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HomeMy WebLinkAbout2019/02/19 - ADMIN - Agenda Packets - City Council - Regular (2)AGENDA FEB. 19, 2019 (Councilmember Miller absent) 7:30 p.m. CITY COUNCIL MEETING – Council chambers 1.Call to order 1a. Pledge of allegiance 1b. Roll call 2. Presentations -- None 3.Approval of minutes 3a. City council meeting minutes of Dec. 17, 2018 3b. City council meeting minutes of Jan. 7, 2019 3c. Study session minutes of Jan. 14, 2019 3d. City council meeting minutes of Jan. 22, 2019 4.Approval of agenda and items on consent calendar NOTE: The Consent Calendar lists those items of business which are considered to be routine and/or which need no discussion. Consent items are acted upon by one motion. If discussion is desired by either a Councilmember or a member of the audience, that item may be moved to an appropriate section of the regular agenda for discussion. The items for the Consent Calendar are listed on the last page of the Agenda. Recommended Action: Motion to approve the Agenda as presented and items listed on the Consent Calendar; and to waive reading of all resolutions and ordinances. (Alternatively: Motion to add or remove items from the agenda, or move items from Consent Calendar to regular agenda for discussion.) 5. Boards and commissions 5a. Appointment of youth representative to boards and commissions Recommended action: Motion to appoint Yonah Davis to the Telecommunications Advisory Commission as youth member for the term ending on August 31, 2019. 6.Public hearings 6a. Public hearing to consider allocation of 2019 Community Development Block Grant (CDBG) funds Recommended action: Mayor to open public hearing, take testimony, and then close the hearing. Motion to adopt Resolution approving proposed use of 2019 Urban Hennepin County Community Development Block Grant (CDBG) funds and authorize execution of sub-recipient agreement with Hennepin County and third party agreements. 7.Requests, petitions, and communications from the public -- None 8.Resolutions, ordinances, motions and discussion items 8a. Series 2019A General Obligation Bonds Recommended action: Motion to adopt the following (two separate motions): 1)Resolution providing for the sale of general obligation charter bonds in the amount of approximately $9,330,000. 2)Resolution calling a public hearing on a proposed property tax abatement for the purpose of financing the Westwood Hills Nature Center project. 9. Communications – None Meeting of Feb. 19, 2019 City council agenda Consent calendar 4a. Approve out-of-state travel of Mayor Jake Spano and Councilmember Rachel Harris to attend the National League of Cities (NLC) Congressional City Conference in Washington, DC on March 9 – 13, 2019. 4b. Approve an agreement between the City of St. Louis Park and Loffler Companies, Inc. for 5-year managed printer / copier / scanner / fax (document) services. 4c. Adopt Resolution approving renewal of liquor licenses for the license term March 1, 2019 through March 1, 2020. 4d. Adopt Resolution in support of application for MnDOT local road improvement program funding for the Louisiana Avenue Bridge and Road Reconstruction project (4018-1700) phase 1. 4e. Designate Cempour LLC the lowest responsible bidder, and authorize execution of a contract with the firm in the amount of $193,500.00 for concrete replacement– Project No. 4019-0003. 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: City council Meeting date: February 19, 2019 Minutes: 3a Unofficial minutes City council meeting St. Louis Park, Minnesota December 17, 2018 1. Call to order Mayor Spano called the meeting to order at 7:30 p.m. Councilmembers present: Mayor Jake Spano, Tim Brausen, Rachel Harris, Anne Mavity, Thom Miller, and Margaret Rog. Councilmember absent: Steve Hallfin. Staff present: City Manager (Mr. Harmening), City Attorney (Mr. Mattick), Deputy City Manager/Human Resources Director (Ms. Deno), Police Chief (Mr. Harcey), Chief Financial Officer (Mr. Simon), Engineering Director (Ms. Heiser), Principal Planner (Ms. McMonigal), Assistant Zoning Administrator (Mr. Morrison), Planning/Zoning Supervisor (Mr. Walther), and Recording Secretary (Ms. Mullen). 1a. Pledge of allegiance 1b. Roll call 2. Presentations 2a. Police officer oath of office Ms. Deno stated two new police officers would be sworn in this evening. She invited the new officers to approach the podium and administered the police officer oath of office to officers Alex Forsman and David Ballard. Chief Harcey thanked the city council for the opportunity to administer the oath to the city’s two newest police officers. He thanked the friends, families and colleagues of the new officers who attended the meeting. Chief Harcey stated the St. Louis Park Police Department has a history of recruiting and hiring service-minded individuals with strong morals that reflect the community they will serve. He expressed confidence that two such individuals have been sworn in tonight: Officer Forsman and Officer Ballard. Chief Harcey stated Alex Forsman is a graduate of Hamline University with subsequent law enforcement training at Hennepin Technical College. Previously, he has been employed as a security officer for Metro Transit and Allina Health. Chief Harcey stated David Ballard is a graduate of North Dakota State University with law enforcement training at Hennepin Technical College. Previously, he worked with his family’s City council meeting of February 19, 2019 (Item No. 3a) Page 2 Title: City council meeting minutes of Dec. 17, 2018 business, MJB Tiling, and he is currently a member of the Army National Guard, serving as a Platoon Leader of an Army Battalion. Chief Harcey stated both officers have the character, integrity and principles that will make them successful police officers in the City of St. Louis Park. They have trained extensively with the police department and prepared themselves for their careers as police officers. Chief Harcey urged the new officers to be guided by their heart and character in their interactions with the community, to build trust and provide quality services. Mayor Spano welcomed the new officers to the community. He stated policing is a partnership and social contract between the police department and the community. He added the city council is proud and pleased to have the new officers, and he wished them the best of luck in their new roles for many years to come. 2b. Recognition of SWLRT Project Specialist Kevin Locke’s 14 years of service Mayor Spano presented a Certificate of Recognition to Project Specialist Kevin Locke, who is retiring after 14 years of service to the City of St. Louis Park. He also recognized and commended Community Development Office Assistant Nancy Sells, who is retiring after 27 years of service to the city. Mayor Spano stated Mr. Locke has been instrumental in the city’s discussions regarding light rail and freight. He added Mr. Locke’s hard work and efforts will be felt for countless generations of St. Louis Park residents. Mr. Locke expressed his thanks to the city council and stated it has been a privilege to work for the fantastic community of St. Louis Park. He added he is thankful to have had the opportunity to play a part in making the community a great place to live. Mr. Harmening stated he hired Mr. Locke 14 years ago, and Mr. Locke has fit well into the organization. He added Mr. Locke is very approachable, and a team player, and he often provided much-needed clarity to key issues. He noted Mr. Locke has been a valued colleague and friend who will be greatly missed. Councilmember Miller stated he worked with Mr. Locke when he was part of an advocacy group in St. Louis Park. He added Mr. Locke was able to diffuse tense situations and treat residents with respect, as equals and contemporaries. Councilmember Rog stated she worked with Mr. Locke in connection with her role on Friends of the Arts. She added she appreciated Mr. Locke’s ability to support a small arts organization and treat its members with respect and kindness. 3. Approval of minutes 3a. City council meeting minutes November 5, 2018 City council meeting of February 19, 2019 (Item No. 3a) Page 3 Title: City council meeting minutes of Dec. 17, 2018 Councilmember Mavity requested the following correction: Page 6, 4th paragraph, line 2 – delete the sentence beginning with, “She stated PLACE Project will not be able to get one funding entity…” It was moved by Councilmember Brausen, seconded by Councilmember Miller, to approve the Nov. 5, 2018 city council meeting minutes as corrected. The motion passed 6-0 (Councilmember Hallfin absent). 3b. Study session minutes November 13, 2018 Councilmember Miller requested the following correction: Page 5, 6th paragraph, 2nd sentence, replace with “Councilmember Miller stated these are all great solutions; however, he had not heard the Council direct staff regarding affordable housing solutions for households of 30% AMI before.” It was moved by Councilmember Brausen, seconded by Councilmember Mavity, to approve the Nov. 13, 2018 study session minutes as corrected. The motion passed 6-0 (Councilmember Hallfin absent). 3c. City council meeting minutes November 19, 2018 It was moved by Councilmember Rog, seconded by Councilmember Mavity, to approve the Nov. 19, 2018 city council meeting minutes as presented. The motion passed 6-0 (Councilmember Hallfin absent). 3d. Study session meeting minutes November 26, 2018 It was moved by Councilmember Mavity, seconded by Councilmember Brausen, to approve the Nov. 26, 2018 study session meeting minutes as presented. The motion passed 6-0 (Councilmember Hallfin absent). 4. Approval of agenda and items on consent calendar 4a. Adopt Resolution No. 18-190 to recognize Community Development Office Assistant Nancy Sells for more than 27 years of service. 4b. Adopt Resolution No. 18-191 designating polling places for the 2019 election cycle. 4c. Approve second reading and adopt Ordinance No. 2549-18 vacating portions of utility easements at 8000 Minnetonka Blvd., and to approve the ordinance summary for publication. 4d. Adopt Resolution No. 18-192 accepting work and authorizing final payment in the amount of $47,098.92 for project no. 4018-1100 MSA street rehabilitation – Aquila Avenue with Northdale Construction, city contract no. 69-18. 4e. Approve the estoppel certificates for 1550 and 1600 Utica Ave. S. 4f. Approve the estoppel certificate for 1325 Utica Ave. S. City council meeting of February 19, 2019 (Item No. 3a) Page 4 Title: City council meeting minutes of Dec. 17, 2018 4g. Adopt Resolution No. 18-193 delegating authority to make electronic fund transfer. 4h. Adopt Resolution No. 18-194 approving amendments to the educational facilities revenue refunding note (Benilde-St. Margaret’s school project), series 2011A, and authorizing the execution and delivery of an amended and restated note. 4i. Adopt Resolution No. 18-195 accepting work and authorizing final payment in the amount of $145,529.08 for project 2012-0100 Highway 7 and Louisiana Avenue interchange with C.S. McCrossan, Inc., contract no. 65-13. 4j. Adopt Resolution No. 18-196 approving and authorizing the mayor and city manager to execute a temporary right to construct and acceptance of a temporary access for the Met Council’s southwest light rail transit (SWLRT) project. 4k. Adopt Resolution No. 18-197 authorizing execution of a contract with Summit Envirosolutions, Inc. (Summit) for 2019 consultant services related to the implementation of the Reilly Tar & Chemical Corporation (Reilly) remedial action plan (RAP). 4l. Adopt Resolution No. 18-198 amending Resolution Nos. 17-196, 18-026, and 18-71 limiting the number of off-sale intoxicating liquor licenses issued in St. Louis Park. 4m. Adopt Resolution No. 18-199 accepting work and authorizing final payment in the amount of $10,584.50 for the annual sealcoat project with Allied Blacktop Company – project no. 4018-1200, city contract no. 32.18. 4n. Approve for filing park and recreation advisory commission minutes of Aug. 29, 2018. 4o. Approve for filing planning commission minutes of Nov. 7, 2018. It was moved by Councilmember Miller, seconded by Councilmember Harris, to approve the Agenda and items listed on the Consent Calendar; and to waive reading of all resolutions and ordinances. The motion passed 6-0 (Councilmember Hallfin absent). 5. Boards and commissions 5a. Reappointment of representative to board and commission. Ms. Deno stated Stuart Williams’ term on the Fire Civil Service commission expires on Dec. 31, 2018 and he wishes to be reappointed to a new term. It was moved by Councilmember Brausen, seconded by Councilmember Miller, to reappoint Stuart Williams to the fire civil service commission with a term to expire Dec. 31, 2021. The motion passed 6-0 (Councilmember Hallfin absent). 6. Public hearings 6a. Historic Walker Lake Street and alley reconstruction – project no. 4018-1050. Ms. Heiser reviewed the Walker Lake Street and Alley Reconstruction Project, including proposed reconstruction of streets, sidewalks and 2 alleys; ADA upgrades, additional City council meeting of February 19, 2019 (Item No. 3a) Page 5 Title: City council meeting minutes of Dec. 17, 2018 sidewalks on Lake Street, a bikeway on Lake Street; as well as replacement of street lights, storm sewer and utilities. Ms. Heiser stated the Walker Lake Street Historic District area is the oldest business district in St. Louis Park, with perpendicular parking on both sides of the street and narrow, uneven sidewalks. She added businesses along Walker Street have a step up from the paved sidewalk to enter their buildings. She noted a ramp has been installed in one location which takes up pedestrian space. Ms. Heiser stated the Masonic Lodge has done extensive grading improvements to the sidewalk pavement in front of their building. She added the proposed project would include grade changes and sidewalk reconstruction to reduce the street width from curb to curb and reclaiming space currently used for parking and driving on the north side of the street. Ms. Heiser stated removal of access from Lake Street to Highway 7 created an awkward intersection with difficult sight lines. She added, under the proposal, the intersection would be moved to Brownlow Avenue and reconfigured to increase safety and efficiency. She noted new green space is proposed as well as reconfiguration of the parking lot across from STEP, and extension of the sidewalk to connect to the municipal lot. Ms. Heiser stated a roundabout is being recommended for the Dakota/Wooddale/Lake Street intersection. She added a roundabout would reduce carbon emissions, create easier and safer access for pedestrians, reduce traffic speeds, and increase intersection efficiency. Ms. Heiser stated bike lanes are proposed on Lake Street between Dakota to Minnetonka Boulevard. She added that was not part of the design study, but rather a separate project. She noted a sidewalk on the south side of Lake Street between Walker Street and Wooddale Avenue is proposed as a part of this project. Ms. Heiser stated reconstruction is planned in 2020 for the alley from Walker to the frontage road, with improved storm water management. She added that the reconstruction of the alley off Library Lane behind the Walker Building is also included in the project. Ms. Heiser stated the project is planned to be split into two construction phases, with Phases 1 occurring in summer 2019, to minimize disruption during school days and business hours. Phase 2 is proposed for 2020. A third phase would be the roundabout, which is not included in the 10-year Capital Improvement Plan, but for which state aid funds will most likely be used. Ms. Heiser stated a public meeting is planned for February 2019 with final approval in March 2019. Councilmember Mavity asked whether there are plans to include a dog park in the project design. Ms. Heiser stated this project is strictly related to street improvements. The dog park would be discussed as a part of the small area plan being conducted by Community Development. City council meeting of February 19, 2019 (Item No. 3a) Page 6 Title: City council meeting minutes of Dec. 17, 2018 Councilmember Harris stated the Safe Routes to School initiative should be included in the project plan, since the project area is so close to the high school. Ms. Heiser agreed and stated Safe Routes to School (SRTS) is a plan to get students safely from their homes to school, reviewing distance and location, sight lines, signage, and other aspects of school access. Ms. Heiser stated staff has reviewed infrastructure related to bikeway, sidewalk, and trail locations to create non-vehicle connections to schools from the city’s neighborhoods. She added the proposed sidewalk on Lake Street by the stadium will give students access to the controlled intersection, which is the best and safest place for them to cross Lake Street. Councilmember Rog requested clarification on the sidewalks that are on private property, and how reconstruction of those sidewalks is included in the plan. Ms. Heiser stated three-fourths of the sidewalks along the streets are located on private property with a boulevard of trees or pavers. She added the Masonic Lodge property is an example of this, and city staff will work with the property owner to construct a 5-foot wide sidewalk in the right-of-way and adjust grades so that access to the building can be in compliance with Americans with Disabilities Act (ADA) requirements. She noted connections to the building entrances will be coordinated with property owners, and the proposed project will provide improved access to local businesses. Mayor Spano opened the public hearing at 8:06 p.m. Tim Fisher, 6509 Walker St., stated he is the owner of the Masonic Lodge, which recently brought in American Legion Post 282. He expressed concern over access to his building, as there is currently a 1-foot height difference between the curb and the door. He added he has made temporary adjustments, and invested approximately $12,200 in concrete work and grading, to bring the building entrance into ADA compliance. Greg Johnson, 6504 and 6500 Walker St., stated his biggest concern is snow removal. He added this has been a problem for years, and the proposed project will make things worse, as snowplows push snow up on the right-of-way toward the businesses. He noted they have had to remove snow from the doorways, and there is no place to put the snow. He urged the city council to come up with a plan for snow removal. Ellen Pajor, 3542 Minikahda Ct., representing The Nest, 3416 Library Lane, a non-profit coffee shop that is frequented by local high school students, stated she is also concerned about snow removal. She requested the city’s help with finding a solution. She added the project will help local businesses in the long run, and she is excited about increased walking and bike access to The Nest. Ms. Pajor stated students have requested a crosswalk at the Lake Street/Library Lane intersection, which will increase safety and accessibility. She added students have also noted there is no place for them to put their bikes. She expressed full support for the “green” alley, which she hopes they will be able to use for events and gatherings. She expressed the importance of The Nest’s visibility from Lake Street. City council meeting of February 19, 2019 (Item No. 3a) Page 7 Title: City council meeting minutes of Dec. 17, 2018 Ms. Pajor expressed support of a Special Service District, but added she is concerned about the cost. She added the local economy must be supported in this proposed development, as this location is critical to the community. She noted The Nest needs to be near the high school, so being priced out would be detrimental to their business. Ms. Pajor stated safety for students during construction is a primary concern. She requested more information from the city regarding strategies to ensure safety for pedestrians and bikers, and to minimize impacts to local businesses during construction. Henry Solmer, 4717 W. 28th St., stated he is a member of the St. Louis Park Historical Society. He added his organization is glad to see the city invest in this historic neighborhood, which was the original downtown area. He noted there is concern about visitor access to the Historical Society, which is currently in a second-floor space. He asked that the city keep that in mind in their deliberations. Curt Rahman, owner of 3540 Dakota St. and several other properties, expressed his thanks to the city for addressing accessibility and improving this historic area, the oldest part of the city. He urged, on behalf of himself and the 15 tenants he represents, that the city council preserve the STEP emergency program. Mr. Rahman requested consideration of bike racks, benches, lighting, landscaping, and garbage containers. He added local businesses want to create an ambience that will attract customers without creating additional barriers. He noted the project plan includes many boulevard trees which could reduce visibility for local businesses. Mr. Rahman stated the special parking district is very important in this area as many businesses do not meet parking requirements. He offered his help in resolving this issue. He stressed the importance of keeping roads open during construction as much as possible. He noted the newly formed Walker/Lake Business Group will hold its first meeting on Wed., Dec. 19, 2018, and this organization could be a good conduit for a weekly communication meeting with contractors. Mr. Rahman thanked the city council for directly investing in this important neighborhood business district. He added the improvements will create new opportunities for small businesses. Steve Posner, 3400 Dakota Ave. S., expressed concern that the proposed roundabout will take away some of his parking area. He added he is one of the few businesses with adequate parking, and he requested further discussion on the roundabout before any decisions are made. Mayor Spano closed the public hearing at 8:20 p.m. Mayor Spano thanked the audience members who shared their concerns. He stated any further questions or concerns can be directed to city staff, either after this meeting or at the city offices. City council meeting of February 19, 2019 (Item No. 3a) Page 8 Title: City council meeting minutes of Dec. 17, 2018 Councilmember Rog expressed the importance of pedestrian safety as a priority. She added she has heard many residents and business owners mention that high school students cross the streets at various points to get to The Nest. She noted she wants to ensure that the area remains friendly to small local businesses. Councilmember Mavity asked whether a dog park is included in the site plan, although it is a separate issue from what is being discussed. She stated the proposed streets and sidewalks structure could have a bearing on whether a dog park could be considered. She added there is city council support for a dog park, as well as several dog-oriented small businesses in the area. She noted she would like to ensure that the city council’s decision at tonight’s meeting would not prevent construction of a future dog park. It was noted the council will take final action on this project at the Jan. 7, 2019 meeting. 