HomeMy WebLinkAbout07-10-00 CITY OF HASTINGS
Monday
COUNCIL MEETING 7:00 P.M. DATE: July 10, 2000
1. CALL TO ORDER:
II. ROLL CALL:
III. DETERMINATION OF QUORUM:
IV. APPROVAL OF MINUTES:
Approval of Minutes of the Regular Meeting of June 19, 2000
RESOLUTION of CONGRATULATIONS TO BONNIE LATHAM AS THE
WINNER OF THE NATIONAL JUNIOR DUCK STAMP PROGRAM
V. COUNCIL ITEMS TO BE CONSIDERED:
VI. CONSENT AGENDA:
The items on the Consent Agenda are to be acted upon by the City Council in a
single motion. There will be no discussion of these items unless a
Councilmember or citizen so requests, in which event the items will be removed
from the Consent Agenda to the appropriate department for discussion.
1. Pay All Bills As Audited
2. Resolution --Approve Resolution to Finance Bleacher Improvements
3. Approve One Day Gambling License to Regina Medical Center to Conduct a
Raffle
4. Approve Transfer of Liquor Locker Liquor License
5. 2000 Rivertown Days Agreement
6. Patrol Officers' Union Contract
7. Schedule Special City Council Meeting —Tuesday, August 15, 2000
8. Fire Department Secretary
9. YMCA Feasibility Study
10. Awning Replacement, 203 Second Street East
VII. AWARDING OF CONTRACTS & PUBLIC HEARING:
1. Award Contract, 2000 Sealcoat Program
2. Public Hearing -- Business Subsidy, Diversified Manufacturing
3. Public Hearing -- Business Subsidy, Miller Electric
VIII. REPORTS FROM CITY STAFF:
A. Public Works
1. Resolution -Amend 2000 CDBG Program to Include Funding Sewer
and Water Service Connections for East 7th Street and Authorize
Assessing Sewer and Water Connection Fees for East 7th Street
2. Railroad Crossing Upgrade Expenses, 2000 Improvement Program, 6th
& 7th Streets
3. Settlement Agreement, Solac appeal of 1998 Improvement Program
Featherstone Road Assessments
B. City Planner
1. Rescind Preliminary Approval for Diversified Manufacturing Corp.
2. Approve Miller Development & Subsidy Agreements
3. Preliminary Approval — Green Lawn Industrial Park Land Sale
4. Concept Approval -- Guardian Angels Block Financing & Site Plans
5. Special Use Permit-- Site Plan Personal Communication Services
(PCS) 75' Tower
6. Neighborhood Group Petition
C. Administrator
1. Enterprise Facilitation Program Funding Request
IX. COMMENTS FROM AUDIENCE:
X. UNFINISHED BUSINESS:
XI. NEW BUSINESS:
XII. REPORTS FROM CITY COMMITTEES, OFFICERS, COUNCILMEMBERS:
XIII. ADJOURNMENT:
Next Regular City Council Meeting on Monday, July 24, 2000
Hastings, Minnesota
June 19,2000
The City Council of the City of Hastings,Minnesota met in a regular meeting on Monday,
June 19, 2000 at 7:00 p.m. in the City Hall Council Chambers, 10141 St. E.,Hastings, Minnesota
Members Present: Councilmember Yandrasits, Riveness, Simacek, Johnson, Hicks, Moratzka
& Mayor Werner
Members Absent: None
Staff Members Absent: Dave Osberg, City Administrator;
Shawn Moynihan, City Attorney;
Matt Weiland, City,Planner;
Melanie Mesko,Administrative Assistant/City Clerk
Approval of Minutes
Mayor Werner asked if there were any corrections or additions to the minutes of the regular
meeting of June 5, 2000 and hearing none approved the minutes as presented.
7 Ayes;Nays,None
Consent Agenda
Moved by Councilmember Johnson,seconded by Councilmember Yandrasits,to approve the
Consent Agenda as presented.
7 Ayes;Nays,None
1. Pay All Bills As Audited
2. Approve Liquor License Renewals for 2000-2001
3. Order Public Hearing on July 10, 2000 on Public Subsidy for Miller Electric,Inc.
4. Order Public Hearing on July 10, 2000 on Public Subsidy for Diversified Manufacturing
5. Resolution No. 6-4-00-Approve Gambling License for Church of St. John the Baptist on
September 30, 2000
6. Pay Estimate for 2000 Improvement Program
7. Temporary Increase in Compensatory Time Cap
8. Adjustment to Fire Department Budget
9. Approve Tobacco License for Wal-Mart
10. Resolution No. 6-5-00-Approve Fees for Dangerous Dog Registration
11. Resolution No. 6-6-00-Establishing a Drug-Free Workplace Policy
Special Use PermWSite Plan-75 foot tower 3050 Hwy 316
City Planner Weiland stated that US West Wireless has made application for a special use
permit and site plan approval to construct a 75 foot monopole communication tower at 3050 Hwy
316.
Councilmember Hicks stated that he had concern regarding the towers location interfering
with local radio signals.
Moved by Councilmember Hicks,seconded by Councilmember Johnson,to table this issue.
7 Ayes;Nays,None
Comp Plan Amendment for Bailey Ridge and Hastings Marketplace
City Planner Matt Weiland stated that Council is requested to approve a Comprehensive Plan
Amendment that would approve land use changes to two properties in the City faster than the overall
approval of the City's Comprehensive Plan. This amendment is to reaffirm the City's
Comprehensive Plan decisions made in February,2000 and to allow these properties to be developed
in a reasonable and timely manner. Weiland stated that the comprehensive plan amendment does
not change the 2020 Comprehensive Plan in any way;it just speeds up the approval process for these
two properties and the land use amendment is consistent with the 2020 Comprehensive Plan the City
Council adopted.
Moved by Councilmember Simacek, seconded by Councilmember Yandrasits, to submit
Comprehensive Plan Amendments to the Metropolitan Council.
7 Ayes;Nays,None
Unfinished Business
Councilmember Moratzka stated that the City has received a grant from the Met Council for
the Highway 61/47 trail underpass.
Adjournment
Moved by Councilmember Johnson,seconded by Councilmember Riveness,to adjourn the
meeting at 7:21 p.m.
7 Ayes;Nays, None
ATTEST
Mayor City Clerk
CITY OF HASTINGS
101 4th Street East - Hastings, MN 55033-1955
651-437-4127 - Fax: 651-437-7082
RESOLUTION #
Resolution of Congratulations to Bonnie Latham as the
Winner of the National Junior Duck Stamp Program
WHEREAS, Bonnie Latham participated in the Minnesota Junior Duck Stamp
Program along with 1,100 Minnesota youth and 45,000 students nationwide; and
WHEREAS, Bonnie Latham has contributed to the awareness of North American
waterfowl by creating an acrylic painting of northern pintail; and
WHEREAS, Bonnie Latham's painting won the Best-of-Show in the Minnesota
Junior Duck Stamp Competition; and
WHEREAS, Bonnie Latham's painting represented Minnesota in the National
Competition and was judged best of the fifty states and the District of Columbia, thereby
winning the National Competition; and
WHEREAS, the northern pintail painting will serve as the design for the 2000-
2001 Junior Duck Stamp, and serves as a fostering of love and respect of our natural
resources; and
WHEREAS, Bonnie Latham's achievement reflects well on the City of Hastings;
and
NOW,THEREFORE BE IT RESOLVED BY THE CITY OF HASTINGS, THAT
the City Council of the City of Hastings offers its congratulations to Bonnie
Latham as the winner of the National Competition for the Junior Duck Stamp
Program.
Adopted by the Hastings City Council this 10th Day of July, 2000
Michael D.Werner Melanie Mesko
Mayor City Clerk
-seal-
'
Hastings on the Mississippi
ME T� "F
c United States Department of the Interior
FISH AND WILDLIFE SERVICE
N g'°.° Minnesota Valley National Wildlife Refuge
3815 East 80th Street
Bloomington,Minnesota 55425-1600
June 26, 2000
Honorable Mayor Warner
City Hall
101 E e St
Hastings, Minnesota, 55033
Honorable Mayor Warner,
I am writing to you in regard to Bonnie Latham, 17, of Hastings, Minnesota, who won the
Minnesota Junior Duck Stamp Competition with her acrylic rendering of a pair of northern
pintails. Congratulations! This certainly is a big win for your city. Bonnie's painting will be the
design for the 2000-2001 Junior Duck Stamp to be issued on July 1 at a ceremony at the
Smithsonian Museum in Washington, D.C.
I would to request that Bonnie's significant accomplishment be recognized via a proclamation
from the city. I have been in conversation with Michelle Jacobs, Hastings Area Chamber and
Visitor Bureau and Jaque Langenfeld, Minnesota Waterfowl Association (MWA), Inc. We hope
you concur with our suggestion. We would also suggest that perhaps the MWA banquet in the
fall could serve as a venue for the presentation.
Upon winning this competition, Bonnie was awarded a scholarship for$2500. Bonnie and her
family will also be at the upcoming ceremony at the Smithsonian for the issuance of the stamp.
In November, Bonnie and her teacher, who happens to be her mother, and her father will be
invited to Washington, D.C. for a week with all expenses paid. In Washington, Bonnie and her
family will be given a tour of the city and will be honored with a congressional reception. There
will also be a recognition dinner at the Press Club and ceremonies in conjunction with the Adult
Federal Competition which will be concurrent with Bonnie's trip to Washington.
Bonnie is the first Minnesota youngster to win this coveted award. Her win is significant not
only for her career but it will also help to promote the Federal Duck Stamp Program in
Minnesota. This program teaches conservation through an arts curriculum. I strongly believe
that this program goes a long way to creating tomorrow's stewards of our natural resources.
am enclosing a few "whereas" clauses that might assist you in preparing the requested
proclamation. I would greatly appreciate your consideration in this matter. If you have any
questions or if I can assist you in anyway, please call me at 612-858-0712.
Sincerely,
)
Juie Miller
Coordinator, Minnesota Junior Duck Stamp Program
VI-1
Date: 07/06/2000 Time: 15:36:41 Operator: LYNNE BENSON
Page: 1
City of Hastings
FM Entry - Invoice Payment - Approval of Bills
Check # Vendor Alpha Name Description Dept Amount
------- --------------------- ------------------------ ------- -----------
o BDM CONSULTING ENGINES TARGET SFR 12,540.00
0 BOLTON & MENK INC UTILITY INSPECTIONS *'**+*'* 8,483.26
0 GOODMAN, DUANE TRAC TOKENS RETURNED »xx+:+«+ 34.50
0 HASTINGS AREA CHAMBER/ MAY 2000 LODGING TAX *+*""* 8,468.89
0 LARSON PLUMBING REFUND BLDG PERMIT 1908- +****'** 148.00
0 MARTIN, JIM & MELISSA REFUND OVER PAYMENT UTIL "'*'*** 61.25
0 MCES MAY SAC CHARGES *'*"+'* 18,176.40
0 MINNESOTA MUTUAL JULY LIFE INSURANCE ++«wwx+w 1,241.40
0 REGINA MEDICAL CENTER JULY WELLNESS **+*+*" 878.00
Total for Dept '* 50,031.70*
0 MESKO, MELANIE MILEAGE COUNCIL 6.38
0 MINNESOTA MUTUAL JULY LIFE INSURANCE COUNCIL 103.13
Total for Dept 6011 109.51*
0 FARMER BROS CO. COFFEE ADMINIST 47.84
0 FORTIS BENEFITS INS CO JULY LTD ADMINIST 58.29
0 IKON OFFICE SOLUTIONS COPIER MAINT 6/12-7/12 ADMINIST 265.73
0 MINNESOTA MUTUAL JULY LIFE INSURANCE ADMINIST 37.50
0 OSBERG, DAVID M. LMC CONF-OSBERG ADMINIST 190.37
0 REGINA MEDICAL CENTER JUNE PROFILES ADMINIST 560.00
0 SPRINT JUNE PHONE ADMINIST 1,074.25
0 WAL MART STORE #01-147 BATTERIES ADMINIST 10.59
Total for Dept 6020 2,244.57-
0 FORTIS BENEFITS INS CO JULY LTD CITY CLE 17.03
0 HAMLINE UNIVERSITY SPRING 2000 TUITION-MESK CITY CLE 1,020.00
0 HASTINGS STAR GAZETTE DANGEROUS DOC ORDINANCE CITY CLE 282.90
0 MESKO, MELANIE MILEAGE CITY CLE 27.30
0 MINNESOTA MUTUAL JULY LIFE INSURANCE CITY CLE 9.90
0 MN DEPT OF PUBLIC SAFE DANGEROUS DOG TAGS/SIGNS CITY CLE 42.00
Total for Dept 6040 1,399.13*
0 MESKO, MELANIE MILEAGE ELECTION 6.50
0 SCHROEDER, ADELINE MILEAGE-SCHROEDER ELECTION 13.00
Total for Dept 6041 19.50*
0 AMERICAN PAYROLL ASSN YR END CLASS-BENSON _ FINANCE 319.00
0 BENSON, LYNNE M. MILEAGE 6/13 FINANCE 17.55
0 FORTIS BENEFITS INS CO JULY LTD FINANCE 71.66
0 KERN, DeWENTER, VIERE 12/31/99 FINANCIAL AUDIT FINANCE 9,000.00
0 MINNESOTA MUTUAL JULY LIFE INSURANCE FINANCE 93.10
0 NORWEST INVESTMENT SER MAY 2000 SAFEKEEPING FINANCE 73.75
0 WEBSTER, LORI A. GFOA CONFERENCE EXPENSES FINANCE 1,446.44
Total for Dept 6050 11,021.50*
0 HOISINGTON KOEGLER GRO RIVERFRONT/GREENWAYS ADMINIST 2,557.26
Total for Dept 6072 2,557.26*
0 DALCO VACUUM PARTS CITY FAC 76.47
0 DARLENE OHLHAUSER POLICE DEPT CLEANING-JUN CITY FAC 1,118.25
Date: 07/06/2000 Time: 15:36:41 Operator: LYNNE BENSON
Page: 2
City of Hastings
FM Entry - Invoice Payment - Approval of Bills -
Check # Vendor Alpha Name Description Dept Amount
------- -------------------- ----------------------- -------
0 ELECTRO WATCHMAN, INC ALARM QUARTERLY MAINTENA CITY FAC 57.51
0 FINAL TOUCH SERVICES CITY,HALL WINDOW CLEANIN CITY FAC 734.86
0 FORTIS BENEFITS INS CO JULY LTD CITY FAC 12.70
0 GALLAN, THOMAS REPAIR CITY HALL ENTRY T CITY FAC 950.00
0 MAINTENANCE ENGINEERIN LAMP BALLASTS CITY FAC 178.20
0 MINNEGASCO,ACCI'S PAYA JUNE GAS CITY FAC 331.70
0 MINNESOTA MUTUAL JULY LIFE INSURANCE CITY FAC 15.00
0 MOTOR PARTS SERVICE CO GENERATOR PARTS CITY FAC 11.76
0 ORKIN PEST CONTROL JUNE 2000 SERVICE CITY FAC 82.05
0 R & 0 ELEVATOR CO. INC JULY ELEVATOR SVC CITY FAC 140.00
0 REIS,INC HOSE CLAMPS CITY FAC 24.04
0 TOWER CLEANING SYSTEMS CITY HALL CEANING-JUNE CITY FAC 1,150.20
0 W.W. GRAINGER, INC. CHROME DOOR HOLDER CITY FAC 101.34
0 WAL MART STORE #01-147 WATER SALT CITY FAC 26.11
Total for Dept 6080 5,010.19*
0 COLT ELECTRIC INC. COMPUTER OUTLETS CITY FAC 359.00
0 DAKOTA ELECTRIC ASSN JUNE ELECTRIC CITY FAC 17.70
0 MINNEGASCO,ACCT'S PAYA JUNE GAS CITY FAC 47.00
0 NAT'L BUSINESS FURNITU TV WALL MOUNT CITY FAC 60.95
0 RADIO SHACK ELECTRONIC SUPPLIES CITY FAC 40.74
Total for Dept 6081 525.39*
0 FORTIS BENEFITS INS CO JULY LTD PLANNING 32.47 ,
0 MINNESOTA MUTUAL JULY LIFE INSURANCE PLANNING 34.50
Total for Dept 6090 66.97*
0 AIRTOUCH CELLULAR JUNE 2000 CELL PHONE POLICE - 122.98
0 AMOCO OIL CO GASOLINE POLICE 27.02
0 BOISE CASCADE OFFICE P PAPER POLICE 220.67
0 CAPITOL COMMUNICATIONS RADIO EQUIPMENT/REPAIRS POLICE 4,738.51
0 COLOR LAB INC.(PHOTO F PICTURES POLICE 19.96
0 DAKOTA COUNTY TECH COL SPRING FIREARMS QUALIFIC POLICE 390.00
0 ELECTRO WATCHMAN, INC ALARM QUARTERLY MAINTENA POLICE 57.51
0 EMERGENCY VEHICLE SUPP SIREN REPAIR POLICE 160.48
0 FORTIS BENEFITS INS CO JULY LTD POLICE 486.08
0 HELGET, MICHAEL T. REMOVE TREE FROM ROADWAY POLICE 79.88
0 IKON OFFICE SOLUTIONS REPAIR FAX MACHINE POLICE 148.03
0 LARRY'S ROAD RITE WHEEL ALIGN POLICE 45.95
0 MILLER & HOLMES, INC. CAR WASHES 4/1-6/22/00 POLICE 125.00
0 MINNESOTA MUTUAL JULY LIFE INSURANCE POLICE 635.50
0 NEXTEL COMMUNICATIONS CELL PHONE USE POLICE 721.56
0 PITNEY BOWES MONTHLY DICTATION POLICE 371.00
0 REGINA MEDICAL CENTER LAB WORK DOHMAN POLICE 42.00
0 RGNONTI, JAMES REIMBURSE-BACKGROUND INV POLICE 65.37
0 SPRINT JUNE PHONE POLICE 1,579.20
0 UNIFORMS UNLIMITED PANTS-KEGLEY POLICE 195.80
0 WAL MART STORE #01-147 CHARGING UNIT SPEED MONI POLICE 85.14
Total for Dept 6210 10,317.64*
Date: 07/06/2000 Time: 15:36:41 Operator: LYNNE BENSON
Page: 3
City of Hastings
FM Entry - Invoice Payment - Approval of Bills
Check # Vendor Alpha Name Description Dept Amount
------- --------------------- ----------------------- ------- -----------
0 COUNTY MARKET STEEPLE LANE CRIME WATCH CRIME WA 52.24
0 PRORIDER INCL BIKE HELMETS CRIME WA 419.00 -
0 RDJ SPECIALTIES, INC. BUSINESS CARD MAGNETS CRIME WA 311.40
0 WAL MART STORE #01-147 SCHOOL SAFETY PATROL PIC CRIME WA 40.62
Total for Dept 6215 823.26*
0 61 MARINE & SPORTS FUEL TANK FIRE 36.76
0 AMERIPRIDE LINEN & APP TOWELS FIRE 21.30
0 AMOCO OIL CO GASOLINE FIRE 88.72
0 ASPEN MILLS EMS PANT FIRE 93.84
0 CHIEF SUPPLY BATTERY FIRE 125.91
0 CLAREY'S SAFETY EQUIP HELMETS FIRE 241.60
0 ELVIN SAFETY SUPPLY, I BATTERY PACK FIRE 180.00
0 EMERGENCY VEHICLE SUPP REPLACE SIREN SPEAKERS FIRE 297.00
0 FAIR OFFICE WORLD QRT POUCH,LAM,LETTER SIZ FIRE 201.98
0 FIRE ENGINEERING MAGAZINE RENEWAL FIRE 24.95
0 FORTIS BENEFITS INS CO JULY LTD FIRE 160.52
0 GALLS, INC. SAFETY TOE BOOTS FIRE 83.98
0 H & H INDUSTRIES INC. LIGHT BULBS FIRE 135.00
0 HASTINGS TIRE & AUTO S TIRES FIRE 600.06
0 KERN, DeWENTER, VIERE PREPARE IRS FORMS-RELIEF FIRE 310.00
0 LAB SAFETY SUPPLY CO. HIGH'LEVEL RESCUE EQUIP FIRE 348.43
0 MANTEK EMERGENCY SUPPLIES FIRE 223.32
0 MINNEGASCO,ACCT'S PAYA JUNE GAS FIRE 183.00
0 MINNESOTA MUTUAL JULY LIFE INSURANCE FIRE 195.00
0 P.E.R.A. EMPLR COST-P. SELESKI FIRE 558.34
0 RADKE DIANE ID TAGS FIRE 42.60
0 SPRINT JUNE PHONE FIRE 389.10
0 WHITEWATER WIRELESS, I PAGER REPAIRS FIRE 293.21
0 XEROX CORPORATION COPY CARTRIDGE TONER FIRE 331.22
Total for Dept 6220 5,165.84-
0 MATRX MEDICAL INC AME SUPPLIES AMBULANC 180.79
0 PARR EMERGENCY,INC AMB SUPPLIES AMBULANC 263.97
0 PRAXAIR DISTRIBUTION I OXYGEN AMBULANC 275.21
0 REGINA MEDICAL CENTER MEDICAL SUPPLIES AMBULANC 266.96
Total for Dept 6230 986.93*
0 FORTIS BENEFITS INS CO JULY LTD BUILDING 69.59
0 MINNESOTA MUTUAL JULY LIFE INSURANCE BUILDING 40.50
Total for Dept 6240 110.09*
0 AMERICAN PUBLIC WKS AS MPWA CONF-GURNEY ENGINEER 395.00
0 CITY ENGINEER ASSN OF ANNUAL DUES-GURNEY ENGINEER 40.00
0 COPY EQUIPMENT INC. PLAN SHEET SCANNED ENGINEER 70.29
0 DAKOTA CNTY TREAS-AUDI RECORDING FEES RWD 2ND A ENGINEER 19.50
0 FORTIS BENEFITS INS CO JULY LTD ENGINEER 60.40
0 HEAD LITES CORPORATION SAFETY VESTS ENGINEER 71.23
0 MINNESOTA MUTUAL JULY LIFE INSURANCE ENGINEER 61.00
0 MN BOARD OF AELSLAGID REGISTRATION-GURNEY ENGINEER 134.00
Date: 07/06/2000 Time: 15:36:42 Operator: LYNNE BENSON
Page: 4
City of Hastings
FM Entry - Invoice Payment - Approval of Bills
Check # Vendor Alpha Name Description Dept Amount
------ ------------------- ----------------------- -------- ------------
0 MOTOR PARTS SERVICE CO WIPER BLADE ENGINEER 7.33
0 NEXTEL COMMUNICATIONS CEL PHONE ENGINEERING ENGINEER 171.59
0 TERRY'S ACE HARDWARE REPLACEMENT BLADES ENGINEER 3.28
0 THE ITASCA GROUP, INC. NEW CADD STATION COMPUTE ENGINEER 3,636.53
0 UNIVERSITY OF MINNESOT MPWA SPRING CONF ENGINEER 120.00
0 VECTOR INTERNET SERVIC ISDN LINE MONTHLY SVC ENGINEER 117.00
0 VIKING SAFETY PRODUCTS SAFETY VESTS ENGINEER 102.74
Total for Dept 6311 5,009.89-
0 ASPEN EQUIPMENT CO STEERING GEAR/STEEL ROLL STREETS 736.33
0 BAHLS SERVICE MOUNT TIRES STREETS 18.45
0 BROCK WHITE COMPANY SHOP SUPPLIES STREETS 243.54
0 C.T. FARM & COUNTRY FAN FOR SHOP STREETS 319.49
0 CAMAS MINNESOTA INC. PEA ROCK STREETS 789.22
0 CEMSTONE PRODUCTS CO. CILA SAND STREETS 120.98
0 CHAPIN CONSTRUCTION BL AD-SIDS 2000 SEALCOATING STREETS 68.20
0 DRESSER TRAP ROCK INC. TRAP ROCK STREETS 1,364.47
0 FARMERS UNION CO-OP AS GREASE STREETS 116.62
0 FORTIS BENEFITS INS CO JULY LTD STREETS 125.82
0 FRANDRUP, BRETT SAFETY BOOTS STREETS 55.24
0 G & K SERVICES SHOP TOWELS STREETS 80.41
0 GRAYBAR ELECTRIC CRC CHEMICAL/WIR DEV STREETS 478.39
0 HARDSCAPE CONSTRUCTION REPAIR RETAINING WALL STREETS 5,275.00
0 JIM HATCH CONES/VEST/GLOVES/SHOVEL STREETS 325.89
0 MEYER COMPANY JACKET/SHIRT-CARL STREETS 239.98
0 MINNEGASCO,ACCI'S PAYA JUNE GAS STREETS 59.16
0 MINNESOTA MUTUAL JULY LIFE INSURANCE STREETS 120.00
0 MISSISSIPPI WELDERS SP ACETYLENE STREETS 42.16
0 MOTOR PARTS SERVICE CO 5/16 FUEL STREETS 292.41
0 NEXTEL COMMUNICATIONS JUNE CELL PHONE STREETS 436.02
0 NIESUR IMPLEMENT CO WEED WHIP/CHAIN SAW PART STREETS 83.05
0 PINE BEND PAVING, INC. BLACKTOP STREETS 1,686.09
0 RELIABLE RENTAL CENTER BLADE ABRASIVE STREETS 96.60
0 SHERWIN-WILLIAMS PAINT BRUSH STREETS 233.98
0 SOLBERG AGGREGATE COMP LIME ROCK STREETS 1,647.88
0 SPRINT JUNE PHONE STREETS 205.45
0 ZARNOTH BRUSH WORKS, I MAIN BROOM/GUTTER BROOMS STREETS 619.03
Total for Dept 6312 15,879.86-
0 PAUL MAHER HOIST TRUCK STREET LIGHT STREET L 810.00
Total for Dept 6313 810.00*
0 ADOLPH KIEFER & ASSOCI LIFEGUARD SUITS AQUATIC 48.35
0 ADVANCED SPORTSWEAR IN SWEATSHIRTS AQUATIC 334.00
0 AQUA LOGIC, INC. POOL CHEMICALS AQUATIC 4,925.63
0 DRUMMOND AMERICAN CORP CLEANING CHEMICALS AQUATIC 872.32
0 METROCALL PAGER SERVICE AQUATIC 11.25
0 MILLER ELECTRICAL INC CK MOTORS-FILTER PUMPS AQUATIC 85.00
0 MINNEGASCO,ACCT'S PAYA JUNE GAS AQUATIC 6,251.41
0 RECREATION SUPPLY COMP VACUUM HANDLE AQUATIC 21.19
- Date: 07/06/2000 Time: 15:36:42 Operator: LYNNE BENSON
Page: 5
City of Hastings
FM Entry - Invoice Payment - Approval Of Bills
Check # Vendor Alpha Name Description Dept Amount
------- -------------------- ------------------------ --------
0 WAL MART STORE #01-147 POOL SUPPLIES AQUATIC 49.54
Total for Dept 6511 12,598.69-
0 BAHLS SERVICE TIRE REPAIRS PARKS/RE 20.52
0 C.T. FARM & COUNTRY HITCH PINS PARKS/RE 13.28
0 DOERER'S GENUINE PARTS FUSES PARKS/RE 190.99
0 ELECTRO WATCHMAN, INC ALARM QUARTERLY MAINTENA PARKS/RE 57.51
0 FORTIS BENEFITS INS CO JULY LTD PARKS/RE 103.00
0 LEEF BROTHERS, INC. TOWELS/MATS PARKS/RE 44.21
0 MCNAMARA, MARTY MILEAGE 6/14-6/15 PARKS/RE 52.00
0 MINNEGASCO,ACCT'S PAYA JUNE GAS PARKS/RE 48.30
0 MINNESOTA MUTUAL JULY LIFE INSURANCE PARKS/RE 120.00
0 SCHUMACHER'S INC LANDSCAPE SHRUBS PARKS/RE 1,049.56
0 SHERWIN-WILLIAMS PAINT/ROLLER PARKS/RE 108.26
0 SPRINT JUNE PHONE PARKS/RE 180.86
0 TESSMAN SEED INC LINE MARKER PARKS/RE 513.61
Total for Dept 6520 2,502.10-
0 MOSS & BARNETT LEGAL FEES FOR CABLE REN CULTURE/ 21.70
Total for Dept 6560 21.70*
0 FORTIS BENEFITS INS CO JULY LTD ADMINIST 12.94
0 MINNESOTA MUTUAL JULY LIFE INSURANCE ADMINIST 13.50
Total for Dept 6631 26.44*-
0 IOS CAPITAL COPIER PIONEER 394.06
Total for Dept 6641 394.06-
0 BOLTON & MENK INC FIELD SURVEY ASSISTANCE OTHER BE 1,755.00
0 CHAPIN CONSTRUCTION BL ADV FOR BIDS OTHER SE 303.80
0 FORTIS BENEFITS INS CO JULY LTD OTHER BE 11.70
0 MINNESOTA MUTUAL JULY LIFE INSURANCE OTHER SE 3.00
0 SEH ENGINEERS CONST SV SIGNAL HWY 55/G OTHER SE 192.04
0 WAL MART STORE #01-147 SPRAY PAINT OTHER BE 11.09
Total for Dept 6700 2,276.63-
0 HOISINGTON KOEGLER GRO ROADSIDE PARK ROADSIDE 1,887.50
0 MIRACLE RECREATION EQU PARK BENCH ROADSIDE 1,039.44
Total for Dept 6772 2,926.94*
0 HOISINGTON KOEGLER GRO WALLIN PARK WALLIN P 237.50
Total for Dept 6790 237.50*
0 LEAGUE/MN CITIES INS T EXCESS LIABILITY INS PRE INSURANC 77,344.00
Total for Dept 6923 77,344.00*
0 CONNELLY INDUSTRIAL EL ELECTRICAL REPAIRS WATER 1,599.32
0 CORPORATE PRESENTATION COPY PAPER WATER 18.82
0 DAKOTA ELECTRIC ASSN JUNE ELECTRIC WATER 53.08
0 DARLENE ORLHAUSER UTILITIES CLEANING-JUNE WATER 319.50
Date: 07/06/2000 Time: 15:36:42 Operator: LYNNE BENSON
Page: 6
City of Hastings
FM Entry - Invoice Payment - Approval of Bills
Check # Vendor Alpha Name Description Dept Amount
------- -------------------- ----------------------- -------- ------------
0
----------0 ELECTRO WATCHMAN, INC CONTACTS WATER 43.45
0 FORTIS BENEFITS INS CO JULY LTD WATER 83.70
0 GOPHER STATE ONE-CALL ONE CALL SVC-MAY 2000 WATER 254.40
0 HEUSSER, JAMES 2000 AWWA CONFERENCE EXP WATER 2,957.04
0 MINNEGASCO,ACCT'S PAYA JUNE GAS WATER 133.18
0 MINNESOTA MUTUAL JULY LIFE INSURANCE WATER 77.50
0 MN PIPE & EQUIPMENT 3/4" METER ANGLE VALVE WATER 62.62
0 NEXTEL COMMUNICATIONS JUNE CELL PHONE SVC WATER 406.77
0 SERCO, LABS 2000 WATER REPORT WATER 2,499.50
0 SPRINT JUNE PHONE WATER 205.44
0 US FILTER DISTRIBUTION 3/4 SRII ECR WATER 12,838.74
Total for Dept 7100 21,553.06+
0 DAKOTA ELECTRIC ASSN JUNE ELECTRIC WASTEWAT 27.92
0 FORTIS BENEFITS INS CO JULY LTD WASTEWAT 34.43
0 LAKELAND TRUCK CENTER SOLENOID WASTEWAT 84.08
0 MINNESOTA MUTUAL JULY LIFE INSURANCE WASTEWAT 32.50
0 MN POLLUTION CONTROL A CERT RENEWAL-HEUSSER WASTEWAT 23.00
Total for Dept 7300 201.93•
0 AT&T WIRELESS SERVICES TRAC CELL PHONE SERVICE TRANSIT 11.36
0 FORTIS BENEFITS INS CO JULY LTD TRANSIT 10.08
0 MINNESOTA MUTUAL JULY LIFE INSURANCE TRANSIT 12.60
Total for Dept 7500 34.04*.
0 FORTIS BENEFITS INS CO JULY LTD TRANSIT- 11.74
0 MINNESOTA MUTUAL JULY LIFE INSURANCE TRANSIT- 37.50
Total for Dept 7501 49.24*
0 BECKER ARENA PRODUCTS, YELLOW KICK PLATE-EAST R CIVIC AR 1,283.28
0 ELLIOT, JEFF MIAMA MTG-5/17 MILEAGE CIVIC AR 68.25
0 FORTIS BENEFITS INS CO JULY LTD CIVIC AR 33.59
0 INSPEC, INC. PRE CONST MTG-REROOFING CIVIC AR 7,150.00
0 MINNEGASCO,ACCT'S PAYA JUNE GAS CIVIC AR 67.71
0 MINNESOTA MUTUAL JULY LIFE INSURANCE CIVIC AR 30.00
0 SPRINT JUNE PHONE CIVIC AR 158.57
0 STATE SUPPLY CO ASCO REBUILD KIT CIVIC AR 151.26
0 SUPERIOR FIRE PROTECTI REPAIR FIRE PROTECTION/V CIVIC AR 968.75
0 TERRY'S ACE HARDWARE MISC ELEC/PLUMBING SUPPL CIVIC AR 56.40
0 VIKING SAFETY PRODUCTS EAR PLUGS CIVIC AR 30.64
Total for Dept 7700 9,998.45•
0 FORTIS BENEFITS INS CO JULY LTD HYDROELE 14.21
0 L & S INDUST. & MARINE CONSTRUCT PIERS AT HYDRO HYDROELE 4,600.00
0 MASTER MECHANICAL INC. REPAIRS HYDROELE 1,727.14
0 MCCABES COMMERCIAL DIV INSPECTION-HYDRO PLANT HYDROELE 1,800.00
0 MINNESOTA MUTUAL JULY LIFE INSURANCE HYDROELE 15.00
0 ROTHER MACHINE INC. FABRICATE STAINLESS STEE HYDROELE 296.07
0 SPRINT JUNE PHONE HYDROELE 46.16
Total for Dept 7900 8,498.58*
Date: 07/06/2000 Time: 15:36:43 Operator: LYNNE BENSON
Page: 7
City of Hastings
FM Entry - Invoice Payment - Approval of Bills
Check # Vendor Alpha Name Description Dept Amount
------- ---------------------- ------------------------ -------- ------------
Grand Total 250,752.59'
July 10, 2000
APPROVED:
City Administrator
Finance Director
Councilmember Simacek
Councilmember Riveness
Councilmember Johnson
Councilmember Moratzka
Councilmember Hicks
Councilmember Yandrasits
Mayor Werner
V/-2
Memo
To: May it C uncil
From: am ra
Subject: Fin cing Bleacher Improvements
Date: July 1, 2000
Attached is an application from the League of Minnesota Cities that would allow the City
of Hastings to assist in financing bleacher improvements. The program is structured so
cities can borrow needed funds for bleacher improvements or bleacher replacement. The
loans must be repaid within five years and carry an interest rate of 3%. The League has
contracted with Springsted, Inc. and the Kennedy & Graven law firm to develop the loan
documents and work with each city on the note repayment structure. The costs for these
services are 1% of the loan amount and would be added into the financing.
