City Council Agenda Packet 11-08-1999
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AGENDA
REGULAR MEETING - MONTICELLO CITY COUNCIL
Monday, November 8,1999 - 7 p.m.
Mayor:
Roger Bclsaas
Council Members:
Roger Carlson, Clint llcrbst, Brian Stumpf and Bruce Thielen
1. Call to Order
2 Approval of minutes of October 25, 1999 regular Council meeting.
3. Consideration of adding items to the agenda.
4. Citizen comments/petitions, request and complaints.
5. Consent agenda.
A.
B.
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D.
Consideration of Change Order No. 23 - Project No. 93-14C WWTP
Consideration of amendment to Recycling Policy.
Consideration of authorizing Monticello Country Club to be a liquor provider
at the Monticello Community Center for calendar year 2000.
Consideration of adopting a resolution extending the term of the cable franchise
granted to Bresnan Telecommunications Company, LLC.
6. Consideration of items removed from the consent agenda for discussion.
7. Public Hearing - Proposed issuance of Multifamily Housing Revenue Bonds and the
Related Housing Program - S1. Benedict's Senior Community
8. Consideration of an ofTer for purchase of Senior Citizen Building.
9. Review of Liquor Store and Library space needs study.
10. Consideration of authorization to proceed with process of sale and development of
Lots 11-16, Block 14 - PID 155-400-000040 (Ferrell Gas Site)
11. Approve bills for October.
12.
Adjourn.
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1 MINUTES
REGULAR MEE'fING ~ MONTICELLO CITY COUNCIL
Monday, October 25, 1999 - 7 p.m.
Members Present:
Roger Belsaas, Roger Carlson, Clint l-Ierbst, Brian, Stumpf and
Bruce Thielen
Members Absent:
None
Mayor Belsaas called the meeting to order at 7:00 p.m. and declared a quorum present.
2. Approval of minutes ofthe re~ular meetine: held October 11, 1999.
BRIAN STUMPF MOVED TO ACCEPT THE MINUTES OF TI IE REGULAR MEETING
OF OCTOBER 11, 1999 AS PRESENTED. CLINT HERBST SECONDED THE MOTION.
MOTION CARRIED WITH ROGER BELSAAS ABSTAINING.
3.
Consideration of addine: items to the a!!enda.
The following items were added to the agenda: 1) Setting a date for a budget workshop;
2) Update on meeting with Kjellberg tenants; 3) Environmental Assessment Review for
Twin City Die Casting and 4) Space needs study for liquor store and library.
4.
Citizens comments/petitions, reauests and complaints.
None
5. Consent Aeenda.
A. Consideration to approve the Business Subsidy Agreement between the EDA and Twin
City Die Castings Company. Recommendation: Move to approve the Business
Subsidy Agreement between the EDA and Twin City Die Castings Company for GMEF
Loan No. 017.
B. Consideration of accepting bids and awarding contract for installation of indoor play
equipment at the Community Center. Recommendation: Move to accept bids and
award indoor child play area installation contract to Earl F. Andersen, Inc. in the
amount of $46,925.00 (Plan B) and all ow the Community Center Director to add
features as needed not to exceed the budget amount of $50,000.
C.
Consideration of approving Community Center related job descriptions - Custodian,
Guest Associate. Recommendation: Approve the job descriptions for Lead Building
Custodian, Lead Guest Services Associate and Building Custodian as written and also
approve the City Administrator approving future job descriptions for the Community
Center.
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D.
Consideration of adopting Community Center Corporate Membership Policy.
Recommendation: Approve the Corporate Membership Program as written.
E. Consideration of amending internal otTice policy regarding maintenance and destruction
of City general records per previously adopted retention schedule. Recommendation:
Reaffirm previous aetion of the Council in 1995 and adopt the entire records retention
schedule as recommended by the Minnesota Historical Society and allow for the
destruction of records according to that schedule.
Clint Hcrbst had a question concerning the Community Center Corporate Membership item. He was
informed that it was the recommendation of the Community Center Small Group to go with the
numbers as presented realizing it may be subject to change.
ROGER CARLSON MOVED TO APPROVE THE CONSENT AGENDA. BRUCE THIELEN
SECONDED TilE MOTION. MOTION CARRIED UNANIMOIJSL Y.
6. Consideration of items removed from the consent agenda for discussion.
None
7.
Senator Ourada - Discussion session with City Council.
Neither Senator Ourada nor House Representative Mark Olson were present.
8.
Public "earing - Consideration of a resolution adoptinf:! proposed assessment roll for
delinquent utility bills and certification of assessment roll to County Auditor.
The public hearing covers the delinquent sewer and water accounts that are proposed to be
certified to the County for collection with the real estate taxes. Mayor Belsaas opened the
public hearing. There was no one present who spoke on the proposed assessment. Mayor
Belsaas closed the public hearing.
BRIAN STUMPF MOVED TO ADOPT THE ASSESSMENT ROLL FOR THE
DELINQUENT CHARGES AT AN INTEREST RATE OF 8%. CLINT HERBST
SECONDED THE MOTION. MOTION CARRIED UNANIMOUSLY. (RES. NO. 99-60)
11.
Public "earin!; - Consideration of a resolution adopting proposed assessment roll for
delinquent account receivables and certification of assessment roll to County Auditor.
This item was moved up on the agenda. The public hearing covered account receivable bills
which arc delinquent more than 60 days. City Administrator, Rick Wolfsteller, noted that
some of the accounts listed had paid. Mayor Belsaas opened the public hearing. There
was no one present to speak on the proposed assessment. Mayor Belsaas closed the public
hearing.
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Council Minutes - 10/25/99
BRIAN STUMPF MOVED TO ADOPT THE ASSESSMENT ROLL FOR TI IE
DELINQUENT ACCOUNT RECEIVABLES. BRUCE THIELEN SECONIJED THE
MOTION. MOTION CARRIED UNANIMOUSLY. (RES. NO. 99-62)
9. Public Hearine - Consideration of a resolution vacating a sanitary sewer easement not
needed due to realignment of Kiellbere West Sanitary Sewer Extension - Ocello.
This casement was originally acquired (()r the sanitary sewer extension fi.)r Kjellberg West.
The alignment of the sewer changed from what was originally anticipated and a new easement
was obtained for the revised alignment making this casement unnecessary. Mayor Belsaas
opened the public hearing. There was no one present to speak on the proposed casement
vacation. Mayor BeIsaas closed the public hearing.
CLINT HERBST MOVED TO APPROVE A RESOLlJrION V ACA TING THE
ORIGINAL SANITARY SEWER EASEMENT GIVEN TO THE CITY BY OCELLO, LLC
BECAUSE THE REVISED SEWER ALIGNMENT MADE IT UNNECESSARY. ROGER
CARLSON SECONDED THE MOTION. MOTION CARRIED UNANIMOUSL Y.
(RES. NO. 99-61)
to.
Public Hearine - Consideration to approve the resolution adopting the modified
Redevelopment Plan for Central Monticello Redevelopment Project No. 1. establishng
TIF District No. 1-26 therein: and adoptine the related TIF Plan therefor.
Ollie Koropehak explained the purpose of the public hearing. It is proposed to establish a
redevelopment plan and TIF District for Twin City Die Castings Company. The proposed
redevelopment plan and TIF District has been reviewed by the HRA and the Planning
Commission. Mayor Belsaas opened the public hearing. Jay Eller from Twin City Die
Castings Company briefly reviewed the site plan for the proposed facility with the Council.
Dustin Mortezace, a student in the Monticello School District, had a question about the
number of bays in the facility. There was no one else present who spoke for or against the
proposal. Mayor Belsaas then closed the public hearing.
CLINT HERBST MOVED TO APPROVE A RESOLUTION ADOPTING THE MODIFIED
REDEVELOPMENT PLAN FOR CENTRAL MONTICELLO REDEVELOPMENT
PROJECT NO. I AND ESTABLISHING WITHIN THE CENTRAL MONTICELLO
REDEVELOPMENT PROJECT NO. 1 TIF DISTRICT NO. 1-26 AND ADOP"fING THE
RELATED TIF PLAN THEREFOR. BRUCE THIELEN SECONDED THE MOTION.
MOTION CARRIED UNANIMOUSLY. (RES. NO. 99-63)
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Council Minutes - 10/25/99
12.
Consideration to approve the Business Subsidy Agreement (Contract for Private
Redevelopment) between HRA. City and Twin City Die Castines Company.
Ollie Koropchak statcd thc Council was being requested to approve the Business Subsidy
Agreement of the 11RA. The City was also being requested to approve the Contract for Private
Redcvelopment because the City elected to make a 101% local match. The HRA agreed to
reimburse the developer with TIF assistance in the amount of $225,000.
BRIAN STUMPF MOVED TO ADOPT A RESOLUTION APPROVING THE CONTRACT
fOR PRIVATE REDEVELOPMENT BETWEEN THE HRA, 'fHE CITY AND TWIN CITY
DIE CASTINGS COMPANY. ROGER CARLSON SECONDED Tl-IE MOTION. MOTION
CARRIED UANIMOUSL Y.(RES. NO. 99-64)
13.
Consideration to review a counter offer for approval to fund the aCQuisition of the
property located at 1 Locust Street.
Previously the Council had directed that an oller be made for the property based on the
assessed value of $61 ,400. 'fhe property owners have submitted a counter oIfer of $85,900.
l'he Council discussed the counter offer and what options are available. Clint Herbst noted
that the parcel was not in the immediate development phase of the North Anchor area and it
appears likely that the property owner is going to make repairs.
BRIAN STUMPF MOVED TO APPROVE A MOTION OF NO INTEREST TO FUND THE
ACQUISITION OF THE PROPERTY LOCATED AT 1 LOCUST STREET. CLINT
HERBST SECONDED THE MOTION. MOTION CARRIED WITI--r BRUCE THIELEN
VOTING IN OPPOSITION.
14. Consideration of an offer for purchase of Senior Citizen Buildine - Dennis Anderson
City Administrator, Rick Wolfsteller, indicated that Mr. Anderson could not be present at the
meeting tonight and had requested that the item be tabled. 'fhe Council did discuss whether
credit should be given for utility hookups. Rick Wolfsteller noted that the difficulty would lie
in the record keeping for trying to track hookup transfers. It was also pointed out that there is
limited parking on the property so the Council will need to look at what type of use would be
going in. A lot survey is in the process of being done.
BRUCE THIELEN MOVED TO TABLE COUNCIL ACTION ON THIS MATTER UNTIL
THE NEXr COUNCIL MEETING TO ALLOW FOR Tl-IE LOT SURVEY TO BE
COMPLETED AND TO ALLOW OTHER INTERESTED PARTIES AN OPPORTUNITY
TO PRESENT ANY PURC} lASE PROPOSALS. BRIAN STUMPF SECONDED THE
MOTION. MO'fION CARRIED UNANIMOUSL Y.
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Council Minutes - 10/25/99
15.
Consideration of obtaining a permanent easement from the Monticello School District for
the purpose of constructionof a detention pond on the parcel east of the middle school
and adiacent to CSAH 75.
City Engineer, Bret Weiss explained that this started last year as part of the Seventh Street
Project and summarized the need for the ponding area and how it fit into the City's overall
storm drainage plan. I'he easement would be based on acquisition cost of $4,700 per acre for
a total of $17,578 and the detention pond would be constructed in such a way as to provide a
nature area. Bret Weiss indictated that the pond would be lined with clay. Since this ponding
area would provide storm sewer benefit to properties upstream the City would need to schedule
a public hearing for the benefitting area.
CLINT HERBS'T' MOVED TO APPROVE TIlE PURCHASE OF THE PERMANENT
EASEMENT FROM TIlE MONTICELLO SCHOOL DISTRICT IN THE AMOUNT Of
$17,578 CONTINGENT UPON THE SUCCESSFUL COMPLETION OF A PUBLIC
HEARING SCHEDULED FOR NOVEMBER 22, 1999. BRUCE THIELEN SECONDED
THE MOTION. MOTION CARRIED UNANIMOUSLY.
IS.A. Environmental Review - Twin City Die Castines Company
Ollie Koropchak informed the Council that as part of the process for Twin City Die Castings
an environmental review is required. Lenny Kirscht has been working with City Engineer,
Sret Weiss on the review requirements and it has been submitted to the Department of Natural
Resources, U.S. Fish & Wildlife, and the Historical Preservation Society.
IS.B. Budget Workshop
The Council discussed setting a workshop date for the budget and the CIP. The Council
set the next budget workshop for November 8, 1999 at 5 p.m.
IS.C. Meetine Update
Clint IIcrbst and Bruce Thielen updated the Council on a meeting they had attended with
tenants from the Kjellberg Mobile Home Park. The tcnants expressed their concern about the
watcr quality and the inadequacy of the storm shelter in the park. There was some discussion
on what the water and storm water regulations were and what entity had authority to enforce
the regulations. The City staffwill research these issues.
Bret Weiss indicated he had met with Mr. Kjellberg's attorney relative to sewer service to the
park and the work that was being done in the expansion area. Bret Weiss asked the Council if
they would concur with commencing the project once the City Attorney gives the go ahead.
The consensus of the Council was that ifit was acceptable to the City Attorney and the City
Engineer, the Council saw no problem with proceeding. There was brief discussion on the
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Council Minutes - 10/25/99
sizing of the sewer pipe and whether the 12" line was adequate and what the City Engineer
would need in the way of assurances that there would be no connection from the expansion
area to the line in the existing park.
