HomeMy WebLinkAboutNovember 12, 1991OFFICIAL PROCEEDINGS
COLUMBIA HEIGHTS CITY COUNCIL
REGULAR COUNCIL MEETING
NOVEMBER 12, 1991
The meeting was called to order by Mayor Carlson at 7:00 p.m.
1. ROLL CALL
Nawrocki, Clerkin, Ruettimann, Peterson, Carlson - present
PLEDGE OF ALLEGIANCE
Welcome of New Mayor
Mayor Carlson welcomed newly-elected Mayor Donald Murzyn, Jr.
to the Council meeting and congratulated him on his victory in
the recent election.
CONSENT AGENDA
The following items were approved on the Consent Agenda:
Approval of Minutes of Previous Meetings
The Council approved the minutes of the Regular City Council
Meeting of October 28, 1991 as presented and there were no
corrections.
A_pRroval of License Applications
The Council approved the license applications as listed upon
payment of proper fees.
Payment of Bills
The Council approved the bills as listed out of proper funds.
APPROVAL OF CONSENT AGENDA
Motion by Nawrocki, second by Clerkin to approve the Consent
Agenda as presented. Roll call: All ayes
OPEN MIKE/PROCLAMATIONS/PRESENTATIONS
There was no one present for Open Mike and there were
proclamations or presentations.
RESOLUTIONS AND ORDINANCES
a.
no
Second Reading of Ordinance No. 1235; Being an Ordinance
Providing for the Issuance and Sale of General Obligation
Tax Increment Refunding Bonds of $6,685,000, Series 1991A
An amended copy of the Terms and Conditions of the bonds
was distributed to the Council. There were minor changes
which were reviewed by a representative of Springsted
REGULAR COUNCIL MEETING
NOVEMBER 12, 1991
PAGE 2
Financial Advisors. He noted there will be a savings of
$293,000 or more for the City with this refunding action.
The City's bond counsel and the City Attorney had
reviewed the changes and noted there was no substantive
change and everything is in order. The City ManaGer
stated the changes for the record which dealt exclusively
with dollar amounts in the body of the Terms and
Conditions.
Motion by Nawrocki, second by Ruettimann to waive the
reading of the ordinance subject to the changes as read
by the City ManaGaer being included in the final version
of the ordinance. Roll call: All ayes
ORDINANCE NO. 1235
ORDINANCE PROVIDING FOR THE ISSUANCE AND SALE OF GENERAL
OBLIGATION TAX INCREMENT REFUNDING BONDS, SERIES 1991A
The City of Columbia HeiGhts does ordain:
1. It is hereby determined that:
(a) The City is authorized by Minnesota Statutes, Chapter
475 (Act) and Section 475.67 of the Act to issue and sell
its General obligation bonds to refund obligations and
the interest thereon before the due date of the
obligations, if consistent with covenants made with the
holders thereof, when determined by the City Council to
be necessary or desirable for the reduction of debt
service cost to the City or for %he extension or
adjustment of maturities in relation to the resources
available for their payment;
(b) It is necessary and desirable to reduce debt service
costs that the City issue approximately $6,725,000
General ObliGation Tax Increment Refunding Bonds, Series
1991A (Bonds) to refund certain outstanding General
obligations of the City;
(c) The outstanding bonds to be refunded (Refunded Bonds)
consist of the $9,100,000 General ObliGation Tax
Increment Refunding Bonds of 1987, Series A, dated June
l, 1987, of which $6,550,000 in principal amount is
callable on March 1, 1994.
REGULAR COUNCIL MEETING
NOVEMBER 12, 1991
PAGE 3
To provide moneys to refund the Refundable Bonds, the
City will issue and sell Bonds in approximately the
amount of $6,624,125. To provide in part the additional
interest required to market the Bonds at this time,
additional Bonds will be issued in the amount of
$1,000,875. The exceess of the purchase price of the
Bonds over the sum of $6,624,125 will be credited to the
debt service fund for the Bonds for the purpose of paying
interest first coming due on the additional Bonds. The
Bonds will be issued, sold and delivered in accordance
with the terms of the following Terms of Proposal:
TERMS AND CONDITIONS
$6,725,000*
CITY OF COLUMBIA HEIGHTS, MINNESOTA GENERAL OBLIGATION TAX
INCREMENT REFUNDING BONDS, SERIES 1991A
DETAIL OF THE BONDS
The Bonds will be dated December 1, 1991, as the date of
original issue, and will bear interest payable on March 1 and
September 1 of each year, commencing September 1, 1992.
