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HomeMy WebLinkAboutFeb 23, 1981Official Proceedings Columbia Heights City Council Meeting February 23, 1981 The meeting was called to order by Mayor Nawrocki at 8:05 pm. 1. Roll Call: Logacz, Heintz, Norberg, Hentges, Nawrocki--present 2. Invocation: The Invocation was given by Councilman Norbergo 3. Minutes of Previous Meetings Motion by Hentges, second by Heintz to approve the minutes of the danuary 26th Regular Meeting of the City Council, as presented in writing, with corrections note~, and that the reading be dispensed with. Roll call: All ayes 4. Oral Petitions Councilman Norberg, wanted as a matter of record, reoccurinq problems the Lions Club has had during the Columbia Heights Jamboree. Their hope, as expressed by a member of the Lions, is that these problems could be resolved before Jamboree time this year. The Mayor told of a meeting he has had with members of the Lions recently, at which some of the problem areas were discussed. 5. Ordinances and Resolutions a. Second Reading of Ordinance # 942 This ordinance amends Ordinance # 853, City Code of 1977, and pertains to changing the title of the Energy Awareness, Science and Technology Commission. Motion by Norberg, second by Hentges to waive the reading of the ordinance there being ample copies avail- able to the public. Roll call: All ayes ORDINANCE NO. 942 BEING AN ORDINANCE AHENDING ORDINANCE NO. 853, CITY CODE OF 1977, PERTAINING TO CHANGING THE TITLE OF ~ ENERGY A~,~KENESS, S~IENCE AND TECI~OLOGY COHKISSlON The City Council of the City of Columbia Heights does ordain: Section 1: Sections 3.314(1) - 3.314(4), inclusive of Ordinance No. 853, City Code of 1977, passed June 23, 1977, which reads as follows; to-~rlt: "3.31 (l) An Energy Ayareness, Science and Technology Co-~ssion is hereby esta- blished which s~all consist of.seven (7) per~anent members to be appoint- ed by the Council for terms of three (3) years each. Permanent ~embers shall be residents of the City and shall include one member of the Coun~ ell. At least four' (4) per~mnent members shall possess tech~ical exper- tise by virtue of education, training, or experience in the physical sciences, engineering, or mathematics and shall possess at least a bacca- laureate degree therein. 3.314(2) The Energy Awareness, Science and Technology Co~tssion shall establish and appoint its o~n ex officio members of such numbers and identity as it shall deem appropriate. Terms of ex officio ~embers shall be of such Regular Council Meeting February 23, 1981 page 2 duration as is necessar~ an~ e~edient to the topics being considered by the EnerL~ Awareness, Science 'and Technology Co~ssion. ~he EnerL~ Avareness, Science &nd ?echnoloL~ Co~ssion shall continue thereafter to prepare and maintain a current list of persons vho~ay agree to donate technical expertise helpful to the topics vhichmay be studied by the 'Co~fssion. Ex officio members need not be residents of the City and their expertise need not be liudi·t to physical sciences, engineering or mathematics. Each ex officio member shall possess the title of Yech- nical Advisor. 3.314(3) The Energy Avareness, Science and Technology Co~fssion shall: (a) evaluate and advise the Council on highly technological proposals such as the use of computer services by the City Administrative S~rvice [as requested by the Council]. (b) analyze, devise and recommend to the Planning and Zoning Co~ssion · nd Council such changes in the Zoning Code as ~ay be necessary and desirable to both permit and closely regulate energy conservation enhancement in structures; (c) provide analysis and advice to t~e Planning and Zoning Co~fssion, Council, Adndnistrative Service or other Boards ·nd Commissions on technical subjects referred to it from ti~e to time; .(d) advise the Council and aid the Administrative Service in the pre- paration of technical specifications for the purchase of technical equipment or services; (e) reviev the City Code to determine areas of obsolescence or impend- iag obsolescence ·nd recommend changes to the City Council before such problems become acute; (f) conduct such studies as are necessary to advise the City Council about the development of · City energy policy and energy action -statement; (g). inform the residential," commercial and in~ustrial citizens of the City of,the importance of energy conservation and motivate the public to conserve energy ss the City Council shall direct; and (h) evaluate.its effectiveness ~n achieving the City Council's objec- tives. .3.31~ (1) Noth~ithstanding the foregoinglist of duties, the Energy Awareness,' Science -and Technology Commission shall' undertake none of the tasks provided in this section unless the City 'Couficil spec~fically directs it to perform such a particular duty." 0'3..316(1) is herevith amended ~o read as follows, to-At:. · A Science, Technology, and Energy Commission is hereby established which shal! consist of seven (7) permanent members to be appointed by the Council for terms of three (3) years each. Permanent members shall be residents of the City and shall include one member of the Council. At least four (1) permanent members shall possess technical expertise by virtueof education, training, or experience in the physical sciences, engineering, or ~athe~attcs and shall possess at leas£ · baccalaureate degree therein. Regular Council Meeting February 23, 1981 page 3 03.31~(2) The-.Science, Technology, and Energy Commission shall establish and appoint its own ex officio members of such numbers and identity as it shall deem appropriate. Terms of ex officio members shall be of such durations as is necessary and expedient to the topics being considered by the Science, Tech- nology, and Energy Commission. The Science, Technology, and Energy Co-mission shall continue thereafter to prepare and maintain a current list of persons who may agree to donate technical expertise helpful to the topics which may be studied by the Commission. Ex officio members need not be residents of the City and their expertise need not be limited to physical sciences, engineering or mathematics. Each ex officio member shal~ possess the title Technical Advisor.. 