BRUCE TI-HELEN MOVED THAT AT THE TIME THE CITY ATTORNEY, CITY
ENGINEER AND CITY STAFF WERE IN AGREEMENT THAT THERE WAS
ADEQUATE ASSURANCES IN PLACE 'T'HA T T'f-IERE COULD BE NO CONNECTION
OF THE EXPANSION AREA T'O TIlE SEWER LINE BEING BROUGHT TO THE PARK,
THE CONTRACTOR WOULD BE AUTIIORI7ED -1'0 COMMENCE WORK ON THE
PROJECT. CLINT HERBST SECONDED TilE MOTION. MOTION CARRIED
UNANIMOUSL Y.
16. Consideration of bills for the month of October. 1999.
BRUCE THIELEN MOVED TO APPROVE PAYMENT OF BILLS. BRIAN STUMPF
SECONDED THE MUI'ION. MOTION CARRIED UNANIMOUSLY.
ROGER CARLSON MOVED TO ADJOURN AT 8:15 P.M. BRUCE THIELEN
SECONDED THE MOTION. MOTION CARRIED UNANIMOUSLY.
Recording Secretary
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Council Meeting - 1118/99
Consideration of Chanl!c Order No. 23. City Proiect #93-14C, Expansion of the
Monticello Wastewater Treatment Facilitv. (J.S.)
A. REFERENCE AND BACKGROUND:
Change Order No. 23 involves a credit 01'$13,733 for the three flat aluminum covers placed
on the sludge storage tanks at the wastewater treatment plant. The cover construction was
to be such that caulking was not needed in the joints of the covers in order to provide a tight
seal. The manufacturer ofthe covers, however, found it necessary to apply caulk to various
joints between the covers and the concrete walls. Since the caulk would require replacement
every five to seven years, City staff felt we should recover enough money to take care of the
maintenance of the covers for the next 20 years. The $13,733 represents such a sum.
B. ALTERNATIVE ACTIONS:
1. The first alternative is to approve a deduct change order of$13, 733 to the wastewater
treatment plant project.
2. The second alternative is not to approve the change order.
C.
STAFF RECOMMENDATION:
It is the recommendation of the City Administrator, Public Works Director and I-IDR, Project
Engineer, to approve Change Order No. 23 in the amount of a credit of $13,733. We are
very near finalizing out this project, waiting only tC,H final test results on the sludge
pasteurization system. One final change order or simply a project closeout should be the last
issue brought before the Council in the future.
D. SUPPORTING DATA:
Copy of letter from HDR regarding this change order. Change Order No. 23 will be
provided at the council meeting for signature from the mayor.
NOV- 4-99 THU 5:56 PM PUBLIC WORKS
FAX NO. 16122713272
p, 2/ 2
. Octobor 31, 1999
Mr. Clyde Terwey
Adolfson & Peterson Inc.
6701 West 23rd St.
Minn9apolis, MN 55426
l-il~
Serial Letter No.: 375
Ro: Wa.towatilt ir..trn.nt Plant Expanalon
Mon\lotUo, MN
City p(oj.et No. 83,,"0
HDR No. 08124-004..164
Sub: Aluminum cover maintenance credit
Dear Mr. Terwey:
'"his i$ in response to AlP's letter of October 14, 1999 regarding the alumlnul'1' oov.r
credit acceptance. As we discussed in our meeting on October 20, '999, the $13,733
CfQoi\ \s acceptable and will be included in forthcoming change ardor.
PlaasG caUlf you have any questions.
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Vory truly yours,
!-fOR Engineering, Ino.
~tu~
Marci Whitaker, PE
Project Manager
Ene.
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cc: John Simola, Monticello Public Works
Ed DeLaForest, HDR
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EmplQYOf.owneQ
300 Parl(dale 1 Bldg.
. 5401 Gamblo Orlve
Suit. 300
Minneapolis. MN
5541$-1518
Telephone
612 591.5400
Fal(
812 Sg'-6413
ttDR Englnoorlns, Ino.
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Council Meeting ~ 11/8/99
Consideration of amendment to City of Monticello Recycling Plan. (J.S.)
A. REFERENCE AND BACKGROUND:
We recently received notice that our supplier of recycling bins was doubling the price. We
looked at the possibility oflowering the cost of the bins by applying stickers to the bins for
cans, glass and paper, and using a hand stamped logo. However, the cost of the bins through
our current supplier was still double over what we had paid in the past.
We began researching different manufacturers of bins and ordered a few sets from those
companies and found a set similar to our's in size and color from Quantum Storage Systems
of Miami, Florida. We will apply the stickers to the bins and a stamped logo prior to
delivery to residents. The cost of the bins under this system would be $9 each or $27 for the
three ofthem. Our previous priee for bins was $6.08 each or $18.24 for the set of three. The
city picks up halfthe cost ofthe bins for new homes, and the resident picks up the other half
which will be $4.50 per bin. Replacement bins are charged at full price.
Our Recycling Plan states that "the city will establish a longevity date for containers, at
which time the city would again cover half the cost of new containers." The Recycling
Committee would like the City Council to consider charging half the price of the recycling
bins for not only the new ones but for replacement bins as well, and standardize the cost.
Consequently, the new paragraph would read, "the city will charge 50% of the cost of
recycling bins to include stickers and logos at the time of delivery for new residents, and will
also charge 50% of the cost of bins, stickers and logos for all future replacements of bins".
B. ALTERNATIVE ACTIONS:
1. The first alternative would be to strike the paragraph regarding establishing a
longevity date for containers and replace it with a paragraph stating that we would
pay for one half the cost of the bins, stickers and logos, or initial containers and
replacements.
2. The second alternative would be not to make a change in the Recycling Plan.
C. STAFF RECOMMENDATION:
It is the recommendation of the Public Works Director and the Recycling Committee
consisting of the Public Works Director, Council Member Bruce Thielen, Utility Billing
Clerk Pat Kovich and Public Works Secretary Beth Green, to make the change as outlined
in alternative #1.
D.
SUPPORTING DATA:
None.
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Council Agenda - 11/8/99
sc.
Consideration of approval of Monticello County Club to become a liquor provider
at the Monticello Community Center for the calendar vear 2000. (K.B.)
A. REFERENCE AND BACKGROUND:
In 1999 the liquor ordinance was amended to allow intoxicating liquor to be served for events at
the Community Center. The ordinance amendment sets forth an application process to become a
liquor provider at the Community Center which was followed earlier this year when the City
Council approved the request of seven on-sale liquor license holders to become liquor providers
at the Community Center. The City has received a request from the Monticello Country Club,
1209 Golf Course Road, Monticello for authorization to be a liquor provider at the Community
Center. On September 27, 1999 the City Council approved an on-sale liquor license for the
Monticello Country Club. As with the other authorized liquor providers, the Monticello Country
Club will be required to name the City of Monticello on their liability insurance.
B. ALTERNATIVE ACTIONS:
I. The first alternative would be to approve the request of the Monticello Country Club to
become a liquor provider at the Monticello Community Center for calendar year 2000.
2.
The second alternative would be to not approve the Monticello Country Club as a
liquor provider at the Monticello Community Center for calendar year 2000.
C. STAFF RECOMMENDATION:
It is the recommendation of the City Administrator and Community Center Director to approve
the Monticello Country Club as a liquor provider at the Monticello Community Center for the
calendar year 2000.
D. SUPPORTING DATA:
None
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Council Agenda - 11/8/99
5D.
Consideration of a resolution extendine the term of the cable franchise granted to Bresnan
Telecommunications Company. LLC. (RW)
A.
REFERENCE AND BACKGROUND:
The Sherburne-Wright County Cablc Commission is currently in the process of renegotiating a franchise
renewal with Bresnan Cable Company. Negotiations have not been completed on the renewal terms and
it was recommended by our cable administrator, Mr. Torn Creighton, that each of the ten cities who are
members of the cable commission have their city councils adopt a resolution extending the term of the
existing franchise until June 30, 2000.
B. ALTERNATIVE ACTIONS:
1. Adopt the resolution agreeing to extend the current franchise with Bresnan Cable
until June 30, 2000.
2. Do not adopt the resolution.
C. STAFF RECOMMENDATION:
It is the recommendation of the City Administrator that the resolution be adopted as outlined. It is
assumed that all ten cities involved in the commission will adopt similar resolutions allowing us to
continue negotiations on the franchise renewal.
D. SUPPORTING DATA:
Copy of resolution.
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City of Monticello, Minnesota
Resolution No.
A RESOLUTION EXTENDING THE TERM OF THE CABLE FRANCHISE GRANTED
TO BRESNAN TELECOMMUNICATIONS COMPANY, LLC
WITNESSETH:
WHEREAS, the City of Monticello, Minnesota (the "City") originally granted a cable
television franchise (the "Franchise") to Rite Cable Company, Ltd.; and
WHEREAS, the Franchise was transferred to Bresnan Telecommunications Company,
LLC ("Bresnan") in February 1999; and
WHEREAS, the Franchise expi~edon September 14, 1999; and
WHEREAS, Bresnan has requested a renewal of the Franchise; and
WHEREAS, the City and Bresnan are currently negotiating the terms of a renewal of the
Franchise pursuant to the informal renewal process set forth in Section 626(h) of the Cable
Communications Policy Act of 1984, as amended, 47 V.S.C. ~ 546(h); and
WHEREAS, the City desires to extend the term of the Franchise from September 14,
1999, to June 30, 2000, so that negotiations may continue; and
WHEREAS, Bresnan has consented and agreed to the terms of this extension.
NOW, THEREFORE, BE IT RESOLVED by the City Council of Monticello, Minnesota
that:
1. The term of the Franchise shall be extended from September 14, 1999, until June 30,
2000, unless sooner revoked, cancelled or terminated.
2. All terms and conditions of the Franchise, as may be amended from time to time, shall
remain in effect during the term of the extension.
3.
This extension shall not constitute a waiver of any rights the City or Bresnan may have
under (i) the Franchise, as it may be amended from time to time; (ii) the Cable
Communications Policy Act of 1984, as amended by the Cable Television Consumer
Protection and Competition Act of 1992 and the Telecommunications Act of 1996;
(iii) Chapter 238 of the Minnesota Statutes, Minn. Stat. ~ 238.01, et seq.; or (iv) any other
law or regulation.
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4.
Nothing herein shall be interpreted to give Bresnan additional rights or opportunities to
trigger the provisions of 47 D.S.C. ~ 546(a)-(g), or to require the City or the
Sherburne/Wright Counties Cable Communications Commission to conduct or reconduct
hearings or other actions properly taken in conjunction with any renewal proceedings
under the current Franchise.
5. No claim that either party may have against the other shall be released or otherwise
affected by this extension.
PASSED AND ADOPTED by the City Council this day of
,1999.
Mayor
City Administrator
ATTEST:
Introduced
Adopted
Published
Effective
Accepted by Bresnan Telecommunications Company, LLC this _ day of
,1999:
By:
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Counci I Agenda - 11/8/99
7.
Public Hearim! - Consideration of resolution approving the issuance of bonds by the
City of St. Cloud on behalf of the St. Cloud Hospital through a joint powers
agreement with the City of Monticello and approval of the related housing program. (R W)
A. REFERENCE AND BACKGROUND:
The St. Cloud Hospital Corporation, the owner of the St. Benedict's Senior Assisted and Independent
Living Project next to the new catholic church is proposing to have the City of St. Cloud issue revenue
bonds on bchalf of the City of St. Cloud and Monticello, Long Prairie and Melrose to finance various
projects located in each of the communities. The City of St. Cloud would be the actual issuer of the
bonds but in order for the St. Cloud Hospital District to receive favorable tax exempt financing, the City
of Monticello would have to conduct a public hearing on the issuance of the bonds for the St. Benedict's
project and adopt a housing program along with entering into ajoint powers agreement with the City of
St. Cloud and the other two communities.
Adoption of the housing program and related resolutions supporting the issuance of the housing revenue
bonds by the City of St. Cloud does not obligate nor otherwise involve the City of Monticello
financially. This process is simply using the City of Monticello as a conduit to enable tax exempt
financing to be used and meet IRS regulations. Mr. Steve Bubul, the HRA' s attorney from Kennedy &
Graven, has reviewed all of the documents relating to the City's involvement and did not have any
changes to the documents and recommended that the resolution be approved.
A representative of the St. Cloud Hospital Corporation will be in attendance at the Council meeting to
further explain the project and related financing requests. St. Benedict's group had originally inquired
of the City last year whether the City could issue this type of bond for the financing but because we were
in the process of doing our own financing for the community center, the combined projects would have
exceeded ten million dollars which would have resulted in higher interest costs because the bonds would
not have been bank qualified. As a result, St. Benedict's and St. Cloud Ilospital involved the City of St.
Cloud in this arrangement in order to have permanent financing for their various projects.
B. AL TERNA TIVE ACTIONS:
1. After the close of the public hearing, the Council could adopt the resolutions approving
the issuance of bonds by the City of St. Cloud and the associated housing program
requirement.
2. Do not adopt the resolutions.
C. STAFF RECOMMENDATION:
It is the recommendation of the City Administrator and the lIRA's attorney, Steve Bubul, that the
resolutions are appropriate t()f adoption by the City. Approval simply allows the St. Cloud Hospital to
obtain favorable tax exempt financing for the Monticello St. Benedict's project and other projects they
are doing in other communities through a revenue bond issued by the City of St. Cloud. There will be
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Council Agenda - 11/8/99
no financial obligation on the City's part nor should this have any effect on our credit worthiness in the
future.