Interest will be computed on the basis of a 360-day year of
twelve 30-day months. The Bonds will be issued in the
denomination of $5,000 each, or in integral multiples thereof,
and fully registered as to principal and interest. Principal
will be payable at the main corporate office of the registrar
and interest on each Bond will be payable by check or draft of
the registrar mailed to the registered holder thereof at the
holder's address as it appears on the books of the registrar
as of the close of business on the 15th day of the immediately
preceding month.
The Bonds will mature March 1 in the years and amounts as
follows:
1995 $890,000
1996 $965,000
1997 $955,000
1998 $990,000
1999 $945,000
2000 $900,000
2001 $860,000
2002 $220,000
The City reserves the right, prior to award, to increase or
reduce the principal amount of the Bonds offered for sale. AnY
such increase or reduction will be a total amount not to
exceed $100,000 and will be made in multiples of $5,000 in any
of the maturities. In the event the principal amount of the
Bonds is increased or reduced, any premium offered or any
REGULAR COUNCIL MEETING
NOVEMBER 12, 1991
PAGE 4
discount taken will be increased or reduced by a percentage
equal to the percentage by which the principal amount of the
Bonds is increased or reduced.
OPTIONAL REDEMPTION
The City may elect on March 1, 1999, and on any day
thereafter, to prepay Bonds due on or after March 1, 2000.
Redemption may be in whole or in part and if in part, at the
option of the City, and in such order as the City shall
determine and within a maturity by lot as selected by the
registrar. All prepayments shall be at a price of par plus
accrued interest.
SECURITY AND PURPOSE
The Bonds will be general obligations of the City for which
the City will pledge its full faith and credit and power to
levy direct general ad valorem taxes. In addition the City
will pledge income from tax increment districts in the City.
The proceeds will be used to advance refund the 1995-2002
maturities of the City's General Obligation Tax Increment
Refunding Bonds, Series 1987A, dated June 1, 1987.
TYPE OF PROPOSAL
The proposal shall be for not less than $6,624,125 and accrued
interest on the total principal amount of the Bonds and shall
be accompanied by a Good Faith Deposit ("Deposit") in the form
of a certified or cashier's check in the amount of $67,250,
payable to the order of the City. The City will deposit the
check, the amount of which will be deducted at settlement and
no interest shall accrue to the purchaser. Rates shall be in
integral multiples of 5/100 or 1/8 of 1%. Rates must be in
ascending order. Bonds of the same maturity shall bear a
single rate from the date of the Bonds to the date of
maturity.
AWARDS
The Bonds will be awarded on the basis of the lowest interest
rate to be determined on a true interest cost (TIC) basis. The
City's computation of the interest rate of the proposal, in
accordance with customary practice, will be controlling.
REGISTRAR
The City will name the registrar which shall be subject to
applicable SEC regulations. The City will pay for the services
REGULAR COUNCIL MEETING
NOVEMBER 12, 1991
PAGE 5
of the registrar.
CUSIP NUMBERS
If the Bonds qualify for assignment of CUSIP numbers such
numbers will be printed on the Bonds, but neither the failure
to print such numbers on any Bond nor any error with respect
thereto will constitute cause for failure or refusal by the
purchaser to accept delivery of the Bonds. The CUSIP Service
Bureau charge for the assignment of. CUSIP identification
numbers shall be paid by the purchaser.
SETTLEMENT
Within 40 days following the date of their award, the Bonds
will be delivered without cost to the purchaser at a place
mutually satisfactory to the City and the purchaser. Delivery
will be subject to receipt by the purchaser of an approving
legal opinion of Holmes & Graven, Chartered of Minneapolis,
Minnesota, which opinion will be printed on the Bonds, and of
customary closing papers, including a no-litigation
certificate. On the date of settlement payment for the Bonds
shall be made in federal, or equivalent, funds which shall be
received at the offices of the City or its designee not later
than 12:00 Noon, Central Time. Except as compliance with terms
of payment for the Bonds shall have been made impossible by
action of the City, or its agents, the purchaser shall be
liable to the City for any loss suffered by the City by reason
of the purchaser's non-compliance with said terms for payment.
