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HomeMy WebLinkAbout2008/07/21 - ADMIN - Agenda Packets - City Council - RegularAGENDA JULY 21, 2008 Councilmembers Sanger and Carver Absent 6:00 p.m. SPECIAL STUDY SESSION – Westwood Room (Box Lunches) DISCUSSION ITEMS 1. Tax Increment District Update 2. Vision St. Louis Park Strategic Direction Update: “SLP is Committed to Providing a Well Maintained and Diverse Housing Stock WRITTEN REPORT 3. Update on Replacement of City Telephone System 7:30 p.m. CITY COUNCIL MEETING – Council Chambers 1. Call to Order 1a. Pledge of Allegiance 1b. Roll Call 2. Presentations 2a. Junior Leader Recognition 2b. Retirement Recognition Nancy Giwoyna -- 36 Years of Service to the City 3. Approval of Minutes 3a City Council Minutes June 16, 2008 3b. City Council Study Session June 23, 2008 3c. City Council Closed Executive Session Minutes July 7, 2008 3d. City Council Special Study Session Minutes July 7, 2008 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 to approve items on the consent calendar. (Alternatively: Motion to add or remove items from the agenda, motion to move items from consent calendar to regular agenda for discussion and to approve those items remaining on the consent calendar.) Meeting of July 21, 2008 City Council Agenda 5. Boards and Commissions 5a Appointment of Citizen Representative to Boards and Commissions. Recommended Action: Motion to appoint citizen representative Michael Mulligan to the Telecommunications Advisory Commission filling a vacancy for a term expiring December 31, 2008. 6. Public Hearings 6a. Housekeeping Amendments to Chapter 3 Alcoholic Beverages Recommended Action: Mayor to close the public hearing. Motion to adopt first reading of ordinance amendments to Chapter 3 Sections 3-32, 3-57, and 3-61 of the St. Louis Park Code of Ordinances concerning alcohol beverages and set second reading for August 4, 2008. 7. Requests, Petitions, and Communications from the Public 8. Resolutions, Ordinances, Motions and Discussion Items 8a. Private Activity Revenue Refunding Bonds --- Park Nicollet Health Services Recommended Action: Motion to adopt the attached resolutions authorizing the issuance of up to $160,000,000 in principal amount of variable rate bonds (Series 2008A, 2008B-1, and 2008B-2) and up to $250,000,000 in principal amount of fixed rate bonds (Series 2008C) for the benefit of Park Nicollet 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 July 21, 2008 City Council Agenda 4. CONSENT CALENDAR 4a. Adopt Second Reading of Zoning Ordinance Amendments 4b. Approve Amendment No. 4 to Contract 129-06 Highway 7 / Wooddale Avenue Interchange Project - Project No. 2004-1700 4c. Accept Christopher Dahl's July 9, 2008 request for an extension of the time limits in Minn Stat 15.99 for Dahl’s Application for Conditional Use Permit dated July 2, 2008, Case No. 08-25-CUP 4d. Approve for filing Vendor Claims 4e. Approve for filing Housing Authority Minutes May 14, 2008 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: July 21, 2008 Agenda Item #: 1 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: Tax Increment District Update. RECOMMENDED ACTION: To review the financial condition, debt management, and future value of the City’s tax increment districts. POLICY CONSIDERATION: Does the City Council have any concerns or questions regarding the status and health of the City’s TIF Districts? BACKGROUND: Stacie Kvilvang from Ehlers & Associates will be discussing the report with City Council. This report is based on the information gathered to prepare the City’s annual TIF district reports to the Office of the State Auditor. Beginning in 2000, staff and Ehlers & Associates have periodically presented the EDA/Council with a report on issues associated with managing the City’s TIF districts and paying outstanding debt. The last report was presented in January, 2006, with the one prior to that presented in July, 2004. Staff and a representative from Ehlers & Associates will be present to discuss the attached report and answer questions. The report describes the revenues generated from each TIF district and the funds available to pay outstanding obligations. The report also identifies findings, and presents recommendations that should be discussed regarding the management of City TIF districts and related debt. The following are some of the basic findings and recommendations: 1) The City has adjusted the amount of TIF payable to the 2004A Bonds (Rec Center). Transfers to that fund have increased significantly in the past three years. This has reduced the projected TIF available in the Excelsior Boulevard District and also raises an issue about the source of funds to pay the bonds after the three older TIF districts are decertified. The 2004A Bonds are payable through 2/1/2018. Options (some of which should be explored with legal counsel) include using the increased tax base from the decertified tax increment districts beginning in 2010 to pay for a tax levy for the bonds, reallocating debt service before 2009 to increase the balance in the TH7 District, which can then be used to pay the Bonds even after the TH7 District is decertified, paying for the bond issue from a newer district. Meeting of July 21, 2008 (Item No. 1) Page 2 Subject Tax Increment District Update 2) Based on the underlying assumptions in this analysis, approximately $4,974,495 in fund balance from the three older TIF districts could be used to pay for additional development costs, including infrastructure, in 2008 and thereafter. The future sources include: December 31, 2007 fund balances: Excelsior Boulevard TIF District (Note 1) $2,896,611 Trunk Highway 7 219,195 Total Balances including future cash flow (through 2011) Excelsior Boulevard $2,720,082 Trunk Highway 7 1,981,213 Total (Note 2) $4,701,295 Note 1: Balance shown includes the outstanding loan receivable from the Park Commons district of $2,797,955. Note 2: The $4,701,295 will change either slightly higher or slightly lower, depending upon changes in market values and tax rates over the next three years. There are also undetermined costs associated with the Excelsior Blvd. streetscape project that will need to be reimbursed from tax increment that will further reduce the number. Staff will have a better handle on that amount when Hennepin County closes out the reconstruction project later this year. According to the special legislation for this district, the funds from Excelsior Boulevard must be expended by August 1, 2009 or be returned to the County for redistribution as excess tax increment. It may be advisable to spend more dollars for debt out of the Excelsior Boulevard district to leave the cash in the TH7 district, which does not have a deadline for spending funds (even after its decertification in 2011). Potential uses of these funds include defeasance of debt, including the 2004A Bonds, various public improvements, and land acquisition. Possible public improvements include TH7 and Louisiana; Elmwood area; future phases of Park Commons and Highway 100 improvements. Land acquisition requires a TIF plan modification to recognize parcels to be acquired. One benefit of acquisition with TIF is that any land sales proceeds from acquisitions with pre-1979 TIF are no longer considered tax increments. 3) Newer districts which may have current and future cash balances for eligible TIF activities include Affordable Housing Park Center TIF District: $120,000 per year. The increments from Park center can only be used for rental or owner-occupied housing which meet the income restrictions outlined in the TIF law. Renovation and Renewal Elmwood TIF District: $480,000 per year beginning in 2010. The increments can only be used to improve areas with buildings in need of renovation or clearance and must be obligated before 2009. 4) The five year rule on all newer TIF districts should be tracked to avoid lost opportunities for new projects. Elmwood is the most urgent of the TIF districts to obligate funds in 2009. Meeting of July 21, 2008 (Item No. 1) Page 3 Subject Tax Increment District Update FINANCIAL OR BUDGET CONSIDERATION: The use of funds from our Pre-79 districts will have a major impact on the amount of taxes levied to support the 2004 TIF Refunding Bonds as presented in St. Louis Park’s financial management plan at the City Council retreat in February. VISION CONSIDERATION: None at this time. Attachments: Management Review and Analysis Report Prepared by: Bruce DeJong, Finance Director Approved by: Tom Harmening, City Manager Management Review and Analysis Tax Increment Financing Districts City of St Louis Park and the St Louis Park EDA July, 2008 Meeting of July 21, 2008 (Item No. 1) Subject: Tax Increment District UpdatePage 4 City of St. Louis Park EDA Financial Plan Updated –July 2008 2 Executive Summary – EDA Financial Plan Revenue from tax increment financing (TIF) districts is a major financial asset of the St. Louis Park Economic Development Authority (EDA). This revenue will first be used to pay debt service on outstanding bonds and developer financed obligations. Much (but not all) of the remaining revenues can be used to participate in other eligible development projects. Ehlers & Associates worked with City staff to create and update the following plan for the management of TIF districts and the related obligations. The management of TIF districts is an ongoing activity. The factors that produce tax increment revenues change every year. The City is constantly working on initiatives to meet local development needs. At the same time, the state property tax laws have changed significantly since 1997, including the major reforms enacted in 2001. Despite reductions in revenue due to the reform, the City has more than adequate cash flow to pay for all outstanding general obligation (G.O.) tax increment financing bonds. A few of the TIF districts for which project costs were paid through a “pay-as-you-go” are not meeting scheduled principal and interest payments. The City has no obligation to make up shortfalls for the “pay-as-you-go” notes. Summary of Outstanding Principal Amounts of Existing Obligations (12/31/07): G.O. TIF Bonds: $13,900,000 City Interfund Loans: $1,160,081 (plus $2,97,959 from the development fund to Park Commons TIF District) Developer Pay-As-You-Go Notes: $34,840,441 (a few notes will increase in outstanding principal due to property tax reform) In addition to property tax reform, significant changes enacted in 1990 have changed the way that the City utilizes TIF for development. The EDA has three older tax increment districts established in the 1970s and 1980s which were not affected by the 1990 restrictions. Funds from these districts can be used for almost any redevelopment project in the City. Summary of Available Increment from Less-Restricted TIF Districts (through 2012) Based on the underlying assumptions in this analysis, approximately $4,974,495 in fund balance from the three older TIF districts could be used to pay for additional development costs, including infrastructure, in 2008 and thereafter. The future sources include: December 31, 2007 fund balances: Excelsior Boulevard TIF District (note 1) $2,896,611 Trunk Highway 7 219,195 Meeting of July 21, 2008 (Item No. 1) Subject: Tax Increment District UpdatePage 5 City of St. Louis Park EDA Financial Plan Updated –July 2008 3 Total Balances including future cashflow (through 2011) Excelsior Boulevard $2,720,082 Trunk Highway 7 1,981,213 Total $4,701,295 Note 1: balance shown above includes an expected repayment of the outstanding loan receivable from the Park Commons district of $2,797,955. In the past ten years, the City has utilized the three older TIF districts for the following projects: ¾ Park Commons property assembly and public improvements ¾ Excelsior Boulevard streetscape improvements ¾ Excelsior Boulevard bridge improvements ¾ Wolfe Park redevelopment ¾ Rec Center improvements ¾ Reilly tar clean-up activities ¾ Highway 7 and Louisiana Avenue intersection improvements The EDA also has eleven newer TIF districts established between 1996 and 2007. The revenues from these districts are largely site specific, meaning that the revenues are restricted by law and by contract with the developers. The TIF must be used primarily to address housing or redevelopment needs for the parcels in the TIF district within a specified period of time. The newer districts which may have current and future cash balances for eligible TIF activities include: Newer TIF Districts with Future Potential Uses 1. Affordable Housing Park Center TIF District: $120,000 per year The increments from Park center can only be used for rental or owner-occupied housing which meet the income restrictions outlined in the TIF law. 2. Renovation and Renewal Elmwood TIF District: $505,000 per year beginning in 2011. The increments can only be used to improve areas with buildings in need of renovation or clearance and must be obligated before 2009. It is expected that these increments will be utilized for public improvements in the Elmwood area. A specialized type of TIF district is hazardous substance subdistrict. A subdistrict can only address environmental clean-up costs and utilizes the base values or original taxes to assist in the costs. The City has an older subdistrict is associated with the Meeting of July 21, 2008 (Item No. 1) Subject: Tax Increment District UpdatePage 6 City of St. Louis Park EDA Financial Plan Updated –July 2008 4 Park Nicollet remediation in the Excelsior Boulevard District and a newer subdistrict utilized to assist the Highway 7 Business Center project. The Office of the State Auditor (OSA) has a TIF division which is mandated by state law to collect annual reporting forms and, if necessary, audit the use of TIF. Such audits could result in a letter to the county attorney or attorney general for enforcement actions. To date the City has not been audited and its letters received from the OSA regarding inquiries have related to general questions about the reporting forms themselves rather than concerns about the use of tax increment in the City. Summary of Each TIF District Excelsior Boulevard is a pre-1979 TIF district which serves as the clearinghouse for all tax increment proceeds which remain from the three older TIF districts after several general obligation (G.O.) TIF bonds are paid each year. Excelsior Boulevard will decertify in August, 2009. Oak Park Village is a pre-1979 TIF district consisting of a relatively small area. It is scheduled to decertify in 2009 after its G.O. TIF debt obligations are paid. Trunk Highway 7 is a redevelopment district established in 1985 and is also pledged to the outstanding City G.O. TIF Bonds. It will last until 2011 and may have a slight balance remaining after the last debt service payment is made in early 2011. HSTI Subdistrict is actually located in the Excelsior Boulevard TIF district. It captures the “base value” or existing value of certain parcels for environmental clean-up in the Park Nicollet area. The EDA may take up to the first 10% of annual increment for administrative expense (expense over 5% requires documentation). The remaining increment is paid to Park Nicollet on a pay-as-you-go basis. The total outstanding obligation is $5,607,396 at December 31, 2007. As background, once Park Nicollet reached $6,300,000 in claims, they were responsible for the next $300,000 of costs. The next $2,000,000 in claims is added to the note, then Park Nicollet is responsible for the next $500,000 of costs. The maximum on the note for total claims is then capped at $9,000,000. As of the end of 2007, the claims to date have been $6,221,169 and payments have totaled $2,045,739. There is no interest rate on the note. Once the Excelsior Boulevard District is decertified in 2009, the base value and new increment value for the parcels will be utilized to pay the note until approximately 2013. Park Nicollet has not constructed taxable improvements according to the development agreement. Payments may be changed, pending resolution of the outstanding issues with Park Nicollet. Meeting of July 21, 2008 (Item No. 1) Subject: Tax Increment District UpdatePage 7 City of St. Louis Park EDA Financial Plan Updated –July 2008 5 The EDA uses tax increment revenues from the Victoria Ponds TIF District (#1303) on a pay-as-you-go agreement with SVK Development. This district is a redevelopment district established in 1996. The first 10% of annual increment is retained. This agreement created a $760,000 revenue note with an interest rate of 8.5%. The note accrued interest through 2002, when the city began making payments semi-annually (August 1 and February 1) based on a set repayment schedule. This payment includes reimbursement for $20,000 initial EDA costs. As of December 31, 2007, the developer note had a remaining balance of $644,975. This note cannot be prepaid without the consent of the noteholder. Monies not used for this agreement were used to repay a $700,000 interfund loan for a portion of the costs associated with Hutchinson Spur Trail, which is now retired. The City has designated pooling dollars (funds from this district spent outside its boundaries) for the Erv’s garage project/Lake Street Office Building LLC in the amount of $400,000. Revenue from the Park Center TIF District (#1304) was used to repay a $500,000 interfund loan for the Park Shores Assisted Living Project. This district is a housing district, which was first established in 1996 and was modified more recently to include additional parcels. Legislative change in 2001 eliminated the state aid penalty for this district. As of September 30, 2003, the interfund loan was paid off. Now that the interfund loan is repaid, these revenues could be available for other affordable housing initiatives within the constraints of the TIF Act. The funds have been pledged for the repayment of the Louisiana Court loan in the amount of $131,100 Zarthan Avenue/16th Street TIF District (#1305 and #1306) was a redevelopment district established in 1999 for two hotels and 86 townhome units just south I-394. The EDA has pledged tax increment revenues from this District to three pay-as-you-go agreements, under which an understanding on the allocation on the base values with the developer will be necessary: 1. Note #1: CSM Hospitality in the amount of $1,101,362 at 8.0%. 2. Note #2: CSM Hospitality in the amount of $1,448,088 at 8.0%. 3. Note #3: The Rottlund Company in the amount of $1,395,547 at 8.0%. The property tax reform of 2001 hit this development particularly hard. Currently, tax increment income is less than the annual interest payments on the notes. The notes contain pledges from three properties. The Rottlund note covers 86 owner-occupied townhomes. These tax capacities dropped by 25%, assuming an average value of $150,000. The loss will be mitigated by higher valuations for the units, many of which are selling in excess of $200,000. The remaining two notes are supported by increments from two hotels. The tax-capacities on these properties dropped by 40%, but the actual tax savings was significantly less than that amount. Assuming no change in the local tax rate, the larger of the two hotels would have seen a property tax savings of $115,000 per year but the new statewide property tax substituted a new tax for $75,000 of the savings. Meeting of July 21, 2008 (Item No. 1) Subject: Tax Increment District UpdatePage 8 City of St. Louis Park EDA Financial Plan Updated –July 2008 6 The state property tax is not captured by TIF and is therefore a net loss to the noteholder. CSM, which holds all three notes, had approached the City several years ago asking for future consideration through several potential actions such as a change in the interest rate on the notes, the extension of the term of the district, pooling among the notes, a change in the fiscal disparities election in the district, lifting of the frozen tax rate, and/or pooling from other districts. No action was taken on that request. The EDA has pledged 94.75% of the tax increment revenues from the Mill City TIF District (#1307) to a pay-as-you-go agreement with MSP SLP Apartments. This district is a redevelopment district established in 2000 for a rental housing development. The frozen tax rate is 144.294%. The payments go to a revenue note in the initial principal amount of $3,531,853 at an interest rate of 8.75%. The City makes payments semi-annually (August 1 and February 1) based on actual tax increment receipts beginning in August, 2002 and ending in February 2022. Rental housing class rates were reduced dramatically by the 2001 legislature from 2.4% to 1.25%. Projected increment when the note was sized expected $394,188 per year beginning in 2003, which is substantially less than the annual tax increment shown below. However, the drop in increment also means a drop in taxes paid by the owner. Therefore, the effect upon the rental housing development should be neutral for the owner because rental housing pays no state property tax. The Park Commons TIF District (#1308) is a redevelopment district established in 2001 from parcels dropped from Excelsior Boulevard TIF District. Pay as you go agreement(s) with Meridian Properties (TOLD) in an amount not to exceed $15.3 million at 8.5%. Principal and interest are to be paid every August 1 and February 1. To date, TOLD has certified $5,936,901 of qualified costs after grants have been subtracted. Two notes have been issued. The initial principal amount of $3,500,000 in the Phase I note was issued on July 1, 2003 and is payable from certain parcel #’s. The Phase NE note was issued on February 15, 2005 with an initial maximum principal amount of $3,700,000 and is payable from certain parcel #’s. An additional note for Phase NW of $4,079,105 was issues. An additional note for Phase E was issued for $3,300,715. $3.5 million in interfund loan proceeds was made available to TOLD for the initial public improvements in Park Commons East. The interfund loan is payable from increment first and then the remaining notes are paid. To date $3,135,046 of funds have been forwarded to TOLD. It is our understanding that this will be the total amount requested. For this interfund loan, in 2002, the Authority elected to finance the public improvements described in the Contract from proceeds of the Series 1997A Bonds, and in accordance with Section 7.3(c)(7) of the Contract, retained Available Tax Increment (as defined in the Contract) from the Park Commons TIF District to repay the Authority based on a payment schedule determined as if the City had issued new tax increment bonds. The effect of that provision was to create an interfund loan payable from the Park Commons TIF District to the Excelsior Boulevard TIF District, with interest rate at the rate of 4.53% (determined by the City’s financial advisor in accordance with the Contract). Meeting of July 21, 2008 (Item No. 1) Subject: Tax Increment District UpdatePage 9 City of St. Louis Park EDA Financial Plan Updated –July 2008 7 Expenditure of the Series 1997A Bond proceeds diverted funds that were available for ongoing redevelopment activities in the Project Area. Accordingly, the Authority determined to replenish the funds in the Excelsior Boulevard TIF District by making a loan from the Authority’s Development Fund to the account for the Excelsior Boulevard TIF District. By Resolution No. 07-02 approved January 16, 2007 (the 2007 Interfund Loan Resolution) the Authority approved a transfer of funds in the amount of $2,945,497.40 (representing the unpaid balance of the original interfund loan described in the Contract) from the Development Fund to the Excelsior Boulevard TIF District fund, thereby making those funds immediately available for redevelopment activities until termination of the Excelsior Boulevard TIF District on August 1, 2009. Edgewood (#1309) is a soils condition district adopted by City Council on September 15, 2003. Expenditures from this district are to be used to mitigate certain hazardous substances in order to facilitate construction of a 79,000 s.f. office/warehouse facility. This district was certified by the County on April 26, 2004 and began to receive increment in 2005. The interest rate on the note has been set at 1.7% due to reduced interest loans from other governmental entities. The EDA has pledged 95% of tax increment revenues from this District for pay as you go agreement with Edgewood Investors, LLC (originally Real Estate Recycling), in an amount not to exceed $600,000 in two separate notes . Principal and interest begin to be payable from August 1, 2006 and is paid each February 1 and August 1 through February 1, 2023. A soils district cannot pool funds and will need to be decertified as soon as the original obligation is paid. Wolfe Lake TIF District (#1310) is a redevelopment district adopted on July 7, 2003. It was established in order to facilitate rehabilitation of an area adjacent to West 36th Street and Belt Line Boulevard into office and other commercial uses. This district was certified by the County on April 26, 2004 and first increment received in 2006. The EDA has pledged 95% of tax increment revenues from this District for a pay as you go agreement with Belt Line Industrial Park, Inc in an amount not to exceed $996,000 at 7.5% Aquila Commons (#1311) is housing district, approved on September 7, 2004 to redevelop the former Talmud Torah school. The district contains 122 owner-occupied units in the form of a limited equity cooperative, under which 95% of the initial buyers will need to meet TIF income restrictions of 100% or less of area median income. The assistance of approximately $1,050,000 is a pay-as-you-go note with Stonebridge. Elmwood Village (#1312) is a renewal and renovation district approved on August 2, 2004. The district was initially established to assist Rottlund Homes with $790,000 in additional site improvements and land acquisition associated with a condominium/townhome project on the old Quadian site. A portion of this district is derived from parcels decertified from Meeting of July 21, 2008 (Item No. 1) Subject: Tax Increment District UpdatePage 10 City of St. Louis Park EDA Financial Plan Updated –July 2008 8 the TH7 TIF District. The Rottlund note is only expected to require three years TIF payments, beginning in 2007. The Rottlund note carries an interest rate of 5.75% and is payable from only certain parcels in the district. Subsequent to the Rottlund development, the City has entered into a development agreement for construction of a 220 unit apartment building, 22 townhomes, mixed use residential (74 condos) and commercial building (25,000 s.f.), and a 58 unit condominium building, all on or adjacent to the site of the former Hoigaards store. The City has issued short-term taxable tax increment revenue notes to finance costs for the mixed use building and the apartement building. The first note was issued in 2006 in the amount of $1,663,000 and the second note was issued in 2007 in the amount of $2,540,000. The City expects to issued long-term tax-exempt tax increment bonds to refinance the short-term notes when the buildings are occupied. These revenue bonds will not carry any legal liability of the City to cover shortfalls if they materialize in the future. Highway 7 Business Center TIF and the Highway 7 Hazardous Substance Subdistrict were established on May 15, 2006 in order to provide funding to clean up contaminated land and the subsequent construction of a 78,000 square foot facility. The City also received environmental grant funds from Hennepin County and the Minnesota Department of Employee and Economic Development. A development agreement was signed on June 28, 2006 with the Highway 7 Business Center LLC. West End (county # not yet assigned) was established on November 19, 2007 in order to assist Duke with the construction of a 1.5 million square foot, multi-phase office and retail development on the southwest quadrant of I-394 and Highway 100. Assistance is primarily on a pay-as-you-go basis. The City is able to issue up to $5,000,000 of G.O. TIF Bonds for public improvements with a senior lien on the TIF revenues. The pay-as-you-go is up to a maximum $21.1M principal amount at a 6.75% interest rate. How Much TIF is Too Much? St. Louis Park has utilized TIF for key redevelopment projects in the City. Is the City using the tool too much or not enough? One good way to measure use of TIF is to compare with similar cities in the use of TIF. A common measure of the use of TIF is the percentage of the gross tax base is captured in TIF districts. Below is a chart which demonstrates the City of St. Louis Park’s current and projected tax base which is captured in TIF districts and similar cities’ situation. Meeting of July 21, 2008 (Item No. 1) Subject: Tax Increment District UpdatePage 11 City of St. Louis Park EDA Financial Plan Updated –July 2008 9 City of St. Louis ParkProjected Captured TIF Tax Capacity and Comparison with Other CitiesCity of St. Louis Park200420052006200720082009201020112012Captured TIF Tax Capacity4,313,399 4,665,583 5,211,867 6,335,246 7,644,566 8,026,794 8,428,134 8,849,541 9,292,018Additional Park Commons CTC650,000 682,500 716,625 752,456Elmwood Village TIF471,603 495,183 519,942 545,939Aquila Commons TIF77,413 81,284 85,348 89,615Highway 7 Business Center TIF145,493 152,768 160,406 168,426Duke/West End1,193,217 1,252,878Decertification of Districts000000-2,881,081-3,025,135-4,165,161Future Captured TIF Tax Capacity4,313,399 4,665,583 5,211,867 6,335,246 7,644,566 9,371,303 6,958,788 8,499,944 7,936,171Total Tax Capacity (Gross)47,394,063 51,461,150 57,202,440 63,401,476 68,484,548 72,238,775 75,850,714 79,643,250 83,625,412Percentage of Tax Base in TIF9.1% 9.1% 9.1% 10.0% 11.2% 13.0% 9.2% 10.7% 9.5%Assumes 5% annual increase in tax base and TIFComparable CitiesCaptured TIF as a % of Tax BaseCity Tax RateCity Bond RatingMinneapolis14.8%56.29%Aa1/AAANew Brighton13.5%32.82%Aa3Richfield13.9%39.31%Aa3St. Louis Park11.2%36.10%Aa1Brooklyn Park10.3%39.05%Aa2Golden Valley9.8%42.99%Aa1Edina8.1%21.20%Aaa/AAABloomington7.2%33.26%Aaa/AAAHopkins5.1%45.57%AA- The City is below average today versus similar cities in the use of TIF. In 2010 and 2012 the City’s taxable tax capacity will increase significantly when three of the older TIF districts are decertified. Also shown are comparable cities’ tax rates and bond ratings. Although this is a small sample of municipalities, the amount of TIF used by a City does not seem to correlate directly with a City’s tax rate or bond rating. In conversations with rating agencies, we do know that market value growth is an important factor in maintaining St. Louis Park’s “Aa1” bond rating. Redevelopment plays an important factor in market value growth. Below is a table which demonstrates the historical market value growth of the City of St. Louis Park. Meeting of July 21, 2008 (Item No. 1) Subject: Tax Increment District UpdatePage 12 City of St. Louis Park EDA Financial Plan Updated –July 2008 10 Tax Year Payable Taxable Market Value % Increase from Prior Year 2008 5,556,997,200 + 7.23% 2007 5,182,504,700 + 10.67% 2006 4,682,796,400 + 12.04% 2005 4,179,671,600 + 10.42% 2004 3,785,184,300 + 9.11% 2003 3,469,075,400 + 9.35% 2002 3,172,372,300 + 9.42% 2001 2,899,288,900 + 9.19% 2000 2,655,213,500 + 6.78% 1999 2,486,613,700 + 10.54% EDA Financial Plan: Background This report was initially presented to the EDA and the City Council in June, 2000. Since that date, several changes have occurred: 1. The 2001 State Legislature enacted significant changes in the property tax system. Reductions in class rates decreased the taxable (tax capacity) value of property in all TIF districts from pay 2001 to pay 2002 by over 25%. 