D. SUPPORTING DATA:
A copy of public hearing notice, housing program document and associated resolutions.
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NOTICE OF PUBLIC HEARING ON THE PROPOSED ISSUANCE OF MULTIFAMILY
HOUSING REVENUE BONDS AND THE RELATED HOUSING PROGRAM
(ST. BENEDICT'S SENIOR COMMUNITY AT MONTICELLO PROJECT)
CITY OF MONTICELLO
NOTICE IS HEREBY GIVEN by the City Council of the City of Monticello,
Minnesota (the "City") that it will hold a public hearing at City Hall, 250 East Broadway, in
Monticello, Minnesota, on Monday, November _, 1999, at _ p.m. to consider (i) a proposal
that the City of St. Cloud, Minnesota ("St. Cloud"), pursuant to a joint powers agreement with
the City, issue not to exceed $13,000,000 aggregate principal amount of its multifamily housing
revenue bonds (the "Bonds") pursuant to Minnesota Statutes, Sections 462C.07 and 471.59, as
amended, on behalf of The Saint Cloud Hospital, a Minnesota nonprofit corporation (the
"Corporation"), and (ii) a housing program prepared in connection with the proposed issuance of
the Bonds in accordance with Minnesota Statutes, Sections 462C.Ol and 462C.04, as amended.
The proceeds of the Bonds will be used to fund a loan to the Borrower, and used by the Borrower
to pay costs of the acquisition of approximately 5.3 acres of land at 1301 and 1305 Seventh
Street in the City and the construction and equipping thereon of a senior multifamily rental
housing facility comprising approximately 60 independent living units and 60 assisted living
units and related facilities to be owned by the Corporation. The approximate principal amount of
the proposed Bond issue is $120,000,000, of which approximately $13,000,000 will be used to
finance the Project.
. The Bonds shall be special, limited obligations of St. Cloud, and the Bonds and interest
thereon shall be payable solely from the revenues pledged to the payment thereof. No holder of
any such Bonds shall ever have the right to compel any exercise of the taxing power of the City
or St. Cloud to pay the Bonds or the interest thereon, nor to enforce payment against any property
of the City or St. Cloud except the revenues pledged to the payment thereof. Before issuing the
Bonds, St. Cloud will enter into an agreement with the Corporation, whereby the Corporation
will be obligated to make payments at least sufficient at all times to pay the principal of and
interest on the Bonds when due.
All parties desiring to appear at the public hearing will be afforded an opportunity to
express their views with respect to the proposal to issue the Bonds and the housing program.
Written comments may be submitted to the City Administrator at the City Hall prior to the
hearing, which written comments will be read and considered at the hearing.
Dated:
,1999.
CITY OF MONTICELLO, MINNESOTA
By
.
City Administrator
\
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DORSEY & WHITNEY LLP
MINNEAPOLIS
PILLSBURY CENTER SOUTH
220 SOUTH SIXTH STREET
MINNEAPOLIS, MINNESOTA 55402-1498
TELEPHONE: (612) 340-2600
FAX: (612) 340-2868
BILLINGS
NEW YORK
GREAT FALLS
SE^"LE
MISSOULA
DENVER
BRUSSELS
WASHINGTON, D.C.
t';ARGO
DES MOINES
HONC; KoNG
ANCHORAGE
ROCHESTER
LONDON
JOSEPH C. GONNELLA
(612) 340-8712
FAX: (612) 340-2644
gonnella.joe@dorseylaw.com
V.A.NCOUVER
SAtT LAKE C1TY
CoSTA MESA
October 14, 1999
Mr. Rick Wolfsteller
City Administrator
City Hall
250 East Broadway
Monticello, Minnesota 55362
VIA FEDERAL EXPRESS
Re: Proposed issuance of revenue bonds on behalf of
The Saint Cloud Hospital
Dear Mr. W olfsteller:
As we have briefly discussed in telephone messages, it is proposed that the City of St.
Cloud issue revenue bonds on behalf of itself and the Cities of Monticello, Long Prairie and
Melrose to finance various projects located in the respective cities on behalf of The Saint Cloud
Hospital (the "Corporation") and its affiliates. With respect to the City, the project to be
financed consists of the acquisition ofland at BOland 1305 Seventh Street in the City and the
construction and equipping thereon of a senior multifamily rental housing facility comprising
approximately 60 independent living units and 60 assisted living units and related facilities to be
owned by the Corporation. The project is commonly known as St. Benedict's Senior Community
at Monticello. The approximate principal amount of the bonds to be issued by St. Cloud is
approximately $120,000,000, of which approximately $13,000,000 would be used to finance the
project in the City.
While it is proposed that St. Cloud would be the issuer of bonds and the City need have
only limited participation in connection with the Bonds, both under state law and in order that
interest on the Bonds be tax-exempt, the City would have to conduct a public hearing on the
issuance of the Bonds for the project and the adoption of a housing program, to adopt the housing
program and enter into a joint powers agreement with St. Cloud and the other participating cities.
In order to flesh out the proposal, we have taken the liberty of drafting, as bond counsel
to St. Cloud for the financing, the following documents for consideration by the City:
,
DORSEY & WHITNEY LLP
.
Mr. Rick Wolfsteller
October 14, 1999
Page 2
1. Three copies of a form of notice of public hearing on the issuance of the Bonds to
finance the Project and adoption of a housing program. The public hearing is required under the
Internal Revenue Code in order that the Bonds bear tax-exempt interest and for the City to adopt
the housing program.
2. Three copies of the current draft of the proposed Joint Powers Agreement referred to
in the resolution.
3. Three copies of the draft Housing Program.
4. Three copies of a draft of the resolution to be considered by the City Council
following the public hearing.
If all of this is acceptable to the City, shortly before the time the bonds are to be issued
by St. Cloud (now expected to be the fourth week in November), we will forward to you copies
of the Joint Powers Agreement for execution by the City, together with a closing certificate to be
signed by you, certifying as to the adoption of the resolution and other closing matters.
. In order to permit this schedule to be met, it would be necessary for the public hearing
to be conducted at the first regular Council meeting in November, which we understand is
November 8. Since the notice of public hearing must be published in a newspaper of general
circulation in the City not less than 14 days before that date, the notice would have to be
published on or before the date of the next Council meeting, which we understand is October
25th.
We realize that this letter has only briefly outlined the proposed transaction. If you
would like us to forward these documents directly to the City Attorney, please let us know. If
you, the City Attorney or any other officer of the City have any questions or comments regarding
the resolutions, the Joint Powers Agreement or the proposed financing, please feel free to call
me. We would be happy to arrange for the publication of the notice of public hearing, if this is
acceptable to the City. Thank you for your assistance.
VerytrulYp-
Josec. Gonnella
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JCG/cjs
Enclosures
cc: Thomas Mathews, Esq.
Michael Reeslund, Esq.
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Draft
10/14/99
PROGRAM FOR AN ASSISTED LIVING HOUSING DEVELOPMENT
UNDER MINNESOTA STATUTES, CHAPTER 462C
ST. BENEDICT'S SENIOR COMMUNITY AT MONTICELLO PROJECT
Section 1. Statutory Authoritv. Pursuant to Minnesota Statutes, Chapter 462C, as
amended (the "Act"), the City of Monticello, Minnesota (the "City") has been authorized to
develop and administer programs of multifamily housing developments under the circumstances
and within the limitations set forth in the Act. Minnesota Statutes, Section 462C.07 provides
that such programs for multifamily housing developments may be financed with revenue bonds
issued by the City. Minnesota Statutes, Section 471.59, as amended, provides that two or more
governmental units, by agreement entered into through action of their governing bodies, may
jointly or cooperatively exercise any power common to the contracting parties, and may provide
for the exercise of such power by one of the participating governmental units on behalf of the
other participating units.
Section 2. The Program; General Description and Location. The City has received a
proposal from The Saint Cloud Hospital, a Minnesota nonprofit corporation (the "Corporation"),
that, pursuant to Minnesota Statutes, Section 462C.05, Subdivisions I and 4, the City approve a
program providing for the acquisition of land and the construction and furnishing of a
multifamily rental housing facility consisting of an approximately 60-unit assisted living facility
(the "Assisted Living Facility") and an approximately 60-unit multifamily housing facility
designed and intended for occupancy by elderly persons (the "Housing Facility," together with
the Assisted Living Facility, the "Project"), to be owned by the Corporation and located at 1301
and 1305 Seventh Street in the City (the "Project"). It is expected that the Project will draw
residents from the City and the surrounding area. The Housing Facility will be designed for
rental exclusively to elderly persons and the Assisted Living Facility will be designed for elderly
and handicapped persons needing health related assisted living services. No income limitations
will apply to residents of the Project under the Act, although the Corporation has agreed to
certain income and rent restrictions as provided in an agreement between the Corporation and the
Housing and Redevelopment Authority in and for the City of Monticello (the "Authority")
described in Section 5 below.
As currently planned, the Housing Facility will consist of one- and two-bedroom units,
varying in size from 700 to 1,200 square feet. Each unit will be a complete living unit with
bathroom, living and sleeping areas and a kitchen. The Housing Facility will also include a
common dining area, limited service kitchen, library and underground parking for its residents.
As currently planned, the Assisted Living Facility will consist of studio, one- and two-bedroom
units.
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The Corporation has proposed that the City of St. Cloud, Minnesota ("St. Cloud"),
through a joint powers agreement with the City, provide long-term financing for the Project by
issuing revenue bonds in an aggregate principal amount up to approximately $13,000,000
pursuant to the authority of Minnesota Statutes, Section 462C.05, Subdivisions I, 4 and 7, which
permit revenue bonds to be issued to finance a development consisting of the acquisition and
preparation of a site and the construction of a new development if certain requirements set forth
therein are met. It is believed the requirements of said Subdivisions 1,4 and 7 are met because
(i) the Project will be in compliance with all applicable zoning ordinances and other applicable
land use regulations, including any urban renewal plan or development district plan, and
including the state building code as set forth under Minnesota Statutes, Section 16.83, et seq. and
(ii) the Assisted Living Facility is a health care facility within the meaning of said Subdivision 7
(health care services will be available on a 24-hour basis) and the Housing Facility will be
designed for rental primarily to elderly persons.
Section 3. Need for the Program. In establishing this multifamily housing program (the
"Program"), the City has considered the information provided by the Corporation, which shows a
need for senior and assisted living housing in the City such as that proposed by the Corporation.
Section 4. General Method of Financing. The Corporation contemplates the issuance
by St. Cloud on behalf of the City of approximately $120,000,000 of revenue bonds (the
"Bonds") for the purpose of providing long-term financing for various projects, including the
Project, as authorized by a Joint Powers Agreement to be entered into between the City,
St. Cloud and the Cities of Long Prairie and Melrose, Minnesota. The principal amount of the
Bonds to be issued to finance the Project and related reserve funding and administrative and bond
issuance costs will be approximately $13,000,000. The Bonds will be issued upon such terms
and conditions as may be agreed upon in writing between St. Cloud, the original purchaser of the
Bonds (anticipated to be J.P. Morgan Securities Inc. of New York, New York) and the
Corporation.
The Bonds are expected to be issued within six months after adoption of this Program.
A negotiated sale and public offering of the Bonds is contemplated. The most recent sources and
uses of funds for the Project, and bond maturity schedule prepared for the offering, is attached
hereto as Exhibit A - the sources, uses, amounts, maturities and rates are subject to change to
reflect updated estimated costs of the Project and bond market conditions at the time the Bonds
are actually issued.
Insofar as the City or St. Cloud will or may be contracting with underwriters, legal
counsel, bond counsel, a trustee, and others, all of whom will be reimbursed from Bond proceeds
(to the extent permitted by federal law) and funds provided by the Corporation; no administrative
costs will be paid from the City's budget with respect to this Program. The Borids will not be
general obligation bonds of St. Cloud or the City, but are expected to be paid from revenues of
the ProjeCt and other funds of the Corporation.
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Except as described in Section 5, it is not contemplated that any additional financing or
contributions on the part of the City will be needed for the completion of the Project or for the
operation of the Program.
Section 5. Tax Increment Financing Assistance. The Authority has agreed to provide
the Corporation certain financial assistance in connection with the development of the Housing
Facility, as further provided in a Contract for Private Development, dated as of October 2, 1998
(the "Development Contract"), between the Authority and the Corporation, and an Extended
Low-Income Housing Commitment Agreement, dated as of October 2, 1998 (the "Commitment
Agreement"), between the Authority and the Corporation. The assistance will not exceed
$440,000, plus interest, for certain Public Development Costs (as defined in the Development
Contract) incurred by the Corporation, payable from certain tax increment revenues from the
Authority's Housing District No. 1-24, all as further provided in the Development Contract.
Pursuant to the Commitment Agreement, the Corporation has agreed that the Housing Facility is
subject to certain rental and tenant income restrictions, generally designed to meet the
requirements for low-income housing tax credits under Section 42 of the Code, although the
Corporation does not intend to obtain such tax credits.
Section 6. Bond Allocation. Because the Corporation is a nonprofit corporation
exempt from tax under Section 501(c)(3) of the Internal Revenue Code of 1986, as amended (the
"Code"), it is anticipated that the Bonds will be issued as "qualified 501(c)(3) bonds" pursuant to
Section 145 of the Code. As such, no allocation of bonding authority is required under Section
. 146 of the Code or Minnesota Statues, Chapter 474A, as amended.