OFFICIAL STATEMENT
The City has authorized the preparation of an Official
Statement containing pertinent information relative to the
Bonds, and said Official Statement will serve as a nearly-
final Official Statement within the meaning of Rule 15c2-12 of
the Securities and Exchange Commission.
The Official Statement, when further supplemented by an
addenda specifying the maturity dates, principal amounts and
interest rates of the Bonds, together with any other
information required by law, shall constitute a "Final
Official Statement" of the City with respect to the Bonds, as
that term is defined in Rule 15c2-12. By awarding the Bonds,
the City agrees that, no more than seven business days after
the date of such award, it shall provide without cost 270
copies of the Official Statement and the addendum or addenda
described above.
REGULAR COUNCIL MEETING
NOVEMBER 12, 1991
PAGE 6
Springsted Incorporated is authorized and directed to
negotiate the Bonds for sale to Miller & Schroeder
Financial, Inc. in accordance with the foregoing Terms of
Proposal. The City Council will meet as soon as possible
after the City receives an offer from Miller & Schroeder
Financial, Inc. to purchase the Bonds upon terms which
are recommended by Springsted Incorporated, for the
purpose of awarding the sale of the Bonds and taking any
other appropriate action with respect to the Bonds.
This ordinance shall be in full force and effect from and
after 30 (thirty) days after its passage.
First reading:
Second reading:
Date of passage:
October 28, 1991
November 12, 1991
November 12, 1991
Offered by:
Seconded by:
Roll call:
Nawrocki
Ruettimann
All ayes
Mayor Edward M. Carlson
Jo-Anne Student, Council Secretary
Resolution No. 91-66; Being a Resolution Adopting Changes
in Wage Ranges and Establishing Wages
The City Manager explained the rationale for making the
recommended changes.
Motion by Clerkin, second by Peterson to waive the reading of
the resolution there being ample copies available for the
public. Roll call: All ayes
RESOLUTION NO. 91-66
ADOPTING CHANGES IN WAGE RANGES AND ESTABLISHING WAGES FOR
TEMPORARY PART TIME LIBRARY EMPLOYEES AND SEASONAL PUBLIC
WORKS' POSITIONS
WHEREAS, the City of Columbia Heights adopted a Wage
Compensation Program for Non-Unionized City Employees
effective January 12, 1980 (resolution 80-47), which indicates
that on an annual basis changes will be adopted in wage ranges
based upon reliable survey data;
NOW, THEREFORE, BE IT RESOLVED that the City of Columbia
REGULAR COUNCIL MEETING
NOVEMBER 12, 1991
PAGE 7
Heights establishes wage ranges for non-unionized temporary
part time Library positions and seasonal Public Works'
positions, as indicated in Schedule I and II which are on file
in the Office of the City Manager; and,
BE IT FURTHER RESOLVED that such schedules be effective
January 1, 1992.
Passed this 12th day of November, 1991.
Offered by:
Seconded by:
Roll call:
Clerkin
Peterson
All ayes
Jo-Anne Student, Council Secretary
Mayor Edward M. Carlson
Motion by Nawrocki, second by Peterson to waive the reading of
the resolution there being ample copies available for the
public. Roll call: All ayes
RESOLUTION NO. 91-67
BEING A RESOLUTION ESTABLISHING RESIDENTIAL RATES FOR REFUSE,
RECYCLING, AND YARD WASTE COLLECTION EFFECTIVE JANUARY 1, 1992
WHEREAS, Ordinance No. 853, City Code of 1977 (as amended)
pertaining to Garbage, Rubbish and Recycling service provides
for the setting of appropriate rates for services rendered;
and,
WHEREAS, the City awarded a two-year contract to Woodlake
Sanitary Service, Inc. to provide refuse, recycling and yard
waste collection service in the City of Columbia Heights;
NOW, THEREFORE, BE IT RESOLVED that the following monthly
refuse, recycling and yard waste collection service rates be
adopted and put into effect as of January 1, 1992, on all
billings rendered thereafter for residential service, and put
into effect as of April 1, 1992, on all billings rendered
thereafter for multiple dwelling vat service and City
facilities vat service.
