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Home My WebLink AboutJuly 28, 1997 RegularLES ADMINISTRATiON JULY 23, 1097 Mayor J'osep/t Sturdevant Councilmembers Donald G. Jolly Meg Jones Gar)' L. Peterson Robert IV.. Ruettimann City Manager Walter IL Fehst The following is the agenda for the regular meeting of the City Council to be held at 7:00 PM on Monday, July 28, 1997 in the City Council Chambers, City Hall, 590 40th Avenue N.E., Columbia Heights, Minnesota. The City of Columbia Heights does not discriminate on the basis of disability in the admission or access to, or treatment or employment in, its services, programs, or activities. Upon request, accommodation will be provided to allow individuals with disabilities to participate in all City of Columbia Heights' services, programs, and activities. Auxiliary aids for handicapped persons are available upon request when the request is made at least 96 hours in advance. Please call the City Council Secretary at 782-2800, Extension 209, to make arrangements. (TDD/782-2806 for deaf only) 1. CALL TO ORDER/ROLL CALL (Commencement of Cablecasting of Regular Meeting on Television.) 2. PLEDGE OF ALLEGIANCE 3. ADDITIONS/DELETIONS TO MEETING AGENDA (The Council, upon majority vote of its members, may make additions and deletions to the agenda. These may be items brought to the attention of the Council under the Citizen Forum or items submitted after the agenda preparation deadline.) 4. CONSENT AGENDA (These items are considered to be routine by the City Council and will be enacted as part of the Consent Agenda by one motion. Items removed from consent agenda approval will be taken up as next order of business.) A. Move to Adopt the Consent Aqenda Items as Listed Below: 1) Adopt Council Minutes MOTION: Move to adopt the minutes of the July 14, 1997 Regular Council Meeting. COUNCIL MEETING AGENDA JULY 28, 1997 PAGE 2 2) Application for One Time Gambling Request by East River Hockey Association MOTION: Move to direct the City Manager to forward a letter to the State Charitable Gambling Control Board indicating that the City of Columbia Heights has no objection to a one-time bingo event to be conducted by East River Hockey Association, Inc. at the Church of the Immaculate Conception, 4030 Jackson Street Northeast, Columbia Heights, Minnesota on August 9 and 10, 1997; and furthermore, that the City Council hereby waives the remainder of the thirty-day notice to the local governing board. 3) Chan.qe Order to Install 5' Diameter Catch Basin on Polk Street and Insulate Catch Basin on Leander Lane MOTION: Move to authorize Contract Change Order #3 to install 5' diameter catch basin on Polk Street and insulate catch basin on Leander Lane to Midwest Asphalt Corporation in the amount of $1,535.00. 4) Establish Hearinq Date License Revocation, Rental Property MOTION: Move to establish a hearing date of August 11, 1997 for revocation or suspension of a license to operate a rental property within the City of Columbia Heights against Michael Ryen for rental property at 643 40th Avenue Northeast 5) Establish Hearing Dates License Revocation, Rental Property MOTION: Move to establish a hearing date of August 25, 1997 for revocation or suspension of a license to operate a rental property within the City of Columbia Heights against James J. Egge and John Ansosrge for rental property at 943 42nd Avenue Northeast. 6) Block Party Request - St. Matthew Church MOTION: Move to approve the request of Darlene Buboltz of St. Matthew Lutheran Church, 4101 Washington Street Northeast, to block off Washington Street from 41st Avenue to 42nd Avenue Northeast for a block party from 6PM to 9PM on Tuesday, August 5, 1997. 7) NATOA Conference - Assistant to the City Manaqer MOTION: Move to authorize the attendance of Linda Magee, Assistant to the City Manager, at the National Association of Telecommunications Officers and Advisors Conference to be held in Tucson, Arizona, from September 7-10, 1997, and that all related expenses be reimbursed from Funds 225-49844-3105 and 225-49844-3320. COUNCIL MEETING AGENDA JULY ?_8, 1997 PAGE 3 8) Establish New Salary Range for Assistant Fire Chief MOTION: Move to establish a new monthly salary range for the position of Assistant Fire Chief as follows: ENTRY 6 MONTHS 1 YEAR 2 YEARS 3 YEARS 1997 PROPOSED 1998 PROPOSED $3,914 $4,048 $4,181 $4,315 $4,448 $4,052 $4,190 $4,328 $4,466 $4,604 9) Block Party Request- Rosalie Hansen, LaBelle Condos MOTION: Move to approve the request of Rosalie Hansen, 1011 41st Avenue, Unit 220, to block off the 41st Avenue Northeast cul-de-sac parking lot for a block party from 5:00 p.m. to 8:30 p.m. on August 5, 1997. 10) Authorization to Purchase Replacement Dump Truck MOTION: Move to authorize the purchase of a new 1998 single axle Ford L8511 cab and chassis with dump box, front plow, underbody plow and sander under the State of Minnesota Contract T-113(5); and furthermore, to authorize the Mayor and City Manager to enter into a contract for the same. 11) Medtronic, Inc. Expansion Proiect A.qreement for Loan of MIF MOTION: Move to approve the Agreement for Loan of Minnesota Investment Fund between the City of Columbia Heights and Medtronic,lnc.; and furthermore, to authorize the Mayor and City Manager to enter into an agreement for the same. 12) Approval of Block Party Request - Fred Zaiac, 4926 Monroe Street MOTION: Move to approve the request of Fred Zajac, 4926 Monroe Street Northeast, to conduct a block party on Tuesday, August 5, 1997, from 6:00 p.m. to 8:30 p.m. with barricades blocking off Monroe Street between 49th Avenue and 50th Avenue and also 49 1/2 Avenue at Jackson Street for a block party from 6:00 p.m. to 8:30 p.m. on August 5, 1997. 13) Establish Council Work Session Dates MOTION: Move to establish Monday, August 4, 1997 at 8:00 p.m. and Monday, August 18, 1997 at 7:00 p.m. as dates and times for Council work session to be held in the City Hall Conference Room. COUNCIL MEETING AGENDA JULY 28, 1997 PAGE 4 14) Approval of Payment of the Bills MOTION: Move to approve the payment of bills as listed out of proper funds. 15) Approval of License Applications MOTION: Move to approve the license applications as listed. 16) Request Beer/Sullivan Park MOTION: Move to approve the request of Carol Menken of Medtronic to serve 3.2 beer and non-intoxicating wine coolers in Sullivan Park on Thursday, August 14, 1997 from 8:00 a.m. to 5:00 p.m. 5. RECOGNITION, PROCLAMATIONS, PRESENTATIONS, GUESTS A. Presentation of Plaque to Tom Ftosch Tom was a thirty-eight year employee of the City. B. Presentation of Plaque to Gary Larson Gary served on the Planning and Zoning Commission for seven years. C. Introduction of Newly-Hired City Employees 1) Dana Mattson, Maintenance I 2) Marti Madsen, Recreation Program Coordinator 6. PUBLIC HEARINGS None 7. ITEMS FOR CONSIDERATION A. Other Ordinances and Resolutions 1 ) Resolution Nos. 97-43 and 97-45 Beinq Resolutions Authorizinq Application for Metropolitan Council Local Planninq Assistance Grant MOTION: Move to waive the reading of the resolutions there being ample copies available for the public. MOTION: Move to approve Resolution Nos. 97-43 and 97-45 being resolutions authorizing application for Metropolitan Council Local Planning Assistance Grant. COUNCIL MEETING AGENDA JULY 28, 1997 PAGE 5 2) First Readinq of Ordinance No. 1350 Being an Ordinance Amending Ordinance No. 853, City Code of 1977, and Pertaininq to Construction of Fences and Retaining Walls MOTION: Move to waive the reading of the ordinance there being ample copies available for the public. MOTION: Move to establish the second reading of Ordinance No. 1350 for August 11, 1997. 3) Resolution No. 97-44 Beinq a Resolution to Rename Mathaire Park as Curt Ramsdell Park MOTION: Move to waive the reading of the resolution there being ample copies available for the public. MOTION: Move to adopt Resolution No. 97-44 being a resolution renaming Mathaire Park as Curt Ramsdell Park B. Bid Considerations None C. Other Business 1) Variance Request - RoRer P. Reiter, 4220 Central Avenue, Case #9707-23 MOTION: Move to deny the variance request to utilize the 84 square foot sign as no hardship exists. 2) Reinstatement of Lvnde Investment Rental Licenses MOTION: Move to reinstate the revoked rental licenses for properties owned by Lynde Investments as recommended by the City Attorney and as the buildings have been inspected by the Housing Maintenance Code Inspectors and the Building Inspector. 3) Police & Fire Reserve Appreciation Dinner MOTION: Move and authorize the appropriation of $3,080 in the general fund civil defense department budget for volunteer recognition, with the appropriation coming from the recognition/special events department fund balance in the general fund, and to authorize the Mayor and City Manager to enter into an agreement with Chanhassen Dinner Theaters for this appreciation event. COUNCIL MEETING AGENDA ,JULY 28, 1997 PAGE 6 4) Security System at Murzvn Hall MOTION: Move to authorize staff to seek bids for the purchase and installation of a security system at Murzyn Hall. 8. ADMINISTRATIVE REPORTS A. Report of the City Manager B. Report of the City Attorney 9. GENERAL COUNCIL COMMUNICATIONS A. Minutes of Boards and Commissions 1) EDA June 24, 1997 Meeting 10. CITIZEN FORUM TO ADDRESS THE COUNCIL ON MATTERS NOT ON AGENDA (At this time, citizens have an opportunity to discuss with the Council items not on the regular agenda. The citizen is requested to limit their comments to five minutes. Please note, the public may address the Council regarding specific agenda items at the time the item is being discussed.) RECESS TO EXECUTIVE SESSION MOTION: Move to recess the Regular Council Meeting to an Executive Session to discuss negotiations regarding litigation with Kraus-Anderson for the Top Valu Liquor Store and to appoint Jo-Anne Student as Recording Secretary to keep a written report of the same. RECONVENE REGULAR COUNCIL MEETING MOTION: Move to reconvene the Regular Council Meeting from the Executive Session which was called to discuss litigation with Kraus-Anderson regarding Top Valu Liquor Store with a written report being kept by Jo-Anne Student, Council Secretary. 11. ADJOURNMENT MOTION: Move to adjourn the Regular Council Meeting. Walter R. Fehst, City Manager VOLUNTEER RELIEF ASSOCIATION 1. Call To Order 2. Approval of Minutes of March 10, 1997 MOTION: Move to approve the minutes of the March 10, 1997 Volunteer Fire Relief Association. 3. Acceptance of Resignations - Mark J. Fished Mark O. Seaton MOTION: Move to accept the resignation of Mark J. Fisher, Volunteer Fire Department, effective June 25, 1997. No Relief Association benefits have been accrued. MOTION: Move to accept the resignation of Mark O. Seaton, Volunteer Fire Department, effective June 29, 1997. No Relief Association benefits have been accrued. 4. Adiournment MOTION: Move to adjourn the meeting of the Volunteer Fire Relief Association. WF/js OFFICIAL PROCEEDINGS COLUMBIA HEIGHTS CITY COUNCIL REGULAR COUNCIL MEETING JULY 14, !997 CALLTO ORDER/ROLL CALL Mayor Sturdevant called the Council Meeting to order at 7:00 p.m. Mayor Sturdevant and Councilmembers Jones, Jolly, Ruettimann and Peterson were present· PLEDGE OF ALLEGIANCE ADDITIONS/DELETIONS TO THE MEETING AGENDA Added to Other Business was the item of the award of contract for repair of catch basin at 42nd and Central Avenues. Removed from the Consent AGenda were the following items: Authorization for Braun Intertec to conduct road rater testing on Zone 3, City streets; special purpose fence at 1402 Circle Terrace; and, purchase of Motorola modem units. CONSENT AGENDA The items on the Consent Agenda are considered to be routine by the City Council and are enacted as part of the Consent Agenda by one motion. A. Motion by Peterson, second by Jones to approve the Consent Agenda items as listed below: 1) Adopt Council Minutes The Council approved the minutes of the June 23, 1997 Regular Council Meeting. 2) Final Payment for Sanitary Sewer Lininq and Manhole Rehabilitation The Council accepted the work for sanitary sewer lining and manhole rehabilitation for Municipal Project No. 9606 and authorized final payment of $1,948.65 to Insituform Central, Inc. of Chesterfield, Missouri. 3) Block Park Request - LaBelle Condos The Council approved the request of Charlotte Wontor, 999 41st Avenue Northeast, to block off the 41st Avenue Northeast cul- de-sac parking lot for a block party from 6:00 p.m. to 10:00 p.m. on August 5, 1997. REG~ COUNCIL MEETING JULY 14, 1997 PAGE 2 4) Reguest...~o Serve Beer and Wine Coolers - Sullivan Lake Park The Council approved the reqUest by Carol Menken of Medtronic to serve 3.2 beer and non-intoxicating wine coolers in Sullivan Park on Friday, Augus~ 22, 1997 from 8:00 a.m. to 5:00 p.m. 5) ~pecial Purpose Fence - 450.~ Fifth S~reet, Tim Lawrence The Council approved the reqUest for a five (5) foot high special purpose privacy fence provided the reqUired property irons have been located and the reqUired permit is obtained prior to fence installation. 6) Special Purpose.Fence - ~7 42 ~/2 Avenue, Jon...Edwards The Council approved the reqUest for a six (6) foot high special purpose privacy fence along the east side of the house at 1137 42 1/2 Avenue as reqUested provided the required property irons have been located and the reqUired permit is obtained prior to fence installation. 7) R~quest to Dispose of Cit¥.~uipment The Council authorized staff to sell through notification, advertisements or consignment, four (4) Shure Wireless microphones and the accompanying receivers and the IRP 41 mixer. 8) payment of Bills The Council approved the payment of the bills as listed out of proper funds. 9) Approval of License Applications The Council approved the license applications as listed and the rental license applications as noted in the July 11, 1997 memo from Chief Kewatt. Roll call on Consent Agenda: Ail ayes Authorization for Braun Intertec to Conduct Road Rater Testing Qn Zone 7, C~t¥ Streets Councilmember Jones reqUested an explanation of the process used for the testing and when it may be done in the future. Motion by Ruettimann, second by Jones to authorize Braun Intertec Corporation, Inc. to conduct Road Rater testing on Zone 3 streets, excluding C.S.A.H. and M.S.A. for $913.00/mile plus mobilization; and furthermore, to authorize the Mayor and City Manager to enter into an agreement for the same. Roll call: All ayes REGULAR COUNCIL MEETING JULY 14, 1997 PAGE 3 Special Purpose Fence - 1402 Circle Terrace, Jane Anderson Councilmember Jones noticed that one of the adjoining property owners did not sign a consent sheet. She inquired if this signature is required to approve the request. She was advised this was not the case. Motion by Jones, second by Peterson to approve the request for a six (6) foot high special purpose privacy fence at 1402 Circle Terrace as requested provided the required property irons have been located and the required permit is obtained prior to fence installation. Roll call: All ayes Purchase of Motorola Modem Units Councilmember Jones requested the Police Chief to explain a modem converter. Motion by Jones, second by Peterson to authorize the City Manager and Mayor to purchase three Motorola modem converters at a cost of $3,200 each for a total of $9,600 with the money being budgeted in the Capital improvement Fund for 1997. Roll call: All ayes PROCLAMATIONS, RECOGNITIONS, PRESENTATIONS AND GUESTS A. Proclamation The Mayor read the proclamation declaring Tuesday, August 5, 1997 as National Night Out. The proclamation was presented to Sergeant Bill Roddy of the Columbia Heights Police Department. Sergeant Roddy thanked the community and the Council for the on-going support and positive endorsement of this event. This is the ninth year the City has participated in the National Night Out observance. PUBLIC HEARINGS A. Public Hearinq - Rental Properties Motion by Ruettimann, second by Peterson to close the public hearing regarding the revocation or suspension of the rental license held by the following properties in that the provisions of the Housing Maintenance Code have been complied with: REGULAR COUNCIL MEETING JULY 14, 1997 PAGE 4 Brian Bona, 4015 Seventh Street Northeast Doris Jorgenson, 1480-90 47th Avenue Northeast Randee Arfmann, 4535 Washington Street Northeast Michael Schaffer, 3717 Polk Street Northeast Jean Thorp, 4641 Washington Street Northeast Edwin Matthes, 5229 Seventh Street Northeast Patrick Carlson, 4757 Fourth Street Northeast Mohsen Dessouki, 4610-12 Fillmore Street Northeast Thomas Brooks, 4328 Sixth Street Northeast Roll call: Ail ayes Discussion ReGardinG Request for Sidewalks/SDeed Control on 40th Avenue At a previous Council Meeting, a resident requested the Council consider the installation of sidewalks and traffic speed enforcement on 40th Avenue in the area west of Silver Lake Road. His concern focused on safety issues for children, pedestrians and drivers. The resident was advised to circulate a petition in his neighborhood regarding his concerns and return it to the Traffic Commission for its consideration. Some of the people present at tonight's Council meeting spoke in opposition to the installation of a sidewalk on 40th Avenue. Their primary reason for opposing the sidewalk was because of maintenance responsibilities and the proximity to their homes. Councilmember Peterson suggested there be a meeting held by the neighborhood residents to discuss this matter and perhaps find areas of agreement as to how the problems could be solved. If there is a consensus as to solutions this information should be brought to the Traffic Commission. ITEMS FOR CONSIDERATION A. Other Ordinances add Resolutions 1) Resolution No. 97-42 Being a Resolution Finding the ~roposed 40 Unit Senior Apartment Building Consistent with the plans of the City/PUD Concept Plan Review, Crest View Corporation Motion by Peterson, second by Jolly to approve the Concept Plan as it is consistent with the City's Comprehensive Plan and Zoning Ordinance in that it satisfied the requirements of the PUD Concept review portion of the Zoning Ordinance. Roll call: All ayes REGULAR COUNCIL MEETING JULY 14, 1997 PAGE 5 Motion by Peterson, second by Jolly to waive the reading of the resolution there being ample copies available for the public. Roll call: Ail ayes RESOLUTION NO. 97-42 RESOLUTION OF THE COLUMBIA HEIGHS CITY COUNCIL FINDING THE PROPOSED FORTY UNIT SENIOR APARTMENT BUILDING TO BE CONSTRUCTED BY CREST VIEW CORPORATION TO BE CONSISTENT WITH THE PLANS OF THE CITY WHEREAS, the Columbia Heights City Council has reviewed Concept Plans for Planned Unit Development (PUD) approval for the proposed construction of a forty unit, low income senior apartment building to be constructed on the west end of the Crest View Corporation Community Campus to determine their consistency with the general plan for development of the City of Columbia Heights as a whole. WHEREAS, the Columbia Heights Planning and Zoning Commission recommended to the City Council approval of the Concept PUD Plans. WHEREAS, project implementation of the Crest View Corporation's Concept Plans are subject to submittal and approval of an application for a Capital Advance Grant from the HUD 202 program which will fund the construction of the forty unit low income senior apartment building. WHEREAS, the Columbia Heights City Council has given a favorable review of the Concept Plans for the PUD approval process subject to submission and Preliminary and Final PUD approval of drainage and grading plans, landscaping plans and building elevation drawings. WHEREAS, the Columbia Heights City Council enthusiastically supports Crest View Corporation's efforts in submitting an application for a Capital Advance Grant from the HUD 202 Program and their continued desire to provide quality senior housing for low income individuals and families. NOW, THEREFORE, BE IT RESOLVED, by the Columbia Heights City Council that the Concept Plans are found to be consistent with the general plans for the development of the City of Columbia Heights. REGULAR COUNCIL MEETING JULY 14, !997 PAGE 6 BE IT FURTHER RESOLVED that the staff be directed to forward this resolution adopted by the City Council to the Chief Executive Officer of the Crest View Corporation for inclusion and submttal with said application for a Capital Advance Grant. Passed this 14th day of July, 1997. Offered by: Seconded by: Roll call: Peterson Sturdevant All ayes Mayor Joseph Sturdevant Jo-Anne Student, Council Secretary B. Bid Considerations None C. Other Business t) Anoka County JPA Score Funds Motion by Ruettimann, second by Peterson to authorize the Mayor and City Manager to enter into the 1997 Joint Powers Agreement with Anoka County to provide cooperation between the City and the County in the implementation of the Residential Recycling Program and to make funds of up to $56,999.23 available as reimbursement for eligible expenses. Roll call: All ayes 2) Parkinq Certificate - Columbia Heiqhts Business Center The City Attorney recommended approval of this parking certificate. In response to concerns of a Councilmember, the City Attorney stated that the parking ramp is viewed as an integral part of the building even though no funding is being lended on it. He addressed other concerns which focused on the timetable of this agreement and the insurance policy if the facility were destroyed. Motion by Ruettimann, second by Peterson to approve the Parking Certificate by the City of Columbia Heights in favor of Midland Loan Services, a Missouri limited partnership, to facilitate and encourage the refinancing of the Columbia Heights Business Center, 3989 Central Avenue Northeast, and furthermore, to authorize the Mayor and City Manager to enter into an agreement for the same. Roll call: All ayes REGLrLAR COUNCIL MEETING JULY 14, 1997 PAGE 7 3) Finalization of Remodelinq in the Finance Department and Administrative Office Area It was felt the maximum amount for this expenditure should be included in the motion. Motion by Jolly, second by Jones to authorize the Mayor and City Manager to enter into an agreement with Rak Construction and Glass Masters, Inc. for the installation of three windows in the northeast wall of the Finance Department and one window in the Administration area. Roll call: All ayes 4) Consideration of Renaminq of Mathaire Park Motion by Peterson, second by Ruettimann to direct the Public Works Director, Mark Winson, and Police Chief, Thomas Johnson, to put together flyers which will be distributed in Mathaire Park neighborhood in order to advise residents of the proposed name change and that they may attend the July 28th Council Meeting if they have any issues with this proposed change. Roll call: All ayes 5) 1997-98 Animal Control Services Contract Motion by Ruettimann, second by Peterson to authorize the Mayor and City Manager to enter into a contract with the North Metro Humane Society for animal control/impound services for the contractural period of August 1, 1997 to December 31, 1998, and that funding for these services be provided for the Police Department budget 101-42700-3050. Roll call: Ail ayes 6) Award of Contract for Repair of Catch Basin at 42nd and Central Avenues Motion by Jolly, second by Peterson to award a contract to Infratech of Brooklyn Park, Minnesota for the repair of the catch basin at 42nd Avenue and Central Avenue based on their quote of $4,725.00, funding to come from the Sewer Construction Fund, 652-49499; and furthermore, to authorize the Mayor and City Manager to enter into a contract for the same. Roll call: All ayes ADMINISTRATIVE REPORTS A. Report of the City Manaqer The City Manager noted that many phone calls have been received regarding flooding problems as a result of the recent storms. REGULAR COUNCIL MEETING JTJLY 14, 1997 PAGE 8 10. The Public Works Director advised that over the last two weeks the City has received over nine inches of water. He gave the history of the three most recent storms and how they impacted the City and the storm sewer system. The City Manager gave the results of the most recent federal court hearing regarding a local landlord dispute. The judge has up to ninety days to render a decision. B. Report of the City Attorney The City Attorney reported that inspections on the Lynde Investment properties began today. These inspections are being done by consent or warrant. The owner and his legal counsel have been present at the inspections. The inspections should be complete soon. GENERAL COUNCIL COMMUNICATIONS Minutes of the following board and commission meetings were included in the agenda packet: a. Park and Recreation Commission Meeting of June 25, 1997 b. Telecommunications Commission Meeting of June 19, 1997 c. Charter Commission Meeting of June 19, 1997 d. Library Board Meeting of July 1, 1997 e. Planning and Zoning Commission Meeting of July 1, 1997 CITIZEN FORUM TO ADDRESS THE COUNCIL ON MATTERS NOT ON AGENDA The resident at 4201 Second Street advised the Council that her property has experienced problems with water for many years. She contended this happened because the grade of the street was incorrect and the sewer backs up into her yard. Counci!member Jolly recalled this situation had been litigated and a settlement was made with this property owner. He requested staff to gather additional information on this matter. The property owner at 2301 40th Avenue stated he has experienced water problems since he purchased the property two years ago. He noted that water came from all directions, from his yard, through the sewer and from the street. The owners of 2315 40th Avenue and 2211 40th Avenue addressed their concerns with water on their respective properties. The direction water travels was discussed as was the drain sizes in the area. REGULAR COUNCIL MEETING JULY !4, 1997 PAGE 9 i1. Another concern of the area residents was for the safety of motorists who drive into high water not knowing its depth. Some people indicated a willingness to allow barricades and flashers to be placed in their yards to deter motorists from driving into high water. The Public Works Director will discuss potential liabililty to the City relative to placing barricades in the area. He will also follow up on possible solutions. ADJOURNMENT Motion by Ruettimann, second by Peterson to adjourn the meeting at 9:16 p.m. Roll call: Ail ayes Mayor Joseph Sturdevant Jo-Anne Student, Council Secretary CITY COUNCIL LETTER Meeting of July 28, 1997 AGENDA SECTION: NO. ,~, CONSENT ITEM: Application for One Time Gambling NO. Request by East River Hockey Ass'n. ORIGINATING DEPARTMENT POLICE BY: M. Dugdale DATE: July 22, 1997 APPROVA, L,: · g e . BY: DA Attached is an application from East River Hockey Association, Inc. seeking authorization to conduct a one-time bingo event on August 9 and 10, 1997, at the Church of Immaculate Conception, 4030 Jackson Street N.E. Since the organization satisfies the City Council's resolutions regarding one-time charitable gambling and has paid the $25 permit fee, the City Manager recommends the following action. RECOMMENDED MOTION: Move to direct the City Manager to forward a letter to the State Charitable Gambling Control Board indicating that the City of Columbia Heights has no objection to a one-time bingo event to be conducted by East River Hockey Association, Inc. at the Church of Immaculate Conception, 4030 Jackson Street N.E., Columbia Heights on August 9 and 10, 1997; and furthermore, that the City Council hereby waives the remainder of the thirty-day notice to the local governing body. 97-287 Attachment COUNCIL ACTION: Rev06/96 Minnesota l_awful Gambling Application for Authorizafion for an Exemption from Lawful Gambling i_icense For Board Use Only Fee Paid Check # Initals Date Recd. Organization Name ...................... 4' -Previous ~awfu! gambling exemption number ~ City State Zip Code County 2_[5 q-/ $ Name of Chief Executive Officer of organization (CEO) First Name I Last Name Name of Organization Treasurer First Name Last Name Daytime Phone number of CEO Daytime Phone Number of Treasurer Check the box below which best describes your organization I--'1 Fraternal I"-'1 Veterans [---I Religious /~ Other nonprofit Check the box that indicates the type of proof attached to this application by your organization: r-'] IRS letter indicating income tax exempt status I--I Certificate of good standing from the Minnesota Secretary of State's office [--'l A charter showing you're an affiliate of a parent nonprofit organization I--1 Proof previously submitted and on file with the Gambling Control Board Name of Establishment where gambling activity will be conducted Immaculate~ Conception Churh . Street 4030 Jackson St. NE colC~t~bia,Heights M~ate 5542~iP COde Anoka County Date(s) of activity (for raffles, indicate the date of the drawing) August 9 and I0, 1997 Check the box or boxes which indicate the type of gambling activity your organization will be conducting :~ *Bingo }---] Raffles I--] *Paddlewhee~s r'-] *Pu{l-tabs r--] *Tipboards *Equipment for these activities must be obtained from a licen~ed distributor Be sure the Local Unit of Government and the CEO of your organization sign the reverse side of this application. For Board Use Only Date & Initials of Specialist / / Is this gambling premises located within city limits?[~ Yes [--] No If Yes, write the name of the/~ity: , city Name. If No, write the name of the County and the Township: County Name Township Name Ct~eck the appropriate status of the Township: I--] organized [--1 unorganized ['-1 unincorporated 1. The city must sign this application if the gambling premises is within city limits. 2. The county and township must sign this applica- tion if the gambling premises is not within city limits. 3. DO NOT submit this application to the Gambling Control Board if it is denied by the local unit of government. 4. NOTE: A Township may not deny an application. Upon submission of this application to the Gambling Control Board, the exemption will be issued not more than 30 days (60 days for cities of the 1st class) from the date the local unit of government signed the application, provided the application is complete and all necessary information has been received, unless the local unit of government passes a resolution to specifically prohibit the activity. A copy of that resolution must be received by the Gambling Control Board within 30 days of the date filled in below. Cities of the first class have 60 days in which to disallow the activity. City or County Acknowledgment of Receipt of Township Acknowledgment of Awareness of Application Application tature of person receiving application Signature of person acknowledging application Date Rec~ ofperson Date Signed: Title of person acknowledging application ~s applicati~3~and al, information is true, accurate and complete. ~"(.?' ~x/%~b~it th~ application at least 45 days prior ,o your s::t;:ule d--7;'It~e-o~f activitY./ ~ Be sure to attach the $25 application fee and a copy of you.r proof of nonprofit status. Mail the complete application and attachments to: Gambling Control Board '17'il W. County Rd B Suite 300S Roseviile, MN {i$113 This publication will be made available in alternative format (i.e. large print, braille) upon request. Questions on this form should- be directed to the Licensing Section of the Gambling Control Board at (612)639-4000. Hearing impaired individuals using a TDD may call the Minnesota Relay Service at 1-800-627-3529 in the Greater Minnesota Area or 297-5353 in the Metro Area. The information requested on this form will be used by the Gambling Control Board (GCB) to determine your compliance with Minnesota Statues and rules governing lawful gambling activities. All of the information that you supply on this form will become public information when received by the GCB. HUBERT H. HLrMP~y IH ATTO RN'Ey GENERAL STATE OF MINNESOTA' OFFICE OF THE ATTORzNqE'k' GENERAL August 18, 1995 BU$INF-~S tLEGULA.TION SF--CF!ON SbTrE 1200 445 MI~'q'NESOTA ST'R~F~'r ~ PAUL, Nh"q 55101-2130 TELF. P HO,N'E: (612) 29~-9412 EAST RIVER HOCKEY ASSOCIATION, INC. ATTN PARK & RECREATION 6431 UNIV AVE CITY OF FRIDLEY FRIDLEY, M-N 55432 Dear Sir or Madam: This office has received the annual report ~vhich was recently filed for the above referenced char/table organization. Your organization's registration has been continued pursuant to Minnesota Statutes chapter 309, the Charitable Solicitations Act. We wish to remind you that registration is not an endorsement of the organization and that Minnesota taw prohibits any person from misrepresenting the meaning of registration. Since many grant making organizations and foundations require evidence of registration with this office, we suggest that you retain this letter in your files. Your next annual report and financial statement will be due six months after the close of your organization's fiscal year. Very truly yours, ANNE M. HENSELER Legal Assistant 411647629 AMH:arltr. do¢ Charities Division Telephone: (612) 296-6172 Facsimile: (612) 296-7438 · 'tX)D: (612) 296-t410 · Toll Free Lines: (800) 657-3787 (Voice), (800) 366-.4812 CrDD) An Equal Opportunity Employer Who Values Diversity ~ Printed on 50% recycled paper (15% post consumer content) I-tUBERT H. HLHIPHREY III Attorney General (612) 296-6 t 72 (612) 296-1410 (TDD) L?VGTR UCT[ONS: STATE OF MINENESOTA OFFICE OF THE ATTOP-~NEY GENERAL CI-L,-kRITIES DIVISION Suite 1200, NCL Tower 445 Minnesota Street St. Paul, MN 55101-213'0 Upon request this material can be made available in alternate formats. CHARITABLE ORGANIZATION ANNUAL REPORT File items A-D at one time, not in separate mailings. D. Complete and sign this annual report form. Attach a copy of the IRS form 990 or 990-EZ along with aH attachments and schedules, including Schedt21e ,4. (if one was not filed, complete qnestion 6 of this form.) Attach a 525. O0 registration fee made payable to State of ,3/£innesota. Attach a copy. of the organization's audited financiat statement if it received $350,000 or more in total revert ut. East River Hockey Association, Inc. Lezally. Established Name of Orzanization %~ept. of Recreation, C-zty of Fridley 6431 University Ave. Address of' Principal Office City Fridley State ~ Zip 55432 Contact Person Telephone # Has the name. address and/or telephone number changed in the last year? Yes [--1 No ~ If name_ has. changed, please provide former name: o Has the organization's accounting year changed since the last report or registration statement was filed? Yes [--1 No [] If yes, provide new date identify the nm,me and address of any outside~ ~bfessi'onal fund-raiser (includes solicitors and/or consultants within or outside Minnesota) employed by the organization and the total amount of compensation the outside fund-raiser received during the year. If more than one, attach schedule. Name none Street and Number City State Zip Compensation AT-00113-01 (5/96) 1 ' tf the answer to any of the following is yes, attach a detailed explanation. All questions relate to the period since the filing of the organization's last annual report or registration statement. (a) Has there been any change in the organization's tax status with the Internal Revenue Service? Yes [] No ~ (c) Has there been a significant change in the purposes of the organization? Yes [--] No :~ Has the oroamzatmn s right to solicit funds been denied, suspended, revoked or enjoined by any state agency or court, or are proceedings pending? Yes [--[ No 1~ Ftri¥AiVCI.4L SECT£ON Attach a copy of a completed tnternaI Revenue Service Form 990 or 990-EZ with ail applicable schedules (including Schedule A) and attachments. If you file a 990-EZ, you must also file a functional expense statement and a schedule of contributions showing total direct public support and government grants, Complete the following section only if you received less than $25,000 in total revenue and have not attached a completed IRS Form 990 or 990-EZ. INCOSIE Contributions from the public Government Grants Fees for program service Other Revenue TOTAL INCOME EXPENSES Amount spent for program or charitable purposes Management/general expense F',~nd-raising expense Amounts paid to affiliated organizations TOTAL EXPENSES EXCESS or Deficit $ TOTAL Assets $ TOTAL Liabilities $ END OF YEAR FUND BALANCE/NET WORTH (Assets minus Liabilities) Describe any funds or properties transferred out of this state, such as those funds paid to affiliated orgau-fizations located out of Mirmesotm Include-an exl2/ianation as to recipient and amount. ' none Unless ~rovided in the Form 990. describe the program services delivered by your organization: Description: Unless provided in the Form 990, state the compensation (compensation includes salary, fees., bonuses, fringe benefits, severance payments and deferred Oompensation) of $50,000 or more to the five highest p ~d d~rectors, officers and emr~iovees of your organization- No offi.cer or director re'ce'ives a~y com~ensatio~ - all are volunteers. Name ~ Title , Compensation 1 2 3 5 10. Does your organization control or is it controlled by or is under common control with a related organization(s) either because of stock oxvnership ox- membership interests, by authority to appoint members, or by contract or voting authority? Yes [--[ No [X'] (a) If yes, identify the related organization(s): Name i Address 2 (Attach schedule if more space needed.) Cb) if yes, state the compensation (compensation. includes salary, fees, bont~ses, fringe benefits, severn.rice payments and deferred compensation) of $50,000 or more to the five highest paid. directors, officers and employees of related organizations: Name i Organization Compensation $IG]VA TURES AND A CKNO WLEDGMENT We hereby state and acknowledge that we are duly constituted officers 'of the organization named in this Annual Report, being the ~/i'(-~ ~v'r'~,c~e tX+ (Title) Treasurer (Title) thereof, respectively, that this Annual Report is executed on behalf of the organization pursuant to resolution of ~ ~~4 ~¢ ~',~Xo~ C~o~r~' o~ ~o~or~ o~ ~~, o~ ~ non~. o~ ~g~n~ Oro~) duly adopted on the ~c,+vx day of (~u.~-5-~ , 19 c)6, , approving the content of this Annual Report and all its attachments. TWO $IGNATURES REQUIRED Name / (Print) Signature Date Brenda Aumock Name (Print) Signature Treasurer Title NOTICES: An organization which fails to file the annual report on or before the date required or allowed, under Minnesota Statutes section 309.53, subd. 2 (1994 & Supp. 1995) wilt be required to pay' a late fee of $50. Al1 information and docUmentation provided as part of this registration, including this form, shall be public records. A charitable organization is not required to file a list of its donors. ~r this L~t is JT,,!e.d, it wi!! become part of the organization's registration and wilt be treated as a public record. AG:18741 v! The Church of the In~maculate Conception July 18, 1997 NOTE: The East River Hockey Association, Inc. will not pay more then $100.00 for the use of Immaculate Conception Chu~h facilities at the annual Fun Fest taking 4030 Jackson Street Northeast, Columbia Heights, Minnesota 55421-2929 f612) 788-9062 RESOLUTION NO. 88- 42 BEING A RESOLUTION AUTHORIZING CERTAIN CHARITABLE GAMBLING EXEMPTIONS IN THE CITY OF COLUMBIA HEIGHTS BE IT RESOLVED by the City of Columbia Heights that charitable gambling exemptions will be granted to bona fide charitable organizations provided, however, that the following requirements are met: 1. The organization wishing to gamble obtains the permission of the Minnesota Charitable Gambling Control Board. 