6b. Resolution consenting to and providing host approval for Yeshiva of Minneapolis revenue bonds. Resolution No. 18-200. Mr. Simon presented the staff report. He stated city council consideration is requested of a resolution for host approval for revenue bonds for Yeshiva of Minneapolis. He added revenue bonds are a form of tax-exempt financing which has been approved for other projects in St. Louis Park. Mayor Spano opened the public hearing. No speakers were present. Mayor Spano closed the public hearing. It was moved by Councilmember Rog, seconded by Councilmember Mavity, to adopt Resolution No. 18-200, consenting to and providing host approval to the issuance by the city of Medina of its revenue obligations. The motion passed 6-0 (Councilmember Hallfin absent). 7. Requests, petitions, and communications from the public – none 8. Resolutions, ordinances, motions and discussion items 8a. 2019 budget, final city and HRA property tax levies, and 2019-2028 capital improvement plan. Resolution Nos. 18-201, 18-202, and 18-203. Mr. Simon presented three resolutions: approving the 2019 budget, authorizing city and HRA tax levies, and approving the 2019-2028 Capital Improvement Plan. Mr. Simon stated the preliminary tax levy was adopted on Sept. 17, 2018, with an increase of 5.18%. He added the increase has since been reduced and all final property tax notices will be recalculated once all taxing jurisdictions approve the final levies. He noted public comment was taken during a public hearing on Dec. 3, 2018. City council meeting of February 19, 2019 (Item No. 3a) Page 9 Title: City council meeting minutes of Dec. 17, 2018 Councilmember Mavity stated this is the 9th budget process in which she has been involved. She feels a sense of gravity as the city council and city staff work toward solidifying partnerships with the community. She expressed her support for certain aspects of the budget, including the climate action plan, racial equity initiative, and other important investments, including staffing and affordable housing. Councilmember Miller stated he will not support the 2019 budget as proposed, with an increase of 4.35%. He added he appreciates the significant amount of work that city staff have put into their recommendation. He expressed concern about the city’s renters, many of whom will see a rent increase. He noted there are opportunities for property tax relief at the state level. Councilmember Rog stated it is her first year of involvement in the city budget process as a councilmember. She added she is enthusiastic about many items in the budget, but expressed her concern regarding impacts on seniors, residents on fixed incomes, and residents who will see a significant property tax increase. She noted she supports the 2019 budget and levy with reservations. Councilmember Harris stated it is her first year on the city council. She expressed her appreciation of and support for city staff and her colleagues in developing the 2019 budget. She added the City of St. Louis Park provides a variety of services that are greatly valued by its residents. She noted the city’s residents value the amenities and services available to them, and she supports an emphasis on the climate action plan, as residents have indicated that the environment is a top concern. Councilmember Brausen stated he believes the adoption of the annual budget and levy is the most important task that the city council undertakes. He added the City of St. Louis Park provides essential services and amenities that promote a healthy and happy community. He added, in his opinion, initiatives that benefit the community are a high priority and good use of public funding. Mayor Spano stated he will be supporting the 2019 budget as it is a reasonable request. He added this is the 3rd year in a row that the city has lowered the amount of its levy increase. He noted increases are related to important investments that the city must make for the benefit of the community. It was moved by Councilmember Mavity, seconded by Councilmember Brausen, to adopt Resolution No. 18-201 adopting the 2019 general fund budget, other 2019 budgets, and authorizing the 2019 final property tax levy. The motion passed 5-1 (Councilmember Miller opposed; Councilmember Hallfin absent). It was moved by Councilmember Brausen, seconded by Councilmember Miller, to adopt Resolution No. 18-202, authorizing the 2019 final HRA levy. The motion passed 6-0 (Councilmember Hallfin absent). City council meeting of February 19, 2019 (Item No. 3a) Page 10 Title: City council meeting minutes of Dec. 17, 2018 It was moved by Councilmember Brausen, seconded by Councilmember Mavity, to adopt Resolution No. 18-203, adopting the 2019-2028 capital improvement plan (CIP). The motion passed 5-1 (Councilmember Miller opposed; Councilmember Hallfin absent). 8b. Crime-free/drug-free rental housing. Resolution No. 18-204. Ms. Deno stated the city council reviewed Ordinance 8-331 related to rental housing at their December 10, 2018, study session. City staff was directed to prepare a report for a study session in January on recommendations to convene a group of key stakeholders to review the ordinance and provide recommendations to the city council on possible changes to the ordinance, as well as, to develop a resolution suspending the issuance of certain violation notices to rental property owners. This moratorium would allow time for further study and consideration. Any proposed changes will be reviewed by the city council at their Jan. 14, 2019, regular meeting. Ms. Deno stated a draft resolution was included in the council packet which, if approved, would take effect immediately. She added city staff recommends adoption of the draft resolution and requested the city council’s feedback and comment. Councilmember Mavity stated city staff was directed by previous councils to implement the provisions of this ordinance. She expressed her support for suspension of sending notices, as she believes it is inappropriate for the police department to be involved in tenant/landlord relationships. She noted the city’s police force has enforcement rights, with which they are reasonable and fair. Councilmember Mavity stated she is concerned that tenants, who bear the brunt of implementation of the ordinance, do not have the power or ability to appeal it. She added the police department should not be sending eviction notices to tenants in the community. She proposed a potential amendment to the resolution, imposing a moratorium on sending notices to landlords, with no enforcement whatsoever during the period we are studying it, so there will be no threat or retroactive reach. Councilmember Mavity stated the proposed moratorium would eliminate any notifications to landlords related to behavior that is not allowed on rental property, lease violations, or cause for termination of lease in Ordinance 8-331 provisions (c), (d), (e) and (f). It was moved by Councilmember Mavity, seconded by Councilmember Brausen, to adopt Resolution No. 18-204 with the following amendment: a moratorium on notifications to landlords related to behavior that is not allowed on rental property, lease violations, or cause for termination of lease in Ordinance 8-331 provisions (c), (d), (e) and (f). Councilmember Miller stated he would like to offer a substitute motion. He deferred to the city attorney. Mr. Mattick stated a vote is required on the current motion. City council meeting of February 19, 2019 (Item No. 3a) Page 11 Title: City council meeting minutes of Dec. 17, 2018 Councilmember Miller expressed his concern regarding the 10-year old ordinance. He stated it could cause confusion for tenants who may not understand that a lease could be enforced by law enforcement. He believed the ordinance discriminates against people of color and those who are disadvantaged and stated he can only support notification of lease termination, and thinks there has not been appropriate public process or review. Councilmember Miller stated the proposed changes will completely alter the ordinance, and residents need to be able to count on law enforcement to enforce it. He thinks it is an over-reach on the part of the city council to make a presumption and vote on this ordinance. He stressed the importance of striking a balance with the other councilmembers who have an issue with terminating a lease. He noted that would be the body of the substitute motion he would like to make. Councilmember Brausen stated he agreed with Councilmember Mavity that city staff should notify residents regarding the eviction process as it is a civil matter. He added the police department should not direct the use of a civil penalty before a tenant has an opportunity to respond. He felt the notification process could potentially be used against tenants rather than protect them. Councilmember Brausen stated, in his opinion, the language and terms of the ordinance are too broad and do not protect the public interest. He stressed that his comments should not be conveyed as criticism or allegation of misuse of the ordinance by city staff. He noted he would support taking another look at the ordinance. Councilmember Rog stated many residents have shared their perspectives, but the common objective is safe housing for all residents. She expressed the need for more data and facts, and concern regarding the chilling effect this ordinance will have on residents who might decide not to contact the police. She expressed concern about the disruption the proposed ordinance could cause in the lives of families, including losing their housing, and the racial impacts of this ordinance. Councilmember Rog stated there are many solutions that need to be reviewed. She added she supports Councilmember Mavity’s amended resolution calling for a moratorium, as the current ordinance is too unpredictable and impacts are unknown. Councilmember Harris thanked the audience members who were present. She stressed the importance of reviewing ordinances for potential amendments and stated she supports suspension of sending letters of eviction until further study can be done to enhance future policy. Mayor Spano stated he spoke with a resident, Yolanda Ferris, about this issue. He added Ms. Ferris’ opinion was that nothing should be changed, as the ordinance as it is written is important for the quality of life of the people in her community. He expressed his appreciation to Ms. Ferris for sharing her thoughts. City council meeting of February 19, 2019 (Item No. 3a) Page 12 Title: City council meeting minutes of Dec. 17, 2018 Mayor Spano stated the answer is to amend the letters, but continue to send them. He recommended that the letters contain contact information for social services with whom residents might want to consult. He stated the issue is creating happy, healthy communities and residents, and not whether to send letters. Mayor Spano stated a work group to review these issues is being considered, but it will not happen overnight. He expressed concern that the city council would reject this type of proposal when there are so many differing views. He noted he does not support Councilmember Mavity’s motion and stressed the importance of gathering more information. Councilmember Mavity recommended the book “Evicted: Poverty and Profit in the American City” by Matthew Desmond, which offers research on this type of ordinance. She added many similar ordinances have been evaluated and amended at the national and local level. Substitute motion: It was moved by Councilmember Mavity, seconded by Councilmember Rog, to adopt Resolution No. 18-204 with a moratorium on notifications to landlords related to Ordinance 8-331. The substitute motion failed 3-3 (Councilmembers Miller and Harris and Mayor Spano opposed; Councilmember Hallfin absent). Councilmember Miller proposed an amendment to the Resolution as follows: “The city council directs city staff to suspend sending eviction notices to owners and property managers.” City Attorney Mattick advised that notices related to provision (c) first notice of violation of the Crime Free/Drug Free Ordinance and provision (f) notice of termination, would still be sent. He added notices related to provision (d) first Disorderly Use violation and provision (e) second Disorderly Use violation would not be sent. It was moved by Councilmember Miller, seconded by Councilmember Harris, to approve the following amendments to Ordinance 8-331: notices related to provision (c) first notice of violation of the Crime Free/Drug Free Ordinance and provision (f) notice of termination would still be sent; notices related to provision (d) first Disorderly Use violation and provision (e) second Disorderly Use violation would not be sent. Mayor Spano proposed an amendment to Councilmember Miller’s motion that notices related to provisions (d) and (e) should be amended to include information regarding social services providers. He added some residents may need assistance obtaining that information. Councilmember Miller voiced support for Mayor Spano’s suggested amendment. Amendment motion: It was moved by Mayor Spano, seconded by Councilmember Harris, to amend the motion to direct city staff to include information regarding social services providers in notices related to Ordinance 8-331, provisions (d) and (e). City council meeting of February 19, 2019 (Item No. 3a) Page 13 Title: City council meeting minutes of Dec. 17, 2018 The amendment motion failed 3-3 (Councilmembers Brausen, Mavity, and Rog opposed; Councilmember Hallfin absent). Councilmember Mavity stated, in her opinion, the city council should not support the sending of any of these notices. She added, additionally, it is inappropriate and misguided to assume that any resident who receives a notice from the police department should also need support from social services providers. Councilmember Mavity offered a friendly amendment to the motion that notices should include information for renters on seeking legal advice and support. The friendly amendment was not accepted. Mayor Spano stated residents may need help from social services providers, but not have the necessary information. He added the amended ordinance could be the impetus that connects them with the help they need. Councilmember Rog stated she is fairly new to the city council and has not been involved in this type of discussion before. She added she feels that the city council is getting deep into speaking for others, rather than dealing with facts. She reiterated her feeling that the potential chilling effects of this ordinance on residents calling the police when they need help, and the threat of displacement, are the issues that need to be addressed. Councilmember Rog stated she would support a pause on the moratorium to give law enforcement the opportunity to resolve these issues. She added the city council has an important goal to prevent potential permanent harm through displacement of residents. Councilmember Miller expressed concern for the city’s thousands of individuals and families living in what they believe to be a safe environment because of the protections offered by this ordinance. He added it is wrong to presume that a lease agreement will be enough to ensure that violations do not occur. He noted he would support a public hearing to obtain public comment and feedback. Councilmember Miller stated he believes changes to the ordinance should be kept to a minimum while eliminating the option of lease termination. City Attorney Mattick stated, to summarize, the proposed motion is to suspend the issuance of notices related to provisions (c) and (f), but notices related to provisions (d) and (e) would still be sent and should include contact information for social services providers. Mr. Mattick stated he sensed there was some urgency attached to adopting the proposed ordinance at tonight’s meeting. He added further guidance and review are necessary as the content of the notices related to provisions (d) and (e) are unclear. Councilmember Harris stated perhaps social services representatives could be guided to the tenants as well as the property owner, to promote transparency. She added City council meeting of February 19, 2019 (Item No. 3a) Page 14 Title: City council meeting minutes of Dec. 17, 2018 notification should be received by whoever is responsible for the violation as well as the property owner. Councilmember Brausen stated he is unsure if he can support the resolution due to the ambiguity of its language. Councilmember Mavity stated she does not support the mailing of any of these notices, as they could have potential detrimental implications with unintended consequences. She requested that Mayor Spano remove his amendment to the motion regarding inclusion of contact information for social services providers. City Attorney Mattick stated it was a friendly amendment and there was no vote. He added the original motion to suspend use of notice related to provisions (c) and (f) is still under consideration. He noted the original motion was made by Councilmember Miller, seconded by Councilmember Harris. Mayor Spano withdrew his friendly amendment to include social services contact information. Councilmember Mavity stated she can support the amended resolution drafted by city staff included in the council packet. She added she is unable to support the sending of any notices. Councilmember Rog expressed her agreement with Councilmember Mavity. The amended substitute motion failed 2-4 (Councilmembers Miller, Brausen, Mavity, and Rog opposed; Councilmember Hallfin absent). It was moved by Councilmember Brausen, seconded by Councilmember Mavity, to adopt Resolution No 18-204, directing the city manager to suspending sending notices of violations of city code section 8-331. The motion passed 6-0 (Councilmember Hallfin absent). 8c. 2040 comprehensive plan. Resolution No. 18-205. Ms. McMonigal presented the draft 2040 comprehensive plan for the city council’s consideration. She added the city is required by state law to complete a comprehensive plan on a 10-year cycle, to be reviewed by the Metropolitan Council. Ms. McMonigal stated the City of St. Louis Park held 4 neighborhood planning workshops and an online survey in the fall of 2017. She added an interactive process was used during the workshops to successfully obtain input from a wide range of residents within the community. She stated common themes noted by residents include improved sidewalks and trails, more local restaurants, retail and neighborhood spaces, an increase in affordable housing and improved property maintenance, traffic calming, trees and green spaces, and storm water system improvements. City council meeting of February 19, 2019 (Item No. 3a) Page 15 Title: City council meeting minutes of Dec. 17, 2018 Ms. McMonigal stated additional sections were added to the updated comprehensive plan, including racial equity, climate and energy, community health and safety and public health. She added the next steps for the comprehensive plan are review and approval by the Metropolitan Council, and subsequent finalization and implementation. Ms. McMonigal stated city staff recommends city council approval of the draft 2040 comprehensive plan. Councilmember Harris thanked Ms. McMonigal and city staff for the presentation. She requested a copy of the presentation slides. She added the comprehensive plan process and related community engagement were deeply robust. It was moved by Councilmember Harris, seconded by Councilmember Brausen, to adopt Resolution No. 18-205, authorizing submittal of the St. Louis Park 2040 comprehensive plan to the Metropolitan Council. Councilmember Brausen expressed appreciation of the hard work of city staff in putting the comprehensive plan together. He thanked the community for being so engaged in the process and added he is proud that St. Louis Park included racial equity and climate action, which should be included as a requirement for all communities. Councilmember Mavity thanked city staff for their efforts and hard work. She stated the updated comprehensive plan recognizes that St. Louis Park is a thriving community and identifies the appropriate path to which the city must adapt. She expressed her satisfaction regarding the mobility section, and the fact that the city is prioritizing the health and safety of citizens as well as sustainability, and recognizes the community will be moving in different ways. The motion passed 6-0 (Councilmember Hallfin absent). 