Resolution No. 91-67; Being a Resolution Establishing
Residential Rates for Refuse, Recycling and Yard Waste
Collection Effective January 1, 1992
REGULAR COUNCIL MEETING
'NOVEMBER 12, 1991
PAGE 8
RESIDENTIAL SERVICE
Private Residents - One Pickup Per Week
(and per unit in additional dwelling
units of two family buildings)
Senior Citizens - One Pickup Per Week
(as defined by Council resolution
establishing eligibility)
$17.10
$13.22
Limited Volume - One Pickup Per Week
(as defined by administrative procedure
and contract between City and Woodlake
Sanitary Service, Inc.)
$14.98
MULTIPLE DWELLING SERVICE Vat Service:
1 pickup per week charge per cubic yard
2 pickups per week charge per cubic yard
3 pickups per week charge per cubic yard
4 pickups per week charge per cubic yard
5 pickups per week charge per cubic yard
Other Refuse Service:
Yard waste and recycling per dwelling unit
Administration and overhead per customer
$ 35.00
$ 70.00
$105.00
$140.00
$175.00
2.99
1.93
Passed this 12th day of November, 1991.
Offered by:
Seconded by:
Roll call:
Peterson
Ruettimann
All ayes
Mayor Edward M. Carlson
Jo-Anne Student, Council Secretary
7. COMMUNICATIONS
ag
Planning and Zoning Commission
There was no quorum for the November 5, 1991 Planning and
Zoning Commission meeting.
North Metro Mayors Association
Councilmember Nawrocki referred the Councilmembers to the
recent report received from the North Metro Mayors
Association.
Suburban Rate Authority
Councilmember Nawrocki advised the Council that the
REGULAR COUNCIL MEETING
NOVEMBER I2, 1991
PAGE 9
o
Suburban Rate Authority was successful in its efforts to
have the Tier System of the telephone utility abandoned.
This affected our City in that the second tier of the
system began north of 44th Avenue.
Association of Metropolitan Municipalities
Councilmember Nawrocki advised that the AMM has adopted
policy positions on issues which are important to the
City of Columbia Heights. He specifically directed
attention to formulas for funding changes. Mayor Carlson
noted that Local Government Aids are a significant source
of funds for Columbia Heights and any decreases in this
funding could make 1992 a very difficult budgeting year
for the City.
OLD BUSINESS
Tree Planting Contract
The City Manager advised that the agreement with
Greenworks, Inc. for replacing trees in the City should
be extended. He explained that the early snowfall has
interrupted the planting of the trees. He recommended
that the agreement be extended and that one third payment
be authorized to the contractor.
Motion by Clerkin, second by Peterson to reconsider the
action of the Council regarding the agreement with
Greenworks, Inc. approved on April 8, 1991, and that the
warranty be extended through the Fall of 1992 and that
the Council authorize one-third of the fee due be paid.
Roll call: All ayes
bo
Mid-Block Lighting
Mayor Carlson inquired why Northern States Power has not
started the installation of mid-block lighting in the
southeast quadrant of the City which was authorized last
March. The Public Works Director responded he has been in
constant contact with NSP regarding this matter and is
becoming very frustrated· He noted that officials of NSP
have repeatedly stated the project will be started and
have failed to do anything. He will continue to pursue
the matter.
NEW BUSINESS
Engineering Contract for Reconstruction of Pump Station
No. 2
Staff reviewed all of the options for reconstruction of
Pump Station #2. Another option was received from Maier
REGULAR COUNCIL MEETING
NOVEMBER 12, !991
PAGE 10
Stewart & Associates, who is the consulting engineering
firm for this project. This option was distributed to the
Council.