2. The organization wishing to gamble obtains the permission of the Columbia Heights City Council. The organization wishing to conduct gambling has been in existence in Columbia Heights for not less than ten (10) years and is a non-profit organization as determined by the Internal Revenue Service and/or the Minnesota Secretary of State. Organizations wishing to gamble and have been in existence in Columbia Heights for not less than ten (10) years will be granted five (5) exemptions per year. Organizations wishing to gamble, but have not been in existence in Columbia Heights for not less than ten (10) years will be granted one (1) exemption per year. The organization wishing to cOnduct gambling must indicate the value of prizes by category to be awarded; such information shall be provided at the time of application. The organization wishing to gamble does not pay, and the proprietor of the licensed premises does not receive, rent in excess of $100.00 per event or other remuneration for permitting the gambling activity or device to be located on the licensed premises. The organization shall remit a non-waivable, non-prorated, non-refundable license fee based upon the following schedule: Class A and Class B licenses . . .. $100 Class C and Class D licenses . . . $ 25 NOW, THEREFORE, BE IT RESOLVED that this resolution shall take effect on July 1, 1988, and shall replace Resolution 88-07. Passed the 9th day of May, 1988. Offered By: Peterson Seconded By: Petkoff Roll Call: Ali ayes o-Anne Student, Council Secretary Dale V. Hadtrath, Mayor iAGENDA SECTION: NO. ,/./t, CONSENT ITEM: Application for One Time Gambling NO. Request by East Ri?er Hocke~, Ass'ri. CITY COUNCIL LETTER ORIGINATING DEPARTMENT POLICE Meeting of July, 28, 1997 ICITY MANAGER APPROV.A.L,: ~ at t , BY: M. Dugdale DATE.: . July 22:1997 .... Attached is an application from East River Hockey Association, Inc. seeking authorization to conduct a one-time bingo event on August 9 and 10, 1997, at the Church of Immaculate Conception, 4030 Jackson Street N.E. Since the organization satisfies the City Council's resolutions regarding one-time charitable gambling and has paid the $25 permit fee, the City Manager recommends the following action. RECOMMENDED MOTION: Move to direct the City Manager to forward a letter to the State Charitable Gambling Control Board indicating that the City of Columbia Heights has no objection to a one-time bingo event to be conducted by East River Hockey Association, Inc. at the Church of Immaculate Conception, 4030 Jackson Street N.E., Columbia Heights on August 9 and 10, 1997; and furthermore, that the City Council hereby waives the remainder of the thirty-day notice to the local governing body. 97-287 Attachment COUNCIL ACTION: LG220 Rev06/96 Minnesota Lawful Gambling Application for Authorization for an Exemption from Lawful Gambling License For Board,Use Only Fee Paid Check # Initals Date Recd Organization Name ........... ..... - -Previous tawfut ~gambling exemption number City State Zip Code County Name of Chief Executive Officer of organization First Name i Last Name (CEO) I lameof Organization Treasurer irst Name Last Name Daytime Phone Number of Treasurer Typ ' .. ..... 4~s':,'..",%>/, '~';" ' "';': "' :' '" ...... ' ' "'¢'::>" '~; "' ";' ' ;;' '";' ~ ~ ~¢ " " :' ": '" *" &"" .... '"' '2~ ;'1 ' :" ."7¢" .-':~% ': ' ;: ';':' .' :j";' '/ '?", ",' ;.. =.,"...: ;.- ::::. ~'.':. ": : '.~. ?:>;. :..;;,'?.:~:,~--¢::/.,.:,?."T. ?<~: ~,,..r ;;, ,'h:..',',', '~.' ~;'r .', ',:, '.':; : Daytime Phone number of CEO Check the box below which best describes your organization r--i Fraternal [~1 Veterans ['-I Religious /~ Other nonprofit Check the box that indicates the type of proof attached to this application by your organization: l~1 IRS letter indicating income tax exempt status I'--'] CerlJficate of good standing from the Minnesota Secretary of State's office ['--] A charter showing you're an affiliate of a parent nonprofit organization I'"-I Proof previously submiffed and on file with the Gambling Control Board Name of Establishment where gambling activity will be conducted Immaculatd Conception Chu~h Street 4030 Jackson St. NE Col~ia Heights ~tate 55Li. 2~iP Code Anoka County Date(s) of activity (for raffles, indicate the date of the drawing) August 9 and 10, 1997 Check the box or boxes which indicate the type of gambling activity your organization will be conducting ~ *Bingo I'--lJ Raffles I"-I *Paddlewheels I'-"'] *Pull-tabs I-"-t *Tipboards *Equipment for these activities must be obtained from a licen~ed distributor Be sure the Local Unit of Government and the CEO of your organization sign the reverse side of this application. For Board Use Only Date & Initials of Specialist HUBERT H. HUMPHREY II1 ATTO R.N'Ey G F-.N EI~ STATE OF MINNESOTA' OFFICE OF THE ATTORaN~EY GENERAL August 18, 1995 BUSI~N~$ ILEGUI~TION SECI'ION $ b'ITE 121X) 4~$ MllqNESOTA ST'R.EET ST. PALrL. M2,/$5101-2130 I'F-J.~PHON~ (612) 29~-9412 EAST RIVER HOCKEY ASSOCIATION, INC. ATTN PARK & RECREATION 6431 UNIV AVE CITY OF FRIDLEY FRtDLEY, MN 55432 Dear Sir or Madam: This office has received the annual report ~vhich was recently filed for the above referenced charitable organization. Your organization's registration has been continued pursuant to Minnesota Statutes chapter 309, the Charitable Solicitations Act. We wish to remind you that registration is not an endorsement of' the organization and that Minnesota laxv prohibits any person from misrepresenting the meaning of registration. Since many grant making organizations and foundations require evidence of registration with this office, we suggest that you retain this letter in your files. Your next annual report and financial statement will be due six months after the close of your organization's fiscal year. Very truly yours, ANNE M. HENSELER Legal Assistant 411647629 AMH:arltr.doc Charities Division Telephone: (612) 296-6172 Facsimile: (612) 296-7438 · TDD: (612) 296-1410 · Toll Fr~e Lines: (800) 657-3787 (Voice), (800) 366-t812 CrDD) An Equal Opportunity Employer Who Values Diversity ~ Print. ed on 50% recycled paper (15% post consumer content) HERBERT H. HLBiTHREY III Attorney General (612) 296-6172 (612) 296-1410 (TDD) I.,¥$TR UCTirO:VS: STATE OF MINNESOTA OFFICE OF THE ATTORNEY GENERAL CFL&RITIE~ DIVISION Suite 1200. NCL Tower 445 1Minnesota Street St. Paul, bin 55101-2!30 Upon request this material can be made available in alternate formats. CI--L4.RITABLE ORGANIZATION ANNUAL REPORT File items A-D at one time, not in separate mailings. D. Complete and sign this annual report forra. Attach a copy of the IRS form 990 or 990-EZ along with al! attachments and schedules, htcluding Schedtile A. (If one was not filed, complete question 6 of this form.) Attach a $25.00 registration fee made payable to State of :}£innesota. Attach a copy of the organization's audited financial statement if it received $350,000 or more in total East River Hockey Association, Inc. Le~ally Established Name ofOrganizarion %~Dept. of Recreation, C'~ty of Frid!ey 6431 Universitv Ave. AddressofPrincipalOffice ContacrPerson City Fridley State t,sxt Zip 55432 Telephone # Has the name. address ands'or telephone number changed in the last year? Yes ['"'] No ~] If name has changed, please provide former name: Has the organization's accounting year changed since the last report or registration statement was filed? Yes [-] No tX] If yes, provide new date Identify the name and address of any outside' lgrl~fessivnal fund-raiser (includes solicitors and/or consultants within or outside 1Minnesota) employed by the organization and the total mount of compensation the outside fund-raiser received during the year. If more titan one, attach schedule. Name none Street and Number City State Zip Compensation AT-00113-0 l (5/96) 1 If the answer to any of the following is yes, attach a detailed explanation. All questions relate to the period since the filing of the organization's last annual report or registration statement. (a) Has there been any change in the organization's tax status with the Internal Revenue Service? Yes [--] No l-X-] (c) Has there been a significant change in the purposes of the organization? Yes [--1 No Has the organization's right to solicit funds been denied, suspended, revoked or enjoined by any state agency or court, or are proceedings pending? Yes FI1VA:VCIAL SECTIOW Attach a copy of a completed Internal Revenue Service Form 990 or 990-EZ with ali applicable schedules (including Schedule A) and attachments. Ifyoufile a 990-EZ, you must also jile a functional expense statement and a schedule of contributions showing total direct public support and government grants. Complete the following section only if you received less than $25,000 in total revenue and have not attached a completed IRS Forrn 990 or 990-EZ. INCONIE Contributions from the public Government Grants Fees for program service Other Revenue TOTAL INCOME $ $ $ $ EXPENSES Amount spent for program or charitable purposes Management/general expense F',.md-raising expense Amounts paid to affiliated organizations TOTAL EXPENSES EXCESS or Deficit $ TOTAL Assets $ TOTAL Liabilities $ END OF YEAR FUND BALANCE~IET WORTH (Assets minus Liabilities) Describe any funds or properties transferred out of this state, such as those funds paid to affiliated organizations located out of Minnesota. Include'an ex~anation as to recipient and amount. none Unless provided in the Form 990. describe the program services delivered by your organization: Description: Unless provided in the Form 990, state the compensation (compensation includes salary, fees, bonuses, fringe benefits, severance payments and deferred compensation) of $50,000 or more to the five high~st ~aid directors, officers and employees of your organization: 0 offi.cer or director receives any compensation - all are volunteers. Name Title Compensation 1 3 4 5 10. Does your organization control or is it controlled by or is under common control with a related organization(s) either because of stock owtnership or membership interests, by authority to appoint members, or by contract or voting authority? Yes (a) If yes, identify the related organization(s): Name Address 1 2 3 (Attach schedule if more space needed.) (b) If yes, state the compensation (compensation includes salary, fees, bonuses, fringe benefits, severance payrnents mud deleted compensation) of $50,000 or more to the five highest paid. directors, officers and employees of related organizations: Name Organization Compensation 1 2 3 4 5~ We hereby state and acknowledge that we are duly constituted officers 'of the organization named in this thereof, respectively, that this Annual Keport is executed on behalf of the organization pursuant to resolution of the '~'X~&vc~ c~, ~/~','~'~-'('o~' 5 (Boarc} of D?reetor~ or Trustees. or-if none. other Managing Group) duly adopted on the ~.-~l'~ aayof (~c~s~- , 199~ , approving the content of this Annual Report and all its attachments. Name / (Print) / Signature Date TWO ,_,CIGNA TURES REQUIRED Brenda Aumock Name Signature ' Treasurer (Print) Title Date/ NOTICES: An organization which fails to file the annual report on or before the date required or allowed, under ?~£innesota Statutes section 309.53, subcL 2 (1994 & Supp. 1995) wilt be required to pay a late fee of $50. All in_formation and documentation provided as part of this registration, including this form, shall be public records. A charitable organization is not required to file a list of its donor~ If this list is fi!e& it will become part of the organization 'x registration and will be treated tz~ a public record. AG.'18741 vl 4 The Church of the Immaculate Conception July 18, 1997 NOTE: The East River Hockey Association, Inc. will not pay more then $100.00 for the use of Immaculate Conception Chu~h facilities at the annual Fun Fest taking place August 9~7. i.) . : ./__ l\,~./,,, 4030 Jackson Street Northeast, Columbia Heights, Minnesota 55421-2929 (612) 788-9062 RESOLUTION NO. 88- 42 BEING A RESOLUTION AUTHORIZING CERTAIN C~ARITABLE GARBLING EXEMPTIONS IN THE CITY OF COLUHBIA HEIGHTS BE IT RESOLVED by the City of Columbia Heights that charitable gambling exemptions will be granted to bona fide charitable organizations provided, however, that the following requirements are met: 1. The organization wishing to gamble obtains the permission of the M~nnesota Charitable Gambling Control Board. 2. The organization wishing to gamble obtains the permission of the Columbia Heights City Council. The organization wishing to conduct gambling has been in existence in Columbia Heights for not less than ten (10) years and is a non-profit organization as determined by the internal Revenue Service and/or the Minnesota Secretary of State. Organizations wishing to gamble and have been in existence in Columbia Heights for not less than ten (10) years will be granted five (5) exemptions per year. Organizations wishing to gamble, but have not been in existence in Columbia Heights for not less than ten (10) years will be granted one (1) exemption per year. The organization wishing to conduct gambling must indicate the value of prizes by category to be awarded; such information shall be provided at the time of application. The organization wishing to gamble does not pay, and the proprietor of the licensed premises does not receive, rent in excess of $!00.00 per event or other remuneration for permitting the gambling activity or device to be located on the licensed premises. The organization shall remit a non-waivable, non-prorated, non-refundable license fee based upon the following schedule: Class A and Class B licenses .... $!00 Class C and Class D licenses .... $ 25 NOW, THEREFORE, BE IT RESOLVED that this resolution shall take effect on July 1, 1988, and shall replace Resolution 88-07. Passed the 9th day of May, 1988. Offered By: Peterson Seconded By: Petkoff Roll Call: A11 ayes o-AD~e Student, Council Secretary Dale V. Hadtrath, Mayor CITY COUNCIL LETTER Meeting of: 7/28/97 AGENDA S~CTION: ORIGINATING DEPARTMENT: ] CITY MANAGER NO: ~,,~. CONSENT CATCH BASIN ON POLK STREET AND INSULATE DATE: 7/21/97 ' !' DATE: CATCH BASIN ON leander LANE ~ - ~ .. ~ The Change Order provides for the construction of the following items: Polk Street: The existing catch basin rings were offset several inches to have the catch basin casting align with the curb. A standard 2' x 3' structure could not be moved to line up with the curb because of the connecting pipe configuration. The structure was replaced with a 5' diameter precast section and concrete cover. Leander Lane: The catch basin is near the 24" graxdty feed water nmin which supplies water to the west side of the city. Rigid insulation was installed to minimize the transfer of cold air from the catch basin to the water main. Staff recommends approval of the Change Order. RECOMMENDED MOTION: Move to authorize Contract Change Order #3 to install 5' diameter catch basin on Polk St. and insulate catch basin on Leander Lane to Midxvest Asphalt Corporation in the amount of $1,535.00. MAW:jb 97-440 COUNCIL ACTION: CITY OF COLUMBIA HEIGHTS, MINNESOTA CONTRACT CHANGE ORDER #3 Change Order Number: 9617-1 9419-1 Type of Project: Street Rehabilitation Location: Polk Street, 39th-40th Leander Lane Contractor: Midwest Asphalt Corporation Date: June 23, 1997 Necessity for Change: Polk Street: The existing catch basin rings were offset several inches to have the catch basin casting align with the curb. A standard 2' x 3' structure could not be moved to line up with the curb because of the connecting pipe configuration. The structure was replaced with a 5' diameter precast section and concrete cover. Leander Lane: Furnish and install 2" of rigid insulation on three sides of the catch basin near the 24" water main. Description of Change: No. Description Unit Quantity Unit Price Total I Construct 5' diameter catch basin Each I /,~'.-~. ¢'r2 2 Insulate catch basin L.S. I--'~,-~ .... ///'P"~'~, oo~2 TOTAL /.~"~'.~',~'~ The sum of $1,53-5.oo is hereby ~-~ added to [~ deducted from the total contract price. The time provided for completion in the contract is ~X~ unchanged. [--] increased by __ calendar days. ~ decreased by __ calendar days. This document shall become an amendment to the constract and all provisions of the contract will apply hereto. ..~ Recommended by: --~ Date: ~' (CITY ENGINEER) / / Approved by: Date: (MAYOR) (CITY MANAGER) Date: CITY COUNCIL LETrER Meetingof: JU. Iy 28, 1997 AGENDA SECTION: ORIGINATING DEPARTMENT: CITY MANAGER '"'/'"l. CONSENT APPROVA& NO: Fi.re License Revocation, Rental Properties NO: ~/t,. ~ ,. 4 DATE: July 11, 1997 DATE: Revocation or suspension of a license to operate a rental property within the City of Columbia Heights is requested against the following owners regarding their rental property for failure to meet the requirements of the Housing Maintenance Codes. 1. Michael Ryen ............................... 643 40'a Avenue NE. RECOMMENDED MOTION: Move to Establish a Hearing Date of August 11, 1997 for Revocation or Suspension of a License to Operate a Rental Property within the City of Columbia Heights against the above- named Property Owners Regarding their Rental Property. COUNCIL ACTION: CITY COUNCIL LETTER Meeting of: July 28, 1997 AGENDA SECTION: ORIGINATING DEPARTMENT: CITY MANAGER ~,/, CONSENT APPROVAL NO: Fire License Revocation, Rental Properties Revocation or suspension of a license to operate a rental property within the City of Columbia Heights is requested against the following owners regarding their rental property for failure to meet the requirements of the Housing Maintenance Codes. 1. James J. Egge ............................... 943 42n'~ Avenue NE. 2. John Ansorge ...................................... 943 42n't Avenue NE. RECOMMENDED MOTION: Move to Establish a Hearing Date of August 25, 1997 for Revocation or Suspension of a License to Operate a Rental Property within the City of Columbia Heights against the above- named Property Owners Regarding their Rental Property. COUNC]I. ACTION: CITY COUNCIL LETTER Meetin~ of: July 28, 1997 AGENDA SECTION: Consem NO. /.~ ITEM: Block Party Request: St. Matthew's Lutheran Church, 4101 Washington St. NE NO. ' -tq -' ORIGINATING DEPARTMENT POLICE BY: M. Dugdale DATE: July 9, 1997 CITY MANAGER APPROVAL: DATE: Attached is a block party request from Darlene Buboltz of St. Matthew's Lutheran Church, 4101 Washington Street N.E., requesting permission to conduct a block party on Tuesday, August 5, 1997, from 6:00 P.M. to 9:00 P.M., with barricades on Washington Street from 41st Avenue to 42~ Avenue N.E. RECOMMENDED MOTION: "Move to approve request of Darlene Buboltz, of St. Matthew's Lutheran Church, 4101 Washington Street N.E., to block off Washington Street N.E. from 41~t Avenue to 42nd Avenue N.E. for a block party from 6 PM to 9 PM on Tuesday, August 5, 1997. 97-276 Attachment COUNCIL ACTION: BLOCK PARTY REQUEST REQUIRING STREET TO BE BLOCKED REQLrESTOI~'S NAME: ~/2C f~ L-~ iL/~ /'/~ ~00T~ DATE OF EVENT: TI~S FORM MUST BE SIGNED AND RETU].:~,VED TO THE COLUMBIA HEIGHTS POLICE DEPARTMENT, POLICE CHIEF'S OFFICE, 559 MTr,L STREET N.E., COLUMBIA HEIGHTS, MN 55421. TI-~S FORM MUST BE RECEIVED BY THE CITY ON THE MONDAY PRECEDING A CITY COUNCIL MEETING. CITY COUNCIL MEETINGS ARE HELD THE SECOND AND FOURTH MONDAYS OF EACH MONTH. YOU WILL BE NOTIFIED IF YOUR REQUEST HAS BEEN APPROVED. ******************************************************************************* IF YOU HAVE QUESTIONS, PLEASE CONTACT THE POLICE CHIEF'S SECRETARY AT 782-2845. '~:' ' CITY COUNCIL LETTER Meeting of : July 28, 1997 AGENDA S~TION: CONSENT CITY MANAGER ORIGINATING DEPT.: NO: CITY MANAGE~A/~__ APPROVAL ITEM:NATOAcity ManagerCONFERENCE-Asst' to the BY: Linda Mag~~' BY: NO: ~ -- ~ - ~ DATE: July 21V 1997 Each year, the National Association of Telecommunications Officers and Advisors holds a national conference. The conference provides an opportunity to learn more about cable regulation, legislation, technologq;, protection of the public rights-of-way, municipal programming and franchise administration. This conference is particularly timely due to the ever changing legislative environment surrounding telecommunications. Monies are budgeted for this conference in the cable budget. RECOMMENDED MOTION: Move to authorize the attendance of Linda Magee, Assistant to the City Manager, at the National Association of Telecommunications Officers and Advisors Conference to be held in Tucson, Arizona, from September 7-10, 1997, and that all related expenses be reimbursed from Funds 225-49844-3105 and 225-49844-3320. COUNCIL ACTION: CITY OF COLUIKBIA HEIGHTS AUTHORIZATION REQUEST FOR CONFERENCES, WORKSHOPS, SCHOOLS AND SEMINARS This completed form must be presented to the City Manager by the Monday preceding the regular Council Meeting for approval of attendance. Date of Request: Name ofActivity:./~/*/-ff D~/~7- /~ ~C~q~?~ ~ ~ ~ /~cm ~ ~ ~ , ~ ~ ~'~ Es~ima~ Cost: Re~s~ra~ion: ~ Accost ~: $~ Accost $: No Travel: for: ~ Yes [] Budgeted Name of Individuals Attending: Sufficient Funds Remai,~i,~g: ~Yes [] No Where: ~ e~ c~z~ ~f,' ~::~z3c) /,' ~ . ~ , , I · ~ Ho~Wflt ~is Acti~ty Help You ~or Yo~ Dep~ment? ~ ~('~ Signatures: /.~, ~ A'., , Department Head Date: Division Head Date: City Manager Date: If Required, Date of' Approval by City Council: Upon approval by the City Manager or City Council (if applicable), this form will be submitted to the Finance Department with a copy of the form to the appropriate Division Head. This form is not a registration form or a request for pre.registration monies without a payment voucher and backup comp~etec~ anc~ at~achec~. I ~ ,~ ~ 0 -~ --~ I ,, ~ _ . ~ ~ ~ u-i OJ ~ ~ .~ ~ -2- ~ ~ ~ ~ 0 V U U ~ ~ ~2'~ E~ ~ ~ ~ ~ -~ C ~ ~ 0 ~ ~ ~ ~ ~ ,~'-- U I ~ ~ E o~ ~ ~ c -~ o c~ ~--'-~'- ~ ~c o ~ CITY CO~CIL LETTER Meeting of: July 28, 1997 AGENDA.~ECTION: ORIGINATING DEPARTMENT: CITY MANAGER'S NO: A~ · CONSEN/ ADMINISTRATION APPROVAL At the request of the City Manager, the Police and Fire Civil Service Commission recently met to discuss and begin the process of filling the position of Assistant Fire Chief. As you are aware, the'position of Assistant Fire Chief has been vacant since mid-March, 1997, due to the passing away of Lowell (Pat) DeMars. Currently, a two-tier salary range for Assistant Fire Chief exists, which was adopted when the City's Comparable Worth Implementation Plan was ratified in July, 1988. The ranges have been adjusted annually, consistent with the adjustments for non-union employees. The salary ranges for Assistant Fire Chief for 1997 and 1998 are: ENTRY 6 MONTHS 1YEAR 2 YEARS 3 YEARS 1997' $4,026 $4,163 $4,301 $4,438 $4,575 1997'* $3,579 $3,701 $3,823 $3,945 $4,067 1998' $4,167 $4,309 $4,451 $4,593 $4,735 1998'* $3,704 $3,830 $3,956 $4,083 $4,209 * Employees hired in position prior to July 25, 1988 ** Employees hired in positions after July 25, 1988 Since the two-tier salary range was adopted, many changes have been made to the state statute governing comparable worth (pay equity). As a result, staff reviewed the salary range for new hires to the position of Assistant Fire Chief. Based on this review, our current compensation plan, internal equity and external comparability, staff recommends establishing the following monthly salary range for 1997 and 1998 for Assistant Fire Chief: ENTRY 6 MONTHS 1 yEAR 2 YEARS 3 YEARS 1997 Proposed $3,914 $4,048 $4,181 $4,315 $4,448 1998 Proposed $4,052 $4,190 $4,328 $4,466 $4,604 RECOMMENDED MOTION: Move to establish a new monthly salary range for the position of Assistant Fire Chief as follows: ENTRY 6 MONTHS I YEAR 2 YEARS 3 YEARS 1997 Proposed $3,914 $4,048 $4,181 $4,315 $4,448 1998 Proposed $4,052 $4,190 $4,328 $4,466 $4,604 COUNCIL ACTION: CITY COU1NCIL LETTER Meeting of: lul¥ 28, 1997 AGENDA SECTION: Consem NO. ~ ITEM: Block Party Request: Rosalie Hansen NO. LaBelle Condos, 1000/1011 41~t Avenue N.E. ORIGINATING DEPARTMENT POLICE BY: M. Dugdale DATE: July 21, 1997 CITY MANAGER APPROVAL: Attached is a block party request from Rosalie Hansen, 1011 41st Avenue N.E., #220, to conduct a block party on Tuesday, August 5, 1997, from 5:00 P.M. to 8:30 P.M., with barricades blocking off the 41~t Avenue cul-de- sac. Tuesday, August 5, 1997, is National Night Out. (As a point of information, another party request from that location has already been approved by the Council for the same evening, hours 6:00 P.M. to 10:00 P.M.) RECOMMENDED MOTION: Move to approve request of Rosalie Hansen, 1011 41~t Avenue N.E., #220, to block off the 41~t Avenue N.E. cul-de-sac parking lot for a block party from 5:00 P.M. to 8:30 P.M. on August 5, 1997. 97-286 Attachment COUNCIL ACTION: REQUESTOR'S NAME: BLOCK PARTY REQUEST REQUIRING STREET TO BE BLOCKED REQUESTOR'S ADDRESS: DATE OF EVENT: TIME STREET SHOULD BE BLOCKED ~&~/D.a,,, A.M./P.M. TO ~;~ ~ A.M./P.M. STREETS THAT SHOULD BE BLOCKED: NOTE: (ATTACH MAP IF NECESSARY) THIS FORM MUST BE SIGNED AND RETU]~D TO THE COLU!vlBIA HEIGHTS POLICE DEPARTM]ENT, POLICE CIqrFF'S OFFICE, 559 Mn.r, STREET N.E., COLUMBIA HEIGHTS, MN 55421. THIS FORM MUST BE RECEIVED BY THE CITY ON THE MONDAY PRECEDING A CITY COUNCIL MEETING. CITY COUNCIL MEETINGS ARE HELD THE SECOND AND FOURTH MONDAYS OF EACH MONTH. YOU WILL BE NO2'TFIED IF YOUR REQUEST HAS BEEN APPROVED. IF YOU HAVE QUESTIONS, PLEASE CONTACT THE POLICE CHIEF'S SECRETARY AT 782-2845. CITY COUNCIL LETTER Meeting of: 7/28/97 AGENDA SECTION: ORIGINATING DEPARTMENT: CITY MANAGER ITEM: AUTHORIZATION TO PURCHASE BY: M. Winson ~4~ BY: REPLACEMENT DUMP TRUCK ~" ~q "J O DATE: 7~22/97 [/ DATE: Background: The 1997 Budget includes replacement of truck #21, a 1981 Ford F700 dump truck with 92,000 miles. The budgeted amount is $97,000 with an additional $7,000 budgeted in 1998 for the plow have sander. Discussion: Boyer Ford holds the State contract for heavy trucks this year. The), have informed us that Ford is moving their heavy truck manufacturing to a Canadian plant later this year and in order to get delivery this year, orders need to be in by end of the day on July 16. Staff has reviewed the available models and specificaitons on the State contract and desires to purchase a new 1998 model L8000 cab and chassis offthe contract. This unit is the same as Unit #99 which was delivered in 1996. This unit has performed very well for us. The new vehicle will be equipped with a dump box, front plow, underbody plow and sander, also off the state contract. Anticipated delivery date of the chassis is November 1. The installation of the box, plows and sander will take approximately one month, meaning that the new unit will be available for this next plowing season. The replaced vehicle will then be auctioned off next year. As of the writing of this Council letter, the exact cost of the complete unit is being developed. The estimate for the package with box, plows and sander is $85,000. The final cost will be available at the Council meeting. In order to reserve a truck, we forwarded a letter of intent to purchase to Boyer Ford on July 16th. RECOMMENDED MOTION: Move to authorize the purchase of a new 1998 Single Axle Ford L8511 cab and chassis with dump box, front plow, underbody plow and sander under the State of Minnesota Contract T-113(5); and, furthermore, to authorize the Mayor and City Manager to enter into a contract for the same. MAW:ih 97-442 COUNCIL ACTION: CAPITAL EQUIPW~.NT PURCEASE JUSTIFICATION 1. Item to purchase: Dump Truck 2. New; or Replace: $. If replace, present equipment data: Ford F700 Dump Truck 3A. Make: 3B. Year purchased: 1981 BC. Purchased new? yes or Used? 3D. Original Cost: $ 19.78] BE. Estimated hours/days used per year: 1700 Hours + BF. Engine hours used per year if known: 3G. Repair history: ...................................... Labor cos~ p~ 36 months: .... $6,204.25 Parts cost past 36 months: ~3,245.7I ~. ~ Number of days down time past 36 months: 3H. Operating cost per mile (or other~tznit of measure): 4.:p~O~O~d~'~q~iPm~t tOrePI~ce-'item~escribed in ~3 above: 4Ai~E~i~a~d ~¢~t-~f"£be~ $ 85.000 4B. Budgeted money: $ 97,000 4C. Where is the money budgeted? ~' DePartment name?-'ca~-it~l~'E~h~i~Ant Reolacement - Streets Department line item: 431-43121 4D. Estimated operating cost per mile (or other unit of measure): 4E. "Features" on new unit that are not on present equipment: 4F. What are the advantages or cost savinngs of the new features: If first-time purchase: SA. Purpose of new item: 5B. How is this work presently being done? 5C. Cost of doing the task now? SD. Cost of doing the task if new item is purchased? SE. Estimated operating cost of proposed new item (per mile or other unit of measure: 5F. Life expectancy ?f_n_ew item: 15 years 5G. Where will new item be stored? Is there space available? 6. Person's name making request and providing data: Mark Winson 7. Date proposed to City Manager: 7/2Z/97 8. Date reviewed at Council Work Session: 9. Date authorized to take bids: 10. Date of bid opening: 11. Date of Council to purchase: 12. Council action: 13 City Man~-r-,s ~r~iew nOt'e~ SWA/bj 031892 CITY OF COLUMBIA HEIGHTS Meeting of: July 28, 1997 AGENDA SECTION: Consent ORIGINATING DEPT.: CITY MANAGER NO:~ Comm. Devel. Dept. APPROVAL ~ ITEM: M edtronic, Inc. Expansion Project BY: Ken Anderson BY: '~~~ Agreement for Loan of MIF DATE: July 22, 1997 NO: - ° tl As part of the Medtronic, Inc. expansion project, the financing for the 60,000 sq. ft. addition to the Medtronic, Inc. Neurological Business Center included a $250,000 forgivable loan for machinery and equipment. Funds in the total amount of $500,000 are to be provided to the City of Columbia Heights from the Minnesota Department of Trade and Economic Development (DTED) Minnesota Investment Fund (MIF). The remaining $250,000 of MIF monies in the grant agreement will be used by the City as a grant to construct the relocation and extension of the sewer main, increased lift station capacity, sedimentation basin, landscaping, screening and berming, walking trail extension, and the engineering and inspection services related to these improvements. The City has previously entered into a grant agreement with DTED for this project. An additional agreement between Medtronic,. Inc. as developer and the City of Columbia Heights as the lender is also necessary to outline the terms and conditions of the equipment loan. The attached Agreement for Loan of Minnesota Investment Fund (Agree- ment) constitutes the necessary agreement between the parties. The Agreement has been reviewed and revised by Medtronic's legal counsel, Dan Greensweig of Kennedy and Graven on behalf of the City, and the DTED. All parties are comfortable with the terms of the Agreement which has already been signed by Medtronics. A summary of specific information regarding the terms of the Agreement with Medtronics are as follows: Amount: Purpose: Payment: Term: $250,000 (Forgivable). Purchase of equipment. City to disburse 56% of amount of equipment invoice(s) when submitted up to total amount. Five (5) years (60 months). Commencing November 1, 1996. Interest Rate: Zero Percent (0%). Job Creation: - At least sixty-five (65) new jobs created by November 1, 1998. - At least a total of 156 new full-time equivalent, permanent jobs by November 1, 2000 (in addition to the existing jobs). - Wages at least $10.00 per hour, excluding benefits. Collateral: First security interest in equipment up to $250,000. Forgiveness If all terms and conditions are met, the loan will be forgivable Date: on November 1, 2001. A full copy of the proposed Agreement with exhibits is included for your review. Please note that Exhibit A includes a summary of equipment purchases and Exhibit B is a copy of the security agreement with attachments. Staff recommends City Council approval of the Agreement at the July 28, 1997 regular meeting. Attachments RECOMMENDED MOTION: Move to approve the Agreement for Loan of Minnesota Investment Fund between the City of Columbia Heights and Medtronic, Inc.; and furthermore, to authorize the Mayor and City Manager to enter into an agreement for the same. COUNCIL ACTION: \bt\council.for AGREEMENT FOR LOAN OF MINNESOTA INVESTMENT FUND THIS AGREEMENT is made and entered into as the day of , 1997, by and between the City of Columbia Heights, ("the City") and Medtronic, Inc. ("the Developer"); WlTNESSETH: WHEREAS, the City has applied to the Minnesota Department of Trade and Economic Development for a Minnesota Investment Fund Grant (the "MIF Grant") pursuant to an application (the "Grant Application") and received preliminary approval for said grant; and WHEREAS, Grant Agreement, (#CDAP-95-0333-H-FY97) ("the Grant Agreement") between the Minnesota Department of Trade and Economic Development and the City has been executed and requires that the Developer provide sufficient financing to complete financing and agree to loan terms with the City regarding the MIF Grant; and WHEREAS, all parties to this agreement agree to incorporate into this agreement by reference said Grant Application and Grant Agreement as if fully set forth herein word for word; NOW THEREFORE, it is agreed by and between the parties hereto as follows: ARTICLE I Definitions Section 1.1. Definitions. In this Agreement, unless a different meaning clearly appears from the context: "City" means the City of Columbia Heights. "Developer" means Medtronic, Inc., a Minnesota corporation. "Development C6ntract" means the Contrac~ for Private Development by and among the City, the Developer, and the Housing and Redevelopment Authority of Columbia Heights, Minnesota dated , 1996. "Development Property" means the real property described as Tract B, Registered Land Survey No. 63, Anoka County, Minnesota. "Equipment" means the machinery, and equipment purchased by the Developer with the Loan and described at Exhibit A hereto. "Forgiveness Date" means November 1, 2001. "Grant Agreement" means Minnesota Department of Trade and Economic Development Grant Agreement # CDAP-95-0333-H-FY497. "Grantor Agency" means Minnesota Department of Trade and Economic Development. "Leveraged Funds" means the funds provided by or for the account of the Developer pursuant to Section 2.1. "Loan" means the funds loaned by the City to the Developer pursuant to this Agreement. "MIF" means Minnesota Investment Fund. "Project" means the expansion of Medtronic, Inc. with the assistance of MIF funds for the purchase of new machinery and equipment. "State" means the State of Minnesota. 