Section 7. Compliance and Monitoring. The City or St. Cloud may require from the
Corporation or such other person deemed necessary, at or before the issuance of the Bonds,
evidence satisfactory to the City and St. Cloud of the ability and intention of the Corporation to
complete the Project. In addition, the City and St. Cloud may periodically require certification
from the Corporation or such other person deemed necessary concerning compliance with
various aspects of this Program and the documents prepared in connection with the issuance of
the Bonds.
Proceeds of the Bonds proposed to be issued to finance the Project will be held and
disbursed by a trustee bank during construction of the improvements to the Project, and it is
believed the oversight exercised by the trustee bank, and any title insurance company assisting
the bank with the disbursement of the proceeds, will be adequate to insure the development as
presented is in fact carried out.
Section 8. Severability. The provisions of this Program are severable and if any of its
provisions, sentences, clauses or paragraphs shall be held unconstitutional, contrary to statute,
exceeding the authority of the City or otherwise illegal or inoperative by any court of competent
jurisdiction, the decision of such court shall not affect or impair any of the remaining provisions.
.
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Section 9. Amendment. The City shall not amend this Program while Bonds are
outstanding to the detriment of the holders of such Bonds or St. Cloud.
Adopted: November _.1999.
CITY OF MONTICELLO
By
Its Mayor
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CERTIFICATE AS TO RESOLUTION AND ADOPTING VOTE
I, the undersigned, being the duly qualified and acting recording officer of City of
Monticello, Minnesota (the "City"), hereby certify that the attached resolution is a true copy of a
resolution entitled: "RESOLUTION APPROVING THE ISSUANCE OF BONDS BY THE
CITY OF ST. CLOUD ON BEHALF OF THE SAINT CLOUD HOSPITAL UNDER
MINNESOTA STATUTES, CHAPTER 462C, AS AMENDED" (the "Resolution"), on file in
the original records of the City in my legal custody; that the Resolution was duly adopted by the
City Council of the City at a meeting on November _, 1999, and that the meeting was duly held
by the City Council and was attended throughout by a quorum, pursuant to call and notice of
such meeting given as required by law; and that the Resolution has not as of the date hereof been
amended or repealed.
I further certify that, upon vote being taken on the Resolution at said meeting, the
following Councilmembers voted in favor thereof:
voted against the same:
abstained from voting thereon:
or were absent:
WITNESS my hand officially this _ day of November, 1999.
City Clerk
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EXHffiIT A
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RESOLUTION APPROVING THE ISSUANCE OF BONDS BY THE CITY OF
ST. CLOUD ON BEHALF OF THE SAINT CLOUD HOSPITAL UNDER
MINNESOTA STATUTES, CHAPTER 462C, AS AMENDED
BE IT RESOLVED by the City Council of the City of Monticello, Minnesota (the
"City"), as follows:
Section 1. Recitals and Authorization.
1.01. This Council has received a proposal from The Saint Cloud Hospital, a
Minnesota corporation (the "Corporation"), that the City authorize the City of St. Cloud,
Minnesota ("St. Cloud") to issue revenue bonds under Minnesota Statutes, Chapter 462C, as
amended (the "Act"):
(i) to finance the acquisition of approximately 5.3 acres of land at 1301 and
1305 Seventh Street in the City and the construction and equipping thereon of a senior
multifamily rental housing facility comprising approximately 60 independent living
units and 60 assisted living units and related facilities to be owned by the Corporation
(the "Project"), estimated to cost approximately $13,000,000; and
(ii) to finance certain other projects on behalf of the Corporation or its affiliates
by St. Cloud and certain other governmental units described in the Joint Powers
Agreement hereinafter referred to.
1.02. There has been presented to this Council a form of Joint Powers Agreement (the
"Joint Powers Agreement") to be entered into between the City, St. Cloud, and the Cities of Long
Prairie and Melrose, Minnesota (collectively, the "Governmental Units"), which authorizes St.
Cloud to issue its revenue bonds under the Act to provide funds to be used, with other available
funds of the Corporation, to finance various projects in the Governmental Units on behalf of the
Corporation or its affiliates.
1.03. The City is authorized, pursuant to the Act, to develop and administer programs
for multifamily housing developments under the circumstances and within the limitations set
forth in the Act. Minnesota Statutes, Section 462C.07 provides that such programs for
multifamily housing developments may be financed with revenue bonds issued by a city. The
City is authorized, pursuant to Minnesota Statutes, Sections 471.59, to enter into and perform
contracts and agreements with the other Governmental Units concerning, among other things, the
financing of one or more projects under the Act, induding an agreement whereby one
Governmental Unit issues its revenue bonds to finance one or more projects in behalf of one or
more other Governmental Units. The City is authorized by Minnesota Statutes, Section 471.59
to enter into the Joint Powers Agreement.
1.04. Section 462C.04, Subdivision 2 of the Act requires that prior to undertaking the
financing of the Project, the Authority must prepare and adopt a housing program after notice and
.
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hearing and review given and held as provided therein. The Authority has prepared a
multifamily housing program for the Project, designated as the "Program for Multifamily
Housing Development under Minnesota Statutes, Chapter 462C, St. Benedict's Senior
Community at Monticello Project" (the "Housing Program"). The Housing Program authorizes
the Project and the issuance of revenue bonds by St. Cloud on behalf of the City in the
approximate principal amount of $13,000,000 to finance the costs thereof.
1.05. On November _, 1999, this Council held a public hearing on the adoption of the
Housing Program after publication of the notice of hearing not less than 15 days prior to the date
thereof in a newspaper circulating generally in the City. There is no regional development
commission to review the Housing Program under Minnesota Statutes, Section 462C.04,
Subdivision 2.
The public hearing was duly noticed and held in accordance with the Act and Section
147(f) of the Internal Revenue Code of 1986, as amended. All parties who appeared at the
hearing were given an opportunity to express their views with respect to the proposal to adopt the
Program and to undertake and finance the Project and interested persons were given the
opportunity to submit written comments to the City Administrator before the time of the hearing.
Section 2. Adoption of Housing Program. Based on the public hearing, such written
comments (if any) and such other facts and circumstances as this Council deems relevant, it is
hereby found, determined and declared:
(a) the Project would assist the construction of needed housing units in the City;
(b) the Housing Program is hereby approved and adopted in the form presently
on file with the City; and
(c) the issuance by St. Cloud on behalf of the City of its revenue bonds under
the provisions of the Act, the Program and the Joint Powers Agreement to finance the
Project in the maximum aggregate face amount of $13,000,000 is hereby preliminarily
approved.
Section 3. Approvals.
3.01. The issuance of revenue bonds by St. Cloud for the purpose of financing the
Project and certain health care facilities projects on behalf of the Corporation and its affiliates,
pursuant to Minnesota Statutes, Section 471.59 and the Joint Powers Agreement, are hereby
approved. The terms of the bonds shall be as are approved by the St. Cloud City Council. The
form of the Joint Powers Agreement referred to in Section 1.02 is hereby approved subject to
such modifications as are deemed appropriate and approved by the City Attorney and the Mayor,
which approval shall be conclusively evidenced by the execution of the Joint Powers Agreement
by the Mayor and the City Clerk. The Mayor and the City Clerk are hereby authorized and
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directed to execute such other instruments as may be required to give effect to the transactions
herein contemplated.
3.02. The Mayor, the City Clerk and other officers of the City are authorized and
directed to furnish to the Corporation, St. Cloud and the attorneys rendering an opinion on the
issuance of the bonds, certified copies of all proceedings and records of the City relating to the
Housing Program and the bonds and such other affidavits and certificates as may be required to
show the facts relating to the legality and marketability of the bonds as such facts appear from the
books and records in the officer's custody and control or as otherwise known to them; and all
such certified copies, certificates and affidavits, induding any heretofore furnished, shall
constitute representations of the City as to the truth of all statements of fact contained therein.
Section 4. Effective Date. This resolution shall be effective immediately upon its final
adoption.
PASSED by the City Council of the City of Monticello, Minnesota, this _ day of
November, 1999.
Mayor
Attest:
City Clerk
(SEAL)
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Draft
10/13/99
JOINT POWERS AGREEMENT
PROVIDING FOR THE ISSUANCE OF
REVENUE BONDS UNDER MINNESOTA STATUTES, SECTIONS 469.152
THROUGH 469.1651 AND CHAPTER 462C, AS AMENDED, TO FINANCE PROJECTS
ON BEHALF OF THE SAINT CLOUD HOSPITAL AND ITS AFFILIATES
This JOINT POWERS AGREEMENT is entered into as of the _ day of
1999, between the City of Long Prairie, Minnesota ("Long Prairie"), the City of Melrose,
Minnesota ("Melrose"), the City of Monticello, Minnesota ("Monticello"), and the City of St.
Cloud, Minnesota ("St. Cloud"), each a municipal corporation of the State of Minnesota. (Long
Prairie, Melrose, Monticello and St. Cloud are hereinafter together referred to as the "Cities.")
1. Statement of Purpose and Powers To Be Exercised.
1.1. Minnesota Statutes, Section 471.59, as amended (the "Joint Powers Act"),
provides that two or more governmental units, by agreement entered into through action of their
governing bodies, may jointly or cooperatively exercise any power common to the contracting
parties, and may provide for the exercise of such power by one of the participating governmental
units on behalf of the other participating units. The Cities are "governmental units" under the
Joint Powers Act. '\
1.2. Under Minnesota Statutes, Section 469.152 through 469.1651, as amended (the
"Industrial Development Act"), each of the Cities is authorized to (i) issue its revenue bonds to
finance properties, real or personal, used or useful in connection with a revenue producing
enterprise, including revenue producing enterprises, whether or not operated for profit, engaged
in providing health care services, and (ii) enter into and perform contracts and agreements with
other cities concerning the financing of a project and whereby one city issues its revenue bonds
in behalf of another city.
1.3. Under Minnesota Statutes, Chapter 462C, as amended (the "Housing Act"), each
of the Cities is authorized to develop and administer programs for multifamily housing
developments under the circumstances and within the limitations set forth in the IIousing Act.
Minnesota Statutes, Section 462C.07 provides that such programs for multifamily housing
developments may be financed with revenue bonds issued by a City.
1.4. The Saint Cloud Hospital, a Minnesota nonprofit corporation and a tax-exempt
organization described in 501 (c )(3) of the Internal Revenue Code ("Saint Cloud Hospital"), has
proposed that the Cities enter into a joint powers agreement under the Joint Powers Act, the Act
and the Housing Act, pursuant to which St. Cloud will issue, on behalf of itself and the other
Cities, one or more series of revenue bonds in an aggregate principal amount not in excess of
$120,000,000 (the "Revenue Bonds") and loan the proceeds thereofto Saint Cloud Hospital or its
affiliates, including without limitation, CentraCare Health System, a Minnesota nonprofit
I
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corporation ("CentraCare System"), CentraCare Health Services of Melrose, a Minnesota
nonprofit corporation ("CentraCare Melrose"), or CentraCare Health Services of Long Prairie, a
Minnesota nonprofit corporation ("CentraCare Long Prairie"), to finance the construction and
improvement of certain facilities of Saint Cloud Hospital or its affiliates located in the Cities and
described generally as follows (collectively, the "Projects"):
(a) the acquisition by CentraCare System of land, buildings, equipment and
other personal property comprising a 123-bed skilled nursing home facility, a 34-bed
acute care hospital and an approximately 6,100 square foot clinic building located at 20
9th Street in Long Prairie and known as the Long Prairie Memorial Hospital and Home
(the "Long Prairie Project"), to be operated by CentraCare Long Prairie, estimated to cost
approximately $3,200,000, all of which will be financed with proceeds of the Revenue
Bonds (including related reserve, financing and issuance costs);
.
(b) the remodeling of the 28-bed hospital facility located at 11 North 5th
Avenue West in Melrose, the construction of an approximately 11,000 square foot clinic
attached thereto, the construction of additions to the hospital facility aggregating
approximately 11,000 square feet for laboratory and imaging services and for patient
services, and the acquisition and installation of items of capital equipment for the hospital
facility (the "Melrose Project"), all comprising part of the nursing home, hospital and
senior housing apartment complex owned by Melrose and leased to CentraCare Melrose,
estimated to cost approximately $5,200,000, all of which will be financed with proceeds
of the Revenue Bonds (including related reserve, financing and issuance costs).
(c) the acquisition of approximately 5.3 acres of land at 1301 and 1305 Seventh
Street in Monticello and the construction and equipping thereon of a senior multifamily
rental housing facility comprising approximately 60 independent living units and 60
assisted living units and related facilities to be owned by the Corporation (the
"Monticello Project"), estimated to cost approximately $13,000,000, all of which will be
financed with proceeds of the Revenue Bonds (including related reserve, financing and
issuance costs); and
.
(d) the remodeling and equipping of the existing hospital facilities of the
Corporation located in S1. Cloud at 1406 Sixth Avenue North and commonly known as
Saint Cloud Hospital (the "Hospital"), providing three new operating rooms, a new 26-
bed nursing unit, a new pharmacy and expansion of the existing heart center, the
acquisition and installation of certain equipment to be used in the operation of the
Hospital and the construction of a parking ramp providing approximately 266 spaces; and
the acquisition of approximately 126 acres of land located on the south side County Road
134 in west S1. Cloud approximately one quarter mile west of the intersection of County
Road 134 and State Highway 15 and the construction thereon of an approximately
325,000 square foot ambulatory care facility and women's and children's clinic (the "
ambulatory care facility to be owned by the Corporation and the clinic to be owned by
CentraCare System and leased to CentraCare Clinic (collectively, the "S1. Cloud
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Project"), estimated to cost in the aggregate approximately $ , of which
$98,600,000 would be financed with proceeds of the Revenue Bonds (including related
reserve, financing and issuance costs).
