City Council Agenda Packet 11-09-2009AGENDA
REGULAR MEETING – MONTICELLO CITY COUNCIL
Monday, November 9, 2009 – 7 p.m.
Mayor: Clint Herbst
Council Members: Tom Perrault, Glen Posusta, Brian Stumpf, Susie Wojchouski
1. Call to Order and Pledge of Allegiance.
2A. Approve minutes of October 26, 2009 Special Meeting.
2B. Approve minutes of October 26, 2009 Regular Meeting.
3. Consideration of adding items to the agenda.
4. Citizen comments, public service announcements and Council updates.
a. Citizen Comments:
b. Public Service Announcements:
1)
b. Council Updates:
1)
5. Consent Agenda:
A. Consideration of approving new hires and departures for City departments
B. Consideration of adopting Resolution #2009-65 to accept contribution of $250
from Tom Perrault to go into the General Fund
C. Consideration of accepting GFOA matching grant award for an internship in the
amount of $3000 and approve advertising for an intern for the Finance
Department
D. Consideration of adopting Resolution #2009-64 Calling for a Public Hearing to
issue Revenue Bonds by the City of St Cloud on behalf of CentraCare Health
System
E. Consideration of ratifying the EDA approval of a $2000 contribution to Central
Minnesota Initiative Foundation
6. Consideration of items removed from the consent agenda for discussion
7. Public Hearing – Consideration of adopting Resolution #2009-67 approving the vacation
of a portion of drainage and utility easement for Lots 1, 2 and 3, Block 4, River Forest 2nd
Addition
8. Consideration of approving a Letter of Support for application for 2009 Legacy Grant
funding through the Minnesota Department of Natural Resources
9. Consideration of approving amended assessment agreement with John Chadwick for
Outlot D of Otter Creek Crossing for taxes payable 2010
10. Consideration of approving reduction in warming house hours for the 2009-2010 winter
skating season
11. Consideration of approving application for Forest Protection Reserve state grant funds
12. Approve payment of bills for November 9th.
13. Adjournment.
Council Agenda: 11/9/09
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5A. Consideration of approving new hires and departures for City departments. (TE)
A. REFERENCE AND BACKGROUND:
The Council is asked to ratify the hiring and departures of employees that have occurred
recently in the departments listed. It is recommended that the Council officially ratify the
hiring/departure of all listed employees including part-time and seasonal workers.
A.1 BUDGET IMPACT: None
A.2 STAFF WORK LOAD IMPACT: Until the positions are filled again, existing staff
would pick up those hours.
B. ALTERNATIVE ACTIONS:
1. Ratify the hire/departures of the employees as identified on the attached list.
C. RECOMMENDATION:
By statute the City Council has the authority to approve all hires/departures. There is no
other recommendation but for the Council to exercise the authority given to them by state
statute.
D. SUPPORTING DATA:
List of new/terminated employees.
Name Title Department Effective Date Class
Name Reason Department Last Day Worked Class
Frank Robinson Voluntary Parks 10/30/09 Seasonal
James Maanum Voluntary Parks 10/30/09 Seasonal
Herb Schoenborn Voluntary Parks 10/30/09 Seasonal
NEW EMPLOYEES
TERMINATING EMPLOYEES
5A council_employee list.xls: 11/6/2009
Council Agenda: 11/9/09
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5B. Consideration of adopting Resolution #2009-65 to accept a contribution of $250 from
Tom Perrault to go into the General Fund. (CS)
A. REFERENCE AND BACKGROUND:
The City has received a donation of $250 from Tom Perrault to go to the General Fund
As required by state statute, if the City accepts the donation of funds, the City Council
needs to adopt a resolution specifying the amount of the donation and its use.
B. ALTERNATIVE ACTIONS:
1. Approve the contribution and authorize use of funds as specified.
2. Do not approve the contributions and return the funds to the donors.
C. STAFF RECOMMENDATION:
Staff recommendation is to adopt the resolution accepting the contributions.
D. SUPPORTING DATA:
Resolution No. 2009-65
City of Monticello
RESOLUTION NO. 2009-65
RESOLUTION APPROVING CONTRIBUTIONS
WHEREAS, the City of Monticello is generally authorized to accept
contributions of real and personal property pursuant to Minnesota Statutes Sections
465.03 and 465.04 for the benefit of its citizens and is specifically authorized to maintain
such property for the benefit of its citizens in accordance with the terms prescribed by the
donor. Said gifts may be limited under provisions of MN Statutes Section 471.895.
WHEREAS, the following persons and or entities have offered to contribute
contributions or gifts to the City as listed:
DONOR/ENTITY DESCRIPTION VALUE
Tom Perrault Cash (Oct) $250
WHEREAS, all said contributions are intended to aid the City in establishing
facilities, operations or programs within the city’s jurisdiction either alone or in
cooperation with others, as allowed by law; and
WHEREAS, the City Council hereby finds that it is appropriate to accept the
contributions offered.
NOW THEREFORE BE IT RESOLVED by the City Council of Monticello as
follows:
1. The contributions described above are hereby accepted by the City of
Monticello.
2. The contributions described above will be used as designated by the
donor. This may entail reimbursing or allocating the money to another
entity that will utilize the funds for the following stated purpose:
DONOR/ENTITY RECIPIENT PURPOSE
Tom Perrault City of Monticello General fund
Adopted by the City Council of Monticello this 9th day of November, 2009.
______________________________
Mayor
ATTEST:
______________________________________
Jeff O’Neill, City Administrator
City Council Agenda: 11/09/09
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5C. Consideration of Accepting Matching Internship Grant and Authorize Staff to Advertise
the Position. (TK)
A. REFERENCE AND BACKGROUND:
The Council authorized staff to apply for the Minnesota Government Finance Officer’s
Association (MnGFOA) internship grant. The grant is a matching grant up to $3,000 for a
finance/accounting intern. The purpose of the grant is to expose an accounting or finance
student to governmental accounting, while providing the entity with needed staff help.
On October 29th the City received notification that the City was awarded the grant for 2010.