2. In addition to the tax system changes, the Legislature eliminated the LGA/HACA penalty and the alternative qualifying local contribution. This is an overall benefit to the City. 3. Parcels have been decertified from some of the older TIF districts and recertified into new TIF districts. 4. The City refinanced the 1997B G.O. Tax Increment Bonds. The refinancing converted this debt from variable to fixed rate and is now accounted for in the 2001A debt service fund. Fund balance from the Oak Park Village and Trunk Highway 7 TIF Districts was used to reduce and shorten the term of the debt. Meeting of July 21, 2008 (Item No. 1) Subject: Tax Increment District UpdatePage 13 City of St. Louis Park EDA Financial Plan Updated –July 2008 11 5. In June, 2002 the City refunded the 1994B bonds. This projection includes the reduced debt service achieved through the refunding. The pledge agreement on the 1994 Bonds was amended to include Trunk Highway 7 as a district with payments pledged to the Bonds. 6. In early 2004, the 1996 G.O. Tax Increment Bonds were advance refunded. The savings were realized primarily by non-tax increment contributions to debt service. Debt service remained the same through the prepayment date of 2/1/05. After that prepayment date, the 1996 Bonds were called and the new debt service on the 2004A G.O. Tax Increment Bonds began 8/1/05. 7. In 2004, parcels were removed from the Trunk Highway 7 TIF District to be included in the Elmwood Village TIF district. This resulted in a slight reduction of TIF in 2005 but revenues increased for 2006. 8. In May 2005, the 1997A G.O Tax Increment Bonds were advance refunded by the $2,370,000 G.O. Tax Increment Refunding Bonds, Series 2005B. The City paid the 1997A Bonds through February 1, 2006. After 2/1/06 only the 2005B Bonds remained. Assumptions Before discussing the findings of the current TIF analysis, it is important to understand the assumptions used in making these projections. 1. Cash balances shown for debt service funds are based on actual amounts for December 31, 2007 adjusted for debt principal and interest payments due February 1 and March 1, 2008. 2. Pay 2008 tax increment revenues are based on Hennepin County’s reports for base values and total tax capacity, and the pay 2008 preliminary tax rates. 3. Pay 2007 tax increment revenues are based upon actual receipts. 4. To conservatively state the future financial position of each TIF district, no income is projected on the investment of fund balances. Meeting of July 21, 2008 (Item No. 1) Subject: Tax Increment District UpdatePage 14 City of St. Louis Park EDA Financial Plan Updated –July 2008 12 5. Projected revenues do not account for additional development (except the developments under a development agreement) or inflation of existing values. 6. For districts with residential homestead property, a portion of the TIF revenue shown is actually received from the State of Minnesota through market value homestead credit payments. The State payments will not be made with the semi-annual tax increment collections, but will be paid in October and December. 7. An average of 8% of tax increment is used for administrative expense. 8. All net tax increment from Trunk Highway 7 and Oak Park Village will first be used to pay debt service on existing bonds. Additional revenues needed to meet annual debt service will be taken from Excelsior Boulevard. Findings and Recommendations The updated financial analysis of St. Louis Park TIF Districts offers the following findings and recommendations: 1. Despite the loss of tax increment revenue from changes in the property tax system, TIF districts show more than adequate revenues and reserves to support existing bonded indebtedness. 2. The City has adjusted the amount of TIF payable to the 2004A Bonds. Transfers to that fund have increased significantly in the past three years. This has reduced the projected TIF available in the Excelsior Boulevard District and also raises an issue about the source of funds to pay the bonds after the three older TIF districts are decertified. The 2004A Bonds are payable through 2/1/2018. Options (some of which should be explored with legal counsel) include using the increased tax base from the decertified tax increment districts beginning in 2010 to pay for a tax levy for the bonds, reallocating debt service before 2009 to increase the balance in the TH7 District, which can then be used to pay the Bonds even after the TH7 District is decertified, or paying for the bond issue the TIF from a newer district. 3. Based on the underlying assumptions in this analysis, approximately $4,974,495 in fund balance from the three older TIF districts could be used to pay for additional development costs, including infrastructure, in 2008 and thereafter. The future sources include: Meeting of July 21, 2008 (Item No. 1) Subject: Tax Increment District UpdatePage 15 City of St. Louis Park EDA Financial Plan Updated –July 2008 13 December 31, 2007 fund balances: Excelsior Boulevard TIF District (note 1) $2,896,611 Trunk Highway 7 219,195 Total Balances including future cashflow (through 2011) Excelsior Boulevard $2,720,082 Trunk Highway 7 1,981,213 Total $4,701,295 Note 1: balance shown above includes an expected repayment of the outstanding loan receivable from the Park Commons district of $2,797,955. 4. The $4,701,295 will change either slightly higher or slightly lower, depending upon changes in market values and tax rates over the next three years (tax rates have been decreasing but values have been increasing). This amount was calculated by analyzing the amount that could be spent to yield a zero fund balance at the end of existing debt obligations. According to the special legislation for this district, the funds from Excelsior Boulevard must be expended by August 1, 2009 or be returned to the County for redistribution as excess tax increment. It may be adviseable to spend more dollars for debt out of the Exclesior Boulevard district to leave the cash in the TH7 district, which does not have a deadline for spending funds (even after its decertification in 2011). Potential uses of these funds include defeasance of debt, including the 2004A Bonds, various public improvements, and land acquisition. Possible public improvements include TH7 and Louisiana; Elmwood area; future phases of Park Commons and Highway 100 improvements. Land acquisition requires a TIF plan modification to recognize parcels to be acquired. One benefit of acquisition with TIF is that any land sales proceeds from acquisitions with pre-1979 TIF are no longer considered tax increments. 5. Newer districts which may have current and future cash balances for eligible TIF activities include Affordable Housing Park Center TIF District: $120,000 per year. The increments from Park center can only be used for rental or owner-occupied housing which meet the income restrictions outlined in the TIF law. Renovation and Renewal Elmwood TIF District: $480,000 per year beginning in 2010. The increments can only be used to improve areas with buildings in need of renovation or clearance and must be obligated before 2009 Meeting of July 21, 2008 (Item No. 1) Subject: Tax Increment District UpdatePage 16 City of St. Louis Park EDA Financial Plan Updated –July 2008 14 6. Balances in the debt service funds should be maintained at minimal levels pursuant to federal arbitrage regulations. Monies needed to pay principal and interest should be transferred from tax increment funds as needed. 7. The 2001 Legislature made several changes to the process for establishing an interfund loan. The City should continue its practice of setting amortization schedules each time funds for TIF projects are borrowed from City or EDA funds. 8. The five year rule on all newer TIF districts should be tracked to avoid a lost opportunity for new projects. Elmwood is the most urgent of the TIF districts to obligate funds in 2009. 9. Excess increment is a new law which impacts the ability to use increment above any outstanding budgeted or actual obligations. Excess increment calculations are required each year by the OSA in their reporting forms. Total budgets should be monitored carefully to avoid excess increment. 10. The final ending date of the Park Nicollet agreement in the HSTI subdistrict should be clarified. The table below shows the current projection of G.O. debt service and tax increment revenues from the various TIF districts pledged to the G.O. TIF Bonds. Meeting of July 21, 2008 (Item No. 1) Subject: Tax Increment District UpdatePage 17 City of St. Louis Park EDA Financial Plan Updated –July 2008 15 City of St. Louis ParkSummary1997A/Total Oak Park Excels iorPark TotalTax Year Date 20021996/20042005B2001A1998Ne e dVillageBoulevardTH7CommonsContribution2001 2/1/2002 800,000 160,000 915,000 1,312,731 835,000 4,022,731 338,037 2,564,652 1,120,043 4,022,731 8/1/2002 - - - - - 2002 2/1/2003 116,000 160,000 915,000 1,045,630 580,000 2,816,630 342,092 856,902 885,386 2,084,380 8/1/2003- - - - 2003 2/1/2004 740,000 160,000 910,000 1,045,155 595,000 3,450,155 366,288 2,200,815 883,052 3,450,155 8/1/2004- - - - 2004 2/1/2005 775,000 160,000 910,000 1,047,755 615,000 3,507,755 394,682 2,311,138 801,935 245,100 3,752,855 8/1/2005- - - - 2005 2/1/2006 780,000 30,000 905,000 1,048,155 609,246 3,372,401 394,682 2,022,758 801,935 153,026 3,372,401 8/1/2006- - - 2006 2/1/2007 800,000 694,238 851,615 1,045,000 3,390,853 411,806 1,945,670 769,697 263,680 3,390,853 8/1/2007- - - 2007 2/1/2008 1,285,000 300,000 870,750 1,037,000 3,492,750 404,524 1,978,239 830,670 279,317 3,492,750 8/1/2008- - - 2008 2/1/2009 1,065,207 300,000 866,250 1,046,300 3,277,757 402,815 1,706,926 888,698 279,317 3,277,757 8/1/2009 1,283,625 - - 2009 2/1/2010300,000 1,042,300 2,625,925 461,619 1,884,989 279,317 2,625,925 8/1/2010- - 2010 2/1/2011- 1,040,000 1,040,000 - 1,040,000 1,040,000 8/1/2011- 2011 2/1/2012- - - - EndingNOTES1.No accounting for future changes in property tax systemRevenues Needed To Support DebtDistrict Contributions Below is a brief summary of each TIF district: Meeting of July 21, 2008 (Item No. 1) Subject: Tax Increment District UpdatePage 18 City of St. Louis Park EDA Financial Plan Updated –July 2008 16 ExcelsiorOak Park TrunkVictoriaDistrictBoulevard HSTIVillageHighway 7PondsDistrict TypePre 1979Hazardous Substance SubdistrictPre 1979 Redevelopment RedevelopmentProject/Costs FinancedPublic improvements, recreational facilities and targeted land acquisitionPark Nicollet environmental remediationPublic improvements, recreational facilities and targeted land acquisitionPublic improvements, recreational facilities and targeted land acquisition72 twinhome units and part of the Hutchison Spur trail. Financed $760,000 soil corrections and remediation and $700,000 of City costs for trail improvementsApproved8/22/1977 9/3/1993 11/6/1972 4/15/1985 4/1/1996Legal max term8/1/2009 12/31/2016 8/1/2009 12/31/2011 12/31/2023Anticipated term8/1/2009 12/31/2014 8/1/2009 12/31/2011 12/31/2013First Increment19782002198019861998Current Obligations1996/2004A GO TIF Bonds* 1997A/2005B GO TIF Bonds* 1998 GO TIF Bonds* 2001A GO Refunding* 2002 GO TIF Refunding*Pay-as-you-go note with Park Nicollet1996/2004A GO TIF Bonds* 1997A/2005B GO TIF Bonds* 1998 GO TIF Bonds* 2001A GO Refunding* 2002 GO TIF Refunding*1996/2004A GO TIF Bonds* 1997A/2005B GO TIF Bonds* 1998 GO TIF Bonds* 2001A GO Refunding* 2002 GO TIF Refunding*Pay-as-you-go note and City interfund loan2007 TIF Revenue$2,504,977 $95,459 $439,700 $902,902 $410,292County Number13011301130013021303*Obligations are pooled or shared obligations among the districts Meeting of July 21, 2008 (Item No. 1) Subject: Tax Increment District UpdatePage 19 City of St. Louis Park EDA Financial Plan Updated –July 2008 17 ParkDistrictCenterZarthan/16th Avenu Mill City Park CommonsDistrict TypeHousingRedevelopmentRedevelopmentRedevelopmentProject/Costs Financed91 units of senior assisted living rental housing. Financed $500,000 land acquisitionTwo hotels developed by CSM and 86 townhome units build by Rottlund. Financed $3,945,000 land acquisition and site improvements200 rental housing units developed by MSP Real Estated. Finance $3,531,900 developer site costs.Excelsior and Grand retail, office and rental housing and condos developed by TOLD. Financed $3.5M in public improvements and $15.3M in site and parking ramp costsApproved10/7/1996 12/20/1999 3/20/2000 1/16/2001Legal max term12/31/2023 12/31/2026 12/31/2026 12/31/2027Anticipated term12/31/2023 12/31/2022 12/31/2021 12/31/2027First Increment1998200120012002Current Obligations City interfund loanPay-as-you-go notesPay-as-you-go notePay-as-you-go note and City interfund loan2007 TIF Revenue$121,982 $394,863 $216,448 $1,221,110County Number13041305/1306 13071308 Meeting of July 21, 2008 (Item No. 1) Subject: Tax Increment District UpdatePage 20 City of St. Louis Park EDA Financial Plan Updated –July 2008 18 Elmwood Highway 7DistrictEdgewood Wolfe Lake Aquila Commons Village Business CenterDistrict TypeSoils Condition Redevelopment HousingRenewal and RenovationRedevelopment and Hazardouz Substance SubdistrictProject/Costs Financed79,000 s.f. office warehouse facility developed by Real Estate Recycling (CPD Edgewood Investors). Financed $600,000 soils and clean-up costsTwo office/commercial buildings consisting of 65,000 s.f. developed by Beltline Industrial Park, Inc. Financed $996,000 soils and site condition costs.122 unit limited equity senior cooperative developed by Stonebridge. Financed approximately $1,000,000 land acquisition costs.224 townhomes and condos developed by Rottlund and future development around Wooddale and Highway 7. Financed approximately $725,000 in site and land costs.Created to provide funding to clean up contaminated land and the subsequent construction of a 78,000 s.f. faciltiyApproved9/15/2003 7/7/2003 9/7/2004 8/2/20045/15/2006Legal max term12/31/2025 12/31/2031 12/31/2031 12/31/2022 12/31/2032Anticipated term12/31/2018 12/31/2018 12/31/2015 12/31/2022 12/31/2032First Increment20052006200620072007Current ObligationsPay-as-you-go notePay-as-you-go notePay-as-you-go notePay-as-you-go notePay-as-you-go note2007 TIF Revenue$44,209 $122,571 $4,687 $232,034 $63,598County Number13091310131113121313Meeting of July 21, 2008 (Item No. 1) Subject: Tax Increment District UpdatePage 21 City of St. Louis Park EDA Financial Plan Updated –July 2008 19 DistrictWest EndDistrict TypeRedevelopmentProject/Costs Financed1.5M s.f. office, retail, hotel, theater complex developed by Duke Realty. Financed $21,100,000 site costs and up to $5,000,000 City public improvements Approved11/19/2007Legal max term12/31/2036Anticipated termFirst IncrementCurrent Obligations Pay-as-you-go note2007 TIF RevenueCounty Number Meeting of July 21, 2008 (Item No. 1) Subject: Tax Increment District UpdatePage 22 Meeting Date: July 21, 2008 Agenda Item #: 2 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: Vision St. Louis Park Strategic Direction Update: “SLP is Committed to Providing a Well Maintained and Diverse Housing Stock”. RECOMMENDED ACTION: No formal action requested The Council will be provided with an update on the three housing related Focus Areas under the broad Strategic Direction of “St. Louis Park is Committed to Providing a Well Maintained and Diverse Housing Stock” (see attached reports). POLICY CONSIDERATION: Should the city continue with the current and proposed housing related programs? BACKGROUND: The three specific Focus Areas and their respective Champions are: 1. Remodeling and expanding move-up, single-family, owner-occupied homes - Kathy Larson 2. Property maintenance to foster quality housing and community aesthetics. – Manny Camilon 3. Working towards affordable single-family home ownership throughout the city. – Michele Schnitker Each of the Champions will discuss their area of responsibility. Their reports are attached along with the Semi-Annual Housing Report summary of housing activities and programs. FINANCIAL OR BUDGET CONSIDERATION: Discussed as applicable in individual reports. VISION CONSIDERATION: This report addresses the City’s vision of St. Louis Park as a place committed to providing a well- maintained and diverse housing stock. Attachments: Remodeling/expanding move-up, single-family homes Focus Area Report Property maintenance to foster quality housing/aesthetics Focus Area Report Working Towards affordable housing throughout the City Focus Area Report Semi-Annual Housing Report Prepared by: Kathy Larson, Housing Program Coordinator Manny Camilon, Environmental Health Official Michele Schnitker, Housing Supervisor Reviewed by: Kevin Locke, Community Development Director Approved by: Tom Harmening, City Manager Meeting of July 21, 2008 (Item No. 2) Page 2 Subject: Vision St. Louis Park Strategic Direction Update: “. . .Well Maintained and Diverse Housing Stock” TITLE: Focus Area Report on Remodeling and expanding move-up, single-family, owner occupied homes. Recommended Action: That the city continues it’s Move-up in the Park and Home Improvement programs; expand participation in these programs through marketing; and add programs encouraging “green” remodeling. Policy Considerations: Does the Council consider the direction consistent with the Vision Strategic Direction? Background: The city’s past and current efforts to assist residents to remodel and expand their single family owner occupied homes are among the most proactive in the metro area, and include: • The Move-Up in the Park and Home Improvement Program activities outlined in the attached semi-annual Housing Report. • Marketing with the City’s new brand. • The pilot green remodeling program that began in May, 2008. Marketing: Marketing of our housing programs has been coupled with city’s new brand. This more comprehensive marketing campaign promotes the top ten reasons for living in SLP and is used as a tool that addresses SLP as a move-up community to prospective buyers. Amenities such as friendly, walkable neighborhoods, open spaces and parks, the ability to walk to community gatherings and events, are all features that enhance the city’s housing stock. The home improvement marketing plan for all home improvement activity includes seasonal and ongoing communications with residents through the Park Perspective, Sun Sailor, West Metro Tribune, Cable TV, website, SLP Community Ed brochures, direct mailings, use of stuffers in City utility bills as well as marketing at community and neighborhood meetings and workshops. The city’s new brand has been used to develop Move Up in the Park Brochures and Green Remodeling flyers. Pilot Green Remodeling Program: The pilot green remodeling program includes education, technical, marketing and financial components to encourage residents to consider green remodeling. Workshops and green remodeling home visits will assist residents in understanding and meeting green standards. Home performance analysis will assist residents in determining what measures will best meet their needs, budget and green standards. Financial incentives include discount loans, rebates for energy efficient furnaces and water heaters. Residents will receive technical assistance throughout the process. This program is modeled upon successful components of our existing home improvement programs. Meeting of July 21, 2008 (Item No. 2) Page 3 Subject: Vision St. Louis Park Strategic Direction Update: “. . .Well Maintained and Diverse Housing Stock” The scope of this pilot is enhanced by leveraging with financial and technical partners. Its cornerstone is the Mn GreenStar Remodeling Program which is a certification program that verifies that quantifiable green techniques are designed and implemented in remodeling projects. Mn Housing is matching the city’s financial commitment of $50,000 to assist with discounting loans and providing no cost green remodeling visits. The Center for Energy and Environment (CEE) received a grant from the Mn Pollution Control Agency (MPCA) to address the technical components of the program. Our program partners’ roles are described below: • Minnesota GreenStar Remodeling Program Mn Green Star is the only certified green program developed for remodeling homes and defines green building as the application of the five key concepts of Green to the eight components of the traditional building process in order to improve the impact of building on individuals, their families, the community, and the environment. The five concepts are energy efficiency, resource efficiency (which includes durability), indoor environmental quality, water conservation, and site and community impact. Mn GreenStar provides a checklist, manual, contractor training and raters. • Center for Energy and Environment (CEE) and the Mn Pollution Control Agency (MPCA) CEE and the MPCA will ensure that the pilot will address the level of detail required to ensure that green remodeling is effective and not just “green washing.” More effective energy and indoor environment quality improvements will be identified through the no cost home performance/energy rating visits. CEE will thoroughly document energy and carbon savings. Finally, the program evaluation will result in an organized compilation of program presentations, promotional materials, key features, and success “case studies”. This Toolkit that will provide communities with the tools they need to initiate their own program. As with our other loan programs, CEE’s financial division is the loan administrator for the program, and will provide the green remodeling home visits. Next Steps: The program kicked-off in May, and two workshops have been conducted. Green remodeling visits are being conducted this summer and loans are available. The pilot is funded for two years. Meeting of July 21, 2008 (Item No. 2) Page 4 Subject: Vision St. Louis Park Strategic Direction Update: “. . .Well Maintained and Diverse Housing Stock” TITLE: Focus Area Report on St. Louis Park Property Maintenance to foster Quality Housing and Community Aesthetics RECOMMENDED ACTION: Continue City’s property maintenance program & efforts to improve efficiency and inter- departmental coordination with special focus on foreclosure issues. POLICY CONSIDERATION: Does the Council consider the direction being taken consistent with the Strategic Direction? BACKGROUND: St. Louis Park has been a leader in promoting property maintenance and housing inspection programs for many years. These programs have mainly been a function of the housing division in the Inspections Department. Since the early 1970’s, the City paved the way in housing and property maintenance through its Point of Sale program, steadily ensuring the housing stock meets or surpasses a minimum housing standard. Other metro communities have recognized St. Louis Park’s successful housing program by considering using our program as a way to start their housing program. The housing program has additionally been strengthened by incorporating a rental inspection program for multi-housing apartments and 1 & 2 family, non-owner occupied dwellings. A comprehensive property maintenance code which addresses all property maintenance issues in a community was also adopted. The challenge of this group has been to identify new ways to ensure quality housing and aesthetics in the community. Considering limited budgets and staff, a new approach has emerged from within: better communication and joint action between departments. City staff has focused on using joint efforts to address such issues as blight, graffiti and, recently, foreclosed properties. For example, in 2002 and again in 2005, the Inspections Department worked closely with Community Development in implementing a rehab loan program. With financial assistance from community Development through low interest loans, and identification and follow-up of code violations by the Inspections staff, the City helped more than 400 residents make significant improvements to their homes, properties and the community in general. Successful efforts like this won an award. This concept then expanded to address commercial properties as well, another major component of our community aesthetics. Initially, the Inspections Department had the task of enforcing graffiti removal. Today, through better communication and joint action with the Police, Parks and Public Works Departments, graffiti issues have been aggressively attacked. Shared software programs like Request Partners are helping to track graffiti and other property maintenance problems, while eliminating duplication and helping staff work in real time. Meeting of July 21, 2008 (Item No. 2) Page 5 Subject: Vision St. Louis Park Strategic Direction Update: “. . .Well Maintained and Diverse Housing Stock” Recently, St. Louis Park has also had to address its share of foreclosed properties. The city is not always aware of when and which of these properties become foreclosed until complaints are registered. As these properties begin the long and unpredictable foreclosure process, the city knows there will be a potential for negative impact on the neighbors: tall grass and weeds, vacant homes attracting vandalism and graffiti, litter and trash left behind. Fortunately, the City is addressing these matters again with better communication with other departments. For example, when the Utilities Division receives a complaint about a burst water pipe in a vacant home, they now contact Inspections who will establish if the property is a foreclosed property. The inspector can then make calls to responsible parties to ensure the property is secured, properly maintained and in some cases, winterized to prevent further damage. Staff also utilizes other agency records to determine foreclosed properties, past owners, who the mortgager is, and even the redemption date of a property. Other examples may be houses which have sat vacant for several months, may be referred to staff in the Community Development’s housing program to be considered for a particular City housing program. Or, in some other cases, Inspections may utilize in-house maintenance staff and STS crews to clean up and secure a vacant house, with the cost being assessed back to the property. Overall, the city continues to improve on its methods of property maintenance through interdepartmental communication and investigating the use of new programs to efficiently and effectively improve and maintain the highest quality of housing in St. Louis Park. FINANCIAL OR BUDGET CONSIDERATION: None at this time. Meeting of July 21, 2008 (Item No. 2) Page 6 Subject: Vision St. Louis Park Strategic Direction Update: “. . .Well Maintained and Diverse Housing Stock” TITLE: Focus Area Report on Working towards affordable single-family home ownership throughout the City. Recommended Action: That the city continues the Land Trust Homeownership program and continues to pursue the Live Where You Work program. Policy Considerations: Does the Council consider the direction consistent with the Vision Strategic Directions? Background: Programs that have been implemented or are being developed to promote and facilitate affordable single-family home ownership throughout the City include: • Land Trust Model • Duplex Conversion Program • Live Where You Work Homeownership Program Land Trust Homeownership Model: Single-family Homeownership: The City is continuing to partner with West Hennepin Affordable Housing Land Trust (WHAHLT), also known as Homes Within Reach (HWR), to provide long term affordable home ownership opportunities for low-moderate income families. The goal of this private non-profit is to provide ownership opportunities for working households in suburban Hennepin County. The buyer pays for the cost of the home only, and the land trust purchases the land which it then leases to the buyer for 99 years. Homebuyers must have incomes at or below 60% of the median area income, or $48,550 for a household of four. When the HWR homes are sold, the seller receives 35% of the appreciation of the home; the house is then resold to another income qualified owner who leases the land from the HWR. The use of the land trust ensures that public money supports the long-term affordability of homes, compared to previous affordable housing models that benefited only the first buyers. HWR has purchased and sold four homes in St. Louis Park in the past two years. St. Louis Park has allocated CDBG to assist with acquisition costs and HWR also leverages funds with the MN Housing Finance Agency, HOME funds, County Affordable Housing Incentive Funds and the Metropolitan Council. Next Steps: Staff proposes to continue to provide financial assistance through the allocation of CDBG and Housing rehab funds to facilitate the annual purchase of two homes. An application for funding from MHFA was recently submitted by WHAHLT to assist with the purchase of additional homes in St. Louis Park. If awarded, the funding will target the acquisition and rehab of foreclosed single- family homes. Funding awards will be announced in the fall. Meeting of July 21, 2008 (Item No. 2) Page 7 Subject: Vision St. Louis Park Strategic Direction Update: “. . .Well Maintained and Diverse Housing Stock” Duplex Conversion Program: The City and WHAHLT are also partnering on a duplex conversion program. The City and WHAHLT will acquire and rehab a duplex property to create two affordable homeownership opportunities for low/moderate St. Louis Park households. The program will target distressed rental properties, providing long term affordable homeownership opportunities while at the same time, improving existing property. The goals of the program include providing permanent affordable homeownership opportunities, converting a distressed rental property into two homeownership units, removal of a blighted property and the negative impact it has on the surrounding neighborhood and increasing the tax base. City funding will assist with acquisition and relocation costs. The 2008 budget has designated $50,000 in Housing Rehab funds to assist in financing this program. Next Steps: WHAHLT recently received a funding award from the County’s Affordable Housing Incentive Fund (AHIF) to assist with the acquisition and rehab of a number of properties in Hennepin County, including St. Louis Park. WHAHLT also recently submitted and application to MHFA for a request for additional funding to assist in financing this program. Staff has identified several potential properties, and has had preliminary contact with several owners. Staff and WHAHLT plan to move forward regardless of the funding decision from MHFA. WHAHLT has alternative funds that can be dedicated for use in this program. Live Where You Work Homeownership Program, “Employer Assisted Housing”: The “Live Where You Work Program” is an employer assisted homeownership program that will provide employees of participating St. Louis Park businesses with a grant towards the purchase of a home in St. Louis Park near their place of employment. The participating employer would provide a grant to an eligible employee and the City will provide a matching grant up to a designated maximum match (proposed: $2,500). The employee must obtain a first mortgage through a participating lender. The employer assisted grant can be used to assist in financing the down payment, closing costs, and gap financing. Qualified buyers purchasing a foreclosed property would be eligible for an additional $1,000 grant from the City in recognition that the majority of these properties have experienced some level of neglect and will require additional maintenance and rehab not typically experienced when purchasing an occupied home. By participating in the “Live Where You Work Program”, St. Louis Park employers have an opportunity to not only help their employees attain the “American Dream” of owning a home, but they can also impact the operation of their business and potentially reduce costs. Given the current real estate, market, workforce and rising energy concerns, the Live Where You Work program offers an opportunity for SLP employers to reduce recruitment and retention costs by attracting and keeping good employees. This is especially important for employers experiencing labor shortages or for expanding businesses. The program can help increase loyalty and morale among employees and create a positive community-building environment within the company and the City. Having employees living in the community will reduce their commute time and cost. Meeting of July 21, 2008 (Item No. 2) Page 8 Subject: Vision St. Louis Park Strategic Direction Update: “. . .Well Maintained and Diverse Housing Stock” Participating businesses also benefit by gaining public recognition as a business leader by “doing the right thing” for their employees. Next Steps: Staff has drafted proposed program guidelines and met with the other partners to clarify implementation roles. Staff has also met with Park Nicollet to gauge their interest in participating in the program and having the honor of being the first employer to do so. Next steps will include marketing to the business community in St. Louis Park and meeting with potential employers interested in participating in the program. First home purchases could take place as early as this fall. 2008 Housing Rehab funds have been budgeted to provide assistance to up to 25 buyers this year. FORECLOSURE UPDATE: In April 2008 the property foreclosure workgroup was formed at the direction of City Manager Tom Harmening. Its purpose is two-fold: 1) provide time for staff to share information about foreclosed properties and 2) work proactively to ensure that these properties are well maintained. An intranet page has been developed for city staff's internal information sharing purposes and it contains meeting minutes, upcoming meeting notices, a list of workgroup members, information sharing/resources and a database of foreclosed properties in St. Louis Park. Inspections, Police and Public Works have been working with the few properties where property maintenance is an issue. • In 2006, there were 76 foreclosures • In 2007, there were 90 foreclosures • In the first five months of 2008, there have been 47 • The foreclosed properties are scattered throughout the city with no concentration in any one area or neighborhood. The following chart shows the stats for the metro area as of June 1, 2008, with St. Louis Park’s experience lower than most other cities. Meeting of July 21, 2008 (Item No. 2) Page 9 Subject: Vision St. Louis Park Strategic Direction Update: “. . .Well Maintained and Diverse Housing Stock” Comparative statistics for year-to-date 2008 sheriff sale actions (January to June 1, 2008) City # of 2008 (YtD) % of Hennepin # of 2006 % of Households Foreclosures Foreclosures Households * in Foreclosure Brooklyn Center 174 6.0% 11,142 1.56% Brooklyn Park 352 12.2% 26,478 1.33% Minneapolis 1,358 47.0% 167,317 0.81% Robbinsdale 39 1.3% 6,016 0.65% Maple Grove 93 3.2% 21,575 0.43% Golden Valley 34 1.2% 8,908 0.38% New Hope 29 1.0% 8,757 0.33% Bloomington 106 3.7% 36,604 0.29% Eden Prairie 66 2.3% 23,686 0.28% Minnetonka 60 2.1% 22,021 0.27% Plymouth 62 2.1% 27,771 0.22% St. Louis Park 47 1.6%21,403 0.22% Wayzata 4 0.1% 1,929 0.21% Edina 25 0.9% 21,100 0.12% * Household counts per Met Council data which includes apartments. Housing Report July 2008 St. Louis Park Community Development Department 1 July 2008 City of St. Louis Park Housing Report The purpose of this report is to apprise the policy makers of 2008 housing activity including the Move Up in the Park” activity. The Housing Matrix has also been updated with the first half of 2008 activity. 