1:)JGl18433 CL160-79 2 ARTICLE 2 Financing for Pro|ects Section 2.1. Project Financing. The Developer shall secure from the City a commitment for funds necessary to complete the Project, in a form and under conditions satisfactory to both parties. Section 2.2. Developer's Equity. and Other Financing. The Developer shall commit not less than $6,952,977 of equity to be used for the cornpletion of the Project. In addition, at least $11,000 shall be committed to the Project by the City, pursuant to the terms and conditions of the Development Contract Section 2.3. MIF Loan/Grant. The $500,000 Minnesota Investment Fund Grant award will be used as follows: The City will make a loan of $250,000 to the Developer for the Equipment; the remaining $250,000 will be a grant to the City for the construction and installation of the extension of sewer main and of increased lift station capacity, sedimentation basin, landscaping, screening and berming, walking trail extension, and engineering design and inspection related thereto. ARTICLE 3 MIF Loan Terms and Conditions Section 3.1. Basic Loan Terms. The principle amount of the Loan shall not exceed $250,000. The loan shall not bear interest. The Loma terms may not be modified without prior written approval from the Grantor Agency. The full Loan amount shall be used for the purchase of the Equipment. The term of the Loan shall be as set forth in Section 5.4 of this Agreement. Section 3.2. Prepayment. Prepayment of the Loan may occur at any time during the Loan without penalty. Section 3.3. Assignment. If, prior to the Forgiveness Date the Developer sells, conveys, transfers, further mortgages or encumbers or disposes of the Development Property, or any part thereof, or any interest therein, except to a wholly-owned subsidiary of Developer upon the prior written approval of the Grantor Agency, or agrees so to do, the Developer shall immediately repay all mounts then outstanding on the Loan. This shall be in addition to any other remedies at law or equity available to the City. Section 3.4. Termination. This agreement shall automatically terminate without any notice to Developer (1) if the Loan proceeds have not been disbursed to the Developer prior to November 1, 1998; or (2) if a petition is filed by or against the Developer under the U.S. Bankruptcy Code, or if voluntary, such a petition is not dismissed within sixty (60) business days following such petition. DJG118433 3 -CL160-79 Section 3.5. Promissory Note. the form set forth at Exkibit C. The Developer shall execute a promissory note in substantially ARTICLE 4 Default and Collateral Section 4.1. Default. The Developer shall be in default under this agreement upon the happening of any of the following events: (a) nonpayment, when due, of any mount payable on the Loan or failure to observe or perform any term of this Agreement; provided such nonpayment is not remedied within ten (10) business days after written notice thereof by either the Developer or the City; (b) if Developer is in breach of any material respect of any obligation or agreement of the Developer under this agreement, provided Developer remains in breach in any material respect for thirty (30) business days after written notice thereof to the Developer by the City; provided, however, that if such breach shall reasonably be incapable of being cured within such thirty (30) business days after notice, and if Developer commences and diligently prosecutes the appropriate steps to cure such breach, no default shall exist so long as Developer is proceeding to cure such breach; (c) if any material covenant, warranty or representation of Developer shall prove to be untrue in any material respect, provided such covenant, warranty or representation of Developer remains untrue in any material respect for thirty (30) business days after written notice thereof to the Developer by the City; provided, however, that if such untruth shall reasonably be incapable of being corrected within such thirty (30) business days after notice, and if Developer commences and diligently prosecutes the appropriate steps to correct such untruth, no default shall exist so long as Developer is so proceeding to correct such untruth; (d) if the Developer becomes insolvent or generally unable to pay debts as they mature or makes an assignment for the benefit of creditors, provided such insolvency or general inability to pay is not remedied within sixty (60) business days after written notice thereof by either Developer or the City; (e) entry of a final judgment against Developer where such judgment the City reasonably deems will have a material, adverse impact on Developer's ability to comply with its obligations under this agreement; (f) transfer by the Developer, of any part of the Equipment to any entity other than a x~holly-owned subsidiary of Developer, provided such transfer is not approved in writing by the City, which approval will not be unreasonably withheld. (g) merger or consolidation where such merger or consolidation is not approved in writing by the City, which approval will not be unreasonably withheld; or DJG118433 4 CL160-79 (h) loss, theft, substantial damage, destruction, or encumbrance of any of the Equipment, provided that such is not remedied within sixty (60) business days after written notice thereof by either Developer or the City (including, without limitation, by a pledge of insurance proceeds or by substitute collateral satisfactory to the City); Section 4.2. Remedies Upon Default. (a) In the event of a default and the failure to cure it in the time allotted therefor or to commence and diligently proceed to cure such default if reasonably incapable of being cured within the time allotted therefor), the City shall have the right as its option and without demand or notice, to declare all or any part of the Loan immediately due and payable, and in addition to the rights and remedies granted hereby, the City shall have all of the rights and remedies under the Uniform Commercial Code or any applicable law. (b) Developer agrees in the event of a default and the failure to cure it in the time allotted therefor, to make the Equipment available to the City and the Development Property. In the event of any lawsuit under this agreement, reasonable attorney's fees and costs will be awarded to the prevailing party. If any notice of sale, disposition or other intended action by the City is required by law to be given to Developer, such notice shall be deemed reasonably and properly given if mailed to Developer at the Development Property or at such other address of Developer as may be shown on the City's records, at least fifteen (15) days before such sale, disposition or other intended action. Waiver of and default hereunder by the City shall not be a waiver of any other default, or of the same default, on a later occasion. No delays or failure by the City to exercise any right or remedy shall be a waiver of such right or remedy and no single or partial exercise by the City of any right or remedy shall preclude other or further exercise thereof of the exercise of any other right or remedy at any other time. Section 4.3. Collateral. The Developer shall grant to the City a first security interest in the Equipment up to an amount of $250,000, pursuant to a security agreement in substantially the form set forth at Emhibit B. ARTICLE 5 Loan Disbursement Provisions Section 5.1. Payment Requisition Documentation and Format. Loan disbursements shall be for purchase of the Equipment and shall not exceed $250,000. The Loan shall be disbursed to the Developer only after the City has received from the Developer an invoice or invoices for Equipment purchase costs. Upon receipt of such invoice or invoices, the City will disburse an amount equal to 56% of amount of the invoice or invoices, up to a total disbursement amount of $250,000. Section 5.2. Provision for Evidentiarv Materials. No disbursements of Loan funds shall be made until all evidentiary materials required by the Grantor Agency have been submitted and approved by the Grantor Agency. DJG115%33 CL160-79 5 Section 5.3. Project Time Frame. The time frame outlined in the Grant Application pertaining to the Project shall be met by the Developer. Section 5.4. Loan Terms. The term of the Loan shall be five (5) years, commencing as of November 1, 1996. The interest rate shall be -0-% per annum for the 60 months of the Loan period. Section 5.5..Loan Repayments Schedule. The Loan shall be forgiven if the Developer complies with the terms of Section 7.1 of this Agreement and all other terms and conditions of this Agreement. Section 5.6. ,Leveraged Funds. The Leveraged Funds described in the Grant Application must be used for the same purposes and under the same terms, rates, and conditions as specified therein unless prior written consent is received from the Grantor Agency. ARTICLE 6 Provision of Evidentiarv Material Requirement Section 6.1. Provision of Evidentiarv Materials. The Developer shall agree to provide to the City all evidentiary materials according to the format and timetable cited in the Grant Agreement. The City will forward said materials to the Grantor Agency and assist in expediting reviews leading to a release of the Loan. Section 6.2. Documentation of Use of Funds. The Developer must provide the City with necessary documentation that the Loan proceeds and leveraged funds have been used for the items and purposes stated in the Grant Application, prior to submitting the final progress report and requesting grant closeout from the Grantor Agency. Section 6.3. Equipment Cost. The Developer must document that the EquiPment is of reasonable cost. ARTICLE 7 Provision of New Permanent Jobs Section 7.1. Wage and Job Covenants. (a) On the Forgiveness Date, the Developer shall be maintaining at the Development Property at least 156 new full-time equivalent, permanent jobs (the "New Jobs"), at wages of at least $10.00 per hour, excluding benefits. At least sixty-five New Jobs shall be created by November 1, 1998. The remaining New Jobs shall be created by November l, 2000. These New Jobs shall be in addition to any jobs that existed at the Development Property as of November l, 1996. DJG118433 6 CL160-79 (b) If the Developer fails to comply with any of the terms of Section 7.1(a), the Developer shall immediately repay to the City upon written demand from the City the full amount of the Loan. The Developer specifically acknowledges that a failure to comply in every regard with the provisions of this Section 7. I shall constitute a default hereunder, and that no opportunity to cure shall be allowed. Section 7.2. Employment Documentation. The Developer shall complete and provide to the City notification of employment semi-annually of hiring each new employee. This notification requirement shall terminate on November 1, 2000, provided the employment objective set forth in Section 7.1 has been met. Section 7.3. Job C~'eation Documentation. Until the Forgiveness Date, the Developer shall submit to the City a written report by April 1 of each year describing employment and wages in sufficient detail to enable the City to determine compliance with this Article 7. This information shall be provided by the Developer and must include: (a) jobs created; (b) job title per job, (c) date employee(s) hired; and (d) wages and benefits paid. Section 7.4. First Source Employment Referral Azreement~ The Developer shall list any vacant or new positions with the jobs services of the Commissioner of Job Services or a local service unit operated by a county or counties operating under a joint powers agreement, one or more cities of the first class operating under a joint powers agreement, or a city of the first class. ARTICLE 8 Provision of Monitoring Information Related To Proiect Progress Section 8.1. Provision of Progress Information. The Developer shall provide to the City information for incorporation into progress reports, as required by the Grantor Agency and as needed by the City, to monitor project implementation for compliance with grantor and local guidelines. ARTICLE 9 Nondiscrimination Section 921. Nondiscrimination. The provisions of Minnesota Statutes, Section 181.59, which relate to civil fights and discrimination, shall be considered a part of this Agreement as though wholly set forth herein. DJGli8433 ~0-79 7 ARTICLE 10 Developer's Acknowledgments Representation, and warrants Section 10.1. Acknowledgments. The Developer acknowledges that the City, in order to obtain funds for part of the City's activities in connection with the Project, has applied for the MIF Grant to the Commissioner of the Minnesota Department of Trade and Economic Development (the "Commissioner") under the Minnesota Investment Fund Program, Business and Community Development Division, and that the City has entered into the Grant Agreement with the Commissioner setting forth the terms, conditions, and requirements as to the Grant. The Developer further acknowledges that the Developer has made certain representations and statements as to those activities of the Project to be carried out and completed by the Developer which were contained in and made part of the Grant Application and that the Developer is designated and identified under the Grant Agreement. A copy of the Grant Agreement shall be on file in the office of the City. In the event any provision of this Agreement relating to the Developer's obligations hereunder shall be inconsistent with the provisions of the Grant Agreement relating to the Developer's activities thereunder, the provisions of the Grant Agreement shall prevail. The Developer acknowledges that nothing contained in the Grant Agreement or this Agreement, nor any act of the Commissioner or the City shall be deemed or construed to create any relationship or third-party beneficiary, principal and agent, limited or general partnership, or joint venture, or of any association or relationship involving the Commissioner. Section 10.2. Representations and Warranties. Developer warrants and represents, in connection with the Grant and for the benefit of the Commissioner and the City, that: (a) Representations, statements, and other matters provided by the Developer relating to those activities of the Project to be completed by the Developer, which were contained in the Grant Application, were true and complete in all material respects as of the date of submission to the City and that such representations, statements, and other matters are true as of i:he date of this Agreement and that there are no adverse material changes in the financial condition of the business. (b) To the best of the Developer's knowledge, no member, officer, of employee of the City, or its officers, employees, designees, or agents, no consultant, member of the governing body of the City, and no other public official of the City, who exercises or has exercised any functions or responsibilities with respect to the Project during his or her tenure shall have any interest, direct or indirect, in any contract or subcontract, or the proceeds thereof, for work to be performed in connection with the Project or in any activity, or benefit therefrom, which is part of this Project. (c) The Developer acknowledges that the Commissioner, in selecting the City as recipient of the Grant, relied in material part upon the assured completion of the Project to be DJG118433 ~ CL160-79 carried out by the Developer, and the Developer assures the City that said Project will be carried out by the Developer. (d) The Developer warrants that to the best of its knowledge, it has obtained all federal, state, and local governmental approvals, reviews, and permits required by law to be obtained in connection with the Project. (e) The Developer warrants that it shall keep and maintain books, records, and other documents relating directly to the leveraged funds and that any duly authorized representative of the Commissioner shall, at all reasonable times, have access to and the right to inspect, copy, audit, and examine all such books, records, and other documents of the Developer until the completion of all closeout procedures respecting the MIF Grant and the final settlement and conclusion of all issues arising out of the grant. (f) The Developer warrants that no transfer of Loan proceeds by the City to the Developer shall be or be deemed an assigmnent of the Loan proceeds and the Developer shall neither succeed to any rights, benefits, or advantages of the City under the Grant Agreement, nor attain any right, privileges, authorities, or interest in or under the Grant Agreement. (g) The Developer warrants that it has fully complied with ail applicable state and federal laws pertaining to its business and will continue said compliance throughout the terms of this Agreement. If at any time notice of noncompliance is received by the Developer, the Developer agrees to take any necessary action to comply with the state or federal law in question. ARTICLE 11 Other Special Conditions Section 11.1. Antitrust. Developer hereby assigns to the State of Minnesota any and all claims for overcharges as to goods and/or services provided in connection with this contract resulting from antitrust violations which arise under the antitrust laws of the United States and the antitrust laWs of the State of Minnesota. Section 11.2. Workers Compensation Insurance. Developer has obtained worker's compensation insurance as required by Minnesota Statutes, Section 176.181, subd. 2. Developer's workers' compensation insurance information is as follows: (a) Company Name: (b) Policy Number: (c) Local Agent: Section 11.3. Business with the State of Minnesota/State Tax Laws. Notice to Developer. You are required by Minnesota Statutes, Section 2790.66, to provide your Minnesota tax identification number if you do business with the State of Minnesota. This information may be used in the DJG1!8433 CL160-79 9 enforcement of Federal and State tax laws. Supplying these numbers could result in an action to require you to file State tax returns and pay delinquent State tax liabilities. This contract will not be approved unless these numbers are provided. These numbers will be available to Federal and State tax authorities and State personnel involved in the payment of State obligations. Minnesota Tax ID: Federal Employer ID: Section 11.4. Grant Closeout. The Developer shall, prior to grant closeout from the Grantor Agency, provide the City with all documentation necessary to demonstrate that the Loan has been used for the items and purposes set forth in the Grant Application, such documentation to be in substantially the form set forth at Exhibit D, Subject to modification by the Grantor Agency. Section 11.5. Review of Documents. The City's legal counsel and the Grantor Agency must review and approve this Agreement, the promissory note attached hereto as Exhibit C, and the security agreement at Exhibit B, before disbursement to the Developer of any part of the Loan. Section 11.6. Effect on Other A~reements. Nothing in this Agreement shall be construed to modify any term of the Development Contract or any other agreement to which the City and the Developer are parties. Section 11.7. Release and Indemnification Covenants. Except for any breach of the representations and warranties of the City or the negligence or other wrongful act or omission of the following named parties, the Developer agrees to protect and defend the City and the governing body members, officers, agents, servants and employees thereof, now or forever, and further agrees to hold the aforesaid harmless from any claim, demand, suit, action or other proceeding whatsoever by any person or entity whatsoever arising or purportedly arising from the acquisition, construction, installation, ownership, maintenance, and operation of the Equipment. Section 11.8. Modifications. This Agreement may be modified solely through written amendments hereto executed by the Developer and the City and approved by the Grantor Agency. Section 11.9. Notices and Demands. Any notice, demand, or other communication under this Agreement by either party to the other shall be sufficiently given or delivered only if it is dispatched by registered or certified mail, postage prepaid, return receipt requested, or delivered personally: (a) as to the City: City of Columbia Heights 590 - 40th Avenue N.E. Columbia Heights, MN 55421 ATTN: City Manager DJG118433 c~0-79 10 (b) as to the Developer: Medtronic, Inc. 7000 Central Avenue NE Legal Department MS300 Minneapolis, MN 55432 ATTN: Cindy Amdt or at such other address w/th respect to any party as that party may, from time to time, designate in writing and forward to the others as provided in this Section 11.9. Section 11.10. Conflict of Interests; Representatives Not Individually Liable. No officer or employee of the City may acquire any financial interest, direct or indirect, in this Agreement, the Equipment or in any contract related to the Equipment. No officer or employee of the City shall be personally liable to the Developer, or any successor in interest, in the event of any default or breach by the City or for any amount which may become due to the Developer or on any obligation or term of this Agreement. Section 11.11. Binding Effect. The covenants and agreements in this Agreement shall bind and be to the benefit of the heirs, executors, administrators, successors, and assigns of the parties to this Agreement. This Agreement shall be construed in accordance with the laws of Minnesota. DJG118433 cm~6o-79 11 IN WITNESS WHEREOF, the City has caused this Agreement to be duly executed in its name and behalf and the Developer has caused this Agreement to be duly executed in its name and behalf as of the date first above written. Subscribed and sworn to before me this ~ day of Notary Public 1997 CITY OF COLUMBIA HEIGHTS By Its By Its Subscribed and sworn to before me this ?,"' day of ~ , .cts., 1997 /' t , '/ Notary Public ~MEDTRONIC, INC. By Its By Its ,.axx84~3 12 CL160-79 EXHIBIT A SUMMARY OF EQUIPMENT PURCHASES Actual Purchases Thru April 30, 1997 Projected Purchases May 1, 1997 Thru April 30, 1998 Projected Purchases May 1, 1998 Thru October 31. 1998 TOTAL $ 447,827 $ 780,425 ? ? ? $ 1.228,252 CAPITAL EQUIPMENT PURCHASED FOR NEURO PRODUCTION 6/27/97 STATE LOAN GRANT ~FY 97 (November 1996 through Apdl 1997) h:loangcap.xts APPROVAL ITEM PRICE EA TOTAL TOTAL DATE I Before TAX With TAX ITEMS APPROVED BEFORE NOV. 1996 BUT RECEIVED AND PAID FOR AFTER NOV. 1996 9/9/96 Simco Tray Cleaning System (installed in new clean room) 2 Simco 24" dual Neutro-Vac tray cleaning hoods 4921 $ 9,842 $ 10,482 2 Simco #D01200 3bp 1200 CFM hepa filters 10021 $ 20,042 $ 21,345 10/30/96 Computer for Stim Development Compaq Deskpro 4000 Model 5166/1620, CPQ-247200-002 $ 2,100 $ 2,237 Audio CPQ 185430-001 $ 115 $ 122 16 MB Mem Exp CPQ-243012-002 $ 335 $ 357 Nec XV 17+ MultiSync Monitor NEC-JC-1745VMA-1 $ 798 $ 850 10/24/96 Met One A2408 Particle counter with pdnter (clean room) $ 5,890 $ 6,273 6/5/96 Production Mold for Burr Cap PN 104596-001 $ 8,425 $ 8,973 (completed in January 1997) - 8/6/96 Lead Laser Welder System for new clean room Laser, fiber, and focusing head $ 43,907 Enclosure $ 4,619 Gantry Mounting System $ 2,100 Motion system $ 8,101 Camera sysstem $ 2,789 Lead tooling $ 4,974 Work tables $ 1,724 Nikon SMZ-1B Stereo Microscope & mount $ 2.257 Energy meter $ 3,821 9/11/96i Four cavity mold for 7495 & 7496 extensions sleeves & boot end $ 16,800 (not yet complete as of 6/23/97) 9/17/96 Two air press crimp fixtures for 7495 & 7498 extensions $ 6,766 Page I EXHIBIT A ITEMS APPROVED NOV. 1996 THROUGH APRIL 1997 11/20/96 Computer equipment for Mfg secretary $ 2,572 $ 2,739 Compaq Deskpro 200 Model 5133/1200, network card, memory expansion, monitor 11/20/96 Computer equipment for Mf~ engineer CompaqLTE 5280 5/120, network card, $ 6,420 $ 6,837 memory expansion, keyboard, mouse, monitor, carrying case 11/22/96 Perc Extension Mold enhancement $ 6,650 $ 7,082 Housing force and cavity block 11/13/96 New Mold for Neuro Stim S 7,225 $ 7,695 117299-004 permanent four-cavity mold 11/21/96 Air powered wire cutter for 7495 connector assemblies Simonds A-3 blank jaw assy#129432 $ 136 $ 418 $ 445 Simonds SP-002-F activator $ 225 $ 225 $ 240 Simonds A-201-2 mounting base $ 57 $ 57 $ 61 Tax $ 27 $ 27 $ 29 Foot switch and maintenance support $ 400 $ 400 $ 426 40 tool room hours T60163 $ 2,000 $ 2,000 $ 2,000 4/18/97 6 Chairs for Leads Mfg area Gibo-Kodama C3000ET-V523-H-01 $ 238 $ 1,427 $ 1,520 4/18/97 lAC Tables for Leads Mfg area S 6,138 $ 6,537 2 2000084 starter units 2 2001084 add on units 4 1020833 seal worksurfaces 4 2012303 light fixtures 4 2012013 open wire shelves 4 2012153 footrests 8 2012157 footrest pans 4 292299 electrical channels 3/17/97 Packa(~e pdnting system for Stim Mfg $ 6,607 $ 7,037 QMS 2425EX Print System pdnter & controller QMS 2425 2000-sheet input paper deck 1//29/97 Keithley 7011-S Multiplexer Card for R&D lab $ 1,095 $ 1,166 1/29/9711ET Programmable Resistance Substituter $ 2,082 $ 2,217 1/20/971 DCl Tray Redesign & tooling #119959-001 Innertray- one up tooling $ 2,000 $ 2,130 #119964-001 Outer tray - one up tooling $ 2,000 $ 2,130 11/23/96; Eight-cavity mold for Part 211987 for Dual Channel Itrel $ 8,000 $ 8,520 1/9/97 New computer for Stim Product Development Compaq Deskpro Model 5166 $ 1,773 $ 1,888 16 Mg RAM expansion $ 335 $ 357 CD-ROM drive $ 179 $ 191 Business audio $ 115 $ 122 ViewSonic 21" Model P810 color monitor $ 1,785 $ 1,901 Page 2 EXHIBIT A 3/17/97 Production Mold for 2x4 lead paddle $ 9,225 $ 9,825 12/23/96 Crimp assembly fixture for 3998 2x4 surgical lead $ 2,400 $ 2,556 11/13/96 Electrode stamping die with press for 2x~ surgical lead $ 7,800 $ 8,307 11/29/96 FIowhood to monitor clean room hepa filters ADM Model 860 electronic flowhood $ 2,695 $ 2,870 Flowhood kit 8405 $ 1,600 $ 1,704 Dec-96 Dionized Water System for manufacturing $ 122,950 Dec-96 ~/Vet and Dry Vacuum System $ 34,650 Dec-96 ICompressed Air System $ 53,200 SUBTOTAL THUR 04/30/97 $ 447,827 PROJECTED PURCHASES MAY-97 THRU APRIL-98 Cost Center 43510 - 2 New PC's $ 6,400 Cost Center 43562 - Itrei 3 SA Tray Tooling $ 5,000 - Itrel 3 SA Seal Tooling $ 6,000 - PC - Electrical Technician $ 3,200 - PC - Contract Engineer $ 3,200 - PC - Contract Technician $ 3,200 - 3 PC Monitors $ 5,800 - 2 PC's for Lab Tools $ 6,400 - Replacement Computer (G. Hrdicka) $ 8,400 Cost Center 43564 - N4011 TBB In-Line Surgical $ 7,500 - N4011 TBB In-Line Surgical $ 2,500 Computer $ 3,200 Monitor $ 1,800 - Toolmaker Scope $ 10,000 - Material Cage $ 1,300 - Strain Gage Amplifier 0Vishay) $ 5,000 - Instron $ 15,225 Cost Center 43611 - Incorporate Lab Space (Stim Portion) $ 22,500 - PC's for New Hires (Stim Hal0 $ 5,000 - LeCroy Oscilliscope $ 6,000 - Power Supplies $ 2,000 Page 3 EXHIBIT A - Textronix Multimeter $ 1,000 - Lab Tables (Stim Hal0 $ 5,000 Cost Center 43616 -Stedle Product Tooling $ 11,000 - External Tooling $ 2,000,,: - Kits Tooling $ 4,000 - Computer $ 8,400 Cost Center 43682 - Lab Bench $ 1,400 - Microscope & Monitor $ 5,000 - Docking Station $ 4,000 - Micrometer $ 1,000 Cost Center 43686 - Lifelines Team $ 30,000 - Energizers Team $ 30,000 - Receivers Team $ 30,000 Leads Team $ 30,000 - Next Team $ 30,000 GeoMED Team $ 30,000 Final Pack Team $ 30,000 Sterile Pack Team $ 30,000 -Percs Plus Team $ 30,000 - Material HandledParts Cleaning Team $ 30,000 Laser Welder $ 100,000 - SADAR Equipment $ 120,000 Training Equipment $ 60,000 Cost Center 43687 - New Computers (4) $ 28,000 SUBTOTAL MAY 1, 1997 THRU APRIL 30, 1998 $ 780,425 PROJECTED PURCHASES MAY-98 THRU NOV-98 ? ? ? TOTAL $ 1,228,252 h:loangcap.xls mi Page 4 EXHIBIT B SECURrI"Y AGREEMENT This security agreement (the "Security Agreement") is made and given as of this ~ .day of , 1997, by MEDTRONIC, INC., a Minnesota corporation with its principal place of business at 7000 Central Avenue NE, Minneapolis, MN 55432 (the "Borrower's') in favor of THE CITY OF COLUMBIA HEIGHTS, a municipal corporation under the taws of Minnesota, with its offices at 590 NE 40th Avenue, Columbia Heights, MN 55421 and its endorsees, successors and assigns (the "Lender"). RECITALS A. Lender and Borrower have emered into a certain Loan Agreement, dated as of the date hereof (the "Loan Agreement"), pursuant to which Lender will loan to Borrower up to $250,000 (the "Loan") to finance the acquisition of the equipment (the "Equipment") described on the Exhibit B attached hereto, such Equipment to be located at the property described on the Exhibit A attached hereto (the "Property"). Borrower's payment obligations under the Loan Agreement will be evidenced by a promissory note (the "Note") dated as of the date hereof. B. As security for the repayment of the Loan, Lender has required that Borrower execute and deliver to Lender this Security Agreement granting a security interest to Lender in the Equipment. C. The Note, this Security Agreement, and any other instruments or documents given as security for the Loan are herein referred to as the "Loan Documents". NOW, THEREFORE, for good and valuable consideration, the receipt and adequacy of which are hereby acknowledged by Borrower, it is agreed as follows: 1. Grant of Security Interest. As security for the payment and performance of the Note and all other liabilities, obligations and indebtedness of Borrower to Lender due or to become due, direct or indirect, absolute or contingent, joint or several, howsoever created, arising or evidenced, now or hereafter at any time created, arising or evidenced under or pursuant to the Note or this Agreement or any other document or instrument evidencing or securing the Note, Borrower does hereby transfer, assign and grant to Lender a security interest in all of Borrower's right, title, and interest in and to the following (hereinafter collectively referred to as the "Collateral"), whether now owned or hereafter acquired or arising: (a) The Equipment; and (b) Any and all proceeds (as del'reed by Minnesota Statutes, Section 336.9- 306(1) of the foregoing. DJG118433 ~0-v9 B-1 2. Borrower's Representations, Warranties and Covenants. Borrower represents, warrants, covenants and agrees: (a) Organization. Borrower is a corporation, validly existing and in good · standing under the laws of the State of Minnesota, and Borrower has full power and authority to execute, deliver, and perform the Loan Documents, and to own its property and conduct its business as presently conducted and as proposed to be conducted. (b) Authorization. The execution, delivery and performance of this Security Agreement has been duly authorized by all necessary action and will not: (i) require any consent or approval of any entity which has not been obtained; or (ii) violate any provision of any indenture, contract, agreement or instrument to which Borrower is a party or by which it is bound. (c) Performance by Borrower. Unless Borrower obtains Lender's written consent to the contrary, Borrower shall not: (i) terminate its interest in any of the Collateral; or (ii) sell, transfer, or assign, or offer to sell, transfer or assign all or any part of the Collateral or permit all or any part of the Collateral to be sold, transferred or assigned; or (iii) Property. remove or consent to the removal of any of the Equipment from the This Section 2(c) shall not prevent Borrower from taking any action set forth in this Section 2(c) with respect to Equipment which Borrower reasonably concludes has no further use to Borrower for the purposes for which it was designed. (d) Title to Collateral. Borrower shall keep good marketable title to all of the Collateral, and none of the Collateral is subject to any lien or security interest except for the security interest created by this Security Agreement and other security interests consented to in writing by Lender. Borrower has not granted, and will not grant or permit to exist, any lien or security interests in all or a portion of the Collateral other than the liens in favor of Lender and other liens consented to in writing by Lender. Borrower shall defend the Collateral against all claims and demands of all and any other persons at any time claiming any interest therein adverse to Lender. (e) Actions and Proceedings. There are no actions at law, suits in equity or by other proceedings before any governmental agency, commission, bureau, tribunal, or other arbitration proceedings against or affecting Borrower that if adversely determined would adversely affect Borrower's interest in the Collateral or would adversely affect the rights n~a~4ss B-2 CL160-79 of Borrower to pledge and assign ali or a part of the Collateral or the rights and security afforded Lender hereunder. (f) Insurance. Borrower agrees it will keep the Equipment insured at all times against loss by fire and/or other hazards concerning which, in the judgment of Lender, insurance protection is reasonably necessary and in amounts sufficient to protect against loss or damage of the Equipment. Such policy or policies will contain a loss payable clause in favor of Lender or its successors or assigns, in form satisfactory to Lender, provided, however, that Borrower may, at its reasonable discretion, self-insure the Equipment. (g) No Fixture. If any of the Collateral is or becomes a fixture, Borrower agrees to furnish Lender, at Lender's request, with a statement or statements signed by all persons who have or claim an interest in the real estate concerned, which statements shall provide that the signer consents to the security interest created hereby and disclaims any interest in the Collateral as fix-un'es. (h) Understandings Regarding Collateral. Borrower acknowledges that the Collateral is of the design, capacity, and manufacture specified for and by Borrower, and that Borrower is satisfied that the same is suitable for its intended purposes. Borrower further acknowledges and agrees that Lender has not made, and does not make, any representation, warranty, or covenant with respect to merchantability, fitness for any purpose, durability, patent, copyright or trademark infringement, suitability, or capability of any item of Collateral in any respect or in connection with any other purpose or use of Borrower, or any other representation, warranty, or covenant of any kind or character expressed or implied with respect thereto. Borrower accordingly agrees not to assert any claim whatsoever against Lender based thereon. Borrower further agrees, regardless of cause, not to assert any claim whatsoever against Lender for loss of anticipatory profits or consequential damages. (i) Use of Collateral. The Collateral will be used for its intended business purpose and will at all times be located at the Property. (j) Condition of Collateral. Borrower will keep the Collateral in good condition and repair, reasonable wear and tear excepted, and will permit Lender to enter upon the Minimum Improvements at reasonable times for the purpose of examining the Collateral. (k) Costs of Collection. In the event of any action or proceeding to collect or realize upon the Collateral or to enforce any of Lender's rights hereunder, Borrower shall pay: (i) all of Lender's attorneys' fees and legal expenses, with interest thereon, incurred by Lender; (ii) all taxes, levies, insurance expenses, and costs of repairs to, or maintenance of, the Collateral; and aJ~8433 B-3 CL160-79 (iii) ail costs of Lender incurred in taking possession of, disposing of or preserving the Collateral after any Event of Default (defined below). 3. Event of Default. Upon the event of a default under the Loan Agreement, Lender may exercise any remedy available to it under the terms of the Loan Agreement. 4. Further Assurances. Borrower shall execute and deliver to Lender, promptly and at Borrower's expense, Uniform Commercial Code ("Code") financing statements and evidence of tax filings and payments, including without limitation a UCC-1 Financing Statement in substantiaily the form set forth at Exhibit C. Borrower agrees that Lender is authorized, at its option, to file a carbon, photographic or other reproduction of this Agreement as a financing statement and shall be sufficient as a financing statement under the Code and to file financing statements or amendments thereto without the signature of Borrower and, if a signature is required by law, then Borrower appoints Lender as Borrower's attorney-in-fact to execute any such financing statements. 5. Cumulative Remedies. All of Lender's rights and remedies herein are cumulative and in addition to any rights or remedies available at law or in equity including the Code, and may be exercised concurrently or separately. Borrower shall pay all costs, expenses, losses, damages and legal costs (including attorneys' fees) incurred by Lender as a result of enforcing any terms or conditions of this Agreement. 6. No Liability Imposed on Lender. Lender shall not be obligated to perform or discharge, nor does it hereby undertake to perform or discharge any obligation, duty, or liability, nor shall this Agreement operate to place responsibility for the control, care, or management of the Equipment upon Lender. 7. Indemnification. Borro~ver shall and does hereby agree to indemnify against and to hold Lender harmless of and from any and all liability, loss, or damage which it may or might incur under or by reason of this Agreement, and of and from any and all claims and demands whatsoever which may be asserted against it by reason of any alleged obligations or undertakings on its part to perform or discharge any of the terms, covenants or agreements contained herein. Should Lender incur any such liability or be required to defend against any such claims or demands, or should a judgment be entered against Lender, the amount thereof, including costs, expenses, and reasonable attorneys' fees, shall bear interest thereon at the rate then in effect on the Note, shall be secured hereby, shall be added to the Loan, and Borrower shall reimburse Lender for the same immediately upon demand, and upon the failure of Borrower so to do, Lender may declare the Loan immediately due and payable. 8. Expenses of Lender. All expenses in protecting, storing, warehousing, insuring, handling and shipping of the Collaterai, all costs of keeping the Collateral free of liens, encumbrances and security interests (other than the security interest created by this Agreement) and the removing of the same and all excise, property, sales and use taxes imposed by state, federal, or locai authority on any of the Collaterai or with respect to the saie thereof, shall be borne and paid for by Borrower and if Borrower fails to promptly pay any amounts thereof when due, Lender may, at its option, but shail not be required to, pay the same, and upon such payment DJG118433 c~o-~ B-4 the same shall constitute obligations and shall bear interest at the rate specified in the Note and shall be secured by the security interests granted hereunder. 9. Continuing Rights. The rights and powers of Lender hereunder shall continue and remain in full force effect until the Loan is paid in full. 10. Books and Records. Borrower will permit Lender and its representatives to examine Borrower's books and records (including data processing records and systems) with respect to the Collateral and make copies thereof at any time and from time to time, and Borrower iwill furnish such information reports to Lender and its representatives regarding the Collateral ias Lender and its representatives may from time to time request. Lender shall have the authority, at any time, to require Borrower to place upon Borrower's books and records relating to the Collateral and other fights to payment covered by the security interest created in this Agreement a notation stating that any such Collateral and other fights of payment are subject to a security'.interest in favor of Lender. 11, Successors and Assigns. This Agreement and each and every covenant, agreement, and provision hereof shall be binding upon Borrower and its successors and assigns and shall inure to Ute benefit of Lender and its successors and assigns. 12: Governing Law. This Agreement is executed pursuant to and shall be governed by the laws of the State of Minnesota. 13~ Severability. It is the intent of this Agreement to confer to Lender the fights and benefits h~reunder to the full extent allowable by law including all fights available under the Code. The unenforceability or invalidity of any provisions hereof shall not render any other provision or provisions herein contained unenforceable or invalid. Any provisions found to be unenforceable shall be severable from this Agreement. 