If Council accepts the grant, staff would like to advertise for an intern to begin work at the
beginning of 2010. Staff has drafted a job description for this purpose.
A1. Budget Impact: The City would be responsible for its match of the grant up to
$3,000. The funding source would be the FiberNet Monticello Fund, which has a
2010 budget of $39,000 for general accounting.
A2. Staff Workload Impact: The hiring of an intern should help the finance staff
complete tasks and prepare for the annual audit more efficiently and help with the
setting up of vendors and accounting systems and creation of reports for the new
FiberNet Monticello operations.
B. ALTERNATIVE ACTIONS:
1. Motion to accept the grant from MnGFOA and authorize staff to advertise position.
2. Motion to not accept the grant from MnGFOA and authorize staff to advertise
position.
C. STAFF RECOMMENDATION:
City staff recommends Alternative #1 to accept the grant and advertise the position.
D. SUPPORTING DATA:
Letter from MnGFOA awarding the Internship Grant
Finance Intern job description
Temporary Finance Intern
City of Monticello
Title of Class: Finance Intern
Effective Date: November 3, 2009
Revised Date:
DESCRIPTION OF WORK
General Statement of Duties: Performs general accounting work for the City and performs
related duties as required.
Supervision Received: Works under the general supervision of the Senior Accountant.
Supervision Exercised: None.
TYPICAL DUTIES PERFORMED
The listed examples may not include all duties performed by all positions in this class. Duties
may vary somewhat from position to position within a class.
*Assists in setting up FiberNet accounting records and vendor accounts for payables and
receivables.
*Assists in creating various FiberNet reports for the FiberNet Advisory Board, City Council and
bond holders.
*Assists in the year-end processing and audit preparation.
*Prepares account lead schedules for supporting documentation for audit.
*Assists in the creation of W-2’s and 1099’s.
*Assists in updating capital asset records and corresponding inventory.
*Assists in account reconciliations, analytical review, journal entry preparation and entry into the
Springbrook financial system.
*Performs account reconciliations including payroll liabilities, escrow deposits, and various
other general ledger accounts.
*Obtains necessary statistical information for CAFR along with formatting the report and
verifying the necessary reporting requirements.
*Provides requested financial information to assist in the preparations of agenda items, project
reports, and supporting documentation.
*Assists Finance Department in the creation of accounting policies and procedures.
*Assists Finance Department in long range financial planning.
*Assists in providing monthly and quarterly reports to department heads and City Council.
*Assists in grant administration.
*Assists with updates on the City’s webpage.
*Assists with daily activities including cash receipting, deposit preparation, and general ledger
inquires.
*Assists the Payroll Clerk with payroll timesheet entry, proofing payroll entries and processing
various on-line payments.
*Assists in accounts payable, accounts receivable, and utility billing processing as necessary.
Performs other duties as needed or required.
KNOWLEDGE, SKILLS AND ABILITIES
*Working knowledge of standard office equipment, including computers and standard office
software.
*Working skill in operating office equipment including operation of a personal computer, cash
register and calculator.
*Considerable ability to type and enter data with speed and accuracy into databases, spreadsheets
and word processing software.
*Considerable ability to communicate effectively.
*Considerable ability to perform basic mathematics and to accurately reconcile and proof
documents and figures.
MINIMUM QUALIFICATIONS
Prefer either a junior or senior working towards a four-year degree in Finance or Accounting.
Knowledge of governmental accounting a plus but not required.
City Council Agenda: 11/09/09
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5D. Consideration of adopting Resolution #2009-64 Calling for a Public Hearing to issue
Revenue Bonds by the City of St. Cloud on behalf of Centracare Health System (TK)
A. REFERENCE AND BACKGROUND:
The St. Benedict’s Senior Community, here in Monticello and operated by CentraCare Health
System, a Minnesota nonprofit, was originally financed as part of a revenue bond issued by
the City of St. Cloud. As a nonprofit, they can issue debt using a government entity’s tax
exempt status, in which they have facilities located. Since CentraCare Health System has
locations in St. Cloud and Monticello, they issued debt using St. Cloud’s tax exempt status.
CentraCare Health System is now trying to refinance their debt again using the City of St.
Cloud as the debt issuer. Since part of the bonds financed St. Benedict’s Senior Community
in Monticello, the City of Monticello is required by state statute to hold a public hearing and
approve the sale of debt. Therefore, the attached resolution calls for the required public
hearing to be held at the next Council meeting on November 23, 2009.
This action has no affect on the City of Monticello or commits the City to any future debt
obligations or expenses.
A1. Budget Impact: This action has no financial impact on the City.
A2. Staff Workload Impact: This action has no staff impact now or in the future.
B. ALTERNATIVE ACTIONS:
1. Approve Resolution #2009-70 calling for the public hearing on November 23, 2009.
2. Deny the resolution calling for the public hearing.
C. STAFF RECOMMENDATION:
City staff recommends Alternative #1, to approve the resolution calling for a public hearing
on an issue of revenue bonds by the City of St. Cloud on behalf of CentraCare Health System.
D. SUPPORTING DATA:
Resolution #2009-64
Exhibit A - Notice of public hearing to be published in the newspaper by CentraCare Health
System
City of Monticello
RESOLUTION NO. 2009-64
RESOLUTION CALLING FOR A PUBLIC HEARING ON AN ISSUE OF
REVENUE BONDS BY THE CITY OF ST. CLOUD ON BEHALF OF
CENTRACARE HEALTH SYSTEM
BE IT RESOLVED by the City Council of the City of Monticello, Minnesota
(the “City”), as follows:
1. CentraCare Health System, a Minnesota nonprofit corporation, on behalf of
itself and its nonprofit affiliates (the “Corporation”), has advised this Council of its desire to
refinance all or a portion of the Health Care Revenue Bonds (The Saint Cloud Hospital
Obligated Group), Series 2000-A (the “Refunded Bonds”) issued by the City of St. Cloud,
Minnesota (the “Issuer”) on behalf of the Corporation to finance and refinance certain facilities
of the Corporation, including but not limited to St. Benedict’s Senior Community – Monticello,
located at 1301 and 1305 Seventh Street in the City, all with the proceeds of revenue bonds (the
“Bonds”) issued by the Issuer under the authority of Minnesota Statutes, Chapter 462C and
Sections 469.152 through 469.165.