8d. Ordinance regarding ground floor area ratio in the R-3 two-family residence district. Mr. Morrison reviewed an ordinance amendment related to ground floor area ratio, or the allowable amount of property a structure can cover. He stated the proposed change equalizes current requirements as 27% of duplexes in the City of St. Louis Park are currently non-conforming. He noted that would drop to 5% of duplexes if the proposed ordinance is approved. Mr. Morrison stated the Planning Commission recommended city council approval of the ordinance amendment. It was moved by Councilmember Mavity, seconded by Councilmember Rog, to approve the first reading of an ordinance increasing the ground floor area ratio from 0.25 to 0.35 in the R-3 two-family residence zoning district, and to set the second reading of ordinance for Jan. 7, 2019. The motion passed 6-0 (Councilmember Hallfin absent). City council meeting of February 19, 2019 (Item No. 3a) Page 16 Title: City council meeting minutes of Dec. 17, 2018 8e. 2019 non-union employee compensation. Resolution No. 18-206. Ms. Deno reviewed 2019 compensation for non-union employees, as well as the city manager’s salary for 2019. She requested city council approval of the 2019 non-union compensation plan. It was moved by Councilmember Rog, seconded by Councilmember Brausen, to adopt Resolution No. 18-206, confirming 2019 compensation for non-union employees; setting the city manager’s salary; and, continuing participation in the volunteer firefighter benefit program. The motion passed 6-0 (Councilmember Hallfin absent). 9. Communications – none 10. Adjournment The meeting adjourned at 10:10 p.m. ______________________________________ ______________________________________ Melissa Kennedy, Secretary Jake Spano, Mayor Meeting: City council Meeting date: February 19, 2019 Minutes: 3b Unofficial minutes City council meeting St. Louis Park, Minnesota January 7, 2019 1. Call to order Mayor Spano called the meeting to order at 7:30 p.m. Councilmembers present: Mayor Jake Spano, Tim Brausen, Steve Hallfin, Rachel Harris, Thom Miller, and Margaret Rog. Councilmember absent: Anne Mavity Staff present: City Manager (Mr. Harmening), City Attorney (Mr. Mattick), Deputy City Manager/Human Resources Director (Ms. Deno), Engineering Director (Ms. Heiser), Director of Community Development (Ms. Barton), Police Chief Harcey, Senior Planner (Mr. Walther), Associate Planner (Ms. Kramer), Management Assistant (Ms. Carrillo Perez), and Recording Secretary (Ms. Pappas). Guests: Benilde students 1a. Pledge of allegiance 1b. Roll call 2. Presentations 2a. Recognition of Donations Mayor Spano noted that Park Coin donated $250 for fire prevention programs and equipment. 3. Approval of minutes - none 4. Approval of agenda and items on consent calendar 4a. Accept for filing city disbursement claims for the period of November 24, through December 28, 2018. 4b. Adopt Resolution No. 19-001 designating the St. Louis Park Sun-Sailor as the city’s official newspaper for 2019. 4c. Adopt Resolution No. 19-002 declaring 2019 city council meeting dates. 4d. Adopt Resolution No. 19-003 appointing councilmembers to the office of Mayor Pro Tem for the 2019 calendar year. 4e. Approve second reading and adopt Ordinance No. 2550-19 pertaining to the ground floor area ratio in the R-3 Two-Family Residence zoning district, and to approve the Ordinance Summary for publication. City council meeting of February 19, 2019 (Item No. 3b) Page 2 Title: City council meeting minutes of Jan. 7, 2019 4f. Adopt Resolution No. 19-004 accepting work and authorizing final payment in the amount of $228,306.08 for project no. 4018-1101 MSA street reconstruction – Texas Avenue with Park Construction Company, City Contract No. 68-17. 4g. Designate Insituform Technologies as the lowest responsible bidder and authorize execution of a contract with the firm in the amount of $320,657.50 for the sanitary sewer mainline rehabilitation project no. 4019-3000. 4h. Adopt Resolution No. 19-005 accepting donation to the fire department from Park Coin for fire prevention programs and equipment. 4i. Moved to 8e. 4j. Approve a temporary on-sale intoxicating liquor license for Midwest Rett Syndrome Foundation at 3700 Monterey Drive for their event to be held Feb. 1 – 2, 2019. 4k. Adopt Resolution No. 19-006 authorizing the special assessment for the repair of the sewer service line at 4124 Yosemite Avenue South, St. Louis Park, MN. P.I.D. 21-117--31-0091. 4l. Approve for filing planning commission minutes of November 21, 2018. 4m. Approve for filing planning commission minutes of December 19, 2018. 4n. Adopt Resolution No. 19-007 accepting work and authorizing final payment in amount of $128,538.20 for the Rec Center partial roof and exterior rehabilitation with West Construction Company, Inc. - Project Nos. 24185018 and 24185024, City Contract No. 101-18. Councilmember Brausen requested that consent calendar item 4i be removed and placed on the regular agenda as item 8e. It was moved by Councilmember Brausen, seconded by Councilmember Rog, to approve the agenda and items listed on the consent calendar as amended and to move consent calendar item 4i to the regular agenda as item 8e; and to waive reading of all resolutions and ordinances. The motion passed 6-0. 5. Boards and commissions - none 6. Public hearings - none 7. Requests, petitions, and communications from the public – none 8. Resolutions, ordinances, motions and discussion items 8a. Historic Walker Lake Street and alley reconstruction. Resolution No. 19-008. Ms. Heiser presented the staff report. She stated the project will make road and alley improvements within the Walker Lake Historic District, and the city engaged consulting firm, SRF, to complete a traffic study and preliminary design for the improvements. She noted the project is scheduled to occur when school is not in session, due to the vicinity of the school. City council meeting of February 19, 2019 (Item No. 3b) Page 3 Title: City council meeting minutes of Jan. 7, 2019 Councilmember Miller asked for a description of the funding arrangement for the project. Ms. Heiser stated this is a pavement management project, funded by franchise fees, utility funds and general obligation bonds. She added there is no special assessment for pavement management projects such as this. Councilmember Harris asked for details on lighting. Ms. Heiser stated the city will install street lights, as well as conduit for expansion, if the area becomes a special service district. Councilmember Rog asked about the crosswalks in the area, and if there are plans to have a flasher in the area. Ms. Heiser stated yes, as a part of final design, an enhanced crosswalk will be installed crossing over Lake Street, the location has not been finalized yet. Councilmember Brausen stated he approves of the pedestrian activated crosswalks, and asked if additional expenditures will be incorporated later as part of the small area development plan. Ms. Heiser stated yes, that is correct, noting some banners have been installed with grant funds and bike racks will also be installed later as part of the small area revitalization plan. Both Councilmember Miller and Rog agreed the area is a special place with energy and they are excited about this first step. They noted the project aligns with council strategic priorities, is near the high school, and will make this area a healthier community hub with the Nest, Sota Clothing, STEP, and other small businesses. Mayor Spano pointed out the Walker Historic District is named after the Walker family who donated their personal art collection to the City of Minneapolis, and for which the Walker Art Center was created. He noted the improvements will beautify the area and are necessary to better serve all people. It was moved by Councilmember Miller, seconded by Councilmember Rog, to adopt Resolution No. 19-008 accepting the project report, establishing improvement project no. 4018-1050, approving the preliminary layout, and authorizing design of final plans. The motion passed 6-0. 8b. Luxe residential preliminary and final planned unit development. Ms. Kramer presented the staff report. She stated the project is a 6-story building at the Olive Garden site at 5235 Wayzata Blvd., and noted the development is approved for multifamily in the West End. She stated the approval will create a new zoning district in the area adding that staff finds the site comparable to 2040 Comprehensive Plan goals. Mr. Kramer noted the Planning Commission held a public hearing on the project on December 19, 2018, and residents and commissioner discussed guest parking and building shadowing. The commission voted to recommend approval of the preliminary and final PUD. City council meeting of February 19, 2019 (Item No. 3b) Page 4 Title: City council meeting minutes of Jan. 7, 2019 Councilmember Rog asked for clarification on the affordable housing terms as it relates to TIF. Mr. Walther stated the affordability is tied to the standards of TIF, and the project is not subject to the inclusionary housing policy. He added this was negotiated similarly to the Central Park West project. Councilmember Miller asked even though the building is within the TIF district, how the developer deals with this if the parcel is valued so late in the process. Mr. Walther stated the TIF district does not benefit this developer financially, and all TIF went to the Shops at West End project. Councilmember Harris asked about the sunset date of the affordable units. Mr. Walther stated the term ends at the end of 2031, adding they will benefit from TIF. Councilmember Brausen stated it is important for the city to put affordable housing there, and he appreciates the developer’s willingness to also do electrical charging stations and their adherence to the city’s green requirements as well. He added he hopes the developer will explore solar options as well. Mayor Spano thanked the developers also for including 2- and 3-bedroom units, as well as the energy efficient items. He thanked staff for negotiating these terms. It was moved by Councilmember Brausen, seconded by Councilmember Hallfin, to approve first reading of an ordinance adding Section 36-268 PUD 14 to the zoning code and amending the zoning map from O-Office to PUD 14 for the property located at 5235 Wayzata Blvd., and set the second reading of an ordinance for January 22, 2019. The motion passed 6-0. 8c. Ordinance regarding parking standards including electric vehicle supply equipment. Ms. Kramer presented the staff report. She stated the proposed zoning ordinance amends the parking regulations to require electric vehicle supply equipment when parking lots and parking structures are proposed to be built or reconstructed. Ms. Kramer added the intent is to facilitate and encourage the use of electric vehicles and to expedite the establishment of convenient, cost-effective electric vehicle infrastructure. The ordinance would apply to any new construction or reconstruction of parking lots, ramps, and structures of 15 spaces or more. Ms. Kramer pointed out additionally, as part of the effort to adopt the building readiness ordinance, staff researched lighting recommendations for parking structures. Based on these recommendations from the Illuminating Engineering Society, staff drafted revisions to the zoning ordinance to reflect best practices in the industry, adding minimum and maximum illumination levels. Councilmember Harris asked if this includes resurfacing projects. Ms. Kramer stated no, only reconstruction, when actually digging into the ground to lay conduit. City council meeting of February 19, 2019 (Item No. 3b) Page 5 Title: City council meeting minutes of Jan. 7, 2019 Councilmember Harris asked how many permits are pulled each year for this type of project. Ms. Kramer stated she will research this and provide follow-up to the council. Councilmember Harris asked for examples of proposed lighting in the parking lots. Ms. Kramer stated the parking lot at city hall has 1-2-foot candles at nighttime lighting, as an example. Councilmember Harris asked what the benefit is for the changes to lighting. Ms. Kramer stated users benefit from these changes, and it is also easier to field verify illumination for contractors, and city inspectors, while this benefits city processes as well. Councilmember Brausen asked if staff is proposing 5- or 14-foot candles. Ms. Kramer stated 14 foot during business hours for concrete, and after hours, illumination goes lower. Councilmember Brausen stated this seems like lots of wasted energy lighting up areas that are not active. He did agree some areas need lighting to prevent criminal activity, but if the lighting is bright enough in an area, he wants to be sure the city does not go too much higher than what is allowed, for illumination. Councilmember Rog stated she is in support of reducing light emissions. She asked if the city will not require level 1 charging stations in non-residential areas. Mayor Spano added he too has lighting questions and would be reluctant to support a change if he has no understanding of what the changes in illumination really mean. He added he has concerns also because he lives behind the Methodist Hospital and when the parking ramp is lit, even with shrouds on the fixture, it is very bright at night. He stated he cannot support the ordinance, with the lighting still in question. It was moved by Councilmember Brausen, seconded by Councilmember Harris, to approve first reading of an ordinance adding electric vehicle supply equipment requirements to new and reconstructed parking structures/lots and revising lighting standards for outdoor parking, and set the second reading of an ordinance for January 22, 2019. The motion was rescinded. It was moved by Councilmember Brausen, seconded by Councilmember Harris, to approve the electric vehicle supply requirements as presented by staff, and to table the lighting portion of the ordinance. The motion passed 6-0. Mayor Spano asked staff to provide council with real examples of the lighting changes. Councilmember Harris asked also for visuals on a map, to show what might be beneficial. City council meeting of February 19, 2019 (Item No. 3b) Page 6 Title: City council meeting minutes of Jan. 7, 2019 8d. 2019-2020 International Union of Operating Engineering Local 49 Labor Agreement. Resolution No. 19-009. Ms. Deno presented the staff report. It was moved by Councilmember Brausen, seconded by Councilmember Hallfin, to adopt Resolution No. 19-009, approving labor agreement between the city and the maintenance employee bargaining group, establishing terms and conditions of employment for two years, from 1/1/19 – 12/31/20. The motion passed 6-0. 8e. Body and dash camera hardware and software contract Police Chief Harcey was present to answer questions from the council. Councilmember Brausen stated education about the body and dash cam policy will be very important for the public, and ongoing updates to the council from the police will also be an important part of the process, especially since the city is committing $120,000 each year on this program. He noted some of the council members were not in favor of this policy, and in some ways, it addressed a non-existent problem; however, he does understand the police force feel this is needed and he will move approval of the contract. Councilmember Rog stated she has been opposed to a number of elements of this policy and wanted to also express caution around the Axon Corporation. She has concerns entering into a financial arrangement with Axon, adding they provide free services for a while, and then expect the city to sign onto their larger contracts. She stressed the city needs to be mindful of costs once the 5-year contract is up, and also be mindful that Axon is developing facial recognition technology, which is very opposed in the civil rights community. She encouraged caution and discretion as the city moves forward with Axon, adding she will not support this contact; however, noting that she does support the St. Louis Park Police Department. Mayor Spano stated he understands Councilmember Rog’s concerns; however, pointed out that Axon did not pitch their services to the city. The city decided to purchase the Axon contract on its own. Councilmember Rog stated she was not saying it was pitched to the city, but that this is Axon’s general sales pitch. Councilmember Brausen added the decision for the city to go with this vendor was very well grounded; however, he does share Councilmember Rog’s concerns about civil liberties and facial recognition software. He added he is in favor of the current contract proposed. City council meeting of February 19, 2019 (Item No. 3b) Page 7 Title: City council meeting minutes of Jan. 7, 2019 It was moved by Councilmember Brausen, seconded by Councilmember Harris, to approve the five-year body and dash camera hardware and software contract with Axon Enterprise Incorporated in the amount of $595,426. The motion passed 5-1 (Councilmember Rog opposed). 9. Communications – none 10. Adjournment The meeting adjourned at 8:45 p.m. ______________________________________ ______________________________________ Melissa Kennedy, City Clerk Jake Spano, Mayor Meeting: City council Meeting date: February 19, 2019 Minutes: 3c Unofficial minutes City council study session St. Louis Park, Minnesota January 14, 2019 The meeting convened at 6:38 p.m. Councilmembers present: Mayor Jake Spano, Tim Brausen (arrived 6:50 p.m.), Steve Hallfin, Rachel Harris, Anne Mavity, Thom Miller, and Margaret Rog. Staff present: City Manager (Mr. Harmening), Director of Community Development (Ms. Barton), Housing Supervisor (Ms. Schnitker), Management Assistant (Ms. Carrillo Perez), Communications Manager (Ms. Larson), and Recording Secretary (Ms. Pappas). Guest: Derek Burrows Reise, STEP Executive Director and Dick Parsons, STEP Board Member. 1. Future study session agenda planning – February, 2019 Mr. Harmening presented the proposed study session agenda for February, 2019. Councilmember Miller asked about spending more time on the Climate Action Plan (CAP) and less time on the community health topic at the next study session. Councilmember Harris agreed, adding the CAP discussion could be coupled with a conversation on energy efficiency for home, in light of recent legislation related to energy efficient home designations. Councilmember Rog noted the report from the fire chief on community health has been presented in the past to the council. She proposed reducing the amount of time on this report and focusing more on the CAP discussion. Mayor Spano suggested the fire chief’s report be presented in written form, with recommendations, and then be discussed if needed. Councilmember Miller agreed. 