The City could use this to fund bleacher improvements and or bleacher replacements at
the Civic Arena and Veterans Park Athletic Complex.
COUNCIL ACTION
Allow staff to complete an application and adopt the attached resolution that would allow
the City to finance bleacher improvements and bleacher replacement. The resolution
does not bind the city to go forward, but it is an expression of the council's intent to
initiate the process.
League of Minnesota Cities Insurance Trust
Bleacher Improvement Financing Program
Loan Application
Municipality Information
Name of City Hactingc
Located in County(ies) : nakf3ta# wz,,;hi natnn
Primary City Contact: Name: Marf 7 McNamara
Phone number: AS1_4Rn-2144
Fax number: AR1_ai7_7nu?
E-mail address: mn=amaraWi hastinqs i1¢3 tiS
Mailing Address: 10 F nf ctre�t
i7act i n�yc� *ma 55033
Preference for transmittal of documents to City: x mail e-mail
Project Information
Approximate cost of bleacher improvements $ 200,000.00
Other funds available to pay for improvements $ —0—
Approximate amount of loan request: $ 200,000.00
Preferred Length of Loan Term (circle one):
1 Years 2 Years 3 Years 4 Years 5 Years
Interest Rate: 3.00%
Extract of Minutes of Meeting
of the City Council of the City of Hastings,
Dakota County, Minnesota
Pursuant to due call and notice thereof,a regular meeting of the City Council of the City of
Hastings, Minnesota,was duly held in the City Hall in said City on July 10, 2000, commencing at
7:00 o'clock P.M.
The following members were present:
and the following were absent:
Councilmember introduced the following resolution and moved its
adoption:
RESOLUTION NO.
PRELIMINARY RESOLUTION RELATING TO THE ISSUANCE
AND SALE OF A GENERAL OBLIGATION CAPITAL
NOTES; AUTHORIZING PARTICIPATION IN
LEAGUE OF CITIES INSURANCE TRUST
CAPITAL NOTE PROGRAM
BE IT RESOLVED By the City Council of the City of Hastings,Dakota County,Minnesota
(City) as follows:
Section 1. Background: Findings.
1.01. The City owns and operates various recreational facilities, some of which require the
use of bleacher-type seating (Bleachers) to accommodate attendees at recreational events.
Minnesota Statutes, Section 1613.616,sets out a state policy in favor of replacing Bleachers having
structural or design defects that create safety hazards for their users. It is determined that some of
the City's Bleachers are affected by this policy and should be replaced at an estimated cost of
$200,000.
1.02. All Minnesota Cities,and the City in particular,are authorized by Minnesota Statutes,
Sections 410.32 and 412.301 (collectively, Act) to issue and sell capital notes (Capital Notes),
subject to debt limits,to finance the purchase of capital equipment having an expected useful life
at least as long as the term of the Capital Notes.
1.03. The League of Minnesota Cities Insurance Trust (LMCIT) has offered to purchase
Capital Notes of the City to be issued for financing Bleachers at a price of par for notes bearing
interest at the rate of 3.00%per annum to maturity:
1.04. It is found and determined that the offer of LMCIT to purchase the City's Notes for
Bleacher replacement purposes is a favorable offer, is in the best interests of the health, safety and
welfare of the residents of the City, and should be accepted.
Section 2. Approvals: Authorization
2.01. The offer of LMCIT to purchase Capital Notes of the City is accepted, provided,
however,that the City reserves the right to withdraw this approval at any time prior to the adoption
of a final resolution awarding the sale of the Notes.
2.02. The Mayor and City Clerk of the City are authorized and directed to execute and
deliver a certified copy of this resolution to LMCIT and to execute and deliver all documents
necessary to carry out the sale of Capital Notes to LMCIT.
2.03. This Council will consider a resolution awarding the sale of Capital Notes to LMCIT
on a date recommended by the City Clerk. That resolution will set forth the principal amount of the
Notes,their form and specifications, and the procedure for their payment.
2.04. For purposes of documentation relating to the sale of Notes to LMCIT,the City Clerk
of the City of Hastings.
Section 3. Reimbursement. This resolution is a declaration of official intent by the City
Council to the effect that the City intends to reimburse itself for the costs of the Bleachers from the
proceeds of tax-exempt bonds or other obligations, that is; the Capital Notes described in this
resolution. A copy of this resolution is to be kept on file with the City Clerk and available for public
inspection.
The motion for the adoption of the foregoing resolution was duly seconded by
Councilmember , and upon vote being taken thereon, the following voted
in favor thereof:
and the following voted against the same:
Whereupon said resolution was declared duly passed and adopted this 101 day of July, 2000.
Michael D. Werner, Mayor
ATTEST:
Melanie Mesko, City Clerk
STATE OF MINNESOTA )
COUNTY OF )SS.
CITY OF )
I, the undersigned, being the duly qualified City Clerk of the City of Hastings, Dakota
County, Minnesota, do hereby certify that I have carefully compared the attached and foregoing
extract of minutes of a regular meeting of the City Council of the City held on July 10, 2000,with
the original minutes on file in my office and the extract is a full,true and correct copy of the minutes
insofar as they relate to the issuance of Capital Notes of the City.
WITNESS My hand official as such City Clerk and the corporate seal of the City this 1011
day of July,2000.
Melanie Mesko, City Clerk
Hastings, Minnesota
(SEAL)
VI-3
MEMORANDUM
To: Mayor Werner and City Councilmembero
From: Melanie Mftko,Administrative AS5i5tant/City Clerk
Date: July 5,2000
Re: Application for Gambling Premises Permit- Regina Medical Center- at Regina
Medical Center, located at 1175 Nininger Road
Recommended City Council Action:
Approve the attached Resolution,waiving the 30-day waiting period for the Regina Medical
Center and authorizing the Regina Medical Center to conduct a raffle and bingo on October
22, 2000.
Background:
Application has been received from the Regina Medical Center to conduct bingo and a raffle
for their organization on October 22, 2000 at the Regina Medical Center, located at 1175
Nininger Road in Hastings. The raffle's total value of prizes io estimated not to exceed
$2,500.00.
If Council should approve this application, the attached resolution will be Sent to the
Minnesota Lawful Gambling Board Showing the City's approval to allow the bingo, raffle and
pull-tabs, and also to waive the 30-day waiting period.
Should you have any concerns or questiono, please do not hesitate to contact me.
Attachment.•
1. Resolution- Waiving the 30 day waiting period for the Regina Medical Center at 1175
Nininger Road
2. Application materials are on file
RESOLUTION NO.
EXTRACT OF MINUTES OF A MEETING OF THE
CITY COUNCIL OF THE
CITY OF HASTINGS, MINNESOTA
HELD: JULY 10, 2000 .
Pursuant to due call and notice thereof, a regular meeting of the City Council of the City of
Hastings, Dakota and Washington Counties,Minnesota, was duly held at the City Hall in said City
on the 10h of July,2000,at 7:00 o'clock p.m. for the purpose in part of authorizing Resolution No.
07- -00,waiving the 30 day waiting period for the Regina Medical Center, and authorizing the
Regina Medical Center to conduct a raffle on October 22°x, 2000 at Regina Medical Center, 1175
Nminger Road.
The following Councilmembers were present:
and the following Councilmembers were absent:
Councilmember introduced the following resolution and moved its adoption:
RESOLUTION NO. 07- • -00
RESOLUTION WAIVING THE 30 DAY WAITING PERIOD
FOR THE REGINA MEDICAL CENTER
WHEREAS,the Regina Medical Center has presented an application to the City of Hastings
to conduct gambling on October 22 ', 2000 at the Regina Medical Center, 1175 Nminger Road in
Hastings; and
WHEREAS, the Minnesota Lawful Gambling Board requires a Resolution be passed to
waive the 30-day waiting period; and
WHEREAS,the application for Exemption from lawful Gambling license has been presented
and the $10.00 application fee has been paid;
NOW,THEREFORE,BE IT RESOLVED by the City Council of the City of Hastings that
the Mayor and City Clerk are authorized and directed to sign this resolution and forward to the
Minnesota Department of Gaming, Gambling Control Division, showing the 30 day waiver and the
approval of this application for an Exemption from Lawful Gambling License.
The motion for the adoption of the foregoing resolution was duly seconded by
Councilmember 'and,after full discussion thereof and upon vote being taken thereon,
the following voted in favor thereof
and the following voted against the same:
Whereupon said resolution was declared duly passed and adopted.
Michael D. Werner
Mayor
ATTEST:
Melanie Mesko
Administrative Assistant/City Clerk
(SEAL)
VI-4
MEMORANDUM
To: Mayor Werner and City Councilmembers
From: Melanie Mesko, Administrative Assistant/City Clerk
Date: July 5,2000
Re: Transfer of Off-Sale Liquor License at Liquor Locker, 1292 North Frontage
Road
Council Action Requested:
Approve the transfer of off-sale liquor license at the Liquor Locker from Mr. Landis Iverson
to David 5. & Linda K. Dotson, pending receipt of all paperwork and successful completion
of background check.
background
Staff received an application from David & Linda Dotson to transfer the current off-sale
liquor license at the Liquor Locker. The Dotson's have completed all application materials
and a background check is being conducted.
Attachments:
1. Resolution
Application materia/5 on file
CITY OF HASTINGS
DAKOTA COUNTY, MINNESOTA
RESOLUTION NO. 07- -00
RESOLUTION APPROVING APPLICATION FOR TRANSFER OF
LIQUOR LICENSE AT THE LIQUOR LOCKER
WHEREAS, the David S. &Linda K. Dotson have presented application to the City
of Hastings to transfer the liquor license at the Liquor Locker, 1292 North Frontage Road,
Hastings, Minnesota; and
WHEREAS, all necessary paperwork has been received and a background check is
currently being conducted by the Hastings Police Department.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
Hastings that the Mayor and Administrative Assistant/City Clerk are authorized and
directed to sign this resolution transferring the off-sale liquor license at the Liquor Locker,
1292 North Frontage Road, from Landis Iverson to David S. & Linda K. Dotson pending
successful completion of background check.
ADOPTED BY THE CITY COUNCIL OF THE CITY OF HASTINGS THIS 10"
DAY OF JULY, 2000.
Ayes:
Nays:
Absent:
Michael D. Werner
Mayor
Melanie Mesko
Administrative Assistant/City Clerk
(SEAL)
Vj-S
AGREEMENT FOR HASTINGS RIVERTOWN DAYS
THIS AGREEMENT made this 10th day of July, 2000, by and between the City of Hastings, Minnesota,
and the Hastings Area Chamber of Commerce.
WHEREAS, the Hastings Area Chamber of Commerce (Chamber) has scheduled a community festival for
Hastings entitled Rivertown Days,which is to be held on July 14 through July 16,2000; and
WHEREAS, in the past the City of Hastings (City) has cooperated with the Chamber in its production of
Rivertown Days by providing some assistance; and
WHEREAS,both parties wish to put in writing the agreement which has been made between the parties.
NOW THEREFORE,it is agreed by both parties as follows:
I. CONCESSION FEES
The fees for Rivertown Days participants to the Chamber are:
EXHIBIT FOOD
Civic/Church $75 $130
Commercial $100 $210
Hastings Chamber Members
Non-Member $150 $295
II. SHUTTLE BUS
Contact person:Pat Regan,Hastings Bus Company,437-1888.
Hastings Bus Company will provide one bus to operate on a limited basis Saturday and Sunday. The
shuttle will run between the hours of 11 a.m. and 5 p.m on Saturday and noon to 4 p.m. on Sunday to
transport people from Jaycee Park to Pioneer Park. If demand is sufficient,the Chamber will provide
an additional bus for shuttle purposes.
III. BUTTON SALES
The Chamber will be selling Rivertown Days Buttons for$1 each, and blinking buttons for$2 each.
Buttons will be required for admission for individuals age 12 and older to enter some Rivertown
Days activities, including events held in Jaycee and Lake Rebecca Parks. Hastings Family Service
will be given buttons to distribute to individuals who cannot afford to purchase a button.
1
IV. PICNIC TABLES
The City will provide an adequate number of picnic tables to be determined by the City and the
Rivertown Days Committee at Jaycee, Lake Rebecca, and Pioneer Parks and at the Roadside and
Senior High tennis courts. Rivertown Days Committee will coordinate with Marty McNamara
V. INSURANCE
A. Certificates of Insurance
The Chamber will obtain and present to the City prior to Rivertown Days certificates of insurance
from each of the following: Lumberjack Show,pyrotechnician, carnival operator, Stunt Bike Shows,
Paddleboat Operator, and Wilderness Inquiry Canoe Rides. Waivers of liability will be secured
from all sports participants. Each certificate of insurance shall name the City of Hastings, the
Hastings Area Chamber of Commerce, and the Rivertown Days Committee as Additional Insureds at
no additional cost to the City of Hastings.
B. Hold Harmless Agreement
The Chamber agrees to indemnify the City and hold it harmless from any and all claims, demands,
lawsuits, or liability for such loss or damage, injury, death, and costs and expenses incident thereto
arising out of all Chamber activities connected with Rivertown Days.
Prior to Rivertown Days, the City shall be furnished with an endorsement naming the City as an
additional insured on the Chamber's policy. The Chamber's insurance policy shall not be canceled or
its conditions altered in any manner without ten days prior written notice to the City Administrator of
Hastings.
VI. ELECTRICITY
The City will give the rights for installation of any additional electricity to the Chamber. Costs for
installation will be the responsibility of the Chamber. Electricity costs will be covered by the City of
Hastings.
2
VII.MISCELLANEOUS
A. In addition to the foregoing,the City of Hastings agrees to the following:
1. The City will provide trash and litter pickup before, during and after the festival, which will
be coordinated with Waste Management - Hastings. The Parks Department will coordinate
daily clean up. (This service donated by Waste Management-Hastings)
2. Two Parks Department employees will be on duty on Saturday and Sunday, July 15th and
16th from 7 am. to 5 p.m.
3. The City will provide barricades where appropriate.
4. The City will provide"no parking" signs where needed.
5. Ambulance service will be provided for miscellaneous events.
6. The City will provide a Fire Department water truck to fill the sinks at Pioneer and Jaycee
Parks on Saturday and Sunday.
7. The City will provide adequate police protection during the festival.
8. The City will provide extra garbage barrels at Lake Rebecca, Jaycee, Pioneer, and Levee
Parks and provide pickup Saturday afternoon.
9. The City will provide and pay for the use of all electricity needed for the festival.
10. The City will erect several temporary signs no larger than 4'X 8' (furnished by the Chamber)
approximately 3-6 weeks before the event and take them down after the festival.
11. All vendors must obtain a vending permit from the Rivertown Days Committee, not the City
of Hastings. Police will assist with removal of vendors without permits.
B. In addition to the foregoing,the Chamber agrees to the following:
1. The Chamber will arrange for adequate traffic and crowd control at each scheduled
Rivertown Days event in addition to normal police on duty.
2. The Chamber will provide the City with a list of contact persons with phone numbers who
are responsible for the various areas and events.
3. The Chamber will secure all necessary City permits and licenses required by Hastings City
Ordinances for any and all activities during Rivertown Days.
4. The Chamber will provide a schedule of events for Rivertown Days(see attached).
5. The Chamber will provide and pay for all portable toilets at sanctioned Rivertown Days
events where they deem necessary.
6. The Chamber will provide and pay for all off-duty police reserve officers who shall be in
uniform during the festival where the Rivertown Days Committee deems necessary.
7. The Chamber will provide and pay for all Explorer Scout services during the festival.
8. The Chamber will coordinate with City on location of port-o-lets.
9. The Chamber will coordinate all waste containers and recycling with Waste Management-
Hastings.
3
VIII. SCHEDULE OF EVENTS
A. See Attached.
IN WITNESS WHEREOF,the City of Hastings and the Hastings Area
Chamber of Commerce has caused this Agreement to be executed by its
Mayor and City Clerk and Chair of the Board and President,
respectively,each acting with full authority to bind each party to
this agreement.
CITY OF HASTINGS
By
Mike Werner,Mayor
By
Melanie Mesko,City Clerk
HASTINGS AREA CHAMBER OF COMMERCE
By/`'�
Peggy o n
Chair of the Board
By
Michelle JacobL,
President
4
A
SECURITY DUTIES AT PIONEER,
LAKE REBECCA &JAYCEE PARK AREA
RIVERTOWN DAYS 2000
July 13 - 16
1. Direct traffic and keep it running smoothly at the top of Lock & Dam Road (Second and
Spring Streets).
2. Continue to direct traffic to designated parking lots filling the first lots before proceeding to
the next.
3. Prevent unauthorized cars from parking directly on the side of Lock & Dam Road ("No
Parking" signs will be posted). All cars in violation will be towed.
4. Prevent cars from entering lots designated as areas for"special parking" only.
5. Patrol lots to support and assist Explorers to monitor public parking cooperation (e.g.
Handicapped Parking).
6. Watch for activities that may disrupt the peace and try to prevent any illegal activities.
8. Stay in contact by cellular phone or radio with the Rivertown Days Steering Committee.
9. Assist public or direct them appropriately with any questions or problems. (There will be an
information tent at the river and one at Pioneer Park.)
10. Alert and assist ambulance service in case of an emergency.
11. Coordinate individuals or reserves so that an adequate number are working at all times. The
busiest time is Saturday evening from 6:00 p.m. until after the fireworks display and Sunday
during the parade.
12. Provide flashing warning lights at 150'and Maple and at 15"&Pine. .
13. Assist with escorting non-licensed vendors off of park property.
14. Other security duties as deemed appropriate by Mike McMenomy,Chief of Police.
HASTINGS RIVERTOWN DAYS 2000
SANCTIONED EVENTS
MID-JULY
EDINA REALTY MEDALLION HUNT
Contact: Sandy Becker-437-2121 (day)/455-2815 (eve)
Sponsor: Edina Realty
Clues are given in the Hastings Star Gazette, on KDWA Radio 1460 and at the Edina Realty
office. Medallion hidden on public property. Prize is$500 with Rivertown Days Button.
Chamber will coordinate this.event.
Security: None needed
THURSDAY, JULY 13
RIVERTOWN DAYS FEST 6:30—10:30 PM
Contact: LeAnn Bauer at 480-2366 or Michelle Jacobs at 437-6775
Sponsor. Smead Manufacturing Company
Location: Lake Rebecca and Jaycee Parks
Chamber and YouthFirst will coordinate this event. This is the second year of this event
intended for middle and high school students. Volleyball nets will be set up on the beach at
Lake Rebecca. Entertainment scheduled.
Security: The City will provide a patrol car to frequent the area for traffic control and police
reserves will be used as deemed necessary by the Police Department.
HIGH ACTION BIKE SHOW Two Shows for youth only
Contact: Michelle Jacobs at 437-6775
Location: Jaycee Park Parking Lot
Chamber will coordinate this event.
Security: None needed.
FRIDAY, JULY 14
CARNIVAL (times below)
Contact: Michelle Jacobs, Chamber-437-6775
Sponsor: Rivertown Days Committee
Location: Lake Rebecca Park
FRIDAY 4 PM - 11 PM
SATURDAY Noon- 11 PM
SUNDAY Noon-6 PM
Wristbands: Friday, 6-10 PM
Chamber will coordinate this event. Carnival operator shall cease ticket sales at the times
above each evening.
Security: City will provide security at Lake Rebecca &Jaycee Parks
FOOD & EXHIBITS (times below)
Contact: Michelle Jacobs, Chamber-437-6775
Location: Jaycee Park
FRIDAY 5 PM - 11 PM
SATURDAY 10 AM -11 PM
SUNDAY 10 AM - 6 PM
Chamber will coordinate this event. Garbage cans will be provided. There will be 12 port-o-
lets (10 standard and 2 handicapped accessible).
Security: City will provide river security at Jaycee & Lake Rebecca Parks
MUSIC FESTIVAL 7 . 11 PM
Contact: Pam Holzem- 437-5000
Location: Jaycee Park Stage
Sponsors: See Schedule of Events
Band: 7— 11 PM Midlife Chryslers
Chamber will coordinate this event.
Security: City will provide river security at Jaycee& Lake Rebecca Parks
HIGH ACTION BIKES 6 &7:30 PM
(SEE THURSDAY)
RIVER RUMBLE V 613M
Contact: Brian Schommer—480-8198
Sponsor: Intek Plastics
Location: Veteran's Athletic Complex
Baseball game between the Hastings Hawks and the Prescott Pirates
Security: None requested
GARDEN CLUB FLOWER SHOW(registration) 3:30—6 PM
Contact: Mary Karlsson—437-1936 Registration/entries
Sponsor: Hastings Garden Club
Location: Our Saviour's Church,400 West 9th Street
Chamber will coordinate this event.
Security: None needed
RIVERTOWN DAYS TENNIS TOURNAMENT 3-9 PM
Contact: Cindy Toppin 265-2362; 437-7753
(Registration: Missy Williams 437-3947)
Sponsor: Hastings Women's Tennis League
Location: Roadside Park and Sr. High Tennis Courts
The City will reserve the tennis courts at Roadside Park and the Senior High School for all
scheduled tennis tournament activities on Friday from 3 to 10 p.m. and all day Saturday and
Sunday, 8 a.m. to 9 p.m. The City's port-o-lets at the Senior High and at Roadside Park will
be used and serviced by Rivertown Days. City will provide four picnic tables, three at
Roadside and one at Senior High. Two garbage cans will also be provided for each
location.
Security: None needed
(SEE ALSO SATURDAY& SUNDAY)
KISS A PIG CONTEST 8 PM
Contact: Rita Doffing—437-8471
Sponsor: Rivertown Days Committee
Location: Jaycee Park Music Stage
Rivertown Days Committee will coordinate this.
AQUATIC CENTER TEEN NIGHT
Contact: Darby Johnson 480-2360
Sponsor: City of Hastings, Hastings Family Aquatic Center
Location: Aquatic Center
Exclusive use of Aquatic Center for teens ages 13-17. Activities include DJ, Watergames
open swim and prizes. An entry fee will be charged.
Security:.One to two officers requested. Security would be provided at City expense.
SATURDAY, JULY 15
RTD RUN WALK&STROLL 7- 10 AM
Contact:__ - Debbie Grimm-437-4433/460-8146 (Race times below)
Sponsor: Vermillion State Bank, Regina Medical Group and Healthy for Life Wellness Center.
Location: Roadside Park—Next to Tennis Courts
Registration: 7:00 AM
8K Race: 8:00 AM
2K Fun Run: 9:00 AM
The City will reserve Roadside Park Tennis Court area from 7 a.m. to 10:30 a.m. on
Saturday, July 15. City's port-o-lets will be used. 6 garbage containers are needed. The
races will start at 7:00 a.m.
Security: To be coordinated by Debbie Grimm. Police escort to lead each race and to block
major intersections. An ambulance is needed to follow runners in case of emergency.
PANCAKE BREAKFAST 8 AM-11 AM
Contact: Marty McNunn, day-437-4398; evening—437-6817
Sponsor: United Methodist Church
Location: UMC, 615 West 15th Street
Chamber will coordinate this event.
Security: None needed.
CO-ED KITTENBALL TOURNAMENT 8 AM—5 PM
Contact: Geoff Maltby 437-5028 (day), 437-4093 (evening)
Sponsor: Hastings Adult Softball League
Location: Veteran's Athletic Complex
Geoff Maltby will coordinate with Parks & Recreation.
Security: Adult Softball League will coordinate with Police Department.
RIVERTOWN DAYS FLEA MARKET 8 AM -5 PM
Contact: Pat Wagner-437-4449
Sponsor: First National Bank
Location: First National Bank Parking Lot, 119 West 2nd Street
This event will be held in the parking lot of the First National Bank, downtown. Chamber will
coordinate this event.
Security: None needed
(SEE ALSO SUNDAY)
PAPA CHARRITO'S FUN DAY 8 AM - 1 AM
Contact: Philip &Jen Biermaier-437-6303
Sponsor: Papa Charrito's
Location: Papa Charrito's, 350 West 33rd Street
3 on 3 Basketball Tourney: 8 AM - 1 PM
Tent Dance: 7:30 PM - 1:00 AM
This event will be coordinated with the Chamber of Commerce. Five regular port-o-lets will
be provided (5 billed to Papa Charrito's). Phil Biermaier will coordinate event. Waste and
aluminum can recycling containers are needed.
Security: City will provide parking barricades on Friday evening for Saturday. Security is
needed for the Tent Dance and will be at Papa Charrito's expense.
RIVERTOWN DAYS TENNIS TOURNAMENT 8 AM -9 PM
SEE FRIDAY
ARTS AND CRAFTS FAIR 9 AM -6 PM
Contact: Claire Mathews-437-6775
Sponsor: Rivertown Days Committee
Location: Pioneer Park
The activities will be located in Pioneer Park and will take place on Saturday, July 15 and
Sunday, July 16. The City will cut grass. Set-up will begin Friday around 6 p.m. and at 6
a.m. both days. Parking will be allowed on one side of adjacent streets. Four port-o-lets &
two sinks are needed. Also need additional picnic tables. The City will post no parking
signs on Friday and "No Parking Without Rivertown Days Permit"signs will be posted by the
diagonal parking along 16' Street between Pine & Maple. Waste receptacles are also
needed.
Security: The City's police will patrol Pioneer Park Friday and Saturday evening and Sunday
during the day.
(SEE ALSO SUNDAY)
SIDEWALK SALES (Sat. only) 9 AM -4 PM
Contact: Mary Hoffmann —437-8704
Sponsor: Downtown Business Association
Location: Downtown- East Second Street
Chamber will coordinate this event.
GARDEN CLUB FLOWER SHOW 10 AM -4 PM
SEE FRIDAY
MIDTOWN EVENTS 7 AM—2 PM
Contact: Dorothy Sandahl, Just Thinking -438-3696 or 437-7822
Sponsor: Midtown Merchants'Association
Location: Midtown Shopping Area
7:00 a.m. - Rooster Sale
10:00 a.m. - Non-Art Contest
10:30 a.m. - Legs Contest
11:00 a.m. - Pet Contest
Noon—2 PM -On Track Bike Rodeo
Need cones to block off drive through adjacent to Eagles building (13th Street).
Security: None needed
WAKOTA C.A.E.R. EXPO 10 AM—1 PM
Contact: Mark Holmes, Hastings Fire Department
Sponsor. Hastings Fire Department and Wakota Community Awareness Emergency Response
Location: Middle School Parking Lot
Fire Truck and Emergency Vehicle display
Security: None Needed
WILDERNESS INQUIRY CANOE RIDES 10 AM—3 PM
Contact: Michelle Jacobs—437-6775
Sponsor: Hastings Area Chamber of Commerce
Location: Lake Rebecca
Guided canoe rides on Lake Rebecca
Security: None Needed
HIGH ACTION BIKES
(SEE SCHEDULE)
KIDZ TIME 10 AM—4 PM
Contact: Randy Berg 437-5950; 437-4561
Sponsor: Calvary Christian Church
Location: Calvary Christian Church, 15'h & Pine Streets
Securi : None Needed
RICH VALLEY RIC CLUB MODEL AVIATION DEMONSTRATION 10 AM -4 PM
Contact: Tom Norman, 454-2467
Sponsor. Bierstube of Hastings
Location: Spring Lake Park Model Airplane Field
R/C Club will coordinate with Dakota County Parks. Rain Date: Sunday, July 16, 2000.
Security: None Needed
OLDE TYME ICE CREAM SOCIAL 11 AM -5 PM
Contact: Pat Ries—day 437-6006; evening 437-2848
Sponsor: St. Luke's Episcopal Church
Location: St. Luke's Church, 7th &Vermillion Streets
This event is a stop on the shuttle bus route. Chamber will coordinate this event.
Security: None Needed
GAMES & EXHIBITS
(SEE FRIDAY)
MUSIC FESTIVAL 9 AM—11 PM
Contact: Pam Holzem 437-5000
Location: Jaycee Park Stage
Bands: See Rivertown Days
Chamber will coordinate this event.
Security: City will provide river security at Jaycee& Lake Rebecca Parks
BINGO 1 PM
Contact: Laurie Thrush, 437-0750 (day), 459-0510 (eve)
Sponsor. Hastings Area Senior Center
Location: Hastings Center—213 Ramsey Street
Security: None needed
PRIOR LAKE WATER SKI CLUB SKI SHOW 5—6:30 PM
Contact: Michelle Jacobs—437-6775
Sponsor: See Program
Location: Mississippi River by Public Boat Launch
Security: Arrangements have.been made with the U.S. Coast Guard and Dakota County
Sheriffs Water Patrol.
LUMBERJACK SHOWS See Schedule
Contact: Michelle Jacobs—437-6775
Sponsor: See Program
Location: Lake Rebecca Boat Launch Area.
Security: None Needed
RIVERBOAT RIDES 1 —7 PM
Contact: Michelle Jacobs—437-6775
Sponsor. Koch Petroleum Group
Location: Mississippi River from public Boat Launch to Prescott Bridge.
Security: None Needed
FIREWORKS DISPLAY 10 PM
Contact: Michelle Jacobs-437-6775
Sponsor: Rivertown Days Button, T-Shirt, and Promo Package sales
Location: Jaycee and Levee Park Area
The Rivertown Days Committee and Fire Department officials will coordinate the site plans
and safety requirements. The Fire Marshall will give final signal to begin display. Insurance
will be provided listing the City as an additional insured.-
Security: City will provide security officers to keep firing zone clear of spectators.
SUNDAY, JULY 16
RIVERTOWN DAYS TENNIS TOURNAMENT 8 AM -9 PM
SEE FRIDAY
PANCAKE BREAKFAST 8 AM—11 AM
SEE SATURDAY
KITTENBALL TOURNAMENT 9 AM-4 PM
SEE FRIDAY
BARBARY COAST DIXIELAND BAND WORSHIP SERVICE 8:30 810 AM
Contact: Marilee Anderson-437-9052; 437-5526
Sponsor. Our Savior's Evangelical Lutheran Church
Location: 400 West 9th Street
Chamber will coordinate this event.
Security: None needed
MUSIC FESTIVAL 1 —5 PM
SEE RIVERTOWN DAYS SCHEDULE
ARTS AND CRAFTS FAIR 9 AM -4 PM
SEE SATURDAY
.,;;
LUMBERJACK SHOWS
SEE RIVERTOWN DAYS SCHEDULE
HIGH ACTION BIKES
SEE RIVERTOWN DAYS SCHEDULE
RIVERTOWN DAYS FLEA MARKET 9 AM -4 PM
SEE SATURDAY
GARDEN CLUB FLOWER SHOW 10 AM -4 PM
SEE FRIDAY
KIDDIE PARADE 1:30 PM
Contact: Sheila Fiers—480-2575; Kim Smith—480-8168
Sponsors: Mac McGoon Studio &Video and MOMs Club of Hastings
Location: Second Street from under the Bridge to Ramsey Street.
A shortened parade for children.
RIVERTOWN DAYS GRANDE PARADE 1.30 PM
Contact: Dolores Pemble 437-8302
Sponsor. Downtown Business Association and Rivertown Days Committee in addition to those listed
on the Rivertown Days Schedule of Events.
Route: River Valley Clinic to Second Street to Ramsey Street.
The City will close First Street from Pleasant to Second Street and both east and west
bound lanes of Second Street to Ramsey Street. Both north and southbound lanes of
Ramsey will be closed to Seventh Street. Parade will continue to the St. Elizabeth Ann
Seton Church parking lots where visiting units will park. Street department will put up "no
parking" signs and "parade route" signs along the route as requested by the Downtown
Association. Chamber will contribute signs. Port-o-lets will be available along the parade
route.
Security: To be coordinated with Dolores Pemble. Requested police reserves at head of
parade and police patrol along Second Street (1:00-3:00, approximately). Also need Police
Reserve at top of Lock and Dam Road to allow traffic to cross onto Spring Street.
SNEAKY PETE'S GARDEN TRACTOR PULL Weigh-in 2 PM
Start Time—3:30 PM
Contact: Carol or Cy Schmid -423-3995 (w), 437-8291 (h)
Sponsors: Mycogen Plant Sciences &Gerlach Services, Inc.
Location: County Point, Highways 61 & 10
The Chamber will coordinate this event.
Security: Barriers needed for traffictcrowd control.
POLICE CANINE DEMONSTRATION 3:30 PM
Contact: Rod Risch, Hastings Police Deportment
Sponsors: Hastings and St. Paul Police Departments
Location: Rebecca Park Area
Security: None Needed
VI-6
MEMORANDUM
TO: Honorable Mayor and City Councilmembers
FROM: Dave Osberg, City Administrator
DATE: July 6, 2000
SUBJECT: Patrol Officers Union Contract
RECOMMENDED CITY COUNCIL ACTION
It is recommended that the City Council take action approving the 2000-2001 Patrol
Officers Union Contract with the changes as outlined below.
BACKGROUND
On June 9, 2000 a mediation session was conducted with the Patrol Officers Union in an
attempt to reach a settlement on the 2000/2001 contract. During that mediation session,
I offered the following items for the Patrol Officers Union to consider:
1. Uniform allowance of$500 in 2000, and $520 in 2001
2. Wage adjustment of 3.25% in 2000 and 2001 it 3q zs Z7(z
3. City would pay for the Patrol Officers Post License
4. Patrol Officers would be compensated at straight time for one hour, in the event
they are not notified prior to 24 hours of court time cancellation
5. Increase specialty pay to $130 per month, and add the School Liason Officer to
the specialty pay provision
6. Shift Differential of.25 cents per hour for hours worked between 8:00 PM and
7:00 AM
During the mediation session, the bargaining team from the Patrol Officers indicated that
they would be willing to "sell'the proposal to the membership, if the City were to change
slightly, item #6 above. The change included an increase from .25 cents in the shift
differential, to .40 cents per hours. After having discussed this idea with Mayor Werner,
we agreed to accept their concept, provided there is nothing in the agreement that
precludes the City from retaining the right to have rotating shifts if it so desires. During
the week of June 19, 2000 1 was advised that the Patrol Officers have approved the
contract, and bus I am recommending that the City Council take action approving the
2000-2001 rrol Officers Un' ontract.
