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HomeMy WebLinkAboutDecember 18, 1995 RegularDecember 15, 1995 The following is the agenda for the regular meeting of the City Council to be held at 7:00 PM on Monday, December 18, 1995, 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) CITIZEN FORUM TO ADDRESS THE COUNCIL ON MATTERS NOT ON AGENDA (In advance of the Regular meeting, 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.) 1. CALL TO ORDER AND 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 agenda items as listed below: 1) Adopt Minutes of the Regular City Council Meeting of December 11, 1995 MOTION: Move to adopt the minutes of the Regular City Council Meeting of December 11, 1995, as presented in writing, and such reading be dispensed with. 2) Designate Official Newspaper for 1996 MOTION: Move to designate the Columbia Heights Focus as the official City newspaper for 1996 and to authorize the Mayor and City Manager to enter into an agreement with the Columbia Heights Focus for required publications. 3) Authorize Final Payment for Building Signs, Municipal Project #9315 MOTION: Move to accept the work for Building Signs, Municipal Project #9315 and to authorize final payment of $2,325.44 to Sign Solutions of Robbinsdale, Minnesota. 4) Resolution 95 -85, Designating Depositories for Funds of the City of Columbia Heights MOTION: Move to waive the reading of Resolution 95 -85, there being ample copies available to the public. MOTION: Move to adopt Resolution 95 -85, being a resolution designating depositories for City funds of the City of Columbia Heights. The City of Columbia Sleights does not discriminate on the basis of disability in employment or the provision of services Equal' Opportunity Employer Mayor Ciro/ Joseph Sturdeoant Couneilmembers Colu / is He ♦ /" Donald G. Jolly Gary L. Peterson. //�/�I/r//,/'� �/�//� Rita M. Petkoff Robert W. Ruettwwm City Manager Patrick Hentges December 15, 1995 The following is the agenda for the regular meeting of the City Council to be held at 7:00 PM on Monday, December 18, 1995, 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) CITIZEN FORUM TO ADDRESS THE COUNCIL ON MATTERS NOT ON AGENDA (In advance of the Regular meeting, 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.) 1. CALL TO ORDER AND 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 agenda items as listed below: 1) Adopt Minutes of the Regular City Council Meeting of December 11, 1995 MOTION: Move to adopt the minutes of the Regular City Council Meeting of December 11, 1995, as presented in writing, and such reading be dispensed with. 2) Designate Official Newspaper for 1996 MOTION: Move to designate the Columbia Heights Focus as the official City newspaper for 1996 and to authorize the Mayor and City Manager to enter into an agreement with the Columbia Heights Focus for required publications. 3) Authorize Final Payment for Building Signs, Municipal Project #9315 MOTION: Move to accept the work for Building Signs, Municipal Project #9315 and to authorize final payment of $2,325.44 to Sign Solutions of Robbinsdale, Minnesota. 4) Resolution 95 -85, Designating Depositories for Funds of the City of Columbia Heights MOTION: Move to waive the reading of Resolution 95 -85, there being ample copies available to the public. MOTION: Move to adopt Resolution 95 -85, being a resolution designating depositories for City funds of the City of Columbia Heights. The City of Columbia Sleights does not discriminate on the basis of disability in employment or the provision of services Equal' Opportunity Employer Page 2 CITY COUNCIL AGENDA FOR MEETING OF DECEMBER 18, 1995 5) Renew Workers' Compensation Insurance Policy From the League of Minnesota Cities Insurance Trust MOTION: Move to authorize the Mayor and City Manager to renew the workers' compensation insurance policy from the League of Minnesota Cities Insurance Trust under the retrospective rate premium option using a maximum factor of 130% at the rates specified in their quotation, and to enter into an agreement with CorVel Corporation for managed care plan services as provided in their proposal. 6) Resolution 95 -86, Establishing Senior Citizens or Retired and Disabled Persons Hardship Special Assessment Deferral MOTION: Move to waive the reading of the resolution, there being ample copies available to the public. MOTION: Move to adopt Resolution 95 -86, establishing a new maximum income of $16,300 for senior or retired and disabled persons to be eligible for special assessment deferral. 7) Approve Joint Powers Agreement with School District #13 for Provision of Police School Liaison Officer Through June 6, 1996 MOTION: Move to authorize the Mayor and City Manager to approve the joint powers agreement with School District #13 for the provision of a police school liaison officer as stipulated in the joint powers agreement herein for the period of September 1, 1995, through June 6, 1996. 8) Establish Public Hearing Dates for Revocation /Suspension of a License to Operate Rental Property Against Jeff Benzinger, Lynde Investment Company, and James N. Thermos MOTION: Move to establish a hearing date of January 8, 1996, for Revocation or Suspension of a License to Operate a Rental Property Within the City of Columbia Heights Against the Following Property Owners Regarding Their Rental Property: Jeff Benzinger (3928 Polk Street N.E.) and Lynde Investment Company (4060 N.E. 4th Street, 4100 N.E. 4th Street, 4120 N.E. 4th Street, 4425 University Avenue N.E., 4433 University Avenue N.E., 4441 University Avenue N.E., 4707 University Avenue N.E., 4715 University Avenue N.E.) and James N. Thermos (840/42 N.E. 50th Avenue). 9) Establish the Regular Council Meeting of January 8, 1996, at 7 P.M. as a Public Hearing on a Resolution Enabling the Creation of an Economic Development Authority in the City of Columbia Heights MOTION: Move to establish January 8, 1996, at 7 p.m. as the Public Hearing Date on a Resolution Enabling the Creation of an Economic Development Authority in the City of Columbia Heights. 10) Establish January, 1996, Work Session Dates MOTION: Move to establish work sessions on the following dates: Tuesday, January 2, 1996, at 7 P.M.; Tuesday, January 16, 1996, at 8 P.M., and Monday, January 29, 1996, at 7 P.M. 11) Authorize Staff to Obtain Quotes for T- Shirts, Caps, Uniforms, and Athletic Equipment MOTION: Move to authorize staff to obtain quotes for T- shirts, caps, uniforms, and athletic equipment for the Recreation Program. 12) Approve Gambling Request from VFW Post No. 230 at Box Seat Sports Bar & Grill, 4005 Central Avenue N.E. 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 Class B Charitable Gambling License for the VFW Post No. 230 for Box Seat Sports Bar & Grill, 4005 Central Avenue NE., Columbia Heights; and furthermore, that the City Council hereby waives the remainder of the sixty day notice to the local governing body. 13) Licenses MOTION: Move to Approve the 1996 License Applications as Listed Upon Payment of Proper Funds, and the rental property licenses as listed on the memorandum from Lowell DeMars dated December 18, 1995. Page 3 CITY COUNCIL AGENDA FOR MEETING OF DECEMBER 18, 1995 14) Payment of Bills MOTION: Move to Pay the Bills as Listed Out of Proper Funds. 5. RECOGNITION, PROCLAMATIONS, PRESENTATIONS, GUESTS 6. PUBLIC HEARINGS A. Public Hearing for Revocation /Suspension of Rental License Against Larry J. Kahlow (3727 Reservoir Boulevard N.E.), Resolution 95 -81 RECOMMENDED MOTION: Move to Waive the Reading of Resolution No. 95 -81, There Being Ample Copies Available to the Public. RECOMMENDED MOTION: Move to Adopt Resolution No. 95 -81, Resolution of the City Council of the City of Columbia Heights Approving Revocation Pursuant to Ordinance Code Section 5A.408(1) of the Rental License Held by Larry J. Kahlow Regarding Rental Property at 3727 Reservoir Blvd. N.E. ALTERNATE MOTION: Move to Close the Public Hearing Regarding the Revocation or Suspension of the Rental License Held by Larry J. Kahlow Regarding Rental Property at 3727 Reservoir Blvd. N.E. in That the Provisions of the Housing Maintenance Code Have Been Complied With. B. Medtronic, Inc. Expansion Project 1) Public Hearing - Second Reading of Ordinance No. 1312, Ordinance Authorizing Conveyance of Certain Real Estate Located at 721 51st Avenue N.E. RECOMMENDED MOTION: Move to waive the second reading of the Ordinance, there being ample copies available for the public. RECOMMENDED MOTION: Move to Adopt Ordinance No. 1312, Ordinance Authorizing Conveyance of Certain Real Estate Located at 721 51st Avenue N.E. with changes to reflect transfer of 3.6 acres and the City retention of a 40' wide utility easement across the south 40' and a 30' wide easement across the east 30' of the north 3.6 acres of Lots 7 & 8, Auditors Subdivision 51. 2) Development Contract Between the City of Columbia Heights, Columbia Heights HRA, and Medtronic, Inc. RECOMMENDED MOTION: Move to Authorize the Mayor and City Manager to Execute a Contract for Private Development By and Among the Housing and Redevelopment Authority of Columbia Heights, Minnesota, the City of Columbia Heights, and Medtronic, Inc. Associated with Expansion of Medtronic, Inc.'s Neuro Facility at 800 53rd Avenue in Columbia Heights. 3) Public Hearing - Second Reading of Ordinance No. 1314, Rezoning Amendments as it Pertains to the City -Owned Land to R -B RECOMMENDED MOTION: Move to waive the reading of Ordinance No. 1314, there being ample copies available to the public. RECOMMENDED MOTION: Move to Adopt Ordinance No. 1314 Being an Ordinance Amending Section 9.113(3) of the Zoning Ordinance. 4) Public Hearing - 53rd Avenue Tax Increment District and Plan Corrective Measure RECOMMENDED MOTION: Move to Recommend that Section 2.8, Bonded Indebtedness, as Defined in the Modification to the Columbia Heights Downtown CBDG Revitalization Plan for the Central Business District Redevelopment Project, and the Establishment of the Tax Increment Financing Plan for the 53rd Avenue Tax Increment District be Modified to Include the Following: "The Combined Pay -As- You -Go Amount, Whether Paid to the City, the Authority, or the Developer, Shall Not Exceed $2,500,000." Page 4 CITY COUNCIL AGENDA FOR MEETING OF DECEMBER 18, 1995 C. Public Hearing - Revocation /Suspension of Rental License, Lee Bryant Regarding Property at 1137/39 N.E. 37th Avenue RECOMMENDED MOTION: Move to Close the Public Hearing Regarding the Revocation or Suspension of the Rental License Held by Lee Bryant Regarding Rental Property at 1137/39 N.E. 37th Avenue in That the Provisions of the Housing Maintenance Code Have Been Complied With. 7. ITEMS FOR CONSIDERATION A. Other Resolutions /Ordinances - None B. Bid Considerations 1) Award Contract for LaBelle Pond Sediment Removal - Project #9312 RECOMMENDED MOTION: Move to Award LaBelle Pond Sediment Removal - LaBelle Park - Municipal Project #9312 to Park Construction Company based upon their low, qualified, responsible, bid in the amount of $82,000.00 with funds to be appropriated from line item 412 -59008 -5130; and furthermore, to authorize the Mayor and City Manager to enter into an agreement for the same. 2) Award Contract for Garage Floor Repairs, Project #9525 RECOMMENDED MOTION: Move to award Garage Floor Repair Bid B, Municipal Project #9525 to TMI Coatings, Inc. of St. Paul, Minnesota, based upon their low, qualified, responsible bid in the amount of $23,645.25 with funds to be appropriated from line item 701- 49950 -5120 (1995 and 1996) and the difference of $3,645.25 from the undesignated fund balance of 701 -49950 and; furthermore, to authorize the Mayor and City Manager to enter into an agreement for the same. 3) Authorization to Purchase Replacement for Unit #149 Chassis RECOMMENDED MOTION: Move to Authorize the Purchase of a 1996 Ford F350 One -Ton Chassis Cab From the Hennepin County Contract #3579A5 -232 for $15,914 plus tax, funding from Fund 432 - 49499 -5150; and furthermore, to authorize the Mayor and City Manager to enter into an Agreement for the same. 4) Authorization to Purchase Replacement for Unit #117 RECOMMENDED MOTION: Move to Authorize the Purchase of a 1996 Ford E250 3/4 Ton Cargo Van From the Hennepin County Contract #3579A5 -232 for $14,939 Plus Tax, Funding from Fund 433 - 49449 -5150; and furthermore, to authorize the Mayor and City Manager to enter into a contract for the same. 5) Authorization to Purchase Replacement for Unit #206 RECOMMENDED MOTION: Move to Authorize the Purchase of a 1996 Ford F250 3/4 Ton, 4 -Wheel Drive Pickup from the Hennepin County Contract #3579A5 -232 for $15,529.00 plus tax, Funding from Fund 431- 45200- 5150; and furthermore, to authorize the Mayor and City Manager to enter into a contract for the same. C. Other Business 1) Liquor License Approval for Boxseat Restaurant, 4005 Central Avenue RECOMMENDED MOTION: Move to approve the 1996 license for the on -sale of liquor at the Boxseat Restaurant and Sports Bar at 4005 Central Avenue on a probationary basis provided a quarterly statement, prepared by a Certified Public Accountant, be submitted stating the amount of total sales versus the amount of food sales. 8. ADMINISTRATIVE REPORTS A. Report of the City Manager B. Report of the City Attorney 9. GENERAL COUNCIL COMMUNICATIONS A. Minutes of the December 5, 1995, Planning and Zoning Commission Meeting 10. ADJOURNMENT Pat Hentges, City Manager 95/100 OFFICIAL PROCEEDINGS COLUMBIA HEIGHTS CITY COUNCIL REGULAR COUNCIL MEETING DECEMBER 11, 1995 1. =.IZENS FORUM TO ADDRESS THE COUNCIL ON MATTERS NOT ON AGENDA Mr. Van Hattan, 4207 Van Buren Street, thanked the Council and staff for the installation of a directional sign on 42nd Avenue. •;9 Mayor Sturdevant called the Council Meeting to order at 7:01 p.m. 3. ROLL CALL Jolly, Petkoff, Ruettimann, Peterson, Sturdevant - present There were no additions nor deletions to the meeting agenda. Motion by Petkoff, second by Jolly to approve the Consent Agenda as follows: Minutes for Approval The Council approved the minutes of the Regular Council Meeting of November 27, 1995 and the minutes of the Truth in Taxation Hearing of November 30, 1995 as presented. Sale of Surolus Box The Council authorized the sale of the standard pickup box from Unit 1175 to Steve Synowczynski of Columbia Heights based on his high acceptable bid. Approve Variance. 1850 49th Avenue - Sulabren, Inc. Case #9512 -56 The Council approved the thirteen foot rear yard setback variance due to the hardship of the irregular shape.of the lot. Resolution No. 95 -77; Being a Resolution Authorizing Lotsplit: 1519 39th Avenue, Stephen Rolosky, Case #9512 -57 The Council waived the reading of the resolution there being ample copies available to the public. REGULAR COUNCIL MEETING DECEMBER 11, 1995 PAGE 2 RESOLUTION NO. 95 -77 SUBDIVISION REQUEST I, Stephen F. Kolosky, hereby request a split of PIN 36 30 24 34 0167 legally described as: The east 50.00 feet of Lot 4, Block 13, Auditor's Subdivision of Walton's Smnny Acres Third Addition, Anoka County, Minnesota. THE DESCRIPTION HENCEFORTH TO BE: 1. The north 55 feet of the east 50.00 feet of Lot 4, Block 13, Auditor's Subdivision of Walton's Sunny Acres Third Addition, Anoka County, Minnesota. (to be combined with: That part of Lot 4, Block 13, Auditor's Subdivision of Walton's Sunny Acres Third Addition, Anoka County, Minnesota, lying westerly of the east 50.00 feet thereof.) 2. Remainder Description: That part of the east 50.00 feet of Lot 4, Block 13, Auditor's Subdivision of Walton's Sunny Acres Third Addition, Anoka County, Minnesota, lying southerly of the north 55.00 feet of said Lot 4, Block 13. CONDITION OF THIS LOTSPLIT IS THAT THE NORTH 55 FEET SPLIT OFF BE COMBINED WITH THE PROPERTY AT 1519 39TH AVENUE AS DESCRIBED IN ITEM 1 ABOVE. Be it further resolved that special assessments of record in the office of the City of Columbia Heights as of this day, against the above descrbed property, in the amount of $ - 0 - be divided. Paid. Any pending or future assessments will be levied according to the new split as approved this day. Any lotsplit given approval shall become invalid if the resolution, motion or other Council action approving the said lotsplit is not filed with the County Auditor within one (1) year of the date of the Council action. PLANNING & ZONING DEPT ACTION: Approval recommended contingent Stephen F. Kolosky upon a one -car garage be built, Signature of Owner or a type of security, approved by 1519 39th Ave NE staff, be provided to ensure a Columbia Hgts, Mn. garage is built prior to the Owner's Address lotsplit and combination being filed with Anoka Cty. Assessor's Office. REGULAR COUNCIL MEETING DECEMBER 11, 1995 PAGE 3 This 5th day of Dec., 1995 Offered: Paulson Seconded: Larson Roll call:A11 ayes Tina Goodroad Zoning Officer CITY COUNCIL ACTION: Approved Offered by: Petkoff Seconded by: Jolly Roll call: All ayes 789 -4135 Telephone No. Subscribed & sworn to before me this 16th day of Nov., 1995. Jane Gleason Notary Public Mayor Joseph Sturdevant Jo -Anne Student, Council Secretary FEE: $10.00 DATE PAID 11 -15 -95 RECEIPT NO. 34066 FORM The Council approved the six foot variance to allow a pylon sign at 3955 University Avenue due to the hardship of the irregular shape of the lot and the poor visibility along University Avenue. Approve Conditional Use Permit and Special Purpose Privacy Fence. 1260 46th Avenue, James Rude_. Case #9512 -59 The Council approved the six foot high solid board special purpose fence provided the following items are in compliance: 1) locate the property irons to verify that the location of the fence is within the boundaries of the property; 2 ) the required building permit is obtained for the installation of the fence and that the fence be properly installed according to building codes and that the installation be approved by the Building Inspector. REGULAR COUNCIL MEETING DECEMBER 11, 1995 PAGE 4 The Council also approved the conditional use permit to allow construction of a 14' x 20' utility building in the rear of the lot at 1260 46th Avenue provided acceptable plans are received and approved by the Building Inspector and a building permit is obtained prior to ANY construction being started for the utility building. Final Payment - Street Deflection Testing in Zone 1 The Council accepted the work for street deflection testing in Zone 1 and authorized final payment of $2,790.34 to Braun Intertec of Minneapolis, Minnesota. Licenses The Council approved the license applications as listed upon payment of proper fees. Payment of Bills The Council approved the payment of the bills as listed out of proper funds. Roll call: All ayes None 8. PUBLIC HEARINGS A. Public Hearing for Approval of the Medtronic Expansion Project The City Manager reviewed all facets of this project. 1. Resolution No. 95 -78 Being a Resolution Establishing 53rd Avenue Tax Increment Financing Development District Motion by Ruettimann, second by Petkoff to waive the reading of the resolution there being ample copies available for the public. Roll call: All ayes ;, • 1"1 oufAnz • Councilmember Ruettimann introduced the following resolution, the reading of which was dispensed with by unanimous consent, and moved its adoption: CITY OF COLUMBIA HEIGHTS COUNTY OF ANOKA STATE OF MINNESOTA REGULAR COUNCIL MEETING DECEMBER 11, 1995 PAGE 5 RESOLUTION MODIFYING THE CENTRAL BUSINESS DISTRICT REVITALIZATION PLAN FOR CENTRAL BUSINESS DISTRICT REDEVELOPMENT PROJECT, ESTABLISHING 53RD AVENUE TAX INCREMENT DISTRICT AND APPROVING AND ADOPTING THE TAX INCREMENT FINANCING PLAN RELATING THERETO, LOCATED WITHIN THE CENTRAL BUSINESS DISTRICT REDEVELOPMENT PROJECT Be it resolved by the City Council (the "Council") of the City of Columbia Heights, Minnesota (the "City "), as follows: Section 1. Recitals 1.01 It has been proposed that the City modify the Central Business District Revitalization Plan (the "CBD Revitalization Plan ") for Central Business District Redevelopment Project (the "CBD Redevelopment Project "), and establish 53rd Avenue Tax Increment District (the "53rd Avenue District ") and approve and adopt the Tax Increment Financing Plan relating thereto, located within CBD Redevelopment Project, pursuant to and in accordance with Minnesota Statutes, Sections 469.001 and 469.047, and Minnesota Statutes, Sections 469.174 through 469.179, inclusive. 1.02 The Council has investigated the facts and has caused to be prepared a Modified CBD Revitalization Plan for CBD Redevelopment Project and the proposed Tax Increment Financing Plan for 53rd Avenue District (the "Plans "). 1.03 The City has performed all actions required by law prior to the modification of CBD Redevelopment Project and the establishment of 53rd Avenue District, and the adoption of the Plans relating thereto, including, but not limited to, notification of Anoka County and Independent School District No. 13 having taxing jurisdiction over the property to be included in 53rd Avenue District, a review by the City Planning Commission of the proposed Plan and the holding of a public hearing upon notice as required by law. Section 2. Findings for the Modification of the CBD Revitalization Plan for CBD Redevelopment Project, the Establishment of 53rd Avenue District and the ARproval of Tax Increment Financing Plan Related Thereto 2.01 The Council hereby finds that 53rd Avenue District is an economic development district under Minnesota Statutes, Section 469.174, subd. 12. REGULAR COUNCIL MEETING DECEMBER 11, 1995 PAGE 6 2.02 The Council hereby finds that the modification of the CBD Revitalization Plan for CBD Redevelopment Project and the establishment of 53rd Avenue District and the approval of the Tax Increment Financing Plan relating thereto, are intended and, in the judgement of this Council, the effect of such actions will be, to provide an impetus for commercial and industrial development in the public purposes and accomplish certain objectives as specified in the Plans. 2.03 The Council further finds that the proposed development, in the opinion of the Council, would not occur solely through private investment within the reasonably foreseeable future and that the increased market value on the site that could reasonably be expected to occur without the use of tax increment financing would be less than the increase in the market value estimated to result from the proposed development after subtracting the present value of the projected tax increments for the maximum duration of 53rd Avenue permitted by the Plan, and that, therefore, the use of tax increment financing is deemed necessary; that the plans conform to the general plan for the development or redevelopment of the City as a whole; and that the Plans will afford maximum opportunity consistent with the sound needs of the City as a whole, for the development of 53rd Avenue District by private enterprise. 2.04 The City elects to make a qualifying local contribution in accordance with Minnesota Statutes, Section 273.1399, subd. 6(d), in order to qualify 53rd Avenue District for exemption from state aid losses set forth in Section 273.1399. The City anticipates that the State will contribute to project costs within 53rd Avenue District through a district grant or similar incentives and that the City's local contribution will be reduced by one -half of this amount, in accordance with Minnesota Statutes, Section 273.1399, subd. 6(d). 2.05 The Council further finds, declares and determines that the City made the above findings stated in Section 2 and has set forth the reasons and supporting facts for each determination in writing, attached hereto as Exhibit A. Section 3. 3.01 The modifications to the CBD Revitalization Plan for CBD Redevelopment Project and Tax Increment Financing Plan for 53rd Avenue District are hereby approved and adopted, and shall be placed on file in the office of the City Manager subject to approval by the Columbia Heights Housing and Redevelopment Authority. REGULAR COUNCIL MEETING DECEMBER 11, 1995 PAGE 7 3.02 The City staff of the City are authorized to request certification of 53rd Avenue District from Anoka County and to file the plans with the State Department of Revenue. 3.03 The City staff of the City, the City's advisors and legal counsel are authorized and directed to proceed with the implementation of the Plans and for this purpose to negotiate, draft, prepare and present to this Council for its consideration all further plans, resolutions, documents and contracts necessary for this purpose. The motion for adoption of the foregoing resolution was duly seconded by Councilmember Peterson and upon a vote being taken thereon, the following voted in favor thereof: Jolly, Petkoff, Ruettimann, Peterson, Sturdevant and the following voted against the same: None Dated, December 11, 1995 Mayor Joseph Sturdevant Jo -Anne Student, Council Secretary 2. Second Reading of Ordinance No 1312 Being an _ Ordinance Authorizing Conveyance of Property at 721 51st Avenue The City Manager had recommended that the second reading of Ordinance No. 1312 be tabled until a later Council meeting. Motion by Ruettimann, second by Peterson to table the second reading of Ordinance No. 1312 until the December 18, 1995 Council meeting. 3. Resolution No. 95 -79 Being a Resolution A8Rrovina LottsRlit City of Columbia Heights for 721 51st Avenue. Case #9512 -60 Motion by Jolly, second by Ruettimann to waive the reading of the resolution there being ample copies available for the public. Roll call: All ayes RESOLUTION NO, 95 -79 SUBDIVISION REQUEST I, Patrick Hentges, City Manager of Columbia Heights, hereby request a split of PIN 26 30 24 11 0009 REGULAR COUNCIL MEETING DECEMBER 11, 1995 PAGE 8 Legally described as: The north 3.6 acres of Lot 7 and 8, together with the east 293.00 feet of Lot 9, Auditor's Subdivision No. 51, Anoka County, Minnesota. THE DESCRIPTION HENCEFORTH TO BE: 1. The north 3.6 acres of Lots 7 and 8, Auditor's Subdivision No. 51, Anoka County, Minnesota. ( to be combined with Tract B, Registered Land Survey No. 63, Anoka County, Minnesota.) 2. The east 293.00 feet of Lot 9, Auditor's Subdivision No. 51, Anoka County, Minnesota. Be it further resolved that there are no special assessments of record in the office of the City of Columbia Heights as of this day, against the above described property. Any pending or future assessments will be levied according to the new split as approved this day. A CONDITION OF THIS SPLIT IS THAT ITEM 1 ABOVE BE COMBINED WITH THE PROPERTY AT 800 53RD AVENUE AS ALSO LEGALLY DESCRIBED ABOVE IN ITEM 1. Any lotsplit given approval shall become invalid if the resolution, motion or other Council action approving the said lotsplit is not filed with the County auditor within one (1) year of the date of the Council action. PLANNING & ZONING DEPT. ACTION: Approval recommended as it meets code requirements provided that the lotsplit be combined with the property at 800 N.E. 53rd Avenue. This 5th day of December, 1995 Offered by: Paulson Seconded by: Larson Roll call: All ayes Tina Goodroad Zoning Officer Patrick Hentges, City Manager Signature of Owner 590 40th Avenue N.E. Columbia Hts., Mn. Owner's Address 782 -2814 Owner's Phone No. Subscribed and sworn to before me this 28th day of November 1995 REGULAR COUNCIL MEETING DECEMBER 11, 1995 PAGE 9 CITY COUNCIL ACTION: APPROVED Offered by: Jolly Seconded by: Ruettimann Roll call: All ayes Jane Gleason Notary Public Mayor Joseph Sturdevant Jo -Anne Student, Council Secretary This item was presented to and approved by the Planning and Zoning Commission at a previous meeting. The site plan is for the Phase I addition for the Medtronic facility at 800 53rd Avenue. Motion by Petkoff, second by Jolly to waive the reading of the ordinance there being ample copies available for the public. Roll call: All ayes BEING AN ORDINANCE AMENDING ORDINANCE NO. 853 PERTAINING TO THE REZONING OF CERTAIN PROPERTY The City of Columbia Heights does ordain: Section 1: That certain property legally described as the north 3.6 acres of Lots 7 and 8 and the east 293 feet of Lot 9 except the south 30 feet for road, Auditor's Subdivision 51, Anoka County, Mn., which is currently zoned R -3, Multiple Family Residential, shall hereafter be zoned R -B, Retail Business District. Section 2: This ordinance shall be in full force and effect from and after thirty ( 30 ) days after its passage. First Reading: December 11, 1995 REGULAR COUNCIL MEETING DECEMBER 11, 1995 PAGE 10 Motion by Petkoff, second by Jolly to schedule the second reading of Ordinance No. 1314 for Monday, December 18, 1995 at approximately 7:00 p.m. Roll call: All ayes 6. Development Contract Between the City of Columbia Heights. Columbia Heights HRA, and Medtronic, Inc Motion by Peterson, second by Ruettimann to table this item until December 18, 1995 at approximately 7:00 p.m. Roll call: All ayes 7. Authorize Submittal of Final Application to the Minnesota Department of Trade and Economic Development Motion by Peterson, second by Petkoff to authorize preparation and submittal of the final application to the Minnesota Department of Trade and Economic Development for an economic recovery loan /grant in the amount of $500,000. Roll call: All ayes Councilmember Ruettimann inquired as to any exposure the City may have with the Medtronic Project. The City Manager responded this project relative to the City has very limited risk. The Company is paying for all of the improvements as they are being put in. B. Resolution No.--95-80 Being a Resolution Regarding the Revocation /Suspension of Rental License Against Robert C Witt, Rental Property at 4222 Monroe Street All of the violations cited for this property appear to remain. Motion by Ruettimann, second by Sturdevant to waive the reading of the resolution there being ample copies available for the public. Roll call: All ayes RESOLUTION OF THE CITY COUNCIL FOR THE CITY OF COLUMBIA HEIGHTS APPROVING REVOCATION PURSUANT TO ORDINANCE CODE SECTION 5A.408(1) OF THAT CERTAIN RESIDENTEIAL RENTAL LICENSE HELD BY ROBERT C. WITT (HEREINAFTER "LICENSE HOLDER "). WHEREAS, LICENSE HOLDER IS THE LEGAL OWNER OF THE REAL PROPERTY LOCATED AT 4222 MONROE STREET, COLUMBIA HEIGHTS, MINNESOTA, AND REGULAR COUNCIL MEETING DECEMBER 11, 1995 PAGE 11 WHEREAS, PURSUANT TO COLUMBIA HEIGHTS CODE SECTION 5.104(1)(A), WRITTEN NOTICE SETTING FORTH THE CAUSES AND REASONS FOR THE PROPOSED COUNCIL ACTION CONTAINED HEREIN WAS GIVEN TO THE LICENSE HOLDER ON NOVEMBER 30, 1995 OF A PUBLIC HEARING TO BE HELD ON DECEMBER 11, 1995. NOW, THEREFORE, IN ACCORDANCE WITH THE FOREGOING, AND ALL ORDINANCES AND REGULATIONS OF THE CITY OF COLUMBIA HEIGHTS, THE CITY COUNCIL OF THE CITY OF COLUMBIA HEIGHTS MAKES THE FOLLOWING: 1. That on August 25, 1995, Richard Hinrichs, Enforcement Officer, for the City of Columbia Heights, inspected the real property and incidental buildings located thereon at 4222 Monroe Street, within the City of Columbia Heights, Minnesota, and owned, according to the application for rental license on file for the above- described real property by Robert C. Witt. 2. Based upon said inspection of the Enforcement Officer, the following conditions and violations of the City's Housing Maintenance Code and Licensing Rental Units were found to exist, to -wit: SEE ATTACHED COMPLIANCE ORDER 3. That all parties, including the License Holder and any occupants or tenants, have been given the appropriate notice of this hearing according to the provisions of the City Code Section 5A.306(1) and 5A.303(1)(d). 1. That the building located at 4222 Monroe Street is in violation of the provisions of the Columbia Heights City Code as set forth in the Compliance Order attached hereto; 2. That all relevant parties and parties in interest have been duly served notice of this hearing, and any other hearings relevant to the revocation or suspension of the license held by License Holder. 3. That all applicable rights and periods of appeal as relating to the license holder, owner, occupant, or tenant, as the case may be, have expired, or such rights have been exercised and completed. REGULAR COUNCIL MEETING DECEMBER 11, 1995 PAGE 12 1. The rental license belonging to the License Holder described herein and identified by license number F- 1047 -95 is hereby revoked /suspended (cross out one); 2. The City shall. post for the purpose of preventing occupancy a copy of this order on the buildings covered by the license held by License Holder; 3. All tenants shall remove themselves from the premises within 60 days from the first day of posting of this Order revoking the license as held by License Holder. Passed this 11th day of December, 1995. Offered by: Ruettimann Seconded by: Peterson Roll call: All ayes Mayor Joseph Sturdevant Jo -Anne Student, Council Secretary Mr. Kahlow recited the history of this property with its current tenants. He felt he could come into compliance when the tenants were court ordered to move from the premises. He also reviewed some of the violations which have been corrected. Discussion continued regarding the December 13th court appearance of the tenants and the owner. Motion by Petkoff, second by Peterson to continue the public hearing regarding rental property at 3727 Reservoir Boulevard until December 18, 1995 at approximately 7:00 p.m. and that staff is directed to advise all affected persons of this hearing date. Roll call: Petkoff, Ruettimann, Peterson, Sturdevant - aye Jolly - nay REGULAR COUNCIL MEETING DECEMBER 11, 1995 PAGE 13 Motion by Peterson, second by Petkoff to waive the reading of the resolution there being ample copies available for the public. Roll call: All ayes RESOLUTION NO. 95 - 82 RESOLUTION OF THE CITY COUNCIL FOR THE CITY OF COLUMBIA HEIGHTS APPROVING REVOCATION PURSUANT TO ORDINANCE CODE SECTION 5A.408(1) OF THAT CERTAIN RESIDENTIAL RENTAL LICENSE HELD BY DALJIT S. SIKKA, (HEREINAFTER "LICENSE HOLDER "). WHEREAS, LICENSE HOLDER IS THE LEGAL OWNER OF THE REAL PROPERTY LOCATED AT 4217 CENTRAL AVENUE, COLUMBIA HEIGHTS, MINNESOTA, AND WHEREAS, PURSUANT TO COLUMBIA HEIGHTS CODE SECTION 5.104(1)(A), WRITTEN NOTICE SETTING FORTH THE CAUSES AND REASONS FOR THE PROPOSED COUNCIL ACTION CONTAINED HEREIN WAS GIVEN TO THE LICENSE HOLDER ON DECEMBER 1, 1995 OF A PUBLIC HEARING TO BE HELD ON DECEMBER 11, 1995. NOW, THEREFORE, IN ACCORDANCE WITH THE FOREGOING, AND ALL ORDINANCES AND REGULATIONS OF THE CITY OF COLUMBIA HEIGHTS, THE CITY COUNCIL OF THE CITY OF COLUMBIA HEIGHTS MAKES THE FOLLOWING: 1. That on August 16, 1995, Gary Gorman, Enforcement Officer, for the City of Columbia Heights, inspected the real property and incidental buildings located thereon at 4217 Central Avenue, within the City of Columbia Heights, Minnesota, and owned, according to the application for rental license on file for the above - described real property by Daljit S. Sikka. 2. Based upon said inspection of the Enforcement Officer, the following conditions and violations of the City's Housing Maintenance Code and Licensing Rental Units were found to exist, to wit: SEE ATTACHED COMPLIANCE ORDER 3. That all parties, including the License Holder and any occupants or tenants, have been given the appropriate notice of this hearing according to the provisions of the City Code Section 5A.306(1) and 5A.303(1)(d). REGULAR COUNCIL MEETING DECEMBER 11, 1995 PAGE 14 • M41AW1 012&wsl W6011) Z10 0 1. That the building located at 4217 Central Avenue is in violation of the provisions of the Columbia Heights City Code as set forth in the Compliance Order attached hereto; 2. That all relevant parties and parties in interest have been duly served notice of this hearing, and any other hearings relevant to the revocation or suspension of the license held by License Holder. 3. That all applicable rights and periods of appeal as relating to the license holder, owner, occupant, or tenant, as the case may be, have expired, or such rights have been exercised and completed. 1. The rental license belonging to the License Holder described herein and identified by license number F- 1027 -95 is hereby revoked /suspended (cross out one); 2. The City shall post for the purpose of preventing occupancy a copy of this order on the buildings covered by the license held by License Holder; 3. All tenants shall remove themselves from the premises within 60 days from the first day of posting of this Order revoking the license as held by License Holder. Passed this 11th day of December. Offered by: Peterson Seconded by: Petkoff Roll call: All ayes Mayor Joseph Sturdevant Jo -Anne Student, Council Secretary _LAW Ir REGULAR COUNCIL MEETING DECEMBER 11, 1995 PAGE 15 Motion by Ruettimann, second by Peterson to waive the reading of the resolution there being ample copies available for the public. Roll call: All ayes RESOLUTION NO. 95 - 83 BEING A RESOLUTION OF THE CITY COUNCIL FOR THE CITY OF COLUMBIA HEIGHTS, MINNESOTA ADOPTING A BUDGET AND SETTING THE CITY AND HRA LEVY NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL FOR THE CITY OF COLUMBIA HEIGHTS, MINNESOTA that the following is hereby adopted by the City of Columbia Heights. Section A. The budget for the City of Columbia Heights for the year 1996 is hereby approved and adopted with appropriations for each of the funds as listed below. Included in these appropriations is the rebudgeting of the projected 1995 fund balance, including a transfer up to $50,000 from the General Fund to the Street Infrastructure Fund and up to $79,000 from the General Fund to the Parks Capital Fund, depending upon availability of remaining 1995 fund balance. General Fund 6,985,790 Community Development Admin. 779,621 CDBG /HOME 364,309 Parkview Villa North 259,417 Parkview Villa South 137,479 Para Transit Fund 93,482 State Aid Maintenance 124,486 Cable Television Fund 90,863 Library 440,406 DARE Project 6,325 Police Grant 100,522 Fast Cops 42,576 Project Pride 3,175 Capital Improvements Fund 608,152 Multi -Use Redevelopment 27,060 Infrastructure Fund 200,000 Capital Equipment Replacement Funds 328,269 Central Garage Fund 358,692 Liquor Fund 5,641,834 Water Utility Fund 1,342,439 Sewer Utility Fund 1,380,236 Refuse Fund 1,303,091 Water & Sewer Construction Funds 339,000 REGULAR COUNCIL MEETING DECEMBER 11, 1995 PAGE 16 Energy Management 346,866 Data Processing 97,929 Police /Fire Cont.. Reserve 118,783 Debt Service Fund 2,946,536 Total Expense Including Interfund Transfers $24,467,338 Section B. The estimated gross revenue to fund the budget of the City of Columbia Heights for all funds, including general ad valorem tax levies, as hereinafter set for the year 1996: General Fund 6,985,790 Community Development Admin. 779,621 CDBG /HOME 364,309 Parkview Villa North 259,417 Parkview Villa South 137,479 Para Transit Fund 93,482 State Aid 124,486 Cable Television Fund 90,863 Library 440,406 DARE Project 6,325 Police Grant 100,522 Fast Cops 42,576 Project Pride 3,175 Capital Improvements Fund 608,152 Multi -Use Redevelopment 27,060 Infrastructure Fund 200,000 Capital Equipment Replacement Fund 328,269 Central Garage Fund 358,692 Liquor Fund 5,641,834 Water Utility Fund 1,342,439 Sewer Utility Fund 1,380,236 Refuse Fund 1,303,091 Water & Sewer Construction Funds 339,000 Energy Management 346,866 Data Processing 97,929 Pension Reserve 118,783 Debt Service Fund 2,946,536 Total Revenue Including Interfund Transfers $24,467,338 Section C. The following sums of money are levied for the current year, collectable in 1996, upon the taxable property in said City of Columbia Heights, for the following purposes: Estimated Area -Wide 688,931 REGULAR COUNCIL MEETING DECEMBER 11, 1995 PAGE 17 Estimated Local Levy 2,065,230 Total Levy 2,754,161 Section D. The City Council of the City of Columbia Heights hereby approves the Housing and Redevelopment Authority Tax Levy budget for fiscal year 1996 in the amount of $72,191.70. The City Clerk is hereby instructed to transmit a certified copy of this resolution to the County Auditor of Anoka County, Minnesota. Approved this 11th day of December, 1995. Offered by: Ruettimann Seconded by: Peterson Roll call: All ayes Mayor Joseph Sturdevant Jo -Anne Student, Council Secretary gill twowl -4 Motion by Ruettimann, second by Peterson to waive the reading of the resolution there being ample copies available for the public. Roll call: All ayes RESOLUTION ESTABLISHING SENIOR CITIZEN ELIGIBILITY STANDARDS FOR REFUSE, SEWAGE DISPOSAL AND WATER SUPPLY UTILITY RATES WHEREAS, the City Council has previously established eligibility standards for senior citizens for refuse service, disposal and water supply; and WHEREAS, it has been the City's practice to maintain uniform eligiblity standards whenever possible: NOW, THEREFORE, BE IT RESOLVED by the City of Columbia Heights as follows: 1. That anyone over 62 years of age with a maximum household income of $16,300 will be eligible for reduced rates. BE IT FURTHER RESOLVED that the above eligibility standard be effective January 1, 1996. Y REGULAR COUNCIL MEETING DECEMBER 11, 1995 PAGE 18 Passed this 11th day of December, 1995. Offered by: Ruettimann Seconded by: Peterson Roll call: All ayes Mayor Joseph Sturdevant Jo -Anne Student, Council Secretary Motion by Peterson, second by Sturdevant to waive the reading of the ordinance there being ample copies available for the public. Roll call: All ayes ORDINANCE NO, 1313 BEING AN ORDINANCE AMENDING ORDINANCE NO. 853, CITY CODE OF 1977, PERTAINING TO ZONING AMENDMENTS The City of Columbia Heights does ordain: Section 9.116(3) of Ordinance No. 853, City Code of 1977, which currently reads as follows, to wit: 9.113(3) Permitted Accessory Uses Within the "RB" Business District the following uses shall be permitted accessory uses: (a) Decorative landscape features (b) Off- Street parking and loading. (c) Any incidental repair or processing necessary to conduct a permitted principal use provided the area does not exceed thirty (30) percent of the floor area devoted to the principal use. (d) Signs as regulated by and to the extent permitted by Section 9.117A. (e) Buildings temporarily located for purposes of constructing on the premises for a period of not to exceed time normally necessary for such construction. (f) Light warehousing and laboratories incidental to processing of small medical devices provided that the aggregate of such area of warehousing, laboratories, and processing incidental or REGULAR COUNCIL MEETING DECEMBER 11, 1995 PAGE 19 necessary to conduct a permitted use does not exceed fifty percent (50 %) of the floor area devoted to the principal use. Shall hereafter be amended to read as follows: 9.113(3) Permitted Accessory Uses Within the "RB" Business District the following uses shall be permitted accessory uses. (a) Decorative landscape features. (b) Off - street parking and loading (c) Any incidental repair or processing necessary to conduct a permitted principal use provided the area does not exceed thirty (30) percent of the floor area devoted to the principal use. (d) Signs as regulated by and to the extent permitted by Section 9.117A. (e) Buildings temporarily located for purposes of constructing on the premises for a period not to exceed time normally necessary for such construction. (f) Light warehousing and laboratories processing of small medical devises the aggregate of such area of laboratories, and processing i necessary to conduct a permitted exceed the total floor area de principal use. First Reading: December 11, 1995 incidental to provided that warehousing, ncidental or use does not voted to the Motion by Peterson, second by Sturdevant to schedule a second reading of Ordinance No. 1313 for Monday, January 8, 1996. Roll call: All ayes .� .- .� Q, =6# ; _ : _ ; . REGULAR COUNCIL MEETING DECEMBER 11, 1995 PAGE 20 Motion by Ruettimann, second by Peterson to adopt the revisions to the John P. Murzyn Hall Management Plan, rental policy and 1996 -1997 rental rates as outlined in the Park and Recreation Commission submittal dated November 21, 1995. Roll call: All ayes Motion by Petkoff, second by Jolly to approve submittal to the Metropolitan Council of the Metropolitan Liveable Community Act Housing Goals and authorize the City Manager to further negotiate the final implementation plan. Roll call: All ayes a. Report of the City Manager The City Manager's report was submitted in written form. No items were discussed. b. Report of the City Attorney The City Attorney had nothing to report at this time. Motion by Petkoff, second by Peterson to adjourn the meeting at 8:25 p.m. Roll call: All ayes Mayor Joseph Sturdevant Jo -Anne Student, Council Secretary CITY COUNCIL LETTER MEETING OF: DECEMBER 18, 1995 AGENDA SECTION: CONSENT ORIGINATING DEPT.: CITY MANAGER NO: 4 FINANCE APPROVAL ITEM: DESIGNATING AN OFFICIAL BY: �WfLL4, kM F�RITE BY- NEWSPAPER FOR 1996 �.�( 4.3 Two Column Width: DATE: DI -. 995 ~"`* NO: , a), Per line, first insertion 1.62 Each year the City Council designates an official newspaper for publishing of legal notices and other required publications. State statutes require the newspaper to be published on a minimum of a weekly basis. Statutes also limit the amount the newspaper can charge, to the rate paid by commercial users. Based on this, there are only two newspapers serving Columbia Heights that meet the criteria: the Focus Newspaper and the Star Tribune. Based on rates charged to commercial customers, the Focus Newspaper is the least expensive alternative. The Star Tribune's 1996 rate is $2.40 per line, up from $2.20 per line in 1995. The following is a comparison of the 1995 rates to the 1996 rates for the Focus Newspaper: One Column Width: Per line, first insertion 0.81 0.85 4.9 Per line, subsequent insertion 0.46 0.48 4.3 Two Column Width: Per line, first insertion 1.62 1.70 4.9 Per line, subsequent insertion 0.92 0.96 4.3 The majority of the City's publications are one insertion. According to the attached letter from Focus Newspapers, this would result in a 4.9% increase in 1996. RECOMMENDED MOTION: Move to designate the Columbia Heights Focus as the official City newspaper for 1996 and to authorize the Mayor and City Manager to enter into an agreement with the Columbia Heights Focus for required publications. WE:dn Attachment 9512061 COUNCIL ACTION: Focus News December 4, 1995 Ms. Deborah Novak City of Columbia Heights 590 40th Avenue, NE Columbia Heights, MN 55421 Dear Deb: We would be pleased if you would consider the Focus News as the City of Columbia Heights' official newspaper for the year 1996 at your City Council Meeting. We want to thank you for your patronage this past year and we look forward to the future. We endeavor to print each legal accurately and to follow any written specifications you have included with your legal. We are also very proud of our dedication to community journalism. Our staff members demonstrate this through their commitment to local organizations that are striving to make the Columbia Heights area a better place to live and work. Because we realize the cities are trying to hold expenses to a minimum, we have also tried to keep our increase in the legal rate for 1996 to a minimum. The rate structure for legals, effective January 1, 1996, will be: I column width: $0.85 per line - first insertion ($9.35 per col. in.) $0.48 per line - subsequent insertions ($5.28 per col. in.) 2 column width: $1.70 per line - first insertion ($18.70 per col. in.) $0.96 per line - subsequent insertion ($10.56 per col. in.) Notarized affidavits will be provided for each of your publications. All publications should be received in our office by Friday at noon preceding our Thursday publica- tions. In order to expedite our service to you, please direct your legal notices to Focus News, attention Linda McIntyre, Legal Publications, 2819 Hamline Avenue N, Roseville, MN 55113. For your con- venience, our fax number is 633 -9550. Thank you for considering the Focus News as your official newspaper for the upcoming year. We are honored and pleased to serve you and look forward to a mutually beneficial working relationship with the City of Columbia Heights. Sinte'rey� k ✓ Richard Roberts 41 Publisher Focus News 2819 North Hamlin Avenue, Roseville, MN 55113 - 633 -3434 - fax 633 -9550 AGENDA SECTION: CONSENT NO. 4 ITEM: AUTHORIZATION OF FINAL PAYMENT NO. FOR BUILDING SIGNS, MUNICIPAL PROJECT 49315 CITY COUNCIL LETTER Meeting of: 12/18/95 ORIGINATING DEPARTMENT: CITY MANAGER PUBLIC WORKS BY: M. Winson M F-" l BY: DATE: 12/18/95 DATE: Attached is the Final Payment Voucher and Certificate of Completion of Work for Municipal Project 49315 Building Signs. Interior and exterior signs in compliance with the Americans with Disabilities Act were installed in J.P. Murzyn Hall, City Hall, Police Department, Fire Department, Municipal Service Center and Library. The work has been completed in accordance with the specifications and is being certified to the City Council for acceptance and final payment. RECOMMENDED MOTION: Move to accept the work for Building Signs, Municipal Project #9315 and to authorize final payment of $2,325.44 to Sign Solutions of Robbinsdale, Minnesota. MAW Jb 95 -774 Attachment COUNCIL ACTION: 06— Dec -95 CITY OF COLUMBIA HEIGHTS, MN FINAL PAYMENT BUILDING SIGNS MUNICIPAL PROJECT 9315 SIGN SOLUTIONS, INC. 3810 WEST BROADWAY AVENUE ROBBINSDALE, MN 55422 NO. DESCRIPTION 1 ORIGINAL CONTRACT 2 CHANGE ORDER TOTAL BID COMPLETED TO DATE MINUS PREVIOUS PAYMENT TOTAL DUE QUANTITY UNIT UNIT PRICE TOTAL 1 L.S. $10,959.81 $10,959.81 1 L. S. $1,777.45 $1,777.45 $12,737.26 ($10,411.82) $2,325.44 I HEREBY CERTIFY TO THE CITY COUNCIL OF COLUMBIA HEIGHTS THAT I HAVE BEEN IN CHARGE OF THE WORK REQUIRED BY THE ABOVE CONTRACT; THAT ALL WORK HAS BEEN DONE AND PERFORMED AS MEASURED BY AND IN ACCORDANCE WITH AND PERSUANT TO THE TF?RMS OF $,AID CONTRACT. WINSON, P.E. REG. NO. 18829 z 11 3� DATE I ACCEPT THE ABOVE AS FINAL PAYMENT FOR Y�JORI< CONE UNDER THIS CONTRACT. 