3.314(3) The Science, Technology, and Energy Cc,~fssion shall: (a) evaluate and advise the Council on highly technological proposals such as the use of computer services by the City Administrative Service [as requested by the Council]. (b) analyze, devise and recommend to the Plannigg and Zoning Comm~ssion and Council such changes in the Zoning Code as may be necessary and desirable to both permit and closely requlate energy conservation enhancement in structuresl (c) provide analysis and advice to the Planning and Zoning Commission, Council, Administrative Service or other Boards and Commissions on technical subjects referred to it from time to time; (d) advise the Council and aid the Administrative Service in the pre- paration of technical specifications for the purchase of technical equipment or services; (e) review the City Code to determine areas of obsolescence or impend- ing obsolescence and recommend changes to the City Council before such problems become acute; (f) conduct such studies as are necessary to advise the City Council about the development of a City energy policy and energy action statement; (g) inform the residential, commercial and industrial citizens of the City of the importance of energy conservation and motivate the public to conserve energy as the City Council shall direct; and (h) evaluate its effectiveness in achieving the City Council~s objec- tives. 3.31,(,) Notwithstanding the foregoing list of duties, the Science, Technology, and Energy Commission shall undertake none of the tasks provided in this section unless the City Council specifically directs it to perform such a particular duty." Section 2: This Ordinance shall be in full force and effect from and after thirty (30) days after its passage. Regular Council Meeting February 23, 1981 page 4 First Reading: Second ReadinE: Date of passase: February 9, 1981 · February 23, 1981 February 23, 1981 Offered by: Norberg Seconded by: Hentges Roi! call: All ayes Bruce G. Nawrocki, Mayor ~-Anne Student, Secretary to the {/ Council b. First Reading of Ordinance # 945 This ordinance gives preliminary approval to a project under the municipal industrial development act, referring the proposal to the Commissioner of Securities for ap- proval, and authorizing preparation of necessary documents. Motion by Heintz, second by Logacz to waive the reading of the ordinance there being ample copies available to the public. Roll call: All ayes This ordinance deals with bond sale for the shopping center. EXHIBIT A Ordinance No. 945 BEDqG AN ORDL~IANCE 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 pos.~ible, 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 inM~,m~i~_~ ere retained and new industries are deve]oved to use the available Regular Council Meeting February 23, 1981 page 5 resources of the City of Columbia Heights (the "Cit?), a large part of the existing investment of the community and of the state as a whole in educational and public service faeilitie~ 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 es a base for providing governmental services and facil- ities for the remaining population. 1,3. The increase in the amount and eo~ of governmental services requires the need for more intensive development and use of land to provide an adequate tax base to finance these costs, 1.4. A representative of Terry Evenson (hereinafter the "Applicant"), has advised ti~is City Council (the "Council") that he desires to acquire land within the Downtown C.B.D. Revitalization Project area and construct a building or buildings and acquire and install equipment therefor for use as a shopping center facility (hereinafter referred to as the "Project"). 1.5. The existence of the Project in the City will contribute to more intensive development and use of land to increase the tax 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 a representative of the Developer that on the basis of information submitted to them and their discussions 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- itel projects consisting of properties used and useful in connection 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 $5,635,000. 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 Ci .t'v shall not constitute a Regular Council Meeting February 23, 1981 page 6 charge, lien or encumbrance legal or equitable upon an.~ 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 properW pledged to the payment thereof, and shall not constitute a debt of the City. 4. In accordance with Minnesota Statutes, Section 474.01, Subdivision ?a, 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. The Mayor, Clerk, Treasurer and other officers, employees and agen~z of the City are 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 assist in the preparation of such documents as may be appropriate to the Project, if it is approved by the Commissioner. 5. The law firm of Holmes & Graven, Chartered, is authorized to act as Bond Counsel and to assist in the preparation and review of necessary documents relating to the Project and bonds issued in connection therewith. The Mayor, Clerk-Treasurer, City Attorney, and other officers, employees and agents of the City are hereby authorized to assist Bond Counsel in the preparation of such documents. 