David M. Osberg
City Administrator
V/-7
MEMORANDUM
TO: Honorable Mayor and City Councilmembers
FROM: Dave Osberg, City Administrator
DATE: July 6, 2000
SUBJECT: Special City Council Meeting
RECOMMENDED CITY COUNCIL ACTION
It is recommended that the City Council take action scheduling a special meeting for
Tuesday August 15, 2000 at 7:00 PM for purposes of hearing the reports to be
presented by Springsted regarding the land use for the industrial park and the golf
course feasibility study.
BACKGROUND
Springsted Financial Advisors completed their report on the land use for the Industrial
Park. In addition, they have received the information from THK Consultants and the
Minnesota Golf Course Owners Association consultant on the feasibility of the golf
course. Springsted is in the process of reviewing this information to present their findings
on the financial feasibility of the golf course and the future land use in the Industrial Park.
Staff is recommending that the City Council schedule a special meeting to have these
reports presented and discussed, to determine if further consideration should be given to
the construction of a golf course in the City of Hastings. Based on available schedules
and the timely completion of the reports, the date of August 15, 2000 is recommended
for a special City ouncil meeting.
-A
David M. Osberg
City Administrator
VI-8
HASTINGS FIRE DEPARTMENT
MARK J. HOLMES, CHIEF
115 West 5th Street
Hastings, Minnesota 55033-1815 IN
Business Office(651)437-5610
Fax(651)437-5956
TO: Dave Osberg, City Administrator
FROM: Mark J. Holmes, Fire Chiefoe—
DATE: June 30, 2000
SUBJECT: Fire Secretary Appointment
As Fire Chief, I will no longer be able to fulfill my responsibilities as elected Secretary of
the Fire Department. Firefighter Vincent O'Brien has been appointed by me to fill the
interim vacancy until the regular election is held at the annual meeting.
The Fire Secretary is an elected position as outlined in the rules and regulations of the
Fire Department. Responsibilities and pay for this position were continued with the most
recent council approval of the rules and regulations on August 7, 1989.
The elected Secretary has been paid $35.00 per month since sometime before 1979; the
City has incurred the cost.
I have attached extracts from the August 7, 1989, council minutes and the Fire
Department rules and regulations
If I can be of any more assistance on this matter, please do not hesitate to contact me.
Attachments
FIRE SUPPRESSION — FIRE EDUCATION — FIRE PREVENTION — AMBULANCE SERVICE
i
i �
l
Ilk
bved by Councilmember Trautmann, seconded by Councilmember li
bwetz to table this item, directing staff to conduct appropriate !! 4
rch on the NI.A. Fearing Company and review any alternatives ib' !
neof tax increment financing for this senior housing project. i;,s,?�
w; Nayes, Werner. I;' "r
Wed by Councllmember Werner, seconded by Councilmember LIQUOR ORDINANCE
Kann to approve the Ist reading of an ordinance of the FAIL OF LIQUOR 1 0
of Hastings amending City Code, Section 3.20, Subdivision LEGISLATIVE CHANGES
Ic:
hshall be amended to read as follows: "It is unlawful for " •
licensee or employee thereof to sell or serve IIquor to any It!.
mwho is obviously intoxicated, or to any person under the
d21 years, or to permit any such person under the age 21
sto consume I iquor on the I icansed premises". This motion
borders a public hearing for August 21, 1989, l
; Nayes, None. + ?"
bved by Councilmember Johnson, seconded by Councilmember CONSULTANT—NEEDS
to approve the request for proposals to the following ANALYSIS—RFP I
Itectural firms, BPJBR, Winsor/Faricy Architects, Kodet
Ifectural Groups, and Lindberg Pierce for conducting of
space and staffing needs analysis at City Hall, Police and
facilities. 6 Ayes; Nayes, None. i
Wed by Councilmember Johnson, seconded by Councilmember APPROVAL/SPACE STAFF I j
rto approve the request for proposals, space and staffing NEEDS ANALYSIS RFP :j
analysis, City of Hastings. 6 Ayes; Nayes, None.
Neved by Councilmember Johnson, seconded by Councilmember FIRE DEPARTMENT !t
ann to approve the revised Hastings Fire Department— RULES 8 REGULATIONS
and Regulations. 5 Ayes; Abstained, Werner.
Ibrty 14cNamara, RecycI Ing Coordinator, and Mike Berkopec, RECYCLING 1 NG PROGRAM
al Manager of Hastings Sanitary Disposal presented a UPDATE
ling update. 1
At 12:00 the Council adjourned to a closed door meeting to CLOSED DOOR SESSION ti ' s
ssa personnel matter which Is private data under theII4 ' :
ota Data Protection Act. ;;
At i2:05 the I>tayor reconvened the regular Counci I meeting. Is'
I � I .q
loved by Councilmember ;Verner, seconded b Councilmember
Y PERSONNEL MATTER
WS to confirm the City Administrator's recommendation
30working day suspension without pay. (
Qui I
Os; Nayes, None.
Ibved by Councilmember :'lerner, seconded by Councilmember "
ilmetz to adjourn the meeting at 12:08 A.m. ADJOURNMENT �!
is; Nayes, ;Done. !'
l� (6
AITESTUr
wivt/�c-Lx�
City Clerk
„
n ,
I : G
Ij
PROCEDURES. GRIEVANCE MATTERS INVOLVING FULL-TIME FIREFIGHTERS SHALL BE HANDLED
PURSUANT TO THE POLICIES OF THE CITY OF HASTINGS AND THE UNION CONTRACT.
SECTION III
1. SECRETARY
THE SECRETARY SHALL BE APPOINTED ANNUALLY BY A MAJORITY VOTE OF THE MEMBERSHIP.
THIS POSITION SHALL BE SALARIED AND SUCH SALARY MAY BE CHANGED FROM TIME TO TIME
BY THE CITY COUNCIL OF HASTINGS. THIS SALARY SHALL BE PAID BY THE CITY OF
HASTINGS.
2. DUTIES OF THE SECRETARY
IT IS THE DUTY OF THE SECRETARY TO KEEP AN ACCURATE RECORD OF THE PROCEEDINGS
OF EACH MEETING AND TO CALL THE ROLL AT THESE MEETINGS. IT IS ALSO THE DUTY OF
THE SECRETARY TO MAINTAIN CURRENT LISTS OF THE FOLLOWING:
ACTIVE MEMBERS
INACTIVE MEMBERS
HONORARY MEMBERS
DECEASED MEMBERS
OTHER DUTIES INCLUDE MAINTAINING A CURRENT POSTED ROSTER OF ALL ACTIVE MEMBERS,
GIVING NOTICE OF ALL MEETINGS AND SERVING ALL NOTICES THAT MAY BE ORDERED.BY THE
MEMBERSHIP OF THE DEPARTMENT.
ALL VOUCHERS, RECORDS AND OTHER ITEMS PERTAINING TO THE ACCOUNTS OF THE
DEPARTMENT AND GENERAL RECORD KEEPING SHALL BE AVAILABLE FOR INSPECTION AT ALL
TIMES.
SECTION IV
GENERAL RULES AND REGULATIONS
1. IT IS THE DUTY OF EACH MEMBER TO RESPOND TO ALL EMERGENCY CALLS AS REQUIRED
WHILE IN-SERVICE, AND ATTEND ALL REQUIRED FIRE DRILLS AND TRAINING.
2. IT IS THE DUTY OF EACH MEMBER TO NOTIFY THE CHIEF AND MEMBERSHIP COMMITTEE
IN WRITING WHEN CHANGING RESIDENCY.
3. ALL MEMBERS OF THE DEPARTMENT SHALL RESIDE WITHIN THE SERVICE AREA OF THE
HASTINGS FIRE DEPARTMENT. ANY DEVIATION IS SUBJECT TO APPROVAL BY THE CHIEF AND
THE MEMBERSHIP COMMITTEE IN ACCORDANCE WITH MINNESOTA STATUTES.
4. MEMBERS SHALL NOT BRING ANY DISCREDIT TO THE DEPARTMENT.
5. MEMBERS SHALL PERFORM ALL ASSIGNED DUTIES TO THE BEST OF THEIR ABILITIES.
6. ALL OFFICERS OF THE DEPARTMENT OR OTHER RESPONSIBLE PERSON IN CHARGE SHALL
HAVE THE AUTHORITY TO REMOVE ANY MEMBER FROM ANY SCENE, MEETING OR DRILL IF THE
INDIVIDUAL IS INCAPACITATED DUE TO ANY REASON SO AS TO HAMPER THE SAFETY OF THE
4
VI-9
June 28, 2000
Mike Werner
Mayor, City of Hastings
101 E. 40" St.
Hastings, Mn. 55033
Dear Mayor Werner,
This letter is to update you and the Hastings City Council on the progress of the Steering
Committee researching the possibilities of developing a YMCA in Hastings and to ask
for your support in assisting the YMCA in contracting with a company to conduct a
market study to determine the feasibility of the resident's of Hastings supporting a
YMCA.
Over the past three months the steering committee has begun to research and evaluate
possible programs the YMCA could offer in Hastings,the possibility of raising capital
dollars to build a YMCA and the feasibility of supporting a YMCA once it has been built.
At this time the Committee has determined a market study of the Hastings community is
needed to determine if a YMCA can be successful in Hastings. This extremely
comprehensive study has been bid by Anderson,Niebuhr and Associates of
St. Paul, Minnesota at a cost of$19,800. The YMCA of Greater St. Paul will contribute
$10,000 to the cost of this project and we are asking Independent School District#200,
Regina Medical Center and the City of Hastings to consider contributing $3,300 each to
this effort.
The study would be completed by late this fall and results would then be evaluated by the
Steering Committee and future steps concerning the development of a YMCA facility
would be considered. The 15 person steering committee has worked very hard to bring
the process of a YMCA to this point. With assistance from the City of Hastings we will
be able to take the next step in helping build strong kids, strong families and a stronger
Hastings.
Please feel free to contact us at any time regarding this proposal. Thank you for your
consideration of our request and we look forward to your response.
Sincerely,
Ken Linde Don Kramlinger Tim Staley
Steering Committee Chair Steering Committee Vice Chair YMCA
V1-10
July 6, 2000
TO: The Honorable Mayor and City Council
FROM: John Grossman for the Heritage Preservation Commission
RE: Awning Replacement for 203 Second Street
This will be on the consent agenda, but please feel free to call me Monday during working hours if
you have questions.
This is one of the more distinctive and well preserved buildings in the Second Street Commercial
Historic District. Brad Stepan and his brother are opening a new retail store at this location.
Mr. Stepan got a building permit for a variety of work on 203 Second Street. In the course of
this work he asked a City Official about the type of awning he could use downtown and was given
erroneous direction. As a result he ordered and paid for an awning without getting HPC
approval. Another City Official noticed the awning before it was put up and recommended that
he call me about design review. The preservation ordinance stipulates that building permits for
work on designated buildings are to be referred to the HPC before they are released. This was
not done.
The HPC reviewed the awning at their next meeting. They all agreed that the contemporary
curved design of the awning is not appropriate for the age and appearance of the building. The
guidelines prescribe that awnings should be compatible with the age of the building, such as a flat
angle awning on this 1869 building.
The HPC directed staff to ask the Council to reimburse Mr. Stepan so that he could order another
awning, and they asked Mr. Stepan to refrain from putting the awning up. The HPC does not
want to penalize the owner of a new business. However, the HPC feels that they have to maintain
the historic character of downtown for the benefit of all property and business owners. Mr.
Stepan regrets this happened.
The preservation ordinance authorizes the HPC to ask the City Council to adopt measures
required for the preservation, protection or maintenance of Preservation sites. This is the first
time the HPC has taken this step and wants Council to understand it does not lightly do so. The
mitigating circumstance, one which is not likely to happen again, is that the owner was not at
fault;he tried to get the right direction before taking action. Funds could be taken from the HPC
budget if necessary. Staff is looking for a use for the first awning on city property, or will take
steps to sell it. It is now in storage at the civic arena.
REQUEST: Authorize purchase of the first awning from Mr. Stepan at its$2,500 cost so that he
can replace it with an awning appropriate for the historic building.
Vll-7
CITY OF HASTINGS
DAKOTA COUNTY,MINNESOTA
Resolution No.
RESOLUTION RECEIVING BIDS AND AWARDING CONTRACT FOR THE
2000 SEALCOAT PROGRAM
WHEREAS,pursuant to an advertisement for bids for the 2000 Sealcoat Program,bids were
opened on June 27, 2000 and tabulated according to law, and the following bids were received:
BIDDER BID PRICE
Bituminous Roadways $39,672.50
Allied Blacktop Co. $42,796.00
ASTECH Corp. $45,370.00
WHEREAS, it appears that Bituminous Roadways, Inc. is the lowest responsible bidder;
NOW,THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
HASTINGS AS FOLLOWS; that the Clerk and Mayor are hereby authorized and directed to
enter into a contract with Bituminous Roadways, Inc. in the amount of$39,672.50 for the 2000
Sealcoat Program.
ADOPTED BY THE CITY COUNCIL OF HASTINGS,MINNESOTA, THIS 10TH DAY
OF JULY, 2000.
Ayes:
Nays:
Michael D. Werner,Mayor
ATTEST:
Melanie Mesko, City Clerk
(SEAL)
V11-2 & Vlll-B-1
July 6, 2000
TO: The Honorable Mayor and Council
FROM: John Grossman, Industrial Park Director
RE: Rescind Preliminary Approval for Diversified Manufacturing
On December 20, 19991 City Council gave concept approval to a proposal by
Diversified Manufacturing to build an 85,000 sq.ft. industrial plant in the Industrial
Park, provided the city sell the 6.8 acre site for $1.00 an acre under the Land Credit
Program. The approval set aside the land for the developer until May 1, 2000.
Staff was directed to prepare purchase, development and subsidy agreements while
the developer prepared acceptable building and site plans. Council also authorized
City application for a Minnesota Investment Fund loan on behalf of the developer.
We have been informed by Mr. Motilall, owner of Diversified Manufacturing, that
he has decided to stay and expand his plant in Newport. The costs of moving to
Hastings and of a new building do not make business sense for him at this time.
City costs incurred in making the application and in drafting the agreements have
been covered by a Letter of Credit.
RECOMMENDATION: A motion stating that on the grounds that Diversified
Manufacturing has withdrawn its proposal, the City has no further obligations under
its concept approval of December 20, 1999, or under its application for a Minnesota
Investment Fund loan, and that the City is free to consider the 6.8 acres for any
other proposal.
V11-3 & Vlll-B-2
July 5, 2000
TO: The Honorable Mayor&Council
FROM: John Grossman for the Industrial Park Board
RE: Miller Development and Subsidy Agreement
City Council gave preliminary approval to this transaction on June 5, 2000. This business subsidy
is offered under the business subsidy criteria adopted by Council on December 20, 1999.
State Law requires that the city approve,at a public meeting and after holding a public hearing,
the terms of agreements which provide assistance to businesses. Required notice has been
provided on the public hearing,and the agreements have been available for public review since
June 29,2000.
A summary of the terms, the development agreement and subsidy agreement are attached. The
basic facts are as follows:
• Arthur`Bud"Miller would receive title to a one acre lot on Industrial Court for$1.00.
The balance of the land value, $43,559,will be deferred for five years as a forgivable loan.
• Mr.Miller will construct a 8,000 sq. ft. building worth about$240,000. Miller Electric
and one other tenant will occupy the building.
• If Mr. Miller completes the building and increases his payroll as proposed he will be
authorized a credit of$44,600 against the unpaid value of the land. If the credit does not
exceed the value of the land, the balance will be due and may be assessed against the land.
• Miller electric proposes to hire two additional employees at no less than$12.00 per hour
within two years. If necessary, Council can provide an additional year. Mr. Miller has to
provide the two jobs and remain in business in the-city for five years or repay the City a
pro-rated share of the land value.
ACTION REQUESTED: A motion approving the terms of the business subsidy and the language
of the agreements and authorizing the Mayor and City Clerk to execute the documents.
Closing on the land will be contingent on Mr. Miller providing acceptable site plans and building
plans to the City as described in the agreements.
SUMMARY OF THE LAND PRICE SUBSIDY AGREEMENT
RECIPIENT OF THE LAND PRICE SUBSIDY
Arthur G. Miller,Jr., 2665 78 th St,. Inver Grove Hgts. Minnesota
DESCRIPTION OF THE LAND
One acre;Lot 2,Block 1, Hastings Industrial Park#5
VALUE OF THE SUBSIDY IN THE FORM OF LAND SOLD BELOW MARKET PRICE
Appraised price:$43,560. Agreed purchase price:$1.00. Value of subsidy:$43,559
SIZE AND VALUE OF THE BUILDING TO BE LOCATED ON THE LAND
An industrial building of 7,950 sq.ft. with a construction cost of$240,000.
BUSINESS OR TENANT OF BUILDING RESPONSIBLE_FOR CREATING JOBS
Miller Electric,Inc. 3550 Vermillion St.Hastings.
PARENT CORPORATION IF ANY:
None
OTHER BUSINESS SUBSIDIES IF ANY:
None
JOB AND WAGE GOALS TO BE MET WITHIN TWO YEARS OF SALE
Two new jobs at no less than$12.00 an hour
PUBLIC PURPOSES:
1.Development of underutilized property, expanding the tax base of the City and State
2. Creating new job opportunities within Hastings at competitive wages
3.Facilitating the expansion of a local business
REASON FOR THE SUBSIDY:
Reduction of the land price lowers the front end costs of the business expansion, freeing funds
available for construction and retaining business cash for operations,thereby reducing the risk of
failure and facilitating the expansion.
FINANCIAL OBLIGATION OF THE RECIPIENT IF THE GOALS ARE NOT MET
1. The subsidy is considered a loan for five years which will be forgiven if the building is
completed as approved and the job and wage goals are met.
2. If the job goal is not met in two years, or three with city extension, a pro-rated portion of the
subsidy must be repaid to the City.
3.If the building is not completed a pro-rated portion of the subsidy must be repaid to the City.
Miller Electric
Proposed • .
Industiral Court
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IPA Buildings.shp
Hastings Road.shp
Auto Body
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Carlson Water
Auto
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. • Site
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COMMERCE
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This is not a survey
JULY 5, 2000
PURCHASE AND
DEVELOPMENT AGREEMENT
By and Between
CITY OF HASTINGS, MINNESOTA .
and
ARTHUR G. MILLER
Dated: .2000
This document was drafted by:
BRADLEY & DEIKE, P. A.
5100 Eden Avenue, Suite 308
RJD AGRMT/HASTINGS MILLER
TABLE OF CONTENTS
Pace
PREAMBLE 1
ARTICLE I
Definitions
Section I.I. Definitions 2
ARTICLE II
Representations
Section 2.1. Representations by the City . 4
Section 2.2. Representations by the Developer 4
ARTICLE III
Conveyance of Property
Section 3.1. Status of Property 5
Section 3.2. Agreement to Sell 5
Section 3.3. Conditions Precedent to Conveyance 6
Section 3.4. Title 6
Section 3.5. Environmental Assessment 7
Section 3.6. Closing 7
Section 3.7. Access to Property 8
Section 3.8. Assessments 8
Section 3.9. Business Subsidy Agreement 10
Section 3.10.City Costs 10
ARTICLE IV
Construction of Improvements
Section 4.1. Construction of Improvements 11
�i)
Section 4.2. Construction Plans and Site Plan 11
Section 4.3. Commencement and Completion of Construction 11
ARTICLE V
Insurance
Section 5.1. Insurance 12
ARTICLE VI
Taxes
Section 6.1. Real Property Taxes 14
ARTICLE VII
Financine
Section 7.1. Mortgage Financing 14
Section 7.2. Limitation on Encumbrance of Property14
1,
ARTICLE VIII
Prohibitions Against Assignment and Transfer• Indemnification
Section 8.I. Prohibition Against Transfer of Property and
Assignment of Agreement 14
Section 8.2. Release and Indemnification Covenants 15
ARTICLE IX
Events of Default
Section 9.1. Events of Default Defined 16
Section 9.2. Remedies on Default 16
Section 9.3. No Remedy Exclusive 17
fin)
Section 9.4. No Additional Waiver Implied by
One Waiver 17
Section 9.5. Effect of Termination of Agreement 17
Section 9.6. Costs of Enforcement 17
ARTICLE X
Additional Provisions
Section 10.1.Representatives Not Individually Liable 17
Section 10.2.Provisions Not Merged With Deed 18
Section 10.3.Titles of Articles and Sections 18
Section 10.4.Notices and Demands 18
Section 10.5.Disclaimer of Relationsbips 18
Section 10.6.Modifications 18
Section 10.7.Counterparts 18
Section 10.8.Judicial Interpretation 18
Section 10.9. Severability 18
Section 10.10. Termination 19
SCHEDULE A Description of Property
SCHEDULE B Business Subsidy Agreement
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PURCHASE AND DEVELOPMENT AGREEMENT
THIS AGREEMENT, made on or as of the day of , 2000,
by and between the City of Hastings, Minnesota, a home rule charter city under the laws of the
State of Minnesota (hereinafter referred to as the "City"), and having its principal office at 101
4th Street East, Hastings, Minnesota 55033-1955, and Arthur G. Miller, a
individual (hereinafter referred to as the "Developer"), having his principal office at 3550
Vermillion, Hastings, Minnesota 55033.
WITNESSETH:
WHEREAS, the City is a home rule charter city under the laws of the State of Minnesota
and is the owner of certain real property located in an industrial park within the City (which real
property is referred to herein as the "Property");and
WHEREAS, the City has identified as one of its objectives the encouraging of economic
development and job growth within the City by inducing and assisting new business to locate in
the City and existing businesses to expand their operations; and
WHEREAS, the Developer has presented to the City a proposal by which it would
purchase the Property from the City and construct thereon a building of approximately 8,000
square feet with a market value for real property tax purposes of at least$240,000; and
WHEREAS, the Developer has further proposed that in consideration of the City's
conveyance of the Property the Developer will meet certain employment and wage requirements
within specified times after conveyance of the Property;and
WHEREAS, the Developer has represented to the City that the Developer is unable to
secure the necessary financing to. acquire the Property and construct the Improvements if the
Developer is required to purchase the Property for its current market value;and
WHEREAS, the City is willing to sell the Property to the Developer but only if the
Developer complies with his construction, employment and other covenants under this
Agreement.
NOW, THEREFORE, in consideration of the mutual covenants and obligations of the
parties hereto, each of them does hereby covenant and agree with the other as follows:
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ARTICLE I
Defmitions
Section 1.1. Definitions. In this Agreement, unless a different meaning clearly appears
from the context:
"Agreement" means this Agreement, as the same may be from time to time modified,
amended,or supplemented.
"Assessments"means the assessments to be levied against the Property pursuant to Section
3.8 of this Agreement.
"Business Subsidy Agreement" means the agreement in the form of Schedule B to this
Agreement to be executed by the City and the Developer pursuant to Section 3.9 of this .
Agreement as required pursuant to Minnesota Statutes. sections 1161993 to 1161995.
"City"means the City of Hastings,Minnesota.
"Construction Credit" means the credit to be given to the Developer against the
Developer's obligations to pay the Assessments calculated as provided in Section 3.8 of this
Agreement.
"Construction Plans" means the plans, specifications, drawings and related documents on
the construction work to be performed by the Developer on,the Property which shall be at least
as detailed as the plans to be submitted to the building inspector of the City and shall include
such supplemental information as the City may require.
"County" means Dakota County, Minnesota
"Developer" means Arthur G. Miller, a individual, his representatives
and assigns, and any future owners of any interest in the Property.
"Event of Default"means an action listed in Section 9.1 of this Agreement.
"Hazardous Substances" means asbestos, urea formaldehyde, polychlorinated biphenyls,
nuclear fuel or materials, chemical waste, radioactive materials, explosives, known carcinogens,
petroleum products and also all dangerous, toxic or hazardous pollutants, contaminates,
chemicals, materials or substances defined as hazardous or as a pollutant or contaminant in, or
the release or disposal of which is regulated by, any Laws or Regulations, as hereafter defined.
Laws or Regulations mean and include the Comprehensive Environmental Response and
Liability Act ("CERCLA" or the Federal Superfund Act) as amended by the Superf ind
Amendments and Reauthorization Act of 1986 ("SARA') 42 U.S.C. 9601-9675; The Federal
Resource Conservation and Recovery Act of 1986 ("RCRA"); the Clean Water Act, 33 U.S.C.
1321, et seq.; the Clean Air Act 42 U.S.C. 7401, et seq., all as the same may be from time to
time amended, and any other federal, state, county, municipal, local or other statute, law
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ordinance or regulation which may relate to or deal with human health or the environment
including, without limitation, all regulations promulgated by a regulatory body pursuant to any
such statute, law or ordinance.
"Holder"means the owner of a Mortgage.
"Improvements" means the construction by the Developer of.a building of approximately
8,000 square feet on the Property in accordance with the Construction Plans.
"Job Credit" means the credit to be given to the Developer against the Developer's
obligations to pay the Assessments calculated as provided in Section 3.8 of this Agreement.
"Mortgage" means any mortgage, lien or other encumbrance made or permitted to be made
by the Developer which is secured, in whole or in part,by the Property.
"Permitted Encumbrances" means the Assessments: the provisions of this Agreement:
reservations of minerals or mineral rights to the State of Minnesota; public utility, roadway and
other easements which will not adversely affect the development and use of the Property
pursuant to the Developer's Construction Plans; building laws, regulations and ordinances
consistent with the Improvements; real estate taxes that Developer agrees to pay or assume
pursuant to this Agreement; restrictions, covenants and easements of record that do not
materially adversely affect the development and use of the Improvements; and exceptions to title
to the Property which are not objected to by Developer upon examination of the title evidence to
be delivered to the Developer pursuant to Section 3.4 of this Agreement.
"Property" means the real property described in Schedule A of this Agreement.
"State" means the State of Minnesota.
"Unavoidable Delays" means delays which are the direct result of acts of God, unforeseen
adverse weather conditions, strikes, other labor troubles, fire or other casualty to the
Improvements, litigation commenced by third parties which, by injunction or other similar
judicial action, directly results in delays, or acts of any federal, state or local governmental unit
(other than the City in enforcing its rights under this Agreement)which directly result in delays.
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ARTICLE II
Representations
Section 2.1. Representations by the QM The City makes the following representations as
the basis for the undertaking on its part herein contained:
(a) The City is a home rule charter city organized and existing under the laws of the
State. Under the laws of the State, the City has the power to enter into this Agreement and to
perform its obligations hereunder.
(b) The Property is directly accessible to city sewer and water located in the adjacent
right-of-way or in a utility easement.
(c) To the best of the City's knowledge and belies; at the time of execution by the City
of this Agreement, there are no environmental proceedings, applications, ordinances, petitions,
court pleadings, resolutions, investigations by public or private agencies, or other matters
pending which could prohibit, impede, delay or adversely effect the contemplated use of the
Property.
(d) To the best of the City's knowledge and belies; no underground storage tanks or
Hazardous Substances have been, or pending the conveyance of the Property shall be, installed,
used, incorporated into, discharged, released, stored, generated, disposed of or allowed to escape
in,to,or upon the Property.
(e) To the best of the City's knowledge and belieij no investigation, administrative
order, consent order or agreement, litigation, or settlement with respect to Hazardous Substances
is proposed,threatened,anticipated or in existence with respect to the Property.
(f) The Property: (i) consists of 1 acre; (ii) is currently zoned I-1; (iii) is not in the
designated 100 year flood plain area; and (iv) does not currently receive preferential tax
treatment(ie. Green Acres).
Section 2.2. Representations by the DeveloRer. The Developer represents that:
(a) The Developer is a Minnesota resident who has the legal capacity to enter into this
Agreement and to carry out the Developer's obligations under this Agreement.
(b) The Developer will construct the Improvements in accordance with the terms of
this Agreement and all local, state and federal laws and regulations (including, but not limited to,
environmental, zoning, building code and public health laws and regulations), except for
variances necessary to construct the improvements contemplated in the Construction Plans and
site plan approved by the City.
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(c) The Developer has received no notice or communication from any local, state or
federal official that the activities of the Developer or the City in the Project Area may be or will
be in violation of any environmental law or regulation. The Developer, to the best of his
knowledge, is aware of no facts the existence of which would cause him to be in violation of any
local, state or federal environmental law, regulation or review procedure. In the event that the
City is required to take any action to obtain any necessary permits or approvals with respect to
the Property under any local, state or federal environmental law or regulation, the Developer will
cooperate with the City in connection with such action.
(d) The Developer has or will obtain, in a timely manner, all required permits, licenses
and approvals, and will meet, in a timely manner, all requirements of all applicable local, state
and federal laws and regulations which must be obtained or met before the Improvements may
be lawfully constructed and operated.
All representations set forth in Section 2.1 and 2.2. of this Agreement shall be true and correct in
all material respects as of the date of closing on conveyance of the Property to the Developer.
ARTICLE III
Conveyance of Property
Section 3.1. Status of Property. The City owns fee title to the Property. The City acquired
the Property as part of an industrial park and developed.the industrial park through the
installation of infrastructure in order to provide readily available sites for businesses seeking
industrial space. The public improvements to the industrial park benefited all parcels of property
in the industrial park. The City is willing to initially convey the Property to the Developer for a
purchase price less than the value of the Property and the costs that the City has incurred in
developing the Property in consideration of the Developer's covenants and obligations under this
Agreement. The Developer and the City have agreed that the value of the Property and public
improvements that have been installed by the City that is in excess of the purchase price may be
assessed against the Property and may be repayable in accordance with Section 3.8 of this
Agreement.
3.2 Agreement to Sell. (a) The City and the Developer agree that the value of the
Property in its current improved state is at least $43,560.00. However, the Developer has stated
that he is unable to pay more than a nominal amount for the purchase of the Property. Therefore,
the City agrees that it will sell the Property to the Developer in consideration for the Developer's
payment of a purchase price of $1.00 per acre ($1.00 total) and the performance of the
Developer's other covenants under this Agreement. The Developer agrees that he will purchase
the Property for the purchase price of$1.00 and that he will finlfill all of his other obligations set
forth herein.
(b) The purchase price to be paid by the Developer to acquire the Property shall be
payable by means of cash or certified fiords on the date of closing on the sale of the Property to
the Developer.
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Section 3.3. Conditions,Precedent to Conveyance. The City's obligation to sell and the
Developer's obligation to purchase the Property shall be subject to satisfaction of all of the
following conditions precedent:
(a) The Developer having obtained the requisite approval of the City hereunder and all
applicable governmental agencies and instrumentalities, municipal, county, state and federal, to
the development of the Property through the construction of the Improvements in accordance
with the Developer's Construction Plans and site plan.
(b) The Developer having obtained: (i) amendments, revisions, exceptions or changes
as may be necessary to applicable zoning codes and ordinances; (ii) special use permits, if
applicable, (iii) building permits for the Improvements; (iv) driveway permits; (v) roadway
access rights and permits; (vi) environmental consents, if necessary; (vii) vacations and
variances deemed necessary by Developer or as may be otherwise required to permit Developer
to construct the Improvements in accordance with the Developer's Construction Plans and site
plan; and (viii) the City shall have approved the Developer's Construction Plans and site plan for
the Improvements.
(c) The Developer having determined that the Property has soil bearing characteristics
sufficient to support the Improvements.
(d) The Developer having reviewed and approved, or waived any objections to,title to
the Property pursuant to Section 3.4 of this Agreement.
(e) Developer shall have secured construction and permanent mortgage loan financing
sufficient for the acquisition of the Property and construction of the Improvements, which
financing shall contain terms acceptable to the City by which the Developer's lender agrees to be
bound by and subject to the Assessments.
(f) If the Developer is married, the Developer shall have delivered to the City an
instrument, in a form acceptable to the City, by which the Developer's spouse, consents to the
Assessments as a lien on the Property and subjects her interest in the Property to such lien.
In the event that the above conditions precedent have not been satisfied, or waived in writing by
both the City and Developer, by a date forty five (45) days from the date of this Agreement,
either the City or Developer may terminate this Agreement bygiving written notice of
termination to the other party, whereupon this Agreement shall be null and void and the
Developer and City shall execute an instrument in recordable form canceling this Agreement.
Upon termination of this Agreement, the City and the Developer shall have no further
obligations to the other under this Agreement,except as stated in Section 9.5 of this Agreement.
Section 3.4. Title. (a) The Developer has obtained a commitment for the issuance of an
owner's policy of title insurance for the Property naming the Developer as the proposed insured
party. The Developer shall be allowed twenty (20) days after the date hereof for examination of
said title and the making of any objections thereto, said objections to be made in writing or
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deemed to be waived. The Developer may not object to Permitted Encumbrances. The
Developer's objections shall be made in writing or shall be deemed waived. If any objections
are so made,the City shall be allowed ninety(90) days from notice thereof to cure the title defect
or exception, either by the removal thereof or by the procurement of title insurance endorsements
satisfactory to Developer providing coverage against loss or damage as a result of such defect or
exception. If the City does not cure such title defect or exception to Developer's satisfaction
within said ninety (90) days, the Developer may, at his option, either (i)terminate the Agreement
upon written notice to the City upon which this Agreement shall be null and void and the
Developer and the City shall execute an instrument in recordable form canceling this Agreement;
or (ii) waive the title defect or exception and proceed with the closing on the purchase of the
Property. If the Developer waives the title defect or exception and proceeds to acquire the
Property, the City shall have no further obligations with respect to any such defects or
exceptions. The cost of obtaining the title insurance commitment and the cost of title insurance
shall be borne by the Developer;provided that the City shall pay the cost of updating the abstract
or registered property abstract for the Property or, if there is no abstract or registered property
abstract in the possession of the City, the costs of updating title for purposes of the issuance of
the title insurance commitment.
(b) Within a reasonable time after the date hereof, the Developer shall obtain and
furnish to the City, at the Developer's expense, a survey of the Property prepared by a registered
surveyor certified to date, showing: (i) the number of square feet contained in the Property,
measured to the right-of-way line of public roads upon which the property abuts; (ii) the exact
legal description of boundary lines of the Property; (iii) encroachments from or onto the
Property, if any; (iv) location of utility lines and easements of any kind, of record or appearing
thereon, if any; (v) assumed bearings used by the surveyor; and (vi) direct legal access from a
public road to the Property. The City will reimburse the Developer for the above portions of the
survey but not those portions that are attributable to the Developer's preparation of his site plan
for the Improvements.
Section 3.5 Environmental Assessment. The Developer has reviewed and approved the
environmental condition of the Property and the surrounding real estate. The Developer agrees
that if he closes on the acquisition of the Property he will be purchasing the Property in its
current condition and the City shall have no obligations to the Developer with respect to any
environmental conditions existing on the Property.
Section 3.6 Closing. (a) Closing on the conveyance of the Property to the Developer shall
occur on or before ten (10) business days after satisfaction, or waiver, of all of the conditions
precedent set forth in Section 3.3 of this Agreement.