14,, Miscellaneous. (a) Waiver. The perfonnance or observance of any promise or condition set forth in this Agreement may be waived only in writing. No delay in the exercise of any poiwer, right or remedy operates as a waiver thereof, nor shall any single or partial exercise of any other power, fight or remedy. (b) Assignment. This Agreement shall be binding upon Borrower and its successors and assigns and shall inure to the benefit of Lender and its successors and as:.igns. Al1 fights and powers specifically conferred upon Lender may be transferred or de!:egated by Lender to any of its successors and assigns.' (c) Other Matters. If any provision or application of this Agreement is held urn[awful or unenforceable in any respect, such illegality or unenforceability shall not affect other provisions or applications which can be given effect, and this Agreement shall be construed as if the unlawful or unenforceable provision or application had never been contained herein or prescribed hereby. All representations and warranties contained in this A~;reement or in any other agreement between Borrower and Lender shall survive the ~aa~z~4a~ B-5 CL160-79 execution, delivery and performance of this Agreement and the creation and payment of any indebtedness to Lender. Borrower waives notice of the acceptance of this Agreement by Lender. (d) Notice. All notices required hereunder shall be given by depositing in the UJS. mail, postage prepaid, certified mail, remm receipt requested, to the following addresses (or such other addresses as either party may notify the other): To Borrower: Medtronic, Inc. 7000 Central Avenue NE Legal Department MS300 Minneapolis, MN 55432 ATTN: Cindy Arndt To Lender: City of Columbia Heights 590 NE 40th Avenue Columbia Heights, MN 55421 ATTN: City Manager DJG118433 IN WITNESS WttEREOF, the City has caused this Agreement to be duly executed in its name and behalf and the Developer has caused this Agreement to be duly executed in its name and behalf as of the date first above written. Subscribed and sworn to before me this ~ day of , 1997 Notary Public CITY OF COLUMBIA HEIGHTS By Its By Its Subscribed and sworn to before me this ~ day of , 1997 Notary Public MEDTRONIC, INC. By Its By Its mG~84~3 B-7 CL160-79 °o dO' ~: EXHIBIT B SUMMARY OF EQUIPMENT PURCHASES Actual Purchases Thru April 30, 1997 Projected Purchases May 1, 1997 Thru April 30, 1998 Projected Purchases May 1, 1998 Thru October 31, 1998 TOTAL $ 447,827 $ 780,425 ? ? ? $ 1,228,252 CAPITAL EQUIPMENT PURCHASED FOR NEURO PRODUCTION 6/27/97 STATE LOAN GRANT IFY 97 (November 1996 through Apdl 1997) h:loangcap.xls APPROVAl ITEM PRICE EA TOTAL TOTAL DATE Before TAX With TAX ITEMS APPROVED BEFORE NOV. 1996 BUT RECEIVED AND PAID FOR AFTER NOV. 1996 t 9/9/96 Simco Tray Cleaning System (installed in new clean room) 2 Simco 24" dual Neutro-Vac tray cleaning hoods 4921 $ 9,842 $ 10,482 2 Simco #DC1200 3hp 1200 CFM hepa filters 10021 $ 20,042 $ 21,345 10/30/96 Computer for Stim Development Compaq Deskpro 4000 Model 5166/1620, CPQ-247200-002 $ 2,100 $ 2,237 Audio CPO 185430-001 $ 115 $ 122 16 MB Mere Exp CPQ-243012-002 $ 335 $ 357 Nec XV 17+ MultiSync Monitor NEC-JC-1745VMA-1 $ 798 $ 850 10/24/96 Met One A2408 Particle counter with printer (clean room) $ 5,890 $ 6,273 6/5/96 Production Mold for Burr Cap PN 104596-001 $ 8,425 $ 8,973 (completed in January 1997) 8/6/96 Lead Laser Welder System for new clean room Laser, fiber, and focusing head $ 43,907 Enclosure $ 4,619 Gantry Mounting System $ 2,100 Motion system $ 8,101 Camera sysstem $ 2,789 Lead tooling $ 4,974 Work tables $ 1,724 Nikon SMZ-1B Stereo Microscope & mount $ 2,257 Energy meter $ 3,821 9/11/96 Four cavity mold for 7495 & 7496 extensions sleeves & boot end $ 16,800 (not yet complete as of 6/23/97) 9/17/96 Two air press cdmp fixtures for 7495 & 7498 extensions $ 6,766 Page I EXHIBIT B ITEMS APPROVED NOV. 1996 THROUGH APRIL 1997 ~ 11120/96 Computer equipment for Mf~ secretary $ 2,572 $ 2,739 Compaq Deskpro 200 Model 5133/1200, network card, memory expansion, monitor 11/20/96 Computer equipment for Mfg engineer CompaqLTE 5280 5/120, network card, $ 6,420 $ 6,837 memory expansion, keyboard, mouse, monitor, carrying case 11/22/96 Perc Extension Mold enhancement $ 6,650 $ 7,082 Housing force and cavity block 11/13/96 New Mold for Neuro Stim $ 7,225 $ 7,695 117299-004 permanent four-cavity mold 11/21/96 Air powered wire cutter for 7495 connector assemblies Simonds A-3 blank jaw assy#129432 $ 136 $ 418 $ 445 Simonds SP-002-F activator $ 225 $ 225 $ 240 Simonds A-201-2 mounting base $ 57 $ 57 $ 61 Tax $ 27 $ 27 $ 29 Foot switch and maintenance support $ 400 $ 400 $ 426 40 tool room hours T60163 $ 2,000 $ 2,000 $ 2,000 4/18/9716 Chairs for Leads Mfg area Gibo-Kodama C3000ET-V523-H-01 $ 238 $ 1,427 $ 1,520 4/18/97 lAC Tables for Leads Mfg area $ 6,138 $ 6,537 2 2000084 starter units 2 2001084 add on units 4 102083'3 seal worksurfaces 4 2012303 light fixtures 4 2012013 open wire shelves 4 2012153 footrests 8 2012157 footrest pans 4 292299 electrical channels 3/17/97 Package printing system for Stim Mfg S 6,607 $ 7,037 QMS 2425EX Print System pdnter & controller QMS 2425 2000-sheet input paper deck 1//29/97 Keithley 7011-S Multiplexer Card for R&D lab $ 1,095 $ 1,166 1/29/97 lET Programmable Resistance Substituter $ 2,082 $ 2,217 1/20/97: DCl Tray Redesign & tooling #119959-001 Innertray- one up tooling $ 2,000 $ 2,130 #119964-001 Outertray- one up tooling $ 2,000 $ 2,130 11/23/96 Eight-cavity mold for Part 211987 for Dual Channel Itrel $ 8,000 $ 8,520 1/9/97 New computer for Stim Product Development - Compaq Deskpro Model 5166 $ 1,773 $ 1,888 16 Mg RAM expansion $ 335 $ 357 CD-ROM drive $ 179 $ 191 Business audio $ 115 $ 122 ViewSonic 21" Model P810 color monitor $ 1,785 $ 1,901 Page 2 EXHIBIT B 3/17/97 Production Mold for 2x4 lead paddle $ 9,225 $ 9,825 12_J23/96i Cdmp assembly fixture for 3998 2x4 surgical lead $ 2,400 $ 2,556 i/13/96 Electrode stamping die with press for 2x4 surgical lead $ 7,800 $ 8,307 1/29/96 Flowhood to monitor clean room hepa filters ADM Model 860 electronic flowhood $ 2,695 $ 2,870 Flowhood kit 8405 $ 1,600 $ 1,704 Dec-96 Dionized Water System for manufacturing $ 122,950 Dec-96 ~/Vet and Dry Vacuum System $ 34,650 Dec-96 Compressed Air System $ 53,200 SUBTOTAL THUR 04/30/97 $ 447,827 PROJECTED PURCHASES MAY-97 THRU APRIL-98 ICost Center 43510 - 2 New PC's $ 6,400 Cost Center 43562 - Itrel 3 SA Tray Tooling $ 5,000 Itrel 3 SA Seal Tooling $ 6,000 - PC - Electrical Technician $ 3,200 PC - Contract Engineer $ 3,200 - PC - Contract Technician $ 3,200 3 PC Monitors $ 5,800 - 2 PC's for Lab Tools $ 6,400 - Replacement Computer (G. Hrdicka) $ 8,400 Cost Center 43564 - N4011 TBB In-Line Surgical $ 7,500 - N4011 TBB in-Line Surgical $ 2,500 Computer $ 3,200 - Monitor $ 1,800 Toolmaker Scope $ 10,000 Material Cage $ 1,300 - Strain Gage Amplifier (Vishay) $ 5,000 - Instron $ 15,225 Cost Center 43611 - Incorporate Lab Space (Stim Portion) $ 22,500 PC's for New Hires (Stim Hal0 $ 5,000 - LeCroy Oscilliscope $ 6,000 - Power Supplies $ 2,000 Page 3 EXHIBIT B - Textronix Multimeter $ 1,000 - Lab Tables (Stim Hal0 $ 5,000 Cost Center 43616 -Stedle Product Tooling $ 11,000 - External Tooling $ 2,000 - Kits Tooling $ 4,000 - Computer $ 8,400 Cost Center 43682 - Lab Bench $ 1,400 - Microscope & Monitor $ 5,000 - Docking Station $ 4,000 - Micrometer $ 1,000 Cost Center 43686 - Lifelines Team $ 30,000 - Energizers Team $ 30,000 - Receivers Team $ 30,000 - Leads Team $ 30,000 - Next Team $ 30,000 - GeoMED Team $ 30,000 - Final Pack Team $ 30,000 - Sterile Pack Team $ 30,000 - Percs Plus Team $ 30,000 - Material Handler/Parts Cleaning Team $ 30,000 - Laser Welder $ 100,000 - SADAR Equipment $ 120,000 - Training Equipment $ 60,000 !Cost Center 43687 - New Computers (4) $ 28,000 SUBTOTAL MAY 1, 1997 THRU APRIL 30, 1998 $ 780,425 PROJECTED PURCHASES MAY-98 THRU NOV-98 ? ? ? TOTAL $ 1,228,252 h:loangcap.xls mi Page 4 EXHIBIT C TO SECURITY AGREEMENT FOR USE BY FILENG OFFICER ONLY STATE OF MINNESOTA UCC-1 FINANCING STATEMENT This statement is presented for filing pursuant to Minnesota Statutes 336.9-402 DEBTOR Medtronic, Inc. 7000 Central Avenue NE Legal Department MS300 Minneapolis, MN 55432 SECURED PARTY City of Columbia Heights 590 NE 40th Avenue Columbia Heights, MN 55421 COLLATERAL See attached Exhibit A. RETURN ACKNOWLEDGMENT COPY TO: Kennedy & Graven, Chartered 470 Pillsbury Center Minneapolis, Minnesota 55402 MEDTRONIC, INC. By Its By Its Its re'rm.8,,,, ~ B-C-1 CL160-79 EXI-I!RIT C TO SECURITY AGREEMENT FOR USE BY FILING OFFICER ONLY STATE OF MINNESOTA UCC-1 FINANCING STATEMENT This statement is presented for filing pursuant to Minnesota Statutes 336.9-402 DEBTOR Medtronic, Inc. 7000 Central Avenue NE Legal Department MS300 Minneapolis, MN 55432 SECURED PARTY City of Columbia Heights 590 NE 40th Avenue Columbia Heights, MN 55421 COLLATERAL See attached Exhibit A. RETURN ACIGNOWLEDGMENT COPY TO: Kennedy & Graven, Chartered 470 Pillsbury Center Minneapolis, Minnesota 55402 MEDTRONIC, INC. By Its By ~ Its By Its DJGl18433 c~6o-79 B-C-1 EXHIBIT A to UCC-1 Financing Statement naming Medtronic, Inc., as Debtor and City of Columbia Heights as Secured Party Pursuant to the provisions of the Security Agreement dated as of ,1997 (the "Agreement") between the Debtor and Secured Party, the Debtor does hereby assign to and grant to the Secured Party ali of its fight, title and interest in and to: NEED EQUIPMENT DESCRIPTION (the "Equipment"), contract fights (including contract fights pertaining to performance bonds, fidelity bonds, or insurance contracts) now or hereafter belonging or in any way pertaining to the Equipment, and all proceeds and products of the foregoing. ~a~xs4~ B-C-A-1 CL160-79 EXHIBIT C PROMISSORY NOTE $250,000 , 1997 Medtronic, Inc., a Minnesota corporation (the "Maker"), for value received, hereby promises to pay to the City of Columbia Heights (the "City") or its assigns (the City and any assigns are hereinafter referred to as the "Holder"), at its designated principal office or such other place as the Holder may designate in writing, the principal sum of Two Hundred Fifty Thousand and No/100ths Dollars ($250,000) or so much thereof as may be advanced under this Note, with interest as hereinafter provided, in any coin or currency which at the time or times of payment is legal tender for the payment of private debts in the United States of America. The principal of this Note is payable in installments due as follows: 1. The Loan shall not accrue interest. 2. The principal shall be paid on the first day of the sixty-first month after the date of the loan agreement between the Borrower and the City dated ., 1997 (the "Loan Agreement"); provided, however, that the entire balance of the principal shall be forgiven if the Borrower complies with the conditions for forgiveness set forth in Section 5.5 of the Loan Agreement. 3. The Maker shall have the right to prepay the principal of this Note, in whole or in part, without prepayment penalty. 4. This Note is given pursuant to the Loan Agreement and is secured by a security agreement of even date herewith (the "Security Agreement") covering certain property located in Anoka County, Minnesota. In the event any such security is found to be invalid for whatever reason, such invalidity shall constitute an event of default hereunder. All of the agreements, conditions, covenants, provisions, and stipulations contained in the Loan Agreement, or any instrument securing this Note are hereby made a part of this Note to the same extent and with the same force and effect as if they were fully set forth herein. It is agreed that time is of the essence of this Note. If a default occurs under the Loan Agreement, or any instrument securing this Note, then the Holder of this Note may at its right and option, without notice, declare immediately due and payable the principal balance of this Note, together with any costs of collection including attorney fees incurred by the Holder of this Note in collecting or enforcing payment hereof, whether suit be brought or not, and all other sums due hereunder, or under any instrument securing this Note. The Maker agrees that the Holder of this Note may, without notice to the Maker of this Note and without affecting the liability of the Maker of this Note, accept additional or substitute security for this Note, or release any security or any party liable for this Note or extend or renew this Note. 5. The remedies of the Holder of this Note as provided herein, and in the Loan Agreement, or any other instrument securing this Note, shall be cumulative and concurrent and may be pursued singly, successively, or together, and, at the sole discretion of the Holder of this DJG118433 c~6o-79 C-1 Note, may be exercised as often as occasion therefor shall occur; and the failure to exercise any such right or remedy shall in no event be construed as a waiver or release thereof. The Holder of this Note shall not be deemed, by any act of omission or commission, to have waived any of its fights or remedies hereunder unless such waiver is in writing and signed by the Holder of this Note and then only to the extent specifically set forth in the writing. A waiver with reference to one event shall not be consumed as continuing or as a bar to or waiver of any fight or remedy as to-a subsequent event. This Note may not be amended, modified, or changed except only by an instrument in writing signed by the party against whom enforcement of any such amendment, modifications, or change is sought. 6. If any term of this Note, or the application thereof to any person or circumstances shall, to any extent, be invalid or unenforceable, the remainder of this Note, or the application of such term to persons or circumstances other than those to which it is invalid or unenforceable shall not be affected thereby, and each term of this Note shall be valid and enforceable to the fullest extent permitted by law. 7. It is intended that this Note is made with reference to and shall be construed as a Minnesota contract and governed by the laws thereof. 8. IT IS HEREBY CERTIFIED AND RECITED that all conditions, acts, and things required to exist, happen, and be performed precedent to or in the issuance of this Note do exist, have happened, and have been performed in regular and due form as required by law. IN WITNESS WHEREOF, the Maker has caused this Note to be duly executed as of the day of , 1997. MEDTRONIC, INC. By Its By Its By Its DJG118433 L'w_.~[~ O_ 7 9 C-2 CITY OF COLUMBIA HEIGHTS Meeting of: July 28, 1997 AGENDA SECTION: Consent ORIGINATING DEPT.: CITY MANAGER NO:~ Comm. Devel. Dept. APPROVAL , /, Agreement for Loan of MIF DATE: July 22, 1997 NO: As part of the Medtronic, Inc. expansion project, the financing for the 60,000 sq. ft. addition to the Medtronic, Inc. Neurological Business Center included a $250,000 forgivable loan for machinery and equipment. Funds in the total amount of $500,000 are to be provided to the City of Columbia Heights from the Minnesota Department of Trade and Economic Development (DTED) Minnesota Investment Fund (MIF). The remaining $250,000 of MIF monies in the grant agreement will be used by the City as a grant to construct the relocation and extension of the sewer main, increased lift station capacity, sedimentation basin, landscaping, screening and berming, walking trail extension, and the engineering and inspection services related to these improvements. The City has previously entered into a grant agreement with DTED for this project. An additional agreement between Medtronic, Inc. as developer and the City of Columbia Heights as the lender is also necessary to outline the terms and conditions of the equipment loan. The attached Agreement for Loan of Minnesota Investment Fund (Agree- ment) constitutes the necessary agreement between the parties. The Agreement has been reviewed and revised by Medtronic's legal counsel, Dan Greensweig of Kennedy and Graven on behalf of the City, and the DTED. All parties are comfortable with the terms of the Agreement which has already been signed by Medtronics. A summary of specific information regarding the terms of the Agreement with Medtronics are as follows: Amount: Purpose: Payment: Term: $250,000 (Forgivable). Purchase of equipment. City to disburse 56% of amount of equipment invoice(s) when submitted up to total amount. Five (5) years (60 months). Commencing November 1, 1996. Interest Rate: Zero Percent (0%). Job Creation: - At least sixty-five (65) new jobs created by November 1, 1998. - At least a total of 156 new full-time equivalent, permanent jobs by November 1, 2000 (in addition to the existing jobs). - Wages at least $10.00 per hour, excluding benefits. Collateral: First security interest in equipment up to $250,000. Forgiveness If all terms and conditions are met, the loan will be forgivable Date: on November 1, 2001. A full copy of the proposed Agreement with exhibits is included for your review. Please note that Exhibit A includes a summary of equipment purchases and Exhibit B is a copy of the security agreement with attachments. Staff recommends City Council approval of the Agreement at the July 28, 1997 regular meeting. Attachments RECOMMENDED MOTION: Move to approve the Agreement for Loan of Minnesota Investment Fund between the City of Columbia Heights and Medtronic, Inc.; and furthermore, to authorize the Mayor and City Manager to enter into an agreement for the same. COUNCIL ACTION: \bt\council.for AGREEMENT FOR LOAN OF MINNESOTA INVESTMENT FUND THIS AGREEMENT is made and entered into as the ~' day of .~/~ ,1997, by and between the City of Columbia Heights, ("the City") and Medtronic, Inc. ("the Developer"); WITNESSETH: WHEREAS, the City has applied to the Minnesota Department of Trade and Economic Development for a Minnesota Investment Fund Grant (the "MIF Grant") pursuant to an application (the "Grant Application") and received preliminary approval for said grant; and WHEREAS, Grant Agreement, (#CDAP-95-0333-H-FY97) ("the Grant Agreement") between the Minnesota Department of Trade and Economic Development and the City has been executed and requires that the Developer provide sufficient financing to complete financing and agree to loan terms with the City regarding the 1V/IF Grant; and WHEREAS, all parties to this agreement agree to incorporate into this agreement by reference said Grant Application and Grant Agreement as if fully set forth herein word for word; NOW THEREFORE, it is agreed by and between the parties hereto as follows: ARTICLE 2 Financing for Projects Section 2.1. Project Financing. The Developer shall secure from the City a commitment for funds necessary to complete the Project, in a form and under conditions satisfactory to both parties. Section 2.2. Developer's Equity and Other Financing. The Developer shall commit not less than $6,952,977 of equity to be used for the completion of the Project. In addition, at least $11,000 shall be committed to the Project by the City, pursuant to the terms and conditions of the Development Contract Section 2.3. MIF Loan/Grant. The $500,000 Minnesota Investment Fund Grant award wilt be used as follows: The City will make a loan of $250,000 to the Developer for the Equipment; the remaining $250,000 will be a grant to the City for the construction and installation of the extension of sewer main and of increased lift station capacity, sedimentation basin, landscaping, screening and berming, walking trail extension, and engineering design and inspection related thereto. ARTICLE 3 MIF Loan Terms and Conditions Section 3.1. Basic Loan Terms. The principle amount of the Loan shall not exceed $250,000. The loan shall not bear interest. The Lo,'m terms may not be modified without prior written approval from the Grantor Agency. The full Loan amount shall be used for the purchase of the Equipment. The term of the Loan shall be as set forth in Section 5.4 of this Agreement. Section 3.2. Prepayment. Prepayment of the Loan may occur at any time during the Loan without penalty. Section 3.3. Assignment. If, prior to the Forgiveness Date the Developer sells, conveys. transfers, further mortgages or encumbers or disposes of the Development Property, or any part thereof, or any interest therein, except to a wholly-owned subsidiary of Developer upon the prior written approval of the Grantor Agency, or agrees so to do, the Developer shall immediately repay all mounts then outstanding on the Loan. This shall be in addition to any other remedies at law or equity available to the City. Section 3.4. Termination. This agreement shall automatically terminate without any notice to Developer (1) if the Loan proceeds have not been disbursed to the Developer prior to November 1, 1998; or (2) ifa petition is filed by or against the Developer under the U.S. Bankruptcy Code, or if voluntary, such a petition is not dismissed within sixty (60) business days following such petition. DJG118433 3 -CL160-79 (h) loss, theft, substantial damage, destruction, or encumbrance of any of the Equipment, provided that such is not remedied within sixty (60) business days after written notice thereof by either Developer or the City (including, without limitation, by a pledge of insurance proceeds or by substitute collateral satisfactory to the City); Section 4.2. Remedies Upon Default. (a) In the event of a default and the failure to cure it in the time allotted therefor or to commence and diligently proceed to cure such default if reasonably incapable of being cured within the time allotted therefor), the City shall have the right as its option and without demand or notice, to declare all or any part of the Loan immediately due and payable, and in addition to the rights and remedies granted hereby, the City shall have all of the rights and remedies under the Uniform Commercial Code or any applicable law. (b) Developer agrees in the event of a default and the failure to cure it in the time allotted therefor, to make the Equipment available to the City and the Development Property. In the event of any lawsuit under this agreement, reasonable attorney's fees and costs will be awarded to the prevailing party. If any notice of sale, disposition or other intended action by the City is required by law to be given to Developer, such notice shall be deemed reasonably and properly given if mailed to Developer at the Development Property or at such other address of Developer as may be shown on the City's records, at least fifteen (15) days before such sale, disposition or other intended action. Waiver of and default hereunder by the City shall not be a waiver of any other default, or of the same default, on a later occasion. No delays or failure by the City to exercise any right or remedy shall be a waiver of such right or remedy and no single or partial exercise by the City of any right or remedy shall preclude other or further exercise thereof of the exercise of any other right or remedy at any other time. Section 4.3. Collateral. The Developer shall grant to the City a first security interest in the Equipment up to an amount of $250,000, pursuant to a security agreement in substantially the form set forth at Exhibit B. ARTICLE 5 Loan Disbursement Provisions Section 5.1. Payment Requisition Documentation and Format. Loan disbursements shall be for purchase of the Equipment and shall not exceed $250,000. The Loan shall be disbursed to the Developer only after the City has received from the Developer an invoice or invoices for Equipment purchase costs. Upon receipt of such invoice or invoices, the City will disburse an amount equal to 56% of amount of tZ.e invoice or invoices, up to a total disbursement amount of $250,000. Section 5.2. Provision for Evidentiarv Materials. No disbursements of Loan funds shall be made until all evidentiary materials required by the Grantor Agency have been submitted and approved by the Grantor Agency. DJG118433 CL160-79 5 (b) If the Developer fails to comply with any of the terms of Section 7. l(a), the Developer shall immediately repay to the City upon written demand from the City the full amount of the Loan. The Developer specifically acknowledges that a failure to comply in every regard with the provisions of this Section 7.1 shall constitute a default hereunder, and that no opportunity to cure shall be allowed. Section 7.2. Employment Documentation. The Developer shall complete and provide to the City notification of employment semi-annually of hiring each new employee. This notification requirement shall terminate on November 1, 2000, provided the employment objective set forth in Section 7.1 has been met. Section 7.3. Job Ci'eation Documentation. Until the Forgiveness Date, the Developer shall submit to the City a written report by April 1 of each year describing employment and wages in sufficient detail to enable the City to deten~ine compliance with this Article 7. This information shall be provided by the Developer and must include: (a) jobs created; (b) job title per job, (c) date employee(s) hired; and (d) wages and benefits paid. Section 7.4. First Source Employment Referral Aereement.. The Developer shall list any vacant or new positions with the jobs services of the Commissioner of Job Services or a local service unit operated by a county or counties operating under a joint powers agreement, one or more cities of the first class operating under a joint powers agreement, or a city of the first class. ARTICLE 8 Provision of Monitoring Information Related To Project Prollress Section 8.1. Provision of Proeress Information. The Developer shall provide to the City. information for incorporation into progress reports, as required by the Grantor Agency and as needed by the City, to monitor project implementation for compliance with grantor and local guidelines. ARTICLE 9 Nondiscrimination Section 9.1. Nondiscrimination. The provisions of Minnesota Statutes, Section 181.59, which relate to civil rights and discrimination, shall be considered a part of this Agreement as though wholly set forth herein. DJG118433 carried out by the Developer, and the Developer assures the City that said Project will be carried out by the Developer. (d) The Developer warrants that to the best of its knowledge, it has obtained all federal, state, and local governmental approvals, reviews, and permits required by law to be obtained in connection with the Project. (e) The Developer warrants that it shall keep and maintain books, records, and other documents relating directly to the leveraged funds and that any duly authorized representative of the Commissioner shall, at all reasonable times, have access to and the right to inspect, copy, audit, and examine all such books, records, and other documents of the Developer until the completion of all closeout procedures respecting the MIF Grant and the final settlement and conclusion of all issues arising out of the grant. (f) The Developer warrants that no transfer of Loan proceeds by the City to the Developer shall be or be deemed an assignment of the Loan proceeds and the Developer shall neither succeed to any rights, benefits, or advantages of the City under the Grant Agreement, nor attain any right, privileges, authorities, or interest in or under the Grant Agreement. (g) The Developer warrants that it has fully complied with all applicable state and federal laws pertaining to its business and will continue said compliance throughout the terms of this Agreement. If at any time notice of noncompliance is received by the Developer, the Developer agrees to take any necessary action to comply with the state or federal law in question. ARTICLE 11 Other Special Conditions Section 11.1. Antitrust. Developer hereby assigns to the State of Minnesota any and all claims for overcharges as to goods and/or services provided in connection with this contract resulting from antitrust violations which arise under the antitrust laws of the United States and the antitrust laws of the State of Minnesota. Section 11.2. Workers Compensation Insurance. Developer has obtained worker's compensation insurance as required by Minnesota Statutes, Section 176.181, subd. 2. Developer's workers' compensation insurance information is as follows: (a) Company Name: (b) Policy Number: (c) Local Agent: Section 11.3. Business with the State of Minnesota/State Tax Laws. Notice to Developer. You are required by Minnesota Statutes, Section 2790.66, to provide your Minnesota tax identification number if you do business with the State of Minnesota. This information may be used in the DJG118433 CL160-79 9 (b) as to the Developer: Medtronic, Inc. 7000 Central Avenue NE Legal Department MS300 Minneapolis, MN 55432 ATTN: Cindy Amdt or at such other address with respect to any party as that party may, from time to time, designate in writing and forward to the others as provided in this Section 11.9. Section 11.10. Conflict of Interests; Representatives Not Individually Liable. No officer or employee of the City may acquire any f'mancial interest, direct or indirect, in this Agreement, the Equipment or in any contract related to the Equipment. No officer or employee of the City shall be personally liable to the Developer, or arty successor in interest, in the event of any default or breach by the City or for any amount which may become due to the Developer or on any obligation or term of this Agreement. Section 11.11. Bindine Effect. The covenants and agreements in this Agreement shall bind and be to the benefit of the heirs, executors, administrators, successors, and assigns of the parties to this Agreement. This Agreement shall be construed in accordance with the laws of Minnesota. CL160o79 EXHIBIT A SUMMARY OF EQUIPMENT PURCHASES Actual Purchases Thru April 30, 1997 Projected Purchases May 1, 1997 Thru April 30, 1998 Projected Purchases May 1, 1998 Thru October 31, 1998 TOTAL $ 447,827 $ 780,425 ? ? ? $ 1,228,252 CAPITAL EQUIPMENT PURCHASED FOR NEURO PRODUCTION 6/27/97 STATE LOAN GRANT FY 97 (November 1996 through April 1997) h:loangcap.xls APPROVAI~ ITEM PRICE EA TOTAL TOTAL DATE E~efore TAX With TAX ITEMS APPROVED BEFORE NOV. 1996 BUT RECEIVED AND PAID FOR AFTER NOV. 1996 I 9/9/96 Simco Tray Cleaning System (installed in new clean room) 2 Simco 24" dual Neutro-Vac tray cleaning hoods 4921 $ 9,842 $ 10,482 2 Simco #DC1200 3bp 1200 CFM hepa filters 10021 $ 20,042 $ 21,345 10/30/96 Computer for Stim Development Compaq Deskpro 4000 Model 5166/1620, CPQ-247200-002 $ 2,100 $ 2,237 Audio CPQ 185430-001 $ 115 $ 122 16 MB Mem Exp CPQ-243012-002 $ 335 $ 357 Nec XV 17+ MultiSync Monitor NEC-JC-1745VMA-1 $ 798 $ 850 10/24/96 Met One A2408 Particle counter with pdnter (clean room)! $ 5,890 $ 6,273 6/5/96 Production Mold for Burr Cap PN 104596-001 $ 8,425 $ 8,973 (completed in January 1997) 8/6/96 Lead Laser Welder System for new clean room Laser, fiber, and focusing head $ 43,907 Enclosure $ 4,619 Gantry Mounting System $ 2,100 Motion system $ 8,101 Camera sysstem $ 2,789 Lead tooling $ 4,974 Work tables $ 1,724 Nikon SMZ-1B Steceo Microscope & mount $ 2,257 Energy meter $ 3,821 9/11196 Four cavity mold for 7495 & 7496 extensions sleeves & boot end $ 16,800 (not yet complete as of 6/23/97) 9117/96 Two air press crimp fixtures for 7495 & 7498 extensions $ 6,766 Page I EXHIBIT A 3/17/97 Production Mold for 2x4 lead paddle $ 9,225 $ 9,825 12/23/96 Crimp assembly fixture for 3998 2x4 surgical lead $ 2,400 $ 2,556 11/13/96 Electrode s;:amping die with press for 2xA surgical lead $ 7,800 $ 8,307 11/29/96 Flowhood to monitor clean room hepa filters ADM Model 860 electronic flowhood $ 2,695 $ 2,870 Flowhood kit 8405 $ 1,600 $ 1,704 Dec-96 Dionized Water System for manufacturing $ 122,950 Dec-96 [/Vet and Dry Vacuum System $ 34,650 Dec-96 Compressed Air System $ 53,200 SUBTOTAL THUR 04/30/97 $ 447,827 PROJECTED PURCHASES MAY-97 THRU APRIL-98 Cost Center 43510 - 2 New PC's $ 6,400 ~Cost Center 43562 - Itrel 3 SA Tray Tooling $ 5,000 - Itrel 3 SA Seal Tooling $ 6,000 PC - Electrical Technician $ 3,200 PC - Contract Engineer $ 3,200 - PC - Contract Technician $ 3,200 3 PC Monitors $ 5,800 - 2 PC's for Lab Tools $ 6,400 - Replacement Computer (G. Hrdicka) $ 8,400 Cost Center 43564 - N4011 TBB In-Line Surgical $ 7,500 - N4011 TBB In-Line Surgical $ 2,500 - Computer $ 3,200 - Monitor $ 1,800 - Toolmaker Scope $ 10,000 Material Cage $ 1,300 - Strain Gage Amplifier (Vishay) $ 5,000 - Instron $ 15,225 Cost Center 43611 - Incorporate Lab Space (Stim Portion) $ 22,500 PC's for New Hires (Stim Half) $ 5,000 - LeCroy Oscilliscope $ 6,000 - Power Supplies $ 2,000 Page 3 EYmmIT B SECURITY AGREEMENT This security agreement (the "Security Agreement") is made and given as of this ~ day of ,1997, by MEDTRONIC, INC., a Minnesota corporation with its principal place of business at 7000 Central Avenue NE, Minneapolis, MN 55432 (the "Borrower") in favor of THE CITY OF COLUMBIA HEIGHTS, a municipal corporation under the laws of Minnesota, with its offices at 590 NE 40th Avenue, Columbia Heights, MN 55421 and its endorsees, successors and assigns (the "Lender"). RECITALS A. Lender and Borrower have entered into a certain Loan Agreement, dated as of the date hereof (the "Loan Agreement"), pursuant to which Lender will loan to Borrower up to $250,000 (the "Loan") to finance the acquisition of the equipment (the "Equipment") described on the Exhibit B attached hereto, such Equipment to be located at the property described on the Exhibit A attached hereto (the "Property"). Borrower's payment obligations under the Loan Agreement will be evidenced by a promissory note (the "Note") dated as of the date hereof. B. As security for the repayment of the Loan, Lender has required that Borrower execute and deliver to Lender this Security Agreement granting a security interest to Lender in the Equipment. C. The Note, this Security Agreement, and any other instruments or documents given as security for the Loan are herein referred to as the "Loan Documents". NOW, THEREFORE, for good and valuable consideration, the receipt and adequacy of which are hereby acknowledged by Borrower, it is agreed as follows: 1. Qrant of SecuriW Interest. As security for the payment and performance of the Note and all other liabilities, obligations and indebtedness of Borrower to Lender due or to become due, direct or indirect, absolute or contingent, joint or several, howsoever created, arising or evidenced, now or hereafter at any time created, arising or evidenced under or pursuant to the Note or this Agreement or any other document or instrument evidencing or securing the Note, Borrower does hereby transfer, assign and grant to Lender a security interest in all of Borrower's right, rifle, and interest in and to the followhag (hereinafter collectively referred to as the "Collateral"), whether now owned or hereafter acquired or arising: (a) The Equipment; and (b) Any and all proceeds (as defined by Minnesota Statutes, Section 336.9- 306(1) of the foregoing. DJG118433 c~60-~9 B-1 of Borrower to pledge and assign ail or a part of the Collateral or the fights and security afforded Lender hereunder. (f) Insurance. Borrower agrees it will keep the Equipment insured at all times against loss by fire and/or other hazards concerning which, in the judgment of Lender, insurance protection is reasonably necessary and in amounts sufficient to protect against loss or damage of the Equipment. Such policy or policies will contain a loss payable clause in favor of Lender or its successors or assigns, in form satisfactory to Lender, provided, however, that Borrower may, at its reasonable discretion, self-insure the Equipment. (g) No Fixture. If any of the Collaterai is or becomes a fixture, Borrower agrees to furnish Lender, at Lender's request, with a statement or statements signed by ail persons who have or claim an interest in the real estate concerned, which statements shall provide that the signer consents to the security interest created hereby and disclaims any interest in the Collateral as fixtures. (h) Understandings Regarding Collaterai. Borrower acknowledges that the Collateral is of the design, capacity, and manufacture specified for and by Borrower, and that Borrower is satisfied that the same is suitable for its intended purposes. Borrower further acknowledges and agrees that Lender has not made, and does not make, any representation, warranty, or covenant with respect to merchantability, fitness for any purpose, durability, patent, copyright or trademark infringement, suitability, or capability of any item of Collateral in any respect or in connection with any other purpose or use of Borrower, or any other representation, warranty, or covenant of any kind or character expressed or implied with respect thereto. Borrower accordingly agrees not to assert any claim whatsoever against Lender based thereon. Borrower further agrees, regardless of cause, not to assert any claim whatsoever against Lender for loss of anticipatory profits or consequential damages. (i) Use of Collateral. The Collateral will be used for its intended business purpose and will at ail times be located at the Property. (j) Condition of Collateral. Borrower will keep the Collaterai in good condition and repair, reasonable wear and tear excepted, and will permit Lender to enter upon the Minimum Improvements at reasonable times for the purpose of examining the Collateral. (k) Costs of Collection. In the event of any action or proceeding to collect or reaiize upon the Collateral or to enforce any of Lender's rights hereunder, Borrower shall pay: (i) ail of Lender's attorneys' fees and legai expenses, with interest thereon, incurred by Lender; (ii) all taxes, levies, insurance expenses, and costs of repairs to, or maintenance of, the Collateral; and ~8433 B-3 CL160-79 the same shall constitute obligations and shall bear interest at the rate specified in the Note and shall be secured by the security interests granted hereunder. 9. Continuing Rights. The fights and powers of Lender hereunder shall continue and remain in full force effect until the Loan is paid in full. 10. Books and Records. Borrower will permit Lender and its representatives to examine Borrower's books and records (including data processing records and systems) with respect to the Collateral and make copies thereof at any time and from time to time, and Borrower will furnish such information repons to Lender and its representatives regarding the Collateral as Lender and its representatives may from time to time request. Lender shall have the authority, at any time, to require Borrower to place upon Borrower's books and records relating to the Collateral and other rights to payment covered by the security interest created in this Agreement a notation stating that any such Collateral and other rights of payment are subject to a security interest in favor of Lender. 11. Successors and Assimas. This Agreement and each and every covenant, agreement, and provision hereof shall be binding upon Borrower and its successors and assigns and shall inure to the benefit of Lender and its successors and assigns. 12. Governing Law. This Agreement is executed pursuant to and shall be governed by the laws of the State of Minnesota. 13. Severabilitv. It is the intent of this Agreement to confer to Lender the rights and benefits hereunder to the full extent allowable by law including all rights available under the Code. The unenforceability or invalidity of any provisions hereof shall not render any other provision or provisions herein contained unenforceable or invalid. Any provisions found to be unenforceable shall be severable from this Agreement. 14. Miscellaneous. (a) Waiver. The performance or observance of any promise or condition set forth in this Agreement may be waived only in writing. No delay in the exercise of any power, right or remedy operates as a waiver thereof, nor shall any single or partial exercise of any other power, right or remedy. (b) Assignment. This Agreement shall be binding upon Borrower and its successors and assigns and shall inure to the benefit of Lender and its successors and assigns. Alt rights and powers specifically conferred upon Lender may be transferred or delegated by Lender to any of its successors and assigns.