1. MOVE UP IN THE PARK ACTIVITY SUMMARY The comprehensive package of services and loans resulted from the Housing Summit and Vision’s focus of facilitating and promoting the expansion of existing homes as the most effective tool to achieve more family size homes in the city. The Move Up in the Park program successfully kicked off in 2005, with strong activity in 2006, and again in 2007. A synergy between the marketing of our “Move up in the Park” programs and services, with strong remodeling interest, resulted in resident use that outpaced earlier projections from 2005-2007. It is too early to determine the current volatile housing market’s impact on our programs, though numbers in 2008 seem to be close to those of 2007. It’s also notable that once the pent-up demand for these programs have been met in the program’s first years, a plateau of use is to be expected. 2008 Move Up Activity includes: • Eight homes have been significantly expanded using the transformation loan. • The architectural design service remains popular. There are a limited number of residents that can use this service, and staff expects the saturation point is being reached. This will continue to be popular with newer residents seeking to expand their starter homes. • The discount loan program appears to be at the 2007 pace. • The remodeling home tour was very successful and featured two green remodeled homes. • The “green” home remodeling fair was better attended this year. Move Up Activity Loan and Service Costs 2005-2008 Generally for every dollar the city has invested in move-up and discount loans, services and administrative costs residents have been investing five dollars. The city investment in move up loans will be repaid for this revolving loan pool when borrowers sell their homes and make repayment. The following table shows program costs from 2005-2008. Move Up Loans 2005-2008 7 27 27 8 76 88 50 21 0 25 50 75 100 2005 2006 2007 1/2 half 2008 YearNumber of LoansMove up loans Discount loans Move Up Services 2005-2008 68 102 62 23 221 157 179 73 0 50 100 150 200 250 2005 2006 2007 1/2 half 2008 YearNumber of VisitsArchitect Services Remodeling Advisor Meeting of July 21, 2008 (Item No. 2) Subject: Vision St. Louis Park Strategic Direction Update: “. . .Well Maintained and Diverse Housing Stock”Page 10 Housing Report July 2008 St. Louis Park Community Development Department 2 Table: Move Up Services and Costs 2005-2008 2005 2006 2007 1/2 half 2008 Service # City Cost # City Cost # City Cost # City Cost Move Up Transformation Loan (Revolving Loan Pool) 7 $182,806 27 $591,264 27 $620,000 8 $135,312 Discount Loans 76 $45,636 88 $186,205 50 $74,000 21 $36,842 Architectural Design Service 68 $15,300 102 $22,950 62 $12,400 23 $5,175 Remodeling Advisor 221 $28,730 157 $20,410 179 $23,270 73 $9,490 Permitted Activity 2005-2008 Permitted activity is another measurement of remodeling activity that includes more than the city incented projects. The chart below shows the strong activity in 2006, and even stronger in 2007. In 2008, as of June 2008, activity is strong - even without the surge resulting from the storm damage in May. It’s interesting to note that thus far in 2008 only 28 permits have been issued for major expansion projects, compare to over 100 in 2007. It may be too early to determine if major expansions are slowing. Table. Permitted Residential Improvements Move Up In the Park Programs & Loans Descriptions The initiatives include educational, technical and financial activities designed to motivate and assist residents with renovation to their homes. The overall initiatives are more successful than projected, especially for the technical and design assistance, and program costs are being held in line. These programs are funded from the Housing Rehabilitation Fund. Residential Reha/Remodeling based on Permit Valuation $13,900,000 $15,200,000 $22,500,000 $11,230,000 $0 $5,000,000 $10,000,000 $15,000,000 $20,000,000 $25,000,000 2005 2006 2007 1/2 Half 2008 Year$ AmountMeeting of July 21, 2008 (Item No. 2) Subject: Vision St. Louis Park Strategic Direction Update: “. . .Well Maintained and Diverse Housing Stock”Page 11 Housing Report July 2008 St. Louis Park Community Development Department 3 • Move – Up Transformation Loan The purpose of this loan is to encourage residents with incomes at or below 120% of median area income ($93,100 for a family of four) to expand their homes. The program provides deferred loans for 25% of the applicant’s home expansion project cost. Loan repayment at 0% interest is deferred until the home is sold - if the resident remains in the home for 30 years, the loan will be forgiven. This in effect establishes a revolving loan pool which will continue to fund future expansions. This loan requires significant upfront work by the residents, from deciding on the scope of the project to selecting contractors. o Only residents making significant expansions are eligible. The minimum project cost must exceed $35,000. o The maximum loan amount is $25,000. o The City has established a revolving loan pool, administered by a third party. o The loan has 0% interest with a carrying cost fee of 3% paid by the borrower. • Architectural Design Service This service provides an architectural consultation for residents to assist with brainstorming remodeling possibilities and to raise the awareness of design possibilities for expansions. Residents select an approved architect from a pool developed in conjunction with the American Institute of Architects and local architects. All homeowners considering renovations would be eligible for this service regardless of income, however to ensure committed participants, residents make a $25 co-pay. Resident surveys not only provided ideas to refine the program, but indicated a high level of satisfaction with the service. • Remodeling/Rehab Advisor The intention of this service is to help residents improve their homes (either maintenance or value added improvements) by providing technical help before and during the construction process. All homeowners are eligible for this service regardless of income. Resident surveys indicated that homeowners valued the service and would recommend it to others. The City contracts with the Center for Energy and Environment (CEE) for this service. • Discount Loan Program This program encourages residents to improve their homes by “discounting” the interest rate on the Minnesota Housing Finance Agency (MHFA) home improvement loans. The MHFA’s Community Fix-up Fund is restricted to Minnesota residents residing in cities that elect to participate in the program. Residents with incomes of $63,000 or less qualify for a greater discount than those with incomes of $93,100 or less. Eligible improvements include most home improvement projects with the exception of luxury items such as pools and spas. The City’s Housing Rehabilitation Fund is the funding source for the discount loan program, and CEE is the loan administrator. St. Louis Park implemented the discounting of MHFA loans in late 1999 as a pilot project. Successful marketing efforts have led the City to be third among all Minnesota cities to use the MHFA loans, only exceeded by Minneapolis and St. Paul. Meeting of July 21, 2008 (Item No. 2) Subject: Vision St. Louis Park Strategic Direction Update: “. . .Well Maintained and Diverse Housing Stock”Page 12 Housing Report July 2008 St. Louis Park Community Development Department 4 • Home Remodeling Tour The 4th annual Home Remodeling Tour of six recently remodeled homes proved very popular with an average 450 residents visiting each of the six tour homes. The Tour’s goal is to provide residents hands-on examples of remodeling and expansion projects of typical St. Louis Park housing, to motivate and encourage residents to enlarge and enhance their homes. • Annual Home Remodeling Fair The cities and community education departments of St. Louis Park, Hopkins, Minnetonka and Golden Valley co-sponsored the 2008 Fair. The 2008 Fair had a “green theme” and over 2,500 residents from the four cities attended the one day event, with over half of the attendees living in St. Louis Park. The fair provides residents an opportunity to attend seminars, talk with vendors and city staff about permits, zoning, home improvement loans, and environmental issues related to remodeling. The fair is now a self-sustaining event where vendor registration fees more than cover the costs of the event. • Vacant Public Land Homes have been constructed on the parcels at 4515 and 4525 West 42nd Street. Construction has begun on the “green” home on the 2600 Natchez Ave parcel, and construction will begin at 2715 Monterey Ave this month. The softened housing market has had an impact on the building of homes on the Edgebrook Drive and Louisiana Ave parcel where the bidders have withdrawn their bids. The soft housing market has also stymied the efforts of the 5609 Wood Lane bidder with the sale of his current home, and construction has not started, although he is committed to building on this parcel. 2. OTHER HOUSING PROGRAM ACTIVITY Other city housing activity is below: • Citywide Home Inspection Rehab Program. The City received a $147,000 matching grant from the MN Housing Finance Agency (MHFA) for deferred and discount loans for low income residents identified by Inspections as requiring exterior maintenance improvements. Of the 200 homes and owners identified as having significant exterior code violations, 193 of the homes have been improved, nine of which used the $295,350 in state and city funds have been expended. This program received MN Housing’s Housing Development Choice Award in 2006. • Housing Improvement Area (HIA) The Wolfe Lake Association HIA (130 units) is near completion of its $1,268,000 worth of common area improvements. The Westmoreland Hills Owner Association (72 units) public hearing and second reading of the HIA occurred this summer, with the effective date July 31, 2008. • Community Development Block Grant (CDBG) Activity completed as of June 2008 included activities that were funded with 2007 and 2008 Grant Year funds, and included improvements to the SLP Housing Authority homes, park programming at Ainsworth Park, improvements to Community Involvement Program’s properties, 8 residents have been served with emergency repair program, three residents received major rehab through the deferred loan program. Meeting of July 21, 2008 (Item No. 2) Subject: Vision St. Louis Park Strategic Direction Update: “. . .Well Maintained and Diverse Housing Stock”Page 13 Housing Report July 2008 St. Louis Park Community Development Department 5 • Housing Trust Affordable Homeownership. The Housing Trust has purchased one home so far in 2008. • 3. ST. LOUIS PARK HOUSING AUTHORITY The St. Louis Park Housing Authority activity is outlined the tables below: Table 4. St. Louis Park Housing Authority Assisted Housing Programs Public Housing Public Housing Total Units 1-BR 2-BR 3-BR 4-BR 5-BR Occupancy 2008 Hamilton House 108 108 99.5% Scattered Site Single Family 37 0 0 17 17 3 100% Louisiana Court, Metropolitan Housing Opportunity (MHOP) Units 12 12 100% Total (bedroom size) 108 12 17 17 3 Total 157 Rental Assistance Section 8 Housing Choice Vouchers (HUD Approved) Units Utilization YTD 2008 Tenant-Based 220 100% Tenant-Based Portability Units* 67 Avg./month Project-Based: 45 98% Wayside House 20 95% Excelsior & Grand 18 100% Vail Place 7 100% Shelter Plus Care Rental Assistance: 38 Perspectives Inc. 11 100% Community Involvement Program (CIP) – Scattered Site Homes 11 100% CIP- Clear Spring Road 8 100% Project for Pride In Living (PPL) 8 100% Total 303 Waiting Lists Assisted Housing Waiting List as of June 2008 Public Housing 1-BR 1-BR Handicap 2-BR 3-BR 3-BR Handicap 4-BR 5-BR Total 452 23 105 160 38 0 47 895 Section 8 1171 Meeting of July 21, 2008 (Item No. 2) Subject: Vision St. Louis Park Strategic Direction Update: “. . .Well Maintained and Diverse Housing Stock”Page 14 Housing Report July 2008 St. Louis Park Community Development Department 6 Housing Matrix: Housing Types, Numbers & Percentages - June 2008 In 2005 the Council approved housing goals that evolved from the 2003-05 Housing Summit. Along with the goals, strategies were defined for implementation to achieve the goals. One of the strategies was to develop a matrix of existing housing types including detached/attached, owner/rental, family/senior, and affordable/market rate with production goals for each. The matrix is to be a guide to evaluate future housing development proposals. The attached matrix is updated semi-annually and presented to the City Council, Housing Authority and Planning Commission. It shows at a glance the numbers and percentages of: housing types, tenure (owner or rental), affordable units, senior designated units and large single family homes. Note: In 2008, the number of market rate affordable units, both owner-occupied and rental increased, despite the fact that no new market rate affordable units were constructed. The change is due to increases in affordable housing guidelines, lack of appreciation in 2008 estimated market values and minimal rent increases. Housing Goals - City of St. Louis Park Housing Summit 2003-2005 As a means to educate, revisit and consider any necessary changes to St. Louis Park’s current housing policies, strategies and goals, a series of meetings were held between the City Council, Planning Commission, Housing Authority Board, School Board, County Commissioner and a business representative regarding the status of housing in St. Louis Park. The discussions that were held at these meetings and subsequent changes made to the City’s goals, policies and strategies reflect what is best for the collective good of the entire St. Louis Park community. The meetings provided an opportunity to: • Review the status of housing in St. Louis Park (rental and owner occupied), • Examine historical, current and future housing trends in the city, and metro, state • Evaluate current and future community needs using 2000 Census data/other available info. • Examine the effectiveness of current policy/strategies in meeting the community’s needs, • Allow the Planning Commission, Housing Authority Board, School Board and Business Community to provide input to the City Council. Meeting of July 21, 2008 (Item No. 2) Subject: Vision St. Louis Park Strategic Direction Update: “. . .Well Maintained and Diverse Housing Stock”Page 15 Housing Report July 2008 St. Louis Park Community Development Department 7 Process All members of the City Council, Planning Commission, Housing Authority, School Board, the Hennepin County Commissioner, and a business representative attended an initial meeting to review general statistical and housing data. A Steering Committee met 6 times to examine specific housing topics and report back to the entire group at “check-in/progress” meetings. The 4 check-in/progress review meetings provided an opportunity to review findings and discuss possible policy changes/initiatives with the entire group. The public input process included conducting a Housing Survey, a Moving Survey and ten focus groups with resident groups to garner input regarding housing issues and response to drafted goals. The public input was presented at a final meeting of the entire group along with a review of the recommended changes to the City’s current housing policies and goals. The City Council considered and approved housing goals at the March 7, 2005 Council Meeting. City of St. Louis Park Housing Goals The Housing Summit resulted in a set of Housing Goals that were approved by the City Council in April 2005. The goals reflect the city’s housing policy and will serve as guides to direct officials, staff, and advisory boards now and into the future. Housing Production • Promote & facilitate a balanced and sustainable housing stock to meet diverse needs both today and in the future • The City should establish target numbers of units by housing types needed to ensure life cycle housing options, with housing types disbursed throughout the city. • The City acknowledges that there is demand for different types and sizes of housing units, but due to limitations of available space and other resources, all demands cannot be fully satisfied. At the present time, the greatest deficit and need is for the creation and maintenance of detached, owner-occupied single family housing which are large enough to accommodate families. City housing efforts and resources should primarily address this need. Housing Condition and Preservation • Ensure housing is safe and well maintained. • Preserve and enhance housing quality through proactive promotional and educational activities and housing programs related to home rehab, code, and design and safety issues. Owner / Rental Ratio • The ratio of owner/rental housing should be approximately 60% owner occupied and 40% rental. Meeting of July 21, 2008 (Item No. 2) Subject: Vision St. Louis Park Strategic Direction Update: “. . .Well Maintained and Diverse Housing Stock”Page 16 Housing Report July 2008 St. Louis Park Community Development Department 8 • Explore traditional and non-traditional owner occupied housing options such as, but not limited to: row houses, courtyard housing, alternative housing, cluster housing, hi-rises, 3- story homes, multi-generational housing, etc. Affordable, Workforce and Supportive Housing • Promote and facilitate a mix of housing types, prices and rents that maintains a balance of affordable housing for low and moderate income households. Future affordability goals with the Met Council should be negotiated to reflect the average percentages for other first ring suburbs in Hennepin County. Note: In 2004, the City’s negotiated goal for housing affordability with the Met Council was that 60-77% of the city’s owner occupied homes should be affordable for households with incomes at or below 80% of the area median income and that 37-41% of the city’s rental homes should be affordable for households with incomes at or below 50% of the area median income. • Mixed income units should be disbursed throughout the City and not concentrated in any one area of the City or any one development. Large Homes for Families • Promote and facilitate expansion of existing homes through remodeling which adds more bedrooms and more bathrooms, 2+ car garages and other amenities. • Promote and facilitate construction of large family-size homes with more bedrooms and more bathrooms, (e.g. minimum 3+ bedrooms and 2+ bathrooms, 2+ car garage and additional amenities such as den/fourth bedroom or porch or superior architecture) suitable for families with children. Senior Housing • Promote and facilitate more housing options for seniors. Land Use • Planning Goals: o Use infill and redevelopment opportunities to help meet housing goals. o Promote higher density housing near transit corridors & employment centers. o Encourage housing density in commercial mixed use districts. • Explore and, if appropriate promote ordinances to allow development of non-traditional housing types and increased density in single family neighborhood that is compatible with surrounding neighborhood. • Explore and promote reclassification of non-residential properties and designate for housing and other purposes. Meeting of July 21, 2008 (Item No. 2) Subject: Vision St. Louis Park Strategic Direction Update: “. . .Well Maintained and Diverse Housing Stock”Page 17 St. Louis Park Housing Types, Numbers and PercentagesHOUSING MATRIXJuly 2008Housing TypeUnits added 1/1/08-6/31/08# Units % Units # UnitsSingle Family Detached11,575 50% 53,258Duplex424 2% 048Condos and townhomes 3393 15% 802,414Apartments 7526 33% 02333COOPs125 1% 0102Total23,043 100% 85 14,591 63% 8452 36% 1,157 5% 8,155 35% 1020 4% 942 4% Data source: SLP Community Development, Multiple Residential Developments 1998-2007 and SLP Assessing. Percentages are based on the percentage of the total number of all housing units.Affordable Market Rate (includes 3233 rental & 4,922 owner occupied units)Affordable Rental Housing is defined as housing affordable to households with incomes at or below 50% MAI ($40,450 family of four), paying thirty percent of their income for housing costs. Monthly rent of $910, or less for a 2 bedroom apartment for a family of four is considered affordable. (2008 data). The number of affordable rental units increased by over 600 units in 2008, due to stagnant rents.Affordable Owner Occupied Housing is defined as housing affordable to households with incomes at or below 80% MAI ($62,800 family of four), paying thirty percent of their income for housing costs. Homes selling at $201,800 or less, are considered affordable for a family of four with household income of $62,800 or less. (2008 data). The number of affordable single family units increased by almost 2,500 based on the 2008 affodablity value and 2008 estimated market values. 125Large Single Family Homes: As of June 30, 2008, 30 permits were issued for major expansions, and 5 new single family homes and 2 "tear down" large homes were issued permits. In 2007, 102 major expansions, 9 new single family homes and 2 "tear down" large homes were issued permits. In 2006, there were 86 major expansions, in 2005 there were 57.8361060Housing Production by Typeowner occupied (homesteaded)#973#4711,185236304503901883487526Senior Designated00Housing UnitsAffordable Subsidized (includes 1010 rental & 120 owner occupied units)Owner Occupied Rental0##0Large Family Homes, Affordable and Senior Housing0Large Family Home - 1,500 sq ft., 3+Bedrooms, 2+ Bath & 2+ Car Garage#1,1577/17/2008Meeting of July 21, 2008 (Item No. 2) Subject: Vision St. Louis Park Strategic Direction Update: “. . .Well Maintained and Diverse Housing Stock”Page 18 Meeting Date: July 21, 2008 Agenda Item #: 3 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: Special TITLE: Update on Replacement of City Telephone System. RECOMMENDED ACTION: Staff wishes to update Council on the project to replace the City’s telephone system. No action is required. POLICY CONSIDERATION: Not applicable. BACKGROUND: The 2008 CIP includes a project for replacement of the existing PBX-based Nortel phone system, which serves most major City buildings including City Hall, Police Station, Fire Stations, MSC, Utilities, Recreation Center, and Nature Center. The Nortel telephone system was installed in the mid-1980’s and has been upgraded several times in the intervening 20+ years. In addition, new telephone handsets were acquired over the years. The Nortel system has served the City well and been quite reliable. However, any phone system that has been around this long is a candidate for replacement due to some significant trends: • Manufacturers cease supporting older systems as their technology ages, they get replaced by newer technologies, and support staff for the older technologies is difficult to find. • Systems that can integrate with voice systems (for example, newer 9-1-1 systems) are built to integrate with newer voice systems. • “Unified messaging” is one term used to describe the handling of various forms of messaging (e.g.., e-mail, voicemail) in one “mailbox”. This example of convergence might include employees seeing Outlook e-mail messages and listening to telephone voicemails stored in one place. • Most new voice systems are moving from TDM (time division multiplexing, or sharing bandwidth among streams of voice) to IP (Internet Protocol) based technology. This allows phones to become another device on the network, like PC’s, and the voice system is actually run by network servers. In effect, any phone can be plugged into any network jack and work with that phone’s feature set. In addition, the opportunities for convergence of communications technologies expand greatly when this is the case. • Newer voice systems take great advantage of any fiber infrastructure that exists. While the shared City – School District – LOGIS fiber optic network is used successfully for data and some video and radio communications, it is currently used minimally for voice Meeting of July 21, 2008 (Item No. 3) Page 2 Subject: Approve Consulting Services Contract with Elert & Associates for Telephone System Replacement Project communications. Newer voice systems truly leverage the capability of high bandwidth fiber networks, and the fiber network was built with its eventual use for voice communications in mind. • The capabilities of newer voice systems are coming to be expected by constituents (e.g., after hours directory, caller id) and by employees the City wishes to attract. A phone committee, composed of representatives from the Finance, Public Safety, Facilities, and Information Resources departments, was formed. The committee sought information from neighboring suburbs who have recently implemented new telephone systems regarding their experience and to assist us in avoiding difficulty with our process. Their experience suggested that thorough preparation prior to specifying a system, a complete listing of existing equipment and unique departmental needs, and project management assistance were their keys to a successful implementation. Armed with this knowledge, a RFP was prepared and sent to three local consulting firms. The committee reviewed each proposal and interviewed two firms. The RFP asked for information regarding: • preparation of an equipment site survey • user / location needs analysis (via key department contacts) • best practices recommendations • creation of an RFP • implementation planning • vendor/product selection • information on “Reverse 911” option • high level project management (e.g. review technical documents and specifications) • assistance in contract negotiations • assistance with project management during implementation on an as-needed basis • other services that may be necessary or desirable Elert & Associates submitted a proposal dated June 23, 2008 to address each task provided in the RFQ and was deemed the best fit for our needs. The goal is to have the consultant study completed in August, including preparation of an RFP for the actual system hardware and software. Further, it is currently anticipated that the initial phase of the installation will be completed and live in January 2009. This is an aggressive schedule; however, it should be noted that (1) the consultant believes this is a reasonable schedule and (2) the existing phone system will continue to be in place and operational until such time as the new system is tested and ready. If the consultant study reveals any need to change the schedule based on site review or any other factors, Council will be notified. It is currently anticipated that the existing direct dial numbers including the main (952) 924-2500 number will continue to be used. Meeting of July 21, 2008 (Item No. 3) Page 3 Subject: Approve Consulting Services Contract with Elert & Associates for Telephone System Replacement Project In summary, it is proposed that the City hire Elert & Associates for the tasks listed above. Based on past experience of references, including St. Louis Park Schools, Elert & Associates provides quality work and good project management at competitive rates. Elert’s proposal was also deemed the most appropriate of those submitted to the City’s needs. It is very comprehensive and considers business use of voice systems in addition to the technology. FINANCIAL OR BUDGET CONSIDERATION: All work performed under this contract is paid for on a time and materials basis. The total contract amount is $36,900. The source of funding for this consulting project is the Equipment Replacement Fund (soon to transition to a combined Capital Replacement Fund when the Equipment Replacement, Technology Replacement, and Municipal Building funds are merged). The 2008 Capital Improvement Plan authorizes up to $300,000 for acquisition of the voice system including any necessary consultant assistance. These funds were originally included as part of the 2005 bond issue, but the IP technology was not deemed sufficiently mature by city staff until this year. The following terms will be incorporated into this contract: 1. Work is scheduled to begin in July 2008 and be completed in August 2008 2. Compensation is based on actual work performed with a maximum contract amount of $36,900 plus expenses for this phase of the project. 