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HomeMy WebLinkAbout2003/12/01 - ADMIN - Agenda Packets - City Council - RegularAGENDA SUMMARY CITY COUNCIL MEETING ST. LOUIS PARK, MINNESOTA December 1, 2003 7:30 p.m. 6:30 p.m. – Study Session, Westwood Rm. 7:15 p.m. – Economic Development Authority 1. Call to Order a. Pledge of Allegiance b. Roll Call 2. Presentations 3. Approval of Minutes a. City Council Minutes of November 17, 2003 Document b. City Council Special Meeting Minutes of November 10, 2003 Document Action: Corrections/amendments to minutes - Minutes approved as presented 4. Approval of Agenda and Items on Consent Calendar NOTE: The Consent Calendar lists those items of business which are considered to be routine and/or which need no discussion. Consent items are acted upon by one motion. If discussion is desired by either a Councilmember or a member of the audience, that item may be moved to an appropriate section of the regular agenda for discussion. Action: Motion to approve the agenda as presented and to approve items listed on the consent calendar (Alternatively: Motion to add or remove items from the agenda, motion to move items from consent calendar to regular agenda for discussion and to approve those items remaining on the consent calendar). 5. Boards and Commissions a. Motion to appoint Randall Snow to the Human Rights Commission 6. Public Hearings 6a. Public Hearing on the 2004 Budget and Property Tax Levy Document This Public Hearing is to review the 2004 budget and property tax levy Recommended Mayor to close the Public Hearing Action: 7. Requests, Petitions, and Communications from the Public - None 8. Resolutions, Ordinances, Motions 8a. First Reading of proposed Ordinance Code (Zoning) amendment by Silvercrest Properties, LLC to modify the shading regulations so that they only protect residential use properties. Document Recommended Action: Motion to approve First Reading of an ordinance amendment that would exempt Industrial-zoned properties from shading protection and allow approval of shading of buildings within PUDs, CUPs, and Special Permits as recommended by staff and the Planning Commission and to set Second Reading for December 15, 2003. 8b. Request by Belt Line Industrial Park, Inc for a minor amendment to a Planned Unit Development for one additional bank drive-through lane, and to waive the requirement for park dedication fees required with an administrative lot division 5000 & 5050 W. 36th St Case No. 03-76-PUD & 03-77-S Document Recommended Action: • Motion to adopt a resolution approving a minor amendment to allow the addition of a fourth bank drive through lane, subject to conditions in the resolution. • Motion to adopt a resolution approving the waiver of park dedication fees with an administrative lot division. 8c. 1st Reading of an ordinance amending Chapter 24: Streets, Sidewalks and Other Public Places Document Addition of new language to clarify existing provisions regarding sweeping leaves into streets and obstructing streets, sidewalks and public ways Recommended Action: Motion to approve 1st reading and set second reading for December 15, 2003. 8d. 1st Reading of an ordinance amending Chapter 15: Gambling Document Revisions required due to changes in statute and proposed revision to public hearing requirement Recommended Action: Motion to approve 1st reading and set second reading for December 15, 2003. 8e. 1st Reading of an ordinance amending Chapter 18: Offenses and Miscellaneous Provisions Document Addition of Article VII. Unclaimed Property in accordance with requirements of M.S.A. § 471.195 Recommended Action: Motion to approve 1st reading and set second reading for December 15, 2003. 8f. Executive Session – Threatened Litigation Recommended Action: Motion to adjourn to executive session to discuss threatened litigation regarding billboards at the Texa-Tonka Shopping Center 9. Communications 10. Adjournment Auxiliary aids for individuals with disabilities are available upon request. To make arrangements, please call the Administration Department) at 952/924-2525 (TDD 952/924-2518) at least 96 hours in advance of meeting. ST. LOUIS PARK CITY COUNCIL MEETING OF December 1, 2003 SECTION 4: CONSENT CALENDAR NOTE: The Consent Calendar lists those items of business which are considered to be routine and/or which need no discussion. Consent items are acted upon by one motion. If discussion is desired by either a Councilmember or a member of the audience, that item may be moved to an appropriate section of the regular agenda for discussion. 4a Motion to approve second reading of text amendments to the Property Maintenance Code and Weed Elimination sections of the Ordinance Code Document 4b Motion to authorize execution of a one (1) year extension to Contract No. 123-01 with ENSR Consulting and Engineering for consultant services related to the implementation of the Reilly Tar & Chemical Corporation (Reilly) Remedial Action Plan (RAP) during year 2004 Document 4c Motion to adopt a resolution authorizing installation and special assessment of a fire sprinkler system at 4046 Brookside Ave. So. and directing the Mayor and City Manager to execute a special assessment agreement with the property owner Document 4d Motion to authorize execution of a contract extension to Contract No. 1893 with Severn Trent Services (STL - Denver) for laboratory services related to the Reilly Tar & Chemical Corporation groundwater sampling program through year 2004 Document 4e Motion to adopt resolution authorizing final payment to Ron Kassa Construction in the amount of $769.99 for completion of random curb and gutter work – Project 03- 07 Document 4f Motion to accept Planning Commission Minutes of November 5, 2003 for filing Document 4g Motion to approve the Indemnification Agreement between the City of St. Louis Park, the St. Louis Park Economic Development Authority, Anderson Builders, and Oak Hill 3501 LLC. relative to the Purchase and Redevelopment Contract with Oak Hill 3501 LLC. Document 4h Motion to approve resolution supporting the continued study of the Southwest Corridor for light rail transit Document 4i Motion to accept the Vendor Claims for filing (Supplement) AGENDA SUPPLEMENT CITY COUNCIL MEETING December 1, 2003 Items contained in this section are those items which are not yet available in electronic format and which are identified in the individual reports by inclusion of the word “Supplement”. St. Louis Park City Council Agenda Item: 120103 - 3a - Council Minutes of November 17, 2003 Page 1 of 5 UNOFFICIAL MINUTES CITY COUNCIL MEETING ST. LOUIS PARK, MINNESOTA November 17, 2003 1. Call to Order Mayor Jacobs called the meeting to order at 7:30 p.m. The following Councilmembers were present at roll call: John Basill, Jim Brimeyer, Paul Omodt, Susan Sanger, Sue Santa, Sally Velick, and Mayor Jeff Jacobs. Also present were the City Manager (Mr. Meyer); City Attorney (Mr. Scott); Community Development Director (Mr. Harmening); Director of Human Resources (Ms. Gohman); Planning and Zoning Supervisor (Ms. Jeremiah); Associate Planner (Ms. Grove); Director of Inspections (Mr. Hoffman); Environmental Health Official (Mr. Camilon); Environmental Coordinator (Mr. Vaughan); and Recording Secretary (Ms. Samson). 2. Presentations: None 3. Approval of Minutes 3a. City Council Minutes of November 3, 2003 3b. City Council Study Session Minutes of October 13, 2003 3c. City Council Study Session Minutes of October 20, 2003 3d. City Council Certification Minutes of October 20, 2003 3e. City Council Study Session Minutes of October 27, 2003 All minutes were approved as presented. 4. Approval of Agenda and Items on Consent Calendar NOTE: The Consent Calendar lists those items of business which are considered to be routine and/or which need no discussion. Consent items are acted upon by one motion. If discussion is desired by either a Councilmember or a member of the audience, that item may be moved to an appropriate section of the regular agenda for discussion. 4a Motion to adopt Ordinance No. 2256-03 amending rates charged for Water, Sanitary Sewer, and Storm Water Utility for 2004, approve the summary and authorize summary publication 4b Motion to adopt Resolution No. 03-166 accepting concrete alley paving – Ron Kassa Construction, Inc. in the amount of $9,346.69 – City Contract No. 87-03 K 4c Motion to adopt Resolution No. 03-167 accepting random walk replacement – Ron Kassa Construction, Inc. in the amount of $8,539.42 – City Contract No. 133-02 4d Motion to adopt Resolution No. 03-168 accepting street repair for Louisiana Avenue railroad crossing – City Contract No. 131-03 St. Louis Park City Council Agenda Item: 120103 - 3a - Council Minutes of November 17, 2003 Page 2 of 5 4e Motion to approve Resolution No. 03-169 authorizing renewal of gambling premises permit for VFW Post 5632 operating at 5605 West 36th Street 4f Motion to approve the License Agreement between Fern Hill Place, LLC and the City of St. Louis Park relative to the installation of monitoring wells in the City’s right-of-way along Raleigh Avenue 4g Motion to adopt Resolution No. 03-170 authorizing the issuance, sale, and delivery of revenue bonds for the benefit of Park Nicollet Health Services, Methodist Hospital, Park Nicollet Institute, Park Nicollet Clinic, PNMC Holdings, and Park Nicollet Health Care Products 4h Motion to adopt an Ordinance Relating to Tree Removal and Trimming, Amending St. Louis Park Ordinance Code Chapters 12 and 34, approve the summary and authorize summary publication and a Motion to adopt a Resolution Setting Amount of Public Subsidy for Tree Removal and Disease Prevention in the City. (Mayor Jacobs requested this item be moved to the Regular Agenda as Item 8d). 4i Motion to accept the results of the cable franchise fee audit and accepting Time Warner Cable’s payments to date with no additional claims by Time Warner or the City 4j Motion to accept for filing the Housing Authority Minutes of September 10, 2003 4k Motion to approve Resolution 03-172 for final payment to Glenn Rehbein Excavating for completion of work at Louisiana Oaks Park 4l Motion to accept vendor claims for filing (Supplement) On behalf of William Putnam, Mayor Jacobs requested Consent Agenda item 4h be moved to the Regular Agenda as Item 8d. It was moved by Councilmember Santa, seconded by Councilmember Sanger, to approve the Agenda and items listed on the Consent Calendar as amended. The motion passed 7-0. 5. Boards and Commissions 5a. Motion to appoint Seema Madali to Human Rights Commission It was moved by Councilmember Sanger, seconded by Councilmember Omodt, to appoint Seema Madali to the Human Rights Commission. The motion pass 7-0. 6. Public Hearings: None 7. Requests, Petitions, and Communications from the Public: None St. Louis Park City Council Agenda Item: 120103 - 3a - Council Minutes of November 17, 2003 Page 3 of 5 8. Resolutions, Ordinances, Motions 8a. Workers Compensation Insurance. Resolution No. 03-173 Director of Human Resources Nancy Gohman reported on changing from a self-insured to a fully-insured worker’s compensation program. Ms. Gohman distributed a Summary—Worker’s Compensation correction sheet. She added that Staff is recommending Council authorize the City Manager to develop programs necessary to implement this change, and the City Manager will need to continue to secure coverage for administration of the tail claims. Councilmember Sanger asked if the League of Minnesota Cities Insurance Trust (“LMCIT”) will assist the City with services aimed at preventing Worker’s Compensation claims in the first place. Ms. Gohman replied yes, LMCIT has a large loss control area to work with the City. Councilmember Basill asked if the tail claims will inflate the cost for the first few years, and Ms. Gohman said yes, the five-year average will be inflated. Councilmember Basill stated that the tail claims will eventually be phased out, and Ms. Gohman agreed. Councilmember Basill said he agrees with Councilmember Sanger that this is a good move in the long run. It was moved by Councilmember Sanger, seconded by Councilmember Santa, to adopt Resolution No. 03-173 approving participation in the League of Minnesota Cities Insurance Trust for Workers Compensation Coverage including participation in managed care effective December 1, 2003. City Manager Charlie Meyer said, initially, for a number of years, it was a money-saving measure to move to self-insured, and the City saved money by being self-insured, however, the City is not large enough to be self-insured by itself, and a larger participation pool is necessary. The motion passed 7-0. 8b. First Reading: Proposed Ordinance Amending Chapter 6, Article V – Property Maintenance Code and Chapter 34, Section III – Weed Elimination Director of Inspections Brian Hoffman reported on the proposed ordinance adopting the 2003 edition of the International Property Maintenance Code with City amendments. It was moved by Councilmember Velick, seconded by Councilmember Omodt, to approve first reading of text amendments to the Property Maintenance Code and Weed Elimination sections of the Ordinance Code. Set 2nd reading for December 1st, 2003. The motion passed 7-0. St. Louis Park City Council Agenda Item: 120103 - 3a - Council Minutes of November 17, 2003 Page 4 of 5 8c. Request of Methodist Hospital for a Final PUD with variances from sign requirements to allow a phased expansion. Case No. 03-44-PUD 6500 Excelsior Blvd. Resolution No. 03-174 Planning Associate Julie Grove presented a report on the request of Methodist Hospital for a Final PUD for Phase I and a variance to the signage. Ms. Grove reported that two modifications are being proposed tonight, which would require approval prior to the issuance of the Building Permit. The modifications proposed are: add a five-foot screen wall to the base of the east side of the parking ramp to provide additional screening to the residential properties; and on the west side of the parking ramp, additional brick would need to be added to that side of the elevation. Ms. Grove said the Brooklawns Neighborhood has submitted an Issues and Resolution Checklist, which is complied in a black, three-binder notebook, and has been distributed to every Councilmember. Ms. Grove said the Planning Commission and Staff are recommending approval of the sign variance; and the Planning Commission is recommending that the Council set a sunset date for non-conformities that have not been addressed with the PUD, Phase I, such as the nonconformity in the north parking lot, i.e., within four years from the Final PUD of Phase I, the lights in the north parking lot shall be updated to eliminate direct illumination (glare) on residential properties east of Methodist Hospital per City ordinance; and all other non-conformities, including the parking lot design, the bufferyards and internal landscaping within the parking lot shall be brought into compliance with any future expansion of occupiable floor area or with any future reconstruction of the orange parking lot or even construction of a new orange ramp to the extent reasonable and possible, to be determined by the City through any future PUD amendment processes. Ms. Grove said the alternative motion tonight reflects the two new conditions that have been agreed to after the Planning Commission meeting. Staff is recommending approval of the alternate resolution, however, the Council must specify whether the Council is approving the Planning Commission’s recommendation with a date certain added to Condition O or the alternate resolution based on the subsequent meeting. Duane Spiegle, Vice President of Real Estate for Park Nicollet, said Park Nicollet and Methodist Hospital support the alternate resolution. Mr. Spiegle thanked Councilmember Basill, Julie Grove, Janet Jeremiah, Tom Harmening, Randy Manthey, and the Brooklawns Neighborhood. Randy Manthey, 3979 Dakota Avenue South, said Staff has been very supportive. Mr. Manthey said 32 issues have been identified, and the black, three-binder notebook will go into the Brooklawns archive. Mr. Manthey praised Councilmember Basill for his support. On behalf of the Brooklawns Neighborhood, Mr. Manthey thanked Charlie Meyer for his leadership in the community. Councilmember Basill thanked City Staff, Park Nicollet and Methodist Hospital staff, and the neighborhood for having worked together so well; they were fantastic. St. Louis Park City Council Agenda Item: 120103 - 3a - Council Minutes of November 17, 2003 Page 5 of 5 It was moved by Councilmember Basill, seconded by Councilmember Sanger, to adopt the alternate Resolution No. 03-174 approving the Final PUD with variances subject to the conditions as stated in the resolution. The motion passed 7-0. 8d. Ordinance Relating to Tree Removal and Trimming. Ordinance No. 2257-03 William Putnam, 3172 Hillsboro Avenue South, inquired about boulevard tree trimming costs that will be passed onto residents. Mr. Putnam said trees are an asset. He asked if he would be allowed to trim his boulevard trees or if requested by a neighbor, could he trim his neighbor’s boulevard trees. Mr. Putnam asked if residents would have an option to decline the replacement of boulevard trees; he said some boulevard trees are hazardous. Environmental Coordinator Jim Vaughan said about one-third of the tree-trimming budget has been cut for forestry maintenance. People have had the option to decline or refuse to have a boulevard tree planted in front of their property, and Mr. Vaughan thinks that will continue. Mr. Meyer said it is his understanding that if a contractor is hired, the contractor must be licensed, however, a property owner may perform maintenance work on his or her own trees. Mr. Vaughan said that is correct and the City will provide educational components to residents. City Attorney Tom Scott indicated that property owners may trim their own trees. Mr. Meyer stated that the City will subsidize the removal of a boulevard tree up to 50%, however, the ordinance requires the property owner to maintain boulevard trees. It was moved by Councilmember Brimeyer, seconded by Councilmember Santa, to adopt Ordinance No. 2257-03 Relating to Tree Removal and Trimming, Amending St. Louis Park Ordinance Code Chapters 12 and 34, approve the summary and authorize summary publication and a Motion to adopt a Resolution Setting Amount of Public Subsidy for Tree Removal and Disease Prevention in the City. The motion passed 7-0. 9. Communications: None 10. Adjournment Mayor Jacobs adjourned the meeting at 8:15 p.m. ______________________________________ ______________________________________ City Clerk Mayor St. Louis Park City Council Agenda Item: 120103 - 3b - Special Meeting Minutes of Nov. 10, 2003 Page 1 of 1 UNOFFICIAL MINUTES CITY COUNCIL—SPECIAL MEETING ST. LOUIS PARK, MINNESOTA November 10, 2003 1. Call to Order The meeting convened at 7:00 p.m. Present at the meeting were Councilmembers: John Basill, Paul Omodt, Susan Sanger, Sue Santa, and Mayor Jeff Jacobs. Councilmembers Jim Brimeyer and Sally Velick were absent. Also present were the Community Development Director (Mr. Harmening); and Recording Secretary (Ms. Samson). 2. Resolutions, Ordinances, Motions 2a. Canvass of City Election Results It was moved by Councilmember Santa, seconded by Councilmember Sanger, to approve Resolution No. 03-165 declaring results of the Municipal Election held November 4, 2003. The motion passed 5-0. 3. Adjournment Mayor Jacobs adjourned the meeting at 7:01 p.m. ___________________________________ ___________________________________ City Clerk Mayor St. Louis Park City Council Agenda Item: 120103 - 4a - Property Maintenance Ordinance Page 1 of 8 4a. Motion to approve second reading of text amendments to the Property Maintenance Code and Weed Elimination sections of the Ordinance Code. Purpose: To approve an ordinance adopting the 2003 edition of the International Code Conferences (ICC) International Property Maintenance Code (IPMC) with revised amendments as the Property Maintenance Code for the City. Staff is proposing consideration of this ordinance to remain current with the most recently published edition of the IPMC and includes additional City amendments to improve our response in the most difficult situations requiring posting of a property. Background: First reading of this ordinance occurred and subsequently was approved as presented during the November 17th, 2003 council meeting. Analysis: There have been no changes to the proposed ordinance following first reading. The Property Maintenance Code is utilized to ensure maintenance of all existing properties, including residential, commercial, and industrial. Requirements specified in these provisions are utilized at the time of sale inspections, in responding to property deterioration complaints, during neighborhood or citywide compliance checks, and as part of the apartment licensing inspection program. Staff has reviewed the proposed amendments extensively to ensure consistency with other city and state codes. Effective Date: The ordinance will become effective January 1, 2004 following publication if approved. Attachments: Proposed ordinance Prepared by: Brian Hoffman, Director of Inspections Approved by: Charles W. Meyer, City Manager St. Louis Park City Council Agenda Item: 120103 - 4a - Property Maintenance Ordinance Page 2 of 8 ORDINANCE NO. 2258-03 CITY OF ST. LOUIS PARK HENNEPIN COUNTY, MINNESOTA AN ORDINANCE AMENDING THE ST. LOUIS PARK ORDINANCE CODE CHAPTER 6: ARTICLE V – PROPERTY MAINTENANCE CODE AND CHAPTER 34: SECTION 111 – WEED ELIMINATION THE CITY COUNCIL OF THE CITY OF ST. LOUIS PARK ORDAINS: Section 1. Section 6-142 of the St. Louis Park Code of Ordinances is amended to read as follows: Sec. 6-142. Code adopted. The International Property Maintenance Code, 2003 edition, as published by the International Code Council is adopted as the property maintenance code of the city, for the control of buildings and structures as provided in this article; and each and all of the regulations, provisions, penalties, conditions and terms of such code are referred to, adopted and made a part of this article, as if fully set out in this section, with the additions, insertions, deletions and changes as set forth in section 6- 143. Section 2. Section 6-143 of the St. Louis Park Code of Ordinances is amended to read as follows: Sec. 6-143. Revisions. The following sections of the International Property Maintenance Code, 2003 edition, are revised as follows: Section 101.1. Title. Amended to read: These regulations shall be known as the Property Maintenance Code of the City of St. Louis Park, hereinafter referred to as "this code." Section 102.3. Application of other codes. Amended to read: Repairs, additions or alterations to a structure or changes of occupancy shall be done in accordance with the procedures and provisions of the Minnesota State Building Code and the City of St. Louis Park Code of Ordinances. Section 102.7. Referenced codes and standards. Amended to read: All references to other codes or standards within this Code shall mean the applicable provisions of St. Louis Park Code of Ordinances or Minnesota State Building Code, whichever is the most restrictive requirement permitted under statute. Section 103.2. Appointment. Amended to read: The director of inspections shall be the code official. Section 103.5 Fees. Deleted. St. Louis Park City Council Agenda Item: 120103 - 4a - Property Maintenance Ordinance Page 3 of 8 Section 106.3 Prosecution of violation. Amended to read: Any person failing to comply with a notice of violation or order served in accordance with Section 107 shall be deemed guilty of a misdemeanor, and the violation shall be deemed a strict liability offense. If the notice of violation is not complied with, the code official shall institute the appropriate proceeding at law or in equity to restrain, correct or abate such violation, or to require the removal or termination of the unlawful occupancy of the structure in violation of the provisions of this code or of the order or direction made pursuant thereto. Any expenses incurred in carrying out the enforcement of the provisions of this ordinance shall be included as an assessment for a service against the property by the City Clerk. Section 107.1 Notice to person responsible. Amended to read: Whenever the code official determines that there has been a violation of this code or has grounds to believe that a violation has occurred, notice shall be given in the manner prescribed in Sections 107.2 and 107.3 to the person responsible for the violation as specified in this code. The code official shall also provide notice as provided in Section 108.3. Section 107.2 Form. Subsection 5. Deleted. Section 107.2 Form. Subsection 6. Deleted. Section 107.5 Transfer of ownership. Deleted. Section 108.1 General. Amended to read: When a structure or equipment is found by the code official to be unsafe, or when a structure is found unfit for human occupancy, or is found unlawful, such structure shall be subject to the provisions of this code. Section 108.2 Closing of vacant structures. Amended to read: If the structure is vacant and unfit for human habitation and occupancy, and is not in danger of structural collapse, the code official is authorized to post the premises and order the structure closed up so as not to be an attractive nuisance. Upon failure of the owner to close up the premises within the time specified in the order, the code official shall cause the premises to be closed and secured through any available public agency or by contract or arrangement by private persons and the cost thereof shall be assessed to the real estate upon which the structure is located. Section 108.3 Notice. Amended to read: Whenever a code official has determined a structure or equipment is unsafe, a structure is unfit for human occupancy or a structure is unlawful under the provisions of this section, notice shall be posted in a conspicuous place in or about the structure affected by such notice and served on the owner or the person or persons responsible for the structure in accordance with Section 107.3. If the notice pertains to equipment, it shall also be placed on the unsafe equipment. The notice shall be in the form prescribed in Section 107.2. Section 108.4 Posting. Amended to read: Upon failure of the owner or persons responsible to comply with the notice provisions within the time given, the code official shall place a posting on the premises or on the defective equipment which shall provide a statement of the penalties for occupying the premises, operating the equipment or removing the posting. St. Louis Park City Council Agenda Item: 120103 - 4a - Property Maintenance Ordinance Page 4 of 8 Section 108.4.1 Posting removal. Amended to read: The code official shall remove the posting whenever the defect or defects upon which the enforcement action and posting were based have been eliminated. Any person who defaces or removes a posting without the approval of the code official shall be subjected to the penalties provided by this code. Section 108.5 Prohibited occupancy. Amended to read: Any occupied structure posted by the code official shall be vacated as ordered by the code official. Any person who shall occupy a posted premises or shall operated posted equipment, and any owner or person responsible for the premises who shall let anyone occupy a posted premises or operate posted equipment, shall be liable for the penalties provided by this code. Section 108.6. Removal of placard. Deleted. Section 111.1. Request for appeal hearing. Amended to read: Any person directly affected by a decision of the code official or a notice or order issued under this code shall have the right to an appeal hearing when requested in writing to the city. The hearing shall be held within 20 days of the city receiving a request for appeal. A request for appeal shall be based on a claim that the true intent of this code or the rules legally adopted under this code have been incorrectly interpreted, the provisions of this code do not fully apply or the requirements of this code are adequately satisfied by other means, or that strict application of any requirement of this code would cause undue hardship. Section 111.2. Hearing official. Amended to read: The city manager or his/her appointed designee shall serve as the hearing official for all appeals of this