- (c) Other Matters. If any provision or application of this Agreement is held unlawful or unenforceable in any respect, such illegality or unenforceability shall not affect other provisions or applications which can be given effect, and this Agreement shall be construed as if the unlawful or unenforceable provision or application had never been contained herein or prescribed hereby. All representations and warranties contained in this Agreement or in any other agreement between Borrower and Lender shall survive the CL160-79 IN WITNESS WHEREOF, the City has caused this Agreement to be duly executed in its name and behalf and the Developer has caused this Agreement to be duly executed in its name and behalf as of the date frrst above written. Subscribed and sworn to before me this ~ day of , 1997 Notary Public CITY OF COLUMBIA HEIGHTS By Its By Its Subscribed and sworn to before me this __ day of , 1997 Notary Public NfEDTRONIC, INC. By Its By Its DJG118433 c~o-~ B-7 EXHIBIT B SUMMARY OF EQUIPMENT PURCHASES Actual Purchases Thru April 30, 1997 Projected Purchases May 1, 1997 Thru April 30, 1998 Projected Purchases May 1, 1998 Thru October 31, 1998 TOTAL $ 447,827 $ 780,425 ? ? ? $ 1,228,252 CAPITAL EQUIPMENT PURCHASED FOR NEURO PRODUCTION 6/27/97 STATE LOAN GRANT FY 97 (November 1996 through April 1997) h:loangcap.xls APPROVAL ITEM PRICE EA ;TOTAL :TOTAL DATE Before TAX With TAX ITEMS APPROVED BEFORE NOV, 1996 BUT RECEIVED AND PAID FOR AFTER NOV. 1996 I 9/9/96 Simco Tray Cleaning System (installed in new clean room) 2 Simco 24" dual Neutro-Vac tray cleanin~ hoods 4921 $ 9,842 $ 10,482 2 Simco #DC1200 3bp 1200 CFM hepa filters 10021 $ 20,042 $ 21,345 10/30/96 Computer for Stim Development Compaq Deskpro 4000 Model 5166/1620, CPQ-247200-002 $ 2,100 $ 2,237 Audio CPQ 185430-001 $ 115 $ 122 16 MB Mere Exp CPQ-243012-002 $ 335 $ 357 Nec XV 17+ MultiSync Monitor NEC-JC-1745VMA-1 $ 798 $ 850 10/24/96iMet One A2408 Particle counter with pdnter (clean room) $ 5,890 $ 6,273 6/5/96 Production Mold for Burr Cap PN 104596-001 $ 8,425 $ 8,973 (completed in January 1997) 8/6/96 Lead Laser Welder System for new clean room Laser, fiber, and focusing head $ 43,907 Enclosure $ 4,619 Gantry Mounting System $ 2,100 Motion system $ 8,101 Camera sysstem $ 2,789 Lead tooling $ 4,974 Work tables $ 1,724 Nikon SMZ-1B Stereo Microscope & mount $ 2,257 Energy meter $ 3,821 9/11/96 Four c~vity mold for 7495 & 7496 extensions sleeves & boot end $ 16,800 (not yet complete as of 6/23/97) 9/17/96 !Two air press cdmp fixtures for 7495 & 7498 extensions $ 6,766 Page I EXHIBIT B 3/17/97 Production Mold for 2x4 lead paddle $ 9,225 $ 9,825 12/23/96 Cdmp assembly fixture for 3998 2x4 surcgical lead $ 2,400 $ 2,556 11/13/96 Electrode stamping die with press for 2x4 su~ical lead $ 7,800 $ ..8,307 11/29/96 Flowhood to monitor clean room hepa filters ADM Model 860 electronic flowhood $ 2,695 $ 2,870 Flowhood kit 8405 $ 1,600 $ 1,704 Dec-96 Dionized Water System for manufacturing $ 122,950 Dec-96 ~Vet and Dry Vacuum System $ 34,650 Dec-96 Compressed Air System $ 53,200 SUBTOTAL THUR 04/30/97 $ 447,827 PROJECTED PURCHASES MAY-97 THRU APRIL-98 Cost Center 43510 2 New PC's $ 6,400 Cost Center 43562 - Itrel 3 SA Tray Tooling $ 5,000 - Itrel 3 SA Seal Tooling $ 6,000 - PC - Electrical Technician $ 3,200 - PC - Contract Engineer $ 3,200 - PC - Contract Technician $ 3,200 - 3 PC Monitors $ 5,800 - 2 PC's for Lab Tools $ 6,400 - Replacement Computer (G. Hrdicka) $ 8,400 Cost Center 43564 - N4011 TBB In-Line Surgical $ 7,500 - N4011 TBB In-Line Surgical $ 2,500 - Computer $ 3,200 - Monitor $ 1,800 Toolmaker Scope $ 10,000 Matedal Cage $ 1,300 Strain Gage Amplifier (Vishay) $ 5,000 - Instron $ 15,225 Cost Center 43611 - Incorporate Lab Space (Stim Portion) $ 22,500 PC's for New Hires (Stim Hal0 $ 5,000 - LeCroy Oscilliscope $ 6,000 Power Supplies $ 2,000 Page 3 EXHIBIT C TO SECI. FR1TY AGREEMENT FOR USE BY FILING OFFICER ONLY STATE OF MINNESOTA UCC-1 FINANCING STATEMENT This statement is presented for filing pursuant to Minnesota Statutes 336.9-402 DEBTOR Medtronic, Inc. 7000 Central Avenue NE Legal Department MS300 Minneapolis, MN 55432 SECURED PARTY CiD' of Columbia Heights 590 NE 40th Avenue Columbia Heights, MN 55421 COLLATERAL See attached Exhibit A. RETURN ACKNOWLEDGMENT COPY TO: Kennedy & Graven, Chartered 470 Pillsbury Center Minneapolis, Minnesota 55402 MEDTRONIC, INC. By Its Its Its By By DJ'G'~ Z8433 c~so-~ B.-C-1 EXHIBIT A to UCC-1 Financing Statement naming Medtronic, Inc., as Debtor and City of Columbia Heights as Secured Party Pursuant to the provisions of the Security Agreement dated as of ,1997 (the "Agreement") between the Debtor and Secured Party, the Debtor does hereby assign to and grant to the Secured Party all of its fight, title and interest in and to: NEED EQUIPMENT DESCRIPTION (the "Equipment"), contract rights (including contract fights pertaining to performance bonds, fidelity bonds, or insurance contracts) now or hereafter belonging or in any way pertaining to the Equipment, and all proceeds and products of the foregoing. CI~60-79 Note, may be exercised as often as occasion therefor shall occur; and the failure to exercise any such fight or remedy shall in no event be construed as a waiver or release thereof. The Holder of this Note shall not be deemed, by any act of omission or commission, to have waived any of its Hghts or remedies hereunder unless such waiver is in writing and signed by the Holder of this Note and then only to the extent specifically set forth in the writing. A waiver with reference to one event shall not be construed as continuing or as a bar to or waiver of any right or remedy as to a subsequent event. This Note may not be amended, modified, or changed except only by an instrument in writing signed by the party against whom enforcement of any such amendment, modifications, or change is sought. 6. If any term of this Note, or the application thereof to any person or circumstances shall, to any extent, be invalid or unenforceable, the remainder of this Note, or the application of such term to persons or circumstances other than those to which it is invalid or unenforceable shall not be affected thereby, and each term of this Note shall be valid and enforceable to the fullest extent permitted by law. 7. It is intended that this Note is made with reference to and shall be construed as a Minnesota contract and governed by the laws thereof. 8. IT IS HEREBY CERTIFIED AND RECITED that all conditions, acts, and things required to exist, happen, and be performed precedent to or in the issuance of this Note do exist, have happened, and have been performed in regular and due form as required by law. IN WITNESS WHEREOF, the Maker has caused this Note to be duly executed as of the day of , 1997. MEDTRONIC, INC. By Its By Its By Its CL160-79 CITY COUNCIL LETTER Meeting of: July 28, 1997 I ' AGENDA SECTION: Consent NO. ~1~ ITEM: Block Party Request: Fred Zajac NO. 4926 Monroe Street N.E. ORIGINATING DEPARTMENT POLICE BY: M. Dugdale DATE: July 23, 1997 CITY MANAGER APPROVAL: BY: DATE: Attached is a block party request from Fred Zajac, 4926 Monroe Street N.E., to conduct a block party on Tuesday, August 5, 1997, from 6:00 P.M. to 8:30 P.M., with barricades blocking off Monroe Street between 49th Avenue and 50th Avenue and also 49V2 Avenue at Jackson Street. Tuesday, August 5, 1997, is National Night Out. RECOMMENDED MOTION: Move to approve request of Fred Zajac, 4926 Monroe Street, to block off Monroe Street between 49~ Avenue and 50th Avenue, and also 49½ Avenue at Jackson Street for a block party from 6:00 P.M. to 8:30 P.M. on August 5, 1997. 97-288 Attachment COUNCIL ACTION: REQUESTOR'S NAME: REQUESTOR'S ADDI~ESS: q9 ~ BLOCK PARTY REQUEST REQUIRING STREET TO BE BLOCKED DATE OF EVENT: TIME STREET SHOULD BE BLOCKED STREETS THAT SHOULD BE BLOCKED:. NOTE: (ATTACH MAP IF NECESSARY) THIS FORM MUST BE SIGNED AND RETURNED TO THE COLUMBIA HEIGHTS POLICE DEPARTMENT, POLICE CHIEFS OFFICE, 559 MII.I. STREET N.E., COLUMBIA HEIGHTS, MN 55421. THIS FORM MUST BE RECEIVED BY THE CITY ON THE MONDAY PRECEDING A CITY COUNCIL MEETING. CITY COUNCIL MEETINGS ARE HELD THE SECOND AND FOURTH MONDAYS OF EACH MONTH. YOU WILL BE NOTIFIED IF YOUR REQUEST HAS BEEN APPROVED. IF YOU HAVE QUESTIONS, PLEASE CONTACT THE POLICE C~F'S SECRETARY AT 782-2845. CITY COUNCIL LETTER Meeting of: July 28, 1997 AGENDA SECTION: Consent ORIGINATING DEPARTMENT: CITY MANAGER'S NO: 4 City Manager APPROVAL ITEM: Establish Dates/Times for Council BY: J. Student BY: MOTION: Move to establish Monday, August 4, 1997 at 8:00 p.m. and Monday, August 18, 1997 at 7:00 p.m. as dates and times for council work sessions to be held in the City Hall Conference Room. COUNCIL ACTION: -~R~ FI,~.~A,~.~SIAL SYSTEM ,07/24/97 t 4: 4 Check History 7/28/97-COUNCIL LIST GL540R-V05.00 PAGE 1 BANK VENDOR CHECK NUMBER AMOUNT AMERICAN LINEN SUPPLY CO BELLBOY CORPORATION CHANHASSEN DINNER THEATR CHISAGO LAKES DtSTRtBUTI CITIES 97 · _ MID"JE DEMARS/JILL EAGLE WINE COMPANY EAST SIDE BEVEFtAgE CO ELECTRONIC DATA STORAGE GAST/NORMAN ~IL. LETE/DOROTHY GRIGGS-COOF'ER & CO HENNEPIN PARKS HOHENSTEINS INC HUGH CHURCHHILL SEWER SE JOHNSON BROS. LIQUOR CO. k' JOH~SON F'APER & SUPPLY C KUETHFR DI~.. LARSON/JACKtE MARK VII DIST. M ! NNE~A SCO M I NTE R-WE I SMAN MN DEF'T OF REVENUE ~-' .... REA ..... MRF'A NORTH STAR ICE OFFICE DEPOT OLSON/KATHY PAUSTtS & SONS F'EPSI-COLA-7 UF' PETTY CASH - JANICE MCGH PETTY CASH - JOANNE BAKE PHILLIPS WINE ~ SPIRTS PINNACLE DISTR PORT/L t NDA F'F;IOR WINE QUALITY WINE & SPIRITS SAMS ~6510 SOFTWARE TAILORS STURDEVANT/JOE A THOMF'SO~J/DEB 66172 9.85 66174 5,6~I.6~ 66175 100.00 66176 157.50 66177 504.15 66178 2.820.00 66179 503.50 66180 16,951.36 66181 t69.95 6618-2 ok ~o ~ 66183 390.73 66184 180.19 ~ 29,00 66186 1,147.49 66187 53.25 66188 9.~7 66189 1,396.20 66190 125.00 66192 4,593.04 66193 180.36 ~=~_z~__ !3~5~2.65 66195 8.00 66196 20,766.61 ~61~-Y 2~.98 66198 9,913.56 66199 6,659.00 66201 60.00 66202 212.40 ~6203 455.48 66204 309.82 66205 508.90 66206 1,123.56 66207 100.00 66208 55.80 662~9, 2,~45.03 66210 ~ ~7.15 66211 261.66 &62-1-2 371.34 66213 5,629.28 66214 305.95 66215 1.6.99 66216 2,662.50 66217 26.95 07/24/97 14:4 Check History 7/28/97-COUNCIL LIST CITY OF GL540R-V05.00 PAGE BANK VENDOR CHECK NUMBER AMOUNT BANK CHECKINS ACCOU~T U S WEST COMMUNICATIONS WALLABY LANES & BOOMERAN WINDMEIER/JANE WINE M ............ S WORLD CLASS WINE AFSCME ANOEA-QOUNTY SOCIAL SERV DCA INC. DENTICARE GREAT WEST LIFE & ANNUiT ICMA RETIREMENT TRUST 45 MINN,=,:,OTA MUTUAL LIFE MN STATE RETIREMENT CYST NOR~ES-T~----~YROLL ~ PERA PERA - DEFINED CONTRIBUT PERA.L, IFE INSURAh!CE PERA POLICE RELIEF CONSO PRUDENTIAL LIFE !NSURANC STANDARD INSURANCE COMPA STATE CAPITOL CREDIT UN! UNION 49 UNITED WAY ASPEN MILLS, INC. BARNES/KEV!N BELL. BOY BAR SUF'PLY BELLBOY CORPORATION BERGFOF:D TRUCKING BROOKS/JIM CITY WIDE WINDOW SERVICE COCA-COLA BOTTLING MIDGE COLLOVA/ CARMELO DEHMER/~ULIE DURAY/RALPH EDWARDS/ALEXANDER C GENUINE PARTS/NAPA AUTO HAWEINSO~t/JEAN JOHNSON PAPER & SUPPLY C ~OLLY/DONALD KUEHN/-JEAN M.A ASSOCIATES INC MEDICINE LAKE LINES MINNEGASCO 66219 118.07 65220 27.87 66221 324. O0 66,:.~.,~ ,'~ 6. ,',' 66'..~2-~3 139. O0 66224 1,504.31 66226 817.97 66.%2-7 65.00 66228 2,434.21 66229 213.18 ~2-S,0 ,-, ..... O0 66231 4,093.50 66232 6,964.89 662-3-3 163.44 66254 1,003.00 66235 1,314.00 ~2'~7~ 127,292.43 66237 20,440.17 66238 94.62 ~2-~-~ 150.00 66240 1,211.63 66241 707.50 z ~ ,~,~,~ 57.~, 5 66243 733.70 66244 1,370. O0 ~ 590.00 66246 115.00 66248 384.16 662~9 5,,0. O0 66250 255.86 66,' ~ 1 9,606.78 66252 874.20 66,:5o 450.00 66254 24.50 66256 2,576.00 66257 19.80 662~s~8 15.29 66259 38.18 66260 594.52 66261 200.00 66262 615.88 66263 14.17 66~64 58 ~ 18 66265 41.01 66266 694.00 66,=67 1,710_ 51 Check History 7/28/97-COU~CIL LIST CITY OF COLUMBIA HEIGHTS GL540R-V05.00 PAGE 3 BANK VENDOR CHECKIN~ ACCOUNT MINTER-WEISMAN N S P NORTHWESTERN SERVICE INC PARTS PLUS QUALITY WINE & SPIRITS RUSTOM/DALE ..ST~R TRIBUNE TARGET - FRIDLEY VOSS {_IGHTING ABLE HOSE ~ RUBBER ACE AUTO PARTS ACE HARDWARE ACME TYF'EWRITER AID ELECTRIC SERVICE INC AIR TOUCH CELLULAR ALADDIN F'OOL & SF'A ALL AUTO GLASS ALL FIRE TEST INC AMERICAN A~ENCY IN~ AMERICAN LINEN SUPPLY CO ANDON ANOKA COUNTY LIBRARY AT & T WIRELESS SERVICES AT&T WIRELESS LONG DISTA BAKER & TAYLOR BAKER & TAYLOR ENTERTAIN BARNA GUZY & STEFFEN LTD BAUEP. BUILT TIRE & BATTE BERWALD ROOFING CO tNC BIFF'S, INC. BN SERVICES BOOKMEN INC/THE BOYER TRUCK PARTS BRAUN ZNTERTEC CORF' BRYAN ROCK PRODUCTS~ INC BUSINESS RECORDS CORP. CARPET CLEAN CATCO PARTS SERVICE CDP IMAGING SYSTEMS CENTRAL AVENUE RADIATOR CENTRAL POWER DISTRIBUTO CENTRAL STORES CHASKA..CHEMZCAL CO ZNC CHEMSEARCH CITY WIDE LOCKSMtTHING COCA-COLA BOTTLING CHECK NUMBER AMOUNT 66268 ~,492.91 66~'70 44.00 66271 236.48 66273 5,651.10 66274 204.15 ~6275 156.~4 66276 57.43 66277 19.60 682~2 ~. 80 66283 42.60 66284 513.91 862~5 85.00 66286 1,373.63 66287 166.31 66288 1!~.88 66289 875.28 66290 57.30 66~.9,~ 141.10 66293 4.26 66294 3!2.29 66295 16.00 66,~.96 1.78 66297 ~ ano ~ 66298 570.43 66299 2,266.96 66301 ! 64.00 66302 1,641.24 ~?S.-03 137..39 66304 372.84 66305 79.94 6~0~ !~944.00 66307 t,647.64 66308 4,260. O0 66'J09 30-q-. B5 66310 83.49 66311 88.00 66~!~-= 179.98 66313 204.48 66314 96.19 667,~-~5 33 = 44 66316 142.22 66317 107.33 x_6318- 433.50 07/24/97 14: 4 Check History 7/28/97-COUNCIL LIST CITY OF CeLUMBIA H£!SHTS GL540R-V05.00 PAGE 4 BANK VENDOR CHECK NUMBER AMOUNT COLE PUBLICATIONS COMP USA CONCEPT MICRO IMAGING CSC CREDIT SERVICES D J'S MUNICIPAL SUPPLIES D ROCK CENTER D.A.R.E. AMERICA DAKOTA FLYERS GYMNASTICS DEL VECCHIO/JOHN DENNY & KATHYS ACE HARDW DIAMOND VOGEL PAINTS DISCOUNT SCHOOL SUF'F'LY DOM!NO'S PIZZa EMBEDDE~ SYSTEMS EMERALD CLEANING SERVICE EUL, L CONCRETE PRODUCTS FLAIR FOUNTAINS FOCUS NEWSPAPERS GAYLORD BROS GENERAL REPAIR SERVICE GENUINE PARTS/NAPA AUTO seed MD/ DR GOPHER STATE ONE-CALL HIGHBRIDGE COMPANY WOLIDAY STATION HOME DEPOT HONEYWELL HOOVER WNEEL ALIGNMENT I HOWE YMCA/EMMA B HYDRAULIC SPECIALTY COMP IBM CORPORATION IKON OFFICE SOLUTION INDEPENDENT SCHOOL DtST INSTY PRINTS INTERSTATE DETROIT DIESE tF'C PRINTING ~ H LARSON ELECTRIC COMP ~!NDRA/PATRtCIA JOHNSTONE SUPPLY CO K MART KALLESTAD/GARY LAGERQU!ST CORP. LANO EQUIPMENT CO. 66319 231.75 66320 244.50 66321 t,202.40 66322 68.13 66.3-2-3 o ~.~ ~o 66324 10. O0 66325 48.30 ~6 4 7.87 66327 937.61 66328 350.00 · ~-?~o -753.1S 66350 100.00 66331 270.90 66333 685.86 66334 1,545.28 ~ ~-~,~ !00.00 66356 708.00 66337 399.38 663~8 439.55 66339 55.38 66340 ~ 1~. 10 6634! 27.55 66542 1,023.57 66343 2.96 66344 120.00 66345 267.75 66346 " 5 I~.9~ 66347 !~ .85 66348 53.09 66349 15,366.00 663-~ :. 66351 1,060.00 66352 35.63 66355 !95.00 66354 17.57 66355 1,070.52 66~ 42.89 66357 164.69 66358 247.96 66359 156.56 66360 35.00 66361 50.95 66~62 136.80 66363 110.00 66364 1,066.00 66T~65 170.01 ~07/24/97 14:4 Check History 7/28/97-COU~IL LIST GL540R-V05.00 PAGE 5 BANK VENDOR CHECK NUMBER AMOUNT LEEF BROS. LYNDE COMPANY MAYER DISTRIBUTION MC COL. LISTER & CO MECA SPORTSWEAR MENARDS CASHWAY LUMBER-F METROPOLITAN COUNCIL WAS MIDWAY INDUSTRIAL SUPPt_Y MIDWEST ASPHALT CO, MIDWEST LOCK & SAFE MINAR FORD MINNEAPOLIS ER~JIF'MENT CO MINNEAPOLIS FINANCE DEF'T MINNEAPOLIS SAW CO. MINNESOTA SUN PUBL.!CATtO MINNESOTA ZOO NTt DISTRIBUTING NATIONAl_ ALL, lANCE YOUTH NOBLE NURSERY NORTHERN WATER WORKS SUP OHLIN SALES, INC. OWENS SERVICES CORP PAN OIL INC PARK SUPPLY INC RADIO SHACK RENTAl.. RESEARCH SERVICES ROAD RESCUE ROBINSON LAN~SCAF'ING INC RUFFRtDGE-JOHNSON EQUIP. SCOTT/VERNON SCOTTSDALE INSURANCE CON SEARS COMMERCIAL CREDIT SERCO LABS SIMON & SCHUSTER STAGE 2 PREVIEWED VIEDOS STEEL. TECH INC SUBURBAN PROPANE SUBURBAN TIRE SERVICE SYSTEMS SUF'PLY iNC. TARGET STORES-ACCTS REC 66366 364.08 66368 750.23 66369 153.36 66371 88.38 66372 240.93 66374 57,407.00 66375 123.01 66376 158,477.84 66377 63.90 66378 38.29 66380 83,904.38 66381 4.50 66~8~2 66383 224.40 66384 355.20 ~63~5 3.20 66386 52.48 66387 18.95 ~oo 158 66389 112.22 66390 ~ 338.74 66~'-91 342.~0 66392 38.19 66393 849.53 66594 41.48 66395 292.48 66396 3.49 ~397 !34.72 66398 258.00 66399 12.20 66400 83.07 66401 246.94 66402 638.19 664~Q3 5,000.00 66404 473.00 66405 425.50 ~6406 25.48 66407 404.04 66408 282.23 66409 22_90 66410 1~.97 66411 343.84 66412 599_35 FINANCIAL SYSTEM i ~7/24/97 14:4 Check History 7/28/97-COUNCIL LIST CITY n= ~n~,~oT^ UCT~UTO GL540R-V05.00 PAGE BANK VENDOR CHECK NUMBER AMOUNT TELEPHONE ANSWERING CENT 66413 105.15 TOWN & COUNTRY OFFICE CL 66415 5,257.61 TRACY PRINTING 66416 191.40 TREADWAY GRAPHICS z~? ~ z~ 9~ TRUGREEN CHEMLAWN 66418 277.08 TUBBS/MARSHA 66419 87.4~ UNIFORMS UNLIMITED !NC ~420 97~.51 US FILTER/WATER PRO 66421 5~408.00 VAN-O-LITE 66422 11.12 WARF:EN, GORHAM ~ LAMONT, ~425 82.75 WEST PHOTO 66424 ~7.46 WEST WELD 66425 27.05 WILL.~AMS ~TEEL G HARD"JAR &64~ ~.51 WW GRAINGER 66427 244.47 ZARNOTH BRUSH WORKS~ INC 66428 946.82 Z!EGLER !NC ~427 15.26 ~RC FI.?~f~'CIAL SYSTEM ~7/24/97 14:4 Check History 7/28/97-COUNCIL LIST CITY OF ~'~^ u~oo~o GL540R-V05.00 PAGE 7 BANK VENDOR CHECK NUMBER AMOUNT 841 ~ =° RECORDS F'RINTED - 001285 j~RC FI.%~,NCIAL SYSTEM ~07/24/97 14:49:37 FUND RECAF': 202 ~os 225 ~40 ~ 50 274 ~415 ~01 602 603 ~09 52 710 720 883 BB4 885 887 ~90 Check History COMMUNITY DEVELOPMENT FUND 2,7~7.88 ANOKA COUNTY CDBG 5.00 ECONOMIC DEVELOPMENT AUTH 68.89 SECTION 8 5.50 ~TATE AID MAINTENANCE 945.87 PARKVIEW VIL.LA SOUTH 7~588.52 CABLE TELEVISION 5,084.98 RENTAL HOUSI~JS 773.50 LIBRARY 4~827.tI COL HGHTS AFTER SCHOOL ENRI 6~192.90 ~,~ ~c,n~c~ ~ 6!5 ~ COPS GRANT - OVERTIME 16.99 LOCAL LAW ENFORCE BLK GRANT 755.11 CAPITAL IMF'ROVEMENTS 54.00 DOWNTOWN MAINTENANCE 162.76 CAPITAL IMPROVEMENT - PIR 159,098.73 t,IAT~B tfTTtTTV OO ~"~5 SEWER UTILITY 62,573.49 REFUSE FUND 128.58 LIQUOR 195,595.10 SEWER CONSTRUCTION FUND CENTRAL GARAGE ENERGY MANAGEMENT DATA PROCESSING CONTRIBUTED PRO~ECTS-GEN INSURANCE ESCROW FLEX BENEFIT TRUST FUND COMPENSATED ABSENCES TOTAL ALL FUNDS 1,948.65 5,918.08 26,3~5.07 447.29 400.00 ~ 58~.~8 171,342.38 '17,769.20 BANK RECAF': NAME CHECKING ACCOUNT TOTAL ALL BANKS 841,541.59 DISBURSEMENTS 841,341.59 TO CITY COUNCIL JULY 28, 1997 *$iqned Waiver Form Accompanied Application 1997 BUSINESS LICENSE AGENDA APPROVED BY POLICE DEPT. SINGLE EVENT CLUB ON SALE BEER *Immaculate Conception Church cio Jane A. Bona LICENSED AT 4030 Jackson St. N.E. for Funfest, August 9-10, 1997 FEE WAIVER BUILDING OFFICIAL CONTRACTORS *O. Bennett & Sons, inc. 3300 County Rd. 10, #110 POLICE DEPARTMENT GAMES OF SKILL *Immaculate Conception Church c/o Jane A. Bona 4030 Jackson St. N.E. 6 video games for Funfest, 8/9-10197 REQUEST WAIVER POLICE DEPARTMENT TOBACCO PRODUCTS Salim Ali d~bla Hot Deals 3952 Central Avenue N.E. 30.00 license.ag July 14, 1997 City of Cotumb~a Heights 590 40th Avenue N.E. Columbia Heights, MN 55421 Dear City Official(s): Enclosed are license applications necessar,! fa' our annual Fun Fest at Immaculate Conception Catholic Church. We are requesting the fees be waived as we are a non-profit a'ganization. Thank you for your assistance. Sincerely, Jane A. Bona Co-Chair,Fun Fest Committee 5236 Horizon Drive Fdcgey, MN 55421 572-1023 CITY COUNCIL LETTER Meeting of: July 28, 1997 AGENDA SECTION: ' C 0 N S E N T ORIGINATING DEPT.: CITY MANAGER NO: ~ Recreation APPROVAL NO: t,~ ,.. A ° t 6 DATE: July 24, 1997 Carol Menken of Medtronic, 800 53ra Ave. N.E., Minneapolis, Minnesota, is requesting permission to serve 3.2 beer at the Medtronic picnic on Thursday, August 14, 1997 from 8:00 a.m. to 5:00 p.m. This item has been approved by the Park and Recreation Commission at their meeting of July 23, 1997. This item was previously approved for a different date, The date was changed, RECOMMENDED MOTION: Move to approve the request by Carol Menken of Medtronic to serve 3.2 beer and non- intoxicating wine coolers in Sullivan Park on Thursday, August 14, 1997 from 8:00 a.m. to 5:00 p.m. COUNCIL ACTION: C ,TY OF COLUMBIA HEIGHTS 590 40TH AVENUE N.E., COLUMBIA HEIGHTS, MN 55421-3Et78 (6! 2) 782-2800 TDD 782-2806 July 17, 1997 Thomas Hosch 4716 Sixth Street Northeast Columbia Heights, Mn. 55421 Dear Tom: The Columbia Heights City Council would like to present you with a plaque in recognition of your thirty-eight years of dedicated service as a City employee. The presentation is scheduled for 7:00 p.m. at the July 28th City Council Meeting. If this date is not convenient, please advise Jo- Anne Student and we can reschedule. You are to be commended on your record of exemplary service. It is a record of which you can be very proud. Sincerely, Walter R. Fehst, City Manager WF/j s THE CITY OF COLUMBIA HEIGHTS DOES NOT DISCRIMINATE ON THE BASIS OF DISABILITY IN EMPLOYMENT OR THE PROVISION OF SERVICES EQUAL OPPORTUNITY EMPLOYER CiTY OF COLUMBIA HEIGHTS (!-') 590 40T:~ AVENUE N.E., COLUMBIA HEIGHTS, MN 55421-3878 (612) 782-2800 TDD 782-2806 July 17, 1997 Gary Larson 4450 Arthur Place Columbia Heights, Mn. 55421 Dear Gary: Your service on the Planning and Zoning Commission is sincerely appreciated. Your willingness to serve the community as a member of this commission is commendable. At the July 28, 1997 City Council Meeting, the Council would like to recognize your service with a presentation of an engraved clock. The presentation will be shortly after the meeting is convened at 7:00 p.m. If your schedule does not accommodate your being present at this meeting, please advise Jo-Anne Student, the Council Secretary. Thanking you for your service, I am, Si~erely,. ~ ~.~ayor Joseph Sturdevant CC: M. Szurek, Commission Chairperson K. Pepin, Staff Liaison JS/js THE CITY OF COLUMBIA HEIGHTS DOES NOT DISCRIMINATE ON THE BASIS OF DISABILITY IN EMPLOYMENT OR THE PROVISION OF SERVICES EQUAL OpPortUNITY EMPLOYer CITY COUNCIL LETTER Meeting of: July 28, 1997 ORIGINATING DEPT.: CITY MANAGER NoAGENDA:, --~ SECTION6TItER ORDINANCES/RESOLUTIONS Planning and Zoni~' ~ APPROVAJ~ ITEM: Application For Metropolitan BY: Ti ns Goodro~d~/ BY: Council Local Planning Assistance Grant NO: The Community Development Department ~repared and submitted an application for a local planning assistance grant. Attached is a copy of the application and a resolution showing support for it. ~ The Metropolitan Council has made funds!available, in the form of a grant, to cities to assist with the completion of the 1998 Comprehensive Plan Update required by December 31, 1998. The Metropolitan Land Planning Act requires this update to be completed. Staff has asked Northwest Associated Consultants to do a preliminary review of our current Comprehensive Plan and Zoning Ordinance to get an idea of costs for preparation of this application. He has responded with a cost estimate of $20,000 to $25,000 to complete the update depending on the amount of City Staff involvement. The entire comprehensive plan will not need to be redone, however, there are numerous missing elements. One sectic, n that Staff is interested including is on economic development. This section will contain plans and policies to guide economic development and specific plans on a site by site basis. This section may also include a guide for creative use of existing buildings for commercial/industrial redevelopment and identify Brownfield Redevelopment areas. The consultant also reviewed the Zoning Ordinance in which he felt was very outdated and could use a complete review. A concern staff has is that by 1998 the Comprehensive Plan and Zoning Ordinance' must coincide. If the two documents differ in any way, the Comprehensive Plan supercedes the Zoning Ordinance. Staff is aware of some sites where the Zoning map differs from the current comprehensive plan in which these updates can correct. The application states areas that staff plans on reviewing and updating of the Comprehensive Plan. Financial assistance will be helpful to do a complete review and also develop a plan that can truly guide the community and be used as a tool for Councilmembers, Commissions and Staff alike. In addition to this grant application the City of Columbia Heights along with Coon Rapids, Crystal, Brooklyn Center, New Hope, and Robbinsdale are part of a joint grant application to the Metropolitan Council as part of the same program (at $3,000 each) to complete a study on life cycle housing prepared and submitted by Nancy Reeves and Associates. This grant proposal was discussed at a North Metro Mayors Association meeting and agreed upon by all the City Managers. Information on this application is included with a second Resolution thatlneeds approval by the City Council. The life cycle housing study provides iinformation on the housing types and costs that will be needed in a City of group of Cities in the future. This study will be incorporated into the Housing Section of the Comprehensive Plan. The City of Columbia Heights will be required to provide $1,000 in matching funds for this separate application, i We do not expect that this separate application will interfere with our primary application. If it does we will opt to withdraw the City from the multi-City grant. RECOMMENDED MOTION: Move to waive the reading of Resolution #97-43 as more than ample copies are available to the public. Move to approve Resolution #97-43, a Resolution authorizing Application for Metropolitan Council Local Planning Assistance Grant. RECOMMENDED MOTION: Move to waive the reading of Resolution ~97-45 as more than ample copies are available to the public. Move to approve Resolution #97-45, a Resolution authorizing Application for Metropolitan Council Local Planning Assistance Grant. COUNCIL ACTION: ccag0797.no6 ATTACHMENT B CITY OF COLUMBIA HEIGHTS RESOLUTION AUTHORIZING APPLICATION FOR METROPOLITAN COUNCIL LOCAL PLANNING ASSISTANCE GRANT RESOLUTION 97-43 WHEREAS, the Metropolitan Council has been authorized to provide planning assistance grants to assist local communities in meeting comprehensive planning requirements; and WHEREAS, the City of Columbia Heights is required by State Statute to complete an update to the Comprehensive Plan by December 31, 1998. NOW, THEREFORE, BE IT RESOLVED THAT, the City of Columbia Heights has prepared an application for submission requesting $18,750 to complete the Comprehensive Plan Update according to the Metropolitan Land Planning Act and the Metropolitan Councils guidelines with funds available through the Metropolitan Council; and furthermore, that $6,250 has been budgeted and appropriated through local funds of the City of Columbia Heights as the required local match for said update. Passed this 28th day of July, 1997. Offered by: Seconded by: Roll Call: BY: Mayor Joseph Sturdevant Jo-Anne Student, Council Secretary CITY OF COLUMBIA HEIGHTS (!") ! ~90 40TH AVENUE N.E:., COLUMBIA HrIGHTS, MN ~$A,21-3878 (612) 782-2800 TOO 782-2806 (~llO~ D~wT~)~E~i~ D~TLT]~H~ July 16, 1997 Linda O'Connor, Office of Local Assistance Metropolitan Council Meats Park Centre 230 East 5th Street St. Paul, MN 55101-1634 RE: LOCAL PLANNING /%SSISTANCE GRANT APPLICATION Dear Ms. O'Connor: Enclosed please find Columbia Heights application for a Local Planning Assistance Grant to complete the 1998 Comprehensive Plan update. Included in this application is some background information on existing conditions in Columbia Heights and areas of redevelopment the City would like to accomplish. A work plan and budget has been prepared (Attach_merit A) outlining the items the City plans on including in the update. A Resolution has been prepared (Attach- ment B) providing evidence of support from the Mayor and City Council to submit this application. This Resolution will be approved and signed at the July 28, 1997 City Council meeting. A signed original will be sent to you promptly on Tuesday, July 29, 1997. Finally, a copy of the Columbia Heights Housing Plan submitted for the Livable Co~unities Act is included for your review. If you have any questions regarding the application, or need further information, please call me at 782-2856. Thank you for your assistance in this process. Sincerely, Tina Goodroad Planner c: File THE CITY OF' COLUMBIA HEIGHTS DOES NOT DISCRIMINATE ON THE BASIS OF DISABILITY IN EMPLOYMENT OR THE; PROVISION OF SERVIGES ~'~UA-- OPPO~TUNI~'F ~PLOYER LOC~,L P~NG ~S~ST~,I~CE G~ ~,PPL~C~T~ON Introduction WHERE WE ARE AT! Columbia Heights is an inner-ring suburb situated in Southern Anoka County. The City encompasses an area of 3.5 square miles and has a population of 18,910 with 7,766 households. Columbia Heights is a northeast suburb of Minneapolis and is only five miles from downtown Minneapolis and 15 miles from downtown St. Paul. Columbia Heights is a fully built City with only scattered sites available for single family housing. All community areas are already built up. The existing housing stock requires an ongoing redevelopment strategy to assist with maintenance. The business market in Columbia Heights is mostly made up of commercial/retail, offices and professional uses and industrial. The majority of the business zoning constitutes some type of retail and office use. Our major corridors are a mix of these two. The corridors have some vacancies and abandoned business storefronts. This area also struggles because of the existence of non-conforming houses still standing in these retail/commercial zoned areas. These non-conforming structures limit, at times, expansion of businesses. The Industrial zoned area is located in the southern portion of the City between Central and University Avenues. Most of the struc- tures are older pole barn type architecture that are often not desired by newer businesses. The City is committed to work on redeveloping the aged housing stock at the same time as creating ways of maintaining and expanding the existing business market. The Comprehensive Plan update will greatly aid in this process as we include an Economic Development Plan and policies into the update. Redevelopment is a major concern in Columbia Heights. As the City is completely built, redevelopment is the only way we can promote a stronger business climate leading to strong and more viable community. The existing condition of major redevelopment areas include vacant, deteriorating and non-conforming structures along Central Avenue and 40th Avenue, both of which are significant commercial areas. These vacant structures limit business expansion possibilities that may exist on either side of the vacant property making it .impossible for growth. .Non-conforming homes are also intermingled on these streets further complicating matters. The 'existing stock of both commercial and industrial structures has also aged putting a limit on how effective the City may be in attracting new businesses. The City does not have commercial/ industrial design standards or ordinances to effectively address some of the problem properties'. WHERE WE ARE GOING! Due to the redevelopment concerns and aging housing stock Columbia Heights is eager to take a proactive step through an update of the City's Comprehensive Plan and revision of the Zoning Ordinance. These updates will serve to create a vision and some planning tools to improve the livability of the community. ~omDrehensive Plan Update Through the Comprehensive Plan Update we will be working with~ a consultant to update the Comprehensive Plan and revise the Zoning Ordinance to ensure the two are consistent. With redevelopment being a priority the Comprehensive Plan update will include a new section for Columbia Heights specifically on Economic Development. In this section policies to guide economic development will be included along with some specific redevelopment plans on a site by site basis. Included with this will be the completion of a market survey of retail, service and office markets. And finally, the City is exploring the possibility of having the consultants develop a master plan with details of building designs, site planning, architectural standards and streetscape plans. The Economic Development section will also guide the City for the creative use of existing buildings for commercial/industrial redevelopment. This may include creating incentives for use of these properties, rezoning certain areas to make them more desirable and updating Zoning Codes that will aid in the use of a structure or land. in addition this Economic Development section will address how to identify Brownfield Redevelopment Areas and include plans/policies for dealing with them. The latest Comprehensive Plan Update, completed in 1992, listed 15 areas of special interest without detailed directions for each site. With this new revision staff, community members, Planning and Zoning Commission, City Council and the consultant will review each of these and determine a plan for development or redevelopment of them. These special interest areas are located at some crucial and potential redevelopment areas including the industrial district, University Avenue frontage road, 40th Avenue Corridor and Central Avenue Redevelopment area. Plans for each of these 15 areas will provide direction for future development and guide the decision making processes of the Planning and Zoning Commission and City Council. Zoninq Ordinance UDdate A major task in the overall Comprehensive Plan Update will be revising the Zoning Ordinance and Zoning map to ensure complete consistency. Staff has identified several areas where the two documents contradict each other. Columbia Heights is interested in working with a consultant on a complete revision and update to the Zoning.Ordinance, including the necessary steps to make it consistent with the Comprehensive Plan. The Columbia Heights Zoning Ordinance is over 20 years old and is in need of revision in numerous areas. Permitted and Conditional Uses in all districts need updating and basic site planning requirements need to be incorporated into the code. Design standards may also be included for specific zoning areas such as the Central Business District to aid in the redevelopment process. These same standards will be considered for the industrial district to control the appearance and provide a tool for improving the existing and future industrial structu~:es. This Zoning Ordinance revision is a major, but vital, undertaking the City is considering at the same time, and by the same consultant as the Comprehensive Plan Update. ~ervices/activit~es DaSd for by the Columbia Heights has received a bid from Northwest Associated Consultants for the Comprehensive Plan Update and Zoning Ordinance revision. The estimated cost for the Comprehensive Plan Update only is $25,000 depending upon the level of staff involvement. A contract has not yet been executed with this company thus an exact figure has not been approved. The figure of $25,000 does assume a high level of staff involvement in inventory work and through the public meeting and hearing process for both Planning and Zoning Commission and City Council. The City will also utilize GIS mapping available in the City's Engineering Department. A more detailed description of activities that will be completed in the Comprehensive Plan update and budget is included in the work plan. ADDlicant's Need. In the 1997 Community Development Department Budget $12,000 was budgeted for expert and professional services. However, of this total $5,750 has been or will be used on audit and other professio- nal fees. Thus, only $6,250 is available for the Comprehensive Plan Update. Columbia Heights is requesting $18,750 to complete the required Comprehensive Plan Update. SiGnature Authority for Grant A~reement Walter Fehst, City Manager ATTA~A woax PLAN COMPREHENSIVE PLAN UPDATE AND ZONING CODE REVISION ~rO9 ect An update of the City of Columbia Heights Comprehensive Plan and revision of the Zoning Code, to make the two documents consistent, will be prepared under the guidelines of the Metropolitan Land Use Planning Act and data requirements of the Metropolitan Council. Tasks to be completed are as follows: Determine requirements of COmprehensive Plan.and items that need comDletion. The existing Comprehensive Plan (1992) and Zoning Ordinance (1977) for Columbia Heights will be reviewed for missing elements based on Metropolitan Land Use Planning Act Require- ments. An inventory will be completed by City staff and the consul- tant to determine which elements are missing or need revision in both documents. The Metropolitan Council staff will be consulted with any questions. 2. Research and Analysis. To complete this task research will be conducted and data collected to bring the Comprehensive Plan and Zoning Ordinance into conformance with the Metropolitan Land Use Planning Act and Metropolitan Guidelines. To complete this item the following subtasks will be conduct- ed: ae City Engineering Department will complete an updated Zoning map with land use density figures and percentages. Information will be coordinated with the City's Engineer- ing Department for the following items: existing Local Water Management Plan, water supply plan, and existing transit and rail maps. Ce Information will be coordinated with Community Develop- ment staff for the following items: housing statistics, copy of the Housing Plan for provisions of the Livable Communities Act and Census and other demographic data to bring the Comprehensive Plan into compliance. De The consultant and staff will determine what amount of research each party will complete to assist in this area. Preparation of Draft Comprehensive Plan .and Draft Zonin~ This item involves complete preparation of an update to the City's Comprehensive Plan and revisions to the Zoning Ordi- nance'in accordance with provisions of 'the Metropolitan Land Use Planning Act and Metropolitan Council guidelines. The document will be written and prepared, including copies for boards/commissions and City Council by the consultant.' The following areas will be addressed and revised or added to this updated edition Heights Comprehensive Plan.: either updated, to the Columbia A) Policies and Background. B) Regional Blueprint and Growth Strategy Criteria - Columbia Heights is within the redevelopment area. c) Land Uses - Update land use maps with figures. land use and density D) Regional Systems - Local Water Management Plan. - Water supply. - Transportation. E) Innovative and Creative Planning - Life-cycle Housing. - Livable Communities Act Housing Plan. Economic Development - Policies and guidelines for redevelopment. - Site specific redevelopment areas and plans. - Transportation and redevelopment related activi- ties. - Strategies to create development funds for existing and new businesses and to increase number of jobs. G) Housing - Policies and procedures for retaining and redevel- oping existing life cycle housing. - Policies, through Zoning Ordinance revisions, to allow flexibility' in making existing housing stock attractive to first time homebuyers. - Strategies to provide more Life Cycle Housing in the area of senior housing. - Livable Communities Act participation and Housing Plan. e P.~annina' and Zonina Commission and City Counci% Rev%ew of Draft Comprehens%ve plan and Zoninq Ordinance The draft of each document will be reviewed by first the Plan- ning and Zoning Commission and then the City Council. Public meetings where citizens will have the opportunity to provide input and respond to proposed plans will be held prior to public hearings. Required public hearings will be conducted during these review processes. Citizen participation will be welcomed during public hearings. Changes and suggested revisions will be incorporated into the final plan. PreDaration of,.F~na~ ComD~ehensive Plan and Fina~Zonin= Code. The draft version will be revised and a final document of the Comprehensive Plan and Zoning Ordinance will be presented to the Planning and Zoning Commissioners and City Council. Once Planning and Zoning approval and City Council approval is given the required seven copies of the Comprehensive Plan will be submitted to the Metropolitan Council for review. If the Plan is viewed as incomplete then the staff and consultant will work together to provide any missing element and informa- tion. The consultant will assist the City in moni-toring the Metropolitan Council's review and approval of the Plan. BUDGET COMPREHENSIVE PLAN UPDATE WORK PLAN ITEM COST Inven=ory/Research $ 7,500 Policy Development 2,500 Preparation of Draft & Final Plan !0,000 Approval of Plan and Implementation 2,500 Start Up Plan, Execute Site Specific Plans 2,500 TOTAL $25,000 ATTACHMENT B CITY OF COLUMBIA HEIGHTS RESOLUTION AUTHORIZING APPLICATION FOR METROPOLITAN COUNCIL LOCAL PLANNING ASSISTANCE GRANT I~ESOLUTION 97-43 WHEREAS, the Metropolitan Council has been authorized to provide planning assistance grants to assist local communities in meeting comprehensive planning requirements; and WHEREAS, the City of Columbia Heights is required by State Statute to complete an update to the Comprehensive Plan by December 31, 1998. NOW, THEREFORE, BE IT RESOLVED THAT, the City of Columbia Heights has prepared an application for submission requesting $18,750 to complete the Comprehensive Plan Update according to the Metropolitan Land Planning Act and the Metropolitan Councils guidelines with funds available through the Metropolitan Council; and furthermore, that $6,250 has been budgeted and appropriated through local funds of the City of Columbia Heights as the required local match for said update. Passed this 28th day of July, 1997. Offered by: Seconded by: Roll Call: BY: Mayor Joseph Sturdevant Jo-Anne Student, Council Secretary APPENDIX A APPLICATION FOR LOCAL PLANNE~G ASSISTANCE Nlllle Of Commlllgt? City of Columbia Heights Name of Conzac: (Conwa¢: Ad.minisw~:or) Kenneth R. Anderson, Community Development Director Address 590 40th Avenue N.E. (Ci~, Z~p) Columbia Heights, MN 55421 Telephone and 782-2855 GRANT ~MO%~T REQUESTED $18,750 · Does yom' ¢ommu~iW ~ctude ~e Urb~ R~e? t · is yo~ ¢o~umU ~4~i~ ~e Redeveiop~n~ .