3. Elert & Associates does not sell hardware or software, and is thus independent from recommending any particular vendors. 4. Included in the study would be an overview of potential options to eventually share the new voice system with the School District, whose phone system is also due for replacement but is on hold due to financial constraints. Such future sharing could save both the City and School District long-term costs and would leverage the already shared fiber network. Elert & Associates has also completed a preliminary review of the School District’s phone system needs. 5. After assisting with defining and writing specifications for the system, it is anticipated that Elert & Associates will be engaged to oversee the project implementation at an additional cost not to exceed $6,000. The document utilized for this contract is the City’s standard professional services agreement developed by the City Attorney. VISION CONSIDERATION: In the 21st century, “St. Louis Park is committed to being a connected and engaged community”, certainly includes a telephone system with something more than 20th century features. Attachment: None Prepared By: Clint Pires, Chief Information Officer Approved By: Tom Harmening, City Manager Meeting Date: July 21, 2008 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: Junior Leader Recognition. RECOMMENDED ACTION: Mayor Jeff Jacobs is asked to thank the Junior Leaders for their service this summer; and introduce Recreation Supervisor Nate Rosa who will provide background and current information on the summer program. Mayor Jeff Jacobs is also asked to announce the names (list to be provided) of the Junior Leaders and distribute envelopes. POLICY CONSIDERATION: Not applicable. BACKGROUND: There were 20 youth volunteers involved in the program this summer; they have volunteered over 800 hours this summer, collectively. 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 16 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 as well as set-up and clean-up and initiating activities for playground participants. Junior Leaders assisted program participants in understanding games and crafts 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 some 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. Meeting of July 21, 2008 (Item No. 2a) Page 2 Subject: Junior Leader Recognition Junior Leaders were required to work a minimum of 40 hours during the Summer Playground Program. Junior Leaders are rewarded with this special recognition evening, a letter of recommendation, and passes to The Rec Center’s ice arena. FINANCIAL OR BUDGET CONSIDERATION: Not applicable. VISION CONSIDERATION: Not applicable. Attachments: None Prepared by: Nate Rosa, Recreation Supervisor Reviewed by: Stacy Voelker, Administrative Secretary Approved by: Tom Harmening, City Manager Meeting Date: July 21, 2008 Agenda Item #: 2b 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: Retirement Recognition Nancy Giwoyna -- 36 Years of Service to the City. RECOMMENDED ACTION: The Mayor, Council, and City Manager are asked to recognize St. Louis Park City employee Nancy Giwoyna (pronounced Ga-wonna) for her 36 years of service by passing the attached resolution. Nancy will not be in attendance at the meeting, but staff requests that Council read the resolution aloud at the meeting to commemorate her many years of service POLICY CONSIDERATION: None. BACKGROUND: City Policy states that employees who retire or resign in good standing with over 20 years of service will be presented with a plaque and resolution from the Mayor, City Manager, and City Council at a Council meeting. Employees are asked if they wish to appear at a Council meeting to receive their plaque or if they’d prefer to receive their plaque at another time. Regardless of employee attendance at a meeting, Council reads and passes a resolution honoring the employee’s service to the City. FINANCIAL OR BUDGET CONSIDERATION: None. VISION CONSIDERATION: None. Attachments: Resolution Prepared by: Ali Fosse, HR Coordinator Reviewed by: Nancy Gohman, Deputy City Manager/HR Director Approved by: Tom Harmening, City Manager Meeting of July 21, 2008 (Item No. 2b) Page 2 Subject: Retirement Recognition Nancy Giwoyna - 36 Years of Service RESOLUTION NO. 08-______ RESOLUTION OF THE CITY COUNCIL OF ST. LOUIS PARK, MINNESOTA, RECOGNIZING THE CONTRIBUTIONS OF AND EXPRESSING APPRECIATION TO NANCY GIWOYNA WHEREAS, Nancy Giwoyna began her employment with the City of St. Louis Park over 36 years ago on June 26, 1972; and WHEREAS, Nancy has worked in office services and technical support capacities in multiple City departments and been an invaluable information resource to everyone on staff and in the community; and WHEREAS, Nancy has been a part of several changes across departments and adapted to them with continued commitment; and WHEREAS, Nancy has taken on additional complex responsibilities such as technical troubleshooting, especially during times of staffing shortages; and WHEREAS, Nancy will spend her retirement reading, working in her garden, and traveling around the USA visiting family; NOW THEREFORE BE IT RESOLVED that the City Council of the City of St. Louis Park, Minnesota, by this resolution and public record, would like to thank Nancy Giwoyna for her great contributions and 36 years of dedicated service to the City of St. Louis Park and wish her the best in her retirement. Reviewed for Administration: Adopted by the City Council July 21, 2008 City Manager Mayor Attest: City Clerk Meeting Date: July 21, 2008 Agenda Item #: 3a UNOFFICIAL MINUTES CITY COUNCIL MEETING ST. LOUIS PARK, MINNESOTA JUNE 16, 2008 1. Call to Order Mayor Jacobs called the meeting to order at 7:30 p.m. Councilmembers present: Mayor Jeff Jacobs, John Basill, Phil Finkelstein, Paul Omodt, Loran Paprocki and Susan Sanger. Councilmembers absent: C. Paul Carver Staff present: City Manager (Mr. Harmening), City Attorney (Mr. Scott), Economic Development Coordinator (Mr. Hunt), Director of Inspections (Mr. Hoffman), Community Development Director (Mr. Locke), Planning and Zoning Supervisor (Ms. McMonigal), City Clerk (Ms. Stroth), Chief of Police (Chief Luse), and Recording Secretary (Ms. Schmidt). 2. Presentations 2a. EPA Highway 7 and Wooddale Avenue Vapor Intrusion Investigation Presentation Mr. Hoffman presented the staff report. Sonja Vega, On Scene Coordinator of Emergency Response Branch of the US EPA, provided a summary of the investigation, results and next steps. Councilmember Sanger thanked Ms. Vega for the presentation and all their hard work. She further asked if they were able to find the source of the problem. Ms. Vega stated they have an investigation team working on it and once they are confident who is responsible, a legal request will be sent to them; but at this point there is not enough information to tell who is responsible. She also stated they suspect there are two sources, based on the ground water and soil vapor source information. Mayor Jacobs thanked all the people involved and was extremely pleased by all the openness, responsiveness and honesty that’s been provided by all the agencies involved. He further it was a collaborative effort that really worked. Councilmember Basill also thanked everyone for their efforts, stating they did a wonderful job. He asked about the funding to clean up the source. Ms. Vega stated at this point it’s only speculation on how much would or could be done, but eventually it would be taken care of by the responsible party or State or Federal programs. Mr. Harmening also wanted to thank the EPA, Sonja Vega, the MDH, PCA and their staff for all their support, further stating it isn’t easy to put four agencies together and end up with a good outcome. Mr. Harmening also thanked Mr. Hoffman and the City staff for resident communication and teamwork involved with all four agencies. Meeting of July 21, 2008 (Item No. 3a) Page 2 Subject: City Council Minutes June 16, 2008 3. Approval of Minutes 3a. City Council Special Study Session Minutes May 19, 2008 The minutes were approved as presented. 3b. City Council Study Session Minutes May 27, 2008 The minutes were approved as presented. 3c. City Council Special Study Session Minutes June 2, 2008 The minutes were approved as presented. 3d. City Council Minutes June 2, 2008 The minutes were approved as presented. 4. Approval of Agenda and Items on Consent Calendar NOTE: The Consent Calendar lists those items of business which are considered to be routine and/or which need no discussion. Consent items are acted upon by one motion. If discussion is desired by either a Councilmember or a member of the audience, that item may be moved to an appropriate section of the regular agenda for discussion. 4a. Adopt second reading of Ordinance No. 2356-08, approving vacation of a storm sewer easement at 7200 Cedar Lake Road, approve ordinance summary, and authorize publication. 4b. Approve Temporary On-Sale Intoxicating Liquor License for Frank Lundberg American Legion Post 282 for Sunday, June 29, 2008 from 1:00 p.m. to 5:00 p.m. at 5605 W. 36th Street. 4c. Approve Resolution No. 08-078, imposing civil penalty for liquor license violation at Best of India, 8120 Minnetonka Boulevard occurring May 5, 2008; and Resolution No. 08-079, imposing civil penalty for liquor license violation at Costco Wholesale, 5801 West 16th Street occurring May 6, 2008; according to the recommendation of the City Manager. 4d. Approve for filing Charter Commission Minutes and 2007 Annual Report. 4e. Adopt Resolution No. 08-080, amending the equipment replacement schedule budget for 2008 and authorize staff to acquire such equipment. 4f. Approve for filing Vendor Claims. 4g. Approve for filing Fire Civil Service Commission February 4, 2008 Minutes. 4h. Approve for filing Planning Commission May 7, 2008 Minutes. 4i. Approve for filing Planning Commission May 21, 2008 Minutes. It was moved by Councilmember Sanger, seconded by Councilmember Omodt, to approve the Agenda and items listed on the Consent Calendar. The motion passed 6-0. Meeting of July 21, 2008 (Item No. 3a) Page 3 Subject: City Council Minutes June 16, 2008 5. Boards and Commissions 5a. Reappointment of Citizen Representatives to Boards and Commissions It was moved by Councilmember Sanger, seconded by Councilmember Finkelstein, to reappoint the following Commissioners as city representatives. Name Commission Term Expiration Joe Tatalovich Community Education Advisory Commission 06/30/2011 Shirley Zimmerman Community Education Advisory Commission 06/30/2011 Renee Fitzgerald Housing Authority 06/30/2013 The motion passed 6-0. 6. Public Hearings - None 7. Requests, Petitions, and Communications from the Public - None 8. Resolutions, Ordinances, Motions and Discussion Items 8a. Creation of Westmoreland Hills Owners’ Association Housing Improvement Area (HIA) Ordinance No. 2357-08 and Resolution No. 08-081 Mr. Locke presented the staff report. It was moved by Councilmember Omodt, seconded by Councilmember Sanger, that the following three actions be taken for the implementation of the housing improvement area project: motion to adopt Second Reading of Ordinance No. 2357-08 to establish the Westmoreland Hills Owners’ Association Housing Improvement Area, approve summary, and authorize publication, motion to approve Resolution No. 08-081 imposing fees, and motion to authorize execution of Contract for Private Development and any other related documents, by the Mayor and City Manager, between the City and Westmoreland Hills Owners’ Association. The motion passed 5-0-1. Councilmember Finkelstein abstained. 8b. Liquor Licensees - 4 a.m. Closing during 2008 Republican National Convention Resolution No. 08-082 Ms. Stroth presented the staff report. Councilmember Finkelstein stated he would be opposing for reasons set forth in study session, further stating it’s a Children First Community and not a great idea. Meeting of July 21, 2008 (Item No. 3a) Page 4 Subject: City Council Minutes June 16, 2008 Councilmember Paprocki stated he was advised by the police chief that it would have a minimal effect on their department and thought it would be good support for the in town businesses. Councilmember Sanger stated she originally had mixed feelings on it, but would rather have people drinking in town when they’re within walking distance of their hotel, hopefully eliminating the opportunity for people to drink and drive. Councilmember Basill stated he originally had mixed feelings as well, stating local retailers should be able to receive some of the benefits. It was moved by Councilmember Sanger, seconded by Councilmember Paprocki, to adopt Resolution No. 08-082, allowing on-sale liquor licensees a temporary permit to serve alcohol until 4:00 a.m. for the period of September 1–5 during the 2008 Republican National Convention with a fee set at $300 per establishment. The motion passed 5-0-1. Councilmember Finkelstein opposed. 8c. Conditional Use Permit for the placement of fill material in Fern Hill Park Resolution No. 08-083 Ms. McMonigal presented the staff report. Councilmember Sanger thanked staff for their work and listening to neighborhood requests and concerns. It was moved by Councilmember Sanger, seconded by Councilmember Omodt, to adopt Resolution No. 08-083, approving placement of fill in Fern Hill Park with conditions. The motion passed 6-0. 8d. School Liaison Officer Contract Payments Chief Luse presented the staff report. Jim Yarosh, School Board, stated it provides a great first step to provide the assistance and the kids will and do benefit, restating that it is a Children First Community. Bruce Richardson, School Board, thanked for Council and staff for their response and quick action taken. Councilmember Basill stated it was a great opportunity, a historic first step and more than appropriate for the City to cover the services. Meeting of July 21, 2008 (Item No. 3a) Page 5 Subject: City Council Minutes June 16, 2008 Mayor Jacobs stated the program has positive and concrete benefits to the community and builds great relationships. It was moved by Councilmember Omodt, seconded by Councilmember Basill, to temporarily release the St. Louis Park School District from the financial obligations outlined in the School Liaison Services contracts for St. Louis Park Junior High School and St. Louis Park Senior High School for the time period of July 1, 2008, through December 31, 2008. The motion passed 6-0. 9. Communications Mayor Jacobs thanked all those involved in Parktacular events, stating it was another great success. Councilmember Finkelstein thanked the Cub Scouts for dunking the Mayor. He also wanted to thank all the community volunteers: Councilmember Paprocki stated a great way to get involved in the community would be to sign on up for next years Parktacular events. 10. Adjournment The meeting adjourned at 8:17 p.m. ______________________________________ ______________________________________ Nancy Stroth, City Clerk Jeff Jacobs, Mayor Meeting Date: July 21, 2008 Agenda Item #: 3b UNOFFICIAL MINUTES CITY COUNCIL STUDY SESSION June 23, 2008 The meeting convened at 7:45 p.m. Councilmembers present: Mayor Pro Tem Sue Sanger, John Basill, C. Paul Carver, Phil Finkelstein, Paul Omodt, and Loran Paprocki. Council members absent: Mayor Jeff Jacobs Staff present: City Manager (Mr. Harmening), Director of Parks and Recreation (Ms. Walsh) and Recording Secretary (Ms. Larrea). Guest: Geralyn Barone (City of Minnetonka), Larry Blacksted (Three Rivers Park District), Jim Calkins (Minnehaha Creek Watershed District), Eric Evenson (Minnehaha Creek Watershed District), Mike Huggerty (Three Rivers Park District), Cris Gears (Three Rivers Park District), David Johnson (City of Minnetonka), Dick Miller (Minnehaha Creek Watershed District), and Mike Wyatt (Minnehaha Creek Watershed District). 1. Future Study Session Agenda Planning – July 7 and July 14, 2008 Mr. Harmening presented the staff report for the upcoming study sessions on July 7, 2008 and July 14, 2008. 2. City Council Canoe Trip City Council took a canoe trip down Minnehaha Creek with the City Manager, Park and Recreation staff, and the Parks and Recreation Advisory Commission. Also participating were representative from the City of Minnetonka, the Minnehaha Creek Watershed District, and the Three Rivers Park District. Ms. Barone explained to the Council what the City of Minnetonka has been doing with the area around the Minnehaha Creek within the City of Minnetonka. The City of Minnetonka has been buying property on the Creek for the last 45 years. They have removed a number of the homes that they have purchased. Recently they brought in the watershed district to discuss and develop concept plans for the area around the Creek. They have also met with the neighborhoods that border the Creek to get their feedback regarding the Creek. For the most part, the City of Minnetonka has been funding the projects. They have now set up a shuttle, in conjunction with Three Rivers Park District that runs along the creek for people to canoe down the Creek. They have been averaging about 20 rentals a weekend. They will continue the shuttles until the water level of the Creek goes down. Meeting of July 21, 2008 (Item No. 3b) Page 2 Subject: Study Session Minutes June 23, 2008 Ms. Barone also said that the east side will have an interpretative center. Their hope is that by working together with other cities and organizations they may be able to get more funding. Working together as a group does not commit anyone financially but it does say that you would like to work together to better the environment around the Creek. They hope to also include these opportunities in other cities along the Creek. Mr. Gears provided background on how the partnership began. Many years ago they pitched the idea for the water trail to the park district and there was a lot of interest but not a lot of support. He stated he believed it was apparent that the concepts evolving in Minnetonka could take place in other communities. They have also begun discussion with the City of Edina. Any city is welcome to enter into the group, just by expressing their interest. Ms. Barone noted that the Regional LRT Trail is close to Minnehaha Creek in Minnetonka and the consultant they had hired had looked at connecting the Regional LRT Trails to the Creek. Councilmember Paprocki asked for clarification if the water trail was a canoe trail or a walking trail. Ms. Barone confirmed that the trail they are discussing today would be a canoe trail on the Creek, but they are also interested in having walking trails near the Creek. She also noted that one of the ideas they have discussed is to add more of a parkway type environment by adding trails along the Minnehaha Creek area. They have also discussed extending this trail system from Minnehaha Creek to the Mississippi River. Mr. Wyatt noted that the trail is exciting but needs to be balanced. He also asked that the Council keep in mind that the Creek does not always have water in it and there are many natural characteristics of the Creek. What the Watershed District is hoping to offer is support for the wetlands, bank stabilization, and low impact development programs. He also noted that this is similar to what the City of St Louis Park is doing at the Methodist Hospital location. There is also a land conservation program currently in the works with Hennepin County to purchase land for preservation purposes. Councilmember Sanger asked that they describe the park at the Minnetonka Mills location. Ms. Barone answered that there is a Burwell house and to the west there will be a botanical field. This area will have mixed hard and soft surfaces. There are currently plans for a trail and boardwalks throughout this area. This series of trails will start from the Civic Center Campus. Mr. Miller noted that he felt that this was one of the most exciting trails, similar to the one at the Arboretum. He felt that the presentation was very good. He noted that the Council members could look at the concept plans on the City of Minnetonka website. Mr. Harmening noted that St. Louis Park is known for its history of partnerships; this is one of the things that have helped them to be successful. He suggested looking at the environment that the Creek travels through in St. Louis Park. He has asked how the City could enhance the Creek as an amenity in this community and what might come to mind on how they could partner together to enhance the Creek. He asked what ideas they may have besides the canoes. Meeting of July 21, 2008 (Item No. 3b) Page 3 Subject: Study Session Minutes June 23, 2008 Mr. Wyatt recommended taking advantage of development opportunities to try to achieve what they want to achieve. He also noted that wherever these opportunities arise, the Watershed District would like to be a part of it. He noted the fact that the City owns much of the Creek bank area and the Watershed District would be happy to work with St. Louis Park to achieve something good for the Creeks. Mr. Evenson said that what they are trying to suggest doesn’t necessarily mean trails along the Creek but it means maintaining the feel and aesthetics of the Creek. He suggested more shoreline maintenance and to identify strategic acquisitions. Councilmember Sanger inquired about the City of Minnetonka regarding the homes that they have been acquiring over the past 40 years and what they did to get the community involved. Mr. Blacksted said that there has never really been a problem with the community and that they have always had a very positive reaction in the community when they talked about the Creek. Councilmember Paprocki noted that there are a number of homes on the Creek and asked if they had to choose one or two problems homes on the Creek and determine how they could go about fixing it. Mr. Evenson said that he would suggest the Knollwood area to Methodist Hospital. He noted that it was a good area for development and for the different organizations to work together. Mr. Miller noted that St. Louis Park owns most of the land from Methodist Hospital back to the Creek. He thought this would be a great opportunity to develop into these wetlands. Mr. Blacksted said that the land around Knollwood is going to change; the challenge is having a plan for that land. Mr. Evenson felt that if the City had the vision and an opportunity to move ahead, they could make some real changes in this area. He also said that there is some real money available to do this. There are many things you could do in this area including education programs, alternative to timber building, etc. Mr. Johnson noted that one of the things they have done in Minnetonka is to build formal launch areas for the canoes. If they were going to extend the shuttle program they would really have to do this in St. Louis Park. Ms. Walsh added they have upgraded the canoe area by the Target store in St. Louis Park and it could be used as a launch area. Mr. Gears added that the idea is to move these visions outside of Minnetonka. They would like to include what they have started in Minnetonka with other communities, to take what is hidden away and show it to the public. He also noted that by joining this governance there is no financial commitment, each community has a member that sits on the steering board and then at a staff level they get together once every two months and discuss how to get things moving. St. Louis Park would get to be part of the team. It is a meeting meant to keep communities accountable and to remain invested in moving forward. It is a commitment of partners. Mr. Harmening asked if they would send him a copy of the governance agreement to review. Meeting of July 21, 2008 (Item No. 3b) Page 4 Subject: Study Session Minutes June 23, 2008 Councilmember Finkelstein asked for an update on the project at Methodist Hospital. Mr. Calkins said that the current plan is to start this winter, possibly December or January. He also noted that the site is going to be a mess because wetland projects are inherently messy. The plan is to do wintertime construction when the land is frozen. Discussion took place regarding the canoe shuttle service and the canoe riders. Mr. Johnson stated that there are about 50% Minnetonka residents riding the Creek. The number one request that they get from riders is to be able to go farther down the Creek. They have had the idea in mind to share canoes among the cities so that they can work together to get the peopled shuttled. Councilmember Sanger asked how much longer they would be running the shuttle service this year. Mr. Johnson replied that they are committed through the end of July but it all depends on the water levels. Mr. Harmening asked what the cost is to use the canoe shuttle service. Mr. Johnson replied that it is a 2.4 mile-canoe trip and that the cost is $20 to rent a canoe and $20 per group to use the shuttle service. Mr. Harmening also asked if the riders sign a release form. Mr. Johnson noted that the City of Minnetonka has used the Three Rivers Park District release form. Mr. Gears noted that there are 6 or 7 points on the Creek that you can start and get out of the canoe. Ideally he would like to see a shuttle service that could run between all of these points. Mr. Evenson ended the meeting by inviting whoever would like to help with the Creek cleanup on July 13th was more than welcome to join. The cleanup is being sponsored by Linenkugel’s and REI. They will start in the late afternoon and finish with a barbeque. 3. Communications (Verbal) Mr. Harmening informed the Council that the railroad bridge project is moving ahead and the road could be closed as early as Wednesday of this week. He also noted that Fire Chief Luke Stemmer is in Columbus Junction, Iowa. He was called there to assist with the Emergency Operation Center. While he is in Iowa his salary will be paid by the federal government. Mr. Harmening also noted that the Women’s US Open would be taking place this week. The primary effect on St. Louis Park will be the traffic. They will be running a shuttle from Highway 100 to Meadowbrook. They will also be watching for people that are parking in neighborhoods and walking to the tournament. Mr. Harmening notified the Council that the City has been having trouble with solicitors. He noted that all solicitors must register with the City so they are able to keep track as to who is out in the community. The problem they are experiencing is that they are dealing with a lot of “strong arm” solicitors. One idea was to require a stiffer fee and background checks for solicitors. The solicitors they have been having issues with are people who are selling security systems, roof repair, Meeting of July 21, 2008 (Item No. 3b) Page 5 Subject: Study Session Minutes June 23, 2008 and magazines. There is concern the people that are selling the security systems are casing the homes for possible robberies. They are able to see the inside of the home and get an idea for when people are at their home or at work. Mr. Harmening also noted that the City has been handing out No Solicitation stickers. Councilmember Carver asked if it would be possible to make it a finable offense if they do not obey the No Solicitation signs people have up at their homes. Councilmember Basill noted that you have to be careful with that because you don’t want to limit the boy scouts, girl scouts, schools, etc Mr. Harmening noted that Allied Waste has asked the City to allow roll out dumpsters to be allowed on the streets. Back in 2003, the Council said they would not allow dumpsters to be put on the streets. The options for the Council are to keep the ordinance, amend the ordinance, or not enforce at this time. It was agreed by the Council to leave the ordinance as is; the City will not allow dumpsters to be put on the streets. Councilmember Paprocki asked if the Watershed District would be available to go to National Night Out and visit some of the neighborhoods in the community. Councilmember Finkelstein noted that he will be gone July 7 and Mr. Harmening will be gone on June 30. The meeting adjourned at 9:10 p.m. Written Reports provided and documented for recording purposes only: 4. May 2008 Monthly Financial Reports 5. Housekeeping Amendments to Chapter 3 of City Code Regarding Alcoholic Beverages 6. Update on City Hall Exterior Renovations ______________________________________ ______________________________________ Nancy Stroth, City Clerk Jeff Jacobs, Mayor Meeting Date: July 21, 2008 Agenda Item #: 3c UNOFFICIAL MINUTES CITY COUNCIL CLOSED EXECUTIVE SESSION JULY 7, 2008 1. Roll Call Mayor Pro-Tem Sanger called the meeting to order at 6:17 p.m. Councilmembers present: Mayor Pro-Tem Sue Sanger, John Basill, Loran Paprocki and Paul Omodt. Councilmembers absent: Mayor Jeff Jacobs, Phillip Finkelstein and C. Paul Carver. Staff present: City Manager (Mr. Harmening), Management Assistant (Ms. Honold), Parks & Recreation Director (Ms. Walsh). Others present: City Attorney (Mr. Scott) and League of MN Cities Attorney (Mr. Zipf). 2. Update on pending/ongoing litigation with Nicolas Slade. City Attorney Tom Scott provided an update in a Closed Executive Session on the pending/ongoing litigation with Nicolas Slade. 4. Adjournment The meeting adjourned at 6:45 p.m. ______________________________________ ______________________________________ Nancy Stroth, City Clerk Jeff Jacobs, Mayor Meeting Date: July 21, 2008 Agenda Item #: 3d UNOFFICIAL MINUTES CITY COUNCIL SPECIAL STUDY SESSION ST. LOUIS PARK, MINNESOTA JULY 7, 2008 The meeting convened at 6:52 p.m. Councilmembers present: Mayor Pro Tem Susan Sanger, John Basill, Paul Omodt and Loran Paprocki. Councilmembers absent: Mayor Jacobs, C. Paul Carver and Phil Finkelstein. Staff present: City Manager (Mr. Harmening), Management Assistant (Ms. Honold) and Recording Secretary (Ms. Schmidt). 