2. Since a portion of the facilities proposed to be refinanced by the Bonds are
located in the City, Section 147(f) of the Internal Revenue Code of 1986, as amended, and
regulations promulgated thereunder, require that prior to the issuance of the Bonds, this Council
approve the issuance of the Bonds by the Issuer, after conducting a public hearing thereon. A
public hearing on the proposal that the Issuer issue the Bonds is hereby called and shall be held
on November 23, 2009, at 7:00 p.m., in the Council Chambers of the City of Monticello.
3. The City Clerk shall cause notice of the public hearing, in substantially the
form attached hereto as Exhibit A, to be published in a newspaper of general circulation in the
City, once not fewer than 14 days prior to the date fixed for the public hearing.
Adopted by the City Council of the City of Monticello on this 9th day of
November, 2009.
Clint Herbst, Mayor
ATTEST:
Jeff O’Neill, City Administrator
EXHIBIT A
CITY OF MONTICELLO
505 WALNUT AVE., SUITE ONE
MONTICELLO, MINNESOTA
NOTICE OF PUBLIC HEARING ON THE ISSUANCE OF REVENUE BONDS BY THE
CITY OF ST. CLOUD UNDER MINNESOTA STATUTES,
CHAPTER 462C AND SECTIONS 469.152 TO 469.165,
ON BEHALF OF CENTRACARE HEALTH SYSTEM
NOTICE IS HEREBY GIVEN that a public hearing shall be conducted by the
City Council of the City of Monticello, Minnesota (the “City”), at the City offices, 505 Walnut
Ave., Suite One, on November 23, 2009, at 7:00 p.m., on a proposal that the City of St. Cloud
issue revenue bonds (the “Bonds”) on behalf of CentraCare Health System, a Minnesota
nonprofit corporation (the “Corporation”) and its nonprofit affiliates, in one or more series,
pursuant to Minnesota Statutes, Chapter 462C and Sections 469.152 to 469.165, in an amount
not to exceed approximately $200,000,000, for the purpose of refunding all or a portion of the
Health Care Revenue Bonds (The Saint Cloud Hospital Obligated Group), Series 2000-A, issued
by the City of St. Cloud on behalf of the Corporation and its affiliates (the “Refunded Bonds”).
A portion of the proceeds of the Refunded Bonds were used to finance the acquisition,
construction and equipping of St. Benedict’s Senior Community – Monticello, located at 1301
and 1305 Seventh Street in the City (the “Facilities”). The Facilities are operated by Saint Cloud
Hospital, an affiliate of the Corporation. The Bonds will not be issued by the City.
All persons interested may appear and be heard at the time and place set forth
above, or may submit written comments with the Administrator prior to the date of the hearing
set forth above.
Dated: November 5, 2009.
By s/ Jeff O’Neill
City Administrator
City of Monticello
City Council Agenda: 11/9/09
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5E. Consideration of ratifying the EDA approval of a $2000 contribution to the Central
Minnesota Initiative Foundation (MB)
A. REFERENCE AND BACKGROUND:
The Central Minnesota Initiative Foundation (CMIF) is an organization that provides gap
financing for start up and expanding businesses. The organization also provides grants to
various non-profit and government agencies. The Foundation is requesting the City
contribute $2,000 to the organization in 2010.
Per State Statute, cities are able to contribute not more than $50,000 annually for
promoting, advertising, improving, or developing the economic and agricultural resources
of the city or town. The Foundation is a well known and established organization that
provides great economic growth to Wright County. They also have a strong community
focus that is shown through their grant programs. Staff would also like to mention that
the City recently applied for a community building grant through the Foundation. The
purpose of the grant request is to assist with the administration fee required by the
University of MN Extension Services to implement their Business Retention and
Expansion Program in Monticello. Staff is optimistic that the City will receive the
requested grant.
A1. Budget Impact: The preliminary 2010 EDA marketing budget has been
established at $20,000. Allocating $2,000 within this line item will still allow
good marketing to be accomplished utilizing the remaining $18,000.
B. ALTERNATIVE ACTIONS:
1. Motion to ratify the EDA approval of a $2,000 contribution to the Central Minnesota
Initiative Foundation for the year 2010.
2. Motion to deny contributing money to the Initiative Foundation.
3. Motion to table action for further research and discussion.
C. STAFF RECOMMENDATION:
The EDA discussed the request by the Initiative Foundation at their October 14, 2009
regular meeting. The EDA supported the request by a 5-0 vote (two members were
absent). The EDA also recognized the positive contribution, the Initiative Foundation has
made in Wright County and in Monticello specifically.
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City Staff concurs with the EDA’s recommendation to contribute $2,000 of the 2010
economic development marketing budget to the Initiative Foundation.
D. SUPPORTING DATA:
Letter of request from Central Minnesota Initiative Foundation
Detailed information regarding the Initiative Foundation
City Council Agenda: 11/9/09
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7. Public Hearing– Consideration of adopting Resolution No. 2009-67 approving the
vacation of a portion of drainage and utility easement for Lots 1, 2 and 3, Block 4, River
Forest 2nd Addition. (BW/AS)
A. REFERENCE AND BACKGROUND:
On October 12th the City Council called for a public hearing concerning the vacation of a
portion of the drainage and utility easements along the western boundaries of Lots 1, 2 and 3,
Block 4, in the River Forest 2nd Addition. Notice of tonight’s hearing was published in the
Monticello Times on October 22nd, and all property owners directly impacted by the proposed
vacation received mailed notices of the hearing.