6. This ordinance shall be in full force and effect from and after thirty (30) days after its passage. First Reading: Second Reading: Offered by: Seconded by: Date of Passage: February 23, 1981 M ay or Secretary to the Council c. Resolution 81-12, a Resolution Calling for a Public Hearing on a Proposal to Undertake and Finance an Industrial Development Pr6ject This resolution establishes a public hearing date for the purpose of considering the proposal to undertake and finance the retail complex, The public hearing iS scheduled for Monday, March 23, 1981 at 7:00 pm. Motion by Heintz, second by Hentges to waive the readi,,g of the resolution there being ample copi'es available to the public, Roll call: All ayes Councilman Norberg feels it is unnecessary to hold two separate public hearings that deal with proposals concerning the same area in the Downtown Development. Regular Council Meeting February 23, 1981 page 7 RESOLUTION NO. 81-12 RESOLUTION ESTABLISHING THE DATE FOR A PUBLIC HEARING ON A PROPOSAL TO UNDERTAKE AND FINANCE A PROJECT UNDER MINNESOTA STATUTES, CHAPTER 474 WHEREAS, the Minnesota Municipal Industrial Development Act, Minnesota Statutes, Sections 474.01 et sec]. (the "Act"), authorizes the issuance of revenue bonds to finance projects; and WHEREAS, the term "project" is defined by Section 474.02, subdivision la, of the Act to include "any properties, real or personal, used or useful in connection with a revenue producing enterprise"; and WHEREAS, a representative of Terry Evenson (the "Developer") has presented this City Council with information concerning a proposed project (the "Project") to be acquired and constructed within the City of Columbia Heights (the "City"); and WHEREAS, the Developer has requested that the City resolve to issue revenue bonds pursuant to the Act to finance the Project and has presented to the City a form of preliminary ordinance concerning such issuance with a request that such preliminary ordinance, attached hereto as Exhibit A, Ordinance No. 945, be considered for adoption by the City Council of the City; and WHEREAS, Section 474.01, subdivision 7b, of the Act provides that the City Council must conduct a public hearing on any proposal to undertake and finance a project; and WHEREAS, Section 474.01, subdivision 7b, of the Act provides that notice of the time and place of such public hearing and stating the general nature of the project and an estimate of the principal amount of bonds or other obligations to be issued to finance the project must be published at least once not less than fifteen (15) days nor more than thirty (30) days prior to the date fixed for the public hearing in the official newspaper of the City and a newspaper of general circulation in the City; and WHEREAS, Section 474.01, subdivision 7b, of the Act provides that the notice must state that a draft copy of the proposed application (the "Application") to the Commissioner of Securities of the Securities Division of the Department of Commerce of the State of Minnesota for approval of the Project, together with all attachments and exhibits, is on file with the City and available for public inspec- tion; and WHEREAS, the Developer has presented to the City a form of public notice, attached hereto as Exhibit B, with a request that the City Council establish a date for a public hearing on the proposal to undertake and finance the Project and to authorize publication of the form of public notice provided by the Developer; Regular Council Meeting February 23, 1981 page 8 NOW, THEREFORE, BE IT RESOLVED THAT: 1. The City Council of the City will conduct a publ/e hearing on the proposal to undertake and finance the Project on the 23rd day of March, 1981, at ?:00 2. The City Manager is hereby author/zed to cause a public notice, substantially in the form of the notice attached hereto as Exhibit B, to be published in the official newspaper of the City and a newspaper of general circulation in the City. 3. The City Manager is hereby authorized and directed to have avaUable for public inspection in the offices of the City a drMt copy of the proposed Application, together with all attachments and exhibits thereto. Offered by: Hentges Seconded by: Heintz Roll Call: Logacz, //o-~'n~e Student, Cou~rrci 1 Heintz, Hentges, Nawrocki--aye Norberg--nay Btu. ce G Na~rocki, M~yor Secretary do First Reading of Ordinance # 946 This ordinance gives preliminary approval to a project under municipal industrial deve- lopment act, referring the proposal to the Commissioner of Securities for approval, and authorizing preparation of necessary documents. This ordinance deals with the bond sale for an office building. Motion by Heintz, second by Logacz to waive the reading of the ordinance there being ample copies available to the public. Roll call: All ayes EXHIBIT A Ordinance No. 946 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 Regular Council Meeting February 23, 1981 page 9 'industry. and eommeree through governmental acts to prevent, sc{ 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 fac[l- ilies for the remaining population. 1.3. The increase in the amount and cost of governmental services requires the need for more intensive development and use of land to provide an adequate tax base to finance these costs. 1.4. A representative of Terry Evenson (hereinafter the "Applicant"), has advised this City Council (the "Council") that he desires to acquire land within the Downtown C.B.D. Revitalization Project area and construct a building of approximately 80,000 square feet and acquire and install equipment therefor for use as an office facility (hereinafter referred to as the "Project"). 1.5. The existence of the Project in the City will contribute to more intensive development and use of land to increase the tax 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 eonventiona~ 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 a representative of the Developer, that on the basis of information submitted to them and their discussions 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 connection 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. Regular Council Meeting February 23, 1981 page 10 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 $6,100,000. 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. In accordance with Minnesota Statutes, Section 474.01, Subdivision ?a, 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. The Mayor, Clerk, Treasurer and other officers, employees and agents of the City are 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 assist in the preparation of such documents as may be appropriate to the Project, if it is approved by the Commissioner. 