(b) At closing on conveyance of the Property, the City shall deliver to the Developer:
(i) a warranty deed duly executed and acknowledged, in recordable form, conveying to the
Developer marketable title to the Property subject only to Permitted Encumbrances; (ii) the
ALTA Owner's title insurance policy described in Section 3.4 (the premium for which and the
cost of obtaining the commitment for which shall be paid by Developer); and (iii) a Seller's
Affidavit, in customary form, relative to judgments, federal tax liens, mechanic's liens and
outstanding interests in the Property.
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(c) At closing on the conveyance of the Property the City will pay the following costs:
(i) The cost of updating title to or continuing the abstract for the Property;
(ii) State deed tax;
(iii) Conservation fee payable in connection with the conveyance;and
(iv) The portion of the survey costs described in Section 3.4(b).
At closing on the conveyance of the Property the Developer will pay the following costs:
(i) The purchase price;
(ii) The cost of obtaining the title insurance commitment and the policy of title
insurance;
(iii) The costs described in Section 3.10;
(iv) The cost of the Survey related to preparing Developer's site plan showing
the Improvements.
(v) Recording fees for the deed, this Agreement and any other documents
required to be recorded in connection with the conveyance;and
(vi) Closing costs.
Section 3.7 Access to Property. During the term of this Agreement, the Developer and his
authorized representatives shall be permitted access to the Property at reasonable times for the
purpose of architectural inspection and design studies and the taking of such soil borings and
tests as are deemed reasonably necessary by Developer. Developer hereby agrees to indemnify,
defend, and hold harmless the City, its officers, agents, employees and commissioners from and
against any and all damage to property or injury to person arising out of the Developer's exercise
of his right of access to the Property under this Section. The Developer shall be entitled to actual
possession of the Property on the date of closing on conveyance of the Property to the
Developer.
Section 3.8. Assessments. (a) The Developer agrees that he will pay to the City the
current value of the Property and the improvements that have been made to the land by the City
prior to the date hereof if and to the extent required by this Section. The value of the land that is
not being paid in the form of the purchase price paid at the time of conveyance of the Property is
agreed to be $43,559.00. In order to secure the City's interest in being paid such amount the
Developer and the City agree that the City may at the time of closing on the sale of the Property
to the Developer or at any time thereafter assess such amount against the Property with the same
force and effect as an assessment under Minnesota Statutes. Chapter 429. Such amount so
assessed is referred to herein as the "Assessments" and shall constitute a special assessment lien
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against the Property enforceable in the manner applicable to the lien of assessments levied under
said Chapter 429. The Developer agrees that this Agreement constitutes a petition to assess the
Property and that no further consent or agreement by the Developer is necessary to levy the
Assessments. The Developer further agrees that he will not contest the amount or validity of the
Assessments on constitutional, statutory, procedural or other grounds and shall cause any Holder
and any transferee of Developer's acquiring an interest in the Property or Improvements to
execute an instrument, in a form acceptable to the City, acknowledging the validity of the lien of
the Assessments and subjecting the Holder's lien or the transferee's interest to the lien of the
Assessments. In addition, the Developer will upon request by the City execute such other
documents as the City may from time to time reasonably request to continue the perfection of the
lien of the Assessments as a first lien on the Property. Payment of the principal amount of the
Assessments shall be deferred but shall be due and payable on July 1, 2005, unless accelerated
pursuant to Section 9.2 or unless satisfied as provided in Section 3.8(e), except as the payment
obligation may be reduced pursuant to Section 3.8(b) and (c). No interest shall accrue with
respect to the Assessments until July 1, 2005, or the date that the Assessments may be
accelerated pursuant to Section 9.2, but if the Developer fails to pay any amount that is owed on
July 1, 2005, or on the date that the Assessments are declared due and payable in accordance
with Section 9.2, the unpaid balance shall accrue interest from such date until paid at the prime
rate of interest in effect on the date the Assessments are due as announced by Norwest Bank
Hastings.
(b) The amount of the Assessments to be paid by the Developer to the City on July 1,
2005, shall be reduced by an amount referred to herein as the "Construction Credit". The
Construction Credit shall be equal to the market value of the Improvements, exclusive of the
value of the Property, for real property tax purposes, on the January 2nd prior to the date the
Assessments are due, divided by 10. For example, if the value of the Improvements, exclusive
of land value, on January 2, 2005, is $240,000.00 the amount of the Construction Credit
available on July 1, 2005, would be $24,000.00. No Construction Credit shall be available to
reduce the Assessments unless the Developer has completed, to the satisfaction of the City, all
aspects of the Improvements, including, without limitation, any site improvements shown on the
approved Construction Plans.
(c) The amount of the Assessnvnts to be paid by the Developer to the City on July 1,
2005, shall be further reduced by an amount referred to herein as the "Jobs Credit". Prior to
closing on the conveyance of the Property to the Developer the Developer shall furnish to the
City payroll records in such form as the City may require documenting the wages paid by the
Developer or Miller Electric, Inc., in the twelve month period preceding the closing. The City
shall determine such total wage amount for such twelve month period and such amount shall be
referred to as the "Existing Payroll". The Jobs Credit shall be equal to the annual payroll, in
excess of the Existing Payroll, in the twelve (12) month period immediately preceding the date
that the Assessments are due of the Developer's (or Miller Electric, Inc.'s as described in Section
8.1(b)) operations on the Property, divided by 27,000, with the result then being multiplied by
$5,400.00. For example, if the annual payroll of the Developer for the twelve (12) month period
is $103,000.00 the amount of the Jobs Credit (($103,000.00/27,000) x $5,400.00) shall be
$20,600.00. For purposes of determining the Developer's annual payroll, only gross wages paid
to employees shall be considered. A maximum of$50,000 of the aggregate gross wages paid to
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all employees who are also owners of any interest in Miller Electric, Inc., may be included in the
gross wages paid by Developer or Miller Electric, Inc. No Jobs Credit shall be available to
reduce the Assessments unless the Developer has completed, to the satisfaction of the City, all
aspects of the Improvements, including, without limitation, any site improvements shown on the
approved Construction Plans. If the Assessments as reduced by the Construction Credit and the
Jobs Credit are less than zero,the Developer shall not be entitled to any payment from the City.
(d) The Developer shall provide within ten (10) days of request by the City all
documentation requested by the Authority to determine the amount of the Assessments that may
be due under this Section. The City will, to the extent permitted by law, maintain the
confidentiality of all information provided to the City under this subsection.
(e) At any time prior to July 1, 2005, the Developer may prepay the amount of the
Assessments that are due at such time based on documentation provided to the City by the
Developer as to the amount of the Jobs Credit and the Construction Credit to which the
Developer is entitled at such time. The Developer's right to prepay the Assessments or seek a
determination that no Assessments are payable shall be subject, however, to the condition that
the Developer shall have completed construction of the Improvements as evidenced by the City's
delivery of a certificate of occupancy or, if items cannot be completed due to weather conditions,
the Developer has established an escrow acceptable to the City to guarantee the completion of
such unfinished items. Upon such prepayment or upon the Developer's demonstration to the
City that no amount of the Assessments is due, the City will execute a certification in recordable
form certifying that the Assessments have been paid in full and discharged as alien from the
Property. Notwithstanding the full or partial termination of the Assessments that may be due
under this Agreement, such payment shall not terminate or'reduce the Developer's obligations,
including possible repayment obligations,under the Business Subsidy Agreement.
Section 3.9. Business Subs& AUeement. The financial assistance being provided to the
Developer by the City under this Agreement constitutes a "subsidy"_within the meaning of
Minnesota Statutes, sections 1161993 to 1161995. Therefore, at the time of closing on the
conveyance of the Property to the Developer by the City, the City and the Developer shall enter
into the Business Subsidy Agreement to satisfy the requirements under said statutory provisions.
The repayment obligations set forth in the Business Subsidy Agreement are mandated by State
law and are separate and distinct from the obligations of the Developer under this Agreement.
Therefore, the Developer's repayment obligations under the Business Subsidy Agreement shall
not be satisfied in whole or in part by any Construction Credit or Jobs Credit that the Developer
may have earned under this Agreement.
Section 3.10. City Costs. The Developer shall pay all of the City's out-of-pocket costs
paid or payable by the City to attorneys or consultants in connection with the negotiation and
preparation of this Agreement and related documents, financial reviews of this transaction, and
the conveyance of the Property, including closing and recording costs. The City estimates that
such costs will be approximately $ and agrees that the maximum costs for which the
Developer will be liable relative to the negotiation and preparation of this Agreement shall be
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ARTICLE IV
Construction of Improvements
Section 4.1. Construction of Improvements. The Developer agrees that he will construct
the Improvements on the Property in accordance with the approved Construction Plans and site
plan and at all times will operate and maintain, preserve and keep the Improvements or cause the
Improvements to be maintained, preserved and kept with the appurtenances and every part and
parcel thereof;in good repair and condition.
Section 4.2. Construction Plans and Site Plan.
(a) The City's willingness to convey the Property to the Developer is predicated upon and
subject to the Developer's agreement that he will construct the Improvements and that the
Improvements will be of such quality and nature as will satisfy the City's goals for the
development of the Property. Therefore, within thirty(3 0) days from the date of this Agreement,
the Developer shall provide to the City for its review and approval Construction Plans and a site
plan for the Improvements. The Construction Plans and site plan shall provide for the
construction of the Improvements and shall be in conformity with this Agreement and all
applicable state and local laws and regulations. The City shall approve the Construction Plans
and site plan in writing if, in the sole discretion of the City, the proposed Improvements are of
such a nature and quality as to justify the City's conveyance of the Property. Such Construction
Plans and site plan shall, in any event, be deemed approved unless rejected in writing by the
City, in whole br in part within thirty (30) days after the date of their receipt by the City.
Nothing in this Section shall be deemed to relieve the Developer's obligations to comply with
the requirements of the City's normal construction permitting process.
(b) If the Developer desires to make any material change in any Construction Plans
or site plan after their approval by the City, the Developer shall submit the proposed change to
the City for its approval. If the Construction Plans and site plan, as modified by the proposed
change, conform to the requirements of this Agreement and such changes do not materially alter
the nature, quality or exterior appearance of the Improvements, the City shallapprove the
proposed change and notify the Developer in writing of its approval. Any requested change in
the Construction Plans or site plan shall, in any event, be deemed approved by the City unless
rejected, in whole or in part, by written notice by the City to the Developer, setting forth in detail
the reasons therefor. Such rejection shall be made within ten (10) days after receipt of the notice
of such change.
Section 4.3. Commencement and Completion of Construction. (a) The Developer
agrees for himself; his representatives and assigns, and every successor in interest to the
Property, or any part thereot that the Developer, and his representatives and assigns, shall
promptly begin and diligently prosecute to completion construction of the Improvements within
the period specified in this Section 4.3 of this Agreement.
(b) Subject to Unavoidable Delays, the Developer shall commence construction of
the Improvements by July 15, 2000, and shall complete such construction by October 31, 2000.
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The Developer shall, however, be entitled to request additional time to complete the
Improvements, together with any site improvements shown on the site and building plans
approved by the City; provided, that any such request shall be made prior to the date that
completion is required and that the City may require security from the Developer to assure that
any uncompleted work is completed
(c) The Developer shall only be deemed to have fiilfilled his obligations to construct
the Improvements if upon completion of the Improvements the Improvements, exclusive of the
value of the Property,have a market value for tax purposes of at least$240,000.00.
ARTICLE V
Insurance
Section 5.1. Insurance.
(a) The Developer will provide and maintain at all times during the process of
constructing the Improvements and, from time to time at the request of the City, fiunish the City
with proof of payment of premiums on:
(i) Builder's risk insurance, written on the so-called "Builder's Risk -- Completed
Value Basis," in an amount equal to one hundred percent (100%) of the insurable value of
the Improvements at the date of completion, and with coverage available in nonreporting
form on the so called "all risk" form of policy. The interest of the City shall be protected
in accordance with a clause in form and content satisfactory to the City;
(ii) Comprehensive general liability insurance in amounts required by the City's code
of ordinances;and
(iii) Worker's compensation insurance, with statutory coverage and employer's liability
protection.
(b) Prior to the date that the Developer pays to the City any amount of the
Assessments that is due under Section 3.8 or that it is determined that no amount is due or the
date that the Developer has fiMed all of his obligations under the Business Subsidy
Agreement, whichever, is later, the Developer shall maintain, at its cost and expense, and from
time to time at the request of the City shall finnish proof of the payment of premiums on,
insurance as follows:
(i) Insurance against loss and/or damage to the Improvements under a policy or
policies covering such risk as are ordinarily insured against by similar businesses,
including (without limiting the generality of the foregoing) fire, extended coverage, all
risk vandalism and malicious mischief, boiler explosion, water damage, demolition cost,
debris removal, and collapse in an amount not less than the full insurable replacement
value of the Improvements, but any such policy may have a deductible amount of not
more than $25,000.00. No policy of insurance shall be so written that the proceeds
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thereof will produce less than the minimum coverage required by the preceding sentence,
by reason of co-insurance provisions or otherwise, without the prior consent thereto in
writing by the City which consent shall not be unreasonably withheld. The term "full
insurable replacement value shall mean the actual replacement cost of the Improvements
(excluding foundation and excavating costs and costs of underground flues, pipes, drains
and other uninsurable items) and equipment, and shall be determined from time to time at
the request of the City, but not more frequently than once very three years, by an
insurance consultant or insurer, selected and paid for by the Developer and approved by
the City. All policies evidencing insurance required by this subparagraph (i) with respect
to the Minimum Improvements shall be carried in the names of the Developer and the
City as their respective interests may appear and shall contain standard clauses which
provide for net proceeds of insurance resulting from claims per casualty thereunder to the
Improvements to be made payable to the Developer.
(ii) Comprehensive general public liability insurance, including personal
injury liability (with employee exclusion deleted), and automobile insurance, including
owned, non-owned and hired automobiles, against liability for injuries to persons and/or
property, in the minimum amount for each occurrence and for each year of
$1,000,000.00, for public liability and shall be endorsed to show the City as an additional
insured.
The policies of insurance required pursuant to clauses (i) and (ii) above shall be in form and
content satisfactory to-the City and shall be placed with financially sound and reputable insurers
licensed to transact business in the State, the liability insurer to be rated A or better in Best's
Insurance Guide. The policy of insurance delivered pursuant'id clause (i) above shall contain an
agreement of the insurer to give not less than thirty (30) days' advance written notice to the City
in the event of cancellation of such policy or change affecting the coverage thereunder.
(c) The Developer agrees to notify the City immediately in the case of damage to or
destruction of the Improvements or any portion thereof resulting from fire or other casualty. In
the event of any such damage or destruction, the Developer will forthwith repair, reconstruct and
restore the Improvements to substantially the same or an improved condition or value as existed
prior to the event causing such damage. Failure by the Developer to rebuild the Improvements
shall constitute an Event of Default under this Agreement which shall entitle the City to declare
the Assessments due under Section 9.2 of this Agreement.
(d) The City agrees that, if requested by the Developer's lender of financing for the
construction of the Improvements, it will subordinate its rights relative to the receipt .and
application of the proceeds of insurance under this Agreement to the lien of such lender's
mortgage.
13
ARTICLE VI
Taxes
Section 6.1. Real PropgM Taxes. Real estate taxes due and payable in the year 2000 shall
be apportioned between the Developer and the City as of the date of conveyance of the Property,
with the result that the City shall pay that portion of such taxes attributable to the period of the
year prior to the conveyance and the Developer shall pay that portion of the taxes attributable to
the period of time commencing with the date of conveyance. Real estate taxes and assessments
due and payable in the year 1999 and all prior years, deferred real estate taxes (i.e. Green Acres),
and all pending or levied special assessments, if any, shall be paid by the City. After his
acquisition of the Property, the Developer shall pay all real property taxes and special
assessments in a timely manner and prior to the imposition of penalties.
ARTICLE VII
Financine
Section 7.1. Financim. Prior to the City's conveyance of the Property to the Developer,
the Developer shall submit to the City evidence, satisfactory to the City, that the Developer has
obtained mortgage or other construction and permanent financing in an amount sufficient for
acquisition of the Property and construction of the Improvements.
Section 7.2. Limitation Upon Encumbrance of Property. Prior to the date that the
Developer pays to the City any amount of the Assessments that is due under Section 3.8 or that it
is determined that no amount is due or the date that the Developer has fulfilled all of his
obligations under the Business Subsidy Agreement, whichever, is later, neither the Developer
nor any successor in interest to the Property, or any part thereof; shall engage in any financing or
any other transaction creating any mortgage or other encumbrance or lien upon the Property,
whether by express agreement or operation of law, or suffer any encumbrance or lien to be made
on or attach to the Property, except for the purposes of obtaining funds only to the extent
necessary for acquiring and constructing the Improvements without the prior written approval of
the City. All financing and other transactions shall contain an agreement in a form acceptable to
the City by which a proposed Holder agrees to be bound by and subject to the Assessments.
ARTICLE VIII
Prohibitions Against Assignment and Transfer,Indemnification
Section 8.1. Prohibition Against Transfer of Property and Assignment of Agreement. (a)
The Developer represents and agrees that prior to the date that the Developer pays to the City
any amount of the Assessments that is due under Section 3.8 or that it is determined that no
amount is due or the date that the Developer has fulfilled all of his obligations under the
Business Subsidy Agreement, whichever, is later, except only by way of security for, and only
14
for, the purpose of obtaining financing necessary to enable the Developer or any successor in
interest to the Property, or any part thereof] to perform his obligations with respect to
constructing the Improvements under this Agreement, and any other purpose authorized by this
Agreement, the Developer (except as so authorized) has not made or created, and will not make
or create, or suffer to be made or created, any total or partial We, assignment, conveyance, or
lease, or any trust or power, or transfer in any other mode or form of or with respect to this
Agreement or the Property or any part thereof or any interest herein or therein, or any contract or
agreement to do any of the same, without the prior written approval of the City. The City may
require as a condition to the approval of any transfer, sale or assignment that the Developer pay
to the City the amount of the Assessments determined to be due on the date of the transfer, sale
or assignment calculated in the manner provided in Section 3.8.
(b) Notwithstanding subsection (a) above, the City acknowledges and agrees that the
Developer will lease portions of the Improvements to industrial users. It is contemplated that a
portion of the Improvements will be leased to Miller Electric, Inc., an affiliate of the Developer.
The City agrees that for purposes of determining the Jobs Credit under Section 3.8(c) and
compliance with the Business Subsidy Agreement, the City will look at the employment and
payroll records of Miller Electric, Inc. The Developer shall, however, be the party obligated
under this Agreement.
(c) In the absence of specific written agreement by the City to the contrary, no transfer
of the Property or approval by the City thereof shall be deemed to relieve the Developer, or any
other party bound in any way by this Agreement, from any of its obligations hereunder.
Section 8.2. Release and Indemnification Covenants.' '(a) The Developer releases from
and covenants and agrees that the City and the governing body members, officers, agents,
servants and employees thereof shall not be liable for and agrees to indemnify and hold harmless
the City and the governing body members, officers, agents, servants and employees thereof
against any loss or damage to property or any injury to or death of any person occurring at or
about or resulting from any defect in the Improvements.
(b) Except for any willful misrepresentation or any willful or wanton misconduct or
negligence of the following named parties, the Developer agrees to protect and defend the City
and the City and the governing body members, officers, agents, servants and employees thereof;
now or forever, and further agrees to hold the aforesaid harmless from any claim, demand, suit,
action or other proceeding whatsoever by any person or entity whatsoever arising or purportedly
arising from this Agreement, or the transactions contemplated hereby or the acquisition,
construction, installation, ownership, and operation of the Improvements.
(c) Nothing in this Agreement is intended or shall be deemed to constitute a waiver by
the City of any immunity or limits on liability under State law, including, without limitation,
Minnesota Statutes. Chapter 466,relative to tort or other claims.
15
ARTICLE IX
Events of Default
Section 9.1. Events of Default Defined. The following shall be 'Events of Default" under
this Agreement and the term 'Event of Default" shall mean, whenever it is used in this
Agreement(unless the context otherwise provides), any one or more of the following events:
(a) Failure by the Developer to pay when due any payments required to be paid under
this Agreement or to pay real estate taxes or special assessments when due.
(b) Failure by the Developer to reconstruct the Improvements when required pursuant
to Section 5.1 of this Agreement.
(c) Failure by the Developer to obtain financing, if required, for construction of the
Improvements pursuant to the terms and conditions of Section 7.1 of this Agreement.
(d) Failure by the Developer to commence and complete construction of the
Improvements and any site improvements as shown on the Developer's site and building plans
approved by the City Council of the City or specified as conditions of the City's approval
pursuant to the terms, conditions and limitations of Article IV of this Agreement.
(e) Failure by Developer to provide any documentation or information required to be
provided under the terms of this Agreement.
(f) Failure by Developer to observe or perform any other covenant, condition,
obligation or agreement on its part to be observed or performed hereunder.
(g) The Developer does any of the following : (k) file any petition in bankruptcy or
for any reorganization, arrangement, composition, readjustment, liquidation, dissolution, or
similar relief under United States Bankruptcy Laws or any similar Federal or State Laws; or (ii)
make an assignment for the benefit of its creditors; or (iii) admit, in writing, his inability to pay
his debts generally as they become due; or (iv) be adjudicated, bankrupt or insolvent; or (v) if a
petition or answer proposing the adjudication of the Developer, as a bankrupt under any present
or future federal bankruptcy act or any similar federal or State law shall be filed in any court and
such petition or answer shall not be discharged or denied within sixty (60) days after the filing
thereoij or (vi) a receiver, trustee or liquidator of the Developer, or of the Property and
Improvements,shall be appointed in any proceeding brought against the Developer and shall not
be discharged within sixty (60) days of such appointment, or if the Developer shall consent to or
acquiesce in such appointment.
Section 9.2. Remedies on Default. Whenever any Event of Default occurs, the City may
immediately suspend its performance under this Agreement and may take any one or more of the
following actions after providing thirty (30) days written notice to the Developer of the Event of
Default,but only if the Event of Default has not been cured within said thirty(30) days:
16
(a) Terminate this Agreement.
(b) Declare immediately due and payable the Assessments.
(c) Take whatever action, including legal, equitable or administrative action, which
may appear necessary or desirable to collect any payments due under this Agreement, or to
enforce performance and observance of any obligation, agreement, or covenant under this
Agreement.
Section 9.3. No Remedy Exclusive. No remedy herein conferred upon or reserved to the
City or Developer is intended to be exclusive of any other available remedy or remedies, but
each and every such remedy shall be cumulative and shall be in addition to every other remedy
given under this Agreement or now or hereafter existing at law or in equity or by statute. No
delay or omission to exercise any right or power accruing upon any default shall impair any such
right or power or shall be construed to be a waiver thereof j but any such right and power may be
exercised from time to time and as often as may be deemed expedient. In order to entitle the City
or the Developer to exercise any remedy reserved to it, it shall not be necessary to give notice,
other than such notice as may be required in this Article IX.
Section 9.4. No Additional Waiver Implied by One Waiver In the event any agreement
contained in this Agreement should be breached by either party and thereafter waived by the
other party, such waiver shall be limited to the particular breach so waived and shall not be
deemed to waive any other concurrent,previous or subsequent breach hereunder.
Section 9.5. Effect of Termination of Agreement. In the event that this Agreement is
terminated pursuant to Section 3.3 or Section 9.2, all provisions hereof shall terminate except
that Sections 2.2, 3.10, 8.2, and 9.6 shall survive such termination and any cause of action
arising hereunder prior to such termination shall not be affected.
Section 9.6. Costs of Enforcement. Whenever any Event of Default occurs and the City
shall employ attorneys or incur other expenses for the collection of payments due or to become
due or for the enforcement of performance or observance of any obligation or agreement on the
part of the Developer under this Agreement and the City prevails in such action or effort, the
Developer agrees that he shall, within ten (10) days of written demand by the City, pay to the
City the reasonable fees of such attorneys and such other expenses so incurred by the City.
ARTICLE X
Additional Provisions
Section 10.1. Representatives Not Individually Liable. No member, official, or employee
of the City shall be personally liable to the Developer, or any successor in,interest, in the event
of any default or breach or for any amount which may become due to Developer or successor or
on any obligations under the terms of the Agreement.
17
Section 10.2. Provisions Not Merged With Deed. None of the provisions of this Agreement
are intended to or shall be merged by reason of any deed trans&ming any interest in the Property
and any such deed shall not be deemed to affect or impair the provisions and covenants of this
Agreement.
Section 10.3. Titles of Articles and Sections. Any titles of the several parts, Articles, and
Sections of the Agreement are inserted for convenience of reference only and shall be
disregarded in construing or interpreting any of its provisions.
Section 10.4. Notices and Demands. Except as otherwise expressly provided in this
Agreement, a notice, demand, or other communication under the Agreement by either party to
the other shall be sufficiently given or delivered if it is dispatched by registered or certified mail,
postage prepaid,return receipt requested, or delivered personally; and
(a) in the case of the Developer, is addressed to or delivered personally to the
Developer at 3550 Vermillion,Hastings, Minnesota 55033;and
(b) in the case of the City, is addressed to or delivered personally to the City at City
Hall, 101 4th Street East,Hastings, Minnesota 55033-1955,
or at such other address with respect to either such party as that party may, from time to time,
designate in writing and forward to the other as provided in this Section.
Section 10.5. Disclaimer of Relationshins. The Developer acknowledges that nothing
contained in this Agreement nor any act by the City or -the Developer shall be deemed or
construed by the Developer or by any third person to create any relationship of third-party
beneficiary, principal and agent, limited or general partner, or joint venture between the City, the
Developer and/or any third party.
Section 10.6. Modifications. This Agreement may be modified solely through written
amendments hereto executed by the Developer and the City.
Section 10.7. Counterparts. This Agreement may be executed in any number of
counterparts, each of which shall constitute one and the same instrument.
Section 10.8. Judicial Irrterpretation. Should any provision of this Agreement require
judicial interpretation, the court interpreting or construing the same shall not apply a
presumption that the terms hereof shall be more strictly construed against one party by reason of
the rule of construction that a document is to be construed more strictly against the party who
itself or through its agent or attorney prepared the same, it being agreed that the agents and
attorneys of both parties have participated in the preparation hereof
Section 10.9. Severability. In the event that any provision of this Agreement shall be held
invalid or unenforceable by any court of competent jurisdiction, such holding shall not
invalidate or render unenforceable any other provision hereof.
18
Section 10.10. Termination This Agreement shall terminate upon the payment by the
Developer of the Assessments determined to be due under this Agreement or upon a
determination that no amount of the Assessments are due and upon Developer's satisfaction of
all obligations under the Business Subsidy Agreement. Upon such termination, the City shall
provide the Developer with a certificate evidencing the termination of this Agreement and the
Assessments. The provisions of this Agreement contained in Section 8.2 of this Agreement
shall, however, survive such termination with respect to matters arising prior to the date of
termination of this Agreement.
19
IN WITNESS WHEREOF, the City has caused this Agreement to be duly executed in its
name and behalf and the Developer has caused this Agreement to be duly executed in its name
and behalf on or as of the date first above written.
CITY OF HASTINGS
By
Michael D. Werner, Mayor
By
Melanie Mesko, City Clerk
ARTHUR G. MILLER
STATE OF MINNESOTA)
SS.
COUNTY OF )
The foregoing instrument was acknowledged before me this _ day of , 2000, by
Michael D. Werner, and Melanie Mesko, the Mayor and City Clerk of the City of Hastings, a
home rule charter city under the laws of the state of Minnesota.
Notary Public
STATE OF MINNESOTA)
SS.
COUNTY OF )
The foregoing instrument was acknowledged before me.this_day of . 2000, by
Arthur G. Miller, a individual.
Notary Public
20
SCHEDULE A
Description of Property
Lot 2, Block 1, Hastings Industrial Park Number 5, according to the recorded plat thereof;
Dakota County,Minnesota.
1
SCHEDULE B
BUSINESS SUBSIDY AGREEMENT
By and Between
CITY OF HASTINGS
and
ARTHUR G. MILLER
Dated:
This document was drafted by:
BRADLEY&DEIKE, P. A.
5100 Eden Avenue, Suite 308
Edina, MN 55436
Telephone: (952) 926-5337
2
BUSINESS SUBSIDY AGREEMENT
THIS AGREEMENT, made on or as of the day of , 20009
by and between the City of Hastings, Minnesota, a home rule charter city under the laws of the
State of Minnesota (hereinafter referred to as the "City"), and having its principal office at 101
4th Street East, Hastings, Minnesota 55033-1955, and Arthur G. Miller, a
individual (hereinafter referred to as the "Developer"), having.his principal office at 3550
Vermillion,Hastings,Minnesota 55033,
WITNESSETH:
WHEREAS, the Developer and the Authority have entered into a Purchase and
Development Agreement dated as of . 2000, (the "Contract") pursuant to
which the Developer has agreed to construct a certain improvements on real property within the
City of Hastings,Minnesota;and
WHEREAS, in order to induce the Developer to undertake such development, the City
has agreed in the Contract to provide certain assistance to the Developer through its sale of the
property subject to the Contract to the Developer at a cost below market value;and
WHEREAS, Minnesota Statute sections 1167.993 to 1167.995, provides that a
government agency that provides financial assistance for certain purposes must enter into a
business subsidy agreement setting forth goals to be met and the financial obligations of the
recipient of the assistance if the goals are not met;and
WHEREAS, the City and the Developer agreed in the Contract that they would enter into
this Business Subsidy Agreement to satisfy the requirement of sections 1167.993 to 116J.995.
NOW, THEREFORE, in consideration of the premises and the mutual obligations of the
parties hereto, each of them does hereby covenant and agree with the other as follows:
ARTICLE I
Definitions
Section 1.1. Definitions. In this Agreement, unless a different meaning clearly appears
from the context:
"Act"means Minnesota Statutes. Sections I I6J.993-.995.
"Agreement" means this Agreement, as the same may be from time to time modified,
amended, or supplemented.
`Benefit Date"means the date that the Property is conveyed by the City to the Developer.
"City" means the City of Hastings, Minnesota.
4
"Contract" means the Purchase and Development Agreement between the City and the
Developer dated as of . 2000.
"Developer" means Arthur G. Miller, a individual, or his representatives
and assigns, or any future owners of the Property.
"Improvements" means the construction activities to be undertaken by the Developer
pursuant to the Contract.
"Property"means the real property described as such in the Contract.
"State" means the State of Minnesota.
"Subsidy" means on any particular date $43,559.00, less any portion of such amount that
the Developer has as of such date repaid to the City pursuant to the terms of the Contract.
ARTICLE 11
Job and Wage Goals, Required Provisions
Section 2.1. Employment and Wage Requirements. The Developer shall meet or cause
to be met the within two (2) years of the Benefit Date the wage and job goals set forth on the
attached Exhibit A.
Section 2.2. Reports. The Developer agrees that he will provide to the City all reports
required by the Act. Such reports shall be submitted at the times required by the Act.
Section 2.3. Continuing Obliag tion. The Developer agrees that he.will continuously
operate the Improvements for the purposes described in the Contract for a period of at least five
(5)years from the Benefit Date.
Section 2.4. Required Provisions. The following provisions are required by the Act:
(a) By providing the Subsidy to the Developer the City is seeking to accomplish the
public purposes of encouraging the development of property that is currently underutilized,
expanding the tax base of the City and State, creating new job opportunities within the City at
competitive wages for low and moderate income persons and facilitating the expansion of a local
business.
(b) The City has determined that the Subsidy is necessary because the Developer is
unable to pay the full market value of the Property and still construct the Improvements of he
size and quality proposed. By reducing the front end costs of the Developer's business
expansion, more funds will be available for ongoing operations costs and the risk of failure will
thereby be reduced.
(c) The Developer has no parent corporation.
5
(e) The following is a list of all financial assistance from all other state or local
government agencies: None.
ARTICLE III
Default
Section 3.1. Defaults Defined. It shall be a default under this Agreement if the
Developer fails to comply with any term or provision of this Agreement, and fans to cure such
failure within thirty (30)-days written notice to the Developer of the default, but only if the
default has not been cured within said thirty(30) days.
Section 3.2. Remedies on Default. The parties agree that the Subsidy is a forgivable
loan, repayable only if the Developer fails to fulfill his obligations under sections 2.1 and 2.3 of
this Agreement. Upon the occurrence of a failure to create jobs as required by Section 2.1 or a
failure to continue operations as required by Section 2.3 the Developer shall repay to the City
upon written demand from the City a`pro rata share" of the Subsidy and interest on the Subsidy
at the implicit price deflator as defined in Minnesota Statutes. Section 275.50, subd. 2, accrued
from the Benefit Date. The term"pro rata share"means percentages calculated as follows:
(a) if the failure relates to the number of jobs, the jobs required less the jobs created,
divided by the jobs required;
(b) if the failure relates to wages, the number of jobs required less the number of jobs that
meet the required wages, divided by the number of jobs required;
(c) if the failure relates to a failure to continue operations of the Minimum Improvements
in accordance with Section 2.3, sixty (60) less the number of months of operation (where any
month in which the Improvements are in operation for at least fifteen (15) days constitutes a
month of operation), commencing on the Benefit Date and ending with the date the Developer
ceases operation as reasonably determined by the City, divided by 60; and
(d) if more than one of clauses (a) through (c) apply, the sum of the applicable .
percentages,not to exceed 100%.
Section 3.3. Costs of Enforcement. Whenever any default occurs under this Agreement
and the City shall employ attorneys or incur other expenses for the collection of payments due or
for the enforcement of performance or observance of any obligation or agreement on the part of
the Developer under this Agreement, the Developer shall be liable to the City for the reasonable
fees of such attorneys and such other expenses so incurred by the City, provided, that the
Developer shall only be obligated to make such reimbursement if the City prevails in such
collection or enforcement action.
6
ARTICLE IV
Miscellaneous
Section 4.1. Provisions of Agreement Not Affected. This Agreement is not intended to
modify or limit in any way the terms of the Contract.
Section 4.2. Titles of Articles and Sections. Any titles of the several parts, Articles, and
Sections of the Agreement are inserted for convenience of reference only and shall be
disregarded in construing or interpreting any of its provisions.
Section 4.3. Modifications. This Agreement may be modified solely through written
amendments hereto executed by the Developer and the City. The Developer and City agree that
if the Act is amended by the State legislature to as to shorten or eliminate the requirement that
this Agreement contain the operating covenant contained in Section 2.2 and such amendment is
applies to this Agreement, the Developer and City will amend this Agreement to reflect such
amendment to the law.
Section 4.4. Counterparts. This Agreement may be executed in any number of -
counterparts, each of which shall constitute one and the same instrument.