1.5. The undertaking of the proposed Projects and the issuance of the Revenue Bonds
to finance the cost thereof will promote the public purposes and legislative objectives of the Act
and the Housing Act by providing substantial inducement for Saint Cloud Hospital and its
affiliates to acquire, construct and equip the Projects.
2. Manner of Exercising Power. Long Prairie has adopted a resolution authorizing the
issuance by St. Cloud of the Revenue Bonds to finance the Long Prairie Project. Melrose has
adopted a resolution authorizing the issuance by St. Cloud of the Revenue Bonds to finance the
Melrose Project. Monticello has adopted a resolution authorizing the issuance by St. Cloud of
the Revenue Bonds to finance the Monticello Project and has adopted a housing program for the
Monticello Project pursuant to the Housing Act. St. Cloud shall exercise the powers of the Act
and the Housing Act by adopting, approving and executing such resolutions, documents, and
agreements as shall be necessary or convenient to authorize, issue and sell the Revenue Bonds
and such other resolutions, documents and agreements as shall be necessary or required in
connection with the issuance of the Revenue Bonds and giving effect to or carrying out the
provisions of this Agreement and documents under which the Revenue Bonds are issued and/or
secured.
.
3. Source and Contribution of Funds: Allocation of Funds. The source of funds for the
Projects shall be the proceeds of the Revenue Bonds and, if necessary, a contribution to be made
by Saint Cloud Hospital. The funds shall be deposited and applied as provided in an Indenture of
Trust between St. Cloud and Norwest Bank Minnesota, National Association, as trustee, and the
Loan Agreement between St. Cloud and Saint Cloud Hospital. Any surplus moneys remaining
after the purpose of this Agreement has been completed shall be apportioned among the Cities,
pro rata, in proportion to the principal amount of the Revenue Bonds issued for the Project
located within their respective borders.
4. Nature of Revenue Bonds. The Revenue Bonds shall be special, limited obligations
of St. Cloud, payable solely from proceeds, revenues and other amounts pledged thereto and
more fully described in the Indenture. The Revenue Bonds and the interest thereon shall neither
constitute nor give rise to a pecuniary liability, general or moral obligation or a pledge of the full
faith or loan of credit of Long Prairie, Melrose, Monticello or St. Cloud, within the meaning of
any charter, constitutional or statutory provisions.
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5. Business Subsidy Act. Minnesota Laws, Chapter 243, Article 12, to be codified as
Minnesota Statutes, Sections 1 16J.993 to 116J.995, as amended (the "Business Subsidy Act"),
requires that the grantor of a business subsidy within the meaning of the Business Subsidy Act
adopt criteria, following notice and a public hearing, for awarding business subsidies. Business
subsidies appear to include, among other things, the issuance of revenue bonds under the
Industrial Development Act for which no allocation of volume cap is granted under Minnesota
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Statutes, Chapter 474A, as amended, but not business subsidies for housing purposes. Since St.
Cloud will issue the Revenue Bonds and enter into a Loan Agreement as described in Section 3,
each of Long Prairie and Melrose hereby authorize St. Cloud to adopt criteria and adopt wage
and job goals for the Projects to the extent required by the Business Subsidy Act.
6. Term of Agreement: Termination. Unless otherwise provided by concurrent action
of the Cities, this Agreement shall terminate upon the retirement of the last outstanding Revenue
Bond, and this Agreement may not be terminated in advance of such retirement.
7. Amendments. This Agreement may be amended by the Cities at any time by a
writing signed by each. No amendment may impair the rights of the holders of the Revenue
Bonds or any issuer of a letter of credit or other credit enhancement facility securing the payment
thereof.
8. Execution Counterparts. This Agreement may be simultaneously executed in several
counterparts, each of which shall be an original and all of which shall constitute but one and the
same instrument.
IN WITNESS WHEREOF, each of the Cities has caused this Agreement to be executed
on its behalf by its duly authorized officers, all as of the day and year first above written.
CITY OF LONG PRAIRIE, MINNESOTA
.
By
Mayor
(SEAL)
Attest:
City Administrator-Clerk
CITY OF MELROSE, MINNESOTA
By
Mayor
(SEAL)
Attest:
City Clerk
.
-4-
.
CITY OF MONTICELLO, MINNESOTA
By
Mayor
(SEAL)
Attest:
City Clerk
CITY OF ST. CLOUD, MINNESOTA
By
Mayor
(SEAL)
.
And
City Clerk
.
-5-
.
Council Agenda - 11/8/99
8.
Consideration of an offer for the purchase of Senior Citizens Buildinl! - Dennis Anderson
(RW)
A REFERENCE AND BACKGROUND
At our last meeting, the Council reviewed an offer from Dennis Anderson for the purchase of the
Senior Citizens Building at a price 01'$120,000. Since Mr. Anderson was not able to attend the
meeting, he had requested that the Council table any action on his proposal until the next meeting.
Mr. Anderson's proposed use of the building would be to convert it to a May tag Laundromat
Superstore. The existing May tag Laundromat next to Ace Hardware will be relocated to this site and
expanded in size from the present 1800 sq. ft. to 4800 sq. ft. The new laundromat would include a
drop off laundry service in addition to the self-service format and may also provide alterations and
sewing services in addition to having an on-site attendant for personal service.
Mr. Anderson has indicated he will be revising his purchase offer, but as of Friday morning, I had not
yet received a revised proposal. The original offer was for $120,000 with a down payment 01'$25,000
and the balance on a contract for deed over ten years at 7% interest. The purchase agreement also
made reference to the of Tel' being subject to an approved bid to run a new 2" water service to the
building, although it did not indicate whether it was expected that the City would be paying for this
water line.
.
An ad ofTering the property for sale has been in the newspaper for a couple of weeks and the only other
inquiry I have had was from the school district questioning whether the site would be suitable for their
alternative learning center. Because of the parking requirements that may be needed by students and
faculty, I don't believe the school district will be a serious contender for the property.
.
Assuming Mr. Anderson reaftirms his present offer or provides a new one for the Council to consider,
another issue that may need to be addressed is Mr. Anderson's desire to have his sewer hookup fees be
transferred to the new site. As you know, sewer hookup charges are based on water consumption and
it is estimated that an laundromat of the size being proposed by Mr. Anderson would require
approximately 8 sewer units at $2,500 each. The only credit we would normally provide would be the
number of sewer units that the existing building would have estimated at 2 units and our normal
procedure would be to charge the new business the difference. Sanitary sewer charges are not
transferable from one location to another and in the past, any fees paid for at a certain location remain
with that property, not the individual or business. It would become an accounting nightmare to keep of
track of who has paid what sewer hookup fee if they are allowed to transfer credit from one location to
another. For example, does the City want to allow a homeowner who moves from one house to
another to take his credit with him? This would be thc same principle that we would have to consider
if we allow a business to relocate to another location and take their sewer credits with them. The offer
the City has received to date does not specify that it is contingent upon a certain Icvel of sewer hookup
fees. Rather than creating any typc of precedent that may be hard to deal with in the future on other
properties, it would be better to keep our present policy intact and negotiate a selling price to
accommodate any adjustments the Council may want to consider. Since the $120,000 offer is lower
than the City's asking price, the $120,000 offcr could be considered a discounted offer reflecting the
.
.
.
Council Agenda - 11/8/99
sewer hookup charges.
B. AL TERNA TIVE ACTIONS:
1. The Council could agree to accept the offcr proposed by Mr. Anderson subject to a
clarification on the contingency regarding the 2" watcr line and clarification of the
expected sanitary sewer hookup fees that would apply to this propcrty.
2. Council could present a counter proposal for Mr. Anderson to consider if the tcrms
and/or conditions are not acceptable as presented.
3. Since the ad has been out for only a couple of weeks, the Counci I could continuc to
table any offers at this timc allowing other parties an opportunity to make proposals.
C. STAFF RECOMMENDATION:
It is the recommendation of the City Administrator that ifan offer is accepted for the sale ofthc
property, any utility line altcrations or sewer hookup fecs not be included as part of the agreemcnt. It
would be suggested to make the sale as simple as possible and not modify our present policies that
could set a precedcnt later on.
As an additional note, I have ordcrcd a certificatc of survey from Taylor Survcying that should be
completed within the next few days. The survey will show the cxact location of the building in
relation to the property line so that any purchascr is aware of exactly what we are selling.
n. SUPPORTING DATA:
A copy of original or modified purchase proposal.
.
PURCHASE AGREEMENT
d/ rnOr1l"/(,~lLd J.Minn, 10-/3 _192..!l.-
R~C~IV~D OF 0et11/1S _tk<<ef'5C/'ft..- l!;.ILJl1~_1d1J!..M,' ._._.l!_f-~._,,~____~__
~s 1111 d Im~ ___,_"._. (s5',aJO- I DOLLARS
et-k
deposIt. upon acceptance, ar N~-'Sta~hl .. ~
Ce S~i1It'C 61-_~:._,? .
counlYte. ;;---1, ~>>:: --~
Including all ~.n bulbs, planls, shrubs and Irees, all storm sash, storm doe.s, detachabl. .."ibul.., .er,oon., awnings, window shades, blinds (including .enetian blindS) curtain
rods. traverse rod~. drapp.fy rOds. lighling flxlure:s and bulbs. plumbing fixtures, !'lot waler tank,s and heating plant (,with any burners. tankS, stokers and other equlpmenf used
In
c;onnec:Uon therewith), water softener and liQI..lld gas fank and conlrols (If Ihe properly 0' soller), sump pump, teleVISion antenna, incinerator, builHn dishwasher. garbage dISpOsal.
owns, cook lOP stoves and centrat air condtlioning equipment, if any, used anclloc9ted on said premise:,; and including also the fol/owing personal property:
WUlTK,Offi('1! {J(IPY
Y~LLOW-..Duyer's COPy
PINK-Setler's COpy
,-~'~._ as earnest money and in part payment 'Of Ihe purchase of prope~ty at
Iff 1t17 ('edl/l' Sf.. (J1,(rl/'('eLkJ
situated in the
. St~Ue ot Minnesota, and legally described as follows. to wit:
.
'ho buyo. 10'd sum of d " N1 ;{n
anner _It .S'!1J1_....A!t!1... ,.-- ,
~ames' money heroin pa,d $:5; (}'J{J aM ~@_::=. cash on .._.,,,"_ j71 !J1I?C II .5cJ -+_~ . 'he da'e 01 clos;ng,
lind ik !Jd4lfce 0.{'1I95>0{)0 br elM ff'/ICf- -fOr '(:;fi'f) .beltu'tt-r.- brt'lf/L ,
~LJer ~f /111 inkrl'sT rttfe.... R" 1~ /It1 d -ICr fr -ffrm ( leI ~f1('r, 8~
rnlht ~ll1J n+ /h1~Jn( JYI'II'~1 ~AlM, 01 co. shAlL Jr1.II~@ /,5fj #IdS,
m(!l1l1t~ ft19/11~'7r shAll be 9dO~ II~. fMIC +- 'l1h",S'r, 5flk ShNd
IULow 'bUt 8'L -10 ~m~ ~1. 811 -!t~ .hi ~ . IIlSi ck .~ (!/lis, t:k -lit!1/- CUt CI'/I1s.
.-1-0. t'/:t., tn tie .f' (P~It~. 1/715 gf.fit Is ~~ I'Kf,ff r- hYl IIfI'dvpl b/d
-10 run. Il- ;)11 /:Jt+~ 4/lfl- ~SrA~1 Jc Bud,i '
SubjeellO performance by Ihe buyer lhe Miler agrees to e:.:eculp. aM deliver a ~QJ.11?/l ~ Warranty Deed
(10 bo joined In by spouse, if any) conveYing marketable tille 10 said prp.miMS subject only to the following exceptrol1s'
(al Building and ZOnitl9 laws, ordinanc@s, Stall:! aM Federal regulalions
(b) Restrictions relahng 10 use Or improvem~nl of premises without effective forfeitute provision
(ol Reservation of any minerals or mineral ri9hl~ 10 Ihe Stale 01 Minnesota
(d) UtUlly ane! drainage easements which do nOllnterlere wIth presenI1mprovemenl$.
