewed by: Scott A. Brink, City Engineer Michael Rardin, Director of Public Works Approved by: Nancy Deno, Deputy City Manager/HR Director City Council Meeting of August 20, 2012 (Item No. 4k) Page 2 Subject: TS # 636: Authorize Installation of Parking Restrictions on Powell Road RESOLUTION NO. 12-____ RESOLUTION AUTHORIZING INSTALLATION OF “NO PARKING” RESTRICTIONS ON BOTH SIDES OF POWELL ROAD FROM MEADOWBROOK ROAD TO THE CITY BOUNDARY TRAFFIC STUDY NO. 636 WHEREAS, the City of St. Louis Park, Minnesota has been requested, has studied, and has determined that the following traffic controls meet the requirements of the City’s policy for installation of parking restrictions. NOW THEREFORE BE IT RESOLVED by the City Council of the City of St. Louis Park, Minnesota, that the Director of Public Works is hereby authorized to install the following controls: 1. No parking along both sides of Powell Road from Meadowbrook Road to the City boundary. Reviewed for Administration: Adopted by the City Council August 20, 2012 City Manager Mayor Attest: City Clerk City Council Meeting of August 20, 2012 (Item No. 4k) Page 3 Subject: TS # 636: Authorize Installation of Parking Restrictions on Powell Road TRAFFIC STUDY NO. 636 Proposed Parking Restrictions along Powell Road Existing “No Parking” Proposed “No Parking” Meeting Date: August 20, 2012 Agenda Item #: 4l Regular Meeting Public Hearing Action Item Consent Item Resolution Ordinance Presentation Other: EDA Meeting Action Item Resolution Other: Study Session Discussion Item Written Report Other: TITLE: Final Plat Name Change from “Ellipse II on Excelsior” to “Ellipse on Excelsior 2nd Addition” RECOMMENDED ACTION: Motion to Adopt Resolution recognizing the change in name of the final plat for “Ellipse II on Excelsior” to “Ellipse on Excelsior 2nd Addition”. POLICY CONSIDERATION: None, this is a recordkeeping measure. BACKGROUND: The City Council approved the final plat for Ellipse II on Excelsior on January 17, 2012. During the Hennepin County recording process, the plat was rejected for having roman numerals in the name. Therefore, the name of the plat has been changed to Ellipse on Excelsior 2nd Addition. The purpose of this action is to clarify for City record-keeping purposes that Ellipse on Excelsior 2nd Addition received City approval. FINANCIAL OR BUDGET CONSIDERATION: Not applicable. VISION CONSIDERATION: Not applicable. Attachments: Resolution Final Plat Prepared by: Sean Walther, Senior Planner Reviewed by: Kevin Locke, Community Development Director Approved by: Nancy Deno, Deputy City Manager/HR Director City Council Meeting of August 20, 2012 (Item No. 4l) Page 2 Subject: Final Plat Name Change from “Ellipse II on Excelsior” to “Ellipse on Excelsior 2nd Addition” RESOLUTION NO. 12-___ RESOLUTION ACKOWLEDGING THE FINAL PLAT NAME CHANGE FROM “ELLIPSE II ON EXCELSIOR” TO “ELLIPSE ON EXCELSIOR 2ND ADDITION” WHEREAS, the City Council adopted Resolution 12-007 on January 17, 2012, approving the Final Plat of Ellipse II on Excelsior; WHEREAS, Resolution 12-007 was recorded on February 3, 2012, as Document No. A9748147 with the Hennepin County Recorder and recorded on February 3, 2012, as Document No. T4925335 with the Hennepin County Registrar of Titles; and WHEREAS, Hennepin County does not allow plats to include roman numerals in the name; and WHEREAS, the name of the final plat for “Ellipse II on Excelsior” changed to “Ellipse on Excelsior 2nd Addition;” NOW THEREFORE BE IT RESOLVED that the City Council hereby acknowledges the change in the name of the final plat for “Ellipse II on Excelsior” to “Ellipse on Excelsior 2nd Addition.” Reviewed for Administration: Adopted by the City Council August 20, 2012 City Manager Mayor Attest: City Clerk City Council Meeting of August 20, 2012 (Item No. 4l) Subject: Final Plat Name Change from “Ellipse II on Excelsior” to “Ellipse on Excelsior 2nd Addition”Page 3 Meeting Date: August 20, 2012 Agenda Item #: 4m City of St. Louis Park Human Rights Commission Minutes – June 19, 2012 Westwood Room, City Hall I. Call to Order Chair Johnson called the meeting to order at 7:37 p.m. A. Roll Call Commissioners Present: Brian Johnson, Jeff Mueller, Rashmi Seneviratne, Mary Tomback and Rhoda Quick Staff: Marney Olson and Amy Stegora-Peterson B. Approval of Agenda It was moved by Commissioner Tomback, seconded by Commissioner Seneviratne, to approve agenda as presented. The motion passed 5-0. C. Approval of Minutes It was moved by Commissioner Seneviratne, seconded by Commissioner Tomback, to approve the minutes of April 17, 2012, as presented. The motion passed 5-0. II. Commissioner and Committee Reports A. Individual commissioner and staff reports Ms. Olson indicated City Council approved a proclamation thanking Commission volunteers for their community service. Commissioner Tomback noted she recently heard that many other cities look to St. Louis Park as a model for their commissions and community involvement. III. Recap from Children First Ice Cream Social Ms. Olson indicated the ice cream social was very busy and 81 kids signed the anti-bullying pledge. They had a wheel for kids to spin that was very popular. IV. Anti-Bullying Task Force Update Chair Johnson reported the task force met prior to this meeting. He received a phone call that the Director of the movie Bully could speak for $15-20,000 and they believed they would be speaking to a very large group. That wasn’t something the Commission is able to do. The movie Producers want to run the movie in theaters for a few more months and won’t be ready to release a DVD until November. The Commission could organize an event at ICON to show the film to a group of kids (people would need to pay). The task force decided to start an anti-bullying campaign as a forum first. They discussed how they wanted to approach it and decided to have a forum to frame it, get a definition and talk about bullying first and also show the trailer to Bully. There was a concern about City Council Meeting of August 20, 2012 (Item No. 4m) Page 2 Subject: Human Rights Commission Meeting Minutes of June 19, 2012 kindergarten age kids to 5th graders seeing the film. By showing the trailer, it would allow parents to decide if they should see the entire film. Ms. Olson noted the task force created a working definition and language around bullying. At last months meeting, the Principal and Counselor present were concerned about showing movie and not having resources available to people and how they would handle questions. That led to the idea of a forum and then showing the movie a few months after. Commissioner Tomback thought that was a good idea. They can buy a copy of the DVD and show as part of the film series and at other places. Chair Johnson said after the forum they could do a public viewing of Bully (at theater) and then show as part of the film series, a second showing presented by the HRC. They can reach two populations, the school and at City Hall. The senior community would probably be more likely to attend at City Hall and City Council showed an interest in having seniors involved. Commissioner Tomback noted she received a phone call from a citizen to talk about senior bullying. Ms. Olson noted the police department was invited to talk to two different senior living communities regarding bullying. Chair Johnson said seniors might not be able to access resources and it can be a different issue than with middle schoolers or high schoolers, etc. The forum could continue discussion and people become more aware of the issues. Commissioner Seneviratne added if they do as an HRC film series, they could look further into elderly bullying. Commissioner Tomback agreed to look into more information. Ms. Olson stated the task force is for one-year and this can be done as a second year. Commissioner Mueller stated the focus should be on the victims, and by stander and what they can do. Ms. Olson added that the task force also talked a lot about the by standers. V. Marriage Amendment Forum Discussion Commissioner Mueller stated with the marriage amendment coming up, he wondered what they can do in St. Louis Park and thought they could hold an educational forum (not debate). Minnesotans United for All Families is opposed to the amendment and could do a presentation. They could also get a couple to talk about their experiences. Ms. Olson indicated she talked with the City Manager about this and he said they needed the City Council and City Attorney opinions. City Council passed a Resolution against the amendment. Council said if the City Attorney was comfortable with it, they would support it. The City Attorney said yes, this could be done, however no government funds could be used (marketing, mileage, speakers). The Commission needed to discuss further and come up with a plan for the City Attorney to review. Chair Johnson wrote a public policy paper on the marriage amendment and got information from both sides about the amendment. He also did an additional paper for his law class. He had good information about this issue and would love to be involved in a forum. City Council Meeting of August 20, 2012 (Item No. 4m) Page 3 Subject: Human Rights Commission Meeting Minutes of June 19, 2012 Commissioner Tomback liked the idea of making sure people understood what the amendment said. She would be nervous about it presented as “meet opponent to marriage amendment and gay couples.” It could be ripe for protestors. They should market it as an opportunity to learn about the amendment and the affect on the community and that people can ask questions of MN United. Ms. Olson stated it should be advertised as educational and not as, “Vote NO.” but clear about the organization who was educating them. Commissioner Tomback noted they could tie it to the Resolution that the City Council recently passed and that they had set a position. It was an opportunity to learn more. They would be hosting the forum and have set guidelines and enforce rules. It would need to be a controlled Q & A. Commissioner Seneviratne suggested questions be submitted in writing. Chair Johnson indicated if marriage amendment supporters asked why they were not represented, they