code. The hearing official shall consider all relevant evidence, documents and verbal presentations submitted during the hearing from the appeals applicant and the code official. Within ten days following the appeal hearing, the hearing official shall notify the applicant and code official in writing of the decision. Section 111.3. Limitations of authority. Amended to read: The hearing official shall have no authority to waive fire and life safety requirements under the jurisdiction of the fire chief or to approve a condition that would create a violation of the Minnesota State Building Code. Section 111.4. Stays of enforcement. Amended to read: Appeal requests, except for imminent danger orders or hazardous building notices, shall stay the enforcement of the notice and order until the hearing official has notified the applicant and code official in writing of a decision on the appeal. Section 201.3. Terms defined in other codes. Amended to read: Where terms are not defined in this code and are defined in the St. Louis Park Code of Ordinances or the Minnesota State Building Code, such terms shall have the meanings ascribed to them in those codes. Section 202 GENERAL DEFINITIONS – CONDEMN. Deleted. St. Louis Park City Council Agenda Item: 120103 - 4a - Property Maintenance Ordinance Page 5 of 8 Section 302.4. Weeds. Amended to read: All premises and exterior property shall be maintained free from all noxious weeds or turf grass growth in excess of six inches. Section 302.8. Motor vehicles. Amended to read: Except as otherwise provided in this St. Louis Park Municipal Code of Ordinances, no junk vehicle, stock car, racing car, inoperative vehicle, or unlicensed motor vehicle shall be parked, kept or stored on any premises unless within a totally enclosed structure. No vehicle shall at any time be in a state of major disassembly, disrepair or in the process of being stripped or dismantled. Spray painting of vehicles is prohibited unless conducted inside an approved spray booth. Exception. Any vehicle is permitted to undergo major overhaul, including minor sheet metal or fiberglass panel repair and finishing, provided that such work is performed inside a structure or similarly enclosed area designed and approved for such purposes. Automotive maintenance and repair shall be limited to the owners/occupants who reside at that address. Section 304.3 Premises identification. Amended by adding: Property abutting alleys shall also have the street address posted so as to be visible from the alley. Address numbers must be placed on the building nearest the alley and meet the same requirements as for the numbers facing the primary street frontage. Section 304.3.1 Multidwelling identification. Amended by adding new section to read: All units and rooms in multidwelling buildings, including, but not limited to, homes for the aged, hotels, motels, lodginghouses and boardinghouses, apartments and condominiums shall be identified as separate units by consecutive numbering or lettering which shall be placed on the door in Arabic numerals or English capital letters, with a minimum size of three inches and a one-half- inch stroke. Section 304.7 Roofs and Drainage. Amended to read: The roof and flashing shall be maintained sound, weather-tight, and in good repair. Roofs shall not have defects or deterioration that allow precipitation to pass. Roof drainage shall be adequate to prevent dampness or deterioration in the walls or interior portion of the structure. Roof drains, gutters, and downspouts shall be maintained in good repair and free from obstructions. Roof water shall not be discharged in a manner that creates a public nuisance. Section 304.13.1. Glazing. Amended to read: Glazing must be maintained, securely held in place, and free from holes or missing pieces. No jagged or abrasive edges are permitted. Section 304.13.2. Openable windows. Amended to read: Every window required by this code for ventilation or egress must be easily openable and capable of being held in place by window hardware. Section 304.13.3. Storm Windows. Amended by adding: All openable windows with a single layer of glass, in rental dwelling units, must be provided with tightfitting storm windows. Storm windows may be temporarily removed to allow for the installation of screens during periods of warm weather. St. Louis Park City Council Agenda Item: 120103 - 4a - Property Maintenance Ordinance Page 6 of 8 Section 304.14. Insect screens. Amended to read: When insect screens are installed over openings into any building they must be maintained in good condition, securely held in place, and free from holes or tears. Exception. Deleted. Section 304.14.1. Screens required. Amended by adding new section to read: All openable windows in rental dwelling units must be provided with tightfitting insect screens of not less than 16 mesh per inch. Insect screens may be temporarily removed to allow for the installation of storm windows during periods of cold weather. Section 304.15.1. Landings. Amended by adding new section to read: Exterior doors, other than storm doors must swing over a floor or landing of at least the width of the door opening, extending from the threshold for a distance at least equal to the door width, and must not be more than eight inches below the height of the door threshold. Section 304.18.1. Doors. Deleted. Section 305.7. Food preparation. Amended by adding new section to read: All spaces to be occupied for food preparation purposes shall contain suitable space and equipment to store, prepare and serve foods in a sanitary manner. There shall be adequate facilities and services for the sanitary disposal of food wastes and refuse, including facilities for temporary storage. Section 307.3.1. Garbage facilities. Deleted. Section 307.4. Construction debris. Amended by adding new section to read: All debris from construction, remodeling, repair or demolition of a building shall be placed in approved dumpsters or contained to prevent scattering of any debris from the project site. Section 402.1. Habitable spaces. Amended to read: Every habitable space shall have at least one window facing directly to the outdoors or to a court. Exception. Where natural light for the room or space is provided from an adjoining room through an unobstructed opening equal to at least eight percent of the floor area of the interior room or space. Section 403.1. Habitable spaces. Amended to read: Every habitable space shall have at least one openable window directly to the outdoors or to a court. Exception. When the room or space is provided with a mechanical ventilation system capable of supplying conditioned or unconditioned air to, or removing such air from any space. Section 403.2. Bathrooms and toilet rooms. Amended by adding exception to read: St. Louis Park City Council Agenda Item: 120103 - 4a - Property Maintenance Ordinance Page 7 of 8 Exception. Bathrooms or toilet rooms that contain only a water closet, lavatory or combination thereof may be ventilated with an approved mechanical recirculating fan designed to remove odors from the air. Section 404. Occupancy limitations. Deleted entire section from 404.1 – 404.7. Section 503.3. Location of employee toilet facilities. Deleted. Section 602.2. Residential occupancies. Amended to read: Dwellings shall be provided with heating facilities capable of maintaining a room temperature of 68 degrees Fahrenheit in all habitable rooms, bathrooms and toilet rooms when the outdoor temperature is minus 20 degrees Fahrenheit or warmer. Cooking appliances shall not be used to provide space heating to meet the requirements of this section. Section 602.3. Heat supply. Amended to read: Every owner and operator of any building who rents, leases or lets one or more dwelling units, rooming units, dormitory or guestroom on terms, either expressed or implied, shall furnish heat in compliance with section 602.2 to the occupants from September 1 to June 1. Exception. When the outdoor temperature is below the winter outdoor design temperature for the locality, maintenance of the minimum room temperature shall not be required, provided that the heating system is operating at its full design capacity. Section 602.4. Occupiable workspaces. Deleted. Section 603.2. Removal of combustion products. Amended to read: All fuel-burning equipment and appliances intended for heating shall be connected to an approved chimney or vent to the exterior of the building. Exception. Deleted. Section 603.1.1. Appliance testing. Amended by adding new section to read: Central heating appliances shall be tested by a licensed mechanical contractor to verify that the appliance is in a safe working condition when evidence of malfunction, corrosion, deterioration or excessive interior carbon monoxide is suspected. Section 605.3. Lighting fixtures. Amended by adding: Lighting fixtures are not permitted within or above shelving space within closets and enclosed storage rooms. Section 702.3. Locked doors. Amended by adding exception to read: Exception. Double-keyed deadbolts are permitted in existing single-family residential dwellings, residential duplexes and individually owned townhomes. St. Louis Park City Council Agenda Item: 120103 - 4a - Property Maintenance Ordinance Page 8 of 8 Section 702.5. Sleeping room egress. Amended by adding new section to read: Every room or space intended or used for sleeping shall have at least one openable window or door opening directly to the exterior. The opening must be of a size and location which permits egress from the room or space. Section 704.1. General. Amended to read: All systems, devices and equipment to detect a fire, actuate an alarm, or suppress or control a fire or any combination thereof shall be installed and maintained in an operable condition at all times in accordance with the City Fire Code. Sections 704.2. through 704.4. Deleted. Chapter 8. Referenced standards. Amended to read: All references to other codes or standards within this code shall mean the applicable provisions of St. Louis Park Code of Ordinances or Minnesota State Building Code, whichever is the most restrictive requirement permitted under statute. Section 2. Section 34-111 of the St. Louis Park Code of Ordinances is amended to read as follows: Sec. 34-111. Weeds declared a nuisance; duty of owner. (a) Any weeds, whether noxious or not as defined by state law, or turf grass growing at a height greater than six inches upon any privately owned lot or tract of land in the city or upon any public boulevard or similar public property alongside the traveled portion of a street or alley abutting the private property are hereby declared to be a nuisance. Turf grass is any type of vegetative grasses used for recreational or residential purposes. (b) The owner or occupant of any such property or abutting property shall prevent the nuisance, and if the nuisance occurs, the owner or occupant shall cut and remove the weeds from the property or cut the turf grass to a height of less than six inches. Section 3. Effective Date. This Ordinance shall be effective January 1, 2004 following passage and publication. ADOPTED this 1st day of December 2003, by the City Council of the City of St. Louis Park. Reviewed for Administration: Adopted by the City Council City Manager Mayor Attest: City Attorney City Clerk St. Louis Park City Council Agenda Item: 120103 - 4b - ENSR Counsulting Contract Extension Page 1 of 4 4b. Motion to authorize execution of a one (1) year extension to Contract No. 123-01 with ENSR Consulting and Engineering for consultant services related to the implementation of the Reilly Tar & Chemical Corporation (Reilly) Remedial Action Plan (RAP) during year 2004. Background: In September, 1986, the Reilly Consent Decree became effective and the City accepted responsibility for a number of environmental remediation tasks contained in the Reilly RAP. Over the last 17 years the City has retained the services of nine consulting engineers or firms to provide for the design and/or implementation of the RAP activities. One firm, ENSR, has served as the cornerstone of the professional “consortium” because of its extensive historical relationship with the Reilly project. Currently the City has a one (1) year Contract with ENSR for consultant services. The current contract expires December 31, 2003 but has a renewal option for the year 2004. The activities or services provided by this contract are: Groundwater sampling and analysis Preparing annual reports for agency review Aquifer studies Investigation of leaking wells Laboratory audits and coordination Historical file searches General project administration Discussion: While many of the studies required by the Reilly RAP have been completed by ENSR and others, certain tasks such as groundwater sample retrieval and annual reporting represent ongoing activities which will require consultant assistance in year 2004 and into the foreseeable future. ENSR has provided consultant services for the ongoing tasks in the past, and as such, has been recognized by the United States Environmental Protection Agency and Minnesota Pollution Control Agency (Agencies) as an approved consultant for such activities. Staff supports the continued use of ENSR for such services. The general ongoing tasks identified above vary from year to year. The following tasks are planned for 2004: Task 100 – 2003 Annual Monitoring Report: This task involves drafting text and preparing figures and tables to assist the City in completing the 2003 Annual Monitoring Report. The Annual Monitoring Report includes analytical results from the past year sampling efforts, as well as groundwater contour maps. Additionally, a historical summary of analytical results is provided in the Annual Monitoring Report. This report is due to the U.S.EPA and MPCA (Agencies) on March 15, 2004. Task 150 - 2003 Annual Progress Report and GAC Plant Report: ENSR will assist the City in completing these two reports for submittal to the Agencies on March 15, 2004. Task 400 – Groundwater Monitoring: This task involves groundwater sample collection in accordance with the 2004 Sampling Plan and water level measurements pursuant to that Plan. St. Louis Park City Council Agenda Item: 120103 - 4b - ENSR Counsulting Contract Extension Page 2 of 4 Table 1 indicates a cost of $38,000 for this work, based on the average amount spent on this task for the last five years. Task 500 – Prairie du Chien-Jordan Aquifer Remedy Implementation: The Prairie du Chien- Jordan Remedy includes pumping the SLP municipal wells currently being used (e.g., SLP-10 or SLP-15 and SLP-4), and monitoring the groundwater. The potential complication presented by pumping at the Meadowbrook golf course (well W119) has not been officially resolved, but it is likely that the well will not be used for irrigating the golf course. In 2004, changes to the remedy may include the installation and monitoring of well W413. Also, MPCA may require sampling at W119. If there are indications of contamination spreading southward, then well SLP-6 would be activated for gradient control. The costs in Table 1 reflect a task structure to track costs in accordance with Exhibit A of the City-Reilly Cost Sharing Agreement. Task 540 will cover ENSR’s costs to collect 12 groundwater samples (quarterly sampling of three wells), including $1,500 for subcontractor costs each time well W119 is sampled. The 2004 budget project assumes that well W413 will not be installed and that no further agency negotiations will take place relative to the Prairie du Chien – Jordan Aquifer remedy modifications. Task 600 – Laboratory Coordination: This task includes two subtasks: 1. Working with STL on implementing the Quality Assurance Project Plan (QAPP), coordinating sampling events, and updating and maintaining the water quality database. 2. Providing data review and data validation at the levels described in the QAPP. The data validation and data quality review will be documented for the Annual Monitoring Report for 2003 (prepared in March 2004), the task budget shown in Table 1 includes $10,000 for these activities. Task 700 – Site Closure: In 2004, this task includes one subtask: 1. Well abandonment for many unused monitoring wells throughout the City. The costs shown in Table 1 cover ENSR’s labor and expenses for coordinating the abandonment of various wells with MPCA, the City, water well contractors, and other parties, as necessary. Contractor costs for actual well abandonment are not included in this $5,000 budget item. Task 810 – Program Management and Miscellaneous: This task includes overall planning, directing, and controlling ENSR’s resources to perform this project. This task also includes miscellaneous activities throughout the year such as next year’s Sampling Plan (due October 31, 2004), that includes the Site Management Plan and the QAPP. ENSR’s average costs for the past several years have been approximately $25,000 for Task 810. Financial Considerations: Recent correspondence with ENSR estimates the cost for year 2004 work tasks at $112,000. Following is a summary of the year 2004 tasks and estimated costs: St. Louis Park City Council Agenda Item: 120103 - 4b - ENSR Counsulting Contract Extension Page 3 of 4 TABLE 1 Task Estimated Cost, $ Task 100 2003 Annual Monitoring Report (due March 2004) $ 20,000 Task 150 2003 Progress Report and GAC Plant Report (due March 2004) 4,000 Task 400 Groundwater Monitoring in 2004 38,000 Task 500 Prairie du Chien Aquifer Remedy Implementation 10,000(a) Subtask 530 W413 Installation $ 0(a) Subtask 540 W48, W119, W413 Monitoring 10,000(a) Subtask 550 NPDES Permitting 0(a) Task 600 Laboratory Coordination 10,000 Subtask: Lab Coordination $ 5,000 Subtask: Data Validation and Review $ 5,000 Task 700 Site Closure 5,000 Subtask: Well Abandonment $ 5,000 Task 810 Project Management/Miscellaneous 25,000 Total Estimated Project Cost for 2004 $ 112,000 (a) 50% of these costs will be reimbursed by Reilly. The 2004 Reilly Budget contains funding for these Reilly related consultant activities. Attachments: Contract Extension Agreement Prepared by: Michael P. Rardin, Director of Public Works Approved by: Charles W. Meyer, City Manager St. Louis Park City Council Agenda Item: 120103 - 4b - ENSR Counsulting Contract Extension Page 4 of 4 EXTENSION TO CITY OF ST. LOUIS PARK AGREEMENT FOR CONSULTING SERVICES THIS AGREEMENT is made on December 1, 2003, by and between the CITY OF ST. LOUIS PARK, Minnesota, a Minnesota municipal corporation (hereinafter referred to as ‘City”), and ENSR CONSULTING AND ENGINEERING, a Delaware corporation (hereinafter referred to as ‘ENSR”). 1. BACKGROUND. The parties have previously entered into an agreement for consulting services dated December 17, 2001 (“Initial Agreement”). The Initial Agreement authorizes the CITY to extend its terms for up to two (2) additional one-year periods. 2. EXTENSION. Subject to the modifications set forth herein, the Initial Agreement is extended for a final one (1) year period terminating on December 31, 2004. 3. SCOPE OF WORK AND BUDGET FOR YEAR 2003 ENVIRONMENTAL SERVICES. The Council report dated December 1, 2003, from the City Manager, describing the year 2004 project tasks and estimated costs, is incorporated herein by reference. IN TESTIMONY WHEREOF, the parties hereto have caused this Agreement to be executed by their respective duly authorized officers. ENSR CONSULTING AND ENGINEERING CITY OF ST. LOUIS PARK By:___________________________ By:_____________________________________ Jeff Jacobs, Mayor Title:_________________________ and _____________________________________ Charles W. Meyer, City Manager St. Louis Park City Council Agenda Item: 120103 - 4c - Sprinker Assessment 4046 Brookside Page 1 of 2 4c. Motion to adopt a resolution authorizing installation and special assessment of a fire sprinkler system at 4046 Brookside Ave. So. and directing the Mayor and City Manager to execute a special assessment agreement with the property owner. Background: Mr. Kim Hochstein, owner of the commercial building at 4046 Brookside Ave. So. has requested that the City authorize the installation of an automatic fire suppression sprinkler system for the building and assess the cost against the property in accordance with the City’s special assessment policy. Analysis: The special assessment policy for installation of automatic fire sprinkler systems in existing buildings was adopted by the City Council in 1995. The City promotes the installation of fire suppression sprinkler systems and facilitates their installation to promote the general public health, safety and welfare within the community. The Building Code does not require the installation of a fire sprinkler system in this existing building, but as a result of putting an addition on his building the system is needed. The existing building has no sprinkler coverage, and will be sprinkled along with the addition to the building. The property owner will be hiring a contractor to extend the system throughout the building and bring it up to compliance with the current code. Based on the proposed work the system qualifies for the City’s special assessment program. The property owner has petitioned to the City to authorize the installation of the fire sprinkler system and specially assess the cost of the installation. Sprinkler plans have been submitted and approved by City staff. The total eligible cost of the installation has been determined to be $25,480.00. An Administrative Fee of $150.00 will be added to the special assessment. Staff has determined the adequate funds are available through the Special Assessment Construction Fund. Prepared by: Bruce Johnson, Fire Marshal Approved by: Charles W. Meyer, City Manager St. Louis Park City Council Agenda Item: 120103 - 4c - Sprinker Assessment 4046 Brookside Page 2 of 2 RESOLUTION NO ________________________ RESOLUTION AUTHORIZING INSTALLATION AND SPECIAL ASSESSMENT OF FIRE SPRINKLER SYSTEM AT 4046 Brookside Ave. WHEREAS, the Property Owner(s) at 4046 Brookside Ave. 4046 Brookside Ave. (“Benefited Property”) (has) have petitioned the City of St. Louis Park to authorize a special assessment for the installation of a fire sprinkler system in their (school/office/retail) building on the Benefited Property; and WHEREAS, the Property Owner(s) (has) have agreed to waive their right to a public hearing, right of notice and right of appeal pursuant to Minnesota Statute, Chapter 429; and WHEREAS, the City Council of the City of St. Louis Park has received a report from the Fire Marshal related to the installation of the fire sprinkler system. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of St. Louis Park, Minnesota, that: 1. The petition from the Property Owner(s) requesting the approval and special assessment for the fire sprinkler system is hereby accepted. 2. The installation of the fire sprinkler system in conformance with the plans and specifications approved by the Fire Department and Department of Inspections is hereby authorized. 3. The total estimated cost for the design and complete installation of the fire sprinkler system is accepted at $25,480.00 4. The Property Owner(s) (has) have agreed to waive their rights to a public hearing, notice and appeal from the special assessment; whether provided by Minnesota Statutes, Chapter 429, or by other statutes, or by ordinance, City Charter, the constitution, or common law. 5. The Property Owner(s) agree(s) to pay the City for the cost of the above improvements through special assessment over a ten (10) year period at six point zero six percent (6.06%) interest. 6. The Property Owner(s) agree(s) to execute an agreement with the City and any other documents necessary to implement the installation of the fire sprinkler system and the special assessment of all costs associated therewith. (insert signature block here) St. Louis Park City Council Agenda Item: 120103 - 4d - Severn Trent Contract Extension for Lab Services Page 1 of 3 4d. Motion to authorize execution of a contract extension to Contract No. 1893 with Severn Trent Services (STL - Denver) for laboratory services related to the Reilly Tar & Chemical Corporation groundwater sampling program through year 2004. Background: The City has maintained a contractual relationship with STL - Denver (formerly Quanterra Corporation and previously Rocky Mountain Analytical Laboratory for the analysis of groundwater in accordance with the provisions of the consent decree with Reilly Tar & Chemical Corporation (Reilly) since 1988. Staff has identified only two firms capable of providing necessary laboratory services. STL - Denver and CH2M Hill, the laboratory used by the United States Environmental Protection Agency (EPA). Insofar as the USEPA remains opposed to the use of its laboratory consultant by either the City or Reilly, STL - Denver remains the only available consultant for laboratory services. The contract with STL – Denver has been amended each year since 1988. The City Council has previously authorized staff to negotiate contract amendments with STL – Denver. The staff has completed negotiations in costs (unit prices) for the laboratory analysis to be performed in year 2004. Additional Information: The City, Minnesota Pollution Control Agency (MPCA) and the United States Environmental Protection Agency (EPA) acknowledge advances in the technology of groundwater analysis methods since the original testing methodology was agreed to in 1986. City staff has been advocating for several years to update the testing methodology at the Reilly site. Staff also determined the procedures for laboratory data reporting, data validation and data quality review needed updating and simplifying. The entire groundwater monitoring process, which is outlined in the Reilly Quality Assurance Project Plan (QAPP), was re-formatted by the City in 2000, with EPA guidance, to current acceptable methodologies. As a result of this, the proposed 2004 monitoring program and this contract amendment include changes that have significantly reduced the cost of the overall monitoring program. A summary of recent expenses follows: YEAR AMOUNT COMMENT 1995 132,070 Actual 1996 178,640 Actual 1997 174,695 Actual 1998 123,500 Actual 1999 125,620 Actual 2000 86,020 Actual 2001 85,300 Actual 2002 58,540 Actual 2003 51,000 Estimated 2004 60,900 Projected Financial Considerations: Contract authorizations from 1988 through 2003 provide for a cumulative contract amount of $2,104,000 with total estimated expenses of $2,084,597 thereby creating an estimated contract balance of $19,403 at the end of 2003. Based on the updated analytical process and St. Louis Park City Council Agenda Item: 120103 - 4d - Severn Trent Contract Extension for Lab Services Page 2 of 3 other changes related to data, staff estimates that approximately $60,900 will be expended for water sample analysis during year 2004. Therefore, staff is seeking an additional authorization of $50,000 to the contract to cover the expected 2004 costs plus unanticipated contingencies. The proposed 2004 Reilly Budget contains funding for this Reilly activity. Recommendation: Staff recommends Contract No. 1893 be amended to increase the contract amount by $50,000 to provide for groundwater sample analysis during year 2004. Attachments: Amendment No. 14 to Contract No. 1893 Prepared By: Michael P. Rardin, Director of Public Works Approved By: Charles W. Meyer, City Manager St. Louis Park City Council Agenda Item: 120103 - 4d - Severn Trent Contract Extension for Lab Services Page 3 of 3 CITY OF ST. LOUIS PARK AMENDMENT NO. 14 TO CONSULTING SERVICES CONTRACT NO. 1893 THIS AMENDMENT NO. 14 to Contract No. 1893 is made on December 1, 2003, by and between the CITY OF ST. LOUIS PARK, a Minnesota municipal corporation hereinafter referred to as “CITY”, and SEVERN TRENT SERVICES (formally QUANTERRA CORPORATION AND PREVIOUSLY ROCKY MOUNTAIN ANALYTICAL LABORATORY/ENSCO) hereinafter referred to as “STL - DENVER”. BACKGROUND On December 12, 1988, the CITY and STL - DENVER entered into Contract No. 1893 for consultant services related to certain rights and responsibilities the CITY accepted under an agreement with Reilly Tar & Chemical Corporation (Reilly) which is attached as Exhibit B to a Consent Decree in United States of America, et al. vs. Reilly Tar & Chemical Corporation, Housing and Redevelopment Authority of St. Louis Park, Oak Park Village Associates, Rustic Oaks Condominium, Inc. and Philips’s Investment Company, United States District Court, District of Minnesota, Civil File No. 4-80-469. Pursuant to communication between the CITY and STL – DENVER, it has been determined that it is in the best interests of the CITY and STL - DENVER to extend the term of Contract No. 1893 to December 31, 2004, and amend the provisions of Contract No. 1893 and amendments issued thereto dated June 29, 1989, March, 1990, November 18, 1991, February 22, 1994, January 11, 1995, February 20, 1996, December 2, 1996, March 2, 1998, December 7, 1998, December 6, 1999, January 16, 2001, December 17, 2001, and December 16, 2002, incorporating responsibilities each party will assume through year 2004 to discharge those responsibilities the CITY has accepted under Exhibit B to the Consent Decree. NOW, THEREFORE, in consideration of the above facts and mutual covenants herein contained, it is hereby agreed that Contract No. 1893 and all previous Amendments are amended as follows: I. Contract Period 1. The length of Contract No. 1893 shall be extended to December 31, 2004. 