1-0 SIGN SOLUTIONS, INC. DATE r CITY COUNCIL LETTER MEETING OF: DECEMBER 18, 1995 AGENDA SECTION: CONSENT NO.: 4 ORIGINATING DEPT.: FINANCE CITY MANAGER APPROVAL ITEM: DESIGNATING DEPOSITORIES FOR BY: WILLIAM ELRITE BY: FUNDS OF THE CITY OF COLUMBIA HEIGHTS ��// `DEC. DATE: 11, 1995 NO.: Y-1 4. ic) Each year the Council passes a resolution designating designating depositories for City funds and for investment purposes. The attached resolution follows the general format of the resolution passed in previous years; however, there are two significant changes. Under this resolution, investment firms that may be used by the City must be located in the State of Minnesota, and all investments must comply with authorized investments as set forth in Minnesota statutes. In essence, these two items have been followed by staff for several years. The change in the resolution now mandates that they be followed. In addition to this, a section was added to the resolution covering access to City safe deposit boxes. In the past, this was a separate resolution. It is staff's recommendation that the City Council adopt this resolution. RECOMMENDED MOTION: Move to waive the reading of Resolution 95- 85, there being ample copies available to the public. RECOMMENDED MOTION: Move to adopt Resolution 95-_85---, being a resolution designating depositories for City funds of the City of Columbia Heights. WE:dn 9512111 Attachment COUNCIL ACTION: w RESOLUTION NO. 95 -85 RESOLUTION DESIGNATING OFFICIAL DEPOSITORIES AND SAFE DEPOSIT .ACCESS FOR THE CITY OF COLUMBIA HEIGHTS IT IS HEREBY RESOLVED, that Northeast State Bank, Norwest Bank, and First Bank National Association are herebv designated as depositories of the funds of this corporation. IT IS FURTHER RESOLVED, that checks, drafts, or other withdrawal orders issued against the funds of this corporation on deposit with said banks shall be signed by the following: Mayor City Manager Clerk- Treasurer and that said banks are hereby fully authorized to pay and charge to the account of this corporation any checks, drafts, or other withdrawal orders. BE IT FURTHER RESOLVED, that the Northeast State Bank, Norwest Bank, and First Bank National Association as designated depositories of the corporation be and it is hereby requested, authorized and directed to honor checks, drafts or other orders for the payment of money drawn in this corporation's name, including those drawn to the individual order of any person or persons whose name or names appear thereon as signer or signers thereof, when bearing or purporting to bear the facsimile signatures of the following: Mayor City Manager Clerk - Treasurer and that Northeast State Bank, Norwest Bank, and First Bank National Association shall be entitled to honor and to charge this corporation for all such checks, drafts or other orders, regardless of by whom or by what means the facsimile signature or signatures thereon may have been affixed thereto, if such facsimile signature or signatures resemble the facsimile specimens duly certified to or filed with the Banks by the City Clerk or other officer of his corporation. BE IT FURTHER RESOLVED, that any and all resolutions heretofore adopted by the City Council of the corporation and certified to as governing the operation of this corporation's account(s) with it, be and are hereby continued in full force and effect, except as the same may be supplemented or modified by the foregoing part of this resolution. BE IT FURTHER RESOLVED, that all transactions, if any relating to deposits, withdrawals, re- discounts and borrowings by or on behalf of this corporation with said banks prior to the adoption of this resolution be, and the same hereby are, in all things ratified, approved and confirmed. BE IT FURTHER RESOLVED, that any bank or savings and loan located in the State of Minnesota may be used as depositories for investments purposes so long as the investments comply with authorized investments as set forth in Minnesota Statutes. BE IT FURTHER RESOLVED, that any brokerage firm located in the State of Minnesota may be used as a depository for investment purposes so long as the investments comply with the authorized investments as set forth in Minnesota Statutes. BE IT FURTHER RESOLVED, that the signatures of any one of the following named City employees are required for access to safe deposit boxes: Finance Director City Manager Assistant Finance Director Accounting Coordinator Passed this day of , 1995 Offered by: Seconded by: Roll Call: Jo -Anne Student, Council Secretary 9512111 Joseph S. Sturdevant, Mayor CITY COUNCIL LETTER MEETING OF: DECEMBER 18, 1995 AGENDA SECTION: CONSENT ORIGINATING DEPT.: CITY MANAGER NO.: 4 FINANCE APPROVAL ITEM: WORKERS' COMPENSATION BY: E_LRITE BY: INSURANCE =_r NO.: 4 DATE: DEC. 11, 1995 The City's current workers' compensation insurance policy expires December 31, 1995. For the past ten years, the City has carried workers' compensation insurance from The League of Minnesota Cities Group Self- Insurance Trust under the premium refund option plan. Under this plan, the cost to the City is based on actual claims made during the year with minimum and maximum caps, rather than the standard premium rate. If the City had no claims during the year, the minimum rate would be 52.9% of the premium, and if the City had extensive claims during the year, the maximum would be 130% of the standard premium. Over the past eight years, the City has realized a significant savings under this plan from the standard premium plan. The League of Minnesota Cities Group Self- Insurance Trust is the only company offering the refund option plan. Under this plan the City's minimum cost would be $52,124 and the maximum would be $128,094. During the past four years, City staff and the City's insurance agent have researched other alternatives for workers' comp. In essence, because of the good rates that City's receive under the League of Minnesota Cities Self- Insurance Trust, there are no other competitive companies for municipal business. As an example of this, the City's insurance agent secured two other quotes on workers' comp. The first is from the State Fund Mutual at a rate of $165,943; the second is from Minnesota Assigned Risk at a rate of $222,959. Because the League has such a large membership and has been so successful, several companies have discontinued writing municipal workers' compensation insurance in the State of Minnesota. In addition to the above, the League is offering a 10% discount if the City participates in a managed care program. This discount equates to $9,853 off the standard premium. Based on this, the Assistant to the City Manager initiated a request for proposals for managed care services. The following three companies submitted proposals: CorVel Corporation, Comprehensive Managed Care (a division of Blue Cross), and Medica. Of the three companies, CorVel was by far the smallest company and, possibly because of this, appeared to offer a plan that allowed the City more input into their involvement in the various cases. Also, their projected costs were lower than either Comprehensive Managed Care or Medica. CorVel's projected annual cost is approximately $500. In general, it appears that these companies provide approximately the same service of evaluating all workers' comp claims, verifying workers' comp costs, and laying out a plan for the injured worker to return to duty. Without managed care, an injured worker is free to undertake virtually any recovery plan with any doctor they choose. Under managed care, an injured worker must go to a hospital or clinic that is under the managed care plan and that has agreed to provide the managed care services as mandated by Minnesota state statutes. All of the companies that submitted proposals had a comparable list of clinics in the metropolitan area, all of which included Columbia Park Medical Group in Columbia Heights. RECOMMENDED MOTION: Move to authorize the Mayor and City Manager to renew the workers' compensation insurance policy from the League of Minnesota Cities Insurance Trust under the retrospective rate premium option using a maximum factor of 130% at the rates specified in their quotation, and to enter into an agreement with CorVel Corporation for managed care plan services as provided in their proposal. W E:dn /9512123 COUNCIL ACTION: League of Minnesota Cities Insurance Trust Group Self- Insured Workers' Compensation Plan Administrator Berkley Administrators Member of the W R. Berkley Group P.O. Box 59143 Minneapolis, MN 55459 -0143 Phone (612) 544 -0311 NOTICE OF PREMIUM OPTIONS FOR STANDARD PREMIUMS OF $50.000 — $150.000 The "City" COLUMBIA HEIGHTS 590 40TH AVENUE COLUMBIA HTS MN 55421 -0000 Agreement No.: Agreement Period: From: To: 02- 000386 -11 01/01/1996 01/01/1997 Enclosed is a quotation for workers' compensation deposit premium. Deductible options are now available in return for a premium credit applied to your estimated standard premium of $ 98534. The deductible will apply per occurrence to paid medical costs only. There is no aggregate limit. As an alternative, cities with a standard premium in excess of $25,000 may select from several retro -rated premium options. The final net cost under the retro -rated option equals the audited standard premium times the minimum factor plus losses and all loss- related costs, not to exceed the audited standard premium times the maximum factor. The net cost for each retro option based on your estimated payroll, would be between the minimum and maximum amounts shown below, depending upon your losses. Adjustments will be made approximately six months after the close of your agreement year and annually thereafter until all claims are closed. These adjustments will be based on audited payroll amounts and reserved as well as paid losses. Please indicate below the premium option you wish to select. You may choose only one and you cannot change options during the agreement period. OPTIONS 1 ❑ Regular Premium Option Deductible Options: NET DEPOSIT PREMIUM Deductible 89648. per Occurrence 2 ❑ $250 3 ❑ 500 4 ❑ 1,000 5 ❑ 2,500 6 ❑ 5,000 7 ❑ 10,000 NET DEPOSIT PREMIUM Retrospectively Rated Premium Options: Retro -Rated Est. Minimum Maximum Est. Maximum (See #1 above Minimum Factor Premium Factor Premium for net deposit 8 ❑ 52.9% 52124. 130% 128094. premium) 9 ❑ 49.9% 49168. 140% 137948. 10 ❑ 47.3% 46607. 150% 147801. This should be signed by an authorized representative of the city requesting coverage. One of the above options must be selected. Please return a signed copy of this notice to the Administrator with payment and make checks payable to the LMCIT. Signature Title Date For more information on the premium options that apply to your city, refer to the enclosed brochures. BA 4503CG (10/94) 89648. Premium Credit Credit Amount 2% 1971. 87677. 4% 3941. 85707. 5% 4927. 84721. 9% 8868. 80780. 12% 11824. 77824. 17% 16751. 72897. Retrospectively Rated Premium Options: Retro -Rated Est. Minimum Maximum Est. Maximum (See #1 above Minimum Factor Premium Factor Premium for net deposit 8 ❑ 52.9% 52124. 130% 128094. premium) 9 ❑ 49.9% 49168. 140% 137948. 10 ❑ 47.3% 46607. 150% 147801. This should be signed by an authorized representative of the city requesting coverage. One of the above options must be selected. Please return a signed copy of this notice to the Administrator with payment and make checks payable to the LMCIT. Signature Title Date For more information on the premium options that apply to your city, refer to the enclosed brochures. BA 4503CG (10/94) League of Minnesota Cities Insurance Trust Group Self- Insured Workers' Compensation Plan Administrator Berkley Administrators a member of the Berkley Risk Management Services Group P.O. Box 59143 Minneapolis, MN 55459 -0143 Phone (612) 544 -0311 Self- Insured Workers' Compensation Quotation (RENEWAL of Agreement No. 02- 000386 -10) COLUMBIA HEIGHTS STREET CONSTRUCTION b WATERWORKS 01/01/1996 MAINTENANCE FIREFIGHTERS (NOT VOLUNTEER) FIREFIGHTERS (VOLUNTEER) POLICE OFF SALE LIQUOR STORE CITY SHOP 8 YARD CLERICAL PARKS MUNICIPAL EMPLOYEES ELECTED OR APPOINTED OFFICIALS 01/01/1997 The foregoing quotation is for a deposit premium based on your estimate of payroll. Your final actual premium will be computed after an audit of payroll subsequent to the close of your agreement year and will be subject to revisions in rates, payrolls and experience modification. While you are a member of the LMCIT Workers' Compensation Plan, you will be eligible to participate in distributions from the Trust based upon claims experience and earnings of the Trust. If you desire the coverage offered above, please complete the enclosed "Application for Coverage" and return it and your check for the deposit premium (made payable to the LMC Insurance Trust) to the Plan Administrator, Berkley Administrators. BA 441CG (12/92) ESTIMATED DEPOSIT CODE RATE PAYROLL PREMIUM 5506 4.86 228136. 11087. 7520 3.86 207542. 8011. 7706 4.77 380553. 18152. 7708 44.18 POP 6910. 3053. 7720 3.53 1310032. 46244. 8017 1.52 244699. 3719. 8227 4.63 112790. 5222. 8810 0.44 1315877. 5790. 9102 2.76 383145. 10575. 9410 1.25 649729. 8122. 9411 0.47 40200. 189. Manual Premium 120164. Experience Modification 0.82 Standard Premium 98534. Managed Care Credit 0% 0. Deductible Credit 0% 0. Premium Discount 8886. Discounted Standard Premium 89648. LMC Insurance Trust Discount 0% 0. Net Deposit Premium 89648. The foregoing quotation is for a deposit premium based on your estimate of payroll. Your final actual premium will be computed after an audit of payroll subsequent to the close of your agreement year and will be subject to revisions in rates, payrolls and experience modification. While you are a member of the LMCIT Workers' Compensation Plan, you will be eligible to participate in distributions from the Trust based upon claims experience and earnings of the Trust. If you desire the coverage offered above, please complete the enclosed "Application for Coverage" and return it and your check for the deposit premium (made payable to the LMC Insurance Trust) to the Plan Administrator, Berkley Administrators. BA 441CG (12/92) League of Minnesota Cities Insurance Trust Group Self - Insured Workers' Compensation Plan Workers' Compensation and Employers' Liability Agreement Administrator Berkley Administrators a member of the Berkley Risk Management Services Group P.O. Box 59143 Minneapolis, MN 55459 -0143 Phone (612) 544 -0311 Important Information Inclusion of Sick, Holiday and Vacation Pay Sick pay, holiday pay and vacation pay is included in the remuneration base on all Workers' Compensation agreements issued with effective dates of 1/1/96 or later. The rates have been reduced to offset this inclusion. American Agency, Inc. 5851 Cedar Lake Road P.O. Box 16527 Minneapolis, MN 55416 -0527 (612) 545 -1230 - Fax (612) 593 -8733 December 6, 1995 Bill Elrite City Of Columbia Heights 590 40Th Avenue N.E. Columbia Heights MN 55421 -3878 Re: Policy# LO - 02000386 -10 (WORKERS COMPENSATION) Effective January 1, 1995 to January 1, 1996 Dear Bill: I am enclosing the renewal quote on the city's workers compensation. We also received the following work comp quotes from other companies: State Fund Mutual: $165,943. Minnesota Assigned Risk: $222,959. Please call if you have any questions. Yours truly, David W. Seppel DWS /dmj B2(A) /pe w V W,^ VJ a w U W C7 r, Fri X c! � � � u S�IA °old ►�e�t�, o°cw C[- l�U��1lWO�O.v� Q � v� � X1.1, �.i ! .�i► .� iil ii Z Z ZO iGm0 fWh M.M F PIC, ZZ � W F z Wp °�.S u� � c• k OC�.UF000�.�76�c1<U vy� Wag 19z ���aoCOr� °Lae y OCR. �O ac o WW TQZ � S •3 <3�b�°Ca � � � 0 0 z of 0: > � Za U W cc u Q i CITY COUNCIL LETTER s : . t.-M .. AGENDA SECTION: CONSENT NO: 4 ORIGINATING DEPT.: ASSESSING CITY MANAGER APPROVAL ITEM:RESOLUTION ESTABLISHING SENIOR BY: JANE GLEASON BY: CITIZENS OR RETIRED & DISABLED PERSONS HARDSHIP SPECIAL ASSESSMENT DATE: DECEMBER 11, 1995 DEFERRAL NO: In 1982, the City Council adopted a resolution allowing the deferral of assessments for senior citizens and disabled persons. The resolution established eligibility criteria including a maximum income. The income level was updated by resolution 92- 43. The attached resolution retains the criteria in the previous resolution and updates the income eligibility amount to $16,300, the same dollar amount used for reduced rates for senior citizens utility bills. The current income eligibility amount is $14,100. RECOMMENDED MOTION: Move to waive the reading of the Resolution, there being ample copies available to the public. RECOMMENDED MOTION: Move to adopt resolution 95- 86 establishing a new maximum income of $16,300 for senior or retired and disabled persons to be eligible for special assessment deferral. Jg\f 11.:\:rW*r. r.: COUNCIL ACTION: RESOLUTION NO. 95- 86 BEING A RESOLUTION ESTABLISHING SENIOR CITIZENS OR RETIRED AND DISABLED PERSONS HARDSHIP SPECIAL ASSESSMENT DEFERRAL Whereas, immediate payment of special assessments or installments on special assessments cast an undue hardship on some persons owning homestead properties who are 65 years of age or older or retired by virtue of a permanent and total disability for whom it would be a hardship to make payments, and Whereas, Minnesota Statutes §435.193 - 435.195 makes it possible for a home rule charter city to pass a resolution establishing standards and guidelines for determining the existence of a hardship and for determining the existence of a disability. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COLUMBIA HEIGHTS: 1. This deferral procedure shall apply only to assessments which are payable in five or more annual installments. 2. This deferral procedure shall apply only to property owned and occupied by the elderly, retired, or disabled applicant. Ownership and occupancy must be of the same nature as would qualify the applicant for a homestead exemption for tax purposes. 3. This deferral procedure shall apply only to homestead property owned by a person 65 years of age or older or retired by virtue of a permanent and total disability for whom it would be a hardship to make payments. Permanent and total disability shall have the same definition for purposes of assessment deferral as is used for social security purposes. 4. This deferral procedure shall not be construed as to prohibit the determination of hardship on the basis of exceptional and unusual circumstances not covered by the standards and guidelines herein so long as determination is made in a nondiscriminatory manner and does not give the applicant an unreasonable preference or advantage over other applicants. 5. In order to obtain a deferral of an assessment, the homeowner must make application on the forms prescribed by the Anoka County Auditor. If no such form is available, the City of Columbia Heights Assessment Clerk shall prescribe the appropriate form. 6. In granting a deferred assessment, the Council shall determine in its resolution approving the assessment roll the amount of interest, if any, to be charged on the deferred assessment„ 7. The option of the homeowner to defer the payment of special assessments shall terminate and all amounts accumulated plus applicable interest shall become due and payable upon the occurrence of any of the following events: a. the death of the owner, provided that the spouse is not otherwise eligible for benefits hereunder; V1 I Resolution No. 95- Page 2 b. the sale, transfer or subdivision of the property or any part thereof; C. if the property should for any reason lose its homestead status; or d. if for any reason the City shall determine that there would be no hardship to require immediate or partial payment. 8. No deferral may be granted unless the homeowner makes application to the City Assessment Clerk within thirty (30) days after adoption of the assessment by the Council. 9. The deferral shall apply to only 50% of the annual installment payment. If the 50% is not paid in a timely manner, the balance of the annual installment along with all future installments shall become immediately due and payable. 10. No deferral shall be granted to any owner who has a gross annual household income from all sources in excess of $16,300.00 11. No deferral may be continued from year to year unless the owner shall file a renewal application before September 15th of each year. 12. No special assessment may be deferred for a period longer than the time set by the Council as the time over which the project is to be assessed. 13. Interest on deferred assessments shall be at the rate set by the Council in its resolution adopting the assessment roll, and such interest shall be added to the amount deferred and shall be paid in accordance with Minnesota Statute §435.195 and this Resolution. Passed this day of 19 Offered by: Seconded by: Roll Call: Jo -Anne Student, Council Secretary Joseph Sturdevant, Mayor CITY COUNCIL LETTER Meeting of: December 18, 1995 AGENDA SECTION: CONSENT ORIGINATING DEPARTMENT CITY MANAGER NO. 4 POLICE APPROVAL: ITEM: School Liaison Officer Contract BY: Thomas M. Johnson BY:�°_ NO. DATE: December 7, 199 N DATE: In 1992, the City of Columbia Heights and School District #13 entered into a joint powers agreement to fund a school liaison services program. This contract has been renewed each year since then. The program continues to provide benefits to the School District and the Police Department and is an important part of our juvenile program. The School District shares expenses equally with the Police Department during the school year. Officer Mike McGee has held this position since the inception of the program. Officer McGee has established excellent rapport with the students and staff at the Middle School and the High School. In addition, his contacts at the schools are invaluable in our investigation of juvenile crime. Officer McGee provides an excellent role model to students and is a valuable resource to the school and the community. His continued interaction is an important link between law enforcement and the educational system. RECOMMENDED MOTION: "Move to authorize the Mayor and City Manager to approve the joint powers agreement with School District #13 for the provision of a police school liaison officer as stipulated in the joint powers agreement herein for the period of September 1, 1995, through June 6, 1996. " mld 95 -381 COUNCIL ACTION: Section 7 JOINT POWERS AGREEMENT This Joint Powers Agreement dated this 7th day of December , 1995 is made pursuant to M.S. 471.59 by and between the CITY OF COLUMBIA HEIGHTS (City) and INDEPENDENT SCHOOL DISTRICT #13 (School District). 1. PURPOSE. The purpose of this agreement is to create, fund, and implement the position of Police School Liaison Officer. 2. DUTIES AND RESPONSIBILITIES. The job description for the School Liaison Officer is attached. 3. SELECTION PROCESS. From applications of qualified applicants for the position of School Liaison Officer, one or more candidates will be selected by a selection board made up of School District #13 personnel and appointed Police Department personnel. Oral interviews are to be administered by the same selection board. The final appointment of the School Liaison Officer is at the discretion of the Chief of Police. The School Liaison Officer may be removed from the position at the discretion of the Chief of Police. 4. FUNDING. The School District and City will share the following expenses equally during the school year, except in no event may the School District's share of the expenses exceed 1/2 of 9/12 of the total officer compensation and benefit package: A. Officer's Salary B. Position Grade Enhancement C. Holiday Pay D. F.I.C.A. E. Workers Compensation F. P.E.R.A. G. Hospitalization H. Training I. Vehicle - related Costs Cost breakdown for 1995 -96 school year is attached. 5. BILLING. The City shall submit a bill to the School District which will be paid within thirty days of receipt. Page 2 Joint Powers Agreement 6. TERM. This agreement shall commence on September 1 , 1995 and shall end on June 7 , 1996. 7. GENERAL PROVISIONS. The Police School Liaison Officer is a city employee and shall not be considered an employee of the School District for any purpose, including but not limited to salaries, wages, other compensation or fringe benefits, Workers Compensation, Unemployment Compensation, P.E.R.A., Social Security, liability insurance, keeping of personnel records, termination of employment, individual contracts or other contractual rights. The officer will report to and be directed by the Investigative Supervisor, but will consult regularly with the School District officials. The officer will have office space and phone at the School District's high school without cost to the City. 8. INDEMNIFICATION BY CITY. The School Liaison Officer is a City employee. The City shall indemnify, hold harmless, and defend the School District, its elected officials and employees against any and all liability, loss, costs, damages, expenses, claims or actions which the School District, its officers and employees may hereafter sustain, incur or be required to pay, arising out of or by reason of any negligent or willful act or omission of the City, its agents or employees, in the execution, performance, or failure to adequately perform the City's obligations pursuant to this agreement. 9. INDEMNIFICATION BY SCHOOL DISTRICT. The School District shall indemnify, hold harmless, and defend the City, its officers and employees against any and all liability, loss, costs, damages, expenses, claims or action which the city, its officers and employees may hereafter sustain, incur or be required to pay, arising out of or by reason of any negligent or willful act or omission of the School District, its agents or employees, in the execution, performance or failure to adequately perform the School District's obligations pursuant to this agreement. 10. TERMINATION OF AGREEMENT. Ninety day written notice by either School District or City is required to terminate the program. The Liaison Officer can be removed at any time following the written notification of termination of the program. 11. TEMPORARY REASSIGNMENT. Temporary reassignment of the Liaison Officer is at the discretion of the Chief of Police not to exceed thirty consecutive days, contract to be renegotiated after thirty days. Page 3 Joint Powers Agreement 12. Resolution of unforeseen problems arising in this program shall be negotiated by representatives appointed by the School District and the Chief of Police. APPROVED AS TO FORM: Greggory J. Woods City Attorney School District #13 Attorney IN WITNESS WHEREOF, THE PARTIES HAVE EXECUTED THIS AGREEMENT THE DAY AND YEAR FIRST WRITTEN ABOVE. CITY OF COLUMBIA HEIGHTS Joseph Sturdevant Mayor Thomas M. Johnson Chief of Police SCHOOL DISTRICT #13 Dr. Alain Holt Superintendent of Schools Jane Liepold Goodell Principal, C.H.H.S. CITY COUNCIL LETTER Meeting of: December 18, 1995 AGENDA SECTION: CONSENT ORIGINATING DEPARTMENT: CITY MANAGER APPROVAL NO: Fire ITEM: Establish Hearing Date BY: Lowell DeMars BY: License Revocation, Rental Properties NO: A. DATE: Dec 11, 1995 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) Jeff Benzinger ............................ 3928 Polk Street NE 2) Lynde Investment Company ................... 4060 NE 4th Street 3) Lynde Investment Company ................... 4100 NE 4th Street 4) Lynde Investment Company ................... 4120 NE 4th Street 5) Lynde Investment Company ................... 4425 University Avenue NE 6) Lynde Investment Company ................... 4433 University Avenue NE 7) Lynde Investment Company ................... 4441 University Avenue NE 8) Lynde Investment Company ................... 4707 University Avenue NE 9) Lynde Investment Company ................... 4715 University Avenue NE 10) James N. Thermos ......................... 840/42 NE 50th Avenue RECOMMENDED MOTION: Move to Establish a Hearing Date of January 8, 1996 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. 95 -253 COUNCIL ACTION: CITY COUNCIL LETTER Meeting of: December 18, 1995 AGENDA SECTION: CONSENT ORIGINATING DEPARTMENT: CITY MANAGER'S NO: 4 CITY MANAGER'S APPROVAL ITEM: ESTABLISH HEARING DATE FOR JANUARY 8, BY: P. HENTGES BY: 996 AT 7 P.M. DATE: 12 -14 -95 DATE: N0: F 4. A.-9) Subject to the Work Session discussions that will occur prior to the City Council meeting, a sample resolution and hearing notice are attached. The resolution will have to be expanded to final form, including clarification of terms, and conversion of HRA powers and responsibilities. Hopefully, the Work Session will bring to light the Council's wishes these issues and provide greater clarity to the process of converting the HRA staff to city employment. RECOMMENDED MOTION: Move to establish January 8, 1996, at 7 P.M. as a public hearing date on the resolution enabling the creation of an Economic Development Authority in the City of Columbia Heights. COUNCIL ACTION: DEC ii '95 15 :53 KENNEDY a GRAVEN F.5 CITY OF COLUMBIA HEIGHTS RESOLUTION NO. RESOLUTION ENABLING THE CREATION OF AN ECONOMIC DEVELOPMENT AUTHORITY IN THE CITY OF COLUMBIA HEIGHTS BE IT RESOLVED By the City Council of the City of Columbia Heights, Minnesota ( City ") as follows: Section. Background: Findings. 1.01. The City is authorized by Minnesota Statutes, Chapter 469 (Act) to establish an Economic Development Authority (EDA) to coordinate and administer economic development and redevelopment plans and programs of the City. 1.02. It is found and determined by the City Council that the encouragement and financial support of economic development and redevelopment in the City is vital to the orderly development and financing of the City and in the best interests of the health, safety, prosperity and general welfare of the citizens of the City . 1.03. It is further found and determined that the economic development and redevelopment of the City can best be accomplished by the establishment of an EDA as authorized by the Act . 1.04. The City Council has in accordance with the Act provided public notice and conducted a public hearing on January 9, 1995, concerning the establishment of an EDA at which all persons wishing to be heard expressed their views. Section 2. Enabling Authority . 2.01. The Columbia Heights Economic Development Authority (CHEDA) is hereby established. 2.02. The board of commissioners of the CHEDA shall consist of seven members, two of whom must be members of the City Council. The members shall be appointed by the Mayor with approval of the City Council. 2.03. Commissioners shall be appointed for initial terms of one, two, three, four and five years respectively, and two members for six years. Thereafter all commissioners shall be appointed for six -year terms. Notwithstanding the above provisions, the term of commissioners who are members of the City Council shall be the lesser of that member's term of office as a City Council member and the term referenced above. 2.04. A vacancy is created in the membership of the CHEDA when a City Council member of the board of commissioners ends Council membership. A vacancy for this or any other reason must be filled for a new term or the balance of the expired term, as the case may be, in the manner in which the original appointment was made. &TA977'J6 "IOZ -33 DEC 11 '95 15 :53 KENNEDY & GRAVErl P.6 2.05. The following limits apply to the CHEDA and its operation: (a) The sale of bonds or other obligations of the CHEDA must be approved by the City Council. (b) The CHEDA must follow the budget process for City departments in accordance with City policies, ordinances, and resolutions and the City charter. (c) Development and redevelopment actions of the CHEDA must be in conformance with the City comprehensive plan and official controls implementing the comprehensive plan.. (d) The CHEDA must submit its plans for development and redevelopment to the City Council for approval in accordance with City planning procedures and laws. (e) The administrative structure and management practices and policies of the CHEDA must be approved by the City Council. 2.04. As provided in the Act it is the intention of the City Council that nothing in this resolution nor any activities of the CHEDA are to be construed to impair the obligations of the City or the Housing and Redevelopment Authority in and for the City of Columbia Heights (HRA) under any of their contracts or to affect in any detrimental manner the rights and privileges of a holder of a bond or other obligation heretofore issued by the City or the HRA. Section 3. Implementation. 3.01. The city Council will from time to time and at the appropriate time adopt such ordinances and resolutions as are required and permitted by the Act to give full effect to this resolution. 3.02. The Mayor, the Manager,and other appropriate City officials are authorized and directed to take the actions and execute and deliver the documents necessary to give full effect to his resolution. 3.03. Nothing in this resolution is intended to prevent the City from modifying this enabling resolution to impose new or different limitations on the CHEDA as authorized by the ACT. Approved by the City Council of the City of Columbia Heights this 8th day of January 1996. 8x97756 CL36T -13 CITY COUNCIL LETTER Meeting of: December 18, 1995 AGENDA SECTION: CONSENT ORIGINATING DEPARTMENT: CITY MANAGER'S NO: 4 CITY MANAGER'S APPROVAL ITEM: ESTABLISH JANUARY, 1996, WORK SESSION BY: P. HENTGES BY: DATES DATE: 12 -14 -95 DATE: NO: - � r /� Work sessions need to be established for the month of January, 1996. Due to Martin Luther King Day falling on Monday, January 15, 1996, a work session for that week will need to be scheduled for Tuesday, January 16, 1996, at 8 P.M. RECOMMENDED MOTION: Move to establish work sessions on the following dates: Tuesday, January 2, 1996, at 7 P.M; Tuesday, January 16, 1996, at 8 P.M.; and Monday, January 29, 1996, at 7 P.M. COUNCIL ACTION: CITY COUNCIL LETTER Meeting of : December 18, 1995 AGENDA SECTION: CONSENT ORIGINATING DEPT.: CITY MANAGER N0: Recreation APPROVAL ITEM: Authorization to obtain quotes BY: John Herbert BY: for t- shirts, baseball caps, and athletic equipment. DATE: December 12, 1995 NO: a 024 4 // ) - Staff is seeking authorization to obtain quotes for approximately 1,600 t- shirts, 800 baseball caps, 100 uniforms and a variety of athletic equipment. The t- shirts and caps are given to participants, and the athletic equipment is used in the programs. In 1995, 1,839 t- shirts cost $7,233.99, 852 caps cost $1,381.20.00, and assorted athletic equipment cost $8,417.00. The Columbia Heights Athletic Boosters have graciously donated the money needed for the purchases. RNCONMNDRD NOTION: Move to authorize staff to obtain quotes for t- shirts, caps, uniforms, and athletic equipment for the recreation program. COUNCIL ACTION: CITY COUNCIL LETTER Meeting of: December 18, 1995 AGENDA SECTION: CONSENT NO: 4 ORIGINATING DEPARTMENT: CITY MANAGER'S CITY MANAGER'S APPROVAL ITEM: LICENSE REQUEST -- VFW POST N.O. 4 A 12) BY: P. HENTGES DATE: 12 -15 -95 BY: DATE: VFW Post No. 230 has made application for approval of a Class Seat Restaurant at 4005 Central Avenue N.E., Columbia Heights. resolution regarding charitable gambling, it appears that the set forth in the city's procedures, and has paid the $250 fee. the organization will perform lawful gambling activities tipboards, and paddlewheels. B Gambling License for the Box Pursuant to the City Council's organization meets the criteria The application indicates that including pulltabs, raffles, 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 Class B Charitable Gambling License for the VFW Post No. 230 for Box Seat Sports Bar & Grill, 4005 Central Avenue NE., Columbia Heights; and furthermore, that the City Council hereby waives the remainder of the sixty day notice to the local governing body. COUNCIL ACTION: U USOLCTION NO. S8 -_ BEING A RESOLUTION AUTHORIZING CERTAIN CHARITABLE GAMBLING BE IT RESOLVED by the City of Columbia weights that gambling, as described In Minnesota Statute 326 shall be prohibited in all bars and liquor establish - ments within the City which are licensed pursuant to Section 3.301, 3.303, 3.304, 3.305, 3.306, or 3.307 of the City Code unless I. The organisation wi.shing•to gamble obtains the permission of the Minnesota Charitable Gambling Control Board= 2. The organisation wishing to gamble obtains the permission of the Council of the City of Columbia Beights= 3. The organisation wishing to gamble has been in existence in Columbia Heights for aot less than ten years= 4. The organisation wishing to-ramble is a bona fide club= 3. The organisation wishing to gamble does not pay the proprietor of the licensed premises a rental or lease payment in excess of the lesser of $400 per month, or the amount authorised by the State Charitable Gambling Control Board for Class A and Class B licenses. No other remuneration shall be paid to the proprietor for permitting the gambling activity or device to be located on the licensed premises. 6. 1 license fee riot subject to a waiver &hall be paid to the City of Columbia Heights in the amount of $250 for Class A and Class B licenses and $25 for Class C and Class D licenses. License fees shall not prorated or refundable. NOW, THEREFORE, BE IT RESOLVED that this resolution shall take effect on July 1, 1988, and *hall replace Resolution 86 -11. Passed the 9th day of Play, 1988. Offered By: Carlson Seconded Sys Peterson Roll Call: All ayes o -Anne Student, Council Secre Dale V. Radtrath, Mayor LG214 (7,2W9>) ,>t[in mota L ilful Gambling Premises Permit Application - Part 1 of 2 FOR BOARD USE ONLY BASE PP #f .FEE CHECK INITIALS DATE G permit of promises pet ❑ Renewal (oback one) Organization base license number ❑ A WW) Pull- tabs, tipboards. paddewheek, Mlles, bingo Premises permit number B MM) PW tabs, dpboards. paddlewheels, raffles New ❑ C a=) Bingo only ❑ D ($lso) Rafts only :�:1: { { {r { {!:i {x:. }::rr: �: % /•i {k{+ ? ?;;� {:::i'1,.: .r,V.;*{{fMv^x. { { {� {x• ryv: y/�C: v0'f.{r;:n^�C:: :'emu off H v�i:}y�. -}, ti...v.'.r'•r:.: : ...::: .:::::::.�.... .: fr:::::- .... ....... f /�.%•�Nn. .:...:....� {4._ ..: gr�f.+.�+iPxfe'4�f..f:r }i :•�.. }}: +.•fixii..:::; ..r:fl. }.:C.�i'.'{{.••H;.i}rn. L. • ::v ..: :..: : ..: ... i- {4i { {: ....... ... :�rr v: •...•.r v:w..:. }..Y,.:rx::: x:: ... r.::.. • }.•. :.. {L: {- r'.•n. }: {:: n}.: r. vr.� i} f- f-:. {}Q ,J;n ': .G ^::.:::.. r..��•'.,.,..,�tr},:.,{.,.: iir. '•: v:..v:::::; ?w:::: :: rv: %?i::.:: : f...:.{\ .. <-i': ''7,.•JfC: J.: : �. : }. vi p' {:;:.; {.ri1 >:n; ?f •:'r':.rr:Yrir;{ {•i::: ?: - r; }:.rG:...r..?ca:::. �:.::wn:s:::: ?::.. :.:{.:::...: ::: t:+ r:!;-: ;:::r%frl.•.�. >K- Y,2rrr:fr.'•.. ::95f::;.s.. ..a" .: {f.:.:v.s {•r::.: rra: ? :- r•• }r }i'•. }:: :i : ::•i.' {:':; ::.. -:: •:.rr - n: }r -: -u• :r'Y '3is`::.':: >i::::; Name of Organization Uf W . Posy #a3o Business Address of Or tion - Street or P. O Box (Do not use the address of your gambling Eger) C� �Mb1A r YV A N rate 55 p Code County, c6 Daytime 788- �7O%L Name of chief executive officer (chnnot be your gambling manager) Title Daytime phone number lot- PPA P '6• WA tE 6h' MAnr1 (6 1a) 5j40 - /3./ a Bingo Occasions If applying for a class A or C permit. fill in days and beginning & ending hours of bingo occasions: No more than seven bingo occasions may be conducted by your organization per week. Day Beginning/Ending Hours Day Beginning/Ending Hours Day Beginning /Ending Hours to to to �. m to m B bingo will not be conducted. check here C Is the premises Iocatid within city knits? : = Yes O No N no, is bwrWW r-1 organmea © unorganaeo L i unwworporawo City and County where gambling premises is located OR Township and County where gambling premises is boated if outside of city limits Name and address of ftal owner of premises r' City % G � ,t E Zip Code Does your organizatiod own the building where the gam ing will be conducted? p YES NO M no, attach the blowing: • a copy of the lease (brm LGM with brna for at least one year. • a copy of a sketch of the Door plan with dmensions, showing whet portion is being leased. A lease and sketch are not required for Class D applications. q C&AkAL AUE VS, eAwnb;A He; V;kt IV Minnesota Lawful Gambling Premise Permit Application - Part 2 of 2 Bank Name Bank Account Number °� EAs� SfAf� Awk ; 500 - -1{700 RUCK FE - U AIE , 39102 NX-fRAL AvE MC. &IamLiA &A ym. oval. (ab 0 6liO►t r4r- 1QAAD lJE . ?1ZtdL£1j _ MM eA41I _ G'rAvmZn, �Kana %ZaMUuug 0,Le A%ULUvrLZauon I hereby consent that local law enforcement officers, the -1 am the chief executive officer of the organization; -1 assume full responsibility for the fair and lawful opera - board or agents of the board, or the commissioner of tion of all activities to be conducted; revenue or public safety, or agents of the commissioners, may enter the premises to enforce the law. -1 will familiarize myself with the laws of Minnesota Bank Records Information governing lawful gambling and rules of the board and The board is authorized to inspect the bank records of the agree, if licensed, to abide by those laws and rules, including amendments to them; gambling account whenever necessary to fulfill requirements of current gambling rules and law. -any changes in application information will be submitted Oath to the board and local unit of government within 10 days I declare that: of the change; and -1 understand that failure to provide required information -1 have read this application and all information submitted or providing false or misleading information may result in to the board is true, accurate and complete; the denial or revocation of the license. -all other required information has been fully disclosed; - Sig" of chief executive officer Date Z .144 / 'Z/ /.Z/'0cS— 1. The city *must sign this application if the gambling prom- d' A CODy of the local unit of government's resolution ao- ises is located within city limits. 2mving this application must be attached to this agglication 2. The county "AND township" must sign this application lf 5. ff this application is denied by the local unit of government, the gambling premises is located within a township. it should not be submitted to the Gambling Control Board. 3. The local unit government (city or county) must pass a Township: By signature below, the township acknowledges resolution specifically approving or denying this application. ^that the organization is applying for a premises permit within township limits. City* or County" Township!*_ C' Yo, or County Name Township Name , Iq Sign f person receiving application Signature of person receiving application Title /p_a�.� 7`a _ . ( Date Recei Title "Date Received Refer to the f r. ructions for required attachments. Mail to: Gambling Control Board K Rosewood Plaza South, 3rd f=loor 1711 W. County Road B Roseville, #MN 55113 . ­,LG214(Parl2) (Rw7fM^Dt) diA LG202 Minnesota Lawful Gambling (o9 /05/95) LEASE AGREEMENT FOR PULL -TAB, PADDLEWHEEL, TIPBOARD, AND /OR RAFFLE ACTIVITY AT A PERMITTED PREMISES Property Ownor sor Inforh a on Name of Legal Owner of Property Street Address City zip uayume Phone p -{ f' -- 3t x? Y�J� � 1U£'. WA PAck PRop �C � �IRiGki'isC�j£� , An�aN�1 55�{IS (b�a)78 /,3/8� Name of Lessor Street Address City Zip Daytime Phone (This may or may not be the same as the Legal Owner of the Property) yC 0�5 /1, _, -�-pAL AJE 7 �l.�� !t11�,1hSSyi1 Xi LE5 SPoRfis ",TtX WA 60(Wt 5,pO BAR f�/LG (b�.� %89 - 63 73 Name of Leased Premises Street Address City Zip Daytime Phone 41006 C&VjROqj AUE, S5y1 It /3vx SEA SPo�ets ,BAiP f �R� (L eo 4X c- (6 /j.) 70 -6373 Name of Lessee (Name of Organization Leasing the premises) GCB License # of Organization Daytime Phone \J_Fv_ Pr,si �0-.-no A- 000/x. 4/4 7991-96oa Rent7nformation ' Type of gambling activity (check all that apply) that will be conducted at this gambling premises. ® Raffles ® Paddlewheels ® Pull -tabs ® Tipboards Total rent cannot exceed 51,000 per month for all non -bingo lease agreements with your organization for this gambling premises. An organization may not pay rent to itself or to any of its affiliates for space used for the conduct or lawful gambling. Rent to be paid per month S Q Q = List dimensions of all areas leased by your organization for the conduct of gambling activity chocked above, including storage. The leased areas are: B feet by feet for a total of square feet feet by feet for a total of square feet. feet by feet for a total of square feet feet by feet for a total of square feet Storage feet by feet for a total of square feet. Storage feet by w feet for a total of square feet. Combined total square footage Submit a sketch (drawing) of the gambling premises. This must show the location of your organization's leased area(s) for the conduct of lawful gambling, including areas leased for storage of your gambling product on this gambling premises. Be sure to write the dimensions of the leased areas on the sketch. THE DIMENSIONS ON THE SKETCH MUST BE THE SAME AS THOSE LISTED ABOVL MN Statute 349.18 Subd I states that the term of the lease may not begin before the effective date of the premises permit and must expire on the same day that the premises permit expires. ONLY write an effective date in this area of the lease if this is a renegotiated lease agreement occuring during the term of your current premises permit. Effective Date for Amended Lease Agreements By agreeing to the terms of this lease, it is mutually agreed that: The owner of the property or the lessor may not manage gambling at the pre- mises; The lessor of the premises, his or her immediate family, and any agents or employees of the lessee may not partici- pate as players in the conduct of lawful gambling on the leased premises; The lessor and the lessee do not have a direct or indirect financial interest in the distribution or manufacture of gambling equipment; The organization must obtain an organi- zation license, gambling manager license and a premises permit from the Gam- bling Control Board. The organization will be responsible for complying with the laws and rules of lawful gambling; The term of the lease shall be concur- rent with the premises permit; The lessor of the premises will allow the Board or agents of the Board, the Commis- sioner of Public Safety or agents of the com- missioner, or the Commissioner of Revenue or agents of the commissioner, and law en- forcement personnel to inspect the premises at any reasonable time, and permit the organization to conduct lawful gambling at the premises according to the terms of this lease. The lessor may not impose any con- ditions on the organization regarding dis- tributors of gambling equipment, services, or the use of profits; LG202 (09/05/45) The lessor of the premises shall provide the lessee access to the permitted pre- mises during any time reasonable and necessary to conduct lawful gambling on the premises and as agreed upon in this lease; The lessor shah not modify, terminate or refuse to renew this lease in whole or in part because the organization reported to a state or local law enforcement au- thority or the Board the occurrence at the site of illegal gambling activity in which the organization did not participate; and The lease shall be terminated for any illegal gambling violations occurring on the pre- mises; The organization must have, at the gam- bling premises, a current inventory of The organization will be responsible for en- gambling equipment, a sketch with di- suring that the lessor's business activities mensions of the premises available for are not conducted on the leased premises; review, and a clear physical separation or divider between the lessee's gambling equipment and the lessor's business equipment. List any other conditions or restrictions that will be included as part of the lease. Attach additional sheets 'rf necessary, Be sure both parties date and initial any attachments to this lease. Q Ce SrcS, AL- Cost Pin a ts 19 k6 NctLL S v01. &S /11555 i5 SIIZC), ALL eWn- 7-PAr_Ts A*ox V) /, I -�D a i ; ■ i ►, i � • ►fit : C � • This lease is the total and only agreement between the lessor and the organization conducting lawful gambling activities other than bingo and pull -tab dispensing devices. There is no other agreement and no other consideration required between the parties as to the lawful gambling and other matters related to this lease. Any changes in this lease must be submitted to the Gambling Control Board within 10 days of the change. i Date �q� Si ature of Organization Official (lessees Date Title of Less!6regignatory Ti of Lessee Signatory ,ees w� er� �D 11 A copy of this tease and a sketch, with dimensions must be submitted with the premises permit applicati6n or premises permit application renewal or when any changes in the lease agreement occur. 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 )6394000. 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 compli- ance 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. z 3 �' ko s d�- v lrlrZ J A .v ,o �o COLUMBIA HEIGHTS POST NO. 230 V.F.W. r DATE INVOICE AMOUNT 17-13/910 GAMBLING ACCOUNT 4446 CENTRAL AVENUE NE, COLUMBIA HEIGHTS, MN 55421 6011 NORTHEAST STATE BANK COLUMBIA HEIGHTS OFFICE 3989 CENTRAL AVE NE, COLUMBIA HEIGHTS, MN 55421 CHECK AMOUNT COLUMBIA HEIGHTS POST NO, 230 V.F,W, P%M�lw! m � omme i OVA R- 1180DEZIlits 1:0910001321: 500ll14 001" SECURITY FEATURES MICRO PRINT BORDERS COLORED BRICK PATTERN - WATERMARK ON REVERSE SIDE -MISSING FEATURE INDICATES A COPY----­­-- TO CITY COUNCIL DECEMBER 18, 1995 *Signed Waiver Form Accompanied Applications APPROVED BY r V L I LL UCF I 11 il POLICE DEPT. FIRE INSPECTOR POLICE DEPT. 1996 LICENSE AGENDA ON & OFF SALE BEER *Yibeltal Mebratu Heights Grocery *Huy Fang Chau 1st Wok of Col. Hgts. -Todd Edward Holmers Tycoon Tavern -,Than 'Yang Best Market LICENSED AT FEES 501 N.E. 40th Avenue Off $100.00 4757 Central Avenue On 350.00 4952 Central Avenue On & Off 450.00 4901 Universitv Ave. Off Sale 100.00 GAMES OF SKILL ;Pinball Plus 4315 Central Avenue **APPROVAL PENDING LAUNDRY FACILITIES Macke Laundry Serv, of Mn. 8 various locations John & Sharon Vermeer 615 N.E. 40th Ave. Twin Cleaners & Laundry 5241 University Avenue PET SHOP -`Troy Tj epkes Exotic Aquatics 4923 Central Avenue SECONDHAND MERCHANT POLICE DEPT.,' FIRE DEPT., BLDG. -Salvation Armv ARC 3929 Central Avenue CHILDRENS AMUSEMENT MACHINES onLICE DrPT. ;, Theisen Vending Co. 4747 Central Avenue TAXICAB DRIVERS °LICE DEPT. -Ivan Micklin 3232 - 90th Avenue N.E. APPROVED BY TAXICAB VEHICLE LICENSED AT POLICE DEPT. -Ivan Micklin within the City #1111 3232 - 90th Avenue N.E., 1 vehicle APPROVAL PENDING BY POLICE DEPARTMENT 50.00 1 270.00 25.00 180.00 50.00 1 50.00 1 60.00 1 2.0.00 FEES $ 75.00 T O: PATRICK HENTGES. C'I'TY MANAGER FROM: LOWELL DEMARS SUBJLC'T: RENTAL HOUSING LICENSES DA "I�I:: DEC'I:MBER. l�, loos THE, OWNERS 01, THE FOLLOWING RENTAL PROPERTIES HAVE COMPLIED WITH THE RE- LICENSING REQUIREMENT'S OF THE CITY OF COLUMBIA HEIGHTS HOUSING XININTENANCE CODE. I AM REQU ES'TING 'l`HA7' THEY BE PLACER ON THE NEXT COUNCI I.., AGENDA FOR APPROVAL,: BONA, BRIJAN HILDEBRAND, MICHAEL Kl f "L. KURTIS R. LUPIENT, JAMES W. LUPIEN'T. JAMES W. LUPIENT. JAMES W. YANG, JOSEPH S. 4015 7TH STREET 4344 3RD STREET 561 -63 51ST AVENUE. 