%~a or 7~. Ring? Redevelopment =; -.~o~,~' o~-$~~ ...... ~z~,;~~~~~- [ ,-~;::.(~,' ~ ~'~-~'- ~/'~:~=i~t~%~~~::~r~ ..... .l;-.~:~:;~,,.~/~r- ~ · Do you have Regional Waszewaxc Inflow and Inf~umnon !b~dua/on No Oo~_!s? · .Aze you r:quir~d ro prepar~ a L~I War~r, Manage:hen: Plan? ] Yes Have you adopted Transporm:ion Ini:ia:ivcs? (Trails, Tr-ansi% Park and No Ride, Will you include Compac~ Design and Mixed Use Deveiopmcnt? · Will you include Life Cycle !-Iousmg? I -Rehfiomship to Ecou~i~.D....eveI.opmenr.: ... · . - ,::.~:i%ili~.':,J"-':a' -:- . . .; :-"r..;..-_l--.ilv:.~.!.,q~--.:~-~L~a.:~_-.----.:-~__:.-. .... C3. po~_~lepo_m__~_) ",;-.i:~--.-.:'.-'.:". ....... · . ---' -?,: ...... ==.???---~,-~-~-:.=:. Will you in¢tucl¢ Economic Dcvetopm~n~ m Transpormmion and Transk Corridors? No · Will you include Economic Redeveloping, n: Plans or Policies? Yes · Will you identify. Economic Devetopmen: in Brownfield P. edevclopmen: Yes APPLICATION FOR LOCAL PLANNING ASSISTANCE GRAMT .... iv" ... '~ ";:' . ' .-'-:....:.".-_::i-.~.-'~ ir..J!~:~::~?:'?,~~i.~:,~.~.i~:~,,=~,:.,.,~._~z~=_-~~r~="~"'~:~-~ · ' · ' Yes · '~flll yO~ 0~:~ p~uv/de oppo~l:/~ for Lif~ Cy¢l~ I-7oL%~g? , Yes · Will.you d~v~lop, and ~~ a plan m ~ mm/d~velolzmmt d==i~:s I conm.vmn~ vafa ~he Ae~or~ ~/~-~?. I No · ' ' .More~3 Yes Yes smfl%=-son indicar~-d below. $18,750 Be sure to inclade the following information: · Indicar~ z~mc and ~r.l¢ Of ciD' officials'or sm,~having s/~-~ aw~horiD' for the Please subm/t application to: .." Linda O'Connor, O~l~ice of Local Assis'mnce Me~-opoLimm Co~n~I, M~zs Park C~ .~ Telephone (612,) 602,-1098 6 DRAFT HOUSING GOALS AGREEMENT METROPOLITAN' LIVEABLE COMMUNITIES ACT PRINCIPLES PRIN~: Th~ City of Columbia H~ights supports: 1) The development of housing types for people in all stages of the life cycle, with particular emphasis on atlditionai seni housing opportunities and owner-occupied housing that is more consistent with metropolitan/sut:u.eoan average values. 2) Housing redevelopment activities that promote a balunc~ housing stock within the Metropolitan Council's benchmark rang of afforetability, life style, and density. ( 3) Principles that assur~ that the City's various housing programs continue to accommodate people at all income levels, racJ groups, or ethic backgrouncls. 4) The promotion of redevelopment activities that diversify the tax base, max/mize land use utilization, and at the same resp~t the natural environment. 5) An emphas/s on housing activities that serve to reahabilitate the vast owner-oc~upied--~ffordabie housing resources alreax ex/sung in the city. 6) Where feasible, establish rental reahabilitation prograrn~ ~irnecl at stab/]!7.i~g and improving the conditions of the vast afforda~ rental housing resources, ah-eaSy existing in the city. GOALS: To carry out the above housing principles, the City of Columbia Heights agrees to use benchmark indicators for communities of sim.il locat/on and stat~ of development as affordable and life-cycle housing goa. is for the per/od 1995 to 2010, and to make its best effort given mar~e: conditions and resource availability, to maintain an index within the benchmark ranges ~or affordability, life-cycle ay A.ffordability Owne.mhip 96% 77-87% 86% Rental 58% 45-50% 49% Life-Cycle Type (Non-Single Family D~rached) 36% 33-41% Owner/Renter Mix 68/32% (64-75)/ (25-36)% Density Singte-F, rn~y Detach~ I 4.0/acre 2.3-2,9tax:re 38% 75125% 3.91acre Multi~arnily ' - ' -' 22/am'e 13-1$/ac~e 21/ac~ To achieve the above goals, the ~W. 'of Columbia I~ightz el~c~s tn panicipam in the Metropolitan Liveable Communities Ac~ Lo~ Housing Incentives Program and will prepar~ and submit a plan to the Melropolitan Council by June 30, 1996, indicating the actior it will take to carry out the above goals. ~y0r ~' ' D~ T2~L~. OF CO~NTS C£=y of Columbia Heigh=s Housing Plan ............... Communi=y Profile · Three Year Housing Ac=ion Plan ................... A. Housing Assis=ance Progr~=s ................. B. Housing Develogmen= Programs ................. C. Housing Main=enance, Rehabili=a=ion & Redevelopmen= Programs. Summary Table of Housing Ac=ion Plan Programs 1 1 6 6 8 9 ........... 12 The City of Col,~hia Heights is currently completing a housing study which analyzes .t_he social and economic factors of t. he con-unity, as well as t. he condition of =he housing stock. A windshield survey was completed during t~he s-~er of 1995, which rated all housing wit. hint-he City. As the housing study is not yet completed in final form, an overview of Columbia Heights follows, which addresses community factors related to affordable housing. Columbia Heights is an inner ring suburb situated in southern Anoka County. The City encompasses an area of 3.5 square miles and has a population of 18,910 with 7,766 households. ColLz~bia Heights borders Minneapolis on t. he south and is only five miles from downtown Minneapolis and 15 miles from downtown St. Paul. Columbia Heights is a fully built inner-ring City with only scattered sites available for single family housing. Existing housing stock requires an ongoing redevelopment strategy.to assist with maintenance of the housing stock. The City is experiencing an increase in age oft_he population with a reduction in the number of households. Columbia Heights compares very poorly to the Metro Area and Anoka County in terms of median income levels. The median household income in Columbia Heights is $30,469 compared to Anoka County at $40,076 and t_he Metro Area at $36,678. Another factor to consider is that while Columbia Heights ranks poorly in terms of comparison of income with the County, Anoka County also has the lowest per capita income in the seven county Metro Area. Income levels of households in Columbia Heights shows that 26.6% earn iessthan $17,500 and another 22.3% earned between$17,500 and $29,999. This a~ounts to 48.9% of the households in the City earn less than $30,000 a year. These statistics indicate that nearly half of the households are deemed Iow income and a quarter are considered lower income. Columbia Heights has a high percentage of its' residents considered to be living in poverty conditions. Of the six income categories of poverty, Columbia Heights rated higher than Anoka County and the Metro Area in all cases. As mentioned earlier, Columbia Heights is experiencing an age migration; The City has seen large losses (since 1980): in t, he ages 6-17 and 18-24, 32% and 3S%, respectively. The reduction in these age groups illustrates a migration of families with children out of the City. The only large increase was in the age group of over 65 (46%). 1 Housing in Columbia Heights is very affordable. The median value of homes is $73,600 (1990 Census) which is lower than other "inner ring" suburbs. The 1990 median value of owner occupied housing units in =he Twin City MetroArea was $89,211. This was higher than the median value of Anoka County which is $88,880. Affordable 'housing has been deemed by t. he Federal Department of Housing and Urban Development to be housing that costs no more than thirty percent of a household income. Using t_he Metro Median household income level of $36,678, a Metro median home value benchmark has been established. In order to reach a median income value of $36,678 an affordable median value house in the Twin Cities Metro Area cannot exceed $110,000. The Columbia Heights median housing value is more than $35,000 below t_he Metro benchmark figure. The City also well exceeds the benchmark established by the Metropolitan Council for providing affordable owner-occupied and rental housing. The Metropolitan Council uses a benchmark of ?7°87% for affordable-owner-occupied and 45-50% for affordable rental. The City currently indexes 96% and 5S%, respec=ivelyo There is a substantial number of households, both owner and renter occupied which are paying over 30% of their income for housing cost. According to 1990 Census data, 11.7% of all owner occupied households are paying over 30% of their income for housing, while 31.7% of renter occupied households are paying over 30%. Columbia Heights exceeds the Metropolitan Council benchmarks determined for life cycle housing and owner to renter mix of housing. Life cycle housing issues address t_he need for different types of housing to accommodate all people in a co~unity. Varying age groups tend to live in different housing units. Therefore, the housing needs of a con-unity can be estimated by tracking the changing age of the con-unity. People aged 20-24 tend to live in apartments. First-time home buyers are usually age 25-34. As families get larger and a stable income is secured, a larger home is later purchased to accommodate the size of the family. This occurs when the head of the household is usually between 35-54. People aged 55-64 are considered "empty nesters" and in this age group children are moving out and leaving the parents with a house too large for themselves. This creates a demand in this age bracket for well kept, smaller, finished homes. When people reach ages 65 and older they tend to move into apartments, townhomes and condominiums to free themselves of maintenance and yard keeping responsibilities.' The ~raditi0nal Rousing unit iS ~he single-family detached home. It is still the most co~on of housing types, but recent t_rends have increased the demand for non-~raditional housing units. These ~rendsare due tot. he'increase in the divorce rate, t_he increase of senior citizens, the preference to wait before ge=ting married, and families having fewer or no children. These trends have increased the amount of people seeking temporary living arrangements. For this reason, i= has become a necessity for a city to offer a good 2 diversity in it's housing stock to accommodate t. he needs of its residents. The need for diversity in T_he housing stock has to be present in T_he owner occupied units as well as ~he rental units of a city. This is due to several different reasons. First, t_he equity involved in owning a housing structure promotes buying. The increased demand of non-traditional units has greatly increased the equity in these units, hence more people today opt to buy, rather than rent. Secondly, younger people still prefer to rent, as do people with jobs that require relocation. Finally, the high divorce rate of today also has increased t_he number of people looking to rent. In considering these elements a look at the diversity of housing types has to include information about rental properties as a percentage of all the housing units. In Columbia Heights, 35.9% of housing units are single family detached and 32.3% are rental. The percentages of single family detached and rental occupied dwelling units meet t_he benchmark determined by the Metropolitan Council. Columbia Heights is old compared to other inner ring cities. Housing units greater than thirty years of age have become a benchmark factor in determining T_he housing conditions of a city. This is a result of the necessary repairs and deteriorated conditions frequently exhibited by the housing. In Columbia Heights, 57 percent of the housing units are more than 30 years old. The oldest housing is located in the sou~_hwest quadrant of the City, while the newest housing was built during the 1950's and is located in t_he northeast quadrant. Efforts to improve housing conditions and eliminate blighted properties have been successful in Columbia Heights. During 1993 a Sheffield Neighborhood Revitalization Plan was developed. This area suffered from substantial blighting conditions and was in need of immediate revitalization. The Sheffield Neighborhood is an area of five (5) City blocks where numerous duplexes deteriorated because of poor maintenance and these units became a blighting influence to the entire neighbor- hood. Moreover, higher crime rates were experienced in this neighborhood. In order to revitalize the area the City acquired 20 duplexes (within a two block area) and removed t_hem. The upper level of these duplexes were removed and sold for low income housing in other Metropolitan Area cities. The vacant blocks were subdivided into eighteen (18) lots for single family construction. This redevelopment program has had tremendous success restoring the balance of housing within this neighborhood to a level more typically found in lower density residential areas throughout the City. ~t is expected that as a result of the City acquisition and conversion of 20 duplexes to new single family homes, that the Sheffield Neighborhood will become more stabilized. In addition, t_he City is in the process of acquiring three more duplexes which will also be sold for redevelopment of single family homes. A four-p!ex, at 4607 Tyler Street has been acquired and was renovated with HOME funds and is used as a rental complex for seniors. A combination of City, CDBG and HOME funds have been used to acquire and remove duplexes from t. he properties in =he Sheffield Neighborhood during the past two years The City also has a list of about sixteen (16) properties scattered ~hroughoutthe City that are available for single family construc- tion. These lots came available as=he City purchased deteriorated properties. These properties are available to the public to purchase, although they are restricted to only single family development. As Columbia Heights is completely developed, these lots provide the only areas for new home development. The City has done extensive work on analyzing the condition of the existing housing stock. A windshield survey was completed during =he summer 1995. Only exteriors were rated and emphasis was placed on homesteaded properties. Currently all rental housing is under scrutiny of rental licensing and inspections, therefore, rental prope~y was excluded from t_he survey. The owner occupied homes were rated on a scale of "good", "fair", and "poor". Homes rated "good" have well kept exteriors meaning=he siding, paint, windows, cement, foundations, roofing, window trim and landscaping are all in good condition. A house was given a "fair" rating when one or two of the above listed items (or other items) are in need of repair and maintenance. These homes are showing their age. Most of =he repairs that are needed are minor, but if completed, would be a definite upgrade for the property. If these necessary improvements are left unattended, they will become a concern for the future. A "poor" rating was given to homes exhibiting a definite need for serious upgrades in more than two of the survey categories. These homes have become an "eyesore" and are negative- ly affecting the neighborhood. A total of 5,779 dwellings were rated in the windshield survey. A total of 1,241 properties were rated good (21.5%), 3,913 were rated fair (67%) and 625 were rated poor (10.S%). The largest amount of housingunits were labeled in fair condition. One important cause for this is t_he age of housing. The "fair" rating was applied to aged properties in need of upgrades and repairs to the ex-=erior and interior. On t_he exteriors wear and tear is evident, such as peeling and chipping paint on the house, door frames and window frames. Roofs are often in need of repair and replacement. Foundations, steps and other concrete is cracking, chipped, or has holes causing potential hazards. Windows are old and most likely leaking and need replacement. Siding is in poor condition, paint is often needed, and pieces of siding are chipped and cracking. The overall appearance of these homes could be greatly enhanced with some exterior improvements. :-Home improvement .programs are very effective in Columbia Heights because of the large amount of housing needing maintenance related repairs. Poor structures are those that have deteriorated to the point that t_hey are a blighting influence for t_he neighborhood. The effect on t_he neighborhood, where these properties are left can ~n=ially ~ a d~¢r~a~ in pr~p~r~y valu~ and make bordering properties more difficult to sell. 4 most severe properties through condo~ation procedures. These lots were cleared and marketed for single family development. O~her homes were abandoned by the owner. At 'sdch ~e as the mortgage reverts back' to PROD, they will then clear the structure off =he proper~y and sell the lot on =he open market or to the City. --,-- .bt/6/96/housepln programs related to =ehabill=atlon, .o_wn.ersnl? aha. con?=_r~_c~a~n_ Several progr~s that will be describe= nave meen zn peace zor a number of years, while others are newer progr~s that =he City expects =o maintain. The following is a list of pro~s ~at will se~e as o~ housing action plan to maintain ~e benc~arks established by ~e Metropo!- i=an Co,oil for Col~ia Heights. The areas Col~ia Heights will be reaching through pro~s include housing assistance, housing development, maintenance and rehabilitation, and local initiatives. The pro~s outlined here will represent a ~ee year time fr~e for ~e plan. The plan can =hen be adjusted wi~ ~e addition or el~ina=ion of any f~ding for pro~s. This ~ee year period does no= disco~= =he fact ~a= ~e City is always p~suing new pro~ from gover~en= agencies and other so~ces, especially in ~e area of housing rehabilitation which is ~e ~ea=es= need. A. Xous~n~ assistance P=oarams ~ec=ion 8 Certificate~ and VguChers The Columbia Heights EDA administers an average of 142 Certificates and Vouchers for the Metro Housing and Redevelopment Authority (HRA). The Section $ program assists families, elderly and people with disabilities with t_heir rent in t. he private market. This allows the participant to pay 30% of t. heir income in rent with the EDA paying t_he balance directly to t_he proper~y owner. The funds from this program are allocated by the U.S. Department of Housing and Urban Development (HUD). Participants are no% screened for suitability as tenants. They are determined by a process of verifications to be qualified to receive a subsidy. The owner/manager would need to screen a Section $ recipient as t. hey would any other possible ~enant. The tenant is now responsible for a damage deposit amount the same as a non-assisted tenant and the owner/manager is responsible for collecting this and additional damage amount from=he participants. The owner can now use a lease of their own, but must also sign a lease addendum withSection 8. Contracts with t. he .Section 8 Department must also be signed and the Annual Adjustment factors must be used for yearly rent increases The City of Co!~bia Heights EDA also administers 50 Vouchers and' Certificates ~hrough our own program. The program is t. he sempe as that administered through t_he Metro HRA, however, the EDA is responsible for additional .administration such as distributing t_he funds for our ~ar~i¢ipan=s, as well as conducting hearings, briefings and maintaining our own waiting list. E F F L LL The Section 8 program of Columbia Heights will continue to apply for additional certificates and vouchers from t_he Department of Housing and Urban development. Our goal through 1999 would be a minimum of 50 additional certificates and vouchers. This is contingent upon funding. ~irst Time Homebuyer Pro=ram. The Minnesota Housing Finance Agency (~HFA) administers an annual Firs= Time Homebuyer Program t_hat the City has participated in for the last 5 years. Cities apply for funding each year and once allotments are determined and money is available, participating lenders distribute the mcr=gages to qualified applicants. Mortgages are fixed interest rate, monthly payments with a 30-year term 'from FHA, VA, FmHA, conventional, or uninsured conventional loans. Interest rates are usually I to I 1/2 percent below ~he market rate. The maximum purchase limit of a house is $95,000 and is limited to existing structures only. The maximum household income to qualify is $43,650. This year (1996) ~he City received an allocation of $413,052 and funds were utilized within the first two weeks of availability. Over the past 13 years (since the first allocation in 1982) ~he City has utilized over $24,649,379 in First Time Hcmebuyer Funds. The City expects to participate in this program for as long as t_he financing is made available. Parkview Villa Housinc ComDle× Since 1975, the City has provided quality low income housing for senior citizens. Parkview Villa North houses I01 units in a nine story facility. Parkview.Vil!a South was constructed in 1991 and provides an additional 45 units. Since 1993, Crest View Lutheran Home has con- tracted with the former HRA to provide all on site management of the facility. Residents of Columbia Heights over age 62 or disabled/handicapped do have a local preference. Rents for each unit are based on 30% of total household income and eligibility criteria is set by the Department of Housing and Urban Development. The City of Columbia Heights is also examining proposals from private sources for additional senior housing to be built in t_he City. 7 1. Homebuver Tax Break Pro=ram This is a new program in Columbia Heights that is available to home buyers who purchase a home in the southeast corner of T. he City between September 2, 1995 and July 1, 1997. A new home buyer will receive a State Income Tax Exemption for five years wig. hi. his new program sponsored by t. he Metropolitan Council. The maximum exemption is $15,000 for people married and filing jointly with an income of $60,000. The maximum exemption for an unmarried, head of household, is $12,500 with an income of $50,000 or less. An application must be filed with the Anoka County Assessor by t-he new owner. These forms and additional information, including eligible properties, are available in the Con-unity Development Department. 2. Habitat for Humanit~ During 1995 and 1996 the City has sold six lots to Twin Cities Habitat for Humanity for new home construction. These homes are constructed by volunteers and the low income families t_hat will be purchasing t_he dwelling. Families that are selected by Habitat for Humanity for the home are responsible for a certain number of hours worked. These families pay for the mortgage, but if they were to move, the property must be sold back to Habitat for Humanity so t_hat the constructed dwelling always assists a low income family. Construction has begun on three lots and the remaining three will be completed in 1997. However, Habitat for Humanity is also looking at other lots throughout the City to purchase from private owners and, as mentioned previously, these homes will maintain their assistance to iow income families. The City of Columbia Heights may also consider applying for t_he Metropolitan Councils Local Housing Incentives Account for the development of new housing t_hat would meet our life-cycle housing goal. 8 F I t- I [ D~erred Loan Pro=ram MHFA The Deferred Loan Program is funded by ~he HHFA and provides zero-interest loans to eligible homeowners. The loan needs to be repaid if the homeowner moves, sells or otherwise conveys their interest in the property during' the 10 year term. The loan ~mount can be from $500 to $10,000 and must be used for any permanent, general improvement which increases t_he safety, health or habitability of t_he dwelling unit. Primary concerns include those items which will correct code violations, fire safety or energy efficiency. Adjusted gross annual income for this program is $10,000 or less and funding is limited. Applications are taken on a first-come, first- serve basis. The process is longer Than for other progr~s because=he Economic Development Authority (EDA) staff inspect the property to assess the ex~aent of work needed and =he homeowner is required =o obtain a minimum of two estimates. The City of Columbia Heights has been administering the deferred program since 1976. This program targets very low-income homeowners. Often these are elderly who have been in their homes for a number of years and not had work done recently. Over $360,000 in Deferred Loans have been given to 115 homeowners in the last 19 years. We anticipate an average of 6 loans per year with a minimum of 18 deferred loans in the nex~ three years. L' Home Improvement Loan Pro=ram Since 1979 the City of Columbia Heights has participated in the Great Minnesota Fix-up Fund home improvement loans aimed at low to moderate income homeowners. Since that time over $900,000 has been given in loans to 166 families. The Home Improvement Loan Program is funded by the Minnesota Housing Finance Agency (N~HFA) and provides low- interest loans to eligible homeowners. The loan amount can vary from $500 to $15,000 with terms from I to 15 'years. The unit to be improved must be owner occupied, with a gross annual income of $44,000 or less. The interest rate varies from 2 - 8% and is based on the gross annual income. Improvements must be permanent such as doors, windows, insulation, furnace, water heater, garages, etc. 9 L 1 The City anticipates administering a min~,~ of 30 loans over =he next 3 years, depending upon availability of funding. Because=he income limit is higher, a number of residents who we hope to target for =his program are family households who wish to remain in Columbia Heights and yet feel t-heir home needs maintenance. Deferred Loan/GraDt Pro=ram/CDBG This deferred loan program is funded under the Anoka County Community Development Block Grant (CDBG) Program and provides a 50% 9rant if they move, sell or otherwise convey t_heir interest in t_he property during t_he 10 year term. Repayment of the grant portion is based on the number of years the homeowner has occupied =he proper~y after receipt of ~e grant. The 50% deferred loan portions paid back upon sale or transfer oft_he proper~y. The loan amount can be from $500 to $15,000 with an interest rate of zero. The ~dgusted gross annual income must fall within certain limits. Improvements must be for any permanent, general improve- ment which increases the safety, health or habitability of t_he dwelling unit. Primary concerns would be items which would correct code violations, fire safety or energy efficiency. The time frame is longer than for some of the other programs as EDA staff inspects the property to assess the amount of work needed. The homeowner is required to get a minimLun of two bids. The CDBG rehabilita~:ion program has been administered by the City of Columbia Heights since 1978, awarding over $850,000 to 159 very-low income families. There is a waiting list for this program. We expect to be able to serve a minimum of 12 loans over the nex~ 3 years. This program, when combined with the Deferred Loan Program, really focuses on our very low to low income households, who often have difficulty getting assistance through traditional lenders.. Home..Ener=v Loan Procram The program which has no income guidelines is the Home Energy Loan. The Home Energy Loan is also funded by MHFA an~ is available to owner occupied single family proper- ties. The loan amount can vary from $1,000 to $$,000 -'over I to 5 years. The interest rate is 8% and =he repairs must be energy related improvements such as doors, windows, insulation, furnace, and water heater. Because of Iack of income guidelines, =his program benefits the entire con-unity. Overt_he next 3 years we anticipate administering 15 home energy loans. 10 5. Rental Rehabilitation The Minnesota Fix-up Fund will provide loans to owner occupied rental buildings up to 4 units. The City also participates in the Rental Rehabilitation Loan program which assists owners with necessary repairs. Dependent upon funding, ~he City anticipates administering 6 Rental Rehabilitation loans over the next 3 years. Housina M&~Dte~ance Code The City of Columbia Heights enforces a local Housing Maintenance Code. Rental housing is inspected on a regular basis while owner occupied housing is inspected on a complaint only basis. The Fire Department currently administers the Housing Maintenance Code. This involves conducting inspections before a license can be issued and performing reinspec- =ions if needed. In Columbia Heights there are 474 licensed buildings with 2 or less units for a total of 702 units. Some of these are owner occupied duplexes. Multiple family rentals in Columbia Heights total over 1,500 units that are licensed. There are consistently a higher number of code violations in multiple unit dwellings than in 2 unit or under rentals. The Housing Study also determined =hat Columbia Heights has a good amount of affordable housing units with a strong diversi- ty of housing ty~es. The licensing fee is $30 per year. A s~ary of the programs listed in the three year Housing Action Plan has been provided in a table format on t. he following page. The summary illustrates the estimated numbers and dollars attribut- able to the various programs in past years as well as those projected in future years. housep!n II I ,il ~ ,~-I .~-i ~ I I I !~ I i I Z - L 12 RESOLUTION NO. 97-45 CITY OF COLUMBIA I:I'EIGHTS AL~TI:IORIZING APPLICATION FOR A METROPOLIT:~N COUNCIL PLA~G ASSIST.~NCE GIL-~NT %3:[EREAS, Minnesota Statutes sections 473.851 requires local units of government to prepare local comprehensive plans with land use controls that are consistent with planned. orderly and staged development and with metropolitan system plans; and Wq:IlrREAS, Minnesota Statutes sections 473.854 and 473.867 authorize the Metropolitan Council to prepare and adopt ~ma.idelines establJ.~hing uniform procedures for the award and disbursement of planning assistance ~ants and loans; and Wq:I'~REAS, Minnesota Statutes 473.867 authorizes the Council to give funding to local un/ts of government to review and amend their local comprehensive plans, fiscal devices and official controls; and W'I:i-I~.REAS, the city requires a planning assistance ~ant to complete comprehensive planning activities, specifically a life cycle housing study to assist in preparation of the housing element and official controls: NOW TWEREFO1LE, BE IT RESOLVED that the city manager is hereby authorized to submit an application to the Metropolitan Council for a planning assistance ~ant to update and revise the city's comprehensive plan; and BE IT FURTHER RESOLVED that a certified copy of this resolution shall be submitted as part of the planning assistance grant application. This resolution adopted by recorded vote of the city. of Columbia Heights in open session on the ~ day of , 1997. Offered by: Seconded by: Roll Call: Mayor Council Secretary Nancy Reeves and Associates 1725 Summit Avenue Sa Pau~ Minnesota 55105 (612) 644-0658 MEMORANDUM Date: July 21, 1997 To: Walt Fehst From: Nancy Reeves Subject: City Council Resolution to go with Planning Grant Application Enclosed is a copy of the sample resolution that the Metropolitan Council requires each city to approve when applying for planning grant funds. The application for $3,000 apiece for 6 ciries (Coon Rapids, Columbia Heights, Crystal, Brooklyn Center, New Hope and Robbmsdale) for life cycle housing studies was submitted to the Metropolitan Council last Friday, July 18. I have enclosed a copy of the cover letter and Attachment A of the application for your information. You will note that the City of Robbinsdale served as the official applicant on behalf of the cities. Please have your City Council approve the resolution at their next meeting, and then sign it and have it notarized, and send it to me at the above address. I will return it, along with the others, to the Metropolitan Council. Thank you for your cooperation and for your continued interest in this project. p4, tl.t CITY OF ROBBINSDALE Suly 18, 1997 Ms. Linda O'Cormor Page 2 The cities plan to hire the consulting firm of Nancy Reeves and Associates to prepare the studies. This is a woman-owned and operated business. A copy of the Life Cycle Housing Study prepared by Nancy Reeves and Associates for the city of Savage is attached for your review. This study formed the basis for the Livable Commumties Act goals and action plan, as well as the Housing Element of the Savage Comprehensive Plan, all of which have been approved by the Metropolitan Council. Thank you for the opportunity to apply for Local Planning Assistance funds. We believe that this proposal could serve as a model for other communities in the metropolitan area and will certainly lead to improved housing planning and implementation strategies in the north metro area. Sincerely, Dennis Kra~ City Manager Enclosures Attachment A Project Description, Work Plan and Budget Project Description This application for local planning assistance, grant funds is for a joint project of 6 cities in the north metro area, Brooklyn Center, Columbia Heights, Coon Rapids. Crystal, New Hope and Robbinsdale. The project is to study the life cycle housing needs of these cities through the year 2010. A life cycle housing study provides informataon on the housing types and costs that will be needed in a city or group of cities in the furore. It looks at the types of housing that will be needed to accommodate people as they grow older, as they grow up and start out on their own, and as they move into a community to fill the jobs that ~qll be created. The study starts with the current population and housing supply, and uses population, household, employment and age projections to determine housing demand or usage in 2010. Current housing usage by age and income are used as guides, along with anticipated changes in employment and city goals 'and policies. Census data, building permit data, and Metropolitan Council projections are used to form the data base, along with any more recent local data available. Real estate trends for the market area are also considered. The final product is a report that indicates the housing types that the community will need to have available by 2010 to accommodate the population. Advantages of a Life Cycle Housing; Study A Life Cycle Housing Study is a basic housing planning tool that helps cities to make decisions regarding housing goals and implementation strategies for their comprehensive plans and Livable Communities goals and action plans. For example, if a city knows that there will be a major increase in the number of young people ready to form their own households, the city may want to plan for additional affordable housing units, both rental and ownership. A Life Cycle Housing Study helps with zoning decisions. Ifa city finds that certain housing types are needed in the future, zoning changes can be made to accommodate these needs before the available land is committed to other uses. A Life Cycle Housing Study helps with redevelopment planning. If a city is planning to convert existing buildings to different uses, information on the housing types that will be needed in the future will be useful to planners and developers. A Life Cycle Housing Study may help to discourage overbuilding of housing types that may not be needed by 2010. An example would be the large-lot single-family homes that have dominated new housing construction in the region during the 1990s, but wh/ch may have a much smaller market by 2010. It will be difficult to convert these housing units to other uses, and they may end up as rental units, leading to unanticipated changes in the communities. Work Plan and Budget The 6 cities noted above plan to hire the consulting finn of Nancy Reeves and Associates to prepared Life Cycle Housing Studies. In addition to the individual studies for each city, an over~/ew of the north metro market area will also be included. The work will begin as soon as funding notification is received by the cities, approximately the e~d of August, 1997. It is arrficipated that the individual plans and overview of'the market area can be completed within 4 months of funding notification, to allow the cities plenty of'time to use the information in preparing their comprehmsive plans. The process will include initial project planning meetings with each city, preparation of the studies in draft form, city review of the draft materials, and final versions of the studies and overview. The cost of the studies will be $4,000.00 per city, with the planning assistance grant paying $3,000.00 of the cost, and the cities paying the remaining $1,000.00. This figure includes all study preparation costs (data analysis and writing) and delivery of 7 copies of the study to each city by the consultant. 07/17/97 20:2¢ FAX 61254442~6 ~A~C~ REEVES ~001 Nancy Reeves and Associat~ 1725 Summit A venue St Paul, Minnesota 55105 (612} (~44-063 8 FAX COVER SgHr. ET DATE: TIME: TO: FAX NUMBER: FROM: FAX NUMBER: Nancy Reeves 644-4286 NL~'3'EBER OF PAGES, INCLI~DLNG COVER SgI'~.ET: 07/17/97 20:24 FAX 6126444286 NANCY REEYES ~]002 17~5 Summit Aveaue MEMORANDUM Date: ~'uly 14, 1997 To: Subject: Life Cycle Ho~si~ Study for ~e North Metro Area This r.o,~, is b~'lg s~ to you to provide information about life cycle housing studies and how tta~y ~ould be bw. efidzI to NMMA cities at · gre,~y r~lur, ed cost _What is ~ Life Cvde Huusin= Study7 A life u-~e housing study provides infommfion on thc housin~ t3rpes and costs hhat will be nt~_ od in a community or ~n ar~a in ~ae futur~. It lool~ at the ~:ypes of hoUtang ti-at will be neecl~cl to aeeommoda~ people as they grow older, as they ~-ow up and sta~ ou~ on their own, and as they move into a communily to fill liae jobs ~at will be creaIeci. 'l'ne study stuns wi~ the unarrent popul~ion and hou.~in~ supply, stat uses populaI/on, household, ~,,21oyma~ and a~e projectie~as to determine housi~ d~-,~_-d or usa~ in 2010. Curre~ ~ usage by age and mcx~ne are us~l as guides, along with a~acip~xl eta~ in employmer~ opportumties md city housi~ 8oals and policies. Cereus da~a, ~uildir~ permit data, ~ Metropoli~ Council projet~kms ~r~ used to form ~he ~ base, ~long wiih any mor~ r~ut lo~fl d~ aw~ilable. Rml estat~ ~$ for tbe mark~ ar~a ar~ also conside~d. A ~ ~ honsh~ study b a bssie plsmfiag tod. It he/ps a community to plan ~rad decisions ze~'d~ housing goals and implemematioa strategies. It is an essenti~I gernent the housi~ chapter ~f a lot~l cx~preh~,,~,ive plan. (Ail cities ar~ ,~a-,prehensiv~ plans by the emi ~f I995.) And ii helps cities to know that they will be able to m~t the bou.si~ m~t.~ ofth~ ~ into the fi~re. For example, marly infli~ fla~ by 2~10, there will be a major iner~s~ in t~ number of young people madyto form their own households, flae city may warn to plan f~ additiorial affordable h/m,~i~ unit~ both ren~ ~nd ownership. A li~ cycle houfbag study provides a ~zrm basis for Livable Commnn4~ Act (LCA) housing goab. A Lifo Gy~o h~us~r~ Vmdy n~y well ~:l~cat.