(e) Righls of tenants aslol1ows: (unl!? specified, not subject 10 tenanCies) ~)(j ~ 0 t ~
Senor agree!;; 10 pay "of rhe reat e!ilale ta1l8s due and paya~e ~e year 1~. Buye~~!~es to pay I [)( J of the real estate
^" __lax8~able in lI1e year". ellp.r warr~nts that real e!'ilale taX!'!5 due find payable in Iha year(s) :a.o~.2, will be ._<ttrit\._~~
L1.ftVllt\ _ "'''~ elassif,c.lIon (cheek onel Neither tho .o"e. no, soller's og~m,yny .epresent.lIon of warranty W~~ilfconeemin9 Ihe amoun' 01 reale.t.te taxes
whieh ~nall be assessed against the properly :Sl.JbSa~uent to the date of p!,lrChase. (! ~--C~ a~s~ pay --I-CJ.J of all levied specialasae:S!llment9 and
special assessments cerli'ied 10 tne taxes due and payablp. In Ihe year 01 closing and to place in escrow $ / . 'he approximate amOunt of All pendIng special
A$SeSsments ,QpproY'ed by the governing body as 01 the dale 01 clo~ilrig
SeUer covenants that buildings. il any. are entirely with,,, the boundary lines of the property and agrees to remove all personal property nOllnell,lded herein and all debris ftom
tho p.emoses pilar 10 po.es8'on da'o. S~LLER WARRANTS ALL APPLlANC~S, H~ATING. AIR CONDITIONtNG, WIRING AND PLUMBING US~D AND LOCATED ON $AID
PR~MISES ARE IN PROP~R WORKING ORDER AT DATE OF CLOSING
The seller further agrees to deliver possession not later than _-.O!tJtf.C/1 1/./) i :i'J1l,tC)
agreement have b@91"\ complied wifh, Unless otherwise specified IhlS sale shall be clo!'ied on Or befo~B 60 dl!!lY$ trom the date hereof.
provided that all conditions of lI'liS
(JIll
_"~(sLOIc:7I000 ~LLARS
In the elJ8ntlhl!;i property is de~lfoyP.d or substantially damaged by lire or any Olher cause before lI'le clOSing date, this agreement shall become null and void, at tl'le purcl'laset'S
option, And all monie~ pai~ hereunder shall be refunded to him
.ha"Tb:e :~;:ra:n:, selle~a~~o.:&s~; Iha' p.o r la a _11l5l:ent. of 'enls. Inle:~~:, InSulanee .nd.~~~ waw, and, In th:.:aso of ;neome properly, cu"ent oporatlng.=.
The seUer Shall. wIthIn a reasonable time aft approval 01 this agreement.lurniSh an absttact olliUe, or a Registeted Abstracl cerlilied to date to include proper searches covering
bankruPlcies, and Stale and Federal judgmenls and liens The buyer shall be allowed 10 days after receipl Ihereol lor examination 01 sal~ title and the making of any objeClions
therelo, said objecfion!i 10 be made in wtlting or deemed to he waived 11 any objeelions are so made the seller shall be allowed 120 days 10 make such title marketable, ~ndif1g
cOrrection of hll~ the payments. hereunder requIred Shill! be poslponed, "!,II upon correcllon 01 title and within 10 days after wrillen notICe to the buyer, the parties shall perform
!hlS
agreement accordmg to Its lerm~
II ~ald title is not marketable and IS not made so wllhln 120 days from Ihe dale 01 written objections thereto 8S above pro....ided. lhis agreement shall be null and 'Ioid. at option
of
.tle buyer, and neither prinCIpal shall be liable 'or damages. hereunder to Ihp. other prinCipal, All money Iheretofore paid by Ihe buyer 5"911 be refunded. It the title to 5aid properly
be
fol,llic! markelable or be SO made wilhin said lime. and said buyer shall default in any of the agreemenlS, Ihen, and in thai case Ihe seller may terminl!!lte this contract and on such
lermination alllhe paymAnlS made upon IhlS COntract shall be retained by said seller and said agent, as their respecti\18 interests may appear, as liquidated damages. time being of
the essence hereOf, This provision shall nol deprive either par1y of the right of enforcing the Sp&CiftC performance of this contract provided such contract :shall not be terrninatBd
AS
aforl!Mid. and provided action to enfOrce such !ipeCllic perlormance Shall be commenced wilrun Sil( months after sueh right 01 action shall arise
illS understood and agreed that thIS sale !s made Subject to th!? approv(ll by the owner of said premises in wrlllng and that the undefslgned agent is in no manner riable or
responSible On accounlof Ihl5 agreemenl, excepllo relurn or aCCount tor Iho earnesl mOney paid under thIS COntract
This contract contains the entire agreemenl between the p,arIleS. and n8'lthl!\'r party I'las relied upon any verbal Or written representations agreemenl or understandings nollef
lorth herein, whether made by any agent or party hereto.
Buyer aCk;nowledges no statement$ have been made by Seller or real eslate salespersons regarding seepage of water tnroughthe foundation. basement Or roof of the above
described premises except as It Otherwise provi(led in a.n addendum aUached herelo, Buy!?r ,,,Hlher aCk:nowledges ~hat. in sigl1lng Ihi!i purcl'lase agreement. buyer relies sOlely upon
pt!IrSOn81 inspechor. Of the premises and upon Ihe statements Conlalned In the "Uached addendum, if any
--1J.6 i1fI-. ~ r. -,"'...-- ,tlpulot...""t ""'""".. '_..ntlng tho In thl. tron_an.
(.gent/broker) (buyer or '.lIer)
Listing .gent Or broker IUpullte, th.t h.l,hel, reprelentlng th. aell.r In thla tr.ns.Cllon.
The deliuory 01 all paper. and mOnies shall be mode al the Olllce 01;
.."__ (SEAL)
By _._----=____ _ Agenl
I hereby agree to purc:hase the SAid properly lor the price and upon the terms
sboVft m@nlloned. and subjel:lto aU conditions ~erein expreSSed,
~ ~'''~'
~ B e: ,._~_~;{~.Lj1
"
I, the undersigned. Owner ollhe above land. do hereby approve the abOve agree.
ment and the sale ft''l~~eby made
SellfH
Seller
ISF.ALI
THIS IS A LEGALLY BINDING CONTRACT IF NOT UNDERSTOOD. SEEK COMPETENT ADVICE.
)46
.
.
.
Council Agenda - 11/8/99
9.
Review of Liauor Store and Library soace needs study. (FP)
A. REFERENCE AND BACKGROUND:
Earlier the Council received a report prepared hy Blumentals/Architecture, Inc. covering the
space needs for the liquor store and the lihrary. Sue Blumentals will be present at the meeting
to review the report and address any issues or questions the Counci I may have.
.
.
.
Council Agenda - 11/8/998
to.
Consideration of authorization to proceed with process of sale and development of
Lots 11-16. Block 14 - PID 255-400-000040 (Ferrell Gas Site) (JO)
A. REFERENCE AND BACKGROUND:
As you recall, some months ago the City Council authorized issuance of a request for proposal
package which was responded to by two prospective developers. The developers provided very
similar proposals for development of the Ferrell Gas site and City staff was about to ask Council
to provide the City staff with directions to negotiate with one or the other of the developers when
it became clear that further action on this item should wait pending the outcome of the space
needs study at the liquor store. As you know through reviewing the space needs store for the
liquor store, the proposal calls for expansion of the liquor store to the north towards 5 Y2 th
Street. The area to the west of the building between the Walnut Street sidewalk and the west
wall could be developed for small shops or office space.. Under the report the loading and
unloading area now located on the Walnut side of the liquor store would be relocated to the south
side of the building.
The positive aspects to this idea are as follows:
I.
The40' x 80' space between the liquor store and Walnut Street could be sold to a
private developer for development of small shops or offices. Funds derived from
this sale could be used towards expansion or refacing of the I iquor store building.
2. The Walnut Street redevelopment plan calls for zero setback on the Walnut Street
side. The architecture and styling of the new shops could be constructed to be
consistent with the redevelopment plan and could be of a quality that would
complement the Community Center and cover the blank back side of the existing
liquor store.
The City Council is simply asked to consider directing staff to move forward on the Ferrell Gas
site development by submitting information to the prospective developers that the City is
interested in the developer incorporating the west side of the liquor store property into their
proposals for the site.
B.
AL TERNA TIVE ACTIONS:
I.
Motion to request that staff update the prospective developers on the availability of
additional land on the west side of the liquor store building for redevelopment.
Under this alternative the City staff will submit additional information to the prospective
developers and seek responses in writing from them. At such time as additional
information or interest in this additional land is obtained from the prospective developers.
the proposals will be resubmitted to the City Council for review at which time, the
.
.
.
Council Agenda - 11/8/99
Council will be asked to direct City staff to negotiate specifically with one developer
or the other.
2.
Motion to deny or table further action on this matter. The City Council could take the
view that there is no great rush to develop the Ferrell Gas site or a rush to develop the
west side of the liquor store property. Therefore, it may make sense at this time to table
this item and wait and see what happens with development in the area or perhaps Council
may wish to sit on the land awhile longer and hope for attaining a higher sale price at
some point in the future.
c.
STAFF RECOMMENDATION:
The City Administrator recommends Alternative #1. Unless the City Council has a change in
heart regarding the need to develop this property immediately, it would make sense to
incorporate the property on the west side of the liquor store into the development proposal area
and attempt to combine both this new area and the Ferrell Gas site into one development. In
doing so we can accomplish the goal of improving the looks of the rear of the liquor store
through development of a taxable commercial structure and can also have some leverage in
making sure the design of this new structure follows the redevelopment plan for the area.
Furthermore the funds obtained with the sale of this additional land could be used for other
important improvement projects in the area or could be saved to offset future liquor store
redevelopment costs.
D. SUPPORTING DATA:
See Liquor Store Space Needs Study for additional information.
Diagram
li-
t
Monticello Program
f......
i~
('
:::;',-
f},.
"'-
1 0/25/99
Liquor Store
~,.
Burlington Northern Railroad
. ~ , I I , l' ~ r, I . I I t I _ . : J , I t l I , . J , I,. I I I fl' t I .f--4-o
l"~-
~!.t"
ft,
I~-
1"'-'
I
!
1""'-
,
i'.,,-
- .....
-
. t. I I I
5th Street
......
Q)
Q)
.....
......
CIJ
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......
o
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.....
ctf
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,'0
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.....
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......
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......
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ctf
~
j
Deliveries and Trash
~.QQ)
6th Street
~~
'i-
'tJ-
f
.-
-'
It'
.--
,.
#,
~.
~-
. ...,
o
o
o
~
1
d
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.+
III
,
II
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Existing building
L{)
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>.
ctf
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I
ctf
-0
en
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c
.S;
:2:
Recommended areas of site to be used for store expansion
Possible private development or liquor store expansion
Example: 3,500 sf addition
Possible Private Development
13
10
~
MEMO TO: City Council Members
. FROM:
DATE:
Kitty Baltos, Community Center Director
November 5, 1999
TO:
Charter Membership Sales
We had discussed at a previous Council meeting, selling charter memberships to the community center
prior to its opening. We have also discussed this at great length in the Small Group. Some ofthe ideas
we've talked about would be to begin sales two months before opening, selling memberships at a 25%
discount, etc. What we've decided on, and we believe that it will be successful, is to sell the charter
memberships starting in December for a total of30 hours at a discount of 10% on a paid-in-fulI12 month
membership. The sales schedule we're expecting to use would be:
Monday Tuesday
12/6 - 4pm to 7pm
12/13 - 4pm to 7pm
12/20 - 4pm to 7pm
12/7 - 4pm to 7pm
12/14 - 4pm to 7pm
12/21 - 4pm to 7pm
Saturday
12/4 - 9am to Ipm
12/11 - 9am to Ipm
12/18 - 9am to Ipm
.
We will be selling these memberships just inside the Walnut Street entrance of the community center. Our
construction manager has assured us that the terrazzo in that area would be done and okay to walk on. We
will have all of our memberships available during these sales times (3 month fun pass, combined
membership) however, only a paid-in-full annual membership will be discounted. Staffing for this sales
area will be myself, Wanda Kraemer and probably Janel Swanson from Life Fitness Centers.
Ideally we wish we could sell charter memberships all day as we had originally thought, but this is
unrealistic as I am currently the only community center employee and will be until mid to late December.
The Small Group also felt that it might be detrimental to our budget to have a huge number of25% off
start-up memberships however, did not like the idea of setting a maximum number of charter memberships
available to keep the revenue lost due to the discount at a manageable level. To handle this we felt that the
best option was to offer this special for a limited time rather than a limited number. By selling in
December, we will also be able to take advantage ofthe holiday gift buying season. What better gift than a
membership to the community center? We are currently making arrangements to have Santa Claus there
and hopefully some carolers for the holiday season.
If you would like to discuss this as an agenda item, please feel free to add it to the agenda on Monday,
November 8th. I will be in attendance at that meeting and would be happy to give a more thorough update
for the Council, for the record and to give Council the opportunity to discuss and vote on this item if so
desired.
If you have any concerns or questions regarding this issue please feel free to call me during the day at 271-
3268 and in the evening or over the weekend at 263-7899. Thank you.
.
BRC FINANCIAL SYSTEM
.~ 1 /04'/-1 9 ~f\.j' 1 4 ; 0:-3 : 1 1
.
Davments ~or Due11cation
CITY OF MONTICELLO
GL050S-V06.00 COVERPAGE
G L. 3 :3 5 R
Rseort Selection:
Aoorova "
Dat:e. . . _ . .
"\/08/1999
Pavments Throuah Date.............. 11/04/~99S
Cutoff Amount to be Used...........
RUN GROUP... 01104
COMMENT. . .
11/04 CK:<;:,
OATA-JE-ID DATA COMMENT
0-11041999-143 11/04 CKS
Run Instructions:
Joba Banner Coeies Form Printer riola Soace ~PI Lines cpr
J o~ ~ S 6 066 10
.
.
3RC. FINANCIAL SYSTEM
11/04/19~~ 14:03:12
Payments to~ Puo11eatior
CITY OF MONTICELLO
GL335R-V06.00 PAGE
.
