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City Council Agenda Packet 07-11-2011AGENDA SPECIALWORKSHOP/MEETING–MONTICELLOCITYCOUNCIL Monday,July11,2011–6:00p.m. MississippiRoom,MonticelloCommunityCenter Mayor:ClintHerbst CouncilMembers:LloydHilgart,TomPerrault,GlenPosusta,BrianStumpf 1.CalltoOrder 2.PurposeofWorkshop:Discussionof2012BudgetProcess;2012wages&benefits; GASB54funds;fundbalanceandreserves 3.2012BudgetSchedule 4.Discuss2012wageandbenefitadjustment 5.DiscussGASB54fundadjustments 6.DiscussCityfundbalances/reserves 7.Adjournment CityCouncilWorkshopAgenda:7/11/11 1 3.Considerationof2012BudgetSchedule (TK) A.REFERENCEANDBACKGROUND: Attachedistheproposed2012budgetschedule.Mostofthesedatescanbeadjustedbut theCityhastocertifyapreliminarylevytotheCountybySeptember15 th andafinallevy nolaterthanDecember29th byStateStatute.Discussanypossibleadjustmenttothe schedule. B.SUPPORTINGDATA: 2012BudgetSchedule 2012BUDGETCALENDAR June3,20112012-2016CapitalEquipment/Projects(CIP)Worksheets andBudgetWorksheetstoDepartmentHeads. June13,2011WorkshopwithCityCouncilandStafftoSet2011/12 GoalsandPriorities. June,2011DepartmentHeadsMeetwithVariousAdvisoryBoardsand Commissionsforinputinto2012PreliminaryBudgetand CIP. July1,20112012-2016CIPandBudgetWorksheetsDuetoFinance Department July,2011DepartmentHeadsmeetwithCityAdministrator,and FinanceStafftoDevelop2012PreliminaryBudgetand CIP. July11,2011WorkshopwithCityCouncilandStafftoreview2012- 2016CIP. July/August,2011CouncilWorkshopstoreviewdraftdepartmentbudgets. August8,2011CouncilWorkshoptofinalize2012-2016CIP. MiddleofAugust,2011FinanceDepartmentDevelopRevenueEstimatesand2012 PreliminaryPropertyTaxLevy. September12,2011BudgetWorkshopwithCityCouncilandStaff. September12,2011CityCouncilAdopts2012PreliminaryPropertyTaxLevy. September15,20112012PreliminaryPropertyTaxLevyCertifiedtoWright CountyAuditor. October/November,2011DepartmentHeadsmeetwithCityAdministratorand FinanceStafftoDevelop2012ProposedBudgetand PropertyTaxLevy. October/November,2011BudgetWorkshopswithCityCouncilandStafftofinalize 2012BudgetandPropertyTaxLevy. December12,2011CityCouncilAdopts2012BudgetandPropertyTaxLevy. December30,2011CityCertifiesFinal2012PropertyTaxLevytoWright CountyAuditor. January1,20122012FiscalYearBegins. CouncilWorkshopAgenda:7/11/11 1 4.Discussionof2012WageandBenefitadjustments (TK/JO) A.REFERENCEANDBACKGROUND: StaffrequestsCouncilinputonsalary/wageadjustmentsfor2012whichisusefulin preparingabalancedbudget.Asyouknow,alargepartoftheCity’sbudget (approximately70%ofbudget)isemployeewagesandbenefits.Tostartthebudget process,staffhaspluggedina3%COLAincreasealongwithstepincreasesanda20% increaseininsurancebenefits.Thisisastartingpointandleavesroomfordownward adjustmentspriortofinalbudgetadoption.Atthistime,theseincreaseswouldbeused forbudgetpurposesonlyandCityCouncilcouldapprovewageandbenefitadjustments uptotheincreasesusedforbudgetpurposes,butitwouldbeverydifficulttoawardmore thanwhatisincludeinthebudgetwithoutcuttingsomeotherexpenses/services.Past historyofcostoflivingadjustments(COLA)andwagesareasfollows; Year COLA Step 2008NewPayEquityandpayscaleputinplace 20091%Full 20100%Half 20110%None TheFederalReserveBankofMinneapoliscurrentlyestimatestheConsumerPriceIndex for2010at3.6%.TheestimateisbasedonthechangeintheCPIfromfirstquarter2010 tofirstquarter2011. Againthisdiscussionandadjustmentisforbudgetpurposesonlyandtheactualawarding ofanyadjustmentsbyCouncil,willtakeplaceinDecember2011orJanuary2012. Theseadjustmentshavebeendiscussedbythepersonnelcommittee. A1.BudgetImpact:Whateverisapprovedtonightwillbeusedindevelopingthe City’s2012operatingbudgets. A2.StaffWorkloadImpact:Thereisnostaffimpactasthisitemisforbudget purposesonly. B.ALTERNATIVEACTIONS: 1.Forpurposeofpreliminarybudgetpreparation–includeaCOLA and Step adjustmentforthe2012budgetasidentifiedbyCouncil.FinalCOLAandstep adjustmenttobeapprovedinDecemberorJanuary. 2.Forpurposeofpreliminarybudgetpreparation–includeaCOLA or Step adjustmentforthe2012budgetasidentifiedbyCouncil.FinalCOLAandstep adjustmenttobeapprovedinDecemberorJanuary. 3.DonotapproveaCOLAand/orStepadjustmentforthe2012budget. CouncilWorkshopAgenda:7/11/11 2 C.STAFFRECOMMENDATION: TheCityAdministratorandFinanceDirectorrecommendAlternative#1forCouncilto approveaCOLAandStepadjustmentforpreparationofthe2012budget. D.SUPPORTINGDATA: None CouncilWorkshopAgenda:07/11/11 1 5.ConsiderationofacceptingFundChangesregardingGASBStatement54,Fund BalanceReportingandGovernmentalFundTypeDefinitions (TK) A.REFERENCEANDBACKGROUND: InFebruary2009,theGovernmentalAccountingStandardsBoard(GASB)issuedGASB StatementNo.54,FundBalanceReportingandGovernmentalFundTypeDefinitions, whichiseffectiveforfiscalperiodsthatbeginafterJune15,2010.Forcitiesin Minnesotawhichreportonacalendaryear,thefirstrequiredyearforimplementationis thefiscalyearendingDecember31,2011.Thisaccountingstandardcreatesnew classificationsforfundbalances.Thepurposeistogiveclearerfocustotheconstraints placedontheuseofcurrentfundbalances.Thischangealsoredefinesgovernmental fundtypedefinitions. Ingovernmentalfunds,theCityshouldidentifyfundbalancesseparatelybasedona hierarchyoftheconstraintsplacedontheuseofthefinancialresourceswithinthefund. Fundbalanceswillnowfallintooneof5classificationsasdefinedbelowunderGASB 54; Nonspendable:Amountsthatcannotbespentbecausetheyareeither(a)notin spendableformor(b)legallyorcontractuallyrequiredtobe maintainedintact. Restricted:Fundbalanceshouldbereportedasrestrictedwhenconstraintsplacedon theuseofresourcesareeither: a.Externallyimposedbycreditors(suchasthroughdebtcovenants), grantors,contributors,orlawsorregulationsofothergovernments; or b.Imposedbylawthroughconstitutionalprovisionsorenabling legislation Committed:Amountsthataretobeusedforspecificpurposespursuanttoconstraints imposedbyformalactionofthegovernment’shighestlevelofdecision- makingauthority. Assigned:Amountsthatareconstrainedbythegovernment’sintenttobeusedfor specificpurposes,butareneitherrestrictednorcommitted. Unassigned:UnassignedfundbalanceistheresidualclassificationfortheGeneral Fund.Thisistoreportfundbalancesthathavenotbeenreportedinany otherclassification.TheGeneralFundistheonlyfundthatcanreporta positiveunassignedfundbalance.Othergovernmentalfundswouldreport deficitfundbalancesasunassigned. Fundbalancesclassifiedascommitted,assigned,orunassignedarealsoconsidered CouncilWorkshopAgenda:07/11/11 2 unrestrictedfundbalances.Fundbalanceshouldbeclassifiedbasedonthenatureofthe particularnetresourcereportedinagovernmentalfundandshouldbeclassifiedfrom thosethathavethemostconstraintsplacedontheiruse(nonspendable)totheleast (unassigned).TheCityshouldalsodeterminetheorderofuseofresourceswhen expendituresareincurred.Ifthereisnopolicythatidentifiestheorderofuseof resources,thenthenetresourceswiththemostconstraintsareusedfirst. UnrestrictedFundBalance Unrestrictedfundbalanceistheamountoffundbalanceleftafterdeterminingboth nonspendableandrestrictednetresources.“Committedandassigned”arethefund balance amountstheCityhasplacedconstraintson,while“unassigned”doesnothave anyspecificpurposeidentified.“Committedandassigned”fundbalancesdifferinthe formalityoftheactionrequiredtosetasidethenetresources. TheCityCouncilisrequiredtocommitavailablefundbalancetoaspecificpurpose. Onceactionhasbeentaken,thecommittedfundscannotbeusedforanyotherpurpose unlessthecommitmentisrescindedbytheCityCouncil.Theactiontakentocommitthe fundsmustbetakenpriortotheendofthefiscalyear,butthespecificamountmaybe determinedinthesubsequentperiod. TheauthoritytoassignmaybedelegatedtoanofficialotherthantheCityCouncil. Unlikecommittedfundbalance,theactiontakentoassignfundbalancemaybemade afteryearend.Ingovernmentalfundsotherthanthegeneralfund,theassignmentmust followtheCity’sintentforthespecificpurposeoftheindividualfunds.Therefore,all remainingpositivefundbalancesinthespecialrevenue,debtservice,andcapitalprojects fundsareclassifiedasassigned. Unassignedfundbalancerepresentstheremainingunrestrictedfundbalanceinthe generalfund.Deficitsinfundbalanceofothergovernmentalfundsarereportedas unassigned.Assignmentsshouldnevercauseadeficitinunassignedfundbalanceto occur. TheCitycurrentlysetsasidepartofitsgeneralfund’sfundbalanceforworkingcapital andcontingencies,whichareknownasstabilizationarrangements.FortheCitytobe abletosetasidethesetypesoffundsasrestrictedorcommitted,theCitywillneedto specificallydefinewhentheseamountsmaybeusedandspecifyasituationthatcannot beexpectedtooccurroutinely. GASBStatementNo.54referencesfundbalanceaccountingpoliciesthatagovernment