Section 4.5. Judicial Interpretation. Should any provision of this Agreement require
judicial interpretation, the court interpreting or construing the same shall not apply a
presumption that the terms hereof shall be more strictly construed against one party by reason of
the rule of construction that a document is to be construed•inore strictly against the party who
itself or through its agent or attorney prepared the same, it being agreed that the agents and
attorneys of both parties have participated in the preparation hereof. The City and Developer
agree that this Agreement is intended to satisfy the requirements of the Act, which is
incorporated herein and made a part hereof by reference. In the event that any provision of this
Agreement conflicts with the terms of the Act,the terms of the Act shall govern.
7
IN WITNESS WHEREOF, the City has caused this Agreement to be duly executed in its
name and behalf and the Developer has caused this Agreement to be duly executed in its name
and behalf on or as of the date first above written.
CITY OF HASTINGS
By
Michael D. Wenner,Mayor
By.
Melanie Mesko, City Clerk
ARTHUR G.MELLER
STATE OF MINNESOTA)
SS.
COUNTY OF )
The foregoing instrument was acknowledged before me this _ day of . 2000, by
Michael D. Werner, and Melanie Mesko, the Mayor and City Clerk of the City of Hastings, a
home rule charter city under the laws of the state of Minnesota.
Notary Public
STATE OF MINNESOTA)
SS.
COUNTY OF )
The foregoing instrument was acknowledged before me this_day of . 2000, by
Arthur G.Miller,a individual.
Notary Public
8 .
EXHIBIT A
Wage and Job Goals
The Developer will create not less than 2 new full time or full time equivalent jobs at a
wage of not less than$12.00 per hour.
1
Vlll-A-1
MEMO
To: Honorable Mayor and City Council Members
From: Tom Montgomery
Subject: Amend 2000 CDBG Program and Authorize Assessment of Utility Connection Fees
for East 7' St. Sewer and Water Connections
Date: July 6,2000
As part of the 2000 Improvement Program, sanitary sewer and water services are being
extended to service four existing homes and two vacant lots on east 7"' Street. The 2000 CDBG
program includes money for assessment abatement for these improvements. However, the
property owners will still have costs ranging from $5,000 to $10,000 to connect to the sanitary
sewer and water services stubbed out to the property line. Council is requested to amend the
2000 CDBG program to include funding for connecting the existing homes to City water and
sewer utilities, for those property owners who qualify as low or moderate income. Council
approved a similar use of CDBG funds on the CR#42 project to connect qualifying households
to City sewer and water utilities.
For those households that do not qualify as low or moderate income, Council is requested
to authorize assessing the connection and permit fees which total approximately$3,250, adding
this amount to the total project assessment against the property. Property owners would be
required to waive their rights to appeal the connection and permit fee amount of their assessment
under this arrangement. Council has authorized similar assessments in the past for south
Hastings area homeowners.
COUNCIL ACTION REQUESTED
Council is requested to adopt the enclosed resolution amending the 2000 CDBG program
to fund connecting qualifying households to City sanitary sewer and water services, and to
approve the assessment of connection and permit fees for non-qualifying households.
CITY OF HASTINGS
DAKOTA COUNTY,MINNESOTA
Resolution No.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HASTINGS
AMENDING THE APPLICATION OF THE CITY OF HASTINGS FOR FISCAL
YEAR 2000 DAKOTA COUNTY COMMUNITY DEVELOPMENT BLOCK
GRANT FUNDING
WHEREAS, the cost of connecting to City sanitary sewer and water services may cause
financial hardship to low and moderate income households on east 7"' Street, and
WHEREAS, the Hastings City Council had previously allocated Community Development Block
Grant funds from the Fiscal Year 2000 program to assist qualifying homeowners through
assessment abatement to cover street and utility improvement costs,
NOW,THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
HASTINGS AS FOLLOWS;
The City of Hastings application to Dakota County for a Community Development Block
Grant in fiscal year 2000 be amended to include funding of sanitary sewer-and water
connections under the assessment abatement allocation.
ADOPTED BY THE CITY COUNCIL OF HASTINGS, MINNESOTA, THIS 10TH DAY
OF JULY,2000.
Ayes:
Nays:
Michael D. Werner,Mayor
ATTEST:
Melanie Mesko, City Clerk
(SEAL)
CITY OF HASTINGS
101 4th Street East • Hastings, MN 55033-1955
651-437-4127 • Fax: 651-437-7082
June 16, 2000
Tom Sieben and Joan Illa
517 E. 7"' St.
Hastings, MN 55033
Re: Sewer and Water Hookups
Dear Mr. Sieben:
As we discussed on the telephone, I will be asking the City Council at their meeting on
July 10, 2000 to amend the 2000 Community Development Block Grant program to include
funding sanitary sewer and water connections to qualifying low and moderate income households
on East 7' Street. This funding would include the WAC & SAC connection fees, water meter
charge, and permit fees that total approximately$3,100. The City Council had approved similar
Community Development Block Grant funding for sewer and water connections on CR#42.
For those households that do not qualify as low or moderate income, I will also be asking
the Council for authorization to add the approximately$3,100 permit fee to the homeowners
assessment for the project, provided the homeowner signs a waiver of assessment appeal for the
permit fee portion of the assessment. The City Council has also previously approved similar
assessments for homeowners with on site well and septic systems to connect to City sewer and
water.
If you have any questions,please contact me.
Sincerely,
Thomas M. Montgomery,P.E.
Public Works Director
cc: Mayor & City Council
Dave Osberg, City Administrator
Dave Gurney, City Engineer
Walter&Donna Fontaine, 5217" St. E.
Scott A. Sydor, 520 Ramsey St.
John&Laurie Boston, 520 7t' St. E.
Walter Mallette, 512 7' St. E.
William &Jeannette Otting, 11640 275th St. E, Lakeville
r� -y
Hastings on the Mississippi
VIII-A-2
MEMO
To: Honorable Mayor and City Council Members
From: Tom Montgomery
Subject: 6`f'& 7' Street Railroad Crossing Upgrade Expenses
Date: July 6, 2000
Enclosed for Council information is a letter from CP Rail notifying the City of estimated
costs for upgrading the existing 18 ft. wide wooden timber crossings on 6' and 7' Streets to meet
the new street widths planned for the Oh and 7' Street improvements that are under construction.
CP Rail has estimated the new crossings to cost $45,500. These costs have come as a complete
surprise, as no mention of these costs were made in staff's previous discussions with CP Rail
about the City's proposed street and utility improvements.
CP Rail explained the high cost of these crossing improvements by noting that large
sections of rail have to be replaced so that rail joints do not occur within the crossing area.
Furthermore, CP Rail insists that if the proposed 28 ft. road width is maintained up to the
crossing,then the crossing must be replaced. As an alternative,the street construction plans
could be revised to neck the street width down to 16 ft. width at the existing crossings.
Staff contacted Jerry Dempsey, a project manager with the MnDOT Office of Freight,
Railroads and Waterways,Railroad Administration Division. Mr. Dempsey inspected the
crossings and talked at length with CP Rail representatives. Mr. Dempsey confirmed CP Rail's
position that if the street is widened, the crossing must be upgraded and the City must pay the
upgrade cost. Mr. Dempsey was able to negotiate a slightly lower cost of$40,000 to upgrade the
crossing.
Under the assessment policy adopted for this project, the City would pick up the cost of
building the center 24 ft. of the street. This would amount to 86% of the upgraded crossing cost.
The remaining cost of the crossing would increase proposed assessments for street improvements
by approximately 15%.
STAFF RECOMMENDATION
Staff is recommending approval of the$40,000 upgrade of the two crossings to keep the
street width at the crossing at the approved 28 ft. width. The end product will be a uniform 28 ft.
wide street without unusual necking of the street curbing which would require greater attention
for both drivers and maintenance operators.
CANADIAN Engineering Services 501 Marquette Avenue(55402) Tel(612)347-8090
PACIFIC PO Box 530(55440) Fax(612)347-8243
Minneapolis Minnesota
RA 1 LWAY
June 1,2000 FAX 651-437-7062
Engn File: RWO132 Hastings, MN
MW4843
City of Hastings
101 East Fourth Street
Hastings, Minnesota 55033
Attn: David Gurnee
Dear Mr. Gurnee:
RE: Sanitary Sewer&Water Main
Seventh Street
ConAgra Spur Trackage
Hastings, MN
This will acknowledge receipt of your plan set and our phone conversations regarding the above
described utility crossing installations. This is to advise that Canadian Pacific Railway(CPR)
as reviewed the plans and has no objections to the installations as proposed. Since this crossing
is within right-of-way limits of a public thoroughfare, no CPR license agreement will be required.
Please note that any cost(flagging, inspections, repair work,etc.) incurred by the railroad in
connection with this project will be submitted to the City for payment.The estimated cost for
railroad flagging service is currently$450.00 dollars per day.
Please arrange to notify Mr. Jim Krieger of this office at least three(3)working days in advance
of-any worts near or under our track. Mr. Krieger direct telephone number is 612-337-7681.
Also attached are detailed cost estimates covering the upgrade and widening of the 6th and 7th
Street grade crossings to accommodate the city's roadway improvement and widening project.
Please advise how the city wishes to proceed in handling the crossing renewals. We can
cover both crossings under our standard crossing renewal agreements or city could contribute
lump sum payment of$45,500 to cover both crossings and we could then assign work order for
our construction crews. Please advise soon as possible to allow for the ordering of necessary
materials and crew scheduling.
CPR does maintain fiber optic cable and railroad signal facilities throughout our rail system.
Please arrange to contact CPR"ONE CALL"at 88825-8702 for cable locates. Once again a
minimum of three(3)days advance notice is required.
Sincerely,
�v
G. U. Mentjes
Manager Public Works
DCUpak
ec: E.C. Selchert
J.D. Burschiem
J.S. Knickel
D.C. Little
G.U. Mentjes
File No.: 7thHAST 100% BILLABLE State: MN
WFN ------------ Division: RIVER
5-31-00 Val.Sec.: P-43
Sta.: Hastings
7th Street Grade Crossing on ConAgra Spur
-----------------------------------------------
Renew and extend existing crossing to 29 ft F&G
Relay with 115# rail, ties and ballast
UNIT
DESCRIPTION UNIT QUANT. PRICE LABOR MAT'L TOTAL
--------------- ----------------- ---------------
MATERIAL
Cross Ties, New 9' EA 50 26.30 1,315
Rail 115# N. Welded LF 160 12.00 1,920
Tie Plates 7 3/4 x 14 New EA 106 4.28 454
Tie Pads EA 62 0.74 46
Trk. Spikes 5/8 x 6 LB 400 0.26 104
Track Bolts EA 24 1.19 29
Washers EA 24 0.40 10
Rail Anchors EA 40 1.39 56
Compromise Bars PR 4 151.85 607
Ballast CY 70 9.03 632
F&G Timbers LF 174 5.82 1,013
Timber Screws EA 87 1.38 120
Bituminous Paving By City NT 0
Engineering Fabric LF 70 2.24 157
Use Tax $ 6,463 6.50% 420
Handling Expense $ 3,503 5.00% 175
Transportation NTM 50,000 0.021 1,050
Ballast Cars EA 1 35.00 35 8,143
SALVAGE
Rail, Scrap NT 2.7 60.00 (162)
OTM, Scrap NT 0.7 48.00 (34) (196)
ENGINEERING & ACCT'G
Labor 200
Labor Additives S 200 68.63% 137 337
LABOR
Remove Existing Xing LF 16 12.20 195
Remove Track Thru Xing LF 80 7.58 606
Remove Fouled Ballast CY 70 9.47 663
Apply Engineering Fabric LF 70 0.33 23
Unload Ballast CY 70 4.06 284
Rebuild Trk Thru Xing LF 80 10.78 862
Surface Trk Thru Xing LF 80 4.14 331
Install F&G Type Xing LF 29 15.95 463
Labor Additives S 3,427 68.63% 2,352
Employers Liabilty Insurance $ 3,427 18.15% 622 6,401
OTHER
Equipment 5,000
Traffic Control 1,000 6,000
Sub-Total 20,685
Contingencies 2,069
TOTAL COST-TRACK 22,754
File No.: 6thHAST 100% BILLABLE State: MN
WFN ------------- Division: RIVER
5-31-00 Val.Sec.: P-43
Sta.: Hastings
6th Street Grade Crossing on ConAgra Spur
--------------------------------------------------
Renew and extend existing crossing to 29 ft F&G
Relay with 115# rail, ties and ballast
UNIT
DESCRIPTION UNIT QUANT. PRICE LABOR MAT'L TOTAL
---------- ---- -------- -------------- ------------- ----------------- ----------------- -------------------
MATERIAL
Cross Ties, New 9' EA 50 26.30 1,315
Rail 115# N. Welded LF 160 12.00 1,920
Tie Plates 7 3/4 x 14 New EA 106 4.28 454
Tie Pads EA 62 0.74 46
Trk. Spikes 5/8 x 6 LB 400 0.26 104
Track Bolts EA 24 1.19 29
Washers EA 24 0.40 10
Rail Anchors EA 40 1.39 56
Compromise Bars PR 4 151.85 607
Ballast CY 70 9.03 632
F&G Timbers LF 174 5.82 1,013
Timber Screws EA 87 1.38 120
Bituminous Paving By City NT 0
Engineering Fabric LF 70 2.24 157
Use Tax $ 6,463 6.50% 420
Handling Expense $ 3,503 5.00% 175
Transportation NTM 50,000 0.021 1,050
Ballast Cars EA 1 35.00 35 8,143
SALVAGE
Rail, Scrap NT 2.7 60.00 (162)
OTM, Scrap NT 0.7 48.00 (34)
ENGINEERING & ACCT`G
Labor 200
Labor Additives $ 200 68.63% 137 337
LABOR
Remove Existing Xing LF 16 12.20 195
Remove Track Thru Xing LF 80 7.58 606
Remove Fouled Ballast CY 70 9.47 663
Apply Engineering Fabric LF 70 0.33 23
Unload Ballast CY 70 4.06 284
Rebuild Trk Thru Xing LF 80 10.78 862
Surface Trk Thru Xing LF 80 4.14 331
Install F&G Type Xing LF 29 15.95 463
Labor Additives $ 3,427 68.63% 2,352
Employers Liabilty Insurance $ 3,427 18.15% 622 6,401
OTHER
Equipment 5,000
Traffic Control 1,000 6,000
Sub-Total 20,685
Contingencies 2,069
TOTAL COST-TRACK 22,754
® V111-A-3
FLUEGEL, MOYNIHAN & CLINTON, P.A.
Attorneys At Law
Donald J.Fluegel* 1303 South Frontage Road,Suite 5 Telephone 651-438-9777
Shawn M.Moynihan Hastings,MN 55033-2477 Fax 651-438-9775
Jack W.Clinton**
Joan M.Fluegel July 6, 2000
Mayor Michael D. Werner
and City Council Members
Hastings City Hall
101 East Fourth Street
Hastings, MN 55033
RE: Solac vs. GV of Hastings Assessment Appeal
Dear Mayor and City Council Members:
Staff is requesting council approval of a proposed settlement of this assessment appeal.
BACKGROUND: Late last fall, Raymond and Vibeke Solac commenced an assessment appeal
against the city. The Solac's were appealing the city's assessment of the project costs for the
improvement of Featherstone Road. The Solac's own two separate tax parcels on the south side of
Featherstone Road which are approximately the same size, he., 3 acres each. For purposes of this
letter,I will refer to the western parcel as the"upper parcel." This parcel contains the Solac's home.
The eastern parcel will be referred to as the "lower parcel." This is undeveloped. As you recall,
their property is on the hill abutting Featherstone Road. The upper parcel has been assessed in the
amount of$54,730.04. The lower parcel has been assessed in the amount of$61,002.58.
PROPOSED SETTLEMENT.The settlement proposal for the council's consideration is essentially
as follows. The assessments against the lower parcel will remain in place. That assessment is
$61,002.58. There will be no change with respects to that parcel.
With respects to the"upper parcel,"the homestead parcel,the assessment against that parcel will be
deferred until the Solac's transfer their interest in the upper parcel through any means or until they
move off the property. During this deferment time,the interest will continue to accrue on the unpaid
assessment. That interest rate will be the same rate as charged on the levied assessment,namely 6%
per annum. As soon as the Solac's move off the property or the Solac's ownership interest is
transferred in any form or manner to someone other than their spouse,the deferred assessments,and
accrued interest,would be immediately due and payable.
Staff is recommending the council approve this settlement proposal. The lower parcel is
undeveloped property. This proposal would allow the Solac's to remain in their house and not be
forced to sell it to pay the assessments. Their annual principal payments alone are about$11,500.00.
*Also admitted to practice in Wisconsin
**Certified as a Real Property Law Specialist by Minnesota State Bar Association
Mayor Michael D. Werner
and City Council Members
Solac vs. City of Hastings Assessment Appeal
Page 2
July 6, 2000
With respects to the lower parcel,the Solac's can sell that parcel for development and then pay the
assessments on the lower parcel from that sale. This proposal would allow the Solac's to remain in
their home. The city's financial interest is protected because the unpaid assessment will continue
to accrue interest at the same rate that the city is paying on those bonds. Once the Solac's move off
the upper parcel or transfer any interest in the property, then the unpaid assessment, together with
the accrued interest, will be due and payable. The city will get paid the deferred principal plus
accrued interest.
Staff is requesting the city council approve this settlement proposal.
Thank you.
Very truly yours,
FOR THE FIRM.
Shawn M. Moynih
City Attorney
SMM:srk
cc: David M. Osberg, City Administrator
Thomas M. Montgomery, Public Works Director
Raymond and Vibeke Solac, c/o Allen D. Barnard, Esq.
V11-2 & Vlll-&I
July 6, 2000
TO: The Honorable Mayor and Council
FROM: John Grossman, Industrial Park Director
RE: Rescind Preliminary Approval for Diversified Manufacturing
On December 20, 1999, City Council gave concept approval to a proposal by
Diversified Manufacturing to build an 85,000 sq.ft. industrial plant in the Industrial
Park, provided the city sell the 6.8 acre site for $1.00 an acre under the Land Credit
Program. The approval set aside the land for the developer until May 1, 2000.
Staff was directed to prepare purchase, development and subsidy agreements while
the developer prepared acceptable building and site plans. Council also authorized
City application for a Minnesota Investment Fund loan on behalf of the developer.
We have been informed by Mr. Motilall, owner of Diversified Manufacturing, that
he has decided to stay and expand his plant in Newport. The costs of moving to
Hastings and of a new building do not make business sense for him at this time.
City costs incurred in making the application and in drafting the agreements have
been covered by a Letter of Credit.
RECOMMENDATION: A motion stating that on the grounds that Diversified
Manufacturing has withdrawn its proposal, the City has no further obligations under
its concept approval of December 20, 1999, or under its application for a Minnesota
Investment Fund loan, and that the City is free to consider the 6.8 acres for any
other proposal.
V11-3 & Vlll-B-2
July 5, 2000
TO: The Honorable Mayor&Council
FROM: John Grossman for the Industrial Park Board
RE: Miller Development and Subsidy Agreement
City Council gave preliminary approval to this transaction on June 5, 2000. This business subsidy
is offered under the business subsidy criteria adopted by Council on December 20, 1999.
State Law requires that the city approve,at a public meeting and after holding a public hearing,
the terms of agreements which provide assistance to businesses. Required notice has been
provided on the public hearing,and the agreements have been available for public review since
June 29, 2000.
A summary of the terms, the development agreement and subsidy agreement are attached. The
basic facts are as follows:
• Arthur`Bud"Miller would receive title to a one acre lot on Industrial Court for $1.00.
The balance of the land value, $43,559,will be deferred for five years as a forgivable loan.
• Mr. Miller will construct a 8,000 sq. ft. building worth about $240,000. Miller Electric
and one other tenant will occupy the building.
• If Mr. Miller completes the building and increases his payroll as proposed he will be
authorized a credit of$44,600 against the unpaid value of the land. If the credit does not
exceed the value of the land,the balance will be due and may be assessed against the land.
• Miller electric proposes to hire two additional employees at no less than$12.00 per hour
within two years. If necessary, Council can provide an additional year. Mr. Miller has to
provide the two jobs and remain in business in the city for five years or repay the City a
pro-rated share of the land value.
ACTION REQUESTED: A motion approving the terms of the business subsidy and the language
of the agreements and authorizing the Mayor and City Clerk to execute the documents.
Closing on the land will be contingent on Mr. Miller providing acceptable site plans and building
plans to the City as described in the agreements.
SUMMARY OF THE LAND PRICE SUBSIDY AGREEMENT
RECIPIENT OF THE LAND PRICE SUBSIDY
Arthur G. Miller,Jr., 2665 78 th St,. Inver Grove Hgts. Minnesota
DESCRIPTION OF THE LAND
One acre;Lot 2, Block 1, Hastings Industrial Park#5
VALUE OF THE SUBSIDY IN THE FORM OF LAND SOLD BELOW MARKET PRICE
Appraised price:$43,560. Agreed purchase price:$1.00.Value of subsidy:$43,559
SIZE AND VALUE OF THE BUILDING TO BE LOCATED ON THE LAND
An industrial building of 7,950 sq.ft. with a construction cost of$240,000.
BUSINESS OR TENANT OF BUILDING RESPONSIBLE FOR CREATING JOBS
Miller Electric, Inc. 3550 Vermillion St. Hastings.
PARENT CORPORATION IF ANY:
None
OTHER BUSINESS SUBSIDIES IF ANY:
None
JOB AND WAGE GOALS TO BE MET WITHIN TWO YEARS OF SALE
Two new jobs at no less than$12.00 an hour
PUBLIC PURPOSES:
1. Development of underutilized property, expanding the tax base of the City and State
2. Creating new job opportunities within Hastings at competitive wages
3. Facilitating the expansion of a local business
REASON FOR THE SUBSIDY:
Reduction of the land price lowers the front end costs of the business expansion, freeing funds
available for construction and retaining business cash for operations,thereby reducing the risk of
failure and facilitating the expansion.
FINANCIAL OBLIGATION OF THE RECIPIENT IF THE GOALS ARE NOT MET
1. The subsidy is considered a loan for five years which will be forgiven if the building is
completed as approved and the job and wage goals are met.
2. If the job goal is not met in two years, or three with city extension, a pro-rated portion of the
subsidy must be repaid to the City.
3. If the building is not completed a pro-rated portion of the subsidy must be repaid to the City.
Miller Electric-
Proposed Land Sal
Industiral Court
Go�QOl6. \ Hastings on the Mississippi
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'A �55� Hastings Road.sh
Auto Body p
T- Carlson Struct.shp
0 Auto Water
Limits
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Site Location
COMMERCE DR
This is not a survey
JULY 5, 2000
PURCHASE AND
DEVELOPMENT AGREEMENT
By and Between
CITY OF HASTINGS, MINNESOTA
and
ARTHUR G. MILLER
Dated: ,2000
This document was drafted by:
BRADLEY & DEIKE, P. A.
5100 Eden Avenue, Suite 308
RIDAGRMT/HASTINGS MILLER
TABLE OF CONTENTS
Page
PREAMBLE 1
ARTICLE I
Definitions
Section 1.1. Definitions 2
ARTICLE II
Representations
Section 2.1. Representations by the City 4
Section 2.2. Representations by the Developer 4
ARTICLE III
Conveyance of Property
Section 3.1. Status of Property 5
Section 3.2. Agreement to Sell 5
Section 3.3. Conditions Precedent to Conveyance 6
Section 3.4. Title 6
Section 3.5. Environmental Assessment 7
Section 3.6. Closing 7
Section 3.7. Access to Property 8
Section 3.8. Assessments 8
Section 3.9. Business Subsidy Agreement 10
Section 3.10.City Costs 10
ARTICLE IV
Construction of Improvements
Section 4.1. Construction of Improvements 11
(i)
Section 4.2. Construction Plans and Site Plan 11
Section 4.3. Commencement and Completion of Construction 11
ARTICLE V
Insurance
Section 5.1. Insurance 12
ARTICLE VI
Taxes
Section 6.1. Real Property Taxes 14
ARTICLE VII
Financine
Section 7.1. Mortgage Financing 14
Section 7.2. Limitation on Encumbrance of Property 14
ARTICLE VIII
Prohibitions Against Assignment and Transfer, Indemnification
Section 8.1. Prohibition Against Transfer of Property and
Assignment of Agreement 14
Section 8.2. Release and Indemnification Covenants 15
ARTICLE IX
Events of Default
Section 9.1. Events of Default Defined 16
Section 9.2. Remedies on Default 16
Section 9.3. No Remedy Exclusive 17
m
Section 9.4. No Additional Waiver Implied by
One Waiver 17
Section 9.5. Effect of Termination of Agreement 17
Section 9.6. Costs of Enforcement 17
ARTICLE X
Additional Provisions
Section 10.1.Representatives Not Individually Liable 17
Section 10.2.Provisions Not Merged With Deed 18
Section 10.3.Titles of Articles and Sections 18
Section 10.4.Notices and Demands 18
Section 10.5.Disclaimer of Relationships 18
Section 10.6.Modifications 18
Section 10.7.Counterparts 18
Section 10.8.Judicial Interpretation 18
Section 10.9. Severability 18
Section 10.10. Termination 19
SCHEDULE A Description of Property
SCHEDULE B Business Subsidy Agreement
PURCHASE AND DEVELOPMENT AGREEMENT
THIS AGREEMENT, made on or as of the day of , 2000,
by and between the City of Hastings, Minnesota, a home rule charter city under the laws of the
State of Minnesota (hereinafter referred to as the "City"), and having its principal office at 101
4th Street East, Hastings, Minnesota 55033-1955, and Arthur G. Miller, a
individual (hereinafter referred to as the "Developer"), having his principal office at 3550
Vermillion,Hastings, Minnesota 55033.
WITNESSETH:
WHEREAS, the City is a home rule charter city under the laws of the State of Minnesota
and is the owner of certain real property located in an industrial park within the City (which real
property is referred to herein as the "Property");and
WHEREAS, the City has identified as one of its objectives the encouraging of economic
development and job growth within the City by inducing and assisting new business to locate in
the City and existing businesses to expand their operations;and
WHEREAS, the Developer has presented to the City a proposal by which it would
purchase the Property from the City and construct thereon a building of approximately 8,000
square feet with a market value for real property tax purposes of at least$240,000; and
WHEREAS, the Developer has father proposed tbai in consideration of the City's
conveyance of the Property the Developer will meet certain employment and wage requirements
within specified times after conveyance of the Property; and
WHEREAS, the Developer has represented to the City that the Developer is unable to
secure the necessary financing to acquire the Property and construct the Improvements if the
Developer is required to purchase the Property for its current market value; and
WHEREAS, the City is willing to sell the Property to the Developer but only if the
Developer complies with his construction, employment and other covenants under this
Agreement.
NOW, THEREFORE, in consideration of the mutual covenants and obligations of the
parties hereto, each of them does hereby covenant and agree with the other as follows:
1
ARTICLE I
Definitions
Section 1.1. Definitions. In this Agreement, unless a different meaning clearly appears
from the context:
"Agreement" means this Agreement, as the same may be from time to time modified,
amended,or supplemented.
"Assessments" means the assessments to be levied against the Property pursuant to Section
3.8 of this Agreement.
"Business Subsidy Agreement" means the agreement in the form of Schedule B to this
Agreement to be executed by the City and the Developer pursuant to Section 3.9 of this .
Agreement as required pursuant to Minnesota Statutes. sections 1161993 to 1161995.
"City"means the City of Hastings, Minnesota.
"Construction Credit" means the credit to be given to the Developer against the
Developer's obligations to pay the Assessments calculated as provided in Section 3.8 of this
Agreement.
"Construction Plans" means the plans, specifications, drawings and related documents on
the construction work to be performed by the Developer on.the Property which shall be at least
as detailed as the plans to be submitted to the building inspector of the City and shall include
such supplemental information as the City may require.
"County" means Dakota County, Minnesota.
"Developer" means Arthur G. Miller, a individual, his representatives
and assigns, and any future owners of any interest in the Property.
"Event of Default" means an action listed in Section 9.1 of this Agreement.
"Hazardous Substances" means asbestos, urea formaldehyde, polychlorinated biphenyls,
nuclear fuel or materials, chemical waste, radioactive materials, explosives, known carcinogens,
petroleum products and also all dangerous, toxic or hazardous pollutants, contaminates,
chemicals, materials or substances defined as hazardous or as a pollutant or contaminant in, or
the release or disposal of which is regulated by, any Laws or Regulations, as hereafter defined.
Laws or Regulations mean and include the Comprehensive Environmental Response and
Liability Act ("CERCLA" or the Federal Superfund Act) as amended by the Superfund
Amendments and Reauthorization Act of 1986 ("SARA") 42 U.S.C. 9601-9675; The Federal
Resource Conservation and Recovery Act of 1986 ("RCRA"); the Clean Water Act, 33 U.S.C.
1321, et seq.; the Clean Air Act 42 U.S.C. 7401, et seq., all as the same may be from time to
time amended, and any other federal, state, county, municipal, local or other statute, law
2
ordinance or regulation which may relate to or deal with human health or the environment
including, without limitation, all regulations promulgated by a regulatory body pursuant to any
such statute, law or ordinance.
"Holder" means the owner of a Mortgage.
"Improvements means the construction by the Developer of a building of approximately
8,000 square feet on the Property in accordance with the Construction Plans.
"Job Credit" means the credit to be given to the Developer against the Developer's
obligations to pay the Assessments calculated as provided in Section 3.8 of this Agreement.
"Mortgage" means any mortgage, lien or other encumbrance made or permitted to be made
by the Developer which is secured, in whole or in part,by the Property.
"Permitted Encumbrances" means the Assessments: the provisions of this Agreement:
reservations of minerals or mineral rights to the State of Minnesota; public utility, roadway and
other easements which will not adversely affect the development and use of the Property
pursuant to the Developer's Construction Plans; building laws, regulations and ordinances
consistent with the Improvements; real estate taxes that Developer agrees to pay or assume
pursuant to this Agreement; restrictions, covenants and easements of record that do not
materially adversely affect the development and use of the Improvements; and exceptions to title
to the Property which are not objected to by Developer upon examination of the title evidence to
be delivered to the Developer pursuant to Section 3.4 of this Agreement.
"Property" means the real property described in Schedule A of this Agreement.
"State" means the State of Minnesota.
"Unavoidable Delays" means delays which are the direct result of acts of God, unforeseen
adverse weather conditions, strikes, other labor troubles, fire or other casualty to the
Improvements, litigation commenced by third parties which, by injunction or other similar
judicial action, directly results in delaya, or acts of any federal, state or local governmental unit
(other than the City in enforcing its rights under this Agreement)which directly result in delays.
3
ARTICLE H
Representations
Section 2.1. Representations by the City. The City makes the following representations as
the basis for the undertaking on its part herein contained:
(a) The City is a home rule charter city organized and existing under the laws of the
State. Under the laws of the State, the City has the power to enter into this Agreement and to
perform its obligations hereunder.
(b) The Property is directly accessible to city sewer and water located in the adjacent
right-of-way or in a utility easement.
(c) To the best of the City's knowledge and belief; at the time of execution by the City
of this Agreement, there are no environmental proceedings, applications, ordinances, petitions,
court pleadings, resolutions, investigations by public or private agencies, or other matters
pending which could prohibit, impede, delay or adversely effect the contemplated use of the
Property.
(d) To the best of the City's knowledge and belief, no underground storage tanks or
Hazardous Substances have been, or pending the conveyance of the Property shall be, installed,
used, incorporated into, discharged, released, stored, generated, disposed of, or allowed to escape
in,to, or upon the Property.
(e) To the best of the City's knowledge and belief, no investigation, administrative
order, consent order or agreement, litigation, or settlement with respect to Hazardous Substances
is proposed, threatened, anticipated or in existence with respect to the Property.
(f) The Property: (i) consists of 1 acre; (ii) is currently zoned I-1; (iii) is not in the
designated 100 year flood plain area; and (iv) does not currently receive preferential tax
treatment(Le. Green Acres).
Section 2.2. Representations by the Developer. The Developer represents that:
(a) The Developer is a Minnesota resident who has the legal capacity to enter into this
Agreement and to carry out the Developer's obligations under this Agreement.
(b) The Developer will construct the Improvements in accordance with the terms of
this Agreement and all local, state and federal laws and regulations (including, but not limited to,
environmental, zoning, building code and public health laws and regulations), except for
variances necessary to construct the improvements contemplated in the Construction Plans and
site plan approved by the City.
4
(c) The Developer has received no notice or communication from any local, state or
federal official that the activities of the Developer or the City in the Project Area may be or will
be in violation of any environmental law or regulation. The Developer, to the best of his
knowledge, is aware of no facts the existence of which would cause him to be in violation of any
local, state or federal environmental law, regulation or review procedure. In the event that the
City is required to take any action to obtain any necessary permits or approvals with respect to
the Property under any local, state or federal environmental law or regulation, the Developer will
cooperate with the City in connection with such action.
(d) The Developer has or will obtain, in a timely manner, all required permits, licenses
and approvals, and will meet, in a timely manner, all requirements of all applicable local, state
and federal laws and regulations which must be obtained or met before the Improvements may
be lawfully constructed and operated.
All representations set forth in Section 2.1 and 2.2. of this Agreement shall be true and correct in
all material respects as of the date of closing on conveyance of the Property to the Developer.
ARTICLE III
Conveyance of Property_
Section 3.1. Status of Property. The City owns fee title to the Property. The City acquired
the Property as part of an industrial park and developed_ the industrial park through the
installation of infrastructure in order to provide readily available sites for businesses seeking
industrial space. The public improvements to the industrial park benefited all parcels of property
in the industrial park. The City is willing to initially convey the Property to the Developer for a
purchase price less than the value of the Property and the costs that the City has incurred in
developing the Property in consideration of the Developer's covenants and obligations under this
Agreement. The Developer and the City have agreed that the value of the Property and public
improvements that have been installed by the City that is in excess of the purchase price may be
assessed against the Property and may be repayable in accordance with Section 3.8 of this
Agreement.
3.2 Agreement to Sell. (a) The City and the Developer agree that the value of the
Property in its current improved state is at least $43,560.00. However, the Developer has stated
that he is unable to pay more than a nominal amount for the purchase of the Property. Therefore,
the City agrees that it will sell the Property to the Developer in consideration for the Developer's
payment of a purchase price of $1.00 per acre ($1.00 total) and the performance of the
Developer's other covenants under this Agreement. The Developer agrees that he will purchase
the Property for the purchase price of$1.00 and that he will fulfill all of his other obligations set
forth herein.
(b) The purchase price to be paid by the Developer to acquire the Property shall be
payable by means of cash or certified fimds on the date of closing on the sale of the Property to
the Developer.
5
Section 3.3. Conditions Precedent to Convyance. The City's obligation to sell and the
Developer's obligation to purchase the Property shall be subject to satisfaction of all of the
following conditions precedent:
(a) The Developer having obtained the requisite approval of the City hereunder and all
applicable governmental agencies and instrumentalities, municipal, county, state and federal, to
the development of the Property through the construction of the Improvements in accordance
with the Developer's Construction Plans and site plan.