2. Total compensation to STL – DENVER for all services rendered pursuant to Contract No. 1893, as amended, shall not exceed $2,154,000. IT IS FURTHER AGREED that all other provisions of Contract No. 1893 and all previous Amendments shall remain unchanged and fully effective, and this Amendment shall become an integral part thereof. EXECUTED as to the day and the year first above written. (Signature Block) St. Louis Park City Council Agenda Item: 120103 - 4e - Final Payment to Ron Kassa Const. Proj 122-03 Page 1 of 1 RESOLUTION NO. 03-178 RESOLUTION ACCEPTING WORK ON RANDOM CURB & GUTTER REPLACEMENT IN THE AMOUNT OF $769.99 CITY PROJECT NO. 03-07 CONTRACT NO. 122-03 BE IT RESOLVED by the City Council of the City of St. Louis Park, Minnesota, as follows: 1. Pursuant to a written contract with the City dated September 8, 2003, Ron Kassa Construction, Inc. has satisfactorily completed the random curb and gutter replacement, as per Contract No. 122-03. 2. The Director of Public Works has filed his recommendations for final acceptance of the work. 3. The work completed under this contract is accepted and approved. The City Manager is directed to make final payment on the contract, taking the contractor's receipt in full. Reviewed for Administration: Adopted by the City Council December 1, 2003 City Manager Mayor Attest: City Clerk St. Louis Park City Council Agenda Item: 120103 - 4f - Planning Commission Minutes of Nov. 5, 2003 Page 1 of 3 OFFICIAL MINUTES PLANNING COMMISSION ST. LOUIS PARK, MINNESOTA November 5, 2003 -- 6:00 P.M. COUNCIL CHAMBERS MEMBERS PRESENT: Michelle Bissonnette, Lynne Carper, Ken Gothberg, Carl Robertson, Jerry Timian Phillip Finkelstein arrived at 6:05 p.m. MEMBERS ABSENT: Dennis Morris STAFF PRESENT: Judie Erickson, Janet Jeremiah, Nancy Sells 1. Call to order - Roll Call Chair Robertson called the meeting to order at 6:00 p.m. 2. Approval of Minutes of October 15, 2003 Commissioner Bissonnette moved to approve the minutes of October 15, 2003. The motion passed 4-0-1. (Commissioner Timian abstained). 3. Hearings: A. Case No. 03-68-ZA--Application of Silvercrest Properties, LLC for an Ordinance Code (Zoning) amendment to modify the shading regulations so that they only protect residential use properties. Planning and Zoning Supervisor Janet Jeremiah presented a staff report. Ms. Jeremiah said SilverCrest Properties is requesting an amendment to the existing City shading regulations. The applicant proposes changing the last sentence in Section 36-366(b)(13) from will not apply in an industrial use district, provided that shade is cast upon a wall which does not have any openings to will apply only to shading of residential use property. Ms. Jeremiah said staff recommends exempting all Industrial-zoned properties from shading protections and allowing the City to consider approving shading of any building within the same PUD, CUP, or Special Permit. Staff also recommends correcting a reference to Subsection (b)(12), which is intended to reference Subsection (b)(13). Ms. Jeremiah said if the Commission wants to continue protecting Industrial, staff recommends changing the word "openings" to "windows" so the City does not prevent shading of loading dock doors. St. Louis Park City Council Agenda Item: 120103 - 4f - Planning Commission Minutes of Nov. 5, 2003 Page 2 of 3 Commissioner Carper asked if staff has considered being more liberal with the 60-day requirement for shading and look at the shading between April 1st and November 1st. Ms. Jeremiah responded no, not specifically, but if the Planning Commission thinks shading is more of a summer issue, staff can look into it further. Commissioner Finkelstein and Chair Robertson asked if the City may be setting itself up for some non-conformities. Ms. Jeremiah said there is less risk with the way this ordinance is written because it only applies to new construction or new additions, e.g., if an existing tall building and an adjacent property is zoned residential, the residential property would not be protected from an existing building but would be protected from new development, therefore, the existing building does not become non-conforming. Peter Pfister, architect for SilverCrest Properties, said in his business there is a distinction between daylighting and direct sunlight. Mr. Pfister said he and SilverCrest Properties are amenable to staff’s and the Planning Commission’s interpretation. Mr. Pfister said he met with the McCains, owners of the adjacent property, Wolfe Lake Professional Center. Mr. Pfister said he received the McCains’ plans for their proposed office developments. Mr. Pfister stated the proposed SilverCrest building would not negatively impact McCains’ building or at least it would comply with the current standard. Chair Robertson opened the public hearing. With no one wishing to speak, Chair Robertson closed the public hearing. Commissioner Gothberg said he agrees with staff in regard to changing the openings to windows, however, he disagrees changing the ordinance to just eliminate the industrial side of things. He said if the City is to eliminate anything, it should be commercial and industrial because basically it is a similar situation. The sunlight is being used for office workers; and winter sun is very important. Commissioner Gothberg asked about crafting an ordinance in regard to allow shading only by agreement and keep the current shading ordinance. Commissioner Gothberg asked if the building will shade the pool at the Rec Center. Ms. Jeremiah said the building would not shade the pool but would shade the skate park, which was deemed acceptable. Ms. Jeremiah said staff is recommending allowing shading by agreement between property owners via the PUD process; other types of agreements tend to get into contractual zoning, which is not recommended by the City Attorney. Commissioner Carper said the loss of sunlight could adversely impact sidewalk cafes, and he would like to see, as recommended by staff, that the ordinance be changed for industrial areas and not for commercial. St. Louis Park City Council Agenda Item: 120103 - 4f - Planning Commission Minutes of Nov. 5, 2003 Page 3 of 3 Chair Robertson said he is comfortable with just the industrial setting at this time. Commissioner Bissonnette moved to recommend approval of an ordinance amendment that would exempt Industrial-zoned properties from shading protection and allow approval of shading of buildings within PUDs, CUPs, and Special Permits as recommended by staff. The recommended ordinance amendment would not exempt Commercial-zoned properties from protection as proposed by the applicant. Residential would continue to be protected. The motion passed 6-0. 4. Unfinished Business 5. New Business A. Consent Agenda B. Other New Business 6. Communications A. Recent City Council Action - October 20, 2003 and November 3, 2003 B. Other 1.) Board of Zoning Appeals minutes Sept. 25 2.) Board of Zoning Appeals agenda Oct. 23 7. Miscellaneous Commissioner Finkelstein expressed appreciation to Commissioners and staff. 8. Adjournment Chair Robertson adjourned the meeting at 6:35 p.m. Minutes prepared by: Respectfully submitted by: Linda Samson Nancy Sells Recording Secretary Administrative Secretary St. Louis Park City Council Agenda Item: 120103 - 4g - Indemnification Agreement Page 1 of 8 4g Motion to approve the Indemnification Agreement between the City of St. Louis Park, the St. Louis Park Economic Development Authority, Anderson Builders, and Oak Hill 3501 LLC. relative to the Purchase and Redevelopment Contract with Oak Hill 3501 LLC. Background At the November 24, 2003 Study Session, the EDA’s attorney apprised the EDA/Council of the indemnification Anderson Builders was requesting of both the EDA and City within the proposed Purchase and Redevelopment Contract for pre-existing conditions present on the EDA‘s property located at 3501 Louisiana Ave. South. Following discussion, during which the EDA’s attorney explained that the EDA and City’s liability exposure for the contaminated property under the proposed Contract was not substantially different from what it is currently, it was the consensus of the group that the Redeveloper’s request was not unreasonable. The attached Agreement provides for assumption by the City of the EDA's obligations under Section 3.5(d) of the Purchase and Redevelopment Contract and assumption by Anderson Builders of the Oak Hill 3501 LLC’s obligations under Section 3.5(c) of the Contract. Attached also is a Memo from the EDA’s attorney further explaining this matter. The EDA’s attorney prepared the proposed Indemnification Agreement and recommends its approval. Attachments: Memo from Kennedy & Graven Indemnification Agreement Prepared by: Greg Hunt, Economic Development Coordinator Reviewed by: Tom Harmening, Community Development Director Approved by: Charles W. Meyer Kennedy 470 Pillsbury Center 200 South Sixth Street Minneapolis MN 55402 & Graven (612) 337-9300 telephone (612) 337-9310 fax http://www.kennedy-graven.com C H A R T E R E D M E M O R A N D U M TO: Thomas Harmening Greg Hunt FROM: Stephen J. Bubul DATE: November 26, 2003 RE: Anderson Indemnification Agreement As you know, the EDA will be considering a Purchase and Redevelopment Contract between the EDA and Oak Hill 3501 LLC ( a limited liability company created by Greg Anderson, referred to as the “Redeveloper”). In Section 3.5 of that Contract, the EDA agrees to indemnify the Redeveloper for claims that arise from environmental conditions of the property as of the date of closing (with certain conditions and qualifications). Likewise, the Redeveloper agrees to indemnify the EDA for claims that arise from activities by Redeveloper’s after closing that do not comply with the Reilly Tar Consent Decree or are done without prior approval by the EDA or MPCA. Redeveloper has requested that the City, in addition to the EDA, provide the indemnification described in the Contract that runs to the benefit of the Redeveloper. At the same time, we have recommended that Anderson Builders, Inc, in addition to the Redeveloper, provide the indemnification that runs to the benefit of the City and EDA. These provisions are handled in a joint Indemnification Agreement among the City, EDA, Redeveloper, and Anderson Builders. The net result of this agreement is that, with respect to the indemnification provisions in the Contract, the City and EDA are jointly and severally obligated to Redeveloper, and the Redeveloper and Anderson Builders are jointly and severally obligated to the EDA and City. INDEMNIFICATION AGREEMENT THIS AGREEMENT, made on or as of the ____ day of ________, 2003, by and among the CITY OF ST. LOUIS PARK, MINNESOTA, a Minnesota municipal corporation (the “City”), the ST. LOUIS PARK ECONOMIC DEVELOPMENT AUTHORITY, ST. LOUIS PARK, MINNESOTA, a public body corporate and politic (the “Authority”), OAK HILL 3501 LLC (the “Redeveloper”), and ANDERSON BUILDERS, INC., a Minnesota corporation (the “Corporation”). RECITALS A. The Authority and the Redeveloper have entered into a Purchase and Redevelopment Contract of even date herewith (the “Contract”), under which the Authority will convey to Redeveloper the property described in Exhibit A hereto (the “Redevelopment Property”). B. Under Section 3.5 of the Contract, the Redeveloper has agreed to indemnify the City and the Authority in certain respects, and the Authority has agreed to indemnify the Redeveloper in certain respects. C. As a condition of entering into the Contract, the Redeveloper has required that the Authority’s indemnification provided under Section 3.5(d) of the Contract be provided as well by the City, and the City has required that the Redeveloper’s indemnification under Section 3.5(c) of the Contract be provided by the Corporation. D. The parties have determined to enter into this agreement in order to evidence the respective obligations of the City and the Corporation as described herein. NOW, THEREFORE, in consideration of the premises and the mutual obligations of the parties hereto, each of them does hereby covenant and agree with the other as follows: 1. The City has all the obligations and rights of the Authority under Section 3.5(d) of the Contract, on a joint and several basis as between the City and Authority. 2. The Corporation has all the obligations and rights of the Redeveloper under Section 3.5(c) of the Contract, on a joint and several basis as between the Corporation and the Redeveloper. 3. The Authority may record this Agreement and any amendments thereto with the Hennepin County recorder. The Redeveloper shall pay all costs for recording. The covenants in this agreement run with the land and bind the Redeveloper, the Corporation, and their successors and assigns for the benefit of the Authority and the City, and bind the Authority and the City and their successors and assigns for the benefit of the Redeveloper and the Corporation. IN WITNESS WHEREOF, each of the parties hereto have caused this Agreement to be duly executed in its name and behalf on or as of the date first above written. ST. LOUIS PARK ECONOMIC DEVELOPMENT AUTHORITY By Its President By Its Executive Director STATE OF MINNESOTA ) ) SS. COUNTY OF HENNEPIN ) The foregoing instrument was acknowledged before me this ____ day of _________, 2003, by _____________________and ___________________, the President and Executive Director of the St. Louis Park Economic Development Authority, a public body politic and corporate, on behalf of the Authority. Notary Public CITY OF ST. LOUIS PARK By Its Mayor By Its Acting City Manager STATE OF MINNESOTA ) ) SS. COUNTY OF HENNEPIN ) The foregoing instrument was acknowledged before me this ____ day of _________, 2003, by _____________________and ___________________, the Mayor and Acting City Manager of the City of St. Louis Park, on behalf of the City. Notary Public OAK HILL 3501 LLC By Its ___________________________ STATE OF MINNESOTA ) ) SS. COUNTY OF __________ ) The foregoing instrument was acknowledged before me this _____ day of __________, 2003 by _____________________, the ___________ of Oak Hill 3501 LLC, a Minnesota limited liability company, on behalf of the company. Notary Public ANDERSON BUILDERS, INC. By Its ___________________________ STATE OF MINNESOTA ) ) SS. COUNTY OF __________ ) The foregoing instrument was acknowledged before me this _____ day of __________, 2003 by _____________________, the ___________ of Anderson Builders, Inc. a Minnesota corporation, on behalf of the corporation. Notary Public SCHEDULE A REDEVELOPMENT PROPERTY That part of Lot 1, Block 7, Oak Park Village, according to the recorded plat thereof, Hennepin County, Minnesota, described as follows: ____________________________ St. Louis Park City Council Agenda Item: 120103 - 4h - Resolution support SW LRT Study Page 1 of 2 4h. Motion to approve resolution supporting the continued study of the Southwest Corridor for light rail transit. Background: Hennepin County Regional Railroad Authority, owner of the Southwest Corridor in St. Louis Park, recently completed a feasibility study of the corridor for rail transit between Minneapolis and Eden Prairie called the Southwest Rail Transit Study. On December 2, 2003, the Hennepin County Board will hold a public hearing prior to formal action where they will consider the recommendations of the Policy Advisory Committee (PAC) for the study. Councilmembers Brimeyer and Sanger served on the PAC for the Study. The Policy Advisory Committee recommended that Hennepin County Regional Railroad Authority continue to study four optional alignments. All alignments would use the Kenilworth Corridor and Southwest Corridor through Minneapolis and St. Louis Park. The four alternative alignments address connections between Hopkins, Minnetonka and Eden Prairie. The PAC also recommended that connections to the Midtown Greenway Corridor also be addressed. Representatives from Hennepin County, including Commissioner Dorfman, presented the study results to the City Council at a study session on September 8, 2003. Attached is a copy of the executive summary of the Study. The full Study is available in Community Development or on line at http://www.co.hennepin.mn.us/tcw/Southwest/swhome.htm Recommendation: Staff recommends adoption of the attached resolution. Attachments: Resolution Executive Summary, Southwest Rail Transit Study (supplement) Prepared by: Judie Erickson, Planning Coordination (Member Technical Advisory Committee for Study) Approved by: Charles W. Meyer, City Manager St. Louis Park City Council Agenda Item: 120103 - 4h - Resolution support SW LRT Study Page 2 of 2 RESOLUTION NO. 03-179 RESOLUTION RECOMMENDING CONTINUED STUDY OF LIGHT RAIL TRANSIT ON THE SOUTHWEST CORRIDOR IN ST. LOUIS PARK. ** WHEREAS, the Southwest Corridor, owned by Hennepin County Regional Railroad Authority, traverses the City of St. Louis Park, and WHEREAS, Hennepin County Regional Railroad Authority has completed a feasibility study for rail transit on the Southwest Corridor between the multi-modal station in Minneapolis and Eden Prairie, and WHEREAS, the Policy Advisory Committee for the Southwest Rail Transit Study recommended continued study for four alternative routes, all located on the Southwest Corridor within St. Louis Park, and WHEREAS, the Southwest Rail Transit Study indicates that development of rail transit on the Southwest Corridor will improve mobility, improve travel choice, provide a service to residents and businesses, and promote economic development, and WHEREAS, the Study also found that the cost of development of the Corridor is well within the range of other federally funded projects, and WHEREAS, the Study has identified three transit station locations in St. Louis Park that would provide service to significant populations of residents and workers. NOW THEREFORE BE IT RESOLVED, by the City Council that the City of St. Louis Park supports the recommendation of the Policy Advisory Committee for the continued study of this corridor for light rail transit, that the next phase of study should address a rail transit connection along the Midtown Greenway Corridor, and that issues related to existing heavy rail also should be resolved. Reviewed for Administration: Adopted by the City Council December 1, 2003 City Manager Mayor Attest: City Clerk St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 1 of 39 6a. Public Hearing on the 2004 Budget and Property Tax Levy This Public Hearing is to review the 2004 budget and property tax levy Recommended Action: Mayor to close the Public Hearing Background: Each year, under Truth in Taxation regulations, the City is required to hold a Public Hearing to review and discuss the annual budget and property tax levy. On September 2, 2003 City Council approved the preliminary 2004 budget, property tax levy, and HRA levy. The City is proposing to levy the maximum amount allowed under levy limitations. Formal adoption of the 2004 budget, property tax levy, and HRA levy is scheduled for December 15, 2003. Recommendation: There is no action required at this meeting. The meeting is intended to provide information to the public about the budget and property tax levy as well as to receive comments and input from the public. Attachments: Summary of 2004 budget Prepared By: Jean D. McGann, Director of Finance Approved By: Charles W. Meyer St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 2 of 39 December 1, 2003 Honorable Mayor and Members of the City Council City of St. Louis Park St. Louis Park, Minnesota Dear Mayor and Council Members: I am pleased to forward the 2004 budget along with revisions to the 2003 budget. Each year the City determines what the guiding principals should be when preparing the budget. For the 2004 budget, the guiding principals are as follows. • All loss in state aid should be considered permanent • Proposals to cut costs or raise revenues must be real and sustainable • Proposals would not be made for the purpose of engendering community ire due to state aid cuts • All recommendations will preserve the vision, mission, and values • Employees are to be treated with respect, dignity, and compassion even though reductions in staffing are required • Workers Compensation would no longer be self-insured and new premium costs would generate approximately $300,000 in additional expenditures City Council and Staff have been working on the preparation of the 2004 and 2003 revised budgets since February of this year. The budget compilation has been extremely difficult this year given cuts enacted by the State of Minnesota. Listed below is an overview of what has occurred during this budget process. • February 2003 – April 2003; City Staff begins to evaluate and compile a budget reduction recommendation for Council St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 3 of 39 • April 21, 2003, Council reviewed budget reduction package prepared by staff. The total reduction package identified $3,342,580 of either expenditure reductions or revenue increases. • May 2003, City notified that 100% or approximately $2,100,000 of Local Government Aid will be lost in 2004. Of that amount, approximately $1,500,000 would be lost in 2003. Of the total lost Local Government Aid, the City has the ability to levy back for 60%, or approximately $1,200,000 • June 9, 2003, Council reviewed budget restoration package prepared by staff. The restoration package identified $1,430,000 of increased expenditures or reduced revenues. • July 28, 2003, Council reviewed the status of the proposed 2004 budget and General Fund reserves. • September 2, 2003, Council adopted preliminary 2004 property tax and HRA levy. Legislative changes have been significant for taxes payable 2003 and 2004. For taxes payable 2003, a reduction in Local Government Aid has forced the City to reduce the Adopted 2003 budget to account for this loss. For taxes payable 2004, the complete elimination of Local Government Aid will be experienced. The City has elected to levy for 60% of the lost Local Government Aid in 2004. This is the maximum amount allowed by statute. The schedule for the initial presentation of the budget followed the same format as in past years. Council approved the preliminary budget on September 2, 2003. A Public Hearing on the 2004 Budget was held on December 1, 2003. This Public Hearing was required under the Truth in Taxation regulations. The final resolution approving the 2004 levy and budget is scheduled for December 15, 2003, at the regular City Council meeting. In order to gain an understanding as to how this budget was developed, an overview of revenue enhancements, expenditure/service reductions, staff reductions, use of reserves, the 2004 and Revised 2003 budgets needs to be given. In addition, an overview of other funds included in the budget will be reviewed. Property Taxes: For 2004, levy limitations remain in place. However, due to the elimination of Local Government Aid, the City is allowed to levy back for 60% of the loss. At this time, the City is intending to levy the maximum amount allowed. There are two other components to the property tax levy. The first component is the levy for debt service. This levy is considered to be outside of levy limitations. For 2004, the debt levy is $838,100. In addition, the City is planning to do an HRA levy. This levy is based on a percentage of taxable market value in the City. The City has done this levy for the past three years. The impact to a residential homeowner will vary based on the taxable market value of their property as well as the taxable market value increase from 2003 to 2004. When comparing property taxes from 2003 to 2004, if taxable market value remained stable, an average home in St. Louis Park would see approximately $30 increase to their property tax bill. The average increase in value for 2004 is 10%. Given that, the average home could see an increase of St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 4 of 39 approximately $100 to $118 annual increase. Increases are also subject to the amount of Market Value Homestead Credit that is applicable to an individual property. The Credit is based on a declining scale and is eliminated when a home reached a value of $413,000. Revenue Enhancements and Expenditure/Service Reductions: Due to the loss of Local Government Aid in both 2003 and 2004, revenue enhancements as well as significant reductions of expenditures and services are proposed. The following summaries indicate program and service areas being reduced as well as areas that were originally going to be reduced or eliminated, and eventually reinstated. St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 5 of 39 Line item reductions Personnel and overtime reductions Municipal Code contract maintenance 4,200$ Deputy City Manager 73,000$ City School calendar contribution 7,000 Community Development Intern 18,730 Non-profit organization contributions 80,000 Finance (1 FTE)60,300 Line item appropriations - all divisons (includes professional services, training, supplies, and other consulting services)191,800 Human Resource Secretary 48,481 Employee recognition dinner 8,000 Information Technology support staff (1 FTE)45,000 Legal - lobbiest contract 25,000 Community Outreach intern 15,000 Cracksealing/chipsealing (now part of Pavement Management Program)80,200 Fire department overtime reduction 10,000 Street and sidewalk maintenance 67,000 Police clerical employee 22,000 Snow removal (change in program)16,800 Police Services Liaison 59,000 School Grant (Cable TV)25,000 Police temporary employees 5,000 Trees (arbotec and boulevard contracts)41,000 Police overtime 10,000 Chemical spraying at Parks 12,000 Facilities Maintenance - overtime reduction 5,200 Goose control 3,000 Environment Health Intern 10,000 Ice rinks (outdoor)13,500 Enginerring Technician 67,400 Subtotal 574,500$ Enginnerring Survey Aide 41,500 Assistant City Engineer 7,800 Revenue Enhancements Public Works Maintenance 52,350 Rent - EDA and Housing Authority 40,000$ Public Works seasonal help 12,000 Community Development fee increases 22,000 Forestry (trees) 2 FTE's 100,000 Administrative fees - Community Development Bloc 30,000 Uniform allowance (all divisions)16,000 Reallocation of Private Activity Revenue Bond Adm 74,000 Subtotal 678,761$ Fire services - charge for personal injury accidents 25,000 License and permit fee increases 71,000 Overhead Charges (based on fee study) Rent - Enterprise Funds 30,000 Enterprise Funds 370,096$ Park and Recreation program fees 147,000 Subtotal 439,000$ Revenue re-allocation Cable TV 80,000$ Police and Fire Pension (dispatch, equipment, training, and supplies)628,000$ Total expenditure and service reductions, revenue enhancements, and other 2,770,357$ Workers compensation (switching to fully insured plan)(330,000)$ Levy back 60% of aid 1,283,258 Allocation for 2004 wage and benefit increase (500,000) Inflationery increases (174,868) Local Government Aid loss (2,138,763) 2004 budget reductions to be implemented 1-1-2005 (156,984) Re-allocation of Market Value Homestead Credit (753,000) 3,721,763 (3,721,763) Expenditure and Service Reductions - Budget Year 2004 Summary of 2004 budget reduction issues Restorations: On April 21, 2003, the Council reviewed and discussed a budget deficit reduction proposal. This package assumed the worst case scenario in that 100% of state aid would be lost and that there would be no ability to levy back. Since that time, the City has been notified of the exact amount St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 6 of 39 of aid to be lost and that it is possible to levy back for up to 60% of the loss. Due to this, Council approved a budget add-back plan. The items restored to the budget are indicated below. Personnel Administrative Secretary 24,472$ Finance 1 FTE 43,287 Fire Fighter 75,000 Envir. Health Inspector (.5 FTE)35,000 Dispatch position 33,000 Equipment Maintenance position 56,000 Subtotal 266,759$ Line items Code Maintenance contract (partial)4,200$ City/School Calendar (partial)3,000 Housing Authority inspections 7,500 Community Dev. Salary reallocation 45,644 Use of HRA levy for admin costs 100,000 Charging for curb/alley/sidewalk repairs/maintenance 116,500 Street and Traffic light utility 400,000 N. Hennepin Medication services 4,000 Subtotal 680,844$ Total restorations 947,603$ 2004 Budget restorations Use of Reserves: Both the 2003 Revised Budget and 2004 Proposed Budget will require using reserves in order to balance the budgets. The 2003 Revised budget requires use of reserves due to loss of Local Government Aid. Unfortunately, the City did not know the loss of aid at the time the 2003 budget was adopted. 