2. St. Louis Park Emergency Program (STEP) facility discussion Mr. Harmening reviewed the concept previously discussed by STEP and the council and stated tonight, the council will be asked if they would like to pursue the idea of a community connection center. Mr. Parson’s stated he has been a resident of St. Louis Park for 40 years, and is the past chair of STEP. He said the needs are real for those who have needs in the community, adding that STEP has a vision of a center for services that would meet shared community goals, be close to the high school, library and new LRT area, and located in the Walker Lake district. Mr. Reise stated STEP currently owns its building which is centrally located, on two bus lines, and has on-site parking. The current building is 9,000 square feet of warehouse and office space, and the building is currently used at maximum capacity. City council meeting of February 19, 2019 (Item No. 3c) Page 2 Title: Study session minutes of Jan. 14, 2019 Mr. Reise stated a partnership with the city would benefit STEP, the city and community. He noted currently STEP is constrained in their facility and need to better engage in partnerships to have a bigger impact in the community. He noted the vision is to have a city-owned facility which has a STEP presence within it, and administers a significant portion of services to the community, along with having space for events, meetings and classes. Mr. Reise added there is limited space in their current location for the food and clothing programs, social workers and program and administrative staff. He noted there is also no space for volunteers or for seasonal distribution of healthy foods either. Councilmember Harris thanked the STEP board members for presenting their ideas. She asked how Hennepin County plays a role and if STEP collaborates at all with them. Mr. Reise stated the county administers federal programs; however, there is not much room for overlap in terms of collaboration with the county and STEP. Councilmember Harris asked what STEP’s needs will be over the next 10 years. Mr. Reise stated STEP is stable, but will try to help in a deeper, more effective way, and be more impactful with better food programs and connecting folks to other resources in the community. He added STEP will connect with the strategic goals of the council in responding to homelessness prevention and partnering better with others. Councilmember Miller stated he understands the challenges, and recognizes STEP is coming to the table with this request. He asked if other cities have resource centers that partner with food shelves. He asked if STEP is interested in expanding their own space, or if there is a strong need for a community resource center. Mr. Reise stated similar agencies have similar space such as STEP; however, other cities such as Plymouth and Bloomington have larger spaces and more services. He stated because of STEP’s great track record in working with the city, the logical conclusion is move forward with a resource center. He added STEP’s current location is best for now, and would be difficult to move from there. This is why they are looking to partner with the city on additional space. Councilmember Rog thanked Mr. Reise adding she understands their thinking. She is in favor of a much stronger partnership between the city and STEP as well. She asked about the type and size of facility STEP is asking about. Mr. Reise stated it is early and depends on how many pieces the city would want to be part of, but suggested 6,000-9,000 additional square feet, and $1 to $5 million in costs, depending on how and where the process evolves. Ms. Rog asked if STEP would do a fundraising or capital campaign. Mr. Reise stated it is early to commit to that, but if they did, STEP would need to raise funds to repurpose the current location first. Councilmember Rog asked about STEP’s clothing program and the number of clients that use this. Mr. Reise stated STEP has hosted the no-cost clothing program since 1977 and it is available to St. Louis Park residents only. He noted they distribute to 3,000 residents each year, including 1,100 coats, and the clothing all comes from community donations and some retail City council meeting of February 19, 2019 (Item No. 3c) Page 3 Title: Study session minutes of Jan. 14, 2019 partners. The clothing is for all age groups, and many clients return clothes when their children have outgrown them for others to use. He stated STEP could do more with more space. Councilmember Rog stated this strikes her as being a really good investment for the city. Councilmember Mavity agreed and stated she is very much in support of STEP and the work they do, adding the needs are so great. She stated the council has, over the years, discussed a community center, noting they will need to have further discussions in order to know where the city wants to go with this. She said this will need to be decided prior to entering into a partnership with STEP on a community center. Councilmember Mavity noted the policies of the city providing funding to non-profits must also be addressed by the council, as there are many non-profits in the community, and the city must be thoughtful and fair to all of its non-profit partners, before entering into an agreement with STEP. Councilmember Mavity asked how important is proximity to STEP’s existing facility in terms of other areas in the city, and if tagged onto other services. Mr. Reise stated STEP strongly prefers a facility that is close to its current location, which is centrally located and can service many clients that live close by. Councilmember Brausen noted he shares his colleague’s appreciation for all the work STEP does, but also agrees with Councilmember Mavity, and the need for the council to discuss the idea of a community center further. He also noted some folks may not want to come to a community center for help if it involves working with the city, depending on their circumstances. He stated he would like staff to explore this more, and would want the council to discuss this further as well. Councilmember Hallfin noted he is a STEP board member and in agreement with what STEP would like to do. He thanked the council for their support and their comments today. Councilmember Harris asked if there are any privacy issues that would need to be addressed with a co-location. Mr. Reise stated STEP would need to be sensitive to this, and maintain all social workers and the food program at the current STEP facility. Councilmember Harris noted STEP seems interested in this facility being in the Walker Lake district, and with the upgrades the city is currently doing, could the land space be better used for an addition onto the current STEP location. Mr. Reise stated STEP did discuss this as it related to their parking lot. Mayor Spano stated he is interested in proceeding with this conversation, and asked if STEP would pay rent to the city on a project such as this. Mr. Reise stated that was not discussed by the STEP board, and depends on the details of scale and scope, adding it would be more cost effective for STEP to pay rent vs. owning a building. Mayor Spano noted he would like to have a discussion with council as this project would be precedent setting, which is fine. He asked also if STEP will consider a bonding request. Mr. Reise stated there was little discussion on state bonding which is a long process, and this would need to be addressed within the next 3-5 years. City council meeting of February 19, 2019 (Item No. 3c) Page 4 Title: Study session minutes of Jan. 14, 2019 Mayor Spano asked Mr. Harmening what types of services the city might offer in a facility such as a community center. Mr. Harmening stated it could be a one-stop shop, with a family resource center, STEP services, city services such as public housing, section 8, and also a housing staff person available to speak to residents. He added there might be park and rec programming, voter registration, and school district partnership as well, along with having the Central Clinic and Asset Families on location. He added discussions with the school district would be included as well. The council consensus was to continue this conversation. Mr. Harmening said staff will continue to research this and bring further information back to the council, as well as background information on past discussions the council had related to a community center. 3. Crime/drug free rental housing workgroup process Ms. Schnitker presented an overview of a proposed process to establish a workgroup of key stakeholders to review and evaluate the crime/drug free ordinance, and to present to council the workgroup’s conclusions and recommendations regarding possible amendments to the ordinance. Ms. Schnitker stated the composition of the workgroup would be primary stakeholders that are most impacted including, renters, property owners, managers and community members. She stated it will have 10 members and an outside third-party facilitator, Kathy Bennett, who served in the past as the NOAH workgroup facilitator. Ms. Schnitker stated staff’s role will be to attend meetings, and provide data and direction when needed. She noted there will be an application process for serving on the workgroup, and the final roster will include demographic, diversity and balanced membership of stakeholders. She added the meetings will be monthly, and there will be one public listening session. Final conclusions and recommendations will be presented to the council for final decisions. Councilmember Rog asked about whether meetings could be held more often than monthly. Ms. Schnitker stated it often takes time for staff to gather the data needed in between meetings, so this will allow for time to do so. It might be possible to hold meetings more often. Councilmember Rog asked if there will be openness to eliminate the ordinance if the workgroup comes to that conclusion. Mr. Schnitker stated yes, that could be a possibility, whatever the recommendations of the workgroup are, will be presented to the council. Councilmember Rog stated she has concerns about police and city staff being present at the workgroup meetings and that those most heavily impacted may not engage fully with police and staff in the room. Ms. Schnitker pointed out staff does not anticipate this would be an issue, and again there will be a third-party facilitator at all meetings who will discuss this issue with the workgroup members. Councilmember Mavity agreed Kathy Bennett is an excellent choice for the third-party facilitator, adding staff knows how to do this process. However, she challenged them on this City council meeting of February 19, 2019 (Item No. 3c) Page 5 Title: Study session minutes of Jan. 14, 2019 approach, and to think outside the box, especially when it comes to balancing the various stake holders in the workgroup. She noted that sometimes more voices are needed in order to create equitable balance in the group, and also noted staff must think about transportation to and from the meetings for workgroup members, as well as day care provisions. Councilmember Mavity stated there will need to be packets of information provided in advance of the meetings, and this may all take additional staff effort. She also pointed out the city might need to hire analysts to do some of this additional work as well, similar to what Minneapolis did when they were having ordinance issues. Councilmember Mavity stated one public listening session is not enough, and there will need to be 2-3 along the way, in order to better engage folks on issues along the process. Councilmember Harris noted minor suggestions, stating folks who have been negatively impacted might not be comfortable applying for the workgroup, and she suggested doing a focus group so folks can share in a session as well, and to help protect anonymity. Ms. Schnitker stated staff will bring all applications to council for selection, and staff will do outreach in person, on social media and on the city web page, along with recruitment for the workgroup positions. Councilmember Miller stated he is confident in staff conducting this process, and obtaining data. He asked if the data will be made up of police reports. Ms. Schnitker stated staff is currently looking into this, and will pull data from police reports. Councilmember Miller asked if there will be a way to differentiate between data and anecdotal information. He also asked how the city will ensure there is a balance of folks on the workgroup that are both in favor of and opposed to the ordinance. Ms. Schnitker stated this will be addressed on the application, and will ask which stakeholder group a person represents. She added the NOAH workgroup process was very respectful of differing ideas and opinions, even while folks did not always agree. Councilmember Brausen stated he is supportive of the workgroup and trusts that a well- balanced group will form. He is not worried about staff being in the room as they are a necessary part of the process, and they understand also where council is coming from and will make clear recommendations. He suggested the city pay for day care expenses for workgroup members also. Councilmember Hallfin agreed with Councilmember Brausen stating he utterly trusts staff on this process and agrees with their report. He stated the city is working to make the best policy and is tasking the workgroup to make recommendations to council. Ultimately the decision will be up to the council, on how to proceed. He did not agree with talk of thinking outside the box, and noted there are some who were negatively impacted by the ordinance and also some who were positively impacted. He stated he is looking forward to the public process. Mayor Spano stated he generally is supportive of staff recommendations on this, but added it will be important that workgroup meetings are not consistently held at city hall. He also agreed City council meeting of February 19, 2019 (Item No. 3c) Page 6 Title: Study session minutes of Jan. 14, 2019 transportation will be an issue that needs to be addressed, and added there will need to be more than one listening session. He stated the first listening session must be very early in the process and then additional ones later. Mayor Spano added he is concerned about folks that may have been touched by police and may not want to speak, noting it would be helpful to have an anonymous phone number available to call, to be sure the city gathers all input. Mayor Spano suggested staff provide a written report that council can review at another meeting and then proceed. It was the consensus of the council to move forward with the workgroup application process at this time. Communications/meeting check-in (verbal) Councilmember Brausen noted in Ward 4, there have been ongoing discussions with staff on the pavement management project, and the process has moved along well. Councilmember Mavity stated regarding the land trust housing report, it would be a great idea to demonstrate technologies, and asked when someone will be moving into the house. Ms. Schnitker stated the city will purchase the home in the next month and do renovations and energy improvements. By late fall, there should be folks living in it. She added the city will want to do an open house first and showcase the home with all its improvements. Councilmember Rog appreciated the census count update from staff, adding she is available to help, and also has volunteers from various organizations that are willing to help as well. She suggested the city integrate census information in all information from the city to residents, noting this was discussed at the recent conference she attended. Ms. Carrillo Perez asked the council to encourage people to apply for boards and commissions through Feb 28 and to apply on the city website. The meeting adjourned at 8:30 p.m. Written Reports provided and documented for recording purposes only: 4. 2019 Pavement Management Project update (4019-1000) 5. Food security and access study 6. Update on 2020 Census 7. Purchase of tax forfeited property located at 3611 Glenhurst Ave. S. 8. November 2018 monthly financial report ______________________________________ ______________________________________ Melissa Kennedy, City Clerk Jake Spano, Mayor Meeting: City council Meeting date: February 19, 2019 Minutes: 3d Unofficial minutes City council meeting St. Louis Park, Minnesota January 22, 2019 1. Call to Order Mayor Spano called the meeting to order at 7:32 p.m. Councilmembers present: Mayor Jake Spano, Tim Brausen, Steve Hallfin, Rachel Harris, Anne Mavity, and Margaret Rog. Councilmembers absent: Thom Miller. Staff present: Executive Director (Mr. Harmening), Project Engineer (Mr. Wiesen), Engineering Director (Ms. Heiser), City Attorney (Mr. Mattick), CFO (Mr. Simon), Management Assistant (Ms. Carrillo Perez), and Recording Secretary (Ms. Pappas). 1a. Pledge of allegiance 1b. Roll call Mayor Spano discussed the officer involved shooting that occurred on Saturday, January 19, 2019, in St. Louis Park. He stated the police officer is on administrative leave per city policy and standard procedure. Mayor Spano said family, friends, and the community want answers, and the Hennepin County Sherriff’s office is investigating, adding this may take some time before being finalized. Mayor Spano noted that waiting for those answers can be difficult, and the city understands that the lives of many people have been impacted. He stated the city offer its sympathies to the family and friends of the person who passed away, adding that regular updates will be posted on the city website, as Hennepin County makes them available. 2. Presentations – None 3. Approval of minutes 3a. Special study session minutes December 3, 2018 It was moved by Councilmember Mavity, seconded by Councilmember Brausen, to approve the special study session meeting minutes of December 3, 2018, as presented. The motion passed 6-0. 3b. City council meeting minutes of December 3, 2018 It was moved by Councilmember Hallfin, seconded by Councilmember Rog, to approve the city council meeting minutes of December 3, 2018, as presented. City council meeting of February 19, 2019 (Item No. 3d) Page 2 Title: City council meeting minutes of Jan. 22, 2019 The motion passed 6-0. 3c. Study session minutes of December 10, 2018 Councilmember Rog noted on page 9, under item # 5, the correct spelling should be “Pollco”. Councilmember Mavity noted on page 3 in the first paragraph, it should read, “The city council does not have capacity to do outreach on every issue that the HRC deals with.” It was moved by Councilmember Rog, seconded by Councilmember Mavity, to approve the study session minutes of December 10, 2018, with corrections. The motion passed 6-0. 4. Approval of agenda and items on consent calendar 4a. Approve second reading and adopt Ordinance No. 2551-19 adding electric vehicle supply equipment requirements to new and reconstructed parking structures and approve the Summary Ordinance for publication 4b. • Approve second reading and adopt Ordinance No. 2552-19 adding Section 36- 268 PUD 14 to the zoning code and amending the zoning map from O - Office to PUD 14 for the property located at 5235 Wayzata Boulevard, and approve the Summary Ordinance for publication. • Adopt Resolution No. 19-010 rescinding Resolution No. 93-101. • Adopt Resolution No. 19-011 amending Resolution No. 13-151. 4c. Adopt Resolution No. 19-012 authorizing purchase of the tax forfeited single- family home located at 3611 Glenhurst Ave. S. for a demonstration project and affordable homeownership opportunity. 4d. Adopt Resolution No. 19-013 authorizing installation of permit parking restrictions in front of 3144 Hampshire Avenue. 4e. Adopt Resolution No. 19-014 authorizing the special assessment for the repair of the sewer service line at 4114 Xenwood Ave. S., St. Louis Park, MN. P.I.D. 21-117- 21-31-0123. 4f. Adopt the following resolutions imposing civil penalties for liquor license violations according to the recommendation of the city manager: • Resolution No. 19-015 imposing civil penalty for liquor license violation on December 6, 2018 at Rackner, Inc. dba Bunny’s Bar & Grill, 5916 Excelsior Blvd. • Resolution No. 19-016 imposing civil penalty for liquor license violation on October 30, 2018 at SuperValu, Inc. dba Cub Liquor, 5370 16th St. W. 4g. Approve out-of-state travel of Mayor Jake Spano to attend the 87th Winter Meeting of The United States Conference of Mayors in Washington, DC on January 22 – 25, 2019. 4h. Adopt Resolution No. 19-017 authorizing the change of parking restriction on Zarthan Avenue between 39th Street and Cambridge Street in the Elmwood neighborhood. City council meeting of February 19, 2019 (Item No. 3d) Page 3 Title: City council meeting minutes of Jan. 22, 2019 4i. Adopt Resolution No. 19-018 accepting work and authorizing final payment in the amount of $8,657.50 for the annual concrete replacement project with Ti- Zack Concrete, Inc. - Project No. 4018-0003, City Contract No. 31-18. 4j. Approve for filing planning commission meeting minutes of Dec. 19, 2018 It was moved by Councilmember Brausen, seconded by Councilmember Rog, to approve the agenda as presented and items listed on the consent calendar; and to waive reading of all resolutions and ordinances. The motion passed 6-0. 