1. Vision Strategic Direction Discussion – Promoting Regional Transportation and related dedicated funding sources Ms. Honold presented the staff report. Councilmember Paprocki asked how effective the legislators were at lobbying others. Ms. Honold stated they have raised awareness, as well as received some verbal commitments from Mn/DOT that she didn’t think they would have received without their lobbyist’s assistance. Mr. Harmening recommended they continue to use Denny McGrann for lobbying in Washington and still allocate some funding for local lobbying. Councilmember Basill stated he would still like to see money allocated for the Glencoe Railroad Mitigation Project, suggesting staff stress that the tracks be removed behind South Oak, as well as removal of storage and the switching station. Mr. Harmening expressed the outstanding job Ms. Honold has done in representing the City and assisting Mayor Jacobs. He also suggested that Mark Wagner come in and talk with Council about the Glencoe Project. There was Council consensus to proceed forward on the same course and continue the current lobbying relationships. 2. Grant Evaluation and Ranking System (GEARS) Committee Ms. Honold presented the staff report. There was Council consensus to support Mayor Jacobs’ application to serve on the committee, with Councilmember Omodt as the alternate if that was needed. The meeting adjourned at 7:17 p.m. ______________________________________ ______________________________________ Nancy Stroth, City Clerk Jeff Jacobs, Mayor Meeting Date: July 21, 2008 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 Zoning Ordinance Amendments. RECOMMENDED ACTION: Motion to adopt Second Reading of Zoning Ordinance Amendments, approve summary, and authorize publication. POLICY CONSIDERATION: Does the City Council wish to make changes to the Zoning Ordinance which would: Require conditional use permits (CUP’s) for payday loan agencies, currency exchanges and firearms sales; provide consistency with state law for published notice requirements; provide consistency that all temporary uses and structures; and prohibit bars, grills, mesh or similar obstructions on windows and doors. BACKGROUND: Through the course of the spring, staff has been working on several amendments to the Zoning Ordinance. Many of the amendments are minor changes needed for consistency and clarification. Some of the changes, however, would result in an amendment to current policy and regulations. The more substantial changes include amendments to require conditional use permits for currency exchanges, firearms sales and payday loan businesses. Staff recommends adoption of the 2nd reading of the proposed zoning text amendments (as discussed at first reading, these amendments do not include changes relating to religious institutions, schools or communications towers). SUMMARY OF PROPOSED AMENDMENTS: Sec. 36-34. Zoning text amendments. Notice for zoning text changes – amend to be consistent with state law requirements of published notice required at least 10 days prior to the hearing. Sec. 36-82. Temporary uses. Provide consistency that all temporary uses and structures (exception for agricultural commodities) are allowed for a maximum of 14 days. 36-142 (d) Commercial uses. Add “colleges” to business/trade school description. Meeting of July 7, 2008 (Item No. 4a) Page 2 Subject: 2nd Reading of Zoning Ordinance Amendments Sec. 36-194. C-2 general commercial district. Currency exchange, payday loan agencies and firearms sales: The proposed zoning ordinance would allow currency exchange, payday loan agencies and firearms sales in the General Commercial (C-2) District with a conditional use permit (CUP). In addition to the CUP, these uses would be required to meet several conditions specific to them, including setbacks from each other and sensitive uses such as pawn shops and sexually oriented businesses. Additional setbacks are also required from residential properties, schools, religious and similar uses. 36-366 Architectural design. Standards for building design to prohibit bars, grills, mesh or similar obstructions on exterior doors or window or contiguous window area. FINANCIAL OR BUDGET CONSIDERATION: Not applicable. VISION CONSIDERATION: These changes address the 18-month strategic direction that “St. Louis Park is committed to being a connected and engaged community” with the “aim toward increasing and strengthening neighborhoods.” Attachments: Proposed Zoning Ordinance Amendment and summary for publication. Prepared by: Gary Morrison, Assistant Zoning Administrator Meg McMonigal, Planning & Zoning Supervisor Reviewed by: Kevin Locke, Community Development Director Approved by: Tom Harmening, City Manager Meeting of July 7, 2008 (Item No. 4a) Page 3 Subject: 2nd Reading of Zoning Ordinance Amendments ORDINANCE NO. ____-08 AN ORDINANCE AMENDING THE ST. LOUIS PARK ORDINANCE CODE RELATING TO ZONING BY AMENDING SECTIONS 36-34, 36-82, 36-142, 36-193, 36-194, 36-223, 36-243, 36-244, 36-366 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. 08-08-ZA). Sec. 2. The St. Louis Park Ordinance Code, Sections 36-34, 36-82, 36-142, 36-193, 36-194, 36- 223, 36-243, 36-244, 36-366 is hereby amended by deleting striken language and adding underscored language. Section breaks are represented by ***. Zoning Ordinance Amendments Sec. 36-34. Amendments. (b) Additional requirements for amendments changing zoning districts and boundaries *** (4) Zoning text changes. A zoning text change shall require published notice of the public hearing for two consecutive weeks as required in subsection (b)(3) of this section. [renumber accordingly] *** (c) Special procedure for comprehensive rezoning *** (2) Notice. The city clerk shall publish notice in at least three weekly issues of the official newspaper of the city at least on the proposed rezoning amendment. The hearing shall be held not less than ten or more than 15 days after the publication prior to the date of the hearing. *** Meeting of July 7, 2008 (Item No. 4a) Page 4 Subject: 2nd Reading of Zoning Ordinance Amendments Sec. 36-82. Temporary uses. *** (b) Authorized temporary uses. A structure or land in any use district may be used for one or more of the following temporary uses if the use complies with the conditions stated in this chapter: *** (3) Temporary structures. a. Temporary construction structures are regulated under Section 36-82(b)(1). ab. Temporary structures shall not be permitted for a period of time exceeding six months per calendar year, except that Ttemporary structures used for the storage of vehicles, equipment or other household items shall not be permitted for more than 14 days per calendar year, on any parcel that is zoned residential and used or subdivided for residential. with the exception of temporary structures allowed under “agricultural commodities.” bc. No significant trees shall be removed for the placement of a temporary structure. c. Temporary structures may be located within required yards, but not within 15 feet of any public right-of-way or where prohibited under section 36-76. d. Any other landscaping materials which are displaced by the temporary structure shall be replaced upon removal of the temporary structure. *** (5) Temporary outdoor sales. c. Temporary sales which exceed 100 square feet shall be permitted for a period not to exceed four consecutive days or a total of 12 14 days in a calendar year except in public parks or closed right-of-way as approved by the city or as specified by PUD approval. (6) Agricultural commodities--Not more than 45 90 days. b. Agricultural commodities shall be permitted on a parcel for not more than 45 90 days within any calendar year. Meeting of July 7, 2008 (Item No. 4a) Page 5 Subject: 2nd Reading of Zoning Ordinance Amendments c. Tents, stands and other similar temporary structures may be utilized, provided they are clearly identified on the plan reviewed and approved by the Zoning Administrator. The use shall not impair parking capacity, emergency access, or the safe and efficient movement of pedestrian and vehicular traffic on or off the site. *** 36-142 (d) Commercial uses. The following are typical of the commercial uses referred to in this chapter. *** (7) Business/trade school/college means a training establishment or institution facility serving adults and sometimes high school age persons which provides training and/or specialized education toward a skill, license or degree. to develop a skill to prepare for a specific job. Equipment or processing which simulate an industrial or commercial work setting may be included. *** (30) Service means on-site service provided directly to an individual. This use includes barbershops, beauty shops, massage parlors, therapeutic massage, laundromats, shoe repair shops, and dry cleaners where articles to be cleaned are picked up and delivered by the patron. This use excludes pawnshops. *** Sec. 36-193. C-1 neighborhood commercial district. *** (c) Uses permitted with conditions. A structure or land in a C-1 district may be used for one or more of the following uses if its use complies with conditions stated in section 36-192, and those specified for the use in this subsection (c). None of the following uses shall exceed intensity classification 4, except by conditional use permit:. *** (33) Business/trade schools/college. The condition for business/trade schools is that these cannot exceed intensity classification 4. *** (d) Conditional uses. No structure or land in a C-1 district shall be used for the following uses except by conditional use permit. These uses shall comply with the commercial restrictions and performance standards of section 36-192, the requirements of all the general conditions provided in section 36-365, with the specific conditions imposed in this subsection (d), and with any other conditions the city council may impose. Meeting of July 7, 2008 (Item No. 4a) Page 6 Subject: 2nd Reading of Zoning Ordinance Amendments *** Sec. 36-194. C-2 general commercial district. *** (b) Permitted uses. The following uses are permitted in the C-2 district if the use complies with the commercial restrictions and performance standards of section 36-192:. *** (8) Business and trade schools. Business/trade school/college. *** (d) Uses permitted by conditional use permit. No structure or land in a C-2 district shall be used for the following uses except by conditional use permit. Those uses shall comply with the commercial restrictions and performance standards of section 36-192, all those general conditions provided in section 36-367 and with the specific conditions imposed in this subsection (d), and with any other conditions which may be imposed by the city council. *** (16) Payday loan agency and currency exchange: a. The lot must be at least 1,000 feet from the property line of a site containing a pawnshop, currency exchange, payday loan agency, firearms sales, liquor store or sexually-oriented business. In the case of a shopping center or multi-use building, the distance shall be measured from the portion of the center or building occupied by the payday loan agency or currency exchange. b. The use shall not operate in conjunction with a sexually-oriented business. c. The lot shall be located a minimum of 350 feet from any parcel that is zoned residential, or has an educational (academic) use, religious institution, park, library or community center. In the case of a shopping center or multi-use building, the distance shall be measured from the portion of the center or building occupied by the use. d. Access shall be to a roadway identified in the comprehensive plan as a collector or arterial. Access to and from local residential streets is prohibited. e. In-vehicle sales or service are prohibited. f. The use shall be contained within a completely enclosed building. Meeting of July 7, 2008 (Item No. 4a) Page 7 Subject: 2nd Reading of Zoning Ordinance Amendments g. Exterior loudspeakers or public address systems are prohibited. h. Windows must be of clear, transparent glass and be free of obstructions for at least three feet into the store. Product may be displayed in the window as long as the display, including signage, does not occupy more than 30 percent of the window area. i. Neon accents and back-lighted awnings shall be prohibited. (17) Firearms sales: a. The lot must be at least 1,000 feet from the property line of a site containing a pawnshop, currency exchange, payday loan agency, liquor store or sexually-oriented business. In the case of a shopping center or multi-use building, the distance shall be measured from the portion of the center or building occupied by the payday loan agency or currency exchange. b. The use shall not operate in conjunction with a sexually-oriented business. c. The lot shall be located a minimum of 350 feet from any parcel that is zoned residential, or has an educational (academic) use, religious institution, park, library or community center. In the case of a shopping center or multi-use building, the distance shall be measured from the portion of the center or building occupied by the use. d. Access shall be to a roadway identified in the comprehensive plan as a collector or arterial. Access to and from local residential streets is prohibited. e. In-vehicle sales or service are prohibited. f. The use shall be contained within a completely enclosed building. g. Exterior loudspeakers or public address systems are prohibited. h. Windows must be of clear, transparent glass and be free of obstructions for at least three feet into the store. Product may be displayed in the window as long as the display, including signage, does not occupy more than 30 percent of the window area. i. Neon accents and back-lighted awnings shall be prohibited. Meeting of July 7, 2008 (Item No. 4a) Page 8 Subject: 2nd Reading of Zoning Ordinance Amendments *** Sec. 36-223. O office district. *** (b) Permitted uses. The following uses are permitted in the O district, if the use complies with the office restrictions and performance standards of section 36-222:. *** (4) Business and trade schools. Business/trade school/college. *** Sec. 36-243. I-P industrial park district. *** (b) Permitted uses. The following uses are permitted in an I-P district if the use complies with the industrial restrictions and performance standards of section 36-242:. *** (4) Business and trade schools. Business/trade school/college. *** Sec. 36-244. I-G general industrial district. *** (b) Permitted uses. The following uses are permitted in an I-G district if that use complies with the industrial restrictions and performance standards of section 36-242:. *** (4) Business and trade schools. Business/trade school/college. *** 36-366 Architectural design *** (b) Standards. (1) Building Design. *** Meeting of July 7, 2008 (Item No. 4a) Page 9 Subject: 2nd Reading of Zoning Ordinance Amendments h. Interior and exterior bars, grills, mesh or similar obstructions, whether permanently or temporarily affixed, shall not cover any exterior door or more than ten percent of any individual window or contiguous window area. Sec. 3. The contents of Planning Case File 08-08-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. Reviewed for Administration Adopted by the City Council City Manager Mayor Attest: Approved as to Form and Execution: City Clerk City Attorney Public Hearing May 21, 2008 First Reading July 7, 2008 Second Reading July 21, 2008 Date of Publication Date Ordinance takes effect Meeting of July 7, 2008 (Item No. 4a) Page 10 Subject: 2nd Reading of Zoning Ordinance Amendments SUMMARY ORDINANCE NO._____________ AN ORDINANCE AMENDING ORDINANCE CODE RELATING TO ZONING TEXT This ordinance states that Sections 36-34, 36-82, 36-142, 36-193, 36-194, 36-223, 36-243, 36-244 and 36-366 regarding noticing, temporary uses, commercial uses, and architectural design will be amended. This ordinance shall take effect 15 days after publication. Adopted by the City Council July 21, 2008 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: July 31, 2008 Meeting Date: July 21, 2008 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: Amend Consultant Contract 129-06 - Highway 7 / Wooddale Avenue Interchange Project - Project No. 2004-1700. RECOMMENDED ACTION: Motion to Approve Amendment No. 4 to Contract 129-06 which provides additional engineering consulting services for the Highway 7 / Wooddale Avenue Interchange Project - Project No. 2004-1700. POLICY CONSIDERATION: Does Council wish to continue with the steps necessary to bring this project to fruition? BACKGROUND: History and Recent Activities During October of 2006, the City entered into a contract with SRF Consulting Group, Inc. (SRF) for engineering services for Phase I of this project - an area wide traffic study. Phase I work was necessary to prepare for the analysis and modeling needed to evaluate the earlier developed interchange concepts plus lay the foundation for the eventual preparation of project design layouts. SRF completed Phase I work in early 2007 and Council received a report on the Phase I activities on March 26, 2007. On April 9, 2007, Contract No. 129-06 was authorized with SRF to provide additional professional services for Phase II project activities in the amount of $117,000 - with a maximum contract amount of $152,000 (amended to $161,000 in September of 2007). Phase II activity is best described as the public development and comparison of interchange concepts. Final Phase II activities were essentially completed in December of 2007. On December 3, 2007, the City Council approved a contract amendment authorizing the next phase of the project development, or Phase III in the amount of $221,920. Phase III can be described as the preliminary detail design and environmental study/documentation phase of the project. The consultant is expected to complete Phase III activities by September of 2008. Results from the Phase III portion of the project were discussed at a public informational meeting held on July 15, 2008. Additional Professional Services The next phase of the project development process, Phase IV, is best described as the final design, including the following: • Preparation of draft and ultimately final construction plans for the complete project, including roadways, bridges, and noise walls if necessary. • Identification of public and private utilities and incorporation into the final plans Meeting of July 21, 2008 (Item No. 4b) Page 2 Subject: Amend Consultant Contract 129-06 – Hwy 7 & Wooddale Ave Interchange Project – Project No. 20041700 • Right of Way acquisition assistance • Cost Estimates and further refinement of the project schedule. • Project Management, including additional meetings and correspondence as part of the public process Project Schedule Phase IV activities are scheduled to begin later this month and are expected to be completed by June of 2009. Assuming adequate funding becomes available, this schedule provides for a bid opening in April or May of 2009. Construction is expected to last two years, 2009-2010. FINANCIAL OR BUDGET CONSIDERATION: Estimated Contract Cost A Proposal from SRF dated June 30, 2008 estimates the cost for the additional Phase IV work at $712,222. All work performed under this contract is paid for on a time and materials basis. The initial source of funding for this work/project is the HRA levy or other EDA funds. The professional services cost for Contract 129-06 with SRF is now estimated as follows: Original Contract (Phase I work) $ 35,000 Amendment No. 1 (Phase II work) $ 117,000 Amendment No. 2 (supplemental Phase II work) $ 9,000 Amendment No. 3 (Phase III work) $ 221,920 Amendment No. 4 (Phase IV work) $ 712,222 Total $ 1,095,142 Contract Terms The following terms are incorporated into this contract: 1. Phase IV contract work is scheduled for completion by the end of May, 2009. 2. Compensation is based on actual work performed with a maximum contract amount of $1,095,142. 3. SRF has independent contractor status. 4. City may terminate this contract with seven (7) days notice. The document utilized for this contract is the City’s standard professional services agreement developed by the City Attorney. VISION CONSIDERATION: The following Strategic Direction and focus area has been identified by Council. St. Louis Park is committed to being a connected and engaged community. Focus will be on: • Promoting regional transportation issues and related dedicated funding sources affecting St. Louis Park including but not limited to Hwy. 100 and SWLRT. Attachments: Amendment No. 4 Prepared by: Scott Brink, City Engineer Reviewed by: Mike Rardin, Public Works Director Approved by: Tom Harmening, City Manager Meeting of July 21, 2008 (Item No. 4b) Page 3 Subject: Amend Consultant Contract 129-06 – Hwy 7 & Wooddale Ave Interchange Project – Project No. 20041700 AMENDMENT NO 4 CITY of ST. LOUIS PARK CONSULTING SERVICES CONTRACT NO. 129-06 THIS AGREEMENT is made on July 21, 2008, by and between the CITY OF ST. LOUIS PARK, Minnesota, a Minnesota municipal corporation (hereinafter referred to as “City”), and SRF Consulting Group, Inc., a Minnesota corporation (hereinafter referred to as “SRF”). 1. BACKGROUND: The parties have previously entered into an agreement for consulting services dated October 18, 2006 (“Initial Agreement”). The Initial Agreement authorizes SRF to provide engineering consulting services for Phase I of project 2004-1700 at a cost not to exceed $35,000. On April 9, 2007 Amendment No. 1 was approved to perform Phase II activities at an additional cost of $117,000 with a not to exceed total contract cost of $152,000. On September 4, 2007 Amendment No. 2 was approved to perform additional Phase II activities at an additional cost of $9,000 with a not to exceed total contract cost of $161,000. On December 3, 2007 Amendment No. 3 was approved to perform Phase III services with a total contract cost not to exceed $382,920. 2. ITEM NO. 1: SCOPE OF SERVICES: This paragraph shall be amended to include the additional Phase IV engineering services outlined in the SRF proposal dated June 30, 2008. 3. ITEM NO. 2: TIME FOR PERFORMANCE OF SERVICES: This paragraph is modified to reflect that Phase IV activities to be completed by the end of May 2009. 4. ITEM NO. 3: COMPENSATION FOR SERVICES: Subject to the modifications set forth herein, the not to exceed compensation amount shall increase by $712,222 from $382,920 to $1,095,142. IN TESTIMONY WHEREOF, the parties hereto have caused this Agreement to be executed by their respective duly authorized officers. EXECUTED as to the day and year first above written. SRF CONSULTING GROUP, INC. CITY OF ST. LOUIS PARK By:________________________________ By:________________________________ Jeff Jacobs, Mayor Title:_______________________________ and________________________________ Thomas Harmening, City Manager Meeting Date: July 21, 2008 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: Request for Time Limit Extension (Christopher Dahl). RECOMMENDED ACTION: Motion to Accept Christopher Dahl's July 9, 2008 request for an extension of the time limits in Minn Stat 15.99 for Dahl’s Application for Conditional Use Permit dated July 2, 2008, Case No. 08-25-CUP. POLICY CONSIDERATION: If approved this action would establish that the city has accepted and grants the requested extension of time limit for the Dahl tower CUP application. BACKGROUND: As was discussed on July 7, 2008 before the City Council, Gary Gandrud on behalf of his client Christopher Dahl, requested an extension of the time limits in Minnesota Statutes, Section 15.99 as it applies to the above referenced application filed July 2, 2008 with the City of St. Louis Park. The time limit is extended as follows: Applicant agrees that the time deadline for agency action is tolled and shall commence on October 1, 2008. The time deadline and other provisions of the statute shall be applied as if the application was filed on October 1, 2008. FINANCIAL OR BUDGET CONSIDERATION: None. VISION CONSIDERATION: None. Attachments: Gandrud letter dated July 9, 2008 Prepared by: Kevin Locke, Community Development Director Approved by: Tom Harmening, City Manager Meeting of July 21, 2008 (Item No. 4c) Subject: Request for Time Limit Extension (Christopher Dahl)Page 2 Meeting Date: July 21, 2008 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: Vendor Claims. RECOMMENDED ACTION: Motion to accept for filing Vendor Claims for the period July 4, 2008 through July 18, 2008. 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 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 1Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 1,080.00SKATEBOARD/INLINE PROGRAMS OTHER CONTRACTUAL SERVICES3RD LAIR SKATEPARK 1,080.00 279.95WATER UTILITY G&A OTHER IMPROVEMENT SUPPLIESAAA LAMBERTS LANDSCAPE PRODUCT 306.07STORM WATER UTILITY G&A OTHER IMPROVEMENT SERVICE 586.02 70.13GENERAL BUILDING MAINTENANCE GENERAL SUPPLIESACE SUPPLY CO 70.13 87.69EQUIPMENT REPLACE G&A MACHINERY & AUTO EQUIPMENTACTION FLEET INC 87.69 621.96SEASON TICKETS GENERAL SUPPLIESACTIVE NETWORK LTD 2,020.31EQUIPMENT REPLACE G&A OTHER 2,642.27 1,020.80HUMAN RESOURCES RECRUITMENTAD STRATEGIES 1,020.80 1,028.45EMPLOYEE FLEX SPEND G&A GENERAL PROFESSIONAL SERVICESADMINISTRATION RESOURCES CORP 1,028.45 6,500.00PAINTINGOTHER CONTRACTUAL SERVICESAERIAL PAINTING INC 6,500.00 1,286.00H.V.A.C. EQUIP. MTCE BUILDING MTCE SERVICEALLIANCE MECH SRVCS INC 1,286.00 19.53SUMMER GRADE 1 GENERAL SUPPLIESALMSTEAD'S SUPERVALU 19.53 5,039.70INSPECTIONS G & A ENGINEERING SERVICESAMERICAN ENGINEERING TESTING I 5,039.70 58.45GENERAL BUILDING MAINTENANCE EQUIPMENT PARTSAMERICAN PRESSURE INC 58.45 700.00PREVENTATIVE MAINTENANCE EQUIPMENT MTCE SERVICEAMERICAN TEST CENTER INC 700.00 Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 2 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 2Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 1,911.41GENERAL REPAIR TIRESAMERICAN TIRE DISTRIBUTORS 1,911.41 3,069.00WATER UTILITY G&A SUBSCRIPTIONS/MEMBERSHIPSAMERICAN WATER WORKS ASSOC 3,069.00 92.04GENERAL BUILDING MAINTENANCE OPERATIONAL SUPPLIESAMERIPRIDE LINEN & APPAREL SER 146.02PUBLIC WORKS OPS G & A OPERATIONAL SUPPLIES 106.50PARK MAINTENANCE G & A OPERATIONAL SUPPLIES 99.45ENTERPRISE G & A GENERAL SUPPLIES 144.71VEHICLE MAINTENANCE G&A OPERATIONAL SUPPLIES 463.28TV PRODUCTION GENERAL SUPPLIES 91.41WATER UTILITY G&A OPERATIONAL SUPPLIES 91.39SEWER UTILITY G&A OPERATIONAL SUPPLIES 1,234.80 600.00PERFORMING ARTS OTHER CONTRACTUAL SERVICESAMY & ADAMS 600.00 1,337.12PRINTING/REPRO SERVICES OFFICE SUPPLIESANCHOR PAPER CO 761.84POLICE G & A OFFICE SUPPLIES 2,098.96 10.66WATER UTILITY G&A GENERAL CUSTOMERSANDERSON, AMY 10.66 1,851.82GENERAL CUSTODIAL DUTIES CLEANING/WASTE REMOVAL SUPPLYAPACHE GROUP OF MINNESOTA 1,851.82 5,000.00ESCROWSGENERALAQUILA COMMONS COOPERATIVE 5,000.00 418.98GENERAL CUSTODIAL DUTIES CLEANING/WASTE REMOVAL SUPPLYARAMARK UNIFORM CORP ACCTS 418.98 588.53GENERAL REPAIR EQUIPMENT MTCE SERVICEASPEN EQUIPMENT CO 588.53 4.16-PARK AND RECREATION BALANCE SH DUE TO OTHER GOVTSAUSTIN HARDWARE & SUPPLY 68.03GENERAL REPAIR EQUIPMENT PARTS 63.87 Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 3 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 3Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 480.00SEWER UTILITY G&A EQUIPMENT MTCE SERVICEAUTOMATIC SYSTEMS INC 480.00 102.09BEAUTIFICATION / FLOWERS LANDSCAPING MATERIALSBACHMAN'S PLYMOUTH 102.09 57.81FINANCE G & A OFFICE SUPPLIESBANKER'S EQUIPMENT SERVICE INC 57.81 39.00HUMAN RESOURCES GENERAL PROFESSIONAL SERVICESBARNA, GUZY & STEFFEN LTD 39.00 10,019.02CE INSPECTION IMPROVEMENTS OTHER THAN BUILDIBARR ENGINEERING CO 10,019.02 209.80-PARK AND RECREATION BALANCE SH DUE TO OTHER GOVTSBELSON OUTDOORS INC 982.15ORGANIZED REC G & A GENERAL SUPPLIES 1,473.21PARK MAINTENANCE G & A OTHER 982.14BUILDING MAINTENANCE GENERAL SUPPLIES 3,227.70 576.00ADULT SOFTBALL OTHER CONTRACTUAL SERVICESBERG, STEVE 576.00 225.00MOVE-UP PROGRAM SERVICES/MRKTG OTHER CONTRACTUAL SERVICESBERGFORD ARCHITECTURE, JOHN 225.00 201.28PREVENTATIVE MAINTENANCE LUBRICANTS/ADDITIVESBG AUTOMOTIVE OF MINNESOTA 201.28 149.00ORGANIZED REC G & A MILEAGE-PERSONAL CARBIRNO, RICK 149.00 1,518.32UNINSURED LOSS G&A UNINSURED LOSSBLAYLOCK PLUMBING CO 1,518.32 685.86FABRICATIONOTHER IMPROVEMENT SUPPLIESBOHN WELDING INC 161.83PARK MAINTENANCE G & A OTHER CONTRACTUAL SERVICES 847.69 143.56GENERAL REPAIR EQUIPMENT MTCE SERVICEBOYER FORD TRUCKS 143.56 Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 4 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 4Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 21.30SPECIAL EVENTS GENERAL SUPPLIESBRENTS SIGNS AND DISPLAYS 21.30 590.01VEHICLE MAINTENANCE G&A CLEANING/WASTE REMOVAL SUPPLYBRO TEX INC 590.01 12.29WATER UTILITY G&A GENERAL CUSTOMERSBUELTEL, JOY 12.29 13.14WATER UTILITY G&A GENERAL CUSTOMERSBUFFIE, JEFF 13.14 73.70WATER UTILITY G&A GENERAL CUSTOMERSBURNET TITLE 73.70 439.37PRINTING/REPRO SERVICES RENTAL EQUIPMENTCANON FINANCIAL SERVICES 439.37 633.68DESKTOP SUPPORT/SERVICES EQUIPMENT MTCE SERVICECARTRIDGE CARE 633.68 2,129.14DESKTOP SUPPORT/SERVICES OFFICE EQUIPMENTCDW GOVERNMENT INC 2,129.14 36.14PARK MAINTENANCE G & A GENERAL SUPPLIESCEMSTONE PRODUCTS CO 36.14 6,659.36DISCOUNT LOAN PROGRAM OTHER CONTRACTUAL SERVICESCENTER ENERGY & ENVIRONMENT 1,440.00MOVE-UP PROGRAM SERVICES/MRKTG OTHER CONTRACTUAL SERVICES 16,432.00TRANSFORMATION LOAN OTHER CONTRACTUAL SERVICES 24,531.36 1,182.25FACILITY OPERATIONS HEATING GASCENTERPOINT ENERGY 1,097.54PARK MAINTENANCE G & A HEATING GAS 27.44WESTWOOD G & A HEATING GAS 71.23NATURALIST PROGRAMMER HEATING GAS 4,287.52WATER UTILITY G&A HEATING GAS 270.00REILLY G & A HEATING GAS 205.04SEWER UTILITY G&A HEATING GAS 7,141.02 Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 5 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 5Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 2,854.59WATER UTILITY G&A OTHER IMPROVEMENT SUPPLIESCERTIFIED PLUMBING INC 2,854.59 96.00ADULT SOFTBALL OTHER CONTRACTUAL SERVICESCHURCHILL, LEE 96.00 596.14COMM & MARKETING G & A TELEPHONECITIZENS INDEPENDENT BANK 10.86CABLE TV G & A MEETING EXPENSE 1.43CABLE TV G & A BANK CHARGES/CREDIT CD FEES 2.44TELECOMMUNICATIONS COMMISSION GENERAL SUPPLIES 14.05TV PRODUCTION GENERAL SUPPLIES 191.96TV PRODUCTION NON-CAPITAL EQUIPMENT 816.88 2,500.00COMM & MARKETING G & A PRINTING & PUBLISHINGCITY IMAGE COMMUNICATIONS 2,500.00 17,057.25ADMINISTRATION G & A LEGAL SERVICESCOLICH & ASSOCIATES 17,057.25 300.00SUPPORT SERVICES TRAININGCOMBINED TACTICAL SYSTEMS 300.00PATROLTRAINING 600.00 219.90NETWORK SUPPORT SERVICES DATACOMMUNICATIONSCOMCAST 219.90 151.50STREET CAPITAL PROJ G & A IMPROVEMENTS OTHER THAN BUILDICOMMISSIONER OF TRANSPORTATION 151.50 20,000.00COMMUNITY INVOLVEMENT PROGRAM OTHER CONTRACTUAL SERVICESCOMMUNITY INVOLVEMENT PROGRAM 20,000.00 10.28GENERAL REPAIR EQUIPMENT PARTSCONCEPT FINANCIAL GROUP 10.28 54.84PUBLIC WORKS OPS G & A SUBSCRIPTIONS/MEMBERSHIPSCONSTRUCTION MATERIALS 54.84 396.18BUILDING MAINTENANCE GENERAL SUPPLIESCONTINENTAL RESEARCH CORP 396.18 Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 6 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 6Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 240.00ADULT SOFTBALL OTHER CONTRACTUAL SERVICESCOX, BARB 