2003 Revised Budget; Significant reductions in expenditures have been projected for the 2003 revised budget. These reductions include reducing line item expenditures as well as the impact of the Early Retirement Incentive Program. Because of these actions, reserves in the amount of $689,898 will be needed. The total Local Government Aid loss in 2003 is $1,550,774. 2004 Proposed Budget; The use of reserves is also required for 2004. Due to the nature of the budget reductions proposed, not all recommendations can be implemented before the end of the 2003. Therefore, those budget reductions not implemented by the end of 2003 will be implemented during 2004. By the end of 2004, all budget reductions will be implemented. The 2004 budget will require using $82,984 of reserves. St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 7 of 39 2004 Proposed Budget: Given the significant aid loss and the decision to try to position the City to be self-sufficient, without relying on state aid has required a tremendous effort on the part of both Council and Staff. The document summarized below is the result of these efforts. General Fund Definition; The City of St. Louis Park Home Rule Charter provides in Section 6.12(a) that there shall be "A General Fund for the payment of such expenses of the City as the Council may deem proper. Into this fund shall be paid all money not provided herein or by statute to be paid into any other fund." The General Fund was established to account for all revenues and expenditures not required to be accounted for in other funds. It has more diverse revenue sources than other funds, including property taxes, licenses, permits, fines and forfeits, intergovernmental, service charges, rents, and investment interest earnings. The Fund's resources finance a wide range of functions including current operations of general government, public safety, public works, and general service expenditures. General Fund Overview; The 2004 General Fund budgeted revenues shows a decrease over the 2003 Adopted budget of approximately 2.5%. This decrease in revenue is due primarily to the loss of Local Government Aid. The 2004 revenue budget anticipates levying for 60% of the lost Local Government Aid. The aid loss is approximately $2.1M and the City is projecting an increase in the property tax levy of $1.2M. The Council has also approved fee increases based on a study conducted by the Finance Department and a consultant. Each individual division within the General Fund was impacted differently with the budget reductions. The summary below outlines the General Fund Revenue and Expenditures for past years as well as the current and proposed budget years. Following this summary, a short narrative of each division budget is given. St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 8 of 39 2001 2002 2004 Actual Actual Adopted Revised Adopted Revenues: General Property Taxes 7,805,550$ 10,863,685$ 11,239,599$ 11,234,235$ 12,002,318$ Licenses and Permits 2,011,051 2,140,905 2,231,550 1,145,114 1,991,464 Intergovernmental 5,813,004 3,392,609 3,965,027 3,269,892 1,671,912 Charges for Services 826,751 871,535 805,339 869,810 1,033,235 Fines, Forfeits, and Penalties 296,336 277,812 295,000 298,000 298,000 Investment Earnings 236,710 202,056 200,000 150,060 146,803 Miscellaneous Revenue 53,957 81,690 63,500 73,400 119,500 Transfers In 952,198 938,923 1,307,433 1,389,064 2,348,654 Total Revenues 17,995,557$ 18,769,215$ 20,107,448$ 18,429,575$ 19,611,886$ Expenditures: General Government: Legislative 130,201$ 123,697$ 99,900$ 92,681$ 93,853$ Administration 318,647 323,684 489,177 719,669 653,409 Human Resources 451,889 434,842 495,245 461,792 444,184 Communications & Marketing 151,541 159,349 184,341 171,092 182,636 Community Outreach 80,394 87,853 127,528 112,051 116,941 City Clerk/Elections 74,500 138,057 - - - Technology & Support Services 982,198 1,131,495 1,169,123 1,155,806 1,197,031 Finance 881,994 963,755 993,502 952,597 926,993 Legal 283,340 254,147 305,000 - - Community Development 772,908 800,038 929,512 911,660 953,140 Facilities Maintenance 818,921 745,168 894,253 812,298 877,299 Subtotal 4,946,533$ 5,162,085$ 5,687,581$ 5,389,646$ 5,445,486$ Public Safety: Police 5,268,739$ 5,564,093 6,122,842 5,945,076 6,193,338 Fire Protection 2,175,876 2,127,240 2,623,160 2,383,522 2,517,611 Inspectional Services 1,211,127 1,394,908 1,467,578 1,455,102 1,516,860 Subtotal 8,655,742$ 9,086,241$ 10,213,580$ 9,783,700$ 10,227,809$ Department of Public Works: Administration 568,079$ 699,221 700,683 687,209 730,559 Engineering 724,034 713,631 749,903 677,405 695,696 Operations 2,118,094 2,072,477 2,690,734 2,576,185 2,501,381 Subtotal 3,410,207$ 3,485,329$ 4,141,320$ 3,940,799$ 3,927,636$ Non-Departmental: General Services/Contingency -$ 2,102 64,967 - 30,000 Transfer Out 135,818 200,000 - 5,328 63,939 Subtotal 135,818$ 202,102$ 64,967$ 5,328$ 93,939$ Total Expenditures 17,148,300$ 17,935,757$ 20,107,448$ 19,119,473$ 19,694,870$ Revenue over (under) Expendit 847,257$ 833,458$ -$ (689,898)$ (82,984)$ Required use of Reserves 689,898$ 82,984$ 2003 Budget St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 9 of 39 General Fund Expenditures: Each Division of the General Fund is part of a larger Department. The following information is separated by Department with the specific Division information listed related to the 2004 budget. Administration The Administration Department is comprised of several divisions including the City Manager, City Clerk, Communications and Marketing, Community Outreach, Legislative, and Human Resources Divisions. The department provides administrative support and service to City departments and to external customers. Department personnel share the city’s core values of respect, stewardship, and contribution. Practical demonstration of those values is central to all operations carried out in the department. City Manager/City Clerk’s office; The City Manager is the chief administrative officer of the City and directs administration of the City’s affairs, subject to regulations adopted by the City Council. It is the City Manager’s responsibility to enforce the City Charter, ordinances, and resolutions of the City. Duties also include keeping the council fully advised of the financial condition and the needs of the City, preparing and submitting the annual budget to the Council and recommending measures to the Council deemed necessary. The office provides general administrative services to ensure Council policies and directives are carried out. The office also serves as liaison between the Council, advisory boards and commissions, staff, attorneys' offices, other levels of government, the media and the public. This Division also administers the City's elections and official record function. Official records responsibilities include oversight of City Council agendas, minutes, resolutions and ordinances; the municipal code; recording of contracts and bids; and certifications. The office also publishes legal notices and acts as a communications link between government and citizens by providing public access to government information, records and processes. Fluctuation in total expenditures from year to year is due to the on-going reorganization of divisions within the city and changes to budget reporting methods. The increase shown in the 2003 budget represents the merging of the City Manager and City Clerk’s Office budgets. The reduction in 2003 revised and 2004 proposed is due to a combination of budget cuts and the elimination of the Deputy City Manger position. Communications and Marketing: The Communications/Marketing office disseminates information to enable residents to take full advantage of City services, promote compliance with ordinances, foster understanding of issues facing the community, and promote the desirability of living and doing business in St. Louis Park. To accomplish this mission, the office publishes a resident newsletter, an employee newsletter, and a Community Handbook. It also posts a web site, prepares materials for new resident packets, issues news releases, assists with the School/City Calendar, and helps coordinate and publicize an annual Remodeling Fair. In addition, staff prepares materials for other departments, including the Parks and Recreation program guide, the business newsletter, St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 10 of 39 the rental coalition newsletter, the Water Quality Report, ward maps, concert schedules, and publications outlining the RV ordinance, environmental issues, winter parking rules, garbage collection, and other topics. The 2003 revised Communications/Marketing budget reflects a reduction from the adopted 2003 budget. Rather than continuing to split the cost of the School/City Calendar in half, the City is reducing its contribution from approximately $10,000 to $3,000. The proposed 2004 budget carries the School/City Calendar budget reduction forward. Reflecting the fact that Vision St. Louis Park initiative will not need to publish a community report in 2003; this line item has also been removed from the revised 2003 budget. Both the 2003 and 2004 budgets reflect the need to publish a new Community Handbook. (Printing would occur in December of 2003 and mailing would occur in January of 2004.) The handbook is our residents’ “owner’s manual” and provides information on snowplowing, garbage collection, permit requirements, voting and local resources. The handbook was last published two years ago and supplies will be gone at year’s end. A new handbook is needed because significant changes have been made in the requirements governing winter parking and garbage collection. Community Outreach; This division promotes diversity awareness, supports neighborhood groups, and fosters volunteerism, community involvement and pride. It accomplishes this mission by educating residents at community meetings and events, assisting the Human Rights Commission and neighborhood associations, printing neighborhood newsletters, and providing support to community groups and volunteers. Expenses are relatively low for Community Outreach yet the impact of Community Outreach efforts is high. This budget covers the Community Outreach Coordinator’s salary and expenditures, the City’s portion of the City/School volunteer coordinator’s salary, mediation contract services and expenses for the Human Rights Commission. Neighborhood grant funds, which are administered by Community Outreach, are included in the Housing Rehabilitation Fund budget. As part of the budget reduction, the allocation for the Neighborhood Grant Program was reduced by 50%. This action results in an overall reduction of the 2004 budget when compared to the 2003 Adopted budget of 9%. With the exception of the City/School volunteer coordinator’s salary, a transfer from the Housing Rehabilitation Fund funds this division. Legislative; this budget reflects activities of the City Council. The Council is responsible for formulating policy and enacting legislation to maintain and promote the safety and welfare of the community. The Council operates under the following mission statement: "As stewards of the public trust, the City of St. Louis Park provides high quality municipal services to ensure a safe, caring and vital community both today and in the future." The Council has adopted “Vision St. Louis Park” as one of it’s guiding principles and seeks to ensure that vision tenets are incorporated into City policy, budget documents and departmental work plans. St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 11 of 39 The 2004 budget has been reduced by approximately 6% when compared to the 2003 Adopted Budget. Human Resources; The mission of this division is to provide quality services to current and potential employees. Services are provided in the areas of: • Organizational development, employee development, training, facilitation process and coaching • Recruitment and selection • Payroll, compensation, benefits, workers compensation • Labor relations, negotiations, grievance and arbitration • Employee relations, recognition and communication • Policy and program development and implementation • Handling employment mandates including FMLA, ADA, Pay Equity, DOT testing, Veterans Preference, etc. The City workforce includes non-organized and organized employee groups, paid-on-call firefighters, temporary, and seasonal employees. The 2004 budget reflects an 11% decrease from the Adopted 2003 budget. The reduced budget in 2004 is due to eliminating one Full time Clerical position, the Employee Recognition Dinner and various line item cuts. Technology and Support Services: The Department of Technology and Support Services was created in 2003 by combining Cable TV (Special Revenue Fund), Technology Replacement, and Information Technologies. This new department also includes a third division, Support Services, which is composed of office services/receptionist staff from Information Technologies. Technology and Support Services focuses on installation and maintenance of a variety of technologies, as well as on improved efficiency and effectiveness of City service delivery, the re-engineering of work flows to meet evolving business needs, and the support of decision-making processes throughout the City. This is accomplished by keeping a pulse on community needs and helping to address those needs through communicating with service users and citizens, the allocation of scarce resources, and fostering both standard and innovative uses of information. Technology and Support Services; The primary areas of activity include; • PC and local area network technical support and maintenance • Technical management of the City’s internet e-mail and web site • Full management of the City’s Intranet fall under IT • City Hall reception • Management of paper and imaged records • Self-service centers • Copying services • Distribution of in-coming, inter-office, and out-going mail, including services to remote City buildings St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 12 of 39 Computer applications services are provided in tandem with LOGIS (Local Government Information Systems), a 24-agency computing consortium formed through a joint powers agreement in 1972. Council approved two new staffing positions in 2003. First, a full-time GIS / IT Technician to assist with current repair backlog, preventive maintenance activities, application development, and support for Geographic Information Systems (GIS). The recruitment process for this position is currently underway. The second position is the Director of Technology and Support Services. This position is designed to provide overall strategic direction, manages the department, and provides technical assistance along with the limited number of staff. This position did not result in increasing the number of employees but rather a transfer of resources from the City Manager’s office to Technology and Support Services. Due to the 2004 budget reduction process, 1 FTE will be eliminated by the end of 2004. Cable TV: This division is a Special Revenue Fund. Further discussion of this division will occur later in this narrative. Technology Replacement; This division is an Internal Service Fund. Further discussion of this division will occur later in this narrative. Finance: The Finance Department is comprised of two divisions: Accounting and Assessing. Both divisions rely on the other to ensure service is provided to the Community and internal departments. Although each division is unique, many of the functions overlap. Accounting: The mission of the Accounting division is to ensure the short and long-term financial stability of the City through the development of sound financial policies and practices. Accounting is responsible for maintaining financial records and investments for the City and Economic Development Authority. The division also provides assistance to all city departments and divisions in daily operations. In addition, a contract to provide financial services to the Housing Authority in place. Assessing; This division is responsible for the annual valuation and litigation of 15,000 parcels of real estate. The City, Hennepin County, and special taxing districts use the valuation calculations for property taxes, administration of special assessments, and the acquisition/classification of right-of-way. Additional responsibilities include administration of real estate classification and maintenance/operation of the Property Data System. The Finance Department 2004 budget, when compared to the 2003 Adopted budget is showing a reduction of 5.3%. This reduction is due to the elimination of one FTE by the end of 2004 and the reduction of many line item expenditures. St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 13 of 39 Community Development: Community Development encompasses activities associated with Planning and Zoning, Housing, and Economic Development. These activities require interaction and staff support to the City Council, Planning Commission, Board of Zoning Appeals, Housing Authority, Economic Development Authority, Special Task Forces and the Multi-Family Housing Coalition, to name a few. Services provided include administration of the Zoning, Subdivision Ordinance and Comprehensive Plan, administration of housing programs, and facilitation of economic development and redevelopment initiatives. Planning and Zoning; Due to the budget cutbacks being employed organization wide, a number of reductions were made to this budget. These included cuts in the areas of training, equipment and supplies, use of consultants, elimination of an intern position and a significant reduction in the City's allocation to STEP from $35,000 in 2003 to $22,500 for 2004. Housing and Economic Development; Further discussion of theses divisions will occur later in this narrative. Police: The mission of the police department is to provide citizens with quality service, professional conduct, and a safe environment in which to live, work and learn. The police department responds to emergencies and investigates crime and disorder in the community. In addition, the department works with the community to develop strategies for the prevention of crime and disorder and the promotion of quality of life in our neighborhoods. For 2004, the Police Department has made reductions in expenditures as well as re-directed some expenditure to the Pension Fund. Every effort has been made to ensure the community does not experience significant service impacts; however, there will be some service reductions. Beginning in 2004, the Pension Fund will support public safety dispatch. The Pension Fund will continue to support the dispatch function on an interim basis while consolidation options are considered. Public Safety Dispatch is the responsibility of both the Police and Fire Departments. Therefore, the appropriate allocation of dispatch costs will be provided from the Pension balances. The Police Department currently provides dispatching services for the City of Golden Valley. The terms of the contract indicate that Golden Valley is responsible for 36% of the total dispatching budget. For 2004, the amount that the Police Pension Fund will be providing is $268,000. St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 14 of 39 Fire: The St. Louis Park Fire Department is committed through effective emergency management to preventing and minimizing the loss of life and property with cooperative delivery of the highest quality, and efficient emergency fire and rescue service, emergency medical service, hazardous material emergency response, fire prevention, and public education services to the residents in and visitors to St. Louis Park. The department responded to 3,665 calls in 2002. Although a slight increase in total calls from 2002 we are continuing to see a decline in major fires and emergency medical services calls (EMS). EMS currently accounts for 61% of all Fire Department calls. The Fire Department continues a decade long commitment to community stewardship that has led the budget increases to be substantially under the inflation rate. $218,700 of the 2003 budget is the result of the Department successfully applying for and receiving a Federal Fire Fund Grant. This grant allowed the purchase of all new Self Contained Breathing Apparatus (replacing forty year old technology with new modern equipment), three thermo image cameras, and a new breathing air compressor system. The Department has again been successful in 2003 in obtaining another Fire Fund Grant, this time for $77,000. This grant will be used to update Department computer technology to better integrate fire prevention activities into the City data collection system. Both grants require a 10% matching payment from the grant recipient. The grant match will be provided from the Pension Fund. In addition, for the first time we are able to project revenues brought in by permit fees for sprinkler system installations. These revenues are estimated to be approximately $72,000 for 2003. As part of the 2004 budget process, a program that will allow the Department to start charging fees for personal injury accidents, industrial training, and specialized responses will be put in place. We anticipate these fees will generate another $25,000 in revenues. In addition, beginning in 2004, the Fire Department will be funding $132,000 of Dispatch operations from the Pension fund. Inspections: The Inspection Department provides education, issuance of permits, and enforcement of codes to benefit the health, safety and vitality of the community. Some of the various codes administered to accomplish this mission include Minnesota State Building Codes, Minnesota Food and Environmental Codes, and City Property Maintenance, Nuisance and Zoning Codes. In addition, the Department also issues licenses for operation of regulated commercial businesses, apartment buildings, and selected contractors. Annual inspections of licensed facilities are conducted to maintain minimum standards. Maintenance of the City’s residential and commercial properties is being enhanced with proactive identification of substandard buildings in addition to the time of sale inspection program, intended to correct deteriorating and hazardous conditions in all of the City buildings. St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 15 of 39 A significant peak in the construction of large projects with high valuation has occurred during the last three years. Indications are the city will be returning to more sustainable level of construction activity during 2004. Economic and construction activity fluctuations will affect permit revenue for 2004 and future years. The 2004 budget has considered these fluctuations and reduced budgeted revenue numbers accordingly. Expenditures for inspection services typically continue into the following years as building construction continues long after the permits were issued and revenues were received. Based on the fee study conducted in 2003, several fees have been adjusted for 2004 to accurately reflect the actual and complete cost of providing full inspection services. This process of reviewing the remaining permit and all license fees will continue to occur on an annual basis. The relationship between revenue and service costs must be evaluated over a period of several years to accurately account for significant construction fluctuations. To contain cost and as a result of increased efficiencies, the part time Electrical inspector and summer Environmental Health intern positions have been eliminated. Public Works: The Department of Public Works provides services in many different areas. Within the General Fund, there are the divisions of Facilities Maintenance, Administration, Engineering, and Operations. In addition, the Department of Public Works is responsible for; Special Service Districts, Municipal Service Center, Equipment Replacement, Municipal Building Fund, all Enterprise Funds (water, sanitary sewer, solid waste, and storm water utility), as well as the monitoring and construction of Capital Projects throughout the City. General Fund divisions will be discussed in this section, while other funds will be discussed later in this narrative. Facilities Maintenance; The Facilities Maintenance Division is an internal support organization with operating responsibility for City Hall, Police Station, Fire Stations 1 & 2, Westwood Nature Center, the Municipal Service Center, and specific equipment functions. This division coordinates long-term capital improvements to these sites. The division assists other City departments in the areas of property management, residential/commercial demolitions, and coordination of the City’s participation in the Hennepin County Sentence-To-Serve (S.T.S.) program. This Division also provides fee-based management and maintenance services to the Special Service Districts. The 2003 revised budget is down 10% from the 2003 Adopted budget due to reforesting of energy costs and reductions in specific programs and services. The 2004 budget is down from the 2003 adopted budget by 1.9 % as the Division continues to address ways of cutting costs while continuing to maintain a high level of service. Public Works Administration; The Public Works Administrative group is designed to provide administrative support for the Public Works divisions: Engineering, Operations, Utilities, and St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 16 of 39 Facilities Maintenance. This division also manages the Solid Waste program and Special Service Districts. The focus in 2004 continues to be on developing and implementing systems to track and manage city infrastructure assets, such as streets, water, and sewer systems. These systems will be critical in monitoring our programs. Another major initiative in 2004 will be the implementation of a Pavement Management System, in which the administrative group will play a major role. The administrative group coordinates data collection efforts for the management systems. Increased mapping capabilities are providing new ways to organize large amounts of data and better inform decision-makers. Personnel expenses dominate this budget, making up 94% of the total. Increases in costs in 2004 result in a 3.6% increase when compared to 2003 adopted budget. A portion of this funding in 2004 is for temporary administrative assistance to support data collection efforts for the management systems. A substantial portion of the funding for this budget comes from transfers from the Water, Sewer, Storm Water, and Solid Waste Enterprise Funds. Engineering; The Engineering Division of the Department of Public Works primarily provides support services for the Water, Sewer, Street and Traffic Divisions, Community Development, and Parks & Recreation Departments. Division activities focus on implementing long-term capital improvements to the city’s infrastructure from concept through construction including inspections, studies, analysis, surveys, design, public