would note it was in response to the City Resolution. Commissioner Tomback suggested finding out the type of presentation MN United would do. Commissioner Seneviratne has a friend who does outreach for them and would contact them. Commissioners decided they could plan to do the presentation in September or October and present the language, ramifications of the marriage amendment and what would and would not change. They could also provide handouts. There would be no solicitation of funds and no telling people how to vote. It was moved by Commissioner Mueller, seconded by Commissioner Quick, to organize an educational forum about the marriage amendment. The motion passed 5-0. Ms. Olson suggested doing a sub-committee on the marriage amendment education forum. VII. New Business Chair Johnson suggested the July meeting begin at 7:30. VIII. Adjournment The meeting was adjourned at 8:34 p.m. Respectfully submitted, Amy L. Stegora-Peterson Recording Secretary Meeting Date: August 20, 2012 Agenda Item #: 4n MINUTES St. Louis Park Housing Authority Westwood Room, St. Louis Park City Hall St. Louis Park, MN Thursday, July 19, 2012, 5:00 P.M. MEMBERS PRESENT: Commissioners Catherine Courtney, Renee DuFour, Suzanne Metzger Commissioner Justin Kaufman arrived at 5:14 p.m. Commissioner Catherine Courtney left at 6:00 p.m. MEMBERS ABSENT: None STAFF PRESENT: Jane Klesk, Kevin Locke, Michele Schnitker, Teresa Schlegel 1. Call to Order – The meeting was called to order at 5:07 p.m. 2. Approval of Minutes for June, 2012 The Board minutes of June 13, 2012 were unanimously approved. 3. Hearings – None 4. Reports and Committees – None 5. Unfinished Business – None 6. New Business a. Approval of Capital Improvement Contract Award – Hamilton House Ms. Schlegel stated that the HA is seeking approval to enter into a contact with Weber, Inc., in the amount of $181,700, for an interior renovation project involving the 3rd and 4th floor common areas of Hamilton House. After a request from the Commissioners for more information related to the contractor’s efforts to hire Section 3 subcontractors, Commissioner DuFour moved to table approval of the contract to the August Board meeting, or until such information can be reviewed by the Board. Commissioner Metzger seconded the motion, and the motion passed 4-0. There was further discussion about adding the requirements for Section 3 to the HA’s future RFPs. b. Election of officers After discussion the Commissioners decided to retain the current slate of officers for the next year. Commissioner Metzger moved to approve the slate of officers as follows; Commissioner Kaufman seconded and the motion passed 4-0. There City Council Meeting of August 20, 2012 (Item No. 4n) Page 2 Subject: Housing Authority Meeting Minutes of July 19, 2012 was further discussion regarding amending the By-laws to add six members to the Board; or possibly an ad hoc member or student/intern member. Chair Catherine Courtney Vice Chair Justin Kaufman Secretary Renee DuFour c. Continuing Discussion: Strategies and Tools for Creating Affordable Housing in New Multi-Family Housing Developments Following a brief discussion, the Commissioners agreed to table the Continuing Discussion on Strategies and Tools for Creating Affordable Housing in New Multi-Family Housing Developments until a future meeting. d. Hamilton House Smoke Free Discussion Ms. Schnitker explained that the HA has received several inquiries from residents who want Hamilton House to become “smoke-free”. After discussion, the Commissioners requested that staff explore further options to involve the residents, and come back to the next Board meeting with ideas for addressing resident concerns related to second hand smoke in the building. Staff will also check to see whether market rate apartments in St. Louis Park currently allow smoking. 7. Communications from Executive Director a. Claims List – July, 2012 b. Communications 1. Monthly Report – July, 2012 8. Other 9. Adjournment Commissioner Metzger moved to adjourn the meeting, and Commissioner DuFour seconded the motion. The motion passed 3-0. The meeting adjourned at 6:38 p.m. Respectfully submitted, _____________________ Renee DuFour, Secretary Meeting Date: August 20, 2012 Agenda Item #: 4o Regular Meeting Public Hearing Action Item Consent Item Resolution Ordinance Presentation Other: EDA Meeting Action Item Resolution Other: Study Session Discussion Item Written Report Other: TITLE: Vendor Claims RECOMMENDED ACTION: Motion to accept for filing Vendor Claims for the period July 28 through August 10, 2012. POLICY CONSIDERATION: Not applicable. BACKGROUND: The Finance Department prepares this report on a monthly basis for Council’s review. FINANCIAL OR BUDGET CONSIDERATION: None. VISION CONSIDERATION: Not applicable. Attachments: Vendor Claims Prepared by: Connie Neubeck, Account Clerk 8/15/2012CITY OF ST LOUIS PARK 13:12:57R55CKSUM LOG23000VO 1Page -Council Check Summary 8/10/2012 -7/28/2012 Vendor AmountBusiness Unit Object 85.00INSPECTIONS G & A TRAINING10,000 LAKES CHAPTER 85.00 1,856.00SKATEBOARD PROGRAMS OTHER CONTRACTUAL SERVICES3RD LAIR SKATEPARK 1,856.00 233.25-GO BONDS-FIRE STATIONS BAL S RETAINED PERCENTAGEA.M.E. CONSTRUCTION CORP 4,665.00GO BONDS-FIRE STATIONS G&A BUILDINGS & STRUCTURES 4,431.75 442.94NEIGHBORHOOD ASSOCIATION GRANT OTHER CONTRACTUAL SERVICESABELSON, SHARON 442.94 117.66ORGANIZED REC G & A MILEAGE-PERSONAL CARABERNATHY, LISA 117.66 792.00PRE-SCHOOL PROGRAMS OTHER CONTRACTUAL SERVICESABRAKADOODLE 792.00 173.50TREE DISEASE PUBLIC CLEANING/WASTE REMOVAL SERVICEABRAMSON, DAVID 173.50 128.18OPERATIONSOPERATIONAL SUPPLIESAIRGAS NORTH CENTRAL 128.18 422.00H.V.A.C. EQUIP. MTCE BUILDING MTCE SERVICEALLIANCE MECH SRVCS INC 422.00 821.15CONSTRUCTION MATERIALS OTHER CONTRACTUAL SERVICESALLIED BLACKTOP 821.15 12,000.00CAPITAL REPLACEMENT B/S RETAINED PERCENTAGEAMERICAN LIBERTY CONSTRUCTION 6,272.71MUNICIPAL BLDG IMPROVEMENTS OTHER THAN BUILDI 18,272.71 237.50COMMUNICATIONS/GV REIMBURSEABL RADIO COMMUNICATIONSANCOM COMMUNICATIONS INC 237.50 977.83INSTALLATIONOTHER IMPROVEMENT SUPPLIESANDERSEN INC, EARL 977.83 60.34TREE DISEASE PUBLIC CLEANING/WASTE REMOVAL SERVICEANDERSON, BETSY City Council Meeting of August 20, 2012 (Item No. 4o) Subject: Vendor Claims Page 2 8/15/2012CITY OF ST LOUIS PARK 13:12:57R55CKSUM LOG23000VO 2Page -Council Check Summary 8/10/2012 -7/28/2012 Vendor AmountBusiness Unit Object 60.34 448.24BUILDING MAINTENANCE GENERAL SUPPLIESAPACHE GROUP OF MINNESOTA 448.24 68.01ORGANIZED REC G & A OFFICE SUPPLIESARC 68.01 196.75OPERATIONSOPERATIONAL SUPPLIESASPEN MILLS 196.75 124.62PARK AND RECREATION BALANCE SH INVENTORYASTLEFORD INTERNATIONAL 124.62 34.61E-911 PROGRAM TELEPHONEAT&T 34.61 447.21ELECTRICAL SYSTEM MTCE BUILDING MTCE SERVICEATIR ELECTRIC CORPORATION 447.21 343.00VEHICLE MAINTENANCE G&A CLEANING/WASTE REMOVAL SERVICEATOMIC RECYCLING 343.00 225.00LIFEGUARDINGOTHER CONTRACTUAL SERVICESAYSHFORD, AIMEE JO 225.00 1,098.00PE SURVEYS ENGINEERING SERVICESBADGER STATE INSPECTION LLC 500.00PE PLANS/SPECS ENGINEERING SERVICES 1,598.00 341.00SOFTBALLPROGRAM REVENUEBARRETT, TONY 341.00 1,160.00PARK IMPROVE CAPITAL PROJECT IMPROVEMENTS OTHER THAN BUILDIBARTLEY SALES CO 1,160.00 22.41PARK MAINTENANCE G & A GENERAL SUPPLIESBATTERIES PLUS 22.41 83.56TREE DISEASE PUBLIC CLEANING/WASTE REMOVAL SERVICEBECK, GEORGE 83.56 City Council Meeting of August 20, 2012 (Item No. 4o) Subject: Vendor Claims Page 3 8/15/2012CITY OF ST LOUIS PARK 13:12:57R55CKSUM LOG23000VO 3Page -Council Check Summary 8/10/2012 -7/28/2012 Vendor AmountBusiness Unit Object 87.00NEIGHBORHOOD ASSOCIATION GRANT OTHER CONTRACTUAL SERVICESBERGER, CAROL 87.00 4,000.00ESCROWSPMC ESCROWBERTOMEU, ALBERTO 4,000.00 113.77ORGANIZED REC G & A MILEAGE-PERSONAL CARBIRNO, RICK 113.77 136.71TREE DISEASE PUBLIC CLEANING/WASTE REMOVAL SERVICEBISEK, KATHRYN 136.71 22,000.00PARK IMPROVE CAPITAL PROJECT IMPROVEMENTS OTHER THAN BUILDIBITUMINOUS ROADWAYS INC 22,000.00 68.64INSTRUCTIONAL SKATING LESSONS OTHER CONTRACTUAL SERVICESBOBIER, HEIDI 68.64 150.002010D FIRE STAT DEBT SERV G&A OTHER CONTRACTUAL SERVICESBOND TRUST SERVICES CORP 150.00 86.28POLICE G & A OPERATIONAL SUPPLIESBOUND TREE MEDICAL, LLC 86.28 420.00ENGINEERING G & A ENGINEERING SERVICESBRAUN INTERTEC CORPORATION 2,086.75GO BONDS-FIRE STATIONS G&A BUILDINGS & STRUCTURES 2,506.75 3,190.00INSPECTIONSOTHER CONTRACTUAL SERVICESBROWN TRAFFIC PRODUCTS 3,190.00 100.00VOLLEYBALLOTHER CONTRACTUAL SERVICESBRUUN-BRYANT, MACKENZIE 100.00 375.00RENTALRENT REVENUECALVARY LUTHERAN CHURCH 375.00 936.38RIGHT-OF-WAY IMPROVEMENTS OTHER THAN BUILDICANADIAN PACIFIC RAILWAY 936.38 1,024.79-GO BONDS-FIRE STATIONS BAL S RETAINED PERCENTAGECAPITAL CITY GLASS INC 20,495.85GO BONDS-FIRE STATIONS G&A BUILDINGS & STRUCTURES City Council Meeting of August 20, 2012 (Item No. 4o) Subject: Vendor Claims Page 4 8/15/2012CITY OF ST LOUIS PARK 13:12:57R55CKSUM LOG23000VO 4Page -Council Check Summary 8/10/2012 -7/28/2012 Vendor AmountBusiness Unit Object 19,471.06 1,500.00ESCROWSPMC ESCROWCARLTON, JAMIE 1,500.00 152.21TREE DISEASE PUBLIC CLEANING/WASTE REMOVAL SERVICECATON, JOHN 152.21 4,291.06TECHNOLOGY REPLACEMENT OFFICE EQUIPMENTCDW GOVERNMENT INC 4,291.06 1,950.00MOVE-UP PROGRAM OTHER CONTRACTUAL SERVICESCENTER ENERGY & ENVIRONMENT 2,900.00LIVE WHERE YOU WORK PRGM OTHER CONTRACTUAL SERVICES 840.00CES Resid Energy Conservation OTHER CONTRACTUAL SERVICES 5,690.00 40.00INSPECTIONS G & A MECHANICALCENTERPOINT ENERGY 17.64SEWER UTILITY G&A HEATING GAS 57.64 10,000.00EMPLOYEE FLEXIBLE SPENDING B/S OTHER RETIREMENTCENTRAL PENSION FUND 10,000.00 104.93IT G & A TELEPHONECENTURY LINK 104.93 87.13FACILITIES MCTE G & A GENERAL SUPPLIESCINTAS FIRST AID & SAFETY 39.38GENERAL BUILDING MAINTENANCE OPERATIONAL SUPPLIES 18.17AQUATIC PARK BUDGET OPERATIONAL SUPPLIES 72.21VEHICLE MAINTENANCE G&A OPERATIONAL SUPPLIES 11.70GENERAL REPAIR GENERAL SUPPLIES 228.59 37.66-GENERAL FUND BALANCE SHEET DUE TO OTHER GOVTSCITIZENS INDEPENDENT BANK 82.10ADMINISTRATION G & A MEETING EXPENSE 18.23HUMAN RESOURCES TRAINING 417.46IT G & A GENERAL SUPPLIES 9.64GENERAL BUILDING MAINTENANCE BLDG/STRUCTURE SUPPLIES 890.79OPERATIONSGENERAL SUPPLIES 427.84OPERATIONSFIRE