5. The law firm of Holmes & Graven, Chartered, is authorized to act as Bond Counsel and to assist in the preparation and review of necessary documents relating to the Project and bonds issued in connection therewith. The Mayor, Clerk-Treasurer, City Attorney, and other officers, employees and agents of the City are hereby authorized to assist Bond Counsel in the preparation of such documents. 6. This ordinance shall be in full force and effect from and after thirty (30) days after its passage. First !~eading: Second Reading: Offered by: Seconded by: Date of Passage: February 23, 1981 M ay or Secretary to the Council Regular Council Meeting February 23, 1981 page ll Resolution 81-13, a Resolution Calling for a Public Hearing on a Proposal to Under- take and Finance an Industrial Development Project. This resolution establishe§ a public hearing date for the purpose of considering the proposal to undertake and finance the office building. The public hearing is scheduled for Monday, March 23, 1981 at 7:30 pm. Motion by Heintz, second by Hentges to waive the reading of the resolution there being ample copies available to the public. Roll call: All ayes Councilman Norberg again stated his opposition to two public hearings for projects that have the same developer. RESOLUTION NO. 81-13 RESOLUTION ESTABLISHING THE DATE FOR A PUBLIC HEARING ON A PROPOSAL TO UNDERTAKE AND FINANCE A PROJECT UNDER MINNESOTA STATUTES, CHAPTER 474 WHEREAS, the Minnesota Municipal Industrial Development Act, Minnesota .Statutes, Sections 474.0! et seq. (the "Act")~ authorizes the issuance o'f revenue bonds to finance projects; ~d WHEREAS, the term "project" is defined by Section 474.02, subdivision la, of the Act to include "any properties, real or personal, used or useful in connection with a revenue producing enterprise"; and WHEREAS, a representative of Terry Evenson (the "Developer") has presented this City Council with information concerning a proposed project (the "Project") to be acquired and constructed within the City of Columbia Heights (the "City"); and · WHEREAS, the Developer has requested that the City resolve to issue revenue bonds pursuant to the Act to finance the Project and h~s presented to the City a form of preliminary ordinance concerning such issu&nce with a request that such preliminary ordinance, attached hereto as Exhibit A, Ordinance No. 9/46, be considered for adoption by* th~'City Council of the City; and WHEREAS, Section 474.01, subdivision ?b, of the Act provides that the City Council must conduct a public hearing on any proposal to undertake and finance a project; and WHEREAS, Section 474.01, subdivision ?b, of the Act provides that notice of the time and place of such pubUe hearing and stating the general nature of the project and an estimate of the principal amount of bonds or other obligations to be issued to finance the project must be published st leazt once not less than fifteen (15) days nor more than thirty (30) days prior to the date fixed for the public hearing in the official newspaper of the City and a newspaper of general circulation in the City; and WHERF_~,S, Section 474.01, subdivision ?b, of the Act provides that the notice must state that a draft copy of the proposed IppU~ation (the "AppUcaUon") to the Commissioner of Securities of the Securities Division of the Department of Commerce of the State of Minnesota for approval of the Project, together with all attachments and exhibits, is on file with the C. ity and available for pubUe inspee- Uon; and WHEREAS, the Developer has presented to the City a form of pubUc notice, attached hereto as Exhibit B, with a request that the City Council estabUsh a date for a public hearing on the proposal to undertake and finance the Project ~nd to authorize pubUcaUon of the form of oubUe notice e~ovi~d hv th~ T)evaleu~a~.? Regular Council Meeting February 23, 1981 page 12 NOW, THEREFORE, BE1TRESOLVED THAT: 1. The City CouncU of the City w~l conduct a pubUc he~ing m~ ~ pro~os~ to ~der~e ~d finance the Project on the 23rd ~y of M~e~ 19~1, at 7:30 e 2. ~e City M~Mer M ~eby au~or~ed to ~use a ~bUe aotiee, subst~ti~y ~ ~e form of the notice at~ched hereto ~ ~hibit B, to ~ p~he~ in the offici~ newspaper of ~e City ~d a newsp~er of g~er~ eirc~tion ~ ~e Ci~. 3. The City Manager is hereby authorized and directed to have available for pubUc inspection in the offices of the City a draft copy of the proposed AppUcation, together with all attachments and exhibits thereto. Offered by: Heintz Seconded by: Hentges Roll Call: Logacz, Heintz, Hentges, Nawrocki--aye Annie Student, Cou~rrci I Secretary Norberg-- ney. / / t Bruce G. Nawrocki, Mayor f. First Reading of Ordinance # 944 being an Ordinance amending Ordinance # 853, City Code of 1977, pertaining to precious metal dealers. Motion by Norberg, second by Heintz to waive the reading of the ordinance there being ample copies available to the public. Roll call: All ayes The Mayor had requested that this ordinance be drafted. He said there is presently a similar proposal pending in the state legislature, but this one being proposed for the City of Columbia Heights is drafted in the same fashion as the one in Minneapolis. He feels our ordinance is tighter and more meaningful. Although*there are no dealers in the City, this ordinance still has a purpose. CounCilman Norberg suggested a copy of this ordinance be referred to Hilltop for their consideration. This would make enforcement of the ordinance easier. ORDINANCE NO. 944 BEING AN ORDINANCE AMENDING ORDINANCE NO. 853, CITY CODE OF 1977, PERTAINING TO PRECIOUS METAL DEALERS The City Council of the City of Columbia Heights does ordain: Section 1: Section 5.611 of Ordinance No. 853 of the City Code of 1977, passed June 21, 1977, shall hereafter read as follows, to-wit: SECTION 11 - PRECIOUS METAL DEALERS 5.611 (1) (a) No person or organization, except a bona fide non-profit coin club, shall engage in or conduct a business dealing in precious metals without a license issued pursuant to the provisions of this section. Regular Council Meeting February 23, 1981 page 13 (b) This section shall not relieve any person or organization dealing in items other than precious metals at the same or a different loca- tion, from the requirement of obtaining other licenses required by this Code. (c) This section shall not apply to the purchase of secondhand items con- taining precious metal for resale in unaltered form to the general public at retail, as an incidental part of a regular business. 