Aoprovea on 11/08/1999 tor Oevments Throuah 11/04/1999
Vendor Name
ACS
ACT ELECTRONICS. INC
ASSOCIATED VETERINARY CLINIC
BARR ENGINEERING COMPANY
BELLBOY CORPORATION BAR SUPPLY
BERNICK'S PEPSI COLA COMPANY
BRAUN INTERTEC CORPORATION
CEDRUS CREEK CRAFTSMAN. INC
CENTRAL MINN INITIATIVE FUND
COMMERCIAL ASPHALT COMPANY
CONSOLIDATED PLASTICS
CS r SOFTWAr~E
DAHLHEIMER DISTRIBUTING CO
DAVE PETERSON'S FORD-MERCURY
DAY DISTRIBUTING COMPANY
DON GALLUS & SONS. INC
DYNA ~)Y~3TEMS
EHLERS & ASSOC.INC PU8LICORP
ELECTRIC PUMP. INC
FAIR/WILLIAM
(:I. & K SERVICES
.?-A~~~ER'~ O\FIC~ PROD~CTS
DArEWAY COMFANIES. INL
GE CAPITAL ITS
GENERAL RENTAL CENTER
GME CONSULTANTS. INC.
GRIDOR CONSTRUCTION. INC.
GRIGGS. COOPER & COMPANY
GROSSLEIN BEVERAGE INC.
HARRY'S AUTO SUPPLY
HAWKINS WATER TREATMENT GROUP
HERMES/GERALD T
HOME ,jUiCE
INTERNATL CONF OF 8LOG O~FICLS
JOHNSON BRaS WHOLESALE LIOUOR
KEN ANDERSON TRUCKING
KENNEDY & GRAVEN. CHARTERED
KRAEMER/WANDA
_ARSON'S ACE HARDWARE
LASER SHARP. INC.
~AJIRS! ADVERTISING & DESIGN
MARCO BUSINESS PRODUCTS. INC
MARTIE'S FARM SERVICE
MCDOWALL COMPANY
:VlENARD. INC
MICHELS TRUCKING. INC
.MID AMERICA 8USINESS SYSTEMS
MINNESOTA ELECTRIC SUPPLY CO
Oase ~~ 10-1:: -i 01'"
::;ASH ORAlo\JER
COMI'J! CENTEr.,;
f'.N 9~ El_ TER
IMPL CONSULTING/OVERSITE
LIOUOR ~:>TORE
L IOUOR STOR,:
C~3A1-! "5
REFUNO-CR 8ALANC;
CiVIl!;.' GRANT REIM8
STf~EET~)
qEFUSE-- RECYCL I NC3 l_A8E LS
SOFTWARE BALANCE OU~
._ I OUOR STORE
REIM8 PROP TAX
UOUOR STORE
SHADE: Tf~EE
SHOP
TIF 1-26 TWIN CITY DIE
SEWER
Rf:.IME~
Cf-<
C()!"IPU TERS
OAT.t., DROC
:3', REF TS
COMM CENTU~
WWTP DIPE MODIFICATIONS
L I ouem ~:;TOR'::
m[ OLJOR S-roRE
SHOP
WATER
LI 8RAf~Y
c..lOUOR STORE
ElL.()G INSP
c. J. Ol)OR STORE
AN P /0
TIF 1-26 TWIN CITY DIE
REIM2!
.J fl. R 1<; ~3
TONER erG
COMM CENTER
DE'! & DRUIV:
::> I ON EER p.^.RK
L_ I OUOf~ ~:;Tor~;;:
:)ARI<;~3 I MPR
UOUOR STORE
PRIN'fER & SCANNER
STf~EET L.IOHTINC
Amount
416.44
10,'174.18
tl,G.14
1.559.38
2.228.70
540.60
2.44~).2~)
3.20
'1.100.21
66.68
372.85
3.781.00
8.814.55
1.0'13.47
531.10
4.975.00
373.17
1.443.75
1.948.91
41 .54
1.1B4.21
331.82
5.796.81
2.7'la.58
~~6/~.10
7.982.14-
B.107.24
11 ~i .48
10.539.65
501.68
2.B4B.97
227.50
17.55
1.472.75
3.172.87
'176.00
1.780.03
66.57
609.48
17:~.60
1.210.48
341.82
51.97
~H)2.37
985.59
38.00
'1.269.00
686.61
3RC.~INANCIAL SYSTEM
:1/0~/1999 14:03:12
.
Payments tor cuo'~catio"
CITY OF MONTICELLO
GL335R-V06.00 PAGE
Vendor Name
Aooroved on 11/08/1999 for PBvmRnts Throuah 11/04/1999
~N DEPART OF NATURAL RESOURCES
MN PLAYGROUND. INC
MN POLLUTION CONTROL AGENCY
MN U C FUND
MONTICELLO CHAMBER OF COMMERCE
MONTICELLO PRINTING
MOON MOTOR SALES. INC.
NATIONAL BUSHING PARTS & CO.
NEILL STUMP CHIPPING
NORTH AMERICAN WETLAND ENG. PA
NORTHERN STATES POWER COMPANY
OH N S TAD / E LM E f~
OLSON & SONS ELECTRIC. INC.
OMNI PRODUCTS. INC
:::>ATCH / Fe RED
PHILLIPS WINE & SPIRITS CO
PHOTO I
PICK'S MANUFACTURING & WELDING
PIPELINE SUPPLY. INC.
PRENTICE HALL
PROFESSIONAL SERVICES GROUP
. ~.:>U f{CEL.L. 'S PLUMBERY
i<ED'S M.J\.,RATHON
f~EDWOOO SIGNS
f<ELIABU:: CORPOI~ATI()N/THE
RELIANCE DATA CORPORATION
SALZWEDEL/PATRICIA A.
SCHLUENDER CONSTRUCTION INC
SENTRY SYSTEMS. INC.
SHUMAN/CATHY
SIMONSON LUM8ER COMPANY
TAB PRODUCTS co.
TAYLOR LAND SURVEYORS INC.
THORPE DISTRIBUTING COMPANY
TSR WIRELESS - MINNESOTA
U S POSTMASTER
US FILTER DISTRIBUTION GROUP
US WEST DIRECTORY ADVERTISING
'1IKINC COCA COLA
WATER LABORATORIES. INC
WA'rSON COMPANY. INC/THE
WINE MERCHANTS. INC
~RIGHT COUNTY AUDITOR-TREAS
WSB & ASSOCIATES. INC.
vARD MAN/THE
ZARNOTH BRUSH WORKS. INC,
.
..y.*
Desc....iotior
DEP REG
PAf~K J:MPf~
CO!V'M CENTER
SCHM Ie)".
( 4) 1 DC ElANOU ET
DEo f~E:(;;,
~)TREE':S
8Tf{EE TS
F'OOS8AU_ TABLE
SUNNY~RESH RATE STUDY
STREET UGHTS
MIL.EAGE f~ErM8
STREETS
ADOtH ,A cAf~K,
COMPUTER BAG FOR G.A.
L.IOUOf~ STOfE:
COMM CENTER
F)ARK~;-
COMM CENTER
PARKS'-SU sse
..A8 SERV I CE
PW H~~F)
;; 1 RE'-C-3A~j
fHV;;:}< Mll..L. IMf>P
CH
AN SHELfER CONTRACT
COMM C EN T EF-<
( :i) MONTHS M/ A
H-<AVE:.. f,{E r ~118
STf;;EETS
CH
..,ART 8l_VD ADDT
LIOUor~ STOf~;:
AN ~3HEL_TER
D[O f~EC
COMM CENTER
L. r OUOR S TOf~i::
l_ I OUOR ~3TORE
W,l.\TEQ ";:::8:'3
.. HJUOf~ S"ORE
L. IOUOR S l'Of{S
SCERG GRANT REIM8
C~}AH "{ 5
OEL AND INSTALL OF SOD
EHW0 i'li REF 1L..,
-::inal Tota'l s. . .
Amount
894.00
5.394.75
2'70.00
616.00
200.00
172.06
EL :--3 1
2 ~l . 88
7(-)5.74
40~l, OC
'4.479.:--39
57.12
8 . !,O
35.00
:21.76
10.232.75
9!, . 15
8,80
158.71
:-37.96
~:L460.20
30.00
3!,.25
1.4:-37.75
4'13.20
1.254,00
1.227.4:--3
1.5Hl.00
'127.80
106.43
176.89
'130.75
5.162.~)O
18.659.25
15.9{~
161.00
356.8B
::3:--3.40
'! :--34.95
30.00
21(-,,76
271.70
2.'l60.51
2~1.071.50
7.:--323.27
338.67
20'7.448.90
8RC. ~INANCIAL SYSTEM
"1/04/'999 14:03:12 Pavments Tor PUblication
,'"!r
.OTAL NUMBER OF RECORDS PRINTED 230
CITY OF MONTICELLO
GL335R-V06.00 PAGE
,,--.,
.
,
._-,_._._--_.~.~--' .. '-,-' ....- .~ .,._,--- --., ,.~--~' -.,,--,-~"-~~..,- ,.-- ~--
:3RC t:HJANCIAL ~)YSTEM
'11/(M/19g"'9 14:03;-1:i
.
F-UND RECAP:
~UND DESCRIPTION
~Ol
21 'I
213
<') ":) ")
{.. t.~ t..
~? 2:J
224
2 2 ~>
22 t>
240
436
{\ 50
4 fj ~
tl, () 7
t.,6f3
S(n
602
609
610
.reL
- "
GENERAL FUND
LIBRARY rOUND
HRA FUND
SCERG (ECON RECOVERY GRANT)
CMIF (CENT MN INIT FUND)
SHADE TREE f;;-UN 0
PARK FUND
COMMUNITY CENTER
CAPITAL PROJECT REVOLVING FD
93-14C WWTP EXPANSION PR0
9 G'''04C HWY2 5 IMN DOT I MPR
98-03C COMMUNITY CENTER
98-11C CSAH 15/E BRDW IMPR
98-08C CHELSEA ROAD EAS~
\i-JATER FUND
SEWER FUND
MUNICIPAL LIOUOR FUND
TRANSPORTATION FUND
A.L.L. FUNDS
8.A.NK f~ECAP:
E3.A.NK NA.ME
3ENL GENERAL CHECKING
LIOR LIOUOR CHECKING
tCHAl_ ALL BANKS
.
- -----~--,-_._.-
Payments for Publication
DISBURSEMENTS
2B.908.:1G
666.00
2.934.55
2.760.5'1
c.l00.21
4.988.93
-'0.21f.(.4~~
7.598.03
5. :19
8.'107.24
909.00
23.090.25
35.690.93
8 ~). 'J 0
6.866.54
16.096.80
57.2~)1.~>1
175.00
207.h4B.90
01 sau RSEMENn3
H>O.197.33
57.251.57
207.lj{~B.9()
---'
8RC FINANCIAL SYSTEM
.1/0-1/1999 10:3'\ :50
Recort Selection:
Payments ~on Oublication
A.f)crova-\ Date...,...,...,..,...,." 'l/0e/'1999
Payments Throuoh Date.............. '0/31/1999
Cutoff Amount to be Used...........
RUN GROUP... Ml031D
CITY OF MONTICELLO
GL050S-V06.00 COVERPAGE
GL335R
COMMENT. . .
10/3' MANUAL CHECKS
OATA-JE-ID DATA COMMENT
~-10301999-104 10/30/99 MANUAL CHECKS
Run Instructions:
Johu Banner Conies
,j
01
.
.
Form Printer HOld Snace
N ::3
LPI
6
Lines CPl
066 10
CITY OF MONTICELLO
GL335R-V06.00 PAGE
ORC FINANCIAL SYSTEM
.1/0<11'199910:31 :50
Aooroved on 11/08/1999 tor 0avmen~s fhrouah 10/31/1999
.
t'
Payments tor Publication
Vendol~ Name
;::\,UDIO I\ING
BECKER FURNITURE WORLD
BUFFALO BITUMINOUS. INC.
COKATO/CITY OF
DA,YS INN
FRONTLINE PLUS FIRE & RESCUE
GLENN AHLQUIST UPHOLSTERY
HOMETOWN EYE CARE. INC
I\OROPCHAK/OL I VE
L, & 8 CONTRACT INDUSTRIES
MIDWEST GRAPHICS AND
MMC LAND DEVELOPMENT
MN DEPART OF NATURAL RESOURCES
MONTICELLO TIMES
MONTICELLO/CITY OF
MOORHEAD CONSTRUCTION CO.. INC
NORTHWEST ASSOC CONSULTANTS
OLSON. USSET & WEINGAROEN PLLP
PETERS Ell LLIA.RD~)
PROFESSIONAL SERVICES GROUP
RL LARSON EXCAVATING. INC
SECRUITY PRODUCTS COMPANY
:;,'3HUMAN /CA THY
TED WEINBERG & ASSOCIATES
U S POSTMASTER
UNICA LLC
WOOD GOODS INDUSTRIES. INC
WRIGHT COUNTY AUDITOR-TREAS
WSB & ASSOCIATES. INC.
*'"
Descr1ot1or'
COMM CENTER--50" TV
(2) BEAN BAG CHAIRS
HiNY 25
REGIUNAL MEETINC
REFUND FOR SERV DIR
FIRE-CAMERA. VIDEO OVERLY
DEPOSIT
,J EISELE GLASSES
HRA FILING
OEPOS I'\'
0PFRNTTIF ASSISTANCE
REIMB OF BOND DEPOSIT
OEP REG
~3HORT AGE
SE BOOSTER STATION
PLAZA.