3839 IIART BLVD 3838 McKINLEY 2200 39TH AVENUE 3902 RESERVOIR. 10195 - Q N6 6/ Q5 - 5/96 1u /95 - Q /Q6 12/95 - I I /Q6 12/95 - 11/96 12195 - 11/96 11/95 - 10/96 ��� �� ^ ^ BRC FINANCIAL SYSTE� 12/14/95 15:34:45 Check I istory FUND .... .... .... .... DESCRIPTION .... .... .... .... .... ... .... .... .... .... .... .... .... .... ... .... .... .... .... - .... .... .... .... .... .... .... .... DISBURSE�ENTS 1O1 GENERAL 14,334.31 2O1 HRA CENTRAL OFFICE FUND 453.68 2O2 ANOKA COUNTY CDBG 32,83O.00 2O3 PARKVIEW VILLA NORTH 3,629.6O 212 STATE AID MAINTENANCE 474.72 213 PARKVIEW VILLA SOUTH 3.61 225 CABLE TELEVISION 14.71 24O LIBRARY 825.38 280 PROJECT PRIDE 89O.79 405 DOWNTOWN `AINTEKAKCE 459.3O 41O SHEFFIELD REDEVE�OPMENT 195.00 411 CAPITAL IMP-GEN GOVT. BLDG 6O8.87 43O INFRASTRUCT�RE FUND 2,79O.34 6O1 WA7ER UTILITY 7,812.72 6O2 SEWER UTILITY 67,279.77 6O3 REFUSE FUND 93,287.66 6O9 LIQUOR 75,182.35 7O1 CENTRAL GARAGE 3,764.32 720 DATA PROCESSIN3 544.00 883 CGNTRIBUTED PROJECTS-CEN 498.5O 886 INVESTM[NT TRUST 399,56O.00 BAl DISBURSEMENTS .... .... .... - ........ .... ... ... ... .... .... .... .... -- .... .... .... .... .... .... .... .... .... ... --- .... .... .... BANK CHECKING ACCOUNT 7O5,439.63 TOTAL ALA BANKS 7O5,439.63 BRC FINANCIAL SYSTEl"I CITY OF COLUMBIA HEIGHTS 12/14/95 15:3 Check History GL540R-VO4.30 PAGE 1 12/18/95 COUNCIL LIST BANK VENDOR DANK CHECKING ACCOUNT CHECK �UMBER AMOUNT NORTHEAST STATE BANK 56461 399,560.00 AMERICAN LINEN SUPPLY CO 56463 12.02 ANDERSON/LENi�RE 56464 44.00 ASPEN MILLS, INC. 56465 472.65 B[i1TDY BAR SUPPLY 56466 25.85 BERGFORD TRUCKING 56467 1,361.92 D8YD HOUSER CANDY & TQBA 56468 491.05 CHAUHASSEN BIANER THEATR 56469 100.00 [AS7 SIDE BEVERAGE CO 56470 65,012.80 GENUINE PARTS/XAPA AUTO 56471 33.73 GRTGGS-COOPER & CO 56472 1,38w3O HENTGES/PA7RICK 56473 87.00 JO:NSOX BROS. LIQUOR CO. 56474 271.91 KUEHN/JEAN 56475 23.30 MINNESOTA QEC & PARK FOU 56476 15.40 M1N7ER-WF7SMAN 56477 3,772.93 MO=LL[R/KAREN 56478 16^44 MUNICIPAL ARBORISTS & UR 56479 15.0O H[l COLLEGE 00 TECHN9LOO 564O0 291.95 HC8[OST[O 56481 490.79 NORTH STAY ICE- 56422 610.56 PARTS PLUS 56483 12.95 PA7 Q| -YNYy 56484 1,139.3:' PEPSI-COLA-7 LT' 56485 857.35 PETTY CASK - JOANNE BAKE 56486 53.61 PETTY CASH - KAREN MOELL 56487 54.90 PET7\ CASH - RANDY QUALE 56488 400.0O PLUUkETT'S, lKC 56489 63.91 PLYMU||TH/CT?Y OF 56490 55.55 PRIOR WINE 56491 1,192.47 RODDy/WILLIAM 56492 31.95 STAR TRIBUNE 56493 285.50 SUPERIOR FIRE PROCTECTIO 56494 3,000.00 U S WEST CELLULAR 56495 159.10 WILLIAM MATTSDN CONSTRUC 56496 11,450.00 WTLLIAMS STEEL & HARDWAR 56497 6.32 WINE MERCHANTS 56493 116.0) A & C SMALL 56500 16.21 AB[LMAN COMPANY/ THE 56501 81.95 ACE HARDWARE 56502 74.06 ACT ELECTRONICS, INC. 56503 455.48 AKOKA COUNTY HUMAN SERV 56504 250.0O AkAMAYK 56505 349.44 APP'S TREE SERVICE 56506 175.00 AT & T WIRELESS SERVICES 56507 21.30 AUTOMATIC GARAGE DOOR CO 56508 906.90 AUTOMOTIVE REFINISH TECH 56509 259.7� ' , BRC FINANCIAL SYSTEM 12/14/95 15:3 BANK VENDOR BANK CHECKING ACCOUNT Check History 12/18/95 COUNCIL LIST BARTON SAND & GRAVEL BECKER ARENA PRODUCTS BRAUN ENGINEERING TESTIN BRIGHTON EXCAVATING CITY OF COLUMBIA HEIGHTS COCA-COLA BOTTLING MIDWE COL HGTS FIREFIGHTERS AS COLUMBIA HGTS-FRIDLEY KI CONNUXITY PARTNERS INC COMPRESSAIR & EQUIPMENT COATINENTAL SAFETY EQUIP CONTRACTORS DATA REPORT CSC CREDIT SERVICES CURTIS 1000 D C HEY COMPANY DAVIES WATER EQUIP CO. FUEL OIL SERIVCE GLASS SERVICE CO GOOD MD/ DR GARY GOPHER STATE ONE-CALL IN GRAFIX SHOPPE GREENWORKS H[ALTHSPAN TRANSPORTATIO HEIGHTS-NORTHEAST WELDIN HICKS % COLLEEN EVERTZ/J INSTY PRINTS lPC PRINTING LEEF BROS. MAIN STREET DESIGN MASYS CORP. MENARDS CASHWAY LUMBER METROPOLITAN WASTE CGNTR MIDWEST ASPHALT CO. MIDWEST BUSINESS PRODUCT MINNEAPOLIS EQUIPMENT CO MINNEAPOLIS FINANCE DEPT MINNEAPOLIS SAW CO. MINNESOTA SUN PUBLICATIO MN STATE FIRE DEPT ASSOC MODEL CRAFT ELECTRIC MOOkE MEDICAL CORP MORRISON WALIJARVI ARCHI MUE!_LER PHD/RICHARD NEWS 3X/400 NORTHERN AIRGAS NORTHERN HANDYMAN NORTHERN SANITARY SUPPLY CHECK NUMBER .4�m 565 565 56513 sAs14 56515 56516 m'm^1*1) 56518 56519 56520 56521 56522 56523 56524 56525 56526 56527 56528 56529 5650) 56531 56532 56533 56534 56535 56536 56537 56538 56539 56540 56541 56542 56543 56544 56545 56546 56547 56548 56549 5655O 56551 56552 56553 56554 56555 56556 CITY OF COLUMBIA HEIGHTS GL540R-VO4.30 PAGE 2 AMOUNT 1,369.33 285.35 2,790.51 255.60 55.00 66.25 30.00 331.25 195.00 15.98 225.97 89.00 10.00 402. 0", 97.00 2,614.32 55.67 46.15 120.00 119.00 62.51 387.0O 250.00 65.00 2.39 28.47 55.37 33.44 459.30 821.78 228.74 66,247.0O 896'O7 1,195.99 4.53 3,367.44 447.19 40.25 200.00 35.59 392.86 627.21 544.00 119.00 25.31 42.99 61.34 BRC FINANCIAL SYS7EM 12/14/95 15:3 Check History 12/18/95 COUNCIL LIST ` ^ CITY OF COLUMBIA HEIGHTS GL54OR-VO4.30 PAGE 3 BANK VEND3R CHECK NUMBER AMOUN7 BANK CHECK{NG ACCOUNT PAM OIL lNC 56557 48.94 RELIABLE OFFICE SUPPLY 56558 5.77 SEHINDLER ELEVATOR CORP 56559 100.O0 SCOTT/VERNON 56560 60.0O ShERWIN WILLIAMS 56561 77.68 GTREICHER GUN'S INC/DON 56562 30.96 TOWN & COUNTRY OFFICE CL 56563 3,040.58 TRI-STATE BOBCAT, INC 56564 63.76 7RUORF[N CHEMLAWH 56565 125.19 TWIN CITY HARDWARE 56566 467.65 U C WEST CELLULAR 56567 34.64 UNIFORMS CNL7MI7ED INC 56568 2,791.25 UUIVERSI11 OF WT-EXTENSI 56569 554.00 VAN-O-LITE 56570 329.15 VUSS LIGHTING 56571 38.34 W W GRAII,GEB 56572 61.23 WILLIAM MATTBOX CONSTRJO 56573 21,350.00 WISCONSIN 56574 144.00 WO0DLAK[ SnXITARY SERUTC 56575 91"274.86 ZTEGLER INC: 56576 1,469.44 7on,439.63 **� CITY COUNCIL LETTER Meeting of December 18, 1995 AGENDA SECTION: PUBLIC HEARINGS ORIGINATING DEPARTMENT: CITY MANAGER Fire APPROVAL NO: 6 ITEM: Closing Hearing/Adopt Resolution BY: Lowell DeMars,0( By Rental License Revocation '& ��. a NO: DATE: Dec 12, 1995 DA . T['. At the December 11, 1995 Council Meeting, the revocation of the rental license held by Larry J. Kahlow regarding rental property at 3727 Reservoir Blvd NE was discussed. The matter was continued to the meeting of December 18, 1995 in order to allow the property owner additional time to settle landlord/tenant issues. RECOMMENDED MOTION: Move to waive the reading of Resolution No. 95 -81, there being ample copies available to the public. RECOMMENDED MOTION: Move to adopt Resolution No. 95 -81, Resolution of the City Council of the City of Columbia Heights Approving Revocation Pursuant to Ordinance Code Section 5A.408(1) of the Rental License held by Larry J. Kahlow Regarding Rental Property at 3727 Reservoir Blvd NE. ALTERNATE MOTION: Move to Close the Public Hearing Regarding the Revocation or Suspension of the Rental License Held by Larry J. Kahlow Regarding Rental Property at 3727 Reservoir Blvd NE in That the Provisions of the Housing Maintenance Code Have Been Complied With. 95 -252 COUNCIL ACTION: RESOLUTION 95 -8 RESOLUTION OF THE CITY COUNCIL FOR THE CITY OF COLUMBIA HEIGHTS APPROVING REVOCATION PURSUANT TO ORDINANCE CODE SECTION 5A.408(1) OF THAT CERTAIN RESIDENTIAL RENTAL LICENSE HELD BY LARRY J. KAHLOW, (HEREINAFTER "LICENSE HOLDER"). WHEREAS, LICENSE HOLDER IS THE LEGAL OWNER OF THE REAL PROPERTY LOCATED AT 3727 RESERVOIR BLVD, COLUMBIA HEIGHTS, MINNESOTA, AND WHEREAS, PURSUANT TO COLUMBIA HEIGHTS CODE SECTION 5.104(i)(A), WRITTEN NOTICE SETTING FORTH THE CAUSES AND REASONS FOR THE PROPOSED COUNCIL ACTION CONTAINED HEREIN WAS GIVEN TO THE LICENSE HOLDER ON NOVEMBER 29, 1995 OF A PUBLIC HEARING TO BE HELD ON DECEMBER 11, 1995. NOW, THEREFORE, IN ACCORDANCE WITH THE FOREGOING, AND ALL ORDINANCES AND REGULATIONS OF THE CITY OF COLUMBIA HEIGHTS, THE CITY COUNCIL OF THE CITY OF COLUMBIA HEIGHTS MAKES THE FOLLOWING: FINDINGS OF FACT 1. That on AUGUST 28, 1995, Matthew D. Field, Enforcement Officer, for the City of Columbia Heights, inspected the real property and incidental buildings located thereon at 3727 RESERVOIR BLVD, within the City of Columbia Heights, Minnesota, and owned , according to the application for rental license on file for the above - described real property by LARRY J. KAHLOW. 2. Based upon said inspection of the Enforcement Officer, the following conditions and violations of the City's Housing Maintenance Code and Licensing Rental Units were found to exist, to -wit: SEE ATTACHED COMPLIANCE ORDER 3. That all parties, including the License Holder and any occupants or tenants, have been given the appropriate notice of this hearing according to the provisions of the City Code Section 5A.306(1) and 5A.303(1)(d). CONCLUSIONS OF COUNCIL 1. That the building located at 3727 RESERVOIR BLVD is in violation of the provisions of the Columbia Heights City Code as set forth in the Compliance Order attached hereto; 2. That all relevant parties and parties in interest have been duly served notice of this hearing, and any other hearings relevant to the revocation or suspension of the license held by License Holder. 3. That all applicable rights and periods of appeal as relating to the license holder, owner, occupant, or tenant, as the case may be, have expired, or such rights have been exercised and completed. ORDER OF COUNCIL 1. The rental license belonging to the License Holder described herein and identified by license number F- 0886 -95 is hereby revoked/ suspended (cross out one); 2. The City shall post for the purpose of preventing occupancy a copy of this order on the buildings covered by the license held by License Holder; 3. All tenants shall remove themselves from the premises within 60 days from the first day of posting of this Order revoking the license as held by License Holder. PASSED THIS MOTION BY: SECOND BY: ROLL CALL VOTE: ATTEST: JO -ANNE STUDENT CITY COUNCIL SECRETARY DAY OF , 19 AYES: NAYS: CITY OF COLUMBIA HEIGHTS, MINNESOTA JOSEPH STURDEVANT MAYOR CHRONOLOGICAL LOG PROPERTY ADDRESS: 3727 RESERVOIR BLVD OWNER: LARRY 1. KAHLOW AUGUST 18, 1995.... INITIAL INSPECTION PERFORMED (28 VIOLATIONS) AUGUST 22, 1995 .... OWNER NOTIFIED OF VIOLATIONS VIA REGULAR MAIL TENANTS NOTIFIED OF VIOLATIONS VIA REGULAR MAIL OCTOBER 11, 1995 .... RE-INSPECTION PERFORMED. (18 VIOLATIONS REMAIN) OCTOBER 18, 1995 .... OWNER NOTIFIED OF UNCORRECTED VIOLATIONS OWNER ASSESED RE- INSPECTION FEE OF $40.00 OWNER NOTIFIED OF SCHEDULED FINAL INSP. DATE /TIME OWNER NOTIFIED OF SCHEDULED DATE OF REV. HEARING NOVEMBER 20, 1995... FINAL RE- INSPECTION PERFORMED. OWNERNO -SHOW. RE- INSPECTION FEE ASSESSED NOVEMBER 28,1995 ... REVOCATION HEARING NOTICE POSTED ON STRUCTURE RE -INSP. POSTING FEE ASSESSED $40.00 NOVEMBER 29, 1995...OWNER NOTIFIED OF REVOCATION HEARING DATE -TIME VIA CERTIFIED MAIL TENANTS NOTIFIED OF REVOCATION HEARING DATE -TIME VIA REGULAR MAIL CITY OF COLUMBIA HEIGHTS FIRE DEPARTMENT 555 MILL STREET NE COLUMBIA HEIGHTS, MN. 55421 TELE: 782 -2835 LARRY J. KAHLOW 11008 RADISON ROAD BURNSVILLE, MN. 55337 Date: NOVEMBER 28, 1995 STATEMENT OF CAUSE AND NOTICE OF PUBLIC HEARING FOR SUSPENSION OR REVOCATION OF A LICENSE PLEASE BE ON NOTICE, that on the 11th day of December, 1995, at 7:00 pm, or as soon thereafter as the matter can be heard, in the City of Columbia Heights, MN, the Columbia Heights City Council shall consider the revocation, suspension and /or other appropriate disposition of the license to operate a rental dwelling(s) of LARRY J. KAHLOW LOCATED AT 3727 RESERVOIR BLVD. STATEMENT OF CAUSE FAILURE TO CORRECT HOUSING CODE VIOLATIONS FAILURE TO SUBMIT RE- INSPECTION FEES (SEE ATTACHMENT) As of this date, November 19, 1995, the above outlined violations have not been corrected. A FINAL INSPECTION OF THIS PROPERTY WAS PERFORMED ON NOVEMBER 20, 1995, AT WHICH TIME THE ABOVE NOTED VIOLATIONS HAD NOT BEEN CORRECTED. Pursuant to Section 5A.408(3) of the Columbia Heights City Code, a violation of any provisions of Chapters 5 or 5A, or of state law, shall be prima facie showing of cause for revocation, suspension, or other such action restricting the privileges of a licensee. PLEASE BE ON NOTICE that on the 11th day of December, 1995, at 7:00 p.m., or as soon thereafter as may be heard, the City of Columbia Heights City Council shall hold a Public Hearing to address the issue of revocation of your rental license. At the Public Hearing you and your tenants or any other interested parties will be given an opportunity to give testimony and present evidence on the above set forth issues. Lowell G. Della r s Enforcement Officer cc: TENANTS CITY OF COLUMBIA HEIGHTS FIRE DEPARTMENT 555 MILL STREET NE COLUMBIA HEIGHTS, MN. 55421 TELE: 782 -2835 TO: RENTAL TENANT 3927 RESERVOIR BLVD (UPPER UNIT) COLUMBIA HEIGHTS, MN. 55421 DATE: NOVEMBER 28, 1995 TENANT NOTICE ENCLOSED IS A COPY OF A NOTICE SENT TO THE OWNER OF THE RENTAL PROPERTY LOCATED AT 3927 RESERVOIR BLVD. A PUBLIC REVOCATION HEARING WILL BE HELD AT THE DATE AND TIME AS DESCRIBED ON THE OFFICIAL NOTICE. THIS HEARING COULD AFFECT YOU, AND IS FOR YOUR INFORMATION ONLY. YOU WILL HAVE THE RIGHT TO BE HEARD AT THIS HEARING IF YOU SO DESIRE. CITY OF COLUMBIA HEIGHTS FIRE DEPARTMENT 555 MILL STREET NE COLUMBIA HEIGHTS, MN. 55421 TELE: 782 -2835 TO: RENTAL TENANT 3927 RESERVOIR BLVD (LOWER UNIT) COLUMBIA HEIGHTS, MN. 55421 DATE: NOVEMBER 28, 1995 TENANT NOTICE ENCLOSED IS A COPY OF A NOTICE SENT TO THE OWNER OF THE RENTAL PROPERTY LOCA'T'ED AT 3927 RESERVOIR BLVD. A PUBLIC REVOCATION HEARING WILL BE HELD AT THE DATE AND TIME AS DESCRIBED ON THE OFFICIAL NOTICE. THIS HEARING COULD AFFECT YOU AND IS FOR YOUR INFORMATION ONLY. YOU WILL HAVE THE RIGHT TO BE HEARD AT THIS HEARING IF YOU SO DESIRE. PROBER Chief Columbia Heights F3 re E> gFaar'tment • CH Violations by Inspection From Date :11 -20 -1995 To Date:11 -20 -1995 Date: 11- 28-1995 (CH *A01) Violation Follow -up Number Reslv? Date Inspection Activity --- - - - - -- - - - - -- ---- - - - - -- --------------------------------- - - - - -- OWNER ID: 20378 OWNER ORGANIZATION: KAHLOW DUPLEX RENTALS PROPERTY ID: 20378 PROPERTY NAMEJDESC: 3727 RESERVOIR OCCUPANCY ID: 0 ORGANIZATION NAME: KAHLOW DUPLEX RENTALS INSPECTION DATE: 11- 20-1995 INSPECTION TYPE: 93 H.M.C.FOLLOW-UP 2 DATE/NEXT INSP: INSP DISTRICT: 601 1 5 CITY ORDINANCE Viol. Code Section: Violation Details : THE FOLLOWING CODE VIOLATIONS REMAIN UNCORRECTED FROM THE INITIAL INSPECTION DATED 8- 18 -95: LOWER UNIT: 2 ... FRONT BEDROOM DOOR HANDLE DAMAGED 5 ... EAST BEDROOM, HOLE IN WALL BEHIND DOOR 10..DINING ROOM CARPET DETERIORATED 11..HALLWAY LIGHT FIXTURE NOT WORKING 12..KITCHEN DRAWER DAMAGED /MISSING 13..KITCHEN CABINET DOOR UNDER SINK WILL NOT CLOSE 15..AUTOMOTICE BATTERIES STORED IN LAUNDRY ROOM 17..LOWER BATHROOM, DOOR TORN OFF HINGES 18..LOWER BATHROOM, MOLDING AROUND TUB LOOSE 19..TOILET LOOSE AT BASE. WAX RING PROBLEM UPPER UNIT: 20..DINING ROOM PAINT DETERIORATED Page I: 1 Warning Injunction Citation Referred To Ltr Date Date Number ----- - - - - -- ---- - - - - -- ---- - - - - -- ---- - - - - -- CONTACT NAME: KAHLOW, LARRY J. OCCUP CONTACT: KAHLOW, LARRY J. START TIME: 1600 FINISH TIME: PARCEL NUMBER: 11 -28 -1995 PROBER Chief Cal umt>i.at H -i00 'Its F 5 r— ea l>apa r-tm4Et"t CH Violations by Inspection From Date :11 -20 -1995 To Date:11-2O -1995 Date: 11-28 -1995 (CH*AOI) Page 1: 2 Violation Folloo-up Warning Injunction Citation Number Resly? Date Inspection Activity Referred To Ltr Date Date Number --- - - - - -- - - - - -- ---- - - - - -- --------------------------------- - - - - -- ----- - - - - -- ---- - - - - -- ---- - - - - -- ----- - - - - -- 23..BEDROOM CEILING DAMAGED 24..HALLWAY CEILING DAMAGED 25..BEDROOM MISSING DOOR 27..TIRES STORED ON REAR PORCH 28..SEVERAL WINDOWS ON IST FLOOR, NORTH SIDE NEW VIOLATIONS 11- 20 -95: 1 ... FRONT PICTURE WINDOW DAMAGED 2 ... MISCELLANEOUS STORAGE ON FRONT PORCH 3...FRONT STORM DOOR DAMAGEDjDETERIORATED CORRECTIVE ACTIONS REQUIRED: LOWER UNIT: 2 ... SHALL REPLACE FRONT BEDROOM DOOR HANDLE 5 ... SHALL REPAIR, SAND SMOOTH AND PAINT DAMAGED EAST BEDROOM MALL 7 ... SHALL REPLACE EAST BEDROOM LIGHT FIXTURE 8 ... SHALL INSTALL SMOKE DETECTOR IN HALLWAY IO..SHALL REPLACE DINING ROOM FLOOR COVERING 11—SHALL REPLACE HALLWAY LIGHT FIXTURE 12..SHALL REPLACE MISSING KITCHEN DRAWER 13..SHALL REPAIRJREPLACE KITCHEN CABINET DOOR TO CLOSE AND LATCH 15..SHALL REMOVE AUTOMOTIVE 'BATTERIES FROM LAUNDRY ROOM 17..SHALL REPLACE DOOR ON LOWER BATHROOM 18..SHALL SECURE MOLDING AROUND TUB IN LOWER BATHROOM 19..SHALL REPAIR(REPALCE LOOSE TOILET r PROBER Chief Columbia Heig"ts V 1 re E> eat partm eat mIt- CH Violations by Inspection From Date:11 -20 -1995 To Date:11 -20 -1995 Date: 11-28 -1995 (CH *A01) Page 1: 3 Violation Follow -up Narning Injunction Citation Number Reslv? Date Inspection Activity Referred To ltr Date Date Number --- - - - - -- - - - - -- ---- - - - - -- --------------------------------- - - - - -- ----- - - - - -- ---- - - - - -- ---- - - - - -- ---- - - - - -- UPPER UNIT: 20..SHALL REPAIR, SAND SMOOTH AND PAINT DINING ROOM CEILING AND MALLS 23..SHALL REPAIR, SAND SMOOTH AND PAINT BEDROOM CEILING 24..SHALL REPAIR, SAND SMOOTH AND PAINT HALLNAY CEILING 25..SHALL INSTALL DOOR ON BEDROOM 27..SHALL REMOVE TIRES FROM REAR PORCH 28..SHALL REPLACE ALL DAMAGED NINDOWS ON 1ST FLOOR, NORTH SIDE NEW VIOLATIONS 11- 20 -95: 1 ... SHALL REPLACE DAMAGED FRONT PICTURE WINDOW 2 ... SHALL REMOVE ALL STORAGE FROM FRONT PORCH 3 ... SHALL REPLACE DAMAGED /DETERIORATED FRONT STORM DOOR I CITY OF COLUMBIA HEIGHTS Meeting of: December 18, 1995 public Hearinos AGENDA ORIGINATING DEPT.: CITY MANAGER 6ECTION: NO: Community nevelopme t APPROVAL ITEM: Second Reading of Ordinance BY: -BY' No. 1312 Conveyance of Property DATE: Dec.l;X, 1995 at 721 51st Avenue N.E. I NO: On November 13 the second reading of this Ordinance was scheduled for December 11, 1995 for consideration along with other matters relating to the planned Medtronic, Inc. Neurological Division expansions at 800 53rd Avenue N.E. in Columbia Heights. Since the first reading of the ordinance, minor changes have become necessary to reflect the 3.6 acres instead of 3.0 acres and to reflect two necessary utility easements being retained by the City. It is necessary for Medtronic to have additional parking to accommodate the expected 400 to 500 additional employees as result of the expansion. As part of the redevelopment agreement and Project Feasibility Agreement, the City and Housing and Redevelopment Authority (HRA) are agreeing to provide additional land for use for additional parking to Medtronic from open space land currently owned by the City adjacent to and immediately to the south of Medtronic facility at 800 53rd Avenue N.E. Since the tax increment financing for the project will be facilitated through the HRA, property to be transferred to Medtronic must be from the City to the HRA to Medtronic, Inc. Attached is a copy of the Ordinance and other related information. This item was tabled from the December 11th meeting. RECOMMENDED MOTION: Move to waive the second reading of the ordinance, there being ample copies available for the public. RECOMMENDED MOTION: Move to adopt Ordinance No. 1312, "Ordinance Authorizing Conveyance of Certain Real Estate Located at 721 51st Avenue N.E." with changes to reflect transfer of 3.6 acres and the City retention of a 40' wide utility easement across the south 40' and a 30' wide easement across the east 30' of the north 3.6 acres of Lots 7 & 8, Auditors Subdivision 51. cc: HRA Commissioners Medtronic, Inc. (Donn Hagemann) COUNCIL ACTION: Y ORDINANCE NO. 1312 BEING AN ORDINANCE AUTHORIZING THE CONVEYANCE OF CERTAIN REAL ESTATE LOCATED AT 721 51ST AVENUE N.E. The City of Columbia Heights does ordain: Section 1: The City of Columbia Heights may convey unto the Housing and Redevelopment Authority of Columbia Heights, Minnesota, a public body, corporate and politic, the real property described as follows, to wit: North 3.6 acres of Lots 7 & 8, Audi- tors Subdivision 51, City of Colum- bia Heights , Anoka County, Minneso- ta subject to City retention of a 40' wide utility easement across the south 40' and a 30' wide utility easement across the east 30' of the north 3.6 acres of Lots 7 & 8, Audi- tors Subdivision 51. Section 2: The Mayor and City Manager are herewith authorized to execute a limited warranty deed to effectuate the conveyance of said real estate for $360,000. Section 3: This Ordinance shall be in full force and effect from and after thirty (30) days after its passage. First Reading: November 13, 1995. Second Reading: Date of Passage: Offered By: Seconded By: Roll Call: Joseph Sturdevant, Mayor Jo -Anne Student, Secretary to the Council ordin October 24, 1995 MEDTRONIC AND SHADOW PROPERTIES PROPERTY MEDTRONIC ST. TIMOTHY PARK ADDRESS 800 53rd Ave. 825 51st Ave. 721 51st Ave. 26 30 24 11 0014 E26 30 24 11 0008 E26 30 24 11 0009 PIN LEGAL Registered Land Lots 7 & 8, North 3.6 acres of Survey #63, Tract Auditor's Subdivi- Lots 7 & 8 and B, Anoka County sion No. 51, East 293 feet of Except North 3.6 Lot 9 except S.30' acres for road, Aud.Sub. No.51 (County uses 8.4 acres for size 1990 VALUE PAY '91 LAND 711,953 421,200 589,300 IMPROVEMENT 2,589,401 681,960 65,700 TOTAL 3,301,354 1,103,160 655,000 1995 VALUE PAY'96 LAND 691,600 522,700 686,800 IMPROVEMENT 2,308,400 715,500 27,400 TOTAL 3,000,000 1,238,200 714,200 The exempt properties were last valued in 1991 and are valued every 6 years under current law. AdWQVID \zipCtrnnc, 1st I • I I Ip Ln C ' WASHINGT0N NE LDSA �. S U CLIF7 • N s m DR C r- Q CD Q � i ro N � ' 11 �- 500' FORCE MAIN �I LM Z� r N N .I J II 11' 11 N I I al it Y � N o 4z' WW O O TH 65 io- % [;� — 1— -4*-- N �1 2 n I I� Id ID Z I r-10 I� F9 I I� �I I I P Z- z O x_24 �� a CERTIFICATE OF `_1 0 100 FOR COL..1-WGxTS '�0 &- I ==4 1 HEREBY CERTIFY THAT THIS SURVEY. PLAN OR REPDRT SCALE IN FEET YAS PREPARED BY 1,E OR L74DER MY ERVISION AND THAT 1 Au A D Y LICENSED L S V LINDER OFT A of MNESO A MINNESOTA L SE NO. �Col►3 SURVEY KURTH SURVEYING, INC. 4002 JEFFERSON ST, N.E. COLUMBIA HEIGHTS. MN. 55421 (612) 788-8769 FAX (812) 788 -7602 \\ Yc.,146115 DATE esrlT- De- 0 IRON MONUMENT �c4111aK.s A VL- Ou A-u A »ur -teo ➢a-sw -� ` �lJ. Dg+u. \ D6SL, �1 111 1�i5 kDT1_ : ?,L C-) ,-OC41.-T1p a- o r KEG �" KILN `�" �•-los � s� -IOV.t F.C.. - x Fo 2 C asertcFyTs S Z>9' X1'3' or o ° E � 3�t -0o r. CR 03 8 ' 8 t LUL L1Z1C Tto13 V>J CY ecs_�L�� U - GS•ZZ t C 0o . - " .Cr ioa Ns,� 7 of RP. a1 wEST °os IC) 'w 00" of -- oo •oo -- r��� , o f tr--NSF VrT' i N ��Tl-� �•I�a 4, c R � S s .9 y O L Ut_SCFuPTtOl.a lcLiC, c. e:- c c`, FL+rXTS.� > p T tST - z z�:x:�>b�, °K S 8�° X43' 00" -- 56Co•O -- - � OG 72t1C. Traci B, REGISTERED LAND SURVEY NO 63, Anoka CouniN, Minnesota Together widI The Nert113 6 Acres of Lots? and 8, AUDITOR'S SUBDIVISION NO \I Anoka Count), Minnesota Reserving and subject to utility easements over the South 40 00 feet and over the east 30 00 feet of said North 3 6 Acres of Lots 7 and 8, .Al DITOR'S SUBDIVISION NO S1, Anoka County. Minnesota CITY COUNCIL LETTER Meeting of: December 14, 1995 AGENDA SECTION: PUBLIC HEARINGS ORIGINATING DEPARTMENT: CITY MANAGER'S NO: 6 CITY MANAGER'S APPROVAL ITEM: MEDTRONIC'S DEVELOPMENT AGREEMENTS BY: P. HENTGES BY.\ ` NO: 6 B 2) DATE: 12 -14 -95 DATE: The approval of the final draft of the agreement by and between the Housing and Redevelopment Authority of Columbia Heights, the City of Columbia Heights, and Medtronic, Inc. associated with the expansion of Medtronic's Neuro Facility at 800 53rd Avenue in Columbia Heights was tabled from the December 9th, 1995, City Council meeting. The final draft of the agreement was approved by the Housing and Redevelopment Authority and the terms and conditions have been approved in concept by Medtronic, Inc. The Medtronic legal staff is currently reviewing the final draft, and I do not expect any changes of substance. Therefore, I recommend that the agreement be executed according to the terms and conditions outlined in the attached final draft. I request that the Council make note of the following points or conditions of the agreement: 1. The agreement calls for a maximum pay -as- you -go TIF of $2,500,000. 2. The agreement provides that Medtronic will pay the HRA (in turn the City), $360,000 for the 3.6 acres of park open space at the time of closing and will be eligible to collect the same as eligible tax increment financing reimbursement. 3. The land transfer does have a revisionary clause in place to provide for the transfer of the land back to the City, in the event Phase I of the development is not completed. 4. The agreement provides that in the event the City does not receive $250,000 for public improvements from the State Economic Recovery Grant funds, then the City will first look towards the 10% TIF contingency to construct the improvements, and then to the company using eligible tax increment financing funding as a second source to fund the public improvements. 5. The agreement is modified to clearly define the Phase I improvements. However, it does not guarantee that the Phase II improvements will be built within the five year period. In the event the Phase II improvements are not built in five years, the City and the Company agree to negotiate the possible modification of the development agreement so as to allow tax increment financing assistance on the second phase of the project in construction years 6 -10. In any event, the district is fully amortized in the 11th year. 6. The City is not expected to invest any up front funds associated with this project, other than the possibility of an alternative source of financing for State Funded Public Improvements or the $36,000 as a Sewer Fund match. Therefore, security is not being required of the company, or for that matter, a minimum assessed value of the agreement. Moreover, the company is not eligible to collect tax increment financing assistance on a pay -as- you -go basis if the improvements are not constructed or eligible TIF reimbursable costs incurred. RECOMMENDED MOTION: Move to authorize the Mayor and City Manager to execute a contract for private development by and among the Housing and Redevelopment Authority of Columbia Heights, Minnesota, the City of Columbia Heights, and Medtronic, Inc. associated with expansion of Medtronic, Inc.'s Neuro Facility at 800 53rd Avenue in Columbia Heights. COUNCIL ACTION: CITY OF COLUMBIA HEIGHTS HOUSING AND REDEVELOPMENT AUTHORITY OF COLUMBIA HEIGHTS RESOLUTION 95 -22 RESOLUTION MODIFYING CENTRAL BUSINESS DISTRICT REDEVELOPMENT PROJECT: ESTABLISHING 53RD AVENUE TAX INCREMENT DISTRICT: AND APPROVING AND ADOPTING THE CENTRAL BUSINESS DISTRICT REVITALIZATION PLAN AND TAX INCREMENT FINANCING PLAN RELATING THERETO. WHEREAS, the City Council (the "Council ") of the City of Columbia Heights (the "City ") has proposed to modify the Central Business District Revitalization Plan (the "CBD Revitalization Plan ") for Central Business District Redevelopment Project (the "CBD Redevelopment Project ") and adopt a Tax Increment Financing Plan for 53rd Avenue Tax Increment District (the 1153rd Avenue District "), all pursuant to and in accordance with Minnesota Statutes, Sections 469.001 to 469.047 and Minnesota Statutes, Sections 469.174 to 469.179, inclusive, as amended; and WHEREAS, the Housing and Redevelopment Authority (the "Authority ") and the Council have investigated the facts and have caused to be prepared a modified CBD Revitalization Plan for CBD Redevelopment Project and a Tax Increment Financing Plan for 53rd Avenue District (the "Plans "); and WHEREAS, proposed developments as described in the Plans in the opinion of the Authority, would not reasonably be expected to occur solely through private investment within the reasonable foreseeable future and, therefor, the use of tax increment financing is deemed necessary; and WHEREAS, the Authority and City have performed all actions required by law to be performed prior to modification of CBD Redevelopment Project and the establishment of 53rd Avenue District, including, but not limited to, notification of Anoka County and School District No. 013 having taxing jurisdiction over the property included in 53rd Avenue District, a review by the City Planning Commission of the proposed Plans, and the scheduled holding of a public hearing upon published notice as required by law. BE IT RESOLVED by the Board of Commissioners of the Columbia Heights Housing and Redevelopment Authority, as follows: 1. The Plans are hereby approved and adopted, and shall be placed on file in the office of the Executive Director. 2. The Authority's advisors and legal counsel are authorized and directed to proceed with the implementation of the Plans and for this purpose to negotiate, draft, prepare and present to the Board for its consideration all further plans, resolution, documents and contracts necessary for this purpose. 3. The Executive Director is authorized to forward a copy of the Plans of the Anoka County Auditor and the Minnesota Department of Revenue pursuant to Minnesota Statues 469.175, subdivision 2. Approved by the Board of Commissioners of the Columbia Heights Housing and Redevelop- ment Authority this 13th day of December, 1995. PASSED THIS 13TH DAY OF DECEMBER , 1995. MOTION BY: Heintz SECONDED BY: Murzyn ROLL CALL: Ayes - Heintz, Murzyn, Nawrocki, Dustin, Jindra HOUSING AND REDEVELOPMENT AUTHORITY OF COLUMBIA HEIGHTS, MINNESOTA Donald R. Schneider, Exec. Dir. D.J. M4tzyn, Jr., dhAir ` Kennedy & Graven, Chartered A 4th Draft Deletion A December 15 , 995. = Insertion CONTRACT FOR PRIVATE DEVELOPMENT BY AND AMONG THE HOUSING AND REDEVELOPMENT AUTHORITY OF COLUMBIA HEIGHTS, MINNESOTA, THE CITY OF COLUMBIA HEIGHTS, MINNESOTA AND MEDTRONIC, INC. This document was drafted by: KENNEDY & GRAVEN, Chartered 470 Pillsbury Center Minneapolis, MN 55402 DJG96577 CL160 -79 TABLE OF CONTENTS ARTICLE I Definitions Section 1.1. Definitions . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 Section 1.2. Exhibits . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Section 1.3. Rules of Interpretation . . . . . . . . . . . . . . . . . . . . 4 ARTICLE II Representations and Warranties Section 2.1. Representations by the Authority . . . . . . . . . . . . . . 5 Section 2.2. Representations by the City . . . . . . . . . . . . . . . . . . 5 Section 2.3. Representations by the Developer . . . . . . . . . . . . . . 6 Section 4.4. ARTICLE III . . . . . 12 Section 4.5. Acquisition and Conveyance of Property; . . . . . 13 Section 4.6. Public Improvements . . . . . 13 Section 3.1. Conveyance of the Property . . . . . . . . . . . . . . . . . . 8 Section 3.2. Conditions Precedent to Conveyance . . . . . . . . . . . . . 8 Section 3.3. Cost of the Property; Time of Conveyances . . . . . . . . . 8 Section 3.4. Title . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 Section 3.5. Public Hearing Prior to Sale . . . . . . . . . . . . . . . . . . 10 Section 3.6. Soil Tests; Indemnity . . . . . . . . . . . . . . . . . . . . . 10 ARTICLE IV Construction of Minimum Improvements Section 4.1. Construction of the Minimum Improvements . . . . . . . . . 12 Section 4.2. Construction Plans . . . . . . . . . . . . . . . . . . . . . . 12 Section 4.3. Completion of Construction . . . . . . . . . . . . . . . . . . 12 Section 4.4. Certificate of Completion . . . . . . . . . . . . . . . . . . . 12 Section 4.5. Reconstruction of Minimum Improvements . . . . . . . . . . 13 Section 4.6. Use of Minimum Improvements . . . . . . . . . . . . . . . . . 13 ARTICLE V Public Assistance Section 5.1. Qualifying Reimbursable Costs . . . . . . . . . . . . . . . . 14 Section 5.2. Phase 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 Section 5.3. Repayment Agreement . . . . . . . . . . . . . . . . . . . . . 14 Section 5.4. Wage and Job Covenants . . . . . . . . . . . . . . . . . . . . 15 ARTICLE VI Insurance Section6.1. Insurance . . . . . . . . . . . . . . . . . . . . . . . . . . . 16 DJG96577 CL160 -79 i ARTICLE VII Use of Increment, Decertification of District Section 7.1. Use of Tax Increments . . . . . . . . . . . . . . . . . . . . 17 Section 7.2. Voluntary Decertification of TIF District . . . . . . . . . . . 17 Section 7.3. Future Developer Costs . . . . . . . . . . . . . . . . . . . . 17 ARTICLE VIII Prohibitions Against Assignment, Transfer and Encumbrances; Mortgage Section 8.1. Prohibition Against Transfer of Ownership Interest. . . . . . . . . . . . . . . . . . . . . . . . . . . . 18 Section 8.2. Limitation Upon Encumbrance of Property . . . . . . . . . . 20 ARTICLE IX Events of Default Section 9.1. Events of Default Defined . . . . . . . . . . . . . . . . . . . 21 Section 9.2. Remedies on Default . . . . . . . . . . . . . . . . . . . . . . 21 Section 9.3. Revesting Interest in the Authority Upon Happening . . . . . . 24 Section 10.3. of Event Subsequent to Conveyance to Developer . . . . . 21 Section 9.4. No Remedy Exclusive . . . . . . . . . . . . . . . . . . . . . . 22 Section 9.5. No Additional Waiver Implied by One Waiver . . . . . . . . . 23 ARTICLE X Additional Provisions Section 10.1. Conflict of Interests; Representatives Not Individually Liable . . . . . . . . . . . . . . . . . . . . 24 Section 10.2. Restrictions on Use . . . . . . . . . . . . . . . . . . . . . . 24 Section 10.3. Notices and Demands . . . . . . . . . . . . . . . . . . . . . . 24 Section 10.4. Disclaimer of Relationships . . . . . . . . . . . . . . . . . . 24 Section 10.5. Modifications . . . . . . . . . . . . . . . . . . . . . . . . . . 25 Section 10.6. Counterparts . . . . . . . . . . . . . . . . . . . . . . . . . . 25 Section 10.7. Provisions Not Merged with Deed . . . . . . . . . . . . . . . 25 Section 10.8. Release and Indemnification Covenants . . . . . . . . . . . 25 SIGNATURES TESTIMONIALS EXHIBIT A PROPERTY LEGAL DESCRIPTION A EXHIBIT B FORM OF CERTIFICATE OF COMPLETION EXHIBIT C LIMITED WARRANTY DEED EXHIBIT D FORM OF REPAYMENT AGREEMENT DJG96577 CL160 -79 11 CONTRACT FOR PRIVATE REDEVELOPMENT THIS AGREEMENT is made this day of 199 , by and among the HOUSING AND REDEVELOPMENT AUTHORITY OF COLUMBIA HEIGHTS, MINNESOTA, a public body corporate and politic under the laws of Minnesota (the "Authority "), the CITY OF COLUMBIA HEIGHTS, a home rule charter city and municipal corporation under the laws of Minnesota (the "City ") and MEDTRONIC, INC., a Minnesota corporation (the "Developer ") . WITNESSETH : WHEREAS, the Authority established and operates the Central Business District Redevelopment Project (the "Project ") and the A 53rd Avenue Tax Increment Financing District (the "A 53rd Avenue TIF District " or "TIV District") ; and WHEREAS, the Authority has adopted a project plan (the "Downtown Central Business District Revitalization Plan" or "Project Plan ") and a tax increment financing plan (the "A 53rd­ Avenue TIF Plan" or "TIF Plan ") authorizing the Authority to finance all or 'a� portion of the public development and redevelopment costs of the A 53rdi Averiu6 TIF District; and WHEREAS, the Developer has proposed a development within the A 53rd Avenue TIF District that the Authority and the City have determined will promote and carry out the objectives for which the Project and the A 53rd 'Avenue TIF District have been established, will assist in carrying out the objectives of the Project Plan and the TIF Plan, will be in the vital best interests of the Authority and the health, safety, and welfare of the residents of Columbia Heights, and is in accordance with the public purposes and provisions of the applicable state and local laws and requirements under which development in the Project has been established and is being assisted; and WHEREAS ," ss 'an integral' part 'of its decision to undertake the development cvnteuiplated :hexein, :the'.Deve3oper is relying on the representaticx Say the City and the Authority` that. they., will convey Parcel 2 to the Developer; sulijcet to approval of -such conveyaance by the State ;of Minnesota.; and WHEREAS, in order to achieve the objectives of the Project Plan and the TIF Plan, the Authority has determined to provide aid and assistance to the Developer in the form of a land write down and reimbursement for specified costs incurred by the Developer; and NOW, THEREFORE, in consideration of the mutual covenants and obligations of the Authority, the City and the Developer, each party does hereby represent, covenant and agree with the other as follows: DJG96577 CL160 -79 ARTICLE I Definitions Section 1.1. Definitions. In this Agreement, the following terms shall have the meanings given to them unless a different meaning clearly appears from the context: "Administrative Expenses" means all expenditures of the Authority other than amounts paid for the purchase of land or amounts paid to contractors or others providing materials and services, including architectural and engineering services, directly connected with the physical development of the Property, relocation benefits paid to or services provided for persons residing or businesses located in the Project, or amounts used to pay interest on, fund a reserve for, or sell at a discount bonds issued pursuant to the TIF Act. "Administrative Expenses" includes amounts paid for services provided by bond counsel, fiscal consultants, and planning or economic development consultants. "Agreement" means this Contract for Private Development, as the same may be from time to time modified, amended, or supplemented. "Available Tax Increment" means eighty percent (80 %) of the tax increment paid to the Authority A regarding the Minimum Improvements and Phase 2 in the six months prior to each Payment Date (as defined in the Repayment Agreement), but does not include: tax increment paid to the Authority during the term of the Note described in Section 7(c) of the Repayment Agreement O .taxes attributable to achnl district referendums that result in an increase ;in school district taxes sever the level of such taxes payable in 1996. "Authority" means the Housing and Redevelopment Authority of Columbia Heights, a public body corporate and politic under the laws of Minnesota. "City" means the City of Columbia Heights, a home rule charter city and municipal corporation under the laws of Minnesota. "Construction, Plans" means the A elery t- drawings and related documents regarding construction of the Minimum Improvements A by the Developer on the Property. A "County" means Anoka County, Minnesota. "Developer" means Medtronic, Inc, a Minnesota corporation. "Housing and Redevelopment Authorities Act" or "HRA Act" means Minnesota Statutes, sections 469.001 through 469.047, as amended. "Minimum Improvements" means the improvements described in the Construction Plans, consisting generally of the construction of an approximately 60,000 sq. ft. addition to an existing manufacturing facility on Parcel 1 preparation DJG96577 CL160 -79 2 of 'Par. de 1.,­JZ:,,,, R)x • , construdtion ``of Phase 2. After construction of the Minimum Improvements, the term _ means the Property as improved by the existing manufacturing facility and the Minimum Improvements. "Parcel 1" means the real property described at Exhibit A -1 attached hereto. "Parcel 2" means the real property described at Exhibit A -2 attached hereto. "Phase 2" means the construction of an approximately 60,000 square foot manufacturing facility in addition to the Minimum Improvements, ,arid /oi�' pthev u pravem6hts,,ox ; tlae. Property . "Project" means the Central Business District Redevelopment Project in which the A 51` -rd`A` nue TIF District is located. The Project was established on August 28, 1989. _ Plan. "Project Plan" means the Downtown Central Business District Revitalization "Property" means Parcel 1 and Parcel 2, collectively. "Property Deed" means the limited warranty claim deed by which the Authority will convey Parcel 1 to the Developer. The form of the limited warranty deed is attached hereto as Exhibit C. "Qualifying Reimbursable Costs" means up to $A2,1000,€0,0 of the costs A incurred by the Developer, within A the 'time; pursuant to •the TIF ..Act, in which rlich••• 6osts� must be •incurred• • in , arder• to 'be;'-eligible :for `reimbursement` _,aut of Available; Tax :Ixerenent, }• zn;• acquirir�g'Parcel 2, and preparing the Property for construction of, and1br constructing the Minimum Improvements and Phase 2. The Qualifying Reimbursable Costs are listed on Exhibit B to the Repayment Agreement. iI$gh6oI.•.Diatr1ct11 0e6ns school•distract No. 13. "State" means the State of Minnesota. "Tax Increment Act" or "'TIF Act" means Minnesota Statutes, sections 469.174 through 469.179, as amended. "Tax Increment Financing District," "TIF District," or "A 33rd'Av6naUe TIF District" means the Authority's A 53rd ,Avenue Tax Increment Financing District . "Tax Increment Financing Plan" or "A 53rd Avenue TIF Plan" means the Plan adopted by the Authority to guide development in the A 53rd Avenue TIF District. "Tax Official" means any city or county assessor; county auditor; city, county or state board of equalization, the Commissioner of Revenue of the State, any state or federal district court, the Tax Court of the State, or the State Supreme Court. "Termination Date" means the A earliest of: February 1, 2007; the date on which the Qualifying Reimbursable Costs, together with accrued interest thereon, have been fully paid in accordance with the terms of the Repayment Agreement attached hereto as Exhibit D; or the A date on which the Developer provides the City and the Authority with a Termination Notice. DJG96577 CL160 -79 3 "Termination Notice" means a written notice provided by the Developer to the City and the Authority relinquishing any right the Developer has to receive Available Tax Increment. "Unavoidable Delays" means delays that are the A result of acts of God; A adverse weather conditions; fire or other casualty to the Minimum Improvements; litigation commenced by third parties which, by injunction or other similar judicial action causes delays; acts of any federal, state or local governmental unit (other than the Authority or the City in enforcing their rights under this Agreement); ntractarl Authority, or City defaults as to the Developer's delays, Developer defaults as to the City's or Authority's delays, or other matters which are not within the reasonable control of the Developer as to the Developer's delays or not within the .the control of the Authority or the City as to A their delays. Section 1.2 . Exhibits . The following exhibits are attached to and by reference made a part of this Agreement: A. Legal Description of the Property A �B . Form of Certificate of Completion A C . Form of Property Deed A D . Form of Repayment Agreement Section 1.3. Rules of Interpretation. (a) This Agreement shall be interpreted in accordance with and governed by the laws of Minnesota. (b) The words "herein" and "hereof" and words of similar import, without reference to any particular section or subdivision refer to this Agreement as a whole rather than any particular section or subdivision hereof. (c) References herein to any particular section or subdivision hereof are to the section or subdivision of this Agreement as originally executed. (d) Any titles of the several parts, articles and sections of this Agreement are inserted for convenience and reference only and shall be disregarded in construing or interpreting any of its provisions. DJG96577 CL160 -79 4 ARTICLE II Representations and Warranties Section 2.1. Representations by the Authority. The Authority makes the following representations as the basis for the undertakings on its part contained herein: (a) The Authority is a Housing and Redevelopment Authority, a public body corporate and politic under the laws of Minnesota. (b) The Authority has the right, power and authority to execute, deliver and perform its obligations according to this Agreement and all other documents to be executed by the Authority pursuant hereto. The Authority assures the City and the Developer that the individuals who execute this Agreement and all other documents executed by the Authority or on behalf of the Authority are duly authorized to sign the same on behalf of the Authority and to bind the Authority thereto. (c) The A 53rd Avenue Tax Increment District is an economic development tax increment financing district,, approved on December 18, 1995. (d) Assuming A use of the Property as described in Section 4.6 of this Agreement, the assistance provided by the Authority hereunder complies with Section 469.176, subd. 4(c) of the TIF Act. $) Tl "14tliovif y "F" received no notice or communication from any local, staite•.,or .'federal ;official Ahat the ,activities of • the :Authority, --the, Cify, or 'the Developer in the TIF District,or on the Property lnay'be'or will be in violati'oil of any environme Vital law or regulation . The Authority is aware of rio `facts the, existence of which wo�l&4cause it. to be in violation of any local,. state;ar.federal environmental law, :reguiat on or revfe'w procedure: • In -the event that the,C ;ty or the Developer Is required``to :stake any action 'to obtain'•any - necessary permits or - app"v4is wwith re.spect'':t6'- the:`�znum' ImilirovemenIts or the''Pxoperty under any local,° ,stag: or federal environmental law or regulation., 146'Authority will codperate•with-the , bity 'or the.' *VOlo -oer ar i connection with such action. , Neither the execution and delivery of this Agreement, the consummation bf tl�e transaction's come dated hereby,,nor the fulfillment df oicompliance with -the ts and "conditiiizs of thiseemenfi is preven i ted; :limited 1�y• or eaxct vrritn nr results in a hrea l :cif, th$'t rms, conditions ar _provisions of any restriction. cir::any Old nces'vf indebtedness,; - agreement ar instrubient of whatever xzatu -e to,,whichAthe Aiithoritvis,•ncw. ;partyorfby which it 'is bound, ,or constitutes s default'' er• any of the # oregving .: __ Section 2.2. Representations by the City. The City makes the following representations as the basis for the undertakings on its part contained herein: (a) The City is a home rule charter city and municipal corporation under the laws of Minnesota. (b) The City has the right, power and authority to execute, deliver and perform its obligations according to this Agreement or all other documents to be DJG96577 CL160 -79 5 executed by the City pursuant hereto. The City assures the Authority and the Developer that the individuals who execute this Agreement or all other documents executed by the City or on behalf of the City are duly authorized to sign the same on behalf of the City and to bind the City thereto. (c) The City is the fee owner of Parcel 2. Section 2.3. Representations by the Developer. The Developer makes the following representations as the basis for the undertakings on its part contained herein: (a) The Developer is a Minnesota corporation. (b) The Developer has the right, power and authority to execute, deliver and perform its obligations according to this Agreement and all other documents to be executed by the Developer pursuant thereto. The Developer assures the City and the Authority that the individuals who execute this Agreement and all other documents executed by the Developer or on behalf of the Developer are duly authorized to sign the same on behalf of the Developer and to bind the Developer thereto. (c) The Developer will construct the Minimum Improvements , and will do so in accordance with the terms of this Agreement, the Project Plan, the TIF Plan and all local, state and federal laws and zoning, building code, public health laws, and all applicable local, state or federal energy conservation laws or regulations. (d) The Developer has funds or has obtained financing in an amount sufficient to finance construction of the Minimum Improvements. (e) The Developer has received no notice or communication from any local, state or federal official that the activities of the Developer, the City, or the Authority in the TIF District A or on the Property may be or will be in violation of any environmental law or regulation. The Developer is aware of no facts the existence of which would cause it to be in violation of any local, state or federal environmental law, regulation or review procedure. In the event that the City or the WG96577 CL160 -79 6 Authority is required to take any action to obtain any necessary permits or approvals with respect to the Minimum Improvements or the Property under any local, state or federal environmental law or regulation, the Developer will cooperate with the City or the Authority in connection with such action. (f) Neither the execution and delivery of this Agreement, the consummation of the transactions contemplated hereby, nor the fulfillment of or compliance with the terms and conditions of this Agreement is prevented, limited by or conflicts with or results in a breach of, the terms, conditions or provisions of any restriction or any evidences of indebtedness, agreement or instrument of whatever nature to which the Developer is now a party or by which it is bound, or constitutes a default under any of the foregoing. (g) The proposed redevelopment of the Property, including construction of the Minimum Improvements, would not occur but for the tax increment financing assistance being provided by the Authority hereunder. DJG96577 CL160 -79 ARTICLE III Acquisition and Conveyance of Property; Public Improvements Section 3.1. Conveyance of the Property. (a) The Developer is the fee owner of Parcel 1. (b) The City agrees to convey title to Parcel 2 to the Authority and the Authority agrees to convey title to Parcel 2 to the Developer if A all conditions precedent to performance by the City and the Authority set r. thin Section !3 2 of this Agreement have been satisfied. Until the Termzinatat �n i a.te, the Authority shall convey title and possession of Parcel 2 to the Developer under the Property Deed. The conveyance of Parcel 2 and the Developer's use of the Property shall be subject to all of the conditions, covenants, restrictions, and limitations imposed by this Agreement, the HRA Act, and the Property Deed. The conveyance of title to Parcel 2 and the Developer's use of the Property shall also be subject to building and zoning laws and ordinances and all other local, state and federal laws and regulation. Section 3.2. Conditions Precedent to Conveyance. Notwithstanding anything herein to the contrary, the Authority shall not be obligated to convey Parcel 2 to the Developer until the following conditions precedent have been satisfied: (a) the Authority has obtained title to Parcel 2; (b) the Authority has determined that the sale of Parcel 2 is advisable, following the public hearing required by the HRA Act; A (c) the Developer has submitted evidence of internal oar other financing of the Minimum Improvements acceptable to the Authority; (d) The Developer hast concurrent with delivery oaf the Property;i?eed' deposited with the Authority the amount of $360,000, which amount represents the cost to the Authority of acquiring Parcel 2; (e) there has been no Event of Default on the part of the Developer; and (f) conversion of Parcel 2 to private nonrecreational use has been approved by all appropriate state and federal authorities. If all conditions precedent iht this Article < III bf thii Agreement have been satisfied, the Developer agrees to purchase Parcel 2 from the Authority. Section 3.3. Cost of the Property; Time of Conveyances. The Authority agrees to purchase Parcel 2 from the City for $360,000, payable at closing. (b) The Developer agrees to pay the Authority $360,000 for Parcel 2 at closing. Subject to satisfaction of all of the terms and conditions contained in this Agreement which must be satisfied prior to the Authority's conveyance of the Property to the Developer, closing on Parcel 2 shall occur A promptly after title has been !reviewed, and 1 objections made.. corrected as provided in See #ion 3.. cif this DJG96577 CL160 -79 8 Agreement,. but in .no case na• later than .March 1996, uzxless.a rdferent date'`as mutually agreed upon in writing. The Developer shall •have possession of Parcel 2 upon closing. Closing shall be at the offices of the Authority. The Property Deed shall be in recordable form and shall be promptly recorded in the proper office for the recordation of deeds and other instruments pertaining to the Property. The Developer shall pay all recording costs, including State Deed Tax, in connection with the acquisition and conveyance of Parcel 2, title commitment and premium fees, and any title closing fees. The Authority and the Developer agree to pro rate any real estate taxes due and payable in 1996 as of the date of closing. The Developer agrees A that real estate taxes due and payable in the year after closing and thereafter shall n,ot,V6 he re � pdnsi1a tit bf the Cityyox the �Aut.hority; ,Th& MAJ46 sha)l -bay alYl/a1yyeQToi la�rerea; ss esme tslevied -or pending iprespect if'Par 1, -as fihe:,rlate �Aa kFAVf1.7.Ln ..