Motion by Peterson, second by Ruettimann to amend the
engineering contract with Maier Stewart & Associates,
Inc. for Municipal Projects #9119 and #9120 to an amount
not to exceed $21,300; and furthermore, to authorize the
Mayor and City Manager to enter into an agreement for the
same. Roll call: All ayes
Replacement of South Upper Level Door at Municipal
Service Center
Motion by Nawrocki, second by Ruettimann to authorize the
purchase of a new door replacement for the Municipal
Service Center, cable work on three other doors and
replacement of pneumatic safety edges on four doors in a
net amount of $3,111.48; and furthermore, to transfer
funding for the replacement of the garage door from the
Garage Fund Retained Earnings with costs for the other
items to come from the Maintenance Budget and the Mayor
and City Manager be authorized to enter into an agreement
for same with Crawford Door Sales of West St. Paul and
that the staff be directed to pursue possible insurance
coverage for damages to the door. Roll call: All ayes
c. Appointments to Boards and Commissions
Recess:
Reconvene:
9:00 p.m.
9:15 p.m.
Motion by Ruettimann, second by Nawrocki to appoint Pat
Grady to fill the unexpired term of Veronica Schlagel on
the Park and Recreation Commission; to appoint Peggy Duda
to a vacancy on the Human Services Commission and to
appoint Stephen Riner to a vacancy on the Science,
Technology and Energy Commission. Roll call: All ayes
10. REPORTS
a. Report of the City Manager
The City Manager's report was submitted in written form and
the following items were discussed:
Consultant Report on Comprehensive Plan: The City Manager
advised that the consultant from BRW will be making a
report on the Comprehensive Plan and survey results
at the December 3rd meeting of the Planning and Zoning
Commission. This presentation was made previously but no
REGULAR COU~CIL MEETING
NOVEMBER 12, 1991
PAGE 11
one on the City Council was in attendance.
Surface Water Management Agreement: The preliminary plans
for the surface water management issue have been
completed. Copies of the plan were distributed to the
Council. The City Manager will set up a joint meeting of
the Columbia Heights and Fridley councils for the
consulting engineer to review the plans and to answer
questions.
Senior Outreach Worker: A request had been received from
ACCAP for additional funding as the Senior Outreach
Program is about $4,500 short. This request is for the
current year's operation which runs from September
through May. It was noted that there is $3,000 remaining
in the 1991C.D.B.G. funds.
Councilmember Nawrocki advised he had pursued the Meals
on Wheels program dilemma in qualifying for C.D.B.G.
funds. He noted that eighty percent of the recipients of
this program are Columbia Heights residents. The request
was for supplemental funds which are used to pay the cost
of meals which were not affordable by some of the
recipients. This program did not qualify to receive funds
from the C.D.B.G. Program because it could not supply the
insurance coverage required by Anoka County which is the
operating agent of the Program. Councilmember Nawrocki
noted that Meals on Wheels is incorporated as a non-
profit and tax exempt organization and was questioning
their need to qualify for the funding. The City Manager
stated that this insurance coverage is a requirement of
Anoka County, but he will study the matter further.
Councilmember Nawrocki stated his support for additional
funding for the Senior Outreach Worker Program.
Miscellaneous Items: Councilmember Ruettimann observed,
while looking at recent alley improvements, that one of
the alleys appears to have some hydraulic oil spilled on
it. The Public Works Director responded that this was
done by a tree cutting firm's truck and was spilled on
that portion of the alley which was repaired.
Councilmember Ruettimann commented that the holiday
lights which are being placed on poles in the downtown
area are not being placed on all poles. He was advised
that there are some problems with electrical power and
that some of the poles need brackets.
REGULAR COUNCIL MEETING
NOVEMBER 12, 1991
PAGE 12
The City ManaGer advised that snow will be hauled from
the downtown area beGinninG on Wednesday, November 13th.
Councilmember Nawrocki stated he will not be in
attendance at the November 25th Council meeting as he has
a job-related commitment.
Report of the City Attorney
The City Attorney had nothing to report at this time.
ADJOURNMENT
Motion by Ruettimann, second by Peterson to adjourn the meeting at
9:50 p.m.. Roll call: All ayes
J~-A~e §tudent~"Council
Secretary
Mayor Edward M. Carlson