KJELLBERG W PARK
DEPOSIT
UTIL RECON
CSA.H 75
2ND 1/2 CAMERA,
:,rINANCE
VINYL FOR BOOTHS
POSTAGE 3RD OTR-UTIL
COMM CENTER-CHAIRS
DEPOSIT
2ND 1/2 PROP TAX
Fin.'9"] Totals..,
/\mount
1,916.99
100.11
809.568.51
73.00
50.00
15.500.00
3.700.00
95.95
110.23
250.00
181.000.00
8.500.00
2,099.00
0.00
41 .62
11.661.25
0.00
0.00
450.00
3.505.07
402.24/.]..55
1.215.35
0.00
1.355.80
396.18
1.280.00
1.300.00
1,029.82
0.00
'),445.621,07
~- -.- ,~.._-,.., ..-.--. .._,.-_., .-.,-- --,._~' . "..----......--.--
BRC FINANCIAL SYSTEM
J1/0'1/1999 10;31 :50
. TOT /l.L NUMBEr.;: OF RECORDS
.
.
Payments
PRINTED
for
Pub "i i cat ion
CITY OF MONTICELLO
GL335R-V06.00 PAGE
;236
.
t .,~"
8RC FINANCIAL SYSTEM
.i/01/1999 '10:31:51
FUND RECAP:
Payments tor Publication
~UND DESCRIPTION
DIS8URSEMENTS
: 0 'I
') 0 ':>
<- I "
225
226
314
450
45:::\
461
464
467
GOI
602
509
GEN ERAL, FUN D
HRA FUND
PARK FUND
COMMUNITY CENTER
'1977-1.-2,-3 G.O. 80ND FUND
96-04C HWY25/MNDOT IMPR
97-04C KLEIN FARMS 4(LION'S)
98-03C COMMUNITY CENTER
98-24C BOOSTER PUMP/WW RIDGE
98-17C CSAH 75/E BROW IMPR
W/.\.TER FUND
SEWER FUND
MUNICIPAL LIOUOR FUND
203.408,40
55.65
1.215.35
50.00
375.00 CR
810,979.22
26.00 CR
13,332.26
11,707.60
402,421.22
'154. '12
3,703.16
1.004.91 CR
TOTAL ,t.;LL FUNDS
1.445.621.07
.Nt\ RECAP:
BANK NAME
DISBURSEMENTS
3ENL GENERAL CHECKING
LIOR LIOUOR CHECKING
1.446.625.98
1.004.91 CR
1'OTAL ,A,LL DANKS
1.445,621.07
.
..
.,........"
8RC FINANCIAL SYSTE~
~8/1999 13:34:59
Payments for Publication
Reoort Selection:
Aooroval Date...................... 11/08/1999
Payments Through Date.............. 10/28/1999
Cutoff Amount to be Used...........
RUN GROUP... 01028 COMMENT... 10/28 CKS
DATA-JE-ID
DATA COMMENT
)-10281999-140 10/28 CKS
Run Instructions:
Jobe Banner Cooies Form Printer Hold Soace LPI
J 01 N S 6
.
.
CITY OF MONTICELLC
GL050S-V06.00 COVERPAGE
GL335f\
Lines CPI
066 1C
aRC FINANCIAL SYSTEM SITY OF MONTICELLO
tlllJ8/1999 13:34:59 Payments tor Publication GL335R-V06.00 PAG:
Aoproved on 11/08/1999 tor Payments Throuqh 10/28/1999
Vendor Name Descriotion Amount
A T & T WIRELESS SERVICE J EF F 0 232.33
BELLBOY CORPORATION BAR SUPPLY LIQUOR STORE 2.192. i ~
3ERLIN TIRE CENTERS. INC. PARKS :06.71
BERNICK'S PEPSI COLA COMPANY LIOUOR STORE 253.3C
CELLULAR 2000 OF ST CLOUD GARY A .'102.24
DAHLHEIMER DISTRIBUTING CO LIOUOR STORE 2.401.75
DAY DISTRIBUTING COMPANY LIOUOR STORE 464.20
ELECTRO INDUSTIRES. INC STREETS 79.8e
GENERAL RENTAL CENTER STREETS 25.80
GLEN'S TRUCK CENTER SHOP 15.15
GLUNZlRA YMOND J CEMETARY ".005.00
GRIGGS. COOPER & COMPANY LIOUOR STORE 9.601.87
GROSSLEIN BEVERAGE INC. LIOUOR STORE 2.731.70
HQLIDAY CREDIT OFFICE FIRE 166.56
HUMPHREY INSTITUTE POLICY FRM JEFF 90.00
INTER CONF OF BLDG OFFICIALS FRED-MEMBERSHIP 245.0C
K MART STORE PARKS 54.i 5
MN DEPART OF NATURAL RESOURCES DEP REG 930.00
MONTICELLO RV CENTER STREETS 57.51
MONTICELLO/CITY OF LIOUOR STORE 240.53
~TGF CONFERENCE (5) PARK EMPLOYEES 275.00
ATIONAL AUTOMOBILE DEALERS AS DEP REG-USED CAR GUIDE 52.00
NEXTEL COMMUNICATIONS TOM B 774.19
NORTHERN TOOL & EQUIPMENT CO STREETS 40.4/i
OHNSTAD/ELMER PW INSP 56.35
PHILLIPS WINE & SPIRITS CO LIOUOR STORE 175.68
PROFESSIONAL SERVICES GROUP SUNNY FRESH TEST 1.372.80
R.~DIO SHACK PW INSP 14.83
RELIANT ENERGY LIOUOR STORE 5.69
RIVERSIDE OIL STREETS 2.GiO.00
RON'S GOURMET ICE LIOUOR STORE '64.28
ROYAL TIRE OF MONTICELLO STREETS 310.03
RUFF AUTO PARTS PARKS :0.65
SCHARBER & SONS, INC. STREETS 169.01
SIMPSON/CYNTHIA R FIRE HALL-CLEANING 50.00
SPECTRUM SUPPLY CO. SHOP 344.91
ST. CLOUD RESTAURANT SUPPLY LIOUOR STORE 102.81
THORPE DISTRIBUTING COMPANY LIOUOR STORE 9.827.2C
U SLINK WEB SITE 315.31
VIKING COCA COLA LIOUOR STORE 173.4'
WATSON COMPANY, INC/THE LIOUOR STORE :SO.27
WRIGHT COUNTY AUDITOR-TREAS SHERIFF PATROL 33.140.33
WRIGHT COUNTY RECORDER MATHWIG EASEMENT '9.50
WRIGHT-HENNEPIN COOP ELEC ASSO RIVER FOREST DR 21. 51
lEE MEDICAL SERVICE LIOUOR STORE 60.09
. Final Totals... 70.952.20
~......f
3RC FINANCIAL SYSTEM
~8/1999 13:34:59 Payments for Publication
-OTAl NUMBER OF RECORDS PRINTED 94
.
.
GliY OF MONTICEllO
GL335R-V06.00 PAGE
'"
BRC FINANCIAL SYSTEM
~28/1999 13:35:00
FUND RECAP:
Payments tor Publication
CITY OF MONTICELLO
GL060S-V06.00 RECAPPAGE
Gl335R
~UNO DESCRIPTION
JISBURSEMENTS
----------~-----------------
iOl GENERAL FUND
225 PARK FUND
226 COMMUNITY CENTER
250 ECONOMIC DEVELOPMENT AUTH FD
601 WATER FUND
602 SEWER FUND
509 MUNICIPAL LIOUOR FUND
651 RIVERSIDE CEMETERY
?9,~03.21
439.20
4.60
28.66
58.57
1.523.24
28.489.72
1.005.00
70TAL ALL FUNDS
70,952.20
BANK RECAP:
BANK NAME
DISBURSEMENTS
-------------~-------------~
I
GENERAL CHECKING
LIOUOR CHECKING
42.462.48
28.489.72
TOTAL ALL BANKS
70,952.20
.
..
.
.
.
~\D
City Council Update:
November 3, 1999
Kiellberg's Mobile Home Park Resident Watcr Quality Concerns
On November 3,,1, staff consulted with Mr. Dennis Mackey from the Minnesota Department of
Health, Public Water Supply Unit in St. Paul. According to Mr. Mackey, the water system at
Kjellberg's Mobile Horne Park is considered a "community public water supply" and is subject
to compliance with the "Safe Drinking Water Act". This law is a Federal Law that has been
adopted by reference by the State of Minnesota.
Kjellberg's community public water supply system includes at least six (6) wells and is subject
to the same standards as thc water supply system for the City of Monticello.
The "Safe Drinking Water Act" requires that all community public water supplies must be
regularly testcd found free of unhealthy contaminatcs such as disease causing bacteria, nitrates,
volatile organic compounds such as those found in oil and gasoline, and metals such as lead,
copper and mercury.
Secondary contaminates such as non-harmful bacteria, iron, manganese and other benign
substances are not a regulated but may affect the aesthetic qualities of the water supply. If a
watcr supply contains high levels of iron and manganese, it may support cultures of iron
manganese bacteria. Iron manganese bacteria produce hydrogen sulfite gas that smells like
rotten eggs. While the water supply may be orange, black and stinky it may still be considered
potable/safe to drink. Washing clothes in such water alters the color of clothing but does not
cause an unhealthy condition.
Municipal water supply systems are held to a higher standard than private public water supply
systems only because the public is highly intolerant of particles and odors in their water. City
government responds to complaints regarding the aesthetic qualities of the water supply while
private operators may not be as responsive.
If the City were to regulate water quality beyond the State and Federal standards, it must do so
for all community public water supply systems within its jurisdiction. If Kjellberg's is
unresponsive to the complaints of their residents regarding bad looking and smelling water, the
residents may chose to reside elsewhere or may each install local water purification and softening
systems. Development, administration and enforcement of a local ordinance establishing
standards for the aesthetic quality of potable water is difficult, very expensive, likely to be
arbitrary, and not advised.
Minnesota Department of Health Watcr Quality Contacts:
Mr. Dave Schultz, Minnesota Department of Health District Engineer - St Cloud 320 -255-4216
Jim Feddema, Mobile Home Park Licensing
.
.
.
.
Kjellbere's Mohile Home Park Resident Storm Shelter Concerns
Several of Kjellberg's Mobile Ilome Park residents have expressed concerns regarding the condition of
the East Storm Shelter. City staff has had discussions in this regard with the Building Codes and
Standards Division of the State of Minnesota, the Minnesota Department of Health, and with a legislative
researcher for Mark Olson.
In March of 1988, State Statutes required that mobile home park operators develop storm shelters within
their parks. Kjellberg's did so according to a plan that was required to have been submitted to
Monticello Township/Wright County Planning & Zoning.
In 1989, violations of the County Zoning Code were prosecuted by the County as Kjellberg's was using
the storm shelter for multiple family residential purposes.
The Minnesota Department of Health licenses mobile home parks and is charged with enforcement
ofstorm shelter requirements for mobile home parks under State Statute 144.99. Concerns
regarding the adequacy of storm shelters for Kjellberg's Mobile Home Park should be forwarded to the
Minnesota Department. Ifconstruction is required then Kjellberg's must obtain permits and inspections
from the City or Township.
In addition to the remedies available through the Minnesota Department of Health, Civil remedies arc
also provided to park residents under State Statute 327.24.
The local unit of government (City or Township) is the authority only for construction of new storm
shelters. The local unit of government must review plans for storm shelter construction for the following
m in imum construction requirements:
· Be provided within the park
· Be capable of withstanding wind forces and blown projectiles.
· Be located in a "reasonably" dry location and not subject to flooding.
· Be a minimum of four square feet per occupant.
· Have a minimum ceiling height of seven feet.
· Have two exits.
· Have emergency/back-up powered lighting of at least five foot candles.
· Have an underground power supply.
· Be constructed to minimize fire danger.
· Provide for ventilation.
· Be handicap accessible through one exit.
I f Kjellberg's West Storm Shelter meets the storm shelter requirements of State Statutes, then the East
Storm Shelter (the object of residents complaints) may not be required. The West Storm Shelter is not
within the jurisdiction of the City as it is located in Monticello Township.
Ifthe East Storm Shelter is deteriorated to the point that it is structurally unsafe, then the City may
require abatement or repair under separate Minnesota Statutes. If the City Council would chose to
provide safer homes for mobile home residents, then the council may choose investigate and adopt laws
that require tic downs for all mobile homes located in parks within their City. If tied down,
manufactured homes may be as safe or safer than single family homes, multiple family homes and hotels
built upon partial basements or at grade with foundations.
.
.
.
INFORMATIONAL ITEM
by Ollie Koropchak, Economic Development Director
November 8,1999
The City of Monticello was informed by Olson General Contractors that Systematic Refrigeration,
Inc. has selected the City of Ramsey for its location to construct a 60,000 sq ft manufacturing
facility. The City of Monticello Prospect Team did an excellent job at marketing our community
and the City offered the company 6.5 acres ofland free through up-front TIP. The City of
Ramsey offered 6.5 acres offree land and an option for an additional up to 20 acres at little or no
costs for future development. The company's projections foresee the need to expand to 120,000
to 180,000 sq ft.
The City of Monticello Industrial Marketing Committee is hosting a booth at Expo 1999 on
Sunday, November 14. Stop by and see some products manufactured in Monticello. Fourteen of
the twenty-three Monticello manufacturers have agreed to display products. Can you identify
products manufactured in Monticello? There's an opportunity to win a great prize.
Tim and Nancy Holm were not interested in making a lower counter-offer than the $85,900 for
the property located at 1 Locust Street. Their son plans to occupy in the property.