�`, • w ... . . .. Arr . _ .. r. - .... (c) `he ` iffy, the Aiithorityx., and ,the ` Developer •dpi not %attend lay this conv�yane of Pareel,,12 ttor,establish a :market .value. for ;Pared 2. Section 3.4. Title. (a)A The Authority shall obtain and furnish to the Developer a commitment for the issuance of a policy of title insurance for Parcel 2. The Developer shall have ten (10) days from the date of its receipt of such commitment fandtah ALTA.iACSM survey of Parcel 2 to review the state of title to Parcel 2 and to provide the Authority with a list of written objections to such title,' which,!may 'Include any ..lack ,of, contiguity. with `1?a�rcel.:,;l. Upon receipt of the Developer's list of written objections, the Authority shall proceed in good faith and with all due diligence to attempt to cure the objections made by the Developer. Not earlier than eleven days following the date the Developer shall have received a commitment for the issuance of a policy of title insurance for Parcel 2 from the Authority, in the event the Developer shall have provided the Developer with a list of written objections, within ten (10) days after the date that all such objections have been cured to the reasonable satisfaction of the Developer, the Authority and Developer shall proceed with the acquisition and conveyance of Parcel 2 pursuant to Sections 3.1 and 3.2 of this Agreement. In the event that the Authority has failed to cure objections within sixty (60) days after its receipt of the Developer's list of such objections, either the Developer or the Authority may by the giving of written notice to the other, terminate this Agreement, upon the receipt of which this Agreement shall be null and void and neither party shall have any liability hereunder. The Authority shall have no obligation to take any action to clear defects in the title to Parcel 2. It is a condition to Developer's obligation°to;purehase Rate-61"'2 that•.it4;�ceive fit, • the closing ,fin Ai,Tt� owner's -policy of title u sux'az ce insistent ;- witlir.• the ' apj i oviMd `commitment, coIntairYi`ng such, rr endarsarnerit #as r it reaonablyreq�zssts '(inclu'dinges tociiing,r •contiguity`, _rompz�eensi;; survey and ikej ,deTetng `all ;stariclerd eceptians` arid' instirin Developer iri ttleritout a ex_epton _fix afber matter `not ,disclosed, by. the ,approved cimimfiinent:: _ (b) The Authority shall take no actions to encumber title to Parcel 2 between the time the Authority acquires Parcel 2 and the time which the Deed is delivered to the Developer. The ty tzd the _`. Authority shall ii66 best efforts`. is iulf l tie `c; diti n precedent stated ,1n`-sectioi r3;,2(f)., ,.which, they represent 19 the sole &nditl6n :or estr c Jon, on con �eyanee "of "Parcel •2 to Developer'not within the absoiutte dis6retion of the ,pity nd. the Authority DJG96577 CL160 -79 Section 3.5. Public Hearing Prior to Sale. (a) The City's obligation to sell Parcel 2 to the Authority is contingent upon compliance by the City with the terms and conditions of its home rule charter regarding the sale of public land. The City agrees to hold the necessary hearings and readings on an ordinance authorizing sale of Parcel 2 to the Authority. Notwithstanding anything herein to the contrary, the determination to sell Parcel 2 to the Authority shall be in the sole discretion of the City. (b) The Authority's obligation to reconvey Parcel 2 to the Developer is subject to compliance with the provisions of the HRA Act regarding the notice of sale, hearing and findings required for conveyance of real property. The Authority agrees to initiate the process to call for the required hearing and shall pursue same with due diligence. Notwithstanding anything herein to the contrary, the determination to sell Parcel 2 to the Developer shall be in the sole discretion of the Authority. Section 3.6. A Rppiesentation. (a) The City and the Authority represent and warrant to the Develop that while the City or the Authority had legal title to Parcel 2, no toxic or hazardous substances or wastes, pollutants or contaminants (including, without limitation, asbestos, urea formaldehyde, the group of organic compounds known as polychlorinated biphenyls, petroleum products including gasoline, fuel oil, crude oil and various constituents of such products, and any hazardous substances as defined in the Comprehensive Environmental Response, Compensation and Liability Act of 1980 ( "CERCLA") (42 U.S.C. §§ 9601 -9657, as amended), have been generated, treated, stored, released or disposed of, or otherwise placed, deposited in or located on Parcel 2 by the City or the Authority. The City and the Authority have not, while the City or the Authority had legal title to Parcel 2, undertaken any activity on Parcel 2 that would cause (i) Parcel 2, to become a treatment, storage or disposal facility within the meaning of, or otherwise bring the Property within the ambit of, the Resource Conservation and Recovery Act of 1976 ("RCRA") , 42 U.S.C. § 6901 et seq. , or any similar state law or local ordinance, (ii) a release or threatened release of toxic or hazardous wastes or substances, pollutants or contaminants, from Parcel 2 within the meaning of, or otherwise bring Parcel 2 within the ambit of, CERCLA, or any similar state law or local ordinance, or (iii) the discharge of pollutants or effluents into any water source or system, the dredging or filling of any waters or the discharge into the air of any emissions, that would require a permit under the Federal Water Pollution Control Act, 33 U. S. C. § 1251 et seq. , or the Clean Air Act, 42 U. S. C . § 7401 et seq., or any similar state law or local ordinance. The City and the Authority have not caused, while the City or the Authority had legal title to Parcel 2, any substances or conditions in or on Parcel 2 that may support a claim or cause of action under RCRA, CERCLA or any other federal, state or local environmental statutes, regulations, ordinances or other environmental regulatory requirements, including without limitation, the Minnesota Environmental Response and Liability Act, Minnesota Statutes, Chapter 115B ("MERLA") and the Minnesota Petroleum and Release Cleanup Act, Minnesota Statutes, Chapter 115C. The City and the Authority have not caused, while the City or the Authority had legal title to Parcel 2, any above ground or underground tanks to be located in or about Parcel 2 and have subsequently been removed or filled while the City or the Authority had legal title to the Property. Neither the City nor the Authority has caused, while the City or the Authority had legal title to Parcel 2, any environmental inspections, tests or reports to have been made or prepared in connection with the Property/. The fz�re oin� 'rex�resentations and warranties `shah survive delivery of the P*i erty DJG96577 CL160 -79 10 (b) Except as provided in Section 3.6(c) of this Agreement, neither the City nor the Authority makes any representations to the Developer regarding the soil conditions on the Property or the suitability of the Property for use by the Developer for construction of the Minimum Improvements. (c) Within thirty (30) days of the date of this Agreement, but prior to conveyance of Parcel 2 to the Developer, the Developer shall have the right to undertake soil tests and borings on Parcel 2 regarding the suitability of soil conditions for construction of the Minimum Improvements and regarding the presence of pollution, contamination, or hazardous substances on Parcel 2. i -shall b-6,,a evnd tiQli_*e- # dent ta_3eveloper's obliga tion to purchase Pa`roel 2'thatif" is `skis'66� x�vith the v cults 6f }such soil tests borings in; its stile discretion. The City hereby grains permission for the "beveloper to enter upon Parcel 2 for the purpose of undertaking such soil tests and borings. (d) After closing, regardless of the whether the Developer has availed itself of the right to conduct tests under Section 3.6(c) of this Agreement, neither the City nor the Authority shall have any obligation or liability to the Developer for any defect or unsuitability with respect to the soil conditions or the presence of any pollution, contamination, or hazardous substances on the Property ;••ekcept fovany kreaei.fli`';tlx `representations, and warranties; in Section 3. (a) of this Afire znent. The Developer agrees to indemnify and hold harmless the City and the Authority, 1. their officers, agents and employees, against any claims or actions from the Developer or any third party regarding the soils or the presence of any pollution, contamination or hazardous substances on Parcel 1; The„ Developer,. agrees' `ta ind.eninify and held harmless the City and -the Authority; their •rffieers,; agents and employees'; against any claims or actions from the Developer or any third party regarding the soils or the presence of any pollution, contamination or hazardous substances generated, treated, stored, released or disposed of, or otherwise placed, deposited in or located on Parcel 2 if such .claims or , actions ; )Hse:•:fprim occurrences `taking place subsequent to closing on the sale of Parcel 2 by the Authority to the Developer. A The undertakings in, this Section 3.6(d) shall survive n Olivery'of the 'Property Deed and the expiration or sooner termination this ,A &reement . DJG96577 CL160 -79 11 ARTICLE IV Construction of Minimum Improvements Section 4.1. Construction of the Minimum Improvements . Subject to the terms and conditions of this Agreement, the Developer agrees that it will construct the Minimum Improvements in accordance with the Construction Plans which?linimum Improvementa ah611 consist of approxi�aaately' ti, 000 square feet of roaa ;floor area Subject to Unavoidable Delays, the Minimum Improvements will be completed by no later than A June; 3.0 1997. The Developer agrees to maintain, preserve and keep the Minimum Improvements in good repair and condition, subject to reasonable wear and tear and casualty excepted, A until the Termination Date. Nothing in this Agreement shall be construed to exempt the Developer from the need to obtain the necessary building and other permits ordinarily required prior to commencement of construction and to construct the Minimum Improvements in compliance with all codes, regulations and ordinances related to construction. Section 4.2. Construction Plans. (a) A The Developer haa' U. Wtte to the City and the Authority for their approval elevaation drawings A of the proposed Minimum ImprovementsA. The City and the Authority A have :these elevation drawings A and determined.., A that such A drawings are acceptable . A (b) A If the Developer desires to make any change in the Construction Plans A which would also require review or approval under any applicable code, ordinance or regulation, the Developer shall submit the proposed change to the City and the Authority for their approval. If the Construction Plans, as modified by the nrobosed change': M. conform to the terms and onditions W this Agreement; (2) :Improvements; And (5) conform to the State Building Code, then, n the City and the Authority shall approve the proposed change and notify the Developer in writing of their approval. Such change in the Construction Plans shall, in any event, be deemed approved by the City and the Authority unless rejected, in whole or in part, by written notice by the City or the Authority to the Developer, setting forth in detail the reasons therefor. Such rejection shall be made within ten (10) days after receipt of the notice of such change. Section 4.3. Completion of Construction. All work with respect to the Minimum Improvements to be constructed or provided by the Developer shall be in Oubs�tantial conformity with the Construction Plans as submitted by the Developer and approved by the City and the Authority. Subsequent to approval of the Construction Plans by the City and the Authority, and until construction of the Minimum Improvements has been completed, the Developer shall make reports, in such detail and at such times as may reasonably be requested by the Authority, as to the actual progress of the Developer with respect to such construction. Section 4.4. Certificate of Completion. (a) Promptly after sulaatantial completion of the Minimum Improvements in accordance with the Construction Plans and all terms of this Agreement, the Authority agrees to furnish the Developer with a Certificate of Completion in the form of Exhibit B hereto. Such certification by the Authority shall be a conclusive determination of satisfaction and termination of the agreements and covenants in this Agreement with respect to the obligations of the DJG96577 CL160 -79 12 Developer to construct the Minimum Improvements and the dates for the beginning and completion thereof. (b) The Certificate of Completion provided for in this Section 4.4 shall be in such form as will enable it to be recorded in the proper office in the County for the recordation of deeds and other instruments pertaining to the Property. If the Authority shall refuse or fail to provide certification in accordance with the provisions of this Section 4.4, the Authority shall, within thirty (30) days after written request by the Developer, provide the Developer with a written statement, indicating in adequate detail in what respects the Developer has failed to i'U15stantially complete the Minimum Improvements in accordance with the provisions of' the° Agreement, or is otherwise in default, and what measures or acts it will be necessary, in the opinion of the Authority, for the Developer to take or perform in order to obtain such certification. (c) The Minimum Improvements will be deemed to be substantially completed when the Developer has received or N entitled to .receive a certificate of occupancy from the City's building official/. Section 4.5. Reconstruction of Minimum Improvements. If the Minimum Improvements are damaged or destroyed before or after completion thereof, but before the Termination Date, snd the .Developer does.° nit provide trie :pity and :the AuthoAty .w th".a ° °:'�prra nation. Notice within thirty. (3O') °,'rays of °.such:'dbmage or A6Strty,etion.y the Developer agrees, for itself and its successors and assigns, to reconstruct the Minimum Improvements in accordance with the Construction Plans, or such modifications thereto as may be requested by the Developer and approved by the City and the Authority A . The Developer shall have no A obligation to 'reconstruct °;!he Minimi�m.,Ii4&vements under this Section 4.5 after the Termination bate; provided, .however; `tha.t the Developer shall not be entitled ° <to any `.further payirtonts-under Repayment Agreement after the Minimum Improvements, are;i3am€xg€d or,d siroyed, unless ,and until the Minimum Improvements are reconstructed in a.ccerrdance with the Construction Plans or, °such modifications -thereto°°as may be egxested _lay the Developer and approved:by the° City and the Authority. Section 4.6. Use of Minimum Improvements. Prior to the Termination Date, the Developer shall not use more than 15 %, on a square footage basis, of the Minimum Improvements and any other improvements constructed on the Property for a purpose other than: (a) the manufacturing or production of tangible personal property, including processing resulting in the change in condition of the property; (b) warehousing, storage, and distribution of tangible personal property, excluding retail sales; (c) research and development related to the activities listed in clause (a) and (b); (d) telemarketing if that activity is the exclusive use of the property; (e) space necessary for and related to the activities listed in clauses (a) to (d). DJG96577 CL160 -79 13 ARTICLE V Public Assistance Section 5.1. Qualifying Reimbursable Costs. The Authority agrees to utilize Available Tax Increment to reimburse the Developer for the Qualifying Reimbursable Costs, with interest on such costs at the rate of 8.50% per annum, said interest commencing to accrue when such costs are incurred and paid by Developer. Reimbursement of these costs shall be made solely in accordance with the terms of this Agreement and the Repayment Agreement. Section 5.2. Phase 2. (a) If the Developer elects to construct Phase 2 A .law . n (b) The parties understand and acknowledge that: (i) the Developer has no obligation to construct Phase 2; (ii) the parties have no adequate way to determine the amount, if any, of tax increment that will be generated by Phase 2; and (iii) the amount of Available Tax Increment available to reimburse the Developer is contingent, in part, on whether Phase 2 is constructed, the market value assigned to Phase 2 for tax purposes, whether Phase 2 is constructed in a timely fashion pursuant to Minnesota Statutes, section 469.176, subd. 6, and whether, pursuant to Minnesota Statutes, section 469.1763, costs pertaining to Phase 2 are incurred within 5 years of the TIF District's certification. Section 5.3. Repayment Agreement. (a) A Concurrent with the execution xud delivery of ;tbs Agreement, the Authority and the Developer shall execute a Repayment Agreement in substantially the form similar to the one attached hereto as Exhibit D. By the terms of the Repayment Agreement, the Authority will agree to reimburse the Developer for the Qualifying Reimbursable Costs out of Available Tax Increment. (b) The Developer understands that, pursuant to the Repayment Agreement, its right to receive Available Tax Increment is subordinate to the City's right to receive Available Tax Increment as reimbursement for the City's cost of making certain public improvements under certain conditions. (c) The Developer understands and acknowledges that the Available Tax Increment may not be sufficient to reimburse the Developer for any or all of the Qualifying Reimbursable Costs. It shall not be an Event of Default if, in any year or in all years prior to the Termination Date, there is insufficient Available Tax Increment to reimburse the Developer for any or all of the Qualified Reimbursable DJG96577 CL160 -79 14 Costs. The Developer agrees and understands that Available Tax Increment is subject to variation in class rates, local tax rates, method of calculation by Anoka County, and may vary from amounts estimated as of the date of this Agreement. Without limitation of the foregoing, the Developer further agrees and understands that the amount of Available Tax Increment may decrease if the Minimum Improvements or Phase 2 are constructed within a "transit zone" as defined by Minnesota Statutes, section 473.3915 and therefore taxed at a lower rate pursuant to Minnesota Statutes, section 273.13, subd. 24(c). (d) A As a condition precedent to the Authority being obligated to pay the Developer under the Repayment Agreement, the Developer agrees to submit evidence to the Authority regarding A the Qualifying Reimbursable Costs edu�lly �incurreil b,be3eveloper, `etherhaxz,the 'coats of 'acquiring �a�cel �, ;as, tc�. which sudh siibmissicri shall snot be -a dondition ; precedent. The Authority's obligation for reimbursing the Qualifying Reimbursable Costs shall be a revenue obligation payable solely from Available Tax Increment. The Authority's obligation to the Developer shall not exceed the amount of Available Tax Increment, or the amount of Qualifying Reimbursable Costs incurred and paid by the Developer, whichever is less. Section 5.4. Wage and Job Covenants. (a) A Withinkthe,period'6omm4ncing Qn``tlie :date - hereof and •ending two years after the A first date on which the Developer receives from the Authority any payment pursuant to this Agreement, the Developer shall cause to be created at the A Property at least 50 new jobs with wages of at least $10.00 per hour. 1)eVelopor's' oblig€�t n�s.'.bereuiider.. shell '•be £dlfilaed,`a d the goal hereby.established.fully met','upon-the'.c tion: df- .sueh;50.new jo bs at,sueh "tnragei'leuel, ,.a&[ there shall be "no requirement as tta_ihe °continuation cif any; - b or` °wage - level _thereafter.. Until the end of 'the•,_period stated, lb: Ahe :first entente 83f this,$etion .4 (Aj any jobs relocated to the Minimum Improvements from t`he developer's operations elsewhere in the State shall not be counted toward the 50 required new jobs. The Developer shall submit to the Authority a written report by April 1 of each year after completion of the Minimum Improvements describing employment and wages in sufficient detail to enable the Authority to determine compliance with this Section. (b) If the Developer fails to comply with any of the terms of the first.senfience of Section 5.4 (a) , the Developer shall., to the extent required by law; repay to the Authority upon written demand from the'Authorify any payments disbursed by the Authority to the Developer pursuant to A tYte'.Repayment Agreement. Nothing in this Section shall be construed to limit any other remedy available to the City or the Authority pursuant to this Agreement. (c) The Developer A presently expects to create; over.;tghe fiveyyeair peAgd fc Ho`v .ng• *fiblet1oi1 of :the: iuimum: Improvements, 200 new Lobs at the Minimum Improvements in addition to the 50 jobs it is obligated to create pursuant to Section 5.4 (a) ; provided, such additional job creation is not intended •to'be':and shall not A constitute a "goal" within the meaning of Minnesota Statutes, section 116J.991A. DJG96577 CL160 -79 15 ARTICLE VI N bus and Grants DJG96577 CL160 -79 16 ARTICLE VII Use 4nd Payment of Increment A Section 7.1. Use of Tax Increments. (a) Except for its obligations under this Agreement d :tl e `Re aymment` Agreement regarding Available Tax Increment, the Authority aiid City shall be free to use any tax increment received from the Property or the Minimum Improvements for any purpose for which such increment may lawfully be used, pursuant to the provisions of Minnesota law, and the Authority shall have no obligations to the Developer with respect to the use of such increment. (b) The City and 'the Authority shall,; to tle extenti" such increiiient is av lak?le }xu e' A;uthorit fnct6ment A to pay for public improvements required as the direct result of construction of the Minimum Improvements out of tax increment generated by the Property and the Minimum Improvements. The City's obligation under this Section 7.1(b) shall not apply to the /Public /Improvement elks A (as defined in the Repayment Agreement) . Nothing in this Section 7.1(b) shall be construed to limit the legislative discretion of the City or the Authority. Section 7.2. Voluntary Termination of Right to Available Tax Increment. (a) At any time after the Developer's receipt of the Certificate of Completion, the Developer may submit a Termination Notice to the Authority and the City. The Payment Date (as defined in the Repayment Agreement) immediately following the receipt by the City and the Authority of such Termination Notice shall become the Termination Date. (b) Nothing in this Section 7.2 shall obligate the City or the Authority to decertify the TIF District upon receipt of the Termination Notice or limit the 06- veloper'uS �r%ghts under Section 4�.6 of this Agreement. 8ecti.6xr',1 �S. ftWr6 Develo e'r''•Costs., If ';.amore ;thaa.�five., y ... . aft6r eertifiestien,;;af, the TIF,IDistrict, the Developer incurs or de'siros"to"IDbui citists -for h ch the.-Developer desires. Rio be -reimbursed out oi',;tax ;incxemen.t,•, ,t e ;Ci;�ty, A4,e �uth6_ri' ty,, and the Developer° •agree -to °negotiate in good faith- concerning b eation bf a new,T1F 'district erica passing all or a pprtion of thy; Property tithing, n this Seetien 7.3;l .hall `bg °constiuued_to limit the legislative discretion of,_the +City• or•• €he Autl 01Aty. _ _ DJG96577 CL160 -79 17 ARTICLE VIII Prohibitions Against Assignment, Transfer, and Encumbrances; Mortgage Section 8.1. Prohibition Against Transfer of Ownership Interests. (a) The Developer represents and agrees that its use of A P&el 2, and its other undertakings pursuant to the Agreement, are, and will be used, for the purpose of redevelopment of the Property and not for speculation in land holding. The Developer further recognizes that, in view of (a) the importance of the redevelopment of the Property to the general welfare of the City and the Authority; (b) the substantial assistance that has been made available by the Authority for the purpose of making such development possible; and (c) the limitations imposed by the HRA Act, any act or transaction involving or resulting in a significant change in the identity of the Developer is of particular concern to the City and the Authority. The Developer further recognizes that it is because of such qualifications and identity that the City and the Authority and entering into the Agreement with the Developer, and, in so doing, are further willing to accept and rely on the Developer for the faithful performance of all its undertakings and covenants. (b) The Developer represents and agrees that, until ear}aer of-the. date of issuance of or the date the .Developer ;is entitled to, the Certificate of Completion: (i) Except only by way of security for, and only for, the purpose of obtaining financing necessary to enable the Developer or any successor in interest to the Property, or any part thereof, to perform its obligations with respect to making the Minimum Improvements under this Agreement, and any other purpose authorized by this Agreement, the Developer has not made or created and will not make or create or suffer to be made or created any total or partial sale, assignment, conveyance, or lease, or any trust or power, or transfer in any other mode or form of or with respect to the Agreement or A Parcel 2 or any part thereof or any interest therein, or any contract or agreement to do any of the same, without the prior written approval of the Authority unless the Developer remains liable and bound by this Agreement in which event the Authority's approval is not required. Any such transfer shall be subject to the provisions of this Agreement. (ii) In the event the Developer, upon transfer or assignment of A �?arce1_ or any portion thereof, seeks to be released from its obligations under this Agreement as to the portionA of A Parcel 2 that is transferred or assigned, the Authority and City shall be entitled to require, except as otherwise provided in the Agreement, as conditions to any such release that: (A) Any proposed transferee shall have the qualifications and financial responsibility, in the reasonable judgment of the Authority and City, necessary and adequate to fulfill the obligations undertaken in this Agreement by the Developer as to the portion of A N&601.2 to ......::........... be transferred. (B) Any proposed transferee, by instrument in writing satisfactory to the Authority and in form recordable among the land records, shall, for itself and its successors and assigns, and expressly for the benefit of the Authority and City, have expressly assumed all of the obligations of the Developer under this Agreement as to the DJG96577 CL160 -79 18 portion of A Parcel 2 to be transferred and agreed to be subject to all the conditions and restrictions to which the Developer is subject as to such portion; provided, however, that the fact that any transferee of, or any other successor in interest whatsoever to A Parc6l 2 or any part thereof, shall not, for whatever reason, have assumed such obligations or so agreed, and shall not (unless and only to the extent otherwise specifically provided in this Agreement or agreed to in writing by the Authority and the City) deprive the Authority A or the City of any rights or remedies or controls with respect to the Property or any part thereof or the construction of the Minimum Improvements; it being the intent of the parties as expressed in this Agreement that (to the fullest extent permitted at law and in equity and excepting only in the manner and to the extent specifically provided otherwise in this Agreement) no transfer of, or change with respect to, ownership in the Property or any part thereof, or any interest therein, however consummated or occurring, and whether voluntary or involuntary, shall operate, legally or practically, to deprive or limit the Authority of or with respect to any rights or remedies on controls provided in or resulting from this Agreement with respect to the Minimum Improvements that the Authority would have had, had there been no such transfer or change. In the absence of specific written agreement by the Authority and the City to the contrary, no such transfer or approval by the Authority and the City thereof shall be deemed to relieve the Developer, or any other party bound in any way by this Agreement, from any of its obligations with respect thereto. (C) Any and all instruments and other legal documents involved in effecting the transfer of any interest in this Agreement or A Parcel 2 shall be in a form reasonably satisfactory to the Authority and the City. In the event the foregoing conditions are satisfied then the Developer shall be released from its obligation under this Agreement, as to the portion of the Property that is transferred, assigned or otherwise conveyed. After issuance of the Certificate of Completion for the Minimum Improvements, the Developer may transfer or assign any portion of the Property or the Developer's interest in this Agreement without the prior written consent of the City or the Authority, provided that the transferee or assignee is bound by all the Developer's obligations hereunder. The Developer shall submit to the Authority written evidence of any such transfer or assignment, including the transferee or assignee's express assumption of the Developer's obligations under this Agreement . A Until the Developer A provides such evidence of transfer and assumption, the Developer shall remain bound by all its obligations under this Agreement. ( )f i otWithstanci3ng any other .p vis on of thi A grp emen including; the ing•rov €ons �f bi Secion $.1,p;•retrictin, Qrega posed` cijd,:4and';`�he evelc�per . iay freely an&l without consent, ;transfer, dell; �saign, :le e, ;sell; or lease .and lase `abaok; nll ;qtr - *a' y ,part of ,the P party°°or any interest there 4n in bt r c ori`, ,with ° °any merger., •:'consalidaticih, ` reorgani atiori; sale of all, or substantially'ali .o `the ass t"s of the Devel6i er or the neural ©gica�.,division of the ;Develt�per_; t�r',eombinatic�ri:'thereoi~: DJG96577 CL160 -79 19 Section 8.2. Limitation Upon Encumbrance of Property. Prior to the issuance of the Certificate of Completion, the Developer shall not engage in any financing or any other transaction creating any mortgage or other encumbrance or lien upon A Parcel 2, whether by express agreement or operation of law, or suffer any encumbrance or lien to be made on or attached to n vare+el other than the liens or encumbrances attached for the purposes of obtaining funds to the extent necessary for making and financing the Minimum Improvements, without the prior written approval of the Authority and the City. This Agreement snd all ©t . th$ rights; of the ..... .. . _ ...� a .. .•a. w N s. ii_ 1 ice._ DJG96577 CL160 -79 'n a• ARTICLE IX Events of Default Section 9.1. Events of Default Defined. The following shall be deemed Events of Default under this Agreement and the term shall mean, whenever it is used in this Agreement, unless the context otherwise provides, any one or more of the following events: (a) Failure by the Developer to complete construction of the Minimum Improvements in a timely manner provided that`;,, befta 'Event ol eaIt ndar bus 'claii'se be deemed to• have occurred, ~xievelopeiz; Shall in"a' 'r y ev,ent. have at;,additici3 al.per!b&, of sixty (60�) days within which -to substantially &mplete budh cr�xz truction fc ilc� ng nvticelrom the Authi rity of such az�ataal fa%lux ; (b) Failure by the City, the Authority, or the Developer to pay when due the payments required to be made under any provision of this Agreement; or (c) Failure by the City, the Authority, or the Developer to observe or substantially perform any covenant, condition, obligation or agreement on its or their parts to be observed or performed heraundPr. Section 9.2. Remedies on Default. Whenever any Event of Default occurs, the non - defaulting party may take any one or more of the following actions, but not before giving 30 days' written notice and opportunity to cure to the defaulting party: (a) suspend its performance under this Agreement and the Repayment Agreement until it receives assurances from the defaulting party, deemed reasonably adequate by the non - defaulting party, that the defaulting party will cure its default and continue its performance under this Agreement and the Repayment Agreement; (b) cancel or rescind this Agreement; (c) A take whatever action at law or in equity may appear necessary or desirable to the non - defaulting party to collect any payments due under this Agreement, or to enforce performance and observance of any obligation, agreement, or covenant of the defaulting party under this Agreement. n.z'a'�tded`hat•ix's;y'event, the Authority may withhold the Certificate of Completion. Section 9.3. Revesting Interest in the Authori Subsequent to Conveyance to Developer. In the closing on A Parcel 2 and prior to the issuance of a of Event event that subsequent to the Certificate of Completion: (a) The Developer, after commencement of the construction of the Minimum Improvements, defaults in or violates its obligations with respect to the construction of the Minimum Improvements (including the nature and the date for the completion thereof ) A or •• abandons,: constz uction • ,,of :the, • iz��m �mprc�vemerita ; € such ab donmen C Jai not due to Unavoidable Delays, °arid any sucli. default;, vielati�in; car abani anmexxfi .is .not. cured, •e:nded, or rem�ediec� within'60 days after,written demand is,made by.•_;the Authority tti• the Developer; or DJG96577 CL160 -79 21 (b) The Developer fails to pay real estate taxes or assessments on A P.aroel 2 when due, or places thereon any encumbrance or lien unauthorized by this Agreement, or suffers any levy or attachment to be made, or any materialmen's or mechanics' lien, or any other unauthorized encumbrance or lien to attach, and such taxes or assessments shall not have been paid, or the encumbrance or lien removed or discharged or provision satisfactory to the Authority made for such payment, removal, or discharge, within 30 days after written demand by the Authority to do so; provided, that if the Developer shall first notify the Authority of its intention to do so, it may in good faith contest any mechanics' or other lien to remain undischarged and unsatisfied during the period of such contest and any appeal, but only if the Developer provides the Authority with a bank letter of credit or other security in the amount of the lien, in a form satisfactory to the Authority pursuant to which the bank will pay to the Authority the amount of any lien in the event the lien is finally determined to be valid or, as an alternative to such forms of security, has made a deposit with the district court in the manner provided in Minnesota Statutes, section 514.10. During the course of such contest the Developer shall keep the Authority informed respecting the status of such defense; or (c) There is, in violation of this Agreement, any transfer of A Parcel 2 or ....:...................... any part thereof; A then the Authority shall have the right to re -enter and take possession of Parcel 2 and to terminate and revest in the Authority the interest of the Developer in Parcel 2; provided, however, that any exercise by the Authority of its rights or remedies hereunder shall always be subject to and limited by, and shall not defeat, render invalid or limit in any way the lien of any mortgage authorized by this Agreement or any rights or interests provided in this Agreement for the protection of the holders of a mortgage. Upon the revesting in the Authority as provided in this Section 9.3, the Authority shall, pursuant to its responsibilities under law, use its best efforts to resell Parcel 2 or any part thereof in such manner as the Authority shall find feasible and consistent with the objectives of law and in such a manner as to maximize the net proceeds of the sale . Neither the pity nor the Authority !may permanently p such purchase Upon A resale of Parcel 2, the proceeds snarl De usea ilrst to reimburse the Authority for its costs and expenses incurred in the revestiture and sale, and then to satisfy any liens or encumbrances placed on the Property, and then to return to the Developer its purchase price of Parcel 2. If the right to revest Section 9.4. No Remedy Exclusive. No remedy herein conferred upon or reserved to the parties is intended to be exclusive of any other available remedy or remedies, but each and every such remedy shall be cumulative and shall be in addition to every other remedy given under this Agreement or now or hereafter existing at law or in equity or by statute. No delay or omission to exercise any right or power accruing upon any Event of Default shall impair any such right or power or shall be construed to be a waiver thereof, but any such right and power may be DJG96577 CL160 -79 22 exercised from time to time and as often as may be deemed expedient. In order to entitle the non - defaulting party to exercise any remedy reserved to it, it shall not be necessary to give notice, other than such notice as may be required in section 9.3 of this Agreement. Section 9.5. No Additional Waiver Implied by One Waiver. In the event any covenant or agreement contained in this Agreement should be breached by either party and thereafter waived by the other party, such waiver shall be limited to the particular breach so waived and shall not be deemed to waive any other concurrent, previous or subsequent breach hereunder. DJG96577 CL160 -79 23 ARTICLE X Additional Provisions Section 10.1. Conflict of Interests; Representatives Not Individually Liable. No commissioner, officer or employee of the Authority or the City may acquire any financial interest, direct or indirect, in this Agreement, the Property or in any contract related to the Property. No commission, officer or employee of the Authority or the City shall be personally liable to the Developer, or any successor in interest, in the event of any default or breach by the Authority or the City or for any amount which may become due to the Developer or on any obligation or term of this Agreement. Section 10.3. 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 (b) as to the Developer: Medtronic, Inc. 7000 Central Avenue NE MS300 Minneapolis, MN 55432 (c) as to the Authority: Housing and Redevelopment Authority of Columbia Heights 590 - 40th Avenue NE Columbia Heights, MN 55421 ATTN: HRA Executive Director 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 10.3 . Section 10.4. Disclaimer of Relationships. The Developer acknowledges that nothing contained in this Agreement nor any act by the City, the Authority or the DJG96577 CL160 -79 24 Developer shall be deemed or construed by the Developer or by any third person to create any relationship of third -party beneficiary, principal and agent, limited or general partner, or joint venture between or among the City, the Authority and the Developer. Section 10.5. Modifications. This Agreement may be modified solely through written amendments hereto executed by the Developer, the City and the Authority. Section 10.6. ' Counterparts. This Agreement may be executed in any number of counterparts, each of which shall constitute one and the same instrument. Section 10.7. Provisions Not Merged with Deed. None of the provisions of this Agreement;, xacluding..w4tbaut limitation the.. p�preaentaffdn' s •anal warr aaties of e parties made in tthis A eement or pursuant hereto which shall. •survive the delvery �i the. `P op.erty deed• and .the . expiratian car .s. ib er .-tercinzn6itio :of this greemant; is intended to or shall be merged by reason of the Property Deed, and the Property Deed shall not be deemed to affect or impair the provisions and covenants of this Agreement. Section 10.8. Release and Indemnification Covenants. (a) Except for any A he•,h:egligehee% or.,other, wrongful act or - oWssion of any of the following named parties, the Developer releases from and covenants and agrees that the City, the Authority, and the governing body members, officers, agents, servants and employees thereof shall not be liable for and agrees to indemnify and hold harmless the City, the Authority, and the governing body members, officers, agents, servants and employees thereof against any loss or damage to property or any injury to or death of any person occurring at or about or resulting from any defect or dangerous condition in or on the Property or the Minimum Improvements -; JproVided that sixch.refea e azid'indemnity shall notapply % the represeutatiohs�aii6O � s made by the City and,.the'Atizthcrrity in'Sectiori 3.6( :) a % ;this Agreement. (b) Except for any willful misrepresentation or any willful or wanton misconduct of the following named parties, the Developer agrees to protect and defend the City, the Authority, 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 this Agreement, or the transactions contemplated hereby, or the acquisition, construction, installation, ownership, maintenance, and operation of the Property and the Minimum Improvements. (c) The City, the Authority, and the governing body members, officers, agents, servants and employees thereof shall not be liable for any damage or injury to the persons or property of the Developer or its officers, agents, servants or employees;, or any other person who may be about the Property or Minimum Improvements due to any act of negligence of any tither person. DJG96577 CL160 -79 25 IN WITNESS WHEREOF, the parties have caused this Agreement to be executed in their names as of the date first above written. MEDTRONIC, INC. By Its By Its DJG96577 CL160 -79 26 HOUSING AND REDEVELOPMENT AUTHORITY OF COLUMBIA HEIGHTS LIM Its Chair By Its Executive Director CITY OF COLUMBIA HEIGHTS M Its Manager By Its Mayor STATE OF MINNESOTA ) ss. COUNTY OF ) The foregoing instrument was acknowledged before me this day of 199, by and , the Chair and Executive Director, respectively, of the Housing and Redevelopment Authority of Columbia Heights, a public body corporate and politic under the laws of the state of Minnesota, on behalf of the Authority. STATE OF MINNESOTA ) ss. COUNTY OF ) The foregoing instrument 199, by and _ a Minnesota corporation. STATE OF MINNESOTA ) ss. COUNTY OF ) Notary Public was acknowledged before me this day of and , the respectively, of Medtronic, Inc., Notary Public The foregoing instrument was acknowledged before me this day of , 199 , by Joseph Sturdevant and Patrick Hentges, the Mayor and City Manager, respectively, of the City of Columbia Heights, a public body corporate and politic under the laws of the state of Minnesota, on behalf of the City. Notary Public DJG96577 CL160 -79 27 EXHIBIT A -1 to CONTRACT FOR PRIVATE DEVELOPMENT PROPERTY LEGAL DESCRIPTION (Parcel 1) Tract B, Registered Land Survey No. 63, Anoka County, Minnesota DJG96577 CL160 -79 A-1 -1 EXHIBIT A -2 to CONTRACT FOR PRIVATE DEVELOPMENT PROPERTY LEGAL DESCRIPTION (Parcel 2) The north 3.6 Acres of Lots 7 and 8, AUDITOR'S SUBDIVISION NO. 51, Anoka County, Minnesota DJG96577 CL160 -79 A -2 -1 EXHIBIT A B to CONTRACT FOR PRIVATE DEVELOPMENT FORM OF CERTIFICATE OF COMPLETION The undersigned hereby certifies that A Medtronic, Inc., a Minnesota corporation, has fully and completely complied with its obligations under Article IV of that document entitled "Contract for Private Development", dated among the Housing and Redevelopment Authority of Columbia Heights, the City of Columbia Heights, and Medtronic, Inc. with respect to construction of the Minimum Improvements in accordance with the approved Construction Plans and is released and forever discharged from its obligations to construct under such above- . . ..... ... hf f referenced Article, add the Authori #y's rigo revesting under> the on. ret for private DeveI . m e t xs hereby released and forever discharged . Dated: HOUSING AND REDEVELOPMENT AUTHORITY OF COLUMBIA HEIGHTS, MINNESOTA M Its Chair By Its Executive Director STATE OF MINNESOTA ) ss. COUNTY OF ) The foregoing instrument was acknowledged before me this day of , 199 , by and , the Chair and Executive Director, respectively, of the Housing and Redevelopment Authority of Columbia Heights, a public body corporate and politic under the laws of the state of Minnesota, on behalf of the Authority. Notary Public This document drafted by: KENNEDY & GRAVEN, CHARTERED 470 Pillsbury Center Minneapolis, MN 55402 (612) 337 -9300 DJ096577 CL160 -79 B -1 EXHIBIT C LDHTED WARRANTY DEED THIS INDENTURE, between the Housing and Redevelopment Authority of Columbia Heights, Minnesota, a public body corporate and politic under the laws of the State of Minnesota (the "Grantor"), and Medtronic, Inc. (the "Grantee "). WITNESSETH, that Grantor, in consideration of the sum of three hundred sixty thousand and no /100 dollars ($360,000) and other good and valuable consideration the receipt whereof is hereby acknowledged, does hereby grant, bargain, quitclaim and convey to the Grantee, its successors and assigns forever, all the tract or parcel of land lying and being in the County of Anoka and State of Minnesota described as follows, to -wit ( such tract or parcel of land is hereinafter referred to as the "Property ") : The north 3.6 Acres of Lots 7 and 8, AUDITOR'S SUBDIVISION NO. 51, Anoka County, Minnesota To have and to hold the same, together with all the hereditaments and appurtenances belonging thereto. Grantor covenants and represents that: (1) This Deed conveys after - acquired title; and (2) Grantor has not made, done, executed or suffered any act or thing whereby the above - described property or any part thereof, now or at any time hereafter, shall or may be imperiled, changed or incumbered in any manner, and Grantor will warrant the title to the above - described property against all persons claiming the same from or through Grantor as a result of any such act or thing, EXCEPT: SECTION 1. This Deed is subject to the covenants, conditions, restrictions and provisions, ncl�i,d g,_. without- limitstioni , a right of, reversion, contained -in an A agreement entered into among the City of Columbia Heights, Minnesota, the Grantor, and the Grantee on the day of , 199 identified as "Contract for Private Development" (hereafter referred to as the "Agreement "M . It is specifically agreed that the Grantee shall promptly begin and diligently prosecute to completion the redevelopment of the Property through the construction of the Minimum Improvements thereon, as provided in the Agreement. A All certifications provided for n in the Agreement shall be in such form as will enable them to be recorded with the County Recorder, or Registrar of Titles, Anoka County, Minnesota. A A SECTION A 2. This Deed is also given subject to: DJG96577 CL160 -79 C -1 (a) Covenants, conditions and restrictions contained in the project plan for the Central Business District and the tax increment financing plan for the Medtronic tax increment district, as amended as of the date of the Agreement. (b) Provisions of the ordinances, building and zoning laws of the City of Columbia Heights, and state and federal laws and regulations insofar as they affect this real estate. Grantor certifies that it does not know of any wells on the Property. WG96577 CL160 -79 C-2 IN WITNESS WHEREOF, the Grantor has caused this Deed to be duly executed in its behalf by its and and has caused its corporate seal to be hereunto affixed this day of , 199 HOUSING AND REDEVELOPMENT AUTHORITY OF COLUMBIA HEIGHTS, MINNESOTA By Its Chair By Its Executive Director STATE OF MINNESOTA ) ss . COUNTY OF ANOKA ) On this day of , 19_, before me, a notary public within and for Anoka County, personally appeared and to me personally known who by me duly sworn, did say that they are the Chair and Executive Director Housing and Redevelopment Authority of Columbia Heights, Minnesota (the "Authority ") named in the foregoing instrument; that the seal affixed to said instrument is the seal of said Authority; that said instrument was signed and sealed on behalf of said Authority pursuant to a resolution of its governing body; and said Chair and Executive Director acknowledged said instrument to be the free act and deed of said Authority. Notary Public This instrument was drafted by: Kennedy & Graven, Chartered 470 Pillsbury Center Minneapolis, Minnesota 55402 DJ096577 CL160 -79 C -3 EXHIBIT D to Contract for Private Development FORM OF REPAYMENT AGREEMENT THIS AGREEMENT is made and entered into as of the day of , 199_, by and between the Housing and Redevelopment Authority of Columbia Heights, Minnesota, a public body corporate and politic under the laws of Minnesota (the "Authority ") , and Medtronic, Inc. , a Minnesota corporation ( the "Developer ") . WITNESSETH: WHEREAS, the parties hereto A .concurrent herewith have entered into that certain document entitled "Contract for Private Development" ( the "Agreement ") ; and WHEREAS, the Agreement provided that the Developer would construct an approximately 60,000 sq. ft. manufacturing facility ( "Phase 111) on the land legally described on Exhibit A attached hereto (the "Property ") ; and WHEREAS, the Developer will incur certain expenses in A purchasing Parcel 2 of the Property, preparing the site, installing utilities, and otherwise making the Property suitable for development as specified herein; and WHEREAS, the Agreement provided that the Developer may construct A Phase on the Property; and WHEREAS, the Developer will incur certain expenses if it prepares the site, installs utilities, and otherwise A develops Phase 2n; and WHEREAS, the Authority agreed to reimburse the Developer for its n Qualifying Reimbursable Costs from Available Tax Increment (as defined in the Agreement) paid to the Authority; and WHEREAS, in order to secure such payment, the Agreement requires that the Authority and Developer enter into this Repayment Agreement; W096577 CL160 -79 D -1 NOW, THEREFORE, in consideration of the mutual obligations of the parties contained in the Agreement and in this Repayment Agreement, the parties agree as follows: Section 1. Definitions. Unless the contrary clearly appears from the context, the terms used in this Repayment Agreement shall have the same meanings as given them in the Agreement. Section 2. General Terms of Payment. (a) Subject to the Authority's right to prepay and the terms and conditions of the Agreement and this Repayment Agreement, the Authority shall reimburse the Developer for Qualifying Reimbursable Costs in the principal amount of no more than $A2,000. O (the "Principal Amount ") . (b) Interest, at the rate of 8.50% per annum, shall accrue on the unpaid balance of any portion of the Qualifying Reimbursable Costs from the date or dates on which the Developer A has Incurred, and paid such portion of the Qualifying Reimbursable Costs. Interest shall be computed on the basis of a year of 360 days and charged for actual days principal is unpaid. (c) The Principal Amount together with interest thereon shall be payable on each February 1 and August 1 (the "Payment Dates ") , commencing August 1, 1998 and ending on the Termination Date, which payments shall be made in the amount of and solely from Available Tax Increment. All payments shall be applied first to accrued interest and then to the Principal Amount. `,he `AAithdrity'c6V.enants-an:d ads t6 'uae aAd <appiy .