mayhaveorshouldconsider.TheOfficeoftheStateAuditorrecommendsthateach localgovernmentestablishaformalcomprehensivefundbalancepolicywhichcould addressthefollowingareas;minimumfundbalance;orderofresourceuse;stabilization arrangements;committingfundbalance;andassigningfundbalance. CouncilWorkshopAgenda:07/11/11 3 BasedonthebackgroundabovetheCityhastwoissueswhichneedtobeaddressed,the firstisanupdatingofitsfundbalancepolicyandthedeterminationofwhichspecial revenuefundstocontinueto maintain.Iffundsaremaintainedasspecialrevenuefunds, thenadeterminationneedstobemadeastoifthefundsarenonspendable,restricted, committed,orassigned.InordertoupdatetheCity’sfundbalancepolicy,theCitymust firstestablishwhichfundsitcancontinuetooperateasspecialrevenuefunds.Therefore thefundbalancepolicywillneedto bereviewedatfuturedate. UnderGASB54,aspecialrevenuefundmusthaveoneormorespecifiedrestrictedor committedrevenuesthatarethefoundationforthefund.GASBfurtherdefines foundationforthefundasa“substantialportionofthefund’sinflow,”andtherestricted orcommittedrevenuesmustbeexpectedtocontinue(expectationisnotanannual criteria).Ifthereis nospecificrevenuesource,thefundshouldbereclassifiedtothe GeneralFund.Ifthereisnospecificrevenuesource,butitis capitalinnature,thefund shouldbereclassifiedtoCapitalProjectsFund. ThenewdefinitionofspecialrevenuefundshasthelargestimpactontheCityasmanyof ourcurrentspecialrevenuefundsdonotmeetthenewrequirements.CurrentlytheCity hasthefollowingspecialrevenuefunds: LibraryFundStreetReconstructionFund EDAFundDMVFund ShadeTreeFundCommunityCenterFund ParkDedicationFundOrderlyAnnexationAreaFund StreetLightImprovementFundCapitalOutlayRevolvingFund SanitarySewerAccessFundStormWaterAccessFund WaterAccessFundNSPFund MNInvestmentFundBertramChainofLakesFund Ofthesefunds,itisourbeliefthattheonlyonesthatwouldcurrentlyqualifyasspecial revenuefundsunderthenewdefinitionwouldbe:theEDAFund,ParkDedication,NSP Fund,andMNInvestmentFund.Thesefourfundsallhaverestrictionsplaceonthemby StateStatutes. ToresolvethisissuetheCitycandooneoftwothings:itcanmovethefundsintoother fundclassifications(GeneralFund,CapitalProjectsFunds,orEnterpriseFunds)orthe CityCouncilcancommitanyfundbalancesforaspecificuse.Itisstaff’s recommendationnottomoveanyfundsintotheEnterpriseFundcategoryduetothe accountingtohandletheassets. However,staffdoesrecommendmovingtheStreetReconstructionFund,StreetLight ImprovementFund,CapitalOutlayRevolvingFund,SanitarySewerAccessFund,Storm WaterAccessFund,andWaterAccessFundalltoCapitalProjectsFundclassification. These6fundsallhelpfinancecapitalprojectsorequipmentpurchases,sotheyseemtofit betterinthisfundclassificationandwouldallowustoavoid legalrestrictionoffund balancesforthesepurposes. CouncilWorkshopAgenda:07/11/11 4 TheLibraryFund,ShadeTreeFund,andOrderlyAnnexationAreaFunddonothavea revenuesourceotherthanpropertytaxesandthefundbalancescanbeusedforany purposecouncilsodesires.Basedonthis,staffrecommendsthesebemovedintothe GeneralFundandmaintainedastheirownactivity.Bydoingthis,staffcanstilltrackthe costtoprovidethese3servicesandthetaxlevywouldbecomepartoftheCity’sgeneral fundpropertytaxlevy. Thiswouldleave3funds,theDMVFund,CommunityCenterFund,andBertramChain ofLakesFundthattheCitywouldeitherhavetomoveorcommititsresources.Ifthe CouncilwantstheDMVandCommunityCenterFundtooperatesimilartoabusiness,in thatrevenueswouldcoveroperationandfuturecapitalassetreplacement,thentheeasiest andbestwaytotrackrevenues(resources)againstexpenseswouldbetoleavetheseas theirownfundasaspecialrevenuefundtype.ThiswillrequiretheCityCouncilto committheirresourcesforaspecificpurpose. FortheDMVFund,thiswouldrequireCityCounciltopassaresolutioncommitting DMVresources,includinganypropertytaxlevyandinterestearningstopayfor operationsandcurrentandfuturecapitalexpendituresoftheCity’sDMV.Asimilar resolutionwouldbeneededfortheCommunityCenterFund,whichwouldcommitMCC revenuesincludingpropertytaxleviesandinterestearningtopaytheoperations,debt, andcurrentandfuturecapitalimprovementsandpurchases. TheBertramChainofLakesFundwasestablishedfromfundsdonatedtotheFriendsof BertramLakestohelpfundtheparkproject.Basedonthisintent,staffwould recommendleavingthisfundasaspecialrevenuefund.TheresolutionfortheBertram ChainofLakesFundwouldbethatfundsreceivedbytheCityfororonbehalfofthe FriendsofBertramLakeswouldbecommittedtofundtheactivitiesoftheFriendsof BertramLakes. IfthisisagreeabletoCouncil,staffwilldrafttheresolution,preparethe2012budget reflectingthechangesandalsoadjustthe2011financialreportstoreflectthechanges onceapprovedatacouncilmeeting.Finally,staffwilldraftanewfundbalancepolicyto fitthenewfundstructureandfundbalancedefinitions. A1.BudgetImpact:Thiswillhavenobudgetimpactotherthantomovefunds aroundintonewfundclassifications. A2.StaffWorkloadImpact:Tomovethefundsintothegeneralfundandcapital projectfundforboththeaccountingsystemandbudgetsheetswilltakesome staff,butitisrelativelyminor(lessthanaweek). B.ALTERNATIVEACTIONS Discussprosandconsofmovingand/orcommittingfundbalancestomeetGASB54 definitionsanddirectStafftoprepareappropriateitemsforCouncilapprovalandbudget. CouncilWorkshopAgenda:07/11/11 5 C.STAFFRECOMMENDATION: None D.SUPPORTINGDATA: StateAuditorStatementofPosition-FundBalancesforLocalGovernments(GASB54 Version) CityCouncilWorkshopAgenda:7/11/11 1 6.DiscussionofFundBalance(Reserves)(TK/JO) A.REFERENCEANDBACKGROUND: Asstaffstartsthebudgetprocess,oneofthefirstitemstodiscussistheuseofreserves andhowmuchtheCityhasinreserves.Attheendof2010,theCityhad$64,596,002in reservesinallofitsfunds.Basedonthe2011budgets,thesereserveswilldecreaseto $57,658,431.Howeverifyoulookatwhatiscommittedfordebtpaymentsorwhathas beencommittedbylaworcouncilaction,itwouldappeartheCityhasover-committedits resourcesby$62,456,496.Thekeyphrasehereis appears becausemanyofthese commitmentswillbeoffsetbyfuturerevenues;namelyspecialassessments,property taxes,andFiberNetrevenues. Becauseofthesefuturerevenuesources,staffhasincludedafundbalanceprojection, whichincludesassumptionsofcostincreases,revenueincreases,constructionactivity, andlevyincreases.Theseprojectionsdonotincludeanyfutureinfrastructure improvementsneeded,includingconstructionofadditionalwells,improvementstothe wastewatertreatmentplant,newfacilities,orconstructionofballfieldsattheBertram ChainofLakesPark. Theprojectionsdemonstratethatsomefundswillrunshortoffundsforaperiodoftime, butwilleventuallymaketheirwaybackintothepositive.Finally,thereisasheet showingtheamountoffundbalancetheCityhashadforthelast7years,fromahighof $86,110,511in2005downto$64,480,943in2009. Finally,theCityshouldbecarefulwhenitusesreservessoasnottoaffectitsbond ratingsandconsidertheneedtohavereservestoconstructfutureinfrastructureand facilityneedswithoutplacingadditionalhardshipsontaxandratepayers.Thedesireto useornottousereserveswillaffectthedraftingofthe2012budget. B.SUPPORTINGDATA: ProjectedFundBalanceSummary FundBalanceProjections FundBalanceHistory ProjectedFundBalanceSummary 2011Budget2012Budget Amount Designatedor Restricted Amount Undesignatedor Unrestricted GeneralFund4,981,033.78--4,981,033.783,523,624.221,457,409.56 SpecialRevenueFunds: Library9,100.06(282.00)-8,818.06 142.008,676.06 StreetReconstruction3,000,826.51320,258.00-3,321,084.51 1,837,864.661,483,219.85 EDA7,341,815.38(377,825.00)-6,963,990.38 4,317,842.382,646,148.00 EnvironmentalCleanUp----- MNInvestment952,906.8531,709.00-984,615.85 984,615.85- SCERG(EconRecoveryGrant)----- CMIF(CentralMNInit)----- ShadeTree70,088.23357.00-70,445.23 -70,445.23 StreetLightingImprovements929,677.4162,987.00-992,664.41 992,664.41- CommunityCenter1,155,850.72(256,445.00)-899,405.72 4,429,164.32(3,529,758.60) DeputyRegistrar228,245.2715,510.00-243,755.27 93,662.28150,092.99 Park&PathwayDedication446,186.97(406,700.00)-39,486.97 39,486.97- OrderlyAnnexationArea6,847.15(804.00)-6,043.15 -6,043.15 CapitalRevolvingFund2,296,786.81(610,639.00)-1,686,147.81 3,197,943.26(1,511,795.45) SanitarySewerAccess4,081,375.29(908,108.00)-3,173,267.29 7,437,860.50(4,264,593.21) StormWaterAccess2,113,458.90(254,986.00)-1,858,472.90 1,495,512.00362,960.90 WaterAccess537,370.76(235,899.00)-301,471.76 1,617,406.00(1,315,934.24) TOTAL-SpecialRevFunds:23,170,536.31(2,620,867.00)-20,549,669.3126,444,164.63(5,894,495.32) DebtServiceFunds: 1994AGORefundingBond------ 1995AGOBond------ 1997AGOImprovement------ 2002GOBond------ 2003AGOBond------ 2005AGOBond1,220,149.47(344,419.00)-875,730.47 875,730.47- ConsolidatedBond315,891.28245,521.00-561,412.28 561,412.28 2007AG.O.Bond126,499.75(109,252.00)-17,247.75 17,247.75- 2010GOImprovement(89,955.43)15,015.00-(74,940.43)(74,940.43) 