involvement, construction inspection and administration. Division staff perform bridge inspections, process and analyze traffic requests, conduct traffic studies, provide input on proposed developments, and oversee the implementation of the City’s Comprehensive Water Resource Management Plan (CWRMP). The division selects and manages consultants as needed to provide services for the City. The division provides input and coordination with other municipalities, Hennepin County, and the State on various transportation-related issues and projects within or affecting the City. The 2004 proposed budget is decreased from 2003 adopted by 7.1%. The decreases are due to the reduction of staff. Public Works is also anticipating $29,000 increased revenue from permit fees. Operations; This Division has a mission to ensure the safety of the traveling public and to provide for a safe, functional transportation system within St. Louis Park. The Division is responsible for providing timely response to citizen requests, providing data for short and long range planning to aid City Council and staff in making sound policy and procedural decisions, and co-operating with other branches of city government so as to maximize service delivery to the public. A computerized asset management system will be utilized by the division this year to assist in the management of the transportation system facilities. Consistent with the Vision St. Louis Park, the division is striving to provide necessary accommodations to the public for transportation needs such as sidewalks, trails, and a safe transportation system. In order to achieve the goal of responsive government, the division is working with employees and residents to provide effective, quality services. St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 17 of 39 The revised 2003 budget decreased from the adopted budget appropriations due primarily to decreases in services and other charges. The 2004 proposed budget decreases from the 2003 adopted appropriation due to a position elimination; service and equipment reductions; and the implementation of service charges and assessments. Special Revenue Fund Definition Special Revenue Funds are established to account for revenues derived from taxes and other specific revenue sources. These resources are restricted by statute, City Charter, or ordinance to finance specific City functions or activities. The City maintains eight Special Revenue Funds. Each of these funds is maintained for a specific purpose. Each Fund is described in detail below. Parks and Recreation: The Parks and Recreation Department consists of five operating divisions; Organized Recreation, Recreation Center, Environment, Park Maintenance, and Westwood Hills Environmental Education Center (WHEEC). Vision St. Louis Park has been a major force in providing direction for Parks and Recreation services. We continue to place children first in our community by providing year-round recreational activities as well as volunteer opportunities for youth in our community. This Department will be completing five main projects in 2003: • Purchase of skate park ramps and other equipment for the development of a skate park • Replacement of roof over the west arena in the Recreation Center • Replacement of playground equipment in four parks • Installation of ball field lights on Skippy Field at Carpenter Park in 2003 • Trail and landscape improvements at Shelard Park. In 2004, the following initiatives are proposed: • Wolfe Park Amphitheater concert series on Wednesday and Sunday • Park Improvements at Oak Hill Park (shelter building for skating, picnic shelter, reconstruct parking lots and trails, replace old wading pool with new water feature, resurface basketball court) • Playground equipment at Rotary Northside park, Sunshine Park, and Edgebrook park • Reconstruct portions of Bass Lake Trail • Penny Carnival • Halloween Parties at Westwood Nature Center and Recreation Center St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 18 of 39 Revenue 2001 2002 2003 Budget 2004 Classification Actual Actual Adopted Revised Proposed General Property Taxes 1,923,309$ 2,671,892$ 2,789,991$ 2,789,911$ 2,555,824$ Intergovernmental 641,354 44,702 44,702 44,702 44,702 Charges for Services 1,642,363 970,688 1,839,160 1,686,742 1,820,804 Special Assessments (1,603) 7,579 - - - Miscellaneous 156,304 744,733 30,855 31,295 91,040 Total Revenues 4,361,727 4,439,594 4,704,708 4,552,650 4,512,370 Expenditure 2001 2002 2003 Budget 2004 Classification Actual Actual Adopted Revised Proposed Organized Recreation 1,147,815$ 1,027,278$ 1,184,651$ 1,108,994$ 1,106,054$ Recreation Center 1,177,567 1,320,513 1,380,673 1,327,277 1,343,769 Park Maintenance 1,646,711 1,471,811 1,497,382 1,400,035 1,442,080 WHEEC 339,003 344,347 407,142 408,690 415,670 Environment - 345,946 234,860 229,556 204,797 Total Expenditures 4,311,096 4,509,895 4,704,708 4,474,552 4,512,370 Revenue over (under)50,631$ (70,301)$ -$ 78,098$ -$ Organized Recreation; This division is responsible for providing recreation program opportunities for residents of all ages and abilities. Although many of our programs have user fees, the department offers fee assistance to children who can not afford to pay the full cost of the program. There are over 3,000 youth involved in our programs. The majority of our youth programs are instructional in nature. Our mission is to develop skills and have fun. In addition to youth sports and recreation programs, we offer several adult team sport programs. Our adult softball program has 195 teams. We also have an additional 177 teams signed up for basketball, volleyball, football and broomball. The 2004 Organized Recreation adopted budget includes the recreation programs we offer for youth and adults. Many of these programs are in response to requests from residents or recent trends in the area of Parks and Recreation. We will continue to expand our offerings for youth and family sports programs. In addition, a variety of school release day activities and trips will be planned to help working parents find alternative day care opportunities during the days when school is not in session. Recreation Center; Included in this division is the outdoor aquatic park, two indoor ice arenas, a concession stand, and two rooms within the Recreation Center which can be reserved. The Recreation Center provides a community-gathering place and offers wholesome family oriented activities while maximizing revenue opportunities and minimizing operational expenses. The continuing challenge facing staff will be to offer a variety of affordable services and programs, while operating the facility with the responsibility of repaying $160,000 per year towards the construction debt on the Recreation Center. The Aquatic Park continues to be a busy place during the summer where children and adults can have fun in the water. St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 19 of 39 Personnel Services and Utility costs are the major budget expenditures. As equipment upgrades are implemented, cost of operation from a utility standpoint will receive increased attention. A major emphasis will continue to be operating the Aquatic Park with efficient summer staff. Efficiencies in equipment operation costs are also being evaluated. Revenues will continue increasing as rental fees increase and demand for ice time remains strong. Park Maintenance; This Division maintains the parks and trees in the City. There are 52 park areas including the Westwood Hills Environmental Education Center. Within our parks, we maintain hockey rinks, ball fields, soccer fields, a water feature, a skate park, irrigation systems, and trails. In addition to a number of open spaces that we mow throughout the year, there are approximately 500 acres of city property that our maintenance crew maintains each year. The Park Maintenance division is also responsible for maintaining the buildings and shelters located in our parks. The 2004 budget includes the following; irrigation, overlaying basketball and trail areas, scenery work in parks, building outdoor ice rinks, mowing, ball field maintenance, playground inspection and repair, irrigation maintenance, and other routine maintenance items that occur in the parks. The maintenance items in the budget are routine in nature. All of the redevelopment of existing structures and new development initiatives are in the CIP. As part of the 2004 budget reductions, seasonal staff and overtime for full-time have been reduced. In addition, chemical spraying in Parks and other City owned property, and the number of ice rinks and warming houses will be reduced. Westwood Hills Nature Center; This Division is responsible for providing environmental education and natural history programming, passive outdoor enjoyment and wildlife observation on the 150 acre nature preserve. On average (past ten years) over 28,000 individuals per year participate in formal programs conducted by the naturalist staff or visit the interpretive center. Programs are offered for all ages and abilities not only at the nature center but also in other city park lands and outstate as well. Staff works closely with local school staff to design programs that support their educational outcomes and requirements. In an effort to increase revenues, staff is designing new daytime program opportunities for home schooled students as well as a outreach program to be taught in area schools, businesses, churches, etc. Staff is currently in the process of obtaining a hawk or owl from the Raptor Center that will be used for the majority of these outreach programs. Beginning in late 2003 and finalizing in May 2004 is the remodeling of Westwood Hills Nature Center. Improvements will include wheelchair accessible entrance and restrooms, energy efficient doors and windows, improved teaching areas, improved work areas, appropriate animal entrance area and low maintenance floor and wall coverings. Environment; This budget includes coordinating environmental and forestry issues in the City. The forestry portion of the budget provides tree planting and maintenance of 50,000 park and open space trees throughout the City. The City uses a proactive approach to it’s trees by St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 20 of 39 providing some assistance to residents who want to protect their elm trees and oak trees by injecting them with an fungicide injection that helps to prevent Dutch Elm disease and Oak Wilt. The environmental division provides emphasis on preserving the City's natural areas by assisting staff and residents with issues and concerns. This division is also responsible for planting and maintaining flowerbeds, wildlife management and environmental outreach. In addition, this division coordinates the forestation and reforestation programs, oversees turf and natural resource management, assists with the assessment of environmental impact resulting from proposed projects, assists in stormwater management, and develops various educational programs to educate the public on environmental issues. The 2004 budget projects turning back the boulevard trees to the residents and reducing the subsidy to the Arbotec Injection program. The City will subsidize the arbotect injection for elm and oak trees at a 40% level. If a boulevard tree becomes diseased or damaged by a storm, the City will subsidize the take down at a level of 50%. The impact of this, beyond the subsidy cost is the elimination of two full time positions. The other reduction for 2004 is the elimination of the goose subsidy for spraying private property along Minnehaha Creek. Cable Television: Cable Television is a division of Technology and Support Services. This division provides funding for various services, including cable franchise administration; Telecommunications Advisory Commission staff support; Community TV Channels 15 and 96; Civic Channel 17 production; and a grant for Educational Channel 14. Community TV Channels 15 and 96 benefit City residents, workers, and schools through the use of cable TV as personal and organizational communications. Civic TV Channel 17's mission is to produce programming about City services, civic events and local issues, provide coverage of public meetings, and assisting City departments with audio/video needs. These services are provided without using property taxes. The cable system operator pays franchise fees of 5% of the gross revenues collected in St. Louis Park for the use of the public right of way. Based on the fee study conducted in 2003, the annual transfer to the General Fund for administrative services in 2004 has been increased significantly. In addition, a one-time transfer of approximately $800,000 was made from the Cable Television fund balance to the Technology Replacement Fund to support technology replacement. St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 21 of 39 Revenue/Expenditure 2001 2002 2004 Classification Actual Actual Adopted Revised Budget Revenue Charges for Services 279,020$ 505,946$ 348,000$ 355,000$ 355,000$ Miscellaneous Revenue 44,269 38,332 28,000 5,000 5,000 Total Revenues 323,289 544,278 376,000 360,000 360,000 Fund Balance Jan 1 681,021 781,870 1,062,859 1,062,859 212,832 Total Available 1,004,310$ 1,326,148$ 1,438,859$ 1,422,859$ 572,832$ Expenditures Personal Services 107,724$ 126,559$ 132,560$ 132,560$ 136,759$ Supplies/Services 69,917 89,063 108,865 112,340 82,650 Capital Outlay - - 45,000 34,000 22,000 Transfers Out 44,799 47,667 54,674 931,127 130,976 Total Expenditures 222,440 263,289 341,099 1,210,027 372,385 Fund Balance Dec 31 781,870 1,062,859 1,097,760 212,832 200,447 Total Requirements 1,004,310$ 1,326,148$ 1,438,859$ 1,422,859$ 572,832$ Summary of Actual & Budgeted Revenues 2003 Budget Community Development Block Grant: The Community Development Block Grant (CDBG) program allows local governments to exercise greater control over the community development process and to promote more effective use of resources to eliminate urban deterioration. Funds are distributed according to a formula based on population, and other demographic and housing statistics. The City of St. Louis Park has been a participant in the CDBG program, formerly known as the Urban Hennepin County Community Development program since 1978. Funding of eligible community development activities requires that activities principally benefit low and moderate-income persons, prevent or eliminate slums and blight, or meet urgent needs. The timing for making decisions on the use of CDBG funds does not coincide with the City’s annual budget schedule. The Council adopts a resolution early each spring approving the appropriations for each grant year’s award. The grant year starts the following July 1 and the City has eighteen months in which to expend the grant monies awarded. The allocation of CDBG funds for 2004 will not be determined until spring of 2004. In a departure from previous years, a portion of the 2004 grant (approx. $31,980) will be utilized to reimburse the City for administrative salaries. In recent years, CDBG grant funds have been utilized primarily to fund capital improvements and contract costs. With the exception of personal services, expenditures for the 2004 estimated CDBG allocation are not broken down by individual agencies, but rather shown as a lump sum “to be allocated”. The 2003 revised budget amounts represent expenditures of CDBG funds in several areas. First, $94,000 was allocated to the City’s Single- family Rehab Deferred Loans for targeted properties and $29,722 was allocated for Single- family Rehab Deferred Loans/County Administered. In addition, $62,500 was set aside for undertaking improvements to a multi-family development in the community and $60,000 was set aside to fund the City’s Emergency Repair Program. St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 22 of 39 Revenue/Expenditure 2001 2002 2004 Classification Actual Actual Adopted Revised Budget Revenue Intergovernmental 117,652$ 312,600$ 265,000$ 246,222$ 241,969$ Miscellaneous 34,038 3 - - - Total Revenue 151,690 312,603 265,000 246,222 241,969 Fund Balance Jan 1 (73) 34,079 33,362 33,362 33,362 Total Available 151,617$ 346,682$ 298,362$ 279,584$ 275,331$ Expenditures Personal Services -$ 1,123$ 3,581$ 3,971$ 27,918$ Supplies/Services 85,491 234,799 261,419 242,251 214,182 Capital Outlay 32,047 77,398 - - - Total Expenditures 117,538 313,320 265,000 246,222 242,100 Fund Balance Dec 31 34,079 33,362 33,362 33,362 33,231 Total Requirements 151,617$ 346,682$ 298,362$ 279,584$ 275,331$ Summary of Actual & Budgeted Revenues 2003 Budget Special Service Districts: During the 1990's the State of MN passed legislation that allowed local jurisdictions to create Special Service Districts (SSD). The purpose of the SSD is to allow commercial business's in the area served by the SSD to assist in maintaining infrastructure improvements and thus maintain and promote the economic vitality of the area. The City of St. Louis Park currently has three such districts. The first was created in 1995 in order to maintain the area along Excelsior Boulevard from Trunk Highway 100 to Quentin Avenue, along Park Center Boulevard from Excelsior Boulevard to 26th street from Park Center Boulevard to east of Beltline Drive. The second district was established in 1998. This district is located along Excelsior Boulevard from France Avenue to Monterey Avenue. The third district was established in 2002. This district is located along Excelsior Boulevard from Monterey Avenue to Quentin Avenue. Each of these districts must be self-sustaining. The property owners in the district pay for the total cost of the district. Housing Rehabilitation: The Housing Rehabilitation fund receives the administrative bond fees on revenue bonds authorized by the City. The fee is 1/8 of 1% of the outstanding principal balance of the bonds. St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 23 of 39 In accordance with City Council policy established in 1996, monies received are to be used primarily for housing redevelopment and rehabilitation purposes. In order to segregate these funds from other general funds the City receives, a separate fund was established in 1993. Funds budgeted for 2004 housing rehab program activities are significantly less than those budgeted for 2003. Housing rehabilitation program activities in 2004 are $426,000 as compared to $704,168 in 2003. This budget reduction is due to impending completion of the Neighborhood Inspection /Rehab Pilot Program, the elimination of funding for the Crime Free Multi-family Collaboration, and reduced funding to both the Neighborhood Association Grant Program (NAGP) and Senior Community Services. The 2004 budget includes appropriations for various housing initiatives, including $200,000 to discount the single family rehab loan programs, $156,000 for the Home Renewal Rehab Program, $25,000 to continue the Neighborhood Inspections/Rehab Pilot Program, $20,000 to fund administrative costs associated with the establishment of Housing Improvement Area (HIA), $20,000 to fund the NAGP and a $5,000 fund contribution to Senior Community Services. All expenditures except those for NAGP and Senior Community Services will be funded through the Development Fund budget. Therefore, only the financing sources have changed but the programs remain intact. Expenditures relating to new programs or initiatives will be subject to specific City Council approval. Police and Fire Pension: The Police and Fire Pension Fund was established in 2000 based on Minnesota Laws 1999- Chapter 222 Omnibus Retirement Bill Consolidation Accounts Excess Funding Refund. This fund can only be used for Police and Fire purposes. Since the inception of the fund in 2000, only interest earnings have been expended. As we continue through 2003 and 2004, this trend will continue. Beginning in 2004, the Police and Fire Pension fund will pay for the Dispatch Division of the Police Department. This funding mechanism will continue until a resolution on the future of dispatching services is determined. In addition, this fund will continue to fund a portion of Technology and Support Services staff as well as the Police and Fire “fair share” of technology replacement. It is anticipated that approximately $2,625,000 will be expended in 2004 for the purchase of a new radio system. At the end of 2002, this fund had a fund balance of 8,567,529. The estimated fund balance at the end of 2004 is $5,563,471. Debt Service Funds: Debt Service Funds are established to account for the payment (from taxes and other sources) of interest and principal on long-term debt. The City of St. Louis Park maintains nine of these funds. St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 24 of 39 1996 General Obligation Tax Increment Bonds 2001 20002 2003 Budget 2004 Budget Actual Actual Adopted Revised Proposed Adopted Revenues: Interest Revenue 22,072$ 17,105$ -$ 16,000$ 16,000$ 16,000$ Transfers In 766,000 769,000 770,000 770,000 770,000 770,000 Total Revenues 788,072 786,105 770,000 786,000 786,000 786,000 Fund Balance Jan 1 753,314 781,053 811,631 811,631 837,613 837,613 Total Available 1,541,386$ 1,567,158$ 1,581,631$ 1,597,631$ 1,623,613$ 1,623,613$ Expenditures: Debt Service 760,333$ 755,527$ 760,018$ 760,018$ 758,685$ 758,685$ Total Expenditures 760,333 755,527 760,018 760,018 758,685 758,685 Fund Balance Dec 31 781,053 811,631 821,613 837,613 864,928 864,928 Total Requirements 1,541,386$ 1,567,158$ 1,581,631$ 1,597,631$ 1,623,613$ 1,623,613$ 1996 General Obligation Tax Increment Bond Debt Service accumulates monies for payment of principal and interest on bond issue sold for property acquisition and site improvements within City's three tax increment financing districts. Tax increments, land sales, and general tax levies are pledged for the payment of bond principal and interest. 2001 2002 2003 Budget 2004 Budget Actual Actual Adopted Revised Proposed Adopted Revenues: Interest Revenue 24,657$ 24,407$ 5,000$ 15,000$ 15,000$ 15,000$ Transfers In 915,000 915,000 910,000 910,000 910,000 910,000 Total Revenues 939,657 939,407 915,000 925,000 925,000 925,000 Fund Balance Jan 1 792,540 827,528 866,277 866,277 891,343 891,343 Total Available 1,732,197$ 1,766,935$ 1,781,277$ 1,791,277$ 1,816,343$ 1,816,343$ Expenditures: Debt Service 904,669$ 900,658$ 899,934$ 899,934$ 892,384$ 892,384$ Total Expenditures 904,669 900,658 899,934 899,934 892,384 892,384 Fund Balance Dec 31 827,528 866,277 881,343 891,343 923,959 923,959 Total Requirements 1,732,197$ 1,766,935$ 1,781,277$ 1,791,277$ 1,816,343$ 1,816,343$ 1997(A) General Obligation Tax Increment Bonds Proceeds of the 1997A General Obligation Tax Increment Bonds were used for public acquisition and redevelopment costs within the Economic Development Authority's project area. 1997A General Obligation Tax Increment Bond Debt Service accumulates monies for payment of principal and interest on bonds issued by the St. Louis Park Economic Development Authority (EDA) for public redevelopment costs in the geographical area in the EDA's project area. These bonds are payable solely from tax increments from the Excelsior Boulevard, Oak Park Village and Trunk Highway 7 districts and are not general obligations of the City as a whole. St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 25 of 39 1998 General Obligation Tax Increment Refunding Bonds 2001 2002 2003 Budget 2004 Budget Actual Actual Adopted Revised Proposed Adopted Revenues: Interest Revenue 14,745$ 10,787$ 1,200$ 7,000$ 7,000$ 7,000$ Transfers In 835,000 580,000 595,000 595,000 615,000 615,000 Total Revenues 849,745 590,787 596,200 602,000 622,000 622,000 Fund Balance Jan 1 838,503 867,103 637,045 637,045 665,375 1,239,045 Total Available 1,688,248$ 1,457,890$ 1,233,245$ 1,239,045$ 1,287,375$ 1,861,045$ Expenditures: Debt Service 821,145$ 820,845$ 573,670$ 573,670$ 584,608$ 584,608$ Total Expenditures 821,145 820,845 573,670 573,670 584,608 584,608 Fund Balance Dec 31 867,103 637,045 659,575 665,375 702,767 1,276,437 Total Requirements 1,688,248$ 1,457,890$ 1,233,245$ 1,239,045$ 1,287,375$ 1,861,045$ 1998 General Obligation Tax Increment Refunding Bonds Debt Service accumulates monies for payment of principal and interest on bond issue sold for property acquisition and site improvements within City's three tax increment financing districts. Tax increments, land sales, and general tax levies are pledged for the payment of bond principal and interest. 1999(A) General Obligation Improvement Bonds 2001 2002 2003 Budget 2004 Budget Actual Actual Adopted Revised Proposed Adopted Revenues: General Property Taxes $315,017 298,286$ 326,400$ 329,400$ 325,500$ 325,500$ Interest Revenue 4,317 2,282 2,000 2,000 2,000 2,000 Total Revenues 319,334 300,568 328,400 331,400 327,500 327,500 Fund Balance Jan 1 55,490 270,572 270,587 270,587 294,219 294,219 Total Available 374,824$ 571,140$ 598,987$ 601,987$ 621,719$ 621,719$ Expenditures: Debt Service 104,252$ 300,553$ 307,768$ 307,768$ 309,295$ 309,295$ Total Expenditures 104,252 300,553 307,768 307,768 309,295 309,295 Fund Balance Dec 31 270,572 270,587 291,219 294,219 312,424 312,424 Total Requirements 374,824$ 571,140$ 598,987$ 601,987$ 621,719$ 621,719$ 1999(A) General Obligation Improvement Bonds were issued for construction projects. Debt Service accumulates monies for payment of principal and interest on general obligation bonds authorized by the City Council under Section 6.12(b) of the City Charter. General Property Taxes are collected for the repayment of this debt. St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 26 of 39 2000(A) Louisiana Court Project Debt Service Bonds 2001 2002 2003 Budget 2004 Budget Actual Actual Adopted Revised Proposed Adopted Revenues: PPL Bond Payments $ 436,785 $ 323,688 -$ $ 316,452 $ 316,452 316,452$ Interest Revenue 28,207 4,394 - 3,500 3,500 3,500 Total Revenues 464,992 328,082 - 319,952 319,952 319,952 Fund Balance Jan 1 - 182,337 - 188,473 185,107 185,107 Total Available 464,992$ 510,419$ - 508,425$ 505,059$ 505,059$ Expenditures: Debt Service 323,365$ 321,946$ -$ 323,318$ 324,421$ 324,421$ Total Expenditures 323,365 321,946 - 323,318 324,421 324,421 Residual Equity Transfers out 40,710 - - - - - Fund Balance Dec 31 182,337 188,473 - 185,107 180,638 180,638 Total Requirements 464,992$ 510,419$ -$ 508,425$ 505,059$ 505,059$ 2000(A) Louisiana Court Project Debt Service Bonds Debt Service accummulates monies for payment of principal and interest on bonds issued for renovation of existing housing in St Louis Park. St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 27 of 39 2001 2002 2003 Budget 2004 Budget Actual Actual Adopted Revised Proposed Adopted Revenues: Interest Revenue 11,337$ 25,216$ 5,000$ 9,000$ 9,000$ 9,000$ Bond Proceeds 81,506 - - - - - Transfers In 697,875 1,045,630 1,045,155 1,045,155 1,047,755 1,047,755 Total Revenues 790,718 1,070,846 1,050,155 1,054,155 1,056,755 1,056,755 Fund Balance Jan 1 - 790,718 569,470 569,470 575,457 575,457 Total Available 790,718$ 1,861,564$ 1,619,625$ 1,623,625$ 1,632,212$ 1,632,212$ Expenditures: Debt Service -$ 1,292,094$ 1,048,168$ 1,048,168$ 1,046,730$ 1,046,730$ Total Expenditures - 1,292,094.0 1,048,168 1,048,168 1,046,730 1,046,730 Fund Balance Dec 31 790,718 569,470 571,457 575,457 585,482 585,482 Total Requirements 790,718$ 1,861,564$ 1,619,625$ 1,623,625$ 1,632,212$ 1,632,212$ 2002A Refunding Tax Increment Bonds 2001 2002 2003 Budget 2004 Budget Actual Actual Adopted Revised Proposed Adopted Revenues: Bond Proceeds -$ 1,443$ -$ -$ -$ -$ Interest Revenue - 12,680 - 10,000 10,000 10,000 Transfers In - 335,204 716,500 116,000 740,000 740,000 Total Revenues - 349,327 716,500 126,000 750,000 750,000 Fund Balance Jan 1 - - 344,253 344,253 (297,681) (297,681) Total Available -$ 349,327$ 1,060,753$ 470,253$ 452,319$ 452,319$ Expenditures: Debt Service -$ 5,074$ 707,934$ 767,934$ 778,630$ 778,630$ Total Expenditures - 5,074 707,934 767,934 778,630 778,630 Fund Balance Dec 31 - 344,253 352,819 (297,681) (326,311) (326,311) Total Requirements -$ 349,327$ 1,060,753$ 470,253$ 452,319$ 452,319$ 2001A General Obligation Tax Increment Refunding Bonds 2001A General Obligation Refunding Debt Service Fund accumulates monies for payment of principal and interest on bonds issued by the St. Louis Park Economic Development Authority for public redevelopment costs in the geographical area of Excelsior Boulevard and Oak Park Village. These bonds are payable solely from tax increments from the Excelsior Boulevard and Oak Park Village districts and are not general obligations of the City as a whole. 