(b) The Developer having obtained: (i) amendments, revisions, exceptions or changes
as may be necessary to applicable zoning codes and ordinances; (ii) special use permits, if
applicable, (iii) building permits for the Improvements; (iv) driveway permits; (v) roadway
access rights and permits; (vi) environmental consents, if necessary; (vii) vacations and
variances deemed necessary by Developer or as may be otherwise required to permit Developer
to construct the Improvements in accordance with the Developer's Construction Plans and site
plan; and (viii) the City shall have approved the Developer's Construction Plans and site plan for
the Improvements.
(c) The Developer having determined that the Property has soil bearing characteristics
sufficient to support the Improvements.
(d) The Developer having reviewed and approved, or waived any objections to, title to
the Property pursuant to Section 3.4 of this Agreement.
(e) Developer shall have secured construction and permanent mortgage loan financing
sufficient for the acquisition of the Property and construction of the Improvements, which
financing shall contain terms acceptable to the City by which the Developer's lender agrees to be
bound by and subject to the Assessments.
(f) If the Developer is married, the Developer shall have delivered to the City an
instrument, in a form acceptable to the City, by which the Developer's spouse, consents to the
Assessments as a lien on the Property and subjects her interest in the Property to such lien.
In the event that the above conditions precedent have not been satisfied, or waived in writing by
both the City and Developer, by a date forty five (45) days from the date of this Agreement,
either the City or Developer may terminate this Agreement bygiving written notice of
termination to the other party, whereupon this Agreement shall be null and void and the
Developer and City shall execute an instrument in recordable form canceling this Agreement.
Upon termination of this Agreement, the City and the Developer shall have no further
obligations to the other under this Agreement, except as stated in Section 9.5 of this Agreement.
Section 3.4. Title. (a) The Developer has obtained a commitment for the issuance of an
owner's policy of title insurance for the Property naming the Developer as the proposed insured
party. The Developer shall be allowed twenty (20) days after the date hereof for examination of
said title and the making of any objections thereto, said objections to be made in writing or
6
deemed to be waived. The Developer may not object to Permitted Encumbrances. The
Developer's objections shall be made in writing or shall be deemed waived. If any objections
are so made, the City shall be allowed ninety(90) days from notice thereof to cure the title defect
or exception, either by the removal thereof or by the procurement of title insurance endorsements
satisfactory to Developer providing coverage against loss or damage as a result of such defect or
exception. If the City does not cure such title defect or exception to Developer's satisfaction
within said ninety (90) days, the Developer may, at his option, either (i) terminate the Agreement
upon written notice to the City upon which this Agreement shall be null and void and the
Developer and the City shall execute an instrument in recordable form canceling this Agreement;
or (ii) waive the title defect or exception and proceed with the closing on the purchase of the
Property. If the Developer waives the title defect or exception and proceeds to acquire the
Property, the City shall have no further obligations with respect to any such defects or
exceptions. The cost of obtaining the title insurance commitment and the cost of title insurance
shall be borne by the Developer;provided that the City shall pay the cost of updating the abstract
or registered property abstract for the Property or, if there is no abstract or registered property
abstract in the possession of the City, the costs of updating title for purposes of the issuance of
the title insurance commitment.
(b) Within a reasonable time after the date hereof, the Developer shall obtain and
famish to the City, at the Developer's expense, a survey of the Property prepared by a registered
surveyor certified to date, showing: (i) the number of square feet contained in the Property,
measured to the right-of-way line of public roads upon which the property abuts; (ii) the exact
legal description of boundary lines of the Property; (iii) encroachments from or onto the
Property, if any; (iv) location of utility lines and easements of any kind, of record or appearing
thereon, if any; (v) assumed bearings used by the surveyor; and (vi) direct legal access from a
public road to the Property. The City will reimburse the Developer for the above portions of the
survey but not those portions that are attributable to the Developer's preparation of his site plan
for the Improvements.
Section 3.5 Environmental Assessment. The Developer has reviewed and approved the
environmental condition of the Property and the surrounding real estate. The Developer agrees
that if he closes on the acquisition of the Property he will be purchasing the Property in its
current condition and the City shall have no obligations to the Developer with respect to any
environmental conditions existing on the Property.
Section 3.6 Closing. (a) Closing on the conveyance of the Property to the Developer shall
occur on or before ten (10) business days after satisfaction, or waiver, of all of the conditions
precedent set forth in Section 3.3 of this Agreement.
(b) At closing on conveyance of the Property, the City shall deliver to the Developer:
(i) a warranty deed duly executed and acknowledged, in recordable form, conveying to the
Developer marketable title to the Property subject only to Permitted Encumbrances; (ii) the
ALTA Owner's title insurance policy described in Section 3.4 (the premium for which and the
cost of obtaining the commitment for which shall be paid by Developer); and (iii) a Seller's
Affidavit, in customary form, relative to judgments, federal tax liens, mechanic's liens and
outstanding interests in the Property.
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(c) At closing on the conveyance of the Property the City will pay the following costs:
(i) The cost of updating title to or continuing the abstract for the Property;
(ii) State deed tax;
(iii) Conservation fee payable in connection with the conveyance; and
(iv) The portion of the survey costs described in Section 3.4(b).
At closing on the conveyance of the Property the Developer will pay the following costs:
(i) The purchase price;
(ii) The cost of obtaining the title insurance commitment and the policy of title
insurance;
(iii) The costs described in Section 3.10;
(iv) The cost of the Survey related to preparing Developer's site plan showing
the Improvements.
(v) Recording fees for the deed, this Agreement and any other documents
required to be recorded in connection with the conveyance;and
(vi) Closing costs.
Section 3.7 Access to Property. During the term of this Agreement, the Developer and his
authorized representatives shall be permitted access to the Property at reasonable times for the
purpose of architectural inspection and design studies and the taking of such soil borings and
tests as are deemed reasonably necessary by Developer. Developer hereby agrees to indemnify,
defend, and hold harmless the City, its officers, agents, employees and commissioners from and
against any and all damage to property or injury to person arising out of the Developer's exercise
of his right of access to the Property under this Section. The Developer shall be entitled to actual
possession of the Property on the date of closing on conveyance of the Property to the
Developer.
Section 3.8. Assessments. (a) The Developer agrees that he will pay to the City the
current value of the Property and the improvements that have been made to the land by the City
prior to the date hereof if and to the extent required by this Section. The value of the land that is
not being paid in the form of the purchase price paid at the time of conveyance of the Property is
agreed to be $43,559.00. In order to secure the City's interest in being paid such amount the
Developer and the City agree that the City may at the time of closing on the sale of the Property
to the Developer or at any time thereafter assess such amount against the Property with the same
force and effect as an assessment under Minnesota Statutes. Chapter 429. Such amount so
assessed is referred to herein as the "Assessments" and shall constitute a special assessment lien
8
against the Property enforceable in the manner applicable to the lien of assessments levied under
said Chapter 429. The Developer agrees that this Agreement constitutes a petition to assess the
Property and that no further consent or agreement by the Developer is necessary to levy the
Assessments. The Developer further agrees that he will not contest the amount or validity of the
Assessments on constitutional, statutory, procedural or other grounds and shall cause any Holder
and any transferee of Developer's acquiring an interest in the Property or Improvements to
execute an instrument, in a form acceptable to the City, acknowledging the validity of the lien of
the Assessments and subjecting the Holder's lien or the transferee's interest to the lien of the
Assessments. In addition, the Developer will upon request by the City execute such other
documents as the City may from time to time reasonably request to continue the perfection of the
lien of the Assessments as a first lien on the Property. Payment of the principal amount of the
Assessments shall be deferred but shall be due and payable on July 1, 2005, unless accelerated
pursuant to Section 9.2 or unless satisfied as provided in Section 3.8(e), except as the payment
obligation may be reduced pursuant to Section 3.8(b) and (c). No interest shall accrue with
respect to the Assessments until July 1, 2005, or the date that the Assessments may be
accelerated pursuant to Section 9.2, but if the Developer fails to pay any amount that is owed on
July 1, 2005, or on the date that the Assessments are declared due and payable in accordance
with Section 9.2, the unpaid balance shall accrue interest from such date until paid at the prime
rate of interest in effect on the date the Assessments are due as announced by Norwest Bank
Hastings.
(b) The amount of the Assessments to be paid by the Developer to the City on July 1,
2005, shall be reduced by an amount referred to herein as the "Construction Credit". The
Construction Credit shall be equal to the market value of the Improvements, exclusive of the
value of the Property, for real property tax purposes, on the January 2nd prior to the date the
Assessments are due, divided by 10. For example, if the value of the Improvements, exclusive
of land value, on January 2, 2005, is $240,000.00 the amount of the Construction Credit
available on July 1, 2005, would be $24,000.00. No Construction Credit shall be available to
reduce the Assessments unless the Developer has completed, to the satisfaction of the City, all
aspects of the Improvements, including, without limitation, any site improvements shown on the
approved Construction Plans.
(c) The amount of the Assessments to be paid by the Developer to the City on July 1,
2005, shall be further reduced by an amount referred to herein as the "Jobs Credit". Prior to
closing on the conveyance of the Property to the Developer the Developer shall furnish to the
City payroll records in such form as the City may require documenting the wages paid by the
Developer or Miller Electric, Inc., in the twelve month period preceding the closing. The City
shall determine such total wage amount for such twelve month period and such amount shall be
referred to as the "Existing Payroll". The Jobs Credit shall be equal to the annual payroll, in
excess of the Existing Payroll, in the twelve (12) month period immediately preceding the date
that the Assessments are due of the Developer's (or Miller Electric, Inc.'s as described in Section
8.1(b)) operations on the Property, divided by 27,000, with the result then being multiplied by
$5,400.00. For example, if the annual payroll of the Developer for the twelve (12) month period
is $103,000.00 the amount of the Jobs Credit (($103,000.00/27,000) x $5,400.00) shall be
$20,600.00. For purposes of determining the Developer's annual payroll, only gross wages paid
to employees shall be considered. A maximum of$50,000 of the aggregate gross wages paid to
9
all employees who are also owners of any interest in Miller Electric, Inc., may be included in the
gross wages paid by Developer or Miller Electric, Inc. No Jobs Credit shall be available to
reduce the Assessments unless the Developer has completed, to the satisfaction of the City, all
aspects of the Improvements, including, without limitation, any site improvements shown on the
approved Construction Plans. If the Assessments as reduced by the Construction Credit and the
Jobs Credit are less than zero, the Developer shall not be entitled to any payment from the City.
(d) The Developer shall provide within ten (10) days of request by the City all
documentation requested by the Authority to determine the amount of the Assessments that may
be due under this Section. The City will, to the extent permitted by law, maintain the
confidentiality of all information provided to the City under this subsection.
(e) At any time prior to July 1, 2005, the Developer may prepay the amount of the
Assessments that are due at such time based on documentation provided to the City by the
Developer as to the amount of the Jobs Credit and the Construction Credit to which the
Developer is entitled at such time. The Developer's right to prepay the Assessments or seek a
determination that no Assessments are payable shall be subject, however, to the condition that
the Developer shall have completed construction of the Improvements as evidenced by the City's
delivery of a certificate of occupancy or, if items cannot be completed due to weather conditions,
the Developer has established an escrow acceptable to the City to guarantee the completion of
such unfinished items. Upon such prepayment or upon the Developer's demonstration to the
City that no amount of the Assessments is due, the City will execute a certification in recordable
form certifying that the Assessments have been paid in full and discharged as a lien from the
Property. Notwithstanding the full or partial termination of the Assessments that may be due
under this Agreement, such payment shall not terminate or reduce the Developer's obligations,
including possible repayment obligations,under the Business Subsidy Agreement.
Section 3.9. Business Subsidy Agreement. The financial assistance being provided to the
Developer by the City under this Agreement constitutes a "subsidy" within the meaning of
Minnesota Statutes, sections 116J.993 to 116J.995. Therefore, at the time of closing on the
conveyance of the Property to the Developer by the City, the City and the Developer shall enter
into the Business Subsidy Agreement to satisfy the requirements under said statutory provisions.
The repayment obligations set forth in the Business Subsidy Agreement are mandated by State
law and are separate and distinct from the obligations of the Developer under this Agreement.
Therefore, the Developer's repayment obligations under the Business Subsidy Agreement shall
not be satisfied in whole or in part by any Construction Credit or Jobs Credit that the Developer
may have earned under this Agreement.
Section 3.10. City Costs. The Developer shall pay all of the City's out-of-pocket costs
paid or payable by the City to attorneys or consultants in connection with the negotiation and
preparation of this Agreement and related documents, financial reviews of this transaction, and
the conveyance of the Property, including closing and recording costs. The City estimates that
such costs will be approximately $ and agrees that the maximum costs for which the
Developer will be liable relative to the negotiation and preparation of this Agreement shall be
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ARTICLE IV
Construction of Improvements
Section 4.1. Construction of Improvements The Developer agrees that he will construct
the Improvements on the Property in accordance with the approved Construction Plans and site
plan and at all times will operate and maintain, preserve and keep the Improvements or cause the
Improvements to be maintained, preserved and kept with the appurtenances and every part and
parcel thereo& in good repair and condition.
Section 4.2. Construction Plans and Site Plan.
(a) The City's willingness to convey the Property to the Developer is predicated upon and
subject to the Developer's agreement that he will construct the Improvements and that the
Improvements will be of such quality and nature as will satisfy the City's goals for the
development of the Property-. Therefore, within thirty(30) days from the date of this Agreement,
the Developer shall provide to the City for its review and approval Construction Plans and a site
plan for the Improvements. The Construction. Plans and site plan shall provide for the
construction of the Improvements and shall be in conformity with this Agreement and all
applicable state and local laws and regulations. The City shall approve the Construction Plans
and site plan in writing it in the sole discretion of the City, the proposed Improvements are of
such a nature and quality as to justify the City's conveyance of the Property. Such Construction
Plans and site plan shall, in any event, be deemed approved unless rejected in writing by the
City, in whole or in part within thirty (30) days after the date of their receipt by the City.
Nothing in this Section shall be deemed to relieve the Developer's obligations to comply with
the requirements of the City's normal construction permitting process.
(b) If the Developer desires to make any material change in any Construction Plans
or site plan after their approval by the City, the Developer shall submit the proposed change to
the City for its approval. If the Construction Plans and site plan, as modified by the proposed
change, conform to the requirements of this Agreement and such changes do not materially alter
the nature, quality or exterior appearance of the Improvements, the City shall approve the
proposed change and notify the Developer in writing of its approval. Any requested change in
the Construction Plans or site plan shall, in any event, be deemed approved by the City unless
rejected, in whole or in part, by written notice by the City to the Developer, setting forth in detail
the reasons therefor. Such rejection shall be made within ten (10) days after receipt of the notice
of such change.
Section 4.3. Commencement and Completion of Construction (a) The Developer
agrees for himself, his representatives and assigns, and every successor in interest to the
Property, or any part thereof that the Developer, and his representatives and assigns, shall
promptly begin and diligently prosecute to completion construction of the Improvements within
the period specified in this Section 4.3 of this Agreement.
(b) Subject to Unavoidable Delays, the Developer shall commence construction of
the Improvements by July 15, 2000, and shall complete such construction by October 31, 2000.
it
The Developer shall, however, be entitled to request additional time to complete the
Improvements, together with any site improvements shown on the site and building plans
approved by the City; provided, that any such request shall be made prior to the date that
completion is required and that the City may require security from the Developer to assure that
any uncompleted work is completed.
(c) The Developer shall only be deemed to have fulfilled his obligations to construct
the Improvements if upon completion of the Improvements the Improvements, exclusive of the
value of the Property, have a market value for tax purposes of at least $240,000.00.
ARTICLE V
Insurance
Section 5.1. Insurance.
(a) The Developer will provide and maintain at all times during the process of
constructing the Improvements and, from time to time at the request of the City, famish the City
with proof of payment of premiums on:
(i) Builder's risk insurance, written on the so-called "Builder's Risk -- Completed
Value Basis," in an amount equal to one hundred percent (100%) of the insurable value of
the Improvements at the date of completion, and with coverage available in nonreporting
form on the so called "all risk" form of policy. The interest of the City shall be protected
in accordance with a clause in form and content satisfactory to the City;
(ii) Comprehensive general liability insurance in amounts required by the City's code
of ordinances; and
(iii) Worker's compensation insurance, with statutory coverage and employer's liability
protection.
(b) Prior to the date that the Developer pays to the City any amount of the
Assessments that is due under Section 3.8 or that it is determined that no amount is due or the
date that the Developer has fulfilled all of his obligations under the Business Subsidy
Agreement, whichever, is later, the Developer shall maintain, at its cost and expense, and from
time to time at the request of the City shall furnish proof of the payment of premiums on,
insurance as follows:
(i) Insurance against loss and/or damage to the Improvements under a policy or
policies covering such risk as are ordinarily insured against by similar businesses,
including (without limiting the generality of the foregoing) fire, extended coverage, all
risk vandalism and malicious mischief, boiler explosion, water damage, demolition cost,
debris removal, and collapse in an amount not less than the full insurable replacement
value of the Improvements, but any such policy may have a deductible amount of not
more than $25,000.00. No policy of insurance shall be so written that the proceeds
12
thereof will produce less than the minimum coverage required by the preceding sentence,
by reason of co-insurance provisions or otherwise, without the prior consent thereto in
writing by the City which consent shall not be unreasonably withheld. The term "full
insurable replacement value" shall mean the actual replacement cost of the Improvements
(excluding foundation and excavating costs and costs of underground flues, pipes, drains
and other uninsurable items) and equipment, and shall be determined from time to time at
the request of the City, but not more frequently than once very three years, by an
insurance consultant or insurer, selected and paid for by the Developer and approved by
the City. All policies evidencing insurance required by this subparagraph (i) with respect
to the Minimum Improvements shall be carried in the names of the Developer and the
City as their respective interests may appear and shall contain standard clauses which
provide for net proceeds of insurance resulting from claims per casualty thereunder to the
Improvements to be made payable to the Developer.
(ii) Comprehensive general public liability insurance, including personal
injury liability (with employee exclusion deleted), and automobile insurance, including
owned, non-owned and hired automobiles, against liability for injuries to persons and/or
property, in the minitrn,m amount for each occurrence and for each year of
$1,000,000.00, for public liability and shall be endorsed to show the City as an additional
insured.
The policies of insurance required pursuant to clauses (i) and (ii) above shall be in form and
content satisfactory to the City and shall be placed with financially sound and reputable insurers
licensed to transact business in the State, the liability insurer to be rated A or better in Best's
Insurance Guide. The policy of insurance delivered pursuant td clause (i) above shall contain an
agreement of the insurer to give not less than thirty (30) days' advance written notice to the City
in the event of cancellation of such policy or change affecting the coverage thereunder.
(c) The Developer agrees to notify the City immediately in the case of damage to or
destruction of, the Improvements or any portion thereof resulting from fire or other casualty. In
the event of any such damage or destruction, the Developer will forthwith repair, reconstruct and
restore the Improvements to substantially the same or an improved condition or value as existed
prior to the event causing such damage. Failure by the Developer to rebuild the Improvements
shall constitute an Event of Default under this Agreement which shall entitle the City to declare
the Assessments due under Section 9.2 of this Agreement.
(d) The City agrees that, if requested by the Developer's lender of financing for the
construction of the Improvements, it will subordinate its rights relative to the receipt .and
application of the proceeds of insurance under this Agreement to the lien of such lender's
mortgage.
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ARTICLE VI
Taxes
Section 6.1. Real Property Taxes. Real estate taxes due and payable in the year 2000 shall
be apportioned between the Developer and the City as of the date of conveyance of the Property,
with the result that the City shall pay that portion of such taxes attributable to the period of the
year prior to the conveyance and the Developer shall pay that portion of the taxes attributable to
the period of time commencing with the date of conveyance. Real estate taxes and assessments
due and payable in the year 1999 and all prior years, deferred real estate taxes (i.e. Green Acres),
and all pending or levied special assessments, if any, shall be paid by the City. After his
acquisition of the Property, the Developer shall pay all real property taxes and special
assessments in a timely manner and prior to the imposition of penalties.
ARTICLE VII
Financing
Section 7.1. Financing. Prior'to the City's conveyance of the Property to the Developer,
the Developer shall submit to the City evidence, satisfactory to the City, that the Developer has
obtained mortgage or other construction and permanent financing in an amount sufficient for
acquisition of the Property and construction of the Improvements.
Section 7.2. Limitation Upon Encumbrance of Property. Prior to the date that the
Developer pays to the City any amount of the Assessments that is due under Section 3.8 or that it
is determined that no amount is due or the date that the Developer has filled all of his
obligations under the Business Subsidy Agreement, whichever, is later, neither the Developer
nor arty successor in interest to the Property, or any part thereof, shall engage in any financing or
any other transaction creating any mortgage or other encumbrance or lien upon the Property,
whether by express agreement or operation of law, or suer any encumbrance or lien to be made
on or attach to the Property, except for the purposes of obtaining funds only to the extent
necessary for acquiring and constructing the Improvements without the prior written approval of
the City. All financing and other transactions shall contain an agreement in a form acceptable to
the City by which a proposed Holder agrees to be bound by and subject to the Assessments.
ARTICLE VIII
Prohibitions Against Assignment and Transfer,Indemnification
Section 8.1. Prohibition Against Transfer of Property and Assignment of Agreement. (a)
The Developer represents and agrees that prior to the date that the Developer pays to the City
any amount of the Assessments that is due under Section 3.8 or that it is determined that no
amount is due or the date that the Developer has fulfilled all of his obligations under the
Business Subsidy Agreement, whichever, is later, except only by way of security for, and only
14
for, the purpose of obtaining financing necessary to enable the Developer or any successor in
interest to the Property, or any part thereof; to perform his obligations with respect to
constructing the Improvements under this Agreement, and any other purpose authorized by this
Agreement, the Developer (except as so authorized) has not made or created, and will not make
or create, or suffer to be made or created, any total or partial sale, assignment, conveyance, or
lease, or any trust or power, or transfer in any other mode or form of or with respect to this
Agreement or the Property or any part thereof or any interest herein or therein, or any contract or
agreement to do any of the same, without the prior written approval of the City. The City may
require as a condition to the approval of any transfer, sale or assignment that the Developer pay
to the City the amount of the Assessments determined to be due on the date of the transfer, sale
or assignment calculated in the manner provided in Section 3.8.
(b) Notwithstanding subsection (a) above, the City acknowledges and agrees that the
Developer will lease portions of the Improvements to industrial users. It is contemplated that a
portion of the Improvements will be leased to Miller Electric, Inc., an affiliate of the Developer.
The City agrees that for purposes of determining the Jobs Credit under Section 3.8(c) and
compliance with the Business Subsidy Agreement, the City will look at the employment and
payroll records of Miller Electric, Inc. The Developer shall, however, be the party obligated
under this Agreement.
(c) In the absence of specific written agreement by the City to the contrary, no transfer
of the Property or approval by the City thereof shall be deemed to relieve the Developer, or any
other party bound in any way by this Agreement, from any of its obligations hereunder.
Section 8.2. Release and Indemnification Covenants.' (a) The Developer releases from
and covenants and agrees that the City and the governing body members, officers, agents,
servants and employees thereof shall not be liable for and agrees to indemnify and hold harmless
the City and the governing body members, officers, agents, servants and employees thereof
against any loss or damage to property or any injury to or death of any person occurring at or
about or resulting from any defect in the Improvements.
(b) Except for any willful misrepresentation or any willful or wanton misconduct or
negligence of the following named parties, the Developer agrees to protect and defend the City
and the City and the governing body members, officers, agents, servants and employees thereof;
now or forever, and further agrees to hold the aforesaid harmless from any claim, demand, suit,
action or other proceeding whatsoever by any person or entity whatsoever arising or purportedly
arising from this Agreement, or the transactions contemplated hereby or the acquisition,
construction, installation, ownership, and operation of the Improvements.
(c) Nothing in this Agreement is intended or shall be deemed to constitute a waiver by
the City of any immunity or limits on liability under State law, including, without limitation,
Minnesota Statutes. Chapter 466, relative to tort or other claims.
15
ARTICLE IX
Events of Default
Section 9.1. Events of Default Defined. The following shall be "Events of Default" under
this Agreement and the term "Event of Default" shall mean, whenever it is used in this
Agreement(unless the context otherwise provides), any one or more of the following events:
(a) Failure by the Developer to pay when due any payments required to be paid under
this Agreement or to pay real estate taxes or special assessments when due.
(b) Failure by the Developer to reconstruct the Improvements when required pursuant
to Section 5.1 of this Agreement.
(c) Failure by the Developer to obtain financing, if required, for construction of the
Improvements pursuant to the terms and conditions of Section 7.1 of this Agreement.
(d) Failure by the Developer to commence and complete construction of the
Improvements and any site improvements as shown on the Developer's site and building plans
approved by the City Council of the City or specified as conditions of the City's approval
pursuant to the terms, conditions and limitations of Article IV of this Agreement.
(e) Failure by Developer to provide any documentation or information required to be
provided under the terms of this Agreement.
(f) Failure by Developer to observe or perform any other covenant, condition,
obligation or agreement on its part to be observed or performed hereunder.
(g) The Developer does any of the following : (i) file any petition in bankruptcy or
for any reorganization, arrangement, composition, readjustment, liquidation, dissolution, or
similar relief under United States Bankruptcy Laws or any similar Federal or State Laws; or (ii)
make an assignment for the benefit of its creditors; or (iii) admit, in writing, his inability to pay
his debts generally as they become due; or (iv) be adjudicated, bankrupt or insolvent; or (v) if a
petition or answer proposing the adjudication of the Developer, as a bankrupt under any present
or future federal bankruptcy act or any similar federal or State law shall be filed in any court and
such petition or answer shall not be discharged or denied within sixty (60) days after the filing
thereof-, or (vi) a receiver, trustee or liquidator of the Developer, or of the Property and
Improvements, shall be appointed in any proceeding brought against the Developer and shall not
be discharged within sixty (60) days of such appointment, or if the Developer shall consent to or
acquiesce in such appointment.
Section 9.2. Remedies on Default. Whenever any Event of Default occurs, the City may
immediately suspend its performance under this Agreement and may take any one or more of the
following actions after providing thirty (30) days written notice to the Developer of the Event of
Default,but only if the Event of Default has not been cured within said thirty(30) days:
16
(a) Terminate this Agreement.
(b) Declare immediately due and payable the Assessments.
(c) Take whatever action, including legal, equitable or administrative action, which
may appear necessary or desirable to collect any payments due under this Agreement, or to
enforce performance and observance of any obligation, agreement, or covenant under this
Agreement.
Section 9.3. No Remedy Exclusive. No remedy herein conferred upon or reserved to the
City or Developer is intended to be exclusive of any other available remedy or remedies, but
each and every such remedy shall be cumulative and shall be in addition to every other remedy
given under this Agreement or now or hereafter existing at law or in equity or by statute. No
delay or omission to exercise any right or power accruing upon any default shall impair any such
right or power or shall be construed to be a waiver thereof but any such right and power may be
exercised from time to time and as often as may be deemed expedient. In order to entitle the City
or the Developer to exercise any remedy reserved to it, it shall not be necessary to give notice,
other than such notice as may be required in this Article IX.
Section 9.4. No Additional Waiver Implied by One Waiver. In the event any agreement
contained in this Agreement should be breached by either party and thereafter waived by the
other party, such waiver shall be limited to the particular breach so waived and shall not be
deemed to waive any other concurrent,previous or subsequent breach hereunder.
Section 9.5. Effect of Termination of Agreement. In the event that this Agreement is
terminated pursuant to Section 3.3 or Section 9.2, all provisions hereof shall terminate except
that Sections 2.2, 3.10, 8.2, and 9.6 shall survive such termination and any cause of action
arising hereunder prior to such termination shall not be affected.
Section 9.6. Costs of Enforcement. Whenever any Event of Default occurs and the City
shall employ attorneys or incur other expenses for the collection of payments due or to become
due or for the enforcement of performance or observance of any obligation or agreement on the
part of the Developer under this Agreement and the City prevails in such action or effort, the
Developer agrees that he shall, within ten (10) days of written demand by the City, pay to the
City the reasonable fees of such attorneys and such other expenses so incurred by the City.
ARTICLE X
Additional Provisions
Section 10.1. Representatives Not Individually Liable No member, official, or employee
of the City shall be personally liable to the Developer, or any successor in interest, in the event
of any default or breach or for any amount which may become due to Developer or successor or
on any obligations under the terms of the Agreement.
17
Section 10.2. Provisions Not Merged With Deed. None of the provisions of this Agreement
are intended to or shall be merged by reason of any deed transferring any interest in the Property
and any such deed shall not be deemed to affect or impair the provisions and covenants of this
Agreement.
Section 10.3. Titles of Articles and Sections. Any titles of the several parts, Articles, and
Sections of the Agreement are inserted for convenience of reference only and shall be
disregarded in construing or interpreting any of its provisions.
Section 10.4. Notices and Demands. Except as otherwise expressly provided in this
Agreement, a notice, demand, or other communication under the Agreement by either party to
the other shall be sufficiently given or delivered if it is dispatched by registered or certified mai],
postage prepaid, return receipt requested, or delivered personally; and
(a) in the case of the Developer, is addressed to or delivered personally to the
Developer at 3550 Vermillion, Hastings, Minnesota 55033; and
(b) in the case of the City, is addressed to or delivered personally to the City at City
Hall, 101 4th Street East, Hastings, Minnesota 55033-1955,
or at such other address with respect to either such party as that party may, from time to time,
designate in writing and forward to the other as provided in this Section.
Section 10.5. Disclaimer of Relattionshins. The Developer acknowledges that nothing
contained in this Agreement nor any act by the City or the Developer shall be deemed or
construed by the Developer or by any third person to create any relationship of third-party
beneficiary, principal and agent, limited or general partner, or joint venture between the City, the
Developer and/or any third party.
Section 10.6. Modifications. This Agreement may be modified solely through written
amendments hereto executed by the Developer and the City.
Section 10.7. Counterparts. - This Agreement may be executed in any number of
counterparts, each of which shall constitute one and the same instrument.
Section 10.8. Judicial Interpretation. Should any provision of this Agreement require
judicial interpretation, the court interpreting or construing the same shall not apply a
presumption that the terms hereof shall be more strictly construed against one party by reason of
the rule of construction that a document is to be construed more strictly against the party who
itself or through its agent or attorney prepared the same, it being agreed that the agents and
attorneys of both parties have participated in the preparation hereof
Section 10.9. Severability. In the event that any provision of this Agreement shall be held
invalid or unenforceable by any court of competent jurisdiction, such holding shall not
invalidate or render unenforceable any other provision hereof.
18
Section 10.10. Terminatio,n. This Agreement shall terminate upon the payment by the
Developer of the Assessments determined to be due under this Agreement or upon a
determination that no amount of the Assessments are due and upon Developer's satisfaction of
all obligations under the Business Subsidy Agreement. Upon such termination, the City shall
provide the Developer with a certificate evidencing the termination of this Agreement and the
Assessments. The provisions of this Agreement contained in Section 8.2 of this Agreement
shall, however, survive such termination with respect to matters arising prior to the date of
termination of this Agreement.
19
IN WITNESS WHEREOF, the City has caused this Agreement to be duly executed in its
name and behalf and the Developer has caused this Agreement to be duly executed in its name
and behalf on or as of the date first above written.
CITY OF HASTINGS
By
Michael D. Werner, Mayor
By
Melanie Mesko, City Clerk
ARTHUR G. MILLER
STATE OF MINNESOTA)
SS.
COUNTY OF )
The foregoing instrument was acknowledged before me this _ day of , 2000, by
Michael D. Werner, and Melanie Mesko, the Mayor and City Clerk of the City of Hastings, a
home rule charter city under the laws of the state of Minnesota.
Notary Public
STATE OF MINNESOTA)
SS.
COUNTY OF )
The foregoing instrument was acknowledged before me.this_day of , 2000, by
Arthur G. Miller, a individual.
Notary Public
20
SCHEDULE A
Description of Property
Lot 2, Block I. Hastings Industrial Park Number 5, according to the recorded plat thereon
Dakota County, Minnesota.
1
SCHEDULE B
BUSINESS SUBSIDY AGREEMENT
By and Between
CITY OF HASTINGS
and
ARTHUR G. MILLER
Dated:
This document was drafted by:
BRADLEY&DEIKE, P. A.
5100 Eden Avenue, Suite 308
Edina, MN 55436
Telephone: (952) 926-5337
2
BUSINESS SUBSIDY AGREEMENT
THIS AGREEMENT, made on or as of the day of 2000,
by and between the City of Hastings, Minnesota, a home rule charter city under the laws of the
State of Minnesota (hereinafter referred to as the "City"), and having its principal office at 101
4th Street East, Hastings, Minnesota 55033-1955, and Arthur G. Miller, a
individual (hereinafter referred to as the "Developer"), having his principal office at 3550
Vermillion, Hastings, Minnesota 55033.
WITNESSETH:
WHEREAS, the Developer and the Authority have entered into a Purchase and
Development Agreement dated as of , 2000, (the "Contract") pursuant to
which the Developer has agreed to construct a certain improvements on real property within the
City of Hastings, Minnesota;and
WHEREAS, in order to induce the Developer to undertake such development, the City
has agreed in the Contract to provide certain assistance to the Developer through its sale of the
property subject to the Contract to the Developer at a cost below market value; and
WHEREAS, Minnesota Statutes, sections 1161993 to 1161995, provides that a
government agency that provides financial assistance for certain purposes must enter into a
business subsidy agreement setting forth goals to be met and the financial obligations of the
recipient of the assistance if the goals are not met;and
WHEREAS, the City and the Developer agreed in the Contract that they would enter into
this Business Subsidy Agreement to satisfy the requirement of sections 1161993 to 1161995.
NOW, THEREFORE, in consideration of the premises and the mutual obligations of the
parties hereto, each of them does hereby covenant and agree with the other as follows:
ARTICLE I
Definitions
Section 1.1. Definitions. In this Agreement, unless a different meaning clearly appears
from the context:
"Act"means Minnesota Statutes. Sections 116J.993-.995.
"Agreement" means this Agreement, as the same may be from time to time modified,
amended, or supplemented.
"Benefit Date"means the date that the Property is conveyed by the City to the Developer.
"City"means the City of Hastings, Minnesota.
4
"Contract" means the Purchase and Development Agreement between the City and the
Developer dated as of , 2000.
"Developer" means Arthur G. Miller, a individual, or his representatives
and assigns, or any future owners of the Property.
"Improvements" means the construction activities to be undertaken by the Developer
pursuant to the Contract.