PREVENTION SUPPLIES 50.22OPERATIONSOPERATIONAL SUPPLIES 482.53OPERATIONSSMALL TOOLS City Council Meeting of August 20, 2012 (Item No. 4o) Subject: Vendor Claims Page 5 8/15/2012CITY OF ST LOUIS PARK 13:12:57R55CKSUM LOG23000VO 5Page -Council Check Summary 8/10/2012 -7/28/2012 Vendor AmountBusiness Unit Object 3,165.94OPERATIONSTRAINING 824.00OPERATIONSSEMINARS/CONFERENCES/PRESENTAT 29.78OPERATIONSBANK CHARGES/CREDIT CD FEES 109.00INSPECTIONS G & A TRAINING 74.79PUBLIC WORKS G & A OFFICE SUPPLIES 135.50ENGINEERING G & A SUBSCRIPTIONS/MEMBERSHIPS 42.38PARK AND RECREATION BALANCE SH INVENTORY 8.94-PARK AND RECREATION BALANCE SH DUE TO OTHER GOVTS 138.94ARENA MAINTENANCE OFFICE SUPPLIES 225.00ARENA MAINTENANCE SUBSCRIPTIONS/MEMBERSHIPS 5.64AQUATIC PARK BUDGET OPERATIONAL SUPPLIES 83.66VEHICLE MAINTENANCE G&A GENERAL SUPPLIES 47.18VEHICLE MAINTENANCE G&A SMALL TOOLS 38.00HOUSING REHAB G & A TRAINING 337.77GO BONDS-FIRE STATIONS G&A IMPROVEMENTS OTHER THAN BUILDI 215.00WATER UTILITY G&A IMPROVEMENTS OTHER THAN BUILDI 2,082.32TECHNOLOGY REPLACEMENT OFFICE EQUIPMENT 9,887.11 10.40-GENERAL FUND BALANCE SHEET DUE TO OTHER GOVTSCLAREY'S SAFETY EQUIPMENT INC 161.66OPERATIONSOPERATIONAL SUPPLIES 151.26 1,404.97CONCESSIONSCONCESSION SUPPLIESCOCA-COLA BOTTLING CO 1,404.97 154.96TREE DISEASE PUBLIC CLEANING/WASTE REMOVAL SERVICECOLEMAN, ALLAN & CAROLYN 154.96 13,935.84ADMINISTRATION G & A LEGAL SERVICESCOLICH & ASSOCIATES 13,935.84 4.51BUILDING MAINTENANCE EQUIPMENT MTCE SERVICECOMCAST 4.51 177.15-ENGINEERING G & A BANK CHARGES/CREDIT CD FEESCOMMERCIAL ASPHALT COMPANY 13,042.49SEALCOAT PREPARATION OTHER IMPROVEMENT SUPPLIES 12,865.34 16.20SUPPORT SERVICES G&A OFFICE SUPPLIESCROWN MARKING INC 16.20 City Council Meeting of August 20, 2012 (Item No. 4o) Subject: Vendor Claims Page 6 8/15/2012CITY OF ST LOUIS PARK 13:12:57R55CKSUM LOG23000VO 6Page -Council Check Summary 8/10/2012 -7/28/2012 Vendor AmountBusiness Unit Object 2,685.00ORGANIZED REC G & A OTHER CONTRACTUAL SERVICESCUNINGHAM GROUP ARCHITECTURE I 2,685.00 459.00SOFTBALLOTHER CONTRACTUAL SERVICESCURRAN-MOORE, KIM 459.00 3,764.16SSD 1 G&A OTHER CONTRACTUAL SERVICESCUSTOM PRODUCTS & SERVICES 1,582.55SSD 2 G&A OTHER CONTRACTUAL SERVICES 958.13SSD 3 G&A OTHER CONTRACTUAL SERVICES 793.55SSD #4 G&A OTHER CONTRACTUAL SERVICES 529.03SSD #5 G&A OTHER CONTRACTUAL SERVICES 626.02SSD #6 G&A OTHER CONTRACTUAL SERVICES 8,253.44 343.82-WATER UTILITY BALANCE SHEET DUE TO OTHER GOVTSDAKOTA SUPPLY GROUP 25,166.87WATER UTILITY G&A OTHER IMPROVEMENT SUPPLIES 24,823.05 807.42GENERAL BUILDING MAINTENANCE CLEANING/WASTE REMOVAL SUPPLYDALCO ENTERPRISES INC 567.23REC CENTER BUILDING GENERAL SUPPLIES 407.71REC CENTER BUILDING OPERATIONAL SUPPLIES 1,782.36 175.00GREEN REMODELING PROGRAM OTHER CONTRACTUAL SERVICESDAVIS, MARINA 175.00 1,344.22PARK AND RECREATION BALANCE SH INVENTORYDEALER AUTOMOTIVE SERVICES INC 1,344.22 100.00SPECIAL EQUIPMENT PROGRAM REVENUEDEANE, BETTY 100.00 262.00FITNESS PROGRAMS OTHER CONTRACTUAL SERVICESDEATHERAGE, JENELLE 262.00 649.00OPERATIONSOPERATIONAL SUPPLIESDELTA MEDICAL SUPPLY GROUP INC 649.00 4,869.12INSPECTIONS G & A DUE TO OTHER GOVTSDEPT LABOR & INDUSTRY 4,869.12 36,800.00ROTTLUND VILLAGE - PUBLIC ART IMPROVEMENTS OTHER THAN BUILDIDESIGN SERVICE City Council Meeting of August 20, 2012 (Item No. 4o) Subject: Vendor Claims Page 7 8/15/2012CITY OF ST LOUIS PARK 13:12:57R55CKSUM LOG23000VO 7Page -Council Check Summary 8/10/2012 -7/28/2012 Vendor AmountBusiness Unit Object 36,800.00 293.35ENTERPRISE G & A ADVERTISINGDEX MEDIA EAST LLC 293.35 1,871.07ORGANIZED REC G & A OTHER CONTRACTUAL SERVICESDJ ELECTRIC SERVICES INC 2,442.00ARENA MAINTENANCE BUILDING MTCE SERVICE 4,313.07 1,591.65POSTAL SERVICES POSTAGEDO-GOOD.BIZ INC 2,149.06CABLE TV G & A OTHER CONTRACTUAL SERVICES 3,740.71 179.00SYSTEM REPAIR OTHER CONTRACTUAL SERVICESEGAN COMPANIES INC 179.00 536.25WESTWOOD VILLAS HIA OTHER CONTRACTUAL SERVICESEHLERS & ASSOCIATES INC 536.25 3,235.16PARK EQUIPMENT MAINTENANCE OTHER CONTRACTUAL SERVICESELECTRIC PUMP INC 3,742.59SEWER UTILITY G&A OTHER IMPROVEMENT SERVICE 9,864.39STORM WATER UTILITY G&A OTHER IMPROVEMENT SERVICE 16,842.14 4,858.53PARK AND RECREATION BALANCE SH INVENTORYEMERGENCY AUTOMOTIVE TECHNOLOG 4,858.53 412.50GREEN REMODELING PROGRAM OTHER CONTRACTUAL SERVICESERICKSON, CYNTHIA 412.50 3,094.00NETWORK SUPPORT SERVICES GENERAL PROFESSIONAL SERVICESESP SYSTEMS PROFESSIONALS INC 3,094.00 37,400.23TECHNOLOGY REPLACEMENT EQUIPMENT MTCE SERVICEESRI 37,400.23 461.70STORM WATER UTILITY G&A OTHER IMPROVEMENT SERVICEESS BROTHERS & SONS INC 461.70 72.15STORM WATER UTILITY G&A OTHER IMPROVEMENT SERVICEEULL'S MANUFACTURING CO 72.15 City Council Meeting of August 20, 2012 (Item No. 4o) Subject: Vendor Claims Page 8 8/15/2012CITY OF ST LOUIS PARK 13:12:57R55CKSUM LOG23000VO 8Page -Council Check Summary 8/10/2012 -7/28/2012 Vendor AmountBusiness Unit Object 27,600.00RIGHT-OF-WAY IMPROVEMENTS OTHER THAN BUILDIEVERGREEN LAND SERVICES CO 27,600.00 452.07PARK AND RECREATION BALANCE SH INVENTORYFACTORY MOTOR PARTS CO 452.07 13.00POLICE G & A POSTAGEFEDEX 13.00 61.11WATER UTILITY G&A OTHER IMPROVEMENT SUPPLIESFERGUSON WATERWORKS 82.24SEWER UTILITY G&A SMALL TOOLS 143.35 482.18PARK AND RECREATION BALANCE SH INVENTORYFORCE AMERICA INC 482.18 3,500.00EMPLOYEE FLEX SPEND G&A TUITIONFORD, CHAUNTE 3,500.00 35.23-PARK IMPROVE BALANCE SHEET DUE TO OTHER GOVTSFORESTRY SUPPLIERS INC 547.61REFORESTATION FUND OTHER CONTRACTUAL SERVICES 512.38 5,500.00ESCROWSPMC ESCROWFREESTONE HOLDING LLC 5,500.00 412.50GREEN REMODELING PROGRAM OTHER CONTRACTUAL SERVICESFUCHS, BRIAN 412.50 399.80ARENA MAINTENANCE BUILDING MTCE SERVICEGARTNER REFRIG & MFG INC 5,581.00PARK IMPROVE CAPITAL PROJECT BUILDINGS & STRUCTURES 5,980.80 12,404.50MUNICIPAL BLDG IMPROVEMENTS OTHER THAN BUILDIGELLERMAN CONSTRUCTION CO INC 12,404.50 347.00-GO BONDS-FIRE STATIONS BAL S RETAINED PERCENTAGEGENERAL SPRINKLER CORP 6,940.00GO BONDS-FIRE STATIONS G&A BUILDINGS & STRUCTURES 6,593.00 867.10WATER UTILITY G&A OTHER IMPROVEMENT SERVICEGOPHER STATE ONE-CALL INC 867.10 City Council Meeting of August 20, 2012 (Item No. 4o) Subject: Vendor Claims Page 9 8/15/2012CITY OF ST LOUIS PARK 13:12:57R55CKSUM LOG23000VO 9Page -Council Check Summary 8/10/2012 -7/28/2012 Vendor AmountBusiness Unit Object 187.03PARK AND RECREATION BALANCE SH INVENTORYGRAFIX SHOPPE 187.03 1,830.49GENERAL BUILDING MAINTENANCE BLDG/STRUCTURE SUPPLIESGRAINGER INC, WW 44.28ROUTINE MAINTENANCE SMALL TOOLS 503.90VEHICLE MAINTENANCE G&A GENERAL SUPPLIES 2,378.67 2.41-UNINSURED LOSS B/S DUE TO OTHER GOVTSGRANITE LEDGE ELECTRICAL CONTR 607.45UNINSURED LOSS G&A UNINSURED LOSS 605.04 8.61-PARK AND RECREATION BALANCE SH DUE TO OTHER GOVTSGREEN ACRES SPRINKLER CO 612.13IRRIGATION MAINTENANCE OTHER IMPROVEMENT SUPPLIES 6,356.84IRRIGATION MAINTENANCE OTHER CONTRACTUAL SERVICES 2,955.00REC CENTER BUILDING BUILDING MTCE SERVICE 100.00PAVEMENT MANAGEMENT G&A IMPROVEMENTS OTHER THAN BUILDI 10,015.36 11.59IRRIGATION MAINTENANCE OTHER CONTRACTUAL SERVICESGREEN HORIZONS 11.59 327,269.01GREENSBORO HIA OTHER CONTRACTUAL SERVICESGREENSBORO CONDOMINIUM OWNERS 327,269.01 150.00IT G & A COMPUTER SERVICESHAB INC 150.00 200.00SOFTBALLOTHER CONTRACTUAL SERVICESHAMILTON, MIKE 200.00 740.35GO BONDS-FIRE STATIONS BAL S RETAINED PERCENTAGEHANSON STRUCTURAL PRECAST INC 1,527.00GO BONDS-FIRE STATIONS G&A BUILDINGS & STRUCTURES 2,267.35 86.17TREE DISEASE PUBLIC CLEANING/WASTE REMOVAL SERVICEHAUCK, ROBERT 86.17 2,242.94AQUATIC PARK BUDGET GENERAL SUPPLIESHAWKINS INC 3,966.34AQUATIC PARK BUDGET BLDG/STRUCTURE SUPPLIES 18,602.89WATER UTILITY G&A OPERATIONAL SUPPLIES City Council Meeting of August 20, 2012 (Item No. 4o) Subject: Vendor Claims Page 10 8/15/2012CITY OF ST LOUIS PARK 13:12:57R55CKSUM LOG23000VO 10Page -Council Check Summary 8/10/2012 -7/28/2012 Vendor AmountBusiness Unit Object 24,812.17 1,000.35PARK GROUNDS MAINTENANCE OTHER IMPROVEMENT SUPPLIESHCI CHEMTEC INC 1,000.35 250.00SOFTBALLOTHER CONTRACTUAL SERVICESHENDERSON, TRACY 250.00 140.00-GO BONDS-FIRE STATIONS BAL S RETAINED PERCENTAGEHENKEMEYER PAINTING & FLOOR CO 2,793.72GO BONDS-FIRE STATIONS G&A BUILDINGS & STRUCTURES 2,653.72 534.38NETWORK SUPPORT SERVICES COMPUTER SERVICESHENNEPIN COUNTY TREASURER 2,429.20POLICE G & A SUBSISTENCE SERVICE 18,028.61PARK MAINTENANCE G & A OTHER CONTRACTUAL SERVICES 566.75PARK MAINTENANCE G & A GARBAGE/REFUSE SERVICE 21,558.94 7,500.00ESCROWSPMC ESCROWHIRCHMANN, MARC 7,500.00 154.49GENERAL BUILDING MAINTENANCE GENERAL SUPPLIESHIRSHFIELDS 154.49 8,824.82FINANCE G & A AUDITING AND ACCOUNTING SERVICHLB TAUTGES REDPATH LTD 2,521.38PARK AND REC G&A AUDITING AND ACCOUNTING SERVIC 180.10CABLE TV G & A AUDITING AND ACCOUNTING SERVIC 360.20HOUSING REHAB G & A AUDITING AND ACCOUNTING SERVIC 1,800.99WATER UTILITY G&A AUDITING AND ACCOUNTING SERVIC 2,161.18SEWER UTILITY G&A AUDITING AND ACCOUNTING SERVIC 1,080.59SOLID WASTE G&A AUDITING AND ACCOUNTING SERVIC 720.39STORM WATER UTILITY G&A AUDITING AND ACCOUNTING SERVIC 17,649.65 99.39ROUTINE MAINTENANCE SMALL TOOLSHOME DEPOT CREDIT SERVICES 95.12DAMAGE REPAIR SMALL TOOLS 278.17IRRIGATION MAINTENANCE GENERAL SUPPLIES 111.66PARK BUILDING MAINTENANCE OTHER IMPROVEMENT SUPPLIES 147.79PARK BUILDING MAINTENANCE OTHER CONTRACTUAL SERVICES 80.71ENVIRONMENTAL G & A LANDSCAPING MATERIALS 35.85BEAUTIFICATION / FLOWERS LANDSCAPING MATERIALS 848.69 City Council Meeting of August 20, 2012 (Item No. 4o) Subject: Vendor Claims Page 11 8/15/2012CITY OF ST LOUIS PARK 13:12:57R55CKSUM LOG23000VO 11Page -Council Check Summary 8/10/2012 -7/28/2012 Vendor AmountBusiness Unit Object 365.00YOUTH PROGRAMS OTHER CONTRACTUAL SERVICESHOPKINS-MINNETONKA RECREATION 365.00 25.00KICKBALLOTHER CONTRACTUAL SERVICESHOWES, JEFFREY 400.00SOFTBALLOTHER CONTRACTUAL SERVICES 425.00 50.00VOLLEYBALLOTHER CONTRACTUAL SERVICESHOWES, JENNIFER 50.00 300.00VOLLEYBALLOTHER CONTRACTUAL SERVICESHOWES, JESSICA 225.00KICKBALLOTHER CONTRACTUAL SERVICES 525.00 100.00VOLLEYBALLOTHER CONTRACTUAL SERVICESHOWES, KRISTINE 125.00KICKBALLOTHER CONTRACTUAL SERVICES 202.50SOFTBALLOTHER CONTRACTUAL SERVICES 427.50 44.04PARK AND RECREATION BALANCE SH INVENTORYI-STATE TRUCK CENTER 44.04 550.00INSPECTIONS G & A TRAININGICC 550.00 375.00REC CENTER BUILDING