2000AGOImprovement----- 2000AMCC/PublicProjRev----- 2000BGOImprovement----- 2008SewerRefundingBond790,796.82(117,626.00)-673,170.82 673,170.82- 2008AEDAMCCRefunding674,416.62(270,831.00)-403,585.62 403,585.62- 1989TIF(ELDERLY)Bond------ 2004ATaxableTIF------ TOTAL-DebtServiceFunds:3,037,798.51(581,592.00)-2,456,206.511,969,734.66486,471.85 CapitalProjectFunds: CapitalProjects(78,313.25)12,502.00-(65,811.25)(65,811.25) I94/CSAH18Interchange(2,739,416.46)--(2,739,416.46)(2,739,416.46) WaterTower(2004-30C)1,017,041.25--1,017,041.251,017,041.25 SchoolBlvdWExt(2005-02C)268,468.19--268,468.19268,468.19 TOTAL-CapitalProjectFunds:(1,532,220.27)12,502.00-(1,519,718.27)-(1,519,718.27) EnterpriseFunds: Water14,767,458.74(402,896.00)-14,364,562.74 12,518,804.291,845,758.45 Sewer23,141,722.07(1,020,849.00)-22,120,873.07 20,289,399.221,831,473.85 Liquor3,519,710.1594,899.00-3,614,609.15 3,142,190.98472,418.17 Transportation----- Cemetery632,743.20315.00-633,058.20 650,015.61(16,957.41) Fiber(7,122,780.68)(2,419,083.00)-(9,541,863.68)51,576,993.60(61,118,857.28) TOTAL-EnterpriseFunds:34,938,853.48(3,747,614.00)-31,191,239.4888,177,403.70(56,986,164.22) InvestmentHolding---- TOTAL-AllFunds:64,596,001.81 (6,937,571.00)-57,658,430.81 120,114,927.21 (62,456,496.40) FUND FUND BALANCE (DEFICIT) 12/31/2010 BUDGETS ESTIMATED FUNDBALANCE (DEFICIT) 12/31/2011 A-41 Comparison GeneralFund4,981,033.785,097,632.006,178,552.005,561,487.005,509,102.006,105,161.006,150,173.00 SpecialRevenueFunds: Library9,100.063,610.008,735.0010,863.0010,109.0012,898.0013,686.00 StreetReconstruction3,000,826.512,641,176.001,450,840.00854,235.00664,247.00643,907.00536,498.00 EDA7,341,815.387,393,705.005,165,156.004,824,266.005,572,796.005,522,646.003,832,479.00 EnvironmentalCleanUp----48.00715.002,788.00 MNInvestment952,906.85918,996.00890,524.001,036,591.00974,211.00923,285.00895,777.00 SCERG(EconRecoveryGrant)---544.0017,485.0016,231.0015,448.00 CMIF(CentralMNInit)---100.003,103.002,873.002,905.00 ShadeTree70,088.2369,606.0050,655.0044,722.0031,716.0024,898.0013,740.00 StreetLightingImprovements929,677.41604,079.00272,090.00---- CommunityCenter1,155,850.72958,751.00746,715.00490,422.00315,430.00240,739.00108,942.00 DeputyRegistrar228,245.27164,670.00120,958.00---- Park&PathwayDedication446,186.97420,845.00(89,734.00)977,872.00785,003.00610,153.00220,189.00 OrderlyAnnexationArea6,847.157,287.007,943.003,095.003,466.00(9,506.00)(59,774.00) CapitalRevolvingFund2,296,786.813,854,898.005,275,456.005,885,850.006,039,569.004,951,352.005,945,802.00 SanitarySewerAccess4,081,375.294,987,351.005,025,028.005,996,543.007,059,254.008,660,049.003,896,954.00 StormWaterAccess2,113,458.902,291,082.001,722,682.001,685,020.001,950,690.002,270,332.00977,832.00 WaterAccess537,370.76820,356.00835,752.00303,715.00660,775.00734,297.00675,900.00 TOTAL-SpecialRevFunds:23,170,536.3125,136,412.0021,482,800.0022,113,838.0024,087,902.0024,604,869.0017,079,166.00 DebtServiceFunds: 1994AGORefundingBond----4,429.00157,049.00153,033.00 1995AGOBond-----944,995.00923,735.00 1997AGOImprovement-----132,498.00128,933.00 2002GOBond-399,252.00568,969.00687,553.00598,448.00478,212.00548,232.00 2003AGOBond-310,257.001,594,234.001,421,118.001,463,997.001,073,820.00816,045.00 2005AGOBond1,220,149.471,771,440.002,678,185.003,069,620.001,419,211.00538,068.00- ConsolidatedBond315,891.28(777,627.00)1,513,361.001,620,812.001,464,943.002,157,482.002,115,701.00 2007AG.O.Bond126,499.75174,148.00312,906.00---- 2010AG.O.Bond(89,955.43)------ 1998BGOWaterSystemRef.---758,674.00696,423.00796,840.00870,770.00 1999GOImprovement--15,923.00869,678.00884,333.00876,013.00206,140.00 2000AGOImprovement---1,180,894.00478,436.00394,308.00429,623.00 2000AMCC/PublicProjRev---668,477.00578,861.00557,662.00757,360.00 2000BGOImprovement--(7,857.00)530,358.00604,713.00677,066.00792,679.00 2008SewerRefundingBond790,796.82919,568.00973,985.00---- 2008AEDAMCCRefunding674,416.62655,408.00768,848.00---- 1989TIF(ELDERLY)Bond--2,381.002,330.0035,217.0073,586.0074,156.00 2004ATaxableTIF-142,782.001,151,801.001,102,228.001,015,964.001,010,885.00936,733.00 TOTAL-DebtServiceFunds:3,037,798.513,595,228.009,572,736.0011,911,742.009,240,546.009,711,435.008,600,107.00 CapitalProjectFunds: TOTAL-CapitalProjectFunds:(1,532,220.27)(2,124,392.00)(1,839,477.00)(630,214.00)(1,805,365.00)9,076,213.00(155,698.00) EnterpriseFunds: Water14,767,458.7412,510,429.0012,644,013.0012,751,331.0012,665,124.0010,910,305.0013,036,081.00 Sewer23,141,722.0720,281,682.0021,012,244.0021,615,737.0022,511,783.0022,863,154.0025,750,702.00 Liquor3,519,710.153,129,315.002,830,574.002,477,747.002,348,131.002,163,007.002,002,385.00 Transportation-----11,669.0092,039.00 Cemetery632,743.20649,796.00656,041.00656,502.00666,004.00664,698.00663,682.00 Fiber(7,122,780.68)(3,795,159.00)4,444,349.00207,009.00--- TOTAL-EnterpriseFunds:34,938,853.4832,776,063.0041,587,221.0037,708,326.0038,191,042.0036,612,833.0041,544,889.00 InvestmentHolding------- TOTAL-AllFunds:64,596,001.81 64,480,943.00 76,981,832.00 76,665,179.00 75,223,227.00 86,110,511.00 73,218,637.00 FUND BALANCE (DEFICIT) 12/31/2005 FUND BALANCE (DEFICIT) 12/31/2004FUND FUND BALANCE (DEFICIT) 12/31/2008 ESTIMATED FUND BALANCE (DEFICIT) 12/31/2010 FUND BALANCE (DEFICIT) 12/31/2009 FUND BALANCE (DEFICIT) 12/31/2007 FUND BALANCE (DEFICIT) 12/31/2006 AGENDA REGULARMEETING–MONTICELLOCITYCOUNCIL Monday,July11,2011–7p.m. Mayor:ClintHerbst CouncilMembers:LloydHilgart,TomPerrault,GlenPosusta,BrianStumpf 1.CalltoOrderandPledgeofAllegiance 2A.ApprovalofMinutes–June27,2011SpecialWorkshop 2B.ApprovalofMinutes–June27,2011RegularMeeting 3.Considerationofaddingitemstotheagenda 4.Citizencomments,publicserviceannouncements,andstaffupdates a.CitizenComments: b.PublicServiceAnnouncements: 1) c.StaffUpdates: 1)LiveWrightpresentation 5.ConsentAgenda: A.ConsiderationofapprovingpaymentofbillsforJuly11th B.ConsiderationofapprovingnewhiresanddeparturesforCitydepartments C.ConsiderationofadoptingResolution#2011-60approvingacontributionfrom CargillKitchenSolutionsforfiresafetytrainingfortheFireDepartment D.ConsiderationofadoptingResolution#2011-61callingforapublichearingfor theproposedModificationtotheRedevelopmentPlanforCentralMonticello RedevelopmentProjectNo.1andtheproposedestablishmentofTaxIncrement FinancingDistrict1-39(SuburbanMfg) E.Considerationofapprovinganapplicationforanon-saleWine/StrongBeer licenseforPaulyCompanies,Inc,dbaBluestoneGrillat9351CedarStreet F.ConsiderationofadoptingResolution#2011-62approvingRight-of-Way AgreementwithXcelEnergyfortherealignedintersectionofCSAH75and120th StreetwithWrightCounty’sCSAH75realignmentproject SPECIALMEETING 6p.m.-BudgetWorkshop G.Considerationofapprovinganapplicationfora1-daytemporaryon-saleliquor licensefortheMonticelloLionsClubfortheirPorkChopFeedonJuly28,1011 6.Considerationofitemsremovedfromtheconsentagendafordiscussion 7.ConsiderationofadoptingResolution#2011-63acceptingFeasibilityReportandquotes andawardingcontractforWalnutStreetBoulevardImprovements,CityProjectNo. 11C003 8.ConsiderationofadoptingResolutionNo.2011-64approvingCSAH75Pedestrian UnderpassImprovements,CityProjectNo.10C010,andauthorizingadvanceof $92,463.50toWrightCountyaccordingtotheMemorandumofUnderstanding 9.ConsiderationofadoptingResolution#2011-65approvingcontributionsfromLandof LakesChoirboys,VeoliaSolidWasteMidwest,LLC,andXcelEnergyforCSAH75 PedestrianUnderpass,CityProjectNo.10C010 10.Addeditems 11.Adjournment CityCouncilAgenda:07/11/11 1 5A.ConsiderationofapprovingpaymentofbillregistersforJuly11th (TK) A.REFERENCEANDBACKGROUND: TheattachedbillregisterscontainallinvoicesprocessedsincethelastCouncilmeeting. SubjecttoMNStatutes,mostinvoicesrequireCouncilapprovalpriortoreleasingchecks forpayment.ThedayfollowingCouncilapproval,paymentswillbereleasedunless directedotherwise. IfCouncilhasnoquestionsorcommentsonthebillregisters,thesecanbeapprovedwith theconsentagenda.Ifrequested,thisitemcanberemovedfromconsentanddiscussed priortomakingamotionforapproval. A1.BudgetImpact:None A2.StaffWorkloadImpact:Noadditionalworkrequired B.ALTERNATIVEACTIONS: 1.Motiontoapprovethebillregistersforatotalamountof$824,363.57. 