HomeMy WebLinkAboutAug 11, 1980SPECIAL MEETING OF THE CITY COUNCIL OF COLUMBIA HEIGHTS
August ll, 1980
meeting was called to order by Mayor Nawrocki at 7:0o PM.
Pursuant to due call and notice thereof, a meeting of the City Council of the City
of Columbia Heights, Anoka County, Minnesota (the "City"), was duly assembled at
the City Hall in said City on the llth day of August, 1980, at 7:00 PM for the
purpose of opening and considering bids for awarding the sale of $8,175,OO0 aggregate
principal amount of General Obligation Tax Increment Bonds of 1980, of the City.
The following members were present: ';
Mayor Bruce Nawrocki, E."Sebe" Heintz,Gayle Norberg, Kenneth Hentges, Walter Logacz
and the following were absent:
None
2. Public Hearings
a. Opening of Bids for General Obligation Bonds--S8,187,000
Phil Chenoweth, representative for Ehlers and Associates, Inc., financial specialists,
presented two bids for the General Obligation Bonds. They were opened and read aloud.
The first bid was from Continental Bank of Chicago, Ill. with a net interest cost
of $10,436,316.15 and a net interest rate of 8.632.00%. The second bid was from
Northwestern National Bank of Mpls. with a net interest cost of $10,146,256.16 and
a net interest rate of 8.3920%. Both bids had checks enclosed for the amount ~f
$163,500.O0. Mr. Chenoweth referred the Council to the Dow Jones Bond Index as of
August ll, 1980 which is 9.44%. He reflected on the strength of the City's bonds
in that the bids came in more than a full percent lower than the Index. Roger Jensen,
Director of HRA, advised the Council that the higher interest rate doesn't
change anything from the original projection of 7 3/4% except the reimbursement
that was originally scheduled for 1984 and 1985 may come in later. This may not be
necessary because of the w~y that the budget was put together in that it was very
conservative on the revenues.
Phil Chenoweth gave the figures from the official statement for the total of
interest and principal of $17,544,944.00 and the bid was for a total of interest
and principal of $)8,206,325.00. He further explained that once the bid is accepted
the interest and principal is locked and will not change.
The City Manager advised the Council that all of the figures should be completed
on the resolution being presented before the Council should vote on it.
Motion by Logacz, second by Heintz to adjourn the hearing for further consideration
when all of the figures for the resolution are properly filled in on the document.
Roll Call: All ayes
b. Re-Opening of Public Hearing on Project #8008; the alley behind the 2000 Block on Fairway Drive.
The City Manager explained the background on this project.A petition was presented
by residents requesting an alley improvement. They were given cost estimates from
the Engineering Department at the time they requested the first public hearing.
At the first hearing the estimated costs had gignificantly increased and the
petitioners preferred to cancel their request. Tonight's hearing has as its
purpose the rescinding of the resolution. The City Manager recommended that the
resolution not be rescinded but that the Council consider picking up part of the
costs of the ~roject. He further explained that the cost to the City for maintenance
was about $520 annually. The City of Minneapolis has property abutting the south side
of the alley and pays no maintenance nor improvement costs.This improvement is
unusual, in that, the residents on the north side of the alley bear the entire cost.
The Mayor polled the residents at the meeting as to their feelings on continuance of
the project. Only one resident spoke in support of continuing the project. She preferred
the paving be done as she hat ~mall children who r!~v in the alley.
SPECIAL MEETING August ll
page 2
Other residents felt this project should not be considered as one of being a play-
ground nor a place for children to play but one of a thoroughfare for vehicles.The
last resident to voice an opinion was Mr. Art Mundy, 2104 Fairway Drive. Mis prime
concern at this point was maintaining peace and tranquility in his neighborhood. He
views this whole issue as one which would cause divisiveness in an area where, in his
opinion, harmony has been maintained for many years. Keeping in mind that only one
side of the alley was being assessed, the Mayor questioned the residents as to their
feelings if the assessment were to be set at $400.00. This figure would be $221.O0
less than the original estimate. The residents were polled and a majority found that
figure acceptable. Councilman Norberg felt this figure could not be guaranteed and
that the residents were bargaining away their position.
Motion by Norberg to rescind the project. Motion dies for lack of a second.
Councilman Logacz felt the Council should make a definite commitment to the residents
at the meeting for the City to absorb any overrun of the $400.00 that results so they
would know exactly how much this project would cost them if it is authorized.
Motion by Heintz, second by Logacz to authorize the City. Manager to proceed with the
project and the costs per assessed parcel not to exceed $400.00.
Motion by Hentges, second by Norberg to take a five-minute recess.
Roll Call: Logacz, Heintz, Nawrocki--nay Norberg, Hentges--aye Motion for recess fails.
Roll Call for motion for assessment on project on Project #8008
Logacz, Heintz, Nawrocki--aye, Norberg--nay, Hentges--abstain Motion passes
3. Communications
a.Planning and Zoning Commission Recommendations
1.David Reschetz, 4516 6th St., Special Purpose Fence
Motion by Norberg, second by Hentges to grant permission for the construction of a spec
purpose fence at 4516 6th St. upon recommendation of the Planning and Zoning Commission
Roll Call: All ayes
2.Jeff Slimak, 4501 Jefferson St. N.E. Special Purpose Fence
The Council was shown the plans for this fence and was advised of the findings of the
Planning and Zoning Commission.
Motion by Norberg, second by Heintz to deny the appeal of the denial of the Planning
and Zoning Commission for a special purpose fence at 4501 Jefferson St. Roll Call: Ali ayes
The hearing for the purpose of opening and considering bids for awarding the sale of
$8,175,000 aggregate principal amount of General Obligation Tax Increment Bonds of
1980, of the City was reopened. The following members were present: Mayor Bruce Nawrocki,
E."Sebe" Heintz, Kenneth Hentges, Walter Logacz and Gayle Norberg, and no one was
absent. The City Clerk of the City presented affidavits showing publication of notice
of call for bids on $8,175.000 aggregate principal amount of General Obligation Tax
Increment Bonds of 1980 (the "Bonds"), of the City, for which bids were to be received
at this meeting, in accordance with the ordinance adopted by the City Council on July
7, 1980. Said affidavits were examined, found jto comply with the provisions of Minnesota
Statutes, Chapter 475, and were approved and ordered placed on file.
The City Attorney recommended that the words 'so as to meet when due the principal,
premium, if any, and interest payments on all obligations issued by the City in aid
of the Project,' be deleted from paragraph four of Exhibit A, Tax Increment Pledge
Agreement. Bond Counsel, James Holmes,esq., concurred in the deletion, and the
Exhibit was then amended by consent. The City Attorney then advised the Council that
it was about to make a major policy decision as the Tax Increment Pledge Agreement
would obligate the City to pay all redevelopment costs for the Project incurred by the
Housing Authority and that the City Council would no longer have the right of approval
over the expenditures of the bond proceeds if the proposed resolution and pledge
agreement passed.
SPECIAL MEETING
page 3
AUGUST 11, 1980
Council Norber9 asked for a point of clarification on condemnation. He felt the
information given was contrary to Council policy on this matter and it was never
the intent of the Council to delegate the power of condemnation.
Motion by Norber9 to remand the agreement to the City Attorney for deletion of that
section that delegates authority to condemn. Motion dies for lack of a second.
The Mayor advised the Council that two members of the Council serve on the five
member board of the HRA and feels the interests of the City Council are well repre-
sented on the HRA by them.
Motion by Norberg, second by Heintz to waive the reading of the resolution there being
ample copies available to the public. Roll Call: All ayes
The City Council of the City (the"Council") proceeded to receive and open the bids
for the sale of the Bonds. The following bids were received:
Bidder Interest Rate
Net Interest Cost
ATTACHED
The Council then proceeded to consider such bids. After the bids had been considered
and discussed, member Hentges introduced the following resolution and moved its
adoption:
Regular meeting
page 4
.Aug. ll
RESOLUTION # 80-45
RESOLUTION AUTHORIZING THE ISSUANCE OF
$8,175,000 GENERAL OBhIGATION TAX INCREMENT BONDS
PLEDGING FOR THE SECURITY THEREOF
TAX INCREMENTS FROM THE
DOWNTOWN C.B.D. REVITALIZATION PROJECT AND
AUTHORIZING EXECUTION OF A
TAX INCREMENT PLEDGE AGREEMENT
BE IT RESOLVED by the City Council (the "Council") of the City of
Columbia Heights, Minnesota, (the "City") as follows:
1. That on the 25th day of June, 1980, the C~uneQ of the City carried
out the first reading of Ordinance No. 915 authorizing the publication of the
Official Notice of Bond Sale of the $8,175,000 General Obligation Tax Increment
Bonds of 1980 (the "Bonds"). The Council held the second reading of Ordinance No.
915 on the 7th day of July, 1980. On the 7th day of Judy, 198,0, the Council adopted
Ordinance No. 915 on a 4-1 vote and by a 5-0 vote approved a motion to publish
the Official Notice of Bond Sale.