SUBSCRIPTIONS/MEMBERSHIPSICE SKATING INST AMERICA 375.00 553.83WATER UTILITY G&A POSTAGEIMPACT PROVEN SOLUTIONS 553.83SEWER UTILITY G&A POSTAGE 553.82SOLID WASTE COLLECTIONS POSTAGE 553.82STORM WATER UTILITY G&A POSTAGE 2,215.30 1,400.00HOUSING REHAB G & A OTHER CONTRACTUAL SERVICESIND SCHOOL DIST #283 1,400.00 1,965.00FINANCE G & A SEMINARS/CONFERENCES/PRESENTATINSIGHT EDGE 1,965.00 700.00COMM DEV PLANNING G & A TRAININGINTERNATIONAL CENTER OF COACHI City Council Meeting of August 20, 2012 (Item No. 4o) Subject: Vendor Claims Page 12 8/15/2012CITY OF ST LOUIS PARK 13:12:57R55CKSUM LOG23000VO 12Page -Council Check Summary 8/10/2012 -7/28/2012 Vendor AmountBusiness Unit Object 700.00 101.04-PARK AND RECREATION BALANCE SH INVENTORYINVER GROVE FORD 639.74GENERAL REPAIR EQUIPMENT MTCE SERVICE 538.70 33.46SOCCERGENERAL SUPPLIESJERRY'S HARDWARE 121.23PARK MAINTENANCE G & A GENERAL SUPPLIES 93.16IRRIGATION MAINTENANCE GENERAL SUPPLIES 66.70AQUATIC PARK BUDGET GENERAL SUPPLIES 314.55 589.28IRRIGATION MAINTENANCE GENERAL SUPPLIESJOHN DEERE LANDSCAPES/LESCO 589.28 79.22TREE DISEASE PUBLIC CLEANING/WASTE REMOVAL SERVICEJOHNSON, JAMES 79.22 50.00VOLLEYBALLOTHER CONTRACTUAL SERVICESJOHNSON, SUSAN 300.00KICKBALLOTHER CONTRACTUAL SERVICES 350.00 106.00INSTRUCTIONAL SKATING LESSONS OTHER CONTRACTUAL SERVICESKARCHER-RAMOS, AMBER 106.00 459.00SOFTBALLOTHER CONTRACTUAL SERVICESKAUFMAN, TERRY 459.00 276.92EMPLOYEE FLEXIBLE SPENDING B/S WAGE GARNISHMENTSKELLER, JASMINE Z 276.92 341.00SOFTBALLPROGRAM REVENUEKELLER, WHITNEY 341.00 100.00VOLLEYBALLOTHER CONTRACTUAL SERVICESKELVIE, DANIKA 100.00 1,879.05ESCROWSDuke Realty - West EndKENNEDY & GRAVEN 738.00ESCROWS 2,617.05 989.60TENNISOTHER CONTRACTUAL SERVICESKIDS TEAM TENNIS LLC City Council Meeting of August 20, 2012 (Item No. 4o) Subject: Vendor Claims Page 13 8/15/2012CITY OF ST LOUIS PARK 13:12:57R55CKSUM LOG23000VO 13Page -Council Check Summary 8/10/2012 -7/28/2012 Vendor AmountBusiness Unit Object 989.60 15.00INSPECTIONS G & A ZONINGKOHN ELECTRIC, HERB 15.00 75.74TREE DISEASE PUBLIC CLEANING/WASTE REMOVAL SERVICEKRUEGER, JULIANA 75.74 27.50-CAPITAL REPLACEMENT B/S DUE TO OTHER GOVTSLADEN'S BUSINESS MACHINES INC 427.50TECHNOLOGY REPLACEMENT OFFICE EQUIPMENT 400.00 21.63PARK MAINTENANCE G & A GENERAL SUPPLIESLAKES GAS CO 21.63 4.09-GENERAL FUND BALANCE SHEET DUE TO OTHER GOVTSLASER TECHNOLOGY INC 228.59POLICE G & A EQUIPMENT MTCE SERVICE 224.50 119,654.75EMPLOYEE FLEX SPEND G&A League of MN Cities dept'l expLEAGUE OF MN CITIES INSURANCE 4,556.95UNINSURED LOSS G&A UNINSURED LOSS 124,211.70 180.93SUMMER PLAYGROUNDS MILEAGE-PERSONAL CARLEE, KATIE 180.93 34.23INSTRUCTIONAL SKATING LESSONS OTHER CONTRACTUAL SERVICESLENTNER, LAURA 34.23 10.00FACILITIES MCTE G & A OPERATIONAL SUPPLIESLOEFFLER SHOES 89.95PUBLIC WORKS OPS G & A OPERATIONAL SUPPLIES 329.90PARK MAINTENANCE G & A CLOTHING AND TOOL ALLOWANCE 429.85 24,560.16TECHNOLOGY REPLACEMENT OFFICE EQUIPMENTLOGIS 24,560.16 397.60E BYRNE JAG 2009-10 SEMINARS/CONFERENCES/PRESENTATLUSE, JOHN 397.60 76.53INSTRUCTIONAL SKATING LESSONS OTHER CONTRACTUAL SERVICESMACGREGOR-HANNAH, MAREN 76.53 City Council Meeting of August 20, 2012 (Item No. 4o) Subject: Vendor Claims Page 14 8/15/2012CITY OF ST LOUIS PARK 13:12:57R55CKSUM LOG23000VO 14Page -Council Check Summary 8/10/2012 -7/28/2012 Vendor AmountBusiness Unit Object 400.00FITNESS PROGRAMS OTHER CONTRACTUAL SERVICESMALONE, DANIEL 400.00 1,955.14WATER UTILITY G&A BUILDING MTCE SERVICEMANAGED SERVICES INC 1,955.14 374.07SSD 1 G&A OTHER CONTRACTUAL SERVICESMAPLE CREST LANDSCAPE 854.36SSD 2 G&A OTHER CONTRACTUAL SERVICES 74.81SSD 3 G&A OTHER CONTRACTUAL SERVICES 74.81SSD #4 G&A OTHER CONTRACTUAL SERVICES 149.63SSD #5 G&A OTHER CONTRACTUAL SERVICES 74.81SSD #6 G&A OTHER CONTRACTUAL SERVICES 1,602.49 2,000.00SOFTBALLOTHER CONTRACTUAL SERVICESMCCHESNEY, CHARLIE 2,000.00 9.21ROUTINE MAINTENANCE SMALL TOOLSMENARDS 36.66PARK MAINTENANCE G & A GENERAL SUPPLIES 246.79IRRIGATION MAINTENANCE GENERAL SUPPLIES 17.87BRICK HOUSE (1324)OTHER IMPROVEMENT SUPPLIES 24.52WW RENTAL HOUSE (1322)OTHER IMPROVEMENT SUPPLIES 79.91WESTWOOD G & A GENERAL SUPPLIES 21.67WESTWOOD G & A SMALL TOOLS 35.26WATER UTILITY G&A OTHER IMPROVEMENT SUPPLIES 471.89 10,093.97SEWER UTILITY G&A GENERAL CUSTOMERSMETHODIST HOSPITAL 10,093.97 4,682.70INSPECTIONS G & A DUE TO OTHER GOVTSMETROPOLITAN COUNCIL 292,430.91OPERATIONSCLEANING/WASTE REMOVAL SERVICE 297,113.61 29,460.00PARK AND RECREATION BALANCE SH INVENTORYMIDWAY FORD 29,460.00 64.35PATCHING-PERMANENT OTHER IMPROVEMENT SUPPLIESMIDWEST ASPHALT CORP 35,670.41-PAVEMENT MANAGEMENT B/S RETAINED PERCENTAGE 713,408.26CONSTRUCTION PAYMENTS IMPROVEMENTS OTHER THAN BUILDI 677,802.20 City Council Meeting of August 20, 2012 (Item No. 4o) Subject: Vendor Claims Page 15 8/15/2012CITY OF ST LOUIS PARK 13:12:57R55CKSUM LOG23000VO 15Page -Council Check Summary 8/10/2012 -7/28/2012 Vendor AmountBusiness Unit Object 1,105.00WATER UTILITY G&A OTHER CONTRACTUAL SERVICESMIDWEST TESTING LLC 1,105.00 152.12EMPLOYEE FLEXIBLE SPENDING B/S ACCRUED OTHER BENEFITSMINNESOTA BENEFIT ASSOC 152.12 300.00OPERATIONSTRAININGMINNESOTA FIRE SVC CERT BD 300.00 41.68PUBLIC WORKS OPS G & A OPERATIONAL SUPPLIESMINNESOTA GLOVE & SAFETY INC 41.68 16.00EMPLOYEE FLEXIBLE SPENDING B/S ACCRUED OTHER BENEFITSMINNESOTA NCPERS LIFE INS 16.00 12.27PARK GROUNDS MAINTENANCE OTHER IMPROVEMENT SUPPLIESMINNESOTA WANNER COMPANY 12.27 1,812.60PLAYGROUND EQUIPMENT MAINTENAN OTHER CONTRACTUAL SERVICESMINNESOTA/WISCONSIN PLAYGROUND 1,812.60 123.86SUPPORT SERVICES G&A OFFICE SUPPLIESMINUTEMAN PRESS 123.86 275.56GENERAL BUILDING MAINTENANCE BLDG/STRUCTURE SUPPLIESMINVALCO INC 275.56 587.16-GENERAL FUND BALANCE SHEET DUE TO OTHER GOVTSMOTOROLA 679.73POLICE G & A OPERATIONAL SUPPLIES 8,447.83DWI ENFORCEMENT POLICE EQUIPMENT 8,540.40 960.00SOFTBALLGENERAL SUPPLIESMRPA 170.00SOFTBALLOTHER CONTRACTUAL SERVICES 1,130.00 438.00REILLY BUDGET OTHER CONTRACTUAL SERVICESMVTL LABORATORIES 438.00 215.00INSPECTIONS G & A CERTIFICATE OF COMPLIANCEMY HOME SOURCE 215.00 City Council Meeting of August 20, 2012 (Item No. 4o) Subject: Vendor Claims Page 16 8/15/2012CITY OF ST LOUIS PARK 13:12:57R55CKSUM LOG23000VO 16Page -Council Check Summary 8/10/2012 -7/28/2012 Vendor AmountBusiness Unit Object 174.00H.V.A.C. EQUIP. MTCE BUILDING MTCE SERVICENAC MECHANICAL & ELECTRICAL SE 1,632.05-GO BONDS-FIRE STATIONS BAL S RETAINED PERCENTAGE 32,641.00GO BONDS-FIRE STATIONS G&A BUILDINGS & STRUCTURES 31,182.95 944.39PARK AND RECREATION BALANCE SH INVENTORYNAPA (GENUINE PARTS CO) 49.36GENERAL REPAIR GENERAL SUPPLIES 993.75 257.86GENERAL REPAIR GENERAL SUPPLIESNEP CORP 257.86 11,450.00GO BONDS-FIRE STATIONS G&A BUILDINGS & STRUCTURESNORTHERN STATES SUPPLY INC 11,450.00 1,000.00ESCROWSGENERALNORTHLAND ALUMINUM PRODUCTS 1,000.00 25.00HUMAN RESOURCES TRAININGNORTHSTAR CHAPTER APA 25.00 46.80INSPECTIONS G & A ELECTRICALO'BRIEN, PAUL 46.80 500.00POLICE G & A OTHER CONTRACTUAL SERVICESOAK KNOLL ANIMAL HOSPITAL 500.00 218.81ADMINISTRATION G & A OFFICE SUPPLIESOFFICE DEPOT 184.93ADMINISTRATION G & A GENERAL SUPPLIES 81.24HUMAN RESOURCES OFFICE SUPPLIES 352.71HUMAN RESOURCES RECOGNITION 141.96FINANCE G & A OFFICE SUPPLIES 112.68POLICE G & A OFFICE SUPPLIES 181.42OPERATIONSOFFICE SUPPLIES 84.38PUBLIC WORKS G & A OFFICE SUPPLIES 101.66ENGINEERING G & A OFFICE SUPPLIES 197.78ORGANIZED REC G & A OFFICE SUPPLIES 170.47WATER UTILITY G&A OFFICE SUPPLIES 1,828.04 531.75INSPECTIONS G & A GENERAL PROFESSIONAL SERVICESOFFICE TEAM City Council Meeting of August 20, 2012 (Item No. 4o) Subject: Vendor Claims Page 17 8/15/2012CITY OF ST LOUIS PARK 13:12:57R55CKSUM LOG23000VO 17Page -Council Check Summary 8/10/2012 -7/28/2012 Vendor AmountBusiness Unit Object 531.75 2,163.45GO BONDS-FIRE STATIONS BAL S RETAINED PERCENTAGEOLYMPUS LOCKERS & STORAGE PROD 2,163.45 1,292.42PORTABLE TOILETS/FIELD MAINT OTHER CONTRACTUAL SERVICESON SITE SANITATION 73.44NEIGHBORHOOD ASSOCIATION GRANT OTHER CONTRACTUAL SERVICES 1,365.86 20.00INSPECTIONS G & A TRAININGONSITE SEWAGE TREATMENT PROGRA 20.00 422.45SUMMER FIELDTRIPS OTHER CONTRACTUAL SERVICESPARK TAVERN 422.45 64.60INSTRUCTIONAL SKATING LESSONS OTHER CONTRACTUAL SERVICESPARR, MELISSA 64.60 6,787.00TECHNOLOGY REPLACEMENT OFFICE EQUIPMENTPARSONS ELECTRIC 7,808.00MUNICIPAL BLDG IMPROVEMENTS OTHER THAN BUILDI 14,595.00 30.04ENGINEERING G & A OPERATIONAL SUPPLIESPECCHIA, TOM 30.04 2,795.56-PARK IMPROVE BALANCE SHEET RETAINED PERCENTAGEPETERSON COMPANIES INC 55,911.10PARK IMPROVE CAPITAL PROJECT IMPROVEMENTS OTHER THAN BUILDI 53,115.54 83.56TREE DISEASE PUBLIC CLEANING/WASTE REMOVAL SERVICEPETERSON, CRAIG 83.56 100.07TREE DISEASE PUBLIC CLEANING/WASTE REMOVAL SERVICEPETERSON, CURT 100.07 2,011.71WATER UTILITY G&A OTHER IMPROVEMENT SUPPLIESPLANT & FLANGED EQUIPMENT 2,011.71 88.00GROUP ADMISSION PROGRAM REVENUEPLAYWORKS 88.00 530.10INSTRUCTIONAL SKATING LESSONS OTHER CONTRACTUAL SERVICESPOLK, MARLA City Council Meeting of August 20, 2012 (Item No. 4o) Subject: Vendor Claims Page 18 8/15/2012CITY OF ST LOUIS PARK 13:12:57R55CKSUM LOG23000VO 18Page -Council Check Summary 8/10/2012 -7/28/2012 Vendor AmountBusiness Unit Object 530.10 820.18PARK AND RECREATION BALANCE SH INVENTORYPOMP'S TIRE SERVICE INC 820.18 80.96TREE DISEASE PUBLIC CLEANING/WASTE REMOVAL SERVICEPOOLER, AL 80.96 361.80PARK MAINTENANCE G & A TELEPHONEPOPP.COM INC 361.80 4,500.00COMM & MARKETING G & A POSTAGEPOSTMASTER 4,500.00 18.69-STORM WATER UTILITY BAL SHEET DUE TO OTHER GOVTSPRAIRIE RESTORATIONS INC 290.50STORM WATER UTILITY G&A OTHER IMPROVEMENT SERVICE 271.81 6,025.62TREE DISEASE PUBLIC CLEANING/WASTE REMOVAL SERVICEPRECISION LANDSCAPE & TREE 6,025.62 621.50DIAL-A-RIDE PROGRAM OTHER CONTRACTUAL SERVICESPRISM EXPRESS MANAGER 621.50 125.00MUNICIPAL BLDG IMPROVEMENTS OTHER THAN BUILDIPRIVATE UNDERGROUND 125.00 1,729.50PARK IMPROVE CAPITAL PROJECT IMPROVEMENTS OTHER THAN BUILDIQ3 CONTRACTING 802.00STORM WATER UTILITY G&A OTHER IMPROVEMENT SERVICE 2,531.50 2,000.00ESCROWSPMC ESCROWQUEST, POLINA 2,000.00 13.51ESCROWSQUICKSILVER EXPRESS COURIER 13.51 1,360.00IRRIGATION MAINTENANCE OTHER CONTRACTUAL SERVICESQUIRING EXCAVATING LLC 12,238.00PARK IMPROVE CAPITAL PROJECT IMPROVEMENTS OTHER THAN BUILDI 13,598.00 125.00REC CENTER BUILDING