2.MotiontoapprovethebillregisterswithchangesdirectedbyCouncil. C.STAFFRECOMMENDATION: CitystaffrecommendsAlternative#1or#2,perdirectionofCouncil. D.SUPPORTINGDATA: Billregisters CityCouncilAgenda:07/11/11 1 5B.ConsiderationofapprovingnewhiresanddeparturesforCitydepartments (TE) A.REFERENCEANDBACKGROUND: TheCouncilisaskedtoratifythehiringanddeparturesofemployeesthathaveoccurred recentlyinthedepartmentslisted.ItisrecommendedthattheCouncilofficiallyratifythe hiring/departureofalllistedemployeesincludingpart-timeandseasonalworkers. A1.BudgetImpact:(positionsaregenerallyincludedinbudget) A2.StaffWorkLoadImpact:Ifnewpositions,theremaybesometraining involved.Ifterminatedpositions,existingstaffwouldpickupthosehours,as needed,untilreplaced. B.ALTERNATIVEACTIONS: 1.Motiontoratifythehire/departuresoftheemployeesasidentifiedontheattached list. 2.Motiontodenytherecommendedhiresanddepartures. C.RECOMMENDATION: BystatutetheCityCouncilhastheauthoritytoapproveallhires/departures.Citystaff recommendsAlternative#1,fortheCounciltoapprovethehiresand/ordeparturesas listed. D.SUPPORTINGDATA: Listofnew/terminatedemployees NameTitleDepartmentHireDateClass KimberlyKolstadLiquorStoreClerkLiquorStore6/21PT JenniferStevensSalesAssistantFNM6/20FTTemporary NameReasonDepartmentLastDayClass JenniferStevensInvoluntaryFNM7/1FTTemporary BrandonPotterVoluntaryFNM7/8Seasonal NEWEMPLOYEES TERMINATINGEMPLOYEES 5BNewHires-Terms:7/8/2011 CityCouncilAgenda:07/11/11 1 5C.ConsiderationofadoptingResolution#2011-60toacceptcontributionfromCargill KitchenSolutionsfortheFireDepartment (CS) A.REFERENCEANDBACKGROUND: CargillKitchenSolutionsiscontributing$500togototheMonticelloFireDepartment forfiresafetytraining.Asrequiredbystatestatute,iftheCityacceptsthedonationof funds,theCityCouncilneedstoadoptaresolutionspecifyingtheamountofthedonation anditsuse. A1.BudgetImpact:None A2.StaffWorkloadImpact:Staffaccountsforandreconcilesdonationscontributed throughtheCity. B.ALTERNATIVEACTIONS: 1.Approvethecontributionsandauthorizeuseoffundsasspecified. 2.Donotapprovethecontributionsandreturnthefundstothedonors. C.STAFFRECOMMENDATION: Staffrecommendationistoadopttheresolutionacceptingthecontributions. D.SUPPORTINGDATA: ResolutionNo.2011-60 CityofMonticello RESOLUTIONNO.2011-60 APPROVINGCONTRIBUTIONS WHEREAS,theCityofMonticelloisgenerallyauthorizedtoaccept contributionsofrealandpersonalpropertypursuanttoMinnesotaStatutesSections 465.03and465.04forthebenefitofitscitizensandisspecificallyauthorizedtomaintain suchpropertyforthebenefitofitscitizensinaccordancewiththetermsprescribedbythe donor.SaidgiftsmaybelimitedunderprovisionsofMNStatutesSection471.895. WHEREAS,thefollowingpersonsandorentitieshaveofferedtocontribute contributionsorgiftstotheCityaslisted: DONOR/ENTITYDESCRIPTIONVALUE CargillKitchenSolutionsCash$500 WHEREAS,allsaidcontributionsareintendedtoaidtheCityinestablishing facilities,operationsorprogramswithinthecity’sjurisdictioneitheraloneorin cooperationwithothers,asallowedbylaw;and WHEREAS,theCityCouncilherebyfindsthatitisappropriatetoacceptthe contributionsoffered. NOWTHEREFOREBEITRESOLVED bytheCityCouncilofMonticelloas follows: 1.ThecontributionsdescribedaboveareherebyacceptedbytheCityof Monticello. 2.Thecontributionsdescribedabovewillbeusedasdesignatedbythe donor.Thismayentailreimbursingorallocatingthemoneytoanother entitythatwillutilizethefundsforthefollowingstatedpurpose: DONOR/ENTITYRECIPIENTPURPOSE CargillKitchenSolutionsMonticelloFireDeptFiresafetytraining ADOPTEDBY theCityCouncilofMonticellothis11thdayofJuly,2011. CITYOFMONTICELLO ______________________________ ClintHerbst,Mayor ATTEST: ______________________________________ JeffO’Neill,CityAdministrator CityCouncilAgenda:07/11/11 1 5D.ConsiderationofadoptingResolution#2011-61callingforaPublicHearingforthe proposedModificationtotheRedevelopmentPlanforCentralMonticello RedevelopmentProjectNo.1andtheproposedestablishmentofTaxIncrement FinancingDistrict1-39(SuburbanMfg)(MB) A.REFERENCEANDBACKGROUND: AttheirJuly13,2011meeting,theMonticelloEconomicDevelopmentAuthoritywillbe requestingtheCityCouncilapprovearesolutioncallingforapublichearingonAugust 22,2011.ThepublichearingisassociatedwiththemodificationoftheRedevelopment PlanoftheCentralMonticelloRedevelopmentProjectNo.1andestablishmentofTIF DistrictNo.1-39andapprovaloftheTIFPlan. TIFDistrictNo.1-39willbecreatedasanEconomicDevelopmentDistricttoassistinthe write-downoflandandpotentiallyinfrastructurecoststoSuburbanManufacturing. SuburbanManufacturingisalocalmanufacturingcompanyprovidingsolutionsinareas suchashydraulics,lubrication,fluidmechanics,andpneumatics.Theircurrentfacilityis locatedat301ChelseaRoad. Suburbanisexperiencingtremendousgrowthandhasdetermineditistimetoexpandtheir currentfacility.Theyareproposingtoconstructa35,000to40,000squarefoot office, machining,andwarehousefacilityintheMonticelloBusinessCenter.Theproposed projectwillbringnewfull-timepermanentjobstoMonticello.Theexactnumberofjobs willbedeterminedwithinthenextfewweeks.TheywouldliketosubdivideOutlotCof OtterCreekandsituatethebuildingadjacenttoChelseaRoadandDaltonAvenue. SuburbanManufacturingandtheEDAareintheprocessofexecutingthePreliminary DevelopmentAgreement.Theapplicanthassubmittedadepositof$5,000.Anadditional $5,000dollarswillberequiredbyAugust1,2011. A1.BudgetImpact:Theapplicantwillberequiredtopayforexpensesincurredfrom theCity’sfinancialandlegalconsultants. A2.StaffWorkloadImpact:TheEconomicDevelopmentDirectorwillprocessthe applicationandTIFplanincoordinationwiththeCity’sfinancialandlegal consultants. B.ALTERNATIVEACTIONS: 1.MotiontoadoptResolution#2011-61callingforapublichearingtobeheldon August22,2011,toconsidertheproposedModificationtotheRedevelopment PlanforCentralMonticelloRedevelopmentProjectNo.1andtheproposed establishmentofTaxIncrementFinancingDistrict1-39(Suburban Manufacturing). 2.MotiontodenyadoptingtheResolutionatthistime. CityCouncilAgenda:07/11/11 2 3.Motiontotableforfurtherstudy. C.STAFFRECOMMENDATION: CitystaffrecommendsAlternative#1.SuburbanManufacturingisalocalcompany desiringtoexpandtheircurrentfacilityintheEDA/City-ownedindustrialpark.The companywillcreateadditionallivablewagejobsandexpandtheCity’staxbaseinthe future.TheCityandEDAhasapprovedmanyrequestssimilartoSuburban Manufacturing’s(i.e.Karlsburger,DahlheimerDistribution,UMC).TheCityandEDA hasshownandstatedadesiretosupportlocalbusinessexpansions.ThereforeStaff believescallingforapublichearingtoconsiderthecreationofanewTIFDistrictforthe purposesofsupportingalocalbusinessexpansionisconsistentwithpastpracticeand desiredCityCouncildirection. Alternative#1willberecommendedbytheEDAattheirJuly13th meeting. D.SUPPORTINGDATA: Resolution#2011-61 ScheduleofEventsforproposedTIF1-39 CITYOFMONTICELLO WRIGHTCOUNTY,MINNESOTA RESOLUTIONNO.2011-61 CALLINGFORAPUBLICHEARINGBYTHECITYCOUNCILONTHEPROPOSED ADOPTIONOFAMODIFICATIONTOTHEREDEVELOPMENTPLANFOR CENTRALMONTICELLOREDEVELOPMENTPROJECTNO.1AND THEPROPOSEDESTABLISHMENTOFTAXINCREMENTFINANCING DISTRICTNO.1-39(SUBURBANMANUFACTURINGORRELATEDENTITY) BEITRESOLVED,thattheCityCouncilfortheCityofMonticello,Minnesotashallcallfora PublicHearingonAugust22,2011,at7:00p.m.,ontheproposedadoptionofaModificationto theRedevelopmentPlanforCentralMonticelloRedevelopmentProjectNo.1(the "RedevelopmentPlanModification"),theproposedestablishmentofTaxIncrementFinancing DistrictNo.1-39,(aneconomicdevelopmentdistrict),andtheadoptionofaTaxIncrement FinancingPlan(the"TIFPlan");allpursuanttoandinaccordancewith MinnesotaStatutes, Sections469.001to469.047,andSections469.174to469.1799,inclusive,asamended,inan efforttoencouragethedevelopmentandredevelopmentofcertaindesignatedareaswithinthe City;and BEITFURTHERRESOLVED,thatCitystaffisauthorizedanddirectedtoworkwithEhlers &Associates,Inc.andKennedyandGraven,topreparethePlans,(theRedevelopmentPlan ModificationandtheTIFPlanarereferredtocollectivelyhereinasthe"Plans"),andtoforward documentstotheappropriatetaxingjurisdictionsincludingWrightCountyandIndependent SchoolDistrictNo.882.TheCityClerkisauthorizedanddirectedtocausenoticeofthe hearing,togetherwithanappropriatemapasrequiredbylaw,tobepublishedatleastonceinthe officialnewspaperoftheCitynotlaterthan10,normorethan30,dayspriortoAugust22, 2011,andtoplaceacopyofthePlansonfileintheCityClerk'sofficeatCityHallandtomake suchcopyavailableforinspectionbythepublic. ADOPTEDBY theMonticelloCityCouncilthis11th dayofJuly,2011. CITYOFMONTICELLO _________________________________ ClintHerbst,Mayor ATTEST: ____________________________________ JeffO’Neill,CityAdministrator 388633v2SJBMN190-139 SCHEDULEOFEVENTS CITYOFMONTICELLOECONOMICDEVELOPMENTAUTHORITY ANDTHECITYOFMONTICELLO WRIGHTCOUNTY,MINNESOTA FORTHEPROPOSEDMODIFICATIONTOTHEREDEVELOPMENTPLAN FORCENTRALMONTICELLOREDEVELOPMENTPROJECTNO.1 ANDTHEPROPOSEDESTABLISHMENTOF TAXINCREMENTFINANCINGDISTRICTNO.1-39 (aneconomicdevelopmentdistrict) ANDTHEAWARDINGOFABUSINESSSUBSIDY TOSUBURBANMANUFACTURING,INC.ORRELATEDENTITY ANDTHEISSUINGOFABUILDINGPERMIT (draftasofJuly5,2011) July11,2011CityCouncilcallsforpublichearingontheproposedModificationtotheRedevelopment PlanforCentralMonticelloRedevelopmentProjectNo.1andtheproposedestablishment ofTaxIncrementFinancingDistrictNo.1-39. July13,2011EDAratifiesitsrequestthattheCityCouncilholdapublichearingontheproposed ModificationtotheRedevelopmentPlanforCentralMonticelloRedevelopmentProject No.1andtheproposedestablishmentofTaxIncrementFinancingDistrictNo.1-39. EDAcallsforpublichearingongrantingbusinesssubsidy,andonsaleofproperty. July13,2011Projectinformation(propertyidentificationnumbersandlegaldescriptions,detailed projectdescription,maps,but/forstatement,listofsourcesandusesoffunds,and estimatedfiscalimpactsoftheprojectpublicimprovementsandonfireandpolice protection)fordraftingnecessarydocumentationsenttoEhlers. July18,2011EhlersconfirmswiththeCitywhetherbuildingpermitshavebeenissuedontheproperty tobeincludedinTIFDistrictNo.1-39. July22,2011Fiscal/economicimplicationsreceivedbySchoolBoardClerkandCountyAuditor(at least30dayspriortopublichearing).