~, for ex~l~ ~ x c~~ ~ not need any mo~ a~'ordibie s~fl~e-fan~y ho~sm~ I~fore 20~0. ffso, '~s infonnzfion should be acc~mbl~ to support suah a LCA ro~at, if so d,.~_ir~d by the community, ~ if tim A life cycle bousiz~ study hdps with zo-;-~ dec~dons. ~f a c~ f2z3ds zhzt it will need, for exaa~le, addi6or~ mu.~-fam~y hous~flg, towropes, or lawer-~ c~ache~ s~Je-famfly homu, ~ cizanl~ may be nt~ded m a~sum ~he -~vailabilky oflancl for g~s~ u~s. Th~ study supports thes~ zoni~ dxa~s and ,~y b~ ~s~l to inform citizens. Alife ~te huusi~ study latps with red~Mopm~t pla,-;-g. ~ore a ~W ~d~ m ~v~ ~ ~ from f~y m d~y ~. ~r ~1~ a ~ ~e ho~ ~y ~1 h~p ~~ ~ ~ ~~ old~ ~ple are mos: ~y ~ ~I~. ~ ~Y ~ ~ ~d~ p~le ~ ~ ~ ~ ~ ~ ~ b~ ~y ~ ~ ~ for ~~ ~d ~y ~o~. ~-~, ~ ~e ~ ~d, ~y ~ ~ m move ~,,~ ~t off~ a ~~~ ~1~ s~ ~ to~us~ or ~~. m~ uOt be needed by 2010, BuficLtng perr~t repons b~d~u,~ that~ou: ~ ~ ~ ~e ~st mjogW of~ ~ ~ b&~ b~t h 1~1~, hi~-~ ~~Y ~. ~e~ ~r~ ~is ~ bu~ in ~e 3~5 ~8~ ~o~. H~, ~e p~~ m ~ ~ ~ wi~ ~ ~~ m ~ dfi~ by 2010, ~ ~e ~ ~ ~e a ~!~. ~e h~ ~'t be ~I~ ~ w~ ~ ~y be Li,6a Cycle Hou~Ln~_ S_~_~dy Cost Savm~ ~or NM~ CiUes A life cycle housing study 6or N'MMA communities could be done as a sillgle uzlit for the north metro rr~rket area, or mciividua! studies could be prepared for each ,NMMA member city. In I996, a life cycle housing study was prepared fort, he c/ty of Savage at a ~ of abou: $8.500. Eco~omie~ of sesle world bring the corot per city down congderably. Individual siudies for the 16 NMMA suburban aries could probably be prepared for about $3,500 per city l:or ~ 16 suburban cities, the total cost would be $56,000. The $3,500 per suburban ~ rat~ would al~ply to any groupin& of lC) cities or more. For a srnaller number of aries, the cost per city would have to be hlsher. tf NMMA would prefer a single large study for the enure market area, ~ ~g wo~d proba~y be The work could, hopefully, be finLshed 6 mo~lu from th~ stamn8 date. If the work could be~n ~n AuSust, ~i, would give citim mcat of 1998 to u~e the study results m ~the~r compare plans. Becau~ many c/ties are abou~ t~ .start working on their ccm~prehenslve plan updates, g'g$ is a 8~gxt time to undertake a ~y ofgus ~. ff we wok too Ior~& the results will not be ~ useful, 07/17/97 20:24 F.~ 6126444286 N&~CY ILEEVES ~004 for ~he Yesr 2010 ~ purpose of a Life Cycle Housing Analysis is to be able to project the city's housing needs into the 6_~_,,~, to 6eiermine ~ the city will ham a housin8 supply ~ will be able to meet these housing needs. The aaal~i$ begins with a picture of the c~nmurdtytoday (1990 Census) and moves on to the year 2010, using chanEes in the a~ 8a'oups of the poptflmJc~ as well as other will need w meet the demands at'the ~mre. Ti cazsidcrs the hous~.~ ~ of the existin~ ~er, idm~, as ~ grow older, as well as ,.he ~,a_, of young people growing up in the community aad new resider~ movir~ Lute the community Wilfi the infommtion cc~tain~ in a Life Cycle Housing .amalysis, the City will be in a better positio~ to plan and z~ee to meet future housing needs. It will be able to ~u-~icipate bcnb shorts&es and oversupplies of various hotmir~ types, which may also serve to protect the housiul~ values of ~he City's cum~ rmidems. Pomdadon mai Housles in Savsve ia 1990 The City of Sava~ 8few very rapidly between 1980 and 1990. from a population of 3,954 i~ 1980 to 9,906 in 1990. Total housm&~ ~~ 1,270 t~ 3,395. Duri~th~t time, the percemage of owner-occupied housi~i~a~ased from 75.3 per~r~ in I~0 to 86.7 percent in 1990. The p~ of owner-occupied housir~ has ccmiim~ to ~ since 1990, with all new buildin& permits in Savage since I990 bein& for owner-occupied housir~. There have also been some ~ in the a&e groups of'the populagon between 1980 and 1990. Most notable was a major iucrease from 20.2 perom: in 1980 to 31.4 percem ofl~he 1990 The av~il-bililT of a ~ supply oF relatively affordable sin~e-f:amily homes in Savat~e ~or much ofg~is increase. At the same ama, the populage~ group aged 15-24 decmsed 12,;,,~-, 19 perc~ in 1980 to just 9.8 percerg ia 1990. This is :he~rvup oFpeople Ieavia&the family home to start their own households for the first ~rne. The lark of rertml ~ in Sa~-,e probably accotu~ for the a_ __~rease/n th/s 07/17/97 20:24 F.~ 6126444286 NANCY REEVES ~]005 popul~o~ group, indi~ ~h~ many young ~ulZs probably hsd to l~,ve ~ c-,nmunky r~ find g~ir iirs~ hou.sm~ $~ Table One for c~mpl~ ~ i~)up infonn~on. Population Forecasts s~p in a Li~ C:~le Housin~ 3_~yr~ is ~ ~m ~ ~~s ~ p~~ ~ c~a~ ~d p~ i~o ~e ~. ~e ~~ ~ ~ for p~ for~ Ci~ ~Sa~ m 201o is 27,~ p~le. ~ ~ for ~o1~ is 10,100, ~~ ~ 10,~0 ~ ~. Table ~s, b~, ~ ~ Sa~ p~~ ~ ~ ~ ~ is fo~ ~ ~ b~ 1980 ~ 2010, ~~ ~ ~ ~s p~. ~ ~~s am a~ C~ ~ ~r 1~ ~ 19~. ~ ~r~ for 2010. Table One City of Savage Populagon by Age Group, 19~0- 2010 AI,e 19~0 199t} I 20~0 .2010 O.l,t 1,1~6 (29.3%) 3,05? (~0,7%) ~,2~0 (27,6%) 6,87~ (~0%) _1~24 7~2 (19 0%) 967 ( 9.g%) 1,~ (t0.2%) ~,~ (12.0%) 25-34 798 (20.2%t. 3,109 (31.4%) 4,59~ 3~9 7~ (IS.~) 1,~1 (19.9%) 4,809 ~5.3%) 6,325 (~.~) 50-~ 388 ( 9.8%) 57I ( 5,7%) 1,~7 ( 8.7%) 3.~ (12.0%) 65+ 120 ( 3.0%) ~1 { 2.5%) 755 ( 4.0%) 1238 (4.5%) A~e Group_ Chauz~s_iu Savn~e, 1990. 2010 In ~m'a/., aha populsiion in Sava~ will b~ older m 2010 ~ k ~ in 1 ~. ~e ~le ~ 24 ~ ~ ~ ~ ~ 37 p~ ~e p~~ ~ 2010, ~ ~o~ ~o ~.5 p~ ~ 19~. ~e 50 ~ ~ ~ ~ ~ t6.5 p~ ~e 2010 p~, ~~ ~ 8.2 p~ m 19~. ~ ~ ~ ~ 2~9, ~ ~ ~.5 ~ ~e 2010 p~~ ~e~~ $1.3 p~ ~ 19~. 07/17/97 ~0:24 FAX 6128444286 NANCY RE£VES ~006 It i$ i~to comg~ the age groups of the popul,ztion of Savage to those of the Metropolitan Area as a whole. It is probably n~t surprising to learn that ~ population of Savage is younger · than the ,Metropolitan Area population. This is ux~ in 1990, and it is pro~ected ~o continue tl~ugh 2010. ~u Savag~ 71.9 pm~ent ofthe 1990 population is under the age of 35. In the Metro Area, only 56.6 percant is under naa -35. By 2010, both Metro Area and Savage will have anen subs~m'i~ dealines in the pe-cmmges of younger populazion groups. In Savage, the 34 and under group &ops to 60.5 perce~ wh~e in the Metro Area, this group accom~ for only 47.7 perctr~ of tl~ population in 2010. Despite these substantial drops. Savage ~ bas a younger population ~n 2010 gmathe Metro Area in 1990. ]3c~ Savag~ an~ the Metro Area will ~e population gains in all groups over ~he age of 35. The largeg p~e ~o-~ir, in Savage is in the ,~,~,ty-ne~.er group, age~ 50-65, which goes from 5.7 p~r~ in t990 to 12 percent in 2010. The over 65 age group in Savage also almost double~ its share, going fn:nn 2.5 perc~nIto 4.5 percem oft.he population. See Table Two, below. Table Two Comparison of ARe Groups Savage and Metro Area, 1990 - 2010 _.~e Gro~ $av.'~e - 1990 Savage - 2010 Metro - 19~" Metro - 2010 0-14 30.7% 25.0% 22.3% 19.4% 15-24 9.8% 12.0% 1.3.9% 14.4% 25-34 31.4% 23.5% 20.4% 13.9% 35-49 19.9% 23.0% 22.1% 22.2% 50-64 5.7% 12.0% 11.5% 19.4% 65-- 2.5% 4.5% 9.~% 10.7% Sonrees: 1990 Cemm, Metropolitan Comacfi Projecfiom, Projections. l~eusiz~ Need.~ by A~,e Grouu ~eormatim on the age groups c~fa population can be used to project the types crthousing that will be needed inthe City. Hous~ needs c~m be roughly equa~ to age categories as follows: Age Grou~_ ~ 15-24 2~-34 35-49 50-64 65+ New households - Affordable rental housing First-time Homebuyers - Starter single-family homes, ~,t~at-~ed of detad~ or remain ia tem~ housi~ ~veoap Homebuyers - Move-ut0 singte-~:zmily home~ 07/17/97 20:24 FAX $126444286 NA,.NCY REEVES ~oo? t5-24 53 (~3.5%) 46 (46.5%) 35-.~.d 843, (95.9%) 36 (4.1%) 45-54 258 (ga.3%) 48 (15.7%) 55-64 161 (83.0%) 33 (17.0%) Totals 2.805 452 Source: l~JO Cereus This Laform~on damoa.~,aes that households ia Savage rely on a variety of housin$ types to ~ thor n~eds. Certain patterns are al,ar, howe~r. The lar8~ sham of r~nters am housalmlds in the 15-24 and over 65 a&e groups, lle~een 25 and 64, most households are home owners. This paxt~,a, however, also r~lects the available houSm~ supply in the cxmununiW, which is primarily single-family homes. Ito-~-o lg .e,~l~$ in Savage in ~ YC~ 2010 B~ 1990 ~ 2010, ~ p~ ~ ~ ~ ~e ~ 9,~6 w 27,500 ~ n~b~ ~ho~ ~ ~ ~e ~, ~,~ 3,395 to 10.400. ~e ~~ ~ 19~, ~ 3,395 W 5,011 ~ ~, ~ ~ b~ p~,,it ~on ~ 1994, ~ ~ m a ~ ~r 5,389 ~~ ~ ~ 2010. m ~ 1~24, 5~4 ~ 65+ ~ ~s ~ 1~ ~ 2010. To d~e ~ ~ ~ho~ ~ be ~ ~ ~e ~~ 07/17/97 20:24 FAX 6126444286 NANCY REEVES ~005 Table Four City of Savage Housh~ Un/ts, by Type, 199~ H~st~g TYI~ Nmher of To~[ Hous/n~ L%i~ 5,011 To~l Owner~upied Units To~I Aff-orclable Ow=er-occupi~ Units Total Rmt~! Un/ts Totzl Affor~blc Rental To~al Atm:h~ Units (h~ludes ~ u~ts} 4,561 f91.0%) 450 (9.0%) 2~5 f54.1%) ~5 (12.1%) It is particularly taxable ~ the dry has a lan~ r&are of' affordabl~ ownersl~p housing units, 78 p~rc~ or,he owner~p housi~ in Savage. It should also be nomi ~hat, since no new rer~ housing units have been add~ in $ava~ ~ 1990, '~he supply o~rer~l housin~ has Eoae down from 13.3 p~nt in 1990 to just 9 percem m 1905 The present trend is tcr~zrd a less diverse housing supply ~ the projeci~ population would need in 2010. Total housir~ needs in Sav'~,,~ - in 2010,/ncl~ d~e varrm= housing supply as well as thc aitifi~ units needed, can be es~irn~ using the 2010 population foce,~asts, by a!~ !Foup. See Table l:i-~. Table .F/ye City of Savage F.~*i-~_*ted Houdng Needs by Popu~atloo Group, 2010 Population Gruui; 2010 Pop~latlon Uaits Needed Unit TYPe(s) New Households (15-24) 3.300 (16.0%,) 17664 Rer~, first-time Buyers (25-34) 6,462 (31.3%) 3,255 Starter Homes, Move-Lrp Bul,,~rs (35-49) 6.325 (30.7*/,) 3.193 Sin~le-~milyHom~ F_anpty-Nesters (5045) $,300 (16.0'/,) 1,664 $1-.~e-familyHotr~, OlderPoople (65+) 1,238 ( 6.0%) 624 Total ~ 10.400 07/Z?/97 20:24 FiX $1254442S6 NANCY RF..EVE$ ~009 Based roughly t~ the current own/rent percer,t,,~es in fl~e community for each age group, as well as the types ofho,,,i,~-_, that would probably be selected by ~asious a&e S~oup$ if litey were a,,-ailable, the housin~ types needed in 2010 can be estimated as shown in Table Six. Ta~4e SL~ ~ ~ou~ Nee4~ by l~us~ag Typ~ Z010 Housi~ Type Estimated .'qamber of Units Affordable $ingie.l~mily home Other $ingJe-famil¥ home A:m:ndable R. errtal housing Other am~ hou.~ir~ Attached bous~ 3,755 3,216 1,292 1,220 917 Tatal l 0,400 Taki-g the estimated housing needs for 2010 ang subtracting the 1995 housing supply leads to the number of uriits that will need to be added bevate~ 1996 and 2010. See Table Seven. Table S~vea City ot Savage Homfl~ Types Neede~ I~9~-2010 Ho,,a,,~ Type 199~ Supply 1996..2010 Need 2010 Total Supl~l¥ Affordable S~~ly 3,5~8 197 3,755 S~~y 1,003 2,213 3,216 ~o~le ~ ~5 1,057 1.~92 R~ ~min~ 215 1,~5 1~20 ~ ~ t 917 917 s.o 3 m,4oo Condusigm The City of Sava&e will be expected to more thar~ double its ~rrettt housing supply by the year 2010 to ~ the houain~ projections noted above. Over the next I $ years. ~ 359 housir~ 1,616 units between 1990 and 1994, or about 323 traits pet year. City staffhas indicated that there is an ample supply of land available to meet the projected ho,,-ir,g needs. The 60~ units of al~ached housing in th~ _co-m-unity are alrea~, inr, lucled in the l~als for rental and ownm-sttip units. 07/17/97 20:24 F.~ 6126444286 NANCY REEVES [~010 To m_~__ pmjsctad houam~ a~ds, over half o~the ~ housinE mits built will hav~ ~o be affached houamg uaits, a total of 2,979 units. Ofthesc. 2,062 should be rental uaits, and the ~mamiag 917 may b~ atmch~ ~hip urtits. While the rmml housing mark-~ gaxouajhou~ the Metropolitan Ar~a has I~ s),~h over gae past ds:ada, with higher than averag~ vacan~ t~_.~, tha~ ~ituaIion is now ~ RmIai hnusing vacancy raIes in ',he Southern Suburbs, indudin6 Sara.se, Prior Lake and Shakopee. have dropped m less ~ one percgn~ thc low~-t of any dis~ric~ in the lVletropolk~ Area? The time appears ~ be riehl; fur addi~ rental ~ uni~. The remaining :2,410 units will be detadmd ~i-~e-family traits. Because of lira c-ta'r~ supply cf' afr'ordablc singlc~mily units, c~ly 197 of the n~v single-Pamily units will hav~ ~o I~ &ffordablew lower-income homebuyers, with incorn~s of about $~,0,000 per year in 1995 dollars. The r~nainlr~ 2,213 units can be buitt for the mov~up housi~ mar~. Stone caulion should be applied h~ra, h~,,vever, sinc~ M~.wpolilan Coua~il proj~ions find the mov~-up housi~ markm sha~ cl~c~$i~ in the M~tropolitan Area after tim year 2010. Perhaps the gr_,~__-~t challenge Facing the C~ ~ Sa~ ~ be pm~ ~ 1.000 n~ affor~ble r~ ~ by 2010. ~ ~ shoed be ~o~Me W ~zol~ ~ ~ ~ 50 ~ ~ ~ i~,~ ~ 1~. ~ 1995 ~s, ~s ~~ ~ ~e l~s ~ ~,~ p~ ~, or I~ ~d mo~y ~ 1~ ~25 or Ires. ~ a ~y~ ~ ~ A variety of~ ~o provicl~ a~sis~ce for new reraal housing are axrailable from local mid Couazy HR.As, the Livable Commurrities Program. the Minnesoia Housing Finan~ (MHFA), the f'aderal Department o£Hmamn$ and Urban Development (HUD), and other as w~ll as £oundago~$ and cxnpormaons. Competiaon, how~, is stnmg For all of these Becaus~ Savage is ~xpm:~xi ~o hav~ c~siderabl¢ ~1~ ~u~ in ~e ~ ~, ~ 3,180 j~s m 19~ to 4,150 jobs m 2010, ~ my ~ ~mble to ~i= s~ ~ ~I~ for ~ble ~ h~ ~ ~r ~1~. C~ ~d a~c ~s ~y ~so ~ ~ ~i~, p~s f~ ~ h~ ~ ~ p~le. 2 ~ouxee: ~ ~-ek, pu/~iahed in the Minn~olis Star-T~l~,m~, November II, 1~5. 7 CITY COUNCIL LETTER Meeting of: July 28, 1997 AGENDA SECTI~mXL~ ORIGINATING DEPT.: CITY MANAGER NO: ~ 'UTHER ORDiNANCES,RESOLUTIoNs Planning and Zonin~ APPROVAL ITEM: Ordinance #1350 BY: Tina Goodroad~j No: q ° o DATE: July The Planning and Zoning Commission reviewed the attached amendment to the Fence Ordinance portion of the City Code Section 6.401(1). The proposed amendment will allow homeowners to construct a fence higher than 42 inches along side the home without applying for a special purpose fence permit that must be approved by the Planning and Zoning Commission and City Council. Currently when an applicant proposes a fence higher than 42 inches in height anywhere within the front yard or along side the house (side yard), the homeowner must apply for a special purpose fence permit. The underlined portions of the new ordinance limit a fence to 42 inches in height when constructed anywhere in the front yard setback area up to the front corner of the house. The new ordinance will allow fence construction up to 6.5 feet along side the house and within the rear setback area without a special purpose fence permit. A building permit will be required for any fence over six (6) feet in height and Staff will review a site plan and construction plan before issuance of the permit. If an applicant proposes a fence over 6.5 feet in height, a special purpose fence permit will be required. However, Staff expects most fence proposals will fall under 6.5 feet. These changes will allow Staff to administratively approve fences and avoid the hassle of requiring special permits. The change will also be easier to understand for homeowners and the Ordinance will be more clear as to what can and cannot be done. Staff proposes approval of the Ordinance with an effective date of January 1, 1992. The reason for the starting date in January is to give Staff time to update the handout information and provide that information to the community through the City newsletter in preparation of next Spring's building season. RECOMMENDED MOTION: Move to waive the first reading of Ordinance #1350, being an ordinance amending Ordinance 853, City Code of 1977, there being ample copies available to the public. Move to schedule the second reading of Ordinance #1350 for August 11, 1997. COUNCIL ACTION: ORDINANCE NO. 1350 BEING AN ORDINANCE AMENDING ORDINANCE NO. 853, CITY CODE OF 1977, AND PERTAINING TO CONSTRUCTION OF FENCES AND RETAINING WALLS The City of Columbia Heights does ordain: 6.401 (1) No person, firm, partnership or corporation shall construct, or cause to be constructed, or erected within the City any fence, (six) 6 feet or higher, without securing a permit therefore from the Building Official who shall require submission of an application prior to issuance of a permit. 6.401 (2) For purposes of this section, the following words shall have the meaning ascribed to them: (a) A fence is any partition, structure, wall or gate erected as a dividing marker, barrier, or enclosure of a permanent nature. (b) A privacy fence is a fence more than forty-two (42) inches in height which, is constructed in a manner so as to completely obstruct view from the property on which the fence is located to the property immediately adjacent and on the opposite side of such fence. (c) Front yard is any portion within the front yard setback. 6.401 (3) The written application shall be submitted to the Building Official setting forth the type of fence proposed, the materials to be used therefor, the height of the proposed fence, and the exact location of the proposed fence. 6.401 (4) Ail boundary line fences shall be located entirely upon the private property of the person, firm or corporation constructing or causing the construction of such fence unless the owner of the adjoining property agrees in writing that such a fence may be erected on the division line of the respective properties. In the case of a property line dispute, the Building Inspector may require the owner of the property upon which a fence now exists to cause to establish a boundary line of his/her property by survey thereof to be made by a registered land surveyor. The Building Official may similarly require any applicant for a fence permit to obtain a similar survey. However, the Building Official shall not become an arbitrator of boundary disputes between private persons. 6.402 (1) Fences, free standing walls, and retaining walls shall be constructed in a substantial and workmanlike manner to withstand conditions of soil, weather and use, and of substantial material reasonably suited to the purpose for which the fence, free standing wall or retaining wall is proposed to be used. No previously used materials such as old barn boards or railroad ties may be used in any fence, free standing wall or retaining wall within the City. Minimum standards for construction of fences, free standing walls and retaining walls shall be prescribed hereinafter. 6.402(2) Ail fences shall be constructed of the following approved fencing materials: (a) Galvanized or vinyl coated woven fabric minimum eleven and one-half (11 1/2) gauge, with two (2) inch maximum mesh, with knuckles up and cut edge down. (b) Approved vinyl fencing materials. (c) Treated wood or wood of natural materials resistant to decay. 6.402 (3) Ail fences shall be constructed with the posts on the inside of the fence with the finished side facing the adjacent properties. 6.402 (4) Retaining walls or free standing walls shall be constructed in the following manner: (a) Retaining walls and cribbing shall be used to stabilize steep slopes or prevent erosion. (b) They shall be designed in accordance with sound engineering practice; including, but not limited to, a minimum four (4) inch concrete footing of appropriate width and drains of appropriate type, size and spacing. (c) Cribbed slopes shall be appropriately planted if open faced cribbing is used. (d) The retaining wall or free standing wall shall be constructed in a manner that presents a finished appearance to the adjoining property where applicable. (e) With regard to measuring the permissible height of fences which consist of or include retaining walls, terracing may not be used as a device to exceed the height limitations of this Chapter. In the case of terraced walls or fences, each terraced wall or fence will be added to the height of the lowest span of wall or fence to the extent that it exceeds the said lowest span for purposes of determining the height of a wall or fence under this Chapter, and the said total of those measurements shall be considered as the height of a single fence or wall hereunder. 6.403 (1) Barbed wire fences shall not be permitted, used or constructed except in industrial districts and upon property used for public purposes. Every fence so constructed under this Section and any fence existing at the time of the passage of this Section shall be maintained in a condition of reasonable repair and shall not be allowed to become and remain in a condition of disrepair or dangerous. Any property owner who receives notice from the Building Official that his/her fence is in a state of disrepair or is dangerous shall repair said fence within thirty (30) days after receipt of written notice to abate said condition by the Building Official. 6.403 (2) A six (6) foot e~ higher privacy fence may be constructed only if: a ~= proper ~ written a~recment ...... ~ ~ ~ .................... m an application. (b) Any such fence to be constructed or maintained in the front yard of any corner lot will not obstruct vision from ~o,~ '~^~- .......... d from ~m~ center of ~ ~ .... ~ ........... oil. The Building Official shall determine the maximum allowable height for fences on a corner lot in accordance with his personal observations and findings relating to visibility. 6.403 (4) (c) Any such fence will not be more than forty-two (42) inches high ~ .... + .... ~ ...... ~ ...... ~ ~c front 6.403 (5) Fences for special purposes and fences differing in construction, height or length may be permitted in any district in the City by the issuance of a special fence permit recommended by the Planning and Zoning Commission and approved by the Council upon proof and reasons submitted by the applicant and upon showing to said bodies that such special fence is necessary to protect, buffer, or improve the premises for which such fence is intended. Notice of any application for any special purpose fence shall, before consideration thereof, first be served upon all abutting properties of such applicant with proof of service filled with the Planning and Zoning Commission. Such special fence permit, if issued, may stipulate and provide for the height, location, construction and type of special fence thereby permitted. is hereby amended to read as follows: 6.401 (1) No person, firm, partnership or corporation shall construct, or cause to be constructed, or erected within the City any fence, 6 (six) feet or higher, without securing a permit therefore from the Building Official who shall require submission of an application prior to issuance of a permit. 6.401 (2) For purposes of this section, the following words shall have the meaning ascribed to them: (a) A fence is any partition, structure, wall or gate erected as a dividing marker, barrier, or enclosure of a permanent nature. (b) A privacy fence is a fence more than forty-two (42) inches in height which is constructed in a manner so as to completely obstruct view from the property on which the fence is located to the property immediately adjacent and on the opposite side of such fence. (c) Front yard is any portion within the front yard setback. 6.401 (3) The written application shall be submitted to the Building Official setting forth the type of fence proposed, the materials to be used therefor, the height of the proposed fence, and the exact location of the proposed fence. 6.401(4) Ail boundary line fences shall be located entirely upon the private property of the person, firm or corporation constructing or causing the construction of such fence unless the owner of the adjoining property agrees in writing that such a fence may be erected on the division line of the respective properties. In the case of a property line dispute, the Building Inspector may require the owner of the property upon which a fence now exists to cause to establish a boundary line of his/her property by survey thereof to be made by a registered land surveyor. The Building Official may similarly require any applicant for a fence permit to obtain a similar survey. However, the Building Official shall not become an arbitrator of boundary disputes between private persons. -6.402 (1) Fences, free standing walls, and retaining walls shall be constructed in a substantial and workmanlike manner to withstand conditions of soil, weather and use, and of substantial material reasonably suited to the purpose for which the fence, free standing wall or retaining wall is proposed to be used. No previously used materials such as old barn boards or railroad ties may be used in any fence, free standing wall or retaining wall within the City. Minimum standards for construction of fences, free standing walls and retaining walls shall be prescribed hereinafter. 6.402 (2) Ail fences shall be constructed of the following approved fencing materials: (a) Galvanized or vinyl coated woven fabric minimum eleven and one-half (!i 1/2) gauge, with two (2) inch maximum mesh, with knuckles up and cut edge down. (b) Approved vinyl fencing materials. (c) Treated wood or wood of natural materials resistant to decay. 6.402 (3) Ail fences shall be constructed with the posts on the inside of the fence with the finished side facing the adjacent properties. 6.402 (4) Retaining walls or free standing walls shall be constructed in the following manner: (a) Retaining walls and cribbing shall be used to stabilize steep slopes or prevent erosion. (b) They shall be designed in accordance with sound engineering practice; including, but not limited to, a minimum four (4) inch concrete footing of appropriate width and drains of appropriate type, size and spacing. (c) Cribbed slopes shall be appropriately planted if open faced cribbing is used. (d) The retaining wall or free standing wall shall be constructed in a manner that presents a finished appearance to the adjoining property where applicable. (e) With regard to measuring the permissible height of fences which consist of or include retaining walls, terracing may not be used as a device to exceed the height limitations of this Chapter. In the case of terraced walls or fences, each terraced wall or fence will be added to the height of the lowest span of wall or fence to the extent that it exceeds the said lowest span for purposes of determining the height of a wall or fence under this Chapter, and the said total of those measurements shall be considered as the height of a single fence or wall hereunder. 6.403 (1) Barbed wire fences shall not be permitted, used or constructed except in industrial districts and upon property used for public purposes. Every fence so constructed under this Section and any fence existing at the time of the passage of this Section shall be maintained in a condition of reasonable repair and shall not be allowed to become and remain in a condition of disrepair or dangerous. Any property owner who receives notice from the Building Official that his/her fence is in a state of disrepair or is dangerous shall repair said fence within thirty (30) days after receipt of written notice to abate said condition by the building Official. 6.403 (2) A six and one-half (6 1/2) foot hiqh privacy fence may be constructed only within property lines and shall not extend beyond the front corners of the main structure (house). Any fence hiqher than six and one-half (6 1/2) feet would require a Special Purpose Fence Permit approved by the P!anninq and Zoninq Commission and City Council. (a) A site plan and construction plan for the fence location must be approved by the Buildinq Inspection/Planning Department staff and a Buildinq Permit is issued. (b) Any such fence to be constructed or maintained in the front yard (limited to forty-two (42) inches) or on a corner lot, no construction shall be permitted in excess of thirty (30) inches above the abuttinq curb line shall be permitted within a trianqular area as defined as follows: Beqinninq at the intersection of the projected curb line of two intersectinq streets, then thirty (30) feet alonq one curb line, then diaqonally to a point thirty (30) feet from the point of beqinninq on the other curb line then to point of beqinnin~. The Building Official shall determine the maximum allowable height for fences on a corner lot in accordance with his personal observations and findings relating to visibility. 6.403 (4) (c) Any such fence will not be more than forty-two (42) inches high when constructed anywhere within the front yard setback area uD to the front corners of the maid structure (house). 6.403 (5) Fences for special purposes and fences differing in construction, height or length may be permitted in any district in the City by the issuance of a special fence permit recommended by the Planning and Zoning Commission and approved by the Council upon proof and reasons submitted by the applicant and upon showing to said bodies that such special fence is necessary to protect, buffer, or improve the premises for which such fence is intended. Notice of any application for any special purpose fence shall, before consideration thereof first be served upon all abutting properties of such applicant with proof of service filled with the Planning and Zoning Commission. Such special fence permit, if issued, may stipulate and provide for the height, location, construction and type of special fence thereby permitted. This Ordinance shall be in full force and effective January 1, 1998. Offered by: Seconded by: Roll Call: First Reading: Second Reading: Date of Passage: July 28, 1997 Mayor Joseph Sturdevant Jo-Anne Student, Council Secretary t~ITY COUNCIL LETTER Meeting of:July 28, 1997 AGENDA SECTION: ORIGINATING DEPART~IENT.~ CITY MANAGER ITEM: ~N~ ~~ P~ AS C~T BY: Mark A. Winson ~~~ ~Y: ~SDELL m~ ~ , ~ , ~ DATE: July 22, 1997 / DATE: Background: Columbia Heights Officer Curt Ramsdell was killed in the line of duty on July 30, 1977. A ceremony honoring his memory will be held on the twentieth anniversary of this tragic event. Mayor Sturdevant has requested that the Park & Recreation Commission and the City Council consider renaming one of the parks in Officer Ramsdell's memory. Discussion: The Park & Recreation Commission considered the request at their meeting on June 25, 1997. Parks considered for renaming are Edgemoor, Mathaire and Hilltop as all other parks are named for prominent citizens and/or the City's Sister City. Hilltop Park is named for the Hilltop Stables and later golf course in this area. Edgemoor Park is named for Edgemoor Place, which is adjacent to the park. Mathaire Park is named for the subdivision of which it is a part. It is unclear ifMathaire represents a person or not. The owners of the property that became Mathaire were Mulcare, Molan and Dahl. The Park & Recreation Commission recommended that Mathaire be the first choice for renaming if there was not a person connected to the name and that Edgemoor be the second choice. There are no Mathaire's listed in either the Minneapolis or St. Paul phone directories. As directed by the Council at their meeting of July 14, 1997, staff prepared a mailing explaining the requested park name change and informing residents that the action would be considered at the July 28, 1997 Council meeting. Cards were sent to residents within approximately two blocks of the park. RECOMMENDED MOTION: Move to waive the reading of Resolution No. 97-44 , there being ample copies available to the public. RECOMMENDED MOTION: Move to adopt Resolution No. 97-44 , being a Resolution renaming Mathaire Park as Curt Ramsdell Park. MAW:jb 97-443 COUNCIL ACTION: RESOLUTION No. 97- ~4~4 CHANGING NAME OF MATHAIRE PARK WHEREAS: The name of Mathaire Park refers only to its location; and WHEREAS: With the exception of Edgemoor, Hilltop, Mathaire and Lomianki Parks, the names of all the parks in Columbia Heights xvere chosen to recognize individuals who made significant contributions to the community or performed some meritorious service; and WHEREAS: Officer Curt Ramsdell was slain in line of duty, WH]~REAS: July 30, 1997, is the twentieth anniversary of this tragic event, WHEREAS: A request has been made to have Mathaire Park renamed Curt Ramsdell Park to honor his memory. NOW, THEREFORE, BE IT RESOLVED, that as of this date, Mathaire Park will be renamed Curt Ramsdell Park; that this change will be recognized on City maps, and that appropriate signage will be erected in Curt Ramsdell Park identifying it. Passed this 28th day of July, 1997. Offered by: Jones Seconded by: Peterson Roll Call: A11 ayes Mayor Joseph Sturdevant Jo-Anne Student, Council Secretary I hereby certify that the foregoing resolution is a true and correct copy of the resolution presented to and adopted by the City Council of the City of Columbia Heights, at a duly authorized meeting thereof held on the 28t~ day of July, 1997, as shown by the minutes of said meeting in my possession. Jo-Anne Student Deputy Clerk CITY COUNCIL LETTER Meeting of: July 28, 1997 AGENDA SECTION: OTHER BUSINESS ORIGINATING DEPT.: NO: ~ Planning and Zoningz~,~ CITY MANAGER APPROVAL ITEM: Variance, Roger P. Reiter ¢o~,~ BY: Tina Goodro BY: NO: Case #9707-23, 4220 Central Ave. DATE: July 22, Mr. Roger Reiter is requesting an appeal of a Planning and Zoning denial of a variance to allow a !4'x6' freestanding sign at 4220 Central Avenue on the south side of the property facing Central Avenue approximately six (6) feet off the ground. Attached is a copy of the Sign Ordinance for the Limited Business District, non-conforming sign ordinance, Mr. Reiter's application and site plan. I also have pictures of the sign that will be available at the meeting. This property is located in the "LB", Limited Business District. Section 9.117(8) (ii) states that one (!) freestanding sign is permitted only if the building or structure is located twenty (20) feet or more from the front lot line, not to exceed thirty-two (32) square feet per surface and limited to two (2) surfaces with a maximum height from grade of twenty (20) feet. Permits are also required for signage. At the time of applying for a permit, either the sign installer or property owner must provide information on the sizes of existing signs. With this information, Staff can determine if additional signage will make the property non-conforming. The sign Mr. Reiter is proposing to use is one that has been up for years. A few months ago the sign posts were in disrepair and the sign fell down due to strong winds. Since the sign is non-conforming due to the size (84 square feet instead of the permitted square footage of 32 s.f.), Staff notified the owner that it could not be re-installed. Section 9.1i7A(2) (ii) of the Sign Ordinance states that if a non- conforming sign comes into disrepair such that, in the opinion of the Zoning Administrator, it requires significant repairs or replacement, the sign must be removed. Since the building is the required twenty (20) feet from the property line, a freestanding sign could be utilized. However, a freestanding sign cannot exceed 32 square feet. The applicant is aware that a freestanding sign is possible as long as it conforms. This is stated in a letter to them dated July 2, 1997. Since no hardship exists at this property to warrant a variance, Staff recommends denial as allowing the continued use of the 84 square foot sign would set a precedent. The proposed sign with an 84 square foot face exceeds the maximum allowed for freestanding signs in all other zoning districts. The maximum size allowed in the "CBD" and "RB" is 75 square feet. RECOMMENDED MOTION: Move to deny the variance request to utilize the 84 square foot sign as no hardship exists. COUNCIL ACTION: ccag0797.no7 CITY OF COLUMBIA HEIGHTS ~pplication. For: ; Rezoning Variance~/6~..~ Privacy Fence Conditional Use Permit Subdivision Approval Site Plan Approval Other Street Address of Subject Property~ Application Date: Case No: Eeceipt No: 2. Legal Description of Subject Property: Applicant Name, ~67 ~-~ Address: ~/~ ~hon,: Z//-- Descrip=ion of Request: Owner: Name: 2onin~: Applicable City Ordinance Number Present Zoning Presen~ Use Section Proposed Zoning. Proposed Use Exhibits Submitted (maps. diaErams, etc Acknowledgment and Signature: The undersi~ned hereby represents upon all of the penalties of law, for the purpose of'inducing the City of Columbia Heights to take the action herein requested, that all statements herein are true and tha= all work herein mentioned will be done in accordance wi=h the Ordinances of the City o£ Columbia Heights and the laws of the State of~~innesota- /~~ · Date: Taken CiTY OF COLUMBIA HEIGHTS 590 40TH AVENUE N.B., COLUMBIA HEIGHTS, MN 554~1-3878 (612) 782-2800 TDD 782-2806 July 2, 1997 Roger Reiter 4220 Central Avenue NE Suite-106 Columbia Heights, MN 55421 Dear Mr. Reiter: At their meeting last night the Planning and Zoning Commission denied your request for a variance to allow a 14' x 6' freestanding sign at 4220 Central Avenue N.E. The reason for the denial was due to a lack of a hardship to allow the non-conforming sign. At the meeting is was discussed that a freestanding sign is possible at the site as long as it meets the code requirements which in the limited business district is 32 square feet. Please note that a permit must be issued before any other signage is installed. If you wish to take your appeal to the City Council you must submit this request in writing to the City Manager's office by Monday July 7, 1997 if'you want your appeal on the next City Council agenda meeting of July 14, 1997. Otherwise, please note that the City Council meets the 2"d and 4th Monday's of each month and the deadline for the agenda is always the Monday prior to the meeting. If you have any additional questions please call me at 782-2856. Thank you. Sincerely, ~-~ Zoning Coordinator THE CitY Of COLUMBIA HEIGHTS DOES NOT DISCRIMINATE ON THE E~ASIS OF DISABILITY IN EMPLOYMENT OR THE'PROVISION OF SERVICES EQUAL OPPORTUNItY- EM PLOYER 9.117A (2) Amended 9/27/93 Ord. 1272 (yy) Window Sign: A sign painted on, placed in, or af~xed to any window, exclusive of merchandise on displaY. Application (a) Within the municipality, no sign shal hereafter be erected, placed, altered or moved unless in conformity with this Section. (b) Signs which were lawfully in existence and in use prior to and on July 13, 1981, may remain in use even though such signs do not conform : wi. th:Section 9.117A of the City Code. However, all such non-conforming signs will be required to be brought into strict compliance with Section9.117A of the City Code if any one of the following should occur: (i) If application is made for building permits for the property, equal to or greater than $5,000.00 in estimated construction costs; if non-conforming sign comes into disrepair such that, in the the opinion of the Zoning Administrator, it requires significant repairs or replacement; (iii) If the sign face requires replacement (i.e. change of tenant, etc.); and/or (iv) If the property is sold. (c) (d) (e) No sign lawfully in existence at the time of the adoption of this Section may be rebuilt, reconstructed, or altered with'the:exception of copy change unless in conformity with the provisions of this Code. A sign is a structure or part of a structure for the purpose of applying yard and height requirements as required by Chapter 9, Article I of this Code. Nothing in the Section shall relieve any person from complying 'with any other provision of this Code. 367e [(~ ~.ll7A(7) 9.117A(8) Signs in "R-3" and "R-4" Districts (a) The creation, erection or use of any sign ~n the '~-3" and Districts not exempt un,er Jg.117A(5) or not ~ressly enumerated below is a violation of this Section. (b) The following signs are permitted in the "R-3" and "R-4" Districts: (i) One (1) iden:ificat:ion si~n per dwelling un/t not :o exceed two (2) square feet: per surface, limited :o ~wo (2) surfaces, for each single and ~wo-f-~ly residence. One (1) area identification si~n per lot l~ne facing a public street not to exceed sixteen (16) square feet per surface and limited to ~wo (2) surfaces, for each multiple dwell/nE. (iii) T~mporat-f signs not to exceed eight (8) square feet per sur- face, limited to one (1) surface and 1/m/ted :o one (1) temporary si~n per dwelling unit displayed at a single t/me and subject to the perm/t requirement of Jg.117A(3)(b) of this Ordinance. (iv) One (1) institutional si~n not to exceed thirty-~wo (32) square feet per surface and ~ted :o :wo (2) surfaces. (c) Permitted signs in the 'R-3" and "R-4" Districts are subject to the following restrictions: (t) The maximum height of a sign, including its structures, shall not exceed eight feet (8') above the grade at street level or at the base of the sign, whichever is higher. (ii) No animated signs shall be permitted. (iii) Ail illuminated signs shall be shielded in such a way as to protect the rights of adjacent property owners from nuisance. (iv) The sign number and area permitted by this Section are con- sideredmaximums. These maximums, or any portions :hereof which are not utilized by the owner(s), occupant(s) or user(s) of property located in the "R-3" and/or "R-4" Districts are absolutely non-transferable to any other property owned by such persons, or to any other owner(s), occupant(s) or user:.