SEMINARS/CONFERENCES/PRESENTATR & R SPECIALTIES City Council Meeting of August 20, 2012 (Item No. 4o) Subject: Vendor Claims Page 19 8/15/2012CITY OF ST LOUIS PARK 13:12:57R55CKSUM LOG23000VO 19Page -Council Check Summary 8/10/2012 -7/28/2012 Vendor AmountBusiness Unit Object 125.00 25.50SOFTBALLOTHER CONTRACTUAL SERVICESRALSTON, PATRICK 25.50 2,848.58FACILITY OPERATIONS GARBAGE/REFUSE SERVICERANDY'S SANITATION INC 1,281.46REC CENTER BUILDING GARBAGE/REFUSE SERVICE 986.05SOLID WASTE COLLECTIONS GARBAGE/REFUSE SERVICE 5,116.09 27,270.20PARK AND RECREATION BALANCE SH INVENTORYRANGER GM 27,270.20 45.40POLICE G & A OFFICE SUPPLIESREGENCY OFFICE PRODUCTS LLC 45.40 352.53-SOLID WASTE BALANCE SHEET DUE TO OTHER GOVTSREHRIG PACIFIC CO 5,451.53SOLID WASTE COLLECTIONS OTHER 5,099.00 200.00PARK GROUNDS MAINTENANCE OTHER IMPROVEMENT SUPPLIESREINDERS INC 200.00 200.00TECHNOLOGY REPLACEMENT OFFICE EQUIPMENTRICOH USA INC 200.00 2,499.00SOFTBALLOTHER CONTRACTUAL SERVICESROGERS, KYLE 2,499.00 19.43-PARK AND RECREATION BALANCE SH DUE TO OTHER GOVTSROSENBAUER MINNESOTA LLC 1,058.01GENERAL REPAIR EQUIPMENT MTCE SERVICE 1,038.58 255.00ADMINISTRATION G & A SUBSCRIPTIONS/MEMBERSHIPSROTARY CLUB OF SLP 85.00POLICE G & A SUBSCRIPTIONS/MEMBERSHIPS 177.00POLICE G & A MEETING EXPENSE 517.00 177.06GENERAL REPAIR EQUIPMENT MTCE SERVICESAFELITE FULFILLMENT INC 177.06 296.00INSTRUCTIONAL SKATING LESSONS OTHER CONTRACTUAL SERVICESSANDUM, KATHERINE City Council Meeting of August 20, 2012 (Item No. 4o) Subject: Vendor Claims Page 20 8/15/2012CITY OF ST LOUIS PARK 13:12:57R55CKSUM LOG23000VO 20Page -Council Check Summary 8/10/2012 -7/28/2012 Vendor AmountBusiness Unit Object 296.00 248.00INSTRUCTIONAL SKATING LESSONS OTHER CONTRACTUAL SERVICESSAURER, MARTI 248.00 57.92GENERAL BUILDING MAINTENANCE GENERAL SUPPLIESSCHERER BROS. LUMBER CO. 57.92 669.60FITNESS PROGRAMS OTHER CONTRACTUAL SERVICESSCHRAMM, HOLLY 669.60 371.74PE DESIGN IMPROVEMENTS OTHER THAN BUILDISEH 371.74 213.50STREET CAPITAL PROJ G & A IMPROVEMENTS OTHER THAN BUILDISGC HORIZON LLC 213.50 3,081.65WESTWOOD G & A OTHER IMPROVEMENT SUPPLIESSHAW/STEWART LUMBER CO 3,081.65 118.55GENERAL BUILDING MAINTENANCE GENERAL SUPPLIESSIEGEL DISPLAY PRODUCTS 118.55 294.00AQUATIC PARK MAINTENANCE BUILDING MTCE SERVICESIGNATURE MECHANICAL INC 294.00 175.00GREEN REMODELING PROGRAM OTHER CONTRACTUAL SERVICESSIMON, GEORGE 175.00 256.11NEIGHBORHOOD ASSOCIATION GRANT OTHER CONTRACTUAL SERVICESSKELLY, GABRIEL 256.11 19,250.00STORM WATER UTILITY G&A OTHER CONTRACTUAL SERVICESSL-SERCO 19,250.00 262.00FITNESS PROGRAMS OTHER CONTRACTUAL SERVICESSOUVIGNIER, TRACEY 262.00 2,000.00ESCROWSPMC ESCROWSPEARS, TOM 2,000.00 1,729.90IT G & A DATACOMMUNICATIONSSPRINT City Council Meeting of August 20, 2012 (Item No. 4o) Subject: Vendor Claims Page 21 8/15/2012CITY OF ST LOUIS PARK 13:12:57R55CKSUM LOG23000VO 21Page -Council Check Summary 8/10/2012 -7/28/2012 Vendor AmountBusiness Unit Object 1,729.90 .10-FACILITIES MCTE G & A BANK CHARGES/CREDIT CD FEESSPS COMPANIES INC 5.16PLUMBING MTCE BLDG/STRUCTURE SUPPLIES 84.91PARK BUILDING MAINTENANCE GENERAL SUPPLIES 89.97 765.69CE INSPECTION IMPROVEMENTS OTHER THAN BUILDISRF CONSULTING GROUP INC 17,291.51CONSTRUCTION PAYMENTS IMPROVEMENTS OTHER THAN BUILDI 18,057.20 4,142.50TREE DISEASE PRIVATE CLEANING/WASTE REMOVAL SERVICEST CROIX TREE SERVICE INC 4,142.50 1,709.05-GO BONDS-FIRE STATIONS BAL S RETAINED PERCENTAGESTEENBERG-WATRUD CONSTRUCTION 34,181.00GO BONDS-FIRE STATIONS G&A BUILDINGS & STRUCTURES 32,471.95 69.70PARK AND RECREATION BALANCE SH INVENTORYSTREICHER'S 69.70 1,945.29PARK AND RECREATION BALANCE SH INVENTORYSUBURBAN TIRE WHOLESALE 1,945.29 368.66ADMINISTRATION G & A LEGAL NOTICESSUN NEWSPAPERS 269.70STREET CAPITAL PROJ G & A LEGAL NOTICES 638.36 15.00YOUTH PROGRAMS PROGRAM REVENUETANGNEY, BRIAN 15.00 86.44POLICE G & A TRAININGTARGET BANK 79.28SUMMER GRADE 4-5 GENERAL SUPPLIES 165.72 67.08ADMINISTRATION G & A OTHER CONTRACTUAL SERVICESTELELANGUAGE INC 67.08 430.21REC CENTER BUILDING BUILDING MTCE SERVICETENNANT SALES AND SERVICE CO. 430.21 104.06BUILDING MAINTENANCE BUILDING MTCE SERVICETERMINIX INT City Council Meeting of August 20, 2012 (Item No. 4o) Subject: Vendor Claims Page 22 8/15/2012CITY OF ST LOUIS PARK 13:12:57R55CKSUM LOG23000VO 22Page -Council Check Summary 8/10/2012 -7/28/2012 Vendor AmountBusiness Unit Object 104.06 400.00INSTRUCTIONAL SKATING LESSONS OTHER CONTRACTUAL SERVICESTHELEN, SHEILA 400.00 64.60INSTRUCTIONAL SKATING LESSONS OTHER CONTRACTUAL SERVICESTHOMPSON, HOLLY 64.60 103.74WATER UTILITY G&A OPERATIONAL SUPPLIESTIDI PRODUCTS LLC 103.74SEWER UTILITY G&A OPERATIONAL SUPPLIES 103.75STORM WATER UTILITY G&A OPERATIONAL SUPPLIES 311.23 3,281.69GO BONDS-FIRE STATIONS G&A IMPROVEMENTS OTHER THAN BUILDITIERNEY BROTHERS INC 3,281.69 110.00INSPECTIONS G & A LICENSESTILTON, JOHN 110.00 449.56ADMINISTRATION G & A OTHER CONTRACTUAL SERVICESTIMESAVER OFF SITE SECRETARIAL 449.56 1,498.94PE DESIGN IMPROVEMENTS OTHER THAN BUILDITKDA 1,498.94 2,395.00AQUATIC PARK MAINTENANCE BUILDING MTCE SERVICETOWN & COUNTRY FENCE INC 2,395.00 25,350.77CONSTRUCTION MATERIAL IMPROVEMENTS OTHER THAN BUILDITRAFFIC CONTROL CORP 25,350.77 229.50SOFTBALLOTHER CONTRACTUAL SERVICESTRAUTMANN, JOHN 229.50 13.17PARK AND RECREATION BALANCE SH INVENTORYTRI STATE BOBCAT 13.17 97.53PARK AND RECREATION BALANCE SH INVENTORYTURFWERKS 97.53 58.44-UNINSURED LOSS B/S DUE TO OTHER GOVTSTWIN CITY WINDOW REPLACEMENT C 908.44UNINSURED LOSS G&A UNINSURED LOSS City Council Meeting of August 20, 2012 (Item No. 4o) Subject: Vendor Claims Page 23 8/15/2012CITY OF ST LOUIS PARK 13:12:57R55CKSUM LOG23000VO 23Page -Council Check Summary 8/10/2012 -7/28/2012 Vendor AmountBusiness Unit Object 850.00 257.59SUPPORT SERVICES OPERATIONAL SUPPLIESUNIFORMS UNLIMITED (PD) 45.62SUPERVISORYOPERATIONAL SUPPLIES 1,567.01PATROLOPERATIONAL SUPPLIES 332.40RESERVESOPERATIONAL SUPPLIES 340.00EXPLORERSOPERATIONAL SUPPLIES 103.00COMMUNITY SERVICE OFFICER OPERATIONAL SUPPLIES 2,645.62 150.00EMPLOYEE FLEXIBLE SPENDING B/S WAGE GARNISHMENTSUNITED STATES TREASURY 150.00 240.00EMPLOYEE FLEXIBLE SPENDING B/S UNITED WAYUNITED WAY OF MINNEAPOLIS AREA 240.00 89.64TREE DISEASE PUBLIC CLEANING/WASTE REMOVAL SERVICEUNZE, ROBERT 89.64 108.78ENVIRONMENTAL G & A MILEAGE-PERSONAL CARVAUGHAN, JIM 108.78 80.00HUMAN RESOURCES RECRUITMENTVERIFIED CREDENTIALS 80.00 73.86COMMUNICATIONS/GV REIMBURSEABL TELEPHONEVERIZON WIRELESS 2,579.09TECHNOLOGY REPLACEMENT OFFICE EQUIPMENT 2,652.95 400.00SOFTBALLOTHER CONTRACTUAL SERVICESVICE, GARY 400.00 585.64IRRIGATION MAINTENANCE OTHER IMPROVEMENT SUPPLIESVIKING ELECTRIC SUPPLY 585.64 118.25PARK MAINTENANCE G & A GENERAL SUPPLIESVIKING INDUSTRIAL CTR 118.25 7,000.00ESCROWSPMC ESCROWVINCENT, KYLIE MARIE BANGASSER 7,000.00 175.00OPERATIONSSUBSCRIPTIONS/MEMBERSHIPSVOLUNTEER FIREFIGHTERS' BENEFI City Council Meeting of August 20, 2012 (Item No. 4o) Subject: Vendor Claims Page 24 8/15/2012CITY OF ST LOUIS PARK 13:12:57R55CKSUM LOG23000VO 24Page -Council Check Summary 8/10/2012 -7/28/2012 Vendor AmountBusiness Unit Object 175.00 7,571.13CONCESSIONSCONCESSION SUPPLIESWATSON CO INC 7,571.13 7,641.56PARK IMPROVE CAPITAL PROJECT IMPROVEMENTS OTHER THAN BUILDIWEBBER RECREATIONAL DESIGN 7,641.56 15.00WESTWOOD G & A SUBSCRIPTIONS/MEMBERSHIPSWOOD DUCK NEWSGRAM 15.00 1,622.32FACILITY OPERATIONS ELECTRIC SERVICEXCEL ENERGY 26.41OPERATIONSELECTRIC SERVICE 25,873.28ENTERPRISE G & A ELECTRIC SERVICE 14.46GO BONDS-FIRE STATIONS G&A BUILDINGS & STRUCTURES 84.43STORM WATER UTILITY G&A ELECTRIC SERVICE 28.89OPERATIONSELECTRIC SERVICE 27,649.79 1,233.25-UNINSURED LOSS B/S RETAINED PERCENTAGEXTERIOR XPERTS 24,665.00UNINSURED LOSS G&A UNINSURED LOSS 23,431.75 62.02PUBLIC WORKS OPS G & A GENERAL SUPPLIESZEE MEDICAL SERVICE 62.02PARK MAINTENANCE G & A GENERAL SUPPLIES 345.70BUILDING MAINTENANCE GENERAL SUPPLIES 62.01VEHICLE MAINTENANCE G&A GENERAL SUPPLIES 62.02WATER UTILITY G&A GENERAL SUPPLIES 593.77 83.42JUNIOR NATURALISTS GENERAL SUPPLIESZEMBRYKI, MARK 83.42 100.46SUMMER PLAYGROUNDS MILEAGE-PERSONAL CARZHU, YAN 100.46 87.91TREE DISEASE PUBLIC CLEANING/WASTE REMOVAL SERVICEZIMMERMAN, BARBARA 87.91 Report Totals 2,386,897.84 City Council Meeting of August 20, 2012 (Item No. 4o) Subject: Vendor Claims Page 25 Meeting Date: August 20, 2012 Agenda Item #: 8a Regular Meeting Public Hearing Action Item Consent Item Resolution Ordinance Presentation Other: EDA Meeting Action Item Resolution Other: Study Session Discussion Item Written Report Other: TITLE: Call for Sale of General Obligation Bonds for Greensboro Square RECOMMENDED ACTION: Motion to Adopt Resolution Providing for Sale of: • $1,290,000 Taxable G.O. Housing Improvement Area (HIA) Bonds, Series 2012A POLICY CONSIDERATION: • Does the City Council agree with staff and consultants that there are sufficient resources available over time to repay the bonds to be issued? • Are the bonds issued for a period of time that is equal to or less than the expected useful life of the assets to be constructed? BACKGROUND: On December 5, 2011 the Council established Ordinance 2406-11 establishing the Greensboro HIA and passed Resolution No. 11-134 imposing fees. This was done in response to Greensboro Condominium Owners Association’s petition to the Council to conduct a public hearing regarding the establishment of Greensboro Condominium Owners Association as an HIA. The total project cost was originally estimated to be $3,835,000 and has been decreased to $3,445,862, of which $2,947,394 is for construction costs with the remainder for soft costs and bond issuance costs. The City received $1,047,260 in prepaid special assessments. This means the City will need to loan the association $2,398,602 to pay for all costs associated with the project. $1,290,000 will be financed through the issuance of Taxable General Obligation Housing Improvement Area bonds. The remainder of the cost, $1,108,602, will be financed through a loan of funds from the EDA’s Development Fund. Both the bonds and the EDA loan will be repaid to the City from the HIA fees collected with the real estate taxes of the property owners located in the Greensboro HIA. Both the bonds and the EDA loan will have a twenty year term, and the interest rate on the EDA