240.00 9.75-GENERAL FUND BALANCE SHEET DUE TO OTHER GOVTSCROWN STAMP & ENGRAVING CO 159.75IT G & A OFFICE SUPPLIES 150.00 1,383.14OPERATIONSBLDG/STRUCTURE SUPPLIESCUB FOODS 1,383.14 73.64GENERAL REPAIR EQUIPMENT PARTSCUMMINS NPOWER LLC 73.64 144.00ADULT SOFTBALL OTHER CONTRACTUAL SERVICESCURRAN-MOORE, KIM 144.00 1,022.40SSD 1 G&A LANDSCAPING MATERIALSCUSTOM PRODUCTS & SERVICES 5,077.92SSD 1 G&A OTHER CONTRACTUAL SERVICES 2,982.00SSD 2 G&A OTHER CONTRACTUAL SERVICES 1,661.40SSD 3 G&A LANDSCAPING MATERIALS 1,857.36SSD 3 G&A OTHER CONTRACTUAL SERVICES 12,601.08 19,381.32WATER UTILITY G&A OTHER IMPROVEMENT SUPPLIESDAKOTA SUPPLY GROUP 19,381.32 1,778.40GENERAL CUSTODIAL DUTIES CLEANING/WASTE REMOVAL SUPPLYDALCO ENTERPRISES INC 776.33BUILDING MAINTENANCE GENERAL SUPPLIES 2,554.73 154.64OPERATIONSBLDG/STRUCTURE SUPPLIESDAMA-MP INC 154.64 37.36GENERAL REPAIR EQUIPMENT MTCE SERVICEDEALER AUTOMOTIVE SERVICES INC 37.36 2,500.00ESCROWSPMC ESCROWDELINE, CHRIS 2,500.00 7,054.91GENERAL REPAIR EQUIPMENT MTCE SERVICEDEPENDABLE TIRE INC 7,054.91 Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 7 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 7Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 294.84EMPLOYEE FLEX SPEND G&A UNEMPLOYMENTDEPT EMPLOYMENT & ECONOMIC DEV 294.84 9,378.30INSPECTIONS G & A DUE TO OTHER GOVTSDEPT LABOR & INDUSTRY 9,378.30 510.00COMMUNICATIONS/GV REIMBURSEABL TELEPHONEDEPT OF PUBLIC SAFETY 510.00 212.25ENTERPRISE G & A ADVERTISINGDEX MEDIA EAST LLC 212.25 4.88-GENERAL FUND BALANCE SHEET DUE TO OTHER GOVTSDISASTER MANAGEMENT SYSTEMS IN 79.95OPERATIONSTRAINING 75.07 145.52GENERAL REPAIR EQUIPMENT PARTSDISCOUNT STEEL INC 145.52 795.00POLICE & FIRE PENSION G&A OTHER CONTRACTUAL SERVICESDIXON, DUWAYNE 795.00 622.74PARK EQUIPMENT MAINTENANCE OTHER CONTRACTUAL SERVICESDJ ELECTRIC SERVICES INC 622.74 999.60COMM & MARKETING G & A PRINTING & PUBLISHINGDO-GOOD.BIZ INC 21,028.82POSTAL SERVICES POSTAGE 22,028.42 240.00ADULT SOFTBALL OTHER CONTRACTUAL SERVICESDUNDOVICH, PATRICIA 240.00 8.59TV PRODUCTION MILEAGE-PERSONAL CARDUNLAP, REG 8.59 78.73WATER UTILITY G&A GENERAL CUSTOMERSDURANT, JOHN 78.73 815.08H.V.A.C. EQUIP. MTCE BUILDING MTCE SERVICEDYMANYK ELECTRIC INC 560.00SSD 1 G&A BUILDING MTCE SERVICE 441.65MUNICIPAL BUILDING G&A IMPROVEMENTS OTHER THAN BUILDI 1,816.73 Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 8 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 8Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 595.00COMM & MARKETING G & A PRINTING & PUBLISHINGECM PUBLISHERS INC 595.00 1,000.00PERFORMING ARTS OTHER CONTRACTUAL SERVICESEDWARD MUSIC, BRUCE 1,000.00 82.72SEWER UTILITY G&A EQUIPMENT MTCE SERVICEELECTRIC PUMP INC 82.72 167.61ROUTINE MAINTENANCE OPERATIONAL SUPPLIESELVIN SAFETY SUPPLY 167.61 397.00GENERAL REPAIR EQUIPMENT PARTSEMERGENCY AUTOMOTIVE TECHNOLOG 397.00 34.51-GENERAL FUND BALANCE SHEET DUE TO OTHER GOVTSEMERGENCY MEDICAL PRODUCTS 215.02POLICE G & A OPERATIONAL SUPPLIES 350.41OPERATIONSOPERATIONAL SUPPLIES 530.92 1,837.13TREE DISEASE PUBLIC CLEANING/WASTE REMOVAL SERVICEEMERY'S TREE SERVICE INC 1,837.13 25.68-GENERAL FUND BALANCE SHEET DUE TO OTHER GOVTSENCORE BROKERS 420.68DESKTOP SUPPORT/SERVICES EQUIPMENT MTCE SERVICE 395.00 594.98GENERAL REPAIR EQUIPMENT PARTSENVIRONMENTAL EQUIPMENT & SERV 594.98 1,370.66GENERAL REPAIR EQUIPMENT PARTSEQUIPMENT DISTRIBUTION MANAGEM 1,370.66 21.66PREVENTATIVE MAINTENANCE GENERAL SUPPLIESFACTORY MOTOR PARTS CO 373.64GENERAL REPAIR EQUIPMENT PARTS 395.30 200.07BUILDING MAINTENANCE EQUIPMENT MTCE SERVICEFAIRMONT FIRE SYSTEMS INC 200.07 Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 9 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 9Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 44.58PARK MAINTENANCE G & A GENERAL SUPPLIESFASTENAL COMPANY 22.23GENERAL REPAIR EQUIPMENT PARTS 66.81 28.51POLICE G & A POSTAGEFEDEX 13.59SEWER UTILITY G&A POSTAGE 42.10 287.62ICE RESURFACER MOTOR FUELSFERRELLGAS 287.62 8.51WATER UTILITY G&A GENERAL CUSTOMERSFEST, MARYANN 8.51 6.63-GENERAL FUND BALANCE SHEET DUE TO OTHER GOVTSFIRE SAFETY USA INC 108.63OPERATIONSEQUIPMENT PARTS 102.00 325.00POLICE G & A GENERAL PROFESSIONAL SERVICESFISCHLER & ASSOCIATES PA 325.00 195.32GENERAL BUILDING MAINTENANCE BUILDING MTCE SERVICEFLOYD TOTAL SECURITY 35.15PARK MAINTENANCE G & A GENERAL SUPPLIES 230.47 700.00PERFORMING ARTS OTHER CONTRACTUAL SERVICESFOGEL, ARNE 700.00 190.17GENERAL REPAIR EQUIPMENT PARTSFORCE AMERICA INC 190.17 2,000.00NEIGHBORHOOD PUBLIC ART OTHER CONTRACTUAL SERVICESFORECAST PUBLIC ARTWORKS 2,000.00 49.00SEASON TICKETS PROGRAM REVENUEFOX, DANA 49.00 333.34ADMINISTRATION G & A LEGAL SERVICESFRANZEN & ASSOCIATES LLC 333.34 159.98SUMMER FIELDTRIPS OTHER CONTRACTUAL SERVICESFUN SERVICES 159.98 Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 10 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 10Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 84.51PATCHING-PERMANENT EQUIPMENT PARTSGARELICK STEEL CO 335.48GENERAL REPAIR EQUIPMENT PARTS 419.99 2,605.25ARENA MAINTENANCE BUILDING MTCE SERVICEGARTNER REFRIG & MFG INC 2,605.25 6,438.50ASSET MANAGEMENT GENERAL PROFESSIONAL SERVICESGOODPOINTE TECHNOLOGY CORP (C/ 6,438.50 18.27OFFICE EQUIP MTCE GENERAL SUPPLIESGRAINGER INC, WW 18.27 773.13WEED CONTROL OTHER CONTRACTUAL SERVICESGREEN HORIZONS 773.13 600.00APPLICATION SUPPORT/SERVICE COMPUTER SERVICESGREEN, HOWARD R COMPANY 600.00 9,118.06GENERAL REPAIR EQUIPMENT PARTSH & L MESABI 9,118.06 3,122.59TREE DISEASE PUBLIC CLEANING/WASTE REMOVAL SERVICEHAINES TREE SERVICE, B J 3,122.59 288.00ADULT SOFTBALL OTHER CONTRACTUAL SERVICESHAMILTON, MIKE 288.00 489.90STORM WATER UTILITY G&A OTHER IMPROVEMENT SERVICEHANSON PIPE & PRECAST INC 489.90 743.16ARENA MAINTENANCE BUILDING MTCE SERVICEHARRIS SERVICE 743.16 40.50RENTAL / BIRTHDAY PARTY RENT REVENUEHARRIS, SHAKEEA 40.50 2,945.02AQUATIC PARK MAINTENANCE GENERAL SUPPLIESHAWKINS INC 1,994.50WATER UTILITY G&A OPERATIONAL SUPPLIES 4,939.52 Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 11 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 11Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 196.41GENERAL REPAIR TIRESHEARTLAND DISTRIBUTION LLC 196.41 312.00ADULT SOFTBALL OTHER CONTRACTUAL SERVICESHENDERSON, TRACY 312.00 1,689.76POLICE G & A EQUIPMENT MTCE SERVICEHENNEPIN COUNTY INFO TECH 1,689.76 5,148.99SYSTEM REPAIR OTHER CONTRACTUAL SERVICESHENNEPIN COUNTY PUBLIC WORKS D 5,148.99 378.27PARK MAINTENANCE G & A GARBAGE/REFUSE SERVICEHENNEPIN COUNTY TREASURER 378.27 1,287.50OPERATIONSGENERAL PROFESSIONAL SERVICESHENNEPIN FACULTY ASSOCIATES 1,287.50 295.00FIRE PREVENTION FIRE PREVENTION SUPPLIESHENNEPIN TECHNICAL COLLEGE 295.00 45.85PAINTINGBLDG/STRUCTURE SUPPLIESHIRSHFIELDS 402.91WATER UTILITY G&A BLDG/STRUCTURE SUPPLIES 448.76 57.10-PARK AND RECREATION BALANCE SH DUE TO OTHER GOVTSHOFFER'S COATINGS INC 935.50PARK GROUNDS MAINTENANCE OTHER CONTRACTUAL SERVICES 878.40 331.20GENERAL BUILDING MAINTENANCE GENERAL SUPPLIESHOME DEPOT CREDIT SERVICES 4.47ROUTINE MAINTENANCE EQUIPMENT PARTS 11.86PARK MAINTENANCE G & A REFUNDS & REIMBURSEMENTS 29.49PARK BUILDING MAINTENANCE GENERAL SUPPLIES 14.87BEAUTIFICATION / FLOWERS SMALL TOOLS 47.66BUILDING MAINTENANCE GENERAL SUPPLIES 439.55 19.94WW RENTAL HOUSE (1322)OTHER IMPROVEMENT SUPPLIESHOME DEPOT CREDIT SRVCS 2.29WESTWOOD G & A GENERAL SUPPLIES 342.51WESTWOOD G & A SMALL TOOLS 364.74 Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 12 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 12Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 16.96GENERAL CUSTODIAL DUTIES GENERAL SUPPLIESHOME HARDWARE 32.12ENGINEERING G & A GENERAL SUPPLIES 63.47RENTALGENERAL SUPPLIES 116.18PARK MAINTENANCE G & A GENERAL SUPPLIES 85.99BUILDING MAINTENANCE GENERAL SUPPLIES 44.89SEWER UTILITY G&A EQUIPMENT PARTS 359.61 69.69ASSESSING G & A MILEAGE-PERSONAL CARHOPPE, MARK 69.69 52.62WATER UTILITY G&A GENERAL CUSTOMERSHORNIG, DAVID 52.62 96.00ADULT SOFTBALL OTHER CONTRACTUAL SERVICESHOWES, KRISTINE 96.00 17.70FACILITY OPERATIONS GENERAL SUPPLIESHSBC BUSINESS SOLUTIONS 53.88JUNIOR NATURALISTS GENERAL SUPPLIES 71.58 325.84ENGINEERING G & A GENERAL SUPPLIESHUDSON MAP 325.84 45.00VEHICLE MAINTENANCE G&A SUBSCRIPTIONS/MEMBERSHIPSIATN 45.00 154.81PRINTING/REPRO SERVICES EQUIPMENT MTCE SERVICEIKON OFFICE SOLUTIONS 164.25WESTWOOD G & A EQUIPMENT MTCE SERVICE 319.06 24.10WATER UTILITY G&A OTHER IMPROVEMENT SUPPLIESINDELCO 24.10 216.20GROUNDS MTCE LANDSCAPING MATERIALSINDEPENDENT BLACK DIRT CO 216.20 3,473.56CITY HALL GENERAL PROFESSIONAL SERVICESINSPEC INC 3,473.56 308.47GENERAL REPAIR EQUIPMENT PARTSINVER GROVE FORD 308.47 Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 13 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 13Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 49.50POLICE G & A OTHER CONTRACTUAL SERVICESIRON MOUNTAIN 49.50 8,900.25NETWORK SUPPORT SERVICES DATACOMMUNICATIONSISD #283 8,900.25 12.34GRAFFITI CONTROL OTHER IMPROVEMENT SUPPLIESJERRY'S MIRACLE MILE 12.34 285.93PARK GROUNDS MAINTENANCE OTHER IMPROVEMENT SUPPLIESJRK SEED & SURG SUPPLY 285.93 1,755.00ESCROWSBass Lake/EDI/UPKENNEDY & GRAVEN 90.00ESCROWSDuke Realty - West End 800.00WESTMORELAND HIA LEGAL SERVICES 2,645.00 14,115.00WATER UTILITY G&A EQUIPMENT MTCE SERVICEKEYS WELL DRILLING CO 14,115.00 9,000.00PARK IMPROVE CAPITAL PROJECT OTHER CONTRACTUAL SERVICESKRECH, O'BRIEN, MUELLER & WASS 9,000.00 17.17WATER UTILITY G&A GENERAL CUSTOMERSKURVERS, V 17.17 217.18POLICE G & A POLICE EQUIPMENTKUSTOM SIGNALS INC 217.18 53.45GENERAL REPAIR EQUIPMENT PARTSLANO EQUIPMENT INC 53.45 225.00MOVE-UP PROGRAM SERVICES/MRKTG OTHER CONTRACTUAL SERVICESLEVIN ARCHITECTS, CHARLES 225.00 130.90POLICE G & A OTHER CONTRACTUAL SERVICESLEXISNEXIS 130.90 127.00COMMUNICATIONS/GV REIMBURSEABL TRAININGLIFESHINE COACHING AND CONSULT 127.00INSPECTIONS G & A TRAINING 254.00 Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 14 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 14Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 81.10ADMINISTRATION G & A MILEAGE-PERSONAL CARLUEDKE, KRIS 81.10 325.00ACCIDENT REPAIR EQUIPMENT MTCE SERVICEMAACO AUTO PAINTING 325.00 116.81GENERAL REPAIR EQUIPMENT PARTSMACQUEEN EQUIP CO 116.81 326.40FITNESS CAMPS OTHER CONTRACTUAL SERVICESMALONE, DANIEL 326.40 85.00WATER UTILITY G&A GENERAL CUSTOMERSMANUEL, MICHAEL 85.00 30.36VEHICLE MAINTENANCE G&A MOTOR FUELSMCCOY, WILLIAM PETROLEUM FUELS 30.36 23.41WATER UTILITY G&A GENERAL CUSTOMERSMCGOVERN SADUSKY INVESTMENTS 23.41 81.09WATER UTILITY G&A GENERAL CUSTOMERSMELSHA, MICHAEL 81.09 43.96WESTWOOD G & A GENERAL SUPPLIESMENARDS 460.74WESTWOOD G & A OTHER IMPROVEMENT SUPPLIES 504.70 1,224.50STORM WATER UTILITY G&A OTHER CONTRACTUAL SERVICESMETRO BLOOMS 1,224.50 50.00OPERATIONSEQUIPMENT PARTSMETRO FIRE INC 50.00 3,613.50INSPECTIONS G & A DUE TO OTHER GOVTSMETROPOLITAN COUNCIL 3,613.50 70.52POLICE G & A OPERATIONAL SUPPLIESMICRO CENTER 70.52 Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 15 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 15Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 647.02PATCHING-PERMANENT OTHER IMPROVEMENT SUPPLIESMIDWEST ASPHALT CORP 647.02 782.04CONCESSIONSCONCESSION SUPPLIESMIDWEST COCA-COLA BTLG 782.04 28,819.59VEHICLE MAINTENANCE G&A MOTOR FUELSMIDWEST FUELS INVER GROVE HEIG 28,819.59 69.75PLAYGROUND EQUIPMENT MAINTENAN GENERAL SUPPLIESMIDWEST PLAYSCAPES INC 69.75 88.50ASSESSING G & A SUBSCRIPTIONS/MEMBERSHIPSMINNEAPOLIS AREA ASSOC REALTOR 88.50 429.00PAWN FEES OTHER CONTRACTUAL SERVICESMINNEAPOLIS FINANCE DEPT 429.00 124.80EMPLOYEE FLEXIBLE SPENDING B/S WAGE GARNISHMENTSMINNESOTA CHILD SUPPORT PYT CT 124.80 213.00GENERAL REPAIR EQUIPMENT PARTSMINNESOTA CONWAY 161.50SEWER UTILITY G&A BLDG/STRUCTURE SUPPLIES 374.50 10.50HUMAN RESOURCES RECRUITMENTMINNESOTA DEPT PUBLIC SAFETY 10.50 99.00ENVIRONMENTAL G & A SUBSCRIPTIONS/MEMBERSHIPSMINNESOTA NURSERY & LANDSCAPE 99.00 256.00VEHICLE MAINTENANCE G&A SUBSCRIPTIONS/MEMBERSHIPSMINNESOTA REVENUE 256.00 117.62PLAYGROUND EQUIPMENT MAINTENAN GENERAL SUPPLIESMINNESOTA/WISCONSIN PLAYGROUND 117.62 80.00COMM & MARKETING G & A PRINTING & PUBLISHINGMINNETONKA, CITY OF 80.00 417.14PRINTING/REPRO SERVICES PRINTING & PUBLISHINGMINUTEMAN PRESS 417.14 Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 16 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 16Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 5,368.00EMPLOYEE FLEX SPEND G&A League of MN Cities dept'l expMN DEPT LABOR & INDUSTRY 5,368.00 2,520.00POLICE G & A TRAININGMN TACTICAL OFFICERS ASSOC 2,520.00 3,306.56ACCIDENT REPAIR EQUIPMENT MTCE SERVICEMORRIE'S BODYWORKS 3,306.56 375.46IRRIGATION MAINTENANCE GENERAL SUPPLIESMTI DISTRIBUTING CO 275.77IRRIGATION MAINTENANCE OTHER IMPROVEMENT SUPPLIES 664.53GENERAL REPAIR EQUIPMENT PARTS 1,315.76 1,593.00WATER UTILITY G&A OTHER CONTRACTUAL SERVICESMVTL LABORATORIES 1,593.00 12.33GENERAL BUILDING MAINTENANCE GENERAL SUPPLIESNAPA (GENUINE PARTS CO) 100.42PARK MAINTENANCE G & A GENERAL SUPPLIES 19.48PARK BUILDING MAINTENANCE BLDG/STRUCTURE SUPPLIES 7.86PREVENTATIVE MAINTENANCE GENERAL SUPPLIES 301.66PREVENTATIVE MAINTENANCE EQUIPMENT PARTS 53.03GENERAL REPAIR GENERAL SUPPLIES 1,069.48GENERAL REPAIR EQUIPMENT PARTS 1,564.26 53.18SPECIAL PROJECTS EQUIPMENT PARTSNEP CORP 112.62PARK MAINTENANCE G & A GENERAL SUPPLIES 44.05VEHICLE MAINTENANCE G&A GENERAL SUPPLIES 209.85 225.00MOVE-UP PROGRAM SERVICES/MRKTG OTHER CONTRACTUAL SERVICESNGUYEN, TAN H 225.00 24,154.20WATER UTILITY G&A OTHERNORTHERN WATER WORKS SUPPLY 24,154.20 82.32STORM WATER UTILITY G&A OTHER CONTRACTUAL SERVICESO'CONNOR, CHARLES 82.32 Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 17 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 17Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 500.00ANIMAL CONTROL OTHER CONTRACTUAL SERVICESOAK KNOLL ANIMAL HOSPITAL 500.00 481.97IT G & A OFFICE SUPPLIESOFFICE DEPOT .24IT G & A GENERAL SUPPLIES 76.66DESKTOP SUPPORT/SERVICES GENERAL SUPPLIES 224.71ASSESSING G & A OFFICE SUPPLIES 118.90FINANCE G & A OFFICE SUPPLIES 212.56POLICE G & A OFFICE SUPPLIES 14.79POLICE G & A OPERATIONAL SUPPLIES 19.18OPERATIONSOFFICE SUPPLIES 224.03INSPECTIONS G & A GENERAL SUPPLIES 142.25ORGANIZED REC G & A OFFICE SUPPLIES 77.55WESTWOOD G & A OFFICE SUPPLIES 1,592.84 247.50INSPECTIONS G & A GENERAL PROFESSIONAL SERVICESOFFICE TEAM 247.50 104.33OPERATIONSOPERATIONAL SUPPLIESOHLIN SALES INC 104.33 319.95AQUATIC PARK MAINTENANCE GENERAL SUPPLIESOLSEN CHAIN & CABLE CO INC 319.95 537.82PORTABLE TOILETS OTHER CONTRACTUAL SERVICESON SITE SANITATION 69.23OUTREACHOTHER CONTRACTUAL SERVICES 607.05 380.00HUMAN RESOURCES RECRUITMENTPARK NICOLLET CLINIC 380.00 400.00SPECIAL EVENTS OTHER CONTRACTUAL SERVICESPARTY UNIT 400.00SUMMER FIELDTRIPS OTHER CONTRACTUAL SERVICES 800.00 13.40WATER UTILITY G&A GENERAL CUSTOMERSPAUTSCH, SHARON 13.40 4,988.50COMM & MARKETING G & A PRINTING & PUBLISHINGPERNSTEINER CREATIVE GROUP INC 4,988.50 Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 18 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 18Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 38.78PARK BUILDING MAINTENANCE GENERAL SUPPLIESPETERSEN ALUMINUM CORP 38.78 41.03WATER UTILITY G&A GENERAL CUSTOMERSPETERSON, TERESA 41.03 10.35HUMAN RIGHTS GENERAL SUPPLIESPETTY CASH 33.60POSTAL SERVICES POSTAGE 14.88COMMUNICATIONS/GV REIMBURSEABL OPERATIONAL SUPPLIES 58.83 21.19POSTAL SERVICES POSTAGEPETTY CASH - WWNC 2.56WESTWOOD G & A GENERAL SUPPLIES 30.92SUMMER GRADE 1 GENERAL SUPPLIES 18.81SUMMER GRADE 2, 3 GENERAL SUPPLIES 34.00THE WESTWOOD CREW GENERAL SUPPLIES 107.48 324.83WATER UTILITY G&A OTHER IMPROVEMENT SUPPLIESPLANT & FLANGED EQUIPMENT 1,800.17SEWER UTILITY G&A OTHER IMPROVEMENT SERVICE 2,125.00 17,270.40PARK IMPROVE CAPITAL PROJECT OTHER CONTRACTUAL SERVICESPLAYPOWER LT FARMINGTON INC 17,270.40 359.20PARK MAINTENANCE G & A TELEPHONEPOPP TELECOM 359.20 307.03WATER UTILITY G&A POSTAGEPOSTMASTER - PERMIT #603 307.03SEWER UTILITY G&A POSTAGE 307.03SOLID WASTE COLLECTIONS POSTAGE 307.03STORM WATER UTILITY G&A POSTAGE 1,228.12 51.72GENERAL REPAIR EQUIPMENT PARTSPRAIRIE LAWN & GARDEN 51.72 90.00ICE RESURFACER EQUIPMENT MTCE SERVICEPRINTERS SERVICE INC 90.00 85.20BLDG/GROUNDS OPS & MAINT BLDG/STRUCTURE SUPPLIESPUMP & METER SERVICE Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 19 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 19Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 192.47BLDG/GROUNDS OPS & MAINT BUILDING MTCE SERVICE 277.67 895.00WATER UTILITY G&A OTHER IMPROVEMENT SERVICEQUALITY RESTORATION SERVICES I 895.00 645.87FACILITY OPERATIONS TELEPHONEQWEST 626.70COMMUNICATIONS/GV REIMBURSEABL TELEPHONE 1,272.57 23.39ICE RESURFACER EQUIPMENT PARTSR & R SPECIALTIES 23.39 44.73COMMUNICATIONS/GV REIMBURSEABL OPERATIONAL SUPPLIESRADIO SHACK CORP 44.73 7,621.51TREE DISEASE PRIVATE CLEANING/WASTE REMOVAL SERVICERAINBOW TREE CARE 1,966.84TREE DISEASE PUBLIC CLEANING/WASTE REMOVAL SERVICE 9,588.35 1,863.32FACILITY OPERATIONS GARBAGE/REFUSE SERVICERANDY'S SANITATION INC 811.00REC CENTER BUILDING GARBAGE/REFUSE SERVICE 79.77WATER UTILITY G&A GARBAGE/REFUSE SERVICE 813.66SOLID WASTE COLLECTIONS GARBAGE/REFUSE SERVICE 3,567.75 97.18WATER UTILITY G&A POSTAGERAPID GRAPHICS & MAILING 97.18SEWER UTILITY G&A POSTAGE 97.18SOLID WASTE COLLECTIONS POSTAGE 97.19STORM WATER UTILITY G&A POSTAGE 388.73 36.00WESTWOOD G & A GENERAL SUPPLIESRAPTOR CENTER 36.00 16.16OPERATIONSTRAININGRASMUSSEN, SUE 16.16 236.34PAVEMENT MANAGEMENT G&A IMPROVEMENTS OTHER THAN BUILDIREED BUSINESS INFORMATION 236.34 Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 20 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 20Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 837.50IRRIGATION MAINTENANCE OTHER CONTRACTUAL SERVICESRELIABLE IRRIGATION & TURF 837.50 59.75WATER UTILITY G&A GENERAL CUSTOMERSRICE, SOPHIE 59.75 570.00PRINTING/REPRO SERVICES EQUIPMENT MTCE SERVICERICOH CORP 570.00 2,295.19WATER UTILITY G&A OTHER CONTRACTUAL SERVICESRMR SERVICES 2,295.19 220.00INSPECTIONS G & A CERTIFICATE OF COMPLIANCEROONEY, PHILIP 220.00 118.12CLEANING/DEBRIS REMOVAL CLEANING/WASTE REMOVAL SERVICERRT PROCESSING SOLUTIONS LLC 118.12 30.08ORGANIZED REC G & A GENERAL SUPPLIESSAM'S CLUB 3,457.59CONCESSIONSCONCESSION SUPPLIES 3,487.67 15.55WATER UTILITY G&A GENERAL CUSTOMERSSCHMIDT, BRIAN 15.55 160.00WATER UTILITY G&A EQUIPMENT MTCE SERVICESENSUS METERING SYSTEMS 160.00 124.77PREVENTATIVE MAINTENANCE GENERAL SUPPLIESSEVERSON PRODUCTS CO 124.77 322.35ADULT FITNESS PROGRAMS OTHER CONTRACTUAL SERVICESSHEEHAN, ALEEAH 322.35 225.00MOVE-UP PROGRAM SERVICES/MRKTG OTHER CONTRACTUAL SERVICESSHELTER ARCHITECTURE 225.00 150.12GRAFFITI CONTROL OTHER IMPROVEMENT SUPPLIESSHERWIN-WILLIAMS CO 150.12 80.14GENERAL BUILDING MAINTENANCE GENERAL SUPPLIESSIEGEL DISPLAY PRODUCTS 80.14 Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 21 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 21Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 12,596.28PARK IMPROVE CAPITAL PROJECT OTHER CONTRACTUAL SERVICESSIGNATURE MECHANICAL INC 12,596.28 2,972.91CONCESSIONSCONCESSION SUPPLIESSIMON DELIVERS INC 2,972.91 30.00OPERATIONSOPERATIONAL SUPPLIESSMITH, CARY S 30.00 192.00ADULT SOFTBALL OTHER CONTRACTUAL SERVICESSODERSTROM, THOMAS 124.80-EMPLOYEE FLEXIBLE SPENDING B/S WAGE GARNISHMENTS 67.20 21.28ADMINISTRATION G & A TRAVEL/MEETINGSSONGLE, LISA 142.32ADMINISTRATION G & A MEETING EXPENSE 163.60 464.45PLUMBING MTCE BLDG/STRUCTURE SUPPLIESSPS COMPANIES INC 144.03WATER UTILITY G&A SMALL TOOLS 608.48 18,141.80PE DESIGN IMPROVEMENTS OTHER THAN BUILDISRF CONSULTING GROUP INC 31,225.71CE DESIGN IMPROVEMENTS OTHER THAN BUILDI 49,367.51 1,414.32SPLASH PAD MAINT - Oak Hill Pk OTHER IMPROVEMENT SUPPLIESST CROIX REC CO 1,414.32 300.00PERFORMING ARTS OTHER CONTRACTUAL SERVICESSTICKS AND TONES BAND 300.00 830.64GENERAL REPAIR EQUIPMENT PARTSSTREICHER'S 1,023.35EQUIPMENT REPLACE G&A MACHINERY & AUTO EQUIPMENT 1,853.99 155.25VOICE SYSTEM MTCE EQUIPMENT MTCE SERVICESUMMIT FINANCIAL RESOURCES LP 155.25 39.20OPERATIONSFIRE ALARM & SPRINKLERSUMMIT FIRE PROTECTION 39.20 Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 22 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 22Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 39.22FINANCE G & A TRAVEL/MEETINGSSWANSON, BRIAN 70.30FINANCE G & A MILEAGE-PERSONAL CAR 109.52 902.68PARK GROUNDS MAINTENANCE OTHER CONTRACTUAL SERVICESTALBERG LAWN & LANDSCAPE INC 902.68 225.00MOVE-UP PROGRAM SERVICES/MRKTG OTHER CONTRACTUAL SERVICESTEA2 225.00 10,644.68SEWER UTILITY G&A OFFICE EQUIPMENTTECH SALES COMPANY 27,742.97SEWER UTILITY G&A OTHER 38,387.65 65.79ADMINISTRATION G & A OTHER CONTRACTUAL SERVICESTELELANGUAGE INC 65.79 308.57ERUOPERATIONAL SUPPLIESTEXSTYLES INTERNATIONAL INC 308.57 662.50BUILDING MAINTENANCE BUILDING MTCE SERVICETHYSSENKRUPP ELEVATOR 662.50 105.80INSPECTIONS G & A GENERAL SUPPLIESTILTON, JOHN 105.80 366.00ADMINISTRATION G & A OTHER CONTRACTUAL SERVICESTIMESAVER OFF SITE SECRETARIAL 366.00 13,150.44ESCROWSDuke Construction-Mps West TSTKDA 13,150.44 240.00ADULT SOFTBALL OTHER CONTRACTUAL SERVICESTRAUTMANN, JOHN 240.00 3,422.00WATER UTILITY G&A BUILDING MTCE SERVICETREMCO WEATHERPROOFING TECH IN 3,422.00 1,925.00DESKTOP SUPPORT/SERVICES GENERAL PROFESSIONAL SERVICESTRESERA CONSULTING LLC 1,925.00 Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 23 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 23Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 834.79NEIGHBORHOOD ASSOCIATION GRANT OTHER CONTRACTUAL SERVICESTRIANGLE NEIGHBORHOOD ASSN 834.79 208.68GENERAL REPAIR EQUIPMENT PARTSTRUCK UTILITIES MFG CO 208.68 95.99GROUNDS MTCE LANDSCAPING MATERIALSTRUGREEN CHEMLAWN 95.99 221.02-TECHNOLOGY REPLACEMENT B/S DUE TO OTHER GOVTSTURNING TECHNOLOGIES LLC 3,621.35DESKTOP SUPPORT/SERVICES OFFICE EQUIPMENT 3,400.33 47.99PARK BUILDING MAINTENANCE GENERAL SUPPLIESTWIN CITY HARDWARE 47.99 288.19GENERAL REPAIR EQUIPMENT PARTSTWIN CITY SAW & SERVICE CO 288.19 25.00HUMAN RESOURCES RECRUITMENTU S BANK 25.00 440.75H.V.A.C. EQUIP. MTCE BUILDING MTCE SERVICEUHL CO INC 440.75 435.70POLICE G & A OPERATIONAL SUPPLIESUNIFORMS UNLIMITED 2,379.12SUPERVISORYOPERATIONAL SUPPLIES 2,604.67PATROLOPERATIONAL SUPPLIES 972.56RESERVESOPERATIONAL SUPPLIES 60.00COMMUNITY SERVICE OFFICER OPERATIONAL SUPPLIES 6,452.05 18.90WATER UTILITY G&A TELEPHONEUSA MOBILITY WIRELESS INC 18.90 87.86PARK MAINTENANCE G & A GENERAL SUPPLIESVALLEY NATIONAL GASES WV LLC 7.36BUILDING MAINTENANCE GENERAL SUPPLIES 7.35GENERAL REPAIR GENERAL SUPPLIES 7.36WATER UTILITY G&A GENERAL SUPPLIES 109.93 Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 24 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 24Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 159.08ENVIRONMENTAL G & A MILEAGE-PERSONAL CARVAUGHAN, JIM 159.08 40.00HUMAN RESOURCES RECRUITMENTVERIFIED CREDENTIALS 40.00 479.60FACILITIES MCTE G & A GENERAL SUPPLIESVERIZON WIRELESS 2,631.70VOICE SYSTEM MTCE TELEPHONE 115.19COMMUNICATIONS/GV REIMBURSEABL TELEPHONE 3,226.49 19.17WATER UTILITY G&A OTHER IMPROVEMENT SUPPLIESVESSCO INC 19.17 113.83ORGANIZED REC G & A MILEAGE-PERSONAL CARVOELKER, STACY M 113.83 320.15WESTWOOD G & A GARBAGE/REFUSE SERVICEWASTE MANAGEMENT 652.90PARK IMPROVE CAPITAL PROJECT OTHER CONTRACTUAL SERVICES 67,520.64SOLID WASTE COLLECTIONS GARBAGE/REFUSE SERVICE 32,181.60SOLID WASTE COLLECTIONS RECYCLING SERVICE 14,815.68SOLID WASTE COLLECTIONS YARD WASTE SERVICE 28,554.72SOLID WASTE DISPOSAL GARBAGE/REFUSE SERVICE 40,565.30SOLID WASTE DISPOSAL YARD WASTE SERVICE 184,610.99 1,345.87CONCESSIONSCONCESSION SUPPLIESWATSON CO INC 4,218.66CONCESSIONSCONCESSION SUPPLIES 5,564.53 85.40BLDG/GROUNDS OPS & MAINT BLDG/STRUCTURE SUPPLIESWESTSIDE EQUIPMENT 1,232.64BLDG/GROUNDS OPS & MAINT BUILDING MTCE SERVICE 1,318.04 9.64-PARK AND RECREATION BALANCE SH DUE TO OTHER GOVTSWHEELER'S AUTOBODY SUPPLY 157.98GENERAL REPAIR EQUIPMENT PARTS 148.34 10,372.25FACILITY OPERATIONS ELECTRIC SERVICEXCEL ENERGY 23,703.20PUBLIC WORKS OPS G & A ELECTRIC SERVICE 5,887.75PARK MAINTENANCE G & A ELECTRIC SERVICE Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 25 07/16/2008CITY OF ST LOUIS PARK 14:43:49R55CKSUM LOG23000VO 25Page -Council Check Summary 07/18/2008 -07/04/2008 Vendor AmountBusiness Unit Object 167.76PARK BUILDING MAINTENANCE ELECTRIC SERVICE 374.56WESTWOOD G & A ELECTRIC SERVICE 19,973.06ENTERPRISE G & A ELECTRIC SERVICE 34,167.68WATER UTILITY G&A ELECTRIC SERVICE 10.73OPERATIONSELECTRIC SERVICE 1,905.63STORM WATER UTILITY G&A ELECTRIC SERVICE 100.65OPERATIONSELECTRIC SERVICE 384.33WIRELESS G & A OTHER CONTRACTUAL SERVICES 97,047.60 203.04AQUATIC PARK G & A GENERAL SUPPLIESZEE MEDICAL SERVICE 203.04 475.00EQUIPMENT REPLACE G&A MACHINERY & AUTO EQUIPMENTZIEBART OF MINNESOTA INC 475.00 Report Totals 881,190.39 Meeting of July 21, 2008 (Item No. 4d) Subject: Vendor Claims Page 26 Meeting Date: July 21, 2008 Agenda Item #: 4e MINUTES St. Louis Park Housing Authority St. Louis Park City Hall, Westwood Room Wednesday, May 14, 2008 5:00 p.m. MEMBERS PRESENT: Commissioners Catherine Courtney, Steve Fillbrandt, Renee Fitzgerald, Trinicia Hill Commissioner Judith Moore arrived at 5:04 p.m. STAFF PRESENT: Jane Klesk, Kevin Locke, Teresa Schlegel, Michele Schnitker 1. Call to Order The meeting was called to order at 5:03 p.m. 2. Approval of Minutes for April, 2008 The Board minutes of April 9, 2008 were unanimously approved. 3. Hearings – None 4. Reports and Committees – None 5. Unfinished Business – None 6. New Business a. Approval of Section 8 Management Assessment Program (SEMAP) Certification Ms. Schnitker explained the SEMAP management assessment system utilized by HUD to annually measure the performance of local HAs administering the Section 8 program. There are fourteen key indicators of performance. Although HUD determines the HA’s final score, based on staff’s examination of the HA’s records the HA will receive a score of 104% and continue to retain high performer status. Commissioner Moore moved to approve execution and transmission of HUD-Form 52648 SEMAP Certification, and Commissioner Fitzgerald seconded the motion. The motion passed 5-0. Meeting of July 21, 2008 (Item No. 4e) Page 2 Subject: Housing Authority Minutes May 14, 2008 b. Approval of Public Housing Assessment System (PHAS) Certification Ms. Schnitker provided background on the PHAS system, a comprehensive tool that qualitatively and quantitatively measures HAs based on objective and uniform standards. There are four key indicators, physical condition, financial condition, management operations and resident service and satisfaction. The HA’s FYE 2007 score was 90 points out of a possible 100 points. Upon review of the certification it was noted that the form included a mistake related to the number of inspections completed that resulted in work orders versus the number of inspections that did not result in any work orders. In addition, it was noted that the second page of the certification was not included in the Board packets. Upon further discussion, the Board agreed to approve submission of the corrected certification and requested that staff e-mail a corrected copy to the Board members. Commissioner Fillbrandt moved to approve Resolution No. 571 Approving the Submission of the Public Housing Assessment System (PHAS) Management Operations Certification with corrections for Fiscal Year Ending March 31, 2008. Commissioner Moore seconded the motion, and the motion passed 5-0. c. Approval of Homes Within Reach Affordable Housing Incentive Fund Award, Resolution No. 572 Ms. Schnitker requested the Board’s support and approval of Hennepin County Housing and Redevelopment Authority’s (HCHRA’s) participation in the Homes Within Reach (HWR) project, through the award of an Affordable Housing Incentive Funds (AHIF) loan in the amount of $140,000, to assist in financing acquisition, rehabilitation and financing affordable ownership opportunities. Commissioner Fitzgerald moved to approve Resolution No. 572, Approve the Homes Within Reach Affordable Housing Incentive Fund Award, and Commissioner Moore seconded the motion. The motion passed 5-0. d. FYE 2009 Action Plan Ms. Schnitker reviewed the revised Fiscal Year Ending 2009 Action Plan, which addresses the Vision Elements and sets HA goals for the upcoming year, and serves as a “blueprint” for staff initiatives for 2009. Commissioner Fillbrandt moved to adopt the FYE 2009 Action Plan, and Commissioner Fitzgerald seconded the motion. The motion passed 5-0. Meeting of July 21, 2008 (Item No. 4e) Page 3 Subject: Housing Authority Minutes May 14, 2008 e. Contract Approval for Architectural Service for the Capital Fund Program (CFP) Ms. Schlegel presented an overview of the contract for architectural services to be provided by Studio Five Architects for the upcoming Public Housing capital improvement work. Commissioner Fitzgerald expressed concerns related to the cost and the scope of architectural services being proposed. Commissioner Fitzgerald stated Studio Five Architects should be required to provide a breakdown of general contractor and supervisor hours, along with their hourly rates, allocated to each project. After a lengthy discussion, the Commissioners agreed to table approval of the contract and revisit the matter at the June Board meeting, following further research by staff. 7. Communications from Executive Director a. Claims List May – 2008 b. Communications 1. Monthly Report May – 2008 2. Development Report 3. Scattered Site Houses and Hamilton House (verbal report) 4. Draft Financial Statements – Report 8. Other 9. Adjournment Commissioner Moore moved to adjourn the meeting, and Commissioner Fillbrandt seconded the motion. The motion passed 5-0. The meeting was adjourned at 6:37 p.m. Respectfully submitted, __________________________ Renee Fitzgerald, Secretary Meeting Date: July 21, 2008 Agenda Item #: 5a Regular Meeting Public Hearing Action Item Consent Item Resolution Ordinance Presentation Other: Boards and Commissions EDA Meeting Action Item Resolution Other: Study Session Discussion Item Written Report Other: TITLE: Appointment of Citizen Representative to Boards and Commissions. RECOMMENDED ACTION: Motion to appoint citizen representative Michael Mulligan to the Telecommunications Advisory Commission filling a vacancy for a term expiring December 31, 2008. POLICY CONSIDERATION: Does the Council wish to appoint Michael Mulligan to the Telecommunications Advisory Commission? BACKGROUND: The City Council interviewed applicant Michael Mulligan July 14, 2008 to fill a vacancy on the Telecommunications Advisory Commission due to the resignation of Bob Jacobson who has served since 1997. After the interview, Council discussed the candidate and agreed to make an appointment to the Telecommunications Advisory Commission. Vacancies for Youth Commissioners The City Clerk’s office is continuing to work on recruitment for youth openings on the following Boards & Commissions: Human Rights Commission (two openings); Parks & Recreation Advisory Commission (one opening); and Telecommunications Advisory Commission (one opening). Information about our youth commissioner openings has been presented to the local high schools, listed in the Sun Sailor Newspaper, on the city’s website and in the Park Perspective. We will promote these openings again once school resumes. FINANCIAL OR BUDGET CONSIDERATION: Not applicable. VISION CONSIDERATION: Appointing diverse citizen representatives who volunteer as commissioners to the various Boards and Commissions assures St. Louis Park is consistent with the Council’s Strategic Direction of being a connected and engaged community. Prepared by: Lisa Songle, Office Assistant Reviewed by: Nancy Stroth, City Clerk Approved by: Tom Harmening, City Manager Meeting Date: July 21, 2008 Agenda Item #: 6a 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: Housekeeping Amendments to Chapter 3 Alcoholic Beverages. RECOMMENDED ACTION: Mayor to close the public hearing. Motion to adopt first reading of ordinance amendments to Chapter 3 Sections 3-32, 3-57, and 3-61 of the St. Louis Park Code of Ordinances concerning alcohol beverages and set second reading for August 4, 2008. POLICY CONSIDERATION: Does the Council wish to proceed with the housekeeping amendments to Chapter 3 of the City Code concerning alcoholic beverages as proposed by staff and city attorney? BACKGROUND: At the June 23, 2008 Study Session a written report was submitted for council review regarding housekeeping amendments to the liquor ordinance providing better consistency with Minnesota State Statutes. The required public hearing notice was published on July 3, 2008 in the Sun Sailor newspaper. The proposed housekeeping amendments include the following: 1. Deleting Reference to off-sale licenses allowed in a “Drugstore” MN Statutes § 340A.405 Subd. 1 states an off-sale intoxicating liquor license may be issued to an exclusive liquor store or to a drugstore to which an off-sale license had been issued on or prior to May 1, 1994. No drugstore in St. Louis Park sells alcohol nor is it allowed. In an effort to clean up our ordinance, staff recommends deleting references to “drugstore” in Sections 3-32 and 3-57 of Chapter 3. 