5. Boards and commissions - None 6. Public hearings 6a. The Cooper, LLC dba The Local – Westend – on-sale intoxicating and on-sale Sunday liquor license. Ms. Carrillo Perez presented the staff report. She noted the establishment will be downsized and rebranded with a new name. It is set to re-open February 2019, and the new liquor license will be effective from February – March 1, 2020. Councilmember Brausen asked if the same ownership group will own the Local- Westend. Ms. Carrillo Perez answered yes. Mayor Spano opened the public hearing. No speakers were present. Mayor Spano closed the public hearing. Councilmember Harris asked about the process of a new license, noting The Cooper already had a liquor license, and asked if the name change is the reason they need a new liquor license. Ms. Carrillo Perez stated the changes to the name and the size of the establishment required approval of the updated license. Councilmember Hallfin asked about the size of the establishment. Mr. Mattick stated anytime there is a size modification, or name change, the license needs to come back to council for amendment and approval. Councilmember Brausen stated The Cooper has been part of the community for a while, and has been enjoyed by many, adding he hopes the citizens of St. Louis Park will also enjoy going to the new establishment, The Local – Westend. It was moved by Councilmember Brausen, seconded by Councilmember Mavity, to approve the application from The Cooper, LLC dba The Local – Westend for an on-sale intoxicating and on-sale Sunday liquor license for the premises located at 1607 Park Place Boulevard. The motion passed 6-0. City council meeting of February 19, 2019 (Item No. 3d) Page 4 Title: City council meeting minutes of Jan. 22, 2019 6b. 2019 Pavement Management Project No. 4019-1000. Mr. Wiesen presented the staff report. He noted the project involves reconstruction, stormwater improvements, utility upgrades, and sidewalks as part of Connect the Park, to close gaps in the sidewalk system in this area. He stated total cost for the project is $5.7 million with construction going April – November, 2019. Councilmember Brausen asked if information related to rain garden options, as part of the project, can be given to residents in the area, noting these can help with the impact of stormwater run-off and can also be a good alternative to green turf. Mr. Wiesen stated that staff will provide this information to residents. Mayor Spano opened the public hearing. Tyler Michelson, 7721 W. 13 ½ St., stated he is thankful for the proposed sidewalk which will connect to a park and pond in his neighborhood, and be helpful with walking with his children in the area. He noted he does, however, have concerns with narrowing the street from 30 to 28 feet, as it will make the street narrower, especially with parking on both sides. He noted that reducing the size of the street without adding sidewalks will be ineffective, and if it is more cost effective now to add the sidewalks, he suggests the city do this now. He noted the neighborhood has many young children and families and the sidewalks will be welcome. Karen Bule, 7711–13th Lane, stated at the end of 13th Lane there is a business and employees park in the area, noting it is already difficult getting out, and narrowing the street will make it more difficult. She stated visibility is poor and it will be a further hindrance and endangerment to folks in the neighborhood. She asked if sidewalks were proposed there. Ms. Heiser stated no, they are not. Ms. Bule stated retaining walls and narrowing the streets are dangerous. Mr. Wiesen, however, noted that 13th Lane is not proposed to be narrowed, adding staff can provide more information to Ms. Bule if needed. Tom Westlund, 2250 Quebec Ave. S., stated he has 3 children and concerns about his street, especially with traffic from school buses. He stated without a sidewalk on Quebec, there is a concern for safety, and he requests to have sidewalks on Quebec vs. Pennsylvania Avenue. Polly Sanko, 7712 W. 13 ½ St., stated she has concerns about her rock garden and older driveway, noting this project may take out her rock garden and she would have to install a new driveway. Mayor Spano stated if the city takes out a driveway, it is the city’s responsibility to replace it, adding that staff will follow up with Ms. Sanko. Mr. Wiesen confirmed that the city will replace anything that is removed, adding that staff will walk through this process with Ms. Sanko. City council meeting of February 19, 2019 (Item No. 3d) Page 5 Title: City council meeting minutes of Jan. 22, 2019 Mayor Spano closed the public hearing. Councilmember Harris stated she appreciates the city replacing what is disturbed during the project, and asked how this affects the public right-of-way, and if plantings on the public right-of-way would be restored. Mr. Wiesen stated yes, the city will replace sod or rocks at the end of the project, and work with residents throughout the construction process. Councilmember Harris asked in light of the issue with school buses on Quebec, is the city collaborating with the school district on safe routes and questioned how Quebec Avenue fits into this. Ms. Heiser stated yes, the city has collaborated with the school district on how buses get through this area and routing of school drop-offs. She added they will reach out again to the school district as it relates to this project. Councilmember Brausen invited residents to explain to the council and staff any issues they may have with the project; however, added the city has an obligation to maintain and replace the city’s infrastructure, and resident cooperation and patience is always appreciated. Councilmember Rog suggested residents view the changes chart on the city website for information, as it is a helpful tool. She also asked staff why sidewalks will be located on Pennsylvania vs. Quebec Ave. Ms. Heiser stated the Pennsylvania Avenue sidewalks are part of the Connect the Park project, and city council approved this project back in 2012. She added this is the first time she has heard about the need for a sidewalk on Quebec Avenue, adding that staff can look at this and would need to do a public process to move forward. Councilmember Brausen stated he has attended all the public meetings related to this, noting that residents originally had concerns about Quebec Avenue because the soil is marshy there. He noted there were concerns about adding additional structure on Quebec Avenue, and that is the reason for narrowing the street and cutting down on pavement in that area. He also agreed with Ms. Heiser, stating there would be a need for additional public process on this, for further changes to be made. Mayor Spano explained no council action will be taken tonight and final action will be taken by council at the February 4, 2019 meeting. 6c. First reading of ordinance imposing a franchise fee on Northern States Power Co. (dba Xcel Energy). Mr. Simon presented the staff report. City council meeting of February 19, 2019 (Item No. 3d) Page 6 Title: City council meeting minutes of Jan. 22, 2019 Mayor Spano clarified this is a $1.50 increase for Xcel energy franchise fees and an additional $1.50 increase for CenterPoint franchise fees, for city residents. Councilmember Harris stated she received an email from a business in Ward 3 asking why the council is voting to increase utility fees and why there is not a special assessment for residents in specific construction areas. Mr. Simon explained several years ago the city decided to use the franchise fee as a way to lower the overall cost of the pavement management program instead of large special assessments. Councilmember Brausen clarified this is a monthly increase of the franchise fee, and Mr. Simon concurred. Councilmember Brausen also noted the city felt franchise fees more fairly distributed the burden, as all residents use the public right-of-way. Mayor Spano opened the public hearing. No speakers were present. Mayor Spano closed the public hearing. It was moved by Councilmember Rog, seconded by Councilmember Brausen, to approve the first reading of an ordinance imposing a franchise fee on Xcel Energy and set second reading for February 4, 2019. The motion passed 6-0. 6d. First reading of ordinance imposing a franchise fee on CenterPoint Energy Resources Corporation. Mr. Simon presented the staff report. Mayor Spano opened the public hearing. No speakers were present. Mayor Spano closed the public hearing. It was moved by Councilmember Rog, seconded by Councilmember Harris, to approve the first reading of an ordinance imposing a franchise fee on CenterPoint Energy and set second reading for February 4, 2019. The motion passed 6-0. 7. Requests, petitions, and communications from the public – None 8. Resolutions, ordinances, motions and discussion items - None 9. Communications Councilmember Harris thanked planner Jennifer Monson for attending the Lennox Men’s Club meeting with her to speak about updates on the Texatonka business center. She noted there is a meeting tomorrow to close on the sale of the business center, adding this is a big change in her ward, and many are looking forward to this. City council meeting of February 19, 2019 (Item No. 3d) Page 7 Title: City council meeting minutes of Jan. 22, 2019 Councilmember Brausen noted this Saturday, January 26 is the “Bundle Up - Winter Fun Day” at Oak Hill Park from 12 noon to 4 p.m. Mr. Harmening added all proceeds from the event go to funding the city’s summer concert series at Wolfe Park. Mayor Spano noted as folks are thinking about giving to different charities, STEP is expecting to see more and more demand on their services, so any gifts would be greatly appreciated. 10. Adjournment The meeting adjourned at 8:20 p.m. ______________________________________ ______________________________________ Melissa Kennedy, City Clerk Jake Spano, Mayor Meeting: City council Meeting date: February 19, 2019 Consent agenda item: 4a Executive summary Title: Approve out-of-state travel – NLC Congressional City Conference Recommended action: Motion to approve out-of-state travel of Mayor Jake Spano and Councilmember Rachel Harris to attend the National League of Cities (NLC) Congressional City Conference in Washington, DC on March 9 – 13, 2019. Policy consideration: Pursuant to MN Statute 471.661 and Resolution No. 06-007, City of St. Louis Park Elected Official Out-of-State Travel Policy, the city council is required to approve any travel outside the State of Minnesota for elected officials. Financial or budget considerations: This is a 2019 budgeted item. Strategic priority consideration: Not applicable. Supporting documents: None Prepared by: Debbie Fischer, Administrative Services Office Assistant Approved by: Tom Harmening, City Manager Meeting: City council Meeting date: February 19, 2019 Consent agenda item: 4b Executive summary Title: Managed document services agreement Recommended action: Motion to approve an agreement between the City of St. Louis Park and Loffler Companies, Inc. for 5-year managed printer / copier / scanner / fax (document) services. Policy consideration: Does city council wish to continue the policy of using managed document services as the city has done since 2014? Summary: In 2014, the city entered into 5-year agreements for the provision of managed document services for its printers, copiers, and high production multi-function devices that usually also include scanning and sometimes faxing services. These agreements were made with Ricoh (copiers) and Loffler Companies (printers). This approach of leasing equipment and the service and supplies to maintain them has proven to be both cost-effective and efficient in maintaining uptime of the devices. Prior to that, the city purchased and maintained its own devices, which consumed significant IT staff time. These 5-year agreements conclude in March 2019. As a result, staff solicited proposals from eight companies to continue this service. Seven companies responded with proposals. Using city document count estimates, proposals ranged in cost from $4,586.86 to $7,424.23 per month. Loffler Companies proposed the monthly cost of $4,586.86. The city’s experience and references with Loffler are among the reasons it is recommended the city enter into a 5-year agreement with them. Other reasons include newer user technology that can help reduce the quantity of copies and prints, and Loffler’s commitment to the environment / climate and accessibility. Financial or budget considerations: The city currently budgets $65,000 per year for managed document services, enough to cover costs included in the recommended Loffler proposal. Since this is a 5-year agreement, its total value is such that city council approval is required. Strategic priority consideration: Not applicable. Supporting documents: None. However, documents supporting Loffler’s approach to environment / climate and accessibility are available. Prepared by: Clint Pires, Chief Information Officer Reviewed by: Jason Huber, IT Manager Approved by: Tom Harmening, City Manager Meeting: City council Meeting date: February 19, 2019 Consent agenda item: 4c Executive summary Title: 2019 - 2020 Liquor license renewals Recommended action: Motion to adopt Resolution approving renewal of liquor licenses for the license term March 1, 2019 through March 1, 2020. Policy consideration: Do the applicants meet the requirements for renewal of their liquor licenses? Summary: The city has received the required information from current liquor license establishments for renewal of their liquor licenses. The required documents include state and city renewal applications, certificates of liquor liability insurance, proof of workers’ compensation compliance, and license fees. Each of the establishments listed in Exhibit A of the attached resolution have met the criteria necessary for issuance of their respective liquor licenses. During the 2018-2019 license period, the following liquor licenses were approved: •Life Café, 5525 Cedar Lake Road (on-sale wine and 3.2) •REM5 Virtual Reality Laboratory, 4950 35th St. West (on-sale wine and 3.2) •Lucky Cricket, 1607 West End Blvd. (on-sale intoxicating and on-sale Sunday) Four licenses had license changes (new ownership/new location/new license type): •Taste of India, 5617 Wayzata Blvd. (on-sale wine and 3.2) – ownership change •Liquor Boy, 5620 Cedar Lake Rd. (off-sale intoxicating) – ownership change •Chipotle Mexican Grill, 5580 Excelsior Blvd. – new location and changed from (on-sale wine and 3.2) to (on-sale intoxicating and on-sale Sunday) •The Local – West End, 1607 Park Place Blvd. (on-sale intoxicating and on-sale Sunday) – changed dba name from Cooper to The Local – West End Two licenses closed in the same time period: •Pei Wei Asian Diner, 5330 Cedar Lake Road #600 (on-sale wine and 3.2) •Sam’s Club, 3745 Louisiana Ave. S (off-sale intoxicating) Financial or budget considerations: Fees received for liquor license renewals are budgeted and defray the costs the city incurs to administer and enforce liquor licensing regulations and requirements. Strategic priority consideration: Not applicable. Supporting documents: Discussion Resolution with Exhibit A – list of establishments Prepared by: Chase Peterson-Etem, Office Assistant - Records Reviewed by: Melissa Kennedy, City Clerk Approved by: Tom Harmening, City Manager City council meeting of February 19, 2019 (Item No. 4c) Page 2 Title: 2019 - 2020 Liquor license renewals Discussion Background: St. Louis Park City Code Chapter 3 regulates liquor licensing. The city also abides by state statutes related to liquor licensing. The licensing period for liquor is one year, beginning March 1. Renewal of licenses is done in accordance with the following section: City Code Sec. 3-64. Renewal application. (a) Applications for the renewal of an existing liquor license shall be made at least 45 days prior to the date of the expiration of the license, and shall state that everything in the prior application remains true and correct except as otherwise indicated on the renewal application. (b) Renewal applications for an On-Sale License for a restaurant shall include a certified public accountant's statement showing total sales, food sales, liquor sales and percentage of total sales of the restaurant for the previous year. Review and regulations: As required by City Code Sections 3-57 and 3-70, all on-sale intoxicating and on-sale wine licensees are in compliance with food/liquor ratio requirements: • On-Sale Intoxicating Liquor License must have a minimum of 50% of gross receipts attributable to the sale of food. • On-Sale Wine License - The holder of a wine license, who is also licensed to sell 3.2 percent malt liquor on-sale and whose gross receipts are at least 60 percent attributable to the sale of food, may also sell intoxicating malt liquor at on-sale without an additional license. As required in City Code Section 3-70, all property tax payments for establishments are current. Staff Recommendation: The city clerk’s office reviews all the application information and works with the police department and the State of Minnesota to assure that all licensees meet the necessary criteria for issuance of the next year’s term of their liquor license. All license renewals and applications listed on Exhibit A of the resolution have met the requirements for license. Staff recommends the approval and issuance of the appropriate license to each establishment listed on Exhibit A for the term of March 1, 2019 to March 1, 2020. City council meeting of February 19, 2019 (Item No. 4c) Page 3 Title: 2019 - 2020 Liquor license renewals Resolution No. 19-___ Resolution approving renewal of liquor licenses for the license period March 1, 2019 through March 1, 2020 Whereas, Minnesota Statutes Chapter 340A and St. Louis Park City Code Chapter 3 provide for liquor licensing in cooperation with the Alcohol and Gambling Enforcement Division of the Minnesota department of Public Safety, and Whereas, no license may be issued or renewed if required criteria has not been met, and Now therefore be it resolved by the City of St. Louis Park City Council that the applicants and establishments listed in Exhibit A have met the criteria necessary for issuance of their respective liquor licenses, and the applications are hereby approved for March 1, 2019 to March 1, 2020. Reviewed for administration: Adopted by the City Council Feb. 19, 2019 Thomas K. Harmening, City Manager Jake Spano, Mayor Attest: Melissa Kennedy, City Clerk City council meeting of February 19, 2019 (Item No. 4c) Page 4 Title: 2019 - 2020 Liquor license renewals Resolution No. 19-___ 2019 liquor license renewals Exhibit A Establishment Name Licensee Name Address License Type AC St. Louis Park ACSLP LLC 5075 Wayzata Blvd. on-sale intoxicating & Sunday Sale Applebee's Neighborhood Grill & Bar Apple Minnesota, LLC 8312 Highway 7 on-sale intoxicating & Sunday Sale Best of India Best of India Inc. 8120 Minnetonka Blvd on-sale wine and 3.2 Blaze Pizza Team DHW, LLC 8126 Hwy. 7 on-sale wine and 3.2 Blue Fox Bar & Grill ResBiz LLC 5377 W. 16th St. on-sale intoxicating & Sunday Sale Board & Brush - St. Louis Park Madilin Creative, LLC 5810A W. 36th Street on-sale wine and 3.2 Brush Studio Azeka, Inc. 1651 Park Place Blvd. on-sale wine and 3.2 Bunny's Rackner Inc. 5916 Excelsior Blvd on-sale intoxicating & Sunday Sale Chipotle Mexican Grill, #3256 Chipotle Mexican Grill of Colorado, LLC 5580 Excelsior Blvd on-sale intoxicating & Sunday Sale Copperwing Distillery Hennepin Distilling, LLC 6409 Cambridge Street Cocktail room on-sale and microdistillery off-sale Costco Wholesale #377 Costco Wholesale Corporation 5801 W 16th St off-sale Courtyard Minneapolis West CSM Lodging Services, Inc. 9980 Wayzata Blvd. on-sale intoxicating & Sunday Sale Crave Crave Hospitality WE LLC 1603 West End Blvd on-sale intoxicating & Sunday Sale Cub Foods SuperValu, Inc. 5370 16th Street W off-sale 3.2 Cub Foods Knollwood Diamond Lake 1994 LLC 3620 Texas Ave S off-sale 3.2 Cub Liquor SuperValu, Inc. 5370 16th Street W off-sale DoubleTree Minneapolis Park Place MLCV STLP, LLC 1500 Park Place Blvd on-sale intoxicating & Sunday Sale Frank Lundberg American Legion Post 282 Frank Lundberg American Legion Post 282 6509 Walker St. on-sale intoxicating club & Sunday Sale Fresh Thyme Farmers Market Lakes Venture, LLC 4840 Excelsior Blvd., Suite A off-sale 3.2 Fresh Thyme Liquor Lakes Venture, LLC 4840 Excelsior Blvd., Suite B off-sale Homewood Suites HSSLP LLC 5305 Wayzata Blvd 3.2 on-sale and on-sale Sunday Knollwood Liquor Knollwood Liquor Inc. 7924 Hwy 7, Suite A off-sale Life Café LTF Club Operations Company, Inc. 5525 Cedar Lake Road on-sale wine and 3.2 Liquor Boy JPG Corporation 5620 Cedar Lake Rd off-sale Lucky Cricket Lucky Cricket West End, LLC 1607 West End Blvd. on-sale intoxicating & Sunday Sale Lunds & Byerly's Wines & Spirits Byerly Beverages, Inc. 3777 Park Ctr Blvd off-sale Lunds & Byerly's-St. Louis Park Byerly's, Inc. 3777 Park Ctr Blvd on-sale intoxicating & Sunday Sale Marriott Mpls West CSM Lodging Services, Inc. 9960 Wayzata Blvd on-sale intoxicating & Sunday Sale McCoy's Public House McCoy's of Minneapolis, Inc. 3801 Grand Way on-sale intoxicating & Sunday Sale MGM Wine & Spirits IAW Management, LLC 8100 Highway 7 off-sale Mill Valley Kitchen Mill Valley Corporation 3906 Excelsior Blvd on-sale intoxicating & Sunday Sale Minneapolis Golf Club Minneapolis Golf Club 2001 Flag Ave S on-sale intoxicating club & Sunday Sale Olive Garden Italian Restaurant #1424, The GMRI Inc. 5235 Wayzata Blvd on-sale intoxicating & Sunday Sale Park Tavern Lounge & Lanes Philips Investment Co. 3401 Louisiana Ave S on-sale intoxicating & Sunday Sale Parkway Pizza SLP Pizza Company, Inc. 6325 Minnetonka Blvd. on-sale wine and 3.2 Pinot's Palette Lifeswork Enterprises, LLC 4712 Excelsior Blvd on-sale wine and 3.2 City council meeting of February 19, 2019 (Item No. 4c) Page 5 Title: 2019 - 2020 Liquor license renewals Establishment Name Licensee Name Address License Type Prime Deli Weinberg Brothers Investments Co., LLC 4224 Minnetonka Blvd. on-sale wine and 3.2 Punch Bowl Social Punch Bowl Minneapolis, LLC 1691 Park Place Blvd. on-sale intoxicating & Sunday Sale Raku Sushi & Lounge Raku Sushi & Lounge, Inc. 5371 16th St W. on-sale intoxicating & Sunday Sale REM5 Virtual Reality Laboratory REM5, LLC 4950 35th St. W. on-sale wine and 3.2 Rojo Mexican Grill Rojo West End LLC 1602 West End Blvd on-sale intoxicating & Sunday Sale Showplace 14 #8863 Kerasotes Showplace Theatres, LLC 1625 West End Blvd. on-sale intoxicating & Sunday Sale Smashburger #1419 Smashburger Acquisition- Minneapolis, LLC 8124 Highway 7 on-sale wine and 3.2 St. Louis Park Liquor Kevin Tran 6316 Minnetonka Blvd off-sale Steel Toe Brewing Steel Toe Brewing LLC 4848 35th Street W. brewer off-sale; taproom on-sale & Sunday sale Target Store T-2189 Target Corporation 8900 Highway 7 off-sale Taste of India Rasoi, LLC 5617 Wayzata Blvd on-sale wine and 3.2 Texas-Tonka Liquor Texas Tonka Liquor, Inc. 8242 Minnetonka Blvd off-sale Texa-Tonka Lanes H.J.K.S. Inc. 8200 Minnetonka Blvd on-sale intoxicating & Sunday Sale TGI Friday's Central Florida Restaurants, Inc. 5875 Wayzata Blvd on-sale intoxicating & Sunday Sale The Local - Westend The Cooper LLC 1607 Park Place Blvd on-sale intoxicating & Sunday Sale The Loop Loop West End, LLC 5331 16th Sreet W. on-sale