5.611 (2) Definitions. For purposes of this section, the following words shall have the meanings ascribed to them: (a) "Precious Metal Dealer" shall mean any person, co-partnership or cor- poration, either as principal or agent, who engages in the business of buying or selling secondhand items containing precious metals, in- cluding but not limited to jewelry, watches, coins, eating utensils, candlesticks, decorative objects and ingots. (b) "Precious Metal" shall mean gold, silver and platinum. 5.611 (3) Application. (a) Every person or organization desiring a license to deal in precious metals shall apply to the City Council for a license on an applica- tion form provided by the City Clerk. The application shall contain all information required by the City Clerk including: (i) Name, place and date of birth and street residence of the applicant. (ii)The business address and the name and address of the owner of the premises. (iii) A statement whether, within the preceding ten years the ap- plicant has been convicted of any crime, petty misdemeanor or municipal ordinance relating to receiving stolen goods, theft, burglary, robbery, damage or trespass to property or operation of a business; the nature and date of the offense and the penalty assessed. (iv) A statement whether the applicant is a natural person, cor- poration or partnership. [aa] If the applicant is a corporation, the state of in- corporation and the names and addresses of all offi- cers and directors; [bb] If the applicant is a partnership, the names and ad- dresses of all partners; (b) (v) The name of the manager or proprietor of the business. Execution of Application - If the applicant is a natural person, the application shall be signed and sworn to by the person; if a corporation, by an agent authorized to sign; if a partnership, by a partner. Regular Council Meeting February 23, 1981 page 14 (c) The Chief of Police or his designee shall investigate.into the truth--. fulness of the statements set forth in the application and shall eh- _. dorse his findings thereon. The applicant shall furnish to the Chief of Police such evidence as he may reasonably require in support of the statements set forth in the application. (d) False Statements in Application - No person shall make any material false statement in any application. In addition to other penalties, the licensee's license may be revoked by the City Council for a vio- lation of this section. 5.611 (4) Bond Required. Prior to the issuance of a license under this section, the applicant shall file a five thousand dollar ($5,000.00) bond with the City Clerk. Said bond shall be conditioned that the principal named will observe and comply with all laws and the provisions of this Code re- lating to dealers in precious metals, and will conduct business in con- formity thereto, and that the principal will account for and deliver to any person legally entitled any goods which may have come into the princi- pal's hand through the principal's business as a dealer in precious metal items, or in lieu thereof, will pay the reasonable value in money to the person. 5.611 (5) License Fee. The annual license fee for a precious metal dealer shall be One Hundred Dollars ($ 100.00 ). In addition to the fee specified above, an additional One Hundred Dollars ($ 100~00 ) fee shall be paid by an applicant: (a) Upon initial application for the license specified in this section, and (b) Upon application for the license specified in this section after failing to renew the license within one (1) year of the expiration date of the previously held license. The One Hundred Dollars ($10O.00 ) fee shall not be refunded whether or not the license sought is granted. The amount of the license fee may hereafter be amended by resolution of the Council. 5.611 (6) Expiration of License. pire on July 1. All licenses issued under this section shall ex- 5.611 (7) Business at only one place. A license under this section shall authorize the licensee to carry on its business only at the permanent place of busi- ness designated in the license. The licensee shall either own the build- ing in which the business is conducted or have a lease on the business premises which extends for more than six (6) months. No license may be transferred to a different location or a different person. No licensee or agent thereof shall store any items containing precious metal at any location other than the address listed on the license. 5.611 (8) Records Required. Every precious metal dealer shall, at the.time of pur- chase or consignment of'a good, immediately record clearly in ink, in the English language in a book, an accurate account containing the following information: (a) A complete description of the item, including but not limited to: (i) type and size of item; Regular Council Meeting February 23, 1981 page 15 (ii) kind and quality of metal; (iii) any engravings or distinguishing characteristics; (iv) any gems attached; (v) date, mint, and condition of all coins (b) Purchase or consignment price; (c) Time and date of receipt; (d) Name, residence address, and driver's license number (or equivalent identification where a driver's license is not available) of the person selling or consigning the good. The book as well as the goods purchased or consigned shall at all rea- sonable times be open to inspection of the Mayor or any member of the Police Department. Entries in the book shall be retained for at least three (3) years. 