The easement vacation is required to accommodate a request made by the property owner at
9631 River Forest Drive, otherwise known as lot 3, block 4 of River Forest 2nd Addition, who
wants to construct a storage shed in their rear yard. While reviewing the request it was
discovered that the shed would encroach into the existing 40-foot drainage and utility
easement along their westerly property line so they would not able be to construct the shed as
requested. Staff then researched all available records to determine the purpose of the 40-foot
easement, which is larger than normally required for a residential lot, but no record could be
found describing the need for the easement. A review of the site was then conducted, along
with a review of all known existing utilities, and based on these reviews staff knows of no
reason why the easement cannot be reduced per Figures A and B of the supporting data.
While conducting our research staff also looked into the easements for the two properties
south of the subject property, lots 1 and 2 of block 4, since they also have larger than average
drainage and utility easements along their western property lines and might be inclined to
request similar easement vacations in the future. As with lot 3, no record of any specific need
for the large easements on these two properties could be found.
Vacating portions of the drainage and utility easements for the 3 properties identified above is
therefore feasible and is being recommended by staff to accommodate the current request of
the property owner of lot 3, block 4, as well as to prevent the need for staff to process future
easement vacations for lots 1 and 2 of block 4, River Forest 2nd Addition.
A1. Budget Impact: Budget impacts related to the vacation of the unneeded drainage and
utility easements are negligible, consisting of costs associated with publishing and
mailing notices for this public hearing, as well as other customary administrative and
recording costs.
A2. Staff Workload Impact: Staff impacts were minimal, consisting of a small amount of
time needed to prepare the required documents for public notice and recording.
City Council Agenda: 11/9/09
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B. ALTERNATIVE ACTIONS:
1. Motion to adopt Resolution No. 2009-67 approving the vacation of a portion of
drainage and utility easement for Lots 1, 2 and 3, Block 4, River Forest 2nd Addition as
described in Exhibits A and B attached.
2. Motion to deny the vacation of a portion of drainage and utility easement for Lots 1, 2
and 3, Block 4, River Forest 2nd Addition at this time.
C. STAFF RECOMMENDATION:
Staff recommends approving Alternative Action No. 1.
D. SUPPORTING DATA:
City of Monticello Resolution No. 2009-67 – Exhibit A
Easement Vacation Sketch – Exhibit B
Council Agenda: 11/09/09
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8. Consideration of approving a Letter of Support for application for 2009 Legacy
Grant funding through the Department of Natural Resources (AS)
A. REFERENCE AND BACKGROUND:
The City of Monticello and Wright County continue to actively pursue all available State
funding options for the phased acquisition of the Bertram Chain of Lakes Regional Park.
As the Council is aware, future land purchases at Bertram depend on a model that
includes a third of the acquisition cost coming from State of Minnesota sources.
As another component of a coordinated State financing approach, Council is asked to
consider approving a letter of support for the County’s application to the Department of
Natural Resources Park & Trail Legacy Grant program. The goal of the Legacy grant
program was to provide grants to local units of government to support parks and trails of
regional or statewide significance. Funding for this grant program is from the Parks and
Trails Fund created by the Minnesota Legislature from the Clean Water, Land and
Legacy Amendment passed by the voters in 2008. The funds from that amendment are
allocated into four distinct categories: Parks & Trails, Water, Arts & Culture and
Habitat. Based on the rules and definitions set out thus far, the Bertram Chain of Lakes is
eligible to apply for funds within the Parks & Trail category.
For distribution of Park & Trail funds, a 2009 grant program has been developed which
allocates $3,383,250 to be split equally between Park and Trail grants, with applications
due no later than November 13, 2009. Another grant cycle for both components will
follow in spring of 2010.
Please note that entering a request for funding via the grant program does not obligate the
City to accept the grant, but does indicate an intent to contribute a cash match if accepted.
The City’s funding of this match would be coordinated in tandem with Wright County,
consistent with the approved Memorandum of Understanding and agreement with Wright
County.
Approval of this resolution would be consistent with previous action of Council to
support working cooperatively with the County in funding this purchase.
A1. Staff Impact: Wright County is applying for the 2009 grant cycle. The grant is
being authored by Wright County Park Administrator Marc Mattice.
A2. Budget Impact: The maximum grant award available under this program is
$500,000. If the request for 2009 and 2010 State appropriations is successful, the
City and County would then consider moving forward with a second purchase.
The size of the acquisition would depend on the funding allocation amount. To-
date, the County and City have been successful in acquiring $266,499 in grant
funds in 2009, which are to be allocated toward a second purchase.
Council Agenda: 11/09/09
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The City’s share of the match would be fulfilled under the existing partnership
with Wright County. This partnership allows the City to continue making annual
payments to the County in an amount not to exceed $475,000 until the acquisition
cost is paid in full.
B. ALTERNATIVE ACTIONS:
1. Motion to adopt a letter of support for application to the Department of Natural
Resources Parks & Trails Legacy Grant program for the Bertram Chain of Lakes
project.
2. Motion to deny adoption of a letter of support for application to the Department of
Natural Resources Parks & Trails Legacy Grant program for the Bertram Chain of
Lakes project.
3. Motion to table the matter.
C. STAFF RECOMMENDATION:
Staff supports Alternative #1. Participation by the State is critical to the financial
package for acquisition of the Bertram property. Each grant application and potential
award is critical to additional acquisitions.
D. SUPPORTING DATA:
Proposed Letter of Support
City Council Agenda: 11/09/09
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9. Consideration of approving an amended assessment agreement with John Chadwick
for reapportionment of special assessments for Outlot D, Otter Creek Crossings for
taxes payable 2010. (JO/AS/TK)
A. REFERENCE AND BACKGROUND:
At the October 26, 2009 City Council meeting, the Council authorized moving
forward with the preparation of an amended assessment agreement as related to the
reapportionment of the special assessments for Outlot D, Otter Creek Crossings.
The terms identified in Council’s motion were the reapportionment of the balance of
payable special assessments to a 15 year term at a 5.5% interest rate.
As directed, the City Attorney has prepared the amended agreement for Council
review and approval. Mr. Chadwick indicated his preliminary consent to waive his
right to a public hearing for the reapportionment in order to meet the deadlines to
submit the revised assessment to Wright County for taxes payable 2010. That
waiver is formally included in this agreement.