loan will be set at the interest rate on the bonds, with a finalized EDA loan payment schedule to be prepared upon issuance of the bonds. Any of the remaining 191 property owners that did not prepay their HIA fee will have the opportunity to prepay at any time during the 20-year term of the bonds and EDA loan. The bond sale is currently scheduled for September 24th, with the bond proceeds being available in late October. Since Greensboro HIA is moving forward with improvements now, the EDA will need to potentially lend the City $2,398,602 of the project costs, since the prepaid HIA fees will not be adequate to cover the construction costs and the bond proceeds won’t be available until October. Since the funds are being loaned from the EDA to the City, this constitutes an internal loan and a resolution authorizing the loan was approved by the EDA May 7, 2012. The internal loan will be for an amount up to $2,525,000 and only the amount of funds needed to pay for project costs will be advanced. A portion of this internal loan will be repaid to the EDA City Council Meeting of August 20, 2012 (Item No. 8a) Page 2 Subject: Call for Sale of General Obligation Bonds for Greensboro Square when bond proceeds are received in October and the remaining will be repaid through collection of the HIA fees over 20 years. The Bonds will carry taxable interest rates because the improvements are on private property rather than the typical public improvements. It is the intent of the City to levy a housing improvement area fee on each unit to support 105% of the debt service beginning with taxes payable beginning in 2013 for those owners that did not prepay. The attached memo and proposed schedule represent their estimate of the potential interest rates. The actual rates and dollar amount of the sale will vary depending on the market conditions on the sale date. Next Steps Upon approval, Ehlers is authorized to solicit proposals for the sale of bonds. On September 24, 2012, Council will consider sealed proposals and awarding the sale of the bonds. FINANCIAL OR BUDGET CONSIDERATION: Issuance of these bonds is necessary to provide partial funding for the project, and to allow for the City’s liquid financial assets to be available for other projects within the City. VISION CONSIDERATION: The Greensboro Condominium Owners Association HIA improvements are consistent with Vision St. Louis Park and the Strategic Directions adopted by the City Council: “St. Louis Park is committed to providing a well-maintained and diverse housing stock”. The HIA tool addresses affordably valued, aging owner-occupied townhouse and condominium housing stock. The proposed improvements specifically address the focus of property maintenance to foster quality housing and community aesthetics. Attachments: Resolution Presale Report from Ehlers & Associates Prepared by: Brian A. Swanson, Controller Kathy Larsen, Housing Programs Coordinator Approved by: Nancy Deno, Deputy City Manager/HR Director City Council Meeting of August 20, 2012 (Item No. 8a) Page 3 Subject: Call for Sale of General Obligation Bonds for Greensboro Square RESOLUTION NO. 12-_____ RESOLUTION PROVIDING FOR THE SALE OF $1,290,000 TAXABLE GENERAL OBLIGATION HIA BONDS, SERIES 2012A A. WHEREAS, the City Council of the City of St. Louis Park, Minnesota, has heretofore determined that it is necessary and expedient to issue the City's $1,290,000 Taxable General Obligation HIA Bonds, Series 2012A (the "Bonds"), to pay for improvements for the Greensboro Square Condominium Association; B. WHEREAS, the City has retained Ehlers & Associates, Inc., in Roseville, Minnesota ("Ehlers"), as its independent financial advisor for the Bonds and is therefore authorized to solicit proposals in accordance with Minnesota Statutes, Section 475.60, Subdivision 2(9); NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of St. Louis Park, Minnesota: 1. Authorization; Findings. The City Council hereby authorizes Ehlers to solicit proposals for the sale of the Bonds. 2. Meeting; Proposal Opening. The City Council shall meet at 7:00 P.M. on September 24, 2012, for the purpose of considering sealed proposals for and awarding the sale of the Bonds. 3. Official Statement. In connection with said sale, the officers or employees of the City are hereby authorized to cooperate with Ehlers and participate in the preparation of an official statement for the Bonds and to execute and deliver it on behalf of the City upon its completion. Reviewed for Administration: Adopted by the City Council August 20, 2012 City Manager Mayor Attest: City Clerk Prepared and Presented by: Stacie Kvilvang And Mark Ruff August 20, 2012 Pre-Sale Report for $1,290,000 Taxable General Obligation HIA Bonds, Series 2012A St. Louis Park, Minnesota City Council Meeting of August 20, 2012 (Item No. 8a) Subject: Call for Sale of General Obligation Bonds for Greensboro Square Page 4 Executive Summary of Proposed Debt Proposed Issue: $1,290,000 Taxable GO HIA Bonds, Series, 2012A Authority: The Bonds are being issued pursuant to Minnesota Statues, Chapter 428A (Housing Improvement Areas) and 475 (general bond statute). Purposes/Funding Sources: The majority of the owners of the 260-unit Greensboro Condominium Association have petitioned the City to create a housing improvement area and to issue Bonds and an EDA loan to fund approximately $3,446,000 of improvements to the exteriors of the units (inclusive of all soft costs). The funding sources are $1,108,602 in an EDA loan, $1,047,260 in prepaid assessments and the remaining $1,290,000 in Bond proceeds. The Bonds will carry taxable interest rates because the improvements are on private property rather than the typical public improvements. It is the intent of the City to levy a housing improvement area fee on each unit to support 105% of the debt service (for both the Bonds and the EDA Loan) beginning with taxes payable in 2013. The fees are very similar to special assessments for public improvements and can be pre-paid in whole or in part at any time during the term of the Bonds. The EDA Loan and the Bonds have been sized to allow for the majority of prepayments to go to repay the EDA loan first, then to prepay on the Bonds. The reason being is that the Bonds cannot be refinanced for approximately 8 years (call date) and therefore if the City were to receive substantial prepayments in the first 8 years, they would not be able to invest the funds at any rate near the estimated interest rate of 4.25%. To date 69 of the home owners have prepaid the housing improvement fee and this amount was taken into consideration when determining the size of the Bonds and EDA loan (as noted above). Risk Factors The average fee per unit for the 191 unit owners that have not prepaid the assessment is expected to be approximately $12,500. This amount of fee may result in delinquency of fees, or ultimately a potential property tax foreclosure (the risk of tax foreclosure is expected to be minimal if at all). The requirement to levy 105% of the debt service will assist in mitigating making Bond and EDA loan payments due to delays in payments from unit owners and/or delinquencies. It should be noted that it has been the experience of the City that delinquencies and foreclosures have not been an issue with past HIA districts the City has created. Term/Call Feature The Bonds are being issued for a 20-year period. Principal on the Bonds will be due on February 1 in the years 2014 through 2033. Bonds maturing February 1, 2020, and thereafter will be subject to prepayment at the discretion of the City on February 1, 2019. Bank Qualification Because the Bonds are taxable, they do not count against the City’s Bank Qualification limit for issuing future tax exempt bonds this City Council Meeting of August 20, 2012 (Item No. 8a) Subject: Call for Sale of General Obligation Bonds for Greensboro Square Page 5 year. Rating: The City’s most recent bond issues were rated “AAA” by Standard & Poor’s. The City will request a new rating for the Bonds. Method of Sale/Placement: In order to obtain the lowest interest cost to the City and thus the homeowners, we will solicit competitive bids for purchase of the Bonds from national and regional bidders. We have included an allowance for discount bidding equal to 1.25% of the principal amount of the issue. The discount is treated as an interest item and provides the underwriter with all or a portion of its compensation in the transaction. If the Bonds are purchased at a price greater than the minimum bid amount (maximum discount), the unused allowance may be used to lower the borrowing amount. Review of Existing Debt: We have reviewed all outstanding indebtedness for the City and find that there is the opportunity to do a current refunding this fall of the 2005A GO Bonds. We will continue discussions with staff regarding the desire to pursue the refinancing of these bonds and the timing thereof. Continuing Disclosure: Because the City has more than $10,000,000 in outstanding debt (including this issue) and this issue is over $1,000,000, the City will be agreeing to provide certain updated Annual Financial Information and its Audited Financial Statement annually as well as providing notices of the occurrence of certain “material events” to the Municipal Securities Rulemaking Board (the “MSRB”), as required by rules of the Securities and Exchange Commission (SEC). The City is already obligated to provide such reports for its existing bonds, and has contracted with Ehlers to prepare and file the reports. Arbitrage Monitoring: Because the Bonds are taxable securities, they are not subject to arbitrage. City Council Meeting of August 20, 2012 (Item No. 8a) Subject: Call for Sale of General Obligation Bonds for Greensboro Square Page 6 Proposed Debt Issuance Schedule Pre-Sale Review by Council: August 20, 2012 Distribute Official Statement: Week of August 27, 2012 Conference with Rating Agency: Week of September 17, 2012 City Council Meeting to Award Sale of the Bonds: September 24, 2012 Estimated Closing Date: October 17, 2012 Attachments Sources and Uses of Funds Proposed Debt Service Schedule Resolution Authorizing Ehlers to