2. Adding language regarding Brewpub Licensing MN Statutes § 340A.301 allows the off-sale of malt beverages brewed on the premises of a licensed brewpub establishment. Municipalities may issue, with approval of the State Alcohol and Gambling Enforcement Division, an off-sale malt liquor license to a licensed Brewpub within its jurisdiction. The brewpub off-sale malt liquor license allows the off-sale of containers of brewpub malt beverages commonly referred to as “growlers”. Sales made under this license must meet certain specific packaging requirements detailed in state statute. Off-sale of brewpub malt beverages may only be sold during the hours permitted by law for off-sale liquor stores. Granite City Food & Brewery is currently the only state licensed brewpub establishment in St. Louis Park. Current ordinance does not include language defining a brewpub or brewpub off-sale malt liquor license requirements. Meeting of July 21, 2008 (Item 6a) Page 2 Subject: 1st Reading Chapter 3 Alcoholic Beverages Amendments It was assumed establishments under this definition of a brewery were regulated through application to the State Alcohol and Gambling Board. The State application for a brew pub off-sale malt liquor license completed by Granite City was submitted to the State along with their other required paperwork in September of 2006 by the Clerk’s office when first applying for their liquor license. Since Granite City Food & Brewery has been operating under this capacity since 2006 with no problems, we recommend they be allowed to continue while we clean up our ordinance. The City Attorney’s office is recommending that Section 3-57 of our ordinance code be amended by adding language to allow this type of activity and to assure the city is in compliance with state statute. Staff is also recommending adding a license fee of $100 for a brewpub off-sale malt liquor license. Any brewpub establishments that would like to add this type of activity in the future would be required to apply for such license with the City Clerk. When we process this change, we will recommend approval of the brewpub off-sale malt liquor license for Granite City Food & Brewery. 3. Deleting Reference to Liquor Liability Insurance Amounts MN Statutes § 340A.409 refers to required insurance liquor liability coverage amounts. Staff recommends amending ordinance section 3-61 to refer to state statute section numbers and remove required dollar amounts and references to Appendix A. By referring to state statute instead of an actual dollar amount it will make it easier for our city to comply with statutory changes in limits. FINANCIAL OR BUDGET CONSIDERATION: Not applicable. VISION CONSIDERATION: Not applicable. Attachments: Ordinance Summary Publication Prepared by: Nancy Stroth, City Clerk Reviewed by: Nancy Gohman, Deputy City Manager/HR Director Approved by: Tom Harmening, City Manager Meeting of July 21, 2008 (Item 6a) Page 3 Subject: 1st Reading Chapter 3 Alcoholic Beverages Amendments ORDINANCE NO. ___-08 AN ORDINANCE AMENDING CHAPTER 3, SECTIONS 3-32, 3-57, 3-61 OF THE ST. LOUIS PARK CODE OF ORDINANCES CONCERNING ALCOHOLIC BEVERAGES THE CITY OF ST. LOUIS PARK DOES ORDAIN: SECTION 1. Section 3-32 of the City Code is hereby amended to read as follows by deleting stricken language and adding underscored language: Brewpub means an establishment in which malt liquor is brewed or manufactured for sale and consumption on tap on the premises where the malt liquor is brewed or for sale and personal consumption off the brewer’s premises. Drugstore means any place where prescription drugs are kept, compounded and sold, and at all times such prescription drugs shall be in charge of a registered pharmacist or assistant pharmacist during the temporary absence of the registered pharmacist. SECTION 2. Section 3-57 of the City Code is hereby amended to read as follows by deleting stricken language and adding underscored language: (2) Off-sale intoxicating liquor license. Off-sale intoxicating liquor licenses may be issued to drugstores and an exclusive liquor store, and shall permit off-sale of intoxicating liquor and 3.2 percent malt liquor. (12) Brewpub off sale malt liquor license. A brew pub off-sale malt liquor license may be issued, with the approval of the commissioner, to a brewer who holds an on-sale intoxicating liquor or 3.2 percent malt liquor license issued by the city for a restaurant operated in the place of manufacture, subject to the following conditions: a. The malt liquor sold off-sale must be produced and packaged on the licensed premises. b. Off-sale of malt liquor shall be limited to the legal hours for off-sale pursuant to section 3-105. c. The malt liquor sold off-sale must be removed from the licensed premises before the applicable off-sale closing time pursuant to section 3-105. d. The malt liquor sold off-sale shall be packaged in 64-ounce containers commonly known as “growlers,” and shall have the following requirements for packaging: 1) The containers shall bear a twist type closure, cork, stopper or plug. 2) At the time of sale, a paper or plastic adhesive band, strip or sleeve shall be applied to the container and extend over the top of the twist Meeting of July 21, 2008 (Item 6a) Page 4 Subject: 1st Reading Chapter 3 Alcoholic Beverages Amendments type closure, cork, stopper or plug forming a seal that must be broken upon opening of the container or bottle. 3) The adhesive band, strip or sleeve shall bear the name and address of the brewer/licensee selling the malt liquor. 4) The containers shall be identified as malt liquor, contain the name of the malt liquor, bear the name and address of the brewer/licensee selling the malt liquor, and the contents in the container packaged as required herein shall be considered intoxicating liquor unless the alcoholic content is labeled as otherwise in accordance with the provisions of Minnesota Rules, part 7515.1100. e. The retail sales for a brewer/licensee at on-sale or off-sale under this subsection may not exceed 3,500 barrels per year, provided that off-sales may not total more than 50 percent of the brewer/licensee's production or 500 barrels, whichever is less. f. A brewer operating a brewpub may hold or have an interest in other retail on-sale licenses, but may not have an ownership interest in whole or in part, or be an officer, director, agent or employee of, any other manufacturer, brewer, importer, or wholesaler or be an affiliate thereof, whether the affiliation is corporate or by management, direction or control. Notwithstanding this prohibition, a brewer licensed under this provision may be an affiliate or subsidiary company of a brewer licensed in Minnesota or elsewhere if that brewer's only manufacture of malt liquor is: 1) As a brewpub as defined herein and limited to the regulations of a brewpub by this chapter; 2) Manufactured in another state for consumption exclusively in a restaurant located in the place of manufacture or brewing; or 3) Manufactured in another state for consumption primarily in a restaurant located in or immediately adjacent to the place of manufacture, if the brewer was licensed subject to the regulations herein on January 1, 1995. SECTION 3. Section 3-61 of the City Code is hereby amended to read as follows by deleting stricken language and adding underscored language: Except a stated otherwise in this division, all applicants for a liquor license or consumption and display permit must, as a condition to the issuance of such license or permit, demonstrate to the city proof of financial responsibility with regard to liability imposed by M.S.A. § 340A.801, by providing proof of liquor liability, dram shop, general liability and worker’s compensation insurance coverage. (1) Liability. Proof of financial responsibility shall be given by filing one of the following: a. A certificate stating that there is in effect for the license period an insurance policy issued by an insurer required to be licensed under M.S.A. 60A.07, subd. 4, Meeting of July 21, 2008 (Item 6a) Page 5 Subject: 1st Reading Chapter 3 Alcoholic Beverages Amendments or by an insurer recognized as an eligible surplus lines carrier pursuant to M.S.A. § 60A.206, or pool providing at least the insurance coverage amounts as shall be set from time to time by the city and a schedule of such insurance rates are listed in appendix A to this Code required by M.S.A. § 340A.409. b. A certificate of the state treasurer commissioner of finance stating that the licensee has deposited with the state treasurer commissioner of finance $100,000 in cash or securities which may legally be purchased by savings banks or for trust funds having a market value of $100,000.00 in an amount required by M.S.A. § 340A.409. (2) Dram shop. An annual aggregate policy limit for dram shop insurance of not less than the amounts as shall be set form time to time by the city and a schedule of such insurance rates are listed in appendix A to this Code required by M.S.A. § 340A.409 may be included in the policy provisions. SECTION 4. Appendix A Fee Schedule, Chapter 3: Alcoholic Beverages, is hereby amended by adding the following language: Brewpub Off-Sale Malt Liquor License $100 SECTION 5. This ordinance shall be deemed adopted and take effect fifteen days after its publication. Reviewed for Administration Adopted by the City Council August 4, 2008 City Manager Mayor Attest: Approved as to Form and Execution: City Clerk City Attorney First Reading July 21, 2008 Second Reading August 4, 2008 Date of Publication August 14, 2008 Date Ordinance takes effect August 29, 2008 Meeting of July 21, 2008 (Item 6a) Page 6 Subject: 1st Reading Chapter 3 Alcoholic Beverages Amendments SUMMARY ORDINANCE NO. ___-08 AN ORDINANCE AMENDING CHAPTER 3, SECTIONS 3-32. 3-57, 3-61 OF THE ST. LOUIS PARK CODE OF ORDINANCES CONCERNING ALCOHOLIC BEVERAGES This ordinance amends the liquor licensing provisions for the City of St. Louis Park to comply with state statute liquor license laws and regulations regarding brewpub off-sale malt liquor licensing and liquor liability. This ordinance shall take effect 15 days after publication. Adopted by the City Council August 4, 2008 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 14, 2008 Meeting Date: July 21, 2008 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: Private Activity Revenue Refunding Bonds – Park Nicollet Health Services. RECOMMENDED ACTION: Motion to adopt the attached resolutions authorizing the issuance of up to $160,000,000 in principal amount of variable rate bonds (Series 2008A, 2008B-1, and 2008B-2) and up to $250,000,000 in principal amount of fixed rate bonds (Series 2008C) for the benefit of Park Nicollet. POLICY CONSIDERATION: Does the City Council wish to undertake the action as proposed? This action is consistent with our approved policy for issuing private activity revenue bonds. BACKGROUND: Park Nicollet is requesting that the City of St. Louis Park issue private activity revenue refunding bonds for the purposes of refunding certain tax-exempt obligations previously issued by the City, including the Health Care Facilities Revenue Bonds (Park Nicollet Health Services), Series 2003A Periodic Auction Reset Securities (PARS), the Health Care Facilities Revenue Refunding Bonds (Park Nicollet Health Services), Series 2007A, and the Health Care Facilities Revenue Bonds (Park Nicollet Health Services), Series 2007B. The principal amount of the Series 2008 refunding bonds will not exceed $410,000,000. Park Nicollet is proposing to refinance all its outstanding debt at this time because of the recent disruptions in the municipal bond market, due in large part to the market’s loss of confidence in bond insurance companies. AMBAC (the insurer of all the bonds to be refunded) has been downgraded by the rating agencies from its former AAA rating. For Park Nicollet’s outstanding insured bonds, the problems in the municipal bond market have caused significant interest rate fluctuations and auction failures for the Series 2003A Bonds (auction failures result in an interest rate of 13% on the bonds for a certain period of time). Park Nicollet’s main goal in refinancing its outstanding bonds is to obtain a reasonable interest rate. FINANCIAL OR BUDGET CONSIDERATION: Park Nicollet has provided a new application along with a fee of $5,000 in accordance with our policy. These bonds are not obligations of the city in any respect. They are payable solely from revenues of the Obligated Group (Park Nicollet Clinic, Park Nicollet Methodist Hospital and other wholly owned entities of Park Nicollet Health Services). PNHS will pay a fee of 1/8th of one percent (in two semi-annual payments) to the city on any bonds outstanding each year. These monies will be deposited in the city’s Housing Rehabilitation fund. Meeting of July 21, 2008 (Item No. 8a) Page 2 Subject Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 VISION CONSIDERATION: None at this time. Attachments: Resolutions Application Prepared by: Bruce DeJong, Finance Director Approved by: Tom Harmening, City Manager Meeting of July 21, 2008 (Item No. 8a) Page 3 Subject Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 CITY OF ST. LOUIS PARK, MINNESOTA RESOLUTION NO. 08-_____ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ST. LOUIS PARK, MINNESOTA, AUTHORIZING THE ISSUANCE, SALE, AND DELIVERY OF ITS VARIABLE RATE DEMAND REVENUE REFUNDING BONDS (PARK NICOLLET HEALTH SERVICES), SERIES 2008 FOR THE BENEFIT OF PARK NICOLLET HEALTH SERVICES, PARK NICOLLET METHODIST HOSPITAL, PARK NICOLLET INSTITUTE, PARK NICOLLET CLINIC, PNMC HOLDINGS, AND PARK NICOLLET HEALTH CARE PRODUCTS; PAYABLE SOLELY FROM REVENUES PLEDGED PURSUANT TO THE INDENTURE; APPROVING THE FORM OF AND AUTHORIZING THE EXECUTION AND DELIVERY OF THE BONDS AND RELATED DOCUMENTS; AND PROVIDING FOR THE SECURITY, RIGHTS, AND REMEDIES WITH RESPECT TO THE BONDS WHEREAS, the City of St. Louis Park, Minnesota (the “City”), is a home rule city and political subdivision duly organized and existing under its Charter and the Constitution and laws of the State of Minnesota; and WHEREAS, pursuant to the Minnesota Statutes, Sections 469.152-469.165, as amended (the “Act”), the City is authorized to issue revenue bonds for the following purposes: (i) to finance, in whole or in part, the cost of the acquisition, construction, reconstruction, improvement, betterment or extension of a project, defined in the Act as any properties, real or personal, used or useful in connection with a revenue producing enterprise; and (ii) to refund, in whole or in part, bonds previously issued by the City under the authority of the Act and interest on such bonds; and WHEREAS, Park Nicollet Health Services, a Minnesota nonprofit corporation, Park Nicollet Methodist Hospital, a Minnesota nonprofit corporation, Park Nicollet Institute, a Minnesota nonprofit corporation, Park Nicollet Clinic, a Minnesota association that has elected to be treated as a nonprofit corporation, PNMC Holdings, a Minnesota nonprofit corporation, and Park Nicollet Health Care Products, a Minnesota nonprofit corporation (collectively, the “Obligated Group” and individually, a “Member” or “Member of the Obligated Group”), has requested the issuance of revenue refunding bonds pursuant to the Act in a principal amount not to exceed $160,000,000, to redeem and prepay the outstanding principal amount of the (i) Health Care Facilities Revenue Refunding Bonds (Park Nicollet Health Services), Series 2007A, issued by the City on November 14, 2007, in the original aggregate principal amount of $41,600,000 (the “Series 2007A Bonds”); (ii) Health Care Facilities Revenue Bonds (Park Nicollet Health Services), Series 2007B-1, issued by the City on November 14, 2007, in the original aggregate principal amount of $56,595,000 (the “Series 2007B-1 Bonds”); and (iii) Health Care Facilities Revenue Bonds (Park Nicollet Health Services), Series 2007B-1, issued by the City on November 14, 2007, in the original aggregate principal amount of $44,575,000 (the “Series 2007B-2 Bonds,” and collective with the Meeting of July 21, 2008 (Item No. 8a) Page 4 Subject Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 Series 2007B-1 Bonds, the “Series 2007B Bonds”). The Series 2007A Bonds and the Series 2007B Bonds (collectively, the “Prior Bonds”), were issued by the City under the authority of the Act for the benefit of the Obligated Group; and WHEREAS, the proceeds derived from the sale of the Series 2007A Bonds were loaned to the Obligated Group and applied by the Obligated Group to: to redeem and prepay the Health Care Facilities Revenue Bonds (Park Nicollet Health Services), Series 2003B, previously issued by the City in the original aggregate principal amount of $41,550,000 (the “Series 2003B Bonds”). The proceeds of the Series 2003B Bonds were used to finance: (i) the construction and equipping of the Obligated Group’s Heart and Vascular Center at Park Nicollet Methodist Hospital located at 6500 Excelsior Boulevard in the City of St. Louis Park, the construction of a parking ramp and other improvements at Park Nicollet Methodist Hospital, the construction of public infrastructure improvements with respect to the foregoing, and the acquisition and installation of equipment for Park Nicollet Methodist Hospital; and (ii) the acquisition and installation of a computed tomography scanner (“CT Scanner”) at the facilities of the Obligated Group located at 1400 Fairview Drive in the City of Burnsville, Minnesota, a CT Scanner at the facilities of the Obligated Group located at 15800 95th Avenue North in the City of Maple Grove, Minnesota, and a CT Scanner and a magnetic resonance imaging scanner (“MRI Scanner”) at the facilities of the Obligated Group located at 250 North Central Avenue in the City of Wayzata, Minnesota; and WHEREAS, the proceeds derived from the sale of the Series 2007B Bonds were loaned to the Obligated Group to finance: (i) the acquisition, construction, and equipping of an approximately 82,000 square foot building to house the Obligated Group’s Cancer Center and related facilities with approximately 31,000 square feet of the building reserved for future expansion, to be located at 6490 Excelsior Boulevard in the City of St. Louis Park; (ii) the acquisition, construction, and equipping of a new parking ramp which will include approximately 1,700 parking stalls adjacent to the Cancer Center; (iii) the redesign and renovation of the emergency center at Methodist Hospital located at 6500 Excelsior Boulevard in the City of St. Louis Park; (iv) construction and equipping of a new common entrance to Methodist Hospital, the Meadowbrook Building, and the new Cancer Center; and (v) the acquisition, construction, and equipping of an approximately 69,000 square foot Eating Disorders Institute, including a parking ramp and surface lot with an estimated 220 parking stalls, to be located at 3525 Monterey Drive in the City; and WHEREAS, the revenue bonds to be issued to refund the Prior Bonds will be issued under an Indenture of Trust, dated on or after August 1, 2008 (the “Indenture”), between the City and Wells Fargo Bank, National Association (the “Trustee”), and the revenue bonds will be designated as Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Services), Series 2008, or such other name as may be designated by appropriate officers of the City (the “Bonds”) and shall be issued in three separate series (including the Series 2008A, Series 2008B-1 and Series 2008B-2); and Meeting of July 21, 2008 (Item No. 8a) Page 5 Subject Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 WHEREAS, the proceeds derived from the sale of the Bonds will be loaned to the Obligated Group pursuant to the terms of a Loan Agreement, dated on or after August 1, 2008 (the “Loan Agreement”), between the City and the Obligated Group, and will be applied, together with other available funds of the Obligated Group, to the defeasance, redemption and prepayment of the Prior Bonds and the payment of certain expenses incurred in connection with the issuance of the Bonds; and WHEREAS, in consideration of the loan by the City of the proceeds of the Bonds to the Obligated Group and to secure the payment of the principal of, premium, if any, and interest on the Bonds when due, the Obligated Group will issue and deliver to the City its Series 2008A/B Obligation pursuant to a Supplemental Indenture, dated on or after August 1, 2008, pursuant to a Master Trust Indenture, dated as of November 1, 2003, as amended (the “Master Indenture”), between the Obligated Group and Wells Fargo Bank, National Association, which will be in the same aggregate principal amount and bear interest at the same rates as the Bonds, will have redemption provisions corresponding to those of the Bonds, and will be payable in installments equal to the maturities and mandatory redemptions of the Bonds; and WHEREAS, the loan repayments required to be made by the Obligated Group under the terms of the Loan Agreement will be assigned to the Trustee under the terms of the Indenture and the Series 2008A/B Obligation will be assigned by the City to the Trustee under the terms of the Indenture; and WHEREAS, concurrently with the execution and delivery of the Indenture and the original issuance of the Bonds, Wells Fargo Bank, National Association, a national banking association (the “Credit Bank”), will issue and deliver to the Trustee an Irrevocable Letter of Credit (the “Letter of Credit”) providing for payment when due of the principal of and interest on the Bonds and payment of the Purchase Price, as hereinafter defined, of Bonds tendered for purchase; and WHEREAS, the Bonds and the interest and any premium on the Bonds: (i) shall be payable solely from the revenues pledged therefor; (ii) shall not constitute a debt of the City within the meaning of any constitutional or statutory limitation; (iii) shall not constitute nor give rise to a pecuniary liability of the City or a charge against its general credit or taxing powers; and (iv) shall not constitute a charge, lien, or encumbrance, legal or equitable, upon any property of the City other than the City’s interest in the Loan Agreement and the Series 2008A/B Obligation; and Meeting of July 21, 2008 (Item No. 8a) Page 6 Subject Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ST. LOUIS PARK, MINNESOTA, AS FOLLOWS: 1. The City acknowledges, finds, determines, and declares that: (i) the issuance of the Bonds is authorized by the Act; (ii) the application of the proceeds of the Bonds to the defeasance, redemption and prepayment of the Prior Bonds and the payment of certain expenses incurred in connection with the issuance of the Bonds is consistent with and furthers the purposes of the Act; and (ii) the facilities refinanced with the proceeds of the Bonds constitute a “project” within the meaning of Section 469.153, subdivision 2(b) and (d) of the Act. 2. For the purposes set forth above, there is hereby authorized the issuance, sale, and delivery of the Bonds in one or more series in the maximum aggregate principal amount not to exceed $160,000,000. Each series of Bonds shall bear interest at variable rates established on such dates and in accordance with the terms of the Indenture or may be issued, in whole or in part, or converted to Bonds that bear interest at fixed rates in accordance with the terms of the Indenture. Each series of Bonds shall be designated, shall be numbered, shall be dated, shall mature, shall be subject to redemption prior to maturity, shall be in such form, and shall have such other terms, details, and provisions as are prescribed in the Indenture, in the form now on file with the City, with the amendments referenced herein. The City hereby authorizes the Bonds to be issued as “tax- exempt bonds” the interest on which is not includable in gross income for federal and State of Minnesota income tax purposes. All of the provisions of the Bonds, when executed as authorized herein, shall be deemed to be a part of this resolution as fully and to the same extent as if incorporated verbatim herein and shall be in full force and effect from the date of execution and delivery thereof. The Bonds shall be substantially in the form or forms set forth in the Indenture, which form or forms are hereby approved, with such necessary and appropriate variations, omissions and insertions (including changes to the name of the Bonds, the aggregate principal amount of the Bonds, the stated maturities of the Bonds and the maturity dates of the Bonds, the initial interest rates on the Bonds and the terms for determining the variable rates or the fixed rates on the Bonds, and the terms of optional and mandatory redemption of the Bonds) as the Mayor of the City and the City Manager of the City (the “Mayor” and “City Manager”), in their discretion, shall determine. The execution of the Bonds with the manual or facsimile signatures of the Mayor and the City Manager and the delivery of the Bonds by the City shall be conclusive evidence of such determination. 3. The Bonds shall be special limited obligations of the City the proceeds of which shall be disbursed pursuant to the terms of the Indenture and the Loan Agreement, and the principal, premium, and interest on the Series Bonds shall be payable solely from the proceeds of the Bonds, the revenues derived from the Obligated Group pursuant to the terms of the Loan Agreement and the Series 2008A/B Obligation, and other funds pledged pursuant to the Indenture. The Bonds may also be secured by the Letter of Credit issued by the Credit Bank. Meeting of July 21, 2008 (Item No. 8a) Page 7 Subject Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 4. The City Council of the City hereby authorizes and directs the Mayor and the City Manager to execute and deliver the Indenture, and to deliver to the Trustee the Indenture, and hereby authorizes and directs the execution of the Bonds in accordance with the terms of the Indenture, and hereby provides that the Indenture shall provide the terms and conditions, covenants, rights, obligations, duties, and agreements of the owners of the Bonds, the City, and the Trustee as set forth therein. All of the provisions of the Indenture, when executed as authorized herein, shall be deemed to be a part of this resolution as fully and to the same extent as if incorporated verbatim herein and shall be in full force and effect from the date of execution and delivery thereof. The Indenture shall be substantially in the form on file with the City, which is hereby approved, with such necessary and appropriate variations, omissions, and insertions as do not materially change the substance thereof, or as the Mayor and the City Manager, in their discretion, shall determine, and the execution and delivery thereof by the Mayor and the City Manager shall be conclusive evidence of such determination. 5. The Mayor and City Manager are hereby authorized and directed to execute and deliver the Loan Agreement, the Purchase Contract, dated on or after August 1, 2008 (the “Wells Fargo Purchase Contract”), between Wells Fargo Brokerage Services, LLC. (“Wells Fargo”) and the City (pursuant to which Wells Fargo will purchase a portion of the Series 2008 Bonds), and the Letter of Representations and Indemnification, dated on or after August 1, 2008 (the “Wells Fargo Letter of Representation”), between the Wells Fargo, the City, and the Obligated Group, the Purchase Contract, dated on or after August 1, 2008 (the “Morgan Stanley Purchase Contract,” and collectively with the Wells Fargo Purchase Contract, the “Purchase Contracts”), between Morgan Stanley & Co. Incorporated (“Morgan Stanley”) and the City (pursuant to which Morgan Stanley will purchase a portion of the Series 2008 Bonds), and the Letter of Representations and Indemnification, dated on or after August 1, 2008 (the “Morgan Stanley Letter of Representations,” and collectively with the Wells Fargo Letter of Representations, the “Letters of Representations”), between Morgan Stanley, the City, and the Obligated Group. All of the provisions of the Loan Agreement, the Purchase Contracts, and the Letters of Representations, when executed and delivered as authorized herein, shall be deemed to be a part of this resolution as fully and to the same extent as if incorporated verbatim herein and shall be in full force and effect from the date of execution and delivery thereof. The Loan Agreement, the Purchase Contracts, and the Letters of Representations shall be substantially in the forms on file with the City which are hereby approved, with such omissions and insertions as do not materially change the substance thereof, or as the Mayor and the City Manager, in their discretion, shall determine, and the execution thereof by the Mayor and the City Manager shall be conclusive evidence of such determination. Meeting of July 21, 2008 (Item No. 8a) Page 8 Subject Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 6. The Bonds shall be revenue obligations of the City the proceeds of which shall be disbursed pursuant to the terms of the Indenture and the Loan Agreement, and the principal, premium, and interest on the Bonds shall be payable solely from the proceeds of the Bonds, the revenues derived from the Loan Agreement, the revenues derived from the Series 2008A/B Obligation, the money held in the funds and accounts established under the Indenture, payments made in accordance with the terms of the Letter of Credit, and the other sources set forth in the Indenture. 7. The Trustee is hereby appointed as the initial paying agent, bond registrar, and tender agent with respect to the Bonds. 