5.611 (9) Receipt to Seller. Each precious metal dealer shall provide a receipt to the seller or consignor of any item which shall include: (a) The name, address and phone number of said precious metal dealer; (b) The date; (d) A description of the item purchased as provided in Section 5.611(8) (a) herein; The purchase price; (e) The signature of the person purchasing or receiving the item. A copy of each receipt shall be kept on file at the place of business designated in the dealer's license. Each receipt shall be open to in- spection in the same manner as the records required by Section 5.611(7). 5.611(10) Payment by check only. Payment to the'seller or consignor shall be by check only, made payable to a named payee who is the actual intended seller. 5.611(11) Photographs required. Every licensee shall maintain photographic equip- ment at its place of business capable of taking high quality color photo- graphs of both the individual selling or consigning items and the items sold or consigned. The photographic equipment maintained shall be of a type and quality approved by the City Clerk. When a licensee, or an agent or employee thereof, receives any precious metal item except coins, he or she shall photograph the individual selling or consigning such item and each item received. The photographs required by this section shall be maintained along with the other records required by this section in such a manner that they can be readily matched and correlated with all other records of the transaction to which they relate. Such photographs shall be available to the police department upon request. Regular Council Meeting February 23, 1981 page 16 5.611(12) Reports to Police. Every precious metal dealer shall make out and deliver to the Police Department every day before noon, upon a form approved by the Police Department, a legible description of the goods purchased dur- ing the preceding day, together with the time purchased and the name and address of the person from whom the goods were purchased. The des- cription of the goods shall include: (a) A complete description of the item, including but not limited to: (i) type and size of item; (ii) kind and quality of metal; (iii) any engravings or distinguishing characteristics; (iv) any gems attached; (v) date, mint, and condition of all coins (b) Purchase or consignment price; (c) Time and date of receipt No person shall be required to furnish reports of bulk sales from mer- chants, manufacturers or wholesale dealers of precious metal or of goods purchased at open sale from bankrupt stock. Bulk sales must be accom- panied by a bill of sale or other evidence of purchase which must be shown to any member of the Sheriff or Police Department upon demand. Every licensee under this section shall have the duty to report to the Police Department any article delivered or transferred to his possession, if the licensee or his agent has reason to believe that the article was delivered to him from a person other than the rightful owner or an agent of the owner. No secondhand precious metal item purchased or received by any precious metal dealer shall be altered, sold, divested of possession, or disposed of in any way, for a period of thirty (30) days next after the delivery to the Police Department of the copy and statement relating thereto as re- quired in this Section 5.611(12). 5.611(13) Police Order to Hold Property. Whenever the Chief of Police or his desig- nee, notifies a dealer not to sell an item, the item shall not be sold, altered or removed from the licensed premises until authorized to be re- leased by the Chief of Police or his designee so requiring the item to be held. 5.611(14) Prohibited Acts. (a) No person under eighteen (18) years of age shall sell or consign or attempt to sell or consign any item to any dealer in precious metals. No dealer in precious metals, nor any agent or employee thereof, shall purchase or receive on deposit any item from any per- son under eighteen (18) years of age. (b) No dealer in precious metals, nor any agent or employee thereof, shall purchase or receive on deposit any item from a person of un- sound mind or an intoxicated person. Regular Council Meeting February 23, 1981 page 17 (c) No dealer in precious metals, nor any agent or employee thereof, shall purchase or receive on deposit any items unless the seller pre- sents identification in the form of a driver's license, pictured identification, or medicard. 5.611(15) Denial~ Suspension or Revocation. Any license under this section may be denied, suspended or revoked for any of the following reasons: (a) The use or proposed use is in conflict with the Columbia Heights Zoning Code; (b) (c) (e) The use or proposed use is in conflict with any health, building, building maintenance or other provision of this Code or state law; Violation of any provision of this section; Fraud, misrepresentation or bribery in securing a license; Fraud, misrepresentation or false statements made in the course of the applicant's business; Section 2: (f) Conviction of the applicant, any partner or shareholder of the appli- cant, or any employee of the applicant within the preceding five (5) years, of any crime, petty misdemeanor or municipal ordinance relat- ing to theft, receiving stolen goods, burglary, robbery, damage or trespass to property or the operation of a business. 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: February 23, 1981 Offered by: Seconded by: Roll call: Bruce G. Nawrocki, Mayor Jo-Anne Student, Secretary to the Council 6. Communications a. Letter From Governor A letter was received from Governor Quie whi'ch reflected h. is budget message and it~ impact upon local government during the 1981-1983 budget period, This was an ~nformational item. Regular Council Meeting February 23, 1981 page 18 b. Letter from League of Minnesota Cities Concerning Governor's Budget Proposals This letter dealt with two items in the Governor's budget proposal and how they were viewed by the League: 1) Freeze level of funding for local governmental aid 2) Delay distribution of aid payments to cities during the 1982-1983 period. This was an informational item. 7. Old and New Business a. Old Business 1. 