Proceed With Bond Sale Ehlers Contacts: Financial Advisors: Stacie Kvilvang Mark Ruff (651)-697-8506 (651)-697-8505 Bond Analyst: Kara Meverden (651) 697-8545 Bond Sale Coordinator: Financial Analyst: Alicia Aulwes Brian Shannon (651) 697-8523 (651) 697-8515 The Official Statement for this financing will be mailed to the City Council at their home address or e- mailed. City Council Meeting of August 20, 2012 (Item No. 8a) Subject: Call for Sale of General Obligation Bonds for Greensboro Square Page 7 Meeting Date: August 20, 2012 Agenda Item #: 8b Regular Meeting Public Hearing Action Item Consent Item Resolution Ordinance Presentation Other: EDA Meeting Action Item Resolution Other: Study Session Discussion Item Written Report Other: TITLE: Bid Tabulation: Street Project - Beltline Boulevard Trail Crossing - Project #2012-1307 RECOMMENDED ACTION: Motion to designate Midwest Asphalt Corporation the lowest responsible bidder and authorize execution of a contract with the firm in the amount of $82,348.70 for Street Project - Beltline Boulevard Trail Crossing, Project No. 2012-1307, upon receipt of a construction permit from the Hennepin County Regional Railroad Authority. POLICY CONSIDERATION: Does the City Council wish to take the final step to allow this project to move forward? BACKGROUND: Bid Information: On July 16, 2012, Council adopted a resolution that included approving plans and specifications and authorizing advertisement for bids for improvements at the Cedar Lake Regional Trail crossing at Beltline Boulevard. This project essentially involves widening the roadway to the east and holding the west curb line and re-aligning the trail approaches. This will allow for the center median to widen up to 12 feet, while maintaining the existing traffic lane widths. Bids were received on August 14, 2012. An advertisement for bids was published in the St. Louis Park Sun-Sailor on July 26, and August 2, 2012 and in the Construction Bulletin on July 30, and August 6, 2012. In addition, plans and specifications are noticed on the City Website and are made available electronically via the internet by our vendor Quest CDN.com. Email notification is provided to five minority associations and final printed plans are made available for viewing at the AGC of Minnesota Planroom and at City Hall. Twenty-one contractors purchased plan sets with three Disadvantaged Business Enterprises (DBE’s) identifying themselves as subcontractors. A total of four (4) bids were received for this project. A summary of the bid results is as follows: CONTRACTOR BID AMOUNT Midwest Asphalt Corp. Bituminous Roadways Urban Companies, LLC $82,348.70 $97,646.00 $111,345.50 * G.L. Contracting, Inc. $116,909.85 Engineer’s Estimate $92,000.00 * Bid corrected upon extension City Council Meeting of August 20, 2012 (Item No. 8b) Page 2 Subject: Bid Tabulation: Street Project - Beltline Boulevard Trail Crossing - Project #2012-1307 Evaluation of Bids: Staff has reviewed all of the bids submitted and has tabulated the results. From the review, staff recommends Midwest Asphalt Corporation as the lowest responsible bidder. Midwest Asphalt is an experienced contractor that has worked for the City before and has successfully completed previous contracts. Construction Timeline: Construction is tentatively planned to begin in early September and is expected to be completed by mid-October. The project is expected to be constructed under traffic with no detours for roadway or trail users. Pedestrians, bicyclists and motorists will be guided through the work zone during periods of temporary lane closures and construction activities. FINANCIAL OR BUDGET CONSIDERATION: This project was not previously planned for nor included in the City’s adopted Capital Improvement Program (C.I.P.). The project cost, initially estimated at $150,000 can be funded by a combination of City funds (Development and General Funds), and a contribution from the Three Rivers Park District. Three Rivers Park District supports this project and has agreed to fund 50 percent of the project cost up to a limit of $75,000. Participation by Three Rivers Park District is formally designated in a cooperative agreement, subject to approval by the City Council as a separate agenda item on August 20. Based on the low bid received, the projected project costs are as follows: Expenditures Construction Cost (Including 5% contingency) $86,466.14 Engineering & Administration $50,000 Total $136,466.15 Funding Sources City of St. Louis Park $68,233.08 Three Rivers Park District $68,233.07 Total $136,466.15 VISION CONSIDERATION: The following Strategic Direction and focus area was identified by Council in 2007: St. Louis Park is committed to being a connected and engaged community. Focus will be on: • Promoting regional transportation issues Attachments: None Prepared by: Jack Sullivan, Engineering Project Manager Reviewed by: Scott Brink, City Engineer Michael P. Rardin, Director of Public Works Approved by: Nancy Deno, Deputy City Manager/HR Director Meeting Date: August 20, 2012 Agenda Item #: 8c Regular Meeting Public Hearing Action Item Consent Item Resolution Ordinance Presentation Other: EDA Meeting Action Item Resolution Other: Study Session Discussion Item Written Report Other: TITLE: Cooperative Agreement with Three Rivers Park District: Street Project - Beltline Boulevard Trail Crossing - Project No. 2012-1307 RECOMMENDED ACTION: Motion approving a cooperative agreement between Three Rivers Park District and the City of St. Louis Park for the Cedar Lake Regional Trail crossing improvements at Beltline Boulevard and authorizing the Mayor and City Manager to execute the Agreement. POLICY CONSIDERATION: Does the City Council wish to accept funding participation from Three Rivers Park District for the construction of improvements to Beltline Boulevard at the Cedar Lake Regional Trail? BACKGROUND: On July 16, 2012, Council adopted a resolution that included approving plans and specifications and authorizing advertisement for bids for improvements of the Cedar Lake Regional Trail crossing at Beltline Boulevard. A separate report describing the bids received and recommended award of a contract is provided this evening as a separate agenda item. Staff has worked extensively with Three Rivers Park District staff over the last several years to address concerns at this crossing. As a result, the Three Rivers Park District staff and Board have expressed a strong willingness to improve the crossing and participate with the City. On July 19, 2012, the Three Rivers Park District Board authorized their staff to develop and execute a cost participation agreement with the City in a not to exceed amount of $75,000. General terms of the agreement are as follows: • The City of St. Louis Park will be responsible for constructing the project • Three Rivers Park District will be responsible for funding 50 per cent of the project cost, up to a maximum amount of $75,000. • Maintenance obligations of both the City and Three Rivers Park District upon completion of the project are outlined in the Agreement. The Agreement has been reviewed and found to be acceptable by the City Attorney. VISION CONSIDERATION: The following Strategic Direction and focus area was identified by Council in 2007: St. Louis Park is committed to being a connected and engaged community. Focus will be on promoting regional transportation issues Attachments: Agreement Prepared by: Scott Brink, City Engineer Reviewed by: Michael P. Rardin, Director of Public Works Approved by: Nancy Deno, Deputy City Manager/HR Director City Council Meeting of August 20, 2012 (Item No. 8c) Page 2 Subject: Coop Agreement w/ Three Rivers Park District: Beltline Trail Crossing Project No. 2012-1307 CEDAR LAKE TRAIL CROSSING IMPROVEMENTS AT BELTLINE BOULEVARD AGREEMENT FOR COST PARTICIPATION THIS AGREEMENT, is made and entered into this ______day of __________, 2012, by and between Three Rivers Park District, a political subdivision of the State of Minnesota, hereinafter referred to as the “Park District,” and the City of St. Louis Park, a Minnesota municipal corporation, hereinafter referred to as “City.” WHEREAS, the City has requested Park District participation in the costs of engineering and construction for an improved bicycle/pedestrian trail crossing on Beltline Boulevard in the City of St. Louis Park; and WHEREAS, the abovementioned bicycle/pedestrian trail which crosses Beltline Boulevard is known and identified as the Cedar Lake Regional Trail; and WHEREAS, contemplated improvements include realignment of the existing trail on both sides, widening of the center “refuge island,” and new pedestrian curb ramps; and WHEREAS, the trail crossing improvements are identified as City Project No. 2012- 1307 hereinafter referred to as the “Project;” and WHEREAS, the City or its agents will prepare preliminary and final plans and specifications for the construction of the Project, and will be responsible for the construction administration of the Project; and WHEREAS, the City has prepared an estimate for the engineering and construction project in the amount of One Hundred and Fifty Thousand Dollars and No Cents ($150,000); and WHEREAS, it is contemplated that said work be carried out by the parties hereto under the provisions of Minnesota Statutes, Section 162.17, Subdivision 1 and Section 471.59. NOW THEREFORE, IT IS HEREBY AGREED: I The City or its agents shall prepare the preliminary and final plans for the Project, shall obtain approval of said final plans from the Park District, and will coordinate all necessary public information meetings. Plans and specifications prepared by the City or its agents, and approved by the Park District, shall be designed according to the Minnesota Department of Transportation (Mn/DOT) construction standards and practices, and shall be consistent with the Mn/DOT “Bicycle Transportation Planning and Design Guidelines.” City Council Meeting of August 20, 2012 (Item No. 8c) Page 3 Subject: Coop Agreement w/ Three Rivers Park District: Beltline Trail Crossing Project No. 2012-1307 Two (2) sets of approved plans shall be provided at no cost to the Park District