8. The Mayor and City Manager of the City are hereby authorized to execute and deliver, on behalf of the City, such other documents as are necessary or appropriate in connection with the issuance, sale, and delivery of the Bonds, including one or more certificates of the City, an endorsement of the City to a tax certificate of the Obligated Group, the Information Return for Tax-Exempt Private Activity Bond Issues, Form 8038, and all other documents and certificates as shall be necessary and appropriate in connection with the issuance, sale, and delivery of the Bonds. The City hereby approves the execution and delivery by the Trustee of the Indenture and all other instruments, certificates, and documents prepared in conjunction with the issuance of the Bonds that require execution by the Trustee. The City hereby authorizes Kennedy & Graven, Chartered, as bond counsel of the City, to prepare, execute, and deliver its approving legal opinion with respect to the Bonds. 9. The City has not participated and will not participate in the preparation of the Official Statement relating to the offer and sale of the Bonds (the “Official Statement”) except for information regarding the City to be set forth in the Official Statement under captions entitled “The City” and “Litigation—The City” (collectively, the “City Information”). The City has not made and will not make any independent investigation with respect to the information contained in the Official Statement (except for the City Information), including the appendices thereto, and the City assumes no responsibility for the sufficiency, accuracy, or completeness of such information. Subject to the foregoing, the City hereby consents to the distribution and the use by the Underwriter in connection with the sale of the Bonds of the Official Statement, in the form on file with the City. The Official Statement is the sole material consented to by the City for use in connection with the offer and sale of the Bonds. 10. Except as otherwise provided in this resolution, all rights, powers and privileges conferred and duties and liabilities imposed upon the City or the City Council by the provisions of this resolution or of the aforementioned documents shall be exercised or performed by the City or by such members of the City Council, or such officers, board, body or agency thereof as may be required or authorized by law to exercise such powers and to perform such duties. Meeting of July 21, 2008 (Item No. 8a) Page 9 Subject Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 No covenant, stipulation, obligation, or agreement herein contained or contained in the aforementioned documents shall be deemed to be a covenant, stipulation, obligation, or agreement of any member of the City Council of the City, or any officer, agent, or employee of the City in that person’s individual capacity, and neither the City Council of the City nor any officer or employee executing the Bonds shall be liable personally on the Bonds or be subject to any personal liability or accountability by reason of the issuance thereof. No provision, covenant, or agreement contained in the aforementioned documents, the Bonds, or in any other document relating to the Bonds, and no obligation therein or herein imposed upon the City or the breach thereof, shall constitute or give rise to any pecuniary liability of the City or any charge upon its general credit or taxing powers. In making the agreements, provisions, covenants, and representations set forth in such documents, the City has not obligated itself to pay or remit any funds or revenues, other than funds and revenues derived from the Loan Agreement and the Series 2008A/B Obligation which are to be applied to the payment of the Bonds, as provided therein and in the Indenture. 11. Except as herein otherwise expressly provided, nothing in this resolution or in the aforementioned documents, expressed or implied, is intended or shall be construed to confer upon any person, firm, or corporation, other than the City or any holder of the Bonds issued under the provisions of this resolution, any right, remedy, or claim, legal or equitable, under and by reason of this resolution or any provisions hereof, this resolution, the aforementioned documents and all of their provisions being intended to be and being for the sole and exclusive benefit of the City and any holder from time to time of the Bonds issued under the provisions of this resolution. 12. In case any one or more of the provisions of this resolution, other than the provisions contained in the first sentence of Section 3 hereof, or of the aforementioned documents, or of the Bonds issued hereunder shall for any reason be held to be illegal or invalid, such illegality or invalidity shall not affect any other provision of this resolution, or of the aforementioned documents, or of the Bonds, but this resolution, the aforementioned documents, and the Bonds shall be construed and endorsed as if such illegal or invalid provisions had not been contained therein. 13. The Bonds, when executed and delivered, shall contain a recital that they are issued pursuant to the Act, and such recital shall be conclusive evidence of the validity of the Bonds and the regularity of the issuance thereof, and that all acts, conditions, and things required by the laws of the State of Minnesota relating to the adoption of this resolution, to the issuance of the Bonds, and to the execution of the aforementioned documents to happen, exist, and be performed precedent to the execution of the aforementioned documents have happened, exist, and have been performed as so required by law. 14. The officers of the City, bond counsel, other attorneys, engineers, and other agents or employees of the City are hereby authorized to do all acts and things required of them by or in connection with this resolution, the aforementioned documents, and the Bonds for the full, punctual, and complete performance of all the terms, covenants, and agreements contained in the Meeting of July 21, 2008 (Item No. 8a) Page 10 Subject Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 Bonds, the aforementioned documents, and this resolution. In the event that for any reason the Mayor of the City is unable to execute and deliver the documents referred to in this resolution or carry out any of the other acts provided herein, any persons delegated the duties of the Mayor shall be authorized to act in the capacity of the Mayor and undertake such execution and delivery or acts on behalf of the City with full force and effect, which execution and delivery or acts shall be valid and binding on the City. If for any reason the City Manager of the City is unable to execute and deliver the documents referred to in this resolution or carry out any of the other acts provided herein, any persons delegated the duties of the City Manager shall be authorized to act in the capacity of the City Manager and undertake such execution and delivery or acts on behalf of the City with full force and effect, which execution and delivery or acts shall be valid and binding on the City. 15. The City understands that the Obligated Group will pay directly or through the City any and all costs paid or incurred by the City in connection with the transactions authorized by this resolution, whether or not the Bonds are issued. 16. The City acknowledges that the Obligated Group is proposing to modify and amend the interest rate swap agreements related to the Prior Bonds so that such interest rate swap agreements relate to the Bonds. Such interest rate swap agreements do not affect or alter the obligations of the Obligated Group pursuant to the Loan Agreement or the Series A/B Obligation. The City shall have no rights or obligations under the interest rate swap agreements. For the sole purpose of satisfying the requirements of the Treasury Regulations, Sections 1.148-4(h)(2) and 1.148-4(h)(4), the City hereby authorizes the City Manager or the City Finance Director to execute one or more Books and Records Letter with respect to the interest rate swap agreements, in a form approved by the City’s bond counsel. Copies of the Books and Records Letters and the interest rate swap agreements are hereby authorized to be identified on the City’s books and records maintained with respect to the Bonds, no later than three (3) days after the modified interest rate swap agreements are entered into. 17. This resolution shall be in full force and effect from and after its passage. Reviewed for Administration: Adopted by the City Council July 21, 2008 City Manager Mayor Attest: City Clerk Meeting of July 21, 2008 (Item No. 8a) Page 11 Subject Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 CITY OF ST. LOUIS PARK, MINNESOTA RESOLUTION NO. 08-____ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ST. LOUIS PARK, MINNESOTA, AUTHORIZING THE ISSUANCE, SALE, AND DELIVERY OF ITS REVENUE REFUNDING BONDS FOR THE BENEFIT OF PARK NICOLLET HEALTH SERVICES, PARK NICOLLET METHODIST HOSPITAL, PARK NICOLLET INSTITUTE, PARK NICOLLET CLINIC, PNMC HOLDINGS, AND PARK NICOLLET HEALTH CARE PRODUCTS; PAYABLE SOLELY FROM REVENUES PLEDGED PURSUANT TO THE INDENTURE; APPROVING THE FORM OF AND AUTHORIZING THE EXECUTION AND DELIVERY OF THE REVENUE REFUNDING BONDS AND RELATED DOCUMENTS; AND PROVIDING FOR THE SECURITY, RIGHTS, AND REMEDIES WITH RESPECT TO THE REVENUE REFUNDING BONDS WHEREAS, the City of St. Louis Park, Minnesota (the “City”), is a home rule city and political subdivision duly organized and existing under its Charter and the Constitution and laws of the State of Minnesota; and WHEREAS, pursuant to the Minnesota Statutes, Sections 469.152-469.165, as amended (the “Act”), the City is authorized to issue revenue bonds for the following purposes: (i) to finance, in whole or in part, the cost of the acquisition, construction, reconstruction, improvement, betterment or extension of a project, defined in the Act as any properties, real or personal, used or useful in connection with a revenue producing enterprise; and (ii) to refund, in whole or in part, bonds previously issued by the City under the authority of the Act and interest on such bonds; and WHEREAS, Park Nicollet Health Services, a Minnesota nonprofit corporation, Park Nicollet Methodist Hospital, a Minnesota nonprofit corporation, Park Nicollet Institute, a Minnesota nonprofit corporation, Park Nicollet Clinic, a Minnesota association that has elected to be treated as a nonprofit corporation, PNMC Holdings, a Minnesota nonprofit corporation, and Park Nicollet Health Care Products, a Minnesota nonprofit corporation (collectively, the “Obligated Group”), submitted an application to the City requesting the issuance by the City of revenue refunding bonds pursuant to the Act, and the terms of an Indenture of Trust, dated as of August 1, 2008 (the “Indenture”) between the City and Wells Fargo Bank, National Association (the “Trustee”) for the purposes of loaning the proceeds derived from the sale of the Series 2008C Bonds to the Obligated Group pursuant to the terms of a Loan Agreement, dated as of August 1, 2008 (the “Loan Agreement”), between the Obligated Group and the City, the proceeds of such loan to be applied to the refunding of the Health Care Facilities Revenue Bonds (Park Nicollet Health Services), Series 2003A Periodic Auction Reset Securities (PARS) (the “Prior Bonds”), issued by the City on November 13, 2003, in the original aggregate principal amount of $231,525,000; and Meeting of July 21, 2008 (Item No. 8a) Page 12 Subject Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 WHEREAS, the Prior Bonds were issued: (i) to finance (a) the construction and equipping of a Heart and Vascular Center at Park Nicollet Methodist Hospital located at 6500 Excelsior Boulevard in the City, the construction of a parking ramp and other improvements at Park Nicollet Methodist Hospital, the construction of public infrastructure improvements with respect to the foregoing, and the acquisition and installation of equipment for Park Nicollet Methodist Hospital, and (b) the acquisition and installation of a computed tomography scanner (“CT Scanner”) at the facilities of the Obligated Group located at 1400 Fairview Drive in the City of Burnsville, Minnesota, a CT Scanner at the facilities of the Obligated Group located at 15800 95th Avenue North in the City of Maple Grove, Minnesota, and a CT Scanner and a magnetic resonance imaging scanner (“MRI Scanner”) at the facilities of the Obligated Group located at 250 North Central Avenue in the City of Wayzata, Minnesota (collectively, the “Project”); and (ii) to redeem and prepay the outstanding principal amount of (A) the Hospital Facilities Refunding Revenue Bonds (Park Nicollet Methodist Hospital Project), Series 1990-B, issued by the City on November 15, 1990, (B) the Health Care Facilities Revenue Bonds (HealthSystem Minnesota Obligated Group), Series 1993A (Fixed Rate), issued by the City on September 30, 1993, (C) the Health Care Facilities Revenue Bonds (HealthSystem Minnesota Obligated Group), Series 1993B (Variable Auction Rate), issued by the City on September 30, 1993; and (D) the Health Care Facilities Revenue Bonds (HealthSystem Minnesota Obligated Group), Series 1993C (Inverse Variable Auction Rate), issued by the City on September 30, 1993; and (iii) to fund a reserve fund to secure the payment of the principal of and interest on the Prior Bonds, to pay the costs of issuing the Prior Bonds, and to pay certain financing costs related to the Prior Bonds; and WHEREAS, the Obligated Group has requested that the City issue revenue bonds to be designated the Health Care Facilities Revenue Refunding Bonds (Park Nicollet Health Services), Series 2008C (the “Series 2008C Bonds”), subject to such changes in such designation as elected by the Obligated Group with the consent of the City, in an original aggregate principal amount not to exceed $250,000,000, to be issued as uninsured, fixed-rate revenue bonds of the City; and WHEREAS, the proceeds of the Series 2008C Bonds are to be applied to the defeasance, redemption and prepayment of the Prior Bonds, funding required reserves, the payment of the costs of issuing the Series 2008C Bonds, and the payment of certain financing costs with respect to the Series 2008C Bonds; and WHEREAS, in consideration of the loan by the City of the proceeds of the Series 2008C Bonds to the Obligated Group and to secure the payment of the principal of, premium, if any, and interest on the Series 2008C Bonds when due, the Obligated Group will issue and deliver to the City its Series 2008C Obligation pursuant to a Supplemental Indenture, dated on or after August 1, 2008, pursuant to a Master Trust Indenture, dated as of November 1, 2003, as amended (the “Master Indenture”), between the Obligated Group and Wells Fargo Bank, National Association, which will be in the same aggregate principal amount and bear interest at the same rates as the Series 2008C Bonds, will have redemption provisions corresponding to those of the Series 2008C Bonds, and will be payable in installments equal to the maturities and mandatory redemptions of the Series 2008C Bonds; and Meeting of July 21, 2008 (Item No. 8a) Page 13 Subject Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 WHEREAS, the loan repayments required to be made by the Obligated Group under the terms of the Loan Agreement will be assigned to the Trustee under the terms of the Indenture and the Series 2008C Obligation will be assigned by the City to the Trustee under the terms of the Indenture; and WHEREAS, the Series 2008C Bonds and the interest and any premium on the Series 2008C Bonds: (i) shall be payable solely from the revenues pledged therefor; (ii) shall not constitute a debt of the City within the meaning of any constitutional or statutory limitation; (iii) shall not constitute nor give rise to a pecuniary liability of the City or a charge against its general credit or taxing powers; and (iv) shall not constitute a charge, lien, or encumbrance, legal or equitable, upon any property of the City other than the City’s interest in the Loan Agreement and the Series 2008C Obligation; and NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ST. LOUIS PARK, MINNESOTA, AS FOLLOWS: 1. The City acknowledges, finds, determines, and declares that: (i) the issuance of the Series 2008C Bonds is authorized by the Act; (ii) the application of the proceeds of the Series 2008C Bonds to the defeasance, prepayment and redemption of the Prior Bonds, the funding of required reserves, the payment of the costs of issuing the Series 2008C Bonds, and the payment of certain expenses incurred in connection with the issuance of the Series 2008C Bonds is consistent with and furthers the purposes of the Act; and (ii) the facilities refinanced with the proceeds of the Series 2008C Bonds constitute a “project” within the meaning of Section 469.153, subdivision 2(b) and (d), of the Act. 2. For the purposes set forth above, there is hereby authorized the issuance, sale and delivery of the Series 2008C Bonds in one or more series in the maximum principal amount not to exceed $250,000,000. The Series 2008C Bonds shall bear interest at fixed rates and shall be designated, shall be numbered, shall be dated, shall mature, shall be subject to redemption prior to maturity, shall be in such form, and shall have such other terms, details, and provisions as are prescribed in the Indenture, in the form now on file with the City, with the amendments referenced herein. The City hereby authorizes the Series 2008C Bonds to be issued as “tax-exempt bonds” the interest on which is not includable in gross income for federal and State of Minnesota income tax purposes. All of the provisions of the Series 2008C Bonds, when executed as authorized herein, shall be deemed to be a part of this resolution as fully and to the same extent as if incorporated verbatim herein and shall be in full force and effect from the date of execution and delivery thereof. The Series 2008C Bonds shall be substantially in the form or forms set forth in the Indenture, which form or forms are hereby approved, with such necessary and appropriate variations, omissions and insertions (including changes to the name of the Series 2008C Bonds, the aggregate principal amount of the Series 2008C Bonds, the stated maturities of the Series 2008C Bonds and the maturity dates of the Series 2008C Bonds, the interest rates on the Series 2008C Bonds, and the terms of optional and mandatory redemption of the Series 2008C Bonds) as the Mayor of the City and the City Manager of the City (the “Mayor” and “City Manager”), in their discretion, shall Meeting of July 21, 2008 (Item No. 8a) Page 14 Subject Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 determine. The execution of the Series 2008C Bonds with the manual or facsimile signatures of the Mayor and the City Manager and the delivery of the Series 2008C Bonds by the City shall be conclusive evidence of such determination. 3. The Series 2008C Bonds shall be special limited obligations of the City the proceeds of which shall be disbursed pursuant to the terms of the Indenture and the Loan Agreement, and the principal, premium, and interest on the Series 2008C Bonds shall be payable solely from the proceeds of the Series 2008C Bonds, the revenues derived from the Obligated Group pursuant to the terms of the Loan Agreement and the Series 2008C Obligation, and other funds pledged pursuant to the Indenture. The Series 2008C Bonds shall also be secured by the Bond Reserve Fund established by the terms of the Indenture and funded with a portion of the proceeds of the Series 2008C Bonds (the “Bond Reserve Fund”). 4. The City Council of the City hereby authorizes and directs the Mayor and the City Manager to execute and deliver the Indenture, and to deliver to the Trustee the Indenture, and hereby authorizes and directs the execution of the Series 2008C Bonds in accordance with the terms of the Indenture, and hereby provides that the Indenture shall provide the terms and conditions, covenants, rights, obligations, duties and agreements of the owners of the Series 2008C Bonds, the City and the Trustee as set forth therein. All of the provisions of the Indenture, when executed as authorized herein, shall be deemed to be a part of this resolution as fully and to the same extent as if incorporated verbatim herein and shall be in full force and effect from the date of execution and delivery thereof. The Indenture shall be substantially in the form on file with the City, which is hereby approved, with such necessary and appropriate variations, omissions and insertions as do not materially change the substance thereof, or as the Mayor and the City Manager, in their discretion, shall determine, and the execution and delivery thereof by the Mayor and the City Manager shall be conclusive evidence of such determination. 5. The Mayor and City Manager are hereby authorized and directed to execute and deliver the Loan Agreement, the Purchase Contract, dated on or after July 15, 2008 (the “Purchase Contract”), between Wells Fargo Brokerage Services, LLC and Morgan Stanley & Co. Incorporated (the “Underwriters”) and the City, and the Letter of Representations and Indemnification, dated on or after July 15, 2008 (the “Letter of Representations”), between the City, the Underwriters, and the Obligated Group. All of the provisions of the Loan Agreement, the Purchase Contract, and the Letter of Representations, when executed and delivered as authorized herein, shall be deemed to be a part of this resolution as fully and to the same extent as if incorporated verbatim herein and shall be in full force and effect from the date of execution and delivery thereof. The Loan Agreement, the Purchase Contract, and the Letter of Representations shall be substantially in the forms on file with the City which are hereby approved, with such omissions and insertions as do not materially change the substance thereof, or as the Mayor and the City Manager, in their discretion, shall determine, and the execution thereof by the Mayor and the City Manager shall be conclusive evidence of such determination. Meeting of July 21, 2008 (Item No. 8a) Page 15 Subject Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 6. The Trustee is hereby appointed as the initial Bond Registrar with respect to the Series 2008C Bonds. 7. The Mayor and City Manager of the City are hereby authorized to execute and deliver, on behalf of the City, such other documents as are necessary or appropriate in connection with the issuance, sale, and delivery of the Series 2008C Bonds, including one or more certificates of the City, an endorsement to the Obligated Group’s Tax Certificate, an Information Return for Tax- Exempt Private Activity Bond Issues, Form 8038, and all other documents and certificates as shall be necessary and appropriate in connection with the issuance, sale, and delivery of the Series 2008C Bonds. The City hereby approves the execution and delivery by the Trustee of the Indenture and all other instruments, certificates, and documents prepared in conjunction with the issuance of the Series 2008C Bonds that require execution by the Trustee. The City hereby authorizes Kennedy & Graven, Chartered, as bond counsel of the City, to prepare, execute, and deliver its approving legal opinion with respect to the Series 2008C Bonds. 8. The City has not participated and will not participate in the preparation of the Official Statement relating to the offer and sale of the Series 2008C Bonds (the “Official Statement”) except for information regarding the City to be set forth in the Official Statement under captions entitled “The City” and “Litigation—The City” (collectively, the “City Information”). The City has not made and will not make any independent investigation with respect to the information contained in the Official Statement (except for the City Information), including the appendices thereto, and the City assumes no responsibility for the sufficiency, accuracy, or completeness of such information. Subject to the foregoing, the City hereby consents to the distribution and the use by the Underwriter in connection with the sale of the Series 2008C Bonds of the Official Statement, in the form on file with the City. The Official Statement is the sole material consented to by the City for use in connection with the offer and sale of the Series 2008C Bonds. The City hereby approves the Continuing Disclosure Agreement, dated on or after August 1, 2008 (the “Continuing Disclosure Agreement”), to be executed and delivered by the Obligated Group and the Trustee, in the form now on file with the City. 9. Except as otherwise provided in this resolution, all rights, powers and privileges conferred and duties and liabilities imposed upon the City or the City Council by the provisions of this resolution or of the aforementioned documents shall be exercised or performed by the City or by such members of the City Council, or such officers, board, body or agency thereof as may be required or authorized by law to exercise such powers and to perform such duties. No covenant, stipulation, obligation or agreement herein contained or contained in the aforementioned documents shall be deemed to be a covenant, stipulation, obligation or agreement of any member of the City Council of the City, or any officer, agent or employee of the City in that person’s individual capacity, and neither the City Council of the City nor any officer or employee executing the Series 2008C Bonds shall be liable personally on the Series 2008C Bonds or be subject to any personal liability or accountability by reason of the issuance thereof. Meeting of July 21, 2008 (Item No. 8a) Page 16 Subject Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 No provision, covenant or agreement contained in the aforementioned documents, the Series 2008C Bonds or in any other document relating to the Series 2008C Bonds, and no obligation therein or herein imposed upon the City or the breach thereof, shall constitute or give rise to any pecuniary liability of the City or any charge upon its general credit or taxing powers. In making the agreements, provisions, covenants and representations set forth in such documents, the City has not obligated itself to pay or remit any funds or revenues, other than funds and revenues derived from the Loan Agreement and the Series 2008C Obligation which are to be applied to the payment of the Series 2008C Bonds, as provided therein and in the Indenture. 10. Except as herein otherwise expressly provided, nothing in this resolution or in the aforementioned documents expressed or implied, is intended or shall be construed to confer upon any person or firm or corporation, other than the City or any holder of the Series 2008C Bonds issued under the provisions of this resolution, any right, remedy or claim, legal or equitable, under and by reason of this resolution or any provisions hereof, this resolution, the aforementioned documents and all of their provisions being intended to be and being for the sole and exclusive benefit of the City and any holder from time to time of the Series 2008C Bonds issued under the provisions of this resolution. 11. In case any one or more of the provisions of this resolution, other than the provisions contained in the first sentence of Section 3 hereof, or of the aforementioned documents, or of the Series 2008C Bonds issued hereunder shall for any reason be held to be illegal or invalid, such illegality or invalidity shall not affect any other provision of this resolution, or of the aforementioned documents, or of the Series 2008C Bonds, but this resolution, the aforementioned documents, and the Series 2008C Bonds shall be construed and endorsed as if such illegal or invalid provisions had not been contained therein. 12. The Series 2008C Bonds, when executed and delivered, shall contain a recital that they are issued pursuant to the Act, and such recital shall be conclusive evidence of the validity of the Series 2008C Bonds and the regularity of the issuance thereof, and that all acts, conditions, and things required by the laws of the State of Minnesota relating to the adoption of this resolution, to the issuance of the Series 2008C Bonds, and to the execution of the aforementioned documents to happen, exist and be performed precedent to the execution of the aforementioned documents have happened, exist and have been performed as so required by law. 13. The officers of the City, bond counsel, other attorneys, engineers, and other agents or employees of the City are hereby authorized to do all acts and things required of them by or in connection with this resolution, the aforementioned documents, and the Series 2008C Bonds for the full, punctual and complete performance of all the terms, covenants and agreements contained in the Series 2008C Bonds, the aforementioned documents and this resolution. In the event that for any reason the Mayor of the City is unable to carry out the execution of any of the documents or other acts provided herein, any persons delegated the duties of the Mayor shall be authorized to act in the capacity of the Mayor and undertake such execution or acts on behalf of the City with full force and effect, which execution or acts shall be valid and binding on the City. If for any reason the City Manager of the City is unable to execute and deliver the documents referred to in this Resolution, Meeting of July 21, 2008 (Item No. 8a) Page 17 Subject Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 such documents may be executed by any person delegated the duties of the City Manager, with the same force and effect as if such documents were executed and delivered by the City Manager of the City. 14. The City understands that the Obligated Group will pay directly or through the City any and all costs paid or incurred by the City in connection with the transactions authorized by this resolution, whether or not the Series 2008C Bonds are issued. 15. This resolution shall be in full force and effect from and after its passage. Reviewed for Administration: Adopted by the City Council July 21, 2008 City Manager Mayor Attest: City Clerk Meeting of July 21, 2008 (Item No. 8a) Subject:Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 Page 18 Meeting of July 21, 2008 (Item No. 8a) Subject:Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 Page 19 Meeting of July 21, 2008 (Item No. 8a) Subject:Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 Page 20 Meeting of July 21, 2008 (Item No. 8a) Subject:Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 Page 21 Meeting of July 21, 2008 (Item No. 8a) Subject:Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 Page 22 Meeting of July 21, 2008 (Item No. 8a) Subject:Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 Page 23 Meeting of July 21, 2008 (Item No. 8a) Subject:Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 Page 24 Meeting of July 21, 2008 (Item No. 8a) Subject:Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 Page 25 Meeting of July 21, 2008 (Item No. 8a) Subject:Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 Page 26 Meeting of July 21, 2008 (Item No. 8a) Subject:Resolution Authorizing the Issuance, Sale, and Delivery of Its Variable Rate Demand Revenue Refunding Bonds (Park Nicollet Health Care Services), Series 2008 Page 27