2002 General Obligatons Tax Increment Refunding Bond Debt Service accumulates monies for payment of principal and interest on bond issue sold for property acquisition and site improvements within City's three tax increment financing districts. Tax increments, land sales, and general tax levies are pledged for the payment of bond principal and interest. St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 28 of 39 2003(A) General Obligation Improvement Bonds 2001 2002 2003 Budget 2004 Budget Actual Actual Adopted Revised Proposed Adopted Revenues: General Property Taxes -$ -$ -$ -$ 512,600$ 512,600$ Interest Revenue - - - - 1,000 1,000 Total Revenues - - - - 513,600 513,600 Fund Balance Jan 1 - - - - - - Total Available -$ -$ -$ -$ 513,600$ 513,600$ Expenditures: Debt Service -$ -$ -$ -$ 153,938$ 153,938$ Total Expenditures - - - - 153,938 153,938 Fund Balance Dec 31 - - - - 359,663 359,663 Total Requirements -$ -$ -$ -$ 513,600$ 513,600$ Budget Highlights 2003(A) General Obligaton Improvement Bonds Debt Service accumulates monies for payment of principle and interest on general obligation bonds purchased for capital projects. A General Property Tax levy is used for the repayment of this debt. Capital Project Funds Capital Project Funds are established to account for resources used for the acquisition and construction of capital facilities except for facilities financed by the Enterprise Funds. The City budgets for two Capital Project Funds. Municipal Building Fund; this fund is a division of Public Works and exists to fund improvements to City owned facilities. Projects funded range from replacement of building elements that have reached the end of their service life, (i.e. roofs, HVAC equipment, etc.), to remodeling of facilities to enhance service delivery and staff productivity, to improvements mandated by building codes and other directives, (i.e. ADA). The 2003 revised budget includes costs for projects completed at City Hall and Excelsior & Grand police substation, plus the major renovation of the Westwood Nature Center to be started in late 2003. The 2004 budget, as shown, relates to projects at the Police Department. It is anticipated the unexpended portion of the Westwood budgeted costs from 2003 will be reforecasted into the 2004 budget as the project will be started in 2003 but finished in 2004. All projects related to this fund are accounted for in the five-year Capital Improvement Program. Park Improvement Fund; The Park Improvement Fund is designed to fund Park Improvements throughout the City. Facilities available for St. Louis Park residents include 52 parks, Westwood Hills Nature Center, two (2) indoor ice arenas, banquet and meeting facilities, an outdoor aquatic park, a skate park, park shelter buildings, picnic shelters and extensive outdoor athletic facilities. St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 29 of 39 Professional staff manages and maintains all facilities as well as designs and implements recreational programs and activities. The 2004 Park Improvement Fund includes the following projects: Bass Lake Park Trail reconstruction, tennis court seal coating, new water feature at Oak Hill Park, new main picnic shelter at new park shelter/warming house building. Additional Oak Hill Park improvements include: trail and parking lot overlay, irrigation, improved lighting, improved landscaping and new signage. In addition, plans are in place to hire a consultant to evaluate possible additions to the Aquatic Park, and replacing playground equipment in various parks. All projects related to the Park Improvement Fund are accounted for in the capital improvement program. Enterprise Funds: The Enterprise Funds are established to account for the acquisition and operation of Water, Sanitary Sewer, Refuse and Storm Water Utilities, which are either entirely or predominantly self-supporting from user charges to the general public. Water Fund; Water Operations has a mission to provide residents and businesses with adequate amounts of clean, safe, drinking water in an environmentally and economically sound manner. Towards that goal, a Water Contingency and Conservation Plan was developed and adopted in 1998 which provides guidance for water system emergencies and conservation of the water supply. An Information Management System (IMS) is being implemented to assist in the preventive maintenance programs for the wells, treatment plant operations, storage facilities, and the distribution system as well as to aid in long term capital planning. Water production is controlled by a computerized logic system that includes an energy management system that has produced savings in energy costs. Consistent with Vision St. Louis Park, the division is striving to provide education to the public with an emphasis on grade school age children. The 2004 operating budget reflects a 15% increase in operating expenses. These increases are due to capital improvements and depreciation expense. The capital improvements are related to the City proactively addressing water treatment issues related to the removal of Radium from the water. The Information Management System has provided information establishing a watermain replacement program that will be coordinated with the pavement management system Utility revenue is generated through water rates and billed services. No property tax dollars are allocated for the operation of the water utility. Rates for this utility have remained stable for the past few years however, a 3% increase is projected for 2004. Sanitary Sewer; Sanitary Sewer Operations has a mission to maintain, operate, and improve the collection system as effectively, economically and efficiently as possible. An Information Management System is used to assist in the maintenance, operation and improvement of the collection system. A capital improvement program has been implemented to repair and replacement the aging infrastructure. A collection system maintenance program is in place, which provides for the 140 miles of sewer to be cleaned at least once every three years. The St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 30 of 39 system transports over two billion gallons of sewage each year to main collector pipelines operated by Metropolitan Council Environmental Services (MCES). The sewage is transported to the Metro treatment plant in St. Paul where it is treated and discharged into the Mississippi River. The 2004 budget reflects a 10% increase for user rates. The base rate will remain the same while the consumption charge will increase. The rate increase is due to several changes; MCES charges; over the past several years, MCES has been working to reduce the amount of reserves they carried. The reserve reduction resulted in lower payments for the discharge of sewer. At this time, the MCES has gone back to charging the full amount for sewer flow. The percentage increase includes the unbudgeted portion of the MCES payment in 2003. MCES charges account for approximately 65% of the total expenditure budget. Pavement Management System; Contributions to this program begin in 2004. The contribution amount is $150,000 in 2004. Administrative and overhead fee transfer to General Fund; in prior years, this fund has transferred a nominal amount to the General Fund for administrative services and overhead. Beginning in 2004, this fund is expected to contribute the full amount for overhead and services received. This results in an additional cost of approximately $215,000 per year. Storm Water Utility: The Storm Water Utility has a mission to maintain, operate and improve the collection system as effectively, economically and efficiently as possible. Towards that goal, the City has adopted a Storm Water Management Plan that addresses many of the future water quality challenges mandated by the Minnesota Pollution Control Agency (MPCA) and watershed districts, and implemented an Information Management System to assist in the collection of data that will provide information to assist in the maintenance, operation and improvement of the system. This system will also assist in long range planning and capital improvements necessary for continued optimum operation. A feasibility study of flood problem areas was completed and is being implemented in stages through the capital improvement program. Storm water utility was established during 2000 to create a revenue source for the capital improvement program and continued repair and maintenance on the storm water system. The rate consists of a basic charge for single/two family residential lots and an acreage charge for multiple residential and commercial use. The utility is projected to generate $800,000 in revenue annually. The revenue funds the basic operation and maintenance plus pay on the special bond for capital improvements. Federal Agencies have enacted regulations that will increase the basic operation cost of the utility. Due to increased costs for construction projects, administrative fees, and operating expenses, the rate of $6.00 per residential equivalency factor (REF) is no longer adequate to pay for the program. Staff is recommending an increase to $7.20 per quarter. This equates to a 20% increase. Staff is projecting that the rate of $7.20 should be stable through the year 2008. In St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 31 of 39 addition to the rate increase, the storm water utility will need to receive an internal loan of approximately $700,000 at a stated interest rate in order to complete the storm water capital projects. This loan will be repaid over a 10-year period. Solid Waste: By contract, the City provides for weekly organized collection and disposal of mixed municipal solid waste, recyclable, yard waste, bulk goods (furniture), and white goods (appliances) for all single through four-plex residential units. The Public Works Administrative Division provides ongoing contract administration services and contractor interface as well as addresses the day-to- day issues, concerns, and questions from the public. 2004 will be the first year of the new contract for solid waste services. The past 5-year contract and 1-year extension with Waste Management expired in September of 2003. Rates will change based on this new contract. Internal Service Funds: The Internal Service Funds are established to account for the financing of goods and services provided to various City departments on a cost reimbursement basis. The City operates five Internal Service Funds. Municipal Service Center The Municipal Service Center is the location where the Central Equipment Services work unit within the Operations Division of Public Works. This Municipal Service Center provides preventive maintenance, repairs, fuel, other services, and storage of City equipment. This work unit is responsible for maintenance on all City equipment ranging from large fire apparatus to hand held power tools. Rates charged for equipment are based on the cost of fuel, oil, maintenance, insurance, and all other expenses related to the operation of the Municipal Service Center. Rates are based on a methodology developed in 1997 to allocate equipment costs more directly and fairly to the end users. The 2004 budget reflects an increase from the 2003 adopted budget of approximately $13,000. The budget reflects an increase in personal services ($36,454), a decrease in supplies ($11,100) and an increase in services and other charges ($18,069). Technology Replacement: The Technology Replacement Fund (TRF) was established in the 2000 revised budget to begin setting aside money to replace the major hardware, software, and network upgrade that occurred in 1999. Over four years, it is anticipated that enough funds will be available to replace these significant components of the information infrastructure. Much of that is currently scheduled to occur in late 2003, and be completed in early 2004. Some upgrades need to occur on a more continuous basis. Most other major components of the information infrastructure are maintained and replaced by LOGIS. The City provides its share of LOGIS replacement costs through St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 32 of 39 monthly service charges, although major replacements often require additional investments. Such is the case with the Police system, scheduled for replacement beginning in 2003 and completion in 2004. Investments are normally due to increases in newer system costs and desired functionality. A future goal is to consider expansion of the TRF to ensure that funds are available to replace other technologies on a timely basis without the need for major spikes in cash. These technologies could include other office automation equipment, radios, telephones, Cable TV, and personal communications systems. The 2003 revised budget reflects a significant decrease from the 2003 adopted budget. This was done to help the City work within current budget constraints and was accomplished primarily by rescheduling construction of high-speed fiber optic connections throughout the City's network. The revised 2003 expenditures reflect upgrades of many existing PC's, laptops, and printers to accommodate the 2003 / 2004 Microsoft Windows XP upgrade, in addition to replacement PC's that are not cost-effective to repair. Early replacement and re-deployment of such items over the years means that approximately 35 PC's and laptops will not need to be replaced in 2003 / 2004, when the much of the rest of the infrastructure is replaced. Microsoft licensing fees for various software are also included. The 2003 proposed budget includes continued general replacement of other (non-Microsoft) software applications. Server replacements with related network components are on going and included in 2003 and 2004. This includes plans for a high-speed fiber optic network to interconnect City buildings and connect to LOGIS and, from there, the Internet. This will be a multi-city effort, which should result in significant long-term cost savings and higher speed of communications. While hardware, network, and standard software account for the largest portion of the replacement program, the cost to replace specialized software applications (e.g., computer-aided design and drafting, geographic information system, and Police systems will likely approach $350,000). On the revenue side, adequate funds were provided in 2003 from enterprise and special revenue funds, and especially the Cable TV fund balance. Funds continue to be available from similar sources to meet revenue needs in 2004. Funds for many post-2004 expenditures have been identified, and longer-term funding needs and sources continue to be analyzed (see 5-year Capital Improvement Program for long-term technology needs). Equipment Replacement: The Equipment Replacement Fund was established to ensure sufficient resources for the timely replacement of equipment. The Public Works Department administers an equipment management program that calls for long-term equipment replacement planning. This replacement planning is based upon a set of age and usage parameters as well as direct examination of equipment as it approaches replacement. This replacement system allows equipment to be replaced early or kept additional years if the condition warrants it. Major equipment, which is generally equipment over $2,000, is purchased each year by the ERF and paid for through depreciation charges to the responsible departments. Additionally, a surcharge is calculated based upon the planned future replacements. This surcharge provides for increased equipment costs due to inflation. Charges to departments do not include this surcharge cost. Interest earnings in the ERF will cover the planned future surcharge costs. St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 33 of 39 This equipment replacement methodology (as opposed to replacing equipment with a fixed amount of money each year) results in significant year to year volatility in capital expenses. However, this fund buffers the General Fund by absorbing this volatility. Year to year purchases range from $400,000 to over $1,000,000. Average annual capital charges (depreciation and surcharge) are currently about $700,000 and are expected to gradually increase from year to year in the future. Employee Benefit: The Benefit Fund covers expenses related to workers compensation, retirement insurance services, unemployment charges, tuition reimbursement, and anticipated severance payments. The largest expenditure is the funds used to cover our self insured workers compensation program. Beginning December 1, 2003, the City will be moving to a fully insured plan through the League of Minnesota Cities. The City needs to continue to fund open claims that occurred before the change to a fully insured plan. This fund serves all departments of the city, except for Enterprise and Internal Service Funds, and is administered by Human Resources. Uninsured Loss: This fund was established to provide for major losses, which exceed current insurance policy limits, and to pay for insurance deductibles. As part of switch to a fully insured Workers Compensation program, a request to reserve a substantial portion of the unreserved balances in the fund will be requested. This reserve will be used to pay for open claims that occurred before the change to a fully insured plan. Economic Development Authority: The mission of the Economic Development Authority is to carry out redevelopment projects, assist in business expansion activities and promote economic development in the City. The Economic Development Authority consists of two types of funds, Debt Service and Capital Project. The Debt Service budgets have been incorporated in the Debt Service section of the budget. All Tax Increment Districts as well as the Development Fund are classified as Capital Project Funds. Each Tax Increment District is presented separately within the budget. The Development Fund is also presented. The City is planning to issue an HRA levy for the third year in a row. The proceeds of this levy, as well as the expenditures, are shown in the Development Fund budget. The 2004 EDA budget includes expenditures for redevelopment projects planned or currently underway such as Excelsior & Grand Phase II, Wolfe Lake Professional Center, 2401 Edgewood Avenue, 3501 Louisiana Avenue, and the expansion of the Methodist/Park Nicollet medical campus. The budget also calls for a major market analysis/study of the City’s existing industrial areas. Lastly, it provides for the ongoing oversight and administration of the City’s TIF Districts. St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 34 of 39 The EDA maintains eleven Tax Increment Districts. Each district is unique and is summarized below. Oak Park Village: This Tax Increment District was created in 1972 as a redevelopment district. It was modified in 1990 to include additional activities and a larger geographical area, and again in 1996 to allow expenditures for the Excelsior Boulevard streetscape, Rec Center improvements, Park Commons site assembly and additional administration. Another modification in 1997 allowed for expenditures for Reily tar clean-up activities, Wolfe Park redevelopment, Park Commons site assembly, public improvements and site improvements. There are no major projects planned for this district. The only budgeted expenditure in 2004 is a transfer to debt service funds for payment of existing debt and transfer of administrative fees based on tax increment revenue. Excelsior Boulevard: This Tax Increment District was created in 1977 and modified in 1990 to include additional activities and a larger geographical area. In 1993, a Hazardous Substance Subdistrict was established to facilitate environmental cleanup on the Park Nicollet site at Hwy 100 and Excelsior Blvd. In 1996, a modification allowed expenditures for the Excelsior Boulevard Streetscape, Rec Center Improvements, Park Commons Site Assembly and additional administration. In 1997, a modification allowed for expenditures for Reilly tar clean-up activities, Wolfe Park redevelopment, Park Commons site assembly, public improvements and site improvements. Debt service and public improvements associated with Excelsior & Grand are the largest expenditures for this district. The development contract with TOLD obligated the EDA to build the Excelsior Boulevard streetscape improvements and other public improvements related to Park Commons. The EDA & City agreed to use revenues from existing TIF districts to pay for the Excelsior Boulevard improvements and the 1997 bond to pay for the EDA’s share of the Monterey Avenue improvements. These costs are currently estimated at $1,900,000. The City also plans to make improvements to the Excelsior Boulevard bridge in 2004 at an estimated cost of $200,000. Truck Highway 7: This Tax Increment District was created in 1985 and has historically been modified to more precisely define budgeted cost revisions, to increase the project budget, and to allow expenditures for the Excelsior Boulevard Streetscape, Rec Center Improvements, Park Commons Site Assembly, and additional administration. The last modification in 1997 allowed for expenditures for Reilly Tar Clean-up Activities, Wolfe Park Redevelopment, Park Commons Site Assembly, Public Improvements and Site Improvements. The tax increment revenues from this district are being used to pay debt service on existing bonds. Nominal funds have been allocated for the potential redevelopment of the Golden Auto site. St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 35 of 39 HSTI: The HSTI district was established in 1993 to help remediate contamination located on the Park Nicollet medical campus. All of the funds from this district (minus a 5% administration allowance) are dedicated to the Park Nicollet project based on the March 30, 1993 Contract for Private Redevelopment. HSTI funds can only be used for approved environmental expenditures within the district. Victoria Ponds: This Tax Increment District was created in 1996 as a redevelopment TIF district. It was created to facilitate the construction of the Victoria Ponds townhouse project and certain public improvements. The funds are dedicated to fulfilling the EDA's obligations under the September 1996 development agreement with SVK Development, Inc. and the objectives and activities identified in the Victoria Ponds Tax Increment Plan and related budget. An interfund loan was made to this district to facilitate construction of public improvements within the district. Since the loan repayment is not an expenditure, the loan payments will be carried as a balance sheet item and not reflected in the expenditures for this fund. The final loan payment will be made on December 31, 2004. Park Center Housing: This Tax Increment District was created in 1996 as a Housing TIF District. It was created to facilitate the construction of the first phase of the Parkwood Shores Assisted Living complex. The district was modified in 1999 to assist in the development of the second phase of Parkwood Shores Assisted Living complex. The funds from this district wereused to repay a City of St Louis Park interfund loan in 2003. Since the loan repayment is not an expenditure; beginning in 2001, the loan payments will be carried as a balance sheet item and not reflected in the expenditures for this fund. Mill City: This Tax Increment District was created in 2000 as a redevelopment district. It was created to facilitate the construction of a 200 unit apartment complex on a contaminated site at the northwest corner of Highway 7 and Louisiana. All of the funds (minus a 5% administration allowance) are dedicated to fulfilling the City/EDA obligations based on the April 3, 2000 Contract for Private Redevelopment. CSM This district was established Dec. 20, 1999 to facilitate the redevelopment of the old Sexton warehouse and NSP properties. CSM constructed two hotels on the site and Rottlund constructed 84 townhomes. The funds are dedicated to the EDA's obligations under the 2000 development agreements with CSM Hospitality and Rottlund Homes. St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 36 of 39 Park Commons East: The Park Commons TIF District (#1308) is a redevelopment district approved in January, 2001 from parcels dropped from Excelsior Boulevard. The first increment was received in 2002 and wil continue to generate increments until 2027. The district in located on the north side of Excelsior Blvd. between Quentin Ave. and Monterey Drive. A $120+ million mixed-use project is being developed within this area by TOLD Development Company. It is being marketed under the name “Excelsior & Grand”. Recently completed Phase One, includes four buildings that feature 63,000 square feet of retail shops, neighborhood services and restaurants on the ground level and 342 apartments on the upper three floors. Underground and structured parking is also built in to the project. Phase II, which includes 120 condo units & 4,500 sf of commercial space, will begin in the fall of 2003 and be completed by March 1, 2005. When the entire project is complete, the 15 acre site will be redeveloped with approximately 533 apartments, at least 120 condominiums, 73,000 square feet of retail, and a 45,000 square foot office building. The project also includes a central town green that connects Excelsior Boulevard to Wolfe Park. This area is envisioned as a vibrant, pedestrian-friendly “downtown” where people will live work, shop, dine, and enjoy concerts and small festivals. The project is expected to be completed by 2007. Based upon the July 23, 2001 development agreement, the EDA has pledged tax increment revenues from this District to the following: • Pay as you go agreement(s) with Meridian Properties (TOLD) in an amount not to exceed $15.3 million at 8.5%. Principal and interest are to be paid every August 1 and February 1. • $3.5 million in proceeds will be provided to TOLD when the initial public improvements in Park Commons East are complete and there is 120 percent annual debt service coverage. • Currently, TOLD has been provided with approximately 73% in proceeds, with the remaining portion to be provided in 2004. These proceeds will come from the 1997 GO tax increment bonds. • Wolfe Lake: This Redevelopment District was adopted on July 7, 2003. It was established in order to facilitate rehabilitation of an area adjacent to West 36th Street and Belt Line Boulevard. It is expected that this district will be certified December, 2003 and first increment is estimated to be received in 2005. The EDA has pledged 95% of tax increment revenues from this District for a pay as you go agreement with Belt Line Industrial Park, Inc in an amount not to exceed $996,000 at 7.5%. Principal and interest are to be paid every August 1 and February 1 through February 1, 2023. St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 37 of 39 Edgewood: This Soils Condition District was adopted by City Council on September 15, 2003. Expenditures from this district are to be used to mitigate certain hazardous substances in order to facilitate construction of a 79,000 square foot office/warehouse facility. This district is expected to be certified in December 2003 and begin to receive increment in 2006. The interest rate on the note has not been set and is dependent upon a number of factors, including reduced interest loans from other governmental entities. The EDA has pledged 95% of tax increment revenues from this District for pay as you go agreement with Edgewood Investors, LLC, in an amount not to exceed $600,000. Principal and interest begin to be payable from August 1, 2006 and is paid each February 1 and August 1 through February 1, 2023. The interest rate on the note has not been set and is dependent upon a number of factors, including reduced interest loans from other governmental entities. Development Fund: The Development Fund is not a Tax Increment District. The Development Fund was created in 1996 as a source of financing to be used to foster and promote a wide range of public and private development and redevelopment activities in St. Louis Park. The source of funds used to create and maintain