intoxicating & Sunday Sale Top Ten Liquors Yayin Gadol, LLC 5111 Excelsior Blvd off-sale Trader Joe's #710 Trader Joe's East, Inc. 4500 Excelsior Blvd off-sale Westwood Liquors FC Liquors 2 Inc. 2304 Louisiana Ave S off-sale Wok in the Park A Wok in the Park LLC 3005 Utah Ave South on-sale wine and 3.2 Yangtze River Restaurant Yangtze Inc. 5625 Wayzata Blvd on-sale intoxicating & Sunday Sale Yard House #8354 Yard House USA, Inc. 1665 Park Place Blvd. on-sale intoxicating & Sunday Sale Yum! Kitchen and Bakery Yum!, Inc. 4000 Minnetonka Blvd. on-sale wine and 3.2 Meeting: City council Meeting date: February 19, 2019 Consent agenda item: 4d Executive summary Title: Resolution supporting application for MnDOT local road improvement funds Recommended action: Motion to adopt Resolution in support of application for MnDOT local road improvement program funding for the Louisiana Avenue Bridge and Road Reconstruction project (4018-1700) phase 1. Policy consideration: Does the city council support staff seeking outside funding to assist with the cost to construct the Louisiana Avenue Bridge & Road Reconstruction project (4018-1700) phase 1? Summary: In 2018, the Local Road Program Advisory Committee requested MnDOT State Aid to prepare a solicitation opportunity for local agencies to provide project applications for the Local Road Improvement Program (LRIP). The LRIP was established in Minnesota Statute 174.52 to assist local agencies in constructing or reconstructing local roads. While, no funding is currently available for the program. This solicitation is designed to generate a list of local road projects to be used by transportation partners and local agencies for demonstrating legislative support for funding the program. The maximum request is $1,000,000. The deadline for application for consideration of these funds is March 1, 2019. One of the items that we need for making application is a resolution of support from the city council. Financial or budget considerations: The construction of phase 1 for this project is included in the city’s capital improvement program (CIP) for 2019 and 2020. The cost estimate for phase 1 is $7,731,750. Funding will be provided by a combination of MSA, Pavement Management, State Funding, Utility Funds, and General Obligation Bonds. Strategic priority consideration: St. Louis Park is committed to providing a variety of options for people to make their way around the city comfortably, safely and reliably. Supporting documents: Discussion Resolution Prepared by: Joseph Shamla, Senior Engineering Project Manager Reviewed by: Debra Heiser, Engineering Director Approved by: Tom Harmening, City Manager City council meeting of February 19, 2019 (Item No. 4d) Page 2 Title: Resolution supporting application for MnDOT local road improvement funds Discussion Background: On March 5, 2018, the city council approved the preliminary layout for the Louisiana Avenue Bridge and Road Reconstruction project (4018-1700). Phase 1 of this project includes the reconstruction of the bridge over Minnehaha Creek, and the reconstruction of Louisiana Avenue from Excelsior Boulevard to Louisiana Circle. The project includes the following bicycle and pedestrian improvements: •Construction of cycle track along the entire length, with a trail connection to the Louisiana SWLRT station. •Construction of new sidewalk along the west side of Louisiana between the Minnehaha Creek and Excelsior Boulevard. •The new bridge is being built with clearance to provide a connection under the bridge along the Minnehaha Creek trail to allow users to safely access the east side of the street. The existing bridge over Minnehaha Creek was constructed in 1970 and is a channel span bridge. Channel span bridges are no longer recommended in locations where road salt is used. The salt can penetrate the deck and access the steel in these types of bridges which will cause the structure to deteriorate faster than other bridge types. At this time, the bridge replacement is a high priority. The city’s bridge inspection firm, WSB and Associates, inspects the bridge annually, with the most recent inspection in October 2018 and recommends that the bridge be replaced no later than 2020. Present considerations: In 2018, the Local Road Program Advisory Committee requested MnDOT State Aid to prepare a solicitation opportunity for local agencies to provide project applications for the Local Road Improvement Program (LRIP). The LRIP was established in Minnesota Statute 174.52 to assist local agencies in constructing or reconstructing local roads. While, no funding is currently available for the program. This solicitation is designed to generate a list of local road projects to be used by transportation partners and local agencies for demonstrating legislative support for funding the program. The maximum request is $1,000,000. The deadline for application for consideration of these funds is March 1, 2019. One of the items that we need for application is a resolution of support from the city council. Next steps: Project application deadline March 1, 2019 LRIP Advisory Committee reconvenes April 2019 Project list posted on State Aid Website April/May 2019 City council meeting of February 19, 2019 (Item No. 4d) Page 3 Title: Resolution supporting application for MnDOT local road improvement funds Resolution No. 19-___ Resolution authorizing application for Grant Agreement to State Transportation Fund (Local Road Improvement Program) SAP 163-276-036 Whereas, the City of St. Louis Park has applied to the Commissioner of Transportation for a grant from the Minnesota State Transportation Fund for Local Road Improvement and Whereas, the Commissioner of Transportation has given notice that funding for this project is available; and Whereas, the amount of the grant has been determined to be $1,000,000 by reason of the construction cost estimate. The project is anticipated to be bid at the end of 2019; Now therefore, be it resolved that the City of St. Louis Park does hereby agree to the terms and conditions of the grant consistent with Minnesota Statutes, section 174.52 and will pay any additional amount by which the cost exceeds the estimate, and will return to the Minnesota State Transportation Fund any amount appropriated for the project but not required. The proper City officers are authorized to execute a grant agreement and any amendments thereto with the Commissioner of Transportation concerning the above- referenced grant. Reviewed for administration: Adopted by the City Council Feb. 19, 2019 Thomas K. Harmening, City Manager Jake Spano, Mayor Attest: Melissa Kennedy, City Clerk Meeting: City council Meeting date: February 19, 2019 Consent agenda item: 4e Executive summary Title: Bid tabulation: Award bid for concrete replacement – project no. 4019-0003 Recommended action: Motion to designate Cempour LLC the lowest responsible bidder, and authorize execution of a contract with the firm in the amount of $193,500.00 for concrete replacement– Project No. 4019-0003. Policy consideration: Does the City Council wish to continue the City’s practice of repairing or replacing existing sidewalk, curb and gutter, and catch basins? Summary: Bids were received on February 11, 2019 for miscellaneous concrete repair, including sidewalk, curb and gutter, and storm sewer catch basins at various locations in the city. This annual construction contract addresses needed concrete repairs in the pavement management area scheduled for routine pavement maintenance the following year as well as sidewalk trip hazards throughout the city. Five (5) bids were received for this project. A summary of the bid results is as follows: CONTRACTOR BID AMOUNT Cempour LLC. $193,500.00 Create Construction LLC. $210,391.80 Concrete Idea, Inc. $220,234.50 Ti-Zak Concrete, Inc. $236,398.00 G.L. Contracting, Inc.$272,174.20 Engineer’s Estimate $218,245.00 A review of the bid indicates Cempour LLC submitted the lowest responsible bid. Cempour has completed this type and size of work successfully in other cities including Minneapolis and Maple Grove. Staff recommends that a contract be awarded to the firm in the amount of $193,500.00. Financial or budget considerations: This project was planned for and included in the City’s adopted 2019 Capital Improvement Plan (CIP), with an estimated budget of $287,500.00. This project is funded by the Public Works Operations budget, Stormwater Utility, and Pavement Management funds. Funding details are provided in the discussion section. Strategic priority consideration: St. Louis Park is committed to providing a variety of options for people to make their way around the city comfortably, safely and reliably. Supporting documents: Discussion Prepared by: Phillip Elkin, Senior Engineering Project Manager Reviewed by: Debra Heiser, Engineering Director Approved by: Tom Harmening, City Manager City council meeting of February 19, 2019 (Item No. 4e) Page 2 Title: Bid tabulation: Award bid for concrete replacement – project no. 4019-0003 Discussion Background: Bids were received on February 11, 2019 for miscellaneous concrete repair, including sidewalk, curb and gutter, and storm sewer catch basins at various locations in the city. This annual construction contract addresses needed concrete repairs in the pavement management area scheduled for routine pavement maintenance the following year as well as sidewalk trip hazards throughout the city. Staff annually surveys the condition of sidewalks to identify hazards for repair. Panels of sidewalk that are cracked or have been lifted by tree roots to create trip hazards that need to be removed and replaced are included in this contract. Curb and gutter with similar defects that create drainage or safety problems are also repaired. Deteriorating catch basins that are within the work area will also be repaired or rebuilt. An advertisement for bids was published in the St. Louis Park Sun-Sailor on January 24, 2019. In addition, plans and specifications are noticed on the City Website and are made available electronically via the internet by our vendor Quest CDN.com. Email notification was provided to four (4) minority associations and final printed plans were available for viewing at Dodge Data, Construct Connect, and at City Hall. Sixteen contractors/vendors purchased plan sets including four (4) Disadvantaged Business Enterprises (DBE). Funding Details Based on the low bid received, cost and funding details are revised as follows: Due to the nature of our construction projects, unexpected costs do come up. To address this, past practice has been to show a contingency for all aspects of the project. What follows is a table that shows this contingency and how this would affect the project costs. These contingency costs are within the funding identified in the CIP. If overruns occur there is adequate funds to cover these costs. Low Bid Contingency (20%) Engineering (10%) Total Pavement Management $56,115.00 $11,223.00 $5,611.50 $72,949.50 Stormwater Utility $63,855.00 $12,771.00 $6,385.50 $83,011.50 PW Operations Fund $73,530.00 $14,706.00 $7,353.00 $95,589.00 Total $193,500.00 $38,700.00 $19,350.00 $251,550.00 Construction Timeline: All work required under this contract, except maintenance work, shall be completed by July 31, 2019. CIP Estimate Low Bid Construction Cost $270,000.00 $193,500.00 Engineering $17,500.00 $12,578.00 Total $287,500.00 $206,078.00 Revenues Pavement Management Fund $82,500.00 $57,701.00 PW Operations Budget $95,000.00 $68,008.00 Stormwater Utility Funds $110,000.00 $80,369.00 Total $287,500.00 $206,078.00 Meeting: City council Meeting date: February 19, 2019 Action agenda item: 5a Executive summary Title: Appointment of youth representative to boards and commissions Recommended action: Motion to appoint Yonah Davis to the Telecommunications Advisory Commission as youth member for the term ending on August 31, 2019. Policy consideration: Having youth serve on the city’s boards and commissions is consistent with council policy. Summary: The city received an application from Yonah Davis to serve as youth member on the Telecommunications Advisory Commission (TAC). Yonah is a video broadcast editor with the St. Louis Park High School Echo News and is interested in learning more about local government. The applicant is an impressive student who wants to dedicate time to service in the community. Youth members are appointed to one-year terms, beginning on August 31 of each year. Yonah will be filling a vacant youth position on the Telecommunications Advisory Commission (TAC). Financial or budget considerations: Not applicable. Strategic priority consideration: St. Louis Park is committed to creating opportunities to build social capital through community engagement. Supporting documents: None Prepared by: Maria Carrillo Perez, Management Assistant Reviewed by: Nancy Deno, Deputy City Manager/HR Director Approved by: Tom Harmening, City Manager Meeting: City council Meeting date: February 19, 2019 Public hearing: 6a Executive summary Title: Public hearing to consider allocation of 2019 Community Development Block Grant (CDBG) funds Recommended action: Mayor to open public hearing, take testimony, and then close the hearing. Motion to adopt Resolution approving proposed use of 2019 Urban Hennepin County Community Development Block Grant (CDBG) funds and authorize execution of sub-recipient agreement with Hennepin County and third party agreements. Policy consideration: Does the city council concur with the recommendations made for the allocation of $155,550 in 2019 CDBG funds? Summary: Each year the city must decide how to use its annual allocation of CDBG funds. CDBG funds are U.S. Housing and Urban Development (HUD) funds distributed through Hennepin County. The city must submit its proposed use of the allocation to Hennepin County by February 28, 2019. Prior to submittal, the city must hold a public hearing. The hearing and official city council action is scheduled for February 19, 2019. The city’s estimated direct allocation is $155,550. This year’s proposed use of CDBG funds reflects the city’s priorities to preserve existing housing and increase affordable home ownership opportunities with $125,550 allocated for the low income home deferred rehab loan and $30,000 to Homes Within Reach. Beginning in 2018 fifteen percent of the overall CDBG budget is being set aside by Hennepin County for public service activities and awarded through a single combined, competitive RFP covering all the cities in the county program. Financial or budget considerations: CDBG funds allow cities, within HUD guidelines, to fund projects that meet the national low income objectives and the needs of the cities. The federal budget has not been finalized; however, Hennepin County estimates the St. Louis Park 2019 allocation will be $155,550. The St. Louis Park set aside amount for public service programs is estimated at $27,450. The 2019 CDBG year runs from July 1, 2019 through June 30, 2020. Strategic priority consideration: St. Louis Park is committed to providing a broad range of housing and neighborhood oriented development. Supporting documents: Discussion Resolution Prepared by: Marney Olson, Assistant Housing Supervisor Reviewed by: Michele Schnitker, Housing Supervisor/Deputy CD Director Karen Barton, Community Development Director Approved by: Tom Harmening, City Manager City council meeting of February 19, 2019 (Item No. 6a) Page 2 Title: Public hearing to consider allocation of 2019 Community Development Block Grant (CDBG) funds Discussion Background: The national objectives of the CDBG program are to benefit low and moderate- income persons, prevention or elimination of slum or blight and/or to meet a particular urgent community development need. The CDBG program allows for up to 15% of allocated funds to be used to fund public services. The city council has typically focused CDBG funds on improvements to the housing stock for low-income families or on affordable homeownership. Beginning in 2018, Hennepin County has begun setting aside fifteen percent of the overall CDBG budget for public service activities to be awarded through a single combined, competitive RFP, in lieu of having each city award public service funding individually. Hennepin County has advertised the RFP process and sent information to a long list of public service providers including past recipients. STEP and Senior Community Services have requested letters of support for their applications. Present considerations: The proposed use of the $155,550 estimated allocation include $125,550 for the low income single family home deferred rehab loan administered by Hennepin County and $30,000 to Homes Within Reach which is the affordable housing land trust. If there are any increases or decreases to the allocation the deferred rehab loan will be adjusted accordingly. The low income single family deferred loan program is a deferred rehab loan program for homeowners with annual incomes of 50% area median income (AMI) or less with a 0% interest loan or a 3% simple interest loan for households at or below 80% AMI. The rehab focuses on improvements to address needed maintenance and repair, with a focus on providing long-term maintenance-free housing. The maximum loan amount is $30,000, is interest-free, and is deferred until the sale of the home or forgiven after 15 years. Homes Within Reach is a program of the West Hennepin Housing Land Trust (WHAHLT) that purchases homes and sells them to low income homeowners. Buyers pay for the cost of the building only and lease the land for 99 years. St. Louis Park funds are leveraged with Met Council and Hennepin County HOME funds. Next steps: The deadline for submission of the city’s CDBG application to Hennepin County is February 28, 2019. City council meeting of February 19, 2019 (Item No. 6a) Page 3 Title: Public hearing to consider allocation of 2019 Community Development Block Grant (CDBG) funds Resolution No. 19-___ Resolution approving proposed allocation for 2019 Urban Hennepin County Community Development Block Grant (CDBG) program funds and authorizing execution of subrecipient agreement with urban Hennepin County and any third party agreements Whereas, the City of St. Louis Park, through execution of Joint Cooperation Agreement with Hennepin County, is cooperating in the Urban Hennepin County Community Development Block Grant Program; and Whereas, the City of St. Louis Park has developed a proposal for the use of 2019 Urban Hennepin County Community Development Block Grant funds; and Now therefore be it resolved that the city council of St. Louis Park approves the following projects for funding from the 2019 Urban Hennepin County Community Development Block Grant Program and authorizes submittal of the proposal to Urban Hennepin County/Consolidated Pool. Activity Budget Low Income Single Family Home Rehab Loan $125,550 Affordable Housing Land Trust – Homes Within Reach $30,000 Total $155,550 It is further resolved that the city council hereby authorizes and directs the Mayor and its’ City Manager to execute the subrecipient agreement and any required third party agreement on behalf of the city to implement the 2019 Community Development Block Grant program. It is further resolved that should the actual amount of the FY2019 CDBG available to the city be different from the preliminary amount provided to the city, the city council hereby authorizes the city manager to adjust the following activity budget proportionally to reflect the actual amount of funding available. Activity Budget Low Income Single Family Home Rehab Loan 100% of any increase or decrease Reviewed for administration: Adopted by the City Council Feb. 19, 2019 Thomas K. Harmening, City Manager Jake Spano, Mayor Attest: Melissa Kennedy, City Clerk Meeting: City council Meeting date: February 19, 2019 Action agenda item: 8a Executive summary Title: Series 2019A General Obligation Bonds Recommended action: Motion to adopt the following (two separate motions): 1)Resolution providing for the sale of general obligation charter bonds in the amount of approximately $9,330,000. 