[EhlerswillfaxandmailonorbeforeAugust5, 2011.] July25,2011EhlersconductsinternalreviewofPlans. July28,2011DateofpublicationofEDAhearingnoticeforgrantingabusinesssubsidyandsaleof property(atleast10daysbutnotmorethan20dayspriortohearing).[MonticelloTimes publicationdeadline,July25,2011–Ehlerswille-mailnoticetonewspaperonorbefore July25,2011.] August2,2011PlanningCommissionreviewsPlans. August8,2011CityCouncilapprovesfinalplatfornewlycreatedlotwithintheMonticelloBus.Center 388633v2SJBMN190-139 SCHEDULEOFEVENTS–PAGETWO CITYOFMONTICELLOECONOMICDEVELOPMENTAUTHORITY ANDTHECITYOFMONTICELLO FORTHEPROPOSEDMODIFICATIONTOTHEREDEVELOPMENTPLAN FORCENTRALMONTICELLOREDEVELOPMENTPROJECTNO.1 ANDTHEPROPOSEDESTABLISHMENTOF TAXINCREMENTFINANCINGDISTRICTNO.1-39 August11,2011DateofpublicationofhearingnoticeandmapforaModificationtotheRedevelopment PlanforCentralMonticelloRedevelopmentProjectNo.1andtheestablishmentofTax IncrementFinancingDistrictNo.1-39(atleast10daysbutnotmorethan30dayspriorto hearing).[MonticelloTimespublicationdeadline,August8,2011–Ehlerswille-mail noticeandmaptonewspaperonorbeforeAugust8,2011.] August10,2011EDAholdspublichearingat6:00 P.M.ongrantingbusinesssubsidyandsaleofproperty, andapprovesDevelopmentAgreement. EDAconsidersthePlansandadoptsaresolutionapprovingthePlans. EDAapprovesanInterfundLoaninconnectionwithTIFNo.1-39. ScheduleaPre-designmeetingtoreviewplanspriortosubmittingformalbuildingpermit andsiteplanreviewplans August15,2011Submitbuildingpermitandsiteplanreviewapplications(reviewtakes3weeks) August22,2011CityCouncilholdspublichearingat7:00 P.M.onaModificationtotheRedevelopment PlanforCentralMonticelloRedevelopmentProjectNo.1andtheestablishmentofTax IncrementFinancingDistrictNo.1-39andpassesresolutionapprovingthePlans.[Ehlers wille-mailCouncilpacketinformationtotheCityonorbeforeAugust15,2011.] August23,2011(orwithinaweekthereafter)EhlersfilesrequestforcertificationoftheTIFDistrict;also scheduleclosingonEDAsaleoflandforweekofAugust29th orSeptember5th September6,2011Pre-constructionmeeting ByOctober23,2011(ornotlaterthan60daysafterdateoffilingrequestforcertification)EhlersfilesPlans withtheMNDepartmentofRevenueandtheOfficeoftheStateAuditor. **TheCountyBoard,bylaw,has45daystoreviewtheplantodetermineifanycountyroadswillbeimpactedbythedevelopment.Please beawarethattheCountyBoardcouldclaimthattaxincrementshouldbeusedforcountyroads. Anactionundersubdivision1,paragraph(a),contestingthevalidityofadeterminationbyanauthorityundersection469.175,subdivision3, mustbecommencedwithinthelaterof: (1)180daysafterthemunicipality’sapprovalundersection469.175,subdivision3;or (2)90daysaftertherequestforcertificationofthedistrictisfiledwiththecountyauditorundersection469.177,subdivision1. CityCouncilAgenda:7/11/11 1 5E.Considerationofapprovinganapplicationforanon-saleWine/StrongBeerlicense forPaulyCompanies,Inc,dbaBluestoneGrill,at9351CedarStreet (CS) A.REFERENCEANDBACKGROUND: PaulyCompaniesInc.,operatingasBluestoneGrill,hassubmittedanapplicationforan on-saleWine/StrongBeerlicense.Thebusinesswouldcontinuetobelocatedat9351 CedarStreet.ScottandKarinPaulycurrentlyhaveafullon-saleliquorlicenseand wouldliketoreplacethatwiththeon-saleWine/StrongBeerlicense.Thislicense permitsthesaleofwineforconsumptionwithfoodatarestauranthavingseatingforat least25guests.Thislicensealsoallowsthesaleof3.2andintoxicatingmaltliquors onsite,providingthattheycanshowverificationthattheirgrossreceiptsareatleast60 percenttowardsthesaleoffood.Theyhaveprovidedverificationforthis. TheannualfeeforaWine/StrongBeeron-salelicenseissetat$1200.Thesefeeswould beproratedfromthelicensestartdatethroughJune30,2012.However,thestartingdate ofthelicensewouldbesubjecttotheStateAlcoholandGamblingDivisionbeingopen andavailabletoprocessthenewlicense.Currentlytheyareclosedduetothestate shutdown. AbackgroundcheckwasconductedonthebusinessownersbytheCityandpassed.The WrightCountySheriffhasbeensentacopyoftheapplicationforacriminalandfinancial backgroundcheckandwillneedtosignoffontheapplication.Theownershaveacquired thenecessaryinsurancecertificatecoveringliquorliabilityandworker’scompensationas requiredbystatelaw. AfterapprovalbyCouncilandsuccessfulbackgroundchecks,theapplicationand appropriatedocumentationwillbesenttotheStateforprocessingandgrantingofthe newlicense.Itispossiblethismaybeimpactedbythestateshutdown. B.ALTERNATIVEACTIONS: 1.Motiontoapprovetheapplicationforanon-saleWine/StrongBeerlicensefor PaulyCompaniesInc.,dbaBluestoneGrillat9351CedarStreetandfeestobe proratedsubjecttostateprocessingofthelicense. 2.Motiontodenytheliquorlicenseapplicationatthistime. C.STAFFRECOMMENDATION: CityStaffrecommendsAlternative#1forapprovaloftheapplicationforanon-sale Wine/StrongBeerlicenseforBluestoneGrill. D.SUPPORTINGDATA: LicenseApplication CertificateofInsurance Verificationofsalesreceipts CityCouncilAgenda:7/11/11 1 5F.ConsiderationofadoptingResolutionNo.2011-62approvingRight-of-Way AgreementwithXcelEnergyfortherealignedintersectionofCSAH75and120th StreetwithWrightCounty’sCSAH75realignmentproject.(BW) A.REFERENCEANDBACKGROUND: DuringWrightCounty’sCountyStateAidHighway(CSAH)75bridgeremovaland realignmentproject,whichiscurrentlyunderconstruction,thesectionofCSAH75near thewesterlycitylimitswillberealignedasillustratedontheattachedWrightCounty HighwayRightofWayPlatNo.66.Thisplatshowsthenewpermanenthighwayright- of-wayneededforthenewalignmentofCSAH75,thetemporaryconstructioneasements requiredtoaccommodateconstructionofthenewalignment,andtheexistingalignment ofCSAH75. AspartoftherealignmentofCSAH75,theCountywillneedtorealignaportionof120th StreetNEbetweenInterstateHighway94andCSAH75.Thisnewalignmentisalso depictedontheattachedplat. TheMinnesotaDepartmentofTransportation(Mn/DOT),formerlyknownasthe MinnesotaHighwayDepartment,originallyconveyedtheroadwayeasementfor120th StreetNEtotheCountybywayofQuitClaimDeed.Thisroadwayeasementwasthen revokedtotheCitybytheCountyin1985.SeeResolutionNo.85-18attached.This roadwayconveyanceisshownontheplat.Thesectionof120th StreetNElyingwestofI- 94wasrevokedtoMonticelloTownshipatthesametime. XcelEnergy(dbaNSP)ownsthelandunder120th Street,andpreviouslygrantedtheCity roadwayright-of-wayeasementfor120th StreetNE.Thisexistingroadwayright-of-way easementwillthereforeneedtobeadjustedbyvacatingtheoriginaleasementand establishinganeweasement.TheWrightCountyHighwayDepartmentthereforedrafted aCooperativeAgreementbetweenXcelEnergyandtheCity.AcopyoftheAgreement isattached. XcelEnergyofficialshavereviewedandsignedtheagreement,andarenowaskingCity Officialstodothesame.TheAgreementisintendedtoassurebothpartiesthatthe exchangeofrealestateinterestsrequiredforWrightCounty’sCSAH75projectare acceptabletoeach. ItisestimatedthattheoriginalRoadwayRightofWayEasementfor120th StreetNEto bevacatedbytheCity("CitytoNSPConveyance")containsapproximately44,576 squarefeet(1.023Acre).ItisfurtherestimatedthenewRoadwayRightofWay EasementareatobegrantedtotheCitybyNSP("NSPtoCityConveyance")is approximately57,514squarefeet(1.32Acres).ThisNSPtoCityConveyanceis conveyedasagrantofeasement. BysigningtheCooperativeAgreementtheCitywillvacatetheexistingeasementand establishtheneweasement.AttachedisFigureAshowingtheexistingeasementarea CityCouncilAgenda:7/11/11 2 highlightedinpurple,andFigureBshowingtheneweasementareahighlightedin yellow. NSPandtheCitywillberequiredtoprepareandsubmittotheothertheproposed documentsfortheappropriateconveyances.NSPwillberesponsibleforitsdocument preparation,titleworkandclosingcosts,andWrightCountywillberesponsibleforall suchcostsonbehalfoftheCity. TheCityshallberesponsibleforallfuturemaintenanceoftherealignedsectionof120th StreetNE. A1.BudgetImpact:TheCity’scostassociatedwiththisitemwillbeminimal.Per theattachedROWAgreement,WrightCountyhasagreedtobearallcostson behalfoftheCityforallrequireddocumentpreparation,titleworkandclosing costs. A2.StaffWorkloadImpact:Impactstostaffwillbeminimal. B.ALTERNATIVEACTIONS: 1.MotiontoadoptResolution#2011-62approvingRight-of-WayAgreementwith XcelEnergyfortherealignedintersectionofCSAH75and120th Streetwith WrightCounty’sCSAH75realignmentproject. 