this fund consists of proceeds from the repayment of loans and other revenues such as: the sale of real and personal property, recycled federal and state grants and other funds designated from time to time by the City Council and EDA. Redevelopment projects with which the EDA is actively involved include: Excelsior & Grand Phase II, Wolfe Lake Professional Center, 2401 Edgewood Aveune, northeast corner of Louisiana Avenue & Walker Street, and the expansion of the Methodist/Park Nicollet medical campus. Expenditures budgeted within the 2004 Development Fund include costs related to four housing rehab programs, several planning studies to aid future redevelopment initiatives, EDA operations, and the salaries of personnel associated with the EDA. The line item property tax revenue of $543,125 is the expected amount of the HRA levy in 2004. This revenue is to be used for current or future infrastructure improvements related to redevelopment projects. At this time, a portion of HRA levy dollars are being used to fund an infrastructure analysis in the Park Nicollet area. Conclusion: Developing a budget and assembling all the information for a document such as this requires the dedicated efforts of every Department Head and their Staff. Staff is to be congratulated for their diligent effort in this process. The 2004 Budget is a strong financial plan that will continue to honor the Cities Mission, Vision, and Values. Through strong financial management, the City is prepared to meet the challenges that may again occur. Sincerely, Thomas Harmening, Interim City Manager Jean D. McGann, Director of Finance St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 38 of 39 2001 2002 2003 Budget 2004 Budget Actual Actual Adopted Revised Proposed Adopted Revenues: Interest Revenue 24,657$ 24,407$ 5,000$ 15,000$ 15,000$ 15,000$ Transfers In 915,000 915,000 910,000 910,000 910,000 910,000 Total Revenues 939,657 939,407 915,000 925,000 925,000 925,000 Fund Balance Jan 1 792,540 827,528 866,277 866,277 891,343 891,343 Total Available 1,732,197$ 1,766,935$ 1,781,277$ 1,791,277$ 1,816,343$ 1,816,343$ Expenditures: Debt Service 904,669$ 900,658$ 899,934$ 899,934$ 892,384$ 892,384$ Total Expenditures 904,669 900,658 899,934 899,934 892,384 892,384 Fund Balance Dec 31 827,528 866,277 881,343 891,343 923,959 923,959 Total Requirements 1,732,197$ 1,766,935$ 1,781,277$ 1,791,277$ 1,816,343$ 1,816,343$ 1997(A) General Obligation Tax Increment Bonds Proceeds of the 1997A General Obligation Tax Increment Bonds were used for public acquisition and redevelopment costs within the Economic Development Authority's project area. 1997A General Obligation Tax Increment Bond Debt Service accumulates monies for payment of principal and interest on bonds issued by the St. Louis Park Economic Development Authority (EDA) for public redevelopment costs in the geographical area in the EDA's project area. These bonds are payable solely from tax increments from the Excelsior Boulevard, Oak Park Village and Trunk Highway 7 districts and are not general obligations of the City as a whole. St. Louis Park City Council Agenda Item: 120103 - 6a - Budget and Tax Levy Hearing Page 39 of 39 1998 General Obligation Tax Increment Refunding Bonds 2001 2002 2003 Budget 2004 Budget Actual Actual Adopted Revised Proposed Adopted Revenues: Interest Revenue 14,745$ 10,787$ 1,200$ 7,000$ 7,000$ 7,000$ Transfers In 835,000 580,000 595,000 595,000 615,000 615,000 Total Revenues 849,745 590,787 596,200 602,000 622,000 622,000 Fund Balance Jan 1 838,503 867,103 637,045 637,045 665,375 1,239,045 Total Available 1,688,248$ 1,457,890$ 1,233,245$ 1,239,045$ 1,287,375$ 1,861,045$ Expenditures: Debt Service 821,145$ 820,845$ 573,670$ 573,670$ 584,608$ 584,608$ Total Expenditures 821,145 820,845 573,670 573,670 584,608 584,608 Fund Balance Dec 31 867,103 637,045 659,575 665,375 702,767 1,276,437 Total Requirements 1,688,248$ 1,457,890$ 1,233,245$ 1,239,045$ 1,287,375$ 1,861,045$ 1998 General Obligation Tax Increment Refunding Bonds Debt Service accumulates monies for payment of principal and interest on bond issue sold for property acquisition and site improvements within City's three tax increment financing districts. Tax increments, land sales, and general tax levies are pledged for the payment of bond principal and interest. 1999(A) General Obligation Improvement Bonds 2001 2002 2003 Budget 2004 Budget Actual Actual Adopted Revised Proposed Adopted Revenues: General Property Taxes $315,017 298,286$ 326,400$ 329,400$ 325,500$ 325,500$ Interest Revenue 4,317 2,282 2,000 2,000 2,000 2,000 Total Revenues 319,334 300,568 328,400 331,400 327,500 327,500 Fund Balance Jan 1 55,490 270,572 270,587 270,587 294,219 294,219 Total Available 374,824$ 571,140$ 598,987$ 601,987$ 621,719$ 621,719$ Expenditures: Debt Service 104,252$ 300,553$ 307,768$ 307,768$ 309,295$ 309,295$ Total Expenditures 104,252 300,553 307,768 307,768 309,295 309,295 Fund Balance Dec 31 270,572 270,587 291,219 294,219 312,424 312,424 Total Requirements 374,824$ 571,140$ 598,987$ 601,987$ 621,719$ 621,719$ 1999(A) General Obligation Improvement Bonds were issued for construction projects. Debt Service accumulates monies for payment of principal and interest on general obligation bonds authorized by the City Council under Section 6.12(b) of the City Charter. General Property Taxes are collected for the repayment of this debt. St. Louis Park City Council Agenda Item: 120103 - 8a - Shading Ordinance 1st Reading Page 1 of 7 8a. First Reading of proposed Ordinance Code (Zoning) amendment by Silvercrest Properties, LLC to modify the shading regulations so that they only protect residential use properties. Recommended Action: Motion to approve First Reading of an ordinance amendment that would exempt Industrial-zoned properties from shading protection and allow approval of shading of buildings within PUDs, CUPs, and Special Permits as recommended by staff and the Planning Commission and to set Second Reading for December 15, 2003. Background: Silvercrest Properties, LLC, owner of the Parkshores Senior campus development at the southeast quadrant of 36th St. and Park Center Blvd., is requesting an amendment to the City shading regulations, which currently state the following: All development shall consider the effect of sun angles and shade patterns on adjacent buildings. All new multiple-family and nonresidential buildings and additions thereto shall not be located so that the structure casts a shadow which covers more than 50 percent of an adjacent building wall for a period greater than two hours between 9:00 am and 3:00 pm, for more than 60 days of the year. (This subsection) will not apply in an industrial use district, provided that shade is cast upon a wall which does not have any openings. Silvercrest's proposal would change the last sentence to state the following: (This subsection) will apply only to shading of residential use property. The proposed amendment is related to Silvercrest Properties' request for PUD approval for a 14-story Senior condominium building at 3601 Park Center Blvd. The proposed condominium building would shade the King Controls building on the north side of 36th Street in excess of the ordinance restriction. The King Controls property is zoned Industrial, but the building has windows on the south side. Therefore, the existing ordinance exemption does not apply. If the King Controls building is redeveloped for a new post office, as anticipated, the problem may be resolved, because the post office building would likely be constructed further north. However, Silvercrest does not want to wait and see if the post office resolves the problem. Their 14-story condominium building was granted preliminary PUD approval on October 7, 2003 subject to several conditions. One of the conditions states the following: St. Louis Park City Council Agenda Item: 120103 - 8a - Shading Ordinance 1st Reading Page 2 of 7 Prior to Final PUD consideration, all application requirements shall be met, including submission of a sign plan, association documents, guest parking plan and conformance with the City solar shading requirements in effect at the time of the application or approval of a variance from the shading requirements. Staff advised the applicant that it would be difficult to meet the variance findings, since there is an existing viable use for the property (3-story office building) that meets the shading restrictions. Instead, staff suggested that the issue is more of a policy question that should be addressed via an ordinance amendment if the impacts are deemed acceptable. On November 5, 2003, the Planning Commission held a public hearing and recommended approval of an alternate ordinance amendment as recommended by staff. The amendment would exempt only industrial properties and properties within PUDs, CUPs and Special Permits from shading protection. Adjacent residential and commercial properties would continue to be protected. This proposal is attached as the Planning Commission's recommended ordinance language. On November 24, 2003, the City Council discussed the proposal at a Study Session. The Study Session report included the staff report for the Planning Commission public hearing with all of the attachments. Therefore, the attachments have not been included again with this report but are available for review upon request. During the Study Session, the Council expressed an interest in adding some shading protection for outdoor employee break areas in industrial districts. The Council indicated that the language should not be overly prescriptive but should indicate that impacts should be minimized or taken into consideration. Proposed ordinance language for this alternative is included at the end of the report as an Alternative Recommendation. Staff recommends stating that shading on existing public spaces and outdoor employee break areas shall be minimized to the extent reasonable and possible on any adjacent property (not just Industrial). If the Council wishes to adopt this language, the motion should reflect the change, and the revised ordinance will be brought back at Second Reading. The item will be placed on the consent agenda for Second Reading unless the Council directs staff otherwise. Issues: Ø How are other cities regulating shading? Ø What are the potential impacts of eliminating or reducing shading restrictions in SLP? Ø Are some uses more sensitive to shade impacts than others? Ø Should property owners be allowed to shade buildings within their own developments? Analysis of Issues: Ø How are other cities regulating shading? St. Louis Park City Council Agenda Item: 120103 - 8a - Shading Ordinance 1st Reading Page 3 of 7 The applicant and staff reviewed other cities shading ordinances (see attached E-Mail and summary). Most suburbs do not have shading ordinances. However, some may not allow buildings that are tall enough to be a concern. Others require shading studies or that effects be taken into consideration without any prescriptive ordinance restrictions. Ø What are the potential impacts of eliminating or reducing shading restrictions in SLP? Most shading concerns arise with buildings that are 6 stories or taller. The proposed Senior condominium building would meet the current ordinance if it was 8 or fewer stories. However, the building is proposed to be located across the street from the building it would shade, not immediately adjacent. If it were immediately adjacent, it would likely cause a problem at 6 stories. Therefore, staff reviewed all properties that are zoned to allow heights of 6 stories or more. The C-2 General Commercial, M-X Mixed Use, O Office, and R-C Multiple Family Residential Districts all allow buildings of 6 stories or more, at least under certain conditions. As the attachment shows, these properties are fairly extensive throughout the City, so the impacts of eliminating or reducing shading restrictions could potentially be great. Many of the properties to the north of these districts are residential. The applicant proposes to maintain protection of properties that are used for residential, so there would be no additional impact to those properties. However, many of the properties to the north of districts allowing taller buildings are zoned commercial or industrial. The applicant proposes eliminating protection of all commercial and industrial properties, so the impacts could be substantial. As an alternative, the applicant is amenable to excluding only industrial properties from shading protection. Currently, industrial properties are only protected if they have windows on the side being shaded. Industrial properties that could be impacted by an ordinance amendment are shown on the "Location Analysis" map that was included with the Planning Commission report and City Council Study Session report. Ø Are some uses more sensitive to shade impacts than others? Although many residents are not home most days when shading restrictions are in effect, the applicant agrees that residential uses are still sensitive to shading impacts. Some residents are home during weekdays, many are home on weekend days, and most want some direct sunlight on their properties to allow a diversity of plantings and a brighter home atmosphere when desired. Therefore, staff, the applicant, and Planning Commission agree that residential should continue to be protected. The applicant does not believe that commercial uses are particularly sensitive to shade impacts. However, a commercial broker (Jim Voss, Cresa) recently informed staff that one of the top three desired amenities for office workers is more natural light. The applicant's architect responded that natural light does not necessarily equate to direct St. Louis Park City Council Agenda Item: 120103 - 8a - Shading Ordinance 1st Reading Page 4 of 7 sunlight. However, the commercial broker believed that there might be substantial concern from the office community if shading protection of existing office buildings is eliminated. Therefore, staff and the Planning Commission believe it is, at best, premature to recommend such a change without further study. Industrial uses do not generally regard direct sunlight as an amenity. In fact, many industrial buildings do not have windows or screen their windows to prevent direct sunlight from effecting their operations. However, some industrial buildings include offices. Staff believes that the current ordinance protects industrial with "openings" in order to protect office areas within industrial buildings. However, the offices within industrial buildings are generally not expected to have the same amenities as Class A or even Class B office space, in part because the industrial land is generally less expensive than commercial property. Therefore, staff and the Planning Commission agree with the applicant that industrial-zoned properties are not as sensitive to shade impacts. The current ordinance is poorly written because "openings" include doors that do not necessarily have windows or desire direct sunlight (for example loading dock doors). The proposed amendment would eliminate this problem. At staff's request, the applicant contacted the owner of the King Controls building (Chip Glaser) prior to the Planning Commission public hearing. The applicant's architect explained their proposal and provided a site plan and elevation of the proposed 14-story Senior condominium building. The King Controls owner reported to the applicant that they have a letter of intent with the post office and expect to move forward with demolition within the next couple months. The King Controls business is moving to Bloomington in December. Ø Should property owners be allowed to shade buildings within their own developments? Staff and the Planning Commission do not have any concern with property owners proposing to shade buildings within their own developments. However, staff believes the City should still review the impacts and ensure that all of the existing owners and tenants are aware of the proposal. Therefore, staff and the Planning Commission recommend allowing this only for projects that are reviewed by CUP, PUD or Special Permit amendments. In certain unique situations, variances would also be an option. Recommendation: Staff and the Planning Commission recommend exempting all Industrial-zoned properties from shading protections and allowing the City to consider approving shading of any building within the same PUD, CUP or Special Permit. Staff and the Planning Commission also recommend correcting a reference to Subsection 36-366 (b)(12), which is intended to reference Subsection (b)(13). Finally staff recommends amending a shading reference in the MX District to reference the amended shading regulations. These amendments are shown in the attached proposed ordinance. St. Louis Park City Council Agenda Item: 120103 - 8a - Shading Ordinance 1st Reading Page 5 of 7 Alternate Recommendation: If the Council wishes to minimize shading impacts on adjacent public spaces and outdoor employee break areas in Industrial Districts, staff recommends the following alternate amendments to Subsection 36-366(b)(13): All development shall consider the effect of sun angles and shade patterns on adjacent buildings. All new multiple-family and nonresidential buildings and additions thereto shall not be located so that the structure does not casts a shadow which covers more than 50 percent of an adjacent building wall for a period greater than two hours between 9:00 am and 3:00 pm, for more than 60 days of the year. Subsection (b)(1213) of this section will not prohibit shading of buildings apply in an industrial use district, provided that shade is cast upon a wall which does not have any openings or as approved for buildings covered by the same PUD, CUP, or Special Permit. Shading of existing public spaces and outdoor employee break areas on adjacent properties shall be minimized to the extent reasonable and possible. Attachments: Ø Proposed Ordinance (as recommended by the Planning Commission) Prepared by: Janet Jeremiah, Planning & Zoning Supervisor Approved by: Charles W. Meyer, City Manager St. Louis Park City Council Agenda Item: 120103 - 8a - Shading Ordinance 1st Reading Page 6 of 7 ORDINANCE NO.______ AN ORDINANCE AMENDING THE ST. LOUIS PARK ORDINANCE CODE RELATING TO ZONING BY AMENDING SECTIONS 36-266(11)(c) and 36-366(b)(13) SHADING RESTRICTIONS THE CITY OF ST. LOUIS PARK DOES ORDAIN: Findings Sec. 1. The City Council has considered the advice and recommendation of the Planning Commission (Case No. 03-68-ZA). Sec. 2. The St. Louis Park Ordinance Code, Section 36-266(11)(c) and 36- 366(b)(13) are hereby amended by deleting stricken language and adding underscored language. Section breaks are represented by ***. Sec. 36-266. Dimensional/performance standards and general requirements. (M-X Mixed Use District) *** (11)(c) In other areas of development sites, building height shall be restricted by maximum density provisions and to prevent the casting of shadows for a period greater than two hours on residential uses within the development between the hours of 9:00 a.m. and 3:00 p.m. comply with shading restrictions of Section 36-366(b)(13). *** Sec. 36-366. Architectural design *** (b)(13) All development shall consider the effect of sun angles and shade patterns on adjacent buildings. All new multiple-family and nonresidential buildings and additions thereto shall not be located so that the structure does not casts a shadow which covers more than 50 percent of an adjacent building wall for a period greater than two hours between 9:00 am and 3:00 pm, for more than 60 days of the year. Subsection (b)(1213) of this section will not prohibit shading of buildings apply in an industrial use district, provided that shade is cast upon a St. Louis Park City Council Agenda Item: 120103 - 8a - Shading Ordinance 1st Reading Page 7 of 7 wall which does not have any openings or as approved for buildings covered by the same PUD, CUP, or Special Permit. *** Sec. 3. The contents of Planning Case File 03-68-ZA are hereby entered into and made part of the public hearing record and the record of decision for this case. Sec.4. This Ordinance shall take effect fifteen days after its publication. Adopted by the City Council December 15, 2003 Reviewed for Administration City Manager Mayor Attest: Approved as to Form and Execution: City Clerk City Attorney 03-68-ZA:res/ord St. Louis Park City Council Agenda Item: 120103 - 8b - Wolfe Park Industrial Park Page 1 of 9 8b. Request by Belt Line Industrial Park, Inc for a minor amendment to a Planned Unit Development for one additional bank drive-through lane, and to waive the requirement for park dedication fees required with an administrative lot division 5000 & 5050 W. 36th St Case No. 03-76-PUD & 03-77-S Recommended Action: • Motion to adopt a resolution approving a minor amendment to allow the addition of a fourth bank drive through lane, subject to conditions in the resolution. • Motion to adopt a resolution approving the waiver of park dedication fees with an administrative lot division. Background: On June 16, 2003, the City Council approved the Final PUD and Plat for Belt Line Industrial Park to combine their property into one lot (Lot 1, Block 1, Wolfe Lake Professional Center) and construct two new buildings (a two story office and a one story retail building). Construction is currently underway for both buildings. Under the PUD three (3) drive through lanes were approved for a proposed bank use on the west side of the office building with a two-way by-pass traffic lane around it. Belt Line Industrial Park is now requesting to add one additional bank drive through lane and to convert the two-way by-pass lane into a one-way (southbound) lane (See attached proposed plans). For tax and financing purposes, Belt Line Industrial Park is also requesting an administrative lot division to create two separate lots, one for each building. The Final Plat approved in June 2003 combined several underlying lots into one, Lot 1 Block 1, Wolfe Lake Professional Center (See attached Final Plat). Because the proposed subdivision would not create more lots than originally existed, the applicant is requesting a waiver from park dedication fees that are required with the creation of new lots. Issues • Does the proposed modification comply in all respects with applicable provisions of the Code? • Is the proposed lot division acceptable? • Is the park dedication fee waiver appropriate? • Are there any other issues? Issues Analysis St. Louis Park City Council Agenda Item: 120103 - 8b - Wolfe Park Industrial Park Page 2 of 9 Does the proposed modification comply in all respects with applicable provisions of the Code? The applicant has indicated the proposed changes to the drive through will meet the needs of the bank operations. Citizens Bank is consolidating their Excelsior Blvd and Hwy 7 operations into this one location. The one-way southbound by pass lane will eliminate the bank drive-through traffic from having to cross northbound bypass traffic. Staff met with the applicant and a representative from Citizen’s Bank to discuss the requested changes. The bank representative stated that they are in favor of the one way bypass particularly because it will eliminate vehicle conflict for bank patrons exiting the drive through lanes. They recognize that their only access to the bank property will be from Belt Line Blvd. and find this acceptable. The proposed changes do not result in changes to the proposed curbs, landscaping or required parking. Staff agrees the one way bypass lane will eliminate potential traffic conflicts between vehicles exiting the bank drive through and vehicles traveling north on the bypass lane. The Public Works Department reviewed the plans and recommended an additional ‘Do not enter’ sign should be installed flanking the drive through exit (within the curbed island just west of the proposed new property line). This has been included in the proposed resolution. A post office customer service facility was an approved use in the retail building under the PUD. The drive-up mailboxes were approved to be placed along a one-way driveway at the north end of the office parking lot parallel to Belt Line Blvd (see approved Site Plan). Should the additional drive through lane and one way bypass be implemented, there would no longer be internal access between the retail building’s parking lot and the office parking lot or mailbox driveway entrance. The applicant has indicated that the post office customer service will not be occupying the retail space, thus the mailboxes will not be installed. Without the post office, parking requirements can be met for the retail and office building on their respective proposed lots and internal access would not be needed for the mailboxes. Staff is comfortable with the proposed additional bank drive through and one way bypass lane, however recommends the resolution be amended to eliminate the post office use for the retail building and drive up mail boxes as originally approved. Staff also recommends the exhibits be revised to exclude the mailbox driveway. Is the proposed lot division acceptable? The proposed lot division adds one north/south property line between the retail and office building. Ten foot easements are proposed on both sides of the proposed division line. A 20 foot wide drainage and utility easement on the retail lot is proposed to move further south on the property to accurately reflect the exact placement of a sanitary and water main. Each proposed lot meets ordinance requirements including setbacks, parking, landscaping, sidewalks, etc. The Public Works Department has reviewed the proposed lot split and provided the following comments. There needs to be a cross access and circulation agreement recorded between the two parcels. Also, because all of the storm water ponding for Parcel B is located on Parcel A a storm water shared use and maintenance agreement between the two properties (proposed parcels A and B) must be recorded. The Public Works Department also recommended a drainage and utility St. Louis Park City Council Agenda Item: 120103 - 8b - Wolfe Park Industrial Park Page 3 of 9 easement be dedicated over the stormwater retention area and portion of wetland on Parcel A. These have been included in the proposed resolution as conditions of approval. Is the park dedication fee waiver appropriate? As stated earlier, the applicant is requesting a waiver to park dedication fees. Per City policy park dedication fees are required when new lots are added to the site. The final Plat approved in June 2003 for the redevelopment of this property combined several underlying lots to create one parcel. The preliminary plat originally proposed the creation of two lots, one per building. During the final plat approval, the applicant proposed to combine the lots to resolve some issues with lot line placement and phasing. Staff believes a waiver from park dedication fees is appropriate in this instance because the total number of lots has decreased with the overall redevelopment of this property, even with the proposed lot division. The Park and Recreation Director concurs. The City Attorney has advised in the past that we cannot charge park dedication unless there is an increase in the number of lots. Therefore, we would not have charged this development if they had continued to show two lots when it was final platted. According to the Subdivision Ordinance the Park & Rec Commission shall recommend to the City Council park dedication contribution requirements. The Park & Rec Commission has been advised of this request and have been asked to provide staff with any comments before the Council meeting on December 1st. Staff has not received any comments at the drafting of this report but will provide an update at the Council meeting. Are there any other issues? The Fire Department has recommended fire lanes be called out of the final plans along the ends of the parking rows and along the western property line north of the office building. Staff recommends the final plans be revised to include fire lanes as approved by the Fire Department. This has been included in the resolution. Recommendation: Staff recommends adoption of the attached resolutions approving a minor PUD amendment to allow an additional bank drive through lane and to waive park dedication fees for an administrative lot division, subject to all conditions in the resolutions. Attachments: • Proposed resolutions • Final PUD Site Plan & Plat approved on June 16, 2003 (supplement) • Proposed Site Plan & Survey (supplement) Prepared by: Julie Grove, Associate Planner Approved by: Charles W. Meyer, City Manager St. Louis Park City Council Agenda Item: 120103 - 8b - Wolfe Park Industrial Park Page 4 of 9 RESOLUTION NO. 03-175 Amends and Restates Resolution No. 03-072 A RESOLUTION AMENDING AND RESTATING RESOLUTION NO. 03-072 ADOPTED ON JUNE 16, 2003 APPROVING A FINAL PLANNED UNIT DEVELOPMENT UNDER SECTION 36-367 OF THE ST. LOUIS PARK ORDINANCE CODE RELATING TO ZONING FOR PROPERTY ZONED C- 2 COMMERCIAL LOCATED AT 5000 AND 5050 WEST 36th ST. TO ALLOW ADDITION OF A FOURTH DRIVE-THROUGH LANE FOR A BANK AND CONVERT A POST OFFICE CUSTOMER SERVICE USE TO RETAIL WHEREAS, Belt Line Industrial Park, Inc. (John D. McCain) has made application to the City Council for a Minor Amendment to a Final Planned Unit Development (Final PUD) under Section 36-367 of the St. Louis Park Ordinance code to allow the addition of a fourth drive-through lane for a 54,742 square foot bank at 5000 W 36th St and to convert the approval for a 9,872 square foot post office/retail customer service use to retail at 5050 W 36th St within a C-2 Commercial Zoning District having the following legal description: Lot 1, Block 1, Wolfe Lake Professional Center WHEREAS, the City Council has considered the information related to Planning Case Nos. 02-31-PUD and 03-76-PUD and the effect of the proposed addition of a fourth drive-through lane on the health, safety, and welfare of the occupants of the surrounding lands, existing and anticipated traffic conditions, the effect on values of properties in the surrounding area and the effect of the use on the Comprehensive plan; and compliance with the intent of the Zoning Ordinance; and WHEREAS, a Final PUD was approved regarding the subject property pursuant to Resolution No. 03-072 of the St. Louis Park City Council dated June 16, 2003 which contained conditions applicable to said property; and WHEREAS, due to changed circumstances, amendments to those conditions are now necessary, requiring the amendment of that Final PUD; and WHEREAS, it is the intent of this resolution to continue and restate the conditions of the permit granted by Resolution No. 03-072 to add the amendments now required, and to consolidate all conditions applicable to the subject property in this resolution; and WHEREAS, the contents of Planning Case Files 02-31-PUD and 03-76-PUD are hereby entered into and made part of the public hearing and the record of decision for this case. CONCLUSION St. Louis Park City Council Agenda Item: 120103 - 8b - Wolfe Park Industrial Park Page 5 of 9 NOW THEREFORE BE IT RESOLVED that Resolution No. 03-072 filed as Document No. 8105489 is hereby restated and amended by this resolution which continues and amends a Final Planned Unit Development to the subject property for the purpose of permitting the addition of a fourth drive-through lane for a 54,742 square foot bank and convert the 9,872 square foot post office/retail to retail only within the C-2 Commercial Zoning District at the location described above subject to the following conditions: 1. The site shall be developed, used and maintained in accordance with the Official Exhibits, subject to the approved changes through the final plat and PUD approval process. (amended by Condition 15 on December 1, 2003) 2. Final PUD approval and development is contingent upon developer meeting all conditions of final approval, including all Minnehaha Creek Watershed District requirements. 