To follow is additional background information, which was previously provided in
the October 26th staff report.
Property owner John Chadwick has requested that the City Council consider a request to
re-apportion the special assessment on his remaining property at Otter Creek Crossings.
The special assessments are related to the infrastructure and improvements associated
with Chelsea Road from 90th Street to CSAH 39, through Otter Creek Crossing.
In his request, Mr. Chadwick notes that the inability to sell property given current
economic conditions has made payment of the special assessment costs difficult.
In 2005, Mr. Chadwick, along with adjacent property owner Jim Bowers, entered into an
assessment agreement obligating them to 79% of the infrastructure costs for the Chelsea
Road improvements. The total assessment amount of $2,383,226.77 was to be
apportioned between Outlots C and D over 10 years at 5.5% interest.
Currently, Mr. Chadwick is in year 3 of that repayment schedule. He is current in his
payments and has paid $622,831.48 in special project assessments.
The new payment schedule, as prepared by finance director Tom Kelly is attached. The
City will need to balance with this request with the understanding that the City will still
be required to make its debt payment on the 2005 bond that included these infrastructure
costs. That annual payment on the bond totals approximately $3,200,000.
A1. Budget Impact: By extending out the assessments, the City would need to use
reserves (which the City currently has ability to utilize for this purpose) for the
difference between what currently is owed each year and the new amounts.
City Council Agenda: 11/09/09
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However, by extending the assessments over the life of the assessment, the
property owner would pay more in interest, so the City would be paid back what it
uses from reserves plus additional interest.
A2. Staff Workload Impact: There is a small amount of consultant and staff time
involved in preparing the amended assessment agreement and revised assessment
information for Wright County.
B. ALTERNATIVE ACTIONS:
1. Motion to approve an amendment to the assessment agreement for the
reapportionment of remaining special assessment for Outlot D, Otter Creek
Crossings to a 15 year term at 5.5%, with the 15 year term beginning with taxes
payable 2010.
2. Motion to deny the amendment to the assessment agreement.
3. Motion of other.
C. STAFF RECOMMENDATION:
The City Council task force committee charged with evaluating development fees,
including Mayor Herbst and Councilmember Posusta (subbing for Wojchouski), had an
opportunity to review this request and recommended approval of Chadwick’s request. It
was their view and the view of staff that the request is reasonable and supportable for the
following reasons, some of which already noted above:
Chadwick is current on his tax and assessment payments.
Chadwick is funding 78% of the Chelsea Road costs via the special assessment in
the first place.
Although the proposed reduction in the annual debt service affects the City’s
ability to make the associated bond payment, the City currently has the capacity
to fund this difference.
Total interest revenue to the City is higher after reapportionment.
By extending the assessment out and allowing the property owner to continue to
pay the property taxes and keep them current, the City is better off receiving a
partial (reapportioned) payment as compared to receiving no payment.
Given unique circumstances noted above, this decision does not necessarily set a
precedent for other assessment apportionments.
It is the view of staff that review of potential requests that could come along in the future
need to be examined on a case by case basis taking into account the various factors noted
above.
City Council Agenda: 11/09/09
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D. SUPPORTING DATA:
1. Request Letter – 10/8/09
2. Council Agenda – 10/23/06
3. City Resolution 2006-102
4. Property Tax Statement – 2009
5. Assessment Reapportionment Illustration
6. Proposed Amendment to Assessment Agreement
AMENDMENT TO ASSESSMENT AGREEMENT
THIS AMENDMENT TO ASSESSMENT AGREEMENT (“Agreement”) is executed
this ____ day of ________________, 2009, by and between the CITY OF MONTICELLO, a
Minnesota municipal corporation (“City”) and OTTER CREEK, LLC.
RECITALS
A. Owner is the owner of certain parcels of real property situated in Wright County,
Minnesota, legally described on Outlot D Otter Creek Crossings (referred to as the “Subject
Property”).
B. City and Owner have previously entered into an Assessment Agreement involving
the Owner’s property and City Project No. 2002-01C, (Chelsea Road West Extension; 90th
Street to CSAH 39), (hereinafter “Project”).
C. In that Assessment Agreement, City and Owner established the amount that the
Subject Property was to be assessed for the Project.
D. The special assessments are related to the infrastructure and improvements
associated with Chelsea Road from 90th Street to CSAH 39, through Otter Creek Crossing.
E. Owner has petitioned the City, and the City Council has approved the
reapportionment of the special assessments, pursuant to the authority granted the City by M.S.
429.071, upon a finding that such reassessment or reapportionment of assessment for Outlot D,
Otter Creek Crossings, conditioned on the execution of this Amendment to the Assessment
Agreement.
NOW, THEREFORE, in consideration of the foregoing recitals, and in consideration of
the mutual promises and covenants and obligations herein set forth, as follows:
1. Special Benefit. Owner acknowledges that the Subject Property received a
special benefit from the Project.
2. Assessment Amount. The Subject Property was assessed a total of $2,383,226.77
for the Project pursuant to Minn. Stat. 429.011, et. seq. The assessment was deferred pursuant to
Section 5 of the assessment agreement and was also subject to increase pursuant to Section 6 of
that agreement, and other provisions.
3. Payment to date. Owner has made payments on the special assessments, is
current with the scheduled payments, and seeks to reapportion the remaining amount of the
assessment levied against Outlot D over 15 years at 5.5% interest, in accordance with the
payment schedule attached hereto as Exhibit A.
4. Assessment Adopted. The assessment is deemed adopted on the date this
Agreement is signed by the parties.
5. Survival of other provisions of Assessment Agreement. Aside from the
reapportionment of assessments and the modification or the term and interest rates shown on the
attached schedule, all other provisions of that earlier Assessment Agreement survive and shall be
given full force and effect.