2.MotiondenyingadoptionofResolution#2011-62atthistime. C.STAFFRECOMMENDATION: CitystaffrecommendsapprovingAlternative#1. D.SUPPORTINGDATA: Resolution#2011-62 CooperativeAgreement-120th StreetNERoadwayRight-of-WayEasement WrightCountyHighwayRightofWayPlatNo.66 ResolutionNo.85-18 FigureA-Existingroadwayright-of-wayeasement FigureB-Newroadwayright-of-wayeasement CITYOFMONTICELLO WRIGHTCOUNTY,MINNESOTA RESOLUTIONNO.2011-62 APPROVINGCOOPERATIVEAGREEMENTWITHXCELENERGYFOR ROADWAYRIGHTOFWAYEASEMENTFOR120TH STREETNE WHEREAS,120th StreetNEwillberealignedaspartofWrightCounty’sCountyStateAid Highway(CSAH)75realignmentproject,SAP086-675-013;and WHEREAS,XcelEnergy(dbaNSP)ownsthepropertyoccupiedby120th StreetNEbetween InterstateHighway94andCSAH75;and WHEREAS,XcelEnergyiscurrentlygrantingtheCityofMonticelloaroadwayrightofway easementfortheexistingalignmentofthissectionof120th StreetNE;and WHEREAS,XcelEnergyandtheCityofMonticellohaveagreedtovacatetheexistingroadway rightofwayeasementandestablishanewroadwayrightofwayeasementtoaccommodatethe realignmentof120th StreetNEasdefinedinsaidCooperativeAgreement. NOWTHEREFORE,BEITRESOLVED bytheCityCounciloftheCityofMonticello, Minnesota,saidCooperativeAgreementoutliningtheexchangeofrealestateinterestsforthe realignmentof120StreetNEwithWrightCounty’sCSAH75projectisherebyapproved. ADOPTEDBY theMonticelloCityCouncilthis11th dayofJuly,2011. CITYOFMONTICELLO _________________________________ ClintHerbst,Mayor ATTEST: ________________________________ JeffO’Neill,CityAdministrator CERTIFICATION STATEOFMINNESOTA COUNTYOFWRIGHT Iherebycertifythattheforegoingisatrueandcorrectcopyofaresolutiondulypassed, adoptedandapprovedbytheMonticelloCityCouncilattheirscheduledmeetingonJuly11, 2011,andrecordedinminutesofsaidmeeting. ____________________________________ JeffO’Neill,CityAdministrator NotaryPublic:_______________________________ Date:___________________________ (STAMP) CouncilAgenda:07/11/11 1 5G.Considerationofapprovinganapplicationfora1-daytemporaryon-saleliquor licensefortheMonticelloLionsClubfortheirPorkChopFeedonJuly28,2011 (CS) A.REFERENCEANDBACKGROUND: TheMonticelloLionsClubisrequestingapprovalofanapplicationfora1-daytemporary on-saleliquorlicenseonJuly28,2011fortheirannualPorkChopFeed.Following Councilapproval,thislicensedoesneedtobesignedbytheStateofMinnesotaAlcohol andGamblingDivision.Pendingtheoutcomeofthestateshutdown,thismayimpactthe issuanceofthelicense. TheLionsClubhasprovidedacertificateofinsuranceforthiseventnamingtheCityas anadditionalinsured. A1.BudgetImpact:NA A2.StaffWorkloadImpact:MinimalstafftimetosendapplicationtoStateAlcohol andGamblingDivisionforapproval. B.ALTERNATIVEACTIONS: 1.Motiontoapprovetheapplicationfora1-daytemporaryliquorlicenseforthe MonticelloLionsonJuly28,2011. 2.Donotapprovetheapplicationforatemporaryliquorlicense. C.STAFFRECOMMENDATION: CitystaffrecommendsAlternative#1forapprovaloftheapplication.It’sunfortunate thattheStateofMinnesotahasclosedtheAlcoholandGamblingDivisionwhichaffects theissuanceofliquorlicensesandgamblingpermits.FollowingCouncilapproval,the licenseapplicationwillbeforwardedtotheStateforsignatureandhopefullywillnotbe delayed. D.SUPPORTINGDATA: Applicationfortemporaryliquorlicense Certificateofinsurance CityCouncilAgenda:7/11/11 1 7.ConsiderationofadoptingResolutionNo.2011-63acceptingFeasibilityReportand quotesandawardingcontractforWalnutStreetBoulevardImprovements,City ProjectNo.11C003.(BW,BP) A.REFERENCEANDBACKGROUND: WhentheCommunityCenterwasconstructed,brickpaverswereinstalledinvarious boulevardareasalongWalnutStreetbetweenWest7th StreetandWestBroadway. Attachedisalayoutshowingtheseareas.Asignificantnumberofthebrickpavershave sincedeterioratedtothepointthattheyaredisintegratingandneedtobereplaced.The reasonforthisisbecausesealantswerenotappliedtothepaverstopreventtheintrusion ofwateranddeicingchemicals. Thelevelofdeteriorationofthebrickpaversvariesfromlocationtolocation,primarily duetothevaryinglevelsofdeicingchemicalsthathavebeenappliedtothepaversover theyears.Areaswithhighervolumesofpedestriantraffic,streetaccessesandnearbyon- streetparkingtendtoreceivehigherconcentrationsofdeicingchemicalsduringthe wintersotheseareasareintheworstcondition.Thebrickpaversinareasfrequentedby fewerpedestriansareinbetterconditionsincefewerchemicalswereappliedthere. PicturesoftheexistingbrickpaversareincludedintheattachedFeasibilityReport. OnMay23,2011,theCityCouncilauthorizedthepreparationofaFeasibilityReportto explorethefeasibilityofanimprovementprojecttocorrectthisissue.Staffhassince completedthereport,whichisattachedassupportingdata.Thereportexploresexisting conditions;proposedimprovementsincludingprojectscope;estimatedcosts;financing options;estimatedprojectschedule;andadeterminationastothenecessity,feasibility andcost-effectivenessoftheproject. TheproposedimprovementsoutlinedintheFeasibilityReportemployaphasedapproach wherebyspecificareasofbrickpaversthathavedeterioratedtothepointthattheyneed immediatereplacementwouldbereplacedin2011withstamped,coloredconcreteofa colorandstampingpatternthatwouldcloselymatchthecolorandpatternofthebrick paversthatexisttoday.Theremainingbrickpaverareas,whicharestillinserviceable condition,arethenproposedtobeleftinplaceandmonitoredovertime.Asthesepavers approachtheendoftheirusefullivesstaffwillthenrequestCouncilapprovaltocomplete additionalimprovementstoreplacetheminasimilarmanner.Thisapproachwould provideforaconsistentlookalongthecorridor.Anditshouldbenotedthatinaddition tomonitoringtheremainingpavers,staffwillexploreoptionsforsealingthepaversonan on-goingbasistoensuretheirmaximumlife. StaffrecommendsreplacingthepaversintheboulevardareasalongWalnutStreetfrom 6th to4th Streets.Thesearedenotedasareas4,5and6intheattachedreport.Allother brickpaverareasalongWalnutStreet,denotedasareas1,2,3,7and8,wouldbe monitored,maintained,andreplacedasneeded.Staffalsorecommendsreplacing approximately575squarefeetofconcretesidewalkalongWalnutStreetinfrontof CargillKitchenSolutionsasthesidewalkiscrumblingalongitsedgesandjoints. CityCouncilAgenda:7/11/11 2 Staffalsorecommendsreplacingthebrickpaversinthetwopedestriancrosswalkson WalnutStreetand5½StreetbetweentheCommunityCenterandtheTownCentre developmentasmostofthebricksareinpoorcondition.Staffrecommendsreplacingthe brickpavercrosswalkswithbituminouspavementandanaggregatereinforced thermoplasticsystemcalledStreetPrintXDmadebyDuraTherm.Thisproductis reportedlyverydurable,requireslittletonomaintenance,andhasthesamelookandfeel oftheexistingbrickpaverswhich,accordingtoJohnTwardy,isveryimportanttoMr. Veitwhohadsignificantinputintheinstallationoftheoriginalbrickpavers.Theseare thesamecrosswalkmarkingsrecentlyinstalledattheintersectionofHighway’s10&25 inBigLake.TheFeasibilityReportincludespicturesofthesecrosswalkmarkings.The markingswouldbeinstalledbyaprivatecontractoroverthenewbituminouspavement thatwouldbeplacedbyPublicWorksstaff. Staffalsorecommendsinstallingstamped,coloredconcreteinthecenterofthedelineator islandsintheblock35municipalparkinglot.Figuresinthefeasibilityreportshowplans toinstallplantersontopoftheconcretecovereddelineatorislands,whichwouldbe movedoffoftheislandsinthewintertoallowfortemporarysnowstorageontheislands. AvailablefundingsourcesfortheproposedimprovementsincludeStreetReconstruction Funds,LiquorFunds,thegeneralfund,bondsales,and/orspecialassessments.Staffdoes notrecommendusingspecialassessmentstofundthisprojectasmanyoftheproperty ownersalongWalnutStreetlikelyrecentlymadetheirfinalpaymentfortheoriginalbrick paverassessments,whichdidnotlastnearlyaslongasanticipated.However,thereare about30sidewalkpanelsalongWalnutStreetadjacenttoCargillKitchenSolutionsthat arefailingandifthesearereplacedaspartoftheprojecttheuseofassessmentsmaybe appropriateduetothenatureandlocationofthoseimprovements. TheCitybudgetsbetween$250,000and$500,000annuallyforstreetreconstruction projectsandtheStreetReconstructionFundhasacurrentbalanceofalittlemorethan $2,700,000sothisfundcouldalsobeusedtopayforallorpartoftheproject.The