BancNorthwest/Northern Trust Co ~
· Juran and Moody*
2. That the bid of First Nat'l. Bank of St. Paul andto purchase
$8,175,000 General ObLigation Tax Increment Bonds of 1980 (the "Bonds"), of the
City, in accordance with the notice of bond sale dated June 25. 1980 , at the
rates of interest hereinafter set forth, and to pay therefor the sum of $~8.88~is
hereby found, determined and declared to be the most favorable bid received, and
is hereby accepted and the ~oncls are hereby awarded to said bidder. The Clerk-
Treasurer of the City (the "Clerk-Treasurer-) is authorized and directed to retain
the deposit of said bidder and to forthwith return the good faith checks or drafts to
the unsuccessful bidders. The Bonds shall be payable as to principal and interest at
the main office of the Northwestern National Bank of Minneapolis, Minnesota.
3. That the Bonds in negotiable coupon form shall be dated September 1,
1980 and shall be issued forthwith. The Bonds shall be 1635 in number and
numbered from I to 1635, inclusive, in the denomination of $5,000 each. The Bonds
shall mature serial]y, lowest numbers first, on March 1 in the years and amounts as
follows:
Year' Amount Year Amount Year Amount
1983 $10,000 1990 $350,000 1997 $700,000
1984 10,000 1991 425,000 1998 700,000
1985 - 1992 475,000 1999 700,000
1986 140,000 1993 525,000 2000 700,000
1987 190,000 1994 550,000 2001 ?00,000
1988 250,000 1995 650,000 2002 100,000
1989 300,000 1996 700,000
4. That the Bonds shall provide funds for a redevelopment project, as
defined in Minnesota Statutes, Section 462.421, Subc~ 13, undertaken by The Housing
and Redevelopment Authority in and for the City of Columbia Heights, Minnesota
(the "Authority") and designated as the Downtown C.B.D. Revitalization Project
(the "Project"). Under the terms of a pledge agreement to be entered into between
the Authority and the City pursuant to Minnesota Statutes, Section 462.585, tax
*As joint account managers with associates
Regular meeting Aug.
page 5
increments derived from the Project area will be pledged to the payment of
principal of and premium, if any, and interest on the Bonds. In compliance with
Minnesota Statutes, Section 475.58, the estimated collection of tax increments
from the Project area exceeds 2096 of those costs of the Project for which the
Bonds are sold. The costs of the Project shall include the costs enumerated in
Minnesota Statutes~ Section 475.65, and it is estimated that raid costs will be at
least u~qual to the amount of the Bonds herein authorized. Work on the Project
shall proeeu~d with due diligence to completion.
$. That the Bonds of this issue maturing in the years set forth below
shall bear interest, payable March 1, 1981, and semiannually thereafter on Sep-
tember I and March 1 of each year, at the rates per annum, according to the y~ars
of maturity, as follows:
1983 maturities at 8.00 % 1993
1984 maturities at 8.00 96 1994
1985 maturities at 8.00 96 ]995
1986 maturities arS.00 96 1996
1987 maturities arS.00 % 1997
1988 maturities at8.00 96 1998
1989 maturities at ~ 96 1999
1990 maturities at{~ 96 2000
1991 maturities at g-~% 2001
1992 maturities atg-~% 2002
maturities at 8. O0
maturities at ,8. O0
maturities'at 8.00
maturities at 8,10
maturities at .,8.25
maturities at 8.~10
maturities at 8.50
maturities at 8.60
maturities at 8.75
maturities at 8.75
6. That the Bonds maturing in 1991 and later years will be subject to
redemption and prepayment at the option of the City in inverse order of serial
numbers on March 1, 1990, and any interest payment date thereafter, at the
following prices plus accrued interest to the date of redemption:
Redemption Date
Redemption Prices
March 1, 1990 - September 1, 1993
March 1, 1994 - September 1, 1998
March 1, 1999 and thereafter
Par plus 2%
Par plus 1.5%
Par
Published notice of redemption shall in each case be given in' accordance with law,
and at least thirty (30) days prior thereto mailed notice of redemption shall be
given to the bank where the Bonds are payable and 1o the last known registered
holders, provided that published notice alone shall be effective without mailed
notice. Holders desiring to receive mailed notice must register their names,
addresses and bond serial numbers with the City Clerk-Treasurer.
7. That the Bonds and interest coupons to be issued hereunder sh~U be in
substantially the following form:
· Regular meeting
page 6
NO.
Aug.
ll
UNITED STATES OF AMERICA
STATE OF MINNESOTA
ANOKA COUNTY
CITY OF COLUMBIA HEIGHTS
$8,175,000
GENERAL OBLIGATION
TAX INCREMENT BONDS
SERIES 1980
$5,000
KNOW ALL MEN BY THESE PRESENTS that the City of Columbia Heights,
Anoka County, Minnesota (the "City"), certifies that it is indebted and for value
received promises to pay to bearer the principal sum of
FIVE THOUSAND DOLLARS
on the first day of September, 19 , and to pay interest thereon from the clare
hereof until the principal is discharged at the rate of
percent ( %) per annum, payable on the first day of March, 1981, and
· emiannually thereafter on the first day of September and the first day of Mareh in
each year in accordance with and upon presentation and surrender of the interest
coupons attached hereto, as each severally become due. Both principal and
interest are payable at * or any successor Paying Agent duly
appointed by the City, in any coin or currency of the United States of America
which at the time of payment is legal tender for public and private debts.
Bonds maturing in 199] and later years will be subject to redemption and
prepayment at the option of the City in inverse order of serial numbers on March 1,
1990, and any interest payment date thereafter, at the following prices plus
accrued interest to the date of redemption:
Redemption Date
March 1, 1990 - September 1, 1993
March 1, 1994 - September 1, 1998
March 1, 1999 and thereafter
Redemption Prices
Par plus 2%
Par plus 1.5%
Par
Published notice of redemption shall in each case be given in accordance with law,
and at least thirty (30) days prior mailed notice of redemption shall be given to the
Paying Agent where said bonds are payable and to the last known registered
holders, provided that published notice alone shall be effective without mailed
notice. Holders desiring to receive mailed notice must register their names,
.addresses and bond serial numbers with the Clerk-Treasurer of the City.
This bond constitutes a general obligation of the City, and the full faith and
credit and taxing powers of the City have been and are hereby irrrevoeably pledged
to provide moneys for the prompt and full payment of said principal and interest
when each becomes due. This bond is one of an issue in the aggregate principal
*the main office of the Northwestern National Bank of Minneapolis, Minnesota
a,,,ount of $8,175,000 all of like date and tenor, except as to serial number,
maturity, interest rate and redemption privilege, which bond has been issued
pursuant to and in full conformity with the Constitution and laws of the State of
Minnesota. This bond is payable out of the General Obligation Tax Increment
Bonds of 1980 Account of the City.
ri' IS HEREBY CERTIFIED AND RECITED that all acts, conditions and
things required by the Constitution and laws of the State of Minnesota to be done,
to happen and to be performed, precedent to and in the issuance of this bond, have
been done, have happened and have been performed, in regular and due form, time
and manner as required by law, and this bond, together with all other debts of the
City outstanding on the date hereof and the date of its actual issuance and
delivery, does not exceed any constitutional or stktutory limitation of indebted-
ness. The corporate seal of the City has been omitted from this bond as permitted
by law.
IN WITNESS WHEREOF, the City of Columbia Heights, Anoka County,
Minnesota, by its City Council has caused this bond to be executed in its behalf by
the Mayc~ and the City Manager of the City, one by manual and one by facsimile.
signature, and has caused the interest coupons to be executed and authenticated'by
the facsimile signatures of said officers, ail as of September 1, 1980.
/s/ Robert S. Bocwinski
/s/ Bruce G. Nawrocki
City Manager Mayor
(Certificate as to Legal Opinion)
We, the undersigned, Mayor and City Manager of the City of Columbia
Heights, Minnesota, hereby certify that except for the date line, the foregoing is &
full, {~ue and compared copy of the legal opinion of Messrs. Holmes & Graven of
Minneapolis, Minnesota, which was delivered to us upon delivery of the bonds and is
now on file in the offices of the City of Columbia Heights, Minnesota.
(fas elm ile) (fa esi mile)
City Manager
Mayor
(Form of Coupon)
No. $
On the first day of September (March), 19___, un]ess the the bond described
below is called for earlier redemption, the City of Columbia Heights, Anoka
County, Minnesota will pay to bearer at the main office of the Northwestern {~tiona] Bank*
or any successor Paying Agent duly appointed by the City, the sum shown hereon
for interest then due on its General Obligation Tax Increment Bond of 1980, dated
September 1, 1980.