6. Waiver. Owner hereby waives unconditionally all procedural and substantive
objections to the Assessment in the amounts set forth herein, including, but not limited to, any
rights of Owner to hearing requirements and any claim that the assessment does not constitute a
special benefit or that the amount of the assessment exceeds the special benefit to the Subject
Property. The Owner further waives any appeal rights otherwise available pursuant to Minnesota
Statutes § 429.081 or other laws.
7. Recording. This Agreement will be recorded against the Subject Property and
will run with the land and bind Owner’s successors and assigns.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day
and year first above written.
CITY OF MONTICELLO
By:
Clint Herbst, Mayor
By:
Jeff O’Neill, City Administrator
OTTER CREEK, LLC
By:
Its:
By:
Its:
STATE OF MINNESOTA )
)ss.
COUNTY OF WRIGHT )
The foregoing instrument was acknowledged before me this _____ day of
_______________, 2009, by Clint Herbst and by Jeff O’Neill, respectively the Mayor and City
Administrator of the City of Monticello, a Minnesota municipal corporation, on behalf of the
corporation and pursuant to the authority granted by its City Council.
Notary Public
STATE OF MINNESOTA )
)ss.
COUNTY OF __________ )
The foregoing instrument was acknowledged before me this _____ day of
______________, 2009, by _______________________ and _____________________,
respectively the _____________________ and __________________________ of Monticello
Industrial Park, Inc., a Minnesota corporation, on behalf of said corporation.
Notary Public
THIS INSTRUMENT WAS DRAFTED BY:
CAMPBELL KNUTSON
Professional Association
317 Eagandale Office Center
1380 Corporate Center Curve
Eagan, Minnesota 55121
651-452-5000
JJJ
EXHIBIT A
TO
ASSESSMENT AGREEMENT
That part of Lots 10, 11, 17, 18 and 19 Auditors Subdivision No. One, lying East of Monticello
Commerce Center Second Addition, and lying Southwesterly of the Southwesterly right of way
of Interstate Highway No. 94 being part of the Northeast Quarter of Section 13, Township 121,
Range 25, Wright County, Minnesota, which also lies northeasterly of the following described
line: Commencing at the northwest corner of said Northwest Quarter; thence on an assumed
bearing of South 1 degree 14 minutes 38 seconds West along the West line of said Northwest
Quarter, a distance of 708.88 feet to the point of beginning of the line to be descreibed; thence
South 63 degrees 32 minutes 35 seconds East, a distance of 4016.29 feet and there terminating.
(See Survey Identifed as Exhibit “A-1”)
AND
That part of Lots 11, 18 and 19 Auditors Subdivision No. One lying East of Monticello
Commerce Center Second Addition, Monticello Commerce Center Third Addition and
Monticello Commerce Center Fifth Addition and lying West of Monticello Commerce Center
Sixth Addition being part of the Northeast Quarter of Section 13, Township 121, Range 25,
Wright County, Minnesota, which lies southwesterly of the following described line:
Commencing at the northwest corner of said Northwest Quarter; thence on an assumed bearing
of South 1 degree 14 minutes 38 seconds West along the West line of said Northwest Quarter, a
distance of 708.88 feet to the point of beginning of the line to be described; thence South 63
degrees 32 minutes 35 seconds East, a distance of 4016.29 feet and there terminating.
(See Survey Identified as Exhibit “A-2”)
AND
Lot 1, Block 1, Monticello Commerce Center Fifth Addition, according to the recorded plat
thereof, Wright County, Minnesota.
AND
Lot 2, Block 1, Monticello Commerce Center Sixth Addition, according to the recorded plat
thereof, Wright County, Minnesota.
City Council Agenda: 11/09/09
1
10. Consideration of approving reduction in warming house hours for the 2009-2010
winter skating season (TP/JO)
A. REFERENCE AND BACKGROUND:
City Council is asked to consider approving a reduction in warming house hours during
the winter skating season. This request for consideration of a reduction in hours stems
from the current budget situation and the desire to better match hours of operation with
frequency of use by skaters. Please note that under the options noted below, the rinks
will continue be flooded and cleared as usual. In addition, it is suggested that the
warming house and hockey rink be made available for use by the Youth Hockey
Association during weekday hours when an attendant is not present. Council may wish
to consider making the warming house available for the Hockey Association during the
weekdays with conditions. See the attached agreement with the Youth Hockey
Association for more information relating to the use of 4th Street Park.
City staff maintains four skating rinks during the winter season. The rinks are located at
West Bridge Park and 4th St Park. There is a general skating rink at West Bridge Park
and 4th St Park features a general skating rink and two hockey rinks. Cleaning these rinks
is also a part of our snow plow policy that was approved at the last council meeting.
A few weeks ago, prior to the start of the process of hiring rink attendants, the Personnel
Committee reviewed attendance records at the rink and asked staff to submit to the City
Council their proposal to reduce the number of hours that the warming houses are open.
The main reduction proposed by the Personnel Committee includes closing the warming
houses during weekdays.
The outline below compares three basic options for your review. Council certainly has
the option to mix and match. Option One is the current schedule on which the 2009
budget was based. Option Two is the schedule proposed by the Personnel Committee
taking into account the current budget situation and patterns of use. Option Three
proposed by Tom Pawelk and the Parks Commission proposes a fine tuning of the hours
based on patterns of use, but keeps the warming houses open on weekdays.
Please note that all options will include the regular posting at the warming house of open
skating hours at Moose Sherritt arena.
Weekdays
Option One - current Open Monday thru Friday 3 pm to 9 pm
Option Two Closed Monday thru Friday – Except YHA has key
for 4th Street
Option Three Open Tuesdays 4pm – 9pm
4th St will be open at 5:00 pm weekdays
City Council Agenda: 11/09/09
2
Weekends (Saturday and Sunday)
Option One - current Saturday 9 am – 9 pm; Sunday 11 am – 9 pm
Option Two 1pm – 9pm (both days)
Option Three 1pm – 9pm (both days)
Holiday and School Vacation Hours
Option One - current 9 am – 9 pm
Option Two 11 am – 9 pm
Option Three 11 am – 9 pm
Total Hours of Operation per week, not including Holidays and School Vacations.
(Note: all of this is based on a 9 week plan.)