LiquorFundhasacurrentbalanceofabout$2,500,000andcouldthereforebeusedto payforallorpartoftheimprovements.Lastly,theCitycouldfundallorpartofthe improvementsthroughthesaleofbonds.Bondratesarecurrentlyaround3.5%. Itisanticipatedthatacombinationoftheabovefundingsourceswillfund100%ofthe project.StaffrecommendsusingtheStreetReconstructionFundtofundtheentiretyof theproject. ByacceptingthisFeasibilityReportaswritten,Councilwillapproveconstructionofthe proposedimprovementsinaphasedapproachincludingareas4,5,6,7and10in2011, andwillbeauthorizingstafftomonitortheconditionofthepaversinareas1,2,3,8and 9overtime.Theattachedreportwaspreparedin-houseatminimalcosttotheCity. Asisshownintheattachedreport,ifCouncilacceptstheFeasibilityReportandawardsa contractthisevening,constructionoftheimprovementswouldlikelybegininlateJuly CityCouncilAgenda:7/11/11 3 andcouldbecompletedbytheendofSeptember.Thisscheduleisdependentonthe fundingsourcesutilizedtopayfortheimprovements,aswellasonthescheduleofPublic Worksstaffsincetheyareproposedtocompletesomeofthework.Shouldspecial assessmentsbeused,CouncilwouldneedtoholdPublicHearingswhichwoulddelaythe constructionschedule. A1.BudgetImpact:Basedonthequotesreceivedandtabulatedintheattached FeasibilityReport,replacingtheexistingbrickpaversalongtheWalnutStreet corridorwithstamped,coloredconcretematchingthecolorandpatternofthe remainingbrickpaversasidentifiedintheattachedFeasibilityReportwillcosta littleover$51,000.TheestimatedcostforhavingCitystaffremovetheexisting paverbricksfromthetwopedestriancrosswalksandprepandpavetheopen areas,andthencontractthenewpavementmarkingworkoutisabout$10,500. Thiswouldbringthetotalestimatedcostfortheproposedimprovementstoabout $61,500. ItshouldbenotedthattheCity’s2011budgetand5-yearCapitalImprovement Plandonotincludefundsfortheseimprovements,withtheexceptionof$10,000 whichwasincludedinthebudgetforreconstructingtheWalnutStreetcrosswalk. A2.StaffWorkloadImpact:IfCouncilacceptstheFeasibilityReportandawardsa contract,severalstafffromthePublicWorksandEngineeringDepartmentswill beinvolvedwiththisimprovementprojectincludinginspectingtheconcretework andreconstructingthetwoexistingcrosswalksasidentifiedintheattached Report. B.ALTERNATIVEACTIONS: 1.MotiontoadoptResolution#2011-63acceptingtheFeasibilityReportandquotes, andawardingacontractfortheWalnutStreetBoulevardImprovements,City ProjectNo.11C003,toStraightLineConcreteintheamountof$________. 2.MotiontodenyadoptionofResolution#2011-63atthistime. C.STAFFRECOMMENDATION: CitystaffrecommendsapprovingAlternative#1. Aswasnotedearlier,thedeterioratingbrickpaverspresenttriphazardstopedestrians aroundtheLibraryandtheCommunityCenter,includingtoddlersandtheelderly.Staff believesthiswillbeanongoingissueandthattheworstpaversasidentifiedinthe attachedFeasibilityReportshouldbereplacedin2011withstamped,coloredconcrete closelymatchingthecolorandpatternoftheexistingbrickpavers. CityCouncilAgenda:7/11/11 4 D.SUPPORTINGDATA: Resolution#2011-63 FeasibilityReport-CityProjectNo.11C003 CITYOFMONTICELLO WRIGHTCOUNTY,MINNESOTA RESOLUTIONNO.2011-63 ACCEPTINGFEASIBILITYREPORTANDQUOTESANDAWARD CONTRACTFORWALNUTSTREETBOULEVARDIMPROVEMENTS, CITYPROJECTNO.11C003 WHEREAS,onMay23,2011,theMonticelloCityCouncilauthorizedthepreparationofa FeasibilityReportforproposedimprovementstotheboulevardsalongWalnutStreetfrom7th StreetWesttoWestBroadway;and WHEREAS,CitystaffhascompletedaFeasibilityReportandsolicitedquotesfortheproposed repairsandimprovements; NOWTHEREFOREBEITRESOLVED,thattheMonticelloCityCouncilherebyacceptsthe FeasibilityReportandquotesassubmitted;and BEITFURTHERRESOLVED,thattheCityCouncilofMonticello,Minnesotaherebydeclares: 1.Suchimprovementsarenecessary,cost-effectiveandfeasibleasdetailedinthefeasibility report. 2.SuchimprovementsareherebyorderedasproposedintheCouncilresolutionadoptedJuly 11,2011. 3.TheCityEngineerisherebydesignatedastheengineerforthisimprovement. ADOPTEDBY theMonticelloCityCouncilthis11thdayofJuly,2011. CITYOFMONTICELLO ______________________________ ClintHerbst,Mayor ATTEST: ________________________________ JeffO’Neill,CityAdministrator CityCouncilAgenda:7/11/11 1 8.ConsiderationofadoptingResolution#2011-64approvingCSAH75Pedestrian UnderpassImprovements,CityProjectNo.10C010,andauthorizingpaymentof $92,463.50toWrightCountyaccordingtoMemorandumofUnderstanding (BW/JO) A.REFERENCEANDBACKGROUND: TheCityCouncilisaskedtoadoptResolution#2011-64approvingareducedscope versionoftheCSAH75PedestrianUnderpassImprovements,CityProjectNo.10C010, andauthorizingpaymenttoWrightCountyintheamountof$92,463.50asrequiredper theattachedMemorandumofUnderstanding(MOU)betweenWrightCountyandthe CityofMonticellodatedJune29,2011. TheMOUdescribesthetermsandconditionsforpaymentofthecostsassociatedwiththe reducedscopeCSAH75PedestrianUnderpassImprovementsproject,whichCitystaff negotiatedwithWrightCountyandtheircontractor,R.L.Larson,onJune29th.Oncethe projectscopeandbidpriceswereagreeduponbyallsides,aSupplementalAgreement wasexecutedtherebyallowingtheCitytomoveforwardwithconstructionofthereduced scopeunderpassimprovementswiththeCounty’sproject.Theamountrequestedfor paymentequals95%oftheSupplementalAgreementestimatedcostof$97,330. Thereducedscopeprojectwouldincludetheconstructionofthepedestrianunderpass, completewithendsectionsandlightingamenities,althoughtheendsoftheboxculvert willbeburieduntilsuchtimethatoneormoreoftheconnectingpathwaysegmentsare readytobeconstructed,whichwilllikelydependonwhethertheCityisawardedthe grantsweappliedforthroughtheDNR.AsCouncilmayrecall,thetotalestimatedcost forthethreepathwaysegmentsis$110,000,andthegrantswouldcoverupto50%ofthe costofthepathwayimprovements,whichwouldneedtobeconstructedbyJune30, 2013.TheCity’ssharewouldthenbe$55,000,unlessotherfundingsourcesarefound. TheCouncilshouldnotethat$40,000wasbudgetedin2011bytheParksDepartmentfor pathwayconstructionpurposessothisamountcouldbeappliedtothepathwaysegments. Andaswasdiscussedpreviously,onMay17th theParksCommissionrecommendedthat theCityCouncilapproveconstructionoftheseimprovementssincetheyaligndirectly withthegoalsoftheCity’sParksandTrailsPlan. CouncilshouldalsonotethatallofthelightingfixtureswouldbestoredatPublicWorks untilsuchtimethattheunderpasswasreadytobeused.Onlythelightingconduitand bracketswouldbeinstalledatthistimesincetheyareanchoredtotheoutsidewall. Thereducedscopeprojectwouldalsoincludetheconstructionofa24”culvertabout 100’westoftheunderpass.Thisculvertwillbeneededinthefuturetoconvey stormwaterrunofffromonesideofCSAH75totheothertopreventfloodingofthe underpass.Aswiththeunderpass,installingthisculvertnowmakessensetodosinceit canbemostcost-effectivelyinstalledbyplacingitunderthenewroadwaybeforethe roadwayisbuiltup. CityCouncilAgenda:7/11/11 2 OnMarch28th theCityCouncilapprovedfinalplansandspecificationsandauthorized advertisingbidsfortheCSAH75PedestrianUnderpassandPathwayImprovementsasan alternatebidtoWrightCounty’sCSAH75Realignmentproject.OnJune7th,Wright Countyopenedbidsfortheimprovements.R.L.LarsonExcavating,Inc.submittedthe lowbasebidfortheCSAH75Realignmentprojectintheamountof$1,741,575.66. OnJune13th theCityCouncilwasaskedtoacceptthebidsandawardacontracttoR.L. Larsonintheamountof$250,200.50forconstructingtheCSAH75PedestrianUnderpass andPathwayImprovements.TheCityCouncildeniedawardingacontractforthe improvements,butdidagreetofundupto$50,000towardstheimprovementsifoutside fundingsourcessuchasWrightCountywouldagreetofundtheremainderofthe improvements. AsCouncilwillrecall,XcelEnergypreviouslyagreedtocontribute$20,000tothe improvements.Theirletterofsupportisattachedforreference.Itshouldbenotedthat thisisinadditiontothe$3,500theypreviouslyagreedtocontributetowardsplan preparationcosts,andtothemorethan3acresofeasementstheyagreedtoprovideatno chargeforthepathwaysanddrainageponds. OnJune14th CitystaffonceagainaddressedtheCountyBoardtorequestacontribution forthepedestrianunderpassimprovements.Asbefore,theCountyBoarddeniedour requesteventhoughtheysupportedtheimprovementsinconcept.Atthatsamemeeting, theBoardawardedacontracttoR.LLarsonforconstructingthebasebidimprovements whichincludedtheremovaloftheexistingCSAH75bridgeovertheBNSFrailroad tracksandtherealignmentofCSAH75. WhenitwasdeterminedthatWrightCountywasnotgoingtoprovideacash contribution,DanCollinsfromtheMNDepartmentofTransportation,BikeandTrails Divisionwascontactedforfundingsourceideas.Henotedthatsomecitieshaveworked withlocalorganizationsthatconductpull-tabgamblingoperationstoobtaingapfunding neededtoconstructlocalpathwaysincludingunderpasses.Inresponsetothisadvice, RandyVogt,GamblingManageroftheLandOfLakesChoirboys,wascontacted