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HomeMy WebLinkAboutJuly 9, 2001 RegularCITY OF COLUMBIA HEIGHTS 590 40th Avenue N.E., Columbia Heights, MN 55421-3878 (763) 706-3600 TDD (763) 706-3692 Visit Our Website at: www. ci. colurnbia-heights, mn.us ADMINISTRATION July 6, 2001 Mt~},or Gary L. Peterson Councilmembers Marlaine Szurek Julienne Wyckoff Bruce Nawrocla' Robert ,q. WiLliams Ci~y Manager Waiter R. Fehst The following is the agenda for the regular meeting of the City Council to be held at 7:00 PM on Monday, July 9, 2001 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 disabled persons are available upon request when the request is made at least 96 hours in advance. Please call the Deputy City Clerk at 763-706-3611, to make arrangements. (TDD/706-3692 for deaf or hearing impaired only) 1. CALL TO ORDER/ROLL CALL 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 the next order of business.) A) MOTION: Move to approve the Consent Agenda items as follows: 1) Minutes for Approval MOTION: Move to approve the minutes of the June 25, 2001, regular City Council meeting as presented. 2) Establish Hearing Date regarding License Revocation or Suspension of Rental Properties at 1224- 1226 Circle Terrace Blvd, 1024-1026 45th Avenue, 1035-1037 43-1/2 Avenue, 4420-4422 Monroe Street and 4612 Polk Street MOTION: Move to Establish a Hearing Date of July 23, 2001 for Revocation or Suspension of a License to Operate a Rental Property within the City of Columbia Heights against Salman Ali at 1224-1226 Circle Terrace Blvd NE. RECOMMENDED MOTION: Move to Establish a Hearing Date of July 23, 2001 for Revocation or Suspension of a License to Operate a Rental Property within the City of Columbia Heights against Raymond Buganski at 1024-1026 45th Avenue NE RECOMMENDED MOTION: Move to Establish a Hearing Date of July 23, 2001 for Revocation or Suspension of a License to Operate a Rental Property within the City of Columbia Heights against Thomas Ferrara at 1035-1037 43-1/2 Avenue NE. RECOMMENDED MOTION: Move to Establish a Hearing Date of July 23, 2001 for Revocation or Suspension of a License to operate a Rental Property within the City of Columbia Heights EQUAL OPPORTUNITY EMPLOYER City Council Agenda July 9, 2001 Page 2 of 3 MOTION: Move to Establish a Hearing Date of July 23, 2001 for Revocation or Suspension of a License to Operate a Rental Property within the City of Columbia Heights against Marilyn Dalseth at 4612 Polk Street NE. 3) Approve Business License Applications MOTION: Move to approve the items as listed on the business license agenda for July 9, 2001 as presented and that the fee of $200 for Immaculate Conception Church be waived. 4) Approve Payment of Bills MOTION: Move to pay the bills, as listed, out of the proper fund. 5. PROCLAMATIONS, PRESENTATIONS~ RECOGNITIONS AND GUESTS A) Proclamations B) Presentations C) Introduction of New Employees D) Recognition 6. PUBLIC HEARINGS 7. ITEMS FOR CONSIDERATION A) Other Business 1) Appointment -Park and Recreation Commission Member MOTION: Move to appoint to the current vacancy on the Park and Recreation Commission with the term to expire on April 1, 2006. 2) Approve Purchase Agreement for the property at 500 Mill Street MOTION: Move to authorize the City Manager to enter into an agreement for the purchase of the property at 500 Mill Street in the amount of $135,000, with funds to come from the proceeds resulting from the sale of the Sullivan Lake project to Medtronic. 3) Approve the Sale and Development Agreement Relating to 3913 Polk Street NE and 4401 Quincy Street NE. by and between the City of Columbia Heights, the Economic Development Authority of Columbia Heights and Twin Cities Habitat for Humanity. MOTION: Move to Approve and Adopt the Sale and Development Agreement relating to 3913 Polk Street NE and 4401 Quincy Street NE by and between the City of Columbia Heights, the Economic Development Authority of Columbia Heights and Twin Cities Habitat for Humanity contingent upon the passage of the appropriate Ordinances and Resolutions required for execution of said agreement. B) Other Ordinances and Resolutions 1) Approval of Resolution 2001-43 Authorizing the Purchase of 4401 Quincy Street NE. MOTION: Move to Waive the Reading of Resolution 2001-43, there being ample copies available to the public. MOTION: Move to Approve and Adopt Resolution No. 2001-43 Authorizing the purchase of 4401 Quincy Street NE City Council Agenda July 9, 2001 Page 3 of 3 2) First Reading of Ordinance No. 1430, being an Ordinance Authorizing the Conveyance of Certain Real Estate located at 4401 Quincy Street NE in the City of Columbia Heights. MOTION: Move to Waive the Reading of Ordinance No. 1430, there being ample copies available to the Public. MOTION: Move to establish July 23, 2001 as the Second Reading of Ordinance 1430, being an Ordinance Authorizing the Conveyance of Certain Real Estate located at 4401 Quincy Street NE. in the City of Columbia Heights. 3) First Reading of ordinance No. 1431, being an Ordinance Setting the Sale Date for the Issuance of $2,785,000 General Obligation Tax Increment Refunding Bonds, Series 200lA. Move to waive the reading of Ordinance No. 1431, there being ample copies available to the public. Move to schedule July 23, 2001 for the second reading of Ordinance No. 1431, being an Ordinance Setting the Sale Date for the Issuance of $2,785,000 General Obligation Tax Increment Refunding Bonds, Series 200lA. C) Bid Considerations 8. ADMINISTRATIVE REPORTS A) Report of the City Manager B) Report of the City Attorney GENERAL COUNCIL COMMUNICATIONS A) Minutes of Boards and Commissions 1) Meeting of the June 21, 2001, Telecommunications Commission 2) Meeting of the May 15, 2001, Economic Development Authority 3) Meeting of the June 27, 2001, Park and Recreation Commission 10. CITIZENS FORUM (At this time, citizens have an opportunity to discuss with the Council items not on the regular agenda. Citizens are 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.) 11. ADJOURNMENT (.~/Lifida/Magee, Acting~ger OFFICIAL PROCEEDINGS COLUMBIA HEIGHTS CITY COUNCIL REGULAR COUNCIL MEETING JUNE 25, 2001 THESE MINUTES lqAVE .NOI BEEN APPROVED, The follow are the minutes for the regular meeting of the Columbia Heights City Council held at 7:00 p.m. on Monday, June 25, 2001 in the City Council Chambers, City Hall, 590 40th Avenue N.E., Columbia Heights, Minnesota. CALL TO ORDER/ROLL CALL Present: Councilmember Williams, Councilmember Wyckoff, Councilmember Nawrocki, Mayor Peterson Absent: Councilmember Szurek PLEDGE OF ALLEGIANCE MISCELLANEOUS Mayor Peterson explained that Councilmember Szurek is in Alabama for the commission ora new ship and a ride on the maiden voyage. ADDITIONS/DELETIONS TO MEETING AGENDA - none CONSENT AGENDA A) MOTION by Nawrocki, second by Wyckoff, to remove Item #2 and to approve the remaining Consent Agenda items as follows: 1) Minutes for Approval MOTION to approve the minutes of the June 11, 2001, regular City Council meeting as presented. 2) Establish Work Session Meeting Dates for Monday, July 2, 2001 beginning at 7:00 p.m. and Monday, July 16, 2001 beginning at 7:00 p.m. -REMOVED Walt Fehst, City Manager, recommended that only the work session for July 16 be scheduled. He read a preliminary list of items to be discussed at the July 16, 2001 work session: Bids for Sewer pipe lining, final plans for University Avenue Sound Wall, sanitary sewer cross connection to Jackson Pond, sale and development agreement for 3913 Polk Street and 4401 Quincy Street, unclaimed property ordinance, junk and abandoned vehicles, and computer replacement for the Library. Nawrocki requested Item #2 be removed from the consent agenda. 3) Authorize transfer of funds from General Fund to Police Department Budget to reimburse overtime fund MOTION to transfer $1,820, the total amount received from Unique Thrift store, Valley View Elementary PTA, and Columbia Heights High School for off duty security worked, from the General Fund to the Police Department 2001 budget under line 1020, police overtime. 4) Authorize acceptance of COPS More '98 Grant MOTION to accept the COPS More '98 federal equipment block grant #98-CM-WX-1653 for $11,358, with a local match of $3,787, funds to cover the match to come from unexpended funds in the 2001 Police Department budget. MOTION to approve the purchase of four cellular digital packet modems at a cost of $1,280 plus tax, five Toshiba laptop computers at a cost of $9,750 plus tax, and eight CDPD antennas City Council Minutes June 25, 2001 Page 2 of 4 with mounting brackets at a cost of $312 plus tax, funds to come from the COPS More '98 federal equipment grant fund #227-42120. 5) Approve application for one-time Gambling Request by the East River Hockey Association MOTION to direct the City Manager to forward a letter to the State Charitable Gambling Control Board indicating that the City of Columbia Heights has no objection to a one-time bingo event to be conducted by the East River Hockey Association at the Church of the Immaculate Conception, 4030 Jackson Street NE, Columbia Heights, on August 11 and 12, 2001; and furthermore, that the City of Columbia Heights hereby waives the remainder of the thirty-day notice to the local governing body. 6) Approve Business License Applications MOTION to approve the items as listed on the business license agenda for June 25, 2001 as presented. 7) Approve Payment of Bills MOTION to pay the bills, as listed, out of the proper fund. Nawrocla' questioned why the yellow detailed check summary is not included in the information packet to the Library and the meeting room copy, as aH non-public information has been removed. Fehst stated that Council direction was to have one copy available at the meeting. Fehst stated the extra copies could be done, however there is no guarantee that all private information will be caught and deleted. Nawrocki stated that the people have a right to know this information. Wyckoff agreed, and stated this is a helpful document. Peterson questioned the ramifications if non-public information becomes public. Jim Hoefi, City Attorney, stated there could be legal ramifications if personal information is released. Peterson asked the attorney to review this type of document for an opinion on its release to the public. Hoefl stated the review would have to be done each time a new document is released, as the data changes each time. He stated that there is certain level of risk involved, but Council can choose to make this documentpublic if they wish. Williams stated the initial consensus of the Council was to not give out this information. Peterson suggested this discussion wait until the next meeting when Councilmember Szurek is present and the Finance Director can explain the privacy issues involved. Nawrocki suggested have something in writing explaining this. Nawrocki referred to the June 11 bill list expenditure on air conditioning for a large City vehicle; stating that the truck is used an average of 500 hours per year, and for the limited use, he questioned the value of the expenditure. Upon Vote: Aye - Williams, Wyckoff, Nawrocki, and Peterson. All ayes. Motion carried. Establish Work Session Meeting Dates - Item #2 MOTION by Nawrocki, that in lieu of a work session on Monday, July 16, a special meeting be held at 8:00 p.m. to consider business in an effort to be open to the public. Fehst indicated that no action is taken at a work session. He described the information given at a work session as preliminary information, and he felt this is a good way to operate. Nawrocla' stated that he understands openness in government and wants to change the way it is done. Peterson stated this was previously discussed at length, and work sessions are open to the public and allow for a more relaxed atmosphere. Motion died for lack of a second. City Council Minutes June 25, 2001 Page 3 of 4 MOTION by Wyckoff, second by Williams, to establish a Work Session meeting date for Monday, July 16, 2001 beginning at 7:00 p.m. Upon vote: Ayes: Williams, Wyckoff, Peterson. Nay: Nawrocki. Motion carried 3 votes to 1. PROCLAMATIONS~ PRESENTATIONS~ RECOGNITIONS AND GUESTS A) Proclamations-none B) Presentations-none C) Introductions-none D) Recognition Mayor Peterson introduced David Roberts, U.S. Taekwondo Champion and read the recognition certificate he presented Mr. Roberts. Mr. Roberts thanked his family and instructor for their support and gave a history of his involvement with Taekwondo. All Council members asked Mr. Roberts questions about this sport and his involvement. Mr. Roberts is also the owner of the Dave's Heating and Air Conditioning business in Columbia Heights. Peterson requested that if anyone in our community has an achievement they would like to share, to let someone know so they could also be recognized. PUBLIC HEARINGS - none ITEMS FOR CONSIDERATION A) Other Ordinances and Resolutions -none B) Bid Considerations - none C) Other Business 1) Appointment -Park and Recreation Commission Member MOTION by Nawrocki, second by Wyckoff, to appoint Tom Greenhalgh to the current vacancy on the Park and Recreation Commission with the term to expire on April 1, 2006. Upon vote: Aye - Wyckoff, Nawrocki. Nay - Williams, Peterson. Motion failed - 2 ayes, 2 nays. MOTION by Williams, second by Peterson, to table the appointment of the Park and Recreation Commissioner until Councilmember Szurek returns. Wyckoff stated she was glad this item would be tabled because it was a tough decision, as two of the applicants were both very qualified and complimented each other; and that if any current members who have not been attending meetings of the Commission chose to step down that both applicants couM be appointed. Upon vote: Aye- Williams, Wyckoff, Peterson. Nay- Nawrocki. Motion carried -3 ayes, 1 nay. ADMINISTRATIVE REPORTS A) Report of the City Manager - none B) Report of the City Attorney - none GENERAL COUNCIL COMMUNICATIONS A) Minutes of Boards and Commissions 1) Meeting of the June 5, 2001, Library Board of Trustees City Council Minutes June 25, 2001 Page 4 of 4 2) Meeting of the April 19, 2001 Charter Commission CITIZENS FORUM -none MISCELLANEOUS Nawrocki stated the grass needs cutting at the house on the intersection of 44th and 5tn Streets. Fehst stated it has been cut. Nawrocla' felt it needs it again. Nawrocki again questioned the size of the signage on the Casting Theatre. Fehst stated that the City Planner indicated the lettering size is within our ordinance. The construction was stopped and they changed the letter size to meet code. Fehst will have the City Planner put together an explanation of this. Wyckoff stated that she likes the sign. Fehst felt it is creative and nice looking. Nawrocki did not agree with using size of the letters. Nawrocla' indicated items for the upcoming City newsletter should include: City budget information and the process, information relative to a possible Point of Sale Ordinance, and possible budget hearing dates. Nawrocki stated the City Council meetings were not broadcast on Saturday and Sunday. Nawrocki referred to information received at the League of MN Cities Conference which included future GASB Y financial reporting, 2001 law summaries, new requirements on fees established and records kept, and "Power of Giving" which helps communities raise private funds for projects. Peterson agreed that the Casting Theatre sign was large, but it is rather unique, and he indicated his hope that they remain in Columbia Heights a long time. Peterson indicated that at the League of MN Cities Conference he attended a session entitled "Life in a Fish Bowl", which reflected the saying he uses to close every meeting: Don't take life too seriously, laugh at ourselves, enjoy life, and do a random act of kindness for someone. ADJOURNMENT Mayor Peterson adjourned the meeting at 7:50 p.m. Patricia Muscovitz, Deputy City Clerk CITY COUNCIL LETTER Meeting of: July 9, 2001 AGENDA ORIGINATING CITY DEPARTMENT: MANAGER SECTION: L{./~ _~ Fire APPROVAL NO: ITEM: Establish Hearing Dates BY: Dana Alexon B~~ License Revocation, Rental Properties NO: DATE: July 3, 2001 :~ 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 Residential Maintenance Codes. 1. Salman Ali .................................................................... 1224-1226 Circle Terrace Blvd NE 2. Raymond Buganski ....................................................... 1024-1026 45~ Avenue NE 3. Thomas Ferrara ............................................................. 1035-1037 43-1/2 Avenue NE 4. Duncan McClellan ........................................................ 4420-4422 Monroe Street NE 5. Marilyn Dalseth ............................................................ 4612 Polk Street NE RECOMMENDED MOTION: Move to Establish a Heating Date of July 23, 2001 for Revocation or Suspension of a License to Operate a Rental Property within the City of Columbia Heights against Salman Ali at 1224-1226 Circle Terrace Blvd NE. RECOMMENDED MOTION: Move to Establish a Heating Date of July 23, 2001 for Revocation or Suspension of a License to Operate a Rental Property within the City of Columbia Heights against Raymond Buganski at 1024-1026 45th Avenue NE RECOMMENDED MOTION: Move to Establish a Hearing Date of July 23, 2001 for Revocation or Suspension of a License to Operate a Rental Property within the City of Columbia Heights against Thomas Ferrara at 1035- 1037 43-1/2 Avenue NE. RECOMMENDED MOTION: Move to Establish a Hearing Date of July 23, 2001 for Revocation or Suspension of a License to Operate a Rental Property within the City of Columbia Heights against Duncan McClellan at 4420-4422 Monroe Street NE. RECOMMENDED MOTION: Move to Establish a Hearing Date of July 23, 2001 for Revocation or Suspension of a License to Operate a Rental Property within the City of Columbia Heights against Marilyn Dalseth at 4612 Polk Street NE. COUNCIL ACTION: CITY COUNCIL LETTER Meeting off July 9, 2001 ORIGINATING DEPT.: CITY MANAGER AGENDA SECTION: q' A- ~ License Department APPROVAL NO: ITEM: License Agenda BY: Shelley Hanson~)~e.x NO: DATE: July 3, 2001 B BACKGROUND/ANALYSIS Attached is the business license agenda for the July 9, 2001 City Council meeting. The agenda consists of applications for contractors licenses and a Single Event Liquor License for the operation of a beer garden in conjunction with the ICC Fun Fest being held August 11 & 12th. The Police Department has done the necessary background check and has found nothing that would preclude them from being issued a temporary on sale 3.2 beer license. Immaculate Conception has requested the fee of $200 be waived as has been done in previous years. At the top of the license agenda you will notice a phrase stating *~Signed Waiver Form Accompanied Application~. This means that the data privacy form has been submitted as required. If not submitted, certain information cannot be released to the public. RECOMMENDED MOTION: Move to approve the items as listed on the business license agenda for July 9, 2001 as presented, and that the fee of $200 for Immaculate Conception Church be waived. COUNCIL ACTION: TO CITY COUNCIL July 9, 2001 *Signed Waiver Form Accompanied Application 2001 BUSINESS LICENSE AGENDA APPROVED BY BUILDING OFFICIAL CONTRACTORS LICENSED AT *Jensen Bros. Roofing *Air Mechanical Inc. *Steve Kluck Plumbing R. Wetterlund & Sons 2908 Roosevelt St NE 16411 Aberdeen St NE 6600 Xylon Ave No 8432 Able St NE SINGLE EVENT CLUB ON SALE BEER FEES $50.00 $5O.00 $5O.OO $50.00 POLICE DEPT *Immaculate Conception Church 4030 Jackson St NE REQUEST FEE BE WAIVED ($200.00) license agenda The Church of the Immaculate Conception June 19, 2001 City of Columbia Heights 590 - 40th Avenue N.E. Columbia Heights, MN 55421 Dear City Official(s): Enclosed is the license application for our annual Fun Fest at The Church of the Immaculate Conception. A Certificate of Insurance has been requested by Jim Rummel, Business Administrator, and will forwarded to you as soon as it is received. We have also sent our application for food license to Anoka County. We are requesting the fees for the license be waived as we are a non-profit organization. Thank you for your assistance. Sincerely, Jerd Barker, Co-Chair Fun Fest Committee Enclosure CC: Jim Rummel tel (763) 788-9067, fax (763) 788-0202 4030 Jackson Street Northeast, Columbia Heights, MN 55421-2929 COLUMBIA HEIGHTS POLICE DEPARTMENT TO: ..... Randy Schumacher, Acting Director Commumty DeVelopment FROM: Thomas M. Johnson, Chief of Police x ~ SUBJECT: Temporary On Sale 3.2 Beer License DATE: June 26, 2001 The Columbia Heights Police Department has completed a background investigation of Mrs. Jerrilyn Barker, Mr. Ronald Barker, and Mr. James Rummel and Associates, dba Immaculate Conception Church Fun Fest, 4030 Jackson Street N.E., Columbia Heights, Minnesota. Mrs. Barker applied for a temporary on sale 3.2 beer license. The Department has checked the criminal history of Mrs. Barker, Mr. Barker, and Mr. Rummel. We have checked our local files and with the law enforcement agencies in the jurisdictions where they have resided. We find nothing that would preclude them from being issued a temporary on sale 3.2 beer license for the Immaculate Conception Fun Fest August 11-12, 2001. It is the recommendation of the Police Department that a temporary on sale 3.2 beer license be issued to Immaculate Conception Fun Fest. The dates for this temporary license would be August 11-12, 2001, and the location would be for Immaculate Conception Church. This approval would be contingent on all required insurances being current and in place, and all taxes being current. TMJ:mld 01- 107 BRC FINkNCIAL SYST~ 07/05/2001 09:01:10 Check History CITY OF COLUViBIA HEIGHTS GL060S-V06.27 RECAPPAGE GL540R FUND RECAi~: FUND DESCRIPTION GENEDi COMMI3NITY DEVELOPMENT FUND ANOKA COUNTY CDBG PARKVIEW VIL~ NORTH ECONOMIC DEVELOPMENT AUTH SECTION 8 STATE AID MAINTENANCE PARIO/IEW VILLA SOUTH CABLE TEL~ISION RENTAL HOUSING LIBRARY COL HGNTS AHTER SCHOOL ENRI COPS MORE 96 FEDERAL GRANT JUVENILE JUSTICE G~ COPS: SCHOOL PARTNERSHIP MEOTRONICS - DS CAPITAL IMPROW3IENTS DOWN'DOWN MAINTENARCE CAPITAL IMPROVEMENT - PIR CAP EQUIP REPLACE-GERERAL CAP EQUIP REPLACE-WATER WATER UTILI~ SEWER UTILI~ REFUSE FIAD STO~ SEWER UTILITY qQUOR SEWER CONSTRUCTION FUND STO~ SEWER CONSTRUCT. FUND CENTPJt5 GARAGE DATA PROCESSING PE~IT SURCHARGE CONTRIBUTED PROJECTS-REC INSURANCE ESCROW FLEX BENEFIT TRUST FUND TOTAL ALL FUNDS DISBURSEMENTS 43,139.73 1,685.19 696.25 3,459.84 236,922.24 936.63 7,488.97 1,051.14 1,839.60 84.21 4,311.68 6,703.48 3,145.36 19.14 139.74 26.00 31,659.75 43.15 7,674.18 1,808.37 1,134.23 4,319.55 6,051.91 2,185.20 1,336.62 50,193.08 207.50 1,098.84 10,901.83 8,185.64 4,924.14 4,840.22 375,012.10 201,360.03 157.50 1,024,743.04 BANK RECAP: BANK NANE DI SBURSE$IENTS BRC FINANCIAL SYSTEM CITY OF COLUMBIA HEIGHTS 07/05/2001 09 Check History GL540R-V06.27 PAGE 1 7/9/01 COUNCIL LISTING BANK VENDOR CHECK NUNEER AMOUNT BANK CHECKING ACCOUNT APPLE V~LEY/CITY OF 92912 560.00 BPJ%DLEY REAL ESTATES INC 92913 11,344.47 BUNKER PARK STABLES 92914 785.00 CATER/STEVEN 92915 15.00 COLUMBIA HEIGHTS I 92916 4,471.67 DENYES/SNELLY 92917 63.00 FEHST/WASTER 92918 623.37 GAGNON/GREGG 92919 14.I2 GEISNESS/ADAM 92920 250.00 GENUINE PARTS/MAPA AUTO 92921 89.52 EMNNEPIN PARKS 92922 50.00 NONE YMCA/EMMA B 92923 1,980.00 I~ACH~ATE CONCEPTION CH 92924 1,520.00 INSIDE COkvER UNPIRES 92925 684.00 JACOBSON/JOANNE 92926 27.84 JOHNSON BROS. LIQUOR CO. 92927 23,199.17 JOHNSON/THOMAS M 92928 60.74 KALLESTAD/GARY 92929 29.00 KUHNN/JEAN 92930 42.05 MARREAM/MATT}LEM 92931 34.23 MINNESOTA COACHES 92932 803.40 MN NEC & PK ASSOC - MNP 92933 625.00 NIG~INGALE/TERENCE 92934 18.19 NORTNE~ SANITAMY SUPPLY 92935 43.45 PETTY CASH - MARY DUGOAL 92936 111.91 PHILLIPS WINE & SPIRITS 92937 7,009.77 TILNENS/NAN 92938 13.00 VELOCITY EXPRESS INC 92939 12.48 VERIZUN WIRELESS 92940 112.80 VIDEO BY CYCSING 92941 251.52 WILD MOUNTAIN 92942 1,650.00 WILLPRECHT/CINDI 92943 135.48 WINDSCHITL/KEITH 92944 5.60 WINE COMPANY/THE 92945 430.75 ~ G~INGER 92946 325.85 XCEL ENERGY (N S P) 92947 1,082.04 AFFINITY PLUS FEDEPJt5 CR 92948 584.77 DESMONE ~W OFFICES P.A. 92949 320,492.90 FIRST CO~3NITY CREDIT U 92950 2,505.00 IC]f~ RETIREMENT TRUST 45 92951 11,421.63 MN CHILD SUPPORT PAYMENT 92952 757.26 ORCHARD TRUST COMPANY 92953 6,097.88 OSI EDUCATION SERVICES I 92954 105.00 PE~ 92955 24,236.37 UNITED WAY 92956 35.00 VANTAGEPOINT TP3tNSFER - 92957 200.00 WELLS FARGO - PAYROLL AC 92958 155,417.12 BRC FINANCIAL SYSTEN CITY OF COLUMEIA HEIGHTS 07/05/2001 09 GL540R-V06.27 PAGE 2 Check History 7/9/01 COUNCIL LISTING VENDOR CHECK NUMBER AMOUNT BANK CHECKING ACCOUNT BOONE/KAREN 92964 I0.00 CENTRAL LOCK & SAFE 92965 14.38 COLOR SIGN SYSTEN INC 92966 4,568.00 GENUINE PARTS/NWA AUTO 92967 127.52 GRADY/MICHELLE 92968 192.00 HOME DEPOT $2802 92969 135.48 INSIDE CORNER UMPIRES 92970 1,349.00 KUENN/JEAN 92971 56.19 LOADER/REBECCA 92972 20.98 MENARDS CASENAY LUMEER-F 92973 72.42 }~I STATE TR~S BUILDING 92974 370.14 PEPSI-CO~-7 U~ 92975 455.00 PE~'~Y CASH - K~REN MOELL 92976 74.39 QMEST CO~4UNICATIUNS 92977 188.61 RELIANT }~ERGY MINNEGASC 92978 3,138.50 SCENI~/JEANI~ M 92979 3.52 THOMPSON/CHARLIE 92980 74.66 TUNBS/MARSHA 92981 5.28 VOSS LIGHTING 92982 61.98 XCEL ENERGY (N S P) 92983 17.01 ACE HARDWARE 92984 190.06 ALL SAFE FIRE & SECURITY 92985 398.25 AMERICAN PUBLIC WORKS AS 92986 48.00 AMERICAN WATER WORKS ASS 92987 62.75 AMERIPRIDE 92988 5% 67 AMO~ COUNTY LIBRARY 92989 972.00 ASPEN MILLS, INC. 92990 677.00 ATLAS AUTO BODY 92991 515.20 BAKER & TAYLOR 92992 162~45 BAKER & TABOR ENTERTAIN 92993 338.66 BATTRRY CITY INC 92994 219.17 BLUBMELS TREE SERVICE 92995 10,319.18 BONESTROO EDSENE ANDRRLI 92996 327.50 BOOKMEN INC/THE 92997 210.64 BOYER TRUCK PARTS 92998 91.85 BEDDART 92999 128.20 BROOKDALE DODGE 93000 89.53 CAPITOL FUENITURE SALES 93001 219.91 CARLSON TRACTOR 93002 63.82 CARLSON UNITED RENTAL 93003 1,134.23 CENTRAL IRRIGATION SUPPL 93004 173.30 CHERNIN/ALEKSAEDR 93005 44.67 CLARK FOODSERVICE INC 93006 243.40 COLUMBIA HEIGHTS RENTAL 93007 208.34 COMPUTERIZED FLEET ANALY 93008 3,443.16 CRYSTEEL TRUCK EQUIPMENT 93009 218.86 CSC CREDIT SERVICES 93010 40.00 BRC FINANCI~ SYSTEM CITY OF COLUMBIA WEIGHTS 07/05/2001 09 GL540R-V06.27 PAGE 3 Check History 7/9/01 COUNCIL LISTING BANK VENDOR CHECK NU~BEN AMOUNT BANK CHECKING ACCOUNT CYS UNIFORES 93011 190.90 DANEA 93012 27.00 DAVIES-NORTNE~ WATER WK 93013 789.43 DLT SOLUTIONS 93014 494.25 ENTERPRISE NETWORK SYSTE 93015 542.50 EVEREST 93016 874.15 EXPERIAN 93017 278.95 FAST SIGNS 93018 133.76 FLEX COMPENSATION, INC 93019 157.50 FLEXIBLE PIPE TOOL CO. 93020 3,409.33 FOCUS NEWSPAPERS 93021 1,101.87 FORCE AMERICA 93022 117.92 FRONT LINE PLUS 93023 307.50 G & J PATCH AND PIN 93024 337.61 G & K SERVICES 93025 549.21 GALE GROUP/THE 93026 44.17 GALIAGHER & COMPAN~f OF M 93027 23,771.50 C~RENER HARDWARE 93028 10.31 GLASS MASTERS 93029 706.00 GLENWOOD INGLEWOGD 93030 120.70 f:OODIN CO. 93031 169.62 OOV'T TPJ~INING SERVICE 93032 633.00 GP3%FIX SHOPPE 93033 713.56 GREENER PASTURES 93034 159.76 FJk~MON GLASS & G~ZING 93035 485.39 ROME DEPOT #2802 93036 367.64 HOME V~U 93037 747.00 INSTRUMENT~ RESEARCH IN 93038 364.00 JIND~/PATRICIA 93039 70.00 K & S ENGtt~VING 93040 25.03 KMART 93041 45.73 KENNEDY & G~VEN 93042 136.70 5ASER TECHNOLOGY 93043 3,145.36 L~GUE OF MN CITIES INS 93044 30,232.50 MAC QUEEN EQUIPMENT CO. 93045 657.89 MADDEN & ASSOCIATES/FRAN 93046 2,983.00 MC COLLISTER & CO 93047 1,833.63 MCI WORLDCOM COMN SERVIC 93048 5.51 MENARDS CASH~AY LUMBER-F 93049 166.31 METRO AREA MANAG~ENT AS 93050 32.00 METRO COUNCIL F~NVIROMENT 93051 4,554.00 METRO FIRE 93052 884.45 METRO TURF 93053 362.10 MIDWAY FORD 93054 92.40 MINNFJkPOLIS FINANCE DEPT 93055 7,136.66 MITEL 93056 677.92 ~ DEPT OF ADMINISTP~TIO 93057 37.00 BRC FINANCIAL SYSTEM CITY OF COLUMBIA HEIGHTS 07/05/2001 09 Check History GL540R-V06.27 PAGE 4 7/9/01 COUNCIL LISTING BANK VENDOR CHECK NUMBER AMOUNT BANK CHECKING ACCOUNT MN NURSERY & LANDSCAPE A 93058 75.00 MN POLLUTION CONTROL AGE 93059 240.00 MN SPOKESMAM-RDCORDER 93060 102.34 MOTION PICTURE LICENSING 93061 153.00 NEEHAN FOUNDRY CORP 93062 1,029.86 NDRTHEHE TOOL & EQUIPNEN 93063 54.09 OAKSTUNE LEGAL & BUSINES 93064 271.14 OFFICE DEPOT 93065 1,312.78 ONE-CALL CONCEPT-GOPHER 93066 200.00 PAtaK S~PLY INC 93067 331.33 PC SOLUTIONS 93068 8,707.60 PELAK/KAREN 93069 13.31 PLETSCHERS 93070 1,355.74 PLUMNETT'S, INC 93071 70.30 P~CTITIONERS PUBLISHING 93072 42.00 RAPIT PRINTING - FRIDLEY 93073 21.93 RDO EQUIPMENT 93074 62.64 REAL ESTATE EQUITIES 93075 235,350.00 REGION TRUCK EQUIPMENT I 93076 1,235.68 RUN KASSA CONSTRUCTION 93077 31,659.75 RUFFRIDGE-JOHNSON EQUIP. 93078 25.45 SHERWIN WILLIAMS 93079 8.46 SIGN IANDUAHE & GOLDEN A 93080 7.46 STAR TRIBUNE 93081 113.36 STEEL TECH INC 93082 55.00 STHEICH~'S GUN'S INC/DO 93083 2,520.83 SUNBURST - DEPAHTNENT HE 93084 131.95 TAUTGES, REDPATR, & CO., 93085 28,838.25 TECHIFAX BUSINESS SYSTEM 93086 10.00 TELEPHONE ANDWERIND CENT 93087 130.30 TKEA 93088 162.08 TRUGREEN C}{~NEAMN 93089 640.79 TCHBS/MARSHA 93090 40.45 TWIN CITY TRkNSPORT & RE 93091 72.42 UNITED HORTICULTURAL S~ 93092 1,205.69 UNITED RENTALS 93093 32.25 US FILTER/WATER PR0 93094 546.35 VERIZON WIRELESS 93095 591.67 VIDEO BY CYCLING 93096 234.95 VOSS LIGHTING 93097 196.49 NEEELER CONSOLIDATED 93098 2,931.28 WILLAME~E INDUSTRIES IN 93099 292.10 WW G~INGER 93100 357.67 XCEL ENERGY (N S P) 93101 223.68 XPECT FIRST AID 93102 63.38 ZAHL EQUIPMENT 93103 477.31 1,024,743.04 *** COLUMBIA HEIGHTS - CITY COUNCIL LETTER Meeting of: July 9, 2001 AGENDA SECTION: Other Business ORIGINATING DEPARTMENT: CITY MANAGERS NO: 7Al CITY MANAGER APPROVAL ITEM: Appointment of Park and BY: Patty Muscovitz B,Y: NO: Recreation Commissioner DATE: July 5, 2001 D~.~ ~' ~.~-0~ Background: Councilmembers interviewed Tom Greenhalgh and Bill Peterson on May 23, 2001, and Mark Emme on June 18, 2001 for a vacancy on the Park and Recreation Commission. This item went before the City Council on June 25, where a motion failed on a 2 ayes, 2 nays vote to appoint Mr. Greenhalgh. A motion was passed to table this item to the July 9, 2001 City Council meeting. Councilmember Wyckoff suggested that if any current Park and Recreation Commissioners were no longer interested in serving, this would be an opportune time to step down, as there are several qualified applicants for the current opening on the commission. Recommended Motion: Move to appoint to the current vacancy on the Park and Recreation Commission with the term to expire on April 1, 2006. COUNCIL ACTION: BOARD(S) OR COMMISSION(S) ON W~CB YOU WOULD ~ TO srR~,~: (l~'DICAlI: PR~F[It.~NCE: 1, 2, 3, I~ MORE _ TEL£COMML~'ICATIONS COM:M:ISSION CRARTER COMMISSION (Note: ,, i:CO~OMIC D'r~*~LOPMrNT A1.rl"HOR.1TY __ BUMA.~ SrR'~qClrS COMMISSION , LIBRARY BOARD _TRAFFIC COMMISSION , PARK & R~CR~ATION , PLANNLNG & ZONI~G COMMClS$ION ~OM£ ADDRESS: BOME PBON£: ! [LIYED ~ COLUMBLI S£1GBT~ SLNCI:: ] ~ q~ · I Cli,'1C F..~ER~NCE: STATE BR.~FLY WH'Y YOU ~ IN'I~R£ST£D IN $£RVING ON TH2S BOARD/ COM~IISSION FOR Vt'I~CH YOU A~R.K SU~]~I. II-IL~G ]Ml~ A~?LJCATION AND W]~' YOUI~EL YOt' ~ I AM ~ FOR BOARD/COMML~SION MEETINGS ON Ti~ FOLLOV~NG E%'ENI~GS (CI~CL£): bIONDAY TI.TESDAY W~DN'ESDAY 'I'BI~RSDAY FRIDAY PLEASE LIST THREE REFERI:NCES: %3-. DATE Returu applJufion W: Depu~' Ci~., Clerk/CouncU Secretar~ Ci~.' of Columbin Heights S90 40th Ave,,ue N.£., Columbta Helgbu, MN SS~21 ~82.U00 TDD: '182-2~06 110199 C~ ,Y OF COLLg,,iBIA },IZIOHT$ .4J~/'I. ICA'rioN FOR TO BOARD OR COIVIIVIIS$1ON BOARD(S) OR COMMISSION(S) ON W~ICIt YOU WOULD ~ TO S£RVE: (I~'])ICATE I'REIrERENCE: 1, 2, 3, D' M ORE ~ Oh'S) TELECOMML~'ICATION$ COMpressiON CltARTER COMM~SION (Note: ~,~M, £CONOM1C DEX~LOPMEN'T AUTBORrrY HUMAN SER~flCE$ COMMISSION LIBRARY BOARD _ TiCO'lri C COM]VIISSION 'PARK & RECREATION COMM~SION PLANNING & ZONING COMML~SION NAME: B£ LIV~D L~ COLUMBL~ HEIGHTS SINCE: PROPERTY OWNED IN COLUMBIA liEIGliTS (OTIlER 'IRAN RESIDENCE): HOME PHONE: CODE:/ PRESENT E ~,[PLO ~.R: WOR~ PHONE: POSITION TITLE: £DUCA'rlONAL BACKGROUND: PLEASE STAT~ BRIEFLY ~fBY YOU AR~ I~I~RI~$T~D IN $£R'~I~G ON ~ BOARD/ COMMISSION FOR W~nCtl YOU ~ $1~lilll~G i~i A~PLICATION ~ ~Y YOU F~EL YOU I AM ,NOT~CVAR,ABLE FOR BOARD/COMMISSION ]V~ETXNGS-ON..TH~ FOLLOV,~NG ZV~NING$ (CIRCLE): ' ~.NDAY.,~ TL~SDAY ~DNI~SDA¥ ] ~ ceRSDA¥ PLEASE LIST TBREE REI~R~NC£S: Remr~ oppUctflon to: Deput~' can.' ClerldCouncU S~:reUry cat), of Columbia Heights S90 40th Avenue N,£. Columbia Heigb~ M]q SS~21 ~2-2800 TI)D: ~2-~.~06 110199 CiE, of St. Anthony £DUCATION,TRAINING B4. CKGROUND Union Steward & Labor Mgmt Committee Ce-Chair CIE,' of St. Anthony Volunteer Firefighter Noah Hennepin Community College MN Chapter American Public Works Assoc National Recreation Parks Association Playground SaFezy Inspector Medics Training. Inc. FirstAide ' ' I MN Dep~ of Agriculture Pesticide Applicator MN Depanmen! of Health City of St. Anthon), John Thom National Swimming Pool Foundation Anoka-Hennepin Tech Anoka-Hennepin Tech Anoka-Hcnnepin Tech St. Paul Technica! College Parker School For industry No~heast Metro Technical Century College MN Dep! of Agricukure Local 49 Training Program Hennepin Tech College Water Supply Systems Operator Right-to-Knos~ SareE, Training Water Schoo; Operator of Aquatic Facilities Trenching & Excavating/Competent Person Confined Space Ent~ (refresher) Confined Space lntro Io Key Boarding Basic Industrial £1ectricity In,to to Wire Fee. d, Practice z. Adv Intro to Arc Welding. Practice &: Aav Principals oF Building Management lntro to Eleca'ic Security/Locks. Re-Key Locks Man/puwer Tool. Coast/Rout;ne Repairs in~'o to Plumbing Tree Inq~eoor Construction Forklift Operator Customized Training Services Coaching Skills for Managers Team Leader vs. Supervi,,~r Public Works Equipment .~ -t~l-~ I 02/I ?/98 .,~,neeee I I/18/99 Ceni fied 10/30/99 Certified ~.4961- I 102 06/01/99 05:04 '9q Certified A &. J ~20049414 Class D ~8546 01,28/99 Certified 01 t01 ~99 General 05/07/98 Ccnificd 03/10/98 Certified 03/10/98 Certified 01/07/~8 Certified 08/07/97 05/2.2/9'1 Cenificme 03/O I/97 01101/97 01/01/97 I I/ol/96 06/01~6 03/01/96 I I/ol/9$ 01/96- presem Cea 09/06/9~ Certified 06/01/95 C-nificetes Local 49Training Program 09/01/94 Cetlificate Nonhe~st Metro Technical College Anoka-Hennepln Technical College Hennepin Technical College MN School of Banending Hospitality Institute ot' Technology &: Management Federal Safety Regulations. Basic Tractor/Trailer Procedures, Basic a-axle Tractor/Trailer CDL Road Tesz Prep # 1 Basic Loss Prevention, How Io Develop an Effective Sat'e~, Program on a Limited Budget, A Review or'Federal z, State OSHA Regulations, OSHA Inspection. OSHA Right to Know lntro to Small Engine Repair Banending School Commercial Recipe Design 05/0a,~4 Commercial Driver's License Class A Tanker/Haz-mat 02/30~94 Certificate 08/01/g2 Certificate Anended 01 I08/88 Certificate Hennepin Tech Center University of Wisconsin Coo~Chef General 08~0;88 Diploma 1986 Nonhero Michigan University General 1986 Columbia Heights H.S. General 06/01/86 Diploma CITY OF COLUMEIA maGHT$ APPLICATION FOR A~PODT/'MENT TO BOARD OR COMMISSION ~OAF. D($) OR CONIM~S]ON(S) ON W~ICil YOU WOULD ~ TO $£RV~: (INDICAT~ PRI~FERENCE: 1, 2, 3, D' MORE TIL~N ., LIDRARY BOARD - TRA/~C COMM~SION ,, PARK & i~CR~ATION COMM~SION . I~LA~'NT~iG & Z~NF~G NAME: BOM£ ADDRESS: L~'ED LN COLUMBIA IIEIGtlTS SINCE: i ~ .~' 9 PROPERTY OWNED IN COLUMBIA II~IGIIT~ (OTB. ER 'rBA.N RESIDENCE): PRESENT EM~PLOVER: POSITION TITLE: ~ EDUCATIONAL BACKGROUND: BOME PBONE: 7~.~ 7~ ' ~ CODE: .g.~-¥ .z. I WORK PBON~: CIVIC EXPERIENCE: PLEASE STATE BRI£FLY ~'I~Y YOU ARE ~'TgREST'ED I~ SERVING ON ~ BOARD/ COM'MISSION FOR WHICH YOU AR[ $IZ~LII-II.NG TI:I'I~ A.~PLICATION A.N'D WHY YOUFg£L YOU ARE QUALIFIED: ~c~,.,.~fe. :~,~; t~¢ ~',1~. I~..~i ~,,,e,'~z~' m.,~'~' r.~,i,~ ,'~ .~,.,..d,,~:t ! AM NOT A%'AIL.~BL£~F~R BOAILD/COMM1SSI~G$~.N~I~ I~OLLOWZNG ~'V~NZNGS (CI~CL£): ?LEASE LIST TI~RE£ REFERENCES: NAME ADDRESS ! BEREBY CFR]rtl' TIIAT ~ FACTS WITHIN TH~ J~OREGOING APPLICATION A]~ TRUE Ah'l)CORRECT TO THE BEST OF MY KNOWLEDGE. ,~1 GNA'I'U'KE OF'FJC'E USE ONLY: DATE itl;CEIVED Return app§cafioo to.- Depu~.' Ci~' Clerk/CouncU Secrem~ City of Columtia Heights S90 401t Avenue N.L, Columbia H~gb~ MN SS~21 '/e2.2800 Ti)D: ?02-2806 COLUMBIA HEIGHTS - CITY COUNCIL LETTER Meeting of: July 9, 2001 AGENDA SECTION: ORIGINATING DEPARTMENT: CITY MANAGER~ NO: -?- ;t-2- CITY AGER PROV .A/ ITEM: Purchase Agreement for 500 Mill BY: Walt Fehst B~.'~[[ (I, Street DATE: July 2, 2001 NO: BACKGROUND At a recent Work Session, City Council members discussed and set the parameters for purchasing the property at 500 Mill Street. CONCLUSION The City Manager met on several occasions with the owners of 500 Mill Street, Andre and Phyllis Zurbey to discuss the purchase. The City Attorney's office has drawn up a Purchase Agreement given the original parameters. Attached is a copy of the Purchase Agreement and a cover letter explaining the substantive issues, for the purchase of the property. Previously, the City Council had appropriated (see attached) $500,000 for the building of a Commtmity Center as a possible match for federal or state dollars through a grant. That money had remained appropriated through the unsuccessful referendum for the community center. The breakdown of the $500,000 is as follows: $279,750 - Sullivan Park Land Sale to Medtronic $140,052 - General Fund Undesignated Fund Balance $ 80,198 - Capital Improvements - Parks Fund Balance RECOMMENDATION Staff is recommending to pay $135,000 for this property from the proceeds of the sale of Sullivan Lake property to Medtronic, thus reducing the amount that had been pledged to the building of a community center. RECOMMENDED MOTION: Move to authorize the City Manager to enter into an agreement for the purchase of the property at 500 Mill Street in the amount of $135,000, with funds to come from the proceeds resulting from the sale of the Sullivan Lake project to Medtronic. COUNCIL ACTION: BERNARD E. STEFFEN RICHARD A. MERRILL DARRELL A. JENSEN JEFFREY S. JOHNSON RUSSELL H. CROWDER JON E ER[CKSON LAWRENCE R. JOHNSON TI tOMAS R MALONE MICHAEL E HURLEY HERMAN L. TALLE CHARLES M. SEYKORA DANIEL D. GANTER, JR BEVERLY K DODGE BGS Barna, Guzy & Steffen, Ltd. ATTORNEYS AT LAW 400 Northtown Financial Plaza 200 Coon Rapids Boulevard Minneapolis, MN 55433-5894 (763) 780-8500 FAX (763) 780-1777 Writer's Direct Line: (763) 783-5118 Internet E-Mail Address: cseykora~bgslaw, com VIA FACSIMILE - (763) 706-3601 AND U.S. MAIL July 2, 2001 Mr. Walter Fehst City Manager City of Columbia Heights 590 40th Avenue N.E. Columbia Heights, MN 55421-3878 JAMES D. HOEFT JOAN M. QUADE SCOTT M. LEPAK STEVEN G. THORSON ELIZABETH A, SCHADINO WILLIAM E HUEFNER BRADLEY A. KLETSCHER MALCOLM E TERRY KRISTI R. RILEY CHERYL A. JORGENSEN WILLIAM D. SIEGEL TODD J. ANLAUF Of Courted ROBERT A. GUZY Purchase Agreement for the City of Columbia Heights to purchase Property from Andre and Phyllis Zurbey Our File No. 46000-112 Dear Mr. Fehst: Enclosed with this letter, please find the Purchase Agreement that has been reviewed and agreed to by Andre and Phyllis Zurbey through their attorney, Richard S. Eskola. This purchase is on property known as 500 Mill Street in the City of Columbia Heights. The following are the basic terms that outline this purchase: 1. Purchase price of $135,000.00. 2. Closing will be held whenever we receive the title work back on this property. The City agrees to rent back to the sellers' aunt, Gladys Lipa, over a three-year period at $400.00 per month. Gladys Lipa also could receive an additional one-year option to continue leasing from the City. Pursuant to this rentback agreement, the City agrees to perform exterior maintenance such as lawn mowing and snow shoveling for the premises. The tenant, Gladys Lipa, will perform the normal interior maintenance on the home. 5. The property is being purchased by the City in an "as is" condition. An Equal OpportuniW Employer Mr. Walter Fehst July 2, 2001 Page 2 The remaining terms for the Purchase Agreement are boiler plate language from the standard Minnesota Residential Purchase Agreement. As an aside, remember that the purchaser had requested that the City help Gladys Lipa find a new home when she decided to leave the premises, however, the City declined this request and the seller accepted the fact that the City would not help in this situation. Please contact me or Jim Hoeft with regard to any further questions regarding this matter. Thank you. Sincerely, BARNA, GUZY & STEFFEN, LTD. hM~l~aM. Seykora ~ Enclosure cc: James D. Hoeft, Esq. REGULAR COUNCIL . Sl~Fl~m]~t28, 1998 PAGE 13 Avenue ~onMor fi'om 37e to 40' Avon,s pqmm.ed by iiR, 2) Recodifi~,~ or'City 3) Revenue ~ .~nle of'Sullivan p&~ [~.d to ]K~:..~.'.~ .~.e lViayor stated, while he supports the ~,-.~,.':=~ of .... graut~,fSS00.000foraco,,,.,umh, e.~,h., o.,n..n.~ .~ ,, . -- . . tOl{~ __.'Mng 8..4d~~TiVE REPORT~: .,ft. Report of the City I~t~s~T No report Milrer/Davi$ Co. · St. Paul, MN 651-642-1988 Form 1300 (1994; Rev. 1996; Rev. 1997; Rev. August 1997) M,S.B.A. Real Property Form No. 1 Minnesota Standard Residential Purchase Agreement PURCHASE AGREEMENT / PAGE 1 MINNESOTA STANDARD RESIDENTIAL PURCHASE AGREEMENT e Copyright 1996, 1997 by Minnesota State Bar A~sociation. Minneapolis, Minnesota BEFORE YOU USE OR SIGN THIS CONTRACT, YOU SHOULD CONSULT WITH AN ATTORNEY TO DETERMINE THAT THIS CONTRACT ADEQUATELY PROTECTS YOUR LEGAL RIGHTS. Minnesota State Bar Association disclaims any liability arising out of the use of this form. 7 BUYER. 8 2, OFFER/ACCEPTANCE. Buyer offers to purchase and Seller agrees to sari real property legally described aa: _ 22 4. PERSONAL PROPERTY AND FIXTURES INCLUDED IN SALE. The foltowing items of personal property and fixtures owned by Seller 27 water softeners, built-in dishwashers, garbage disposals, beiR-i~.~'~¥eempeete~.a, built-in ovens and cooking stoves, I~od-fans, intercoms, 29 30 32 33 Upon delivery of the Deed, Seller shall also dehYer a Warranty Bill of Sale for the above personal property. /Check the box if the followinp 34 provision applies to this Purchase Agreement:] [] Seller shall uae M.S.B.A. Reel Property Form NO. 90 (1997), Warranty Bill of Sale. 35 36 B. PRICE AND TERM9. The price for the reel and personal property included in this sale is ~ne ~lund~d 'rltlrrv.lPive Thm,~rl and Nn/ICaq payable to the DATE OF CLOSING, and Warranty Deed, joined Miller/Davis Co., St. Paul, MN--PUrm 1300 {1994; Rev. 1996; Rev. 1997; Rev. August 1997) M.S.B.A. Reel Froperty Form No, 1 Minnesota Standard Residential Furchaee Agreement PURCHASE AGREEMENT / PAGE 2 90 Purchase Agreement, Seller represents that Seller has not received e Notice of Hearing of e new public improvement project from any 82 pending after the date of this Purchase Agreement and befool the Date of Closing, Buyer may, at Buyer'e option: 88 [$tn'ke one:] BUYER SHALL ASSUME I ~-ebl~iR-~kL-~.¥~M.D~:r.E-~k~P~- any deferred real estate taxes (includrng "Green 93 94 9. DAMAQES TO REAL PROPERTY. If the real property is lubetentiafly damaged prior to closing, thio Purcbeee Agreement shall terminate 97 21-day period Buyer may inlpect the real property, and in the event of such reecieelon, the earnest money shall be refunded To Buyer. 98 99 S. SELLER'S BOUNDARY LINE, ACCERS, RERTRICTIONS AND LIEN WARRANTIES. Salter warrants that buildinge, if any, are entirely within 100 the boundary lines of the reel property. Seller warrants that there Is a right of access to the real property from a public tight of way. Salter 103 the delivery of the Deed or Contract for Deed. 104 105 10. CONDITION OF WROPERTY. I06 107 108 109 110 111 112 113 114 115 116 117 and doors), w~rlng, and plumbing used end located on the reeler ~ 'working or'er on ~he o~property are in working order on the DST ' er represents B. Seller knows of no hazardoul subetancee or petroleum products having been placed, stored, or released from or on the real property by any pereon in violation of any law, nor of any underground storage tanks having been located on the felt property et any time, except 118 119 120 121 122 123 124 125 126 127 128 129 130 131 132 133 C. Seller's warranties end representations contained in this paragraph 10 shale survive the delivery of tbe Deed or Contract for Deed, prov)ded That any notice of a defect or claim of breech of warranty must be in writing end any luoh notice with respect to matters referred to in A., above must be given by Buyer to Seller within one year of the Date of Clo~ng or be deemed waived. 138 Miller/Davis Co* e St. Paul, MN 651-642 1988 Milior/Davio Co., St. Paul, MN--Form 1300 (1994; Rev. 1996; Rev. 1997; Rev, August 1997) M.$.B,A. Real Property Form No. Minnesota Standard Residential Purchase Agreement PURCHASE AGREEMENT I PAGE 3 168 C. If Seller does not give notice of intention to make title marketable, or if notice ia given but the 120 day period expires without title being 169 made marketable due to Seller's failure to proceed in good faith, Buyer may seek, as permitted by law, one or more of the following: 170 1. Proceed to closing without waiver or merger in the Deed of the objections to title and without waiver of any remedies, end may: 171 (e) Seek damages, costs, and reesoneble lawyer's fees from Seller aa permitted by law (damages under this subparagraph ia} shall 172 be limited to the Cost of curing objections to title, and consequential damages are excluded); or 173 (b) Undertake proceedings to correct the objections to title; 174 2. Rescission of this Purchase Agreement by notice ae provided herein, in which case the Purchase Agreement shall be null end void 175 and all earnest money paid shall be refunded to Buyer; 178 3, Damages from Seller together with costa and reasonable lawyer's fees, aa permitted by law; 192 195 hat been or will be approved for recording aa of the Date of Closing, 196 198 202 203 20. SEWAGE TREA1MENT SYSTEM DISCLOSURE. 204 [Check *thor A or 209 [Check either C or D:] 215 216 21. LEAD PAINT DISCLOSURE. [Check one of the following:] 219 property, attached end made a part of this Furchase Agreement ia 'LEAD PAINT ADDENDUM FOR HOUSING CONSTRUCTED 220 BEFORE 197B'.) 221 226 M.S.B.A. Real Property Form No. 8 (1 B97), is included aa an addendum to this Purchase Agreement. 227 229 executing end delivering a Minneeota Un[form Conveyancing Blank [Form No. 116-M, 117-M, or 11 g-MI Affidavit of Seller. 23O 232 233 [State other ~ce~n:] 236 246 247 248 249 250 26. ADDENDA. Attached ara 2 addenda which ~e made a'pert of this Purchase Agreement. 251 252 27. TIME IS OF THE EBRENCE. Time II of the essence for all provisions of this Purchale Agreement. 263 264 2B. MULTIPLE ORIGINALS. Sailer and Buyer have signed [number} ,3 origlnmll of tide Pumhime Agreement. 265 256 Miller/gaYla Co,® St. Paul. MN 65t-642-? 985 Miller/Davis Co., St. Paul. MN-Form 1300 (1994; Rev. 1996; Rev. 1997; Rev. August 1997) M,S.B.A. Real Property Form No. Minnesota Standard Residential Purchase Agreement PURCHASE AGREEMENT / PAGE 257 258 259 ITHIS I~ A LEGALLY BINDING CONTRACT. BEFORE SIGNING. CONSULT A..LAWYER. Minnesota law permits licensed real estate brokers and sales agents to prepare i~rche~e agreements. NO recommendation or re[~resentation may be mede by any real estate yourbr°kerlawyer.°r sales agent as to the legal sufficiency, the legal effect, or the tax consequences of this contract. These ere guestlons for 260 261 262 263 CITY OF COLUMBIA HEIGHTS SELLER: BUYER:~' Andre Zart~y )date) Its (date) SELLER:. BUYER: Phyllis ~'oaan Zurl~y (date) (date) Charles M. S~-ykora BARNA, GUZY & SI'EFFEN, LTD. 400 Northtown Financial Plaza 200 Coon Rapids Boulevard Minneapolis, MN 55433 This Purchase Agreement was prepared by: Attorney For Buyer CHARLES M. SEYKORA BARNA, GUZY & STEFFEN, LTD. 400 NORTHTOWN FINANCIAL PLAZA 200 COON RAPIDS BLVD. MINNEAPOLIS, MN 55433-5894 763-780-8500 Telephone: Facsimile: Telephone: Facsimile: Selling Agent and Broker for this trar4a~tion are: Buyer's or Lender's Title Insurer: Telephone: Face)mile: Mirfer/O,vis Co.· St. Paul. MN 651-642-1968 t317 (N~W 9/~) M.S.B.A. Real Prope~y Form No. 11 LEAD PAINT ADDENDUM FOR HOUSING CONSTRUCTED BEFORE 1978 (use only with Minnesota Standard Residential Purchase Agreement, Minnesota State Bar Association 1997) I This addendum is a continuation of Paragraph 21 of the Purchase Agreement 2 dated . 3 by and between Andre Zurbe¥ ~nd Ph¥11iR J~nn Zurh~,v. SellAr 6 7 8 9 LEAD WARNING STATEMENT 10 Every purchaser of any interest in resident/al rea/property on which a resident/a/dwelling was built 11 prior to 197B is notified that such property may present exposure to lead from lead-based paint that 12 may place young children ar risk of developing lead poisoning. Lead poisoning in young children 13 may produce permanent neurological damage, including learning disabilities, reduced intelligence 14 quotient, behavioral problems, and impaired memory. Lead poisoning also poses a particular risk to 15 pregnant women. The Seller of any interest in residential real property is required to provide the 16 Buyer with any info~rnation on lead-based paint hazards from risk assessments or inspections in the 17 Seller's possession and notify the Buyer of any known lead-based paint hazards. A risk assessment 18 or inspection for possible lead-based paint hazards is recommended pl~or to purchase. 19 20 LEAD PAINT INSPECTION CONTINGENCY 21 Buyer's obligations under this Purchase Agreement are contingent upon Buyer obtaining within 10 22 business days of the date hereof a risk assessment or inspection of the property for possrble 23 lead-based paint and lead-based paint hazards, the results of which are acceptable to Buyer. 24 25 This contingency sha~l be deemed satisfied, and this Purchase Agreement shall be in full force and 26 affect end binding upon Buyer and Seller, unless, within 10 business days of the date hereof, Buyer 27 notifies Seller in writing that the results of the risk assessment or inspection are unacceptable to 28 Buyer. If Buyer notifies Seller of unacceptable results, this Purchase Agreement shall be nulr and 29 void end ell earnest money shell be refunded to Buyer. 30 31 Buyer may waive in writing this contingency at any time. 32 33 Seller's Disclosure 34 (a) Presence of lead-based paint or lead-based paint hazards (check {i) or {ii) below: 35 (i) __ Lead-based paint or lead-based paint hazards are present in the housing (explain). 36 (ii) Seller has no knowledge of lead-based paint or lead-based paint hazards 37 in the housing. 38 (b) Records end reports available to the Seller (check (i) or (ii) below): 39 (i) __ Seller has provided Buyer with ell records and reports in Seller's 40 possession or reasonably obtainable by Seller pertaining to lead-based paint 41 end lead-based paint hazards in the housing {list documents be/ow). 42 (ii)__ Seller has no reports or records pertaining to lead-based paint or lead- 43 based paint hazards in the housing. 44 45 Buyer's Acknowledgment (initial) 46 (c) __ Buyer has received copies of all information listed at (b) (i) above. 47 (d) __ Buyer has received the pamphlet Protect Your Family from Lead in Your Home. 48 (e) ~- Buyer has (check (i) or (ii) below): 49 (i) __received a 10 business day opportunity (or mutually agreed upon period) to 50 conduct a risk assessment or inspection for the presence of lead-based paint and 51 lea?b~sed paint hazards; or 52 (ii) ~f~ waived the opportunity to conduct a risk assessment or inspection 53 for the presence of lead-based paint end lead-based paint hazards. 54 55 Agent's Acknowledgment (initial) 56 (f) Agent has informed Seller of Seller's obligations under 42 U.S.C.4852d end is 57 aware of Agent's responsibility to ensure compliance. 58 59 Certification of Accuracy 60 The following pert/es have reviewed the information above end certify, to the best of their 61 knowledge, that the information they have provided is true and accurate. 62 63 64 65 Seller Seller 66 67 68 69 70 Buyer Buyer 71 72 73 74 __ 75 Agent Agent MilleUDavis Co. · St, Paul. MN 651-a42-1988 Form lB19R (Rev. AMENDMENT TO PURCHASE AGREEMENT SELLER HOLDOVER POSSESSION AGREEMENT "RENT BACK" This form apProved by the Minnesota Association of REALTORS®. which ;lisclaim$ any liability arising out of use or misuse of this form. · 1999, Minnesota Association of REALTORS®, Edina, MN 2. Page 1 of I Pages E. The Buyer and Seller agree aa folJows: S. NATURE AND PURPOSE: This Amendment gives Seller the right to remain in and occupy the property after closing on the 7. purchase of the property. This Amendment remains in effect after the closing. 29. USE OF PROPERTY: During the term of this Agreement, Seller will occupy the property as Seller's personal residence and 30. Seller will not make any changes to the property. Seller will not assign nor sublease the property under this Agreement. 31. HOLD HARMLESS: Buyer is not responsible for liabilities, claims, or expenses from Sailor's use, possession, and occupancy 32. of the property. 33. PLEASE NOTE-SELLER'S WARRANTIF.~: Bailer's warranties aa to central air conditioning, heating, plumbing and wiring 35. Agreement. Buyer has the right to inspect the property before the Closing Date. Buyer will satisfy Buyer at Buyer a expense, 34. systems, used and located on the property, w be operative aa of the Closing Date, as provided in the Purchase 36. that a centre a r conditioning, heating, plumbing end wiring systems are in property work ng order on the Cloains Date. 37. QUIET ENJOYMENT: Buyer promises that upon Seller's performance of Seller's obligation in this Agreement, Seller will 38. peacefully and quietly have, hold and enjoy the property according to this Agreement. 39. TERMINATION: If Seller fails to leave the property and give possession to Buyer on the Possession Date specified above, 40. Buyer will provide Seller with seven days advance whiten notice to leave the property. Notice ia considered given on the 41. date mailed to Seller at the above address. Seller will leave the property in the same condition ma it was at the time of 42. closing. If Seller fails to leave the property, Buyer is authorized to take any action permitted by law to take possession of 43. the property. Buyer will be entitled to recover damages from Seller for Buyer's loss of use in the amount of 44. m0 per day beginning with Possession Date specified above, in addition to all charges 45. and raimburaements stated in this Agreement, and ail reasonable costs which result from obtaining possession of the 48. property and enforcing the terms of the Agreement, including reasonable attorney's fees. 50. All other terms and conditions of the Purchase Agreement will remain. CITY OF COLUMBIA HEIGHTS 52. 53. 64. MN:SliP (9/99) }Data) (Buyer) THIS IS A LEGALLY BINDING CONTRACT BETWEEN BUYERS AND SELLERS. IF YOU DESIRE LEGAL OR TAX ADVICE CONSULT IN APPROPRIATE PROFESBIONAL (Date) (Date) COLUMBIA HEIGHTS CITY COUNCIL LETTER Meeting of: July 9, 2001 AGENDA SECTION: ORIGINATING DEPARTMENT: CITY MANAGER'S NO: -~A~ ~ Community Development APPROV(A~. j ITEM: Sale and Development Agreement BY: Randy Schumacher~BY' [ Relating to 3913 Polk Street and DATE: July 6, 2001 ~,t/~ //~( ~0 4401 Quincy Street BACKGROUND: In 1998, the City of Columbia Heights applied to Anoka County for $70,000 in HOME Funds to acquire two properties in our Scattered Site Tax Increment Financing District. The purpose of this district is to remove substandard, dilapidated homes and replace them with newer homes. At the February 15, 2000 EDA Board meeting, staff brought forward the proposal to acquire 4401 Quincy Street NE. (presently on the TlY scattered site homes to be purchased list). The Sale and Development Agreement has been reached with Twin Cities Habitat for Humanity for the City to receive $35,650 in exchange for the double lot on 4401 Quincy and the vacant lot at 3913 Polk Street. Habitat for Humanity would be responsible for the removal of the Quincy home and the construction of three new single-family structures. The Columbia Heights Economic Development Authority took action at it's June, 2000 Board meeting to authorize the sale of 3913 Polk Street NE to Twin Cities Habitat for Humanity, contingent upon City Council action on the Development Agreement. In addition, the City has obtained an appraisal from Watson Appraisal and Consultant Services Inc., which reflects the market value in the Sale and Development Agreement. This agreement contains contingencies that require related Resolutions and Ordinances to be approved by City Council prior to it's execution. RECOMMENDED MOTION: Staffis recommending that the City Council approve the Sale and Development Agreement relating to 3913 Polk Street NE and 4401 Quincy Street NE. by and between the City of Columbia Heights, the Economic Development Authority of Columbia Heights and Twin Cities Habitat for Humanity. MOTION: Move to approve and adopt the Sale and Development Agreement relating to 3913 Polk Street NE and 4401 Quincy Street NE. by and between the City of Columbia Heights, the Economic Development Authority of Columbia Heights and Twin Cities Habitat for Humanity contingent upon the passage of the appropriate Ordinances and Resolutions required for execution of said agreement. Attachments COUNCIL ACTION: h:\CL consent2001\Sale and Dev. Polk & Quincy Jul 6 200i 11:39AM BARNA,GUZY&STEFFAN No 4361 P. 2 SALE AND DEVELOPMENT AGREEMENT RELATING TO 3913 Polk Street NE 4401 Quincy Street NE BY AND BETWEEN THE CITY OF COLUMBIA HEIGHTS, THE ECONOMIC DEVELOPMENT AUTHORITY OF COLUMBIA HEIGHTS AND TWIN CITIES HABITAT ]FOR HUMANITY $~,I,IE ~ DEVELOPMENT AGREEMENT THIS AGR.EE~, made arid entered into this day of 2001, by and beiween the City of Columbia Heights ("City"), the Economic Development Authorily of Columbia Heights ("EDA"), and the Twin Cities Habitat for Humanity ("Developer"); WITNESSETH 13-1AT, in the joint and mutual exercise of their powers and in consideration of thc mutual covenants contained herein, the pa~ies recite and agree as follows: SECTION 1. RECITALS. 1.01 The PrnnelW. a. The EDA now owns the properly located a! 3913 Polk Slreei NE, Columbia Haights, Anoka County, Minnesota (see Exhibit A). b. The City is currently in negoliations for the purchase of the propen'y located at 4401 Quincy Slreet NE, Columbia Heights, Anoka County, Minnasota (see Exhibit B). 1.02 ~F~ities and ~___i~_~. Developer in accordance with City approval plans to ¢oostmct three (3) owner occupied residential dwellings on the property referenced herein. Develop~ shall provide the EDA with a copy of its plans and specifications including but not limited to details on the style, extmiOr archilectural features, materials and color selections of tho dwellings to be constructed, which plans and specifications shall be submitted to lhe EDA for review and approval prior to any conveyance of the property to Developer. SECTION 2. SALFdPURCHASE OF PROPERTY. 2.01 a. The EDA agrees Io sell the properly located at 3913 Polk Stree~ NE to Developer md Developer agrees to pmchasc said property from the EDA for the purchase price of $1.O0. The sale and transfer of said propm-ty shall be by Qui! Claim Deed, with a memorial on said deed evidencing this A~recment. The agreement to sell contained m this subsoc~ion is contingcm upon the City approving the purchase end sale of the property located a~ 4401 Quincy Street NE. b. The City agrees to sell the property located at 4401 Quincy Sheet NE to Developer and Developer agrees to purchase said property from ~h¢ City for the purchase price of $35,650. The sale and Uansfer of said properly shall be by Quit Claim Deed, with a memorial on said deed evidencing this Al~'eelllent, and made contingent upon Council approval for the purchase of said property and approval of an ordinance authorizing the actual land mmsfer. Jul. 6, 20Oi 1!:39AM BARNA,GUZ¥&STEFFAN No.436i P. 4 SECTION 3. DEVELOPER'S REPRESENTATIONS. Developer hereby represents, warrants and covenants to the EDA and Ci~ that: 3.01 -C. OllllIl~a. Developer shall complete these residential dwellings within twelve (12) months from thc date of closing. 3.02 Comoliance. Developer will comply with and duly and promptly perform all of itz obligalions u~der this Agreement and all related documents and instruments. Developer sha~l also comply with all City and State codes/ordinances. 3.03 HOME Prowl'am Conmliance. Developcr shall comply with all HOME Program requiremenrs, which compliance shall survive this Agrccmcnt SECTION 4. DEVELOPER'S UNDERTAKINGS. 4.01 l~ll191i~o_. Developer will be responsible fOr removing any existing struclure, foundation and debris from the propen'y at 4~01 Quincy Street NE and will be responsible for utility severance in the boulevard. 4.02 ~. Developer shall be solely responsible for the construction, marketing and sale of the dwellings on the properties subject hereto. 4.03 Floor Plan. Developer will be responsible for submitting to the EDA, and obtaining pro-approval of the floor plans and front evaluafitms of the dwellings to be constructed on the properties subject hereto. Said pre-approval must be obtained prior to the conveyances of the properties to Developer. 4.04 [-~$..~Zd-_~_~. Developer will pay, when due, all permit fees, connection charges, usar charges or other charges lawfully imposed by the City with respect to the properties. Upon conveyance of the properties by the City and EDA, Developer agrees to be responsible for payment of all recording fees and transfer taxes resulting from the transfer of 4.05 Existin ov e The Developer will be responsible for all water and sewer services required for development of these properties.. SECTION 5. REAL ESTATE TAXES AND SPECIAL ASSESSMENTS. 5.01 Real Esta~ Taxes. Real estate taxes due and payable in and for the year of closing shall be prorated on a calendar basis to the actoal date of closing. 5.02 S (al Asses e . City/EDA shall pay on the date of closing all pending, levied or certified special assessments. 2 Jul. 6, 200i )I:40AM 8ARNA,GUZY&STEFFAN No,4361 P. 5 SECTION 6. DEFAULT. 6.01 Def~lt. The failm'e to meet any con~lition of this Agreement shall be an event of default. 6.02 Remedies. Ifan event ofdefault occurs and is not cuted within 30 days of receiving ~tten notice of said default, the non-defaulting party may take one or more of the following actions: a. susp~d performance unde~ this Agreemem; b. teiminate this Agreement, Ihe~by rendering void any promises or approvals contained in this Agreement. SECTION 7. NOTICES. All notices hereunder shall be in writing and either delivered personally or mailed by certified mail, postage prepaid, addressed to the pnnies at the following addresses: City: City of Columbia Heights 590 - 40* Avenue NE Columbia Heights, MN 55421 With Copyto: James D. Hoefi, Esq. Bnma, Guzy & Smffen, Ltd. 400 Northtown Financial Plaza 200 Coon Rapids Boulevard Coon Rapids, MN 55433 EDA: Economic Development Authority of Columbia Heights 590 - 40* Avenue NE Columbia Heights, MN 55421 With Copyto: James D. Hoefl, Esq. Bama, Guzy & Steffen, Ltd. 400 Northtoum Finandal Plaza 200 Coon Rapids Boulevard Coon Rapids, MN 55433 Developer: Twin Citie~ Habitat for Humanity 3 In Witness Whe~of, the pat'des hive caused this Agreemem to be executed by their duly auihorizcd officers effective the day and yea~ first above written. CITY OF COLUMBIA HEIGHTS By: Gary L. Pe~rSon, Mayor By: Waiter R. Frkst, City M~agcr ECONOMIC DEVELOPMENT AUTHORITY OF COLUMBIA HEIGHTS By: Waiter R. Fehst, Executive Director By: Robert R. Ruettimann, Presiden~ TWIN CITIEs HABITAT FOR HUMANITY By: By: STATE OF MINNESOTA) )SS COUNTY OF ANOKA ) The foregoing instnunem was acknowledged before me this ____day of ,2001, by C_rary L. Peteraon/md Waim' R, Fehst, the Mayor and City Manager, respectively, of the City of Columbia Heights, a municipal coqaoration Under the laws oftbe Staie of Minnesouc Notary Public Jul. 6. 200t I]:40AM BARNA,GUZY&STEFFAN No.4361 P. 7 STATE OF MINNESOTA) )SS COUNTY OF ANOKA ) The foregoing instrument was acknowledged before me this day of · 2001, by Walter R. Fehst and Robert IL Ruettima~n, the Executive Dbector and Pres/dent, x~pectively, of the Ecollotlaic Developmealt Authority of Columbia Heights, a trader the laws of the State of Mirmesota. Notary Public STATE OF MINNF~OTA) )SS COUNTY OF ANOKA ) The foregoing instalment was acknowledged before me this __ day of ,2001, by and ., the __ and , respectively, of Twin Cities Habitat for Huraanity, a corporation unde~ the law~ of the Sta~e of Minn~om. 12259~_1 No~y Public EXHIBIT B PROPERTY ADDRESS: 4401 QUINCY STREET N.E. PIN: 35 30 24 11 0054 LEGAL DESCRIPTION: Lots 16, 17, and South one half of Lot 18, Block 11, Columbia Heights Annex to Minneapolis, Anoka County, Minnesota. EXHIBIT A PROPERTY ADDRESS: 3913 POLK STREET N.E. PIN: 36 30 24 34 0105 LEGAL DESCRIPTION: Lot 30, Block 1, Walton's First Subdivision of Reservoir Hills, City of Columbia Heights, Anoka County, Minnesota. January 21, 2000 1998 Home Program- Grant Summary $ 70,000 $ 17,500 $ 35,650 $123,150 Anoka County Home Funds- Grant City Match Habitat For Humamty TOTAL REVENUES EXPENDITURES $120,000 4401 Quincy (Double Lot) $ 3,150 Closing Costs (Title Insurance, State Tax, etc.) $123,150 TOTAL EXPENSES $123,150 Total Revenue $123,150 Total Expenses $ -0- Balance H:\Randy\98 Grant Summary PropertyDelcrlption UNIFORM RESIDENTIAL APPRAISAL REPORT w.o,o, Pro~ertyAOdress ~fl4UI qu. incy St:: NE C,ly Columbia Heights S~a~e MN Z*pCode 55q21 ]00 x ]2q.lg 12.q1~; sn ft Co~ne~Lof r~Ye. ~ Z~ ~t~ I~lcr~ R-2 Resident tal ~e & ~ ~ ~ ~: ~ ~nt use ~ Ot~r uae (ex01ain) ' ~m~E~ ~ IStr~t As°halt To~ogra~qy Flat land Size Oversize (Double) Sha~ Rec taneu I a r Vm~ Pond. hses. store ~ Trees ~d~ None (Dirt) FEMA ~oecml Flood Hi=am Ama [] Yea [] NO Ty~e FA COOLING ? ee<~room(a): 1, O BASEME~ INSU~TION ~a~.Ft. 1662 Ama Stl. FI, 1662 1662 N~ditional~eatum~(sl~Jalene~yoff~:enlitems. etc.) (PI tR ner~ona] or~oertv-~hOD (former aaraoe)on east end has Rtuds in elate for future oart~[ons-consldered as aaraae. west end of basement-attributed to infiltration of water. 2. po:ceph.iai s i.te.s .$~ 000 ~RODUCTiON COST-N W-OF IMPROV MENTS FIO$ 8~2OO .$1~2~00 Rounded to FtO$ ~0,00 24.000 nearest $10 INDICA~D VALUE BY COST APPROACH /~401 QUincy St Data and/~ Inspect Ion S COMPARABLE NO 1 COMPARABLE NO. 2 COMPARABLE NO 3 4132 Madison St NE 1t008 6th St NE 4439 Washington St NE $ HLS MLS HLS New flnan !, New finan ,i New flnan i FulI-BR-FR + 7,000 + 8,000 + q,O00 S~ Ft S<3 Ft Fu]I unfln I + 5,000 Full unfin i + $,000 j + 2,000 Attach shop Patio, 3 se~ Patio, no i+ 5,000 Patio, No I + 5,O00 $ $ $ iTEM ~UBJECT COMPARABLE NO t COMPARABLE NO, 2 r COMPARABLE NO. 3 Dam. Rioe mr~ Dam ~ NA NA ] NA INDICATED VALUE BY SALES COMPARISON AJaPROACH .................................................... $ 120 . 000 Name -Malcolm C~.-~/atso~n r '- ' Nor~ Ins~eclProlNirly Subject Site b ~ 'J.$ AONIflO ZONING MA~ ~"6 oeo .'_ Photograph Views FRONT VIEW LOOKING NORTHWEST ACROSS 44th AVE FRONT VIEW LO~KING NORTH-NORTHEAST VIE? ALONG TI'~E FRONT LOOKING WEST Photograph Views BACK OF GARAGE LOOKING EAST-SOUTHEAST REAR VIEW OF NORTHEAST SECTION (former shop) OF HOUSE REAR VIEW OF CENTER OF BUILDING L Photograph Views FENCED IN BACK YARD LOOKING EAST FROH QUINCY ST, GARAGE ON ALLEY LOOKING WEST ROTTED CANOPY OVER CENTER FRONT ENTRANCE [ Photograph Views STREET SCENE LOOKING EAST ON 44th AVE. RAINBOW FOODS ON RIGHT STREET SCENE LOOKING SOUTH ON QUINCY ST Comparable Building Sales PHOTO TO BE SUBMITTED BY LO. CERTIFICATION AND STATEMENT OF LIMITING CONDITIONS CERTIFICATION: The Appraiser cerlifics and agrees that: I. The Appraiser has no present or contemplaled future in~cres~ in the property appraised: and neither the employmenl to make the appraisal, nor the compensafi~m for it, is conlingcm up~m Iht appraised value of ~hc property. comparable sales listed in the rcporl. To Iht best of the Appraiser's knowledge and belief, all statements and information in CONTINGENT AND LIMITING CONDITIONS: Thc ccr~il~catitm ol the Appraiser appearing in thc appraisal report is subj¢cl to the following condilions and to ~uch other specific and limiting conditions as are set forth by thc Appraiser in the report. 1. The Apprai~r assumes no ~s~nsibility for mat~ers of a legal nature affecting Ihe pm~ny appeaised or the title ther- eby, The Appraiser has made no survey of the pm~ny. 3, Thc Apprai~r is ~t ~qui~d ~o give testimony or up.ur in court ~cause of having made the apprai~l with refe~nce 4. Any distribution of the valuation in the rein ~en land and impr~emen~s applies only under the exls~ing program ~uld ~nder it mo~ or less valuable. The Apprai~r assumes no ~s~nsibilily for such conditions, or for engineering which A~mi~t can ~ assumM ~ ~ Apprai~r, 7. DJ~losu~ of t~ contents of the app~i~l ~n is governed ~ Ihe Bylaws and Regulalions of the pmfesslonal appraisal organi~fions with which the Appraiser is affiliated. Date:./t..~'t~-.. ,.~.. Appraiser(s) ................. EOUCATION Malcolm O. Watson Bachelor of Science in Civil Sngineering= University o~ Minnesota Masters in Public Administration: Dnivereity of Minnesota society of Real Estate Appraisers= Am Introduction to Appraising Real Property Applied Residential Property Valuation National Association of Independent Fee Appraisere~ Principles of Residential Real Estate Appraisal Techniques of Capitalization Condemnation Appraising Market Data Analysis of Residential Real Estate International Right of Way Aasociation~ Interpersonal Relations of Real Estate Acquisition Communications in Real Estate Acquisition Principles of Real Estate Acqulsitionl Appraisal of Partial Acquisitions ' INSTRUCTOR International Right of Way Association: Appraisal of Partial Acquisitions Interpreting Engineering Drawings Minnesota School of Real Estate= General Appraisal and Licensing Foundations of Real Estate Appraisal President, Watson Appraisal end Consultant Service Inc. Appraiser/Partner: Sheller-Watson Appraisal and Consultant Service, Inc., September 1977 to December 1989 City of Columbia Heights: City Manager, August 1957 to August 1977 City Engineering Department, April 1951 to August 1957 Reel Estate Commissioner, Anoka County With City of Columbia Heights= Worked on surveys, plans and specifications, land development plans, field inspections of street openings and utility installations. Supervised and assisted on special assessment levies. Prepared annual reports, budgets, and ~eporte required by the City council. Appointed to ~he Anoka County Special Board of Equalization to hear tax appeal cases. Served as a viewer (appraiser) on Coon Creek watershed District in Anoka County and Rice Creek Watershed in Ramsay County. Mounds View Public Schools St. Anthony-New Brighton Public Schools Colu~bis Heights Public Schools St. Francis Public Schools Minnesota Department of Transportation Bureau of Indian Affairs Small Business Administration State Community College Board Norwest Bank Northeast State Bank Fridley State Bank MomEquity Columbia Heights Mousing and Redevelopment Authority City Manager= City of Anoka City of Blaine City of Columbia Heights City of Brooklyn Park City of Mankato City of Mound City of New Brighton City of Rossville City of Minneapolis Anoks County Highway Dept Anoka County Parks Dspt Prudential Relocation numerous private institutions and firms of attorneys International City Management Association (20 years) Past president, Minnesota City Managers, 1967-1968 First Chairman, Academy for Professional Development Minnesota City Managers Association Civic~ Past president, Columbia Heights-Fridley Kiwanis, 1967 President, Columbia Heights Chamber of Commerce, 1981-1982 Member Board of Directors, Minnesota Council of State Parks and Voyageurs Regional Park Minnesota Appraiser License #4000369 National Association of Independent Fee Appraisers~ President of the Minneapolis Chapter, ~9S3-1984 State Director, 1997-1989 A~srican Society of Appraisers= Candidate member Minnesota Government Appraisers= Member President, 1986-1987 International Right of Way Association~ Candidate Member Certified Instructor' Minnesota Association of Professions1 Appraisers~ Director, 2 years American Arbitration Associations Served on the study committees on appraiser certification and licensing since their inception, including work on state legislation. COLUMBIA HEIGHTS CITY COUNCIL LETTER Meeting of: July 9, 2001 AGENDA SECTION: ORIGINATING DEPARTMENT: CITY MANAGE~ .'S NO: --1 - ¢ - I Community Development APPROVAL 4401 Quincy Street NE. DATE: July 6, 2001 BACKGROUND: The sale and Development Agreement relating to 3915 Polk Street NE and 4401 Quincy Street NE by and between the City of Columbia Heights, the Economic Development Authority of Columbia Heights, and Twin Cities Habitat for Humanity requires the sale of these properties for redevelopment purposes. The first step in executing this agreement is for the City to acquire 4401 Quincy by Resolution. Resolution 2001-43 identifies the property as being located in the Cities Housing and Redevelopment Tax Increment Financing District number 1 and being blighted in nature. This is a volunteer sale and acquisition on an agreed upon price of $120,000. RECOMMENDED MOTION: Staffis recommending the City Council approve Resolution 2001-43, authorizing the purchase of 4401 Quincy Street NE. RECOMMENDED MOTION: Move to waive the reading of Resolution 2001-43, there being ample copies available to the public. MOTION: Move to approve and adopt Resolution 2001-43, authorizing the purchase of 4401 Quincy Street NE. Attachments COUNCIL ACTION: h:\CD consent2OOl\Quincy Resolution 2001-43 RESOLUTION 2001-43 RESOLUTION OF THE CITY OF COLUMBIA HEIGHTS, MINNESOTA AUTHORIZING THE PURCHASE OF 4401 QUINCY STREET NE. WHEREAS, the City has found that there exists conditions of deterioration, substandard residential structures, residential units in need of repairs which are in violation of the City Housing Code and City Ordinances or there exists a need (due to blighting influences) for intervention by the City to prevent further deterioration of the area; and WHEREAS, the City and the Columbia Heights Economic Development Authority have Modified the Central Business District Redevelopment Project and established the Housing Redevelopment Tax Increment Financing District No. 1 (a redevelopment district) on May 27, 1997; and WHEREAS, the property owner has offered to the City an option to purchase one such parcel within Housing Redevelopment TIF District No. 1 at 4401 Quincy Street NE.; and WHEREAS, the City desires to acquire said parcel for a fee not to exceed $120,000. NOW, THEREFORE BE IT RESOLVED by the City Council of the City of Columbia Heights that: 1. The City Council hereby approves the purchase of 4401 Quincy Street NE. for a fee not to exceed $120,000 which is determined to be a fair market price given the deteriorated condition of the structure. The City Council directs the City Attorney to prepare a purchase agreement and other documents necessary to execute the sale of said property at 4401 Quincy Street NE. The City Council authorizes the use of $70,000 of Anoka County HOME Grant Funds, $17,500 of Economic Development Authority Funds, and $35,650 of Twin City Habitat for Humanity Funds for the financing of this project. The City Council authorizes the Mayor and City Manager to enter into an Agreement(s) for the same and to handle all the requirements and conditions necessary to complete the transaction. PASSED THIS DAY OF ,2001. MOTION BY: SECONDED BY: ROLL CALL: Gary L. Peterson, Mayor Patricia Muscovitz, Deputy City Clerk Address: 4401 Quincy Street N.E. Columbia Heights, MN PiN # 35-3024-110054A Page 1 of 6 REAL ESTATE SALE/PURCHASE AGREEMENT THIS AGREEMENT, made as of the day of ., 2001, by and between _Gary John Pikala , hereinafter referred to as Seller, and the City of Columbia Heights, a municipal corporation, hereinafter referred to as Buyer. WITNESSETH: WHEREAS, Seller owns certain real estate situated at 4401 Quincy Street N.E., Columbia Heights, Minnesota, and legally described below; and WHEREAS, Buyer wishes to purchase and Seller is willing to sell to Buyer said real estate; and WHEREAS, the parties wish to define their respective rights, duties and obligations related to the sale/purchase of said real estate. NOW, THEREFORE, in consideration of the mutual promises and the respective agreements contained herein, the parties hereby agree as follows: 1. Property The Seller hereby agrees to sell and the Buyer hereby agrees to purchase the following described real estate located in the City of Columbia Heights, State of Minnesota to-wit: Lot 16, 17, and the South one half of Lot 18, Block 11, Columbia Heights Annex to Minneapolis, Anoka County Minnesota Page 2 of 6 2. Purchase Price The purchase price for the subject property shall be the sum of One Hundred Twenty Thousand and 00/100 Dollars ($120,000) payable at closing. 3. Contingency This offer is contingent upon approval by the Columbia Heights City Council for a period of 60 days after signing of the Purchase Agreement by the Seller. 4. Closing The closing shall be within 30 days after all required City Council and EDA actions have been finalized and all title objections have been satisfied by the Seller, if any have been made by the Buyer. 5. Possession The Seller further agrees to deliver possession not later than ., after closing provided that all conditions of this agreement have been complied with. All charges for city water, city sewer, electricity, and natural gas shall be prorated between the parties as of date of possession. Seller agrees to remove ALL DEBRIS AND ALL PERSONAL PROPERTY NOT INCLUDED HEREIN from the property by possession date. Any personal property not removed by the date of possession, shall be considered the property of the Buyer. (See addendum "B") 6. Deed/Marketable Title Subject to performance by the Buyer, the Seller agrees to execute and deliver a Warranty Deed conveying marketable title to said premised subject only to the following exceptions.: a) 2) 3) 4) 5) Building and zoning laws, ordinances, State and Federal regulations. Restrictions relating to use or improvement of premises without effective forfeiture provision. Reservation of any minerals or mineral rights to the State of Minnesota. Utility and drainage easements which do not interfere with present improvements. Rights of tenants as follows: (unless specified, not subject to tenancies) 7. Title The Seller shall, within a reasonable time after approval of this agreement, furnish an abstract of title, or a Registered Property Abstract certified to date to include proper searches covering bankruptcies, and State and Federal judgements and liens. The Buyer Page 3 of 6 Shall be allowed 15 days after receipt thereof for examination of said title and the making of any objections thereto, said objections to be made in writing or deemed to be waived. If any objections are so made the Seller shall be allowed 60 days to make such title marketable. Pending correction of title the payments hereunder required shall be postponed, but upon correction of title and within 10 days after written notice to the Buyer, the parties shall perform this agreement according to its terms. If Seller shall fail to have said exceptions removed or satisfied within the time provided, Buyer may elect to do one or more of the following: (a) remove or satisfy the exceptions on behalf of Seller and at Seller's cost and expense, all of which costs and expenses shall be deducted from the purchase price at closing; (b) elect to purchase the property subject to the exceptions; and/or (c) declare this Agreement null and void (in which case neither party shall have any further liability or obligation to the other. In the event Buyer elects to remove or satisfy the exceptions on behalf of Seller in accordance with alternative (a) above, Seller shall cooperate with and assist Buyer in all reasonable respects. 8. Real Estate Taxes Real estate taxes due and payable in and for the year of closing shall be prorated between the Seller and Buyer on a calendar basis to the actual date of closing. 9. Special Assessments Seller shall pay on date of closing all installments of special assessments. Seller shall pay on date of closing all other special assessments levied as of the date of closing. Seller shall provide for payment of all special assessments pending as of the date of closing for improvements that have been ordered by the city or other assessing authorities. Seller shall pay on the date of closing, any deferred taxes. 10. Seller Warranties Seller warrants that buildings, are or will be, constructed entirely within the boundary lines of the property. Seller warrants that there is a right of access to the property from a public right of way. These warranties shall survive the delivery of the deed or contract for deed. Seller warrants that prior to the closing, payment in full will have been made for all labor, materials, machinery, fixtures or tools furnished within the 120 days immediately preceding the closing in connection with construction, alteration or repair of any structure on or improvement to the property. Seller warrants upon execution of this Agreement, Seller will not rent the property once it is vacated by any person now occupying same. Page 4 of 6 Seller warrants Seller has executed no option to purchase, right of first refusal, or any other agreement giving any person or other entity the right to purchase or otherwise acquire any interest in the property, and Seller is unaware of any option to purchase, right of first refusal, or other similar rights affecting the property, except as otherwise noted in the title commitment for the property. Seller has received no notice of any action, litigation, investigation or proceeding of any kind pending against Seller, nor to the best of Seller's knowledge is any action, litigation, investigation, or proceeding pending or threatened against the Subject Premises, or any part thereof. On the Date of Closing, there will be no service contracts in effect in connection with the Subject Premises, except those which are terminable on thirty (30) days' written notice. 11. Risk of Loss If there is any loss or damage to the property between the date hereof and the date of closing, for any reason including fire, vandalism, flood, earthquake, or act of God, the risk of loss shall be on Seller. If property is destroyed or substantially damaged before the closing date, the Purchase Agreement shall become null and void, at Buyer's option, and earnest money shall be refunded to Buyer; Buyer and Seller agree to sign cancellation of Purchase Agreement. 12. Time of Essence Time is of the essence in this Purchase Agreement. _13. Acceptance Seller understands and agrees that this Purchase Agreement is subject to acceptance by Buyer in writing. 14. Environmental Concerns To the best of the Seller's knowledge there are no hazardous substances, underground storage tanks, or wells except herein noted: 15. Well Disclosure Buyer acknowledge receipt of a well disclosure statement from Seller attached as Exhibit A to this Agreement. Page 5 of 6 16. Individual Sewage Treatment System Disclosure Seller discloses that there is not an individual sewage treatment system on or serving the Property. 17. As-Is-Basis It is specifically agreed that the Real Property is being conveyed to the Buyer by the Seller in "As-Is Condition" ("with all faults"). 18. Rieht of Entry Buyer is duly authorized agents shall have the fight during the period from the date of this Agreement to closing, to enter in and upon the Premises in order to make, at Purchaser's expense, surveys, measurements, wetlands delineations, soil tests, and other tests that Buyer shall deem necessary. Buyer agrees to restore any resulting damage to the Premises and to indemnify, hold harmless and defend Seller from any and all claims by third persons of any nature whatsoever arising from Buyer's fight of entry hereunder, including all actions, suits, proceedings, demands, assessments, costs, expenses and attorney's fees. 19. Brokers Commissions In the event Seller has retained the services of any agent, person, corporation or finn to assist in the sale of the property who, in mm, is entitled to a commission by reason of this Agreement and the closing hereunder, Seller hereby agrees to indemnify and hold Buyer harmless fi'om any liability arising therefrom. 20. Entire Agreement This Purchase Agreement, any attached exhibits and any addenda or amendments signed by the parties, shall constitute the entire agreement between Seller and Buyer, and supersedes any other written or oral agreements between Seller and Buyer. This Purchase Agreement can be modified only in writing signed by Seller and Buyer and is contingent upon the execution and passage of all necessary City and State requirements. 21. Incidental Expenses All expenses of examination of title, transfer tax, closing fees will be paid by the Buyer. Any cost incurred to remove any cloud on the title to convey a good and marketable title to said premised subject shall be the responsibility of the Seller. Page 6 of 6 22. Ineligible for Relocation Assistance The Seller acknowledge that they have voluntarily entered this Purchase Agreement and, as such, acknowledge that the Sellers are not "displaced persons" as defined by The Uniform Real Property Acquisition and Relocation Act of 1970 as amended and M.S. 117.52 and hence the Sellers are not eligible for any relocation assistance or benefits (see Addendum "C", Waiver Agreement Regarding Relocation Benefits). The undersigned, owner of the above land, does hereby approve the above agreement and the sale thereby made. SELLER: Gary John Pikala I hereby agree to purchase the said property for the price and upon the terms above mentioned, and subject to all conditions herein expressed. BUYERS: Walter Fehst - City Manager, Columbia Heights Gary Peterson - Mayor, City of Columbia Heights FINAL ACCEPTANCE DATE OF PURCHASE AGREEMENT: H 5Forms~Purchase Agreement lin Un~ ~ . Wd Ymli~ of Will IN wmmNo. D~ ~ ~ Wd2 ,, 0 0 0 mmmm:gm~ aM I~ ~lol m J kf mi, InmpqmJgom or ~ g~ Pray(m) ~ vdlh Io ol~mlf~ JRIIqcATIml BY U PaGE .Exhibit i0/28/1559 14:15 6i24484676 WILSON DEVELOP SERV PAGE ADDENDUM TO PURCHASE AGREEMENT Date: SEI.LE~/'IOU~OVER AGREEMENT 'RENT BACK" Page 1 of..~.2 Pages NATURE AND PURPOSE: This Amendment cjfves Seger the right to remain in and occupy the property after dosing on the purchase of the propen'y. This Amendment remains in effect after the dosing. or before~Ess~N DATE: 8citer agrees to deliver ~ of the property to Buyer on , 2001. 5ECURITYANDDAMAGEDEPOSrr: On N/A Seller will deposit $0.00 with Buyer in certified fiJnds, as a security and damage depomt. The deposit wi/I earn statutory intm'est at the rate prescribed in Minn. Stat Sec~on 504.20 sulxL 2. The Buyer will refund the deposit, ~ interest, to Setler, or alter Seller moves out of t~e property and gives possession to repal~ng damage to the property (incl~mg pers~x~l property ar~ appliances) caused by Seller. If lhe Buyer keePS all Or a part of the depc~, Buyer wifl provide a wntten staternsnt within 21 days staling the reason for withhoicling. MONTHLY RENT: Seller will pay Buyer $0.00 per month beginning on the Closing Date and continuing through the above Pc~,ion Oats. If Seller remains in lhe property after the above Pos~____-k~n Date. Seller will pay addilion~ monthly charges to Buyer in advance. UTIMTIE~: Seller agrees to contirn~e all uality services in ~eiler's name and to pay ail I~s fur utility sense during the period of the Salins passesaion, as they become due. INSURANCE: · Seller will ma/ntain IlaOir~ty insurance t'or the property through the date that Sell~- vacates the prope~. Seller is responslbte for Seller's personal property insurance. MAJNTENANGE: Seller Will be responsible for all repairs and normal maintenance of the ProPertY and pemonal propergy covered by ~he Purchase Agreement from and alter the Closing Date. Seller will keep the propelly in reasonable repair and order, 18/28/199S 1~1~ ~12~8~78 WILSON DEVELOP SERV P~GE USE OF PRORF_.m Y: Dudng the tern of this Agreement, Seller will oca. Jpy the praperty as Setlet'9 personal residence end ,Seller will not make any changes lo the praperty. ~eller will not assign nor sublease Ihe property under lfll$ Agreement. HOLD HAR~: Buyer is not re~:)onsible for liabilities, claims, or expenses from Selbr's use, possession, and _o~__,~nancy of the property. of property nor to its suitabtity for occupancy by the Seller. The Seller rents Ihe property "as is', wilh ail faulls. QIJIET ENJOYMENT: Buy&* promises that upon Seller's performence of,Seller's obagation in this ,~jmement, Seller wiil peecefulJy and quietly have, hold and enjoy the TERMINATION: If E)elJor fails to leaw the prol:~ly and give ~n to Buyer on ~he Ponessiofl Date speciRed above, Buyer will provide Se#er wire seven days advance closing, ff 8etler fails to leave ~e prope~y, Buym is authorized Io take any action pmmitted by law to ~ake p,~,-~..a.~an of lhe property. Buyer will bo er~ted to mcovm' damages from Seger for Buyers loss of use in the amount of $0.00 per day beginning with Possess~n Date specified above, in addllion to all charges and reimbursements slated in this Agreement, and All olher terms and conclitions of the Purchase Agreement will remain. (Date) (Buyer) (Date) (Date) (Buyer) THI~ I~ A LEGALLY BINDING CONTRACT BETNNEEN BUYER~ AND 8ELLER.q. IF YOU DESIRE LEQAL OR TAX ADVIGE, COf~ULT AN APPROPRLATE PROFES~dONAI_ GUIDEFORM NOTICE - Disclosures to Seller with Voluntary, Arm's Length Purchase Offer Dear Gary John Pikala: This is to inform you that the City of Columbia Heights would like to purchase the property located at 4401 Quincy Street NE, Columbia Heights, ifa satisfactory agreement can be reached. We are prepared to pay $120,000 for clear title to the property under the conditions described in the attached proposed contract of sale. Because Federal funds may be used in the purchase, however, we are required to disclose to you the following information: The sale is voluntary. If you do not wish to sell, the City of Columbia Heights will not acquire your property. The City of Columbia Heights will not use the power of eminent domain to acquire the property. We estimate the fair market value of the property to be $120,000. Since the purchase would be a voluntary, arm's length transaction, you would not be eligible for relocation payments or other relocation assistance under the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (URA), or any other law or regulation. Also, as indicated in the contract of sale, this offer is made on the condition that no tenant will be permitted to occupy the property before the sale is completed. Again, please understand that if you do not wish to sell your property, we will take no further action to acquire it. If you are willing to sell the property under the conditions described in the attached contract of sale, please sign the contract and return it to us. If you have any questions about this matter, please contact Randy Schumacher. His telephone number is 763-706-3675. Sincerely Development Director Enclosure Acting Community H:\forms\Guideform Notice 4401 Quincy CITY OF COLUMBIA HEIGHTS 590 40th Avenae N.E., Columbia Heights. MN 55421-3878 (763) 706-3600 TDD (763) 706-3692 Hsit Our Website at: www. ci. columbia-heights, mn. us EDA COMMISSIONERS: Robert W. Ructtimann Julierme Wyckoff Marlaine Szurek Gary L. Peterson Bruce Nawrocki Patrieia Jindra Bobby Williams ECONOMIC DEVELOPMENT AUTHORITY (EDA) PRELIMINARY ACQUISITION NOTICE/HUD BROCHURE April 12, 2001 Mr. Gary J. Pikala 4401 Quincy Street Columbia Heights, MN 55421 Dear Mr. Pikala: This is to inform you that the Columbia Heights Economic Development Authority has determined to acquire your property on 4401 Quincy Street N.E., (PIN-353024110054A), to be redeveloped for improved single family housing. A brochure describing your rights and the City's procedures for acquiring property is enclosed for your information. If you have any questions, please call Randy Schumacher at City Hall at 763-706-3675. The City will be hiring an independent Appraiser to appraise your property. You have the right to accompany them on their inspection of the property if you wish to do so. A letter inviting you to accompany the appraiser will be sent by the company at least five days prior to the visit. This notice is not a notice to vacate and does not establish eligibility for relocation payments or other relocation assistance. Sincerely, Randy Schumacher Acting Community Development Director Enclosure: When A Public Agency Acquires Your Property Date P~-IT.- a/ Date '~' ~7//~..~ ~/ i4:16 6i2aa84676 WILSON DEVELOP SERV P~GE i! Addendum WAIVER AGREEMENT REGARDING RELOCATION ~BE. IVEFI'I'S AGR~:~:MENT made this9th dayof July , 2001 ~byand between Gary John Pikala ~e~mina~er jointly re£erred co ms Owne~3, and ~e City of Columbia Hg~s~eremai~rmfei~ltoas.THE C~TY W~'I~:tEAS, Owner is the fe~ Owner of certain real property and improvument~ uaed for resideni~lpm-~osesloc~eda~ 4401 ~uincly Street NE (hereinafter "SXn~aprepertlO, in the City of Co 1 umb i a Hei qh ts j County of , Sta~ of l~(-nesota; and WI:iE~, (~ner knowe and unders~andm certain reloc~t~ benefits are pmmuant to 1~(--~.~ 8~uto No. 117.52 and the T]n(~rm P, elocat~on ~ and 1~ l~pe~ Acqui~itdon Policlee ~ 4~ U.$.C. No. 4621 e~ ~eq., (here~-~j)er referred toas~Ur~Ac~')~the TNF cITY to ~ in the ~elocation of the pereonal re~idenes ~t the mub~ect properS7, wI~h relocation benefits are: Reimbursement of Movin~ You may choose between either a p~m~t for your actual reasonable movin~ and related expe~es or a fixed money expense and dislocation allowance. Reolacement Hou~-~ To enable )~m to buy or, if you prefer, rent a comparable or suitable replacement home. Other Reloca~iolt This includes housing referrals and or. her assistance to help the owner relocate to a comparable decent, safe, and sanimzy dv~IIi~. The owner cannot be required to move from their home, u~l-ss ~hey sre gi~n reasonable oppo~tmities to relocate to comlmrable de~.~, safe and s~ni~ary dwem.~ that WHEi~. on July 9 ,2.001, I met with a representative of the cit%:, and discussed the ~elocation benefi~ ~d~ ~r ~e U~ ~. ~ey e~l~ined ~ ~ ~t we c~oC ~ ~d W ~H t~ p~ty ~ ~e City . ~y ~ ~l~d m ~ t~t ~e City ~ not ~ ~e w~ my ~on ~h~ ~r ~ U~m ~ WHE~, I have received and read the pamphlet "Relocation Assistance to Displaced Homeowners. (HUD- I044-Ci'~) 10/28/1999 i4:16 6i2~8a675 WILSON D~/ELOP SERV P~GE NOWTI-IF_~EFOI~E.. I, Gary John Pikala ,a~etheo~e:a~nd occupant~oftbepropertTat 4401 Quincy Street NE Columbia Heights . I ,~l~ub~o~m~g ~ pmpe~ ~ t~ Ci tv · ' t ~ ~e ba~c ~men~ of ~e U~ ~. -L ~ ~t ~ c~ n~ p~ W ~e City ~ ~n t~ ~l~n ~ ~ ~ ~e U~A~. "ii. h~e~ ~M~ ~d ~ the Seller ~eHer DATE: TO: FROM: RE: July 9, 2001 Randy Schnmacher, Acting Community Development Director, City of Columbia Heights Occupants at 4401 Quincy Street NE. Based on our discussion at the signing of the purchase agreement on July 9, 2001 for the above stated property, I indicated that I, (Gary John Pikala) was the sole owner at 4401 Quincy Street NE., Columbia Heights, MN In addition, I informed you that at the time I had relatives staying at my residence. The names of those individuals are as follows: Please be advised that they are not renters of this property and I am not receiving any rental fees for same. I hope this clarifies any questions you may have relating to the residential status of those individuals listed above. Gary John Pikala DATE: H:XForms\Occupants Ltr4401 Quincy COLUMBIA HEIGHTS CITY COUNCIL LETTER Meeting of: July 9, 2001 AGENDA SECTION: ORIGINATING DEPARTMENT: CITY MANAGER'S NO: -~' ~ ~ ~ Community Development APPROVAL ~ ITEM: Ordinance 1430, Conveyance of BY: Randy Schumacher ~Y_'~~0 1 Property located at 4401 Quincy DATE: July 6, 2001 Street NE. BACKGROUND: The second step in executing the development agreement for redevelopment of 4401 Quincy is to conduct the first reading of Ordinance 1430, authorizing the conveyance of real estate. This property consists of lots 16, 17, and the south one half of block 18, block 11, Columbia Heights Annex to Minneapolis, Anoka County, Minnesota. Twin Cities Habitat for Humanity would acquire the property for $35,650 and redevelop said site per the terms in the Sale and Development Agreement. RECOMMENDED MOTION: Staff is recommending the City Council approve Ordinance number 1430, authorizing the conveyance of certain real estate located at 4401 Quincy Street NE., Columbia Heights, Minnesota. RECOMMENDED MOTION: Move to waive the reading of Ordinance Number 1430, there being ample copies available to the Public. MOTION: Move to establish July 23, 2001, as the Second Reading of Ordinance 1430, being an Ordinance authorizing the Conveyance of certain real estate located at 4401 Quincy Street NE., in the City of Columbia Heights. Attachments COUNCIL ACTION: h:\CL consent2OOl\Ordinance 1430 ORDINANCE No. 1430 BEING AN ORDINANCE AUTHORIZING THE CONVEYANCE OF CERTAIN REAL ESTATE LOCATED AT 4401 QUINCY STREET N.E. IN THE CITY OF COLUMBIA HEIGHTS The City of Columbia Heights does ordain: Section 1: Section 2: Section 3: Section 4: First Reading: Second Reading: Date of Passage: Offered By: Seconded By: Authorization of Sale of Real Estate. The City of Columbia Heights shall sell and convey unto Twin Cities Habitat For Humanity the real property described as follows, to wit: Lots 16, 17, and the South one half of Lot 18, Block 11, Columbia Heights Annex to Minneapolis, Anoka County, Minnesota. PIN 35 30 24 11 0054 The Mayor and City Manager are herewith authorized to execute the quit claim deed to effectuate the conveyance of said real estate for carrying out the terms of the SALE AND DEVELOPMENT AGREEMENT and of this ordinance. This sale must meet all State and Federal Home Grant requirements prior to closing. This Ordinance shall be in full force and effect from and after thirty (30) days after its passage. July 9, 2001 Patricia Muscovitz, Deputy City Clerk Mayor, Gary L. Peterson 3g\legal\ordsale of 4401 Quincy COLUMBIA HEIGHTS - CITY COUNCIL LETTER Meeting off July 9, 2001 AGENDA SECTION: ORIGINATING DEPARTMENT: CITY MANAGERS NO: r~ I~ 3 CITY MANAGER APPROVAL~ ITEM: Obligation Tax Increment BY: Bill Elrite ~ Refunding Bonds Series 200lA in DATE: July 5, 2001 the mount of $2,785,000 Background: Dan Hartmarm, from Springstead, Inc., has approached staffwith a proposal to refinance the 1990 Capital Appreciation Bonds. These bonds were originally sold to finance the addition to Parkview Villa. Dan Hartmarm will be available at Monday night's Council meeting to discuss refinancing, the cost savings to the City, and possibly to propose having the first reading of an ordinance setting the bond sale. Recommended Motion: Move to waive the reading of Ordinance No. 1431, there being ample copies available to the public. Move to schedule July 23,2001 for the second reading of Ordinance No. 1431, being an Ordinance Setting the Sale Date for the Issuance of $2,785,000 General Obligation Tax Increment Refunding Bonds, Series 200lA. COUNCIL ACTION: NO. I q '~ I ORDINANCE PROVIDING FOR THE ISSUANCE AND SALE OF APPROXIMATELY $2,785,000 GENERAL OBLIGATION TAX INCREMENT REFUNDING BONDS, SERIES 2001 THE CITY OF COLUMBIA HEIGHTS DOES ORDAIN; !. It is hereby de~ermin~d that: (a) the City is aulhoriz~d by Minnesota Statutes, Chapter 475 (Acl) and Section 475.67, Subdivision 13 of ~he Act to issue and sell its general obligation bond~ to refund outstanding bonds when determined by the City Council to be necessar~ and desirable; (b) it is necessary and desirable to reduce debt ~rvice costs that the City issue approximately $2,785.000 General Obligation 'fax Incrc,mcnt Refi,mdln& Bonds, .~:rles 2001 (Bonds) to r~fund certain outsranding general obligations of the City; (c) ~he outslanding bonds to be retimded (R, eflmded Bonds) consist of lhe $Z399,720.75 General Obligation Tax Increment Capiud Appreciation Bonds of 1990, Series A, dated August 23, 1990, of which $952,432 in original pnncipal amount is callable on September 1, 2005 _.2. To provide moneys to refund the Refunded Bonds, the City will issue and sell Bonds in the approximate amount of $2,765,505. To provide in pan the addifiunal imerest required to market the Bonds at this Ume, additional Bonds will be issued in the amount of $19,495. The excess of the purchase price of the Bonds over the sam of $2,?65,505 will be credited to the debt service fund for the Bonds for the purpose of paying imerest first coming due on ~ additional Bond~. The Bonds will be issued, sold and delivered in accordanec wi~h ~ terms or,he following Official Terms of proposal: 3. $prings~ed Incorporated is authorized to r~goua~e the sal~ of fl~e Bonds in accordance with rbe foregoing terms The City Cmmcil will meet on Monday, AuguSl 21, 2001, to consider ~he sale of the Bonds md rake any other appropria~ action wi~ respect to the Bonds. 4. This ordinance shall I~ in ftdl lbrce and effect flora and a/~r thirvj (30) days afar its passage. First Reading: Second Reading: Oflbred By: Seconded By: Roll Calk Date of Passage: ~ayor Council SecreU~ Recommendations For City of Columbia Heights, Minnesota $2,785,000 General Obligation Tax Increment Refunding Bonds, Series 2001A Presented to: Mayor Gary Peterson Members, City Council Mr. Walter Fehst, City Manager Mr. William Elrite, Finance Director City of Columbia Heights 590 40t~ Avenue Northeast Columbia Heights, Minnesota 55421 Study No.: C0269.Q1 SPRINGSTED Incorporated July 3, 2001 SPRINGSTED Public Finance Advisors RECOMMENDATIONS Re: Recommendations for the Issuance of $2,785,000 General Obligation Tax Increment Refunding Bonds, Series 2001A We respectfully request your consideration of our recommendations for the above-named issue. Bond proceeds will be used to refinance the 2006 through 2009 maturities of the City's outstanding General Obligation Tax Increment Capital Appreciation Bonds, Series 1990A (the "Series 1990A Bonds") that are subject to optional prepayment on September 1, 2005. The objective of the refunding is the achievement of interest cost savings. These savings will serve to reduce the annual tax increment contribution required of the City to retire the Bonds used originally for the construction of senior housing in the City. We recommend the following for the Bonds: 1. Action Requested 2. Sale Date and Time 3. Authority and Purpose for the Bond Issue 4. principal Amount of Offering 5. Repayment Term 6. Source of Payment To establish the date and time of receiving bids and establish the terms and conditions of the offering, by approving First Reading of an ordinance on July 9, 2001, and Second Reading and adoption on July 23, 2001. Monday, August 27, 2001 at 11:00 A.M., with consideration for award by the City Council at 7:00 P.M. that same day. The Bonds are being issued pursuant to Minnesota Statutes, Chapters 475 and 469. Bond proceeds will be used to refinance the 2006 through 2009 maturities of the City's outstanding General Obligation Tax Increment Capital Appreciation Bonds, Sedes 1990A. $2,785,000. We have made a provision to adjust the size of the issue, up or down, in an amount up to $50,000 at the time of sale. This will allow for any necessary adjustments based on final costs. The Bonds will mature annually September 1, 2006 through 2009. Interest will be payable semi-annually each March 1 and September 1, commencing March 1, 2002. The Bonds will be general obligations of the City. The Bonds will be repaid from tax increment revenues from the District, which are currently being used to repay the Series 1990A Bonds. Tax increment revenues from the District, following the crossover date of September 1, 2005, will be pledged to this issue. City of Columbia Heights, Minnesota July 3, 2001 7. Prepayment Provisions 8. Credit Rating Comments Federal Treasury Regulations Concerning Tax-Exempt Obligations (a) Bank Qualification (b) Rebate Requirements (c) Bona Fide Debt Service Fund The Bonds will not be subject to payment in advance of their respective stated maturity dates. Rating applications will be made to Moody's Investors Service for a rating of the Bonds. The City's current general obligation bond rating is "Al ." Under Federal Tax Law, financial institutions cannot deduct from income for federal income tax purposes, income expense that is allocable to carrying and acquiring tax-exempt bonds. There is an exemption to this for "bank qualified" bonds, which can be so designated if the issuer does not issue more than $10 million of tax exempt bonds in a calendar year. Issues that are bank qualified typically receive slightly lower interest rates than issues that are not bank qualified. This issue is designated as bank qualified. All tax-exempt issues are subject to the federal arbitrage and rebate requirements, which require all excess earnings created by the financing to be rebated to the U.S. Treasury. The requirements generally cover two categories: bond proceeds and debt service funds. There are exemptions from rebate in both of these categories. Regarding Bond proceeds, the City will not owe any rebate from the investment of proceeds since the proceeds will be invested at a yield equal to or less than the yield on the Bonds. The City must maintain a bona fide debt service fund for the Bonds or be subject to yield restriction. This requires restricting the investments held in the debt service fund to the yield on the Bonds and/or paying back excess investment earnings in the debt service fund to the federal government. A bona fide debt service fund is a fund for which there is an equal matching of revenue to debt service expense, with carry over permitted equal to the greater of the investment earnings in the fund dudng that year or 1/12 the debt service of that year. Page 2 City of Columbia Heights, Minnesota July 3, 2001 (d) Economic Life 10. Continuing Disclosure 11. Attachments The average life of the Bonds cannot exceed 120% of the economic life of the project originally financed. The Bonds are within the economic life requirements. The Bonds are subject to continuing disclosure requirements set forth by the Securities and Exchange Commission. The SEC rules require the City to undertake an annual update of certain Official Statement information and report any material events to the national repositories. Springsted currently provides continuing disclosure services for the City under a separate contract. An amendment to that contract adding this issue has been provided to City staff. · Refunding Schedules · Terms of Proposal DISCUSSION This Issue is being conducted as a crossover refunding to achieve interest cost savings. The proceeds of the refunding bonds are placed in an escrow account with a major bank and invested in government securities. These securities and their earnings are structured to pay interest on the new bonds until the refunded bonds' call date of September 1, 2005, at which time the escrow account will "cross over" and prepay all of the remaining principal of the refunded bonds. The City will continue to pay the originally scheduled debt service on the refunded bonds through the call date. After the call date, the City will cross over and begin making debt service payments on the refunding bonds, taking advantage of the lower interest rates. We have attached a series of schedules concerning the refunding. Page 5 shows the sizing of the issue and details the sources and uses of funds. Page 6 shows the current debt service requirements for the Series 1990A Bonds. Page 7 shows the total principal being refunded on the crossover date of September 1, 2005. Page 8 shows the principal and estimated interest rates for the new Bonds. The Bonds have been structured to provide for even annual savings with respect to the refunded debt service, Interest payments due through September 1, 2005 will be made from the escrow account established with the proceeds of the Bonds. Page 9 illustrates the new debt service requirements due each year, and the higher requirements of the 1990A issue, and shows the estimated annual savings to the City after the crossover date, The Bonds are projected to be sold at a true interest rate of approximately 4.10%. Projected savings to the City are approximately $147,560 or $113,340 in present-value dollars, or 4.54% of present-valued refunded debt service. These savings will be available for other tax- increment uses in the City. Page 3 City of Columbia Heights, Minnesota July 3, 2001 Legislative changes to class rates and tax-increment policy, announced during the past week, may impact the District and the status of revenues during the term of the refunding. As the legal community develops an interpretation of the changes over the next few months, we will be prepared to give the City desired advice on issues specific to tax-increment financing. We will continue to monitor the market up to the date of sale and keep the City apprised of any adverse interest rate changes. Springsted is pleased again to be of assistance to the City of Columbia Heights. Respectfully submitted, - IIr Page 4 Preliminar $2,785,000 City of Columbia Heights, Minnesota G.O. Tax Increment Refunding Bonds, Series 2001A Crossover Refunding of Series 1990A SOURCES & USES Dated 09/01/2001 Delivered 09/15/2001 SOURCES OF FUNDS Par Amount of Bonds .......................................................... $2,785,000.00 Accrued interest from 09/01/2001 to 09/15/2001 ................ 4,278.94 TOTAL SOURCES .............................................................. $2,789,278.94 USES OF FUNDS Deposit to Crossover Escrow Fund .....................................2,735,573.30 31,100.00 Costs of Issuance ................................................................ Total Underwriter's Discount (0.700%) ............................... 19,495.00 Rounding Amount ................................................................ 3,110.64 TOTALUSES.................................................................... $2,789,278.94 Springsted Incorporated AdVisors to the Public Sector eries 2001A Ref 90- SINGLE PURPO~ 712/2001 4:57 PM Page 5 Preliminar $2,399,721 City of Columbia Heights, Minnesota General Obligation Tax Increment Capital Appreciation Bonds Series 1990A PRIOR ORIGINAL DEBT SERVICE Date Principal Coupon Interest TotaIP+l 9/01/2002 391,515.15 6.900% 493,484.85 885,000.00 9/01/2003 377,917.60 6.950% 542,082.40 920,000.00 9/01/2004 350,584.40 7.000% 569,415.60 920,000.00 9/01/2005 327,271.60 7,000% 592,728.40 920,000.00 9/01/2006 300,821.60 7.100% 619,178.40 920,000.00 9/01 ~2007 280,544.80 7.100% 639,455.20 920,000.00 9/01 ~2008 259,375.60 7.150% 660,624.40 920,000.00 9/01/2009 111,690.00 7.150% 313,310.00 425,000.00 Total 2,399,720.75 4,430,279.25 6,830,000.00 YIELD STATISTICS 3.919 Years Average Life .......................................................................................................... 3.880 Years Weighted Average Matudty (Par Basis) ................................................................ 47.1069969% Average Coupon ................................................................................................... File = COLUMBIA HEIGHTS.SF-Series 1990A-SINGLE PURPO,';~ Springsted Incorporated Advisors to the Public Sector 7/2/2001 4:57 PM Page 6 Prelimina~ $2,399,721 City of Columbia Heights, Minnesota General Obligation Tax Increment Capital Appreciation Bonds Series 1990A TOTAL REFUNDED DEBT SERVICE Date Principal Coupon Interest Total P+I 9/01/2006 650,825.36 7.100% 269,174.64 920,000.00 9/01/2007 606,962.51 7.100% 313,037.49 920,000.00 9/01/2008 564,162.29 7.150% 355,837.71 920,000.00 9/01/2009 242,936.43 7.150% 182,063.57 425,000,00 Total 2,064,886.59 1,120,113.41 3,185,000.00 YIELD STATISTICS 6.193 Years Average Life ............................................................................................................ 6.154 Years Weighted Average Maturity (Par Basis) .................................................................. 8.7587351% Average Coupon ..................................................................................................... Springsted Incorporated File = COLUMBIA HEIGHTS.SF-Series 1990A-SINGLE PURPOSE 7/2/2001 4:57 PM Advisors to the Public Sector Page 7 Preliminar $2,785,000 City of Columbia Heights, Minnesota G.O. Tax Increment Refunding Bonds, Series 2001A Crossover Refunding of Series 1990A DEBT SERVICE SCHEDULE Date Principal Coupon Interest Total P+I 110,030.00 110,030.00 9/01/2002 110,030.00 110,030.00 9/01/2003 110,030.00 110,030.00 9/01/2004 110,030.00 110,030.00 9/01/2005 9/0112006 775,000.00 3.800% 110,030.00 885,030.00 9/01/2007 800,000.00 3.900% 80,580.00 880,580.00 9/01/2008 835,000.00 4.050% 49,380.00 884,380.00 9/01/2009 375,000.00 4.150% 15,562.50 390,562.50 Total 2,785,000.00 695,672.50 3,480,672.50 YIELD STATISTICS Accrued Interest from 09/01/2001 to 09/15/2001 ................................................... 4,278.94 $17,520,00 Bond Year Dollars ................................................................................................... 6.291 Years Average Life ............................................................................................................ 3.9707334% Average Coupon ..................................................................................................... 4.0820063% Net Interest Cost (NIC) ........................................................................................... 4.0965859% True Interest Cost (TIC) .......................................................................................... 3.9682394% Bond Yield for Arbitrage Puq3oses .......................................................................... 4.3035736% All Inclusive Cost (AIC) ........................................................................................... IRS FORM 8038 Net Interest Cost ..................................................................................................... Weighted Average Maturity .................................................................................... 4.0828224% 6.252 Years Spdngstecl Incorporated Advisors to the Public Sector File = COLUMBIA HEIGHTS.SF-Series 2001A Ref 90- SINGLE PURPOSE 7/2/2001 4:57 PM Page 8 Prelimin~r $2,785,000 City of Columbia Heights, Minnesota G.O. Tax Increment Refunding Bonds, Series 2001A Crossover Refunding of Series 1990A DEBT SERVICE COMPARISON Date Total P+I PCF Existing D/S Net New D/S Old Net D/S Savings 9/01/2002 110,030.00 (110,030.00) 885,000.00 885,000.00 885,000.00 9/01/2003 110,030,00 (110,030.00) 920,000.00 920,000.00 920,000.00 9/01/2004 110,030.00 (110,030.00) 920,000.00 920,000.00 920,000.00 9/01/2005 110,030.00 (2,834,265.62) 3,644,235.62 920,000.00 920,000,00 9/01/2006 885,030.00 885,030.00 920,000.00 34,970.00 9/01/2007 880,580.00 880,580.00 920,000.00 39,420.00 9/01/2008 884,380.00 884,380.00 920,000.00 35,620.00 9/01/2009 390,562.50 390,562.50 425,000.00 34,437.50 Total 3,480,672.50 (3,164,355.62) 6,369,235.62 6,685,552.50 6,830,000.00 144,447.50 PRESENT VALUE ANALYSIS SUMMARY (NET TO NET) 144,447.50 Net FV Cashflow Savings ....................................................................................................... 110,230.79 Gross PV Debt Service Savings ............................................................................................. Net PV Cashflow Savings @ 3.968%(Bond Yield) ................................................................. 110,230.79 3,110.64 Contingency or Rounding Amount .......................................................................................... $147,558.14 NET FUTURE VALUE BENEFIT ............................................................................................. $113,341.43 NET PRESENT VALUE BENEFIT .......................................................................................... NET PV BENEFIT / $873,006.85 PV REFUNDED INTEREST ............................................... 12,983% NET PV BENEFIT / $2,495,605.66 PV REFUNDED DEBT SERVICE ................................... 4.542% NET PV BENEFIT / $2,064,887 REFUNDED PRINCIPAL .................................................... 5.489% NET PV BENEFIT / $2,785,000 REFUNDING PRINCIPAL ................................................... 4.070% Springsted Incorporated ' File = COLUMBIA HEIGHTS.SF-Series 2001A Ref 90- SINGLE PURPOSE Advisors to the Public Sector 7/2/2001 4:57 PM Page 9 THE CITY HAS AUTHORIZED SPRINGSTED INCORPORATED TO NEGOTIATE THIS ISSUE ON ITS BEHALF. PROPOSALS WILL BE RECEIVED ON THE FOLLOWING BASIS: TERMS OF PROPOSAL $2,785,000* CITY OF COLUMBIA HEIGHTS, MINNESOTA GENERAL OBLIGATION TAX INCREMENT REFUNDING BONDS, SERIES 2001A (BOOK ENTRY ONLY) Proposals for the Bonds will be received on Monday, August 21, 2001, until 11:00 A.M., Central Time, at the offices of Springsted Incorporated, 85 East Seventh Place, Suite 100, Saint Paul, Minnesota, after which time they will be opened and tabulated. Consideration for award of the Bonds will be by the City Council at 7:00 P.M., Central Time, of the same day. SUBMISSION OF PROPOSALS Proposals may be submitted in a sealed envelope or by fax (651)223-3046 to Springsted. Signed Proposals, without final price or coupons, may be submitted to Springsted prior to the time of sale. The bidder shall be responsible for submitting to Springsted the final Proposal price and coupons, by telephone (651)223-3000 or fax (651)223-3046 for inclusion in the submitted Proposal. Springsted will assume no liability for the inability of the bidder to reach Springsted prior to the time of sale specified above. All bidders are advised that each Proposal shall be deemed to constitute a contract between the bidder and the City to purchase the Bonds regardless of the manner of the Proposal submitted. DETAILS OF THE BONDS The Bonds will be dated September 1, 2001, as the date of original issue, and will bear interest payable on March 1 and September 1 of each year, commencing March 1, 2002. Interest will be computed on the basis of a 360-day year of twelve 30-day months. The Bonds will mature September 1 in the years and amounts as follows: 2006 $775,000 2007 $800,000 2008 $835,000 2009 $375,000 * Clt reserves the right, after proposals are opened and prior to award, to increase or reduce the Th.e . '~ ...... o~-,- ..~red for sale Anv such increase or reduction will be in a. to.!al pnnclpal arnoun[ ol u~ =~.u~ ~,,,~ * ~ amount not to exceed $50,000 and will be made in multiples of $5,000 in any of the maturities. In tne event the principal amount of the Bonds is increased or reduced, any premium offered or any discount taken by the successful bidder will be increased or reduced by a percentage equal to the percentage by which the principal amount of the Bonds is increased or reduced. BOOK ENTRY SYSTEM The Bonds will be issued by means of a book entry system with no physical distribution of Bonds made to the public. The Bonds will be issued in fully registered form and one Bond, representing the aggregate principal amount of the Bonds maturing in each year, will be registered in the name of Cede & Co. as nominee of The Depository Trust Company ("DTC"), New York, New York, which will act as securities depository of the Bonds. Individual purchases of the Bonds may be made in the principal amount of $5,000 or any multiple thereof of a single maturity through book entries made on the books and records of DTC and its participants. Page 10 Principal and interest are payable by the registrar to DTC or its nominee as registered owner of the Bonds. Transfer of principal and interest payments to participants of DTC will be the responsibility of DTC; transfer of principal and interest payments to beneficial owners by participants will be the responsibility of such participants and other nominees of beneficial owners. The purchaser, as a condition of delivery of the Bonds, will be required to deposit the Bonds with DTC. REGISTRAR The City will name the registrar which shall be subject to applicable SEC regulations. The City will pay for the services of the registrar. OPTIONAL REDEMPTION The Bonds will not be subject to payment in advance of their respective stated maturity dates. SECURITY AND PURPOSE The Bonds will be general obligations of the City for which the City will pledge its full faith and credit and power to levy direct general ad valorem taxes, in addition the City will pledge revenues of a tax increment district in the City. The proceeds Will be used to refund the 2006 through 2009 maturities of the City's General Obligation Tax Increment Capital Appreciation Bonds, Series 1990A, dated August 23, 1990. TYPE OF PROPOSALS Proposals shall be for not less than $2,765,505 and accrued interest on the total principal amount of the Bonds. Proposals shall be accompanied by a Good Faith Deposit ("Deposit") in the form of a certified or cashier's check or a Financial Surety Bond in the amount of $27,850, payable to the order of the City. If a check is used, it must accompany the proposal. If a Financial Surety Bond is used, it must be from an insurance company licensed to issue such a bond in the State of Minnesota, and preapproved by the City. Such bond must be submitted to Springsted Incorporated prior to the opening of the proposals. The Financial Surety Bond must identify each underwriter whose Deposit is guaranteed by such Financial Surety Bond. If the Bonds are awarded to an underwriter using a Financial Surety Bond, then that purchaser is required to submit its Deposit to Springsted Incorporated in the form of a certified or cashier's check or wire transfer as instructed by Springsted Incorporated not later than 3:30 P.M., Central Time, on the next business day following the award. If such Deposit is not received by that time, the Financial Surety Bond may be drawn by the City to satisfy the Deposit requirement. The City will deposit the check of the purchaser, the amount of which will be deducted at settlement and no interest will accrue to the purchaser. In the event the purchaser fails to w~th the accepted proposal, said amount will be reta ned by the City. No proposal can comply * ~--~ -"Ar th~ firn~, set for receiving proposals unless the meeting of the be withdrawn or amenoeu a,,.~ ............... City scheduled for award of the Bonds is adjourned, recessed, or continued to another date without award of the Bonds having been made. Rates shall be in integral multiples of 5/100 or 1/8 of 1%. Rates must be in level or ascending order. Bonds of the same maturity shall bear a single rate from the date of the Bonds to the date of maturity. No conditional proposals will be accepted. AWARD The Bonds will be awarded on the basis of the lowest interest rate to be determined on a true interest cost (TIC) basis. The City's computation of the interest rate of each proposal, in accordance with customary practice, will be controlling. Page 11 The City will reserve the right to: (i) waive non-substantive informalities of any proposal or of matters relating to the receipt of proposals and award of the Bonds, (ii) reject all proposals without cause, and, (iii) reject any proposal which the City determines to have failed to comply with the terms herein. BOND INSURANCE AT PURCHASER'S OPTION 'If the Bonds qualify for issuance of any policy of municipal bond insurance or commitment therefor at the option of the underwriter, the purchase of any such insurance policy or the issuance of any such commitment shall be at the sole option and expense of the purchaser of the Bonds. Any increased costs of issuance of the Bonds resulting from such purchase of insurance shall be paid by the purchaser, except that, if the City has requested and received a rating on the Bonds from a rating agency, the City will pay that rating fee. Any other rating agency fees shall be the responsibility of the purchaser. Failure of the municipal bond insurer to issue the policy after Bonds have been awarded to the purchaser shall not constitute cause for failure or refusal by the purchaser to accept delivery on the Bonds. CUSIP NUMBERS If the Bonds qualify for assignment of CUSIP numbers such numbers will be printed on the Bonds, but neither the failure to print such numbers on any Bond nor any error with respect thereto will constitute cause for failure or refusal by the purchaser to accept delivery of the Bonds. The CUSIP Service Bureau charge for the assignment of CUSIP identification numbers shall be paid by the purchaser. SETTLEMENT Within 40 days following the date of their award, the Bonds will be delivered without cost to the purchaser through DTC in New York, New York. Delivery will be subject to receipt by the a rovin legal opin on of Kennedy & Graven, Chartered of Minneapolis, urchaser of an pp g . · · -' ' n certificate. On the date of I~innesota, and of customary closing papers, including a no htlgat o settlement, payment for the Bonds shall be made in federal, or equivalent, funds which shall be received at the offices of the City or its designee not later than 12:00 Noon, Central Time. Except as compliance with the terms of payment for the Bonds shall have been made impossible by action of the City, or its agents, the purchaser shall be liable to the City for any loss suffered by the City by reason of the purchaser's non-compliance with said terms for payment. CONTINUING DISCLOSURE In accordance with SEC Rule 15c2-12(b)(5), the City will undertake, pursuant to the resolution awarding sale of the Bonds, to provide annual reports and notices of certain events. A description of this undertaking is set forth in the Official Statement. The purchaser's Bond to purchase the Bonds will be conditioned upon receiving evidence of this undertaking at or prior to delivery of the Bonds. OFFICIAL STATEMENT The City has authorized the preparation of an Official Statement containing pertinent information relative to the Bonds, and said Official Statement will serve as a nearly-final Official Statement within the meaning of Rule 15c2-12 of the Securities and Exchange Commission. For copies of the Official Statement or for any additional information prior to sale, any prospective purchaser is referred to the Financial Advisor to the City, Springsted Incorporated, 85 East Seventh Place, Suite 100, Saint Paul, Minnesota 55101, telephone (651) 223-3000. Page 12 The Official Statement, when further supplemented by an addendum or addenda specifying the maturity dates, principal amounts and interest rates of the Bonds, together with any ether information required by law, shall constitute a "Final Official Statement" of the City with respect to the Bonds, as that term is defined in Rule 15c2-12. By awarding the Bonds to any underwriter or underwriting syndicate submitting a proposal therefor, the City agrees that, no more than seven business days after the date of such award, it shall provide without cost to the senior managing underwriter of the syndicate to which the Bonds are awarded 100 copies of the Official Statement and the addendum or addenda described above. The City designates the senior managing underwriter of the syndicate to which the Bonds are awarded as its agent for purposes of distributing copies of the Final Official Statement to each Participating Underwriter. Any underwriter delivering a proposal with respect to the Bonds agrees thereby that if its proposal is accepted by the City (i) it shall accept such designation and (ii) it shall enter into a contractual relationship with all Participating Underwriters of the Bonds for purposes of assuring the receipt by each such Participating Underwriter of the Final Official Statement. Dated July 9, 2001 BY ORDER OF THE CITY COUNCIL Is~ William Elrite City Clerk 7/3/01 1:23 PM Page 13 THE MINUTES OF THE TELECOMMUNICATIONS COMMISSION FROM . THURSDAY, YUNE 21, 2001 The meeting was called to order at 7:05 p.m. by Dennis Stroik, Chairperson. ROLL CALL: Commission Members: Dennis Stroik, Bradley Peterson, Reuben Ruen, Bob Buboltz, and David Mahoney Council Representative: Bruce Nawrocki -UNABLE TO ATTEND City Representative: Jean Kuehn AT & T Broadband Rep: Kathi Donnelly-Cohen Legal Counsel: Stephen Guzzetta David Mahoney was in~oduced as a new member of the commission whose term will expire April 2003. APPROVAL OF MINUTES Motion by Bob Buboltz, seconded byBrad Peterson, to approve the minutes from the meeting of Apri119, 2001. All ayes. OLD BUSINESS A. Channel Check Channels 31 & 55 had low volume and Channel 58 was slow to sink in. Kathi will check on this. Correspondence Log and Complaint Follow Up. #147-Klimek-Complained about poor reception of 4-5-9 & 11. When she called for an appointment, she was told it would be two weeks before service could be done. She thought that was an excessive delay. Kathi Donnelly-Cohen said due to the CSG conversion, the service schedule looked full. The Cable Co. sent a tech out on April 30a to remedy the problem. #148-Meinhardt-He is being billed for a converter box and doesn't have one. His bill is to be corrected. #149-Egli-Neighbors temporary cable wire is laying on the ground in her yard. The line was moved out of her way until it can be installed permanently. #150-Solem-Complained about new price he is paying for digital package that he changed to after a telemarketer called him. Kathi sent him a letter explaining the packages and prices for digital service, so he could decide which one he wants. He disagreed with the letter and left Kathi several messages. She researched his account and found that he has changed his programming package three times in the last 2 months, and therefore his billing is very difficult to understand. He had an $82 balance on his account, which she credited in full. She sent him another letter and explained this, and again asked him to decide on the programming package he really wants. She will report back at the next meeting. Brad Peterson questioned the procedure when dispatching a service tech to a call and the fact they don't receive notification of cancellations. He had a call scheduled, called in the morning to cancel, and the service tech still came out. Kathi explained the procedure followed in routing and scheduling the service techs. It is hard to cancel calls, once printed, as there are many sub contracted techs doing work in addition to those on staff. C Franchise Fee Analysis Update Steve Guzzetta reported the Ramsey-Washington Commission will discuss this issue at their next meeting. Mr. Seykora from AT & T Broadband attended their June meeting and provided some additional information to the commission for their consideration. They will review the information and discuss it at their next meeting. TELECOMMUNICATIONS MEETING MINUTES OF IUNE 21, 2001 PAGE 2 D. 2000 Annual Report-Remaining Outstanding Items *The Guidelines for Community Television Channel 15 Equipment/Facilities were re- submitted. *The attachments for Form 395 were provided. *The financial statements with verification by an accountant required an audit to be performed. This is being done and as soon as the new financial information is ready, it will be forwarded to the City. The acceptance of the Annual Report is tabled until all the items have been submitted. E. Other Old Business Kathi reported that they had made an offer to someone for the Access Studio position to replace Eddie Harris. The person at first accepted the position, then later declined the position due to another position he accepted in production. The position has been re- posted. NEW BUSINESS A. Receipt of the 1st Quarter Franchise Fees The 1st Quarter Franchise Fee payment of $31,655.30 was received and a copy of such was enclosed in the agenda packet. B. Notice of Rate Increase Effective June 1, 2001 for Road Runner Service. Notice was received May 1, 2001 regarding a price increase effective June 1, 2001 for two way Road Runner Service. The price for this service will be increased $6.00 resulting in a cost of $45.95/month. As a reminder, the price for Basic Service, equipment, and installation will also be increased effective July 1st. The City will need to review and approve the 1240 and 1205 rate filings. The review will be done in conjunction with other cities as has been done in the past. David Mahoney reported his intemet access was not accessible tonight. Kathi will check on the reason for this. C. Changes to AT & T Roadrunner Service A letter was received May 24t~ regarding changes that will be made to the cable intemet services. As part of the FCC obligations with the merger, AT & T Broadband was required to sever its ties to RoadRunner. On June 3, 2001, At & T RoadRunner home page content will change fi.om RoadRunner to Excite(D,,Home. The new content will allow subscribers to customize their individual home page with the services they are most interested in. Effective June 3~d, the technical services were also consolidated for Interact support. Tier 1 and Tier 2 support for customers will move to Convergis. D. Notice of Price Change for Converter Boxes Prices for converter boxes will be $3.80/month effective July 1, 2001. This amount is still lower than the maximum permitted rate of $6.62 calculated on FCC Form 1205. TELECOMMUNICATIONS COMMISSION MINUTES OF JUNE 21, 2001 PAGE 3 REPORTS Ao Review of Request from 1SD #13 for Funding of Hardware and Software for Video Production Class Jean Kuehn had called Kathy Kelly to request her attendance at our meeting, but was unable to reach her. Jean was unfamiliar with some of the items requested and would like more information before bringing this request before the City Manager and the Council. The commission members discussed the items being requested and thought the items looked like a package to upgrade their present equipment. They questioned whether these specific items were needed or if other alternatives would also work, and if price comparisons were obtained. The commission members concurred they would like to consider this request, but needed more information. Dennis will try and contact her and ask her to attend our next meeting. Other New Business Reuben Ruen questioned the duties of the Telecommunications Commission and felt the duties needed to be better defined. He had particular concerns due to the recent purchase ora wireless data system that is to be used by Parkview Villa and the Liquor Stores to incorporate them into our network. This item was authorized to be purchased without any input from the Telecommunications Commission. He thought that was a mistake. He was not upset that the Council purchased such a package, but that they did so uninformed. He has concerns regarding the fact this system operates without a license and may be subject to future interference if someone decides to use the same fi'equency. He also questioned privacy/security of the data that may be transmitted. A discussion took place on the best way to ensure that the Administrative Staff and City Council members are better informed before making these types of decisions. It was decided to have the commission members review the duties of the commission, make recommended changes, and then to discuss these changes with the city council and staff at a work session. Report of Commissioners Educational-Nothing to report Government- Nothing to report Library-Nothing to report Public-Nothing to report Report of AT & T Broadband- The reports from May were enclosed in the agenda packets. New reports will be drafted due to the conversion to the new system. AT & T representatives are meeting with Tom Creighton to establish what information is wanted and useful to the various cities. Report of the Cable Attorney *Columbia Heights is in a coalition of cities to review the 1240 and 1205 forms for the rate increase that will take effect July 1, 2001. All forms and orders issued during the last 4-5 years will be reviewed during this process to ensure that they have been correctly submitted. TELECOMMUNICATIONS COMMISSION MINUTES OF JUNE 21, 2001 PAGE 4 *Steve Guzzetta reported he has not had any further communications with Everest Corp. regarding their request to postpone their application for a fi'anchise. He has advised all cities to terminate the application and to refund any remaining funds. Everest can then re- submit their request when, and if, they decide to proceed. *Steve Guzzetta updated commission members on a case that was decided in the Washington DC regarding the construction of a Tower for High Definition TV Transmission. The District ordered the construction to be stopped due to height and location issues. The courts ruled in favor of the District as the tower was for TV transmission, not personal wireless communications. Under federal law, government jurisdictions cannot prohibit the construction of towers used for personal wireless communication needs. However, construction of towers/antennas can be restricted by cities depending on the use of the tower. *Steve also reported that Section 253 of the Communications Act, which states that no one can prohibit any entity fi.om providing cable services, was challenged in the state of Virginia. A private cable company filed the litigation because they felt a city shouldn't provide cable services in direct competition with a private company. The FCC ruled that cities are an entity and can provide cable services if they choose. *The federal law has upheld a City's right to manage the use of their right of ways and to charge a fair and reasonable fee to do so. Report of the Assistant to the City Manager There was nothing further to report. Motion by Brad Peterson, seconded by Bob Buboltz, to adjourn the meeting at 8:10 pm. All ayes. Respectfully submitted, Shelley Hanson Secretary COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY (EDA) REGULAR MEETING MINUTES OF MAY 15, 2001 CALL TO ORDER - The Regular Meeting of the Columbia Heights Economic Development Authority (EDA) was called to order by President Ruettimann at 6:36 p.m., Tuesday, May 15,2001, in the Parkview Villa Community Room B, 965 40th Avenue NE, Columbia Heights, Minnesota. ROLL CALL Commission Members Present: Robert Ruettimann, Marlaine Szurek, Gary Peterson, Julienne Wyckoff, Bruce Nawrocki, and Bobby Williams Commission Members Absent: Pat Jindra Staff Present: Walt Fehst, Executive Director Randy Schumacher, Acting Deputy Executive Director Shirley Barnes, CEO, Crest View Corporation Cher Bakken, Community Development Secretary Mark Nagel, Community Development Staff CONSENT AGENDA (These items are considered to be routine by the EDA Board of Commissioners ~nd will be enacted as part of the Consent Agenda by one motion). A. Adopt the consent agenda items as listed below. 1) Approval of Minutes - regular meeting of April 17, 2001 Move to adopt the minutes of the April, 2001 regular meeting as presented in writing. 2) Financial Report and Payment of Bills a. Financial Statement - April, 2001 b. Payment of Bills - April, 2001 Move to approve Resolution 2001-08, Resolution of the Columbia Heights Economic Development Authority (EDA) approving the financial statements for April, 2001 and approving payment of bills for April, 2001. MOTION by Szurek, second by Peterson, to adopt the consent agenda items as listed. All ayes. MOTION CARRIED. Nawrocki asked when the Board could get a copy of the Auditors Report. Ruettimann stated that by Friday, May 25'~ the Finance Department assured us we would have the report and staff will provide copies to the Board members. REPORT OF THE MANAGEMENT COMPANY In Anita Kottsick's absence, Shirley Barnes gave the Management Report. There was one correction to Kottsick's written report. It should state: Unit 710 had a water leak in the bathroom ceiling, which ran down the wall. After some investigation by maintenance personnel, it was determined that the balcony had a significant crack where the balcony floor and wall meet. Personnel caulked the cracks and the leak appeared fixed until it rained again. A contractor was called to determine where the water coming in. Therefore, the unit will not be rented until the water problem is solved. Three units in the North building developed severe leaks around and above the window frames. Maintenance personnel called four different contract°rs f°r an evaluati°n' Two of the contractors stated that the leaks were coming in from above and working d°wn the walls' They will provide a proposal to staff The North apartment inspections were completed and maintenance is working on a list of the necessary repairs to provide to the Capital lmprovement Committee' Two apartments failed inspection due to Economic Development Authority Minutes May 15, 2001 Page 2 of 7 housekeeping safety issues. Kottsick will work with the residents to make corrections. South apartment inspections will be done in late May. Unit 908 has been rented for occupancy as of June 1, 2001. Also included in the report was the breakdown of the 912 vacant days requested by the Board at a previous EDA meeting. PUBLIC HEARING FOR SALE OF 3913 POLK STREET NE. Ruettimann opened the Public Hearing at 6:51 p.m. Schumacher indicated that State Statute requires a Public Hearing prior to the sale of property by an EDA. The Public Hearing for the sale of 3913 Polk Street NE was published in the Focus Newspaper and broadcast on Cable TV on May 3, 2001. This was the first step in the process to purchase and sell 4401 Quincy Street NE to Habitat for Humanity along with 3913 Polk Street NE to build 3 new single-family dwellings. This is contingent upon City Council approving the purchase and sale of 4401 Quincy. The purchase of 4401 Quincy Street will be financed by; 1) a $70,000 HOME Program Grant, 2) $35,650from Habitat for Humanity, and 3) a $17,500 cash match from the EDA for a total of $123,150. If the City choses to not approve the purchase and sale of 4401 Quincy to Habitat for Humanity, the EDA could consider the sale of 3913 Polk Street NE at their June 17, 2001 meeting, but would have to turn back the $70,000 in HOME Grant Funds. The 3 owner- occupied, single-family dwellings to be constructed by Habitat for Humanity would help fulfill a commitment made by the Columbia Heights City Council in 1996 to work in partnership with Habitat for Humanity to construct 9 homes over the next 3years in the community. The document for the 9 homes is not a bi~ding legal agreement with Habitat for Humanity. Staff recommended the Board approve the sale of the properties to Habitat for Humanity subject to the terms of a negotiated development agreement. Ruettimann provided a spreadsheet listing the Habitat for Humanity homes in Columbia Heights, which listed the 2001 estimated market value and limited market value for payable 2002 and 2001 taxes. He also read a letter from the Nellermoe family expressing their concern that the property wash 't put up for public sale. Pat Rosenberg, resident and volunteer for Habitat in Columbia Heights, explained how the Habitat home program works. In order to qualify for home purchase, the families must put in a total of 350 hours of labor, attend classes, financially qualify, and must show a real need to own a home. Nellermoe was present at the meeting and expressed the following c°ncerns: 1) all of the Habitat homes look alike and he would like to see them look like a Cape Cod or Rambler, and 2) why wasn't the property put up for sale to the public because a neighbor might be interested in buying the lot to increase the size of their property. Wyckoff felt that Habitat for Humanity is a good program, but Columbia Heights has enough Habitat homes and the EDA should look into putting in some townhomes for higher income families such as employees of the new Medtronic World Headquarters in Fridley. Ryan Karis, from Twin Cities Habitat for Humanity was present and provided information about the program. Habitat maintains an on-going staff at each site, they have a home ownership program, comprehensive training program for prospective owners which requires attendance at 12 seminars on home ownership, Habitat is a licensed general contractor; all homes have vinyl siding, Anderson windows, 90% efficient water heaters, and mechanical heating systems; and the homes are mortgaged on a 20, 25 or 30 year, zero percent mortgage with Habitat Financial. The home at 3913 Polk Street would be a single level rambler home with 1,100 square feet of living space. Nawrocld felt the garage on the property was not up to code and the entrance was too tight. He suggested the purchase agreement indicate the garage be torn down. Ruettimann stated that the Planning and Zoning Commission would have to approve that part of the development at the time the plans are reviewed. Economic Development Authority Minutes May 15, 2001 Page 3 of 7 Karis told Mrs. Nellermoe that he is willing to meet with the families on Polk Street to get ideas of what style home would be appropriate on the block. He also tom Nawrocki that he will inspect the garage and if it needs to be replaced, Habitat would do so. Ruettimann stated that of the 14 existing Habitat homes in Columbia Heights, only 5 of these were purchased through the City or EDA. He asked if Habitat homeowners could buy the mortgage from Habitat due to an income change. Karis stated that in his experience with approximately 350 Habitat homes, it has only happened once, but it is possible. Williams felt that because the EDA had signed the letter of intent in 1996 with Habitat that the Board should honor it. Nawrocki was concerned that there wasn't an amount listed for Habitat to purchase the Polk Street property and what dollar amount the EDA has into the purchase and demolition of the property at this time. Schumacher stated that Habitat would be purchasing the property for one dollar. Fehst explained that we have approximately $3 §,O00 from Building lnspection funds into the property. With all the questions and comments finished, Ruettimann opened discassion for 4401 Quincy Street that wouM be affected by the sale of the Polk Street property. John Boreen, 4413 Quincy Street NE addressed the Board with his concerns; 1) the pond behind Rainbow has deteriorating walls and is full of weeds, 2) there have been several police raids at 4401 Quincy, and 3) the homes on the west side of Quincy have problems with water and sewer back ups. Ruettimann requested Fehst check into the water and sewer problems. He stated the home is currently rented and when the Habitat home is put into place it shouM eliminate the police calls. Wyckoff stated Public Works is scheduled to make repairs to the pond sometime this summer. Ruettimann closed the Public Hearing at 8:04 a.m. MOTION by Ruettimann, second by Peterson, to approve the sale of the property at 3913 Polk Street NE, PIN #36-30-24-34-0105, to Habitat for Humanity; and furthermore; to authorize the President and Executive Director to enter into an agreement for the same. FRIENDLY AMENDMENT TO THE MOTION by Ruettimann, second by Peterson, adding the cost of the sale is to be $1.00, provided it is a complete package as laid out in the motion. SECOND FRIENDLY AMENDMENT TO THE MOTION by Ruettimann, second by Peterson, that this sale is contingent upon the acquisition for development of 4401 Quincy, that Habitat for Humanity to meet the ordinances and regulations with the City of Columbia Heights on all three houses. Nawrocki expressed his concern that the proposal lacked the necessary detail for consideration and therefore, the property shouM be put up for public sale. Upon vote: Peterson- aye, Nawrocki-nay, Szurek-aye, Williams-aye, Wyckoff-nay. 3 ayes, 2 nays. Motion Carried. CREST VIEW MANAGEMENT CONTRACT RENEWAL Schumacher stated that on or about June of 1997 the EDA entered into a Management and Maintenance Agreement with Crest View Corporation that was approved by the U.S. Department of Hoasing and Urban Development. This agreement was amended in May of1998 allowing for the extensi°n °f the term of the agreement to include the initial timeframe of two years, with three, one-year options that would extend the agreement to a total offive years. The agreement before the Board is for a one-year (third) extension effective June 1, 2001 though June 1, 2002 in the total amount of $140,802, plus Economic Development Authority Minutes May 15, 2001 Page 4 of 7 overtime. Salary and mileage fees are the only increases. He also passed out a spreadsheet, prepared by the Finance Department, showing fees disbursed over the last four years. Nawrocki asked for a breakdown of overtime hours in the last year and why there was a check issued for $19,487. 77 this month to Crest View when past months checks were around $12,000. Schumacher stated he had the information on the overtime in his office and he would check with the Finance Department regarding check issued. MOTION by Wyckoff, second by Williams, to approve the one year extension of the Management and Maintenance Services Agreement to June of 2002 with Crest View Corporation, based on their proposal dated May 7, 2001 with the addition of providing a breakdown of the in-house caretakers hours on the monthly statements; and furthermore, to authorize the President and Executive Director to enter into an agreement for the same. All ayes. Motion Carried. PRESIDENTS REPORT Ruettimann recommended the Board take action to move all of the EDA owned properties to the HRA, therefore, giving the EDA an opportunity to go forth with redevelopment projects for the City. The Commissioners had some concerns regarding legal issues and suggested legal counsel look at the documents first. MOTION by Ruettimann, second by Szurek, to direct staff to have the City Attorney looking into moving all EDA owned properties to the HRA to handle, thereby, giving the EDA the opportunity to go forward with redevelopment in the City. Nawrocki stated there wasn't a need to separate the two commissions (HRA/EDA). There would be problems with staffing, overtime, and the availability of commissioners to attend another meeting during the month. Upon Vote: Peterson-aye, Nawrocki-nay, Williams-aye, Szurek-aye, Wyckoff-aye. 4 ayes, 1 nay. Motion Carried. COMMUNITY DEVELOPMENT DEPARTMENT STAFFING UPDATE $chumacher reported the following changes in staffing; 1) Kathy Pepin has taken a position with the City of Coon Rapids. Her last day will be Thursday, May 17n. We have borrowed temporary staffing from the Assessing Department until the position is filled, and 2) Mel Collova has been on a 4 hour a day medical leave the past month due to a car accident. Fehst introduced Mark Nagel to the Board. Nagel will be working in the Community Development Department on apart time basis. He has previous experience as the City Manager in Anoka, and the Housing & Redevelopment Authority Director for Scott County. PARKVIEW VII,LA PA SYSTEM REWIRING STATUS Schumacher stated he contacted Fire Chief, Charlie Thompson, in regards to the potential use of the Parkview Villa Fire Alarm for paging purposes. Thompson recommended that the fire alarm system at Parkview Villa not be used for general-purpose paging for the following reasons; 1) The MUFC Code says "Afire alarm system shall not be used for any purposes other than fire warning unless approved; 2) Parkview Villa staf~felt that the building would become more of an institution and that this matter should be discussed at a resident council meeting, 3) people making the page must have access to a key for the fire alarm panel because the microphone is in a locked compartment, 4) some residents placed cardboard in front of the speaker system in their apartment in past years because the volume on the fire alarm was too loud, and 5) using the fire alarm system for general paging would expose several people to potential legal liability if the alarm system failed to operate properly after a paging announcement Economic Development Authority Minutes May 15, 2001 Page 5 of 7 was made. EDA LOAN PORTFOLIO Nagel reviewed the outstanding loans that the Community Development Department processes on a monthly basis and recommended the following: · Section 8 Repayment Agreement was made back in April of 1999 with Section 8 recipient, Duane Hagen with monthly payments of $55.51for 2years. Hagen hasn't made a payment in 5 months and is currently without a forwarding address. Nagel recommended that the EDA declare the loan uncollectable and that no more loans of this type be accepted. · Home Improvement Promissar~ Note (Sheffield) was made with the l, Varricks on June 15, 1995 for $5,000 at 2%for lO years. The monthly payments are $46.01 with a balance of $2,120.36 and payoff.scheduled for June of 2005. Nagel recommended that the EDA complete the loan and establish a policy of off.ering residents the Home Improvement Loans and Grants through CEE. · Mortea~e Loan Payments were made by the EDA for two residents. The Chartraw loan was made on June 1, 1979 with a 30-year mortgage at 5% interest with payments of $381.34 and a balance of $20,243.70with payoff.on May 1, 2009. The Nielsen was made on July 1, 1979 with a 30-year mortgage at 5% interest with payments of $318.60 and a balance of $18,699.35 with payoff.on June 1, 2009. Nagel recommended the EDA continue to process these loans but redirect the loan repayments into the BRLF account or sell the two mortgages and put the proceeds in the BRLF or housing program funds. · Business Revolving Loan Fund (BRLF)- the EDA has three outstanding loans; 1) Metro Assemblies (Robert & Priscilla Barnick) with payments of $265.99 and a balance of $13,646.31; 2) F.C. Celtic (Kenneth Hertz,) with payments of $472.53 and a balance of $10,339.58; and 3) Industrial Steel (Steven & Katherine Jonak) with payments of $266 O0 and a balance of $5,24669. All loans were for $25,000 at a 5% interest rate. In February of 1999, it was noted that all BRLF monies were currently out on loan. As of the 2001 Management Report, there is over $25,000 available. Nagel recommended the EDA continue to administer the contracts, but negotiate a contract with CEE to administer this program and update the loan terms. By adding funds from the home mortgage loans and BRLF repayments, the BRLF can be self-sustaining and no longer in need of EDA monies. Nagel will put together consent letters with motions for Board approval at the June meeting. HOUSING UPDATE Nagel reported on the current Housing Programs. · Elevator Modernization project at Parkview Villa is complete and the City has been reimbursed all of the $271, 488 in CIAP funds. There is one outstanding issue regarding the Davis-Bacon documents for the project that will be reviewed with HUD. This was detected in the Auditors findings stating that on the $ 75,128 in wages paid for the project, the prevailing wage forms need to be reconstructed. · On Monday, April 30~h staff.from the Center for Energy and Environment (CEE) met with City staff.and provided an update on the Home Improvement Programs. CEE has administered a total of 62 loans totaling $727,826 · MHFA Rental Rehabilitation and Energy Loan Programs are moving slowly. Therefore, plans are being made to develop an information packet to be sent to owners of rental units. · CEE's contract expires on December 31, 2001. Nagel requested copies of their insurance certificates and an updated Exhibit B reflecting the new, lower interest rates under the MHFA programs. · CEE has closed on a total of 9 Home Improvement Grants using $117, 723 of the 1997 CDBG Funds and another $27,398 of the 1998funds for 3 more loans. In addition, another $133, 725 in 1998 CDBG funds are being processed at this time. Their goal is to close on these loans and expend the remaining $90,000 by September of this year or it will have to be returned to Anoka Economic Development Authority Minutes May 15, 2001 Page 6 of 7 MHFA First Time Homebuyers Program has $30 million to loan statewide at 6.25°/3o, at one and a halfpoints. A total of $6.87 million is allocated to Anoka County residents. Thisprogram requires no EDA or City funds. Transition Block Redevelopment Project has begun the 22 affordable townhomes. We will be processing the necessary paperwork for the first draw of $235,35O for property acquisition reimbursement under the Metropolitan Livable Communities Act Grant. The remaining $309,650 grant funds will be used for the development of the senior assisted living facility. CITY/EDA/HRA OWNED PROPERTY UPDATE Schumacher stated an updated list of EDA, City, and HRA owned properties was included in the packet for review per the Board's request. The list does not include any City owned parks, corner lots, or the two Parkview Villa properties owned by the HRA, and 4607 Tyler Street NE owned by the EDA. Peterson questioned the status of 828 4(~h Avenue NE, the old Heights TV building. Schumacher reported that a week ago the Columbia Heights Fire Explorers cleaned out all of the electronic equipment from the building which filled a 40yard dumpster. The next step will be to contact the Fire Chief to use the building for fire training. EDA OWNED PARKING RAMP UPDATE Schumacher met with Mr. Vedi last Friday, in regards to a quote for performing a physical audit on both of the City owned parking ramps. After reviewing the contract for the City owned bank building parking ramp, it was determined by our attorney that the EDA does have the right to request an inspection of the ramp. Vedi reduced the inspection proposal cost from $6, 710 to $6,310 each. Schumacher suggested that we sit down with the two individuals responsible and get written commitments for them to pay for this process, and then enter into an agreement for the audits. Staff will make these arrangements. LEASE FOR PARKVIEW VILLA Nawrocki questioned why we use a month-to-month versus a six or twelve month lease and felt that if the lease was changed to a longer term it would help reduce the amount of moves in the building. Barnes stated that Crest View has always used a month-to-month lease for all facilities they own and manage. Barnes stated she could change the lease term upon Board approval. Nawrocki asked if Crest View does a credit check/background check for renter and employees, and if they charge late fees. Barnes stated there is a credit check required and late fees are not required in the lease. Barnes also recommended, that City legal counsel and stafflook at the lease and up date it. Amendment to Minutes: NawrocM requested staff provide the answers to the following questions on the current lease agreement for Parlcview Villa 1) Why do we use a month-to-month lease instead ora 6-month or 12-month? 2) Do we run Credit Checks on prospective tenants? 3) Do we run Background Checks on prospective tenants? 4) Do we charge any late fees to residents? ADJOURNMENT The meeting was adjourned by President, Ruettimann at 9:37 p.m. Economic Development Authority Minutes May 15, 2001 Page 7 of 7 MEETINGS The next EDA meeting is scheduled for 6:30 p.m., Tuesday, June 19, 2001 in Community Room B at Parkview Villa. Respectfully submitted, Cheryl Bakken Recording Secretary H:\EDAminutes2001 \5-15-2001 City of Columbia Heights Park and Recreation Commission June 27, 2001 The meeting was called to order by Jerry Foss at 6:35 p.m. ROLL CALL Members present: Jerry Foss; Gary Mayer; Gary Peterson; Roger Peterson; Keith Windschitl, Recreation Director; Kevin Hansen, Public Works Director/City Engineer Members absent: Eileen Evans; Bruce Magnuson; Scott Niemeyer; Also present: Vonnie Seim, Patti Gillespie, Gary Gorman, Barbara Tashner, Arley Norlien APPROVAL CONSENT AGENDA LETTERS AND REQUESTS _OLD BUSINESS NEW BUSINESS REPORTS Public Works Director/City Engineer, Kevin Hansen, discussed the preliminary reconstruction plan for Ramsdell Park. A grant has been applied for and if approved, the grant will pay for 50% of the cost to reconstruct Ramsdell Park with the City of Columbia Heights paying for the remaining 50%. Attached is the preliminary map that was given to Ramsdell Park neighbors in attendance at this meeting. ADJOURNMENT Due to lack of quorum, the June 27, 2001 Park and Recreation Commission meeting was unable to be conducted. Meeting adjourned at 7:34 p.m. Tina Foss, Park and Recreation Commission Secretary CITY COUNCIL LETTER ADDITIONAL AGENDA ITEM Meeting of: July 9, 2001 AGENDA SECTION: OTHER BUSINESS ORIGINATING DEPARTMENT: CITY MANAGER' S NO: CITY MANAGER APPROVAL . j COMMI SS I ONER DATE: 7 - 9 - 01 DA NO: Background: Councilmembers interviewed Tom Greenhalgh and Bill Peterson on May 23, 2001, and Mark Emme on June 18, 2001, for a vacancy on the Park and Recreation Commission. This item went before the City Council on June 25, where a motion failed on a 2 ayes, 2 nays vote to appoint Mr. Greenhalgh. A motion was passed to table this item to the July 9, 2001, City Council meeting. Councilmember Wyckoff suggested that if any current Park and Recreation Commissioners were no longer interested in serving, this would be an opportune time to step down, as there are several qualified applicants for the current opening on the commission. It has been learned that Bruce Magnuson, whose term expires in April of 2005, is resigning from the Park and Recreation Comx~ission. Thus, the City Council needs to appoint another resident to this commission. RECOMMENDED MOTION: Move to appoint to the current vacancy on the Park and Recreation Commission with the term to expire April, 2005. OLrNCIL ACTION: COLUMBIA HEIGHTS - CITY COUNCIL LETTER ~ED~ Meeting of: July 9, 2001 AGENDA SECTION: ORIGINATING DEPARTMENT: CITY MANAGERS APPROVAL NO: Street - Resolution No. 2001-44 DATE: July 2, 2001 DATE: NO: BACKGROUND At a recent Work Session, City Council members discussed and set the parameters for purchasing the property at 500 Mill Street. CONCLUSION The City Manager met on several occasions with the owners of 500 Mill Street, Andre and Phyllis Zurbey, to discuss the purchase. The City Attorney's office has drawn up a Purchase Agreement given the original parameters. Attached is a copy of the Purchase Agreement and a cover letter explaining the substantive issues, for the purchase of the property. Previously, the City Council had appropriated (see attached) $500,000 for the building of a Community Center as a possible match for federal or state dollars through a grant. That money had remained appropriated through the unsuccessful referendum for the community center. The breakdown of the $500,000 is as follows: $279,750 - Sullivan Park Land Sale to Medtronic $140,052 - General Fund Undesignated Fund Balance $ 80,198 - Capital Improvements - Parks Fund Balance RECOMMENDATION Staff is recommending to pay $135,000 for this property from the proceeds of the sale of Sullivan Lake property to Medtronic, thus reducing the amount that had been pledged to the building of a community center. RECOMMENDED MOTION: MOTION: Move to waive the reading of Resolution No. 2001-44, there being ample copies available to the public. MOTION: Move to adopt Resolution No. 2001-44, being a Resolution to authorize the purchase of 500 Mill Street and furthermore, for the City Manager to enter into an agreement for the purchase of the property at 500 Mill Street in the amount of $135,000, with funds to come from the proceeds resulting from the sale of the Sullivan Lake property to Medtronic. COUNCIL ACTION: BERNARD E STEFFEN RICHARD A MERRILL DARRELL A JBNSEN JEFFREY S JOHNSON RUSSELL H CROWDER JON E ERICKSON L &WRENCE R JOHNSON THOMAS E MALONE MICHAEL E HURLEY HERMAN L. TALLE CH 4RLBS M SEYKORA DANIEL D GANTER, JR. BEVERLY K DODGE BO$ Bama, Guzy & StcEcn, Ltd. ATTORNEYS AT LAW 400 Northtown Financial Plaza 200 Coon Rapids Boulevard Minneapolis, MN 55433-5894 (763) 780-8500 FAX (763) 780-1777 Writer's Direct Line: (763) 783-5118 Internet E-Mail Address: cseykora~bgslaw, corn VIA FACSIMILE - (763) 706-3601 AND U.S. MAIL July 2, 2001 Mr. Walter Fehst City Manager City of Columbia Heights 590 40th Avenue N.E. Columbia Heights, MN 55421-3878 JAMES D. HOEFT JOAN M QUADE ST~VEN O THORSON ELIZABETH A SCHADING WILLIAM E HUEFNER BRADLEY A KLETSCHEB MALCOLM R TERRY KRISTI R. RILEY CHERYL A JORGENSEN WILLIAM D. SIEGEL TODD J. ANLAUF ROBERT A GUZ~ RE; Purchase Agreement for the City of Columbia Heights to purchase Property from Andre and Phyllis Zurbey Our File No. 46000-112 Dear Mr. Fehst: Enclosed with this letter, please find the Purchase Agreement that has been reviewed and agreed to by Andre and Phyllis Zurbey through their attorney, Richard S. Eskola. This purchase is on property known as 500 Mill Street in the City of Columbia Heights. The following are the basic terms that outline this purchase: 1. Purchase price of $135,000.00. 2. Closing will be held whenever we receive the title work back on this property. The City agrees to rent back to the sellers' aunt, Gladys Lipa, over a three-year period at $400.00 per month. Gladys Lipa also could receive an additional one-year option to continue leasing from the City. Pursuant to this rentback agreement, the City agrees to perform exterior maintenance such as lawn mowing and snow shoveling for the premises. The tenant, Gladys Lipa, will perform the normal interior maintenance on the home. 5. The property is being purchased by the City in an "as is" condition. Mr. Walter Fehst July 2, 2001 Page 2 The remaining terms for the Purchase Agreement are boiler plate language from the standard Minnesota Residential Purchase Agreement. As an aside, remember that the purchaser had requested that the City help Gladys Lipa find a new home when she decided to leave the premises, however, the City declined this request and the seller accepted the fact that the City would not help in this situation. Please contact me or Jim Hoeft with regard to any further questions regarding this matter. Thank you. Sincerely, BARNA, GUZY & STEFFEN, LTD. ~h~bS?. Seykora ~ Enclosure cc: James D. Hoeft, Esq. · SEPT~'vlBI~ 28, 1998 PAGE 13 2) Recodificalion of City M°fi°n b~ Peters°n, sec°nd b~ ~ to ,~.m~rtze mffto enter into a coatract with the League of Minnesota Cities for the m::odiflcation and publication of the City Code 3) R~venue ~om Sale of Sullivan Park L~d to MG.~,.:.. A copY.ofResolufion No. g6.3 ! which ,-~----~ ~ .... .. · m proce~ with th~ of ' · · · · a:_.___. .......... ~ a connnumty crater. This man ts bei.~ .^.,,~ ~ ..... ., ,. ......... --~ ....~ -- ~,; ~, a ~rnnt mnn which funds 0 Zol' GJl~ nuormahon r~garcttng its funding sources, re '~'~'>~( .l?°fi°n bY Peterson. second by ~ to m2av the ~nnitut v ... fund $80,198 from _ - - .--?--- -=~-.---o~.~-r~xs . ..., .---".,.-, nmmn~i~ SS0 ~ ~ g~.~_,~,_. ~ '* -'~"~" runn unaemsna~d fund belan~ ~,a m' ~,..~,- ~Ir~ of~O0,O0~ for a co,,.,,umt~ ce~er. Poll --"- ~ · .... ' · ° Pet~son- . . aye Sturdev~ ~ 8. A~STRA~ RE~ORT~ A. Rem~rl ofthe L'~IV No report B. Re,on ofthe Ciw A-~m~W 7~_.~.~# .- No repon MINNESOTA STANDARD RESIDENTIAL PURCHASE AGREEMENT 3O 32 , the DATE OF CLOSING, Warrlnty Deed, joined 106 107 108 109 110 111 112 113 114 115 116 117 120 121 122 123 127 133 145 234 236 236 237 236 239 240 241 242 243 2/4 245 246 247 248 Miller/Davis Co., St. Paul, MN-Fo~rn 1300 (1994; Rev. 1996; Rev. 1997; Rev. August 257 258 259 260 261 262 263 PURCHASE AGREEMENT / PAGE 4 SELLER: CZT~ OF COLUMBIA HEIGHTS 9UYER: ]~' Charles M. S~,korm BARNA. G1.TZy & ~=FEN. LT~. 400 Nonhto~ Fimnc~al Plaza 200 Coon R~pids Boulevard Min~.K~olis, MN ~433 Attorney For Buyer CHARLES M. SEYKORA BARNA, GUZY & STEFFEN, LTD. 400 NORTHTOWN FINANCIAL PLAZA 200 COON RAPIDS BLVD. MINNEAPOLIS, MN 55433-5894 763-780-8500 LEAD PAINT ADDENDUM FOR HOUSING CONSTRUCTED BEFORE 1978 (use only with Minnesota Standard Residential Purchase Agreement, Minnesota State Bar Association 1997) 1 This addendum ia a continuation of Paragraph 21 of the Purchase Agreement 2 dated - ~1 6 9 LEAD WARNING STATEMENT 10 Every ;urohsser of any interest in resident/a/reel property on which a residential dwelling wes built 11 prior to 1378 is notified that such property may present exposure to lead from lead-based paint that 12 may place young children et risk of developing lead poisoning. Lead poisoning in young children 13 may produce permanent neurological damage, including learning disabilities, reduced intelligence 14 quotient, behavioral problems, and imps/rod memory, Lead poisoning e/so poses · particular risk to 15 pregnant women, The Seller of any interest in residential real property is required to provide the 16 Buyer with any information on lead-based paint hazards from risk assessments or inspections in the 17 Seller's pos$ession and notify the Buyer of any known lead.based paint hazards. R r~k assessment 18 or inspection for possible lead-based paint hazards is recommended prior to purchase. 19 20 LEAD PAINT INSPECTION CONTINGENCY 21 Buyer's obligations under this Purchase Agreement are contingent upon Buyer obtaining within 10 22 business days of the date hereof a risk assessment or inspection of the property for possible 23 lead-baaed paint and lead-based paint hazards, the results of which ere acceptable to Buyer. 24 25 This contingency shall be deemed satisfied, end this Purchase Agreement shell be in full force and 26 effect end binding upon Buyer end Seller, unlsss, within I0 business days of the date hereof, Buyer 27 notifies Seller in writing that the results of the risk sslsssment or inspection ere unacceptable to 28 Buyer. If Buyer notifies Seller of unacceptable results, this Purchase Agreement shall be null end 29 void and all earnest money shall be refunded to Buyer. 30 31 Buyer may waive in writing this contingency at any time. 32 33 Seller'l Diaoloeure 34 (o) Presence of lead-based paint or lead-based paint hazards (check (i) or (ii} below: 35 (i) __ Load*based paint or load-based paint hazards ars present in the housing (explain). 36 (ii)__ Seller has no knowledge of lead-based paint or lead-based paint hazards 37 in the housing. 38 {b) Records and reports available to the Seller (check (i) or (ii) below): 39 fi) __ Seller hea provided Buyer with all records and reports in Sailor's 40 possession or rossonably obtainable by Seller pertaining to lead-bssed paint 41 end lead-based paint hazards in the housing (list documentl below). 42 (ii)__ Seller has no rsportl or racorbe pertaining to lead-based paint or lead- 43 baaed paint hazards in the hauling. 44 45 Buyer'. Acknowledgment (initial) 46 {c) __ Buyer has received copies of all information listed st (b) (i) above. 47 (d) Buyerhsaraceivedthepsmphlat Protect Your Family from Lead in Your Home. 48 (e) ~r Buyer his (check (i) or (ii) below): 49 (I) received a 10 business day opportunity {or mutually agreed upon period) to 60 conduct e risk assessment or inspection for the presence of leed-bssed paint end Sl lead-b~aaed paint hazards; or 52 (ii) ~ waived the opportunity to conduct a risk assessment or inspection 53 for the presence of lead-besed paint and lead-bssed paint hazards. 54 55 Agent's Acknowledgment (initial) 56 (f) Agent hal informed Seller of Seller'l obligations under 42 U.S.C.4852d end ia 57 aware of Agent'l responlibility to ensure compliance. 58 59 Cartlfloedon of Aoeu~acy 60 The following parties have reviewed the information above end certify, to the best of their 61 knowledge, that the information they have provided II true and accurate. 62 63 64 65 Seller Seller 66 67 68 69 70 Buyer Buyer 71 72 73 74 _.7.5.__ , .A. ~e_~.t_ ........... Agent AMENDMENT TO PURCHASE AGREEMENT SELLER HOLDOVER POSSESSION AGREEMENT 'RENT BACK' 2. Page 1 of I Pages 3. Amendment to the Purch~e Agreement between Buyer and Seller. dated ?~ll about the S. NATURE AND PURPOSE: This Amendment gavel Seller the right to remain in and occupy the property after closing on the 7. purchase of the property. Th;, Amendment remains in affect Iher the closing. B. if'~-~r **(~.;nn it ~v~ hy (~],aIO~V~. ~.~:3~ * * ' 21. 22. 23. 24. 26. 27. 28. INSURANCE: Buyer ind Sal~r will ~on~uh with their respective assurance compen~a ~fore ~Mng. Buyer will purchase casualty iMurlnce coverage on the prope~y to ~ effective from the Closing Data. Seller will mlintlln flebility inlurence f~ the prope~y through t~ date that Seller wcatel ~e prope~y. Seller is re;pon~ible for Seller'. ~r~onal property losurence. Buyer and Seller will pro,de insurance bind.ri It cloling. MAINTENANCE: Buyer will be raoponsibla for Ill repeats ind normal maintenance of the property and perlonel property covered by the Purchase Agreement from Ind after the Closing Data. Buyer will keep the property in rellOnebla repair and order, Seller agreel to peHorm the following repairs and maintenance: 29. 30. 31. 32. UgE OF PROPERTY: During the term of thai Agreement. Seller will occupy the propa~y as Seller'l personal residence and Sailer waft not mike Iny Chlngel to the property. SiIllr will not Illign nor lublaale the property under this Agreement. HOLD HARMLESS: Buyer is not raopormible for liabilities, claim., or expenses from Seller'a tm., pose.assort, and occupency of the property. 3~: Agreement. Buyer has the right to inspect the property before the Closing Data. Buyer will latisfy Buyer et Buyer'a expense, 37. QUIET ENJOYMENT: Buyer promise" that upon Seller's pirformlnca of Seller's obligation in this Agreement, Seller will 38. peacefully Ind quietly have, hold and enjoy the property according to thtl Agreement. 39. TERMINATION: If Seller falls to lolW th~ property end give p~eealon to Buyer on the Possession D~ta apecified ibovl, 43. ~ pro~y. Burr will ~ ~tM~ to mco~r di~ei from Seller for B~r'l to~ of ~ In t~ amount of CZI~Z O~ CC~.,UP~ZA ~ZGH/'S ~ 62. Pby]J~ J~ ZmMy 63. 64, MN:SHP (g/Eg) (Dice) (guy~r) THIS IS A LEGALLY BINDiNg CONTRACT BETWEEN BUYERE AND SELLERS. IF YOU DESIRE LEGAL OR TA, ADVICE CONSULT ,~ N APPROPRIATE PROFESSIONAL. (Dm.) R~SOLUTION 2001 - 44 RESOLUTION OF TH~ CITY COUNCIL OF THE CITY OF COLUMBIA HEIGHTS, MINNESOTA AUTHORIZING THE PURCHASE OF 500 MILL STREET N.E. WHEREAS, the City Council of the City of Columbia Heights (the "City") desires to purchase 500 Mill Street N.E. for future City use; and WHEREAS, the acquisition of the property legally described as Lots 21 and 22, First Subdivision of Block F, Columbia Heights Annex to Minneapolis, Anoka County, Minnesota, including West one half of vacated alley lying adjacent thereto, is situated adjacent to City owned property; and WHEREAS, City staff have negotiated a purchase agreement for said property with Andre and Phyllis Zurbey (the "Seller"); and W]{EREAS, the purchase price of $135,000 has been negotiated with the funds coming from the proceeds of the sale of Sullivan Lake property to Medtronic NOW, THEREFORE BE IT RESOLVED by the City Council of the City of Columbia Heights that: City Council hereby approves the terms of the Purchase Agreement for said property between the City and Andre and Phyllis Zurbey, and authorizes the Mayor and the City Manager to sign the agreement on behalf of the City at a purchase price of $135,000 which is established as the fair market value based on the amount being the price for the property offered for sale by the owner and the value being determined by comparison of formal appraisals of the property. The City Council hereby authorizes the City Manager to handle all the requirements and conditions in order for the City to complete the transaction contemplated in the Purchase Agreement. PASSED THIS The City Council approves payment of the purchase cost from the proceeds resulting from the sale of the Sullivan Lake property to Medtronic. DAY OF July, 2001 MOTION BY: SECONDED BY: ROLL CALL: Patricia Muscovitz, Deputy City Clerk Gary L. Peterson, Mayor