1981 Goals The City Manager has presented a revised list of major activities which would be used by department heads in preparing departmental and individual goals. This list is not to be used as a list of goals but rather major activities, by priority, to be under- taken during the current year to develop more detailed and specific goals. Motion by Logacz, second by Hentges to adopt the list of 1981 Goals by Priority as presented by the City Manager. Roll call: Logacz, Hen[ges, Nawro~ki--aye Heintz, Norberg--nay 2. Guard Rail to be Installed at 44th and Monroe This item was previously approved by the Council on the condition that the total cost of the project did not exceed $1,000. It is being brought back to the Council because the cost does exceed $1,000. The cost of the materials for the guard rail, based on an informal quotation, is $517.73.1t is estimated that the total costs including City equipment and labor would amount to $1,063.38. Motion by Heintz, second by Logacz to authorize the purchase of a guard rail and ac- cessories from Wheeler Lumber of Shakopee for $517.73, based upon informal quotation. Councilman Hentges felt funds for this project sho01d be a consideration as a use of some of the City's state aid money. Also, he suggested that an evergreen tree on this lot could be removed as it poses a visibility problem. Councilman Heintz felt the tree was not a safety hazard. Roll call: Logacz, Heintz, Nawrocki--aye Norberg, Hentges--nay 3. Payment to Julian Johnson Construction Company Councilman Norberg inquired if there was a reason the payment to this company was being held up. The City Manager responded that there was some question as to whether or not this company owed the City for damages; damages to some plates in Jackson Pond. It was the consensus of the Council that this contractor should receive some payment. The Mayor suggested that this item be considered when the bills are approved later in the me- eting. At this point in the meeting the Mayor introduced Senator Don Frank, who represents the northern section of the City of Columbia Heights in District 46. Senator Frank, who was elected in November 1981, addressed the Council and the audience. He spoke to a number of items of concern to the residents of Columbia Heights, as well as, to matters of legislation he is authoring. He thanked the Council for affording him the opportunity to ~peak and intends to remain in contact by attending future meetings. b. New Business 1. EMS Emergency Medical Service Program The City Manager spoke to this item and explained what would be necessary for the City to do in order to comply with the requirements mandated by the state public health department. One requirement generated considerable discussion, that being, the services of a medical advisor. The estimated cost for these services is $800 for the remainder Regular Council Meeting February 23, 1981 page 19 of 1981. The Mayor observed, although the cost would not be a burden for the City, this is yet another mandate of the state on local government without regard of a source of funding. Motion by Heintz, second by Logacz to authorize the Mayor and City Manager to execute an agreement for medical advisor services to Health Central Emergency Medical Services. Roll call: All ayes 2. Capital Outlay Purchases--Fire Department Authorization for these purchases was at the request of the Fire Chief. Motion by Hentges, second by Logacz to authorize purchase of the following items; I) Purchase of hand lights with vehicle battery chargers from Mid-Central Fire and Safety Company in the amount of $800; and that this item be considered a proprie- tary item. 2) Heat scanner from Nardini Fire Equipment Company in the amount of $582, and that this be considered a proprietary item Councilman Norberg asked why two of these are asked to be considered proprietary items. He felt this is a fact yet to be determined, particularly with the hand lights. The Chief told the Council this specific light is the best he has seen in all of his years of being a firefighter. Motion by Norberg to strike from the motion the term "proprietary". Motion dies for lack of a second. It was the recommendation of the City Manager that a third request, to purchase a portable resuscitator, demand valves and face pieces, not be authorized. Roll call: Logacz, Heintz, Hentges, Nawrocki--aye Norberg--nay 3. Metronet Operating Agreement--Library Membership in the Metronet organization would allow access to specialized collections in academic, school and private libraries. This would make available hard-to-find and/ or expensive items which will now be accessible to the Library on a shared basis. Councilmen Hentges and Heintz questioned the librarian about membership charges, the possibility of fees and the poten~tial for losing any decision-making powers. Council- man Heintz had reservations about this agreement considering past experience with MELSA. The Mayor reminded the Council that it can review the City's membership anytime and not to lose sight of the fact that this agreement can be very beneficial to our library system. Motion by Norberg, second by Logacz to authorize the Mayor and City Manager to execute the Organizational Agreement for the Operating Period of Metronet. Roll call: Ail ayes RECESS: lO:O0 RECONVENE: 10:25 4. Authorization to Purchase Folding Tables and Stacking Chairs This request is from three departments; the Police, the Fire and the Park. These furnishings are for Murzyn Hall and the Police/Fire Training Room. Motion by Hentges, second by Logacz to authorize the purchase of folding banquet tables and stacking chairs from Superior Products,Inc. in the amount of $1,597.15, based upon low, informal