regardingthisprojectidea,andherespondedinanenthusiasticfashion.OnJune28th,the ChoirboyssubmittedaletterofsupporttotheCityinwhichtheynotedtheywillmakea strongrecommendationtotheirmembershiptoapproveacontributionintheamountof $15,000onJuly12th.Henotedthateveryrecommendationhehasmadeinthepasthas beenratifiedbythemembership.Thisletterisattachedassupportingdata. StaffalsocontactedVeoliaEsSolidWasteMidwest,LLCtoaskiftheywouldbewilling tocontributetotheimprovements.Veoliahassinceprovidedanemailpledgingtheir contributionintheamountof$15,000.Thisemailisattachedassupportingdata. Intotal,$50,000hasbeenpledgedbyotherstoconstructthereducedscalepedestrian underpassimprovements.AddingthatamounttotheCityCouncil’sapproved$50,000 resultsinatotalfundingamountof$100,000whichisjustenoughtoconstructtheCSAH CityCouncilAgenda:7/11/11 3 75pedestrianunderpassanda24”stormculverttothewestbasedontheestimated SupplementalAgreementcosts. IfCouncilapprovestheconstructionofthepedestrianunderpassand24”culvert,theCity willneedtoimmediatelysubmitadvancepaymenttoWrightCountyintheamountof $92,463.50insupportoftheexecutedMemorandumofUnderstanding. PotentialCityfundingsourcesforthescaledbackPedestrianUnderpassimprovements includeStateAidFunds,StreetReconstructionFunds,and/orLiquorFunds.Thecurrent StateAidFundbalanceisover$1,200,000.Theentirecostofthepedestrianunderpass and24”culvertiseligibleforoff-systemStateAidfunding.However,thiswouldreduce theamountofStateAidfundsavailableforotherpotentialStateAidprojects,though someorallofthoseprojectsmayalsobepaidforusingotherfundingsources. ThecurrentStreetReconstructionFundbalanceisalittleover$2,700,000whichcouldbe usedtopayforallorpartoftheseimprovements.ThecurrentLiquorFundbalanceis about$2,650,000whichcouldbeusedtopayforallorpartoftheseimprovements. A1.BudgetImpact:TheCity’scostforthereducedscopepedestrianunderpass improvementsis$50,000.ThisofcourseassumestheLandofLakesChoirboys willapproveacontributiontotheseimprovementsintheamountof$15,000on July12th.Pertheirattachedletteritappearsthecontributionwillbeapproved. A2.StaffWorkloadImpact:StafffromtheEngineeringDepartmentwillbe impactedtovariousextentsifCouncilapprovesthereducedscopepedestrian underpassimprovements. B.ALTERNATIVEACTIONS: 1.MotiontoadoptResolution#2011-64approvingCSAH75PedestrianUnderpass Improvements,CityProjectNo.10C010,andauthorizingpaymentof$92,463.50to WrightCounty. 2.MotiondenyingadoptionofResolution#2011-64atthistime. C.STAFFRECOMMENDATION: CitystaffrecommendsapprovingAlternative#1totakeadvantageofthecost-effective opportunitythathaspresenteditself.IftheCityisindeedcommittedtoprovidingasafe, grade-separatedpedestriancrossingonthewestendofCSAH75,thiswilllikelybethe mostcost-effectiveopportunitywe’llhavetodoso. InadditiontoStateGrantfunding,staffwillbeseekingadditionalparticipationfrom othersthatmightbeinterestedinbuildingtheconnectingpathwayswiththehopesthat CityCouncilAgenda:7/11/11 4 sufficientfundingcanbefoundtoenablethepathwaystobeconstructedaspartofthe CSAH75reconstructionprojectthissummer. D.SUPPORTINGDATA: Resolution#2011-64 SupplementalAgreement MemorandumofUnderstanding XcelEnergyLetterofSupport LandofLakesChoirboysofMinnesota,Inc.LetterofSupport VeoliaEscontributionpledgeemail CITYOFMONTICELLO WRIGHTCOUNTY,MINNESOTA RESOLUTIONNO.2011-64 ORDERINGIMPROVEMENTSANDAUTHORIZINGADVANCEPAYMENT ACCORDINGTOWRIGHTCOUNTYMEMORANDUMOFUNDERESTANDING, CSAH75PEDESTRIANUNDERPASSIMPROVEMENTS CITYPROJECTNO.10C010 WHEREAS,theMonticelloCityCouncil,attheJune13,2011councilmeeting,denieda resolutiontoacceptbidsandawardacontractfortheCSAH75PedestrianUnderpassand PathwayImprovementsProjectasoriginallyproposed;and WHEREAS,onJune13,2011,theMonticelloCityCouncilapprovedamotionauthorizing expenditureofupto$50,000towardapedestrianunderpassaspartoftheWrightCounty’s CSAH75improvementproject;and WHEREAS,onJune29,2011,theCitynegotiatedaSupplementalAgreementwithWright CountyandthecontractorwhowasawardedthecontractforWrightCounty’sCSAH75 improvementproject,SAP086-675-013,forthepurposeofconstructingareducedscope pedestrianunderpassimprovementprojectintheestimatedamountof$97,330aspartofWright County’sCSAH75project;and WHEREAS,theCityhasreceivedpledgesofupto$50,000whicharedesignatedfortheCSAH 75PedestrianUnderpassImprovementsandwillsupplementthetotalcostoftheproject; NOWTHEREFORE,BEITRESOLVED bytheCityCounciloftheCityofMonticello, Minnesotaasfollows: 1.SaidimprovementsareapprovedasdetailedintheSupplementalAgreementtoSAP086- 675-013. 2.TheimprovementsdescribedareherebydesignatedandshallbeknownastheCSAH75 PedestrianUnderpassImprovements,CityProjectNo.11C010. 3.TheCityEngineerisherebydirectedtoexecutetheMemorandumofUnderstanding datedJune29,2011withWrightCountyonbehalfoftheCityforsaidimprovements. ADOPTEDBY theMonticelloCityCouncilthis11th dayofJuly,2011. CITYOFMONTICELLO ____________________________________ ClintHerbst,Mayor ATTEST: ______________________________ JeffO’Neill,CityAdministrator CERTIFICATION STATEOFMINNESOTA COUNTYOFWRIGHT Iherebycertifythattheforegoingisatrueandcorrectcopyofaresolutiondulypassed, adoptedandapprovedbytheMonticelloCityCouncilattheirscheduledmeetingonJuly11, 2011,andrecordedinminutesofsaidmeeting. ____________________________________ JeffO’Neill,CityAdministrator NotaryPublic:_______________________________ Date:___________________________ (STAMP) CityCouncilAgenda:07/11/11 1 9.ConsiderationofadoptingResolution#2011-65toacceptcontributionsfromVeolia EsSolidWasteMidwest,LLCandXcelEnergyfortheCSAH75Pedestrian Underpass,CityProjectNo.10C010 (BW/JO) A.REFERENCEANDBACKGROUND: IfCouncilapprovesmovingforwardwiththereducedscopeCSAH75Pedestrian UnderpassImprovementsinthepreviousagendaitemtheyarenowaskedtoacceptthese contributionswhichwillhelpfundthecostoftheproject.TheCityhasreceivedpledges forcontributionsfromthefollowingsourcestohelpdefraythecostofconstructingthe pedestrianunderpassimprovements. VeoliaEsSolidWasteMidwest,LLC–Contributionof$15,000 XcelEnergy–Contributionof$20,000plusnecessaryeasements Asrequiredbystatestatute,iftheCityacceptsthedonationoffunds,theCityCouncil needstoadoptaresolutionspecifyingtheamountofthedonationanditsuse. PleasenotethattheLand-O-LakesChoirboysissettoformallyratifytheGambling Manager’srecommendation($15,000)attheirregularmeetingonJuly12th.Historically, theChoirboyshavealwaysratifiedtheManager’srecommendation.Formalacceptance ofthisdonationisbeingsetforthenextmeetingoftheCityCouncil. A1.BudgetImpact:ThesecontributionswillreducetheCity’scontributionneeded toconstructtheproposedpedestrianunderpassimprovementsbytheamounts listed. A2.StaffWorkloadImpact:Staffaccountsforandreconcilesdonationscontributed throughtheCity. B.ALTERNATIVEACTIONS: 1.Motiontoapprovethecontributionsandauthorizeuseoffundsasspecified. 2.Motiontodenyacceptingthecontributionsandtoreturnthefundstothedonors. C.STAFFRECOMMENDATION: Staffrecommendationistoadopttheresolutionacceptingthecontributions. D.SUPPORTINGDATA: Resolution#2011-65 CITYOFMONTICELLO RESOLUTIONNO.2011-65 APPROVINGCONTRIBUTIONS WHEREAS,theCityofMonticelloisgenerallyauthorizedtoaccept contributionsofrealandpersonalpropertypursuanttoMinnesotaStatutesSections 465.03and465.04forthebenefitofitscitizensandisspecificallyauthorizedtomaintain suchpropertyforthebenefitofitscitizensinaccordancewiththetermsprescribedbythe donor.SaidgiftsmaybelimitedunderprovisionsofMNStatutesSection471.895. WHEREAS,thefollowingpersonsandorentitieshaveofferedtocontribute contributionsorgiftstotheCityaslisted: DONOR/ENTITYDESCRIPTIONVALUE VeoliaEsSolidWasteMidwest,LLCCash$15,000 XcelEnergyCash$20,000 WHEREAS,allsaidcontributionsareintendedtoaidtheCityinestablishing facilities,operationsorprogramswithinthecity’sjurisdictioneitheraloneorin cooperationwithothers,asallowedbylaw;and WHEREAS,theCityCouncilherebyfindsthatitisappropriatetoacceptthe contributionsoffered. NOWTHEREFOREBEITRESOLVED bytheCityCouncilofMonticelloas follows: 1.ThecontributionsdescribedaboveareherebyacceptedbytheCityof Monticello. 2.Thecontributionsdescribedabovewillbeusedasdesignatedbythe donor.Thismayentailreimbursingorallocatingthemoneytoanother entitythatwillutilizethefundsforthefollowingstatedpurpose: DONOR/ENTITYRECIPIENTPURPOSE VeoliaEsSolidWasteMidwest,LLCCityofMonticelloCSAH75PedestrianUnderpass XcelEnergyCityofMonticelloCSAH75PedestrianUnderpass ADOPTEDBY theCityCouncilofMonticellothis11thdayofJuly,2011. CITYOFMONTICELLO ______________________________ ClintHerbst,Mayor ATTEST: ______________________________________ JeffO’Neill,CityAdministrator