*amble 4ncrement• for the payzr� n: s req pi " y #mss e aae t',Aireement (d) The Principal Amount is subject to prepayment at the option of the Authority in whole or in part on any date after execution of this Repayment Agreement. DJG96577 CL160 -79 D -2 (e) If, on any Payment Date, the Available Tax Increment is not sufficient to pay the amount of Qualifying Reimbursable Costs incurred and paid by the Developer prior to that Payment Date, plus interest, the difference shall be carried forward, without interest accruing thereon, and shall be paid if and to the extent that on a future Payment Date there is sufficient Available Tax Increment to do so. Section 3. Repayment Conditions. The Authority's obligation to make payments to the Developer is subject to the following terms and conditions: (a) n Tie Autho y shall ha4e quo abligatxon �o make . ny payment :to the evelaper under'; this ;epaymen t greement unto the :eveloper has r+sceved oz become entitled to reeve the Certificate of Completion!. (b) The Authority shall have no obligation to pay any balance of the Increment to the 0eveloper':have'been satisfied; WO The Authority shall have no obligation to make any payment to the Developer under this Repayment Agreement until the Developer has provided the Authority written evidence that the Developer has incurred and paid actual and reasonable expenses associated with the Qualifying Reimbursable Costs and that those expenses were incurred within 5 years of the certification of the TIF District;. d h Author^ t s obligation to makepa3rxmen s to ttie Iyeve op+er: der this 1. Leparmen �gxeement if the mum ixmprovements are da�aaged car re�treyed defax eel by the terns cif Section 4. 1 cif the agreement. WG96577 CL160 -79 D -3 Section 4 . Prepayment. The Authority may prepay without penalty or premium all or part of the accrued interest and unpaid principal due under this Repayment Agreement at an;y time. Upon payment of all of the accrued interest and unpaid principal, the Authority shall have no further obligation to make payments to the Developer. Section 5. Limit of Obligation. The Developer understands and agrees that the reimbursement obligation of the Authority is limited to the Available Tax Increment generated by the Minimum Improvements and Phase 2 and paid to the Authority during the term specified in Section 2 of this Repayment Agreement. The Developer understands and acknowledges that the Available Tax Increment may not be sufficient to reimburse the Developer for any or all of the Qualifying Reimbursable Costs. Failure by the Developer or its successors or assigns to pay real estate taxes due on the Property may reduce or eliminate the Authority's obligation under this Repayment Agreement. The Developer further understands and agrees that the Authority's obligation hereunder is a revenue obligation only, payable solely from Available Tax Increment. Failure by the Authority to make a payment to the Developer under this Repayment Agreement due to a lack of Available Tax Increment or failure to reimburse the Developer for the Qualifying Reimbursable Costs prior to the Termination Date shall not constitute an Event of Default under the Agreement or this Repayment Agreement. Section 6. Exclusive Obligation. This Repayment Agreement constitutes the sole and exclusive obligation of the Authority to make and the sole and exclusive right of the Developer to receive reimbursement for the Qualifying Reimbursable Costs. The Developer further acknowledges that it has no other or further remedy against the Authority to enforce collection thereof. 7. City's Right to Increment. (a) As of the date of the execution of this Repayment Agreement, the City and /or the Authority have applied to the State for DJG96577 CL160 -79 D -4 (b) If the proceeds of the Grant are less than $250,000, or if the Grant is not provided by the State, a Authority shl pay %r the'ublioprc�vnen,:�st d xt �f A ath r1ty increment .Sl~ the Grant and Aut .ri #y ZnereawA ' cvazb ne do not equal $1501'000..: the Authority and the City shall negotiate and enter into an agreement (the "Note ") for the reimbursement to the City in a principal amount equal to the difference between the amount of the Public Improvement Costs and the amount of the Grant, provided that such principal amount shall not exceed $250, 000. Such reimbursement may be made from tax increment generated by the Property and the Minimum Improvements, may include interest on the Public Improvement Costs of no more than 8.50% per annum, and may be payable on the same Payment Dates specified herein. The City or the Authority shall notify the Developer upon execution of the Note. (c) From the date that the Developer has been given notice that the Note has been executed until the date that the City has been fully reimbursed pursuant to the terms of the Note, Available Tax Increment shall not include any amounts necessary to reimburse the City pursuant to the terms of the Note. IN WITNESS WHEREOF, the parties have caused this Agreement to be executed in their names as of the date first above written. MEDTRnNTC, TNC Its By _ Its By — DJ096577 CL160 -79 D -5 HOUSING AND REDEVELOPMENT AUTHORITY OF COLUMBIA HEIGHTS to Its Chair Its Executive Director CITY OF COLUMBIA HEIGHTS By Its Manager By Its Mayor STATE OF MINNESOTA ) )ss. COUNTY OF ) The foregoing instrument was acknowledged before me this day of 199 , by_ and , the Chair and Secretary, respectively, of the Housing and Redevelopment Authority of Columbia Heights, Minnesota, a public body corporate and politic under the laws of the state of Minnesota, on behalf of the Authority. Notary Public DJG96577 CL160 -79 D -6 EXHIBIT A TO REPAYMENT AGREEMENT LEGAL DESCRIPTION OF PROPERTY Parcel 1: Tract B, Registered Land Survey No. 63, Anoka County, Minnesota Parcel 2: The north 3.6 Acres of Lots 7 and 8, AUDITOR'S SUBDIVISION NO. 51, Anoka County, Minnesota DJG96577 CL160 -79 D -7 EXHIBIT B TO REPAYMENT AGREEMENT The Qualifying Reimbursable costs A are as follows: Land Acquisition G dnt a -Piirking'Cdstg,,'-Lbtndscap�g.and.Park Costs DJG96577 CL160-79 D-8 Kennedy & Graven, Chartered A nth Draft A December 15, 1995. CONTRACT FOR PRIVATE DEVELOPMENT BY AND AMONG Deletion = Insertion THE HOUSING AND REDEVELOPMENT AUTHORITY OF COLUMBIA HEIGHTS, MINNESOTA, THE CITY OF COLUMBIA HEIGHTS, MINNESOTA AND MEDTRONIC, INC. This document was drafted by: KENNEDY & GRAVEN, Chartered 470 Pillsbury Center Minneapolis, MN 55402 DJG96577 CL160 -79 TABLE OF CONTENTS ARTICLE I Definitions Section 1.1. Definitions . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 Section 1.2. Exhibits . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Section 1.3. Rules of Interpretation . . . . . . . . . . . . . . . . . . . . 4 ARTICLE II Representations and Warranties Section 2.1. Representations by the Authority . . . . . . . . . . . . . . 5 Section 2.2. Representations by the City . . . . . . . . . . . . . . . . . . 5 Section 2.3. Representations by the Developer . . . . . . . . . . . . . . 6 ARTICLE III Acquisition and Conveyance of Property; Public Improvements Section 3.1. Conveyance of the Property . . . . . . . . . . . . . . . . . . 8 Section 3.2. Conditions Precedent to Conveyance . . . . . . . . . . . . . 8 Section 3.3. Cost of the Property; Time of Conveyances . . . . . . . . . 8 Section 3.4. Title . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 Section 3.5. Public Hearing Prior to Sale . . . . . . . . . . . . . . . . . . 10 Section 3.6. Soil Tests; Indemnity . . . . . . . . . . . . . . . . . . . . . 10 ARTICLE IV Construction of Minimum Improvements Section 4.1. Construction of the Minimum Improvements . . . . . . . . . 12 Section 4.2. Construction Plans . . . . . . . . . . . . . . . . . . . . . . 12 Section 4.3. Completion of Construction . . . . . . . . . . . . . . . . . . 12 Section 4.4. Certificate of Completion . . . . . . . . . . . . . . . . . . . 12 Section 4.5. Reconstruction of Minimum Improvements . . . . . . . . . . 13 Section 4.6. Use of Minimum Improvements . . . . . . . . . . . . . . . . . 13 ARTICLE V Public Assistance Section 5.1. Qualifying Reimbursable Costs . . . . . . . . . . . . . . . . 14 Section 5.2. Phase 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 Section 5.3. Repayment Agreement . . . . . . . . . . . . . . . . . . . . . 14 Section 5.4. Wage and Job Covenants . . . . . . . . . . . . . . . . . . . . 15 ARTICLE VI Insurance Section6.1. Insurance . . . . . . . . . . . . . . . . . . . . . . . . . . . 16 DJG96577 CL160 -79 i ARTICLE VII Use of Increment, Decertification of District Section 7.1. Use of Tax Increments . . . . . . . . . . . . . . . . . . . . 17 Section 7.2. Voluntary Decertification of TIF District . . . . . . . . . . . 17 Section 7.3. Future Developer Costs . . . . . . . . . . . . . . . . . . . . 17 ARTICLE VIII Prohibitions Against Assignment, Transfer and Encumbrances; Mortgage Section 8.1. Prohibition Against Transfer of Ownership Interest . . . . . . . . . . . . . . . 18 Section 8.2. Limitation Upon Encumbrance of Property . . . . . . . . . . 20 ARTICLE IX Events of Default Section 9.1. Events of Default Defined . . . . . . . . . . . . . . . . . . . Section 9.2. Remedies on Default . . . . . . . . . . . . . . . . . . . . . . Section 9.3. Revesting Interest in the Authority Upon Happening Section 10.3. of Event Subsequent to Conveyance to Developer . . . . . Section 9.4. No Remedy Exclusive . . . . . . . . . . . . . . . . . . . . . . Section 9.5. No Additional Waiver Implied by One Waiver . . . . . . . . . ARTICLE X Additional Provisions Section 10.1. Conflict of Interests; Representatives Not Individually Liable . . . . . . . . . . . . . . . . . . . . Section 10.2. Restrictions on Use . . . . . . . . . . . . . . . . . . . . . . Section 10.3. Notices and Demands . . . . . . . . . . . . . . . . . . . . . . Section 10.4. Disclaimer of Relationships . . . . . . . . . . . . . . . . . . Section 10.5. Modifications . . . . . . . . . . . . . . . . . . . . . . . . . . Section 10.6. Counterparts . . . . . . . . . . . . . . . . . . . . . . . . . . Section 10.7. Provisions Not Merged with Deed . . . . . . . . . . . . . . . Section 10.8. Release and Indemnification Covenants . . . . . . . . . . . SIGNATURES TESTIMONIALS EXHIBIT A PROPERTY LEGAL DESCRIPTION A EXHIBIT B FORM OF CERTIFICATE OF COMPLETION EXHIBIT C LIMITED WARRANTY DEED EXHIBIT D FORM OF REPAYMENT AGREEMENT DJG96577 CL160 -79 11 21 21 21 22 23 24 24 24 24 25 25 25 25 CONTRACT FOR PRIVATE REDEVELOPMENT THIS AGREEMENT is made this day of 199, by and among the HOUSING AND REDEVELOPMENT AUTHORITY OF COLUMBIA HEIGHTS, MINNESOTA, a public body corporate and politic under the laws of Minnesota (the "Authority "), the CITY OF COLUMBIA HEIGHTS, a home rule charter city and municipal corporation under the laws of Minnesota (the "City ") and MEDTRONIC, INC., a Minnesota corporation ( the "Developer ") . WITNESSETH: WHEREAS, the Authority established and operates the Central Business District Redevelopment Project (the "Project ") and the A 53rd Aven ue Tax Increment Financing District (the "A 53rd Avenue TIF District" or "TIF District ") ; and WHEREAS, the Authority has adopted a project plan (the "Downtown Central Business District Revitalization Plan" or "Project Plan ") and a tax increment financing plan (the TIF: Plan" or "TIF Plan ") authorizing the Authority to finance all or a portion of the public development and redevelopment costs of the A 53rd Avenue TIF District; and WHEREAS, the Developer has proposed a development within the A 53rd Avenue TIF District that the Authority and the City have determined will promote and carry out the objectives for which the Project and the A 53rd Avenue TIF District have been established, will assist in carrying out the objectives of the Project Plan and the TIF Plan, will be in the vital best interests of the Authority and the health, safety, and welfare of the residents of Columbia Heights, and is in accordance with the public purposes and provisions of the applicable state and local laws and requirements under which development in the Project has been established and is being assisted; and WHEREAS, in order to achieve the objectives of the Project Plan and the TIF Plan, the Authority has determined to provide aid and assistance to the Developer in the form of a land write down and reimbursement for specified costs incurred by the Developer; and NOW, THEREFORE, in consideration of the mutual covenants and obligations of the Authority, the City and the Developer, each party does hereby represent, covenant and agree with the other as follows: DJG96577 CL160 -79 ARTICLE I Definitions Section 1.1. Definitions. In this Agreement, the following terms shall have the meanings given to them unless a different meaning clearly appears from the context: "Administrative Expenses" means all expenditures of the Authority other than amounts paid for the purchase of land or amounts paid to contractors or others providing materials and services, including architectural and engineering services, directly connected with the physical development of the Property, relocation benefits paid to or services provided for persons residing or businesses located in the Project, or amounts used to pay interest on, fund a reserve for, or sell at a discount bonds issued pursuant to the TIF Act. "Administrative Expenses" includes amounts paid for services provided by bond counsel, fiscal consultants, and planning or economic development consultants. "Agreement" means this Contract for Private Development, as the same may be from time to time modified, amended, or supplemented. "Available Tax Increment" means eighty percent (80 %) of the tax increment paid to the Authority A regarding the Minimum Improvements and Phase 2 in the six months prior to each Payment Date (as defined in the Repayment Agreement), but does not include;:.. tax increment paid to the Authority during the term of the Note described in Section 7(c) of the Re-oavment Agreement: or .taxes attributohle to "Authority" means the Housing and Redevelopment Authority of Columbia Heights, a public body corporate and politic under the laws of Minnesota. "City" means the City of Columbia Heights, a home rule charter city and municipal corporation under the laws of Minnesota. "Construction Plans" means the A elevaif6n drawings and related documents regarding construction of the Minimum Improvements A by the Developer on the Property. A "County" means Anoka County, Minnesota. "Developer" means Medtronic, Inc, a Minnesota corporation. "Housing and Redevelopment Authorities Act" or "HRA Act" means Minnesota Statutes, sections 469.001 through 469.047, as amended. "Minimum Improvements" means the improvements described in the Construction Plans, consisting generally of the construction of an approximately 60,000 sq. ft. addition to an existing manufacturing facility on Parcel 1 pr .eparati.o DJG96577 CL160 -79 farGe1 '2 fir constrUP: ction of Phase ;2. After construction of the Minimum Improvements, the term means the Property as improved by the existing manufacturing facility and the Minimum Improvements. "Parcel 1" means the real property described at Exhibit A -1 attached hereto. "Parcel 2" means the real property described at Exhibit A -2 attached hereto. "Phase 2" means the construction of an approximately 60,000 square foot manufacturing facility in addition to the Minimum Improvements, and :6 the zmpr� veme is oxz the Property. . "Project" means the Central Business District Redevelopment Project in which the A 53rd.'Avenupe TIF District is located. The Project was established on August 28, 1989. Plan. "Project Plan" means the Downtown Central Business District Revitalization "Property" means Parcel 1 and Parcel 2, collectively. "Property Deed" means the limited warranty claim deed by which the Authority will convey Parcel 1 to the Developer. The form of the limited warranty deed is attached hereto as Exhibit C. _ .... "SGhao� District" means sehoo� distract No. 13i "State" means the State of Minnesota. "Tax Increment Act" or "TIF Act" means Minnesota Statutes, sections 469.174 through 469.179, as amended. "Tax Increment Financing District," "TIF District," or "A 53rd Avenue TIF District" means the Authority's A 53rd ,A,venue Tax Increment Financing District. "Tax Increment Financing Plan" or "n a3rd'Avenue. TIF Plan" means the Plan adopted by the Authority to guide development in the % 53rd AvIehue TIF District. .... ............................. .... ............................... "Tax Official" means any city or county assessor; county auditor; city, county or state board of equalization, the Commissioner of Revenue of the State, any state or federal district court, the Tax Court of the State, or the State Supreme Court. "Termination Date" means the A earliest of: February 1, 2007; the date on which the Qualifying Reimbursable Costs, together with accrued interest thereon, have been fully paid in accordance with the terms of the Repayment Agreement attached hereto as Exhibit D; or the A date on which the Developer provides the City and the Authority with a Termination Notice. DJG96577 CL160 -79 3 "Termination Notice" means a written notice provided by the Developer to the City and the Authority relinquishing any right the Developer has to receive Available Tax Increment. "Unavoidable Delays" means delays that are the A result of acts of God; A adverse weather conditions; fire or other casualty to the Minimum Improvements; litigation commenced by third parties which, by injunction or other similar judicial action causes delays; acts of any federal, state or local governmental unit (other than the Authority or the City in enforcing their rights under this Agreement); CtJYi Vac or, Authority,) or City defaults as to the Developer's delays, Developer defaults as to the City's or Authority's delays, or other matters which are not within the reasonable control of the Developer as to the Developer's delays or not within the reasogab1Q control of the Authority or the City as to A their delays . Section 1.2 . Exhibits. The following exhibits are attached to and by reference made a part of this Agreement: A . Legal Description of the Property A B - Form of Certificate of Completion A C'. Form of Property Deed A Form of Repayment Agreement Section 1.3. Rules of Interpretation. (a) This Agreement shall be interpreted in accordance with and governed by the laws of Minnesota. (b) The words "herein" and "hereof" and words of similar import, without reference to any particular section or subdivision refer to this Agreement as a whole rather than any particular section or subdivision hereof. (c) References herein to any particular section or subdivision hereof are to the section or subdivision of this Agreement as originally executed. (d) Any titles of the several parts, articles and sections of this Agreement are inserted for convenience and reference only and shall be disregarded in construing or interpreting any of its provisions. DJG96577 CL160 -79 4 ARTICLE II Representations and Warranties Section 2.1. Representations by the Authority. The Authority makes the following representations as the basis for the undertakings on its part contained herein: (a) The Authority is a Housing and Redevelopment Authority, a public body corporate and politic under the laws of Minnesota. (b) The Authority has the right, power and authority to execute, deliver and perform its obligations according to this Agreement and all other documents to be executed by the Authority pursuant hereto. The Authority assures the City and the Developer that the individuals who execute this Agreement and all other documents executed by the Authority or on behalf of the Authority are duly authorized to sign the same on behalf of the Authority and to bind the Authority thereto. (c) The A 53rd Avenue Tax Increment District is an economic development tax increment financing district,! approved on December 18,-1,995. (d) Assuming A use of the Property as described; in Section 4.6 of this Agreement, the assistance provided by the Authority hereunder complies with Section 469.176, subd . 4(c) of the TIF Act. Section 2.2. Representations by the City. The City makes the following representations as the basis for the undertakings on its part contained herein: (a) The City is a home rule charter city and municipal corporation under the laws of Minnesota. (b) The City has the right, power and authority to execute, deliver and perform its obligations according to this Agreement or all other documents to be DJG96577 CL160-79 executed by the City pursuant hereto. The City assures the Authority and the Developer that the individuals who execute this Agreement or all other documents executed by the City or on behalf of the City are duly authorized to sign the same on behalf of the City and to bind the City thereto. (c) The City is the fee owner of Parcel 2. Section 2.3. Representations by the Developer. The Developer makes the following representations as the basis for the undertakings on its part contained herein: (a) The Developer is a Minnesota corporation. (b) The Developer has the right, power and authority to execute, deliver and perform its obligations according to this Agreement and all other documents to be executed by the Developer pursuant thereto. The Developer assures the City and the Authority that the individuals who execute this Agreement and all other documents executed by the Developer or on behalf of the Developer are duly authorized to sign the same on behalf of the Developer and to bind the Developer thereto. (c) The Developer will construct the Minimum Improvements , and will do so in accordance with the terms of this Agreement, the Project Plan, the TIF Plan and all local, state and federal laws and zoning, building code, public health laws, and all applicable local, state or federal energy conservation laws or regulations. (d) The Developer has funds or has obtained financing in an amount sufficient to finance construction of the Minimum Improvements. (e) The Developer has received no notice or communication from any local, state or federal official that the activities of the Developer, the City, or the Authority in the TIF District A or on the Property may be or will be in violation of any environmental law or regulation. The Developer is aware of no facts the existence of which would cause it to be in violation of any local, state or federal environmental law, regulation or review procedure. In the event that the City or the DJG96577 CL160 -79 Authority is required to take any action to obtain any necessary permits or approvals with respect to the Minimum Improvements or the Property under any local, state or federal environmental law or regulation, the Developer will cooperate with the City or the Authority in connection with such action. (f) Neither the execution and delivery of this Agreement, the consummation of the transactions contemplated hereby, nor the fulfillment of or compliance with the terms and conditions of this Agreement is prevented, limited by or conflicts with or results in a breach of, the terms, conditions or provisions of any restriction or any evidences of indebtedness, agreement or instrument of whatever nature to which the Developer is now a party or by which it is bound, or constitutes a default under any of the foregoing. (g) The proposed redevelopment of the Property, including construction of the Minimum Improvements, would not occur but for the tax increment financing assistance being provided by the Authority hereunder. DJG96577 CL160 -79 ARTICLE III Acquisition and Conveyance of Property; Public Improvements Section 3.1. Conveyance of the Property. (a) The Developer is the fee owner of Parcel 1. (b) The City agrees to convey title to Parcel 2 to the Authority and the Authority agrees to convey title to Parcel 2 to the Developer if, A all conditions precedent to performance by the City and the Authority set forth in Section:: 3 144, of t us F1gre+ mexat have been satisfied. Until tie Terminat n Daate j the Authority shall convey title and possession of Parcel 2 to the Developer under the Property Deed. The conveyance of Parcel 2 and the Developer's use of the Property shall be subject to all of the conditions, covenants, restrictions, and limitations imposed by this Agreement, the HRA Act, and the Property Deed. The conveyance of title to Parcel 2 and the Developer's use of the Property shall also be subject to building and zoning laws and ordinances and all other local, state and federal laws and regulation. Section 3.2 . Conditions Precedent to Conveyance. Notwithstanding anything herein to the contrary, the Authority shall not be obligated to convey Parcel 2 to the Developer until the following conditions precedent have been satisfied: (a) the Authority has obtained title to Parcel 2; (b) the Authority has determined that the sale of Parcel 2 is advisable, following the public hearing required by the HRA Act; A ................ ............................... (c) the Developer has submitted evidence of i �tern,al or other financing of the Minimum Improvements acceptable to the Authority; (d) The Developer has,l' concurrent wl: deliv.ery of the Property De ,d,, deposited with the Authority the amount of $360,000, which amount represents the cost to the Authority of acquiring Parcel 2; (e) there has been no Event of Default on the part of the Developer; and (f) conversion of Parcel 2 to private nonrecreational use has been approved by all appropriate state and federal authorities. If all conditions precedent in this Article III of this' Agreement. have been satisfied, the Developer agrees to purchase Parcel 2 from the Authority. Section 3.3. Cost of the Property; Time of Conveyances. The Authority agrees to purchase Parcel 2 from the City for $360,000, payable at closing. (b) The Developer agrees to pay the Authority $360,000 for Parcel 2 at closing. Subject to satisfaction of all of the terms and conditions contained in this Agreement which must be satisfied prior to the Authority's conveyance of the Property to the Developer, closinL on Parcel 2 shall occur A bromntly after title has DJG96577 CL160 -79 8 mutually agreed upon in writing. The Developer shall have possession of Parcel 2 upon closing. Closing shall be at the offices of the Authority. The Property Deed shall be in recordable form and shall be promptly recorded in the proper office for the recordation of deeds and other instruments pertaining to the Property. The Developer shall pay all recording costs, including State Deed Tax, in connection with the acquisition and conveyance of Parcel 2, title commitment and premium fees, and any title closing fees. The Authority and the Developer agree to pro rate any real estate taxes due and payable in 1996 as of the date of closing. The Developer agrees A that real estate taxes due and navable in the vear after closinz and thereafter Section 3.4. Title. (a)A The Authority shall obtain and furnish to the Developer a commitment for the issuance of a policy of title insurance for Parcel 2. The Developer shall have ten (10) days from the date of its receipt of such commitment and an 'ALT,A }AS survey of'Parcel 2 to review the state of title to Parcel 2 and to provide the Authority with a list of written objections to such title, whi h mag cl iff ax�y lack a£ canfl 'ty' with' Parcel . Upon receipt of the 11 Developer's list of written ... bjections, the Authority shall proceed in good faith and with all due diligence to attempt to cure the objections made by the Developer. Not earlier than eleven days following the date the Developer shall have received a commitment for the issuance of a policy of title insurance for Parcel 2 from the Authority, in the event the Developer shall have provided the Developer with a list of written objections, within ten (10) days after the date that all such objections have been cured to the reasonable satisfaction of the Developer, the Authority and Developer shall proceed with the acquisition and conveyance of Parcel 2 pursuant to Sections 3.1 and 3.2 of this Agreement. In the event that the Authority has failed to cure objections within sixty (60) days after its receipt of the Developer's list of such objections, either the Developer or the Authority may by the giving of written notice to the other, terminate this Agreement, upon the receipt of which this Agreement shall be null and void and neither party shall have any liability hereunder. The Authority shall have no obligation to take any action to clear defects in the title to Parcel 2. It' is a condition to'Develoxaer's obliatiart to x�trehase (b) The Authority shall take no actions to encumber title to Parcel 2 between the time the Authority acquires Parcel 2 and the time which the Deed is delivered to the Developer. DJG96577 CL160 -79 9 Section 3.5. Public Hearing Prior to Sale. (a) The City's obligation to sell Parcel 2 to the Authority is contingent upon compliance by the City with the terms and conditions of its home rule charter regarding the sale of public land. The City agrees to hold the necessary hearings and readings on an ordinance authorizing sale of Parcel 2 to the Authority. Notwithstanding anything herein to the contrary, the determination to sell Parcel 2 to the Authority shall be in the sole discretion of the City. (b) The Authority's obligation to reconvey Parcel 2 to the Developer is subject to compliance with the provisions of the HRA Act regarding the notice of sale, hearing and findings required for conveyance of real property. The Authority agrees to initiate the process to call for the required hearing and shall pursue same with due diligence. Notwithstanding anything herein to the contrary, the determination to sell Parcel 2 to the Developer shall be in the sole discretion of the Authority. Section 3.6. A A�resontAtioh. (a) The City and the Authority represent and warrant to the Developer that while the City or the Authority had legal title to Parcel 2, no toxic or hazardous substances or wastes, pollutants or contaminants (including, without limitation, asbestos, urea formaldehyde, the group of organic compounds known as polychlorinated biphenyls, petroleum products including gasoline, fuel oil, crude oil and various constituents of such products, and any hazardous substances as defined in the Comprehensive Environmental Response, Compensation and Liability Act of 1980 ( "CERCLA") (42 U.S.C. §§ 9601 -9657, as amended), have been generated, treated, stored, released or disposed of, or otherwise placed, deposited in or located on Parcel 2 by the City or the Authority. The City and the Authority have not, while the City or the Authority had legal title to Parcel 2, undertaken any activity on Parcel 2 that would cause (i) Parcel 2, to become a treatment, storage or disposal facility within the meaning of, or otherwise bring the Property within the ambit of, the Resource Conservation and Recovery Act of 1976 ("RCRA") , 42 U.S.C. § 6901 et seq. , or any similar state law or local ordinance, (ii) a release or threatened release of toxic or hazardous wastes or substances, pollutants or contaminants, from Parcel 2 within the meaning of, or otherwise bring Parcel 2 within the ambit of, CERCLA, or any similar state law or local ordinance, or (iii) the discharge of pollutants or effluents into any water source or system, the dredging or filling of any waters or the discharge into the air of any emissions, that would require a permit under the Federal Water Pollution Control Act, 33 U.S. C . § 1251 et seq. , or the Clean Air Act, 42 U.S. C . § 7401 et sec.. , or any similar state law or local ordinance. The City and the Authority have not caused, while the City or the Authority had legal title to Parcel 2, any substances or conditions in or on Parcel 2 that may support a claim or cause of action under RCRA, CERCLA or any other federal, state or local environmental statutes, regulations, ordinances or other environmental regulatory requirements, including without limitation, the Minnesota Environmental Response and Liability Act, Minnesota Statutes, Chapter 115B ( "MERLA") and the Minnesota Petroleum and Release Cleanup Act, Minnesota Statutes, Chapter 115C. The City and the Authority have not caused, while the City or the Authority had legal title to Parcel 2, any above ground or underground tanks to be located in or about Parcel 2 and have subsequently been removed or filled while the City or the Authority had legal title to the Property. Neither the City nor the Authority has caused, while the City or the Authority had legal title to Parcel 2, any environmental inspections, tests or reports to have been made or prepared in connection with the PropertvA. The. DJG96577 CL160 -79 10 (b) Except as provided in Section 3.6(c) of this Agreement, neither the City nor the Authority makes any representations to the Developer regarding the soil conditions on the Property or the suitability of the Property for use by the Developer for construction of the Minimum Improvements. (d) After closing, regardless of the whether the Developer has availed itself of the right to conduct tests under Section 3.6(c) of this Agreement, neither the City nor the Authority shall have any obligation or liability to the Developer for any defect or unsuitability with respect to the soil conditions or the presence of any pollution, contamination, or hazardous substances on the Property excexat f6r Ahv l ne ueveloper agrees to indemnify and hold harmless the City and the Authority, their officers, agents and employees, against any claims or actions from the Developer or any third party regarding the soils or the presence of any pollution, contamination or hazardous substances on Parcel 1, The Developer agrees to 1 .11.1 ._ . ... DJG96577 CL160 -79 11 ARTICLE IV Construction of Minimum Improvements Section 4.1. Construction of the Minimum Improvements. Subject to the terms and conditions of this Agreement, the Developer agrees that it will construct the Minimum Improvements in accordance with the Construction Plans which Minimum Improvements shall coil i.st +:f approxizmately 60, (4tl sq zare feet of grass florae area: Subject to Unavoidable Delays, the Minimum Improvements will be completed by no later than) due 30, 187. The Developer agrees to maintain, preserve and keep the Minimum Improvements in good repair and condition, subject to reasonable wear and tear and casualty excepted, A until the Termination Date. Nothing in this Agreement shall be construed to exempt the Developer from the need to obtain the necessary building and other permits ordinarily required prior to commencement of construction and to construct the Minimum Improvements in compliance with all codes, regulations and ordinances related to construction. Section 4.2. Construction Plans. (a) A The Developer has submitted to the City and the Authority for their approval elevation drawings A of the proposed Minimum Improvements/. The City and the Authority A have reviewed: these el vation drawings A and determined', A that such A dra Win : gs are acceptable. A (b) A If the Developer desires to make any change in the Construction Plans A which would also require review or approval under any applicable code, ordinance or regulation, the Developer shall submit the proposed change to the City and the Authoritv for their approval. If the Construction Plans, as modified by the iipprovemems, ;ana (a) coninrm : to the Mate A the Uity ana the Authority shall approve the proposed change and notify the Developer in writing of their approval. Such change in the Construction Plans shall, in any event, be deemed approved by the City and the Authority unless rejected, in whole or in part, by written notice by the City or the Authority to the Developer, setting forth in detail the reasons therefor. Such rejection shall be made within ten (10) days after receipt of the notice of such change. Section 4.3. Completion of Construction. All work with respect to the Minimum Improvements to be constructed or provided by the Developer shall be in subsfiatlal conformity with the Construction Plans as submitted by the Developer and approved by the City and the Authority. Subsequent to approval of the Construction Plans by the City and the Authority, and until construction of the Minimum Improvements has been completed, the Developer shall make reports, in such detail and at such times as may reasonably be requested by the Authority, as to the actual progress of the Developer with respect to such construction. Section 4.4. Certificate of Completion. (a) Promptly after substantial completion of the Minimum Improvements in accordance with the Construction Plans and all terms of this Agreement, the Authority agrees to furnish the Developer with a Certificate of Completion in the form of Exhibit B hereto. Such certification by the Authority shall be a conclusive determination of satisfaction and termination of the agreements and covenants in this Agreement with respect to the obligations of the DJG96577 CL160 -79 12 Developer to construct the Minimum Improvements and the dates for the beginning and completion thereof. (b) The Certificate of Completion provided for in this Section 4.4 shall be in such form as will enable it to be recorded in the proper office in the County for the recordation of deeds and other instruments pertaining to the Property. If the Authority shall refuse or fail to provide certification in accordance with the provisions of this Section 4.4, the Authority shall, within thirty (30) days after written request by the Developer, provide the Developer with a written statement, indicating in adequate detail in what respects the Developer has failed to substantially complete the Minimum Improvements in accordance with the provisions of the Agreement, or is otherwise in default, and what measures or acts it will be necessary, in the opinion of the Authority, for the Developer to take or perform in order to obtain such certification. (c) The Minimum Improvements will be deemed to be substantially completed when the Developer has received or zs! entitled taxeceive a certificate of occupancy from the City's building official/. Section 4.5. Reconstruction of Minimum Improvements. If the Minimum Improvements are damaged or destroyed before or after completion thereof, but before the Termination Date. anti the'De.velober oes >not ,oro .ide the Cit'V' and the destrubtioi the Developer agrees, for itself and its successors and assigns, to .. reconstruct the Minimum Improvements in accordance with the Construction Plans, or such modifications thereto as may be requested by the Developer and approved by the City and the Authority A The Developer shall have no A obligation to reconstruct the :m m �rn Improvements under this Section 4.5 after the Termination bate brovided however. >that :ths Developer sha11 net bs entitled to anv further Section 4.6. Use of Minimum Improvements. Prior to the Termination Date, the Developer shall not use more than 15%, on a square footage basis, of the Minimum Improvements and any other improvements constructed on the Property for a purpose other than: (a) the manufacturing or production of tangible personal property, including processing resulting in the change in condition of the property; (b) warehousing, storage, and distribution of tangible personal property, excluding retail sales; (c) research and development related to the activities listed in clause (a) and (b); (d) telemarketing if that activity is the exclusive use of the property; (e) space necessary for and related to the activities listed in clauses (a) to (d) . DJG96577 CL160 -79 13 ARTICLE V Public Assistance Section 5.1. Qualifying Reimbursable Costs. The Authority agrees to utilize Available Tax Increment to reimburse the Developer for the Qualifying Reimbursable Costs, with interest on such costs at the rate of 8.50% per annum, said interest commencing to accrue when such costs are incurred and paid by Developer. Reimbursement of these costs shall be made solely in accordance with the terms of this Agreement and the Repayment Agreement. Section 5.2. Phase 2. (a) If the De n elects to construct Phase 2 A (b) The parties understand and acknowledge that: (i) the Developer has no obligation to construct Phase 2; (ii) the parties have no adequate way to determine the amount, if any, of tax increment that will be generated by Phase 2; and (iii) the amount of Available Tax Increment available to reimburse the Developer is contingent, in part, on whether Phase 2 is constructed, the market value assigned to Phase 2 for tax purposes, whether Phase 2 is constructed in a timely fashion pursuant to Minnesota Statutes, section 469.176, subd. 6, and whether, pursuant to Minnesota Statutes, section 469.1763, costs pertaining to Phase 2 are incurred within 5 years of the TIF District's certification. _._ Section 5.3. Repayment Agreement. (a) A Concurrent with the execution aid c e# ve?°y of ;!teas ,greeme t, the Authority and the Developer shall execute a Repayment Agreement in substantially the form similar to the one attached hereto as Exhibit D. By the terms of the Repayment Agreement, the Authority will agree to reimburse the Developer for the Qualifying Reimbursable Costs out of Available Tax Increment. (b) The Developer understands that, pursuant to the Repayment Agreement, its right to receive Available Tax Increment is subordinate to the City's right to receive Available Tax Increment as reimbursement for the City's cost of making certain public improvements under certain conditions. (c) The Developer understands and acknowledges that the Available Tax Increment may not be sufficient to reimburse the Developer for any or all of the Qualifying Reimbursable Costs. It shall not be an Event of Default if, in any year or in all years prior to the Termination Date, there is insufficient Available Tax Increment to reimburse the Developer for any or all of the Qualified Reimbursable DJG96577 CL160 -79 14 Costs. The Developer agrees and understands that Available Tax Increment is subject to variation in class rates, local tax rates, method of calculation by Anoka County, and may vary from amounts estimated as of the date of this Agreement. Without limitation of the foregoing, the Developer further agrees and understands that the amount of Available Tax Increment may decrease if the Minimum Improvements or Phase 2 are constructed within a "transit zone" as defined by Minnesota Statutes, section 473.3915 and therefore taxed at a lower rate pursuant to Minnesota Statutes, section 273.13, subd. 24(c) . (d) A As a condition precedent to the Authority being obligated to pay the Developer under the Repayment Agreement, the Developer agrees to submit evidence to the Authoritv reeardinLr A the Oualifvino Reimbursable Costs actually fr curred submission: shall not be a:; condition;;prec dent. The Authority's obligation for reimbursing the Qualifying Reimbursable Costs shall be a revenue obligation payable solely from Available Tax Increment. The Authority's obligation to the Developer shall not exceed the amount of Available Tax Increment, or the amount of Qualifying Reimbursable Costs incurred and paid by the Developer, whichever is less. Section 5.4. Wage and Job Covenants. (a) A Within the period;ct�nirriencing an the date hereof axzd ehdiang two years after the /� first date on which the Developer receives from the Authority any payment pursuant to this Agreement, the Developer shall cause to be created at the A Property at least 50 new jobs with wanes of at least $10.00 per hour. Develox�er's obl tits hs hereunder s.ha11 be. ssntence of th�€s Sbctian 5 4'(a) , any jobs relocated to the Minimum Improvements from the Developer's operations elsewhere in the State shall not be counted toward the 50 required new jobs. The Developer shall submit to the Authority a written report by April 1 of each year after completion of the Minimum Improvements describing employment and wages in sufficient detail to enable the Authority to determine compliance with this Section. (b) If the Developer fails to comply with any of the terms of the first senfience 4 Section 5.4 (a) , the Developer shall, tp the extent required by IaGV x repay to the Authority upon written demand from the Authority any payments disbursed by the Authority to the Developer pursuant to A the Repayment Agreement. Nothing in this Section shall be construed to limit any other remedy available to the City or the Authority pursuant to this Agreement. (c) The Developer A presently expects to create, aver the five year'perit3 fc�iiv ing arn�pl01.4on 4£ fih Minxnurn ImpxQ emenis? 