"Property" means the real property described as such in the Contract.
"State" means the State of Minnesota
"Subsidy" means on any particular date $43,559.00, less any portion of such amount that
the Developer has as of such date repaid to the City pursuant to the terms of the Contract.
ARTICLE II
Job and Wage Goals; Required Provisions
Section 2.1. Employment and Wage Requirements. The Developer shall meet or cause
to be met the within two (2) years of the Benefit Date the wage and job goals set forth on the
attached Exhibit A.
Section 2.2. Reports. The Developer agrees that he will provide to the City all reports
required by the Act. Such reports shall be submitted at the times required by the Act.
Section 2.3. Continuing Obligation. The Developer agrees that he will continuously
operate the Improvements for the purposes described in the Contract for a period of at least five
(5)years from the Benefit Date.
Section 2.4. Required Provisions. The following provisions are required by the Act:
(a) By providing the Subsidy to the Developer the City is seeking to accomplish the
public purposes of encouraging the development of property that is currently underutilized,
expanding the tax base of the City and State, creating new job opportunities within the City at
competitive wages for low and moderate income persons and facilitating the expansion of a local
business.
(b) The City has determined that the Subsidy is necessary because the Developer is
unable to pay the full market value of the Property and still construct the Improvements of he
size and quality proposed. By reducing the front end costs of the Developer's business
expansion, more funds will be available for ongoing operations costs and the risk of failure will
thereby be reduced.
(c) The Developer has no parent corporation.
5
(e) The following is a list of all financial assistance from all other state or local
government agencies: None.
ARTICLE III
Default
Section 3.1. Defaults Defined. It shall be a default under this Agreement if the
Developer fails to comply with any term or provision of this Agreement, and fails to cure such
failure within thirty (30) days written notice to the Developer of the default, but only if the
default has not been cured within said thirty(30) days.
Section 3.2. Remedies on Default. The parties agree that the Subsidy is a forgivable
loan, repayable only if the Developer fails to fulfill his obligations under sections 2.1 and 2.3 of
this Agreement. Upon the occurrence of a failure to create jobs as required by Section 2.1 or a
failure to continue operations as required by Section 2.3 the Developer shall repay to the City
upon written demand from the City a`pro rata share" of the Subsidy and interest on the Subsidy
at the implicit price deflator as defined in Minnesota Statutes. Section 275.50, subd. 2, accrued
from the Benefit Date. The term"pro rata share"means percentages calculated as follows:
(a) if the failure relates to the number of jobs, the jobs required less the jobs created,
divided by the jobs required;
(b) if the failure relates to wages, the number of jobs required less the number of jobs that
meet the required wages, divided by the number of jobs required;
(c) if the failure relates to a failure to continue operations of the Minimum Improvements
in accordance with Section 2.3, sixty (60) less the number of months of operation (where any
month in which the Improvements are in operation for at least fifteen (15) days constitutes a
month of operation), commencing on the Benefit Date and ending with the date the Developer
ceases operation as reasonably determined by the City, divided by 60;and
(d) if more than one of clauses (a) through (c) apply, the sum of the applicable
percentages,not to exceed 100%.
Section 3.3. Costs of Enforcement. Whenever any default occurs under this Agreement
and the City shall employ attorneys or incur other expenses for the collection of payments due or
for the enforcement of performance or observance of any obligation or agreement on the part of
the Developer under this Agreement, the Developer shall be liable to the City for the reasonable
fees of such attorneys and such other expenses so incurred by the City; provided, that the
Developer shall only be obligated to make such reimbursement if the City prevails in such
collection or enforcement action.
6
ARTICLE IV
Miscellaneous
Section 4.1. Provisions of Agreement Not Affected. This Agreement is not intended to
modify or limit in any way the terms of the Contract.
Section 4.2. Titles of Articles and Sections. Any titles of the several parts, Articles, and
Sections of the Agreement are inserted for convenience of reference only and shall be
disregarded in construing or interpreting any of its provisions.
Section 4.3. Modifications. This Agreement may be modified solely through written
amendments hereto executed by the Developer and the City. The Developer and City agree that
if the Act is amended by the State legislature to as to shorten or eliminate the requirement that
this Agreement contain the operating covenant contained in Section 2.2 and such amendment is
applies to this Agreement, the Developer and City will amend this Agreement to reflect such
amendment to the law.
Section 4.4. Counterparts. This Agreement may be executed in any number of
counterparts, each of which shall constitute one and the same instrument.
Section 4.5. Judicial Interpretation. Should any provision of this Agreement require
judicial interpretation, the court interpreting or construing the same shall not apply a
presumption that the terms hereof shall be more strictly construed against one party by reason of
the rule of construction that a document is to be construed•inore strictly against the party who
itself or through its agent or attorney prepared the same, it being agreed that the agents and
attorneys of both parties have participated in the preparation hereof. The City and Developer
agree that this Agreement is intended to satisfy the requirements of the Act, which is
incorporated herein and made a part hereof by reference. In the event that any provision of this
Agreement conflicts with the terms of the Act, the terms of the Act shall govern.
7
IN WITNESS WHEREOF, the City has caused this Agreement to be duly executed in its
name and behalf and the Developer has caused this Agreement to be duly executed in its name
and behalf on or as of the date first above written.
CITY OF HASTINGS
By
Michael D. Werner, Mayor
By
Melanie Mesko, City Clerk
ARTHUR G.MILLER
STATE OF MINNESOTA)
SS.
COUNTY OF )
The foregoing instrument was acknowledged before me this _ day of , 2000, by
Michael D. Werner, and Melanie Mesko, the Mayor and City Clerk of the City of Hastings, a
home rule charter city under the laws of the state of Minnesota:
Notary Public
STATE OF MINNESOTA)
SS.
COUNTY OF )
The foregoing instrument was acknowledged before me this_day of . 2000, by
Arthur G. Miller, a individual.
Notary Public
8
EXHIBIT A
Wage and Job Goals
The Developer will create not less than 2 new full time or full time equivalent jobs at a
wage of not less than$12.00 per hour.
1
Vlll-B-3
Memo
To: Mayor Werner and City Council
From: Matthew Weiland, City Planner
Subject: Concept Plan Approval for sale of Industrial Park Property
Date: June 1', 2000
CC: Green Lawn
Green Lawn Underground Sprinklers Inc. has offered to purchase 1.2 acres of land land in the
Industrial Park. The lot is legally described as Lot 4,Block 1, Hastings Industrial Park No. 2.
He has also requested the Land Credit Program. The I have enclosed his application for the
land price subsidy, a proposed site plan, building elevations, and a site location map.
Background Information
The applicant is proposing to construct an 5,000 sq ft building. The applicant's business installs
and services underground sprinklers for residential and commercial properties. The applicant
would use the building for storage and office space. The preliminary site plan and building
elevations meet the design guidelines for the Industrial Park. The building is an especially
attractive building with the use of stone wainscoting and a pillared entrance area. The Industrial
Park recommendation is attached to this memo. This project would require the following items
before final approval could be granted:
1. Site Plan Approval
2. Development Agreement
3. Building Plans
Closing the land sale would be contingent on Staff and City Council approvals for items
listed above.
Requested Action:
Motion to recommend preliminary approval of the land sale and prepare purchase and
development agreements
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Dear Park Board,
Green Lawn Underground Sprinklers Inc. Would like to purchase lot 3 or 4 preferably lot
4 block 1, #2 in Hastings Industrial Park.
Green Lawn Offers the price of$52,000 but would ask to be considered for construction
and job credit to be deferred for five years.
Green Lawn is Owned by Troy, Todd, and Scott Tverberg of Hastings, MN .
The building will be constructed of steel, with stone front and side, with entrance pillars,
the size to be 50 X 100.
Green Lawn Underground Sprinklers is in the business of residential and commercial
installation and service of underground irrigation.
Green Lawn has no special need of large amounts of gas, electric,water, or sewer, but
would install sprinkler system and use.
Thank you for your consideration.
Troy�Tverber
To rb
Scott Tverberg
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VIII-B-4
Memo
To: Mayor Werner and City Council
From: Matthew Weiland, City Planner
Date: June 28`h, 2000
Subject: 1. Concept Plan Approval - Guardian Angels Block
This project was scheduled to go before the Planning Commission for formal Site Plan Review at
their July 20h, 2000 meeting. That meeting was canceled due to the lack of a quorum. This
project is now being presented to you for concept plan approval only, in order to give you the
opportunity to review the main issues and details of this project. The purpose of which is to give
you a better understanding of the project as you discuss the applicants request for a housing tax
increment financing(TIF) district to support this project. There is a need to make a timely
decision on the housing TIF district in order for the applicant to make application deadlines for
tax credits. The concepts, policies and goals of a housing TIF district should be discussed first
and then related to how this project would fit those concepts,policies and goals. Making a
decision on the housing TIF district or the concept plan does*not give this project any final
approvals. These decisions would be contingent on the project getting formal site plan approval.
Guardian Angles Project
Sherman and Associates,private developers, have requested concept site plan approval for a
mixed use redevelopment project of the Guardian Angels Block. The proposed project is a
redevelopment and infill mixed use project located near the City's historic downtown and river
front area that will intensify an existing land use. The project will be a mixture of redevelopment
and historic preservation of an existing historic church, rectory and three story school building as
well as new construction of affordable rental townhomes.
This project fulfills many goals for the City of Hastings Comprehensive Plan, including the
following:
1. This project provides historic preservation of existing buildings
through adaptive re-use of the buildings.
2. This project intensifies the land use of an existing developed
property by creating more and varied housing units in the
downtown area where parks, shopping and jobs are within an easy
walk.
1
3. This project provides affordable housing in mixture of housing
types designed appropriately to blend in well with the
neighborhood.
4. This project is a redevelopment infill project that would take
advantage of existing infrastructure
This project is a redevelopment infill project that would include a mixture of four different uses.
All of these uses are appropriate for the site and compliment each other. The project would
include affordable housing, an affordable day care center, a battered women shelter, and in the
church, a program and gathering space for public and private uses including arts, performance,
education and services (see Site Plan). The housing part of the project would include two
different housing types. There would be 20 apartments built in the existing school building and
there would be 12 new rental town homes constructed (see Site Plan). This would be a mixed
income housing project serving a variety of people with different income levels.
The property proposed for development is a one city block in size (1.8 acres) and is located
northeast of the intersection of 4' St E and Sibley St (site location map enclosed). The property
will also have to be rezoned. Any recommendations for the site plan will be contingent upon the
property being rezoned. There were many concerns from the surrounding neighbors regarding
this project. Their main concerns centered around the building architecture and the rental use of
the property. Their concerns will be addressed in this memo.
Included with this memo is a site location map, land use application, and site plan .
Background Information:
Comprehensive Plan Classification: The subject property is classified U-III(Urban Residential 8
+residential units/acre). The proposed development density for the subdivision is @16 units per
acre. This is a consistent use with the comprehensive plan. The main reason the density on this
project is so high, is because of the apartments being built in the existing three story building.
The average neighborhood density surrounding this project is 4 units per acre.
Zoning Classification: The subject property is currently zoned R-2 Medium density residence.
The proposed zoning is R-4 (PRD)High Density Residence Planned Residential Development .
A mixed use project at this density would be a permitted use in this district as part of a planned
residential development. The setbacks of the buildings will also be adjusted as part of the
planned residential development process.
Surrounding Properties: The subject property is currently located in a mixed use area. The
property was once uses a church, a rectory and a school. The uses surrounding the property
include government offices, single family homes, apartments, and commercial areas.
2
Site Development Issues: The subject property includes existing buildings in an existing well
established historic neighborhood. There is a desire from the City to preserve the historic
building while allowing the property to be developed to a higher and greater use. Any project in
this area must be sensitive to the existing historic neighborhoods and compliment them.
Concept Site Plan
1. Proposed Uses and Lot Layout
The proposed uses for the site are appropriate for the site and complement each other. A
day care/pre-school will serve not only this project well,but also the neighborhoods and
downtown area around it. The shelter will also provide a needed service in this area.
The proposed uses will also allow for the adaptive reuse of the existing buildings which
will serve to historically preserve the buildings. There are a mixture of uses throughout
this area as well as mixture of housing types. The new buildings and parking lot are
located appropriately for this historic area. The new town homes are located close to the
property lines with their parking areas in the rear. The parking area is located behind the
buildings which will buffer it from the road.
2. Zoning Setback requirements: Proposed parking areas meet zoning setbacks. The new
town home units are being placed closer to property lines to match the building setbacks
on the property and in the area. The town home units are being placed 10 - 15 ft off of
property lines instead of the usual 20 ft required by the zoning ordinance. This is
allowed as part of the planned residential development process.
3. :Number of Parking Spaces: The Zoning Ordinance requires at least 2 parking spaces for
every residential dwelling unit. There are 20 apartments, 12 rental townhomes and 4
units in the shelter for a total of 36 units. This would require 72 parking spaces. The
townhomes and the shelter have garages and garage stalls that will meet this 2 parking
space requirement. There are only 24 off street parking stalls for the apartments, leaving
16 parking stalls to meet the Zoning Ordinance. The Zoning Ordinance does however
allow the City Council to allow off site parking if there is adequate on street parking and
public parking available within 400 ft of the project. There will be adequate on street
parking opportunities along Sibley St and 4`h St E as well as the opportunity to use the
City's public parking lot. Guest parking would also use the on street parking spaces or
the City's lot. The demand for parking from this project would come at night which is
opposite the City's demand for the parking area during the daytime. Most of the units in
the apartment building would only have one car. A majority of the residents in the
apartment building are predicted to be seniors.
4. Site Access: Access to the subject property will be provided off of Ramsey St and Sibley
St. These streets provide good access to this site.
3
5. Traffic Circulation Issues: Traffic Circulation within the site flows well. The two
entrances are connected by a private drive. The private drive and parking areas have been
designed to slow down traffic within the site.
6. Traffic Issues: There are no traffic issues within the site and the street network around the
property is designed to serve this type of use.
7. Trail Connections: There are existing sidewalks on all four sides of this project that will
remain. Internal sidewalks will also be constructed to connect to the existing sidewalks,
allowing safe pedestrian flow through the site.
8. Streets and Utilities: The Public Works Director has reviewed the streets and utility plans
and has approved them with the following comment:
1. The streets and utilities in the area are old and need to be reconstructed. The
utilities in 0 St E have to be reconstructed and updated in order to serve this
project and the neighborhoods appropriately. A looped water main also needs to
be constructed between 4"' St E and 5' St E along Sibley St to provide adequate
fire protection in the area. Finally, the roads in the area need to be reconstructed
to solve drainage problems and provide safer parking and traffic circulation. The
roads and utilities in this area needed to be reconstructed at some point. They are
on the City's reconstruction list. It wasn't a matter of if to do these projects, but a
matter of when to do these projects. This is a good time to reconstruct these roads
as part of a new development process. The assessments for these improvements
would be assessed to all benefitting property owners. A condition of site plan
approval would require that these road and utility improvements be initiated prior
to building permit approval for this project. The shelter may be occupied prior to
the road projects being completed.
The Public Works Director is suggesting the following road construction to be done in
this area. The road construction work would be proposed for summer 2001.
1. Reconstruct 4`h St E from Sibley St to Tyler St.
2. Reconstruct 5`h St E from Hwy 61 to Tyler St.
3. Reconstruct Sibley St from 4`h St E to 8`h St E
2. The developer should have separate water meters and water lines installed for all
irrigation systems.
9. Site Grading& Storm Water Management: The Site is designed to drain correctly through
the use of curb and gutter and a catch basin/storm water sewer system that will connect
into existing storm sewer in Ramsey St.
4
10. Interceptor Sewer: The developer shall be required to pay$305.00 per lot in interceptor
sewer charges,prior to the city releasing the final plat hardshells. The interceptor sewer
charge for this project totals $25,925.00 for 85 units.
11. Li htin : Any building lighting will have to have to be focused down with cut off
shields.
12. Site Landscaping: The proposed landscape plan includes large amount and a wide
spectrum of different trees and shrubs. The Landscape plan compliments the site and the
buildings as well as the neighborhoods in the area. The landscape plan includes many
historic landscape features such as daylilies, irises, roses, and lilacs. This is an excellent
landscape plan that enhances this development and the neighborhood around it. Only a
few minor additions to the landscaping plan are suggested. The landscape plan shall be
modified as follows:
1. Boulevard trees shall be planted every 50 ft along Sibley St and 5' St. .
2. Two trees shall be placed in the front yard of 5 unit building along 5' St.
13. Building Architectural Elevations The developer is working with the City's Historic
Preservation Committed (HPC)to develop building plans that will compliment the
historic area. Comments from the HPC are attached. This property is not in the Historic
District,but the developer is willing to add historical features and accents to the buildings
to make them more compatible with the area. The Developer is also working with the
City's HRA on the possibility of getting a loan to put a brick veneer on the front of this
building.
14. BuildingIssues The developer will have to address all fire safety,building safety and
accessability issues as part of the building plan review process.
15. Fire Safely Issues: The site is adequately served with fire hydrants and good access to all
the buildings for fire safety. The developer will have meet the requirements for fire
protection in the existing school building and church. This may require fire sprinklers
and will be addressed as part of the building plan review. The site plan shall be modified
to show a fire protection water line if required.
16. Waste Storage: The developer shall identify how and where waste storage shall be
handled on the site. Any outdoor dumpsters must be completely screened.
Neighborhood Concerns: A neighborhood meeting was conducted June 8th,2000 to discuss this
project. There were many comments received and concerns raised at the neighborhood open
house for this project. Most of the concerns revolved around the appearance of the new
buildings. City staff is working with the developer on the design of these buildings to make them
more compatible with the existing neighborhood. The Hastings Heritage Preservation
5
Commission will also be reviewing the developers building plans to make comments and
recommendations .
There were also concerns raised about this project being a rental project. There are many rental
units throughout the neighborhoods surrounding this project. The City needs more rental
housing. A community is made up of a wide range of people with a wide range of incomes and
needs. It is the City's goal to provide housing for all the people that make up this community, not
just parts of it. The tenants of these rental units are working people. The City does not have the
authority to require this project to be rental or owner occupied housing. The City is not the
owner of the property. How successful these projects are is determinated by the owners and
managers of the project. This would be a private development and privately managed by the
private sector,not the public sector. The developers have a lot of experience owning and
managing this type of project. The City works towards balancing the concerns of the neighbors
with the goals of the project to get the best project possible.
Planning Consideration: This is a great redevelopment mixed use project that meets many of the
goals of the City's Comprehensive Plan. It is intensifying the land use of an existing area and
adding more housing density to the core of the City, instead of sprawling outside the City. This
project compliments the neighborhoods and mixtures of uses in the area. The project will
historically preserve buildings the community has an interest in saving. The new shelter and
daycare/pre-school will add valued services to the City. The Church will add a unique public
space that may serve a variety of needs. Finally, the affordable housing will help the City address
it's rental housing shortage and provide more life cycle housing in the community. The
developers of the project have a lot of experience building and managing these projects. The site
is well designed with good landscaping and attractive buildings. This redevelopment project will
add value to the neighborhoods and areas around it.
Recommended Action:
Guardian Angels Block Redevelopment Concept Site Plan
Motion to Recommend to approval of the Guardian Angels Block Redevelopment Concept
Site Plan subject to following:
1. That the applicant agrees and understands that the city is approving only a
concept plan and that this does not guarantee approval of any future site
plans
Future Site Plan Issues
1. Site Plan approval is contingent upon the rezoning of the property to R-4
PRD.
6
2. That the developer shall install separate water meters and water lines
installed for all irrigation systems.
3. That the developer modify the landscape plan to include the following
elements subject to approval of the City Planner:
A. Boulevard trees shall be planted every 50 ft along Sibley St. and 5" St.
E.
B. Two trees shall be placed in the front yard of 5 unit building along 5'h
Ramsey St.
5. That road and utility improvements for 4'h St. E,5"'St. E, and Sibley St.
must be ordered before the issuance of building permits for this project.
6. That the shelter may be occupied before the road improvements are ordered.
7. That the developer will work with the HPC to develop building plans that
compliment the surrounding neighborhoods.
8. That the developer shall be required to address all fire safety, building
safety, and accessability requirements for the use of the new and existing
buildings as part of the building plan review.
9. That the developer shall identify how and where waste storage shall be
handled on the site. Any outdoor dumpsters must be completely screened.
7
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July 5, 2000
TO: The Honorable Mayor and City Council
FROM: John Grossman,HRA Director
RE: Sherman Associates Financial Plan for Guardian Angels Proposal
See the attached Sources and Uses of Funds. This is a working projection of the costs and
possible sources of finding for the construction and remodeling for housing, day care, women's
shelter and public spaces using the Guardian Angels buildings and land.
THE REQUEST: Sherman Associates needs an indication of the City's support for the
development for their MHA financing application which is due July 20`h. Financing the
construction and rehabilitation of affordable rental property takes the participation of a variety of
sources because each source has its own criteria and eligible purposes. Out of total project costs
estimated at$6.2 million, approximately$5.1 will be sought from five different programs through
the Minnesota Housing Finance Agency(MHFA) and Dakota County CDA. A letter of support
should address the funding requested by Sherman which needs to be initiated or approved by the
City.
Community Development Block Grant(CDBG). $200,000
Tax Increment Financing $400,000
Liveable Communities Grant $400,000
Hastings HRA Loan $100,000
CDBG:. See the attached letters from the Community Action Council and Dakota County CDA.
This $200,000 need not be entirely from Hastings. Provided that ownership of the rectory can be
structured as a non-profit, other cities in Dakota County would also be asked to contribute a
portion of their CDBG funds for the shelter which would serve the eastern half of the county. As
CAC is losing its current shelter location in Inver Grove Heights, an immediate source of funds is
needed to remodel the rectory The City currently has unspent CDBG balances shown on the
attached chart. If the City amended its allocation to provide funds for this use,they could be
replaced with future funding. About $85,000 is allocated to the City through the County each
year. Affordable housing would be an eligible use of CDBG funds if the shelter is not.
HOUSING TAX INCREMENT DISTRICT: See the attached memo from Ehlers Associates
describing a housing tax increment district. Sherman Associates asks that the annual increment
be pledged for debt payment on the mortgage. This"pay as you go" avoids the expense of
issuing a bond. The estimated increment on the completed development is $20,000 per year.
Once St. Elizabeth Ann Seton sells the property, it has a value as is that will generate an estimated
$12,000 (not increment) which will go to the city, county and school district.
The increment from a qualified housing district can be used only for affordable housing with
income and rent limits. The state, recognizing the shortage of affordable housing and the
difficulty in funding its construction, does not impose the LGA penalty on cities that set up
qualified housing districts as it does on other types of districts.
County staff indicated that the County Board has not objected when a city wants to set up a
qualified housing tax increment district. The Board recognizes the need for housing which is
affordable to persons who could fill the employment opportunities available in this county.
LIVEABLE COMMUNITIES GRANT: A preliminary application has been submitted to
Metropolitan Council for a grant of$400,000 from the Liveable Communities Demonstration
Account on behalf of this development. This development is well-qualified for funding because it
meets most of the goals and principles the Council seeks to encourage:
A variety of housing types within walking distance of shopping,jobs and future transit.
A mix of services for the community and the neighborhood.
A compact development that uses existing buildings and existing infrastructure.
A development with good urban design that compliments the neighborhood.
The specific components that would be funded from this source are reuse of Guardian Angels
Church to preserve the historic building while provided a functional space for a variety of public
uses. Among others the church could provide a large space for seniors and children programs as
needed, and for arts presentations and performances.
HRA LOAN: The request for a loan from the HRA is to add brick to the street side of the
townhouses. The brick would compliment Guardian Angels school and unify the design of the
whole. This is a response to the neighbor's expressed concerns about the appearances of the
townhouses. They want a quality appearance compatible with the historic character of the
neighborhood. The HRA will consider the request at their meeting on July 13th. They are
following the progress of this proposal and have expressed their willingness to be supportive.
SUMMARY: The City's concept approval of the development and willingness to help fund it will
be important in the competition for the State sources of funding. City support at this stage gives
Sherman Associates the opportunity to demonstrate the feasibility of this proposal. Sherman
Associates has offered a proposal which addresses our comprehensive plan, housing needs and
preservation preferences. Redevelopment and infill development in existing neighborhoods, and
providing affordable housing are probably the most difficult development propositions; they need
and should have public involvement to meet these public purposes.
RECOMMENDATION: Motion authorizing the Mayor to execute letters supporting Sherman
Associates' application to different agencies for funding, stating that this proposal meets the
Comprehensive Plan housing goals of the City and that if the major sources of funding are
approved, the City will also assist the development with its CDBG, a housing TIF district, and
additional sources which may be available to the City for this purpose.
Hmnn\councs.sb«n=
PROJECT PROFORMA
Guardian Angels Black RedetiEinpment
USES OF FU NOS DATE 6/27100
TOTAL USES OF FUNDS 235 00,00
SOURCES OF FUNDS
Transitional Housing Grant 730,000AD
MARIF units(4)CEIDQ 70,000,00
HasUnes HRA 200 000,00
astl
Livable Cities 500.000012.00
Tax C►edtts ($200,000,00/year) $40011 640 000,00
MHFA aRardability loan/MET CounCU Housiag Fund $650 DOD.DO-
MORTGAGE MHFA 1.625.00000
TIF Supported Mortgage 0010012.00
TOTAL SOURCES OF FUNDS
$6,25-5.500.01)
INTEREST RATE 6.80% AMORT, r30 years
MORTGAGE E AMOUNT
$2025000.00
Ali N UAL DEBT SERVICE (combined),.'-' $158,400.00
DEBT SERV.DOVERAGE 1.1523,750.00
VACANCY 7% $24 .00
Reserves $8,752.00
00DOPOPERATING EXPENSES (Rectory&Church) g$J20
ERATING EXPENSESOPERA71118 EXPENSES Reduction tdr'TIF TOTAL INCOME REQUIRED
PROFORMA INCOME
2 Tdwnhouse 2 beds 0683/mo $15 39200
4 Townhouse 3 beds Q$789/mo S37,a720o "
8 2beds Apts. 0$683/mo 65,566 DO
8 lbedsaAts• ®$571/mo 1600
4 2 beds opts.MARIF ®$400/mo 19,201290
2 Townhouse 2 beds 01835/mo 20 040.00
4 Townhouse 3 beds 0$925/ma 4,400,00
Misc.income; 4.500.00
Daycare/Preschool 13 00-00
Shelter $2 000.00
Community Center 36 650,00
TOTAL INCOME 354,438,00
Page 2 of 4
PROJECT COST STA7EM ENT
warrtlan Angels Block Redevel opment
DATE, 6127/00
C T
Remodel School Suit frig
34000 si
Construction (20 units and Daycare!Preschool) D 900.00
I2 Townhouses 1'2 000.00
Brick Vavreen®Toonhomes(Match Historic District)
Remodel Rectory (Robert Lewis House) 1 500.00
Pathfinders 77=0D .0p
Land so 00 00
Remodel Church (Community Center) 800 000.00
Contingency 5% 97 U 00
251) 00.00
ltubtetal Direct Costs
0 On_00
N C CO$
Arch/Eng _'! 0.00
Surrey >60,000:00
Legal Msc.' 000.00
limp.Arch_ (000.00
Appraisal 00
Marketing
4.1)(10.00
r�:arn�unf O.OD
Leasing 000.0
Interim In ur,t;. 5000;OD
Urtdev lar
Developers Fee
Developers Project Overhead ✓" O,fl00:00 r '
Plan&Ccordina Llan Fees DOO;pO i
Perm Loan Fees U O1)pp
Mort.Registration all
Title insurance
Soil Tests
S"dicatian/Tax Credit Subsnisa"ron Casts 10,11) OD
Sott Cost Contingency 4%
Inlenst on Contract
SuI#otal Indlrev l Calls C g
15.90
Pelta 3 014
U.CAS•:r
lbgether Nye Make A Difference
'fir, �
20730 Holyoke Avenue West P.O.Box 1256 Lakeville,N4N 55044-1256
(612)985-5300 TTY(612)985-4077 • Fax(612)985-4015
June 30,2000
Mayor Michael Warner
Hastings City Council
City Hall
101 East 4th,Street
Hastings MN 55033
Dear Mayor Warner and City.Councd Members:
I am pleased to correspond to you in support of the proposed development of the Guardian Angels Property by Sherman
Associates.
Sherman Associates is proposing a development project that addresses many needs of the Hasting's Community—
affordable housing,child care/preschool,a community center and a shelter for battered women.
Community Action Council(CAC)is extremely grateful that Sherman Associates has agreed to donate the rectory
building to our aSency for use as a battered women's shelter as part of their proposed project Over the past several
months we have been searching for a new site for our Lewis House Shelter which is currently located in Inver Grove
Heights. The project being proposed by Sherman Associates affords CAC the opportunity to utilize:the rectory building
to accommodate these needs, as well as enhancing our existing services to battered women,their children,and others in -
the Hastings area In 1999 alone,we provided services to 435 individuals:from Hastings through our Lewis House
Shelters,our Domestic Violence Outreach Services and our Violence l'reyention.Education presentations. '
For over 20 years,CAC has provided quality services to battered women and their children. The communities in which
our shelters are located have supported our work and have seen us as an asset to the neighborhoods.in which we are
located. CAC maintains highly secure facilities and local law enforcement agencies have expressed that neighbors in
areas surrounding our shelters benefit from our safe environment and our close relationship with their police
departments.
The City of Hastings and Dakota County will greatly benefit from this venture. There is an extreme need for affordable
housing throughout the metropolitan area and Sherman Associatds is responding to this need. The proposed housing
would provide families,young professionals and other residents of Hastings the ability to secure such necessary
housing. An affordable daycare and a preschool,to be housed in the school building,would further enhance the quality
of life for the young families that are working and living in Hastings-
Residents of Hastings would also gain a community center from this project through the renovation of the existing
church building. Such a center could be.utilized by area schools,youth groups,civic organizations,and other agencies
to provide a space for children teens and adults to come together for a variety of activities. Community centers,are
known to.promote cohesiveness and civic involvement,provide positive,activities for children and youth,and build
upon the strengths that exist within individual communities.
Sherman Associates has,designed.aproject that will provide a variety of benefits to the City of Hastings, our agency,
and Dakota County. Community Action Council is in support of this project and the many ways in which it will enrich
this community:
Sincerely>.
Mary aZ elene Evenson '
Presidem/CEO igirector
Community Action-Council Violence Prevention and Intervention Services a
v
AN EQUAL OPPORTUNITY EMPLOYER
07/03 00 6:42 FAX 6123328119 SHERN1N & ASSOCIATES Q 004
TLL-05-2096 1136 DRKQTR COUNTY CDR 651 42:3 9180 P.02/M
DADakota County
Community Development Agency
. . . a a M a a a a a a 0 a 4 1 a 0 0 4 *•
MEMORANDUM
TO: Loren Bruggemann, Sherman Associates, Inc.
FROM: Dan Rogness, Dlreotor of Community Development
DATE: June 29,2000
RE: Guardian Angels Project in Hastings
I would like to summarize the CDA's review of the proposed project cost statement and
proforma dated 6/27/00 as It relates to the CDBG source of funds;
The Dakota County CDA administers the,<CDBGentitlement program for Dakota.
County with an annual allocation of,approximately$2 million.
Dakata G(ounty approved an allocation pian In 1989 that provides CDBG funds to
four districts based or a populatiaMousehold formula from HUD (i.a, Hastings Is
within District#4,which elect Includes'Farmington, Lakeville and Rosemount).
Two past similar projects received CDBG-funding,by severing commitments from
various cities. The Eagan Lewis-House=rdcelv41d$ 19,000 in 1985,and the Mary
Shelter rerelved $85,000 within the past few years.
• It may be more reasonable to secure.funds-for the-Hastings Lewis House project by
requesting amended allocations from Hastings with further inquiries from other cities
in District#4: For FY2000(starting Jujy-1`2000)1 District#4 will receive a total of
$307,388 from which the City of Hastings will receive$82,226. Hastings,for
example, has unused fund balances for assessment abatement projects from past
and current year allocations,which could be reprogrammed to this project.
CDA staff is checking with our HUD office to clarify some project eligibility Issues,
including whether or not CDBG funds can be used for a privately owned facility that
is leased to a non-profit entity$'A;waiverfrom HUD,may also bs possible in order to
allow future annual sHocatlons to:pay-or,ndmburse-prioryear=>project costs. We
should know some answers sometime next week.
Based on your recent project cost statements,the.reitory-remodeling cost of
$277,000 may be a much more realistic figure to use as a CDBG source In the
project proforma (rather than$600;000),-Based•on Dakota County's allocation
method, it would be very difficult for one project,to achieve that level of funding from
the CDBG program.
I will be out of the office tomorrow(Friday)through.Tuesday,July 4.
CCs Mark Ulfers, Lee Smith, Heidi Rathmann r ,:
2496 145th Street.West:• .Rosemount, MN 55068
tel 651.423-4800 fax 651-423-1273-;TDO 651.428-8182
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EHLERSMEM0RANDUM
& ASSOCIATES INC
TO: John Grossman, City of Hastings
FROM: Mark Ruff-Ehlers&Associates
DATE: June 30,2000
RE: Sherman Proposal
It is our understanding that the Sherman Associates,Inc.has proposed to construct 12 units of townhomes and
to remodel the Guardian Angels school into 20 units of apartments. The developer has requested that the City
establish a tax increment district to assist in the various costs associated with the project.
Background of a Qualified Housing District
The type of tax increment district proposed to be established is a qualified housing district.With this type of
district,the following points are important to consider:
❑ The City is not required to make a local contribution nor is 'subject to an LGAIHACA penalty.
❑ The maximum life of the district is 25 years from the date increment is first received(anticipated to
be in 2003), or a shorter term if the City Council restricts the life of the district.
❑ The tax increment from this district must be utilized to assist buildings which meet income and rent
restrictions. The tax increment cannot be utilized to assist commercial property,a day care,or other
types Of property.
❑ Up to 20%of the value in the tax increment district(but not receiving any benefit of tax increment)
may be included in the district.
Even though the church property is exempt from real estate taxes now,when the property changes ownership,
the assessor will assign a value to the property to be included in the district. Therefore,the City will see a net
increase in tax revenue from this development. We have not finalized what the value will be with the assessor
at this time. The developer has estimated that taxes to be paid by the housing would be approximately$32,000
and the net tax increment will be approximately$20,000. Therefore,there will be approximately$12,000 to
be paid to the City,the County and the School District when the construction is commenced. No propertytaxes
are assumed by the developer to be paid by either the daycare, shelter, or other community uses.
Type of Financing Proposed
The tax increment is requested in the form of a"pay-as-you-go"note to be issued by the HRA. A pay-as-you-
go note means that the developer is responsible for providing the funding up-front and will be repaid from tax
increment over time,with interest. There is no risk to the City with this financing,because if the development
does not pay taxes or does not meet the income and rent requirements,no payments are required on the note.