quotation. Roll call: All ayes 5. Schools and Conferences a. American Planning Association Annual Planning Conference Motion by Logacz, second by Norberg to approve the attendance of Allen Carlson, City Planner, at the American Planning Association Annual Planning Conference to be held in Boston, Mass., from April 25-29 and that travel expenses be reimbursed. Roll call: Logacz, Norberg, Nawrocki--aye Heintz, Hentges--nay Regular Council Meeting February 23, 1981 page 20 b. American Water Works Association Annual Conference Motion by Hentges second by Logacz to authorize the attendance of Don Jolly at the American Water Works Association Annual Conference to be held in St. Louis, Mo. June 7-11, and that travel expenses be reimbursed. Roll call: Logacz, Heintz, Hentges, Nawrocki--aye Norberg--abstain 6. Setting Wages for New Hires a. Motion by Hentges, second by Logacz to establish the rate of $4.80 per hour for Carrol McCain, Clerk-Typist 11 (permanent, part time in the Assessing Department) effective February 23, 1981 Roll call: All ayes b. Motion by Logacz, second by Hentges to establish the rate of $859 per month for Joyce Davidson, Utilities/Liquor Clerk 1, effective February 23, 1981. Roll call: All ayes 7. Review Sullivan Lake Preliminary Registered Land Survey The City Manager explained what is being required by the Council on this review. It is dealing primarily with the proposed pathway on the south side of Sullivan Lake. The City Manager told the Council that there was a polling of the residents near this area as to their reactions to this proposed pathway. He read the letter that was sent out to all affected residents. This ite~ vas also considered by the Park Board. Motion by Heintz, second by Logacz to authorize the City Manager to proceed with the sub-division of Sullivan Lake property to set aside area for park purposes, in conformance with the preliminary registered land survey dated 2-23-81 and to obtain a separate certificate of title covering the thirty (30) feet south of the proposed tract C, registered property survey number 63. Roll call: All ayes 8. Purchase of Soil Testing Equipment This request is being made by the Engineering Department. The Public Works Director told the Council this equipment will be used in virtually every street project and there are city employees who are trained to use it, thereby avoiding the nec- essity of hiring someone else. Motion by Hentges, second by Logacz to authorize the purchase of soil testing equipment for the Engineering Department in the amount of $1,636.35 from Ascor, Inc., based upon low, informal quotations. Roll call: All ayes 9. Civil Defense Siren Repair Motion by Heintz, second by Hentges to authorize the City Manager to proceed with repair of three civil defense sirens by Bacon Electric in the amount of $555. Roll call: All ayes 10. Setting Date for Special Assessment Hearing This special assessment hearing is in regard to the Downtown Development and re- location of 41st Avenue. The assessment of 41st Avenue would include the travel way, curb and gutter, sidewalk and semaphores. This does not include the relocation of utilities. It was determined that the only people that would be affected by these assessments would be the developers. Motion by Norberg, second by Hentges to authorize the City Manager to call a special assessment hearing for Monday, April 13th at 7:30 pm. Motion to amend by Heintz, second by Hentges to change the starting time for the meeting to 7:00 pm. Roll call on the amendment: Logacz, Heintz, Hentges, Nawrocki-- aye Norberg--nay Regular Council Meeting February 23, 1981 page 21 Roll call on motion as amended: Logacz, Heintz, Hentges, Nawrocki--aye Norberg-- nay 8. Reports a. City Manager's Report This report was presented in writing. The City Manager advised the Council that the date for a joint meeting with the City Council and the School Board needs to be selected. It was set for Wednesday, March llth at 8:00 pm. The City Manager also referred to repairs needed for the alarm system for the water tower and the use of the parking lot at the Anoka County Government Center in Columbia Heights. The Mayor questioned a procedure referred to in the Manager's Report. The item dealt with calling for bids administratively. The Mayor felt procedurally it would have been preferable for the City Manager to seek Council authorization before the expense and time of calling for bids is done. Motion by Norberg, second by Hentges that the City Manager not advertise for bids without the expressed direction from the Council. Roll call: Logacz, Heintz, Hentges, Nawrocki--nay Norberg--aye Motion fails b. City Attorney's Report The City Attorney advised that the hearing stage of the N.D.H. arbitration is completed and expects a decision in about a month or six weeks. 9. Licenses a. Appeal of Taxi Cab License Denial--Robert Fein Based on Mr. Fein's driving record and on the police department's recommendation his request for a taxi cab license was denied. Mr. Fein appeared before the Council to appeal the denial. His driving record was reviewed and commented on. Council- man Norberg inquired how soon this license could be re-applied for and was advised the ordinance does not prohibit this party from re-applying at any time. Motion by Heintz, second by Hentges to deny the appeal of the denial of the renewal of Mr. Robert Fein's cab driving license based on his driving record. Roll call: All ayes b. Approval of Licenses Motion by Heintz, second by Hentges to approve the licenses as listed upon proper payment of fees. Roll call: All ayes 10. Payment ~f Bills Motion by Heintz, second by Logacz to pay the bills as listed. Roll call: All ayes .Motion by Norberg, second by Heintz to authorize the amount of $9,000 as partial payment to Julian Johnson Construction Company for work done on Jackson Pond. Roll call: All ayes Adjournment Motion by Heintz, second by Logacz to adjourn the meeting. Roll call~/~ll ayes Adjournment: 11:50 pm. ~~~ Bruce G. Nawrocki, Mayor