200 new jobs at the Minimum Improvements in addition to the 50 jobs it is obligated to create pursuant to Section 5.4(a); provided, such additional job creation isinot xtended fio'be axid shall not /� constitute a "goal" within the meaning of Minnesota Statutes, seeItion 116J.991A. DJG96577 CL160 -79 15 ARTICLE VI A L and GMs. ARTICLE VII Use a=d Payment of Increment A Section 7.1. Use of Tax Increments. (a) Except for its obligations under this Agreement €end the Repayment Agreement regarding Available Tax Increment, the Authority and City shall be free to use any tax increment received from the Property or the Minimum Improvements for any purpose for which such increment may lawfully be used, pursuant to the provisions of Minnesota law, and the Authority shall have no obligations to the Developer with respect to the use of such increment. (b) The City and the Authority shall, 'to the extent uh ntn is a Vaal ablei Uu e Authority ,n remeut A to pay for public improvements required as the direct result of construction of the Minimum Improvements out of tax increment generated by the Property and the Minimum Improvements. The City's obligation under this Section 7.1(b) shall not apply to the /Public /improvement CoStg A (as defined in the Repayment Agreement). Nothing in this Section 7.1(b) shall be construed to limit the legislative discretion of the City or the Authority. Section 7.2. Voluntary Termination of Right to Available Tax Increment. (a) At any time after the Developer's receipt of the Certificate of Completion, the Developer may submit a Termination Notice to the Authority and the City. The Payment Date (as defined in the Repayment Agreement) immediately following the receipt by the City and the Authority of such Termination Notice shall become the Termination Date. (b) Nothing in this Section 7.2 shall obligate the City or the Authority to decertify the TIF District upon receipt of the Termination Notice e limit the j3ev eloper t, rights undexI'S;eotioa X1.6 of thin Agreement. DJG96577 CL160 -79 17 ARTICLE VIII Prohibitions Against Assignment, Transfer, and Encumbrances; Mortgage Section 8.1. Prohibition Against Transfer of Ownership Interests. (a) The Developer represents and agrees that its use of A Pare el 2i, and its other undertakings pursuant to the Agreement, are, and will be used, for the purpose of redevelopment of the Property and not for speculation in land holding. The Developer further recognizes that, in view of (a) the importance of the redevelopment of the Property to the general welfare of the City and the Authority; (b) the substantial assistance that has been made available by the Authority for the purpose of making such development possible; and (c) the limitations imposed by the HRA Act, any act or transaction involving or resulting in a significant change in the identity of the Developer is of particular concern to the City and the Authority. The Developer further recognizes that it is because of such qualifications and identity that the City and the Authority and entering into the Agreement with the Developer, and, in so doing, are further willing to accept and rely on the Developer for the faithful performance of all its undertakings and covenants. (b) The Developer represents and agrees that, until earlier a the date c£ issuance of, or the date the Developer is entitled:: t0,! the Certificate of Completion: (i) Except only by way of security for, and only for, the purpose of obtaining financing necessary to enable the Developer or any successor in interest to the Property, or any part thereof, to perform its obligations with respect to making the Minimum Improvements under this Agreement, and any other purpose authorized by this Agreement, the Developer has not made or created and will not make or create or suffer to be made or created any total or partial sale, assignment, conveyance, or lease, or any trust or power, or transfer in any other mode or form of or with respect to the Agreement or A Parcel„ 2 or any part thereof or any interest therein, or any contract or agreement to do any of the same, without the prior written approval of the Authority unless the Developer remains liable and bound by this Agreement in which event the Authority's approval is not required. Any such transfer shall be subject to the provisions of this Agreement. (ii) In the event the Developer, upon transfer or assignment of A Pargel or any portion thereof, seeks to be released from its obligations under this Agreement as to the portion/ of A Parcel ..2 that is transferred or assigned, the Authority and City shall be entitled to require, except as otherwise provided in the Agreement, as conditions to any such release that: (A) Any proposed transferee shall have the qualifications and financial responsibility, in the reasonable judgment of the Authority and City, necessary and adequate to fulfill the obligations undertaken in this Agreement by the Developer as to the portion of n Parce.t.2 to be transferred. (B) Any proposed transferee, by instrument in writing satisfactory to the Authority and in form recordable among the land records, shall, for itself and its successors and assigns, and expressly for the benefit of the Authority and City, have expressly assumed all of the obligations of the Developer under this Agreement as to the DJG96577 CL160 -79 18 portion of n Paxeel 2 to be transferred and agreed to be subject to all the conditions and restrictions to which the Developer is subject as to such portion; provided, however, that the fact that any transferee of, or any other successor in interest whatsoever to A Pare.01:2. or any part thereof, shall not, for whatever reason, have assumed such obligations or so agreed, and shall not (unless and only to the extent otherwise specifically provided in this Agreement or agreed to in writing by the Authority and the City) deprive the Authority A or th0. City of any rights or remedies or controls with respect to the Property or any part thereof or the construction of the Minimum Improvements; it being the intent of the parties as expressed in this Agreement that (to the fullest extent permitted at law and in equity and excepting only in the manner and to the extent specifically provided otherwise in this Agreement) no transfer of, or change with respect to, ownership in the Property or any part thereof, or any interest therein, however consummated or occurring, and whether voluntary or involuntary, shall operate, legally or practically, to deprive or limit the Authority of or with respect to any rights or remedies on controls provided in or resulting from this Agreement with respect to the Minimum Improvements that the Authority would have had, had there been no such transfer or change. In the absence of specific written agreement by the Authority and the City to the contrary, no such transfer or approval by the Authority and the City thereof shall be deemed to relieve the Developer, or any other party bound in any way by this Agreement, from any of its obligations with respect thereto. (C) Any and all instruments and other legal documents involved in effecting the transfer of any interest in this Agreement or A Parcel shall be in a form reasonably satisfactory to the Authority and the City. In the event the foregoing conditions are satisfied then the Developer shall be released from its obligation under this Agreement, as to the portion of the Property that is transferred, assigned or otherwise conveyed. After issuance of the Certificate of Completion for the Minimum Improvements, the Developer may transfer or assign any portion of the Property or the Developer's interest in this Agreement without the prior written consent of the City or the Authority, provided that the transferee or assignee is bound by all the Developer's obligations hereunder. The Developer shall submit to the Authority written evidence of any such transfer or assignment, including the transferee or assignee's express assumption of the Developer's obligations under this Agreement. A Until the Developer A provides such evidence of transfer and assumption, the Developer shall remain bound by all its obligations under this Agreement. DJG96577 CL160 -79 19 Section 8.2. Limitation Upon Encumbrance of Property. Prior to the issuance of the Certificate of Completion, the Developer shall not engage in any financing or any other transaction creating any mortgage or other encumbrance or lien upon A POrp6l 2, whether by express agreement or operation of law, or suffer any encumbrance or lien to be made on or attached to A Pa I rce�. 2 other than the liens or encumbrances attached for the purposes of obtaining funds to the extent necessary for making and financing the Minimum Improvements, without the prior written approval of the Authoritv and the Citv. This Avreement and all d thc� r�ctl�f c�€ th! DJG96577 CL160 -79 20 ARTICLE IX Events of Default Section 9.1. Events of Default Defined. The following shall be deemed Events of Default under this Agreement and the term shall mean, whenever it is used in this Agreement, unless the context otherwise provides, any one or more of the following events: (a) Failure by the Developer to complete construction of the Minimum Improvements in a timelv manner, nrOvided!.that, before an .Event of Defaulti under (b) Failure by the City, the Authority, or the Developer to pay when due the payments required to be made under any provision of this Agreement; or (c) Failure by the City, the Authority, or the Developer to observe or substantially perform any covenant, condition, obligation or agreement on its or their parts to be observed or performed hereunder. Section 9.2. Remedies on Default. Whenever any Event of Default occurs, the non - defaulting party may take any one or more of the following actions, but not before giving 30 days' written notice and opportunity to cure to the defaulting party: (a) suspend its performance under this Agreement and the Repayment Agreement until it receives assurances from the defaulting party, deemed reasonably adequate by the non - defaulting party, that the defaulting party will cure its default and continue its performance under this Agreement and the Repayment Agreement; (b) cancel or rescind this Agreement; (c) A take whatever action at law or in equity may appear necessary or desirable to the non - defaulting party to collect any payments due under this Agreement, or to enforce performance and observance of any obligation, agreement, or covenant of the defaulting party under this Agreement. A Prvwad .d that in any event, the Authority may withhold the Certificate of _.. Completion Section 9.3. Revesting Interest in the Authority Upon Happening of Event Subsequent to Conveyance to Developer. In the event that subsequent to the closing on A Parcel: 2 and prior to the issuance of a Certificate of Completion: (a) The Developer, after commencement of the construction of the Minimum Improvements, defaults in or violates its obligations with respect to the construction of the Minimum Improvements (including the nature and the date for the completion thereof) n yr abandons oQnstxuctican of t Ze 'Minim uxn :such ; or DJG96577 CL160 -79 21 (b) The Developer fails to pay real estate taxes or assessments on A Pareel when due, or places thereon any encumbrance or lien unauthorized by this Agreement, or suffers any levy or attachment to be made, or any materialmen's or mechanics' lien, or any other unauthorized encumbrance or lien to attach, and such taxes or assessments shall not have been paid, or the encumbrance or lien removed or discharged or provision satisfactory to the Authority made for such payment, removal, or discharge, within 30 days after written demand by the Authority to do so; provided, that if the Developer shall first notify the Authority of its intention to do so, it may in good faith contest any mechanics' or other lien to remain undischarged and unsatisfied during the period of such contest and any appeal, but only if the Developer provides the Authority with a bank letter of credit or other security in the amount of the lien, in a form satisfactory to the Authority pursuant to which the bank will pay to the Authority the amount of any lien in the event the lien is finally determined to be valid or, as an alternative to such forms of security, has made a deposit with the district court in the manner provided in Minnesota Statutes, section 514.10. During the course of such contest the Developer shall keep the Authority informed respecting the status of such defense; or (c) There is, in violation of this Agreement, any transfer of A Parcel 2 or any part thereof; A then the Authority shall have the right to re -enter and take possession of Parcel 2 and to terminate and revest in the Authority the interest of the Developer in Parcel 2; provided, however, that any exercise by the Authority of its rights or remedies hereunder shall always be subject to and limited by, and shall not defeat, render invalid or limit in any way the lien of any mortgage authorized by this Agreement or any rights or interests provided in this Agreement for the protection of the holders of a mortgage. Upon the revesting in the Authority as provided in this Section 9.3, the Authority shall, pursuant to its responsibilities under law, use its best efforts to resell Parcel 2 or any part thereof in such manner as the Authority shall find feasible and consistent with the objectives of law and in such a manner as to maximize the net broceeds of the sale. Neither the City nor, the Authorit rn€ y permanently. to, $Ac p rehase Upon A resale of Parcel 2, the proceeds shall be usea rirsi to 1. reimburse the Authority for its costs and expenses incurred in the revestiture and sale, and then to satisfy any liens or encumbrances placed on the Property, and then to return to the Developer its purchase price of Parcel 2. If tYte aright to reves 11 Section 9.4. No Remedy Exclusive. No remedy herein conferred upon or reserved to the parties is intended to be exclusive of any other available remedy or remedies, but each and every such remedy shall be cumulative and shall be in addition to every other remedy given under this Agreement or now or hereafter existing at law or in equity or by statute. No delay or omission to exercise any right or power accruing upon any Event of Default shall impair any such right or power or shall be construed to be a waiver thereof, but any such right and power may be DJG96577 CL160 -79 22 exercised from time to time and as often as may be deemed expedient. In order to entitle the non - defaulting party to exercise any remedy reserved to it, it shall not be necessary to give notice, other than such notice as may be required in section 9.3 of this Agreement. Section 9.5. No Additional Waiver Implied by One Waiver. In the event any covenant or agreement contained in this Agreement should be breached by either party and thereafter waived by the other party, such waiver shall be limited to the particular breach so waived and shall not be deemed to waive any other concurrent, previous or subsequent breach hereunder. DJG96577 CL160 -79 23 ARTICLE X Additional Provisions Section 10.1. Conflict of Interests; Representatives Not Individually Liable. No commissioner, officer or employee of the Authority or the City may acquire any financial interest, direct or indirect, in this Agreement, the Property or in any contract related to the Property. No commission, officer or employee of the Authority or the City shall be personally liable to the Developer, or any successor in interest, in the event of any default or breach by the Authority or the City or for any amount which may become due to the Developer or on any obligation or term of this Agreement. Section 10.2. Restrictions on Use. The Developer, for itself and its successors and assigns, agrees to devote the Property and the Minimum Improvements only to such land use or uses as may be permissible under the City's land use regulations. The Developer, for itself, its successors and assigns, acknowledges the limitations on use of the Property imposed by the HRA Act and agrees to comply with such restrictions, provided that fie any event the 1eveloper may use the Property' for t Ze �zses descr�b id In Section 4.6 of thzs Agreement. Section 10.3. 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 (b) as to the Developer: Medtronic, Inc. 7000 Central Avenue NE MS300 Minneapolis, MN 55432 (c) as to the Authority: Housing and Redevelopment Authority of Columbia Heights 590 - 40th Avenue NE Columbia Heights, MN 55421 ATTN: HRA Executive Director 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 10.3. Section 10.4. Disclaimer of Relationships. The Developer acknowledges that nothing contained in this Agreement nor any act by the City, the Authority or the DJG96577 CL160 -79 24 Developer shall be deemed or construed by the Developer or by any third person to create any relationship of third -party beneficiary, principal and agent, limited or general partner, or joint venture between or among the City, the Authority and the Developer. Section 10.5. Modifications. This Agreement may be modified solely through written amendments hereto executed by the Developer, the City and the Authority. Section 10.6. ' Counterparts. This Agreement may be executed in any number of counterparts, each of which shall constitute one and the same instrument. Section 10.7. Provisions Not this Agreement' , is intended to or shall be merge( the Property Deed shall not be deemed to covenants of this Agreement. with Deed. None of the provisions of reason of the Property Deed, and ect or impair the provisions and Section 10.8. Release and Indemnification Covenants. (a) Except for any A the neglig nee yr c�th wrongful act car tmission 4f any of the following named parties, the Developer releases from and covenants and agrees that the City, the Authority, and the governing body members, officers, agents, servants and employees thereof shall not be liable for and agrees to indemnify and hold harmless the City, the Authority, and the governing body members, officers, agents, servants and employees thereof against any loss or damage to property or any injury to or death of any person occurring at or about or resulting from any defect or dangerous condition in or on the Property or the Minimum Improvements, provrded (b) Except for any willful misrepresentation or any willful or wanton misconduct of the following named parties, the Developer agrees to protect and defend the City, the Authority, 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 this Agreement, or the transactions contemplated hereby, or the acquisition, construction, installation, ownership, maintenance, and operation of the Property and the Minimum Improvements. (c) The City, the Authority, and the governing body members, officers, agents, servants and employees thereof shall not be liable for any damage or injury to the persons or property of the Developer or its officers, agents, servants or employees.,: or any other person who may be about the Property or Minimum Improvements due to any act of negligence of any other person. DJG96577 CL160 -79 25 IN WITNESS WHEREOF, the parties have caused this Agreement to be executed in their names as of the date first above written. MEDTRONIC, INC. By Its By Its DJG96577 CL160 -79 26 HOUSING AND REDEVELOPMENT AUTHORITY OF COLUMBIA HEIGHTS 0 MM Its Chair Its Executive Director CITY OF COLUMBIA HEIGHTS By Its Manager Its Mayor STATE OF MINNESOTA ) ss. COUNTY OF ) The foregoing instrument was acknowledged before me this day of , 199 , by and , the Chair and Executive Director, respectively, of the Housing and Redevelopment Authority of Columbia Heights, a public body corporate and politic under the laws of the state of Minnesota, on behalf of the Authority. STATE OF MINNESOTA ) ss. COUNTY OF ) The foregoing instrument 199 , by and a Minnesota corporation. STATE OF MINNESOTA ) ss. COUNTY OF ) Notary Public was acknowledged before me this _ day of and , the respectively, of Medtronic, Inc., Notary Public The foregoing instrument was acknowledged before me this day of , 199 , by Joseph Sturdevant and Patrick Hentges, the Mayor and City Manager, respectively, of the City of Columbia Heights, a public body corporate and politic under the laws of the state of Minnesota, on behalf of the City. Notary Public DJG96577 CL160 -79 27 EXHIBIT A -1 to CONTRACT FOR PRIVATE DEVELOPMENT PROPERTY LEGAL DESCRIPTION (Parcel 1) Tract B, Registered Land Survey No. 63, Anoka County, Minnesota DJG96577 CL160 -79 A -1 -1 EXHIBIT A -2 to CONTRACT FOR PRIVATE DEVELOPMENT PROPERTY LEGAL DESCRIPTION (Parcel 2) The north 3.6 Acres of Lots 7 and 8, AUDITOR'S SUBDIVISION NO. 51, Anoka County, Minnesota DJG96577 CL160 -79 A -2 -1 EXHIBIT A to CONTRACT FOR PRIVATE DEVELOPMENT FORM OF CERTIFICATE OF COMPLETION The undersigned hereby certifies that A Medtronic, Inc., a Minnesota Dated: STATE OF MINNESOTA ) ss. COUNTY OF } HOUSING AND REDEVELOPMENT AUTHORITY OF COLUMBIA HEIGHTS, MINNESOTA U-M LIM Its Chair Its Executive Director The foregoing instrument was acknowledged before me this day of , 199 , by and , the Chair and Executive Director, respectively, of the Housing and Redevelopment Authority of Columbia Heights, a public body corporate and politic under the laws of the state of Minnesota, on behalf of the Authority. Notary Public This document drafted by: KENNEDY& GRAVEN, CHARTERED 470 Pillsbury Center Minneapolis, MN 55402 (612) 337 -9300 DJG96577 CL160 -79 B -1 EXHIBIT C LIMITED WARRANTY DEED THIS INDENTURE, between the Housing and Redevelopment Authority of Columbia Heights, Minnesota, a public body corporate and politic under the laws of the State of Minnesota (the "Grantor "), and Medtronic, Inc. (the "Grantee "). WITNESSETH, that Grantor, in consideration of the sum of three hundred sixty thousand and no /100 dollars ($360,000) and other good and valuable consideration the receipt whereof is hereby acknowledged, does hereby grant, bargain, quitclaim and convey to the Grantee, its successors and assigns forever, all the tract or parcel of land lying and being in the County of Anoka and State of Minnesota described as follows, to -wit (such tract or parcel of land is hereinafter referred to as the "Property ") : The north 3.6 Acres of Lots 7 and 8, AUDITOR'S SUBDIVISION NO. 51, Anoka County, Minnesota To have and to hold the same, together with all the hereditaments and appurtenances belonging thereto. Grantor covenants and represents that: (1) This Deed conveys after - acquired title; and (2) Grantor has not made, done, executed or suffered any act or thing whereby the above - described property or any part thereof, now or at any time hereafter, shall or may be imperiled, changed or incumbered in any manner, and Grantor will warrant the title to the above - described property against all persons claiming the same from or through Grantor as a result of any such act or thing, EXCEPT: SECTION 1. This Deed is subject to the covenants, conditions, restrictions and provisions; Including, < .without limitation, a ! right of reversion, contained in an A agreement entered into among the City of Columbia Heights, Minnesota, the Grantor, and the Grantee on the day of , 199 identified as "Contract for Private Development" (hereafter referred to as the "Agreement ")A . It is specifically agreed that the Grantee shall promptly begin and diligently prosecute to completion the redevelopment of the Property through the construction of the Minimum Improvements thereon, as provided in the Agreement. A All certifications provided for Am the �Agr ement shall be in such form as will enable them to be recorded with the County Recorder, or Registrar of Titles, Anoka County, Minnesota. A A SECTION A 2. This Deed is also given subject to: DJG96577 CL160 -79 C-1 (a) Covenants, conditions and restrictions contained in the project plan for the Central Business District and the tax increment financing plan for the Medtronic tax increment district, as amended as of the date of the Agreement . (b) Provisions of the ordinances, building and zoning laws of the City of Columbia Heights, and state and federal laws and regulations insofar as they affect this real estate. Grantor certifies that it does not know of any wells on the Property. DJG96577 CL160 -79 C -`Z IN WITNESS WHEREOF, the Grantor has caused this Deed to be duly executed in its behalf by its and and has caused its corporate seal to be hereunto affixed this day of , 199 HOUSING AND REDEVELOPMENT AUTHORITY OF COLUMBIA HEIGHTS, MINNESOTA �0 STATE OF MINNESOTA ) ss. COUNTY OF ANOKA ) Its Chair Its Executive Director On this day of , 19_, before me, a notary public within and for Anoka County, personally appeared and to me personally known who by me duly sworn, did say that they are the Chair and Executive Director Housing and Redevelopment Authority of Columbia Heights, Minnesota (the "Authority ") named in the foregoing instrument; that the seal affixed to said instrument is the seal of said Authority; that said instrument was signed and sealed on behalf of said Authority pursuant to a resolution of its governing body; and said Chair and Executive Director acknowledged said instrument to be the free act and deed of said Authority. Notary Public This instrument was drafted by: Kennedy & Graven, Chartered 470 Pillsbury Center Minneapolis, Minnesota 55402 DJG96577 CL160 -79 C-3 EXHIBIT D to Contract for Private Development FORM OF REPAYMENT AGREEMENT THIS AGREEMENT is made and entered into as of the day of , 199_, by and between the Housing and Redevelopment Authority of Columbia Heights, Minnesota, a public body corporate and politic under the laws of Minnesota (the "Authority ") , and Medtronic, Inc., a Minnesota corporation (the "Developer ") . WITNESSETH : WHEREAS, the parties hereto A concurrent herewith have entered into that certain document entitled "Contract for Private Development" (the "Agreement ") ; and WHEREAS, the Agreement provided that the Developer would construct an approximately 60,000 sq. ft. manufacturing facility ( "Phase 1 ") on the land legally described on Exhibit A attached hereto (the "Property ") ; and WHEREAS, the Developer will incur certain expenses in A purcl Aln.9 Parcel 2 of the Property, preparing the site, installing utilities, and otherwise making the Property suitable for development as specified herein; and WHEREAS, the Agreement provided that the Developer may construct A Phase 2. on the Property; and WHEREAS, the Developer will incur certain expenses if it prepares the site, installs utilities, and otherwise n develops Phase 2n; and WHEREAS, the Authority agreed to reimburse the Developer for its A Qualifying Reimbursable Costs from Available Tax Increment (as defined in the Agreement) paid to the Authority; and WHEREAS, in order to secure such payment, the Agreement requires that the Authority and Developer enter into this Repayment Agreement; DJG96577 CL160 -79 D -1 NOW, THEREFORE, in consideration of the mutual obligations of the parties contained in the Agreement and in this Repayment Agreement, the parties agree as follows: Section 1. Definitions. Unless the contrary clearly appears from the context, the terms used in this Repayment Agreement shall have the same meanings as given them in the Agreement. Section 2. General Terms of Payment. (a) Subject to the Authority's right to prepay and the terms and conditions of the Agreement and this Repayment Agreement, the Authority shall reimburse the Developer for Qualifying Reimbursable Costs in the principal amount of no more than $n2,0007000 (the "Principal Amount ") . (b) Interest, at the rate of 8.50% per annum, shall accrue on the unpaid balance of any portion of the Qualifying Reimbursable Costs from the date or dates on which the Developer A has recurred and paid such portion of the Qualifying Reimbursable Costs. Interest shall be computed on the basis of a year of 360 days and charged for actual days principal is unpaid. (c) The Principal Amount together with interest thereon shall be payable DJG96577 CL160 -79 D -2 (e) If, on any Payment Date, the Available Tax Increment is not sufficient to pay the amount of Qualifying Reimbursable Costs incurred and paid by the Developer prior to that Payment Date, plus interest, the difference shall be carried forward, without interest accruing thereon, and shall be paid if and to the extent that on a future Payment Date there is sufficient Available Tax Increment to do so. Section 3. Repayment Conditions. The Authority's obligation to make payments to the Developer is subject to the following terms and conditions: (a) n The Authority shall have no obligation!to make any paym . t. to the i3eve open under ..I... . . is Repayment Agreement until tkz Developer has'xe give x become ent led ;to receive the 0ertzfieate of Completion; (b) The Authority shall have no obligation to pay any balance of the Qualifying Reimbursable Costs that remains unpaid after the Termination Date!;; Incrernent'to the Developer have been satisfied; (A ) The Authority shall have no obligation to make any payment to the Developer under this Repayment Agreement until the Developer has provided the Authority written evidence that the Developer has incurred and paid actual and reasonable expenses associated with the Qualifying Reimbursable Costs and that those expenses were incurred within 5 years of the certification of the TIF District.; (d) Thin ,A.uthorY ty.i ob gatia a to make payments to the Developer under tb s lepayment Agreement.' the ll�nimunn Irnpx+oPeznents are damaged or ciestx�Qyed de fine. - 5 of the , gre ment t+ DJG96577 CL160 -79 D -3 Section 4 . Prepayment. The Authority may prepay without penalty or premium all or part of the accrued interest and unpaid principal due under this Repayment Agreement at any time. Upon payment of all of the accrued interest and unpaid principal, the Authority shall have no further obligation to make payments to the Developer. Section 5. Limit of Obligation. The Developer understands and agrees that the reimbursement obligation of the Authority is limited to the Available Tax Increment generated by the Minimum Improvements and Phase 2 and paid to the Authority during the term specified in Section 2 of this Repayment Agreement. The Developer understands and acknowledges that the Available Tax Increment may not be sufficient to reimburse the Developer for any or all of the Qualifying Reimbursable Costs. Failure by the Developer or its successors or assigns to pay real estate taxes due on the Property may reduce or eliminate the Authority's obligation under this Repayment Agreement. The Developer further understands and agrees that the Authority's obligation hereunder is a revenue obligation only, payable solely from Available Tax Increment. Failure by the Authority to make a payment to the Developer under this Repayment Agreement due to a lack of Available Tax Increment or failure to reimburse the Developer for the Qualifying Reimbursable Costs prior to the Termination Date shall not constitute an Event of Default under the Agreement or this Repayment Agreement. Section 6. Exclusive Obligation. This Repayment Agreement constitutes the sole and exclusive obligation of the Authority to make and the sole and exclusive right of the Developer to receive reimbursement for the Qualifying Reimbursable Costs. The Developer further acknowledges that it has no other or further remedy against the Authority to enforce collection thereof. 7. City's Right to Increment. (a) As of the date of the execution of this Repayment Agreement, the City and /or the Authority have applied to the State for DJG96577 CL160 -79 D -4 (b) If the proceeds of the Grant are less than $250,000, or if the Grant is execution of the Note. (c) From the date that the Developer has been given notice that the Note has been executed until the date that the City has been fully reimbursed pursuant to the terms of the Note, Available Tax Increment shall not include any amounts necessary to reimburse the City pursuant to the terms of the Note. IN WITNESS WHEREOF, the parties have caused this Agreement to be executed in their names as of the date first above written. MEDTRONIC, TNC'' _ Its By _ Its By _ DJG96577 CL160 -79 D -5 HOUSING AND REDEVELOPMENT AUTHORITY OF COLUMBIA HEIGHTS M Its Chair Its Executive Director CITY OF COLUMBIA HEIGHTS By Its Manager By Its Mayor STATE OF MINNESOTA ) )ss. COUNTY OF ) The foregoing instrument was acknowledged before me this day of , 199 , by and , the Chair and Secretary, respectively, of the Housing and Redevelopment Authority of Columbia Heights, Minnesota, a public body corporate and politic under the laws of the state of Minnesota, on behalf of the Authority. Notary Public DJG96577 CL160 -79 D -6 EXHIBIT A TO REPAYMENT AGREEMENT LEGAL DESCRIPTION OF PROPERTY Parcel 1: Tract B, Registered Land Survey No. 63, Anoka County, Minnesota Parcel 2: The north 3.6 Acres of Lots 7 and 8, AUDITOR'S SUBDIVISION NO. 51, Anoka County, Minnesota DJG96577 CL160 -79 D-7 EXHIBIT B TO REPAYMENT AGREEMENT The Qualifying Reimbursable Costs A are as follows: DJG96577 CL160 -79 D-8 n CITY COUNCIL LETTER Meeting of: December 18, 1995 AGENDA SECTION: PUBLIC HEARINGS ORIGINATING DEPT.: CITY MANAGER NO: Planning & Zoning APPROVAL ITEM: Ordinance Amendment, Section BY: Tina Goodroad BY: 9.113(3) ORDINANCE NO. 1314 Qi4k 13 ) DATE: December 14, 1995 N0: The Planning and Zoning Commission reviewed a proposed Ordinance Amendment to Section 9.113(3) of the Zoning Ordinance that pertains to Permitted Accessory Uses in the "RB" Retail Business Zone. The proposed change is in letter "f" and is underlined. This change is proposed in order to facilitate the two Medtronic, Inc. expansions. Staff at Medtronic is concerned about the 500 limit on processing of small medical devices that are incidental or necessary to the principal use. I am suggesting that the percentage limitations be removed so that Medtronic "processing" use can be more than 501. Without the second phase being completely planned, Medtronic is not certain about the percentage of overall processing once the two expansions are complete. I am comfortable with removing the limitation because we are still protected by the fact that any processing is still limited to small medical devices. There are no real concerns for this to impact any other "RB" areas, as there are no other facilities where another similar use would have adequate space for such a business. When this use was added as a permitted use in the "RB" Ordinance, it was done to facilitate the purchase of the property at 800 N.E. 53rd Avenue by Medtronic, Inc. The City Council reviewed this amendment at the December 11, 1995 meeting and conducted the first reading. RECOMMENDED MOTION: Move to waive the reading of Ordinance #1314 there being ample copies available to the public. RECOMMENDED MOTION: Move to approve Ordinance 1314 being an Ordinance amending Section 9.113(3)of the Zoning Ordinance. COUNCIL ACTION: ccag1295.no5 ORDINANCE NO. 1314 BEING AN ORDINANCE AMENDING ORDINANCE NO 853 PERTAINING TO THE REZONING OF CERTAIN PROPERTY The City of Columbia Heights does ordain: Section 1: That certain property legally described as the north 3.6 acres of Lots 7 and 8 and the east 293 feet of Lot 9 except the south 30 feet for road, Auditors Subdivision 51, Anoka County, MN, which is currently zoned R -3, Multiple Family Residential, shall hereafter be zoned R -B, Retail Business District. Section 2: This ordinance shall be in full force and effect from and thirty (30) days after its passage. First Reading: December 1 1 , 1 995 Second Reading: Date of Passage: Offered by: Seconded by: Roll Call: Mayor Joseph Sturdevant Jo -Ann Student, Council Secretary Application For: Rezoning Variance Privacy Fence Conditional Use Permit Subdivision Approval Site Plan Approval Other CITY OF COLUMBIA HEIGHTS X Application Date: 1/1 -9 -95 Case No: Fee: Date Paid Receipt No: 1. Street Address of Subject Property: 721 51st Avenue N.E. 2. Legal Description of Subject Property: North 3.6 acres of Lots 7 & 8 and East 293 feet of Lot 9 except South 30' for road, Auditors Subdivision 51, Anoka County. Minnesota 3. Applicant: Name: City of Columbia Heights 4. Owner: Name: Same Address: 590 40th Avenue N.E. Address: Columbia Heights, MN 55421 Phone: 782 -2854 (Don Schneider) Phone: 5. Description of Request: Rezoning from R -3 to RB of open space land owned by City and being sold to Medtronic, Inc. for expansion of their facility at- 800 53rd Ave. N.E. Si. Zoning: Applicable City Ordinance Number Section 9.113 Present Zoning R -3 Proposed Zonin RB Present Use open Space - Park Proposed Use RB 3,6 7. Reason for Request : To enable Medtronic, Inc to use the ! acres being transferred___ to them in December, 1995 as part of their liaht manufacturina /office �acilit (Neurological Division) at 800 53rd Avenue N.E. 8. Exhibits Submitted (maps, diagrams, etc.) Map of site and section of RB Zonina Code, 9. Acknowledgment and Signature: The undersigned 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 that all work herein mentioned will be done in accordance with the Ordinances of the City of Columbia Heights and the laws of the State oof_M nnesota. l' _� 7 ' l �. C _ Date: 11 -9 -95 Signature of Applicant: � -�- ')� ona1 d R. Schneider, !� Community Development Director Taken By: ; CC: PAT HENTGES I "I Q% M '�M O 04 NS \ -C i A 'H'1'S 3N -3nv UISN3A nl x Y -r7il=njt 994 'M1'S 3N 31\V lVtiLK33 U 0�� JL= = Y� LL- 0 _W O J J so �E Ao .11lo F) z Z W � � w , C� L W 7 Y cr U < LL— O g w 4 w j'�f \� \— g v O � — W ^� W �arD J U � a a Wo Q Z Q o� o =� = U v = �(1 Q Q T CERTIFICATE OF 0 100 FOR COL- AGxTS i 1 HEREBY CERTIFY INAI IRIS WIVE7, PLN1 OR REPORT SCALE IN FEET /AS PREPARED BY ME OR INDER M7 DT ERVISION YD YHAI 1 AMA 7 LICENSED L SbPV "ER ME -LAWS OF I A OF WIr NESO A. J MINNESOTA LV-&SE N0, 1(, 113 l.ipTL =_ 1d.0 kOC,�T1p�S �.p�pG TAC)SC -- s-Vlov lv l.. D � R `moo do SURVEY KURTH SURVEYING. INC. 4002 JEFFERSON ST, N..E, COLUMBIA HEIOHIS, MN, 55421 1912) 789-9769 FAX 1512) 7ee -7602 DATE 11 I E...1 I-15 0 • IRON MONUMENT j.a��.R 11x41 A, t , A-u Aesul -1c° �e -'�u� eq. bcwG A DESC. 11 tt11�3 E x- 13,{Q� -V3y-0 0 n' >O" 5-�) F-iV E• K,� t3.0 -cam /,� �1 �o p F 9 P, i ti Vim• SI.�B � ri 9 2 L- -c- --y- �, blSCk- 1PTIOu Ta.1C_ c��..r , { eF CO`�\{`xT1,1 O 8 ' � 2�.1 OAT):. �- - Sdb•'6�,1.a . 1 G 0.3• `SST O� iR114 Tr°b.T1 °N - d -1'3 SZ71 j ko. Co3 0 / j> ZDtZSC RVP'fAO1J U3JCXELKC.D� 1 �o v• 1 /A W2- 9°9r4'C)y" W V T is I.�l..'1' fit \ 'iA, ct. � 1 iTQ.Tl3D \.. 4.dJ D wRV aY wlo , `b / Jd110 k1.. CO u till Y) tK.1 ti1tlti,.SUT l� TOC-2 GTII.CR. \i1i`: / .1 `. 4 TSW 410 OF SUEiD1V 15101.1 I-i />t10V-,6 - COU1,ATY) t � \t1t'lc -- - 7 ' c.-I , 'AIL" of coa,.c¢ ��5t °os ►o'W r 8 o" 6aa� LOT 8 IJ Lf1.1`� L,OT Z I u o7,--T )-k- 3•Ico �.cTZ�s �o p F 9 i ti Vim• SI.�B � ° 9 �, blSCk- 1PTIOu Ta.1C_ c��..r , { eF CO`�\{`xT1,1 O � 2�.1 OAT):. �- - Sdb•'6�,1.a . 1 G 0.3• `SST O� iR114 Tr°b.T1 °N - d -1'3 SZ71 j OG 'T QiSC. A /A V T is I.�l..'1' fit \ 'iA, ct. � 1 iTQ.Tl3D \.. 4.dJ D wRV aY wlo , `b / Jd110 k1.. CO u till Y) tK.1 ti1tlti,.SUT l� TOC-2 GTII.CR. \i1i`: TI-t` t1,o2r t. 3 4 A%-C- 2C- b of \ OTS - 1�1�1D �) au7\TO2S SUEiD1V 15101.1 I-i />t10V-,6 - COU1,ATY) t � \t1t'lc -- - I CITY COUNCIL LETTER Meeting of: December 18, 1995 AGENDA SECTION: PUBLIC HEARINGS ORIGINATING DEPARTMENT: CITY MANAGER'S NO: 6 CITY MANAGER'S APPROVAL ITEM: 53RD AVENUE TAX INCREMENT DISTRICT AND BY: P. HENTGES BY: ORRECTIVE MEASURE DATE: 12 -14 -95 DAT . NO: 6 B 4) At the December 13, 1995, meeting of the Columbia Heights Housing and Redevelopment Authority, the HRA adopted the modification to the Columbia Heights Downtown CDBG Revitalization Plan for the Central Business District Redevelopment Project, and the Establishment of the Tax Increment Financing Plan for the 53rd Avenue Tax Increment District. Upon review of the plan, the HRA determined that to be further clarified, so as to be consistent approved development contract with Medtronic, clarified the "cash flow" tables by specifying whether paid to the City, the Authority, or the Subsection 2.8, Bonded Indebtedness, needed with the public incentives outlined in the Inc. The language outlined in the plan that the combined pay -as- you -go TIF amount, Developer shall not exceed $2,500,000. The attached page incorporates the clarification, and the HRA requests the City Council's approval of the change. RECOMMENDED MOTION: Move to recommend that Section 2.8, Bonded Indebtedness, as defined in in the Modification to the Columbia Heights Downtown CBDG Revitalization Plan for the Central Business District Redevelopment Project, and the Establishment of the Tax Increment Financing Plan for the 53rd Avenue Tax Increment District be modified to include the following: "The combined pay -as- you -go amount, whether paid to the City, the Authority, or the Developer, shall not exceed $2,500,000." COUNCIL ACTION: DEC 14 '95 10 :32AN EHLERS & ASSOCIATES P.2 %2 may vary provided that the total expenditures will not exceed the total listed above, plus administrative expenses, as provided in Subsection 2.15 herein. Subsection I& Bonded 1 edne As presently proposed, the financing of the public costs would be a combination of a note to the City or Medtronic, Inc. for costs associated with land acquisition of park land and potentially, other adjoining property and a limited revenue note (pay -as- you -go note), in which Medtronic, Inc. would pay for costs and be reimbursed over time with interest. The amount of pay -as- you -go assistance would not exceed $1,200,000_ The City costs associated with land acquisition and other public improvements are not anticipated to exceed $1,200,000. The combined pay -as- you -go amount, whether paid to the City, the Authority, or the Developer, shall not exceed $2,500,000 This provision does not obligate or prevent the City or HRA to incur additional debt. Subsection 2.9 Sources of Revenue The City and HR.A anticipates using Tax Increment as the primary source to pay for the estimated tax increment eligible costs of the Redevelopment Plan as they relate to the Tax Increment Financing District. The City or KRA reserves the right to use other sources of revenue legally applicable to the Redevelopment Plan to pay for the estimated tax increment eligible costs. Subsection 2.10. Qdginal Tax Capaci!y and Tax Rate Pursuant to Minnesota Statutes, Section 469.174, Subdivision 7 and Section 469. 177, Subdivision 1, the Original Net Tax Capacity (ONTC) as certified for the 53rd Avenue District property by the assessor in 1995 for taxes payable 1996. The original tax capacity of the property when the tax increment financing district is certified in December, 1995 will be $147,457 (estimate). Pursuant to Section 469.177, Subds. l and 2, of the Tax Increment Financing Act, the County Auditor shall certify in each year (beginning in the tax payment year 1998) the amount by which the original value has increased or decreased as a result of a change in tax exempt property within the Tax Increment Financing District, reduction or enlargement of the Tax Increment Financing District or changes in connection with previously issued building permits. In any year in which the current Net Tax Capacity value of the District declines below the ONTC. no value will be captured and no tax increment will be payable to the City. The County Auditor shall certify in each year after the date the ONTO was certified (beginning in payment year 1998), the amount the ONTC has increased or decreased as a result of: 1. change in tax exempt status of property; 2, reduction or enlargement of the geographic boundaries of the district: 3. change due to adjustments, negotiated or court- ordered abatements; 4. change in the use of the property and classification; or 5, change in state law governing class rates. The original local tax rate for 53rd Avenue District will be the local tax rate for 1996 taxes which is currently estimated to be 139.136 %, based on the rate for pay 1995. Subsection 2. I i. tim tea d Captured Net Tax Capacity Value /Increment Pursuant to Minnesota Statutes, Section 469.174 Subdivision 4 and Minnesota Statutes, Section 469.177, Subdivision 1, 2, and 4, the estimated Captured Net Tax Capacity (CTC) of 53rd Avenue District, within Central Business District Redevelopment Project, will annually approximate $343,400. The City requests 100 percent of the available increase in tax capacity for repayment of its obligations and current expenditures, beginning in the tax year payable 1998. The project tax capacity listed is an estimate of values when the buildings are completed. TIF Plan for 53rd Avprar Tax Ia¢rement Fiamwift oittrict 11.3 CITY COUNCIL LETTER Meeting of December 18, 1995 AGENDA SECTION: PUBLIC HEARINGS ORIGINATING DEPARTMENT: CITY MANAGER Fire APPROVAL NO: ITEM: Close Hearing BY: Lowell DeMars /2 BY: Rental License Revocation NO: 6 C DATE: Dec 14, 1995 DATE. The matter of the revocation of the license to operate a rental unit(s) within the City of Columbia Heights against Lee Bryant regarding rental property at 1137/39 NE 37th Avenue for failure to meet the requirements of the Housing Maintenance Codes was previously continued to the City Council meeting of December 18, 1995. The public hearing on this property may now be closed in that the owner has complied with requirements of the Housing Maintenance Code. RECOMMENDED MOTION: Move to Close the Public Hearing Regarding the Revocation or Suspension of the Rental License Held by Lee Bryant Regarding Rental Property at 1137/39 NE 37th Avenue in That the Provisions of the Housing Maintenance Code Have Been Complied With. 95 -255 COUNCIL ACTION: TY COUNCIL LETTER AGENDA SECTION: ITEMS FOR CONSIDERATION NO. Bids 7 ITEM: AWARD CONTRACT FOR LABELLE POND NO. SEDIMENT REMOVAL - PROJECT #9312_ Meeting of. 12/18/95 ORIGINATING DEPARTMENT: CITY MANAGER PUBLIC WORKS BY: M. Winson '�( BY: -� DATE: 12/11/95 DATE: On November 27, 1995, the City Council authorized staff to seek bids for sediment removal from LaBelle Pond in LaBelle Park. Plans and specifications were requested by 12 companies. Four sealed bids were received for the bid opening on Monday, December 11, 1995, at 11:00 a.m. The project consists of removing up to 10,000 cubic yards of sediment in the area shown on the attached sketch. In accordance with the DNR Permit requirements, the cattail areas will not be disturbed. Staff is recommending the contract be awarded to Park Construction Company. The bid is below the budget amount of $150,000 including the $10,790.00 spent in Phase I of the construction. RECOMMENDED MOTION: Move to award LaBelle Pond Sediment Removal - LaBelle Park - Municipal Project 49312 to Park Construction Company based upon their low, qualified, responsible bid in the amount of $82,000.00 with funds to be appropriated from line item 412 -59008 -5130; and, furthermore, to authorize the Mayor and City Manager to enter into an agreement for the same. MAW Jb 95 -773 COUNCIL ACTION: \ u L . w 2 L � 3 L U) 2 Z O IL L & � & c \ 0 m � g E ■ / k { cl U) - � � @ f C) / �( \\ 2Cf)a f �¥ 'n o \ c L 1-i 6 2 � \ F E E . ƒ ;n m g E� E m g ' Q E§ a- 0 2 ®I Et u / 2 k 2� 2 2/ �� 3% m> m ��d, �� 0 Q -° / vaKJ a� 0� o /� ?1 \�kf07 ƒ§ %ƒ0E / �Zc o E2 &Q @ Of 5® 7\ 2% m 0 g 0\ 0 '0 2z2I LL: ELL OQm 3» & CO # e £ w = o / C'J ■ / ° cl U) _ � � / f /_ �( \\ f 0 \ Q. 2 El 7 %_ =3 ®I U) f Q / � 2 a� 0� o E: 6\ / k 3� c\J � m f k� 7 /( % 4 , U)- f! ¥ ZY 2 k © =3 O: / E 2 d CTJ 5 / / E . m f' £ (D U) ƒ CO CITY COUNCIL LETTER AGENDA SECTION: ITEMS FOR CONSIDERATION NO. 7 Bids ITEM: AWARD CONTRACT FOR GARAGE NO. FLOOR REPAIRS, PROJECT 49525 w Meeting of: 12/18/95 ORIGINATING DEPARTMENT: CITY MANAGER PUBLIC WORKS BY: M. Winson4) BY:: DATE: 12/11/95 DATE: On July 10, 1995, the City Council authorized staff to seek bids for Garage Floor Repairs for the Municipal Service Center and the Police Garage. Plans and specifications were requested by 8 companies. Two sealed bids were received for the bid opening on Monday, December 11, 1995, at 1:00 p.m. The proposal included the four options described below: Bid A Preparation and one maintenance coat on entire floor surface. Bid B Remove existing coating in traffic area to expose concrete surface. New coatings in traffic area totaling 10 mils. Preparation and one maintenance coat on remaining floor surface. Bid C Remove existing coating to expose concrete surface on entire floor. New coatings totaling 10 mils on entire floor. Each bid includes an equal amount of crack repair and striping. Bid D Remove existing concrete topping in the Police Garage. Eliminate floor drain. Install new concrete topping sloping the floor from the south wall to the garage door. The specification was written to permit the award of Bid A, B or C with or without Bid D, or to reject all bids. Staff is recommending a contract for Bid B be awarded to TMI Coatings, Inc. The bid is above the combined 1995 and 1996 budget amounts by $3,645.25. The additional funds are available in the 1996 budget. Staff will seek separate quotes to repair the Police Garage Floor. RECOMMENDED MOTION: Move to award Garage Floor Repair Bid B, Municipal Project #9525 to TMI Coatings, Inc. of St. Paul, Minnesota, based upon their low, qualified, responsible bid in the amount of $23,645.25 with funds to be appropriated from line item 701 - 49950 -5120 (1995 and 1996) and the difference of $3,645.25 from the undesignated fund balance of 701 -49950 and; furthermore, to authorize the Mayor and City Manager to enter into an agreement for the same. MAW.jb 95 -775 COUNCIL ACTION: N U C C UI J U U O O W', 70 0e C v� c C 2 Z I'oJ,, nCg o G(.)2 o F- Z I,0 � 0 U 0 0 m a.. g'.av i.0 MM v O. 6 o DI as a - dQU ml �NC�au�mnm ml U C W a m O O OI N O N 91 N O t0 o N N N T ; � H 0.0 C �NU m f9 lCL ,n c 7 H 00 C.' 00 tN0 'y u0>.n0 a H H V O tNDO CL H m LO H II= � H ors O C N T N R N N jl v H O O O'. O C i LL C6 LL O J HI NI N O H'io H 10 LL 0 Q a Q Q o C� Q N U � O O N N Ca ml Y a o a H F H o F- 0 ULL 05 H O O LL pp !i V O OJ C f7 O .