Option One 54 hrs/week 972 total hrs $9,574.20 Both rinks
Option Two 16 hrs/week 88h Hol + 144h Wknds $4,570.00 Both rinks
Option Three 40 hrs/week 360 total hrs $3,546.00 4th Street rink
Option Three 30 hrs/week 270 total hrs $2,659.50 West Bridge rink
$6,205.50
In the event City Council closes the warming house at 4th Street Park on weekdays, it is
proposed that a key be provided to the Hockey Association for its use of the facility. As
you probably know, the warming house and hockey boards were developed with
significant assistance from the Hockey Association. Although it can not be predicted that
the absence of an attendant while the Hockey Assoication is using the facility will result
in problems, I think there is some risk. The question is, how should the public use of
the warming house be monitored/managed while the Hockey Association has it
open? If the Hockey Association is given a key, then the YHA will need to be
responsible for managing what happens in the warming house while under its control.
Perhaps YHA will need to have someone in the warming house to monitor other
members of the public that use the warming house during Hockey Association practice or
perhaps YHA should be required to lock the warming house while teams are on the ice
and limit its use to Hockey Association members only.
A1. Budget Impact: With the 2010 budget impacts to the Parks Department, the cost
to have the rinks open is not to exceed $6,000 between both rinks.
A2. Staff Workload Impact: The Parks Department staff will maintain the ice and
two skating attendants will be staffed during the hours proposed above.
City Council Agenda: 11/09/09
3
B. ALTERNATIVE ACTIONS:
1. Motion to keep the warming houses as in previous years with no change at an
estimated cost of $9,754.20.
2. Motion to reduce the number of hours as shown in Option Two or Three or a
combination, as desired, with a total cost not to exceed $6,000.
NOTE: Council is asked to consider whether or not to provide a key to the YHA and
assist in defining conditions for YHA use. Further consideration as to whether the
general public should or should not be allowed to use the warming house while in use
by YHA or should YHA be asked to lock it once their players are on the ice.
C. STAFF RECOMMENDATION:
The Personnel Committee would like to see weekday hours eliminated for the warming
houses. The ice will continue to be maintained so skaters will have the option of using
the rinks during weekdays. In addition, the City has purchased ice time for free skating at
Moose Sherritt arena, so elimination of warming house hours reduces this duplication.
Interestingly, usage of the outdoor rinks has grown since the ice arena has been built.
The Parks Commission recommends keeping the warming houses open under a reduced
schedule as identified under Option Three. From a staff standpoint, I think we would like
to see the warming houses open on weekdays, but understand that this is truly a policy
decision and up to the Council to weigh level of service versus cost.
D. SUPPORTING DATA:
Graphs of usage for West Bridge and 4th Street rinks (during warming house hours)
Youth Hockey Agreement
Moose Sherritt Arena – public skating hours
F:\CITY CLERK\AGENDAS\2009 COUNCIL AGENDAS\11-09-09 CC AGENDA\10 MYHA AGREEMENT - 2009.DOCX - PAGE 1 OF 3 -
YOUTH HOCKEY
AGREEMENT
OF UNDERSTANDING
This agreement, entered into this __________ day of , 2009 executed between the City
of Monticello (hereinafter referred to as the City) and the Monticello Youth Hockey Association
(hereinafter referred to as the YHA) sets out provisions for the use of the building facilities in Fourth
Street Park. The City and the YHA do hereby agree as follows:
1. The City shall assume responsibility for routine maintenance and repairs. The YHA will assist
with labor, if necessary.
2. The City shall pay for all normal utility (fuel and electricity) costs; however, YHA will be billed
for abnormal events such as leaving the lights on, not picking up litter after use, etc. In this
case the YHA will be billed the cost of an employee plus 2.25% overhead costs.
3. The YHA will provide a schedule to the Park Superintendent of the times of practices and they
may request abnormal hours (e.g., during holidays) which must be cleared with the Park
Superintendent.
4. The City will continue to provide a rink attendant during the specified hours of operation;
Hours of Operation - The warming house will be open Monday through Friday from 4:00 p.m.
to 9 p.m.; Saturday from 1 p.m. to 9 p.m.; Sunday from 1 p.m. until 9 p.m. and
Christmas/holidays from 1p.m. to 9 p.m. The warming house attendant will be given explicit
instructions to lock the facility after closing hours. No use of the facility will be allowed by the
YHA after closing.
5. All litter shall be picked up from the entire site by the YHA after all practices and events.
6. Lights shall be shut off by the YHA after all practices and events.
7. If the City finds the facility the next day with items 5 and 6 not completed, the YHA will be
billed accordingly.
F:\CITY CLERK\AGENDAS\2009 COUNCIL AGENDAS\11-09-09 CC AGENDA\10 MYHA AGREEMENT - 2009.DOCX - PAGE 2 OF 3 -
8. The City will supply to the YHA two keys for the storage facility. These keys may not be
duplicated. These keys shall be returned at the end of the season and distributed in the fall to the
appropriate personnel.
9. The City will be responsible for removing snow in accordance with the snow removal policy.
10. The YHA will have use of the storage facilities at the 4th Street Rink throughout the year. If
use takes place in the off season, the YHA will be required to check out a key from the
Monticello Public Works Department, informing the City of who is using the key and how long
they will have the key in their possession. The YHA shall assume full responsibility for the
opening and closing of the facility during the period of time specified in provision #10. This
shall include turning off lights and securing all entries.
11. The YHA will exercise substantial responsibility in supervising the activities of the YHA in the
facility.
12. The YHA, while the building is being used primarily by them, will assume the responsibility for
reasonable care and maintenance of the facility; including clean up, litter, lights shut off; the
facility to be left the way they found it.
13. The YHA will notify City Staff as soon as is feasibly possible of any repair and/or maintenance
problem that may require City attention.
14. The City will be responsible for flooding both the hockey rink and the open skating area with
the assistance of the YHA volunteer group. Both skating areas should receive equal priority in
terms of flooding.