prior to the start of any construction. II The City shall administer construction of the Project and perform all required engineering, inspection and testing. The City shall apply for a permit from the Hennepin County Regional Rail Authority for any work within the Hennepin County Regional Rail Authority’s right of way. Said permit will be granted to the City at no cost to the Park District. The City Engineer and Park District Engineer, or staff shall have the right, as the work progresses, to enter upon the job site to make any inspections deemed necessary, but shall have to responsibility for the supervision of the work. III The City and Park District agree that the City may make changes in the plans or in the character of said construction which are reasonably necessary to cause said construction to be in all things performed and completed in a satisfactory manner consistent with the plans approved by the City and Park District. The City Engineer and Park District Engineer, or designated representatives shall have the opportunity to review any proposed changes to the plans prior to the work being performed. IV Upon completion of the Project, the City shall notify the Park District, and shall submit invoices marked “final” indicating the Park District’s respective participating shares of engineering and construction costs. The City shall submit complete documentation showing the City’s engineering and construction costs for the Project. Park District and City shall each be responsible for fifty (50) percent of such costs. Upon approval of the completed Project the Park District Engineer or designated representative, shall reimburse the City its share of the engineering and construction costs for the Project as shown in Exhibit “A” attached hereto and by this reference made a part hereof. As shown in Exhibit “A,” the Park District’s estimated share of the construction costs for the Project is estimated to be Seventy Five Thousand Dollars and No Cents ($75,000.00). The City further understands and agrees that the Park District’s total cost participation in the costs of the Project, including any and all future City costs for the Project, shall not exceed $75,000.00 without an amendment to this agreement. It is understood and agreed by the parties hereto that the estimated amounts in the preceding paragraphs and as shown in Exhibit “A” are estimates of the costs for the contracted construction work on the Project and that the unit prices set forth in the contract with the successful bidder and the final quantities as measured by the City’s engineering or designated representatives shall govern in computing the total final share of the construction costs for the City and Park District respectively according to the provisions herein. It is further understood and agreed that the final quantities as measured by the City’s Engineer or designated City Council Meeting of August 20, 2012 (Item No. 8c) Page 4 Subject: Coop Agreement w/ Three Rivers Park District: Beltline Trail Crossing Project No. 2012-1307 representatives for contract pay items in which the City and Park District are participating shall be subject to the review and approval by the Park District Engineer. The Park District will within forty five (45) days of said invoice, deposit with the City funds totaling the amount of said invoice. V All records kept by the City and Park District with respect to this Project shall be subject to examination by the representatives of each party hereto. VI It is understood and agreed by the parties hereto that upon completion of the Project proposed herein, all trail improvements included in the Project shall be maintained by the Park District and all maintenance, restoration, repair or replacement required thereafter shall be performed by the Park District at no expense to the City. It is understood and agreed by the parties hereto that upon completion of the Project proposed herein, all municipal street improvements included in the Project shall become the property of the City and all maintenance, restoration, repair or replacement required thereafter shall be performed by the City at no expense to the Park District. It is understood that the City will be responsible for maintaining sight lines within the Beltline Boulevard right of way, including vegetative trimming and other obstructions, to maintain sight lines as per the plans for the Project. It is understood and agreed that any additional or altered municipal street improvements not identified in the plans for the Project must obtain Park District and City approval. The City agrees to defend indemnify and hold harmless the Park District, their officials, officers, agents, volunteers, and employees form any liability, claims, causes of action, judgments, damages, losses, costs or expenses, including reasonable attorney’s fees, resulting directly or indirectly from any act or omission of the City, its subcontractors, anyone directly or indirectly employed by them, and/or anyone for whose acts and/or omissions they may be liable related to the ownership, maintenance, existence, restoration, repair or replacement of the City owned improvements. The City’s liability under this indemnification obligation shall be governed by the provisions of Minnesota Statutes, Chapter 466 or other applicable law. The Park District agrees to defend, indemnify and hold harmless the City, their officials, officers, agents, volunteers, and employees from any liability, claims, causes of action, judgments, damages, losses, cost or expenses, including reasonable attorney’s fees, resulting directly or indirectly from any act or omission of the Park District, its subcontractors, anyone directly or indirectly employed by them, and/or anyone for whose acts and/or omissions they may be liable related to ownership, maintenance, existence, restoration, repair or replacement of the Park District owned improvements. The Park District’s liability under this indemnification obligation shall be governed by the provisions of Minnesota Statutes, Chapter 466 or other applicable law. City Council Meeting of August 20, 2012 (Item No. 8c) Page 5 Subject: Coop Agreement w/ Three Rivers Park District: Beltline Trail Crossing Project No. 2012-1307 VII Each party agrees that it will be responsible for its own acts and the results thereof, to the extent authorized by the law, and shall not be responsible for the acts of the other party and the results thereof. The City’s and the Park District’s liability are governed by the provisions of Minnesota Statutes, Chapter 466. The City and the Park District each warrant that they are able to comply with the aforementioned indemnity requirements through an insurance or self-insurance program. VIII It is further agreed that any and all employees of the Park District and all other persons engaged by the Park District in the performance of any work or services required or provided for herein to be performed by the Park District shall not be considered employees of the City, and that any and all claims that may or might arise under the Worker’s Compensation Act or the Minnesota Economic Security Law on behalf of said employees while so engaged and any and all claims made by any third parties as a consequence of any act or omission on the part of said employees while so engaged on any of the work or services provided to be rendered herein shall in no way be the obligation or responsibility of the City. Also, any and all employees of the City and all other persons engaged by the City in the performance of any work or services required or provided for herein to be performed by the City shall not be considered employees of the Park District, and that any and all claims that may or might arise under the Worker’s Compensation Act or the Minnesota Economic Security Law on behalf of said employees while so engaged and any and all claims made by any third parties as a consequence of any act of omission on the part of said employees while so engaged on any of the work or services provided to be rendered herein shall in no way be the obligation or responsibility of the Park District. IX In order to coordinate the services of the Park District with the activities of the City so as to accomplish the purpose of the Agreement, the City Engineer, or designated representatives shall manage this Agreement on behalf of the City and shall serve as liaison between the City and the Park District. In order to coordinate the services of the City with the activities of the Park District so as to accomplish the purpose of this Agreement, the Park District’s Superintendent and Secretary to the Park District’s Board or a designated representative shall manage this Agreement on behalf of the Park District and shall serve as liaison between the Park District and the City. X It is understood and agreed that the entire Agreement between the parties is contained herein and that this Agreement supersedes all oral agreements and negotiations between the parties relating to the subject matter hereof. All items referred to in this Agreement are incorporated or attached and are deemed to be part of this Agreement. City Council Meeting of August 20, 2012 (Item No. 8c) Page 6 Subject: Coop Agreement w/ Three Rivers Park District: Beltline Trail Crossing Project No. 2012-1307 Any alterations, variations, modifications or waivers of provisions of this Agreement shall only be valid when they have been reduced to writing as an amendment to the Agreement signed by the parties hereto. XI The matters set forth in the “WHEREAS” clauses at the beginning of this Agreement are incorporated into and made part hereof by this reference. IN TESTIMONY WHEREOF, The parties hereto have caused this Agreement to be executed by their respective duly authorized officers as of the day and year first above written. CITY OF ST. LOUIS PARK By:____________________________________ Mayor Date:__________________________________ And:___________________________________ Manager Date:__________________________________ THREE RIVERS PARK DISTRICT By:___________________________________ Superintendent and Secretary to the Board Date:__________________________________