- a H H C � H m 8 <O N ity O N H H Hi N N m P S M V �a HRH C N HH NI N O O o�D (0NV f00 aI '1O H ci c U O Ci no a` H 0 in N C � H C i LL C6 LL m J J J J 0 t0 O LL LL W Q Q Q Q C7 Q W U � mo i Ca ml Y a o a o v oa o F- 0 ULL 05 O F O O LL Z �Nf7 N 0 U H I O o LO LO I N O U O i U U C ro c _ �. (3 N C CU r LO Cn U) O ` Cj O U — '5) C C Cn O J U C U O O O d r W. N C1 C fA C ro U LO CI ; U O� m O C in N J.aU 0 �U 0 Z Zo O C: 2,_ 0 WI a, M 471 iO.U) O O ro 0 Z 0 >U �� ° U a ro O,-0 o o' a- _3 CL <U m0 rNM V LO (D I�(A - (DI III CD 0 0 0 0 o'', o (n o O o LO LO F- m a) � ER En M C7 n a) 0� O O d r � LO CI EA ER 0 LL CI, M 471 =3 LL O U CD - co d (P a W Ch U U m D UI 0 d 0 U m Y O LO O LO DI U O ro H O N O N O H O O LL H OOLO r _ ro r N N m O EH O D m o Ln o (U ONO U co (D Cr) a fn � (1) Ci LO O N O N O CD O . O 'I O r LO C O m r u) Cj v M N n �` o - r -7 CW r) O(NOO d CorCo Eli N Efl Cl) C. n O N O N lira O It LO - Cn 0 COON � N ~ - a I V EAI v> I v> m U O I� O a �ODUY 0 0 0 0 o'', o (n o O o LO LO F- N_ N_ � ER En n a) 0� O O d r l LO CI N zy LL O O LO U') O O N N Lo OO LO ro O O O V m CY) C LO � CD ~ 6D M C!y ]II n (U 00, O M C6 6 O vy CA C M � Et3 O O L O N O O N N LO O O N ro CD O CD V O LO (C F- N co n 6q 6q D n m no °o M U - M O r � Efl O EA CA C N N to O O LO LO O O N N LO 00 LO ro CO LO O Cn N to Cn ~ r Cf i � Efl Efi n ro o C0 � U Cl) O r V9 LO fA N C N DI v; 'c' Li Cn Li In J J J J [L O O r N r LO Q J LL CI, W =3 LL 0 0 a a a W o 0 ' m U U m J a O UI 0 d 0 U m Y Q ~ Q DI U O ro H O H 0 ULL U O H O O LL H O r N CO Z r CITY COUNCIL LETTER AGENDA SECTION: ITEMS FOR CONSIDERATION — NO. Bids ITEM: AUTHORIZATION TO PURCHASE NO. REPLACEMENT FOR UNIT #149 CHASSIS 7 .t3.3 Meeting of: 12/18/95 ORIGINATING DEPARTMENT: CITY MANAGER PUBLIC WORKS BY: M. Winson 117"" BY: DATE: 12/12/95 DATE: The 1995 Capital Equipment Replacement Program budgets $28,000 for the replacement of Unit #149, the chassis for the rodding machine. The current chassis is a 1965 Ford F250 4x4 and has over 92,000 miles. Although this vehicle does not put on a great deal of mileage, it is critical that the rodder is available for use to clear sewer lines. Staff proposes to purchase a Ford F350 One -Ton Chassis Cab off the Hennepin County Contract. The rodder unit will be mounted on this chassis either internally or under a separate contract. The price for the chassis cab is $15,914.00. RECOMMENDED MOTION: Move to authorize the purchase of a 1996 Ford F350 One -Ton Chassis Cab from the Hennepin County Contract #3579A5 -232 for $15,914 plus tax, funding from Fund 432 - 49499 -5150; and, furthermore, to authorize the Mayor and City Manager to enter into an agreement for the same. MAW:jb 95 -779 COUNCIL ACTION: CAPITAL EQUIPMENT PURCHASE JUSTIFICATION 1. Item to purchase: One Ton Chassis for R6dder 2. New; or Replace: x #1A9 3. If replace, present equipment data: 3A. Make: Ford F250 4x4 3B. Year purchased: 1965 3C. Purchased new? X or Used? 3D. Original Cost: $ Unknown 3E. Estimated hours /days used per year: 90 dayg 3F. Engine hours used per year if known: 92.486 torn] mi1Pc 3G. Repair history: Labor cost past 36 months: $2,126 Parts cost past 36 months: $ 498 Number of days down time past 36 months: $6.89 3H. Operating cost per mile (or other unit of measure): 4. Proposed new equipment to replace item described in 13 above: 4A. Estimated cost of item: $ 16,500 4B. Budgeted money: $24,000 4C. Where is the money budgeted? Department name: Sewer - Capital Equipment Replacement Department line item: 432 - 49499 -5150 4D. Estimated operating cost per mile (or other unit of measure): $ 3.00 4E. "Features" on new unit that are not on present equipment: a• F'11PI in 4gnti QP - b. c. d. e. 4F. What are the advantages or cost savinngs of the new features: Better gas mileage 5. If first -time purchase: 5A. Purpose of new item: — 5B. Mow is this work presently being done? 5C. Cost of doing the task now? 5D. Cost of doing the task if new item is purchased? _ 5E. Estimated operating cost of proposed new item (per mile or other unit of measure: 5F. Life expectancy of new item: 5G. Where will new item be stored? Is there space available? 6. Person's name making request and providing data: hark Winson 7. Date proposed to City Manager: 1995 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 Manager's review notes: SWA /bj 031892 CITY COUNCIL LETTER Meeting of: 12/18/95 AGENDA SECTION: ITEMS FORCONSIDERATION ORIGINATING DEPARTMENT: CITY MANAGER NO. Bids PUBLIC WORKS 7 M.Winson J.ffliJ ITEM: AUTHORIZATION TO PURCHASE BY: �� NO. REPLACEMENT FOR UNIT #117 / B '{, ) DATE: 12/12/95 The 1995 Capital Equipment Replacement Program budgets $25,000 for the replacement of Unit #117, a 1985 Ford/El50 Van. This vehicle is used primarily by the Water Department by the employee that handles meter repairs/replacements. This vehicle is also used extensively by the Water/Sewer Departments for the transportation and heated storage on-site of pumps and specialty tools. The vehicle currently has about 89,000 miles. Staff is looking to replace the vehicle due to its high mileage and increase in repair/maintenance costs ($5,064 in last three years). Staff proposes to purchase a 1996 Ford E250 3/4 Ton Cargo Van off the Hennepin County Contract. Internal shelving will be installed separately. RECOMMENDED MOTION: Move to authorize the purchase of a 1996 Ford E250 3/4 Ton Cargo Van from the Hennepin County Contract #3579A5-232 for $14,939 plus tax, funding from Fund 433-49449-5150; and, furthermore, to authorize the Mayor and City Manager to enter into a contract for the same. MAW:jb 95-780 COUNCIL ACTION: CAPITAL EQUIPMENT PURCEASE JUSTIFICATION 1. Item to purchase: 1996 Van - Water Department 2. New; or Replace: X #117 3. If replace, present equipment data: 3A. Make: Ford /E150 Van 3B. Year purchased: 1985 3C. Purchased new? X or Used? 3D. Original Cost: $ 9641 3E. Estimated hours /days used per year: 1500 hots. /PVPr;z dad 3F. Engine hours used per year if known: 89,000 toral m;laa 3G. Repair history: Labor cost past 36 months: $3,648 Parts cost past 36 months: $1,415 Number of days down time past 36 months: 3H. Operating cost per mile (or other unit of measure): $0.45 4. Proposed new equipment to replace item described in 13 above: 4A. Estimated cost of item: $ 15,000 4B. Budgeted money: $ 25,000 4C. Where is the money budgeted? Department name: Water - Capital Equipment Replacement Department line item: 433 - 49499 -5150 4D. Estimated operating cost per mile (or other unit of measure): $ 0.25 4E. "Features" on new unit that are not on present equipment: a. Fuel injection b Air bag c. d. e. Larger cargo area 4F. What are the advantages or cost savinngs of the new features: Better gas mileage Safetv 5. If first -time purchase: 5A. Purpose of new item: 5B. How is this work presently being done? 5C. Cost of doing the task now? 5D. Cost of doing the task if new item is purchased? 5E. Estimated operating cost of proposed new item (per mile or other unit of measure: 5F. Life expectancy of new item: 5G. There will new item be stored? is there space available? 6. Person's name making request and providing data: 7. Date proposed to City Manager: 1995 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 Manager's review notes: S`WA Ib j 031892 Mark Winson CITY COUNCIL LETTER AGENDA SECTION: ITEMS FOR CONSIDERATION NO. Bids 7 ITEM: AUTHORIZATION TO PURCHASE NO. REPLACEMENT FOR UNIT #206 Meeting of: 12/18/95 ORIGINATING DEPARTMENT: CITY MANAGER PUBLIC WORKS � r BY: M. Winson BY: DATE: 12/12/95 DATE: The 1995 Capital Equipment Replacement Program budgets $21,000 for the replacement of Unit #206, a 1984 GMC 3500 Sierra Crew Cab Pickup. This vehicle is used by the Parks Department for the transportation of personnel and equipment to the various parks. The vehicle currently has approximately 90,000 miles. Staff is looking to replace the vehicle due to its high mileage and as repair costs have increased dramatically the last three years ($8,000). Staff proposes to purchase a 1996 Ford F250 3/4 Ton 4 -Wheel Drive Pickup off the Hennepin County Contract. The price is $15,529.00. A hydraulic lift gate will be installed separately. RECOMMENDED MOTION: Move to authorize the purchase of a 1996 Ford F250 3/4 Ton, 4 -Wheel Drive Pickup from the Hennepin County Contract #3579A5 -232 for $15,529.000 plus tax, funding from Fund 431 - 45200 -5150; and, furthermore, to authorize the Mayor and City Manager to enter into a contract for the same. MAW:jb 95 -781 COUNCIL ACTION: CAPITAL. EQUIPMM PURCHASE JUSTIFICATION 1. Item to purchase: 1996 3/4 ton pickup Z. New; or Replace: x #2nh 3. If replace, present equipment data: 3A. Make: GMC Sierra 3500 Crew Cab 3B. Year purchased: 1984 3C. Purchased new? X or Used? 3D. Original Cost: $ 9,055 3E. Estimated hours /days used per year: 1000 hours /200 days 3F. Engine hours used per year if known: $90,281 total miles 3G. Repair history: Labor cost past 36 months: $6,355 Parts cost past 36 months: $1,695 Number of days down time past 36 months: 15 ± 3H. Operating cost per mile (or other unit of measure): $0.62 4. Proposed new equipment to replace item described in 13 above: 4A. Estimated cost of item: $ 165000 4B. Budgeted money: $ 21,000 4C. Where is the money budgeted? Department name: Parks - Gen. Fund Capital Equipment Replacement Department line item: 431- 45200 -5150 4D. Estimated operating cost per mile (or other unit of measure): $ 0.23 4E. "Features" on new unit that are not on present equipment: a. Fuel iniection b. C. d. e. - 4F. What are the advantages or cost savinngs of the new features: Better gas mileage 5. If first -time purchase: 5A. Purpose of new item: 5B. How is this work presently being done? 5C. Cost of doing the task now? 5D. Cost of doing the task if new item is purchased? 5E. Estimated operating cost of proposed new item (per mile or other unit of measure: 5F. Life expectancy of new item: 5G. Where will new item be stored? Is there space available? 6. Person's name making request and providing data: 7. Date proposed to City Manager: 1995 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 Manager's review notes: SWA /b j 031892 Mark Winson CITY COUNCIL LETTER Meeting of: December 18, 1995 ITEMS FOR CONSIDE - AGENDA SECTION: TION: Other ORIGINATING DEPT.: CITY MANAGER NO: 7 License Department APPROVAL ITEM: Liquor License Approval for Boxseat BY: Kathryn Pepin BYE Restaurant, 4005 Central Avenue NO: �•�� DATE: December 12, 1995 It has come to my attention during the renewal process for the 1996 liquor license for the Boxseat Restaurant at 4005 Central Avenue, that the operation is having difficulty meeting the 40 % food sales requirement of Section 5.503(1)(g)(i) of the Intoxicating Liquor section of City Code. Section 5.503(5) of the Intoxicating Liquor section of City Code requires that the applicant file with the City Clerk a statement prepared by a certified public accountant that shows the total gross sales and the total food sales of the restaurant for the twelve -month period immediately preceding the date for filing renewal application forms. That statement, prepared by Paul Neisen, C.P.A., states that Boxseat's total food sales represented 23.46% of total sales for the period of November, 1994 through October, 1995. A copy of this statement is attached. Also attached is a copy of a memo from the City Attorney, Jim Hoeft, regarding possible procedures the City could consider prior to or in conjunction with approving the liquor license for 1996. All review of the applications have been completed by the Police Department and approval is being recommended. RECOMMENDED MOTION: Move to approve the 1996 license for the on sale of liquor at the Boxseat Restaurant and Sports Bar at 4005 Central Avenue on a probationary basis provided a quarterly statement, prepared by a certified public accountant, be submitted stating the amount of total sales versus the amount of food sales. COUNCIL ACTION: mig 123 1. 11 SECTION 3 INTOXICATING LIQUOR 5.503 (1) Definitions shall be as follows: (a) The term intoxicating liquor shall mean and include ethyl alcohol and in- elude distilled fermented, spiritous, vinous, and malt beverages containing in excess of 3.2% of alcohol-by weight. (b) The terns sale and sell.mean and include all barters and all manners or means of furnishing intoxicating liquor or liquors as above described in violatic,,& or evasion of law and .also include the usual meaning of terms. (c) The term or. -sale means the sale of intoxicating liquor by the glass or by the drink for consumption on the premises only. (d) The tern off -sale means the sale of intoxicating liquor in the original package in retail stores for consumption off or away from the premises where sold. (e) The terns package or on -inal package means any corked or sealed con - tainer or receptacle bolding intoxicating liquors. The term hotel means and includes any establishment having a resident pro - prietor or sanager, where, in consideration of payment therefor, food and lodging are regularly furnished to transients, which maintains for the use of its guests not less than one hundred (100) guest rooms with bedding and other usual suitable and necessary furnishings in each room, which is provide at the main entrance with a suitable lobby, desk, and office for the regis- �-- tration of its gueste on the ground floor, which employs an adequate staff to provide suitable and usual service, End which mainta:Lrns under the same managc =ent and control as the rest of the establishment and has, as an inte- gral part thereof, a dining room with appropriate facilities for seating not less than one hundred (100) Sucsts7 at one time, Where the general public are, in consideration of payment thereof, served with meals at tables. (g) [i] The term restaurant means any establishment, other than a hotel, under the or manager, having appropriate facilities control of a single proprietor for the serving of meals, and where, in consideration of payment therefor, meals are regularly served at tables to the general public, and which em- (Ord. 1029, ploys an adequate staff to provide the usual and suitable service to its ef. 12/22/82) guests. Such establishment shall have facilities for seating not less than one hundred fifty (150) guests at one tine. At least forty percent (!105x) of the annual receipts of the establishment must result from the sale of food. [ii] Any bowlinz alley with not less than fifteen (15) lanes and with appro- priate facilities for the serving of food to not less than thirty (30) per- sons. Such establishment may include bowling receipts with food receipts for purposes of calculating the sixty percent (60 %) food receipt require - ^:ent of Section 5.503(11)(p) and may include the area of its bowling lanes in the minimum dining area requirement for purposes of Section 5.503(10)(c) (h) The T.:in City ".ctropolitan Area is defined as being comprised of Anoka, Carver, I Dakota, Herne ^in, Ramsey, Scott and Washington Counties. - 171 - _ y PAWL W. Mrj=K CPA RHQIARD M. RooT. CPA bl'G4;l8408 RAFN NEISEN a ROOT RAHN, NEISEN & Roof, P.A. Certified Public Accountants 3659 160TH STREET EAST SCSEMOUNT, MINNESOTA 55W November 23, 1995 M-9. Ka tHr7-a Pepin City of Columbia Heights 590 4Cth Avenue NE Columbia Heights, MDT 55421 -3578 R2: Stiles Sports Bars, Inc. Boxseat II 1990 License Renewal Dear Y-S. Pepin: °l your request, I have compiled the sales fig,Y -es required for our upcoming liquor license renewal. Total sales for the period November 1994 thru October 1995 were $449,600.G0. Food sales represented $iO5,494.O0 or 23,46'- for this period. If You have any questions or require more detail please call. PT.N:sh Sincerely, Paul Neisen, CPA PA,GE 81 ib'12j 437-3226 Fox 4= -Wo MEMORANDUM TO: KATHRYN PEPIN, LICENSE /PERMIT CLERK FROM: JIM HOEFT, CITY ATTORNEY RE: LIQUOR LICENSE FOR BOXSEAT RESTAURANT DATE: December 5, 1995 Thank you for your memo dated November 29th regarding the above referenced matter. First, unless the City wants to eliminate the 40% annual food requirement, this matter needs to be addressed so as not to set a precedence of non - enforcement which could potentially be used against the City in the future by this party or another entity similarly situated. I would not recommend the elimination of this requirement, but rather would suggest a course of action along the following lines: 1. Put the license holder on notice, in writing, that it has not met the threshold requirement of the ordinance. 2. Inform the license holder that the license will be approved for the coming year subject to certain conditions. You may even want to refer to it as a "probationary license." The most significant condition (but not necessarily the only one) I would place on the license is a quarterly review of the amount of food sales. This would give both the City and the license holder a way to monitor the progress (or lack thereof) toward compliance. 3. I would require the license holder to propose to the City how it plans on increasing the amount of food sales (i.e. change in menu, etc.). 4. If after three quarters the amount of food sales has not increased, I would put the license holder on further notice that the license will not be issued for the next year unless the year- end numbers show an overall increase in the percentage of food sales. The key to this procedure is that the license holder is given an opportunity to address and correct the violation. We can then establish that "due process" considerations were extended to the license holder and that any subsequent refusal to issue a license was not arbitrary and capricious. Please let me know if you have any further questions regarding this issue. Thank you. COLUMBIA HEIGHTS POLICE DEPARTMENT TO: Kathryn Pepin, License/Permit Clerk FROM: Cl omas Johnson, Chief of Police � S UBJECT: BOX SEAT LIQUOR LICENSE FOR 1996 DATE: December 5, 1995 The application and accompanying documentation for the Box Seat 1996 liquor license has been reviewed and background checks were performed on all parties listed. The documentation appears to be in order and the background checks came back clear. I find no information that would prevent the issuance of this liquor license. :kao RA CITY OF COLUMBIA HEIGHTS TO: MAYOR AND CITY COUNCIL FROM: PATRICK HENTGES, CITY MANAGER DATE: DECEMBER 13, 1995 RE: CITY MANAGER'S REPORT REGULAR COUNCIL MEETING OF DECEMBER 18, 1995 1) LMC COLUMBIA HEIGHTS 1995 FISCAL PROFILE Enclosed please find a profile of the City's tax base as prepared by the League of Minnesota Cities. I suggest that you familiarize yourself with this information, as the League of Minnesota Cities' staff invites representatives from the press to familiarize themselves with the municipal tax base structure and the profiles of the individual cities. This year, representatives from our area press attended the briefing. 2) REPORTS /CORRESPONDENCE FROM OTHER JURISDICTION Attached please find various reports, correspondence, and informational items forwarded to the City Manager's office from other jurisdictions or associations: 1. 1995/96 legislative policy items 2. Appointment of Al Martinsen to the Anoka County Civil Service Commission and Personnel Board of Appeals. 3. Anoka County call for volunteers with respite care program. 4. North Metro Mayors Association's Resolution on Metropolitan Liveable Communities Act 5. North Metro Mayors Association's Resolution on Minneapolis Convention Center expansion. 3) HABITAT FOR HUMANITY HOUSING PROPOSAL Habitat for Humanity has submitted a proposal to obtain title to several vacant lots owned by the City. They have outlined a three year timetable to construct homes on the lots. I advise the City to work with Habitat to develop an equitable agreement, as the Habitat for Humanity income and affordability standards are within the guidelines the City is required to meet for the HOME Program. At least one of the lots in the proposal was acquired with HOME funds, and the City does have the obligation to replace affordable owner - occupied housing on the site within the HOME guidelines. There are a few more lots on the off - blocks of Taylor and Fillmore Streets that require housing replacement under the HOME funding requirements. I recommend that this be discussed at a future work session, so that the 1996 construction schedule can be resolved. 4) MEREDITH CABLE Attached please find a copy of the December 11th letter from Meredith Cable indicating that Meredith Cable and Continental Cablevision, Inc. have signed a letter of intent to enter into an agreement whereby Continental will purchase Meredith Cable's controlling interest in the Meredith/New Heritage Partnership (which owns the cable system). A formal purchase agreement and other forms will be forthcoming. When those are received, they will need to be reviewed. Ultimately, the City Council will need to approve the purchase. 5) SHARED RIDE Attached is the Shared Ride Report through November, 1995. Also attached is a letter that was mailed to Shared Ride Users, updating them on the status of Columbia Heights' inclusion under the Traveler service area. WE 1995 Fiscal Profile for the City of Columbia Heights 1994_ Population 18,882 Tax Base Dollars Per Capita 1995 Total Tax Capacity 9,168,929 485.59 1995 Powerline Tax Capacity 0 0.00 1995 Captured TIF Capacity 1,034,134 54.77 1995 Fiscal Disparities Contribution 556,843 29.49 1995 Taxable Tax Capacity 7,577,952 401.33 1995 Fiscal Disparities Distribution 2,349,999 124.46 Revenues Dollars Per Capita 1995 LGA 2,052,835 108.72 1995 HACA 978,510 51.82 1995 Certified Levy 2,608,748 138.16 Total 5,640,093 298.70 Net Tax Market Average Tax Rates Capacity Value 1995 City Tax Rate 26.46% 0.00000% 1995 County Tax Rate 29.95% 0.00000% 1995 School Tax Rate 77.73% 0.00000% 1995 Special Tax Rate 5.57% N/A 1995 Total Tax Rate 139.71% N/A Market Tax Composition_of_Tax Base Value Capacity Residential Homestead 76.6% 49.8% Apartments 10.1% 16.6% Commercial /Industrial 12.2% 30.6% Farm 0.0% 0.0% Other 1.1% 3.0% COUNTY OF ANOKA Office of Governmental Services Division 0 -- GOVERNMENT CENTER 2100 3rd Avenue - Anoka, Minnesota 55303 -2265 (612) 323 -5680 November 28, 1995 Contact: Tom Stoltz, 323 -5744 FOR IMMEDIATE RELEASE MARTINSEN APPOINTED TO COUNTY OFFICES In a motion presented by Anoka County Commissioner Jim Kordiak at the November 10 county board meeting, Columbia Heights resident Al Martinsen was reappointed to the Anoka County Civil Service Commission and to the Personnel Board of Appeals. Martinsen's appointment to both offices becomes effective on January 1, 1996. Martinsen has serviced Anoka County in this capacity for six years. The Civil Service Commission and the Personnel Board of Appeals consist of three members, each serving staggered three -year terms. The Civil Service Commission recruits, screens and hires Anoka County Sheriff's Office employees. In addition, the commission establishes salary levels, conducts labor negotiations, approves promotions, and institutes department rules and regulations. The Personnel Board of Appeals works in conjunction with the Anoka County Human Resources Department to hear appeals and grievances that county staff may have filed. "Mr. Martinsen is uniquely qualified for these appointments and has achieved a proven track record of handling his responsibilities over the years," said Kordiak. "Through his work he has developed a close working relationship with the Anoka County Sheriff and lead staff and together they have created an efficient and cost - effective Sheriff's Department." Lkrf! TS:bje FAX: 323 -5682 Affirmative Action / Equal Opportunity Employer TDD[M: 323 -5289 summary of policy priorities in response to membership survey FF -1 Local Government Aid ............................ 52 FF -2 Transfers of LGA /HACA to Schools .................... 38 FF -4 Levy Limits and Property Tax Freeze ................... 35 FF -9 Sales Tax on Local Government Purchases ................ 28 1/2 SD -2 Unfunded Mandates ............................... 27 1/2 LE -3 Tax Increment Financing ............................ 23 FF -3 HACA Growth ... ............................... 17 LE -4 Economic Development Programs ..................... 13 LE -10 State Aid Roads in Cities Under 5,000 ................... 12 LE -5 Growth Management and Annexation .................... 12 -------------------------- LE-7 Housing ....... ............................... 11 FF -8 City Fiscal Year .. ............................... 8 FF -6 Constitutional Amendment for School Finance ............. 7 FF -14 State Deductions from LGA .......................... 7 '/z FF -5 Circuit Breaker and Targeting on the Property Tax Statement .... 6 LE -2 City Role in Telecommunications ...................... 6 SD -5 Personnel ....... ............................... 6 FF -12 Basis of Tax Levies ............................... 5 FF -13 Truth -in- Taxation . ............................... 5 LE -1 Adequate Funding for Transportation .................... 5 SD -4 Environmental Protection ........................... 4 FF -10 Delinquent Property Tax Penalties ...................... 3 FF -11 Payments for Services to Tax - Exempt Property ............. 3 FF -15 Reporting Requirements ............................ 3 LE -11 Turnbacks of County and State Roads ................... 3 SD -1 Redesigning and Reinventing Government ................. 3 LE -8 State Aid for Urban Road Systems ..................... 2 LE -9 City Cooperation With Counties and Schools in Economic Development ........................... 2 LE -13 Nuclear Waste Management ......................... 2 SD -3 Civil Liability of Local Governments .................... 2 1/2 SD -9 Election Judge Appointments ......................... 2 SD -10 Local Election Authority ............................ 1 SD -11 Restricting Campaign Signs Near Polling Places ............. 1 LE -6 Restrictions on Revenue to Pay LGA /HACA Penalties ......... 0 LE -12 Cooperation Between Counties and Cities Over County Road Within Cities .............................. 0 SD -6 Absentee Voting .. ............................... 0 SD -7 Statewide Voter Registration System: Access and Voter Registration Cards .............................. 0 SD -8 Write -in Candidates ............................... 0 (72 responses as of 11/16/95) 96prior.pol W@fBNi';13°�'Al:f4'3YSS %'+R ASiF*.":'..:�k*E: t:ti "9ltlTi F31 z' COUNTY OF ANOKA HUMAN SERVICES DIVISION 4 COMMUNITY SOCIAL SERVICES & MENTAL HEALTH DEPARTMENT K. n' GOVERNMENT CENTER • 2100 3RD AVENUE • ANOKA, MN 55303 -2264 612- 422 -7000 FAX: 612 - 422 -6987 *Achieve 783 -4909 •Adult Mental Health 422 -7070 *Chemical Health 422 -7070 Greetings: *Developmental Disabilities 422 -7175 The Anoka County Volunteer respite program helps people who are caring •Family & Children's Services 422 -7125 for family members in their homes. It began 4 years ago and is really going strong. More volunteers are needed for this important program. •Interagency Early Intervention 323 -6075 Enclosed is a news release about an upcoming volunteer training to be -Licensing-Day Care /Foster Care 422 -7144 held in your area. Could you please print this or something similar in your newsletter or bulletin? Also enclosed is a poster for a bulletin board. •Program Support 422 -7074 •senior Services Thank you very much for your help and if you know of anyone who could 422 -7070 use respite or who would like to volunteer, please let me know. -Volunteer Services 422 -7089 .era, Sincerely, Linda Hayen �► Respite Coordinator'. C;lrs 422 -6960 Affirmative Action / Equal Opportunity Employer FOR IMMEDIATE RELEASE December 5, 1995 For more information contact: Linda Hayen, Respite Coordinator Anoka County Government Center 2100 3rd Ave. Anoka, MN 55303 -2265 RESPITE VOLUNTEERS NEEDED People who care for elderly, disabled family members at home often get very little help. Volunteers are needed to act as companions to those needing care so their caregiver can get away for a break. A free training will be offered January 22nd and 29th at Immaculate Conception Church in Columbia Heights for anyone interested in helping a caregiver. It is a fun and rewarding way of giving to your community. The only qualifications are to be a good listener and be willing to spend 2 -4 hours per week or month with an elderly person. Call Linda Hayen at 422 -6960 for more information. DRAFT RESOLUTION ON THE METROPOLITAN LIVABLE COMMUNITIES ACT October 25, 1995 WHEREAS, the North Metro Mayors Association (Association) is comprised of the following cities: Andover Brooklyn Center Columbia Heights Dayton New Brighton Ramsey Mounds View Anoka Brooklyn Park Coon Rapids Ham Lake New Hope Robbinsdale Blaine Circle Pines Crystal Minneapolis Oak Grove Spring Lake Park WHEREAS, the North Metro Mayors Association endorsed and urged our legislative delegation to vote for the Metropolitan Livable Communities Act (MLCA); and WHEREAS, the Association and its member cities fully understood that the MLCA did not provide our cities with the funding needed to deal with problems of deteriorating housing stock and lack of financial resources, much less address metropolitan social and economic imbalance; and WHEREAS, the NMMA and its member cities believed that the MLCA represented an opportunity to spotlight those metropolitan cities lacking affordable housing and prompting them to start addressing the issue; and WHEREAS, the NMMA and its member cities understood the need to address the issue of polluted lands, along with the need to stabilize and revitalize neighborhoods; and WHEREAS, the NMMA and its member cities understood that the MLCA provided limited funding incentives compared with the overall need; and WHEREAS, the NMMA and its member cities supported other legislation, unlikely to be signed by the Governor, that addressed metropolitan fiscal and housing needs and metro imbalances; and WHEREAS, the NMMA and its member cities recognized that if any regional legislation had the short-term opportunity to be enacted into law it would be MLCA, and then only as a first step in addressing regional needs; and DRAFT RESOLUTION ON THE MINNEAPOLIS CONVENTION CENTER EXPANSION October 25, 1995 WHEREAS, the North Metro Mayors Association (Association) is comprised of the following cities: Andover Brooklyn Center Columbia Heights Dayton New Brighton Ramsey Mounds View Anoka Brooklyn Park Coon Rapids Ham Lake New Hope Robbinsdale Blaine Circle Pines Crystal Minneapolis Oak Grove Spring Lake Park WHEREAS, the new Minneapolis Convention Center was completed in 1989 and has been operating at capacity since its opening; and WHEREAS, a convention center capable of attracting national and international shows and conventions is a crucial element for Minnesota business to exhibit their products to the nation and the world; and WHEREAS, the space needs of many national and international shows and convention centers has grown to the point that these events cannot consider the Twin cities; and WHEREAS, a convention center in Minneapolis is of benefit to the entire state and region; and WHEREAS, the City of Minneapolis is proposing an expansion of the convention center to be financed by the State of Minnesota; and NOW THEREFORE, BE IT RESOLVED by the North Metro Mayors Association the North Metro Mayors Association does support the City of Minneapolis request for State funds to finance an expansion of the Minneapolis Convention Center and urges all legislators representing member cities to actively support this project as needed public infrastructure to assist Minnesota business in marketing their products to the nation and world. C \dah�nmma\boud\mwnv.dm 111*( Tivin Cities Hai 101h zinniversaty Bitihlin- Co111ii1 mit)' December 6, 1995 Mr. Pat Hentges City Manager City of Columbia Heights 590 40th Avenue N.E. Columbia Heights, MN 55421 -3878 Dear Mr. Hentges, 3001 Fourth St. S.E. Minneapolis, MN 55414 (612) 331 -4090 (Office) (612) 331 -1540 (Fax) • • Stephen Seidel n.r Executive Director Twin Cities Habitat for Humanity Please consider this letter and the attached materials to be a proposal from Twin Cities Habitat for Humanity to the City of Columbia Heights to purchase several vacant lots owned by the City. Twin Cities Habitat for Humanity proposes developing these properties over a three -year period (1996 - 1998). The purchase price being offered by Twin Cities Habitat for Humanity for these lots is $1.00 per lot. The lots for which Twin Cities Habitat is making this offer, and the corresponding year during which Habitat proposes conducting the development of each lot, are as follows: Address A. 4549 Taylor Street N.E. B. 545 - 38th Avenue N.E. C. 547 - 38th Avenue N.E. D. 4656 Monroe Street N.E. E. 685 - 46 1/2 Avenue N.E. F. 1221 40th Avenue N.E. G. 566 38th Avenue N.E. H. 572 38th Avenue N.E. I. 578 38th Avenue N.E. Year of Development 1996 1996 1996 1997 1997 1997 1998 1998 1998 This offer is being made contingent upon the approval of Twin Cities Habitat for Humanity's Board of Directors. Such approval will be available only after full and specific details of the costs of developing homes at each of these sites are specified. On any and all of the lots which Twin Cities Habitat for Humanity might acquire as a result of this proposal, our organization would build a single family detached home. Examples of the style of homes which Habitat may build on these sites are enclosed. Once built, the homes will be (more) ;Ool Iollill?.�Uccl:, L • .11i,owap('11s. 11A » -i '-I • (01 2) j_)1- -+o�t1O • it ",12i.i_71- 15- t() F(i.v Mr. Pat Hentges City of Columbia Heights November 30, 1995 page 2 sold to families whose income does not exceed 50% of the state median income. These income guidelines, also enclosed, fall well below the maximums allowed by the HOME, CDBG or other federal or state programs designed to target housing assistance to low- income households. Twin Cities Habitat for Humanity is a non - profit housing developer which has built or rehabilitated more than 125 homes throughout the Twin Cities over the past nine years. During 1996, our preliminary plans call for creating as many as thirty -five homes or more, either through new construction or rehabilitation. As you know, we are preparing plans for construction of a home at 4535 Taylor Street N.E., and are nearing completion of construction of a home at 675 - 47th Avenue N.E. Before construction begins, Habitat staff and volunteers will finalize the home design plans, assemble the financial and material resources for the homes, train and prepare the construction volunteers, and identify and select the home buying families. While Twin Cities Habitat cannot guarantee that the families chosen for the homes that we will build as a result of this proposal will be from Columbia Heights, we will work hard to encourage Columbia Heights residents to submit applications. We would greatly appreciate any help which the City could give us in promoting the availability of this unique housing opportunities to Columbia Heights families. In any event, we can assure the City that all of the applicants will be thoroughly and fairly screened, and those that are selected will be very committed to their new homes, resulting from the 350 hours of "sweat equity" that they will need to provide to the construction of their home. I hope that this letter contains all of the information you need to consider our request. Please do not hesitate to contact me directly if you should have any questions. Very truly yours, Stephen Seidel Executive Director enclosures cc: Bob Seeman, Twin Cities Habitat for Humanity Northeast Area Chapter Site Selection Chair CJ m U 0 ctS Q) _ W° O LJL T U. 5p`, -1 i i I q a iL cl J Lk Q Q m J °A Z W a :;S S ••li 11 •. t;,• ^•1 -1S•• .i�'f•� • Y=om �: : IS 1•, \, �� I,rr'4� f .l000 II O -. W �O ^� T� O L7� • .lei,• • r,; f • t • t . r7 r • • f. 0-93 O�t� ` O -Oc , O Cd N 1+. a' 0 co Nt N ,r- N E O O L `O Q) m Q) Q) L I Q; � O L r O II O'er r Mir \�• �J • ]•L .tt!". \: �� • t' � � l'! -':'i .� :7 •� Vii:. I t T 1 t 111IMMIIININ1 t • :.t► �t •s. I I. .rt ' ' T C4 z/ m I I I I I 0 -9E 0 0 co 0 cb N TWIN CITIES HABITAT FOR HUMANITY INCOME GUIDELINES 1995 The maximum figures represent 50% of 1995 state median income levels. The minimum figures for 2 and 3- person families are based on 30% of 1995 state median income levels. Minimum Maximum Family Size Yearly Gross Monthly Yearly Gross Monthly Income Income 2 9,490 791 15,816 1,318 3 11,723 977 19,538 1,628 4 12,000 1,000 23,259 1,938 5 12,000 1,000 26,981 2,248 6 12,000 1,000 30,702 2,559 7 12,000 1,000 31,400 2,617 8 12,000 1,000 32,098 2,675 9 12,000 1,000 32,795 2,733 10 12,000 1,000 33,493 2,791 The maximum figures represent 50% of 1995 state median income levels. The minimum figures for 2 and 3- person families are based on 30% of 1995 state median income levels. SELECTION CRITERIA - Family's gross income must fall within income guidelines - Family must need decent, affordable housing - % of income spent on housing is high; if you're currently in subsidized housing you can be eligible if the other need factors exist. - overcrowding - run down conditions - Willingness to partner with TCHFH: - 350 hours of sweat equity, - participate in publicity about Habitat, - give TCHFH first option to buy the house, if you decide to sell it. The house will be appraised again and TCHFH will offer you 2/3 of new market value. - Lived in Twin Cities at least one year - No bankruptcy filed within past year and satisfactory handling of any bankruptcy within past 7 years - First time home buyer (have not owned a house within past 3 years) - Average house payment ($260) plus monthly debt (credit cards and loans) is less than 40% of monthly income - Credit report will be evaluated on your pattern of paying bills, plus the total amount of debt you owe - HONESTY - all information that is requested is provided and true. Withholding or falsifying information will result in the application being rejected. We will verify your income, current rent, relationship with landlord, and account status with utility companies. SaMeredith i dW.Cable 934 Woodhill Drive Roseville, MN 55113 December 11, 1995 Chairman Dennis Strolk Columbia Heights Cable Commission C/O 3938 Polk Street NE Columbia Heights, MN 55421 Dear Chairman Strolk: Kevin C. Griffin President & General Manager ��. �A' CITY Of COLLi >11A HEIGMS Fax) 612/483 -9184 612/483 -3233 I..... w.. w/ �� t..Sw ...� 'A.- -& I<l..r_jj,4-6. !^!i.lw .�.�i1 /'L. nlflw..nt.fl w�1w ICI /II.Inn Inn I±�� /Lp 1 411! I(ery' plaaS LV II II VIII! JVY VIOL 1►1%11WWiLII _—R-7 u11a �.VII.r1. w.1...�1 c..• »:as.., ..., now signed a Letter of Intent to enter Wo an agreement whereby Continental will purchase Meredith Cable's controlling Interest In the Meredith/New Heritage Partnership which owns the cable system. As you are aware, Continental has been a partner In our cable operations since 1986 and remained a partner when Hauser Communications sold its share of Cable TV North Central In 1992. We feel fortunate to have the opportunity to announce that a Company with the quality and expertise that Continental has, will be acquiring this property. Continental has a proven track record, both locally and across the country, of being an excellent operator. We feel that they are well equipped to continue to provide the type of service the residents of your franchise area have become accustomed to. A formal purchase agreement, along with the appropriate forms from the FCC (Form 394) will be forthcoming In the very near future. We are anticipating a completion of the sale in early to mid '96. We look forward to contacting you after the holidays (early January), and Introducing representatives from Continental to you. Everyone associated with Meredith Cable Is proud to have served the residents of your communities. Should you have any questions, please feel free to contact me at any time. Sincerely, KeW f KCG/grs CC: Linda Magee, Asst. to City Manager Cable Commission members Tom Creighton, Esq. Fran Zeull, Continental, St. Paul John Gibbs, Esq. Kathl Donnelly- Cohen, VP Public Affairs D ym T 0 �D r O 0 c m m D Z c m O -1 w N m m D D ') m C j C z v ;O S r D = m D C13 C S D Z C D < Z = m D V V Of O O W N V N 6 0 D W 0 = S � O v V m N V V _ co N Of V � O ZO N A V m m O VV vJ ONi O m p� V1 pA_� OD � fl1 � y OD N m A O 1 � J V D O V 0) (!� V O to V V Vt w V mV N Vt (O� m G V O D O ' O N N m m N _ N V V O m V ' OJ T T rQ A m 0 A M V (n V m -+ o cn 0 8 m 0 0 0 m o 6 D 0 En _ r- "a m tn o o of �n vii m m N O O O O O O O O O O ro O W �0 �� m rD- W -4 A O O O O O O O O O O O O D r N V O o O 0 O 0 O 0 O 0 O o 8 8 Q O O D m tD W Ui {Ni+ O Oi -�+ W' m J O Oi Z w X 8 V O V A N N N � m Z m V OJ V <n tD 4D IV Oo IJ N cn A N V 01 A G A O W (n fn N A O W (p Ifn 0 O O NO V V ' $ A 2 N N ON N N A O O V A � x �co r�1 OD to C O N O O �p ��,i N N O N cn O O O O (n O O V (n O (n C O O C O N V• O fn 8 O C O O VV1 V 01 N O O (J O W O O 37 N V Cf C O A O V O b1 C cn N N O W O O O m Co O W W W �ri b O Zr IJ 8 0 m 10 9 O V V m C O v Oo O�VOr m V W M (n O O N V (P w W V V �Op O H H w H N H M M H N En (Q) ➢ mm oa r>- O V OVD O 8 O g J - n V A o 0 V W A m n V N O n N m W - N N N N W N N N N —4 Obi m (On N (Oii (n v O r�.� fNn N (A� W mO N N V yOy W imrpp N bD (O� W fmn C V (O� O rw A m OOO � T D n Z 0 0D� o�w MM> c�0= wmm M r0 2 --I N CITY OF COLUMBIA HEIGHTS 590 40th Avenue N. E. Columbia Heights, MN 55421 -3878 (612) 782 -2800 \I.nur I,,,�.I,I ti ,L„ IC, December 15, 1995 ( ( 0 uncil III e III hers I)oll,lld 1. 'loll" kRICC (I N miocki (I' I.. Pctcl,oll Dear Shared Ride User: k0hrr( \V'. RLICIIim, inn (AN Manager As you are aware, the City of Columbia Heights received no bids for the Shared Ride Para - I' Transit System for 1996. Despite extensive discussions with the current provider, they decided not to continue to provide the Shared Ride service. Thus, Shared Ride will cease as of December 31, 1995. In an effort to continue to provide the residents of Columbia Heights with a door -to -door para- transit service, the City Council requested the Anoka County Board of Commissioners to include Columbia Heights and Hilltop under the Traveler service. At their meeting of December 12, 1995, Commissioner Kordiak recommended that the Anoka County Board of Commissioners approve inclusion of Columbia Heights and Hilltop under the Traveler service area. We are happy to report that the Anoka County Board of Commissioners unanimously approved Commissioner Kordiak's recommendation. Every effort will be made to ensure a smooth transition to the new transit service. We are confident that the Traveler Service will be implemented in Columbia Heights and Hilltop by late January, 1996. We recognize that the Traveler will operate differently than the Shared Ride cab, but it will provide a county -wide, door -to -door transportation service. A mailing detailing the new service will be forthcoming. Sincerely, Mayor Joseph Sturdevant cb Commissioner Jim Kordiak "SERVICE IS OUR BUSINESS" EQUAL OPPORTUNITY EMPLOYER q. 4. PLANNING AND ZONING COMMISSION REGULAR MEETING - MINUTES DECEMBER 5, 1995 PAGE 1 The Planning and Zoning Commission meeting of December 5, 1995 was called to order at 7:05 p.m. by Chair Person Szurek. Members present were Paulson, Fowler, Larson, Peterson and Szurek. Also present were Tina Goodroad (Zoning Coordinator), Evelyn Nygaard (Building Inspector), Donald Schneider (Director of Community Development) and Jim Hoeft (City Attorney). Motion by Fowler, seconded by Peterson, to approve the minutes from the November 8, 1995 meeting as presented in writing. Roll Call: All Ayes. NEW BUSINESS: Petitions, letters and request. A. Public Hearing Variance Case #9512 -56 Sulabren, Inc. RE: 1850 N.E. 49th Avenue Columbia Heights, Mn. Ms. Goodroad presented the request of Sulabren, Inc. and Mr. and Mrs. Gordon Anderson for a rear yard setback variance of thirteen (13) feet to allow the construction of a 14' x 18' addition with a 14' x 15' deck on the rear of the house located at 1850 N.E. 49th Avenue. She explained that the room addition could only be constructed on the rear of the house as there is no room on the other side of the house indicating that a site plan had been submitted showing the existing house, the placement of the addition with the deck on the east side of the addition and the irregular shape of the lot. Ms. Goodroad informed the Commission that Section 9.107(4)(c) of the Zoning Ordinance requires a thirty (30) foot rear yard setback. She also stated that the Zoning Ordinance indicates the shape of the lot as a qualified hardship and a reason to grant a variance if the addition could not be built in any way to conform with the Ordinance. Ms. Goodroad directed the Commissions attention to a letter received from Steve and Carol Mihalchick of 1820 N.E. 49th Avenue indicating that they have no objection to the variance for 1850 N.E. 49th Avenue. Motion by Larson, seconded by Fowler, to recommend to the City Council the approval of the thirteen (13) foot rear yard setback variance due to the hardship of the irregular shape of the lot. Roll Call: All Ayes. * *THIS ITEM TO APPEAR ON THE CITY COUNCIL AGENDA FOR DECEMBER 11, 1995. B. Public Hearing Stephen Kolosky Lotsplit 1521 N.E. 39th Avenue Case #9512 -57 Columbia Heights, Mn. PLANNING AND ZONING COMMISSION REGULAR MEETING - MINUTES DECEMBER 5, 1995 PAGE 2 Ms. Goodroad presented the request of Mr. and Mrs. Kolosky for a lotsplit of the property located at 1521 N.E. 39th Avenue legally described as the east 50 feet of Lot 4, Block 13, Auditors Subdivision of Waltons Sunny Acres Third Addition, Anoka County, Minnesota. She explained that the lotsplit would take a 50' x 55' portion from the north end of the lot at 1521 N.E. 39th Avenue and combine it with 1519 N.E. 39th Avenue. Ms. Goodroad directed the Commission's attention to a survey and proposed legal description in their agenda as well as a letter of intent from the property owners. She informed the Commission that the Kolosky's have owned both lots and live in the home at 1519 N.E. 39th Avenue while renting the house at 1521 N.E. 39th Avenue. There are two large garages on these lots which Mr. Kolosky currently uses for storage and has plans to continue to do so. They intend on selling the house at 1521 N.E. 39th Avenue but would like to maintain ownership of the 26' x 34' garage that sits on the far north end of the lot. The Kolosky's feel that this large size of a garage would not be desirable to a first time homebuyer who may be interested in the house. Ms. Goodroad informed the Commission that, once the lot is split, the house at 1521 N.E. 39th Avenue would not have a garage and the house at 1519 N.E. 39th Avenue would have three garages. However, Ms. Goodroad stated that the Zoning Ordinance does not specify or limit the number of accessory buildings or garages on one lot. She also informed the Commission that Section 9.116(4)(c) of the Parking Ordinance requires at least two (2) parking spaces, one of which shall be a garage. Council Representative Peterson and Commissioner Paulson expressed concerns over the unimproved alley abutting and ending at Mr. Kolosky's property. He inquired as to how many residences had access to the alley. Mr. Kolosky stated that there were six properties that had access. Commissioner Szurek thought an Ordinance had been approved limiting the number of garages on one lot. It was stated that the former Attorney's office "dropped the ball" and did not submit the completed Ordinance change to the City Council for final approval. Discussion followed as to the appropriate action to take to assure that a garage is constructed in a timely manner. Mr. Kolosky stated that he would be willing to work with the City to resolve this problem. The City Attorney recommended that a type of security be submitted to the City that could be approved by Staff to assure at least a one -car garage is constructed. Motion by Paulson, seconded by Larson, to recommend to the City Council the approval of the lotsplit provided at least a one -car garage be built or a security be provided by the current owner, that would be acceptable to Staff, to ensure that a garage is built at 1521 N.E. 39th Avenue prior to the lotsplit being combined with 1519 N.E. 39th Avenue and recorded as such with the Anoka County Assessor's office. Roll Call: All Ayes. *THIS ITEM TO APPEAR ON THE DECEMBER 11, 1995 CITY COUNCIL MEETING. PLANNING AND ZONING COMMISSION REGULAR MEETING - MINUTES DECEMBER 5, 1995 PAGE 3 C. Public Hearing Variance Case #9512 -58 Ken's Pump N' Munch 3955 University Avenue N.E. Columbia Heights, Mn. Ms. Goodroad presented the request of Mr. Syed Ahmed for a six foot variance to allow the installation of a pylon sign at 3955 University Avenue. The proposed pylon sign would measure 48 square feet and has been proposed to be placed on the 40th Avenue side of the building due to poor visibility along University Avenue. She further explained that the lot is of a triangle shape and only has 14.35 feet along 40th Avenue in which to place a sign. Mr. Ahmed expressed a desire to place the pylon sign on the 40th Avenue side of the building so the sign can be seen north and south on University Avenue. Such location of the sign is intended to help the Pump N'Munch station be competitive with the Food -N -Fuel station across the street which does have a pylon sign on the s.e. corner of the lot. Ms. Goodroad informed the Commission that Section 9.117A(10)(ii) of the Sign Ordinance allows one freestanding sign only if the building or structure is located twenty (20) feet or more from the front lot line, not to exceed seventy -five (75) square feet per surface and limited to two surfaces. Ms. Goodroad indicated that the submitted site plan shows the building being located fourteen (14) feet from University Avenue, which is considered the front lot line for