The developer has anticipated that the full 25 year term of the district would be utilized.
Income/Rent Limits
To remain qualified, the housing must have at least 20% of the units at rents and incomes of 50%or less of
median income or 40%of the units at 60%or less of median income. Because the City is in the metropolitan
area for the median income statistics,the limits are fairly high.
The developer has proposed that 75%of the units be affordable. The maximum rents and income under the
tax increment law are$26,300 for one person and$29,500 for two person families. The maximum rents are
$738 for two bedrooms and$854 for three bedrooms, including all utilities. Other funding sources for the
project may have other restrictions on rents and incomes than the tax increment law.
Need for Tax Increment
Most affordable housing developments require many types of financing sources to cash flow. The tax
increment financing is important to the development for two reasons. First,tax increment allows the rents to
remain affordable,even if property values dramatically increase. Second,the tax increment serves as a local
match to secure other funding sources from the State of Minnesota,which are highly competitive.
The proposed developers are experienced builders of these types of housing developments and have a positive
track record. We do recommend that the City review all financial projections during the course of the
development to ensure that the final developers fees and project costs are commensurate with comparable
projects in the metropolitan area. This oversight will be enable the City and the HRA to be sure that the"but
for"test has been met.
from the desk of:
Mark Ruff
Viee President
Ehlers A Associates,Inc.
3060 Centre Pointe Drive
Roseville,MN 55113
Phone: (651) 697-8505
Fax: (651) 697-8555
E-Mail. mark@ehlers-inc.com
HASTINGS HOUSING COALITION
PO Box 714
Hastings, Minnesota 55033
July 7, 2000
Hastings City Council Members
101 East Fourth Street
Hastings,Minnesota 55033
Dear Council Members:
The Hastings Housing Coalition, a non-profit grass roots organization of concerned
citizens committed to addressing the housing needs of School District 200, encourages
you to support the Sherman Associates' development concept at the former Guardian
Angels property. A rare opportunity is in our midst when a highly regarded private sector
developer proposes a vision of a multi-use housing environment that will enrich this
community's future and preserve buildings from its historical past.
You are all well aware of the crisis situation regarding affordable housing. In 1999
Hastings vacancy rate was.74%. With the vacancy rate continuing to tighten,rents in
Hastings have risen. One major apartment complex in Hastings has increased their rent
20%in the last 18 months. In 1999 an average rent for a two bedroom was$554.00
today the rent is$625-$670. In the past, older cities like Hastings offered residents a
lower rent than the new developed areas of Dakota County but,with lower vacancy rates,
the Hastings rents are fast approaching the same level. A major contributing factor to the
housing crisis is the little construction over the past 15 years of any rental housing. It is
estimated that 30%of the metro population lives in rental housing. It is also imperative to
recognize that economic growth depends on housing the work force. Two-thirds of new
jobs, especially entry level, will be located in the suburbs. Rental family housing is in
great demand, especially three bedrooms. Hastings has a total of 42 three-bedroom units.
It is a basic issue of short supply and high demand that escalates the rent landlords are
able to charge with the crisis becoming more serious as you move down the income scale.
When our neighbors are paying a burdensome amount for rent,there is not enough
money left for utilities, food, clothing etc. In January 2000 Hastings Family Service
began entering data comparing housing costs and income of households utilizing the food
shelf. With data for the first quarter, 50%of households earning up to$1499/month were
paying half of their gross income or more towards housing. For households earning up to
$2000/month 40%were paying half or more of their income towards housing. Only 13%
of the households had rental assistance. The Sherman Associates'project will add 20
apartments and 12 family townhomes to Hastings housing stock. These units will remain
affordable to individuals at 50%of the median state income for several years. By adding
to the housing stock,people who are financially able to afford a step-up in their
apartment choice will free up those limited units that are slightly lower in rent.
0YER
Local city government has a role to play in the affordable housing crisis. We encourage
the Hastings City Council to support the Sherman Associates' multi-use concept of
apartments,family townhomes, a shelter for women and children escaping abuse, a
community center, an affordable daycare and preschool facility. We encourage you to
facilitate the process of development financially through establishing a TIF district status
for the former Guardian Angels property. New construction is very expensive especially
the property taxes that are involved in rental housing. This is a major barrier that has
resulted in a lack ofprivate development. The TIF district would be a financially sound
investment for the community return we would receive. This project offers the
opportunity for two vacant and one partial use building to be integrated into the
neighborhood. It is conducive to the City's Comprehensive Plan of redeveloping areas
within the city and addresses an affordable housing need.
Sincerely,
Mary Kocak
President Hastings Housing Coalition
Coalition Board Members:
Mary Erickson
Harold Featherstone
Inge Forsmark
Loren Forsmark
Steve Hanks
Debbie Handlson
Pat Handlson
Chris Lindsay
Marcia Rash
Roberta Seleskie
AO-B=1r
Vlll-B-5
Memo
To: Mayor Werner and City Council
From: Matthew Weiland, City Planner
Subject: Special Use Permit/Site Plan-Personal Communication Service (PCS) 75ft
Tower(3050 HWY 316)
Date: June 15" , 2000
CC: US West Wireless LLC
US West Wireless has made application and requested a special use permit and site plan
approval to construct a 75ft monopole communication tower at 3050 Hwy 316. This property is
where the National Guard Armory is currently located. This tower would become an accessory
structure to this property.
Included with this memo are the following: Site Plan, Application form and a Site Location Map.
Background Information:
1. Comprehensive Plan Designation: The subject property is guided Industrial in
the Comprehensive Plan. The communication tower s a consistent and permitted
use for this land use designation.
2. Zoning: The property is currently zoned I-1 Industrial. This zoning classification
is consistent with the City's Comprehensive Plan. The proposed communication
tower would be allowed in this district by special use permit.
3. Existing Conditions: The property currently contains the National Guard Armory
which consists of two buildings and a gated storage area for vehicles..
4. Proposed Conditions: The applicant is proposing to construct a 75ft monopole
communication tower on the site (See Site Plan).
5. Adjacent Land Uses: The proposed project is located within the Hastings
Industrial Park.
Site Plan
Page 2
Tower Ordinance
The City of Hastings adopted a Tower Ordinance that provides a reasonable opportunity for the
establishment of wireless communications within the City, while protecting the safety,health and
general welfare of citizens. The City can not prohibit towers in the City,but it can enforce
reasonable rules which protect its citizens. The tower ordinance provides rules and regulations
for the establishment of new towers and antennas within the City. These rules include height
restrictions,minimum setbacks and co-location requirements. Most of the wireless providers in
the City have gone on top of existing water towers in town, due to co-location requirements.
This will be the first monopole communication tower approved in town.
Tower Requirements
The proposed tower is allowed as a special use in the Industrial park. Because the tower is under
80 R tall, it is exempt from the co-location requirement of having to be located on the City's
water tower. This tower is however required to allow future providers to locate on it, if
reasonable terms are met. The Tower is meeting all required setbacks. This type of monopole
tower is designed to bend, and not break. The tower technically has a"no fall zone"area. There
will be a small equipment building at the base at the tower. The entire base of the tower will be
enclosed with a fence and will be screened by landscaping.
MNDOT(Minnesota Department of Transportation)
This project also requires MNDOT review because it is adjacent to a state highway(HWY 61).
The City is currently waiting for comments from MNDOT on the proposed site plan. MNDOT
has review authority over property adjacent to their right of way. It is anticipated that MNDOT
will not have any comments since the project is located so faraway from HWY 316. A
condition of site plan approval will be to incorporate any of MNDOT's comments into the site
plan.
Summary: The proposed tower meets the requirements of the City's Tower ordinance. The intent
of the ordinance is to try to locate communication providers on water towers first and the
Industrial Park second,before any other areas of the City. Communication towers are used by
and benefit a majority of the people in the City. They serve the same functions as telephone
lines or electric wires. This is a good location for a tower in the City versus other locations. The
Tower is shorter than most other towers and has adequate setbacks from street right-of-ways
(ROW) and residential areas. The tower is also designed to accommodate an additional user in
the future, which may eliminate the need for another tower in the City for a while.
Planning Commission Action.
The Planning Commission held a public hearing at their 6/12/00 Planning Commission
meeting. There were no comments received. The Planning Commission recommended
Page 3
approval of the special use permit and site plan for the 75 ft tower,based on the conditions
listed below.
Recommended Action:
There are two separate actions which must be voted on as follows:
Special Use Permit
Motion to Recommend the approval of the US West 75 ft monopole tower special use permit
subject to following:
1. The tower must be substantially completed within one year, including any
structures accompanying the tower, following the date of permit, unless a
time extension is approved by the City Council. In the event that a tower
is not substantially completed within one year of the permit issuance, the
tower and associated facilities may be removed by the city and the costs of
removal assessed to the tower owner or against the property.
2. All abandoned or unused towers and associate facilities shall be removed
within 12 months of the cessation of operations at the site,unless a time
extension is approved by the City Council. The Tower owner is
responsible for these costs. In the event that a tower is not removed within
12 months of the cessation of operations at a site,the tower and associated
facilities may be removed by the city and the costs of removal assessed
against the property.
3. Unused portions of towers above a manufactured connection shall be
removed within two years six months of the time of antenna relocation, if
the unused portion exceeds 25% of the height of the tower or 30 feet,
whichever is greater. The replacement of portions of a tower previously
removed requires the issuance of a new special use permit.
4. The tower owner and successor owners shall allow the shared use of the
tower, if an additional user agrees in writing to meet reasonable terms and
conditions for shared use and so long as there is no negative structural
impact upon the tower, and there is no disruption to the service provided.
5. The property owner shall enter into an agreement with the City which
holds itself and its successor's responsible for the tower on their property.
The property owner shall further agree to be assessed for any expenses
related to the removal of the tower and associated facilities.
Page 4
Site Plan
Motion to Recommend the approval of the US West 75 ft monopole tower site plan subject to
following:
1. That the proposed structure and accessory items, including the
landscaping, shall be completed pursuant to the approved site plan.
Upon request for occupancy of the building, all uncompleted items
contained within the site plan shall be addressed pursuant to city code
escrow requirements.
2. The applicant shall incorporate any comments from MNDOT into
their site plan application.
DEC-27-96 FRI 15: 10 CITY OF HASTINGS FAX NO. 4377082 P. 02
LAND USE APPLICATION
CITX.. OF HASTINGS
Address of Property Involved: Z��7 3� �T `��� `�� 3
Legal Description of Property Involved:
Official Use Only
Applicant: Date Recd
Name File No.
tl day A)w F L Fee Paid
�v«� 7 ��e. '
Address -
q �s 1 i`( �� �h 12 i( Rec'd by
Telephone G, t -38? - a ordinance No.
Section:
Owner (If different from Applicant) :
Fame:
Address: 51-�«-4-
s-f pe'� , � IX 7 si;s
Telephone: Ti- ='J,- _!{0-47
Request:
Rezone: Special Use:--7
Comp. Plan Amend: Subdivision:
Site Plan: vacation:
Variance: Other:
Description of Request (include site plan, survey, and/or plat if
applicable) :
i
Signat ?'cant Date
Signatu a of Owne Date
Cl) N Cr)
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I
U S WEST Wireless,L.L.C.
420 North Fairview Avenue Room 101
St. Paul, MN 55104
life's better here
May 22,2000
City of Hastings
City Hall
101 E 4's St.
Hastings,MN 55033
RE: CUP application for a Personal Communication Service(PCS)facility with a 75' monopole
to be located at 3050 Hwy 316,Hastings,MN.
US West Wireless has been granted a license by the Federal Communications Commission(FCC)and has
deployed a wireless PCS system serving Minneapolis, St. Paul and the entire metropolitan area. We have
enclosed an authorization letter from the landowner that grants US West Wireless authority to present this
application on their behalf. See(Exhibit A)
BACKGROUND
To fulfill its mandate from the FCC,US West Wireless has developed a grid of antenna throughout the
service area. These facilities must be spaced,depending on certain technical and geographical variables,at
intervals approximately three to five miles from each other and at a height of approximately one hundred
and fifty feet to one hundred and eighty feet. However,urban areas have a higher user density;therefore
towers must be shorter and closer together.
The objective of the system is to provide wireless services to all Twin City area communities. Since US
West Wireless intends to utilize PCS as an affordable Wireless Local Loop service,coverage at the
neighborhood level is essential(unlike Cellular,which typically focuses on mobile service).
Given the size and magnitude of use of the US West Wireless system,there must be several antenna
facilities located in and around the Twin Cities area in order for US West Wireless to provide service
throughout the community. As each additional facility is constructed, its location and height become
relatively fixed. This makes it essential to ensure that any newly proposed facilities are at the proper
heights and locations to allow them to"connect"and provide seamless coverage between the existing sites.
Because of this,the amount of flexibility in the acceptable heights and locations of the remaining proposed
facilities is reduced. With these parameters in mind,we have identified the property located at 3050 Hyw
316 as a location that best meets the engineering requirements for the proposed site. Our enclosed
Coverage,Capacity and Interference Letter evidence this. See(Exhibit
LOCATION SELECTED FOR PROPOSED US WEST PCS FACILITY
The proposed facility meets all the setback,height,underlying zoning,and collocation requirements
outlined in the City of Hasting Zoning Ordinance Section 10 Subd. 12 Towers and Antennas.
USA
0��
Proud Sponsor
3BUSC380
U S WEST Wireless,L.L.C.
426 North Fairview Avenue Room 101
St. Paul, MN 55104
e'ti . . '
IMO;bener here
The proposed facility will include antenna configuration at the top of the monopole that is relatively
unobtrusive. The monopole will be galvanized and will oxidize into a light gray color. The monopole is
constructed to support one additional carrier. The cabinets that house the electronics for the monopole at
the base of the facility will be no longer than 9-'/z ft and no higher than 6 ft. Total lease area will be no
larger than a 26' x 20' area. Further,the proposed facility does not generate noticeable heat,noise,
vibration,traffic,pollution,or waste.
Site construction and installation will not create a safety hazard or damage adjacent properties in any
manner. US West monopoles are designed to have a"no fall zone". In the unlikely event a pole is to fall it
will bend,not break. This creates a no fall zone. In addition,the size, location,and setback requirements
of the parcel of land on which the site will be located more than adequately safeguards against hazards or
possible damage to neighboring property. Maintenance of the facility consists of routine checks by a
qualified engineer and occasional snowplowing. This imposes no additional risk to adjacent landowners.
Upon cessation of use,the owner of the tower will have the responsibility to remove the tower and the
related facilities.
Thank you for taking the time to review our application.
Sincere) ,
Kelly Sleeter
US West Wireless L.L.C.
USA
0
Proud Sponsor
36USC380
EXHIBIT A
ZONING AUTHORIZATION LETTER
Min Site Site Candidate Form Code (A, B, ..) I
PERMIT AUTHORIZATION
To: Property Owner:
Please sign and return the letter of authorization below to:
US West Wireless
426 North Fairview Avenue
St. Paul, MN 55104
Attention: Steven Mangold
as soon as possible to assure rapid processing of this site. Any building permit applications will be
made only after the required zoning approval process has been completed.
This letter shall not constitute an agreement to enter a binding lease or option to lease, and neith-r
party shall be bound with respect to the leasing of the property until a final Lease Agreemem
negotiated and signed by both parties.
Sincerely,
Steven Mangold
US West Wireless
LETTER OF AUTHORIZATION
To Whom It May Concern:
The undersigned hereby authorizes US West Wireless, its attorneys, agents or representatives, to
make application for any necessary zoning petitions including the filing of building permit
applications.
Very truly yours,
Property Owner. Date Property Owner Date
Witness- Date;
Page 5 of 19
US West Cornmunicatioro-Wireless
428 North Fairview Avenue
St.Paul.MN 55104
EXHIBIT B
COVERAGE, CAPACITY AND INTERFERENCE LETTERS
USWESTWireless
426 North Fairview Avenue
St. Paul, MN 55104
Phone: 651-642-6247
Fax: 651-642-6942
May 22, 2000
City of Hastings
City hall
101 East 4th Street
Hastings,MN 55033
Re: Us West Wireless ground build on site MIN 373 at 3050 Hwy 316 in
Hastings, MN.
Dear members:
US West Wireless would like to build a PCS telecommunications tower at 3050
Hwy 316 in Hastings, MN. Since we appreciate the interference concerns of our lessors, I
want to let you know that US West Wireless owns a PCS spectrum license in the
following bands: 1865 to 1870 MHz and 1945 to 1950 MHz. This license was granted by
the FCC, which is the Federal government organization that regulates the US
telecommunications industry. Consequently, the US West Wireless PCS system must and
will operate within the licensed band and will not interfere with other communications
systems.
Please feel free to contact me directly at(651)-642-4794 if you have any questions.
Sincerely,
C
i
Jean-Jacques FOTZEU.
RF Systems Engineer
IJS WEST Wireless L.L.0
426 North Fairview Avenue
St. Paul,MN 55104
Phone: 651-642-6247
Fax: 651-642-6942
May 22,2000
City of Hastings
City hall
101 East 4th Street
Hastings,MN 55033
Re: Coverage and capacity study for US West Wireless PCS site MIN 373 located at
3050 Hwy 316 in Hastings,MN.
Dear members:
US West Wireless operates a Personal Communications System (PCS) in the Minneapolis—St.
Paul greater metropolitan area. While choosing an appropriate location for a cell site, we try to
meet both coverage and capacity objectives we want to achieve in that particular service area.
During this process the RF Design engineer must balance signal level requirements of the area
with capacity limitations of the system while incorporating his knowledge of the terrain and the
density of surrounding clutters.
In order to meet the requirements of continuous coverage and expand our footprint in the
southeast of the Minneapolis—St.Paul greater metropolitan area, we are planning to build a cell
site at 3050 Hwy 316 in Hastings,MN. The coverage area for this cell site will be approximately
8 square miles around Hwy 61 and Hwy 316 intersection.This site has been selected because it
fulfilled our needs, and to meet the coverage objective,the site has been designed with an antenna height of
75 feet.
Please feel free to contact me directly at(651)-642-4794 if you have any questions.
Sincerely,
Jean-Jacques FOTZEU.
RF Systems Engineer
EXHIBIT C
LETTER OF INTENT
U S WEST Wireless,L.L.C.
426 North Fairview Avenue Room 101
St. Paul, MN 55104
life's beller here
Letter of Intent
This letter is drafted to commit US West Wireless, L.L.C. to fulfill the requirements of
the City of Hastings, Dakota County, Minnesota, Ordinance Section 10 Subd. 12.23(2)as
follows:
"US West L.L.C. shall allow the shared use of the tower if an additional user
agrees, in writing, to meet reasonable terms and conditions for shared use and so
long as there is no negative structural impact upon the tower, and there is no
disruption to the service provided."
Tower owner intends to allow the shared use of the tower according to industry standards
and the above mentioned ordinance.
US West Wireless, L. . Rep se a e
Date
USA
��
n
Proud Sponsor
36USC380
EXHIBIT D
FCC LICENSE/TECHNICAL DATA SHEET
�9 wireless Telecommunications Bureau
rlop
u.e ' Radio Station Authortmtlon
:all Sign: KNLH679 File Number. 50451CWAL98 T Print Date: 12/10/1998
flame of Licensee:
J S WEST WIRELESS, L.L.C.
12121 GRANT ST RM 201
rHORNTON CO 80241
Market Number. Channel Block: Sub-Market Designator.
BTA298 D
1
Market Name:Minneapolis-St. Paul, MN
The license hereof is authorized,for the period indicated.to operate a radio transmitting station in accordance with the terms and conditions
hereinafter described. This authorization is subject to on provisions of the Communications pct of 1934,as amended,subsequent Ads of
Congress.International trestles and agreemiurts to which the United States is a signatory,and all pertinent rubs and regulations of the
Federal Communications CommMion,contained In TWO 47 of the code of Federal Regulations.
affective Date 1st Build-out Date 2nd Build-out Date 3rd Buildout Date 4th Build-out Date Expiration Date
06/27/1997 06!272002 06/272007 06272007
:ondidorm
3umuant to section 309(h)of the Communications Act of 1934,as amended,(47 U.S.C.3090)),this license is subject to the foftMng condrdona:
rhis license does not vest in the licensee any right to operate a station nor any right In the use of frequencies beyond the term thereof nor in any
*w manner than authorized heroin. Neither this license nor the right granted thereunder shall be assigned or otherwise transferred In violation
N the Communkstbns Act of 1934,as amended,47 U.S.C.151,et seq. This license is subject in terns to the right of use or control conferred
»r Section 706 Of the Communiadons Act of 1934,as amended,47 U.S.C.606.
ipeciai Conditions:
is au oma on Is su j o e can on a remainin balance of the winning bid amount willpal In
coor+dance with Part 1 of the Commission's rules,47 C.F.R. Part 1. e
his authorization is subject to the condition that, in the event that systems using the same frequencies as granted
erein are authorized In an adjacent foreign territory(Canada/United States),future coordination of any base station
nsmitters within 72 km(45 miles of the United Sttates/Canada border shall be required to eliminate any harmful
-arference to operations in the adjacent foreign tenbry and to ensure continuance of equal access to the frequencies
both countries.
A graphical representation of the geographic area authorized to this call sign may be generated by selecting
'License Search'at the following web address: http:/Avtbwww05.fcc.gov
Collocation Technical Data Sheeet
U S WEST has the following parameters:
PCS D block,Actual channels used: 325,350,375
Base station Tx frequencies: 1946.25 MHz, 1947.5 MHz, 1948.75 MHz
Base station Rx frequencies: 1866.25 MHz, 1867.5 MHz, 1868.75 MHz
Modulation/Standard: Direct Sequence Spread Spectrum/CDMA IS-95
Maximum EIRP: +53dBm(37dBm+ 16dBi gain antenna)
Channel Bandwidth: 1.2388 MHz
Antenna Information: Ball PCS-vR-18-6507 Antenna Size
Gain= 18dBi 48"x 7.3"x 2.2"
Azimuth beam width=650 Weight s-- 11 lbs. including
Elevation beam.width=70 mounting hardware
(Desired)U S WEST PCS Antenna Height: (center of antenna)
Standard Antenna configuration:
2 antennas per sector
3 sector design, 1200 each
Center of sectors at 00, 1200 and 2400 wrt TRUE NORTH
Horizontal Spacing: 3'to 6' depending on antenna height
Governing FCC Rules: Code of Federal Regulations
Title 47(Telecommunications)
Part 24(subpart E)
Out of Band Emissions: Section 24.238(a) On any frequency outside a licensee's frequency block,the
power of any emission shall be attenuated below the transmitter power(P)by at
least 43 + 10log(P)dB. This is an FCC requirement. Below are the equipment
specifications:
Note that F=frequency of other party and
Fbe=frequency at block edge, for D block Fbe= 1945 and 1950 MHz
Out of block: <-13 dBm/12.5kHz for I F–Fbe <=1 MHz
<=13 dBm/MHz– 1.2 dB/MHz I F-Fbe I for
1 MHz<I F-Fbe 1<=65 MHZ
<=90 dBm/MHz for: I F-Fbe 1>65 MHz.
Intermodulation Levels: less than–125 dBm delivered to the antenna,at the ldB compression point of
Tx amplifier.
AC powcr ;equu-c;meuts:
AC input voltage 208/240 VAC, 50/60 Hz, single phase
AC input current 35 Arms @ 180 Vrms @ 2KW DC output
Revised 04/17/00
EXHIBIT E
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V111-C-1
MEMORANDUM
TO: Honorable Mayor and City Councilmembers
FROM: Dave Osberg, City Administrator
DATE: July 6, 2000
SUBJECT: Enterprise Facilitation Program
RECOMMENDED CITY COUNCIL ACTION
It is recommended that the City Council take action approving an allocation of$8,000
towards the funding of the Hastings Enterprise Facilitation Program.
BACKGROUND
Attached to this memorandum is a packet of information prepared by Ron Toppin from
the Hastings Enterprise Facilitation program outlining the history of the program, its
benefits to the community and other features about the program. I have served as a
member of the Board of Directors of the Hastings Enterprise Facilitation program since
its inception. The Board of Directors would like to continue with the program for the
balance of 2000, with further discussion needed on the funding for the program for
additional years. With an allocation of$8,000 from the City, the program would continue
until December 31, 2000 with staffing at a 50% (half time) level, rather than at the full
time status it has been at since its inception. Staff would recommend that the City
Council take action approving the allocation of$8,000 for the remainder of 2000, with
allocations for 001 to be determined as a part of the normal budget process.
David M. Osberg
City Administrator
cc. Ron o m
Hastings Area Enterprise Facilitation Program
1 I I East 3rd Street
C/O Hastings Area Chamber
Hastings,NW.55033
Phone 651480-2226 Fax 651-437-2697
Background:Enterprise Facilitation Program
The local Enterprise Facilitation Program began in April of 1997,with an office located in the Norwest Bank
Building,hiring Ron Toppin as the local facilitator and establishing the Hastings Enterprise Committee as managing
and support entity. The original program was offered as a economic development tool by the Dakota County
Economic Development Partnership modeled after the Sirolli Institute formula and funded in part by a two year
grant from the McKnight Foundation. Individuals throughout our community have ideas to start or expand their
businesses. The mission of Enterprise Facilitation is to support our local community members who have new
ideas to bring their business to reality.
THE GOALS OF Ot1R PROGRAM
1. Promote local entrepenuership and innovation
2. Empower the fulfillment of individual dreams
3. Help start new local businesses
4. Assist local businesses to expand
5. Assist local businesses with sale or business planning needs
6. Increase capacity within the community to meet challenges of changing economic and social conditions.
ENTERPRISE FACILITATION REPORT
Program to date:
Client contacts--204 Businesses startstexpanded -- 22 Annual sales in excess of 6 million dollars
Active Clients— 26 Related jobs----------------86 Payrolls of over 1.2 million annually
Inactive Clients—156
Privacy doesn't allow listing of all those assisted,though press coverage about the program in Venture Magazine,
Hastings Star Gazette, St.Paul Pioneer Press,City Business and a upcoming article in the Wall Street Journal
provides a short list containing: Hastings Gymnastics Center,Eischen Cabinet Company,Masterpiece Marble
and Granite,Fancy That!, Scandinavian Marketplace and the new Top Shelf Athletics.
"Hastings doesn't just welcome new businesses into its community, it helps create them."
by George Beran, St.Paul Pioneer Press 5-16-99
How the program works:
Annual funding comes through a collaborative effort of city funding and private industry,the Industrial Park Board
contributes$10,000 annually. Last year private fund raising from corporations provided$20,000.Enterprise
Facilitation continues efforts seeking grant with a coalition of other Metro Enterprise Facilitation Programs. All
services to the clients are Free and Confidential. Outcomes can be just as successful in helping an individual to make
the decision NOT to go into a new business venture as well as new business start-ups.
Budget need requested from City of Hastings 7-10-2000
Balance of year 2000 Program fund balance 7-1-2000
Payroll,taxes and benefits--$13,755 Hastings EF DCEDP--$8000
Expenses---------------5 1.500 Needed to balance----$8000
$15,255
Support information---brochure,Hastings Star Gazette article, St. Paul Pioneer Press article,HEC&contributor list
Hastings Enterprise Committee
Board members:
Boyd,LaDonna
Dakota Electric Asso.
Dibble,Dan
Waste Managment
Eischen,Jad
Eisdwn Cabinet Company
Green,Steve
Scandinavian Marketplace
Holzem,Pam
Black Diamond Design
Jacobs,Michene
Hastings Chamber of Commerce
King,Steve
Dakota County Economic Development Partnership
Kranz,Paul
Graphic Design,Lx
Osberg,Dave
City of Hastings
Rash,Marcia
Norwest Bank
Sofia,Frank
L"S*S Accounting
PAST MEMBERS
Schullt,Wayne 1997-1998
LRL,Im
Tom Kelly 1997-1998
Norwest Bank
Mel Benke 1997-1999
Benke Woodworking
Lynn Olson 1997-2000
Regina Medical Center
ENTERPRISE FACILITATOR
Ron Topp®
651480-2226
Contributor List
Hampton Bank Dakota Electric
Norwest Bank Scandinavian Marketplace
Hastings Industrial Park Hastings Ford-Hastings Chrysler
Wal-Mart Hastings Star Gazette
Regina Medical Center Smeads
NSP Innovative Surfaces
Minnegasco First National Bank
Sprint/United Telephone Graphic Design
HQsinr�s ChA�bw c& ee„.vhav,u, _ in Ict�al A-Ce. -xPAca,
. ,�AS�i•�s S%qr
o�3/Gi7
6A
February 3, 2000
EDITORIAL
Hastings: a great place to
'operate small. business
hen Ernesto 'Sirolli hailed Hastings as "one
of the most entrepreneurially friendly cities
in Minnesota, he was not just saying words
to fill a speech before the Hastings Area Chamber of
Commerce's annual meeting, held Jan. 25. He was
recognizing the proven success of the enterprise
facilitation program, a concept he officially founded
15 years ago.
Sirolli, founder of the Sirolli Institute International,
believed the perfect economic development model
should be through grassroots efforts, not a top-down
economic plan. He lauded the city,enterprise facilita-
tor Ron Toppin and the enterprise committee fo;
efforts in assisting entrepreneurs in the community.
Those efforts have resulted in $4 million in eco-
nomic activity since the Hastings enterprise facilita-
tion program began more than two years ago. The
program is partly responsible for the addition of 65
.jobs in Hastings, and has helped people start or
expand small businesses in the city.
The enterprise facilitation program. is a free, confi-
dential and long-term assistance tool to help small
business owners with a variety of services, such as
finding locations to rent, lease or purchase. Hastings
is one of only about 25 communities in the United
States and Canada that have such a program, and is
the first in the Twin Cities area to support�the enter-
prise facilitation program.
It is an honor to be the first, but more importantly,
the recognition shows the community and prospec-
tive small business owners that Hastings is a great
place to do business.
D
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Steering Committee
Hastings, Minnesota
Tuesday, June 20, 2000
Minutes
Present: Marty McNamara, Don Kramlinger,Jeff Fox, Ed Kranz, Lynn Moratzka, Larry
Erickson, Judy Scott, Gordon Gathright,Nick Conzemius, Ken Linde,Tim Staley
1. Ken Linde called the meeting to order at 7:34am.
2. Invocation was given by Tim.
3. A discussion took place reviewing the YMCA trip that took place June 1. Steering
committee members reviewed the following regard the YMCA's they saw.
*A central point of entrance
*Common walk way
*Pools, gym, lockerooms and meeting rooms as base facility
*Workout areas were big and spacious
*Lockerooms were basic but big enough
*All served the local needs of the community
4. Tim informed the committee that the YMCA had received three grants totaling
$15,000. Tim will contact Target and Clancy's about becoming a recipient of their
receipt donations program Judy and Marty will assist Tim with interviewing Program
Director candidates later this summer.
5. Lynn presented a letter received from Anderson,Niebuhr regarding their proposal to
direct a market study for Hastings. It was agreed that Tim will ask Anderson Niebur
to be prepared to do the market study beginning in July. Regina Hospital, ISD #200
and the City of Hastings will be asked to contribute$3,300 to help pay for the
$19,800 study. The YMCA of Greater St. Paul will pay the other$10,000. Lynn,
Gordon and Nick will meet with Anderson Niebur prior to the July 19 Steering
Committee meeting to review the study and give them more background regarding
Hastings. Tim will write a request for funding letter to the three groups.
6. The next meeting is scheduled for Wednesday, July 19, 7:30am at City Hall.
Adjouned at 8:42am.
i
JUL-05-2066 13:33 FROM GRE]MMER & ASSOCIRTES TO 165143?70132 P.02
i hnson, Sheldon, sorensen &hakne'r I
RCMTECTS,iine.
[Imar,mn 56201
1
3'10.296.7775 fax:820.2.16.8673 1 i I 2 .J.
r I
July 3,Lao
U
Mr.limmtp thy k Gramm -P-E_
Gremmisr'&Associates
250 Pdst Road'
Plover:kM 54:497 I j
1
!
Re:' (City of Flasongs
iRoadiidb Park mming Pool
(Warranty Inspec Ion ;
• i
,
Dear Mtj.erer�mer,
On June , 2000:Mr Ma Welsphenning &M out 14ldnetonks offi: pets txmedan 1, ! �
inspectibn for the bath h e portion of the project A copy of his l64 has been M•to u•f�r. o r
review.: I i
1' Outside of a tjew minor items, the major isstle e;*4miilydon of e:So -1•Thie•�o f• '
sheathing' has suffared a sigrAcaht•athaurtfW what I would call ?4%InQ.• As Y4 'ca` 'see �d IIth
photographs loduded the report, the ridging has telescoped atig
rh the•shirig ting in a
uneven land unsightly roci t
You indicated:ta me 1n ar phone conversation that you did Indedd Verify'that the n4• ' o`r th
spedlled 5/8'orfentdd and board sheathing. This Is the same'shb in' that we are cu, tLy n�p
our wood frarnje projects We do not normally see ptablems Ike this hi`ss tfie roof epthl g beef
wet during construction. Once this sheathing becomes wet from exp u to raid n6:p t'e'cd n,th
boards hysicaily expa in dimension and,the edges become g r. *ter this rs; t e:sh�t to
will not alni its origin dimensional properties even after d" •n'. You also indicdted a4 it:Is
documej•(ted that the co ractor was warned to get d protective !d Jerinb on the root) t mfa •the wpo
becameiweL k 15 my un erstanding that this waming•went unheeded. J i
As such: the only remed that I can recommend is to declare the sh thug as defect�1�Iwo u rjtfi
general oonditifons of th contract The contractor must'then rem�r the damaged tom!; atm !tn
replace i:. As toy cAn 11 imagine,this will require a great deal of rk since all'orthi sh{rt' epi a J nob
accessories will need to be replaced along with the sheathing.' Or fa6netely, 1 so no erl ptjon
There should be. no add -anal cost to the owner, since the spSdf[ hs clearly 6 ko th 'eontlrako
responsible foe protection of the building materials. (
Please igtme know If I ci n be of further assistance. ;
Respectfully; i I ,• ' i
J so�r,Sheldon sat&Haftw '
L : ,?IIS � I:.tn ,:.i�..,,.,`t•M• , 1 , i
AN"n 1110 Yom did in(Rm3djv-m,,
1 r•
' i cit: .. `?lig •s;th`: g.arrin 4hNai!,%rtYl ii• :�;r.,t, i 1. i ( I� � j :'r
n . : h,i,l)istn^lik.� rhh?4rrtltn.. .•;.. , . ,1;
j I
' Pimrig Professio>s�?I'Se,i�vi�+�ta'i9iirlCli�i!ifs siixc�:�.57� ;�• � i i ; .
TOTAL P.02 _