· of property in the same or other Districts. Signs in "LB" Dis:ricts (a) The creation, erection or use of any sign in the "LB" District not exempt under §9.117A(5) or not expressly enumerated below is a violation of this Section. (b) The following signs are: permit:ed in the "LB" District: ~67 1. eff. 9/12/88 Ord. 1034, eff. 4/14/83 (c) ~), Any number Of ua'Il signs on any side of-a building not to exceed fifty (35) squar~ ~eet of ~otal surface area for ail sign surfaces and limited to one surface per sign. Profided, however, that if a _ parcel of land on which a building is located directly abuts resident.icily zoned l~na, no wa]l. slqn may ~e, located Qn the side of the building tJ~at f~cesthe a~t:_~i o~ ~§~lin r ' ential" 'r ts located ~enty feet (20') o~ze not to ~ceed thirty-~o (3~) sq~re feet per l~tted to ~o (2) ~urfaces. One (1) vail si~n on ~ch side of the building which faces a public alley, mci: to ~xceed four .(&) square feet per face and limited to one (1) surface per (iv) (v) Ome (1) area identificatio~ sign for each shoppin~ cemCer usc to exceed fifty (50) equate feet per surface, and l~ted Co four (4) Surfaces, in addition to one (1) vail sign fetich priory use business not to exceed fifty (~0) square feet per surface, l~-tced Co one (1) surface. One (1) identification sign for each use ot~er than primau use not to exceed ~wo (2) square feet per surface, and limited to one (1) surface. (vi) One (1) vail sign per building with an area of the lesser of twenty .(20) square feet or one-half (1/2) of a square foot for each front foot of a building or structure provided that the said sign is located on the same side of the building as an en- trance approved by.the City Building Official as a public en- trance and provided that the said public entrance and sign faces a parking facility designated by the City as approved public parking. Permitted signs in the "LB" District are subject to the following restrictions: (ii) (iv) Total siva area shall .not exceed tVS (2) square feet for .each front foot of the huf..ldins or structure. ~ the ~se of ~iple occup~cy, the wall surface for each t~to user or o~er shall include o~y the surface ar~ ~ the facade of the praises occupied by such t~C, us~z or ~e ~x~ height of a sl~ ~clud~S its sc~c~re nsc ~ceed ~enCy (20') ~eeC able the ~e si~ ar~ pe~cced ~ Jg.llT~(8)~)(iv) a~e nsc be in addition ~o the ar~ petered ~ Ig.llTA(8)~) (i) and Jg.~TA(8) {b) (ii) ~d I~.~TA(8) ~) (~). ~e si~ n~ber and ar~ ?e~cced by t~s Secti~ are si~ered ~xiu~. %ese ~--~,~-, or ~ porci~ thereo~, vhich are not uttlixed by the ~er(s), occup~t(s) or user(s) of property located in cha '~" District are lucel~ non-cr~sferable to ~ ochec p~oper~ ~ed, Occ~l~ or used by' such peres0 or ~o ~ other ~er(s)o sc user(s) si prop~ ~ the s~ o~ o~er DlsC~c~. , - 367 m. - CITY OF COLUMBIA HEIGHTS 590 40th Avenue N. E. Columbia Heights, MN 55421-3878 (612) 782-2800 July 13, 1993 RE: Herried Building 4220 Central Avenue Mayor Donald J. Murzyn, Jr. Counciimembers Sean T. Cierkin Bruce G. Nawrocld DEAR BUSINESS O~I~R: Gary. L. Peterson RobertW. Ruettimann On April 14, 1983 the City Council adopted a Sign Ordinance regulating all signage within the City limits. Existing businesses were given a City Manager five year period to bring their signage into conformance with the Sign Patrick Hentges Ordinance. On December 14, 1988 the Ordinance was amended to allow pylon signs over eight feet tall to be located within one foot of the front property line and many existing signs were then in compliance. An additional extension of five years was then granted to existing non-conforming signage. Since the adoption of the Sign changes, many property owners have brought their signage into compliance. On July 14, 1993 the moratorium will expire and all non-conforming :signage will be required to be brought into compliance whenever any change or alteration is made to the property or the signage or when ownership changes. Additionally, the existance of a non-conforming sign could impact saleability. The signage on your property is non-conforming because: me Freestanding signage exceeds allowed. sign allowed. Only one area identification 3e Please contact the Building Inspection Department within thirty (30) days to let us know what your plans are to bring your signage into conformance. You may contact this office at 782-2818. Sincerely, Eve lyn Building/Zoning Administrator EN/kp "SERVICE IS OUR BUSINESS" EQUAL OPPORTUNITY EMPLOYER CITY COUlqCI~, LETTRR Meeting of: July 28, 1997 AGENDA SECTION: Other Business ORIGINATING DEPARTMENT: CITY MANAGER'S NO: 7 City Manager APPROVAL ITEM: Reinstatement of Lynde Investment BY: J. Student BY: Rental Licenses 7-C-2 DATE July 23, 1997 DATE: Attached is an update on the status of the Lynde Investment Properties and the profile of the most recent inspections by the Housing Maintenance Code Inspectors and the City's Building Inspector. It is the recommendation of the City Attorney that the licenses be reinstated. MOTION: Move to reinstate the revoked rental licenses for properties owned by Lynde Investments as recommended by the City Attorney and as the buildings have been inspected by the Housing Maintenance Code Inspectors and the Building Inspector. COUI~CIL ACTION: dUL~-23'97(WED) 14:37 TO: FROM: RE: DATE: BARNA GUZY STEFFE Walt Fehst Malcolm P. Terry Lynde Rental License 7/23/97 TEL:612 780 1777 P. 002 On March 10, 1997, the rental licenses for Lynde Investment Company ("Lynde") were revoked for "failure to allow annual inspections." This revocation took place after numerous attempts to gain aocess to Lynde properties to conduct the housing inspections failed. A~ a result of the revocation, Lynde initiated a lawsuit against the city of Columbia Heights ("City") alleging numerous civil counts including violation of the United States Constitution. The City's concern has at all times been that the inspections take place. As a result, after the hearing held in Federal Court on June 4, 1997, Judge Rosenbaum made it clear that the city should get into the properties to conduct the inspections either with tenant consent or via search warrant. Therefore, it was agreed between counsel for the parties that a letter would be drafted and sent to each tenant along with a postage pre-paid post card that the tenant would send back to the City granting or denying consent to inspect. This letter was shown to and approved by Lynde's attorney. In addition, it was agreed that the inspections would be performed by both the city Housing Maintenance Code Inspectors who were not named as defendants and Mel Collova, the City Building Code Inspector. Furthermore, it was agreed that as Lynde's rental licenses had been revoked solely for failure to allow annual inspections, that they would be reinstated after all the inspections had been JUL.-23'97(WED) 14:37 BARNA GUZY STEFFE TEL:612 780 1777 P. O03 completed. The reinstatement of Lynde'~ rental licenses without having to go through the formal application process was also agreed to in order to show a good faith effort to work with Lynde. Finally, Lynde agreed to allow the inspections and not to seek judicial intervention to stop the inspections if all the above criteria were followed including license reinstatement. To date, all of the Lynde properties have been inspected per the agreement of the parties. Access to the properties was gained either by tenant consent or administrative search warrant. As a result of the arrangement made with Lynde which was urged by Judge Rosenbaum, Lynde's rental licenses ~hould be reinstated at the next City Council Meeting. It should be noted that the reinstatement of Lynde's licenses without going through the application process is solely a one time deal made in order to get these inspections completed. Lynde must now make the repairs to the buildings as provided for under the Housing Maintenance Code. It was agreed that Lynde would have a reasonable amount of time to repair violations found in each building. Furthermore, that any serious violation would take precedent regardless of which building the violation was found in. M: Police & Fire Reserve Appreciation . Dinner r , . CITY COUNCIL LETTER ORIGINATING DEPARTMENT POLICE BY: M. Dugdale DATE: July 17, 1997 Meefin~ of July 28, 1997: CITY MANAGER II APPROVAL: ,11 In the past, the City Council has hosted an annual appreciation night for members of the civil defense Police and Fire Reserve Units and their guests, with funding budgeted in the civil defense fund. In 1996, funds were not budgeted in the civil defense fund, but were budgeted in the recognition/special events fund #45050 and the civil defense volunteer recognition was combined with the general recognition. For 1997, funds were not budgeted in civil defense, with only minimal funding budgeted in the recognition/special events budget. Staff has reviewed the recognition/special events budget and it appears that there are adequate funds in the budget to cover the civil defense volunteer recognition. Currently the department is under expended in Program Activities and Special Events. This year the Reserve Units requested a return to the former practice of having their own recognition evening. The Police Reserve Unit provided over 2,300 hours of patrol and special event assistance in 1996 and are an invaluable resource for the City of Columbia Heights. In recognition of their dedication and service, we are requesting approval of the City Council of this recognition event and necessary funding for it. RECOMMENDED MOTION: "Move and authorize the appropriation of $3,080 in the general fund civil defense department budget for volunteer recognition, with the appropriation coming from the recognition/special events department fund balance in the general fund, and to authorize the Mayor and City Manager to enter into an agreement with Chanhassen Dinner Theatres for this appreciation event." CD97-13 COUNCIL ACTION: CITY COUNCIL LETTER Meeting of: July 28, 1997 AGENDA SECTION: 0 TH E R B O S I N E S S ORIGINATING DEPT.: CITY MANAGER NO: t~ Recreation APPROVAL NO: /~ ,.- ~ ,, /~, DATE: July 24, 1997 The Recreation Department is seeking permission to seek bids on the purchase and installation of a security system for the upper and lower levels of Murzyn Hall. Attached is an estimate prepared for discussion of this proposed alarm system which was submitted by Police Captain Leonard Olson. This action has been approved by the Park and Recreation Commission at their meeting of July 23, 1997. RECOMMENDED MOTION: Move to authorize staff to seek bids for the purchase and installation of a security system at Murzyn Hall. COUNCIL ACTION: CiD' of Columbia Heights Police Department MEMO To: Ed Brandeen Park and Recreation Director From: Leonard Olson. Captain Subject: Mur~.-n Hall Alarm Information Date: July 22, 1997 The attached is an estimate prepared for discussion of the proposed Murzyn Hall alarm system. Prices have been rounded slightly. Another company such as 3M or .MDT should be contacted to provide additional bidding. attachments cc W. Elrite, Finance Director Murzyn Hall Alarm Installation Estimate Pricing rounded for discussion purposes 1 8 1 Control Panel, Zoned, 1 remote Motion Detectors ~ $90ea Varda Police unit Misc Hardware, screws,drill bits, etc 2,4,6 Conductor wire, plenum approved $200.00 $720.00 $1793.00 $150.00 $3O0.00 Parts Tax $3163.00 $2O5.60 Sub Total $3368.60 Est. Labor $1200.00 Grand Total $4568.60 AGENDA SECTION: Consent NO. ITEM: Block Party Request: Edwin Eaton NO. 4908 N.E. 6t~ Street CITY COUNCIL LETTER ORIGINATING DEPARTMENT POLICE BY: M. Dugdale DATE: ,,J.~ul~ 2~, 1997. Meeting of: July 28, 1997 CITY MANAGER APPROVAL: / / Attached is a block party request from Edwin Eaton, 4908 N.E. 6th Street, to conduct a block party on Tuesday. August 5, 1997, from 5:30 P.M. to 9:00 P.M., with barricades blocking off Sixth Street between 49th Avenue and 50th Avenue. Tuesday, August 5, 1997, is National Night Out. RECOMMENDED MOTION: Move to approve the request of Edwin Eaton, 4908 Sixth Street, to block off Sixth Street between 49t~ Avenue and 50th Avenue for a block party from 5:30 P.M. to 9:00 P.M. on August 5, 1997. 97-295 Attachment COUNCIL ACTION: REQUESTOR'S NAME: BLOCK PARTY REQUEST REQUIRING STREET TO BE BLOCKED RECEIVED REQUESTOR'S ADDRESS: A.M./P.M. TO q ,' 0 C'~ A. MJP.M. STREETS THAT SHOULD BE BLOCKED: NOTE: (ATTACH MAP IF NECESSARY) THIS FORM MUST BE SIGNED AxND RETURN'ED TO THE COLUMBIA HEIGHTS POLICE DEPARTMENT, POLICE CHIEF'S OFFICE, 559 Mil ,1, STREET N.E., COLU'MBIA HEIGHTS, MN 55421. THIS FORM MUST BE RECEIVED BY THE CITY ON THE MONDAY PRECEDING A CITY COUNCIL MEETING. CITY COUNCIL MEETINGS ARE HELD THE SECOND AND FOURTH MONDAYS OF EACH MONTH. YOU WILL BE NOTIFIED IF YOUR REQUEST HAS BEEN APPROVED. IF YOUHAVEQUESTIONS, PLEASE CONTACT THEPOLICE CI--IIF. F'S SECRETARY AT 782-2845. CITY COUNCIL LETTER Meeting of:July 28, 1997 AGENDA SECTION: ORIGINATING DEPAi~TME~: CITY MANAGER ITEM: E~RGENCY ~P~ OF ~S~SSION ON BY: M. Wi~on ~~ BY: P~ER ~UCK 3783 DATE: J~y 28, 19~ DATE~/~f/~ 7 The transmission of Pmnper Truck #3783 has developed a transmission problem in which the transmission will not stay in neutral. The truck has been sent to Interstate Detroit Diesel to be evaluated. Interstate has reported that the estimate for repair is $4,822.50. The truck is a 1977 and was recently refurbished with regard to the fire pumps and body. As the expenditure for the repair exceeds $3,000, Council action is necessary to have the repair completed. RECOMMENDED MOTION: Move to authorize the repair to the transmission of Pmnper Truck #3783 by Interstate Detroit Diesel based on the estimate of $4,822.50; and, furthermore to authorize the City Manager to enter into an agreement for the same. MAW:ih 97451 COUNCIL ACTION: Fox Interstate Detroit Diesel 2501 East 80th Street Minneapolis, MN 55425 Phone: (612) 854-5511 Fax: (612) 814-0528 TO: ~~ ~. i Firm: -~,~., Fax ~-Um~r: From: ~¢~ ~.,~ .Allison Transmission Foreman Date: 7- Number of Pages ~inciuding cover sheet)_. P. 01701 Branch Locations Des Molne$, IA*Rock Island, IL*VLr§inia, MN*Billings, MT*Missoula, MT*Omaha, NE Bismarck, ND*Fargo, ND*Willi$ton, ND*Rapid City, SD*Gillette, WN'~Grand Porks, ND CITY COUNCIL LETTER Meeting of:July 28, 1997 AGENDA SECTION: ORIGINATING DEPArTMENt: CITY MANAGER NO: PUBLIC WORKSiiJ~/// ITEM: EMERGENCY REPAIR OF TRANSMISSION ON BY: M. Winson ~.~~ BY: PUMPER TRUCK 3783 DATE: July 28, 19~ The transmission of Pumper Truck #3783 has developed a transmission problem in which the transmission will not stay in neutral. The truck has been sent to Interstate Detroit Diesel to be evaluated. Interstate has reported that the estimate for repair is $4,822.50. The truck is a 1977 and was recently refurbished with regard to the fire pumps and body. As the expenditure for the repair exceeds $3,000, Council action is necessary to have the repair completed. RECOMMENDED MOTION: Move to authorize the repair to the transmission of Pumper Truck #3783 by Interstate Detroit Diesel based on the estimate of $4,822.50; and, furthermore to authorize the City Manager to enter into an agreement for the same. MAW:jb 97451 COUNCIL ACTION: 3'UL-25-19c37 09:29 H'-ITERSTATE Fax interstate [Detroit Diesel 2501 East 80th Street Minneapolis, MN 55425 Phone: (612) 854-5511 Fax:' (612) 814-0528 o. 3'i ~_. L/~._, Firm:_.-~fl'y.. o~ .d',~/~,,~,~,,.,, Fax Number: '?.~_2-_ ~ -~2,-.f7 ' .v From: !~gn, 4.,~r~ Allison Transmission Foreman Date: 7- ~. f'~ 9'2 Number of Pages iincl'udi~g cover sheet)__ / ' Branch Locations Des Molnei, IA*Rock Island, IL*Virginia, M'N~Billing$, M'l'*Mbsoula, MT*Omaha, NE 13ismarck, ND'Fwgo, ND*Williston, N-D'Rapid City, SD*Gillette, WY*Grand Forks, ND COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA) REGULAR MEETING OF JUNE 24# 1997 CALL TO ORDER. The Regular Meeting of the Columbia Heights Economic Development Authority (EDA) was called to order by President Peterson at 7:00 p.m., Tuesday, June 24, 1997, at Parkview Villa Community Room B, 965 40th Avenue N.E., Columbia Heights, Minnesota. ROLL CALL. Commissioners Present: Patricia Jindra, Gary Peterson, Richard Dustin, Joseph Sturdevant, Meg Jones, Donald Jolly, and Robert Ruettimann. Staff Present: Walter Fehst, Executive Director; Kenneth Anderson, Deputy Executive Director; Becky Townsley, Secretary; Jennifer Stoopes-Mokamba, Parkview Villa Housing Manager; Tina Goodroad, Planner; Bill Elrite, EDA Assistant Treasurer/Finance Director; and June Johnston, Assistant Finance Director. Others Present: Steve Bubul, Kennedy & Graven; Shirley Barnes, Crest View Corp.; Gordon Awsumb, Columbia Heights Business Center; Tom Hodnefield, CPA Tautges, Redpath & Co.; Steve Menno, Menno Travel Service; Margaret Thomas, Renie Sufka, Ruth Hillestad, Marian Johnson, Millie Scott, Mary Harris, Donna Hams, Marianna McCoy, Irene Sufka, Betty Morrison, Evelyn Kline, and Pat and Reuben Bush. PLEDGE OF ALLEGIANCE. ADDITIONS/DELETIONS TO MEETING AGENDA. deletions to the meeting agenda. There were no additions or CONSENT AGENDA. Approval of Minutes. 1) Regular Meeting of May 20, 1997. MOTION: Move to adopt the minutes of the May 20, 1997 regular meeting as presented in writing. 2) Special Meeting of June 4, 1997. MOTION: Move to adopt the minutes of the June 4, 1997 special meeting as presented in writing. B. Financial Report. MOTION: Move to receive the financial report as presented in writing. C. Payment of the Bills. MOTION: Move to approve the payment of bills out of proper funds. MOTION by Ruettimann, second by Dustin, to approve the consent agenda as presented in writing. Ail voted aye. MOTION CARRIED. Page 1 of 8 ED~% REGULAR MEETING MINUTES JUNE 24t 1997 REPORT OF THE MANAGEMENT COMPANY. Jennifer Stoopes-Mokamba, Housing Manager. Jennifer Stoopes-Mokamba, Housing Manager, reviewed the written Parkview Villa Monthly Report and answered Commissioners questions. RECOGNITIONt PROCLAMATIONSr PRESENTATIONS~ GUESTS. None. PUBLIC HEARINGS. None. ITEMS FOR CONSIDERATION. A. Other Resolutions. None. B. Bid Considerations. None. Other Business. 1) Audit of EDA Financial Statements. a) Tom Hodnefield, CPA Tautges, Redpath & Co., Ltd. The City financial statements have been audited and reviewed by Tautges, Redpath & Co., Ltd., a certified accounting firm. Tom Hodnefield from Tautges, Redpath & Co., Ltd. discussed the financial activity of the EDA and the fund balances at the time the HRA was dissolved and the EDA formed in January, 1996. The EDA Assistant Treasurer, William Elrite, and June V. Johnston, Assistant Finance Director for the City of Columbia Heights, were present and assisted in addressing questions from the Board regarding the audit of the EDA's financial statements. Enclosed with the agenda packet was a copy of~the management letter dated May 14, 1997 which was prepared to discuss the issues and the transition of funds from the HRA to the EDA. Also the financial activity in each of the funds falling within the jurisdiction of the EDA were outlined. Questions regarding the status of funds were addressed to Mr. Hodnefield after his presentation regarding the transition from the HRA and current financial status of the EDA. Commissioner Ruettimann suggested staff create a spread sheet for the various accounts, such as CDBG and HOME funds, to keep the Commissioners apprised of the funds activity. This will enable'the Commissioners to track the funds and make decisions regarding the expenditure of future funds. Mr. Anderson provided a copy of a letter from Tautges, Redpath & Co., Ltd. addressing the concerns of the Commissioners regarding the fund balance of the HRA's General Fund as of December 31, 1995. Basically the letter indicates the balance a't the end of 1995 is $53,521. Page 2 of 8 EDA REGULAR MEETIN~ MINUTES UD19]~ 24~ 1997 2) Proposed Redevelopment of 4150 Central Avenue N.E. a) Steve Menno, Menno Travel Service. Mr. Menno was present to express his interest to the Board co~erning acquiring the building at 4150 Central Avenue for his Travel Service and providing additional space for him to lease to a prospective tenant. Staff has been working with Steve Menno since last summer. Mr. Menno has met directly with the owner of Citywide Locksmithing to determine if he had any interest in selling his property in exchange for favorable lease terms for space in the remodeled Professional Building. Mr. Menno has experienced difficulty in generating any interest on the part of the adjacent property owner. The adjacent property is very important in that it would provide limited on-site parking for the Professional Office building facility if the property is acquired and a lot combina- tion is approved. However, the lack of some on-site parking is extremely limiting to the future redevelopment potential of this site. Handicap accessibility is also a concern which could be corrected if the Citywide Locksmithing property were acquired giving access to the north side of the building in order to put in a ground level entrance. There has been discussion with NEI, which expressed an interest in leasing a portion of their parking lot to help meet parking require- ments. However, the NEI parking lot is not adjacent to the 4150 Central property and is located behind the building and across the alley. Mr. Anderson reported that he has received a couple of other inquires regarding the 4150 Central Avenue property. A letter was attached with the agenda packet which describes interest by another party. The Board discussed to what extent the EDA should be involved in facilitating a deal to sell and redevelop the site. The Board discussed whether they wanted to authorize the staff to work with someone to acquire the property and meet requirements or if they wanted to sell the property on the private market and establish a sales price for the building. Another alternative would be to demolish the building. It was estimated that asbestos removal would cost approximately $47,000 to $50,000. DuAll has looked at the building and given a rough estimate of $200,000 to $250,000 to bring the building up to code. Mr. Anderson suggested the EDA Board set general parameters they would like to see for the site, then distribute a request for proposals to seek interest from various developers and determine what they could do to meet the City/EDA objectives for redevelopment of the site. The possibility that the former White Rental property at 4200 Central Avenue N.E. could be incorporated in a redevelopment plan was also discussed. Whatever decision is made concerning the development of the site, Mr. Anderson said staff needs to know if the Board is prepared to go as far as eminent domain proceedings in order to make the adjacent property available for parking. Mr. Anderson reported that this project could qualify for an application for our new CDBG Commercial Revitalization account which has $129,000 budgeted to take out substandard, nonconforming buildings. The funds could be used to make this project more financially feasible for a developer. Page 3 of 8 EDA REGULAR MEETING MINUTES JUNE 24, 1997 President Peterson polled the Commissioners on how they felt concerning the EDA going out for request for proposals (RFP's) and if they would commit to demolition and relocation of Citywide Locksmithing if they are compensated in the proper manner? Nays: Sturdevant, Jones, Jindra, Ruettimann, Jolly; Ayes: Dustin, Peterson. Since a clear d~cision was not made regarding how we should proceed with this project, President Peters0n suggested the Commissioners go home, think about it, and be prepared to discuss it again next month. Mr. Anderson offered to assist Commissioners in this thought process by having staff prepare a brief summary of potential options for redevelop- ment of 4150 Central Avenue N.E. as well as the surrounding area. 3) Crest View Corporation Grant Application. a) Shirley Barnes, CEO. Shirley Barnes, CEO, reported that the Board of Directors has authorized Crest View Corporation to submit an application to HUD to fund a 40 unit low income, senior housing facility. The source of the funds would be a Capital Advance Grant from the HUD 202 program. The proposal will require no financial contribution from the City/EDA. Ms. Barnes explained the function of the HUD 202 program and reviewed some statistics that HUD had furnished showing the great need for additional low income senior housing in this area. A memorandum dated June 19, 1997 which summarized the HUD 202 application was enclosed with the agenda packet. This was brought before the Economic Development Authority for advisory purposes to inform the Commissioners about a substantial housing project that is being proposed. As part of the application, HUD requires information from the Planning and Zoning Commission and City Council regarding the compliance of the project with the Cities Comprehensive Plan. This item will be scheduled on the Planning and Zoning agenda of July 1, 1997 and the City Council meeting of July 14, 1997. No action was required at this time. Ms. Barnes invited the Commissioners to Crest View's 45th Anniversary Open House which was to be held tomorrow (Wednesday, June 25, 1997) from 2:00 p.m. until 6:00 p.m. 4) Appoint Representative to Anoka County Rental Forum Steering Committee. Mr. Anderson briefly explained the function of the Anoka County Rental Forum Steering Committee and asked for a volunteer to sit on the committee. Mr. Dustin tentatively volunteered to attend the next meeting and bring information back to the Board. He said he would visit with Ken Anderson concerning the time and date. Page 4 of 8 EDZ% REgUlAR MEETIN~ MINUTES JUNE 24v 1997 6) Approve Assignment of Operating/Management Agreements and Waiver and Release for the Columbia Heights Business Center. Recently the owners and management of the Columbia Heights Business Center at 3989 Central Avenue N.E. have been negotiating a long term financing package with a number of potential lenders. An out-of-state lending institution has agreed to provide financing and a closing is scheduled for late in the week of June 23, 1996. In order to close on the loan, the Columbia Heights Economic Development Authority and City Council of Columbia Heights must approve an assignment of certain operating and management agreements to the new owner - Lake States Property, Inc., A Minnesota Corporation. Stephen Bubul, legal counsel, has been working closely with staff and the building owner's legal counsel to prepare the appropriate agreements and documentation. Mr. Anderson passed out a revised copy of the Waiver and Release Agreement as well as an Assignment of Parking Agreements which he said are essentially the same documents that were described at the City Council meeting of June 23, 1997. Mr. Bubul was present to explain the few changes that were made and respond to questions. The action that was taken by the City Council was to approve these documents each by separate motion with the understanding that final approval would be contingent upon the EDA approving them. Mr. Bubul explained that regarding the "Assignment of Parking Agree- ment,'' this new agreement relates to the Assignment of Management Agreement for the Parking Facilities and Lease of the Plaza Property dated June 27, 1988, in which Terry Evenson assigned his rights in the Management Agreement to Zaidan Holdings. There was a separate agreement titled "Parking Ramp Agreement" in which the City of Columbia Heights is obligated to maintain the operation of the parking ramp which was signed March 10, 1995 with Zaidan. These agreements were then assigned from Zaidan Holdings to Mobilia, Ltd. What is happening now is Mobilia Ltd. is refinancing and transferring agreements to Lake State Properties, Inc. and that requires further approval of the "Assignment of Parking Agreements". Under the operating agreement the City is required to consent to the Agreement. The only changes in the amended Agreement that the City Council voted on at the June 23rd City Council meeting from the Agreement that was to be considered is 1) a reference to adding a copy of the 1995 assignment as an exhibit to this document, and 2) a reference that there is no rate for parking charges and if there are charges they have to be mutually approved by the EDA/Cityand Lake State Properties. Therefore, they are purely technical changes. There were two basic transactions for which the City Council and EDA 'must consent. The first was the Assignment of the Operating and Management Agreements which have been revised to reflect the new owners and a term which simultaneously ends in the year 2002 for both the Management and Operating Agreement. There was an automatic 10 year extension to the Agreements. Page 5 of 8 EDP, I~EGUT.~ I~EET'rNG H'rNUTES ,.TUNE 24, ';997 The second was a modified Waiver and Release form which releases Zaidan, Mobitia and now the new owner from any claim to the approximately $80,000 in taxes to be paid as part of this transaction and due for the second half of taxes payable in 1995. It also identifies the EDA commitment to provide 50% of costs up to $30,000 for security system improvements to the parking ramp. This payment could be made for up to one year and only after receipt of the tax increment proceeds due as a result of the payment of back taxes. Execution of the waiver and release by the building owners would enable the Satisfaction of Mortgage to be released. Mr. Bubul explained that the only change in this document was an additional issue was discussed concerning the tax on the walkway plaza property. The walkway plaza property is leased to a private entity and is taxable. Somehow, for a couple of years Anoka County lost track of that information and began sending the tax statements to the City of Columbia Heights for taxes payable in 1997. The City paid the first half-taxes which were clearly the obligation of the tenant. Mobilia agreed in this agreement to pay the full 1997 taxes, including the amount to be reimbursed to the City, which was approximately $2,400 plus the second half taxes (see Section 10 of the Waiver and Release Agreement). Attached were copies of the agreements prepared and received by legal counsel for the owners late on Friday afternoon. Therefore, this item needed to be added to the agenda at the beginning of the City Council meeting of June 23, 1997. The EDA also considered approval of these documents at this meeting of June 24, 1997. Commissioners asked Mr. Awsumb what had been done to improve the parking ramp. He explained they have been working with a couple of security companies to get ideas to bring the parking ramp up to standards specified in the Minneapolis code° So far they have improved the lighting and have hourly ramp patrol by maintenance staff. Commissioners questioned how many members remained on the Board of Lake States Property that were previously on the Board of Mobilia, Ltd. Mr. Awsumb indicated approximately 25%. Mr. Ruettimann again expressed there are other businesses in the TIF District that are current on their taxes requesting financial help. He feels they should be given the opportunity to request financial assistance and Lake States Property, Inc. should be able to function on their own. MOTION by Ruettimann, second by Jolly, to approve the Assignment of the Parking Agreement to Lake States Property, Inc., A Minnesota Corpora- tion; and furthermore, to authorize the President and Executive Director to enter into an Agreement for the same with the corrected language that was documented on June 24, 1997 for the Assignment of Parking Agree- ments, including complete exhibits, and that a corrected copy be sent to the City Council after execution. Roll call vote - Ayes: Peterson, Ruettimann, Jindra, Dustin, Jolly; Nays: Jones, Sturdevant. MOTION CARRIED. Page 6 of 8 EDA REGUL~%/~ MEETING MINUTES JUNE 24t 1997 MOTION by Ruettimann, second by Jolly, to approve Waiver and Release Agreement for the Columbia Heights Business Center; and furthermore, move to authorize the President and Executive Director to enter into an Agreement for the same with the removal of paragraph 8, item B referring to Mobilia or its successors and assigns to petition the EDA or the City to request financial assistance in some form. Roll call vote - Ayes: Peterson, Ruettimann, Jolly, Dustin, Sturdevant, Jones, Jindra; Nays: none. MOTION CARRIED. 5) Scattered Site TIF District Update. Mr. Anderson informed the Board that the scattered site TIF District was being sent to Anoka County to be certified before July 1. Three property owners who are on the list have contacted the EDA with interest in selling their property. Mel Collova, Building Official, has identified six properties he feels are in serious condition and should be evaluat- ed. Staff anticipates moving quickly on some of the properties and will have a report at the next EDA meeting. ADMINISTRATIVE REPORTS. A. Report of the Deputy Executive Director. Mr. Anderson reported that he had sent the Commissioners a copy of the Business Retention and Expansion Survey and asked for Commissioners comments or suggestions. Commissioners suggested having a question on the survey regarding businesses opinions on local government services. B. Report of the Executive Director. Committee/Other Reports° 1) Tyler Heights Subcommittee Report. No report at this time. GENERAL EDA COMMUNICATIONS. Mr. Anderson reported on the St. Timothy's Senior Housing project and stated that staff has prepared a list of items they need to submit as part of the Planning and Zoning Commission approval for that project. He also passed out a draft Proposed Schedule for Adoption of the Tax Increment Financing District. Mr. Anderson reported that in visiting with Mr. Nedegaard he was informed that they have been working with HUD which is very favorable concerning the project. They have engaged Maxfield Research Group to do a market study. HUD has provided a couple of comments including: 1) they think that rents are a little on the high side, and 2) HUD would like to see more underground parking spaces to equal approximately 75% of the number of total units. Commissioner Ruettimann stated this St. Timothy's Senior Housing project should be considered a priority. If there is any delay in the project he does not want it to be because of the City. Page 7 of 8 EDi~ REGUI~.,R MEET'~'NG M'rNUTES JUNE ~4~, L997 CITIZEN FORUM TO a~DRESS ED~ ON M/~TTERS NOT ON AGENDa. Commissioner Jindra has heard complaints from Parkview Villa residents and had concerns regarding Parkview Villa's policies concerning parties held in the community room. There was discussion and staff will review the policies and address the issues. Commissioner Peterson asked if staff could check if any actiOn has been taken regarding the condition of the sidewalks in the park and also to the mall, especially regarding handicap accessibility. MEETINGS: A. The next Regular EDA meeting. The next regular meeting is scheduled for 7:00 p.m., Tuesday, July 15, 1997 at Community Room B at Parkview Villa. ADJOURNMENT. MOTION by Jindra, second by Dustin, to adjourn the Regular EDA meeting at 10:45 p.m. All voted aye. MOTION CARRIED. Respectfully submitted, Rebecca Townsley, Secretar~ edamin/june24 Page 8 of 8 OFFICIAL PROCEEDINGS COLUMBIA HEIGHTSBOARD OF TRUSTEES VOLUNTEER RELIEF ASSOCIATION MARCH !0, 1997 MEETING 2 o o CALL TO ORDER/ROLL CALL The Mayor called the Board of Trustees Meeting to order at 10:19 p.m. Mayor Sturdevant and Councilmembers Jones, Jolly, Ruettimann and Peterson were present. APPROVAL OF MINUTES Motion by Ruettimann, second by Jolly to approve the minutes of the November 12, 1996 Board of Trustees Meeting as presented. Roll call: All ayes RECOMMENDATION FOR RELIEF ASSOCIATION MEMBERSHIP Motion by Ruettimann, second by Peterson to have the Fire Department Volunteer Relief Association Board of Trustees take official action to accept Mark O. Seaton as a member of the Association effective March !, 1997. Roll call: All ayes ADJOURNMENT Motion by Peterson, second by Jones to adjourn the meeting at 10:22 p.m. Roll call: All ayes Mayor Joseph Sturdevant Jo-Anne Student, Council Secretary CITY COUNCIL LETI"ER Meeting of: July 28, 1997 AGENDA SECTION: Volunteer Fire ORIGINATING DEPARTMENT: CITY MANAGER Relief Association APPROVAL NO: Fire ITEM: Mark J. Fisher Resignation BY: Charles Kewatt BY: NO: DATE: July 10, 1997 DATE: Columbia Heights Fire Department Volunteer Relief Association Board of Trustees Please be advised that Mark J. Fisher has resigned from the Fire Department effective June 25, 1997. Mark was appointed to the Volunteer Division of the Fire Department on January 2, 1996. He was a member in good standing with our department. RECOMMENDED MOTION: Moved to accept the resignation of Mark J. Fisher, Volunteer Fire Department, effective June 25, 1997. No Relief Association benefits have been accrued. 97-83 ICOUNCIL ACTION: CITY COUNCIL LETTER Meeting of: July 28, 1997 AGENDA SECTION: Volunteer Fire ORIGINATING DEPARTMENT: CITY MANAGER Relief Association APPROVAL NO: Fire ITEM: Mark O. Seaton Resignation BY: Charles Kewatt BY: NO: DATE: Jul7 10, 1997 DATE: Columbia Heights Fire Department Volunteer Relief Association Board of Trustees Please be advised that Mark O. Seaton has resigned from the Fire Department effective June 29, 1997. Mark was appointed to the Volunteer Division of the Fire Department on March 1, 1997. He was a member in good standing with our department. RECOMMENDED MOTION: Moved to accept the resignation of Mark O. Seaton, Volunteer Fire Department, effective June 29, 1997. No Relief Association benefits have been accrued. 97-84 COUNCIL ACTION: