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HomeMy WebLinkAbout10-24-2016OFFICIAL PROCEEDINGS CITY OF COLUMBIA HEIGHTS CITY COUNCIL MEETING OCTOBER 24, 2016 The following are the minutes for the regular meeting of the City Council held at 7:00 PM on Monday October 10, 2016 in the City Council Chambers, City Hall, 590 40th Avenue N.E., Columbia Heights, Minnesota 1. CALL TO ORDER Mayor Peterson called the meeting to order at 7:06 p.m. 2. ROLL CALL Present: Mayor Peterson, Councilmembers Nawrocki, Williams, Schmitt and Murzyn, Jr. Also Present: Walt Fehst; City Manager, Jim Hoeft; City Attorney, Kelli Bourgeois; Assistant to the City Manager, Kevin Hansen; Public Works Director, Joe Hogeboom; Community Development Director, Elizabeth Holmbeck; City Planner, Keith Dahl; Economic Development Manager, Gary Gorman; Fire Chief, Renee Dougherty; :Library Director, and Katie Bruno; City Clerk /Council Secretary 3. INVOCATION Invocation provided by Dan Thompson, Heights Church 4. PLEDGE OF ALLEGIANCE S. 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.) 6. PROCLAMATIONS, PRESENTATIONS, RECOGNITION, ANNOUNCEMENTS, GUESTS A. Presentation from Barb Goodwin, AAC Senator Barb Goodwin presented the City with a Senate Resolution honoring the City of Columbia Heigths for being named an All America City. B. Mayor Peterson announced the second annual Heights Art Fest will take place on October 26th from 6:00- 9:00 PM at Murzyn Hall. 7. 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. Approve Minutes of the City Council MOTION: Move to approve the minutes of the City Council meeting of October 10, 2016 B. Resolution 2016 -103: Appropriate a project budget in Redevelopment Fund 420 for the costs to hold 820 40th Avenue NE until sold. *Removed for Discussion C. Adopt Resolution 2016 -101 accepting the Feasibility Report for Zone 1 Street Seal Coat Project and ordering the Public Improvement Hearing, City Project No. 1601 MOTION: Move to waive the reading of Resolution 2016 -101, there being ample copies available to the City Council Minutes October 24, 2016 Page 2 of 16 public. MOTION Move to adopt Resolution 2016 -101, being a resolution accepting the Feasibility Report for Zone 1 Street Seal Coat, City Project No. 1601, and ordering the Public Improvement Hearing beginning at 7:00 p.m. on December 5, 2016. D. Final Payment For Zone 7b Seal Coat and City Parking Lot Seal Coat or Fog Seal MOTION: Move to accept the work for 2016 Seal Coat and Fog Seal, City Project No. 1501 (Zone 713) and Project No. 1401 (Parking Lot Preservation), and authorize final payment of $5,310.00 to Pearson Bros, Inc. of Hanover, Minnesota. E. Award of Professional Engineering Services for Central Avenue Safety Improvements, Project 1608 *Removed for Discussion F. Approve Resolution 2016 -102 authorizing execution of an I &I Grant Agreement MOTION: Move to waive the reading of Resolution 2016 -102, there being ample copies available to the public. MOTION: Move to approve Resolution 2016 -102 authorizing the City of Columbia Heights to execute an agreement with MCES for reimbursement of 1/1 reduction costs in the amount of $25,000, and furthermore, to authorize the City Engineer to act as the designated representative. G. Approval of a Grant Application to DEED for Development of the Legends of Columbia Heights MOTION: Move to waive the reading of Resolution 2016 -96, there being ample copies available to the public. MOTION: Move to adopt Resolution 2016 -96, a resolution authorizing the approval of a grant application to the Minnesota Department of Employment and Economic Development Contamination Clean -up and Investigation Grant Program for the development of the Legends of Columbia Heights, H. Approval of a Grant Application to Met Council MOTION: Move to waive the reading of Resolution 2016 -98, there being ample copies available to the public. MOTION: Move to adopt Resolution 2016 -98, a resolution authorizing the approval of a grant application to the Metropolitan Council Livable Communities Tax Base Revitalization Account. 1. Adopt Resolution 2016 -95, Adopting Optional Appendices of the State Fire Code MOTION: Move to waive the reading of Resolution 2016 -95, there being ample copies available to the public. MOTION: Move to adopt Resolution 2016 -95, adopting optional appendices of the Minnesota State Fire Code. J. Approve Transfer of PSB Range Rental Fees MOTION: Move to transfer $8,600 received in Public Safety Building Range rental fees and $393 received from recycling of brass shell casings (for a total of $8,993) as follows: $7,045 to the Police Department's Building Repair and Maintenance Services line item 101.42100.4020 to be used for range maintenance provided by DC Management and Environmental Services, and $1,948 to the Police Department's Supplies line item 101.42100.2171 to be used towards the purchase of hepa filters to be used in the range. K. Professional services agreement for the design and construction administration of the Circle Terrace City Council Minutes October 24, 2016 Page 3 of 16 park multi - purpose building MOTION: Move to enter into an agreement for the design and construction administration of the Circle Terrace Park multi - purpose building with the consulting engineering firm of ISG based upon their qualified, responsible proposal for a cost not -to- exceed $25,500 appropriated from Fund 412 - 51609 -3050. L. Approve Transfer of Funds MOTION: The $12,180.75 received for various traffic direction and security details at CH schools, and the $6,000 received from Anoka County as partial reimbursement for OT for our officer assigned to the Anoka Hennepin Drug Task Force, and the $810 received from Anoka County as reimbursement for detox transports, and the $10,188.04 received from Coon Rapids for our participation in the Toward Zero Death traffic enforcement, and the $2,845 received for Anoka County Auto Theft grant reimbursement be transferred to line 1020, Overtime. The total is $32,023.79. M. Consideration of approval of attached list of rental housing applications. MOTION: Move to approve the items listed for rental housing license applications for October 24, 2016, in that they have met the requirements of the Property Maintenance Code. N. Approve Business License Applications MOTION: Move to approve the items as listed on the business license agenda for October 24, 2016. O. Payment of Bills MOTION: Move that in accordance with Minnesota Statute 412.271, subd. 8, the City Council has received the list of claims paid covering check number 163180 through 163359 in the amount of $ 963,877.42. Councilmember Schmitt requested items B and E be removed for discussion. Motion by Councilmember Murzyn, Jr., seconded by Councilmember Williams to approve the Consent Agenda, items A, C, D, F, G, H, 1, 1, K, L, M, N, and O. All Ayes, Motion Carried. Councilmember Schmitt requested the following items be removed for discussion: C. Resolution 2016 -103: Appropriate a project budget in Redevelopment Fund 420 for the costs to hold 820 40th Avenue NE until sold. Councilmember Schmitt questioned the reason for using the 2015 figures for operation costs of the library, noting an unoccupied building will likely cost less. Finance Director Joe Kloiber explained a portion of the costs remain the same. Kloiber explained it will be charged to Fund 420; a development fund, and not the library fund. Councilmember Nawrocki questioned where the money would go if the building is sold. Kloiber stated Fund 420 would be reimbursed first, then money would go to the General Building Fund 411. Motion by Councilmember Williams, seconded by Councilmember Schmitt to waive the reading of Resolution 2016 -103, there being ample copies available to the public. All Ayes, Motion Carried. Motion by Councilmember Williams, seconded by Councilmember Schmitt to adopt Resolution 2016 -103, being a resolution to appropriate a project budget in Redevelopment Fund 420 for the costs to hold 820 40th Avenue NE until sold. All Ayes, Motion Carried. E. Award of Professional Engineering Services for Central Avenue Safety Improvements, Project 1608 Councilmember Schmitt questioned why the lowest bidder was not chosen. City Council Minutes October 24, 2016 Page 4 of 16 Public Works Director Kevin Hansen explained we have received funding for the Central Avenue Safety Improvements from 47th to 51st Avenues totaling $930,000 through federal funds (90 %) and local State Aid funds (10 %). The source of the funds is MnDOT's Highway Safety Improvement Program or HSIP. The proposed improvements will include pedestrian and vehicle lighting, new sidewalks, and signage focusing on pedestrian safety in the corridor. The City of Columbia Heights sent out Requests for Proposals requesting professional engineering services to five (5) firms to provide engineering design and construction administration for Central Avenue safety improvements. Three proposals were received. The proposals were reviewed by staff (City Manager, Director of Public Works, Police Chief, Community Development Director, Economic Development Manager, and the Assistant City Engineer) While Bolton & Menk had the lowest cost, SEH provided the best overall response for this project. Within the fees, it should be noted, that SEH had 568 more hours programmed into their work program than Bolton & Menk. Councilmember Schmitt questioned if Hilltop is involved with the project. Director Hansen stated they cosigned the grant application. Councilmember Nawrocki asked how it is justifiable not to use the low bidder. Director Hansen explained the RFP was written to include eight specific performance criteria. Councilmember Murzyn, Jr. commented that S.E.H. is known for their high quality work. Connie Buesgens-1021 44 th Ave NE asked if bike lanes would be included. Director Hansen stated bike lanes are not included in the scope of the project. Duane Morell -4212 Reservoir Blvd asked if this was considered a beautification project. Hansen explained this is a public safety concern, as the project area is very poorly lit. Motion by Councilmember Murzyn, Jr., seconded by Councilmember Williams to award the Central Avenue Safety Improvements, Project 1608, to the consulting engineering firm of SEH Inc. based upon their qualified, responsible proposal far a cost not -to- exceed $216,500 appropriated from Fund 402 -51608 -3050. 4 Ayes, 1 Nay, Motion Carried. Ayes; Peterson, Schmitt, Williams and Murzyn, Jr. Nay; Councilmember Nawrocki. 8. PUBLIC HEARINGS A. Consideration of Declaration of a nuisance and abatement of violations within the City of Columbia Heights is requested regarding the property at 4309 Main Street NE for failure to meet the requirements of the Residential Maintenance Code. Gary Gorman reported broken windows on the property have been secured. Motion by Councilmember Williams, seconded by Councilmember Schmitt to close the public hearing and to waive the reading of Resolution Number 2016 -91, there being ample copies available to the public. All Ayes, Motion Carried. Motion by Councilmember Williams, seconded by Councilmember Schmitt to adopt Resolution Number 2016 -91, being resolution of the City Council of the City of Columbia Heights declaring the property listed a nuisance and approving the abatement of violations from the property pursuant to City Code section 8.206. All Ayes, Motion Carried. *Due to the technical difficulties with the video recording, Item 8B was moved to later in the meeting. The council proceeded to Items 9A and 9C. City Council Minutes October 24, 2016 Page 5 of 16 B. Establishment of the Central Valu Center TIF District Keith Dahl, Economic Development Manager, introduced this item. Dahl stated that Hy -Vee, Inc. has an option agreement to purchase the property at 4300 Central Avenue NE, known as the Central Valu Center. Dahl explained that the retail building on the property was constructed in the 1960's, and that environmental issues have been uncovered. Dahl noted that, due to the existence of current tenants and their leases on the property, Hy -Vee is unable to construct a new building on the site, so it will be renovating the former Rainbow Foods space and the former Slumberland Clearance Center space. Dahl explained that the environmental investigation identified asbestos, lead, petroleum, diesel range organics (DRO), tetrachloroethane, trichloroethylene, and other volatile organic compounds (VOC) within the proposed redevelopment portion of the building. The estimated cost for abatement and contamination clean -up of the pollutants on the Subject Property is $1.98 million. Hy -Vee has stated that this impacts its ability to develop this site without any public financial assistance. Therefore, Dahl explained that Hy -Vee has requested Tax Increment Financing (TIF) assistance from the Columbia Heights Economic Development Authority (EDA) to offset a portion of the unexpected costs associated with the renovations of the Subject Property. Dahl introduced Jason Arsvold, the City's financial advisor from Ehler's, who explained that a Tax Increment Financing Plan was generated and that a Contract for Private Redevelopment was approved by the City's Economic Development Authority (EDA), authorizing up to $1,100,000 in TIF assistance for Hy -Vee. Arsvold noted that the Contract authorizes repayment over a ten year period. Keith Dahl stated that in September, the City's Planning and Zoning Commission unanimously approved the Site Plan for Hy -Vee, and that authorization to modify the Redevelopment Plan for the Downtown Central Business Redevelopment Area, the establishment of the Central Valu Center TIF District and the authorization of an internal loan to fund public redevelopment costs would be final step in the approval for this project. Councilmember Nawrocki inquired about total development costs for this project. Phil Hoey, Director of Real Estate for Hy -Vee, stated that total project costs are unknown, but that they will exceed $9 million. Hoey stated that environmental remediation costs are estimated to cost around $2 million, and that the City has requested a grant from the Metropolitan Council to help offset those additional costs beyond the TIF assistance. Councilmember Schmitt inquired about the number of jobs that will be created as a part of this project. Hoey stated that between 300 and 400 jobs will be created and estimated that 40% of those jobs will be full -time. Councilmember Williams inquired about the cause of the pollution on site. Dahl stated that asbestos and lead - based paint are common pollutants in a building this age, and that there was likely a dry - cleaning establishment in the building at some point in time, which resulted in the additional pollutants. Mayor Peterson opened the public hearing. Kathy Ahlers, 4010 Hayes St. NE, asked if this project could wait to be completed until after the 2018 Comprehensive Plan process, at which time the City could create a master plan for the property and bring the building closer to Central Avenue. Community Development Director Joe Hogeboom stated that due to the existence of current tenants, the building cannot be relocated and that the project must proceed as planned. Duane Morell -4212 Reservoir Blvd, stated that he felt that Hy -Vee should not receive any public assistance for this project. (NAME) stated that he would like to have seen Aldi relocate to this site, as he believes Aldi should be expanded. Mr. Morell also wanted to clarify the difference between "remodel" and "redevelopment ". Hogeboom stated that this project is considered a redevelopment project by definition, but that the current building will remain in place. Motion by Councilmember Williams, seconded by Councilmember Nawrocki to waive the reading of Resolution 2016 -97, there being ample copies available to the public. All Ayes, Motion Carried. Motion by Councilmember Williams, seconded by Councilmember Nawrocki to adopt Resolution 2016 -97, a resolution authorizing a modification to the Redevelopment Plan for the Downtown Central Business City Council Minutes October 24, 2016 Page 6 of 16 Redevelopment Project; and Establishing the Central Valu Center Tax Increment Financing District Therein and Adoption of a Tax Increment Financing Plan Therefor. All Ayes, Motion Carried. Motion by Councilmember Williams, seconded by Councilmember Schmitt to waive the reading of Resolution 2016 -100, there being ample copies available to the public. All Ayes, Motion Carried. Motion by Councilmember Williams, seconded by Councilmember Murzyn, Jr. to adopt Resolution 2016 -100, a resolution authorizing internal ban for advance of public redevelopment costs in connection with Central Valu Center Tax Increment Financing District. All Ayes, Motion Carried. 9. ITEMS FOR CONSIDERATION A. Other Ordinances and Resolutions a. Part Time Temporary Library Employee Wage Adjustment Human Resources Director /Assistant to the City Manager Kelli Bourgeois reported the current salary for library pages, aides and supervisors are below market value. The proposed adjustments would bring the positions in line with neighboring libraries. Councilmember Nawrocki commented that the council was told the new library would require less staff. Ms. Bourgeois commented that we have reduced library pages from twelve to ten, each working 14 hours per week. Renee Dougherty reported currently there are five pages, trying to do the work of ten. Councilmember Nawrocki requested the glasses donation box from the Lions be in a prominent location. Councilmember Schmitt stated her disappointment with the request coming so late, as well as not receiving a breakdown of neighboring cities salary information. Motion by Councilmember Schmitt to remove the item from the agenda and discuss at the scheduled November budget meeting. Motion failed for lack of a second. Mayor Peterson commented that there may be an adjustment period as staffing requirements continue to be evaluated at the new library. Councilmember Schmitt indicated she would like to see comparable salaries for all three positions. Motion by Councilmember Schmitt to remove the library aide and library supervisor positions from the request, and consider the increase to the library pages. Motion failed for lack of a second. Motion by Councilmember Nawrocki seconded by Councilmember Murzyn, Jr. to waive the reading of Resolution 2016 -104, there being ample copies available to the public. All Ayes, Motion Carried. Motion by Councilmember Murzyn, Jr., seconded by Councilmember Nawrocki to adopt Resolution 2016 -104, being a resolution setting part time temporary library employee wages effective November 1, 2016. 4 Ayes, 1 Nay, Motion Carried. Ayes; Peterson, Nawrocki, Williams and Murzyn, Jr. Nay; Councilmember Schmitt. B. Bid Considerations C. New Business and Reports a. 2018 Comprehensive Plan Authorization Joe Hogeboom, Community Development Director, introduced this item. Hogeboom stated that each city any township within the seven - county Twin Cities Metropolitan Area is required to update its Comprehensive Plan every ten years. All Comprehensive Plans must be updated no later than December City Council Minutes October 24, 2016 Page 7 of 16 31, 2016. Hogeboom stated that, in 2018, the contract for professional services related to the update of the Comprehensive Plan was approved at $50,000. Hogeboom requests that the Council now authorize the appropriation of $100,000 from the Special Projects Fund 226 to be used for the production of the Plan. Hogeboom explained that funds would be used to cover the cost of professional services, primarily in the areas of transportation planning, parks planning and water resources plan, as well as the physical production of the Plan. Hogeboom further explained that, in discussing comprehensive plan update costs with other communities, $100,000 seems to be on par with average cost estimates for this update period. Hogeboom explained that the City will issue a Request for Services for the production of the Comprehensive Plan this fall, and bring a recommended contract before the Council for consideration in either December, 2016 or January, 2017. The City Council would then decide the specific costs associated with the Contract. Councilmember Nawrocki inquired about whether or not any services related to the Comprehensive Plan update would be performed in- house. Hogeboom stated that much of the Land Use and Housing material would be produced in- house. In addition, City Planner Elizabeth Holmbeck will serve as Project Manager, and will guide and direct all professional services related to the Comprehensive Plan update. Mayor Peterson inquired about stakeholder input processes. Hogeboom explained that he anticipates a Steering Committee that will be formed, which will include members of the City Council, as well as members of the City's various boards and commissions. Hogeboom also anticipates resident participation on the Committee, as well as participation from the local business community. Motion by Councilmember Schmitt, seconded by Councilmember Murzyn, Jr. to waive the reading of Resolution No. 2016 -99, there being ample copies available to the public. All Ayes, Motion Carried Motion by Councilmember Schmitt, seconded by Councilmember Murzyn, Jr. to approve Resolution No. 2016 -99, being Resolution authorizing commencing the 2018 Comprehensive Plan revision process, and appropriated a project budget of no more than $100,000 from the Special Projects Fund 226 to be devoted to the project. All Ayes, Motion Carried 10. ADMINISTRATIVE REPORTS Councilmember Nawrocki asked what the procedure is for animal control in the City. City Attorney Jim Hoeft reported a CSO will transport the animal to our contracted veterinary office. Fees are passed on to the owner of the animal when possible. City Manager Walt Fehst announced that Jane Bona, Principal of Immaculate Conception School was named as 1 of the 50 Best Principals in the nation. 11. CITIZENS FORUM Jennifer Piper -Muno -3813 Hayes St NE requested the council consider changing the license requirements for sole practitioner massager therapists in the City. Mayor Peterson recommended she contact the Community Development Department. Duane Morrell -4212 Reservoir Blvd commented that a recent council meeting the Mayor was in error when he did not agree with Councilmember Schmitt's request regarding the City Manager's approving an expense in excess of $15,000. Mr. Morrell indicated the council needs to hold city staff accountable for their actions. Councilmember Nawrocki stated he feels Mayor Peterson handled the discussion appropriately. City Council Minutes October 24, 2016 Page 8 of 16 Frost Simula -1700 49th Ave NE questioned why the City Inspection Office is not enforcing the policy of requiring posting of permits. Community Development Director Hogeboom stated he will talk to the Building Official, and ask him to remind homeowners of the policy. Michelle Scheulender -4034 Monroe St NE requested the large maple tree behind the property at 66640 th Ave NE remains following the demolition of the structure. Community Development Director Hogeboom stated he will relay the request to the Public Works Director. Elizabeth Herman -950 39th Ave NE requested the City improve access and signage from the municipal ramp on 40th Ave and Central to the library as well as other businesses in the area. Amada Marquis -1700 49th Ave NE requested improved signage at the entrance to the library off 391b Mayor Peterson announced the Holiday Train will be coming through Columbia Heights on December 10th, near 37th Ave and Stinson Blvd. at approximately 7:00 PM. Mayor Peterson encouraged remembrance of our servicemen and women, police and firefighters. 12. ADJOURNMENT Meeting adjourrped at 9:17 p.m. OIL Respectively Submitted, Katie Bruno, Council Secretary /City Clerk 2016 -91 Resolution of the City Council for the City of Columbia Heights declaring the property a nuisance and approving abatement of ordinance violations pursuant to Chapter 8, Article II, of City Code, of the property owned by Julio Medina (Hereinafter "Owner of Record "). Whereas, the owner of record is the legal owner of the real property located at 4309 Main Street N.E., Columbia Heights, Minnesota. And whereas, pursuant to Columbia Heights Code, Chapter 8, Article II, Section 8.206, written notice setting forth the causes and reasons for the proposed council action contained herein was sent via regular mail to the owner of record on September 22, 2016. Now, therefore, in accordance with the foregoing, and all ordinances and regulations of the City of Columbia Heights, the City Council of the City of Columbia Heights makes the following: FINDINGS OF FACT 1. That on August 23, 2016, an inspection was conducted on the property listed above. Inspectors found violations. A compliance order was sent via regular mail to the owner at the address. 2. That on September 22, 2016, inspectors re- inspected the property listed above. Inspectors noted that violations remained uncorrected. A compliance order and statement of cause was mailed via regular mail to the owner listed in the property records. 3. That on October 13, 2016, inspectors re- inspected the property and found that violations remained uncorrected. 4. That based upon said records of the Fire Department, the following conditions and violations of City Codes(s) were found to exist, to wit: City Council Minutes October 24, 2016 Page 9 of 16 A. Repair /replace all broken windows. B. Secure windows to prevent entry. 5. That all parties, including the owner of record and any occupants or tenants, have been given the appropriate notice of this hearing according to the provisions of the City Code Section 8.206(A) and 8.206(8). CONCLUSIONS OF COUNCIL That the property located at 4309 Main Street N.E. is in violation of the provisions of the Columbia Heights City Code as set forth in the Notice of Abatement. 2. That all relevant parties and parties in interest have been duly served notice of this hearing, and any other hearings relevant to the abatement of violations on the property listed above. 3. That all applicable rights and periods of appeal as relating to the owner of record, occupant, or tenant, as the case may be, have expired, or such rights have been exercised and completed. ORDER OF COUNCIL 1. The property located at 4309 Main Street N.E. constitutes a nuisance pursuant to City Code. 2. That a copy of this order shall be served upon all relevant parties and parties in interest. 2016 -95 A resolution of the City Council for the City of Columbia Heights, Minnesota, Whereas, on May 2, 2016 the State of Minnesota Adopted a new Minnesota State Fire Code with optional appendices, and Whereas, Chapter 8, Article IV of the Columbia Heights City Code automatically adopts the most recent edition of the Minnesota State Fire Code and allows for the adoption of optional appendices through Council Resolution, and Whereas, the adoptable Optional Appendices are: Appendix A Board of Appeals Appendix B Fire -flow Requirements for Buildings Appendix C Fire Hydrant Locations and Distribution Appendix D Fire Apparatus Access Roads Appendix F Hazard Ranking Appendix H Hazardous Materials Management Plan &Inventory Statement Appendix I Fire Protection Systems Appendix J Building Information Sign Appendix K Fire & Barbecues on Balconies or Patios Appendix L Emergency Responder Radio Coverage Now, therefore, in accordance with the foregoing, and all ordinances and regulations of the City of Columbia Heights, the City Council of the City of Columbia Heights makes the following: FINDINGS OF FACT City Council Minutes October 24, 2016 Page 10 of 16 The Fire Department has researched all of the adoptable optional appendices and has found that Appendices' D, I, J, and K are relevant to the City of Columbia Heights and are hereby adopted. This Resolution shall be effective immediately upon its enactment by the City Council 2016 -96 RESOLUTION AUTHORIZING THE APPROVAL OF A GRANT APPLICATION TO THE MINNESOTA DEPARTMENT OF EMPLOYMENT AND ECONOMIC DEVELOPMENT CONTAMINATION CLEAN -UP AND INVESTIGATION GRANT PROGRAM FOR THE DEVELOPMENT OF THE LEGENDS OF COLUMBIA HEIGHTS. BE IT RESOLVED BY the City Council (Council) for the City of Columbia Heights, Minnesota (City) that the City has approved the Contamination Clean -Up grant application submitted to the Department of Employment and Economic Development (DEED) on October 24, 2016 by the City for the Legends of Columbia Heights site. BE IT FURTHER RESOLVED that the City is located within the seven county metropolitan areas defined in Minnesota State Statue Section 473.121, subdivision 2, and is participating in the local housing incentives program under Minnesota State Statue Section 473.254. BE IT FURTHER RESOLVED that the City act as the legal sponsor for the project contained in the Contamination Clean -Up Grant Program to be submitted on or before November 1, 2016 and that the City Manager is hereby authorized to apply to the DEED for funding of this project on behalf of the City. BE IT FURTHER RESOLVED that the City has the legal authority to apply for financial assistance, and the institutional, managerial, and financial capability to ensure adequate project administration. BE IT FURTHER RESOLVED that the City has not violated any Federal, State or local laws pertaining to fraud, bribery, graft, kickbacks, collusion, conflict of interest or other unlawful or corrupt practice. BE IT FURTHER RESOLVED that upon approval of its application by the State of Minnesota (State), the City may enter into an agreement with the State for the above - referenced project, and that the City certifies that it will comply with all applicable laws and regulations as stated in all contract agreements. NOW, THEREFORE BE IT FINALLY RESOLVED that the Mayor and the City Manager are hereby authorized to execute such agreements as are necessary to implement the project on behalf of the applicant. 2016 -97 RESOLUTION ADOPTING A MODIFICATION TO THE REDEVELOPMENT PLAN FOR THE DOWNTOWN CENTRAL BUSINESS REDEVELOPMENT PROJECT; AND ESTABLISHING THE CENTRAL VALLI CENTER TAX INCREMENT FINANCING DISTRICT THEREIN AND ADOPTING A TAX INCREMENT FINANCING PLAN THEREFOR. BE IT RESOLVED by the City Council (the "Council ") of the City of Columbia Heights, Minnesota (the "City "), as follows: Section 1. Recitals 1.01, The Board of Commissioners of the Columbia Heights Economic Development Authority (the "EDA ") has heretofore established the Downtown Central Business Redevelopment Project (the "Project ") and adopted the Redevelopment Plan therefor. It has been proposed by the EDA and the City that the City adopt a Modification to the City Council Minutes October 24, 2016 Page 11 of 16 Redevelopment Plan for the Project (the "Redevelopment Plan Modification ") and establish the Central Valu Center Tax Increment Financing District (the "District ") therein and adopt a Tax Increment Financing Plan (the "TIF Plan ") therefor (the Redevelopment Plan Modification and the TIF Plan are referred to collectively herein as the "Plans "); all pursuant to and in conformity with applicable law, including Minnesota Statutes, Sections 469.090 to 469.1082 and Sections 469.174 to 469.1794, all inclusive, as amended, (the "Act ") all as reflected in the Plans, and presented for the Council's consideration. 1.02. The EDA and City have investigated the facts relating to the Plans and have caused the Plans to be prepared. 1.03. The EDA and City have performed all actions required by law to be performed prior to the establishment of the District and the adoption and approval of the proposed Plans, including, but not limited to, notification of Anoka County and Independent School District No. 13 having taxing jurisdiction over the property to be included in the District, a review of and written comment on the Plans by the City Planning Commission, approval of the Plans by the EDA on October 24, 2017, and the holding of a public hearing upon published notice as required by law. 1.04. Certain written reports (the "Reports ") relating to the Plans and to the activities contemplated therein have heretofore been prepared by staff and consultants and submitted to the Council and /or made a part of the City files and proceedings on the Plans. The Reports, including the redevelopment qualifications reports and planning documents, include data, information and /or substantiation constituting or relating to the basis for the other findings and determinations made in this resolution. The Council hereby confirms, ratifies and adopts the Reports, which are hereby incorporated into and made as fully a part of this resolution to the same extent as if set forth in full herein. 1.05 The City is not modifying the boundaries of the Project, but is however, modifying the Redevelopment Plan therefor. Section 2. Findings for the Adoption and Approval of the Redevelopment Plan Modification. 2.01. The Council approves the Redevelopment Plan Modification, and specifically finds that: (a) the land within the Project area would not be available for redevelopment without the financial aid to be sought under this Redevelopment Plan; (b) the Redevelopment Plan, as modified, will afford maximum opportunity, consistent with the needs of the City as a whole, for the development of the Project by private enterprise; and (c) that the Redevelopment Plan, as modified, conforms to the general plan for the development of the City as a whole. Section 3. Findings for the Establishment of the Central Valu Center Tax Increment Financing District 3.01. The Council hereby finds that the District is in the public interest and is a "redevelopment district" under Minnesota Statutes, Section 469.174, Subd. 10 of the Act. 3.02. The Council further finds that the proposed redevelopment would not occur solely through private investment within the reasonably foreseeable future and that the increased market value of the site that could reasonably be expected to occur without the use of tax increment financing would be less than the increase in the market value estimated to result from the proposed development after subtracting the present value of the projected tax increments for the maximum duration of the District permitted by the Tax Increment Financing Plan, that the Plans conform to the general plan for the development or redevelopment of the City as a whole; and that the Plans will afford maximum opportunity consistent with the sound needs of the City as a whole, for the development or redevelopment of the District by private enterprise. City Council Minutes October 24, 2016 Page 12 of 16 3.03. The Council further finds, declares and determines that the City made the above findings stated in this Section and has set forth the reasons and supporting facts for each determination in writing, attached hereto as Exhibit A. 3.04. The City elects to calculate fiscal disparities for the District in accordance with Minnesota Statutes, Section 469.177, Subd. 3, clause b, which means the fiscal disparities contribution would be taken from inside the District. Section 4. Public Purpose 4.01. The adoption of the Plans conforms in all respects to the requirements of the Act and will help fulfill a need to develop an area of the City which is already built up, to provide employment opportunities, to improve the tax base and to improve the general economy of the State and thereby serves a public purpose. For the reasons described in Exhibit A, the City believes these benefits directly derive from the tax increment assistance provided under the TIF Plan. A private developer will receive only the assistance needed to make this development financially feasible. As such, any private benefits received by a developer are incidental and do not outweigh the primary public benefits. Section 5. Approval and Adoption of the Plans 5.01. The Plans, as presented to the Council on this date, including without limitation the findings and statements of objectives contained therein, are hereby approved, ratified, established, and adopted and shall be placed on file in the office of the Columbia Heights Community Development Director. 5.02. The staff of the City, the City's advisors and legal counsel are authorized and directed to proceed with the implementation of the Plans and to negotiate, draft, prepare and present to this Council for its consideration all further plans, resolutions, documents and contracts necessary for this purpose. 5.03 The Auditor of Anoka County is requested to certify the original net tax capacity of the District, as described in the Plans, and to certify in each year thereafter the amount by which the original net tax capacity has increased or decreased; and the EDA is authorized and directed to forthwith transmit this request to the County Auditor in such form and content as the Auditor may specify, together with a list of all properties within the District, for which building permits have been issued during the 18 months immediately preceding the adoption of this resolution. 5.04. The EDA is further authorized and directed to file a copy of the Plans with the Commissioner of the Minnesota Department of Revenue and the Office of the State Auditor pursuant to Minnesota Statutes 469.175, Subd. 4a. 2016 -98 RESOLUTION AUTHORIZING THE APPROVAL OF A GRANT APPLICATION TO THE METROPOLITAN COUNCIL LIVABLE COMMUNITIES TAX BASE REVITILIZATION ACCOUNT. BE IT RESOLVED BY the City Council (Council) for the City of Columbia Heights, Minnesota (City) as follows: WHEREAS that the City is a participant in the Livable Communities Act's Local Housing Incentives Account Program for 2016 as determined by the Metropolitan Council, and is therefore eligible to make an application to apply for funds under the Tax Base Revitalization Account; and WHEREAS that the City has identified a contamination cleanup project within the City that meets the Tax Base Revitalization Account's purposes and criteria and are consistent with and promote the purposes of the Metropolitan City Council Minutes October 24, 2016 Page 13 of 16 Livable Communities Act and the policies of the Metropolitan Council's adopted metropolitan development guide; and WHEREAS that the City has the institutional, managerial and financial capability to ensure adequate project and grant administration; and WHEREAS that the City certifies that it will comply with all applicable laws and regulations as stated in the contract grant agreement; and WHEREAS that the City finds that the required contamination cleanup will not occur through private or other public investment within the reasonably foreseeable future without Tax Base Revitalization Account grant funding; and WHEREAS that the City represents that it has undertaken reasonable and good faith efforts to procure funding for the activities for which Livable Communities Act Tax Base Revitalization Account funding is sought but was not able to find or secure from other sources funding that is necessary for cleanup completion and states that this representation is based on the following reasons and supporting facts: Due to the extent of asbestos, lead, petroleum, diesel range organics (DRO), tetrachloroethane, trichloroethylene, and other volatile organic compounds (VOC) of the contamination cleanup project, redevelopment of the property is highly unlikely to occur in the foreseeable future without financial assistance; and • The asbestos abatement of the contamination cleanup project does not qualify for Contamination Cleanup Grant Programs through the Minnesota Department of Employment and Economic Development. NOW, THEREFORE BE IT RESOLVED that the Council authorizes the City Manager to submit an application for Metropolitan Council Tax Base Revitalization Account grant funds and, if the City is awarded a Tax Base Revitalization Account grant project for this project, the City will be the grantee and agrees to act as legal sponsor to administer and be responsible for grant funds expended for the project contained in the Tax Base Revitalization grant application submitted on November 1, 2016. 2016 -99 A resolution of the City Council for the City of Columbia Heights, Minnesota, Whereas, the Metropolitan Council (Met Council) has been the regional policy- making body, planning agency, and provider of essential services for the seven - county Twin Cities region for nearly 50 years, and; Whereas, a 17- member board appointed by the Governor guides the strategic growth of the metro area, adhering to the council's mission of fostering efficient growth for a prosperous region, and; Whereas, in an effort to establish uniform regional governance of housing, transportation, and utility infrastructure, the Metropolitan Council requires each unit of local government within its jurisdiction to maintain a Comprehensive Plan, and; Whereas, Comprehensive Plans must be updated and reapproved by the Metropolitan Council every ten years, with the next approval deadline being December 31, 2018, and; Whereas, the City of Columbia Heights is required to adhere to regional Comprehensive Plan standards and requirements. City Council Minutes October 24, 2016 Page 14 of 16 Now therefore, in accordance with the foregoing, and all ordinances and regulations of the City of Columbia Heights, the City Council of the City of Columbia Heights hereby supports commencing the 2018 Comprehensive Plan revision process, and appropriates a project budget of no more than $100,000 from the Special Projects Fund 226 to be devoted to the production of the Plan, effective from the date below. 2016 -100 AUTHORIZING INTERNAL LOAN FOR ADVANCE OF PUBLIC REDEVELOPMENT COSTS IN CONNECTION WITH CENTRAL VALU CENTER TAX INCREMENT FINANCING DISTRICT BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COLUMBIA HEIGHTS, MINNESOTA (the "City ") AS FOLLOWS: Section 1. Background. 1.01. Pursuant to Minnesota Statutes, Sections 469.174 to 469.1794, as amended (the "TIF Act ") the Columbia Heights Economic Development Authority (the "Authority ") has established the Central Valu Center Tax Increment Financing District (the "TIF District ") within the Downtown Central Business Redevelopment Project (the "Project "). 1.02. The Authority may incur certain costs related to the TIF District (the "Qualified Costs "), which costs may be financed on a temporary basis from available funds in the City's redevelopment fund, or from other Authority or City funds available for such purposes. 1.03. Under Section 469.178, Subdivision 7 of the TIF Act, the Authority and City are authorized to advance or loan money from any fund from which such advances may be legally made in order to finance expenditures that are eligible to be paid with tax increments under the TIF Act. 1.04. On this date, the Authority has approved a resolution (the "Loan Resolution ") authorizing an internal loan in the amount of $25,000 together with interest at the rate of 4.0% per annum, and setting the terms for reimbursement of Qualified Costs incurred in connection with the TIF District. Section 2. Interfund Loan Authorized. 2.01. The City approves the interfund loan described in the Loan Resolution, and authorizes use of any unencumbered City funds available for such purposes under law as the source of the funds for the loan. 2.02. The City Finance Director is authorized and directed to determine the fund(s) or account(s) from which monies are drawn for the interfund loan, and to credit repayments under the Loan Resolution to the relevant fund(s) or account(s). 2.03. City staff and officials are authorized and directed to execute any collateral documents and take any other actions necessary to carry out the intent of this resolution. Section 3. Effective Date. This resolution is effective upon the date of its approval. 2016 -101 A resolution of the City Council for the City of Columbia Heights, Minnesota, City Council Minutes October 24, 2016 Page 15 of 16 WHEREAS, the City Council has adopted a Seal Coat Program, and WHEREAS, pursuant to Resolution No. 2016 -85 a report has been prepared by the City Engineer with reference to the Program, and the following street(s): • Between Central Avenue and Reservoir Boulevard /Johnson Street from 37th Avenue to 47th Avenue WHEREAS, the report provides information regarding whether the proposed project is feasible, necessary and cost - effective, and Said report is hereby received by the City Council of Columbia Heights on October 24, 2016. Now, therefore, in accordance with the foregoing, and all ordinances and regulations of the City of Columbia Heights, the City Council of the City of Columbia Heights makes the following: FINDINGS OF FACT 1. The Council will consider the improvement of such streets in accordance with the report and the assessment of abutting or benefited property for all or a portion of the cost of the improvement pursuant to Minnesota Statutes, Chapter 429 at an estimated total cost of the improvement of $218,160. 2. A public hearing shall be held on such proposed improvement on the 5th day of December, 2016, in the City Council Chambers at 590 40th Avenue N.E. at 7:00 P.M. and the City Clerk shall give mailed and published notice of such hearing and improvement as required by law. 2016 -102 A resolution of the City Council for the City of Columbia Heights, Minnesota, WHEREAS, the Minnesota State Legislature has appropriated $2,000,000 in general obligation bond funds for grants to municipalities to reduce inflow and infiltration (1 /1) in their public system infrastructure, administered by Metropolitan Council Environmental Services (MCES); and WHEREAS, application to participate in the MCES 1/1 Municipal Grant Program was made on September 2014 for reimbursement of a percentage of the construction costs of 320,000, Sanitary Sewer Rehabilitation Projects 1404 and 1504; and WHEREAS, the City of Columbia Heights was notified by MCES of approval to participate in the Grant Program and of an estimated final reimbursement amount of $25,000, updated May 12, 2016; and WHEREAS, a Grant Agreement between Metropolitan Council Environmental Services and the City of Columbia Heights has been drafted by MCES. Now, therefore, in accordance with the foregoing, and all ordinances and regulations of the City of Columbia Heights, the City Council of the City of Columbia Heights makes the following: FINDINGS OF FACT 1.The City Council hereby approves application for MCES Bond Fund Municipal 1/1 Grant Program. 2.The City Council hereby approves the Grant Agreement between MCES and the City ofColumbia Heights, and furthermore authorizes the City Engineer to act as the designated representative 2016 -103 A resolution of the City Council for the City of Columbia Heights, Minnesota, appropriating a project budget in Redevelopment Fund 420 for the costs to hold 820 40th Avenue NE until sold. City Council Minutes October 24, 2016 Page 16 of 16 Whereas, in response to a 2014 referendum of the eligible voters of the City of Columbia Heights, the City of Columbia Heights contracted for the construction of a new library facility at 3939 Central Avenue Northeast; and Whereas, in 2016, library operations were moved to the new facility; and Whereas, in 2016, the City of Columbia Heights and the Columbia Heights Economic Development Authority endeavor to sell the former library facility, located at 820 40th Avenue Northeast, to both generate available resources and to promote redevelopment; and Whereas, the City Council for the City of Columbia Heights established Redevelopment Fund 420 by resolution 2002 -72 to be used for redevelopment costs; and Whereas, there are certain costs required to keep 820 401h Avenue Northeast secure and marketable until sold, including insurance, utilities, and routine maintenance; and Whereas, these costs were approximately $30,000 per year when the building was occupied; Now, therefore, in accordance with all ordinances and regulations of the City of Columbia Heights, the City Council of the City of Columbia Heights makes the following: ORDER OF COUNCIL IT IS HEREBY RESOLVED, that a project budget in Redevelopment Fund 420 for the costs to hold 820 40th Avenue NE until sold is appropriated in the amount of $30,000. 2016 -104 A Resolution of the City Council for the City of Columbia Heights, Minnesota, Amending Schedule I of Resolution 2015- 39, Part Time Temporary Library Wage Rate Whereas, on May 11, 2015, the City Council approved Resolution 2015 -39 establishing wages for part time temporary library and other positions; and Whereas, the City has been trying to fill vacant part time temporary Library Page positions and has not received adequate applications for the positions; and Whereas, due to this lack of applicants the City studied the compensation ranges for temporary Library Page, Library Aide, and Library Supervisor positions with other metro area libraries and found a wage discrepancy between the Columbia Heights library wages and other metro area library wages for comparable positions; and Whereas, the lack of staffing is causing the Columbia Heights Library Director to schedule existing staff for more hours than they were hired for and run short staffed on many shifts. Now, therefore, in accordance with all ordinances and regulations of the City of Columbia Heights, the City Council of the City of Columbia Heights makes the following: ORDER OF COUNCIL IT IS HEREBY RESOLVED, that Schedule I of Resolution 2015 -39 is hereby amended to establish the wage ranges for the Part Time Temporary Library Employees as attached in Exhibit A effective November 1, 2016.