15. The YHA has exclusive use of one of the two rinks during scheduled practices, with
supervision. The rink closest to the railroad tracks is the designated hockey rink. If the YHA
uses the second rink they will be billed for the maintenance fees. The YHA is only allowed to
use one hockey rink each time they practice. The other rink will always be available for
general skating only.
16. The YHA shall notify the Park Superintendent of the date and times of organized events being
held at the rink. Organized events will be billed to the YHA accordingly.
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17. When it is a Monticello Youth Hockey organized event, the coaches will be in charge of
enforcing safety rules and regulations for those YHA members participating in the event.
When it is not an organized event of the YHA, the skating rink attendant will have full authority
to enforce safety rules and regulations.
18. The Wright County Sheriff=s Department will be directed to enforce the parks schedule. No
one will be allowed to use the facility after hours.
For the Association: For the City:
_______________________________ ______________________________
Park Superintendent
________________________________
PUBLIC SKATE SCHEDULE
Moose Sherritt Ice Arena
Sunday, 11/8 12:00-2:00pm
Sunday, 11/15 12:00-2:00pm
Tuesday, 11/17 12:00-2:00pm
Sunday, 11/22 12:00-2:00pm
Friday, 11/27 11:15-1:15pm
Sunday, 11/29 12:00-2:00pm
Sunday, 12/6 12:00-2:00pm
Sunday, 12/13 (Skate with Santa) 12:00-2:00pm
Tuesday, 12/15 12:00-2:00pm
Sunday, 12/20 12:00-2:00pm
Thursday, 12/24 12:00-2:00pm
Sunday, 12/27 12:00-2:00pm
Monday, 12/28 1:30-3:30pm
Tuesday, 12/29 1:30-3:30pm
Wednesday, 12/30 1:30-3:30pm
Thursday, 12/31 (New Years Skate) 1:30-3:30pm
City Council Agenda: 11/09/09
1
11. Consideration of approving application for the Forest Protection Reserve Grant,.
(BP, TP)
A. REFERENCE AND BACKGROUND:
To combat the threat posed by new invasive forest pests, Forest Protection Reserve funds
were appropriated from the Outdoor Heritage Fund to the Minnesota Department of
Agriculture (MN Laws 2009 Chapter 172, Article 1, Section 7). A portion of the total
funds (at least $875,000) is available through the Minnesota Department of Agriculture
as competitive, matching grants to local units of government and other entities seeking to
plan and prepare for the invasion of the Emerald Ash Borer. The priority of the State is to
prevent or slow the spread and subsequent impacts of Emerald Ash Borer.
Similarly, a $1 million grant program called the “Forest Protection Reserve – Incident
Response Grants Program” is available to applicants whom have documented infestations
of Emerald Ash Borer on lands under their jurisdiction, ownership or management. Staff
is currently working with the Department of Agriculture in monitoring traps for the
Emerald Ash Borer within the City as part of a early detection program in which, if
discovered, would put us into a category for other programs that are developing.
Eligibility Requirements for Applicants
Local units of government and other entities in Minnesota are eligible to apply for these
grants. Applicants must have an Emerald Ash Borer preparedness plan in place or create
a plan within the first six months of the grant. Staff has already prepared this plan and it
is included in the supporting documentation for Council approval. We also have been
proactive in-house by scripting the required grant information since the deadline
approaching is November 20, 2009.
Level of Assistance
The maximum Planning and Preparedness Grant available is up to $100,000.
Funds will be administered on a reimbursement basis for qualified documented expenses,
with a quarterly reimbursement frequency. The organization must do the work and pay
expenses before they can be reimbursed from the State. Grant funding through this
program is intended to supplement, not supplant, existing budgets.
Match Requirement
A 15% or greater non-state cash or in-kind match is required and must be identified at the
time of application. In-kind contributions that qualify for use as a match could include
labor, services, equipment, supplies, materials or in-kind donations directly related to
attaining the goals of the project.
Staff has identified the needs of mapping our Urban Forest as part of the City’s
infrastructure which can be overlaid on our GIS system; software is required for this
operation, which would be part of what this grant covers. This software is the basis and
the strategy for our grant application and execution. Staff, interns or a consulting firm
may perform the recording and plotting of trees in our community consisting of
City Council Agenda: 11/09/09
2
Boulevards, Parks, Cemeteries, Wetlands and right of ways. This software has other uses
for street and utility applications which can be used simultaneously but not as part of this
grant.
The City has already invested a great deal of funds, labor and interest with plantings in
our Boulevards, Parks, Cemeteries, Wetlands and right of ways. Staff suggests that the
necessity of monitoring and maintaining this infrastructure is as important as other city
assets.
A1. Budget Impact: Staff has budgeted $8,000 in 2010 for diseased tree removal;
some remaining funds unused for equipment purchases in 2009 could be
applicable to this year’s application.
A2. Staff Workload Impact: Some staff time will be required for preparation of the
grant application. If the City receives grant money, the funds would help support
the staffing needed to implement the grant.
B. ALTERNATIVE ACTIONS:
1. Motion to adopt the Emerald Ash Borer Preparedness Plan and to approve
preparation of an application for the Forest Protection Reserve Grant to include
City’s matching funds or in-kind contribution of staff time, with city contribution
not to exceed a value of $15,000.00.
2. Motion to adopt the Emerald Ash Borer Preparedness Plan only and deny
preparation of a grant application for the Forest Protection Reserve Grant.
3. Motion to deny both adoption of the Preparedness Plan and preparation of grant
application.
C. STAFF RECOMMENDATION:
City staff recommends Alternative #1. Staff supports applying for the Forest Protection
Reserve Grant in order to identify and prepare for possible infestation of the Emerald Ash
Borer. Although there are no findings of infestation in Monticello at this time, there are
numerous incidents in the metro area which is only 25 miles from here. If grant funds are
received, staff would ask Council for approval of the grant and matching funding for
staffing, software and other support needed to implement the program.
D. SUPPORTING DATA:
Emerald Ash Borer preparedness plan
Emerald Ash Borer Public Fact Sheet