3. Prior to any site work, the developer/owner shall meet the following requirements: a. A copy of the Watershed District permit shall be forwarded to the City. b. Any other necessary permits from other agencies shall be obtained. c. Sign assent form and official exhibits. d. Meet conditions of City signing final plat, including revised elevation plans that comply with the Architectural and PUD Ordinance requirements as approved by the Community Development Director or designee. e. Meet any Public Works or Inspections Department requirements including but not limited to protection of trail from construction vehicles, verification of street/signal hardware locations and approval of any necessary modifications, capping of any existing utilities that are not going to be used at the City Main. f. Required erosion control permits, utility permits and other required permits shall be obtained from the City. g. Landscaping plans shall be revised to meet bufferyard F for the office service and loading area, and a Bufferyard D for the bank drive through and post office mailbox drop-off as approved by the Zoning Administrator unless a variance is obtained. (amended on December 1, 2003) h. Required tree protection and erosion control fencing shall be in place prior to commencing any grading activities. i. Meet any Fire Department emergency access requirements for during construction. j. Submit financial security in the form of cash escrow or letter of credit in the amount of 125% of the costs of landscaping; tree replacement; restoration of curbs, boulevards and trails; sidewalk installation, and repair/cleaning of public streets. k. Final sidewalk construction plans, and final construction and related signage plans for the post office mailbox drop-off must be approved by the Public Works Director and the Zoning Administrator. (amended on December 1, 2003) l. Final grading and tree replacement plans must be submitted and approved by the Public Works Director and Zoning Administrator. Required tree protection and erosion control fencing shall be in place prior to commencing any grading activities. 4. Prior to issuance of any building permits, which may impose additional requirements, the developer shall comply with the following: a. Meet all conditions of City signing Final Plat. St. Louis Park City Council Agenda Item: 120103 - 8b - Wolfe Park Industrial Park Page 6 of 9 b. The subdivider shall furnish the City with evidence of recording of the final plat and trail easement. c. Building materials samples to be submitted to and approved by Zoning Administrator. d. An irrigation plan and final lighting plan meeting the ordinance regulations shall be submitted to and approved by the Zoning Administrator. e. All roof top equipment shall be shown to be painted to match the roof and screened from off site views using a parapet wall incorporating the architectural features of the building as observed from 6 feet above ground level on the adjacent property lines and centerline of adjacent public rights-of-way. 5. The developer shall comply with the following conditions during construction: a. All City noise ordinances shall be complied with, that there be no construction activity between the hours of 10 p.m. and 7 a.m. on weekdays and 10 p.m. and 9 a.m. on weekends and holidays. b. The site shall be kept free of dust and debris that could blow onto neighboring properties. c. Public streets shall be maintained free of dirt and shall be cleaned as necessary. d. Tree protection and erosion control fencing shall remain in place until all construction impacts are completed. e. The Zoning Administrator may impose additional conditions if it becomes necessary in order to mitigate the impact of construction on surrounding properties. 6. Prior to issuance of temporary and final occupancy permits, all conditions of the development agreement, relative to phased completion of improvements and submittal of financial sureties, and requirements of condition 15 of this approval must be met. (amended on December 1, 2003) 7. A six foot concrete sidewalk along the west side of Belt Line Boulevard and the east side of Raleigh Avenue adjacent to the subject parcel are to be installed and maintained by the developer per the approved final site plan, and specifications unless the City chooses to install and/or maintain the sidewalks. 8. The developer shall provide the required number of replacement trees on site or a combination of on-site trees and cash in lieu of trees. The Community Development Director and Parks and Recreation Director shall approve the cash equivalent amount. 9. Drop-off mailboxes may not be installed in any locations except those specifically approved by the Zoning Administrator and Public Works Director. A post office customer service facility is not allowed unless a future major amendment to the PUD is approved to address conditions for the use. (amended on December 1, 2003) 10. The following conversion of uses is allowed without amending the PUD: a. The 3,000 sq. ft. post office to retail provided the post office drop-box driveway is removed, curb and boulevard restored, and disturbed areas are seeded. The 19,700 sq. ft. bank to administrative offices provided the drive-through is closed and landscaped as approved by the Zoning Administrator. 11. The following ordinance modifications are approved: a. A PUD modification to allow 240 parking stalls rather than the required 264 stalls; b. A PUD modification to allow setbacks on the retail/post-office building as shown on the approved (signed) Final PUD official exhibits; St. Louis Park City Council Agenda Item: 120103 - 8b - Wolfe Park Industrial Park Page 7 of 9 c. A PUD modification to allow a monument sign a minimum 2 feet north of the trail along 36th Street; 12. Signage (other than the setback of the monument sign) is not approved as part of the PUD. Prior to the installation of any signs, including temporary signs or new sign faces, the applicant shall obtain sign permits in accordance with ordinance requirements. 13. The development shall comply in all respects with any conditions for Plat approval, ‘No Parking’ Fire Lane Signage and all other City Ordinances. (amended on December 1, 2003) 14. The developer or owner shall pay an administrative fine of $750 per violation of any condition of this approval. 15. The Planned Unit Development shall be amended on December 1, 2003 to incorporate all of the preceding conditions and add the following conditions: a. The site shall be developed, used and maintained in accordance with the official exhibits, which shall be revised before signing to meet the following conditions: i. The exhibits must be revised to show the fourth bank drive through lane and one way bypass lane and all directional signage as approved by the Public Works Department. ii. The post office use and mailbox driveway must be eliminated from all exhibits. iii. The Site Plan must be revised to indicate the fire lanes as approved by the Fire Marshall. b. Prior to any temporary or permanent/final occupancy permits the developer shall comply with the following: i. A third ‘Do not enter’ sign must be installed within the curbed island just west of the retail buildings eastern property line. ii. A cross access and circulation agreement and a storm water shared use and maintenance agreement must be recorded prior to the issuance of any occupancy permits. iii. A drainage and utility easement must be dedicated over the retention pond and portion of wetland on Parcel A as approved by the Public Works Department. iv. No Parking Fire Lane Signs shall be posted on all private drive aisles in locations determined by the Fire Marshall prior to the issuance of any occupancy permits. Assent form and official exhibits must be signed by applicant (or applicant and owner if applicant is different from owner). (Signature Block) St. Louis Park City Council Agenda Item: 120103 - 8b - Wolfe Park Industrial Park Page 8 of 9 RESOLUTION NO. RESOLUTION APPROVING A WAIVER OF PARK DEDICATION FEES FOR AN ADMINISTRATIVE SUBDIVISION OF LOT 1, BLOCK 1 WOLFE LAKE PROFESSIONAL CENTER WHEREAS, a Preliminary PUD and Preliminary Plat approved on July 15, 2002 included portions of 16 underlying lots and two new lots. WHEREAS, a Final PUD and Final Plat approved on June 16, 2003 created one lot. BE IT RESOLVED BY the City Council of St. Louis Park: Findings 1. Belt Line Industrial Park, Inc., owners and subdividers of the land platted as Wolfe Lake Professional Center have submitted an application for approval of an administrative subdivision in the manner required under the St. Louis Park Ordinance Code, and all proceedings have been duly had thereunder. 2. The proposed administrative subdivision to create two parcels of Lot 1, Block 1 Wolfe Lake Professional Center has been found to be in all respects consistent with the City Plan and the regulations and requirements of the laws of the State of Minnesota and the ordinances of the City of St. Louis Park. 3. The proposed administrative subdivision is situated upon the following described lands in Hennepin County, Minnesota, to-wit: Lot 1, Block 1 Wolfe Lake Professional Center 4. The proposed administrative subdivision does not create additional lots compared to the number of underlying lots prior to the platting of Wolfe Lake Professional Center. Conclusion 1. The proposed waiver of park dedication for the administrative subdivision of Wolfe Lake Professional Center is hereby approved and accepted by the City as being in accord and conformity with all ordinances, City plans and regulations of the City of St. Louis Park and the laws of the State of Minnesota. St. Louis Park City Council Agenda Item: 120103 - 8b - Wolfe Park Industrial Park Page 9 of 9 provided, however, that this approval is made subject to the opinion of the City Attorney and Certification by the City Clerk. 2. The City Clerk is hereby directed to supply two certified copies of this Resolution to the above-named owner and subdivider, who is the applicant herein. The City Clerk is instructed to record certified copies of this resolution in the Office of the Hennepin County Register of Deeds or Registrar of Titles as the case may be. Reviewed for Administration: Adopted by the City Council December 1, 2003 City Manager Mayor Attest: City Clerk 03-77-S:res/ord St. Louis Park City Council Agenda Item: 120103 - 8c - 1st Reading Misc Street Ord Revisions Page 1 of 2 8c. 1st Reading of an ordinance amending Chapter 24: Streets, Sidewalks and Other Public Places Addition of new language to clarify existing provisions regarding sweeping leaves into streets and obstructing streets, sidewalks and public ways Recommended Action: Motion to approve 1st reading and set second reading for December 15, 2003. Background: Staff is proposing two minor ordinance revisions intended to clarify provisions already contained in the code: Depositing Leaves in Public Streets - This restriction has been cited under provisions for litter (Section 12-92). The term “litter” in that section is defined as “…garbage, refuse and rubbish, and all other waste material which, if thrown or deposited as prohibited in this article, tends to create a danger to public health, safety and welfare.” Staff has found it difficult to communicate to the public that even though leaves are not expressly mentioned in the section, restrictions against littering also mean that leaves cannot be dumped into the street. We believe this restriction could be better communicated to the public by including more specific language in Chapter 24 (Streets, Sidewalks and Other Public Places). Proposed language refers back to Chapter 12 (Nuisances) for procedures on abatement and assessment. Section 24-51. Sweeping leaves into street prohibited. No person shall sweep or otherwise deposit leaves, grass clippings or other yard waste onto any sidewalk, public property or public way. Violation of this provision is declared a nuisance under section 12-31. Obstructing sidewalks and public ways – Current code language states that no vehicles may obstruct any sidewalk or public way, but does not address other obstructions. Examples of “other” obstructions that have been observed by staff include pallets of landscape materials, and deliveries of soil, gravel and sod. Public works has requested that the restrictions against obstructing sidewalks and public ways be expanded to include more general language. Proposed language refers back to Chapter 12 (Nuisances) for procedures on abatement and assessment. Sec. 24-43. Obstructing sidewalks and public ways. No person shall leave or allow to be left any vehicle which obstructs any sidewalk or other public way of this city longer than is necessary for loading or unloading the same, unless granted a permit to do so by the city. Except for vehicles, no person shall leave or allow to be left any object on any street or other public way. Violation of this provision is declared a nuisance under section 12- 31. Attachments: Proposed Ordinance Prepared By: Cindy Reichert, City Clerk Approved By: Charles W. Meyer, City Manager St. Louis Park City Council Agenda Item: 120103 - 8c - 1st Reading Misc Street Ord Revisions Page 2 of 2 ORDINANCE NO. ________-03 AN ORDINANCE AMENDING THE ST. LOUIS PARK MUNICIPAL CODE CHAPTER 24: STREETS, SIDEWALKS AND OTHER PUBLIC PLACES THE CITY OF ST. LOUIS PARK DOES ORDAIN: SECTION 1. Chapter 24 of the St. Louis Park Municipal Code is hereby amended as follows: (*** denotes section breaks) *** Sec. 24-43. Obstructing sidewalks and public ways. No person shall leave or allow to be left any vehicle which obstructs any sidewalk or other public way of this city longer than is necessary for loading or unloading the same, unless granted a permit to do so by the city. Except for vehicles, no person shall leave or allow to be left any object on any street or other public way. Violation of this provision is declared a nuisance under section 12- 31. *** Section 24-51. Sweeping leaves into street prohibited. No person shall sweep or otherwise deposit leaves, grass clippings or other yard waste onto any sidewalk, public property or public way. Violation of this provision is declared a nuisance under section 12-31. SECTION 2. This Ordinance shall take effect fifteen days after its publication. Reviewed for Administration Adopted by the City Council December 1, 2003 City Manager Mayor Attest: Approved as to Form and Execution: City Clerk City Attorney St. Louis Park City Council Agenda Item: 120103 - 8d - 1st Reading Gambling Ordinance Revisions Page 1 of 3 8d. 1st Reading of an ordinance amending Chapter 15: Gambling Revisions required due to changes in statute and proposed revision to public hearing requirement Recommended Action: Motion to approve 1st reading and set second reading for December 15, 2003. Background: During the 2003 legislative session, revisions were made to statute which eliminate the classifications of licenses and which raise the amount of raffle prizes allowed before obtaining a premises permit. Changes to sections 15-1, 15-4 and 15-7 reflect those statute revisions. Public Hearing Requirement: Staff is also proposing to eliminate the city’s distance requirement which calls for a public hearing to be held whenever approval is sought for a premises permit (pull-tab permit) where the gambling activity is located within 350 feet of a residence, school or place of worship. Our ordinance states that a premises permit can only be issued to a licensed organization’s hall, such as a VFW, or in licensed on-sale liquor, wine and beer establishments. Staff feels that the location requirements already imposed on these primary uses are sufficient to limit the effect of gambling activities on our residents, schools and churches. In addition, it is important to note that the notice requirement generates very little public interest. Indeed, staff cannot recall the last time a resident attended a public hearing to consider a gambling permit application. Attachments: Proposed Ordinance Prepared By: Cynthia Reichert, City Clerk Approved By: Charles W. Meyer, City Manager St. Louis Park City Council Agenda Item: 120103 - 8d - 1st Reading Gambling Ordinance Revisions Page 2 of 3 ORDINANCE NO. ________-03 AN ORDINANCE AMENDING THE ST. LOUIS PARK MUNICIPAL CODE CHAPTER 15: GAMBLING THE CITY OF ST. LOUIS PARK DOES ORDAIN: SECTION 1. The St. Louis Park Municipal Code is amended by adding Chapter 15 to read as follows (Section breaks are represented by ***): Sec. 15-1. Definitions. *** Class of license means a class A, B, C or D license issued by the board as authorized under M.S.A. § 349.16, subd. 6, as amended. *** Sec. 15-4. Gambling permitted. *** (4) A raffle may be conducted without a premises permit if it is conducted by an organization and if the value of all raffle prizes awarded in a calendar year do not exceed $750.00 $1,500 or if the raffle is conducted by a tax exempt health or social service organization under contract to the state or a political subdivision if the prizes awarded are real or personal property donated by an individual, firm or other organization. *** Sec. 15-7. Location criteria for premises permits. (a) Gambling in the city may be conducted only at the following locations: (1) In the licensed organization's hall where it has its regular meetings; (2) In licensed on-sale liquor, wine and beer establishments; (3) Class D Raffle only) premises permits, when required, are exempt from the location restrictions set forth in this section. (4) No location shall be approved unless it complies with the applicable zoning, building, fire and health codes of the city and other regulations contained in this chapter. (b) A person or organization, other than an organization, which leases any premises it owns to an organization for the purpose of conducting bingo, may not allow more than 18 bingo occasions to be conducted on the premises in any week. Not more than six bingo occasions each week may be conducted by an organization. At least 15 bingo games must be held at each occasion and a bingo occasion must continue for at least 1.5 hours, but not more than four consecutive hours. St. Louis Park City Council Agenda Item: 120103 - 8d - 1st Reading Gambling Ordinance Revisions Page 3 of 3 (c) Prohibited areas shall be as follows: (1) No premises permit shall be issued for any location within 350 feet of any dwelling (residence), school or place of worship. (2) The distance imposed in subsection (c)(1) of this section may be waived at the discretion of the city council, provided a notice of the time and place of the city council meeting at which the application will be considered shall be mailed at least ten days before the date of the city council meeting to all property owners of record located, wholly or partly, within 350 feet of the site where the lawful gambling is proposed. This notice will advise the owners that they may file any objections with the city clerk prior to the city council meeting or that they may attend the meeting and be heard. SECTION 2. Effective Date: This ordinance shall take effect 15 days after is publication. Reviewed for Administration: Adopted by the City Council December 17, 2003 City Manager Mayor Attest: Approved as to Form and Execution: City Clerk City Attorney St. Louis Park City Council Agenda Item: 120103 - 8e - 1st Reading Unclaimed Property Page 1 of 3 8e. 1st Reading of an ordinance amending Chapter 18: Offenses and Miscellaneous Provisions Addition of Article VII. Unclaimed Property in accordance with requirements of M.S.A. § 471.195 Recommended Action: Motion to approve 1st reading and set second reading for December 15, 2003. Background: At the time of recodification, the City Clerk and Police Department staff reviewed the city’s ordinance regarding unclaimed property which had been in effect since 1975 and determined that the city would be better served in following provisions contained in M.S.A. § 471.195. Therefore, the municipal ordinance was not carried forward into the new code and the city has been operating under provisions contained in state statute since adoption of the new code in January of 2002. It has come to our attention that in addition to outlining procedures for disposition of unclaimed property, the statute also requires municipalities to adopt their own ordinance stating how unclaimed property will be disposed of, including designation of a fund into which the proceeds from the sale of the property are placed. Adoption of this ordinance does not change the procedures under which the city operates and merely brings us into compliance with the requirements of the statute. Attachments: Proposed Ordinance Prepared By: Cindy Reichert, City Clerk Approved By: Charles W. Meyer, City Manager St. Louis Park City Council Agenda Item: 120103 - 8e - 1st Reading Unclaimed Property Page 2 of 3 ORDINANCE NO. ________-03 AN ORDINANCE AMENDING THE ST. LOUIS PARK MUNICIPAL CODE CHAPTER 18: OFFENSES AND MISCELLANEOUS PROVISIONS THE CITY OF ST. LOUIS PARK DOES ORDAIN: SECTION 1. Chapter 18 of the St. Louis Park Municipal Code is hereby amended to add Article VII to read as follows: Article VII. UNCLAIMED PROPERTY; DISPOSAL Sec. 18-151. Purpose and scope of article. In accordance with M.S.A. § 471.195, the purpose of this article is to provide for the custody and disposal of property lawfully coming into the city’s possession in the course of municipal operations and remaining unclaimed by the owner. Sec. 18-200. Custody of Property. The chief of police will take custody of all personal property, including lost money, lawfully coming into the possession of the city and city employees in the course of municipal operations and remaining unclaimed by the owner. The chief of police must retain the property in a safe place for a period of at least 60 days, unless claimed by the true owner with satisfactory proof of ownership. The chief must keep a record of the property, including its disposition. Sec. 18-201. Disposition of Property. Property held in custody by the chief of police and not claimed by the true owner within 60 days will be deemed abandoned. The chief of police may dispose of non-monetary abandoned property in one of the following ways: 1. sell the property at public sale following 10 days published notice in the official newspaper; 2. return lost property to its finder; 3. convert usable property to city use; or 4. donate the property to a tax-exempt, non-profit organization if the donation is authorized by law. Property not purchased at a sale may then be disposed of by the chief in any reasonable manner. St. Louis Park City Council Agenda Item: 120103 - 8e - 1st Reading Unclaimed Property Page 3 of 3 Sec. 18-202. Summary Disposal. The chief of police may dispose of unclaimed property without notice and in a summary manner when he/she believes this to be in the public interest and if he/she determines that the property: 1. is of a dangerous or perishable nature; 2. is contraband; 3. has no resale value; or 4. cannot be legally or safely sold at public sale. Sec. 18-203. Disposition of Funds. Together with found money that has been held for 60 days, the chief of police must deliver all money that was received from the sale of abandoned property to the finance director for deposit into the city’s general fund. If no claim has been made by the former owner with satisfactory proof of ownership, found money may be returned to the finder; otherwise the money will revert to the city's general fund. Sec. 18-204. Special Provisions: Police Department. Money and other property lawfully seized by, or voluntarily surrendered to, the city at the scene of a crime or during an official police investigation must be retained by the chief of police in a safe place for at least 60 days. If not lawfully claimed by the true owner with adequate proof of ownership during that time, non-monetary property may be disposed of in accordance with Section 18-201. Sale proceeds and seized money may then be deposited in the police department forfeiture and seizure account to be used only for law enforcement purposes. Sec. 18-205. Claim of Former Owner. If the former owner of property disposed of at public sale makes application and furnishes satisfactory proof of ownership within six months of the sale, he/she shall be paid the proceeds of the sale of his property less the costs of storage and the proportionate part of the cost of published notice and other costs of the sale. Sec. 18-206. Disposition of Abandoned Motor Vehicles. The chief of police must dispose of abandoned motor vehicles by following the procedure in M.S.A. § 168B.01 through §168B.101. SECTION 2. This Ordinance shall take effect fifteen days after its publication. (Signature Block)