2)Resolution calling a public hearing on a proposed property tax abatement for the purpose of financing the Westwood Hills Nature Center project. Policy consideration: •Does the City Council desire to issue general obligation charter bonds in the amount of $9,330,000 for sidewalk and trails projects, SWLRT, fiber, and the Cedar Lake Road projects? •Does the City Council desire to issue general obligation abatement bonds in the amount of $12,890,000 for the Westwood Hills Nature Center Project? Summary: At the February 11, 2019 study session the city council reviewed the 2019 bond issue and our debt modeling tool. The charter G.O. bonds of $9,330,000 will fund the current year sidewalk and trails projects, SWLRT, fiber and the Cedar Lake Road project (repaid by municipal state aid funds). Since these are charter bonds, they will require authorization by at least 6 of the 7 city council members. The G.O. abatement bonds of $12,890,000 will finance all of the Westwood Hills Nature Center project, the bids of which were approved on November 19, 2018. For these particular bonds, which the city is authorized to issue under state statute, approval is required by a simple majority vote only. Financial or budget considerations: The proposed bond issues will be consolidated into one for potential investors to bid. The G.O. Bonds, which are 10-15 years in length and repaid with tax levy and/or municipal state aid, are estimated at a True Interest Cost (TIC) ranging from 3.07%- 3.57%. Strategic priority consideration: •St. Louis Park is committed to continue to lead in environmental stewardship. •St. Louis Park is committed to providing a variety of options for people to make their way around the city comfortably, safely and reliably. Next Steps: March 4, public hearing on tax abatement bonds; March 18, award sale of the bonds. Supporting documents: Resolutions Presale report Prepared by: Tim Simon, Chief Financial Officer Reviewed by: Nancy Deno, Deputy City Manager/HR Director Approved by: Tom Harmening, City Manager City council meeting of February 19, 2019 (Item No. 8a) Page 2 Title: Series 2019A General Obligation Bonds City of St. Louis Park, Minnesota Resolution no. 19-_____ Resolution providing for the issuance and sale of general obligation charter bonds in the proposed aggregate principal amount of approximately $9,330,000 Be it resolved by the City Council of the City of St. Louis Park, Hennepin County, Minnesota (the “City”) as follows: 1.Findings. (a)Pursuant to Section 6.15 of the City Charter (the “Charter”) and Minnesota Statutes, Chapter 475, as amended (the “Act”), the City is authorized to issue general obligation bonds for any purpose permitted by state law upon a vote of at least six (6) members of the City Council. (b)The City has determined to finance the construction of projects related to SWLRT, sidewalks, trails, and fiber extension and improvements to Cedar Lake Road in the City (collectively, the “Capital Projects”). (c)The City proposes to issue its general obligations in the approximate aggregate principal amount of $9,330,000 (the “Charter Bonds”), pursuant to the City Charter and the Act, to provide financing for the Capital Projects. 3.Sale of Charter Bonds. (a)The City Council finds it necessary and expedient to the sound financial management of the affairs of the City that the City issue its Charter Bonds in the proposed aggregate principal amount of $9,330,000, pursuant to the City Charter and the Act, in order to provide financing for the Capital Projects. (b)The City is authorized by Section 475.60, subdivision 2(9) of the Act to negotiate the sale of the Charter Bonds, it being determined that the City has retained an independent municipal advisor in connection with such sale. 4.Authority of Municipal Advisor. Ehlers and Associates, Inc., the municipal advisor to the City (the “Municipal Advisor”), is authorized and directed to negotiate the sale of the Charter Bonds. The City Council will meet at 7:30 P.M. on Monday, March 18, 2019, to consider proposals on the Charter Bonds and take any other appropriate action with respect to the Charter Bonds. City council meeting of February 19, 2019 (Item No. 8a) Page 3 Title: Series 2019A General Obligation Bonds 5. Authority of Bond Counsel. The law firm of Kennedy & Graven, Chartered, as bond counsel for the City, is authorized to act as bond counsel and to assist in the preparation and review of necessary documents, certificates and instruments relating to the Charter Bonds. The officers, employees and agents of the City are hereby authorized to assist Kennedy & Graven, Chartered in the preparation of such documents, certificates, and instruments. 6. Covenants. In the resolution awarding the sale of the Charter Bonds, the City Council will set forth the covenants and undertakings required by the Act. 7. Official Statement. In connection with the sale of the Charter Bonds, the officers or employees of the City are authorized and directed to cooperate with the Municipal Advisor and participate in the preparation of an official statement for the Charter Bonds and to execute and deliver it on behalf of the City upon its completion. The motion for the adoption of the foregoing resolution was duly seconded by City Council Member ______________, and, after full discussion thereof and upon a vote being taken thereon, the following City Council Members voted in favor thereof: And the following City Council Members voted in opposition: Reviewed for Administration: Adopted by the City Council Feb. 19, 2019 Thomas K. Harmening, City Manager Jake Spano, Mayor Attest: Melissa Kennedy, City Clerk City council meeting of February 19, 2019 (Item No. 8a) Page 4 Title: Series 2019A General Obligation Bonds City of St. Louis Park, Minnesota Resolution no. 19-_____ Resolution calling a public hearing on a proposed property tax abatement for the purpose of constructing the new Westwood Hills Nature Center Be it resolved by the City Council of the City of St. Louis Park, Hennepin County, Minnesota (the “City”) as follows: 1. Recitals. (a) Pursuant to Minnesota Statutes, Sections 469.1812 through 469.1815, as amended (the “Act”), the City may grant an abatement of all or a part of the taxes levied by the City on real property within its boundaries (the “Abatement”) and issue general obligation bonds to provide continued access to public services for residents of the City (the “Abatement Bonds”); provided, however, that the City Council first holds a public hearing regarding the proposed Abatement. (b) The City proposes to issue Abatement Bonds in connection with the construction of the new Westwood Hills Nature Center (the “Project”). 2. Public Hearing. (a) In accordance with the Act, the City Council hereby calls for a public hearing on Monday, March 4, 2019, at 7:30 PM, to consider the proposed Abatement to finance the Project. The actions taken by City staff and consultants to publish a notice of public hearing in substantially the form set forth in EXHIBIT A attached hereto in the official newspaper of the City more than ten (10) but less than thirty (30) days before the date of the public hearing are hereby ratified and confirmed. (b) City staff and consultants are authorized to take all other actions needed to bring the proposed Abatement and issuance of the Abatement Bonds before the City Council. The motion for the adoption of the foregoing resolution was duly seconded by City Council Member ______________, and, after full discussion thereof and upon a vote being taken thereon, the following City Council Members voted in favor thereof: Reviewed for Administration: Adopted by the City Council Feb. 19, 2019 Thomas K. Harmening, City Manager Jake Spano, Mayor Attest: Melissa Kennedy, City Clerk City council meeting of February 19, 2019 (Item No. 8a) Page 5 Title: Series 2019A General Obligation Bonds EXHIBIT A City of St. Louis Park Notice of public hearing regarding a proposed property tax abatement Notice is hereby given that the City Council of the City of St. Louis Park, Minnesota (the “City”) will meet on Monday, March 4, 2019, at or after 7:30 PM in the City Council Chambers at City Hall, located at 5005 Minnetonka Boulevard in the City, to hold a public hearing concerning a proposal that the City abate all or a portion of property taxes levied by the City on the properties in the City with the following property identification numbers (the “Property”): [Insert PIDs] The total amount of the taxes proposed to be abated by the City on the Property is estimated not to exceed $12,890,000. The City Council will consider the property tax abatement in connection with financing the construction of the new Westwood Hills Nature Center through the issuance of general obligation abatement bonds. All interested persons may appear and be hard at the public hearing either orally or in writing, or may file written comments with the City Clerk before the hearing. Dated: February ____, 2019 By order of the City Council of the City of St. Louis Park, Minnesota /s/ Melissa Kennedy City Clerk City of St. Louis Park, Minnesota February 19, 2019 Pre-Sale Report for City of St. Louis Park, Minnesota $22,220,000 General Obligation Bonds, Series 2019A Prepared by: Stacie Kvilvang, CIPMA Senior Municipal Advisor And Jason Aarsvold, CIPMA Senior Municipal Advisor City council meeting of February 19, 2019 (Item No. 8a) Title: Series 2019A General Obligation Bonds Page 6 Presale Report City of St. Louis Park, Minnesota February 19, 2019 Page 1 Executive Summary of Proposed Debt Proposed Issue: $22,220,000 General Obligation Bonds, Series 2019A Purposes: The proposed issue includes financing for the following purposes: To finance rehabilitation of the Westwood Hills Nature Center, reconstruction of Cedar Lake Road, improvements for Southwest Light Rail Transit, fiber and sidewalks and trails Nature Center: $12,890,000 This portion of the Bonds is being issued to pay for rehabilitation of the City’s Westwood Hills Nature Center. Principal on the Bonds will be paid from tax abatement revenue from various properties in the City and interest on the Bonds will be paid from ad valorem property taxes. Cedar Lake Road: $4,910,000 This portion of the Bonds is being issued to pay for the City’s costs to reconstruct Cedar Lake Road. The annual tax levy will be reduced to $0 since it is the intent of the City to pay debt service from their annual receipt of Municipal State Aid funds (MSA). Sidewalk/Trails - Cedar Lake: $1,590,000 This portion of the Bonds is being issued to pay for sidewalks and trails related to the City’s Connect the Park initiative along Cedar Lake Road as part of the reconstruction. Debt service will be paid from ad valorem property taxes. Sidewalks/Trails: $1,100,000 This portion of the Bonds is being issued to pay for sidewalks and trails related to the City’s Connect the Park initiative. Debt service will be paid from ad valorem property taxes. SWLRT: $1,470,000 This portion of the Bonds is being issued to pay for the City’s required contribution for various improvements for the Southwest Light Rail Transit line. Debt service will be paid from ad valorem property taxes. Fiber: $260,000 This portion of the Bonds is being issued to pay for improvements to the City’s fiber system. Debt service will be paid from ad valorem property taxes. City council meeting of February 19, 2019 (Item No. 8a) Title: Series 2019A General Obligation Bonds Page 7 Presale Report City of St. Louis Park, Minnesota February 19, 2019 Page 2 Authority: The Series 2019As are being issued pursuant to Minnesota Statutes (MS), Chapters: 469.1814 – Westwood Hills Nature Center Improvements (Tax abatement portion) 475 - General bonding authority Section 6.15 of the City’s Charter – SWLRT, Fiber, Sidewalks/Trails and Cedar Lake Road Improvements. This Charter provision enables the City to issue general obligation bonds for any corporate purpose pursuant to a “super majority” vote of the City Council. Under MS 469.1814, the amount of property taxes abated in any year for the Tax Abatement portion of the Bonds (Westwood Hills Nature Center rehabilitation), may not exceed (1) 10% of the net tax capacity (NTC) of the City or (2) $200,000, whichever is greater. The City’s pay 2019 proposed NTC is 68,759,120 and 10% equates to 6,875,912. Therefore, the greater of these two calculations is 10% of the NTC. The City’s payment on the proposed Tax Abatement portion of the Bonds, when principal is being paid, is approximately $1,847,000/year, which is well below the statutory maximum. The City will be holding the required public hearing on the tax abatement and public purpose it serves on March 4, 2019. The Charter portion of the Bonds count against the Net Debt Limit of 3% of the estimated market value of taxable property in the City. In the City, the estimated market value is $7,238,643,100. Therefore, the total amount of outstanding debt cannot exceed $217,159,293. These values are for 2018/19 tax year. As of February 11, 2019, the City has $26,645,000 subject to the legal debt limit (this amount includes the 2010D, 2014A (Charter portion), 2016A (SROP portion), 2017A (Charter portion), and 2018A (Charter portion). As such, issuance of the Charter portion of the Bonds will be within the overall statutory debt limit for the City The Bonds will be general obligations of the City for which its full faith, credit and taxing powers are pledged. Term/Call Feature: The Bonds are being issued for a term of 16 years. Principal on the Bonds will be due on February 1 in the years 2021 through 2035. Interest is payable every six months beginning February 1, 2020. The Bonds will be subject to prepayment at the discretion of the City on February 1, 2027 or any date thereafter. Bank Qualification: Because the City is issuing, or expects to issue, more than $10,000,000 in tax-exempt obligations during the calendar year, the City will be not able to designate the Bonds as “bank qualified” obligations. City council meeting of February 19, 2019 (Item No. 8a) Title: Series 2019A General Obligation Bonds Page 8 Presale Report City of St. Louis Park, Minnesota February 19, 2019 Page 3 Rating: The City’s most recent bond issues were rated by Standard & Poor’s. The current ratings on those bonds are “AAA”. The City will request a new rating for the Bonds. Basis for Recommendation: Based on our knowledge of your situation, your objectives communicated to us, our advisory relationship as well as characteristics of various municipal financing options, we are recommending the issuance of General Obligation Bonds as a suitable financing option because: This is a viable option available to finance these types of project under the City’s Charter and State law; This is the most overall cost-effective option that still maintains future flexibility for the repayment of debt; and, This coincides with the City’s past practices to finance these types of projects with this type of debt issue. Method of Sale/Placement: We will solicit competitive bids for the purchase of the Bonds from underwriters and banks. We will include an allowance for discount bidding in the terms of the issue. The discount is treated as an interest item and provides the underwriter with all or a portion of their compensation in the transaction. If the Bonds are purchased at a price greater than the minimum bid amount (maximum discount), the unused allowance may be used to reduce your borrowing amount. Premium Pricing: In some cases, investors in municipal bonds prefer “premium” pricing structures. A premium is achieved when the coupon for any maturity (the interest rate paid by the issuer) exceeds the yield to the investor, resulting in a price paid that is greater than the face value of the bonds. The sum of the amounts paid in excess of face value is considered “reoffering premium.” The underwriter of the bonds will retain a portion of this reoffering premium as their compensation (or “discount”) but will pay the remainder of the premium to the City. The amount of the premium varies, but it is not uncommon to see premiums for new issues in the range of 2.00% to 10.00% of the face amount of the issue. This means that an issuer with a $2,000,000 offering may receive bids that result in proceeds of $2,040,000 to $2,200,000. For this Bond, the City will review the premium received and determine the day of sale to either reduce the size of the issue and/or increase the net proceeds for the various projects. The resulting adjustments may slightly change the true interest cost of the issue, either up or down. The amount of premium can be restricted in the bid specifications. Restrictions on premium may result in fewer bids, but may also eliminate large adjustments on the day of sale and unintended impacts with respect to debt service payment. City council meeting of February 19, 2019 (Item No. 8a) Title: Series 2019A General Obligation Bonds Page 9   Presale Report City of St. Louis Park, Minnesota February 19, 2019 Page 4 Review of Existing Debt: We have reviewed all outstanding indebtedness for the City and find that there are no refunding opportunities at this time. We will continue to monitor the market and the call dates for the City’s outstanding debt and will alert you to any future refunding opportunities. Continuing Disclosure: Because the City has more than $10,000,000 in outstanding debt (including this issue) and this issue is over $1,000,000, the City will be agreeing to provide certain updated Annual Financial Information and its Audited Financial Statement annually, as well as providing notices of the occurrence of certain reportable events to the Municipal Securities Rulemaking Board (the “MSRB”), as required by rules of the Securities and Exchange Commission (SEC). The City is already obligated to provide such reports for its existing bonds, and has contracted with Ehlers to prepare and file the reports. Arbitrage Monitoring: Because the Bonds are tax-exempt obligations, the City must ensure compliance with certain Internal Revenue Service (IRS) rules throughout the life of the issue. These rules apply to all gross proceeds of the issue, including initial bond proceeds and investment earnings in construction, escrow, debt service, and any reserve funds. How issuers spend bond proceeds and how they track interest earnings on funds (arbitrage/yield restriction compliance) are common subjects of IRS inquiries. Your specific responsibilities will be detailed in the Tax Certificate prepared by your Bond Attorney and provided at closing. You have retained Ehlers to assist you with compliance with these rules. Investment of and Accounting for Proceeds: In order to more efficiently segregate funds for this project and maximize interest earnings, we recommend using an investment advisor, to assist with the investment of bond proceeds until they are needed to pay project costs. Ehlers Investment Partners, a subsidiary of Ehlers and registered investment advisor, will discuss an appropriate investment strategy with the City. Risk Factors: MSA Funds: The City expects to pay the Cedar Lake Road improvement portion of the Bonds with MSA funds. If MSA revenue is inadequate or not utilized, the City will have to levy taxes to pay debt service on the Bonds. City council meeting of February 19, 2019 (Item No. 8a) Title: Series 2019A General Obligation Bonds Page 10 Presale Report City of St. Louis Park, Minnesota February 19, 2019 Page 5 Other Service Providers: This debt issuance will require the engagement of other public finance service providers. This section identifies those other service providers, so Ehlers can coordinate their engagement on your behalf. Where you have previously used a particular firm to provide a service, we have assumed that you will continue that relationship. For services you have not previously required, we have identified a service provider. Fees charged by these service providers will be paid from proceeds of the obligation, unless you notify us that you wish to pay them from other sources. Our pre-sale bond sizing includes a good faith estimate of these fees, but the final fees may vary. If you have any questions pertaining to the identified service providers or their role, or if you would like to use a different service provider for any of the listed services please contact us. Bond Counsel: Kennedy & Graven, Chartered Paying Agent: Bond Trust Services Corporation Rating Agency: Standard & Poor's Global Ratings (S&P) Summary: The decisions to be made by the City Council are as follows: Accept or modify the finance assumptions described in this report Adopt the resolution attached to this report. This presale report summarizes our understanding of the City’s objectives for the structure and terms of this financing as of this date. As additional facts become known or capital markets conditions change, we may need to modify the structure and/or terms of this financing to achieve results consistent with the City’s objectives. City council meeting of February 19, 2019 (Item No. 8a) Title: Series 2019A General Obligation Bonds Page 11 Presale Report City of St. Louis Park, Minnesota February 19, 2019 Page 6 Proposed Debt Issuance Schedule Pre-Sale Review by City Council: February 19, 2019 Due Diligence Call to review Official Statement: Week of February 25, 2019 Distribute Official Statement: Week of March 4, 2019 Public Hearing on Tax Abatement Portion of the Bonds March 4, 2019 Conference with Rating Agency: Week of March 11, 2019 City Council Meeting to Award Sale of the Bonds: March 18, 2019 Estimated Closing Date: April 10, 2019 Attachments Estimated Sources and Uses of Funds Estimated Proposed Debt Service Schedule Ehlers Contacts Municipal Advisors: Stacie Kvilvang (651) 697-8506 Jason Aarsvold (651) 697-8512 Disclosure Coordinator:Silvia Johnson (651) 697-8580 Financial Analyst: Alicia Gage (651) 697-8551 The Preliminary Official Statement for this financing will be sent to the City Council at their home or email address for review prior to the sale date. City council meeting of February 19, 2019 (Item No. 8a) Title: Series 2019A General Obligation Bonds Page 12 St Louis Park, Minnesota $22,220,000 General Obligation Bonds, Series 2019A Issue Summary Assumes Current Market Non-BQ AAA rates plus 25bps Total Issue Sources And Uses Dated 04/10/2019 | Delivered 04/10/2019 Nature Center (Abatement)SWLRT Fiber Sidewalks/ Trails Sidewalk/ Trails - Cedar Lake Cedar Lake Road Issue Summary Sources Of Funds Par Amount of Bonds $12,890,000.00 $1,470,000.00 $260,000.00 $1,100,000.00 $1,590,000.00 $4,910,000.00 $22,220,000.00 Total Sources $12,890,000.00 $1,470,000.00 $260,000.00 $1,100,000.00 $1,590,000.00 $4,910,000.00 $22,220,000.00 Uses Of Funds Total Underwriter's Discount (0.800%)103,120.00 11,760.00 2,080.00 8,800.00 12,720.00 39,280.00 177,760.00 