this property. She informed the Commission that the building has a 28 foot frontage allowing a total of 56 square feet of signage for the property. She informed the Commission that the site plan and placement of the pylon sign was reviewed by the Assistant City Engineer, Kathy Young, and determined not to be in the public right -of -way. Ms. Goodroad informed the Commission that this site was granted a variance in June of 1984 decreasing the number of required parking spaces based on the difficult shape of the lot. Ms. Goodroad presented pictures of the site in question that were taken from the University Avenue service road showing the visibility problems due to overgrowth of bushes, trees, etc. She also stated that the business was going to be changing to a Conoco station. Commissioner Paulson questioned Staff whether the pylon sign for 3955 University Avenue could block the pylon sign for 4001 University Avenue. Motion by Larson, seconded by Paulson, to recommend to the City Council the approval of the six foot variance to Section 9.117A(10)(ii) of the Sign Ordinance to allow the installation of a pylon sign at 3955 University Avenue due to the hardship of the irregular shape of the lot and poor visibility of the site from University Avenue. Roll Call: * *THIS ITEM TO APPEAR ON THE DECEMBER 11, 1995 CITY COUNCIL AGENDA. PLANNING AND ZONING COMMISSION REGULAR MEETING - MINUTES DECEMBER 5, 1995 PAGE 4 D. Public Hearing Cond. Use PermitlVariance/Spec. Purp.Fence Case #9512 -59 James Rude 1260 N.E. 46th Avenue Columbia Heights, Mn. Ms. Goodroad presented the request of Mr. Rude for a variance to allow the construction of an addition onto a non - conforming structure at 1260 N.E. 46th Avenue, a Conditional Use Permit to allow the construction of a 14' x 20' utility building and permission to keep an already installed, six (6) foot high special purpose privacy fence along the east and west sides of the property which was installed without the required building permit and prior approvals. Ms. Goodroad addressed the variance request first stating that the entire existing structure is non - conforming as it has no structural footings. Mr. Rude would have to install proper footings to the existing structure and to the area he plans on adding if this variance would be approved. He has stated that he plans on doing the work himself and installing a wood foundation. The total value of this property is $42,600 with the building valued at $23,400 and the land valued at $19,200.00. Ms. Goodroad informed the Commission that Section 9.104(3)(j) of the Zoning Ordinance states that "alterations may be made to a building containing non - conforming residential units when the alteration will improve the livability thereof, provided it will not increase the number of dwelling units nor the outside perimeter of the building. Provided, however, that such alterations increasing the perimeter may be made when the alterations will improve the livability thereof and provided that a variance is obtained pursuant to Section 9.105(3) ". Ms. Goodroad directed the Commission's attention to Mr. Rude's site plan which indicated the existing house and proposed addition. The proposed addition would more than double the size of the house. Mr. Rude intends on removing the existing garage and rebuilding a new garage that will extend beyond the house line in the front by three feet. The plans also indicate a new kitchen area, fireplace, four- season porch and a partial basement. She felt the plans were difficult to interpret as far as dimensions of the existing rooms and the addition. She indicated that Staff was concerned about the property and the proposed plans. The Building Inspector questioned the cost effectiveness of the proposal as adding all the footings would be quite expensive and this would be done on a fairly low valued house. Ms. Goodroad stated that Staff has not received any engineering or architecturally drawn plans and this would absolutely be required by the Building Inspector before any permits would be issued. The Building Inspector also had concerns over the condition of the existing structure. It was Staff's opinion that the plans that have been filed are not complete enough to approve any variance or issue any permits. The Building Inspector, Evelyn Nygaard, was present to state that she had inspected the site and, in her opinion, it would be more feasible to tear down the existing dwelling and rebuild something new than to invest a lot of money to bring the existing to code. She stated that a lot of work had been already done in the dwelling. However, Mr. Rude has used untreated wood in the lower level, which will not last. She stated that the rooms are very small and the ceiling heights are short of eight feet. She felt Mr. Rude needed a professional consultant to draw his plans and put together cost figures on bringing the existing PLANNING AND ZONING COMMISSION REGULAR MEETING - MINUTES DECEMBER 5, 1995 PAGE 5 building to code. Ms. Goodroad stated that it should be noted that Staff has received concerns from adjacent property owners in the past regarding the work done without permits. She also stated that Mr. Rude also changed (raised) the grade of the lot in the rear and side yard and has junk and debri filling the entire yard. Ms. Goodroad stated that the enclosed site plan, although not to scale, meets all setback requirements as presented. Commissioner Peterson asked Staff if the 50% criteria of cost of structure versus cost of alterationslrepairs in the non - conforming section of the Zoning Ordinance could be applied in this case as was done in the case of the fire damaged property a few months ago. Attorney Hoeft replied that the 50% criteria Mr. Peterson referred to would not be used in this case as the building was not previously destroyed over 50% by fire or some type of calamity. Some Ordinances prohibit the expansion of a non - conforming dwelling if the cost of the expansion is over a certain percentage. However, he stated that this City does not have that criteria stating that our Zoning Ordinance requires that, if the remodeling of a non - conforming dwelling improves the liveability, that we use the language of the Zoning Ordinance to determine whether the Commission could allow the structure to be expanded. The City Attorney felt that what is being proposed by Mr. Rude is rather ambitious for this property given the Staff's viewpoint that the building must be brought into code compliance, most significantly being the footings. Commisioner Szurek asked Mr. Rude if he had consulted a structural engineer to see if it is feasible to put so much money and work into this structure. Mr. Rude replied that he had not used a consultant as he was in construction and worked on other houses. Commissioner Larson re- iterated that when using a wood foundation, the plans must be approved by a structural engineer before a building permit is issued. In addressing the state of his plans, Mr. Rude described what he is proposing to do in the existing building stating that he would use plans from a house in North Branch that has a wood foundation. Council Representative Peterson felt Mr. Rude's proposal was a very expensive proposition as well as being a difficult project. He inquired of Mr. Rude his timelines for completion of the full project. Mr. Rude stated that he anticipates he would be done within six months time. Mr. Peterson felt that was a very optimistic timeline as Mr. Rude is proposing to do all the work himself. Council Representative Peterson was concerned about the amount of time Mr. Rude may take to complete this large project. He inquired of the Building Inspector as to the length of time a building permit, once issued, is good for and how many times a permit could be renewed. PLANNING AND ZONING COMMISSION REGULAR MEETING - MINUTES DECEMBER 5, 1995 PAGE 6 Ms. Nygaard replied that a permit is valid for 180 days (six months). If the project is not completed at the end of the 180 days, but work continues, the permit does not lapse. Once the project has been abandoned or not worked on for 180 days, then the permit expires. If the owner wishes to complete or continue the work after the permit has expired, the permit may be renewed one time for an additional 180 days for a portion of the original fee. Council Representative Peterson asked for confirmation from the Building Inspector as to the fact that a project could then be carried on indefinitely as long as it continually progresses no matter how little. She confirmed that statement adding that there are other ordinances the City could use if the work site is hazardous or unsightly as far as debri accumulation is concerned. In addressing the request for a Conditional Use Permit to allow the construction of a 14' x 20' utility building, Ms. Goodroad stated that Section 9.109(2)(a) of the Zoning Ordinance requires a Conditional Use Permit for accessory structures other than private garages. She stated that the site plan also shows the proposed location for the accessory structure on the lot, fifteen feet from the proposed four - season porch, five feet from the side and rear property lines. She informed the Commission that Mr. Rude would be using this accessory structure for storage. Ms. Goodroad informed the Commission that Staff would like to see the accessory structure be approved to provide enough room for all of the junk in the yard and perhaps have a deadline imposed for the construction of the structure and the cleaning up of the yard if the Conditional Use Permit was to be approved. Ms. Goodroad presented the request of Mr. Rude for permission to keep an already installed six foot high special purpose privacy fence along the east and west sides of the property at 1260 N.E. 46th Avenue and is constructed of solid boards. This fence was installed without verification of the lot lines, without obtaining the required building permit and without obtaining the signatures of the abutting property owners. She informed the Commission that a portion of this fence is a large gate that can swing open and is not as stable as a properly anchored fence. The day she inspected the property, the gate portion of the fence swayed much more than the typical fence. Mr. Rude stated that the debri in his rear yard consisted of parts of an old patio he removed from his existing structure and is saving that wood to use in his renovation. He also stated that he has brought home a variety of wood from job sites to use in his renovation and hopes to store all of this in his new storage building. It was the concensus of the Commission that any wood used in the renovation of Mr. Rude's home not be used or scrap wood. Commissioner Paulson felt the privacy fence issue could be monitored by Staff as to location and construction. He re- iterated to Mr. Rude that the privacy fence must meet code and be installed inside his respective property lines. PLANNING AND ZONING COMMISSION REGULAR MEETING - MINUTES DECEMBER 5, 1995 PAGE 7 Motion by Peterson, seconded by Larson, to recommend to the City Council the approval of the 14' x 20' accessory structure in the rear of the lot provided acceptable plans are received and approved by the Building Inspector and a building permit is obtained prior to ANY construction being started for the utility building. Roll Call: All Ayes. *THIS ITEM TO APPEAR ON THE DECEMBER 11, 1995 CITY COUNCIL AGENDA. Motion by Peterson, seconded by Larson, to recommend to the City Council the approval of the six foot high solid board special purpose privacy fence provided the property irons are located to verify that the location of the fence is within the boundaries of the property and that the required building permit is obtained for the installation of the fence and that the fence be properly installed and approved by the Building Inspector. Roll Call: All Ayes. *THIS ITEM TO APPEAR ON THE DECEMBER 11, 1995 CITY COUNCIL AGENDA. Motion by Larson, seconded by Fowler, to recommend approval of the variance request provided professionally drawn and engineered plans for the footings and foundation be submitted to the Building Inspector along with a construction schedule prior to the request being submitted to the City Council for final approval. Roll Call: All Ayes. E. Public Hearing City of Columbia Heights Lotsplit RE: 721 N.E. 51st Avenue Case #9512 -60 Columbia Heights, Mn. Ms. Goodroad presented the request of the City of Columbia Heights for subdivision approval for a lotsplit of the property located at 721 N.E. 51st Avenue legally described as the north 3.6 acres of Lots 7 and 8, Auditor's Subdivision No. 51, Anoka County, Minnesota (to be combined with Tract B, Registered Land Survey No. 63, Anoka County, Minnesota) and the east 293 feet of Lot 9, Auditor's Subdivision No. 51, Anoka County, Minnesota. She directed the Commission's attention to the survey indicating the area to be split and combined with the Medtronic property at 800 N.E. 53rd Avenue stating that the area to be split is currently open park land. This lotsplit would enable Medtronic, Inc. to use the 3.6 acres being transferred to them from the City as part of their light manufacturing office facility (Neurological Division) expansion area at 800 N.E. 53rd Avenue. Gary Stockwell of 681 N.E. 51st Avenue was present to ask for clarification of the area to be split and the land to be obtained by Medtronic. He was concerned about interference with the park road, walkway, PLANNING AND ZONING COMMISSION REGULAR MEETING - MINUTES DECEMBER 5, 1995 PAGE 8 buildings, etc. Al Bates of 724 N.E. 51st Avenue was present to voice his objection to elimination of park land and the use of open space for building construction. He felt additional residents should have been notified and made aware of the proposal. He stated that he would be attending the City Council meeting. Motion by Paulson, seconded by Larson, to recommend to the City Council the approval of the lotsplit as requested as it meets code requirements provided that the lotsplit be combined with the property located at 800 N.E. 53rd Avenue. Roll Call: All Ayes. *THIS ITEM TO APPEAR ON THE DECEMBER 11, 1995 CITY COUNCIL AGENDA. Refer to Case #9512 -63 which was presented at this time. F. Public Hearing City of Columbia Heights Rezoning RE: 721 N.E. 51st Avenue Case #9512 -61 Columbia Heights, Mn. Ms. Goodroad presented the request of the City of Columbia Heights for the consideration of rezoning a portion of 721 N.E. 53rd Avenue from the present R -3, Multiple Family Residential District, to a RB, Retail Business District. She informed the Commission that this property is owned by the City and is being sold to Medtronic, Inc. for expansion of their facility at 800 N.E. 53rd Avenue. Ms. Goodroad directed the Commission's attention to a zoning map indicating the area to be rezoned stating that the property is currently open park land that is zoned R -3, Multiple Family Residential. The area directly to the north is zoned RB, Retail Business. She stated that the City is requesting the 3.6 acre parcel to be rezoned to RB to enable Medtronic, Inc. to use the land, when it is transferred to them as per the lotsplit, for the expansion of their light manufacturing /office facility at 800 N.E. 53rd Avenue. She informed the Commission that the property Medtronic currently owns to the north of this 3.6 acres is zoned RB so the request would mean extending the RB zoning designation south to include the 3.6 acres. She stated that this rezoning is necessary for the Medtronic expansion as the RB zone is the appropriate designation for their use. Ms. Goodroad referred to Section 9.113(3)(f) of the Retail Business Section of the Zoning Ordinance which is being recommended to be changed to read "Light warehousing and laboratories incidental to processing of small medical devices provided that the aggregate of such area of warehousing, laboratories, and processing incidental or necessary to conduct a permitted use does not exceed the total floor area devoted to the principal use ". PLANNING AND ZONING COMMISSION REGULAR MEETING - MINUTES DECEMBER 5, 1995 PAGE 9 Gary Stockwell of 681 N.E. 51st Avenue was in attendance to inquire as to the height of the proposed structures. Don Schneider stated that the building would not exceed three stories in height. Motion by Fowler, seconded by Paulson, to recommend to the City Council the approval of the rezoning of the north 3.6 acres of Lots 7 and 8, Auditor's Subdivision 51, Anoka County, Minnesota to RB, Retail Business. Roll Call: All Ayes. *THIS ITEM TO APPEAR ON THE DECEMBER 11, 1995 CITY COUNCIL AGENDA. G. Public Hearing City of Columbia Heights Compliance with City Comprehensive Plan 590 N.E. 40th Avenue Case #9512 -62 Columbia Heights, Mn. Ms. Goodroad presented a resolution approving the proposed modifications to the Central Business District Revitalization Plan and the adoption of the Tax Increment Financing Plan for the Medtronic Tax Increment District. She explained that the Medtronic District is a proposed economic development tax increment district which consists of all or portions of three parcels of land and adjacent and internal right of way. She informed the Commission that present plans for the new development on the site will include two phases each of 60,000 square feet of research and development and manufacturing facilities. Ms. Goodroad explained that the City and HRA have determined the need to create a tax increment financing district in accordance with Minnesota Statutes, Section 469.174 to 469.179, as amended and find that the Medtronic Tax Increment District to be an economic development district pursuant to Minnesota Statutes, Section 469.174, Subdivision 12, as the facilities will result in increased employment in the State. Ms. Goodroad informed the Commission that Medtronic, Inc. is currently proposing construction of new facilities in the Medtronic District. To facilitate these projects, she stated that this plan would authorize the use of tax increment financing to pay for the cost of certain eligible expenses totaling approximately $2,500,000. She stated that this Medtronic District and expansion of their facilities is important to the City for several reasons. It would provide for the expansion of an existing business that will remain a compatible land use in the area. It would also enhance the area for existing businesses in the District and along Central Avenue and for new business. She stated that all of these improvements would correspond to the goals of the Comprehensive Plan for the City. Commissioner Larson made the comment for the record that "we try to make expenditures as minimal as possible so we can maintain as much taxability to the School District as possible ". Motion by Larson, seconded by Paulson, to recommend to the City Council the approval of Resolution 95 -02, "Resolution of the Columbia Heights Planning and Zoning Commission finding the Central Business District PLANNING AND ZONING COMMISSION REGULAR MEETING - MINUTES DECEMBER 5, 1995 PAGE 10 Revitalization Plan for the Central Business District Redevelopment Project and the Tax Increment Financing Plan for Medtronic Tax Increment District to be consistent with the Comprehensive Plan of the City ". Roll Call: All Ayes. *THIS ITEM TO APPEAR ON THE DECEMBER 11, 1995 CITY COUNCIL AGENDA. H. Public Hearing City of Columbia Heights Zoning Ordinance Amendment 590 N.E. 40th Avenue Case #9512 -63 Columbia Heights, Mn. Ms. Goodroad explained that this item was not originally included in the agenda packet as this ordinance amendment was recently realized as a necessity to the implementation of the Medtronic project. She explained that the proposed amendment to Section 9.113(3)(f) of the Zoning Ordinance pertains to Permitted Accessory Uses in the "1313", Retail Business District. The proposed change is in letter "f" and is proposed in order to facilitate the two Medtronic expansions. She explained that Staff at Medtronics is concerned about the current 50% limit on processing of small medical devices that are incidental or necessary to the principal use. Ms. Goodroad's suggestion is that the percentage limitation be removed so that Medtronic's "processing" use can be more than 50 %. Without the second phase being completely planned, Medtronic is not certain about the percentage of overall processing once the two expansions are completed. She felt that the City would still be protected by the fact that any processing would still be limited to small medical devices. She did not feel that there are any real concerns for this to impact any other "RB" areas, as there are no other facilities where another similar use would have adequate space for such a business. She informed the Commission that when this use was added as a permitted use in the "RB" Ordinance, it was done to facilitate the purchase of the property at 800 N.E. 53rd Avenue by Medtronic, Inc. Motion by Peterson, seconded by Paulson, to forward the proposed amendment to Section 9.113(3) of the Retail Business Section of the Zoning Ordinance to the City Council for a first reading. Roll Call: All Ayes. *THIS ITEM TO APPEAR ON THE DECEMBER 11, 1995 CITY COUNCIL AGENDA. STAFF REPORTS: The Planning and Zoning Commission meeting for January 1996 was rescheduled to January 9, 1996 at 7:00 p.m. PLANNING AND ZONING COMMISSION REGULAR MEETING - MINUTES DECEMBER 5, 1995 PAGE 11 Motion by Paulson, seconded by Peterson, to adjourn the meeting at 9:15 p.m. Roll Call: All Ayes. Respectfully mitted, � A � Kathry Pepin Secretary to the Planning and Zoning Commission kp GL! PLANNING AND ZONING COMMISSION t REGULAR MEETING - MINUTES DECEMBER 5, 1995 PAGE 1 The Planning and Zoning Commission meeting of December 5, 1995 was called to order at 7:05 p.m. by Chair Person Szurek. Members present were Paulson, Fowler, Larson, Peterson and Szurek. Also present were Tina Goodroad (Zoning Coordinator), Evelyn Nygaard (Building Inspector), Donald Schneider (Director of Community Development) and Jim Hoeft (City Attorney). Motion by Fowler, seconded by Peterson, to approve the minutes from the November 8, 1995 meeting as presented in writing. Roll Call: All Ayes. NEW BUSINESS: Petitions, letters and request. A. Public Hearing Variance Case #9512 -56 Sulabren, Inc. RE: 1850 N.E. 49th Avenue Columbia Heights, Mn. Ms. Goodroad presented the request of Sulabren, Inc. and Mr. and Mrs. Gordon Anderson for a rear yard setback variance of thirteen (13) feet to allow the construction of a 14' x 18' addition with a 14' x 15' deck on the rear of the house located at 1850 N.E. 49th Avenue. She explained that the room addition could only be constructed on the rear of the house as there is no room on the other side of the house indicating that a site plan had been submitted showing the existing house, the placement of the addition with the deck on the east side of the addition and the irregular shape of the lot. Ms. Goodroad informed the Commission that Section 9.107(4)(c) of the Zoning Ordinance requires a thirty (30) foot rear yard setback. She also stated that the Zoning Ordinance indicates the shape of the lot as a qualified hardship and a reason to grant a variance if the addition could not be built in any way to conform with the Ordinance. Ms. Goodroad directed the Commissions attention to a letter received from Steve and Carol Mihalchick of 1820 N.E. 49th Avenue indicating that they have no objection to the variance for 1850 N.E. 49th Avenue. Motion by Larson, seconded by Fowler, to recommend to the City Council the approval of the thirteen (13) foot rear yard setback variance due to the hardship of the irregular shape of the lot. Roll Call: All Ayes. "THIS ITEM TO APPEAR ON THE CITY COUNCIL AGENDA FOR DECEMBER 11, 1995. B. Public Hearing Stephen Kolosky Lotsplit 1521 N.E. 39th Avenue Case #9512 -57 Columbia Heights, Mn. T PLANNING AND ZONING COMMISSION REGULAR MEETING - MINUTES DECEMBER 5, 1995 PAGE 2 Ms. Goodroad presented the request of Mr. and Mrs. Kolosky for a lotsplit of the property located at 1521 N.E. 39th Avenue legally described as the east 50 feet of Lot 4, Block 13, Auditors Subdivision of Waltons Sunny Acres Third Addition, Anoka County, Minnesota. She explained that the lotsplit would take a 50' x 55' portion from the north end of the lot at 1521 N.E. 39th Avenue and combine it with 1519 N.E. 39th Avenue. Ms. Goodroad directed the Commission's attention to a survey and proposed legal description in their agenda as well as a letter of intent from the property owners. She informed the Commission that the Kolosky's have owned both lots and live in the home at 1519 N.E. 39th Avenue while renting the house at 1521 N.E. 39th Avenue. There are two large garages on these lots which Mr. Kolosky currently uses for storage and has plans to continue to do so. They intend on selling the house at 1521 N.E. 39th Avenue but would like to maintain ownership of the 26' x 34' garage that sits on the far north end of the lot. The Kolosky's feel that this large size of a garage would not be desirable to a first time homebuyer who may be interested in the house. Ms. Goodroad informed the Commission that, once the lot is split, the house at 1521 N.E. 39th Avenue would not have a garage and the house at 1519 N.E. 39th Avenue would have three garages. However, Ms. Goodroad stated that the Zoning Ordinance does not specify or limit the number of accessory buildings or garages on one lot. She also informed the Commission that Section 9.116(4)(c) of the Parking Ordinance requires at least two (2) parking spaces, one of which shall be a garage. Council Representative Peterson and Commissioner Paulson expressed concerns over the unimproved alley abutting and ending at Mr. Kolosky's property. He inquired as to how many residences had access to the alley. Mr. Kolosky stated that there were six properties that had access. Commissioner Szurek thought an Ordinance had been approved limiting the number of garages on one lot. It was stated that the former Attorney's office "dropped the ball" and did not submit the completed Ordinance change to the City Council for final approval. Discussion followed as to the appropriate action to take to assure that a garage is constructed in a timely manner. Mr. Kolosky stated that he would be willing to work with the City to resolve this problem. The City Attorney recommended that a type of security be submitted to the City that could be approved by Staff to assure at least a one -car garage is constructed. Motion by Paulson, seconded by Larson, to recommend to the City Council the approval of the lotsplit provided at least a one -car garage be built or a security be provided by the current owner, that would be acceptable to Staff, to ensure that a garage is built at 1521 N.E. 39th Avenue prior to the lotsplit being combined with 1519 N.E. 39th Avenue and recorded as such with the Anoka County Assessor's office. Roll Call: All Ayes. *THIS ITEM TO APPEAR ON THE DECEMBER 11, 1995 CITY COUNCIL MEETING. PLANNING AND ZONING COMMISSION REGULAR MEETING - MINUTES DECEMBER 5, 1995 PAGE 3 C. Public Hearing Variance Case #9512 -58 Ken's Pump N' Munch 3955 University Avenue N.E. Columbia Heights, Mn. Ms. Goodroad presented the request of Mr. Syed Ahmed for a six foot variance to allow the installation of a pylon sign at 3955 University Avenue. The proposed pylon sign would measure 48 square feet and has been proposed to be placed on the 40th Avenue side of the building due to poor visibility along University Avenue. She further explained that the lot is of a triangle shape and only has 14.35 feet along 40th Avenue in which to place a sign. Mr. Ahmed expressed a desire to place the pylon sign on the 40th Avenue side of the building so the sign can be seen north and south on University Avenue. Such location of the sign is intended to help the Pump N'Munch station be competitive with the Food -N -Fuel station across the street which does have a pylon sign on the s.e. corner of the lot. Ms. Goodroad informed the Commission that Section 9.117A(10)(ii) of the Sign Ordinance allows one freestanding sign only if the building or structure is located twenty (20) feet or more from the front lot line, not to exceed seventy -five (75) square feet per surface and limited to two surfaces. Ms. Goodroad indicated that the submitted site plan shows the building being located fourteen (14) feet from University Avenue, which is considered the front lot line for this property. She informed the Commission that the building has a 28 foot frontage allowing a total of 56 square feet of signage for the property. She informed the Commission that the site plan and placement of the pylon sign was reviewed by the Assistant City Engineer, Kathy Young, and determined not to be in the public right -of -way. Ms. Goodroad informed the Commission that this site was granted a variance in June of 1984 decreasing the number of required parking spaces based on the difficult shape of the lot. Ms. Goodroad presented pictures of the site in question that were taken from the University Avenue service road showing the visibility problems due to overgrowth of bushes, trees, etc. She also stated that the business was going to be changing to a Conoco station. Commissioner Paulson questioned Staff whether the pylon sign for 3955 University Avenue could block the pylon sign for 4001 University Avenue. Motion by Larson, seconded by Paulson, to recommend to the City Council the approval of the six foot variance to Section 9.117A(10)(ii) of the Sign Ordinance to allow the installation of a pylon sign at 3955 University Avenue due to the hardship of the irregular shape of the lot and poor visibility of the site from University Avenue. Roll Call: "THIS ITEM TO APPEAR ON THE DECEMBER 11, 1995 CITY COUNCIL AGENDA. PLANNING AND ZONING COMMISSION REGULAR MEETING - MINUTES DECEMBER 5, 1995 PAGE 4 D. Public Hearing Cond. Use Permit /Variance /Spec. Purp.Fence Case #9512 -59 James Rude 1260 N.E. 46th Avenue Columbia Heights, Mn. Ms. Goodroad presented the request of Mr. Rude for a variance to allow the construction of an addition onto a non - conforming structure at 1260 N.E. 46th Avenue, a Conditional Use Permit to allow the construction of a 14' x 20' utility building and permission to keep an already installed, six (6) foot high special purpose privacy fence along the east and west sides of the property which was installed without the required building permit and prior approvals. Ms. Goodroad addressed the variance request first stating that the entire existing structure is non - conforming as it has no structural footings. Mr. Rude would have to install proper footings to the existing structure and to the area he plans on adding if this variance would be approved. He has stated that he plans on doing the work himself and installing a wood foundation. The total value of this property is $42,600 with the building valued at $23,400 and the land valued at $19,200.00. Ms. Goodroad informed the Commission that Section 9.104(3)(j) of the Zoning Ordinance states that "alterations may be made to a building containing non - conforming residential units when the alteration will improve the livability thereof, provided it will not increase the number of dwelling units nor the outside perimeter of the building. Provided, however, that such alterations increasing the perimeter may be made when the alterations will improve the livability thereof and provided that a variance is obtained pursuant to Section 9.105(3) ". Ms. Goodroad directed the Commission's attention to Mr. Rude's site plan which indicated the existing house and proposed addition. The proposed addition would more than double the size of the house. Mr. Rude intends on removing the existing garage and rebuilding a new garage that will extend beyond the house line in the front by three feet. The plans also indicate a new kitchen area, fireplace, four - season porch and a partial basement. She felt the plans were difficult to interpret as far as dimensions of the existing rooms and the addition. She indicated that Staff was concerned about the property and the proposed plans. The Building Inspector questioned the cost effectiveness of the proposal as adding all the footings would be quite expensive and this would be done on a fairly low valued house. Ms. Goodroad stated that Staff has not received any engineering or architecturally drawn plans and this would absolutely be required by the Building Inspector before any permits would be issued. The Building Inspector also had concerns over the condition of the existing structure. It was Staff's opinion that the plans that have been filed are not complete enough to approve any variance or issue any permits. The Building Inspector, Evelyn Nygaard, was present to state that she had inspected the site and, in her opinion, it would be more feasible to tear down the existing dwelling and rebuild something new than to invest a lot of money to bring the existing to code. She stated that a lot of work had been already done in the dwelling. However, Mr. Rude has used untreated wood in the lower level, which will not last. She stated that the rooms are very small and the ceiling heights are short of eight feet. She felt Mr. Rude needed a professional consultant to draw his plans and put together cost figures on bringing the existing PLANNING AND ZONING COMMISSION REGULAR MEETING - MINUTES DECEMBER 5, 1995 PAGE 5 building to code. Ms. Goodroad stated that it should be noted that Staff has received concerns from adjacent property owners in the past regarding the work done without permits. She also stated that Mr. Rude also changed (raised) the grade of the lot in the rear and side yard and has junk and debri filling the entire yard. Ms. Goodroad stated that the enclosed site plan, although not to scale, meets all setback requirements as presented. Commissioner Peterson asked Staff if the 50% criteria of cost of structure versus cost of alterations /repairs in the non - conforming section of the Zoning Ordinance could be applied in this case as was done in the case of the fire damaged property a few months ago. Attorney Hoeft replied that the 50% criteria Mr. Peterson referred to would not be used in this case as the building was not previously destroyed over 50% by fire or some type of calamity. Some Ordinances prohibit the expansion of a non - conforming dwelling if the cost of the expansion is over a certain percentage. However, he stated that this City does not have that criteria stating that our Zoning Ordinance requires that, if the remodeling of a non - conforming dwelling improves the liveability, that we use the language of the Zoning Ordinance to determine whether the Commission could allow the structure to be expanded. The City Attorney felt that what is being proposed by Mr. Rude is rather ambitious for this property given the Staff's viewpoint that the building must be brought into code compliance, most significantly being the footings. Commisioner Szurek asked Mr. Rude if he had consulted a structural engineer to see if it is feasible to put so much money and work into this structure. Mr. Rude replied that he had not used a consultant as he was in construction and worked on other houses. Commissioner Larson re- iterated that when using a wood foundation, the plans must be approved by a structural engineer before a building permit is issued. In addressing the state of his plans, Mr. Rude described what he is proposing to do in the existing building stating that he would use plans from a house in North Branch that has a wood foundation. Council Representative Peterson felt Mr. Rude's proposal was a very expensive proposition as well as being a difficult project. He inquired of Mr. Rude his timelines for completion of the full project. Mr. Rude stated that he anticipates he would be done within six months time. Mr. Peterson felt that was. a very optimistic timeline as Mr. Rude is proposing to do all the work himself. Council Representative Peterson was concerned about the amount of time Mr. Rude may take to complete this large project. He inquired of the Building Inspector as to the length of time a building permit, once issued, is good for and how many times a permit could be renewed. PLANNING AND ZONING COMMISSION REGULAR MEETING - MINUTES DECEMBER 5, 1995 PAGE 6 Ms. Nygaard replied that a permit is valid for 180 days (six months). If the project is not completed at the end of the 180 days, but work continues, the permit does not lapse. Once the project has been abandoned or not worked on for 180 days, then the permit expires. If the owner wishes to complete or continue the work after the permit has expired, the permit may be renewed one time for an additional 180 days for a portion of the original fee. Council Representative Peterson asked for confirmation from the Building Inspector as to the fact that a project could then be carried on indefinitely as long as it continually progresses no matter how little. She confirmed that statement adding that there are other ordinances the City could use if the work site is hazardous or unsightly as far as debri accumulation is concerned. In addressing the request for a Conditional Use Permit to allow the construction of a 14' x 20' utility building, Ms. Goodroad stated that Section 9.109(2)(a) of the Zoning Ordinance requires a Conditional Use Permit for accessory structures other than private garages. She stated that the site plan also shows the proposed location for the accessory structure on the lot, fifteen feet from the proposed four - season porch, five feet from the side and rear property lines. She informed the Commission that Mr. Rude would be using this accessory structure for storage. Ms. Goodroad informed the Commission that Staff would like to see the accessory structure be approved to provide enough room for all of the junk in the yard and perhaps have a deadline imposed for the construction of the structure and the cleaning up of the yard if the Conditional Use Permit was to be approved. Ms. Goodroad presented the request of Mr. Rude for permission to keep an already installed six foot high special purpose privacy fence along the east and west sides of the property at 1260 N.E. 46th Avenue and is constructed of solid boards. This fence was installed without verification of the lot lines, without obtaining the required building permit and without obtaining the signatures of the abutting property owners. She informed the Commission that a portion of this fence is a large gate that can swing open and is not as stable as a properly anchored fence. The day she inspected the property, the gate portion of the fence swayed much more than the typical fence. Mr. Rude stated that the debri in his rear yard consisted of parts of an old patio he removed from his existing structure and is saving that wood to use in his renovation. He also stated that he has brought home a variety of wood from job sites to use in his renovation and hopes to store all of this in his new storage building. It was the concensus of the Commission that any wood used in the renovation of Mr. Rude's home not be used or scrap wood. Commissioner Paulson felt the privacy fence issue could be monitored by Staff as to location and construction. He re- iterated to Mr. Rude that the privacy fence must meet code and be installed inside his respective property lines. PLANNING AND ZONING COMMISSION REGULAR MEETING - MINUTES DECEMBER 5, 1995 PAGE 7 Motion by Peterson, seconded by Larson, to recommend to the City Council the approval of the 14' x 20' accessory structure in the rear of the lot provided acceptable plans are received and approved by the Building Inspector and a building permit is obtained prior to ANY construction being started for the utility building. Roll Call: All Ayes. *THIS ITEM TO APPEAR ON THE DECEMBER 11, 1995 CITY COUNCIL AGENDA. Motion by Peterson, seconded by Larson, to recommend to the City Council the approval of the six foot high solid board special purpose privacy fence provided the property irons are located to verify that the location of the fence is within the boundaries of the property and that the required building permit is obtained for the installation of the fence and that the fence be properly installed and approved by the Building Inspector. Roll Call: All Ayes. *THIS ITEM TO APPEAR ON THE DECEMBER 11, 1995 CITY COUNCIL AGENDA. Motion by Larson, seconded by Fowler, to recommend approval of the variance request provided professionally drawn and engineered plans for the footings and foundation be submitted to the Building Inspector along with a construction schedule prior to the request being submitted to the City Council for final approval. Roll Call: All Ayes. E. Public Hearing Lotsplit Case #9512.60 City of Columbia Heights RE: 721 N.E. 51st Avenue Columbia Heights, Mn. Ms. Goodroad presented the request of the City of Columbia Heights for subdivision approval for a lotsplit of the property located at 721 N.E. 51st Avenue legally described as the north 3.6 acres of Lots 7 and 8, Auditor's Subdivision No. 51, Anoka County, Minnesota (to be combined with Tract B, Registered Land Survey No. 63, Anoka County, Minnesota) and the east 293 feet of Lot 9, Auditor's Subdivision No. 51, Anoka County, Minnesota. She directed the Commission's attention to the survey indicating the area to be split and combined with the Medtronic property at 800 N.E. 53rd Avenue stating that the area to be split is currently open park land. This lotsplit would enable Medtronic, Inc. to use the 3.6 acres being transferred to them from the City as part of their light manufacturing office facility (Neurological Division) expansion area at 800 N.E. 53rd Avenue. Gary Stockwell of 681 N.E. 51st Avenue was present to ask for clarification of the area to be split and the land to be obtained by Medtronic. He was concerned about interference with the park road, walkway, PLANNING AND ZONING COMMISSION REGULAR MEETING - MINUTES DECEMBER 5, 1995 PAGE 8 buildings, etc. Al Bates of 724 N.E. 51st Avenue was present to voice his objection to elimination of park land and the use of open space for building construction. He felt additional residents should have been notified and made aware of the proposal. He stated that he would be attending the City Council meeting. Motion by Paulson, seconded by Larson, to recommend to the City Council the approval of the lotsplit as requested as it meets code requirements provided that the lotsplit be combined with the property located at 800 N.E. 53rd Avenue. Roll Call: All Ayes. *THIS ITEM TO APPEAR ON THE DECEMBER 11, 1995 CITY COUNCIL AGENDA. Refer to Case #9512 -63 which was presented at this time. F. Public Hearing Rezoning Case #9512 -61 City of Columbia Heights RE: 721 N.E. 51st Avenue Columbia Heights, Mn. Ms. Goodroad presented the request of the City of Columbia Heights for the consideration of rezoning a portion of 721 N.E. 53rd Avenue from the present R -3, Multiple Family Residential District, to a RB, Retail Business District. She informed the Commission that this property is owned by the City and is being sold to Medtronic, Inc. for expansion of their facility at 800 N.E. 53rd Avenue. Ms. Goodroad directed the Commission's attention to a zoning map indicating the area to be rezoned stating that the property is currently open park land that is zoned R -3, Multiple Family Residential. The area directly to the north is zoned RB, Retail Business. She stated that the City is requesting the 3.6 acre parcel to be rezoned to RB to enable Medtronic, Inc. to use the land, when it is transferred to them as per the lotsplit, for the expansion of their light manufacturingloffice facility at 800 N.E. 53rd Avenue. She informed the Commission that the property Medtronic currently owns to the north of this 3.6 acres is zoned RB so the request would mean extending the RB zoning designation south to include the 3.6 acres. She stated that this rezoning is necessary for the Medtronic expansion as the RB zone is the appropriate designation for their use. Ms. Goodroad referred to Section 9.113(3)(f) of the Retail Business Section of the Zoning Ordinance which is being recommended to be changed to read "Light warehousing and laboratories incidental to processing of small medical devices provided that the aggregate of such area of warehousing, laboratories, and processing incidental or necessary to conduct a permitted use does not exceed the total floor area devoted to the principal use ". PLANNING AND ZONING COMMISSION REGULAR MEETING - MINUTES DECEMBER 5, 1995 PAGE 9 Gary Stockwell of 681 N.E. 51st Avenue was in attendance to inquire as to the height of the proposed structures. Don Schneider stated that the building would not exceed three stories in height. Motion by Fowler, seconded by Paulson, to recommend to the City Council the approval of the rezoning of the north 3.6 acres of Lots 7 and 8, Auditor's Subdivision 51, Anoka County, Minnesota to RB, Retail Business. Roll Call: All Ayes. *THIS ITEM TO APPEAR ON THE DECEMBER 11, 1995 CITY COUNCIL AGENDA. G. Public Hearing City of Columbia Heights Compliance with City Comprehensive Plan 590 N.E. 40th Avenue Case #9512 -62 Columbia Heights, Mn. Ms. Goodroad presented a resolution approving the proposed modifications to the Central Business District Revitalization Plan and the adoption of the Tax Increment Financing Plan for the Medtronic Tax Increment District. She explained that the Medtronic District is a proposed economic development tax increment district which consists of all or portions of three parcels of land and adjacent and internal right of way. She informed the Commission that present plans for the new development on the site will include two phases each of 60,000 square feet of research and development and manufacturing facilities. Ms. Goodroad explained that the City and HRA have determined the need to create a tax increment financing district in accordance with Minnesota Statutes, Section 469.174 to 469.179, as amended and find that the Medtronic Tax Increment District to be an economic development district pursuant to Minnesota Statutes, Section 469.174, Subdivision 12, as the facilities will result in increased employment in the State. Ms. Goodroad informed the Commission that Medtronic, Inc. is currently proposing construction of new facilities in the Medtronic District. To facilitate these projects, she stated that this plan would authorize the use of tax increment financing to pay for the cost of certain eligible expenses totaling approximately $2,500,000. She stated that this Medtronic District and expansion of their facilities is important to the City for several reasons. It would provide for the expansion of an existing business that will remain a compatible land use in the area. It would also enhance the area for existing businesses in the District and along Central Avenue and for new business. She stated that all of these improvements would correspond to the goals of the Comprehensive Plan for the City. Commissioner Larson made the comment for the record that "we try to make expenditures as minimal as possible so we can maintain as much taxability to the School District as possible ". Motion by Larson, seconded by Paulson, to recommend to the City Council the approval of Resolution 95.02, "Resolution of the Columbia Heights Planning and Zoning Commission finding the Central Business District PLANNING AND ZONING COMMISSION REGULAR MEETING - MINUTES DECEMBER 5, 1995 PAGE 10 Revitalization Plan for the Central Business District Redevelopment Project and the Tax Increment Financing Plan for Medtronic Tax Increment District to be consistent with the Comprehensive Plan of the City ". Roll Call: All Ayes. *THIS ITEM TO APPEAR ON THE DECEMBER 11, 1995 CITY COUNCIL AGENDA. H. Public Hearing Zoning Ordinance Amendment Case #9512 -63 City of Columbia Heights 590 N.E. 40th Avenue Columbia Heights, Mn. Ms. Goodroad explained that this item was not originally included in the agenda packet as this ordinance amendment was recently realized as a necessity to the implementation of the Medtronic project. She explained that the proposed amendment to Section 9.113(3)(f) of the Zoning Ordinance pertains to Permitted Accessory Uses in the "FIB", Retail Business District. The proposed change is in letter "f" and is proposed in order to facilitate the two Medtronic expansions. She explained that Staff at Medtronics is concerned about the current 50% limit on processing of small medical devices that are incidental or necessary to the principal use. Ms. Goodroad's suggestion is that the percentage limitation be removed so that Medtronic's "processing" use can be more than 50 %. Without the second phase being completely planned, Medtronic is not certain about the percentage of overall processing once the two expansions are completed. She felt that the City would still be protected by the fact that any processing would still be limited to small medical devices. She did not feel that there are any real concerns for this to impact any other "RB" areas, as there are no other facilities where another similar use would have adequate space for such a business. She informed the Commission that when this use was added as a permitted use in the "RB" Ordinance, it was done to facilitate the purchase of the property at 800 N.E. 53rd Avenue by Medtronic, Inc. Motion by Peterson, seconded by Paulson, to forward the proposed amendment to Section 9.113(3) of the Retail Business Section of the Zoning Ordinance to the City Council for a first reading. Roll Call: All Ayes. *THIS ITEM TO APPEAR ON THE DECEMBER 11, 1995 CITY COUNCIL AGENDA. STAFF REPORTS: The Planning and Zoning Commission meeting for January 1996 was rescheduled to January 9, 1996 at 7:00 p.m. PLANNING AND ZONING COMMISSION REGULAR MEETING - MINUTES DECEMBER 5, 1995 PAGE 11 Motion by Paulson, seconded by Peterson, to adjourn the meeting at 9:15 p.m. Roll Call: All Ayes. Respectfully mitted, Kathry Pepin Secretary to the Planning and Zoning Commission kp