/si Facsimile
/s/Fac~imfae
City Manager Mayor
Regular Meeting Aug..ll
page 8
8. That the Bonds shall be executed on behalf of the City by the Mayor
and City Manager of the City, one by manual and one by facsimile signature, and
be sea]ed with the seal of the City; provided, however, that the corporate seal may
be omitted on the Bonds as permitted by law. The interest coupons appertaining
thereto shall be executed by the printed, engraved, lithographed or otherwise
reproduced facsimile signatures of the Mayor and City Manager of the City.
9. That the legal opinion of Messrs. Holmes & Graven of Minneapolis,
Minnesota, respecting the validity and enforceability of the Bonds and the tax
exemption of the interest on the Bonds shall be reproduced on the reverse ~ide of
each Bond at the request of the purchaser and shall be certified by the faesimLle
signature of the City Manager and the Mayor. The Bonds when so prepared and
executed shall be delivered, together with the signed legal opinion of Messrs.
I{olmes & Graven of Minneapolis, Minnesota, by the Clerk-Treasurer or other
officer of the City to the purchaser thereof upon receipt of the purchase price, and
the said purchaser shall not be obliged to see to the proper application thereof.
10. That there is hereby created a special account designated "Project
Aecount~ held and administered by the Clerk-Treasurer of the City separate and
apart from all other accounts of the City. Said Project Account sh~]] be
maintained in the manner specified until all of the Bonds herein authorized, and
any other general obligation tax increment bonds hereafter issued to complete the
Project, including any modifications or additions thereto, and the interest thereon
have been fully paid and the City has been fully reimbursed from the pledge of tax
increments for all of the principal and interest of the Bonds paid by the City from
taxes levied on property in the City other than the Project area. In said Project
Account there shall be maintained four separate funds, to be designated as the
"Capital Fund", the "Capitalized Interest Fund", the "Debt Service Fund", and the
'rDiseharge Fund", respectively. The proceeds of the sale of the Bonds, less the
amount of the proceeds of the Bonds deposited in the Capitalized Interest Fund,
and Jess any premium and accrued interest received thereon, shall be credited to
the Capita) Fund, from which there shall be paid all costs and expenses of the
Project, inc]ucling the cost of any construction contracts heretofore let and
all other costs incurred and to be incurred, of the kind authorized in Minnesota
Statutes, Section 475.65; and the moneys in said account shall be used for no other
purpose. There shall be deposited in the Capitalized Interest Fund the amount of
proceeds of the Bonds which is equal to the interest which wi]J be due on the Bonds
on March 1, 1981, September 1, 1981, and March 1, 1982. The amount in the
Capitalized Interest Fund is hereby pledged to pay the interest due on the Bonds on
such dates. Thirty days prior to each of the interest payment dates indicated
above (March 1, 1981, September 1, 1981, and March 1, 1982), the amount of
interest due and payable on the Bonds on such interest payment dates sh~l! be
transferred to the Debt Service FuncL Any amounts remaining in the Capitally. ed
Interest Fund after March 1, 1982, shall be deposited in the Debt Service Fund.
There is hereby pledged and there shall be credited to the Debt Service Fund (a)
any premium and all accrued interest received upon delivery of and payment
for the Bonds, (b) collections of tax increments derived from the Project, all taxes
herein levied for the payment of the Bonds, and any revenues derived from special
assessments or other sources and available and pledged to pay principal and
interest on the Bonds, and (d) all funds remaining in said Capital Fund after
completion of the Project and payment of the costs thereof. In the event that
there will be funds in the Debt Service Fund which will be available to pay all or a
portion of the principal and interest due on the Bonds in any year, then the Clerk-
Treasurer or other officer of the City shall cancel the levy imposed by Section 12
of this resolution for such year to the extent such funds are so available. In the
Regular Meeting .Aug 11
page 9
event that at any t/me the amount in the Debt Service Fund exceeds the sum of (a)
the pr/nc/pal amount of the Bonds maturing in the subsequent one year, (b) the
interest which will be due and payable on the Bonds in the subsequent one year, and
(c)*an amount equal to the greater of one year~ interest earnings on the Debt
Service Fund or one-twelfth of the principal and interest due on the Bonds in the
subsequent one year, then the amount in the Debt Service Fund which exceeds this
sum shall be withdrawn from the Debt Service Fund and deposited in the Discharge
Fund. The Debt Service Fund herein created shall be used solely to pay principal
of and premium, if any, and interest on the Bonds and any other genera] obligation
tax increment bonds hereafter issued and made payable from said account, except
that upon discharge of the Bonds and such already outstanding or additional Bonds,
the City sba1/ use the remaining funds in the Debt Service Fund to reimburse the
City as provided above. There shall be deposited in the Discharge Fund only such
amounts from the Debt Service Fund as exceed the sum described above. No
port/on of the proceeds of the Bonds, premium (if any) paid for the Bonds, or
accrued interest (if any) paid on the Bonds shall be deposited in the Discharge
Fund. In the event that the amount in the Debt Service Fund is insufficient to pay
the principal and interest to next become due on the Bonds, then the amount in the
Discharge Fund (if any) shall be used to pay such principal or interest on the Bonds
and the amount of the next levy (imposed by Section 12 of this resolution) shall be
reduced by the amount in the Discharge Fund which will be used to pay such
principal or interest on the Bonds. On March 1, 1990, any amounts remaining in the
Discharge Fund after the payment of the principal or interest on the Bonds, as
provided above, shall be used to redeem and prepay as many Bonds as possible in
inverse order of serial numbers. On every interest payment date after March 1,
1990, the amounts in the Discharge Fund shall be used to redeem and prepay, in
inverse order of serial numbers, as many Bonds as possible.
11. That the County Auditor of Anoka County (the "County Auditor") has
certified that the original assessed value of real property with/n the Project area,
as determined according to the asses_sment as of January 2, 1976, and certified by
the County Auditor on August 23, 1977, is $2,336,687. Under the provisions of
Minnesota Statutes, Section 462.585, subdivision 3, the County Auditor will include
ordy the original assessed value in the assessed valuation upon which the County
Auditor computes the rate of all state, county, city, school d/strict and other
taxes, but will extend the rates so determined against the entire assessed valuation
of such real property in each subsequent year, and the Count} Treasurer of Anoka
County will remit t~ the Authority that proportion of the taxes paid each year on
such real property which the excess of the assessed valuation over the original
t~xable vaiue bears to such original value.
12. That the Authority will agree to segregate the tax increments
derived from the Project on its official book~ and records and to remit to the
above-described special fund of the City all of said tax increments pursuant to a
Tax Increment Pledge Agreement in substantially the 'form attached hereto as
Exhibit A. The officers of the City are hereby authorized to execute on behalf of
the City such a Tax Increment Pledge Agreement in substantially the form
attached hereto as Exhibit A. To provide additional moneys for the payment of
said principal and interest there is hereby levied upon all of the taxable property in
the City a direct annual ad valorem tax which shall be spread upon the tax rolls and
collected with and as part of, other general property taxes in said City for the
years and .in the amounts as follows:
Lev~ Year Collection Year Amount Levied
See attached computation of levy
Said tax levies are such that if collected in full they, together with
estimated collections of tax increment revenues pledged for the payment of the
bonds, wfll produce at least five percent (5%) in excess of the amount needed to
meet when due the principal and interest payments on the bonds (except for
interest due on or before 9/1/82 , payable from funds which shall be on hand
and irrevocably deposited to the Debt Service Fund of the Project Account as of
the date of delivery of and payment for the bonds).
Said tax levies shall be irrevocable so long as any of said bonds are
outstanding and unpaidl provided that the City reserves the right and power to
reduce the levies in the manner and to the extent permitted'by Minnesota Statutes
Section 475.61, subdivision 3, and this ~esolution.
The full faith, credit and taxing powers of the City shall be and are hereby
irrevocably pledged for the prompt and full payment of the principal of and
interest on the Bonds, as the same respectively become due arid payable.
13. That interest earnings from the investment of money in the Capital
Fund and Capitalized Interest Fund shall be deposited in the Capital FuncL Interest
earnings from the investment of money in the Debt Service Fund shall be deposited
m the Debt Service Fund. Interest earnings from the investment of money in the
Discharge Fund shall be deposited in the Discharge Fund.
14. That the City Clerk is hereby authorized and directed to f'fie a
certified copy of this resolution with the County Auditor, together with such other
information as each shall require, and to obtain from the County Auditor its
certificate that the Bonds have been entered in such Auditor's Bond Register and
that the Tax Increment Pledge AgPeement to be entered into by the City and the
Authority to secure payment of the Bonds has been filed with the County Auditor.
The motion for the adoption of the foregoing resolution was duJy seconded
by member Logacz and upon vote being taken thereon, the
following voted in favor thereof:
_Hetntz
Hentges
Logacz
Mayor Nawrocki
and the following voted against the same:
Norber9
Whereupon said resolution was declared duly pa~sed and adopted.
Regular meeting Aug. 11
page ll
15. That the officers of the City are hereby authorized and directed to
prepare and furnish to the purchaser of the Bonds, and to the attorneys approving
the legality of the issuance thereof, certified copies of all proceedings and records
of the City relating to the Bonds and to the financial condition and affairs of the
City, and such other affidavits, certificates and information as are required to
show the facts relating to the legality and marketability of the Bonds as the ~ame
appear from the books and records under their custody and control or as otherwise
known to them, and an such certified copies, certificates and affidavits, including
any heretofore furnished, sb_~_]] be deemed representations of.the City as to the
facts recited therein.
CJmFU,MTIOP OF I'AX LEVY Ot~:
$~',,17b,Ou6 GENERAL O,~;LIGATION TAX INCREMENT BONrtS
CITY OF COLUMt:IA HEIGHTS, MINNESOTA
LEVY' COLLECT AMOUNT AMOUNT + 5% TAX
1780 1781 $ 0 $ 0 $ 0
1781 1982 $ 682~50 $ 7170~8 $ 717100
1982 ]983 $ &82150 $ 716258 $ 71&300
1983 1984. $ 671350 $ 704918 $ 705000
198~ 1985 $ 811350 $
.... ~1918 $ 852000
1985 198& $ 850150 $ 892658 $ 892700
1786 1987 $ 89~0 $ 9~769E: $ 939700
1987 1988 $ 92LIVSO $ 971198 $ 971200
1988 1989 $ 950950 $ 998~98 $ 998500
1989 1990 $ 997950 $ 10~7848 $ 10~7900
19~0 1771 ~. I0
· .,~.,u $ 10,5~6~8 $ 106~700
lOOi lOO? $ 10~~'=~
~,~ $ 1n~"° $ 1077300
1~'~2 ].993 $ 1008~50 ~. 1059398 $ 105~00
1993 ].99~ $ 106~950 $ 1118198 $ 1118200
1974 1~$'5 $ 1062750 $ 111&07~ $ 1116100
1995 l~& $ ~00~250 $ 105~5&~ $ 105~600
l~e~ ].P~7 $ 9q85O0 $ ~95925 $ 99&000
1~77 19T8 $ 88~700 $ 934185 $ 93~200
1798 i~9~ $ 830200 $ 871710 $ 871800
1999 2000 $ 770000 $ 808500 $ 808500
2000 2001. $ 108750 $ 11~188 $ 11~200
$ 17196?00 $ 18057~00
~-.' OTE :.
BOND PROCEEDS (CAPITALIZED INTEREST) OF $
WILL BE USED TO PAY $ 1009425,00 OF INTR
3-1-1981, 9-1-1981, 3-1-1982,
PD'~;'[::Pi~'i PF,:EF'ARED BY EHLERS & ASSOCIATES, I~.,'C
1009~25,00
PYMTS DUE
ular Meeting Aug. 11
page 12
STATE OF MINNESOTA
COUNTY OF ANOKA
CITY OF COLUMBIA HEIGHTS
I, John E. Sehedler, being the duly quMified and aeting Clerk-Treasurer of
the City of Columbia Heights, Minnesota (the "City"), DO HEREBY CERTIFY that
I have compared the attached extract of minutes with the original thereof on file
in my office of a regular meeting duly called and assembled of the members of the
City Council of the City (the "City Council"), held on the llth day of August, 1980,
which was open to the public, at which a quorum was present and acting
throughout, and that the same is a full, true and complete transcript of the minutes
of said meeting, insofar as such minutes relate to the opening and considering of
bids for, and awarding the sale of $8,175,000 Genera] Obligation Tax Increment
Bonds of 1980 of said City, and I DO FURTHER CERTIFY that the action taken at
said meeting was approved by at ]east a four-fifths majority of all members of the
City Council and as of the date of this certificate, is in full force and effect, and
no resolution has been or previously was adopted or other a~tion taken which wo~ld
in any way alter or amend the resolution adopted or change, revoke, or place
conditions on the effectiveness of, the action taken at said meeting.
WITNESS my hand and the seal of said City this/~/~cl ~
ay of 1980.
hn E. Sehedler
Clerk-Treasurer
(Seal)
Regular meeting Aug.
page 1 3
EXHIBIT A
TAX INCREMENT PLEDGE AGREEMENT
THIS AGREEMENT, made this day of , 1080, by and
between The Housir~ and Redevelopment Authority in and for the Cig of
Columbia Heights, a pubkic body corporate and politic under the laws of the State
of Minnesota (hereinafter called the "Authority"), and the City of Columbia
Heights, a municipal corporation under the laws of the State of Minnesota
(hereinafter called the "City"))
WITN ESSETH:
WHEREAS, pursuant to the provisions of Minnesota Statutes, Section
462.521, the Authority applied to the City Council of the City (the "City CouncLl")
for approval of the undertaking of a redevelopment project designated as Columbia
Heights Downtown C.B.D. Revitahzation Project (hereinafter eailed the "Project"),
accompanied by a redevelopment plan, a statement of the method proposed for
financing the Project, and the opinion of the city planning commission thereon, and
by resolution (the "Resolution"), after publ/shed not/ce and public hearing, the City
Council found and determined that the land in the Project would not be made
available without the financial aid to be sought, that the redevelopment plan will
afford maximum opportunity, consistent with the sound needs of the locality as a
whole, for the redevelopment and renewal of such areas by private enterprise, and
that the redevelopment plan conforms to a general plan for the development of the
locality as a whole, and by the Resolution the City Council approved snid
redevelopment plan, all pursuant to Minnesota Statutes, Section 462.521) and
WHEREAS, the City Council by the Resolution approved the use of tax
increment financing in the Project; and
WHEREAS, pursuant to the provisions of Minnesota Stat.utes, Section
462.585, Subdivisions 2 and 3, the Authority on Au~'ust 23, 1977, requested the
County Auditor of Anoka County (the "County Auditor") to certify the assessed
valuation of all taxable real property within said Project as then most recently
determined, and in each year thereafter the amount by which the original taxable
value has increased or decreased, and the proportion which any such increase or
decrease bears to the total assessed valuation of the real property for that year)
and
WHEREAS, pursuant to Minnesota Statutes, Section 462.585, the County
Auditor is required in each year subsequent to certification to include no more than
the original taxable value of such real property in the assessed valuation upon
which the County Auditor computes the mill rates of all taxes levied by the state,
the county, the rnunicipahty or town, the school district and every other tax/rig
d/strict in which the project is situated, but is required to extend all mill rates so
determined against the entire assessed valuation of such real property in the
Project for that year, and, in each year for which the assessed valuation exceeds
the ori~inaI taxable value, to remit to the Author/t), that portion of all taxes paid
that year on the real property in the Project, which such excess valuation bears to
Regu]ar meeting Aug. ll
page 1 4
the total assessed valuation, the amount so remitted being referred to as the "tax
increment" for that year; and
WHEREAS, pursuant to Minnesota Statutes, Section 462.585, tax increments
received with respect to the Project are required to be segregated in a ~;peeial
account until the public redevelopment cost of the Project, as defined in Minnesota
Statutes, Section 462.545, Subdivision 1, including interest on all money borrowed
therefor, has been fully paid, and the City has been fuJ_ly reimbursed from the tax
increments or from the revenues from the Project for any principal and interest on
genera] obligation bonds issued therefor, after which such payment is to be
re?o,ted to the County Auditor and the entire assessed valuation of the Project is
thereafter to be included in the assessed valuations upon which the tax mH.l rates
are computed and extended and taxes are remitted to all taxing districts; and
WHEREAS, in order to pay said public redevelopment cost of the Project,
the Authority has requested that the City Council issue genera] obligation bonds of
the city pursuant to the provisions of Minnesota Statutes, Section 462.585,
Minnesota Statutes, Section 273.77, and Minnesota Statutes, Chapter 475, and the
City Council by resolution dated August 11, 1980, has authorized the issuance and
sale of a series of General Obligation Tax Increment Bonds of 1980, in the
aggregate principal amount of Eight Million One Hundred Seventy-Five Thousand
DoLlars ($8,175,000) (the "Bonds"); and
WHEREAS, pursuant to Minnesota Statutes, Section 462.585, Subdivision 4,
the Authority is authorized to pledge and appropriate any part or all of the tax
increments received for the Project and any part or all of the revenues received
from lands in the Project while owned by the Authority, for the payment of the
principal of and premium, if any, and interest on the Bonds and any additional
bonds issued by the City upon request of the Authority, in aid of the Project, and to
enter into this Agreement with the City respecting such pledge;
NOW THEREFORE, the City and the Authority mutually covenant and agree
as follows:
(1)
(2)
(3)
The Authority wLU proceed expeditiously with the acquisition and
.redevelopment of such lands and the construction of such public
Improvements within the Project as are needed for the elf actuation
of the redevelopment plan, and with the disposal of lands so acquired
and redeveloped in conformity with said plan, a~ provided in the
]~¢unieJpa] Housing and Redevelopment Act, Mirmesota Statutes, See-
tJo,%s 462.41] e._~t seq.
The City shM2 issue and sell bonds for the payment of the public
redevelopment eosl of the Project, in the aggregate principal amount
of Eight I~{iLlJon One Hundred Seventy-Five Thousand DoLlars
($8,175,000), and in such additional amount or amounts ~s the
Authority shall request and the City CouncQ shall determine.
Ail proceeds of bonds issued by the City in aid of the Project, all
revenues and tax increments with respect to the Project which are
received by the City from the Authority, and all income from the
investment thereof by the City, shall be segregated by the City in a
SPECIAL MEETING August 11
page 14 A
special fund, which shall be used by the city solely for the payment of
the principal of, premium, if any, and interest on said bonds and for
the payment or reimbursement of the public redevelopment costs of
the Project.
(4)
The Authority pledges and appropriates all of the tax increments and
other revenues received from the Project and agrees to segregate all
such tax increments in a special account and the various funds
established by the Resolution.
(5)
When the entire public redevelopment cost has been paid, including
payment or provision of a balance in the special fund sufficient for
the payment of all principal and interest on said bonds, such fact
shall be reported to the County Auditor.
(6)
An executed copy of this Agreement shall be filed with the County
Auditor, and shall constitute the request and authorization of the
Authority and the City to the County Auditor and County Treasurer
of Anoka County to compute, collect and segregate said tax increments
in accordance with the provisions of this Agreement and of Minnesota
Statutes, Section 462.585, Subdivisions 2 to 4, inclusive.
IN WITNESS WHEREOF, the City and the Authority have caused this Agreement
to be duly executed on their behalf and their seals to be hereunto affixed and
such signatures and seals to be attested to , as of the day and year first above
written.
THE HOUSING AND REDEVELOPMENT
AUTHORITY IN AND FOR THE CITY
OF COLUMBIA HEIGHTS
BY
BY
Its Chariman
Its Secretary
CITY OF COLUMBIA HEIGHTS
BY
Mayor
BY
City Manager
SPECIAL MEETING
August I1, 1980
page 15
Councilman Norberg feels this project falls outside the Legislature's definition
of a financially acceptable project and harbors an element of risk for the tax-
payers. He felt the increased interest rate questioned the feasibility of the
project considering previous information from the financial consultant. His last
concern was that of delegating the condemnation authority. Staff spoke to each one
of his concerns. Phil Chenoweth, the financial consultant, felt the higher rate of
interest would not have an adverse effect on the project. Walt Hartmann, represent-
ative of the League of Minnesota Cities, spoke briefly to the study done by the
League for the City of Columbia Heights on the Downtown Development Project. He
feels based on his experience with a considerable number of projects of this type,
ti,at the project is very sound and has innumerable safeguards built into it. In
hi~ opinion the soundness of the project would not be affected by the higher
interest rate. The Mayor, again, spoke to the question of delegating condemnation
powers to the HRA. He reaffirmed his faith in the members of the HRA and reflected
on the unique kinds of interest and experience that they individually bring to this
committee.
The Special Meeting was adjourned at 9:00PM.
The Regular Meeting of the City Council was convened at 9:00PM.
1.Roll Call: Logacz, Heintz, Norberg, Hentges, Nawrocki--present
2. Invocation was offered by Councilman Norberg
3.Old and New Business
a.OId Business
1.Review of Ordinance # 907, an ordinance amending Ordinance # 853, City Code of
1977, relating to overtime parking.
This ordinance was passed and adoted by the Council previously with the provision
that it would be reviewed at the first Council meeting in August of this year. A
report from the Police Chief was presented comparing vandalism, theft from auto
and hit & run accidents during the times the ordinance was in force and those times
that it was not. These figures are for vehicles parked on the public streets. Also,
reasons why the new parking ordinance was adopted were reviewed.
'NO PARER 2:00 A.M. TO 6:00 A.M. EEVIEW
OFFENSE
3 MONTH CONTROL
PERIOD, 78/79
3 MONTH ENFORCEMENT
PERIOD, 79/80
VANDALISM
THZFT FROM VEHICLE
HIT & RUN ACCIDENTS
16 2
.5 2
17 6
TOTAL
38 10
DC7~ 73.7'4
'REGULAR MEETING
August 11, 1950
page 16
The City Manager gave the details of the policies on snow-plowing and street-sweeping.
The Mayor opened the meeting to the residents for discussion. A request was made for
the Police Chief to supply the figures for vandalism and vehicular damage while parked
in the alleys. Also, there was a request as to how many times the patrol cars pass
through the alleys in the City. Sergeant Marchiniak advised the audience that alley
patrol is done at random, explaining the work load of the cars on patrol would not
permit regularly scheduled alley patrol. The police force has been reminded periodi-
cally by the Chief to spend more time on patrolling alleys when it was feasible.The
Mayor explained that this is not a revenue-raising ordinance. The $5.00 fine for
parking has not covered the administration costs of the ordinance. He changed his
position on this issue after receiving the results of a resident survey which sup-
po~ed the ordinance and upon receiving the recommendations of Citizens Study
Committee. A number of residents told of their particular circumstances relative to
this ordinance. One resident complimented the Council for their action citing that
the cities of Milwaukee and Arlington Heights, Ill. have had an identical ordinance
for many years with very positive results. She felt the residents have had sufficient
time to make preparation.
When all of the residents who wished to do so had rela~ed their experiences with this
ordinance the Mayor invited the circulators to present their petitions.
Motion by Heintz, second by Logacz to place the petitions on file and to be referred
to the City Clerk for purposes of verification and tabulation of the signatures.
Roll Call: Ail ayes
Recess: ll:OOPM
Reconvene: ll:lOPM
Motion by Hentges, second by Heintz to approve the minutes of the July 28th City
Council meeting with attached corrections as presented in writing and that the
reading be dispensed with. Roll Call: All ayes
4. Oral Petitions
A resident inquired if the parking ordinance would be discussed at the next regular
Council meeting and was advised it would if the City Clerk had his tabulations of
the signatures completed.
Two residents advised the Council their children had been asked to leave McKenna Park
during the daytime because the ball fields were being prepared for night time ball
games. They felt this was an abuse and a misuse of the park. Councilman Logacz,
who is on the Recreation Board acknowledged the legitimacy of their complaint and
advised them that measures are being taken to change this situation. Councilman
Norberg has observed beer drinking and softball practice in McKenna Park. He knows
it is not park policy to have practice in this park nor is drinking allowed.
Regular meeting of the Council is adjourned, ll:20PM.
Board of Trustees Meeting--Volunteer Firefighter Relief Association.
~EGULAR MEETING
August ll, 1950
page 17
Regular. meeting of the Counci] reconvened at 12:O5 AM.
Motion by Heintz, seocnd by Hentges to suspend the 1l:30 adjournment rule and
complete the agenda.
Roll Call: Logacz, Heintz, Hentges, Nawrocki--aye
Norberg--nay
5. Ordinances and Resolutions
a. Resolution to amend the By-Laws of the Columbia Heights Fire Department Relief Asso.,
Volunteer Division as recommended by the Board of Trustees to the City Council.
Motion by Heintz, second by Logacz to dispense with the reading of the resolution there
being ample copies available to the pub)lc. Roll Call: All ayes
Motion by Heintz, second by Logacz toadoDZ the resolution authorizing amendments
to the By-Laws of the Columbia Heights Fire Department Relief Asso., Vol. Div..
Roll Call: Logacz, Heintz, Hentges, Nawrocki--aye
Norberg--nay
b. Second Reading of Ordinance # 925 being an ordinance pertaining to prohibiting
beer and intoxicating liquor in Huset Park from II:OOPM to 8:00 AM.
Motion by Norberg, second by Hentges to dispense with the reading of Ordinance # 925
there being ample copies available to the public. Roll Call: All ayes
The hour of l):O0 PM was amended at this second reading to read )):30 PM.
OP~II~NCE NO, 925
BEING AN ORDI'NANCE AMENDING ORDINANCE NO. 853, CITY ~ODE
OF 1977, PERTAINING TO PROHIBITING BEER AND XKIOXICAIING
LIQUOR IN B13SET PARK FROM 11:30P.M. TO 8:00 A.M.
The City of Coltw,hfa Heights does ordain:
Sect~nn 1:
Sect/on 10.201(16) of Ordinance No. 853, City Code of 1977, passed
June 21, 1977, which reads as follcn~s, to-vii:
"10.201(16)
No person shall have in his possession or consume any ~ntox~cating liquor
or non-intoxicating malt liquor in or upon any City park, parkway, or
bathing beach within the City of Columbia Heights.
Ia) Provided, however, the City Council may by affirmative vote grant
per~sion to neighborhood groups and public service organizations
to possess and consume non-intoxicating ~lt liquor in City parks,
except before 8:00 a.m. and after 9:30 p.m. No'such permission ~y
be granted for such possezs~on or consumption in or upon any public
bathing beach or anywhere in Silver Lake bach Park.
~b) The prohibitions of this Section 10.201(16) shall not apply to
Huset Park or the Columbia Heights Field House."
is herewith a~nded to read as follows, to-~it:
REGOLAR MEETING
August ll, 1980
page 18
10. 201 (16) -
No person shall have in kis possession or consumm any intoxicating liquor
or non-intoxicating malt liquor in or upon any City park, parkway, or
bathing beach within the City of Columbia Heights.
(a) Provided, however, the City Council may by affirmative vote grant
permission to neighborhood groups and public service organizations
to possess and consume non-Intoxicating ~alt liquor in City parks,
except before 8:00 a.m. and after 9:30 p.m. No such permission may
be granted for such possession or consumption in or upon any public
bathing beach or anywhere in Silver Lake Beach Park.
(b)
The prohibitions of th/s Section 10.201(16) shall not apply to
Huset Park between the hours of 8:00 a,m. and ]]:30 p.m. and shall
mot apply to the Columbia Meights Field House.
Section 2: This Ordinance shall be in full force and effect from and after thirty
(30) days after its passage,
First reading:
Second reading:
Date of passage:
7-28-80
8-]1-80
8-11-80
Offered by: Logacz
Seconded by: Heintz
Roll call: All ayes
Bruce G. Nawrock/, Mayor
Jo-Anne Student, Council Secretary
c. First reading of Ordinance # 926 being an ordinance amending Ordinance # 853, City
Code of 1977, conveying certain real property to Brad H. Rettke and Elizabeth Rettke.
There was some discussion as to why the purchase pr;ce of $10.00 was chosen and the
effect of the sale of this property on adjacent properties. The City Manager told the
Council that the property was being sold and requested a time frame from the City
Attorney. Councilman Norberg suggested an option plan which could give the residents
enough of the parcel to suit their needs and one which would not have a negative impact
on the buildabi]ity of adjacent lots. The City Attorney was advised to meet with the
attorney of the residents to propose this option plan.
Motion by Heintz, second by Hentges to waive the reading of Ordinance # 926 there being
ample copies available to the public. Ro]l Call: All ayes
ORDINANCE NO. 926
BEING AN ORDINA~NCE AMES~DING ORDINANCE NO. 853, CITY
CODE OF 1977, CO4"v-EYING CERTAIN REAL PROPERTY TO
BRAD H. RETTKE AA~O ELIZABETH RETTKE
The City Council of the City of Columbia Heights does ordain:
Section 1:
The City of Columbia Heights shall sell to Brad H. Rettke and
Elizabeth Rettke, the City's interest in the real estate described
as follows, to-wit:
REGULAR MEETING
August ll, 1980
page 19
The West 8.0 feet of Lot 12, Block 89,
Columbia Heights Annex to Minneapolis,
Anoka County, Minnesota, subject to
easements of record
Section 2:
Section 3:
Section 4:
The Mayor and City Manager are herewith authorized to execute the
documents necessary to effectuate the said sale.
The purchase price of said real estate is ten dollars ($10.00)
This Ordinance shall be in full force and effect from and after
thirty (30) days after its passage.
First reading:
Second reading:
Date of passage:
8-11-80
Offered by:
Seconded by:
Roll Call:
Bruce G. Nawrocki, Mayor
Jo-Anne Student, Council Secretary
Resolution Designating Election Judges
Motion by Norberg, second by Hentges to waive the reading of the resolution there being
ample copies available to the public. Roll Call: All ayes
RESOLUTION #8041
DESIGNATION ELECTION JUDGES
t~IEREAS, the political parties have submitted prospective
e]ection judge names, to wit the Independent Republican
Party for House/Senate Districts 46 and 55 and the Democratic
Party for a11 of District 55 and only Precinct slx for District
46, to the Anoka County Auditor, and
WHEREAS, the County Auditor has forwarded said list to the City
Clerk who has reviewed the llsts and contacted additional prospects
to determine if they w111 be available to serve,
NOW THEREFORE, Be it Hereby Resolved that the City Council of the
City of Columbia Heights does approve the attached list of judges,
by precinct, for the Primary Electlon September 9, 1980 and the
General Election, November 4, 1980, with an hourly remuneration
of $4.00 for a head judge and $3.25 for an electlon judge.
2O
Passed this llth Day of August, 1980.
Offered by: Norberg
Seconded by: Hentges
~olI Call: A11 ayes
Bruce~t~. Nawrocki, Mayor
/~ecr-e~ary"'to the Council
e. Resolution Adopting a Wage Compensation Program for Non-unTonized City Employees.
Motion by Norberg, second by Hentge~ to waive the reading of the resolution there bein~ a~ple
copies available to the public. Roll Call: All ayes
Motion by Hentges, second by Norberg to table this resolution for further consideration
until the next regular Council meeting or special meeting. Roll Call: All ayes
f. Resolution Calling For Public Hearing on a Proposal to Undertake and Finance an
Industr[al Development Project--Ruvelson and Associates, Inc.
Motion by Heintz, second by Norberg to waive the reading of the resolution there being
copies available to the public. Roll Call: All ayes
RESOLUTION NO. 80-42
RESOLUTION CALLING FOR A PUBLIC
HEARING ON A PROPOSAL TO UNDERTAKE AND
FINANCE AN INDUSTRIAL DEVELOPMENT PROJECT
WHEREAS, a representative of Ruvelson & Associates, Inc. has presented
this City Council (the "Council") with information concerning a proposed project
within the City of Columbia Heights (the "City"); and
WHEREAS, a representative of Ruvelson & Associates, Inc. has requested
that the City of Columbia Heights resotve to issue industrial development bonds
or notes and has presented to the City a form of preliminary ordinance con-
cerning such issuance with a request that such preliminary ordinance, Ordinance
No. 927, be considered for adoption at the regular meeting of the Council on
September 8, 1980;
BE IT RESOLVED THAT,
1. The City will conduct a public hearing on the proposal to undertake
and finance the industrial development project or projects described in
the Notice of Public Hearing attached hereto as Exhibit A (the "Notice");
.REGULAR MEETING
August 11, 1980
page 21
2~ The City Manager is hereby authorized to cause the Notice, or a
notice in substantially the same form as the Notice, to be publlshed not
more than th'irty (30) nor less than fifteen (15) days before the date
fixed in the Notice as the date of the hearing, in the official newspaper
and a newspaper of general circulation of the City of Columbia Heights.
Offered by: Logacz
Seconded by: Hentges
Rol1 Call: All ayes
Bruce-~G. Nawrocki, Mayor
reta ry to the Cou~i~cil
EXHIBIT A
NOTICE OF PUBLIC HEARING ON A PROPOSED
PROJECT AND THE ISSUANCE OF INDUSTRIAL
DEVELOPMENT REVENUE ~ONDS UNDER THE
MUNICIPAL INDUSTRIAL DEVELOPMENT ACT,
MINNESOTA STATUTES, CHAPTER 474, AS AMENDED
THE CITY OF COLUMBIA HEIGHTS, MINNESOTA
NOTICE IS HEREBY GIVEN that the governing body of the City of Columbia
Heights, Minnesota (the "City"), will meet on September 8, 1980, at 8:00 p.m. at
City offices in Columbia Heights, Minnesota, for the purpose of eondueting a public
hearing on a proposal that the City issue its revenue bonds under the Municipal
Industrial Development Aet, Minnesota Statutes, Chapter 474, as amended, in order
to finance the cost of a project. The proposed project will consist of the
acquisition of land and construction of a building for use as an office building to be
owned by Ruvelson & Associates, Inc. for use in its business. The estimated total
amount of the proposed bond issue is $1,000,000. The bonds shall be limited
obligations of the City and the bonds and interest thereon shall be payable solely
from the revenues pledged to the payment thereof, except that such bonds may be
seeured by a mortgage and other encumbrance on the projeet. No holder of any
such bond sl~ll ever have the right to compel any exercise of the taxing power of
the City of Columbia Heights to pay the bonds, or the interest thereon, nor to
enforce payment against any property of the City except the project.
A draft copy of the proposed application to the Minnesota Commissioner of
Securities for approval of the project, together with all attachments and exhibits
thereto, is available for public inspection at the City offices.
REGULAR MEETING
August 11, 1980
page 22
All persons interested may appear and be heard at the time and place set
forth above.
[ Date of Publieatiop]
BY ORDER OF THE CITY COUNCIL
OF THE CITY OF COLUMBIA HEIGHTS
go
First Reading of Ordinance # 927
Motion by Heintz, second by Hentges that the reading of the ordinance be dispensed with
there being ample copies available to the public. Roll Call: All ayes
Ordinance No. 927
BEING AN ORDINANCE GIVING PRELIMINARY
APPROVAL TO A PROJECT UNDER THE MUNICIPAL
INDUSTRIAL DEVELOPMENT ACT, REFERRING THE
PROPOSAL TO THE COMMISSIONER OF SECURITIES
FOR APPROVAL, AND AUTHORIZING PREPARATION
OF NECESSARY DOCUMENTS
The City of Columbia Heights does ordain:
1. It is hereby found, determined and declared as follows:
1.1. The welfare of the State of Minnesota requires active promo-
tion, attraction, encouragement and development of economically sound
industry and commerce through governmental acts to prevent, so far as
possible, emergence of blighted lands and areas of chronic unemployment,
and it is the policy of the State of Minnesota to facilitate and encourage
action by local government units to prevent the economic deterioration of
such areas to the point where the process can be reversed only by total
redevelopment through the use of local, state and federal funds derived
from taxation, with the attendant necessity of relocating displaced persons
and of duplicating public services in other areas.
1.2. Technological change has caused a shift to a significant degree
in the area of opportunity for educated youth to processing, transporting,
marketing, service and other industries, and unless existing and related
industries are retained and new industries are developed to use the available
resources of the City of Columbia Heights (the "City"), a large part of the
existing investment of the community and of the state as a whole in
educational and public service facilities will be lost, and the movement of
talented, educated personnel of mature age to areas where .their services
may be effectively used and compensated and the lessening attraction of
persons and businesses from other areas for purposes of industry, commerce
and tourism will deprive the City and the State of the economic and human
resources needed as a base for providing governmental services and facil-
ities for the remaining population.
Regu.lar ~eet~ng Aug. ~ ~
1.3. The increase in the amount and cost of governmental set,.
requires the need for more intensive development and use of land to provio,.
an adeguate tax base to finance these costs.
1.4. Ruvelson & Associates, Inc., or its designee (hereinafter the
"Applicant"), has advised this City Council (the "Council") that it desires to
construct a building and acquire and instaZl equipment therefor for use as an
office buildin~ (hereinafter referred to as the "Project").
1.5. The existence of the Project in the City ~ contribute to more
intensive development and use of land to increase the t~x base of the City
and overlapping taxing authorities and maintain and provide for an increase
in opportunities for employment for residents of the City.
1.6. The City has been advised that conventional, commercial
financing to pay the capital cost of the Project is available at such costs of
borrowing that the economic feasibility of oPerating,the Project would be
significantly reduced, but that with the aid of municipal financing, and its
resulting low borrowing cost, the Project is economically more feasible.
1.7. This Council has been advised by representatives of the Appli-
cant that on the basis of information submitted to them and their discus-
sions with representatives of area financial institutions and potential buyers
of tax-exempt bonds, industrial development revenue bonds of the City
could be issued and sold upon favorable rates and terms to finance the
Project.
1.8. The City is authorized by Minnesota Statutes, Chapter 474, to
issue its revenue bonds to finance the cost, in whole or in part, of the
acquisition, construction, reconstruction, improvement or extension of cap-
ital projects consisting of properties used and useful in eormeetion with a
revenue producing enterprise, such as that of the Applicant, and the
issuance of such bonds by the City would be a substantial inducement to the
Applicant to construct its facility in the City.
2. On the basis of information given the City to date, it appears that it
would be in the best interest of the City to issue its industrial development revenue
bonds under the provisions of Chapter 474 to finance the Project of the Applicant
at a cost presently estimated not to exceed $1,000,000.
3. The Project above referred to is hereby given preliminary approval by
the City and the issuance of bonds for such purpose and in such amount approved,
subject to approval of the Project by the Commissioner of Securities and to the
mutual 'agreement of this body, the Applicant and the initial purchasers of the
bonds as to the details of the bond issue and provisions for their payment. In all
events, it is understood, however, that the bonds of the City shall not constitute a
charge, lien or encumbrance legal or equitable upon. any property of the City
except the Project and each bond, when, as, and if issued, shall recite in substance
that the bond, including interest thereon, is payable solely from the revenues
received from the Project and property pledged to the payment thereof, and shall
not constitute a debt of the City.
4. Miller & Schroeder Municipals, Inc. has advised the Council that it
will purchase the bonds in a principal amount not to exceed approximately
$1,000,000 under terms and conditions to be determined by the City, the Applicant
and Miller & Sehroeder Municipals, Inc.
5. In accordance with Minnesota Statutes, Section 474.01, Subdivision
7a, the Mayor of the City is hereby authorized and directed to submit the proposal
for the Project to the Commissioner of Securities for her approval of the Project.
hereby authorized to provide the Commissioner with any preliminary infor-
mation she may need for this purpose, and the City Attorney is authorized to
initiate and a~sist in the preparation of such documents as may be appropriate to
the Project, if it is approved by the Commissioner.
6. The law firm of Holmes & Graven, Chartered, is authorized to act as
Bond Counse! and to assist in the preparation and review of necessary documents
relating to the Project and bonds issued in connection therewith.
7. This ordinance shall be in full force and effect from and after thirty
(30) days after its passage.
Mayor
First Reading:
Second Reading:
Offered by:
Seconded by:
RoLl Call:
Date of Passage:
8-11-80
Secretary to the Council
6. Communications
a. Resolution of the City Council of the Columbia Heights, Presenting the Opinion
of the City Council on the Review of Fridley's Comprehensive Plan
Motion by Norberg, second by Hentges to waive the reading of the resolution there
being ample copies available to the public. Roll Call: All ayes
RESOLUTION 80- 43
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COLUMBIA HEIGHTS, MN.
PRESENTING THE OPINION OF THE CITY COUNCIL ON THE REVIE~I OF FRIDLEY'S
COMPREHENSIVE PLAN.
WHEREAS, the City of Fridley has prepared and comp)eted a Compre-
hensive Plan pursuant to the Metropolitan Land Planning Act, and
WHEREAS, the City of Fridley, pursuant to Minnesota statutes 473.858,
Subdivision 2, has submitted their proposed Comprehensive Plan to
the City of Columbia Heights for review and comment, and
WHEREAS, the Planning and Zoning Commission has carefully reviewed
the various elements of the Plan and recon~ends favorable considera-
tion by the City Council, and
Regular Meeting Aug. 11
page 25
WHEREAS, the City Council has reviewed the various elements of the
Plan in regards to its scope and effect upon the City of Columbia
Heights.
NOW THEREFORE BE IT RESOLVED, the City Council of Columbia Heights
finds no adverse effects are perceived to fall upon the City of
Columbia Heights as the result of the City of Fridley implementing
its proposed Comprehensive Plan.
Passed this
11 day of aL, 2,,st ~ 1980.
Offered by: Norberg
Seconded by:
Hentges
Roll Call: All ayes
crefary -
Mayor
b. Traffic Commission Recommendations
1.Silver Lake Cul-de-Sac
Motion by Heintz, second by Hentges that "No Parking Anytime" signs be installed
within the cul-de-sac area of Silver Lake Beach.
Roll Call: Logacz, Heintz, Hentges, Nawrocki--aye
Norberg--abstain
2. National League of Cities, Congress of Cities, Nov. 29-Dec. 3, Atlanta, Ga.
Motion by Heintz, second by Logacz to authorize members of the Council and their
expenses to attend the League of Cities meeting if their schedules would permit.
Roll Call: Logacz, Heintz, Hentges, Nawrocki--aye
Norberg--abstain
3.Potential Reduction in State Aid Payments
This item was presented for general information.
New and Old Business (cont.)
a. Old Business
1. The Mayor informed the Council of a problem being experienceJ by the owner of the
property adjacent to the Municipal Off-Sale Liquor Store. The Mayor had inquired of
the staff if the City c~,'~ oet insurance coveraoe fnr any !iability ~ Fr~ resul~
Re~.ular Meeting Aug. ll
page 26
from the patrons of the Municipal Liquor store. He was advised by the City Clerk that
the City would be secondarily liable and any personal injury or property damage would
be a subject of litigation with the owner or the lessee of the property. The Mayor al
requested information on posting a sign on the property stating that it was not a
public parking lot or City property.
2. City of Columbia Heights Comprehensive Plan Long-Term Extension
Motion by Heintz, second by Logacz to authorize the City Manager and Mayor to
execute a revised planning assistance grant contract with the Metropolitan Council
which will provide for a time extension to July 1, 1981, for submission of the
City's Comprehensive Plan. Roll Call: All ayes
3. Relocation of Storm Drain at 4437 4th St.
Motion by Heintz, second by Logacz to authorize the City Attorney and City Manager
to negotiate with the owners of the property for acqui,ring the necessary easement
for the storm drain. Roll Call: All ayes
b. New Business
i.Para-Transit Provider, Contact Extension to February 28, 1981
Keith Masuda, Administrative Assistant, recommended the contract be extended to Feb.
28, 1981, after meeting with a representative of the State Department of Transportation
and reviewing the City's para-transit program.operation. The Mayor was advised that
the contract is still within budget.
2.Driveway Regrading at 1319 42½ Ave. N.E.