Costs of Issuance 76,574.27 8,732.68 1,544.55 6,534.65 9,445.54 29,168.31 132,000.00 Deposit to Capitalized Interest (CIF) Fund 360,937.00 33,246.75 5,797.77 24,811.79 36,001.15 -460,794.46 Deposit to Project Construction Fund 12,345,494.00 1,418,590.00 250,000.00 1,060,250.00 1,532,013.00 4,838,769.00 21,445,116.00 Rounding Amount 3,874.73 (2,329.43)577.68 (396.44)(179.69)2,782.69 4,329.54 Total Uses $12,890,000.00 $1,470,000.00 $260,000.00 $1,100,000.00 $1,590,000.00 $4,910,000.00 $22,220,000.00 Series 2019A GO Bonds - l | Issue Summary | 2/ 6/2019 | 9:30 AM City council meeting of February 19, 2019 (Item No. 8a) Title: Series 2019A General Obligation Bonds Page 13 St Louis Park, Minnesota $22,220,000 General Obligation Bonds, Series 2019A Issue Summary Assumes Current Market Non-BQ AAA rates plus 25bps Debt Service Schedule Date Principal Coupon Interest Total P+I CIF Cash Net New D/S Fiscal Total 04/10/2019 -------- 08/01/2019 -------- 02/01/2020 --584,817.04 584,817.04 (460,794.46)-124,022.58 124,022.58 08/01/2020 --361,742.50 361,742.50 -(223,260.00)138,482.50 - 02/01/2021 175,000.00 2.200%361,742.50 536,742.50 -(223,260.00)313,482.50 451,965.00 08/01/2021 --359,817.50 359,817.50 --359,817.50 - 02/01/2022 720,000.00 2.300%359,817.50 1,079,817.50 --1,079,817.50 1,439,635.00 08/01/2022 --351,537.50 351,537.50 --351,537.50 - 02/01/2023 740,000.00 2.400%351,537.50 1,091,537.50 --1,091,537.50 1,443,075.00 08/01/2023 --342,657.50 342,657.50 --342,657.50 - 02/01/2024 750,000.00 2.450%342,657.50 1,092,657.50 --1,092,657.50 1,435,315.00 08/01/2024 --333,470.00 333,470.00 --333,470.00 - 02/01/2025 770,000.00 2.550%333,470.00 1,103,470.00 --1,103,470.00 1,436,940.00 08/01/2025 --323,652.50 323,652.50 --323,652.50 - 02/01/2026 785,000.00 2.650%323,652.50 1,108,652.50 --1,108,652.50 1,432,305.00 08/01/2026 --313,251.25 313,251.25 --313,251.25 - 02/01/2027 1,035,000.00 2.900%313,251.25 1,348,251.25 --1,348,251.25 1,661,502.50 08/01/2027 --298,243.75 298,243.75 --298,243.75 - 02/01/2028 2,235,000.00 3.200%298,243.75 2,533,243.75 --2,533,243.75 2,831,487.50 08/01/2028 --262,483.75 262,483.75 --262,483.75 - 02/01/2029 2,310,000.00 3.300%262,483.75 2,572,483.75 --2,572,483.75 2,834,967.50 08/01/2029 --224,368.75 224,368.75 --224,368.75 - 02/01/2030 2,385,000.00 3.400%224,368.75 2,609,368.75 --2,609,368.75 2,833,737.50 08/01/2030 --183,823.75 183,823.75 --183,823.75 - 02/01/2031 1,925,000.00 3.450%183,823.75 2,108,823.75 --2,108,823.75 2,292,647.50 08/01/2031 --150,617.50 150,617.50 --150,617.50 - 02/01/2032 1,985,000.00 3.500%150,617.50 2,135,617.50 --2,135,617.50 2,286,235.00 08/01/2032 --115,880.00 115,880.00 --115,880.00 - 02/01/2033 2,060,000.00 3.550%115,880.00 2,175,880.00 --2,175,880.00 2,291,760.00 08/01/2033 --79,315.00 79,315.00 --79,315.00 - 02/01/2034 2,135,000.00 3.600%79,315.00 2,214,315.00 --2,214,315.00 2,293,630.00 08/01/2034 --40,885.00 40,885.00 --40,885.00 - 02/01/2035 2,210,000.00 3.700%40,885.00 2,250,885.00 --2,250,885.00 2,291,770.00 Total $22,220,000.00 -$8,068,309.54 $30,288,309.54 (460,794.46)(446,520.00)$29,380,995.08 - Significant Dates Dated 4/10/2019 First Coupon Date 2/01/2020 Yield Statistics Bond Year Dollars $237,936.17 Average Life 10.708 Years Average Coupon 3.3909555% Net Interest Cost (NIC)3.4656646% True Interest Cost (TIC)3.4658912% Bond Yield for Arbitrage Purposes 3.3746092% All Inclusive Cost (AIC)3.5342875% IRS Form 8038 Net Interest Cost 3.3909555% Weighted Average Maturity 10.708 Years Series 2019A GO Bonds - l | Issue Summary | 2/ 6/2019 | 9:30 AM City council meeting of February 19, 2019 (Item No. 8a) Title: Series 2019A General Obligation Bonds Page 14 St Louis Park, Minnesota $22,220,000 General Obligation Bonds, Series 2019A Issue Summary Assumes Current Market Non-BQ AAA rates plus 25bps Debt Service Schedule Date Principal Coupon Interest Total P+I CIF Cash Net New D/S 105% of Total MSA Funds Levy/(Surplus) 02/01/2020 --584,817.04 584,817.04 (460,794.46)-124,022.58 130,223.71 130,223.71 - 02/01/2021 175,000.00 2.200%723,485.00 898,485.00 -(446,520.00)451,965.00 474,563.25 161,101.50 313,461.75 02/01/2022 720,000.00 2.300%719,635.00 1,439,635.00 --1,439,635.00 1,511,616.75 465,601.50 1,046,015.25 02/01/2023 740,000.00 2.400%703,075.00 1,443,075.00 --1,443,075.00 1,515,228.75 469,098.00 1,046,130.75 02/01/2024 750,000.00 2.450%685,315.00 1,435,315.00 --1,435,315.00 1,507,080.75 466,788.00 1,040,292.75 02/01/2025 770,000.00 2.550%666,940.00 1,436,940.00 --1,436,940.00 1,508,787.00 464,191.88 1,044,595.13 02/01/2026 785,000.00 2.650%647,305.00 1,432,305.00 --1,432,305.00 1,503,920.25 466,391.63 1,037,528.63 02/01/2027 1,035,000.00 2.900%626,502.50 1,661,502.50 --1,661,502.50 1,744,577.63 467,987.63 1,276,590.00 02/01/2028 2,235,000.00 3.200%596,487.50 2,831,487.50 --2,831,487.50 2,973,061.88 468,439.13 2,504,622.75 02/01/2029 2,310,000.00 3.300%524,967.50 2,834,967.50 --2,834,967.50 2,976,715.88 467,515.13 2,509,200.75 02/01/2030 2,385,000.00 3.400%448,737.50 2,833,737.50 --2,833,737.50 2,975,424.38 465,887.63 2,509,536.75 02/01/2031 1,925,000.00 3.450%367,647.50 2,292,647.50 --2,292,647.50 2,407,279.88 468,785.63 1,938,494.25 02/01/2032 1,985,000.00 3.500%301,235.00 2,286,235.00 --2,286,235.00 2,400,546.75 465,701.25 1,934,845.50 02/01/2033 2,060,000.00 3.550%231,760.00 2,291,760.00 --2,291,760.00 2,406,348.00 467,302.50 1,939,045.50 02/01/2034 2,135,000.00 3.600%158,630.00 2,293,630.00 --2,293,630.00 2,408,311.50 468,142.50 1,940,169.00 02/01/2035 2,210,000.00 3.700%81,770.00 2,291,770.00 --2,291,770.00 2,406,358.50 468,205.50 1,938,153.00 Total $22,220,000.00 -$8,068,309.54 $30,288,309.54 (460,794.46)(460,794.46)$29,380,995.08 $30,850,044.83 $6,831,363.08 $24,018,681.75 Significant Dates Dated 4/10/2019 First Coupon Date 2/01/2020 Yield Statistics Bond Year Dollars $237,936.17 Average Life 10.708 Years Average Coupon 3.3909555% Net Interest Cost (NIC)3.4656646% True Interest Cost (TIC)3.4658912% Bond Yield for Arbitrage Purposes 3.3746092% All Inclusive Cost (AIC)3.5342875% Series 2019A GO Bonds - l | Issue Summary | 2/ 6/2019 | 9:30 AM City council meeting of February 19, 2019 (Item No. 8a) Title: Series 2019A General Obligation Bonds Page 15 St Louis Park, Minnesota $12,890,000 General Obligation Bonds, Series 2019A Nature Center (Abatement) Assumes Current Market Non-BQ AAA rates plus 25bps Debt Service Schedule Date Principal Coupon Interest Total P+I CIF Cash Net New D/S Fiscal Total 04/10/2019 -------- 08/01/2019 -------- 02/01/2020 --360,937.00 360,937.00 (360,937.00)--- 08/01/2020 --223,260.00 223,260.00 -(223,260.00)-- 02/01/2021 --223,260.00 223,260.00 -(223,260.00)-- 08/01/2021 --223,260.00 223,260.00 --223,260.00 - 02/01/2022 --223,260.00 223,260.00 --223,260.00 446,520.00 08/01/2022 --223,260.00 223,260.00 --223,260.00 - 02/01/2023 --223,260.00 223,260.00 --223,260.00 446,520.00 08/01/2023 --223,260.00 223,260.00 --223,260.00 - 02/01/2024 --223,260.00 223,260.00 --223,260.00 446,520.00 08/01/2024 --223,260.00 223,260.00 --223,260.00 - 02/01/2025 --223,260.00 223,260.00 --223,260.00 446,520.00 08/01/2025 --223,260.00 223,260.00 --223,260.00 - 02/01/2026 --223,260.00 223,260.00 --223,260.00 446,520.00 08/01/2026 --223,260.00 223,260.00 --223,260.00 - 02/01/2027 225,000.00 2.900%223,260.00 448,260.00 --448,260.00 671,520.00 08/01/2027 --219,997.50 219,997.50 --219,997.50 - 02/01/2028 1,405,000.00 3.200%219,997.50 1,624,997.50 --1,624,997.50 1,844,995.00 08/01/2028 --197,517.50 197,517.50 --197,517.50 - 02/01/2029 1,450,000.00 3.300%197,517.50 1,647,517.50 --1,647,517.50 1,845,035.00 08/01/2029 --173,592.50 173,592.50 --173,592.50 - 02/01/2030 1,500,000.00 3.400%173,592.50 1,673,592.50 --1,673,592.50 1,847,185.00 08/01/2030 --148,092.50 148,092.50 --148,092.50 - 02/01/2031 1,550,000.00 3.450%148,092.50 1,698,092.50 --1,698,092.50 1,846,185.00 08/01/2031 --121,355.00 121,355.00 --121,355.00 - 02/01/2032 1,600,000.00 3.500%121,355.00 1,721,355.00 --1,721,355.00 1,842,710.00 08/01/2032 --93,355.00 93,355.00 --93,355.00 - 02/01/2033 1,660,000.00 3.550%93,355.00 1,753,355.00 --1,753,355.00 1,846,710.00 08/01/2033 --63,890.00 63,890.00 --63,890.00 - 02/01/2034 1,720,000.00 3.600%63,890.00 1,783,890.00 --1,783,890.00 1,847,780.00 08/01/2034 --32,930.00 32,930.00 --32,930.00 - 02/01/2035 1,780,000.00 3.700%32,930.00 1,812,930.00 --1,812,930.00 1,845,860.00 Total $12,890,000.00 -$5,588,037.00 $18,478,037.00 (360,937.00)(446,520.00)$17,670,580.00 - Significant Dates Dated 4/10/2019 First Coupon Date 2/01/2020 Yield Statistics Bond Year Dollars $159,894.42 Average Life 12.405 Years Average Coupon 3.4948293% Net Interest Cost (NIC)3.5593219% True Interest Cost (TIC)3.5684187% Bond Yield for Arbitrage Purposes 3.3746092% All Inclusive Cost (AIC)3.6288791% IRS Form 8038 Net Interest Cost 3.4948293% Weighted Average Maturity 12.405 Years Series 2019A GO Bonds - l | Nature Center (Abatement) | 2/ 6/2019 | 9:30 AM City council meeting of February 19, 2019 (Item No. 8a) Title: Series 2019A General Obligation Bonds Page 16 St Louis Park, Minnesota $1,470,000 General Obligation Bonds, Series 2019A SWLRT Assumes Current Market Non-BQ AAA rates plus 25bps Debt Service Schedule Date Principal Coupon Interest Total P+I CIF Net New D/S Fiscal Total 04/10/2019 ------- 02/01/2020 --33,246.75 33,246.75 (33,246.75)-- 08/01/2020 --20,565.00 20,565.00 -20,565.00 - 02/01/2021 50,000.00 2.200%20,565.00 70,565.00 -70,565.00 91,130.00 08/01/2021 --20,015.00 20,015.00 -20,015.00 - 02/01/2022 145,000.00 2.300%20,015.00 165,015.00 -165,015.00 185,030.00 08/01/2022 --18,347.50 18,347.50 -18,347.50 - 02/01/2023 145,000.00 2.400%18,347.50 163,347.50 -163,347.50 181,695.00 08/01/2023 --16,607.50 16,607.50 -16,607.50 - 02/01/2024 150,000.00 2.450%16,607.50 166,607.50 -166,607.50 183,215.00 08/01/2024 --14,770.00 14,770.00 -14,770.00 - 02/01/2025 155,000.00 2.550%14,770.00 169,770.00 -169,770.00 184,540.00 08/01/2025 --12,793.75 12,793.75 -12,793.75 - 02/01/2026 155,000.00 2.650%12,793.75 167,793.75 -167,793.75 180,587.50 08/01/2026 --10,740.00 10,740.00 -10,740.00 - 02/01/2027 160,000.00 2.900%10,740.00 170,740.00 -170,740.00 181,480.00 08/01/2027 --8,420.00 8,420.00 -8,420.00 - 02/01/2028 165,000.00 3.200%8,420.00 173,420.00 -173,420.00 181,840.00 08/01/2028 --5,780.00 5,780.00 -5,780.00 - 02/01/2029 170,000.00 3.300%5,780.00 175,780.00 -175,780.00 181,560.00 08/01/2029 --2,975.00 2,975.00 -2,975.00 - 02/01/2030 175,000.00 3.400%2,975.00 177,975.00 -177,975.00 180,950.00 Total $1,470,000.00 -$295,274.25 $1,765,274.25 (33,246.75)$1,732,027.50 - Significant Dates Dated 4/10/2019 First Coupon Date 2/01/2020 Yield Statistics Bond Year Dollars $9,988.25 Average Life 6.795 Years Average Coupon 2.9562161% Net Interest Cost (NIC)3.0739544% True Interest Cost (TIC)3.0742676% Bond Yield for Arbitrage Purposes 3.3746092% All Inclusive Cost (AIC)3.1737094% IRS Form 8038 Net Interest Cost 2.9562161% Weighted Average Maturity 6.795 Years Series 2019A GO Bonds - l | SWLRT | 2/ 6/2019 | 9:30 AM City council meeting of February 19, 2019 (Item No. 8a) Title: Series 2019A General Obligation Bonds Page 17 St Louis Park, Minnesota $260,000 General Obligation Bonds, Series 2019A Fiber Assumes Current Market Non-BQ AAA rates plus 25bps Debt Service Schedule Date Principal Coupon Interest Total P+I CIF Net New D/S Fiscal Total 04/10/2019 ------- 02/01/2020 --5,797.77 5,797.77 (5,797.77)-- 08/01/2020 --3,586.25 3,586.25 -3,586.25 - 02/01/2021 25,000.00 2.200%3,586.25 28,586.25 -28,586.25 32,172.50 08/01/2021 --3,311.25 3,311.25 -3,311.25 - 02/01/2022 25,000.00 2.300%3,311.25 28,311.25 -28,311.25 31,622.50 08/01/2022 --3,023.75 3,023.75 -3,023.75 - 02/01/2023 25,000.00 2.400%3,023.75 28,023.75 -28,023.75 31,047.50 08/01/2023 --2,723.75 2,723.75 -2,723.75 - 02/01/2024 25,000.00 2.450%2,723.75 27,723.75 -27,723.75 30,447.50 08/01/2024 --2,417.50 2,417.50 -2,417.50 - 02/01/2025 25,000.00 2.550%2,417.50 27,417.50 -27,417.50 29,835.00 08/01/2025 --2,098.75 2,098.75 -2,098.75 - 02/01/2026 25,000.00 2.650%2,098.75 27,098.75 -27,098.75 29,197.50 08/01/2026 --1,767.50 1,767.50 -1,767.50 - 02/01/2027 25,000.00 2.900%1,767.50 26,767.50 -26,767.50 28,535.00 08/01/2027 --1,405.00 1,405.00 -1,405.00 - 02/01/2028 25,000.00 3.200%1,405.00 26,405.00 -26,405.00 27,810.00 08/01/2028 --1,005.00 1,005.00 -1,005.00 - 02/01/2029 30,000.00 3.300%1,005.00 31,005.00 -31,005.00 32,010.00 08/01/2029 --510.00 510.00 -510.00 - 02/01/2030 30,000.00 3.400%510.00 30,510.00 -30,510.00 31,020.00 Total $260,000.00 -$49,495.27 $309,495.27 (5,797.77)$303,697.50 - Significant Dates Dated 4/10/2019 First Coupon Date 2/01/2020 Yield Statistics Bond Year Dollars $1,680.17 Average Life 6.462 Years Average Coupon 2.9458548% Net Interest Cost (NIC)3.0696520% True Interest Cost (TIC)3.0691620% Bond Yield for Arbitrage Purposes 3.3746092% All Inclusive Cost (AIC)3.1735374% IRS Form 8038 Net Interest Cost 2.9458548% Weighted Average Maturity 6.462 Years Series 2019A GO Bonds - l | Fiber | 2/ 6/2019 | 9:30 AM City council meeting of February 19, 2019 (Item No. 8a) Title: Series 2019A General Obligation Bonds Page 18 St Louis Park, Minnesota $1,100,000 General Obligation Bonds, Series 2019A Sidewalks/Trails Assumes Current Market Non-BQ AAA rates plus 25bps Debt Service Schedule Date Principal Coupon Interest Total P+I CIF Net New D/S Fiscal Total 04/10/2019 ------- 02/01/2020 --24,811.79 24,811.79 (24,811.79)-- 08/01/2020 --15,347.50 15,347.50 -15,347.50 - 02/01/2021 50,000.00 2.200%15,347.50 65,347.50 -65,347.50 80,695.00 08/01/2021 --14,797.50 14,797.50 -14,797.50 - 02/01/2022 105,000.00 2.300%14,797.50 119,797.50 -119,797.50 134,595.00 08/01/2022 --13,590.00 13,590.00 -13,590.00 - 02/01/2023 110,000.00 2.400%13,590.00 123,590.00 -123,590.00 137,180.00 08/01/2023 --12,270.00 12,270.00 -12,270.00 - 02/01/2024 110,000.00 2.450%12,270.00 122,270.00 -122,270.00 134,540.00 08/01/2024 --10,922.50 10,922.50 -10,922.50 - 02/01/2025 115,000.00 2.550%10,922.50 125,922.50 -125,922.50 136,845.00 08/01/2025 --9,456.25 9,456.25 -9,456.25 - 02/01/2026 115,000.00 2.650%9,456.25 124,456.25 -124,456.25 133,912.50 08/01/2026 --7,932.50 7,932.50 -7,932.50 - 02/01/2027 120,000.00 2.900%7,932.50 127,932.50 -127,932.50 135,865.00 08/01/2027 --6,192.50 6,192.50 -6,192.50 - 02/01/2028 120,000.00 3.200%6,192.50 126,192.50 -126,192.50 132,385.00 08/01/2028 --4,272.50 4,272.50 -4,272.50 - 02/01/2029 125,000.00 3.300%4,272.50 129,272.50 -129,272.50 133,545.00 08/01/2029 --2,210.00 2,210.00 -2,210.00 - 02/01/2030 130,000.00 3.400%2,210.00 132,210.00 -132,210.00 134,420.00 Total $1,100,000.00 -$218,794.29 $1,318,794.29 (24,811.79)$1,293,982.50 - Significant Dates Dated 4/10/2019 First Coupon Date 2/01/2020 Yield Statistics Bond Year Dollars $7,409.17 Average Life 6.736 Years Average Coupon 2.9530216% Net Interest Cost (NIC)3.0717934% True Interest Cost (TIC)3.0720153% Bond Yield for Arbitrage Purposes 3.3746092% All Inclusive Cost (AIC)3.1722871% IRS Form 8038 Net Interest Cost 2.9530216% Weighted Average Maturity 6.736 Years Series 2019A GO Bonds - l | Sidewalks/Trails | 2/ 6/2019 | 9:30 AM City council meeting of February 19, 2019 (Item No. 8a) Title: Series 2019A General Obligation Bonds Page 19 St Louis Park, Minnesota $1,590,000 General Obligation Bonds, Series 2019A Sidewalk/Trails - Cedar Lake Assumes Current Market Non-BQ AAA rates plus 25bps Debt Service Schedule Date Principal Coupon Interest Total P+I CIF Net New D/S Fiscal Total 04/10/2019 ------- 02/01/2020 --36,001.15 36,001.15 (36,001.15)-- 08/01/2020 --22,268.75 22,268.75 -22,268.75 - 02/01/2021 50,000.00 2.200%22,268.75 72,268.75 -72,268.75 94,537.50 08/01/2021 --21,718.75 21,718.75 -21,718.75 - 02/01/2022 155,000.00 2.300%21,718.75 176,718.75 -176,718.75 198,437.50 08/01/2022 --19,936.25 19,936.25 -19,936.25 - 02/01/2023 160,000.00 2.400%19,936.25 179,936.25 -179,936.25 199,872.50 08/01/2023 --18,016.25 18,016.25 -18,016.25 - 02/01/2024 160,000.00 2.450%18,016.25 178,016.25 -178,016.25 196,032.50 08/01/2024 --16,056.25 16,056.25 -16,056.25 - 02/01/2025 165,000.00 2.550%16,056.25 181,056.25 -181,056.25 197,112.50 08/01/2025 --13,952.50 13,952.50 -13,952.50 - 02/01/2026 170,000.00 2.650%13,952.50 183,952.50 -183,952.50 197,905.00 08/01/2026 --11,700.00 11,700.00 -11,700.00 - 02/01/2027 175,000.00 2.900%11,700.00 186,700.00 -186,700.00 198,400.00 08/01/2027 --9,162.50 9,162.50 -9,162.50 - 02/01/2028 180,000.00 3.200%9,162.50 189,162.50 -189,162.50 198,325.00 08/01/2028 --6,282.50 6,282.50 -6,282.50 - 02/01/2029 185,000.00 3.300%6,282.50 191,282.50 -191,282.50 197,565.00 08/01/2029 --3,230.00 3,230.00 -3,230.00 - 02/01/2030 190,000.00 3.400%3,230.00 193,230.00 -193,230.00 196,460.00 Total $1,590,000.00 -$320,648.65 $1,910,648.65 (36,001.15)$1,874,647.50 - Significant Dates Dated 4/10/2019 First Coupon Date 2/01/2020 Yield Statistics Bond Year Dollars $10,840.25 Average Life 6.818 Years Average Coupon 2.9579452% Net Interest Cost (NIC)3.0752856% True Interest Cost (TIC)3.0756574% Bond Yield for Arbitrage Purposes 3.3746092% All Inclusive Cost (AIC)3.1747870% IRS Form 8038 Net Interest Cost 2.9579452% Weighted Average Maturity 6.818 Years Series 2019A GO Bonds - l | Sidewalk/Trails - Cedar L | 2/ 6/2019 | 9:30 AM City council meeting of February 19, 2019 (Item No. 8a) Title: Series 2019A General Obligation Bonds Page 20 St Louis Park, Minnesota $4,910,000 General Obligation Bonds, Series 2019A Cedar Lake Road Assumes Current Market Non-BQ AAA rates plus 25bps Debt Service Schedule Date Principal Coupon Interest Total P+I Fiscal Total 04/10/2019 ----- 02/01/2020 --124,022.58 124,022.58 124,022.58 08/01/2020 --76,715.00 76,715.00 - 02/01/2021 --76,715.00 76,715.00 153,430.00 08/01/2021 --76,715.00 76,715.00 - 02/01/2022 290,000.00 2.300%76,715.00 366,715.00 443,430.00 08/01/2022 --73,380.00 73,380.00 - 02/01/2023 300,000.00 2.400%73,380.00 373,380.00 446,760.00 08/01/2023 --69,780.00 69,780.00 - 02/01/2024 305,000.00 2.450%69,780.00 374,780.00 444,560.00 08/01/2024 --66,043.75 66,043.75 - 02/01/2025 310,000.00 2.550%66,043.75 376,043.75 442,087.50 08/01/2025 --62,091.25 62,091.25 - 02/01/2026 320,000.00 2.650%62,091.25 382,091.25 444,182.50 08/01/2026 --57,851.25 57,851.25 - 02/01/2027 330,000.00 2.900%57,851.25 387,851.25 445,702.50 08/01/2027 --53,066.25 53,066.25 - 02/01/2028 340,000.00 3.200%53,066.25 393,066.25 446,132.50 08/01/2028 --47,626.25 47,626.25 - 02/01/2029 350,000.00 3.300%47,626.25 397,626.25 445,252.50 08/01/2029 --41,851.25 41,851.25 - 02/01/2030 360,000.00 3.400%41,851.25 401,851.25 443,702.50 08/01/2030 --35,731.25 35,731.25 - 02/01/2031 375,000.00 3.450%35,731.25 410,731.25 446,462.50 08/01/2031 --29,262.50 29,262.50 - 02/01/2032 385,000.00 3.500%29,262.50 414,262.50 443,525.00 08/01/2032 --22,525.00 22,525.00 - 02/01/2033 400,000.00 3.550%22,525.00 422,525.00 445,050.00 08/01/2033 --15,425.00 15,425.00 - 02/01/2034 415,000.00 3.600%15,425.00 430,425.00 445,850.00 08/01/2034 --7,955.00 7,955.00 - 02/01/2035 430,000.00 3.700%7,955.00 437,955.00 445,910.00 Total $4,910,000.00 -$1,596,060.08 $6,506,060.08 - Significant Dates Dated 4/10/2019 First Coupon Date 2/01/2020 Yield Statistics Bond Year Dollars $48,123.92 Average Life 9.801 Years Average Coupon 3.3165631% Net Interest Cost (NIC)3.3981858% True Interest Cost (TIC)3.3921393% Bond Yield for Arbitrage Purposes 3.3746092% All Inclusive Cost (AIC)3.4658303% IRS Form 8038 Net Interest Cost 3.3165631% Weighted Average Maturity 9.801 Years Series 2019A GO Bonds - l | Cedar Lake Road | 2/ 6/2019 | 9:30 AM City council meeting of February 19, 2019 (Item No. 8a) Title: Series 2019A General Obligation Bonds Page 21 St Louis Park, Minnesota $4,910,000 General Obligation Bonds, Series 2019A Cedar Lake Road Assumes Current Market Non-BQ AAA rates plus 25bps Debt Service Schedule Date Principal Coupon Interest Total P+I 105% of Total MSA Funds Levy/(Surplus) 02/01/2020 --124,022.58 124,022.58 130,223.71 130,223.71 - 02/01/2021 --153,430.00 153,430.00 161,101.50 161,101.50 - 02/01/2022 290,000.00 2.300%153,430.00 443,430.00 465,601.50 465,601.50 - 02/01/2023 300,000.00 2.400%146,760.00 446,760.00 469,098.00 469,098.00 - 02/01/2024 305,000.00 2.450%139,560.00 444,560.00 466,788.00 466,788.00 - 02/01/2025 310,000.00 2.550%132,087.50 442,087.50 464,191.88 464,191.88 - 02/01/2026 320,000.00 2.650%124,182.50 444,182.50 466,391.63 466,391.63 - 02/01/2027 330,000.00 2.900%115,702.50 445,702.50 467,987.63 467,987.63 - 02/01/2028 340,000.00 3.200%106,132.50 446,132.50 468,439.13 468,439.13 - 02/01/2029 350,000.00 3.300%95,252.50 445,252.50 467,515.13 467,515.13 - 02/01/2030 360,000.00 3.400%83,702.50 443,702.50 465,887.63 465,887.63 - 02/01/2031 375,000.00 3.450%71,462.50 446,462.50 468,785.63 468,785.63 - 02/01/2032 385,000.00 3.500%58,525.00 443,525.00 465,701.25 465,701.25 - 02/01/2033 400,000.00 3.550%45,050.00 445,050.00 467,302.50 467,302.50 - 02/01/2034 415,000.00 3.600%30,850.00 445,850.00 468,142.50 468,142.50 - 02/01/2035 430,000.00 3.700%15,910.00 445,910.00 468,205.50 468,205.50 - Total $4,910,000.00 -$1,596,060.08 $6,506,060.08 $6,831,363.08 $6,831,363.08 - Significant Dates Dated 4/10/2019 First Coupon Date 2/01/2020 Yield Statistics Bond Year Dollars $48,123.92 Average Life 9.801 Years Average Coupon 3.3165631% Net Interest Cost (NIC)3.3981858% True Interest Cost (TIC)3.3921393% Bond Yield for Arbitrage Purposes 3.3746092% All Inclusive Cost (AIC)3.4658303% Series 2019A GO Bonds - l | Cedar Lake Road | 2/ 6/2019 | 9:30 AM City council meeting of February 19, 2019 (Item No. 8a) Title: Series 2019A General Obligation Bonds Page 22