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