The Public Works Director met with the owners of the property prior to this meeting and
they requested that the driveway be regraded to eliminate the incline which presently
exists. The opinions of the staff were that any regrading of this nature would not be
beneficial.
Motion by Norberg, second by Logacz to deny the request.
Roll Call: Hei~tz, Hentges, Nawrocki--nay
Logacz, Norberg--aye
Motion fails
Motion by Heintz, second by Hentges to authorize the correction in the driveway at
1319 42½ Ave. in accordance with the Engineer's drawing of April 23, 1980, as revised
as of August 11, 1980 with the cost added on to the overall project. Councilman Norberg
maintained this regrading would still make no difference in the appearance or the
function of the driveway.
Roll Call: Logacz, Heintz, Hentges, Nawrocki--aye
Norberg--nay
3. Remodeling of Clerk of Courts Window in City Hall
The City Manager recommended to the Council that alternative measures should be
considered rather than the one proposed by Anoka County. He was advised to make
his feelings and reservations on this project known to the proper parties in the
County.
4. Approval of a Maintenance Agreement with the City of Minneapolis for 37th Avenue
from Central Avenue to Stinson Blvd.
Regular Meeting Aug. ll
p~ge 27
Motion by Heintz, second by Norberg to authorize the Mayor and the City Manager to
execute the maintenance agreement with the City of Minneapolis for 37th Ave.from
Central Ave. to Stinson Blvd. Roll Call: All ayes
Request to Authorize Final Payment on Project Regarding Miscellaneous Concrete Work.
Motion by Norberg, second by Heintz to authorize the final payment in the amount of
S1,631,57 to Halvorson Construction Co., for Columbia Heights Project # 80)2 entitled
miscellaneous concrete construction. Roll Call: All ayes
6. Final Payment for Sullivan Lake Park Water Supply System.
Motion by Logacz, second by Heintz to authorize the final payment in the amount of
$22,853.29 to Ideal Enterprises,Inc. for work ,completed on Project # 7903 entitled
Sullivan Lake Park Water Supply Systems. Roll Call: All ayes
7. Authorization to Receive Engineering Proposals Regarding Preparation of Plans,
Specifications, and Receipt of Bids for the Relocation of 41st Avenue
Motion by Hentges, second by Heintz to authorize the City Manager to receive engi-
neering proposals regarding the preparation of plans, specifications, and receipt
of bids for the relocation of 41st Avenue. Roll Call: All ayes
8. Approval of an Agreement With the City of Minneapolis Regarding the Reconstruction of
37th Avenue from Main St. to Central Avenue
Councilman Heintz asked if this project will be done this year and was told it would
not, with perhaps, the exception of the storm drains. The Public Works Director felt
by the time all of the requirements for commencing this project were met it
late in the fall to undertake the entire project. The total cost of the project will be
$704,261.73, with the Columbia Heights share to be $ 365,968.36 and the Minneapolis share
to be $338,293.37.
Motion by Logacz, second by Heintz to authorize the Mayor and City Manager to execute
the agreement with the City of Minneapolis regarding the reconstruction of 37th Ave.
from Main St. to Central Avenue. Roll Call: All ayes
9. Budget Transfer Regarding Traffic Signs and Signals
Motion by Heintz, second by Logacz to approve the following budget transfers:
$1600.00 to Account No. 1120, contractual maintenance and repair; $2100.00 to
Account No 1350, maintanance and construction materials; from the general
fund-unallocated account. Roll Call: All ayes
lO. Authorization to Seek Bids for Garbage and Rubbish Pickup Service
Motion by Heintz, second by Logacz to authorize the City Manager to seek bids with
an opening on Sept. 17, 1980 at 2 PM. Such bids to be presented to the Council at
its regular meeting Sept. 22, 1980.
Appointments to Boards and Commissions
Motion by Norberg to table this matter until the next regular meeting.
Motion dies for lack of a second.
Motion by Hentges, second by Logacz to appoint Don Markow to the Planning and Zoning
Commission to fill the unexpired term of Robert Nelson. Roll Ca!l: All ayes
Regular Meeting Aug. ll
page 28
Motion by Hentges, second by Heintz to appoint the following people to the
Energy, Science and Technology Commission for a stated period of time:
Lawrence Nawrocki, Stephen Karn, three year term
David Kelso, Ken Koch, two year term
Mark Ryan, Gayle Norberg, one year term
Councilman Norberg felt these appointments should not be made until more time is
given for people to be made aware that there are openings on this commission. Me's
convinced that there are people with qualifications for this commission that would
be interested in serving but do not know about it or have not yet taken the
initiative to apply.
Mayor Nawrocki offered a friendly amendment to the motion for the appointment of
Trudy Rider to serve on this Commission for a period of one year.
Roll Call: Logacz, Heintz, Hentges, Nawrocki--aye
Norberg--nay
12. Letter from Local Planning and Urban Affairs for the State of Minnesota
a. The Mayor advised the Council that the application made by the City for funding
for the Sullivan Lake Project ranked high for consideration but the amount of
available funding was not as high as first thought. The City was advised to make
a final application.
b. Councilman Hentges inquired of the Public Works Director information on the
time sequence for the semaphores located at the intersection of 44th and
University avenues. Councilman Hentges has received complaints that people
riding motorcycles cannot trip the semaphores. The Public Works Director will
check further.
Reports
City Manager's Report
The City Manager spoke to three items for general information purposes.
1.Local 49, review of the City's position with regard to Local Addendum Issues.
2.Methane-powered demonstration car program. This program was scheduled for Aug. 13th.
3.Contract negotiations with Local 320 for Police Department Sergeants.
9. Licenses
Motion by Heintz, second by Hentges that licenses be approved as listed upon proper
payment of fees.
10. Payment of Bills
Motion by Logacz, second by Heintz to authorize the payment of bills as listed
out of their proper funds.
Motion by Norberg, second by Heintz to withdraw bills # 36644 and # 36675 from the
list of bills. These bills receive approval by resolution. Roll Call: All ayes
Motion by Logacz, second by Heintz to waive the reading of the resolutions there being
ample copies available to the public. Roll Call: All ayes
RegUlar Meeting
page 29
Auo 11
RESOLUTION 80-38
WHEREAS, Councilman Gayle R. Norberg has or may possibly have
a financial interest in International Business Machine Corporation
and the City wishes to purchase an IBM Typewriter, Model 895 I1, and,
WHEREAS, the Council has determined, based on the report of the
City Manager, that the purchase price is as low or lower than the
price at which this item could be purchased elsewhere, the City
Council of the City of Columbia Heights hereby resolves that the
sum of $864.00 be paid out of proper fund upon the filing
of an affidavit with the City Clerk in accordance with Minnesota
Statute S.471.89, subdivision 3, by Councilman Norberg.
Passed this 11 day of August1980
Offered by: Logacz
Seconded by: Heintz
Roll Call:
All ayes
Bruce G. Nawrocki, Mayor
Jo-Anne Student, Council Secretary
RESOLUTION 80-39
WHEREAS, Councilm~n Gayle R. Norberg has or may possibly have
a financial interest in the 3 M Company and the City wishes to
pay the 3M Company for service and labor
WHEREAS, the Council has determined, based[ on the report of the
City Manager, that the price is as low or lower than the price at
which this item could be obtained elsewher'e, the City Council of
Columbia Heights hereby resolves the sum of $44.00 be paid out
of the proper fund upon the filing of an affidavit with the City
Clerk In accordance with Minnesota Statute: S. 471.89, subdivision
3, by Councilman Norberg.
R.egu-1 a r Meeting
A~,gust 11
page 30
Passed this I1 day of August
Offered by: Logacz
Seconded by: Heintz
Roll Call: All ayes
1980.
Jo-Anne Student, Council Secretary
RESOLUTION 80-40
Bruce G. Nawrocki, Mayor
WHEREAS, Councilman Gayle R. Norberg has or ,~y possibly have
a financial interest in International Business Machine Corporation
and the City wishes to purchase an IBM Typewriter, Model 895 11, and,
WHEREAS, the Council has determined, based on the report of the
City Manager, that the purchase price is as l o~ or lower than the
price at which this item could be purchased elsewhere, the City
Council of the City of Co)umbia Heights hereby resolves that the
sum of $864.00 be paid out of proper fund upon the filing of an
affidavit with the City Clerk in accordance with Minnesota Statute
S. 471.89, subdivision 3, by Councilman Norberg.
Passed this 11 day of August 1980.
Offered by: Logacz
Seconded by: Heintz
Roll Call: All ayes
Bruce G. Nawrocki, Mayor
Jo-Anne Student, Council Secretary
-Regular Meeting Aug. Il
i~a~e )l
The Mayor asked the Council members to look at the Opinion Survey from the
League of Minnesota Cities. He would like them to study it and answer it to
be returned at the next regular Council meeting.
Motion by Heintz, second by Hentges to adjourn the meeting.
Adjournment: 3:05 A.M.
-Ann~ Student, CounCil Secretary